VI. Review of Environmental Effects

Applicants contend that environmental review pursuant to the Califiornia Environmental Quality Act (CEQA) is not required, citing decisions where the Commission concluded that environmental review of agreements to install and share communications facilities on existing sites and structures is not required. According to the application, the communication antennas and related equipment will be installed on utility facilities which are already in place and thus constitute a minor alteration of an existing utility structure involving negligible expansion beyond the previously existing use. Applicants cite sections 15301(b) and 15061(b)(3) of the CEQA Guidelines and Commission Rule 17.1 as support. Further, Applicants state that a license under GO 69-C does not require Commission approval and that simple conversion of such a license to a lease cannot have an effect on the environment.

We do not agree with the Applicants' reasoning that environmental review is unnecessary because a conversion of a license to a lease will necessarily have no effect on the environment. As we have found in previous cases, e.g., Calpine Delta and CalPeak, the implication of such an argument is that parties can evade otherwise applicable environmental review by entering into a license and then converting it to a lease. However, in this case, we find that the Commission need not perform further environmental review. The Commission has stated in General Order 159-A that it has delegated its authority to regulate the location and design of cellular facilities to local agencies, while retaining oversight jurisdiction in cases of conflict with the Commission's goals and/or statewide interests.⁴ The Master Agreement requires AT&T Wireless to apply for all required governmental permits and approvals. Further, AT&T Wireless must comply with GO 159-A and notify the Commission if permits or approvals are granted or if no permits or approvals are necessary. We believe these conditions and requirements provide that environmental review will occur at the appropriate time under the Master Agreement.

Therefore, we find that the licensing of the property under GO 69-C for the location of cellular facilities is not improper as long as the parties comply with the provisions of GO 159-A. For the same reason, we find that the Commission need not perform further environmental review of this application.

Given our finding that the facts of this case do not present a situation where PG&E is using GO 69-C improperly, we may now consider whether to approve the Master Agreement.