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TRENTON, N.J. - A coalition of industry and union groups has lost an appeal over New Jersey’s “environmental justice” regulations targeting pollution-generating facilities in minority neighborhoods. The regulations comply with a 2020 law directing the state environmental agency to protect already “overburdened communities” from new and expanded facilities that subject residents to “public health stressors.”

The New Jersey Chapter of The Institute of Scrap Recycling Industries and Local 825 of the  Operating Engineers union sued to block rules issued by the New Jersey Department of Environmental Protection in 2023 identifying overburdened communities, or OBCs, and facilities subject to review. The challengers, joined by other industry groups, argued DEP exceeded its authority and the rules were arbitrary and capricious.

The Appellate Division of New Jersey Superior Court disagreed in a Jan. 5 decision, upholding the regulations.

The law targets major sources of air pollution as well as incinerators, sludge processing and sewage treatment plants, scrap metal yards, landfills and medical waste incinerators except those affiliated with a hospital or university.

Before building or expanding such a facility in an OBC, backers must submit an “environmental justice impact statement” that identifies “environmental or public health stressors affecting the overburdened community.” Public hearings and resident input are also required.

If DEP determines the proposed facility would expose residents to higher environmental burdens than other communities, it can refuse permits or attach conditions for approval.

An OBC is defined as a neighborhood where at least 35% of residents are low-income and 40% minority or “limited English proficiency.” The DEP identified 26 OBCs but extended the rule to neighboring areas the plaintiffs called “zero population blocks.”

The legislature’s intent was clear, the appeals court said: To protect minority neighborhoods already subject to higher levels of environmental stress. 

“Given the Legislature's intent to reduce environmental and public health stressor increases in OBCs, we are satisfied the DEP's reasoning for the definition of facilities is not arbitrary or capricious,” the court concluded. 

The Natural Resources Defense Council, New Jersey Environmental Justice Alliance, the NAACP and other groups supported the state.

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