California Governor Gavin Newsom has signed two bills aimed at facilitating the development of a major stadium and housing project in San Diego, potentially easing the way for the Midway Rising project spearheaded by Los Angeles Rams owner Stan Kroenke. The legislation, Senate Bill 344 and Senate Bill 958, was introduced by state Senator Akilah Weber Pierson (D-La Mesa) and passed by the state Legislature last month.

Midway Rising proposes to replace the aging Pechanga Arena with a new 16,000-seat stadium, alongside more than 4,200 residential units—including up to 2,000 affordable homes—and commercial and outdoor community spaces. The site is located south of Mission Bay in San Diego. Newsom framed the bills as part of broader efforts to accelerate housing construction across California, stating that families deserve timely access to stable housing without prolonged regulatory delays.

Senate Bill 344 specifically declares the Midway Rising project in full compliance with the California Environmental Quality Act (CEQA), a 1970 law designed to protect natural resources and limit pollution but which critics argue can be used to obstruct development projects. The bill essentially waives further environmental review for the stadium and housing complex.

Senate Bill 958 establishes criteria under which certain environmental impacts—such as increased building height or related noise, shadows, and wildlife effects—would not be deemed significant if a project meets specified conditions. While this legislation applies statewide, it was introduced primarily to support the Midway Rising development, according to Weber Pierson.

Supporters emphasize the potential benefits of the project, including affordable housing, permanent employment opportunities, and enhanced community and health resources in an area of San Diego identified as ready for investment. Weber Pierson underscored these advantages following the legislative approval.

However, the bills have drawn criticism from some local leaders and activists. Former San Diego Assemblymember Lori Saldaña condemned Senate Bill 344 as “reckless and rushed,” citing concerns about the project’s timing and a lack of public input during the late legislative session. She questioned the suitability of the site given the risks posed by sea-level rise and existing flooding in the vicinity.

Assemblymember Carl DeMaio (R-San Diego) also opposed the legislation, arguing that the developers were seeking special exemptions to circumvent environmental regulations. He highlighted concerns about coastal impacts, including obstruction of views by tall condominium towers associated with the project.

California lawmakers have a history of granting environmental exemptions for sports-related developments. Past examples include bills passed in 2011 and 2013 to facilitate arenas for the Golden State Warriors in San Francisco and the Sacramento Kings, respectively, which limited potential environmental lawsuits.

The Midway Rising proposal still requires approval from the San Diego City Council before moving forward.