The Federal Government challenges California’s 2022 ban on drilling near sensitive sites, citing risks to energy independence and constitutional concerns.
CALIFORNIA, USA — The Federal Government filed a complaint against the state of California, seeking to overturn laws that ban oil and gas companies from drilling near homes, schools, hospitals and other “sensitive receptors.”
The Justice Department’s Environment and Natural Resources Division says Senate Bill 1137, which passed in 2022 and bars oil and gas development activities within 3,200 feet of sensitive sites, is unconstitutional and puts nearly one-third of all federal gas and oil leases in California at risk of shutting down.
“This is yet another unconstitutional and radical policy from Gavin Newsom that threatens our country’s energy independence and makes energy more expensive for the American people,” said Attorney General Pamela Bondi. “In accordance with President Trump’s executive orders, this Department of Justice will continue to fight burdensome regulations that violate federal law and hamper domestic energy production — especially in California, where Newsom is clearly intent on subverting federal law at every opportunity.”
The legal challenge is part of the Trump Administration’s efforts to increase energy production in the U.S. and reduce the country’s dependence on energy imports. In April 2025, President Trump issued an Executive Order entitled “Protecting American Energy From State Overreach.”
The Executive Order accuses states such as California, Vermont, and New York, among others, of restricting energy production to address climate change.
“These State laws and policies weaken our national security and devastate Americans by driving up energy costs for families coast-to-coast, despite some of these families not living or voting in States with these crippling policies,” reads the April Executive Order.
Governor Newsom has supported a ban on drilling near neighborhoods and schools. In a 2024 statement, Newsom said he signed the law to prevent what he said was a risk to public health.
“It’s one thing for Big Oil to make record profits as they rip off Californians at the pump,” said Newsom in a 2024 statement about a referendum on the law. “It’s quite another to push to continue harmful drilling near daycares and schools and our homes. Greedy oil companies know that drilling results in more kids getting asthma, more children born with birth defects, and more communities exposed to toxic, dangerous chemicals – but they would rather put our health at risk than sacrifice a single cent of their billions in profits.”
The legal complaint was filed in the Eastern District of California and will now proceed through federal court.