NorCal cities contend with lawsuit over energy codes
On Jan. 5, 2026, the U.S. Department of Justice filed lawsuits against two Bay Area cities, Petaluma in Sonoma County and Morgan Hill in Santa Clara County. The lawsuit seeks to overturn Petaluma and Morgan Hill’s bans on new natural gas infrastructure. The administration argues that the all-electric building codes, which were adopted in 2021 and 2019, respectively, violate federal energy directives and deny consumers access to affordable, reliable energy.
Both Petaluma and Morgan Hill originally pushed for all-electric appliance hook-ups in new construction as part of their climate action strategies, with Petaluma introducing its rules in 2021 and Morgan Hill in 2019. Petaluma city attorney Eric Danly said that the bans on new natural gas infrastructure have been on pause since 2024, following what is known as the Berkeley Ruling. City attorneys from both cities have characterized the lawsuit as an unnecessary attempt to compel the cities to comply with laws they already follow.
“We are doing everything in our power to get to that point, because we know that that’s what it takes to become a more resilient community and what we need to be able to thrive,” said former member of the Petaluma City Council D’Lynda Fischer in response to the lawsuit. “So we’re on our way, regardless of what the federal government decides to do.”
