If Benicia is set up like most smaller cities in California, the mayor is chosen by the Council from among their number every year or 2. So if the Mayor said some things that are impolitic (imagine, in a politician!) she might have to recuse herself when the matter comes up for a vote. We have a Fair Political Practices Commission that can get a bit uppity when people don't follow those rules, and besides, if she participates and votes under those circumstances it hands a great extra case (beyond CEQA) to the project opponents.

As far as CEQA is concerned, what it looks like the City wants from STB is some official advice that allows them to apply conditions that cost Valero a bit of money, then approve the project with appropriate words in the findings to give them cover for the inevitable CEQA lawsuits, if not short-circuiting them entirely. If STB says that any activity that's served by rail is exempt from CEQA and local land use regulation, which would be clearly inconsistent with precedent, it would trigger a much bigger federal lawsuit that would delay the project a bunch after the City says "So that's it ... DENIED." I suspect STB will try to do what the City asked for and provide guidance usable to develop a compromise.