Not likely. First, a lot of the volatile toxic elements off-gas from the cedar when it is split, and the only real risk of concentrated exposure afterwards would be thermal decomposition of the material (burning it) or use of a penetrating solvent. Most of the water soluble toxic components will get rinsed away at the first rain, and decompose in the soil fairly rapidly.

Continued exposure to fresh cedar might cause some problems. However, it's worth noting that cedar shavings are often used for bedding for rabbits, guinea pigs, and such. As one who has raised guinea pigs in the past, I can tell you they are quite susceptible to toxic environments, and cedar never bothered any of my critters, so I doubt exposure to the wood itself is much of a concern. However, I would strongly caution against exposure to smoke from burning cedar.

It seems that handling green cedar especially the fronds, provides for the most acute type of exposure.
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The ultimate result of shielding men from the effects of folly is to fill the world with fools.
-- Herbert Spencer, English Philosopher (1820-1903)