SB 709: Oil spill response and contingency planning.
- Session Year: 2017-2018
- House: Senate
- Latest Version Date: 2017-04-26
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act generally requires the administrator for oil spill response, acting at the direction of the Governor, to implement activities relating to oil spill response, including emergency drills and preparedness, and oil spill containment and cleanup, and to represent the state in any coordinated response efforts with the federal government. Existing law requires the Governor to establish a California oil spill contingency plan that provides for an integrated and effective state procedure to combat the results of major oil spills within the state and that specifies state agencies to implement the plan. Existing law requires the administrator to submit to the Governor and the Legislature an amended California oil spill contingency plan that addresses marine oil spills, by January 1, 1993, and to submit revised plans every 3 years thereafter. Beginning January 1, 2017, and every 3 years thereafter, the administrator is required to submit an amended California oil spill contingency plan that addresses both marine and inland oil spills. Existing law requires the administrator to adopt and implement regulations governing the adequacy of oil spill contingency plans to be prepared and implemented and requires the regulations to provide for the best achievable protection of coastal and marine waters. Existing law requires an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, to have an oil spill contingency plan that complies with the rules, regulations, and policies established by the administrator, that meets specified minimum requirements, and that has been submitted to, and approved by, the administrator.
This bill would define nonfloating oil for purposes of the act. The bill would require the administrator, in consultation with the Department of Fish and Wildlife, and based on the best available science and technology, to develop and recommend to the Legislature by January 1, 2019, new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an oil spill response organization (OSRO) that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The bill would require the administrator to invite the participation of, and seek to coordinate with, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and National Marine Fisheries Service in developing the criteria. by January 1, 2020, to conduct and complete an independent scientific study on the best achievable protection of state waters from spills of nonfloating or potentially nonfloating oils, including criteria for oil spill contingency plans and oil spill response organizations (OSROs) responsible for remediating those spills. The bill would require that the scientific study evaluate the hazards and risks and potential hazards and risks that nonfloating or potentially nonfloating oils pose to natural resources and public, occupational, and environmental health and safety. The bill would require the administrator to post the results and recommendations of the completed scientific study on an Internet Web site maintained by the administrator. The bill would require the administrator, by January 1, 2019, to identify those oils transported into or through the state that place waters of the state at risk from an oil spill that are composed in whole or in part of nonfloating or potentially nonfloating oil and, through a public process, to establish criteria to identify specific characteristics of nonfloating and potentially nonfloating oil. The bill would require the administrator to periodically update and publicly release this list as the sources and types of nonfloating or potentially nonfloating oil change. The bill would, if nonfloating or potentially nonfloating oil is present, require that the oil spill contingency plan that is filed with and approved by the administrator identifies one OSRO capable of oil spill response activities related to that nonfloating or potentially nonfloating oil. The bill would additionally require the oil spill contingency plan to describe spill location-specific procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating or potentially nonfloating oil. The bill would require that the 3-year update to the California oil spill contingency plan that addresses marine and inland oil spills that is to be revised and submitted to the Governor and the Legislature by January 1, 2020, and every 3 years thereafter, include consideration of nonfloating or potentially nonfloating oils.
Existing law authorizes an OSRO to apply to the administrator for a rating of that OSROs response capabilities. Upon receiving a completed application for rating, the administrator is required to review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, including specified elements.
This bill would require that those elements include the type of oil, including nonfloating or potentially nonfloating oil, the OSRO is capable of recovering and containing. The bill would require any OSRO seeking a nonfloating or potentially nonfloating oil response capability rating to explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating spills of nonfloating or potentially nonfloating oils, in order to meet the criteria developed for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act prohibits a person from operating a marine facility, as defined, unless the owner or operator of the marine facility has obtained a certificate of financial responsibility. To receive a certificate of financial responsibility from the administrator for oil spill response, the act requires the owner or operator of a marine facility to make a specified showing of financial resources to the satisfaction of the administrator. The act authorizes the administrator to issue a certificate of financial responsibility on a lesser showing of financial resources for a period of not longer than 3 years if the administrator makes specified findings.
This bill would require that the administrator, when determining whether to issue a certificate of financial responsibility on a lesser showing of financial resources, to consider the particular risks posed by the type of oil proposed to be carried and to differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act generally requires the administrator for oil spill response, acting at the direction of the Governor, to implement activities relating to oil spill response, including emergency drills and preparedness, and oil spill containment and cleanup, and to represent the state in any coordinated response efforts with the federal government. Existing law requires the Governor to establish a California oil spill contingency plan that provides for an integrated and effective state procedure to combat the results of major oil spills within the state and that specifies state agencies to implement the plan. Existing law requires the administrator to submit to the Governor and the Legislature an amended California oil spill contingency plan that addresses marine oil spills, by January 1, 1993, and to submit revised plans every 3 years thereafter. Beginning January 1, 2017, and every 3 years thereafter, the administrator is required to submit an amended California oil spill contingency plan that addresses both marine and inland oil spills. Existing law requires the administrator to adopt and implement regulations governing the adequacy of oil spill contingency plans to be prepared and implemented and requires the regulations to provide for the best achievable protection of coastal and marine waters. Existing law requires an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, to have an oil spill contingency plan that complies with the rules, regulations, and policies established by the administrator, that meets specified minimum requirements, and that has been submitted to, and approved by, the administrator.
This bill would revise the acts definition of oil to include both floating oil, as defined, and nonfloating or potentially nonfloating oil, as defined. The bill would require the administrator, by December 31, 2019, to establish an effective system for nonfloating or potentially nonfloating oil data collection and public reporting. define nonfloating oil for purposes of the act. The bill would require the administrator, in consultation with the Department of Fish and Wildlife, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and National Marine Fisheries Service, and based on the best available science, science and technology, to develop and submit recommend to the Legislature by January 1, 2019, new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an oil spill response organization (OSRO) that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The bill would require the administrator to invite the participation of, and seek to coordinate with, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and National Marine Fisheries Service in developing the criteria. The bill would, if nonfloating or potentially nonfloating oil is present, require that the oil spill contingency plan that is filed with and approved by the administrator identifies one OSRO capable of oil spill response activities related to that nonfloating or potentially nonfloating oil. The bill would additionally require the oil spill contingency plan to describe spill location-specific procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating or potentially nonfloating oil. The bill would require that the 3-year update to the California oil spill contingency plan that addresses marine and inland oil spills that is to be revised and submitted to the Governor and the Legislature by January 1, 2020, and every 3 years thereafter, include consideration of nonfloating or potentially nonfloating oils.
Existing law authorizes an OSRO to apply to the administrator for a rating of that OSROs response capabilities. Upon receiving a completed application for rating, the administrator is required to review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, including specified elements.
This bill would require that those elements include the type of oil, including nonfloating or potentially nonfloating oil, the OSRO is capable of recovering and containing. The bill would require any OSRO seeking a nonfloating or potentially nonfloating oil response capability rating to explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating spills of nonfloating or potentially nonfloating oils, in order to meet the criteria developed for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The bill would require that certain regulations adopted by the administrator be consistent with the 2016 United States Coast Guard OSRO classification program and the criteria developed for remediating nonfloating or potentially nonfloating oil spills.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act prohibits a person from operating a marine facility, as defined, unless the owner or operator of the marine facility has obtained a certificate of financial responsibility. To receive a certificate of financial responsibility from the administrator for oil spill response, the act requires the owner or operator of a marine facility to make a specified showing of financial resources to the satisfaction of the administrator. The act authorizes the administrator to issue a certificate of financial responsibility on a lesser showing of financial resources for a period of not longer than 3 years if the administrator makes specified findings.
This bill would require that the administrator, when determining whether to issue a certificate of financial responsibility on a lesser showing of financial resources, to consider the particular risks posed by the type of oil proposed to be carried and to differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act generally requires the administrator for oil spill response, acting at the direction of the Governor, to implement activities relating to oil spill response, including emergency drills and preparedness, and oil spill containment and cleanup, and to represent the state in any coordinated response efforts with the federal government. Existing law requires the Governor to establish a California oil spill contingency plan that provides for an integrated and effective state procedure to combat the results of major oil spills within the state and that specifies state agencies to implement the plan. Existing law requires the administrator to submit to the Governor and the Legislature an amended California oil spill contingency plan that addresses marine oil spills, by January 1, 1993, and to submit revised plans every 3 years thereafter. Beginning January 1, 2017, and every 3 years thereafter, the administrator is required to submit an amended California oil spill contingency plan that addresses both marine and inland oil spills. Existing law requires the administrator to adopt and implement regulations governing the adequacy of oil spill contingency plans to be prepared and implemented and requires the regulations to provide for the best achievable protection of coastal and marine waters. Existing law requires an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, to have an oil spill contingency plan that complies with the rules, regulations, and policies established by the administrator, that meets specified minimum requirements, and that has been submitted to, and approved by, the administrator.
This bill would revise the acts definition of oil to include both floating oil, as defined, and nonfloating or potentially nonfloating oil, as defined. The bill would require the administrator, by December 31, 2019, to establish an effective system for nonfloating or potentially nonfloating oil data collection and public reporting. The bill would require the administrator, in consultation with the Department of Fish and Wildlife, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and National Marine Fisheries Service, and based on the best available science, to develop and submit to the Legislature by January 1, 2019, new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an oil spill response organization (OSRO) that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The bill would, if nonfloating oil, such as tar sand, or potentially nonfloating oil is present, require that the oil spill contingency plan that is filed with and approved by the administrator identifies one oil spill response organization (OSRO) OSRO capable of oil spill response activities related to that nonfloating or potentially nonfloating oil. The bill would additionally require the oil spill contingency plan to describe procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating or potentially nonfloating oil. The bill would require that the 3-year update to the California oil spill contingency plan that addresses marine and inland oil spills that is to be revised and submitted to the Governor and the Legislature by January 1, 2020, include consideration of nonfloating or potentially nonfloating oils.
Existing law authorizes an OSRO to apply to the administrator for a rating of that OSROs response capabilities. Upon receiving a completed application for rating, the administrator is required to review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, including specified elements.
This bill would require that those elements include the type of oil, including nonfloating oils, such as tar sands, or potentially nonfloating oil, the OSRO is capable of recovering and containing. The bill would require any OSRO seeking a nonfloating or potentially nonfloating oil response capability rating to explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating spills of nonfloating or potentially nonfloating oils, in order to meet the criteria developed for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The bill would require that certain regulations adopted by the administrator be consistent with the 2016 United States Coast Guard OSRO classification program. program and the criteria developed for remediating nonfloating or potentially nonfloating oil spills.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act prohibits a person from operating a marine facility, as defined, unless the owner or operator of the marine facility has obtained a certificate of financial responsibility. To receive a certificate of financial responsibility from the administrator for oil spill response, the act requires the owner or operator of a marine facility to make a specified showing of financial resources to the satisfaction of the administrator. The act authorizes the administrator to issue a certificate of financial responsibility on a lesser showing of financial resources for a period of not longer than 3 years if the administrator makes specified findings.
This bill would require that the administrator, when determining whether to issue a certificate of financial responsibility on a lesser showing of financial resources, to consider the particular risks posed by the type of oil proposed to be carried and to differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act generally requires the administrator for oil spill response, acting at the direction of the Governor, to implement activities relating to oil spill response, including emergency drills and preparedness, and oil spill containment and cleanup, and to represent the state in any coordinated response efforts with the federal government. Existing law requires the administrator to adopt and implement regulations governing the adequacy of oil spill contingency plans to be prepared and implemented and requires the regulations to provide for the best achievable protection of coastal and marine waters. Existing law requires an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, to have an oil spill contingency plan that complies with the rules, regulations, and policies established by the administrator, that meets specified minimum requirements, and that has been submitted to, and approved by, the administrator.
This bill would, if nonfloating oil, such as tar sand, is present, require that the oil spill contingency plan that is filed with and approved by the administrator identifies one oil spill response organization (OSRO) capable of oil spill response activities related to that nonfloating oil. The bill would additionally require the oil spill contingency plan to describe procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating oil.
Existing law authorizes an OSRO to apply to the administrator for a rating of that OSROs response capabilities. Upon receiving a completed application for rating, the administrator is required to review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, including specified elements.
This bill would require that those elements include the type of oil, including nonfloating oils, such as tar sands, the OSRO is capable of recovering and containing. The bill would require that certain regulations adopted by the administrator be consistent with the 2016 United States Coast Guard OSRO classification program.
(a)The administrator shall submit to the Governor and the Legislature an amended California oil spill contingency plan required, pursuant to Section 8574.7, by January 1, 1993. The administrator shall thereafter submit revised plans every three years, until the amended plan required pursuant to subdivision (b) is submitted.
(b)The administrator shall submit to the Governor and the Legislature an amended California oil spill contingency plan required pursuant to Section 8574.7, on or before January 1, 2017, that addresses marine and inland oil spills. The administrator shall thereafter submit revised plans every three years, until replaced by the submission of the amended plan required pursuant to subdivision (c).
(c)The administrator shall submit to the Governor and the Legislature an amended California oil spill contingency plan required pursuant to Section 8574.7, on or before January 1, 2020, that addresses marine and inland oil spills, and, using the criteria developed pursuant to subdivision (m) of Section 8670.30, includes consideration of nonfloating or potentially nonfloating oils. The administrator shall thereafter submit revised plans every three years.
SEC. 2.Section 8670.2 of the Government Code is amended to read:8670.2.The Legislature finds and declares as follows:
(a)Each year, billions of gallons of crude oil and petroleum products are transported by vessel, railroad, truck, or pipeline over, across, under, and through the waters of this state.
(b)Recent accidents in southern California, Alaska, other parts of the nation, and Canada, have shown that transportation of oil can be a significant threat to the environment of sensitive areas.
(c)Existing prevention programs are not able to reduce sufficiently the risk of significant discharge of petroleum into state waters.
(d)Response and cleanup capabilities and technology are unable to remove consistently the majority of spilled oil when major oil spills occur in state waters.
(e)Californias lakes, rivers, other inland waters, coastal waters, estuaries, bays, and beaches are treasured environmental and economic resources that the state cannot afford to place at undue risk from an oil spill.
(f)Because of the inadequacy of existing cleanup and response measures and technology, the emphasis must be put on prevention, if the risk and consequences of oil spills are to be minimized.
(g)Improvements in the design, construction, and operation of rail tank cars, tank trucks, tank ships, terminals, and pipelines; improvements in marine safety; maintenance of emergency response stations and personnel; and stronger inspection and enforcement efforts are necessary to reduce the risks of and from a major oil spill.
(h)A major oil spill in state waters is extremely expensive because of the need to clean up discharged oil, protect sensitive environmental areas, and restore ecosystem damage.
(i)Immediate action must be taken to improve control and cleanup technology in order to strengthen the capabilities and capacities of cleanup operations.
(j)California government should improve its response and management of oil spills that occur in state waters.
(k)Those who transport oil through or near the waters of the state must meet minimum safety standards and demonstrate financial responsibility.
(l)The federal government plays an important role in preventing and responding to petroleum spills and it is in the interests of the state to coordinate with agencies of the federal government, including the Coast Guard and the United States Environmental Protection Agency, to the greatest degree possible.
(m)California has approximately 1,100 miles of coast, including four marine sanctuaries that occupy 88,767 square miles. The weather, topography, and tidal currents in and around Californias coastal ports and waterways make vessel navigation challenging. The states major ports are among the busiest in the world. Approximately 700 million barrels of oil are consumed annually by California, with over 500 million barrels being transported by vessel. The peculiarities of Californias maritime coast require special precautionary measures regarding oil pollution.
(n)California has approximately 158,500 square miles of interior area where there are approximately 6,800 miles of pipeline used for oil distribution, 5,800 miles of class I railroad track, and 172,100 miles of maintained roads.
(o)California must plan for the anticipated increase in transport of novel crude oils by various means to the states heavy oil refineries for processing. This transport places the waters of the state at risk, and novel heavy oils, such as those derived from tar sands, including bitumen and diluted bitumen, present unique hazards. Without immediate action to plan and prepare for this increased transport, the states coast and San Francisco Bay are at a heightened risk of costly, and possibly irreparable, bitumen or diluted bitumen spills.
(p)Heavy oils, including those derived from tar sands such as bitumen and diluted bitumen, when spilled onto water are more likely to include components that either do not float on the surface of the water or become nonfloating over time. Immediate action must be taken to improve control and cleanup technology for nonfloating or potentially nonfloating oil spills in order to strengthen the capabilities and capacities of cleanup operations for nonfloating or potentially nonfloating oils, such as bitumen and diluted bitumen.
(q)The environmental fate of novel crude oils derived from tar sands, such as bitumen and diluted bitumen and their residues, and the subsequent environmental, ecological, and biological impacts of these oils and residues are poorly understood, and the relatively high heavy metal content in bitumen and diluted bitumen is a cause of concern. Immediate action must be taken to understand the physical and chemical transformation of these oils and residues in the environment and their subsequent impacts.
SEC. 3.Section 8670.3 of the Government Code is amended to read:8670.3.Unless the context requires otherwise, the following definitions shall govern the construction of this chapter:
(a)Administrator means the administrator for oil spill response appointed by the Governor pursuant to Section 8670.4.
(b)(1)Best achievable protection means the highest level of protection that can be achieved through both the use of the best achievable technology and those manpower levels, training procedures, and operational methods that provide the greatest degree of protection achievable. The administrators determination of which measures provide the best achievable protection shall be guided by the critical need to protect valuable natural resources and state waters, while also considering all of the following:
(A)The protection provided by the measure.
(B)The technological achievability of the measure.
(C)The cost of the measure.
(2)The administrator shall not use a cost-benefit or cost-effectiveness analysis or any particular method of analysis in determining which measures provide the best achievable protection. The administrator shall instead, when determining which measures provide best achievable protection, give reasonable consideration to the protection provided by the measures, the technological achievability of the measures, and the cost of the measures when establishing the requirements to provide the best achievable protection for the natural resources of the state.
(c)(1)Best achievable technology means that technology that provides the greatest degree of protection, taking into consideration both of the following:
(A)Processes that are being developed, or could feasibly be developed anywhere in the world, given overall reasonable expenditures on research and development.
(B)Processes that are currently in use anywhere in the world.
(2)In determining what is the best achievable technology pursuant to this chapter, the administrator shall consider the effectiveness and engineering feasibility of the technology.
(d)California oil spill contingency plan means the California oil spill contingency plan prepared pursuant to Article 3.5 (commencing with Section 8574.1) of Chapter 7.
(e)Dedicated response resources means equipment and personnel committed solely to oil spill response, containment, and cleanup that are not used for any other activity that would adversely affect the ability of that equipment and personnel to provide oil spill response services in the timeframes for which the equipment and personnel are rated.
(f)Environmentally sensitive area means an area defined pursuant to the applicable area contingency plans or geographic response plans, as created and revised by the Coast Guard, the United States Environmental Protection Agency, and the administrator.
(g)(1)Facility means any of the following located in state waters or located where an oil spill may impact state waters:
(A)A building, structure, installation, or equipment used in oil exploration, oil well drilling operations, oil production, oil refining, oil storage, oil gathering, oil processing, oil transfer, oil distribution, or oil transportation.
(B)A marine terminal.
(C)A pipeline that transports oil.
(D)A railroad that transports oil as cargo.
(E)A drill ship, semisubmersible drilling platform, jack-up type drilling rig, or any other floating or temporary drilling platform.
(2)Facility does not include any of the following:
(A)A vessel, except a vessel located and used for any purpose described in subparagraph (E) of paragraph (1).
(B)An owner or operator subject to Chapter 6.67 (commencing with Section 25270) or Chapter 6.75 (commencing with Section 25299.10) of Division 20 of the Health and Safety Code.
(C)Operations on a farm, nursery, logging site, or construction site that are either of the following:
(i)Do not exceed 20,000 gallons in a single storage tank.
(ii)Have a useable tank storage capacity not exceeding 75,000 gallons.
(D)A small craft refueling dock.
(h)Local government means a chartered or general law city, a chartered or general law county, or a city and county.
(i)(1)Marine terminal means any facility used for transferring oil to or from a tank ship or tank barge.
(2)Marine terminal includes, for purposes of this chapter, all piping not integrally connected to a tank facility, as defined in subdivision (n) of Section 25270.2 of the Health and Safety Code.
(j)Marine waters means those waters subject to tidal influence, and includes the waterways used for waterborne commercial vessel traffic to the Port of Sacramento and the Port of Stockton.
(k)Mobile transfer unit means a vehicle, truck, or trailer, including all connecting hoses and piping, used for the transferring of oil at a location where a discharge could impact waters of the state.
(l)Nondedicated response resources means those response resources identified by an Oil Spill Response Organization for oil spill response activities that are not dedicated response resources.
(m)Nonfloating oil means a hydrocarbon-based oil or any fraction or residue therefrom that does not float on the surface of water either immediately following the spill or at any subsequent time. All oil with a specific gravity greater than 1.0 is nonfloating oil. Floating oil may become nonfloating oil by various processes over the duration of a spill. This is potentially nonfloating oil. Oil with an initial specific gravity of less than or equal to 1.0 may become nonfloating over the duration of a spill.
(n)Nonpersistent oil means a petroleum-based oil, such as gasoline or jet fuel, that evaporates relatively quickly and is an oil with hydrocarbon fractions, at least 50 percent of which, by volume, distills at a temperature of 645 degrees Fahrenheit, and at least 95 percent of which, by volume, distills at a temperature of 700 degrees Fahrenheit.
(o)Nontank vessel means a vessel of 300 gross tons or greater that carries oil, but does not carry that oil as cargo.
(p)Oil means any kind of petroleum, liquid hydrocarbons, or petroleum products or any fraction or residues therefrom, including, but not limited to, crude oil, bunker fuel, gasoline, diesel fuel, aviation fuel, oil sludge, oil refuse, oil mixed with waste, and liquid distillates from unprocessed natural gas.
(q)Oil spill cleanup agent means a chemical, or any other substance, used for removing, dispersing, or otherwise cleaning up oil or any residual products of petroleum in, or on, any of the waters of the state.
(r)Oil spill contingency plan or contingency plan means the oil spill contingency plan required pursuant to Article 5 (commencing with Section 8670.28).
(s)(1)Oil spill response organization or OSRO means an individual, organization, association, cooperative, or other entity that provides, or intends to provide, equipment, personnel, supplies, or other services directly related to oil spill containment, cleanup, or removal activities.
(2)OSRO does not include an owner or operator with an oil spill contingency plan approved by the administrator or an entity that only provides spill management services, or who provides services or equipment that are only ancillary to containment, cleanup, or removal activities.
(t)(1)Owner or operator means any of the following:
(A)In the case of a vessel, a person who owns, has an ownership interest in, operates, charters by demise, or leases the vessel.
(B)In the case of a facility, a person who owns, has an ownership interest in, or operates the facility.
(C)Except as provided in subparagraph (D), in the case of a vessel or facility, where title or control was conveyed due to bankruptcy, foreclosure, tax delinquency, abandonment, or similar means to an entity of state or local government, a person who owned, held an ownership interest in, operated, or otherwise controlled activities concerning the vessel or facility immediately beforehand.
(D)An entity of the state or local government that acquired ownership or control of a vessel or facility, when the entity of the state or local government has caused or contributed to a spill or discharge of oil into waters of the state.
(2)Owner or operator does not include a person who, without participating in the management of a vessel or facility, holds indicia of ownership primarily to protect the persons security interest in the vessel or facility.
(3)Operator does not include a person who owns the land underlying a facility or the facility itself if the person is not involved in the operations of the facility.
(u)Person means an individual, trust, firm, joint stock company, or corporation, including, but not limited to, a government corporation, partnership, and association. Person also includes a city, county, city and county, district, and the state or any department or agency thereof, and the federal government, or any department or agency thereof, to the extent permitted by law.
(v)Pipeline means a pipeline used at any time to transport oil.
(w)Railroad means a railroad, railway, rail car, rolling stock, or train.
(x)Rated OSRO means an OSRO that has received a satisfactory rating from the administrator for a particular rating level established pursuant to Section 8670.30.
(y)Response efforts means rendering care, assistance, or advice in accordance with the National Contingency Plan, the California oil spill contingency plan, or at the direction of the administrator, the United States Environmental Protection Agency, or the United States Coast Guard in response to a spill or a threatened spill into waters of the state.
(z)Responsible party or party responsible means any of the following:
(1)The owner or transporter of oil or a person or entity accepting responsibility for the oil.
(2)The owner, operator, or lessee of, or a person that charters by demise, a vessel or facility, or a person or entity accepting responsibility for the vessel or facility.
(aa)Small craft means a vessel, other than a tank ship or tank barge, that is less than 20 meters in length.
(ab)Small craft refueling dock means a waterside operation that dispenses only nonpersistent oil in bulk and small amounts of persistent lubrication oil in containers primarily to small craft and meets both of the following criteria:
(1)Has tank storage capacity not exceeding 20,000 gallons in any single storage tank or tank compartment.
(2)Has total usable tank storage capacity not exceeding 75,000 gallons.
(ac)Small marine fueling facility means either of the following:
(1)A mobile transfer unit.
(2)A fixed facility that is not a marine terminal, that dispenses primarily nonpersistent oil, that may dispense small amounts of persistent oil, primarily to small craft, and that meets all of the following criteria:
(A)Has tank storage capacity greater than 20,000 gallons but not more than 40,000 gallons in any single storage tank or storage tank compartment.
(B)Has total usable tank storage capacity not exceeding 75,000 gallons.
(C)Had an annual throughput volume of over-the-water transfers of oil that did not exceed 3,000,000 gallons during the most recent preceding 12-month period.
(ad)Spill, discharge, or oil spill means a release of any amount of oil into waters of the state that is not authorized by a federal, state, or local government entity.
(ae)Tank barge means a vessel that carries oil in commercial quantities as cargo but is not equipped with a means of self-propulsion.
(af)Tank ship means a self-propelled vessel that is constructed or adapted for the carriage of oil in bulk or in commercial quantities as cargo.
(ag)Tank vessel means a tank ship or tank barge.
(ah)Vessel means a watercraft or ship of any kind, including every structure adapted to be navigated from place to place for the transportation of merchandise or persons.
(ai)Vessel carrying oil as secondary cargo means a vessel that does not carry oil as a primary cargo, but does carry oil as cargo. The administrator may establish minimum oil volume amounts or other criteria by regulations.
(aj)Waters of the state or state waters means any surface water, including saline waters, marine waters, and freshwaters, within the boundaries of the state but does not include groundwater.
SEC. 4.Section 8670.11.5 is added to the Government Code, to read:8670.11.5.(a)On or before January 1, 2019, the administrator shall identify those oils transported into or through the state that place waters of the state at risk from an oil spill that are composed in whole or in part of nonfloating or potentially nonfloating oil and create a publicly available list of these oils. The administrator, through a public process, shall establish criteria to identify specific characteristics of nonfloating and potentially nonfloating oil. The administrator shall periodically update and publicly release this list as the sources and types of oil subject to this section change.
(b)On or before January 1, 2019, the administrator, in consultation with the State Energy Resources Development and Conservation Commission and other relevant entities, shall establish an effective system to collect and disseminate to the public information pertaining to the transport and use of nonfloating or potentially nonfloating oil in the state.
SEC. 5.Section 8670.29 of the Government Code is amended to read:8670.29.(a)In accordance with the rules, regulations, and policies established by the administrator pursuant to Section 8670.28, an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, shall have an oil spill contingency plan that has been submitted to, and approved by, the administrator pursuant to Section 8670.31. An oil spill contingency plan shall ensure the undertaking of prompt and adequate response and removal action in case of a spill, shall be consistent with the California oil spill contingency plan, and shall not conflict with the National Oil and Hazardous Substances Pollution Contingency Plan (NCP).
(b)An oil spill contingency plan shall, at a minimum, meet all of the following requirements:
(1)Be a written document, reviewed for feasibility and executability, and signed by the owner or operator, or his or her designee.
(2)Provide for the use of a recognized incident command system to be used during a spill.
(3)Provide procedures for reporting oil spills to local, state, and federal agencies, and include a list of contacts to call in the event of a drill, threatened spill, or spill.
(4)Describe the communication plans to be used during a spill, if different from those used by a recognized incident command system.
(5)Describe the strategies for the protection of environmentally sensitive areas.
(6)Identify at least one rated OSRO for each rating level established pursuant to Section 8670.30. Each identified rated OSRO shall be directly responsible by contract, agreement, or other approved means to provide oil spill response activities pursuant to the oil spill contingency plan. A rated OSRO may provide oil spill response activities individually, or in combination with another rated OSRO, for a particular owner or operator. If nonfloating or potentially nonfloating oil is present, the contingency plan shall identify at least one OSRO capable of oil spill response activities related to that nonfloating or potentially nonfloating oil.
(7)Identify a qualified individual.
(8)Provide the name, address, and telephone and facsimile numbers for an agent for service of process, located within the state and designated to receive legal documents on behalf of the owner or operator.
(9)Provide for training and drills on elements of the plan at least annually, with all elements of the plan subject to a drill at least once every three years.
(10)If nonfloating or potentially nonfloating oil is present, describe spill location-specific procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating or potentially nonfloating oil, including a description of any limitations of those procedures, techniques, and technologies and alternative procedures, techniques and demonstrated technologies that can overcome these limitations.
(c)An oil spill contingency plan for a vessel shall also include, but is not limited to, all of the following requirements:
(1)The plan shall be submitted to the administrator at least seven days prior to the vessel entering waters of the state.
(2)The plan shall provide evidence of compliance with the International Safety Management Code, established by the International Maritime Organization, as applicable.
(3)If the oil spill contingency plan is for a tank vessel, the plan shall include both of the following:
(A)The plan shall specify oil and petroleum cargo capacity.
(B)The plan shall specify the types of oil and petroleum cargo carried.
(4)If the oil spill contingency plan is for a nontank vessel, the plan shall include both of the following:
(A)The plan shall specify the type and total amount of fuel carried.
(B)The plan shall specify the capacity of the largest fuel tank.
(d)An oil spill contingency plan for a facility shall also include, but is not limited to, all of the following provisions, as appropriate:
(1)Provisions for site security and control.
(2)Provisions for emergency medical treatment and first aid.
(3)Provisions for safety training, as required by state and federal safety laws for all personnel likely to be engaged in oil spill response.
(4)Provisions detailing site layout and locations of environmentally sensitive areas requiring special protection.
(5)Provisions for vessels that are in the operational control of the facility for loading and unloading.
(e)Unless preempted by federal law or regulations, an oil spill contingency plan for a railroad also shall include, but is not limited to, all of the following:
(1)A list of the types of train cars that may make up the consist.
(2)A list of the types of oil and petroleum products that may be transported.
(3)A map of track routes and facilities.
(4)A list, description, and map of any prestaged spill response equipment and personnel for deployment of the equipment.
(f)The oil spill contingency plan shall be available to response personnel and to relevant state and federal agencies for inspection and review.
(g)The oil spill contingency plan shall be reviewed periodically and updated as necessary. All updates shall be submitted to the administrator pursuant to this article.
(h)In addition to the regulations adopted pursuant to Section 8670.28, the administrator shall adopt regulations and guidelines to implement this section. The regulations and guidelines shall provide for the best achievable protection of waters and natural resources of the state. The administrator may establish additional oil spill contingency plan requirements, including, but not limited to, requirements based on the different geographic regions of the state. All regulations and guidelines shall be developed in consultation with the Oil Spill Technical Advisory Committee.
(i)Notwithstanding subdivision (a) and paragraph (6) of subdivision (b), a vessel or facility operating where a spill could impact state waters that are not tidally influenced shall identify a rated OSRO in the contingency plan no later than January 1, 2016.
SEC. 6.Section 8670.30 of the Government Code is amended to read:8670.30.(a)An oil spill response organization may apply to the administrator for a rating of that OSROs response capabilities. The administrator shall establish rating levels for classifying OSROs pursuant to subdivision (b).
(b)Upon receiving a completed application for rating, the administrator shall review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, which shall include, but is not limited to, all of the following elements:
(1)The geographic region or regions of the state where the OSRO intends to operate.
(2)Timeframes for having response resources on-scene and deployed.
(3)The type of equipment that the OSRO will use and the location of the stored equipment.
(4)The volume of oil that the OSRO is capable of recovering and containing.
(5)The type of oil, including nonfloating or potentially nonfloating oil, the OSRO is capable of recovering and containing.
(c)The administrator shall not issue a rating until the applicant OSRO completes an unannounced drill. The administrator may call a drill for every distinct geographic area in which the OSRO requests a rating. The drill shall test the resources and response capabilities of the OSRO, including, but not limited to, on water containment and recovery, environmentally sensitive habitat protection, and storage. If an OSRO fails to successfully complete a drill, the administrator shall not issue the requested rating, but the administrator may rate the OSRO at a rating lesser than the rating sought with the application. If an OSRO is denied a requested rating, the OSRO may reapply for rating.
(d)A rating issued pursuant to this section shall be valid for three years unless modified, suspended, or revoked. The administrator shall review the rating of each rated OSRO at least once every three years. The administrator shall not renew a rating unless the OSRO meets criteria established by the administrator, including, at a minimum, that the rated OSRO periodically tests and drills itself, including testing protection of environmentally sensitive sites, during the three-year period.
(e)The administrator shall require a rated OSRO to demonstrate that the rated OSRO can deploy the response resources required to meet the applicable provisions of an oil spill contingency plan in which the OSRO is listed. These demonstrations may be achieved through inspections, announced and unannounced drills, or by any other means.
(f)(1)Except as provided in paragraph (6), each rated OSRO shall satisfactorily complete at least one unannounced drill every three years after receiving its rating.
(2)The administrator may modify, suspend, or revoke an OSROs rating if a rated OSRO fails to satisfactorily complete a drill.
(3)The administrator may require the satisfactory completion of one unannounced drill of each rated OSRO prior to being granted a modified rating, and shall require satisfactory completion of one unannounced drill for each rated OSRO prior to being granted a renewal or prior to reinstatement of a revoked or suspended rating.
(4)A drill for the protection of environmentally sensitive areas shall conform as close as possible to the response that would occur during a spill but sensitive sites shall not be damaged during the drill.
(5)The response resources to be deployed by a rated OSRO within the first six hours of a spill or drill shall be dedicated response resources or be owned and controlled by a rated OSRO that are sufficient to meet the spill response planning requirements of the OSROs client owner or operator. This requirement does not preclude a rated OSRO from bringing in additional response resources. The administrator may, by regulation, permit a lesser requirement for dedicated or OSRO owned and controlled response resources for shoreline protection.
(6)The administrator may determine that actual satisfactory spill response performance during the previous three years may be substituted in lieu of a drill.
(7)The administrator shall issue a written report evaluating the performance of the OSRO after every unannounced drill called by the administrator.
(8)The administrator shall determine whether an unannounced drill called upon an OSRO by a federal agency during the previous three years qualifies as an unannounced drill for the purposes of this subdivision.
(g)Each rated OSRO shall provide reasonable notice to the administrator about each future drill, and the administrator, or his or her designee, may attend the drill.
(h)The costs incurred by an OSRO to comply with this section and the regulations adopted pursuant to this section, including drills called by the administrator, shall be the responsibility of the OSRO. All local, state, and federal agency costs incurred in conjunction with participation in a drill shall be borne by each respective agency.
(i)(1)A rating awarded pursuant to this section is personal and applies only to the OSRO that receives that rating and the rating is not transferable, assignable, or assumable. A rating does not constitute a possessory interest in real or personal property.
(2)If there is a change in ownership or control of the OSRO, the rating of that OSRO is null and void and the OSRO shall file a new application for a rating pursuant to this section.
(3)For purposes of this subdivision, a change in ownership or control includes, but is not limited to, a change in corporate status, or a transfer of ownership that changes the majority control of voting within the entity.
(j)The administrator may charge a reasonable fee to process an application for, or renewal of, a rating.
(k)The administrator shall adopt regulations to implement this section as appropriate. At a minimum, the regulations shall appropriately address all of the following:
(1)Criteria for successful completion of a drill.
(2)The amount and type of response resources that are required to be available to respond to a particular volume and type of spilled oil during specific timeframes within a particular region.
(3)Regional requirements.
(4)Training.
(5)The process for applying for a rating, and for suspension, revocation, appeal, or other modification of a rating.
(6)Ownership and employment of response resources.
(7)Conditions for canceling a drill due to hazardous or other operational circumstances.
(l)Any letter of approval issued from the administrator before January 1, 2002, that rates an OSRO shall be deemed to meet the requirements of this section for three years from the date of the letters issuance or until January 1, 2003, whichever date occurs later.
(m)(1)Pursuant to Section 8670.37, the administrator, in consultation with the Department of Fish and Wildlife and other relevant entities, and based on the best available science and best available technology, shall develop and recommend to the Legislature new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an OSRO that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters.(2)In developing the criteria described in paragraph (1), the administrator shall invite the participation of, and seek to coordinate with, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and the National Marine Fisheries Service.(3)The recommendations made pursuant to paragraph (1) shall be developed and submitted to the Legislature by January 1, 2019. Upon(m)On or before January 1, 2020, the administrator shall cause to be conducted and completed an independent scientific study on the best achievable protection of state waters from spills of nonfloating or potentially nonfloating oils, including criteria for oil spill contingency plans and OSROs responsible for remediating those spills. The scientific study shall evaluate the hazards and risks and potential hazards and risks that nonfloating or potentially nonfloating oils pose to natural resources and public, occupational, and environmental health and safety. The scientific study shall do all of the following:
(1)Follow the well-established standard protocols of the scientific profession, including the use of recognized experts, peer review, and publication.
(2)Survey existing research on the fate and behavior of nonfloating or potentially nonfloating oils, identifying ongoing research and knowledge gaps, and suggest future study needed to remedy any knowledge gaps. The survey shall do all of the following:
(A)Examine behavior under different environmental spill conditions representative of California waters, including climate and water current conditions.
(B)Identify data that needs to be acquired in the field to improve predictive modeling for spills of nonfloating and potentially nonfloating oils.
(C)Examine detection capabilities and challenges when oil is submerged or sunken.
(D)Examine best response strategies for mitigating the impacts of stationary or moving submerged or sunken oil, including alternatives to dredging to recover sunken oil.
(3)Examine the particular environmental and ecological impact of nonfloating or potentially nonfloating oil that is spilled or otherwise released, including the toxicity of the spilled and eventual residual oil and its potential impacts to animals, plants, and human health. The examination shall include all of the following:
(A)Examine impacts to habitat values.
(B)Examine impacts to species of special concern, endangered species, or threatened species under either the California Endangered Species Act (Chapter 1.5 (commencing with Section 2050) of Division 3 of the Fish and Game Code) or the federal Endangered Species Act of 1973 (16 U.S.C. Sec. 1531 et seq.).
(C)Identify data that needs to be acquired in the field to improve understanding of impacts to animals, plants, and human health.
(4)Identify environmentally and ecologically sensitive areas in state waters and along the coast that could have increased negative consequences particular to spills of nonfloating and potentially nonfloating oils, as specified in paragraph (1) of subdivision (d) of Section 8574.7.
(5)Review existing oil spill contingency plans and OSRO response capabilities using the best available scientific information. The review shall do both of the following:
(A)Determine how the unique characteristics of nonfloating or potentially nonfloating oils quantitatively and qualitatively impact the effectiveness of existing oil spill contingency plans and OSROs.
(B)Identify how gaps in scientific knowledge may or may not limit the effectiveness of existing oil spill contingency plans and OSROs.
(6)Clearly identify where additional information is necessary to inform and improve the analyses.
(7)Recommend new criteria for oil spill contingency plans applicable to nonfloating and potentially nonfloating oils and for an OSRO responsible for remediating spills of nonfloating or potentially nonfloating oils in order to protect state waters based on the conclusions reached in this independent scientific study.
(n)The administrator shall post the results and recommendations of the scientific study completed pursuant to subdivision (m) on an Internet Web site maintained by the administrator.
(o)Upon appropriation by the Legislature, the administrator may expend moneys from the Oil Spill Prevention and Administration Fund, as necessary, for the purpose of carrying out this article.
(n)(p)The administrator shall require any OSRO seeking a nonfloating or potentially nonfloating oil response capability rating to explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating spills of nonfloating or potentially nonfloating oils, in order to meet the criteria developed pursuant to subdivision (m).
SEC. 7.Section 8670.37.53 of the Government Code is amended to read:8670.37.53.(a)To receive a certificate of financial responsibility for a tank vessel or for all of the oil contained within that vessel, the applicant shall demonstrate to the satisfaction of the administrator the financial ability to pay at least one billion dollars ($1,000,000,000) for any damages that may arise during the term of the certificate.
(b)The administrator may establish a lower standard of financial responsibility for small tank barges, vessels carrying oil as a secondary cargo, and small marine fueling facilities. The standard shall be based on the quantity of oil that can be carried or stored, the particular risks posed by the type of oil proposed to be carried, and the risk of spill into waters of the state. The administrator shall not set a standard that is less than the expected costs from a reasonable worst case oil spill into waters of the state.
(c)(1)To receive a certificate of financial responsibility for a facility, the applicant shall demonstrate to the satisfaction of the administrator the financial ability to pay for any damages that might arise during a reasonable worst case oil spill into waters of the state that results from the operations of the facility. The administrator shall consider criteria including, but not necessarily limited to, the amount of oil that could be spilled into waters of the state from the facility, the cost of cleaning up spilled oil, the frequency of operations at the facility, and the damages that could result from a spill.
(2)When making financial responsibility determinations pursuant to this section, the administrator shall differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
(3)The administrator shall adopt regulations to implement this section.
(a)The administrator shall submit to the Governor and the Legislature an amended California oil spill contingency plan required, pursuant to Section 8574.7, by January 1, 1993. The administrator shall thereafter submit revised plans every three years, until the amended plan required pursuant to subdivision (b) is submitted.
(b)The administrator shall submit to the Governor and the Legislature an amended California oil spill contingency plan required pursuant to Section 8574.7, on or before January 1, 2017, that addresses marine and inland oil spills. The administrator shall thereafter submit revised plans every three years. years, until replaced by the submission of the amended plan required pursuant to subdivision (c).
(c)The administrator shall submit to the Governor and the Legislature an amended California oil spill contingency plan required pursuant to Section 8574.7, on or before January 1, 2020, that addresses marine and inland oil spills, and, using the criteria developed pursuant to subdivision (m) of Section 8670.30, includes consideration of nonfloating or potentially nonfloating oils. The administrator shall thereafter submit revised plans every three years.
SEC. 2.Section 8670.2 of the Government Code is amended to read:8670.2.The Legislature finds and declares as follows:
(a)Each year, billions of gallons of crude oil and petroleum products are transported by vessel, railroad, truck, or pipeline over, across, under, and through the waters of this state.
(b)Recent accidents in southern California, Alaska, other parts of the nation, and Canada, have shown that transportation of oil can be a significant threat to the environment of sensitive areas.
(c)Existing prevention programs are not able to reduce sufficiently the risk of significant discharge of petroleum into state waters.
(d)Response and cleanup capabilities and technology are unable to remove consistently the majority of spilled oil when major oil spills occur in state waters.
(e)Californias lakes, rivers, other inland waters, coastal waters, estuaries, bays, and beaches are treasured environmental and economic resources that the state cannot afford to place at undue risk from an oil spill.
(f)Because of the inadequacy of existing cleanup and response measures and technology, the emphasis must be put on prevention, if the risk and consequences of oil spills are to be minimized.
(g)Improvements in the design, construction, and operation of rail tank cars, tank trucks, tank ships, terminals, and pipelines; improvements in marine safety; maintenance of emergency response stations and personnel; and stronger inspection and enforcement efforts are necessary to reduce the risks of and from a major oil spill.
(h)A major oil spill in state waters is extremely expensive because of the need to clean up discharged oil, protect sensitive environmental areas, and restore ecosystem damage.
(i)Immediate action must be taken to improve control and cleanup technology in order to strengthen the capabilities and capacities of cleanup operations.
(j)California government should improve its response and management of oil spills that occur in state waters.
(k)Those who transport oil through or near the waters of the state must meet minimum safety standards and demonstrate financial responsibility.
(l)The federal government plays an important role in preventing and responding to petroleum spills and it is in the interests of the state to coordinate with agencies of the federal government, including the Coast Guard and the United States Environmental Protection Agency, to the greatest degree possible.
(m)California has approximately 1,100 miles of coast, including four marine sanctuaries that occupy 88,767 square miles. The weather, topography, and tidal currents in and around Californias coastal ports and waterways make vessel navigation challenging. The states major ports are among the busiest in the world. Approximately 700 million barrels of oil are consumed annually by California, with over 500 million barrels being transported by vessel. The peculiarities of Californias maritime coast require special precautionary measures regarding oil pollution.
(n)California has approximately 158,500 square miles of interior area where there are approximately 6,800 miles of pipeline used for oil distribution, 5,800 miles of class I railroad track, and 172,100 miles of maintained roads.
(o)California must plan for the increased transport of novel crude oils, likely consisting primarily of bitumen and diluted bitumen, through its waters to reach Californias heavy oil refineries. Without immediate action to plan for this increased transport, the states coast and San Francisco Bay are at risk of costly and possibly irreparable bitumen or diluted bitumen spills.(p)Immediate action must be taken to improve control and cleanup technology for nonfloating or potentially nonfloating oil spills in order to strengthen the capabilities and capacities of cleanup operations for nonfloating or potentially nonfloating oils like bitumen and diluted bitumen.(q)The potential bioavailability and toxicity of metals, such as cadmium, copper, lead, mercury, nickel, silver, vanadium, and zinc in diluted bitumen remains little studied in contrast to the characteristics of commonly transported crudes. Some of these metals are found at higher levels in bitumen and diluted bitumen compared to other crude oils. Immediate action must be taken to better understand the toxicity, both chronic and acute, of fresh and weathered diluted bitumen and its residues to freshwater, estuarine, and marine species at various life stages. Immediate action must be taken to better understand the bioaccumulation and impacts to the food web and trophic transfer issues for diluted bitumen.(o)California must plan for the anticipated increase in transport of novel crude oils by various means to the states heavy oil refineries for processing. This transport places the waters of the state at risk, and novel heavy oils, such as those derived from tar sands, including bitumen and diluted bitumen, present unique hazards. Without immediate action to plan and prepare for this increased transport, the states coast and San Francisco Bay are at a heightened risk of costly, and possibly irreparable, bitumen or diluted bitumen spills.
(p)Heavy oils, including those derived from tar sands such as bitumen and diluted bitumen, when spilled onto water are more likely to include components that either do not float on the surface of the water or become nonfloating over time. Immediate action must be taken to improve control and cleanup technology for nonfloating or potentially nonfloating oil spills in order to strengthen the capabilities and capacities of cleanup operations for nonfloating or potentially nonfloating oils, such as bitumen and diluted bitumen.
(q)The environmental fate of novel crude oils derived from tar sands, such as bitumen and diluted bitumen and their residues, and the subsequent environmental, ecological, and biological impacts of these oils and residues are poorly understood, and the relatively high heavy metal content in bitumen and diluted bitumen is a cause of concern. Immediate action must be taken to understand the physical and chemical transformation of these oils and residues in the environment and their subsequent impacts.
SEC. 3.Section 8670.3 of the Government Code is amended to read:8670.3.Unless the context requires otherwise, the following definitions shall govern the construction of this chapter:(a)Administrator means the administrator for oil spill response appointed by the Governor pursuant to Section 8670.4.(b)(1)Best achievable protection means the highest level of protection that can be achieved through both the use of the best achievable technology and those manpower levels, training procedures, and operational methods that provide the greatest degree of protection achievable. The administrators determination of which measures provide the best achievable protection shall be guided by the critical need to protect valuable natural resources and state waters, while also considering all of the following:(A)The protection provided by the measure.(B)The technological achievability of the measure.(C)The cost of the measure.(2)The administrator shall not use a cost-benefit or cost-effectiveness analysis or any particular method of analysis in determining which measures provide the best achievable protection. The administrator shall instead, when determining which measures provide best achievable protection, give reasonable consideration to the protection provided by the measures, the technological achievability of the measures, and the cost of the measures when establishing the requirements to provide the best achievable protection for the natural resources of the state.(c)(1)Best achievable technology means that technology that provides the greatest degree of protection, taking into consideration both of the following:(A)Processes that are being developed, or could feasibly be developed anywhere in the world, given overall reasonable expenditures on research and development.(B)Processes that are currently in use anywhere in the world.(2)In determining what is the best achievable technology pursuant to this chapter, the administrator shall consider the effectiveness and engineering feasibility of the technology.(d)California oil spill contingency plan means the California oil spill contingency plan prepared pursuant to Article 3.5 (commencing with Section 8574.1) of Chapter 7.(e)Dedicated response resources means equipment and personnel committed solely to oil spill response, containment, and cleanup that are not used for any other activity that would adversely affect the ability of that equipment and personnel to provide oil spill response services in the timeframes for which the equipment and personnel are rated.(f)Environmentally sensitive area means an area defined pursuant to the applicable area contingency plans or geographic response plans, as created and revised by the Coast Guard, the United States Environmental Protection Agency, and the administrator.(g)(1)Facility means any of the following located in state waters or located where an oil spill may impact state waters:(A)A building, structure, installation, or equipment used in oil exploration, oil well drilling operations, oil production, oil refining, oil storage, oil gathering, oil processing, oil transfer, oil distribution, or oil transportation.(B)A marine terminal.(C)A pipeline that transports oil.(D)A railroad that transports oil as cargo.(E)A drill ship, semisubmersible drilling platform, jack-up type drilling rig, or any other floating or temporary drilling platform.(2)Facility does not include any of the following:(A)A vessel, except a vessel located and used for any purpose described in subparagraph (E) of paragraph (1).(B)An owner or operator subject to Chapter 6.67 (commencing with Section 25270) or Chapter 6.75 (commencing with Section 25299.10) of Division 20 of the Health and Safety Code.(C)Operations on a farm, nursery, logging site, or construction site that are either of the following:(i)Do not exceed 20,000 gallons in a single storage tank.(ii)Have a useable tank storage capacity not exceeding 75,000 gallons.(D)A small craft refueling dock.(h)Local government means a chartered or general law city, a chartered or general law county, or a city and county.(i)(1)Marine terminal means any facility used for transferring oil to or from a tank ship or tank barge.(2)Marine terminal includes, for purposes of this chapter, all piping not integrally connected to a tank facility, as defined in subdivision (n) of Section 25270.2 of the Health and Safety Code.(j)Marine waters means those waters subject to tidal influence, and includes the waterways used for waterborne commercial vessel traffic to the Port of Sacramento and the Port of Stockton.(k)Mobile transfer unit means a vehicle, truck, or trailer, including all connecting hoses and piping, used for the transferring of oil at a location where a discharge could impact waters of the state.(l)Nondedicated response resources means those response resources identified by an Oil Spill Response Organization for oil spill response activities that are not dedicated response resources.(m)Nonpersistent oil means a petroleum-based oil, such as gasoline or jet fuel, that evaporates relatively quickly and is an oil with hydrocarbon fractions, at least 50 percent of which, by volume, distills at a temperature of 645 degrees Fahrenheit, and at least 95 percent of which, by volume, distills at a temperature of 700 degrees Fahrenheit.(n)Nontank vessel means a vessel of 300 gross tons or greater that carries oil, but does not carry that oil as cargo.(o)Oil includes both floating oil and nonfloating or potentially nonfloating oil. For these purposes, floating oil means any kind of petroleum, liquid hydrocarbons, or petroleum products or any fraction or residues therefrom with a specific gravity less than one that has also been shown to float in saline and fresh waters, despite the weathering process. For these purposes, nonfloating or potentially nonfloating oil means any kind of petroleum, liquid hydrocarbons, or petroleum product or any fraction or residue therefrom with a specific gravity greater than one, or that has been shown to behave like such products after the weathering process has begun. Nonfloating or potentially nonfloating oil include, but is not limited to, diluted bitumen, synbit, rawbit, bitumen, Venezuelan crude, Mexican Maya crude, asphalt, coal tar, carbon black, No. 5 (Bunker B) and No. 6 (Bunker C) fuel oils, and all Group V oils as defined by Section 155.1020 of Title 33 of the Code of Federal Regulations.(p)Oil spill cleanup agent means a chemical, or any other substance, used for removing, dispersing, or otherwise cleaning up oil or any residual products of petroleum in, or on, any of the waters of the state.(q)Oil spill contingency plan or contingency plan means the oil spill contingency plan required pursuant to Article 5 (commencing with Section 8670.28).(r)(1)Oil spill response organization or OSRO means an individual, organization, association, cooperative, or other entity that provides, or intends to provide, equipment, personnel, supplies, or other services directly related to oil spill containment, cleanup, or removal activities.(2)OSRO does not include an owner or operator with an oil spill contingency plan approved by the administrator or an entity that only provides spill management services, or who provides services or equipment that are only ancillary to containment, cleanup, or removal activities.(s)(1)Owner or operator means any of the following:(A)In the case of a vessel, a person who owns, has an ownership interest in, operates, charters by demise, or leases the vessel.(B)In the case of a facility, a person who owns, has an ownership interest in, or operates the facility.(C)Except as provided in subparagraph (D), in the case of a vessel or facility, where title or control was conveyed due to bankruptcy, foreclosure, tax delinquency, abandonment, or similar means to an entity of state or local government, a person who owned, held an ownership interest in, operated, or otherwise controlled activities concerning the vessel or facility immediately beforehand.(D)An entity of the state or local government that acquired ownership or control of a vessel or facility, when the entity of the state or local government has caused or contributed to a spill or discharge of oil into waters of the state.(2)Owner or operator does not include a person who, without participating in the management of a vessel or facility, holds indicia of ownership primarily to protect the persons security interest in the vessel or facility.(3)Operator does not include a person who owns the land underlying a facility or the facility itself if the person is not involved in the operations of the facility.(t)Person means an individual, trust, firm, joint stock company, or corporation, including, but not limited to, a government corporation, partnership, and association. Person also includes a city, county, city and county, district, and the state or any department or agency thereof, and the federal government, or any department or agency thereof, to the extent permitted by law.(u)Pipeline means a pipeline used at any time to transport oil.(v)Railroad means a railroad, railway, rail car, rolling stock, or train.(w)Rated OSRO means an OSRO that has received a satisfactory rating from the administrator for a particular rating level established pursuant to Section 8670.30.(x)Response efforts means rendering care, assistance, or advice in accordance with the National Contingency Plan, the California oil spill contingency plan, or at the direction of the administrator, the United States Environmental Protection Agency, or the United States Coast Guard in response to a spill or a threatened spill into waters of the state.(y)Responsible party or party responsible means any of the following:(1)The owner or transporter of oil or a person or entity accepting responsibility for the oil.(2)The owner, operator, or lessee of, or a person that charters by demise, a vessel or facility, or a person or entity accepting responsibility for the vessel or facility.(z)Small craft means a vessel, other than a tank ship or tank barge, that is less than 20 meters in length.(aa)Small craft refueling dock means a waterside operation that dispenses only nonpersistent oil in bulk and small amounts of persistent lubrication oil in containers primarily to small craft and meets both of the following criteria:(1)Has tank storage capacity not exceeding 20,000 gallons in any single storage tank or tank compartment.(2)Has total usable tank storage capacity not exceeding 75,000 gallons.(ab)Small marine fueling facility means either of the following:(1)A mobile transfer unit.(2)A fixed facility that is not a marine terminal, that dispenses primarily nonpersistent oil, that may dispense small amounts of persistent oil, primarily to small craft, and that meets all of the following criteria:(A)Has tank storage capacity greater than 20,000 gallons but not more than 40,000 gallons in any single storage tank or storage tank compartment.(B)Has total usable tank storage capacity not exceeding 75,000 gallons.(C)Had an annual throughput volume of over-the-water transfers of oil that did not exceed 3,000,000 gallons during the most recent preceding 12-month period.(ac)Spill, discharge, or oil spill means a release of any amount of oil into waters of the state that is not authorized by a federal, state, or local government entity.(ad)Tank barge means a vessel that carries oil in commercial quantities as cargo but is not equipped with a means of self-propulsion.(ae)Tank ship means a self-propelled vessel that is constructed or adapted for the carriage of oil in bulk or in commercial quantities as cargo.(af)Tank vessel means a tank ship or tank barge.(ag)Vessel means a watercraft or ship of any kind, including every structure adapted to be navigated from place to place for the transportation of merchandise or persons.(ah)Vessel carrying oil as secondary cargo means a vessel that does not carry oil as a primary cargo, but does carry oil as cargo. The administrator may establish minimum oil volume amounts or other criteria by regulations.(ai)Waters of the state or state waters means any surface water, including saline waters, marine waters, and freshwaters, within the boundaries of the state but does not include groundwater.SEC. 3.Section 8670.3 of the Government Code is amended to read:8670.3.Unless the context requires otherwise, the following definitions shall govern the construction of this chapter:
(a)Administrator means the administrator for oil spill response appointed by the Governor pursuant to Section 8670.4.
(b)(1)Best achievable protection means the highest level of protection that can be achieved through both the use of the best achievable technology and those manpower levels, training procedures, and operational methods that provide the greatest degree of protection achievable. The administrators determination of which measures provide the best achievable protection shall be guided by the critical need to protect valuable natural resources and state waters, while also considering all of the following:
(A)The protection provided by the measure.
(B)The technological achievability of the measure.
(C)The cost of the measure.
(2)The administrator shall not use a cost-benefit or cost-effectiveness analysis or any particular method of analysis in determining which measures provide the best achievable protection. The administrator shall instead, when determining which measures provide best achievable protection, give reasonable consideration to the protection provided by the measures, the technological achievability of the measures, and the cost of the measures when establishing the requirements to provide the best achievable protection for the natural resources of the state.
(c)(1)Best achievable technology means that technology that provides the greatest degree of protection, taking into consideration both of the following:
(A)Processes that are being developed, or could feasibly be developed anywhere in the world, given overall reasonable expenditures on research and development.
(B)Processes that are currently in use anywhere in the world.
(2)In determining what is the best achievable technology pursuant to this chapter, the administrator shall consider the effectiveness and engineering feasibility of the technology.
(d)California oil spill contingency plan means the California oil spill contingency plan prepared pursuant to Article 3.5 (commencing with Section 8574.1) of Chapter 7.
(e)Dedicated response resources means equipment and personnel committed solely to oil spill response, containment, and cleanup that are not used for any other activity that would adversely affect the ability of that equipment and personnel to provide oil spill response services in the timeframes for which the equipment and personnel are rated.
(f)Environmentally sensitive area means an area defined pursuant to the applicable area contingency plans or geographic response plans, as created and revised by the Coast Guard, the United States Environmental Protection Agency, and the administrator.
(g)(1)Facility means any of the following located in state waters or located where an oil spill may impact state waters:
(A)A building, structure, installation, or equipment used in oil exploration, oil well drilling operations, oil production, oil refining, oil storage, oil gathering, oil processing, oil transfer, oil distribution, or oil transportation.
(B)A marine terminal.
(C)A pipeline that transports oil.
(D)A railroad that transports oil as cargo.
(E)A drill ship, semisubmersible drilling platform, jack-up type drilling rig, or any other floating or temporary drilling platform.
(2)Facility does not include any of the following:
(A)A vessel, except a vessel located and used for any purpose described in subparagraph (E) of paragraph (1).
(B)An owner or operator subject to Chapter 6.67 (commencing with Section 25270) or Chapter 6.75 (commencing with Section 25299.10) of Division 20 of the Health and Safety Code.
(C)Operations on a farm, nursery, logging site, or construction site that are either of the following:
(i)Do not exceed 20,000 gallons in a single storage tank.
(ii)Have a useable tank storage capacity not exceeding 75,000 gallons.
(D)A small craft refueling dock.
(h)Local government means a chartered or general law city, a chartered or general law county, or a city and county.
(i)(1)Marine terminal means any facility used for transferring oil to or from a tank ship or tank barge.
(2)Marine terminal includes, for purposes of this chapter, all piping not integrally connected to a tank facility, as defined in subdivision (n) of Section 25270.2 of the Health and Safety Code.
(j)Marine waters means those waters subject to tidal influence, and includes the waterways used for waterborne commercial vessel traffic to the Port of Sacramento and the Port of Stockton.
(k)Mobile transfer unit means a vehicle, truck, or trailer, including all connecting hoses and piping, used for the transferring of oil at a location where a discharge could impact waters of the state.
(l)Nondedicated response resources means those response resources identified by an Oil Spill Response Organization for oil spill response activities that are not dedicated response resources.
(m)Nonfloating oil means a hydrocarbon-based oil or any fraction or residue therefrom that does not float on the surface of water either immediately following the spill or at any subsequent time. All oil with a specific gravity greater than 1.0 is nonfloating oil. Floating oil may become nonfloating oil by various processes over the duration of a spill. This is potentially nonfloating oil. Oil with an initial specific gravity of less than or equal to 1.0 may become nonfloating over the duration of a spill.
(m)(n)Nonpersistent oil means a petroleum-based oil, such as gasoline or jet fuel, that evaporates relatively quickly and is an oil with hydrocarbon fractions, at least 50 percent of which, by volume, distills at a temperature of 645 degrees Fahrenheit, and at least 95 percent of which, by volume, distills at a temperature of 700 degrees Fahrenheit.
(n)(o)Nontank vessel means a vessel of 300 gross tons or greater that carries oil, but does not carry that oil as cargo.
(o)(p)Oil means any kind of petroleum, liquid hydrocarbons, or petroleum products or any fraction or residues therefrom, including, but not limited to, crude oil, bunker fuel, gasoline, diesel fuel, aviation fuel, oil sludge, oil refuse, oil mixed with waste, and liquid distillates from unprocessed natural gas.
(p)(q)Oil spill cleanup agent means a chemical, or any other substance, used for removing, dispersing, or otherwise cleaning up oil or any residual products of petroleum in, or on, any of the waters of the state.
(q)(r)Oil spill contingency plan or contingency plan means the oil spill contingency plan required pursuant to Article 5 (commencing with Section 8670.28).
(r)(s)(1)Oil spill response organization or OSRO means an individual, organization, association, cooperative, or other entity that provides, or intends to provide, equipment, personnel, supplies, or other services directly related to oil spill containment, cleanup, or removal activities.
(2)OSRO does not include an owner or operator with an oil spill contingency plan approved by the administrator or an entity that only provides spill management services, or who provides services or equipment that are only ancillary to containment, cleanup, or removal activities.
(s)(t)(1)Owner or operator means any of the following:
(A)In the case of a vessel, a person who owns, has an ownership interest in, operates, charters by demise, or leases the vessel.
(B)In the case of a facility, a person who owns, has an ownership interest in, or operates the facility.
(C)Except as provided in subparagraph (D), in the case of a vessel or facility, where title or control was conveyed due to bankruptcy, foreclosure, tax delinquency, abandonment, or similar means to an entity of state or local government, a person who owned, held an ownership interest in, operated, or otherwise controlled activities concerning the vessel or facility immediately beforehand.
(D)An entity of the state or local government that acquired ownership or control of a vessel or facility, when the entity of the state or local government has caused or contributed to a spill or discharge of oil into waters of the state.
(2)Owner or operator does not include a person who, without participating in the management of a vessel or facility, holds indicia of ownership primarily to protect the persons security interest in the vessel or facility.
(3)Operator does not include a person who owns the land underlying a facility or the facility itself if the person is not involved in the operations of the facility.
(t)(u)Person means an individual, trust, firm, joint stock company, or corporation, including, but not limited to, a government corporation, partnership, and association. Person also includes a city, county, city and county, district, and the state or any department or agency thereof, and the federal government, or any department or agency thereof, to the extent permitted by law.
(u)(v)Pipeline means a pipeline used at any time to transport oil.
(v)(w)Railroad means a railroad, railway, rail car, rolling stock, or train.
(w)(x)Rated OSRO means an OSRO that has received a satisfactory rating from the administrator for a particular rating level established pursuant to Section 8670.30.
(x)(y)Response efforts means rendering care, assistance, or advice in accordance with the National Contingency Plan, the California oil spill contingency plan, or at the direction of the administrator, the United States Environmental Protection Agency, or the United States Coast Guard in response to a spill or a threatened spill into waters of the state.
(y)(z)Responsible party or party responsible means any of the following:
(1)The owner or transporter of oil or a person or entity accepting responsibility for the oil.
(2)The owner, operator, or lessee of, or a person that charters by demise, a vessel or facility, or a person or entity accepting responsibility for the vessel or facility.
(z)(aa)Small craft means a vessel, other than a tank ship or tank barge, that is less than 20 meters in length.
(aa)(ab)Small craft refueling dock means a waterside operation that dispenses only nonpersistent oil in bulk and small amounts of persistent lubrication oil in containers primarily to small craft and meets both of the following criteria:
(1)Has tank storage capacity not exceeding 20,000 gallons in any single storage tank or tank compartment.
(2)Has total usable tank storage capacity not exceeding 75,000 gallons.
(ab)(ac)Small marine fueling facility means either of the following:
(1)A mobile transfer unit.
(2)A fixed facility that is not a marine terminal, that dispenses primarily nonpersistent oil, that may dispense small amounts of persistent oil, primarily to small craft, and that meets all of the following criteria:
(A)Has tank storage capacity greater than 20,000 gallons but not more than 40,000 gallons in any single storage tank or storage tank compartment.
(B)Has total usable tank storage capacity not exceeding 75,000 gallons.
(C)Had an annual throughput volume of over-the-water transfers of oil that did not exceed 3,000,000 gallons during the most recent preceding 12-month period.
(ac)(ad)Spill, discharge, or oil spill means a release of any amount of oil into waters of the state that is not authorized by a federal, state, or local government entity.
(ad)(ae)Tank barge means a vessel that carries oil in commercial quantities as cargo but is not equipped with a means of self-propulsion.
(ae)(af)Tank ship means a self-propelled vessel that is constructed or adapted for the carriage of oil in bulk or in commercial quantities as cargo.
(af)(ag)Tank vessel means a tank ship or tank barge.
(ag)(ah)Vessel means a watercraft or ship of any kind, including every structure adapted to be navigated from place to place for the transportation of merchandise or persons.
(ah)(ai)Vessel carrying oil as secondary cargo means a vessel that does not carry oil as a primary cargo, but does carry oil as cargo. The administrator may establish minimum oil volume amounts or other criteria by regulations.
(ai)(aj)Waters of the state or state waters means any surface water, including saline waters, marine waters, and freshwaters, within the boundaries of the state but does not include groundwater.
SEC. 4.Section 8670.11.5 is added to the Government Code, to read:8670.11.5.(a)On or before January 1, 2019, the administrator shall identify those oils transported into or through the state that place waters of the state at risk from an oil spill that are composed in whole or in part of nonfloating or potentially nonfloating oil and create a publicly available list of these oils. The administrator, through a public process, shall establish criteria to identify specific characteristics of nonfloating and potentially nonfloating oil. The administrator shall periodically update and publicly release this list as the sources and types of oil subject to this section change.
(b)On or before January 1, 2019, the administrator, in consultation with the State Energy Resources Development and Conservation Commission and other relevant entities, shall establish an effective system to collect and disseminate to the public information pertaining to the transport and use of nonfloating or potentially nonfloating oil in the state.
SEC. 4.SEC. 5.Section 8670.29 of the Government Code is amended to read:8670.29.(a)In accordance with the rules, regulations, and policies established by the administrator pursuant to Section 8670.28, an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, shall have an oil spill contingency plan that has been submitted to, and approved by, the administrator pursuant to Section 8670.31. An oil spill contingency plan shall ensure the undertaking of prompt and adequate response and removal action in case of a spill, shall be consistent with the California oil spill contingency plan, and shall not conflict with the National Oil and Hazardous Substances Pollution Contingency Plan (NCP).
(b)An oil spill contingency plan shall, at a minimum, meet all of the following requirements:
(1)Be a written document, reviewed for feasibility and executability, and signed by the owner or operator, or his or her designee.
(2)Provide for the use of a recognized incident command system to be used during a spill.
(3)Provide procedures for reporting oil spills to local, state, and federal agencies, and include a list of contacts to call in the event of a drill, threatened spill, or spill.
(4)Describe the communication plans to be used during a spill, if different from those used by a recognized incident command system.
(5)Describe the strategies for the protection of environmentally sensitive areas.
(6)Identify at least one rated OSRO for each rating level established pursuant to Section 8670.30. Each identified rated OSRO shall be directly responsible by contract, agreement, or other approved means to provide oil spill response activities pursuant to the oil spill contingency plan. A rated OSRO may provide oil spill response activities individually, or in combination with another rated OSRO, for a particular owner or operator. If nonfloating or potentially nonfloating oil is present, the contingency plan shall identify at least one OSRO capable of oil spill response activities related to that nonfloating or potentially nonfloating oil.
(7)Identify a qualified individual.
(8)Provide the name, address, and telephone and facsimile numbers for an agent for service of process, located within the state and designated to receive legal documents on behalf of the owner or operator.
(9)Provide for training and drills on elements of the plan at least annually, with all elements of the plan subject to a drill at least once every three years.
(10)If nonfloating or potentially nonfloating oil is present, describe spill location-specific procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating or potentially nonfloating oil, including a description of any limitations of those procedures, techniques, and technologies and alternative procedures, techniques and demonstrated technologies that can overcome these limitations.
(c)An oil spill contingency plan for a vessel shall also include, but is not limited to, all of the following requirements:
(1)The plan shall be submitted to the administrator at least seven days prior to the vessel entering waters of the state.
(2)The plan shall provide evidence of compliance with the International Safety Management Code, established by the International Maritime Organization, as applicable.
(3)If the oil spill contingency plan is for a tank vessel, the plan shall include both of the following:
(A)The plan shall specify oil and petroleum cargo capacity.
(B)The plan shall specify the types of oil and petroleum cargo carried.
(4)If the oil spill contingency plan is for a nontank vessel, the plan shall include both of the following:
(A)The plan shall specify the type and total amount of fuel carried.
(B)The plan shall specify the capacity of the largest fuel tank.
(d)An oil spill contingency plan for a facility shall also include, but is not limited to, all of the following provisions, as appropriate:
(1)Provisions for site security and control.
(2)Provisions for emergency medical treatment and first aid.
(3)Provisions for safety training, as required by state and federal safety laws for all personnel likely to be engaged in oil spill response.
(4)Provisions detailing site layout and locations of environmentally sensitive areas requiring special protection.
(5)Provisions for vessels that are in the operational control of the facility for loading and unloading.
(e)Unless preempted by federal law or regulations, an oil spill contingency plan for a railroad also shall include, but is not limited to, all of the following:
(1)A list of the types of train cars that may make up the consist.
(2)A list of the types of oil and petroleum products that may be transported.
(3)A map of track routes and facilities.
(4)A list, description, and map of any prestaged spill response equipment and personnel for deployment of the equipment.
(f)The oil spill contingency plan shall be available to response personnel and to relevant state and federal agencies for inspection and review.
(g)The oil spill contingency plan shall be reviewed periodically and updated as necessary. All updates shall be submitted to the administrator pursuant to this article.
(h)In addition to the regulations adopted pursuant to Section 8670.28, the administrator shall adopt regulations and guidelines to implement this section. The regulations and guidelines shall provide for the best achievable protection of waters and natural resources of the state. The administrator may establish additional oil spill contingency plan requirements, including, but not limited to, requirements based on the different geographic regions of the state. All regulations and guidelines shall be developed in consultation with the Oil Spill Technical Advisory Committee.
(i)Notwithstanding subdivision (a) and paragraph (6) of subdivision (b), a vessel or facility operating where a spill could impact state waters that are not tidally influenced shall identify a rated OSRO in the contingency plan no later than January 1, 2016.
SEC. 5.SEC. 6.Section 8670.30 of the Government Code is amended to read:8670.30.(a)An oil spill response organization may apply to the administrator for a rating of that OSROs response capabilities. The administrator shall establish rating levels for classifying OSROs pursuant to subdivision (b).
(b)Upon receiving a completed application for rating, the administrator shall review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, which shall include, but is not limited to, all of the following elements:
(1)The geographic region or regions of the state where the OSRO intends to operate.
(2)Timeframes for having response resources on-scene and deployed.
(3)The type of equipment that the OSRO will use and the location of the stored equipment.
(4)The volume of oil that the OSRO is capable of recovering and containing.
(5)The type of oil, including nonfloating or potentially nonfloating oil, the OSRO is capable of recovering and containing.
(c)The administrator shall not issue a rating until the applicant OSRO completes an unannounced drill. The administrator may call a drill for every distinct geographic area in which the OSRO requests a rating. The drill shall test the resources and response capabilities of the OSRO, including, but not limited to, on water containment and recovery, environmentally sensitive habitat protection, and storage. If an OSRO fails to successfully complete a drill, the administrator shall not issue the requested rating, but the administrator may rate the OSRO at a rating lesser than the rating sought with the application. If an OSRO is denied a requested rating, the OSRO may reapply for rating.
(d)A rating issued pursuant to this section shall be valid for three years unless modified, suspended, or revoked. The administrator shall review the rating of each rated OSRO at least once every three years. The administrator shall not renew a rating unless the OSRO meets criteria established by the administrator, including, at a minimum, that the rated OSRO periodically tests and drills itself, including testing protection of environmentally sensitive sites, during the three-year period.
(e)The administrator shall require a rated OSRO to demonstrate that the rated OSRO can deploy the response resources required to meet the applicable provisions of an oil spill contingency plan in which the OSRO is listed. These demonstrations may be achieved through inspections, announced and unannounced drills, or by any other means.
(f)(1)Except as provided in paragraph (6), each rated OSRO shall satisfactorily complete at least one unannounced drill every three years after receiving its rating.
(2)The administrator may modify, suspend, or revoke an OSROs rating if a rated OSRO fails to satisfactorily complete a drill.
(3)The administrator may require the satisfactory completion of one unannounced drill of each rated OSRO prior to being granted a modified rating, and shall require satisfactory completion of one unannounced drill for each rated OSRO prior to being granted a renewal or prior to reinstatement of a revoked or suspended rating.
(4)A drill for the protection of environmentally sensitive areas shall conform as close as possible to the response that would occur during a spill but sensitive sites shall not be damaged during the drill.
(5)The response resources to be deployed by a rated OSRO within the first six hours of a spill or drill shall be dedicated response resources or be owned and controlled by a rated OSRO that are sufficient to meet the spill response planning requirements of the OSROs client owner or operator. This requirement does not preclude a rated OSRO from bringing in additional response resources. The administrator may, by regulation, permit a lesser requirement for dedicated or OSRO owned and controlled response resources for shoreline protection.
(6)The administrator may determine that actual satisfactory spill response performance during the previous three years may be substituted in lieu of a drill.
(7)The administrator shall issue a written report evaluating the performance of the OSRO after every unannounced drill called by the administrator.
(8)The administrator shall determine whether an unannounced drill called upon an OSRO by a federal agency during the previous three years qualifies as an unannounced drill for the purposes of this subdivision.
(g)Each rated OSRO shall provide reasonable notice to the administrator about each future drill, and the administrator, or his or her designee, may attend the drill.
(h)The costs incurred by an OSRO to comply with this section and the regulations adopted pursuant to this section, including drills called by the administrator, shall be the responsibility of the OSRO. All local, state, and federal agency costs incurred in conjunction with participation in a drill shall be borne by each respective agency.
(i)(1)A rating awarded pursuant to this section is personal and applies only to the OSRO that receives that rating and the rating is not transferable, assignable, or assumable. A rating does not constitute a possessory interest in real or personal property.
(2)If there is a change in ownership or control of the OSRO, the rating of that OSRO is null and void and the OSRO shall file a new application for a rating pursuant to this section.
(3)For purposes of this subdivision, a change in ownership or control includes, but is not limited to, a change in corporate status, or a transfer of ownership that changes the majority control of voting within the entity.
(j)The administrator may charge a reasonable fee to process an application for, or renewal of, a rating.
(k)The administrator shall adopt regulations to implement this section as appropriate. At a minimum, the regulations shall appropriately address all of the following:
(1)Criteria for successful completion of a drill.
(2)The amount and type of response resources that are required to be available to respond to a particular volume and type of spilled oil during specific timeframes within a particular region.
(3)Regional requirements.
(4)Training.
(5)The process for applying for a rating, and for suspension, revocation, appeal, or other modification of a rating.
(6)Ownership and employment of response resources.
(7)Conditions for canceling a drill due to hazardous or other operational circumstances.
(l)Any letter of approval issued from the administrator before January 1, 2002, that rates an OSRO shall be deemed to meet the requirements of this section for three years from the date of the letters issuance or until January 1, 2003, whichever date occurs later.
(m)By December 31, 2018, the administrator shall establish an effective system for nonfloating and potentially nonfloating oil data collection and public reporting.(n)Pursuant to Section 8670.37, the administrator, in consultation with the Department of Fish and Wildlife, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and the National Marine Fisheries Service, and based on the best available science, shall develop and recommend to the Legislature new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an OSRO that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The recommendations shall be developed and submitted to the Legislature by January 1, 2019. Upon appropriation by the Legislature, the administrator may expend moneys from the Oil Spill Prevention and Administration Fund as necessary for the purpose of carrying out this article.(m)(1)Pursuant to Section 8670.37, the administrator, in consultation with the Department of Fish and Wildlife and other relevant entities, and based on the best available science and best available technology, shall develop and recommend to the Legislature new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an OSRO that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters.
(2)In developing the criteria described in paragraph (1), the administrator shall invite the participation of, and seek to coordinate with, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and the National Marine Fisheries Service.
(3)The recommendations made pursuant to paragraph (1) shall be developed and submitted to the Legislature by January 1, 2019. Upon appropriation by the Legislature, the administrator may expend moneys from the Oil Spill Prevention and Administration Fund, as necessary, for the purpose of carrying out this article.
(o)(n)The administrator shall require any OSRO seeking a nonfloating or potentially nonfloating oil response capability rating to explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating spills of nonfloating or potentially nonfloating oils, in order to meet the criteria developed pursuant to subdivision (n). (m).
SEC. 6.Section 8670.35 of the Government Code is amended to read:8670.35.(a)The administrator, taking into consideration the California oil spill contingency plan, shall promulgate regulations regarding the adequacy of oil spill elements of area plans required pursuant to Section 25503 of the Health and Safety Code. In developing the regulations, the administrator shall consult with the Oil Spill Technical Advisory Committee.(b)The administrator may offer, to a unified program agency with jurisdiction over or directly adjacent to waters of the state, a grant to complete, update, or revise an oil spill element of the area plan.(c)Each oil spill element established under this section shall include provisions for training fire and police personnel in oil spill response and cleanup equipment use and operations.(d)Each oil spill element prepared under this section shall be consistent with the local governments local coastal program as certified under Section 30500 of the Public Resources Code, the California oil spill contingency plan, the National Contingency Plan, and the 2016 United States Coast Guard OSRO classification program, to the extent this program is consistent with the criteria developed pursuant to subdivision (n) of Section 8670.30.(e)If a grant is awarded, the administrator shall review and approve each oil spill element established pursuant to this section. If, upon review, the administrator determines that the oil spill element is inadequate, the administrator shall return it to the agency that prepared it, specifying the nature and extent of the inadequacies, and, if practicable, suggesting modifications. The unified program agency shall submit a new or modified element within 90 days after the element was returned, responding to the findings and incorporating any suggested modifications.(f)The administrator shall review the preparedness of unified program agencies to determine whether a program of grants for completing oil spill elements is desirable and should be continued. If the administrator determines that local government preparedness should be improved, the administrator shall request the Legislature to appropriate funds from the Oil Spill Prevention and Administration Fund for the purposes of this section.SEC. 7.Section 8670.37.53 of the Government Code is amended to read:8670.37.53.(a)To receive a certificate of financial responsibility for a tank vessel or for all of the oil contained within that vessel, the applicant shall demonstrate to the satisfaction of the administrator the financial ability to pay at least one billion dollars ($1,000,000,000) for any damages that may arise during the term of the certificate.
(b)The administrator may establish a lower standard of financial responsibility for small tank barges, vessels carrying oil as a secondary cargo, and small marine fueling facilities. The standard shall be based on the quantity of oil that can be carried or stored, the particular risks posed by the type of oil proposed to be carried, and the risk of spill into waters of the state. The administrator shall not set a standard that is less than the expected costs from a reasonable worst case oil spill into waters of the state.
(c)(1)To receive a certificate of financial responsibility for a facility, the applicant shall demonstrate to the satisfaction of the administrator the financial ability to pay for any damages that might arise during a reasonable worst case oil spill into waters of the state that results from the operations of the facility. The administrator shall consider criteria including, but not necessarily limited to, the amount of oil that could be spilled into waters of the state from the facility, the cost of cleaning up spilled oil, the frequency of operations at the facility, and the damages that could result from a spill.
(2)When making financial responsibility determinations pursuant to this section, the administrator shall differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
(3)The administrator shall adopt regulations to implement this section.
(a)Using the criteria developed pursuant to subdivision (n) of Section 8670.30, the administrator shall include consideration of nonfloating or potentially nonfloating oils as part of the California oil spill contingency plan to be revised and submitted on or before January 1, 2020, that addresses marine and inland oil spills.
(b)This section shall remain in effect only until January 1, 2024, and as of that date is repealed, unless a later enacted statute that is enacted before January 1, 2024, deletes or extends that date.
SEC. 2.Section 8670.2 of the Government Code is amended to read:8670.2.The Legislature finds and declares as follows:
(a)Each year, billions of gallons of crude oil and petroleum products are transported by vessel, railroad, truck, or pipeline over, across, under, and through the waters of this state.
(b)Recent accidents in southern California, Alaska, other parts of the nation, and Canada, have shown that transportation of oil can be a significant threat to the environment of sensitive areas.
(c)Existing prevention programs are not able to reduce sufficiently the risk of significant discharge of petroleum into state waters.
(d)Response and cleanup capabilities and technology are unable to remove consistently the majority of spilled oil when major oil spills occur in state waters.
(e)Californias lakes, rivers, other inland waters, coastal waters, estuaries, bays, and beaches are treasured environmental and economic resources that the state cannot afford to place at undue risk from an oil spill.
(f)Because of the inadequacy of existing cleanup and response measures and technology, the emphasis must be put on prevention, if the risk and consequences of oil spills are to be minimized.
(g)Improvements in the design, construction, and operation of rail tank cars, tank trucks, tank ships, terminals, and pipelines; improvements in marine safety; maintenance of emergency response stations and personnel; and stronger inspection and enforcement efforts are necessary to reduce the risks of and from a major oil spill.
(h)A major oil spill in state waters is extremely expensive because of the need to clean up discharged oil, protect sensitive environmental areas, and restore ecosystem damage.
(i)Immediate action must be taken to improve control and cleanup technology in order to strengthen the capabilities and capacities of cleanup operations.
(j)California government should improve its response and management of oil spills that occur in state waters.
(k)Those who transport oil through or near the waters of the state must meet minimum safety standards and demonstrate financial responsibility.
(l)The federal government plays an important role in preventing and responding to petroleum spills and it is in the interests of the state to coordinate with agencies of the federal government, including the Coast Guard and the United States Environmental Protection Agency, to the greatest degree possible.
(m)California has approximately 1,100 miles of coast, including four marine sanctuaries that occupy 88,767 square miles. The weather, topography, and tidal currents in and around Californias coastal ports and waterways make vessel navigation challenging. The states major ports are among the busiest in the world. Approximately 700 million barrels of oil are consumed annually by California, with over 500 million barrels being transported by vessel. The peculiarities of Californias maritime coast require special precautionary measures regarding oil pollution.
(n)California has approximately 158,500 square miles of interior area where there are approximately 6,800 miles of pipeline used for oil distribution, 5,800 miles of class I railroad track, and 172,100 miles of maintained roads.
(o)California must plan for the increased transport of novel crude oils, likely consisting primarily of bitumen and diluted bitumen, through its waters to reach Californias heavy oil refineries. Without immediate action to plan for this increased transport, the states coast and San Francisco Bay are at risk of costly and possibly irreparable bitumen or diluted bitumen spills.
(p)Immediate action must be taken to improve control and cleanup technology for nonfloating or potentially nonfloating oil spills in order to strengthen the capabilities and capacities of cleanup operations for nonfloating or potentially nonfloating oils like bitumen and diluted bitumen.
(q)The potential bioavailability and toxicity of metals, such as cadmium, copper, lead, mercury, nickel, silver, vanadium, and zinc in diluted bitumen remains little studied in contrast to the characteristics of commonly transported crudes. Some of these metals are found at higher levels in bitumen and diluted bitumen compared to other crude oils. Immediate action must be taken to better understand the toxicity, both chronic and acute, of fresh and weathered diluted bitumen and its residues to freshwater, estuarine, and marine species at various life stages. Immediate action must be taken to better understand the bioaccumulation and impacts to the food web and trophic transfer issues for diluted bitumen.
SEC. 3.Section 8670.3 of the Government Code is amended to read:8670.3.Unless the context requires otherwise, the following definitions shall govern the construction of this chapter:
(a)Administrator means the administrator for oil spill response appointed by the Governor pursuant to Section 8670.4.
(b)(1)Best achievable protection means the highest level of protection that can be achieved through both the use of the best achievable technology and those manpower levels, training procedures, and operational methods that provide the greatest degree of protection achievable. The administrators determination of which measures provide the best achievable protection shall be guided by the critical need to protect valuable natural resources and state waters, while also considering all of the following:
(A)The protection provided by the measure.
(B)The technological achievability of the measure.
(C)The cost of the measure.
(2)The administrator shall not use a cost-benefit or cost-effectiveness analysis or any particular method of analysis in determining which measures provide the best achievable protection. The administrator shall instead, when determining which measures provide best achievable protection, give reasonable consideration to the protection provided by the measures, the technological achievability of the measures, and the cost of the measures when establishing the requirements to provide the best achievable protection for the natural resources of the state.
(c)(1)Best achievable technology means that technology that provides the greatest degree of protection, taking into consideration both of the following:
(A)Processes that are being developed, or could feasibly be developed anywhere in the world, given overall reasonable expenditures on research and development.
(B)Processes that are currently in use anywhere in the world.
(2)In determining what is the best achievable technology pursuant to this chapter, the administrator shall consider the effectiveness and engineering feasibility of the technology.
(d)California oil spill contingency plan means the California oil spill contingency plan prepared pursuant to Article 3.5 (commencing with Section 8574.1) of Chapter 7.
(e)Dedicated response resources means equipment and personnel committed solely to oil spill response, containment, and cleanup that are not used for any other activity that would adversely affect the ability of that equipment and personnel to provide oil spill response services in the timeframes for which the equipment and personnel are rated.
(f)Environmentally sensitive area means an area defined pursuant to the applicable area contingency plans or geographic response plans, as created and revised by the Coast Guard, the United States Environmental Protection Agency, and the administrator.
(g)(1)Facility means any of the following located in state waters or located where an oil spill may impact state waters:
(A)A building, structure, installation, or equipment used in oil exploration, oil well drilling operations, oil production, oil refining, oil storage, oil gathering, oil processing, oil transfer, oil distribution, or oil transportation.
(B)A marine terminal.
(C)A pipeline that transports oil.
(D)A railroad that transports oil as cargo.
(E)A drill ship, semisubmersible drilling platform, jack-up type drilling rig, or any other floating or temporary drilling platform.
(2)Facility does not include any of the following:
(A)A vessel, except a vessel located and used for any purpose described in subparagraph (E) of paragraph (1).
(B)An owner or operator subject to Chapter 6.67 (commencing with Section 25270) or Chapter 6.75 (commencing with Section 25299.10) of Division 20 of the Health and Safety Code.
(C)Operations on a farm, nursery, logging site, or construction site that are either of the following:
(i)Do not exceed 20,000 gallons in a single storage tank.
(ii)Have a useable tank storage capacity not exceeding 75,000 gallons.
(D)A small craft refueling dock.
(h)Local government means a chartered or general law city, a chartered or general law county, or a city and county.
(i)(1)Marine terminal means any facility used for transferring oil to or from a tank ship or tank barge.
(2)Marine terminal includes, for purposes of this chapter, all piping not integrally connected to a tank facility, as defined in subdivision (n) of Section 25270.2 of the Health and Safety Code.
(j)Marine waters means those waters subject to tidal influence, and includes the waterways used for waterborne commercial vessel traffic to the Port of Sacramento and the Port of Stockton.
(k)Mobile transfer unit means a vehicle, truck, or trailer, including all connecting hoses and piping, used for the transferring of oil at a location where a discharge could impact waters of the state.
(l)Nondedicated response resources means those response resources identified by an Oil Spill Response Organization for oil spill response activities that are not dedicated response resources.
(m)Nonpersistent oil means a petroleum-based oil, such as gasoline or jet fuel, that evaporates relatively quickly and is an oil with hydrocarbon fractions, at least 50 percent of which, by volume, distills at a temperature of 645 degrees Fahrenheit, and at least 95 percent of which, by volume, distills at a temperature of 700 degrees Fahrenheit.
(n)Nontank vessel means a vessel of 300 gross tons or greater that carries oil, but does not carry that oil as cargo.
(o)Oil includes both floating oil and nonfloating or potentially nonfloating oil. For these purposes, floating oil means any kind of petroleum, liquid hydrocarbons, or petroleum products or any fraction or residues therefrom, including, but not limited to, crude oil, bunker fuel, gasoline, diesel fuel, aviation fuel, oil sludge, oil refuse, oil mixed with waste, and liquid distillates from unprocessed natural gas. therefrom with a specific gravity less than one that has also been shown to float in saline and fresh waters, despite the weathering process. For these purposes, nonfloating or potentially nonfloating oil means any kind of petroleum, liquid hydrocarbons, or petroleum product or any fraction or residue therefrom with a specific gravity greater than one, or that has been shown to behave like such products after the weathering process has begun. Nonfloating or potentially nonfloating oil include, but is not limited to, diluted bitumen, synbit, rawbit, bitumen, Venezuelan crude, Mexican Maya crude, asphalt, coal tar, carbon black, No. 5 (Bunker B) and No. 6 (Bunker C) fuel oils, and all Group V oils as defined by Section 155.1020 of Title 33 of the Code of Federal Regulations.
(p)Oil spill cleanup agent means a chemical, or any other substance, used for removing, dispersing, or otherwise cleaning up oil or any residual products of petroleum in, or on, any of the waters of the state.
(q)Oil spill contingency plan or contingency plan means the oil spill contingency plan required pursuant to Article 5 (commencing with Section 8670.28).
(r)(1)Oil spill response organization or OSRO means an individual, organization, association, cooperative, or other entity that provides, or intends to provide, equipment, personnel, supplies, or other services directly related to oil spill containment, cleanup, or removal activities.
(2)OSRO does not include an owner or operator with an oil spill contingency plan approved by the administrator or an entity that only provides spill management services, or who provides services or equipment that are only ancillary to containment, cleanup, or removal activities.
(s)(1)Owner or operator means any of the following:
(A)In the case of a vessel, a person who owns, has an ownership interest in, operates, charters by demise, or leases the vessel.
(B)In the case of a facility, a person who owns, has an ownership interest in, or operates the facility.
(C)Except as provided in subparagraph (D), in the case of a vessel or facility, where title or control was conveyed due to bankruptcy, foreclosure, tax delinquency, abandonment, or similar means to an entity of state or local government, a person who owned, held an ownership interest in, operated, or otherwise controlled activities concerning the vessel or facility immediately beforehand.
(D)An entity of the state or local government that acquired ownership or control of a vessel or facility, when the entity of the state or local government has caused or contributed to a spill or discharge of oil into waters of the state.
(2)Owner or operator does not include a person who, without participating in the management of a vessel or facility, holds indicia of ownership primarily to protect the persons security interest in the vessel or facility.
(3)Operator does not include a person who owns the land underlying a facility or the facility itself if the person is not involved in the operations of the facility.
(t)Person means an individual, trust, firm, joint stock company, or corporation, including, but not limited to, a government corporation, partnership, and association. Person also includes a city, county, city and county, district, and the state or any department or agency thereof, and the federal government, or any department or agency thereof, to the extent permitted by law.
(u)Pipeline means a pipeline used at any time to transport oil.
(v)Railroad means a railroad, railway, rail car, rolling stock, or train.
(w)Rated OSRO means an OSRO that has received a satisfactory rating from the administrator for a particular rating level established pursuant to Section 8670.30.
(x)Response efforts means rendering care, assistance, or advice in accordance with the National Contingency Plan, the California oil spill contingency plan, or at the direction of the administrator, the United States Environmental Protection Agency, or the United States Coast Guard in response to a spill or a threatened spill into waters of the state.
(y)Responsible party or party responsible means any of the following:
(1)The owner or transporter of oil or a person or entity accepting responsibility for the oil.
(2)The owner, operator, or lessee of, or a person that charters by demise, a vessel or facility, or a person or entity accepting responsibility for the vessel or facility.
(z)Small craft means a vessel, other than a tank ship or tank barge, that is less than 20 meters in length.
(aa)Small craft refueling dock means a waterside operation that dispenses only nonpersistent oil in bulk and small amounts of persistent lubrication oil in containers primarily to small craft and meets both of the following criteria:
(1)Has tank storage capacity not exceeding 20,000 gallons in any single storage tank or tank compartment.
(2)Has total usable tank storage capacity not exceeding 75,000 gallons.
(ab)Small marine fueling facility means either of the following:
(1)A mobile transfer unit.
(2)A fixed facility that is not a marine terminal, that dispenses primarily nonpersistent oil, that may dispense small amounts of persistent oil, primarily to small craft, and that meets all of the following criteria:
(A)Has tank storage capacity greater than 20,000 gallons but not more than 40,000 gallons in any single storage tank or storage tank compartment.
(B)Has total usable tank storage capacity not exceeding 75,000 gallons.
(C)Had an annual throughput volume of over-the-water transfers of oil that did not exceed 3,000,000 gallons during the most recent preceding 12-month period.
(ac)Spill, discharge, or oil spill means a release of any amount of oil into waters of the state that is not authorized by a federal, state, or local government entity.
(ad)Tank barge means a vessel that carries oil in commercial quantities as cargo but is not equipped with a means of self-propulsion.
(ae)Tank ship means a self-propelled vessel that is constructed or adapted for the carriage of oil in bulk or in commercial quantities as cargo.
(af)Tank vessel means a tank ship or tank barge.
(ag)Vessel means a watercraft or ship of any kind, including every structure adapted to be navigated from place to place for the transportation of merchandise or persons.
(ah)Vessel carrying oil as secondary cargo means a vessel that does not carry oil as a primary cargo, but does carry oil as cargo. The administrator may establish minimum oil volume amounts or other criteria by regulations.
(ai)Waters of the state or state waters means any surface water, including saline waters, marine waters, and freshwaters, within the boundaries of the state but does not include groundwater.
SECTION 1.SEC. 4.Section 8670.29 of the Government Code is amended to read:8670.29.(a)In accordance with the rules, regulations, and policies established by the administrator pursuant to Section 8670.28, an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, shall have an oil spill contingency plan that has been submitted to, and approved by, the administrator pursuant to Section 8670.31. An oil spill contingency plan shall ensure the undertaking of prompt and adequate response and removal action in case of a spill, shall be consistent with the California oil spill contingency plan, and shall not conflict with the National Oil and Hazardous Substances Pollution Contingency Plan (NCP).
(b)An oil spill contingency plan shall, at a minimum, meet all of the following requirements:
(1)Be a written document, reviewed for feasibility and executability, and signed by the owner or operator, or his or her designee.
(2)Provide for the use of a recognized incident command system to be used during a spill.
(3)Provide procedures for reporting oil spills to local, state, and federal agencies, and include a list of contacts to call in the event of a drill, threatened spill, or spill.
(4)Describe the communication plans to be used during a spill, if different from those used by a recognized incident command system.
(5)Describe the strategies for the protection of environmentally sensitive areas.
(6)Identify at least one rated OSRO for each rating level established pursuant to Section 8670.30. Each identified rated OSRO shall be directly responsible by contract, agreement, or other approved means to provide oil spill response activities pursuant to the oil spill contingency plan. A rated OSRO may provide oil spill response activities individually, or in combination with another rated OSRO, for a particular owner or operator. If nonfloating oil, such as tar sand, or potentially nonfloating oil is present, the contingency plan shall identify at least one OSRO capable of oil spill response activities related to that nonfloating or potentially nonfloating oil.
(7)Identify a qualified individual.
(8)Provide the name, address, and telephone and facsimile numbers for an agent for service of process, located within the state and designated to receive legal documents on behalf of the owner or operator.
(9)Provide for training and drills on elements of the plan at least annually, with all elements of the plan subject to a drill at least once every three years.
(10)If nonfloating oil, such as tar sand, or potentially nonfloating oil is present, describe procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating or potentially nonfloating oil, including a description of any limitations of those procedures, techniques, and technologies and alternative procedures, techniques and demonstrated technologies that can overcome these limitations.
(c)An oil spill contingency plan for a vessel shall also include, but is not limited to, all of the following requirements:
(1)The plan shall be submitted to the administrator at least seven days prior to the vessel entering waters of the state.
(2)The plan shall provide evidence of compliance with the International Safety Management Code, established by the International Maritime Organization, as applicable.
(3)If the oil spill contingency plan is for a tank vessel, the plan shall include both of the following:
(A)The plan shall specify oil and petroleum cargo capacity.
(B)The plan shall specify the types of oil and petroleum cargo carried.
(4)If the oil spill contingency plan is for a nontank vessel, the plan shall include both of the following:
(A)The plan shall specify the type and total amount of fuel carried.
(B)The plan shall specify the capacity of the largest fuel tank.
(d)An oil spill contingency plan for a facility shall also include, but is not limited to, all of the following provisions, as appropriate:
(1)Provisions for site security and control.
(2)Provisions for emergency medical treatment and first aid.
(3)Provisions for safety training, as required by state and federal safety laws for all personnel likely to be engaged in oil spill response.
(4)Provisions detailing site layout and locations of environmentally sensitive areas requiring special protection.
(5)Provisions for vessels that are in the operational control of the facility for loading and unloading.
(e)Unless preempted by federal law or regulations, an oil spill contingency plan for a railroad also shall include, but is not limited to, all of the following:
(1)A list of the types of train cars that may make up the consist.
(2)A list of the types of oil and petroleum products that may be transported.
(3)A map of track routes and facilities.
(4)A list, description, and map of any prestaged spill response equipment and personnel for deployment of the equipment.
(f)The oil spill contingency plan shall be available to response personnel and to relevant state and federal agencies for inspection and review.
(g)The oil spill contingency plan shall be reviewed periodically and updated as necessary. All updates shall be submitted to the administrator pursuant to this article.
(h)In addition to the regulations adopted pursuant to Section 8670.28, the administrator shall adopt regulations and guidelines to implement this section. The regulations and guidelines shall provide for the best achievable protection of waters and natural resources of the state. The administrator may establish additional oil spill contingency plan requirements, including, but not limited to, requirements based on the different geographic regions of the state. All regulations and guidelines shall be developed in consultation with the Oil Spill Technical Advisory Committee.
(i)Notwithstanding subdivision (a) and paragraph (6) of subdivision (b), a vessel or facility operating where a spill could impact state waters that are not tidally influenced shall identify a rated OSRO in the contingency plan no later than January 1, 2016.
SEC. 2.SEC. 5.Section 8670.30 of the Government Code is amended to read:8670.30.(a)An oil spill response organization may apply to the administrator for a rating of that OSROs response capabilities. The administrator shall establish rating levels for classifying OSROs pursuant to subdivision (b).
(b)Upon receiving a completed application for rating, the administrator shall review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, which shall include, but is not limited to, all of the following elements:
(1)The geographic region or regions of the state where the OSRO intends to operate.
(2)Timeframes for having response resources on-scene and deployed.
(3)The type of equipment that the OSRO will use and the location of the stored equipment.
(4)The volume of oil that the OSRO is capable of recovering and containing.
(5)The type of oil, including nonfloating oils, such as tar sands, or potentially nonfloating oil, the OSRO is capable of recovering and containing.
(c)The administrator shall not issue a rating until the applicant OSRO completes an unannounced drill. The administrator may call a drill for every distinct geographic area in which the OSRO requests a rating. The drill shall test the resources and response capabilities of the OSRO, including, but not limited to, on water containment and recovery, environmentally sensitive habitat protection, and storage. If an OSRO fails to successfully complete a drill, the administrator shall not issue the requested rating, but the administrator may rate the OSRO at a rating lesser than the rating sought with the application. If an OSRO is denied a requested rating, the OSRO may reapply for rating.
(d)A rating issued pursuant to this section shall be valid for three years unless modified, suspended, or revoked. The administrator shall review the rating of each rated OSRO at least once every three years. The administrator shall not renew a rating unless the OSRO meets criteria established by the administrator, including, at a minimum, that the rated OSRO periodically tests and drills itself, including testing protection of environmentally sensitive sites, during the three-year period.
(e)The administrator shall require a rated OSRO to demonstrate that the rated OSRO can deploy the response resources required to meet the applicable provisions of an oil spill contingency plan in which the OSRO is listed. These demonstrations may be achieved through inspections, announced and unannounced drills, or by any other means.
(f)(1)Except as provided in paragraph (6), each rated OSRO shall satisfactorily complete at least one unannounced drill every three years after receiving its rating.
(2)The administrator may modify, suspend, or revoke an OSROs rating if a rated OSRO fails to satisfactorily complete a drill.
(3)The administrator may require the satisfactory completion of one unannounced drill of each rated OSRO prior to being granted a modified rating, and shall require satisfactory completion of one unannounced drill for each rated OSRO prior to being granted a renewal or prior to reinstatement of a revoked or suspended rating.
(4)A drill for the protection of environmentally sensitive areas shall conform as close as possible to the response that would occur during a spill but sensitive sites shall not be damaged during the drill.
(5)The response resources to be deployed by a rated OSRO within the first six hours of a spill or drill shall be dedicated response resources or be owned and controlled by a rated OSRO that are sufficient to meet the spill response planning requirements of the OSROs client owner or operator. This requirement does not preclude a rated OSRO from bringing in additional response resources. The administrator may, by regulation, permit a lesser requirement for dedicated or OSRO owned and controlled response resources for shoreline protection.
(6)The administrator may determine that actual satisfactory spill response performance during the previous three years may be substituted in lieu of a drill.
(7)The administrator shall issue a written report evaluating the performance of the OSRO after every unannounced drill called by the administrator.
(8)The administrator shall determine whether an unannounced drill called upon an OSRO by a federal agency during the previous three years qualifies as an unannounced drill for the purposes of this subdivision.
(g)Each rated OSRO shall provide reasonable notice to the administrator about each future drill, and the administrator, or his or her designee, may attend the drill.
(h)The costs incurred by an OSRO to comply with this section and the regulations adopted pursuant to this section, including drills called by the administrator, shall be the responsibility of the OSRO. All local, state, and federal agency costs incurred in conjunction with participation in a drill shall be borne by each respective agency.
(i)(1)A rating awarded pursuant to this section is personal and applies only to the OSRO that receives that rating and the rating is not transferable, assignable, or assumable. A rating does not constitute a possessory interest in real or personal property.
(2)If there is a change in ownership or control of the OSRO, the rating of that OSRO is null and void and the OSRO shall file a new application for a rating pursuant to this section.
(3)For purposes of this subdivision, a change in ownership or control includes, but is not limited to, a change in corporate status, or a transfer of ownership that changes the majority control of voting within the entity.
(j)The administrator may charge a reasonable fee to process an application for, or renewal of, a rating.
(k)The administrator shall adopt regulations to implement this section as appropriate. At a minimum, the regulations shall appropriately address all of the following:
(1)Criteria for successful completion of a drill.
(2)The amount and type of response resources that are required to be available to respond to a particular volume of spilled oil during specific timeframes within a particular region.
(3)Regional requirements.
(4)Training.
(5)The process for applying for a rating, and for suspension, revocation, appeal, or other modification of a rating.
(6)Ownership and employment of response resources.
(7)Conditions for canceling a drill due to hazardous or other operational circumstances.
(l)Any letter of approval issued from the administrator before January 1, 2002, that rates an OSRO shall be deemed to meet the requirements of this section for three years from the date of the letters issuance or until January 1, 2003, whichever date occurs later.
(m)By December 31, 2018, the administrator shall establish an effective system for nonfloating and potentially nonfloating oil data collection and public reporting.
(n)Pursuant to Section 8670.37, the administrator, in consultation with the Department of Fish and Wildlife, the United States Fish and Wildlife Service, the United States Coast Guard, the United States Environmental Protection Agency, and the National Marine Fisheries Service, and based on the best available science, shall develop and recommend to the Legislature new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an OSRO that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. The recommendations shall be developed and submitted to the Legislature by January 1, 2019. Upon appropriation by the Legislature, the administrator may expend moneys from the Oil Spill Prevention and Administration Fund as necessary for the purpose of carrying out this article.
(o)The administrator shall require any OSRO seeking a nonfloating or potentially nonfloating oil response capability rating to explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating spills of nonfloating or potentially nonfloating oils, in order to meet the criteria developed pursuant to subdivision (n).
SEC. 3.SEC. 6.Section 8670.35 of the Government Code is amended to read:8670.35.(a)The administrator, taking into consideration the California oil spill contingency plan, shall promulgate regulations regarding the adequacy of oil spill elements of area plans required pursuant to Section 25503 of the Health and Safety Code. In developing the regulations, the administrator shall consult with the Oil Spill Technical Advisory Committee.
(b)The administrator may offer, to a unified program agency with jurisdiction over or directly adjacent to waters of the state, a grant to complete, update, or revise an oil spill element of the area plan.
(c)Each oil spill element established under this section shall include provisions for training fire and police personnel in oil spill response and cleanup equipment use and operations.
(d)Each oil spill element prepared under this section shall be consistent with the local governments local coastal program as certified under Section 30500 of the Public Resources Code, the California oil spill contingency plan, the National Contingency Plan, and the 2016 United States Coast Guard OSRO classification program. program, to the extent this program is consistent with the criteria developed pursuant to subdivision (n) of Section 8670.30.
(e)If a grant is awarded, the administrator shall review and approve each oil spill element established pursuant to this section. If, upon review, the administrator determines that the oil spill element is inadequate, the administrator shall return it to the agency that prepared it, specifying the nature and extent of the inadequacies, and, if practicable, suggesting modifications. The unified program agency shall submit a new or modified element within 90 days after the element was returned, responding to the findings and incorporating any suggested modifications.
(f)The administrator shall review the preparedness of unified program agencies to determine whether a program of grants for completing oil spill elements is desirable and should be continued. If the administrator determines that local government preparedness should be improved, the administrator shall request the Legislature to appropriate funds from the Oil Spill Prevention and Administration Fund for the purposes of this section.
SEC. 7.Section 8670.37.53 of the Government Code is amended to read:8670.37.53.(a)To receive a certificate of financial responsibility for a tank vessel or for all of the oil contained within that vessel, the applicant shall demonstrate to the satisfaction of the administrator the financial ability to pay at least one billion dollars ($1,000,000,000) for any damages that may arise during the term of the certificate.
(b)The administrator may establish a lower standard of financial responsibility for small tank barges, vessels carrying oil as a secondary cargo, and small marine fueling facilities. The standard shall be based on the quantity of oil that can be carried or stored stored, the particular risks posed by the type of oil proposed to be carried, and the risk of spill into waters of the state. The administrator shall not set a standard that is less than the expected costs from a reasonable worst case oil spill into waters of the state.
(c)(1)To receive a certificate of financial responsibility for a facility, the applicant shall demonstrate to the satisfaction of the administrator the financial ability to pay for any damages that might arise during a reasonable worst case oil spill into waters of the state that results from the operations of the facility. The administrator shall consider criteria including, but not necessarily limited to, the amount of oil that could be spilled into waters of the state from the facility, the cost of cleaning up spilled oil, the frequency of operations at the facility, and the damages that could result from a spill.
(2)When making financial responsibility determinations pursuant to this section, the administrator shall differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
(2)(3)The administrator shall adopt regulations to implement this section.
(a)In accordance with the rules, regulations, and policies established by the administrator pursuant to Section 8670.28, an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, shall have an oil spill contingency plan that has been submitted to, and approved by, the administrator pursuant to Section 8670.31. An oil spill contingency plan shall ensure the undertaking of prompt and adequate response and removal action in case of a spill, shall be consistent with the California oil spill contingency plan, and shall not conflict with the National Oil and Hazardous Substances Pollution Contingency Plan (NCP).
(b)An oil spill contingency plan shall, at a minimum, meet all of the following requirements:
(1)Be a written document, reviewed for feasibility and executability, and signed by the owner or operator, or his or her designee.
(2)Provide for the use of a recognized incident command system to be used during a spill.
(3)Provide procedures for reporting oil spills to local, state, and federal agencies, and include a list of contacts to call in the event of a drill, threatened spill, or spill.
(4)Describe the communication plans to be used during a spill, if different from those used by a recognized incident command system.
(5)Describe the strategies for the protection of environmentally sensitive areas.
(6)Identify at least one rated OSRO for each rating level established pursuant to Section 8670.30. Each identified rated OSRO shall be directly responsible by contract, agreement, or other approved means to provide oil spill response activities pursuant to the oil spill contingency plan. A rated OSRO may provide oil spill response activities individually, or in combination with another rated OSRO, for a particular owner or operator. If nonfloating oil, such as tar sand, is present, the contingency plan shall identify at least one OSRO capable of oil spill response activities related to that nonfloating oil.
(7)Identify a qualified individual.
(8)Provide the name, address, and telephone and facsimile numbers for an agent for service of process, located within the state and designated to receive legal documents on behalf of the owner or operator.
(9)Provide for training and drills on elements of the plan at least annually, with all elements of the plan subject to a drill at least once every three years.
(10)If nonfloating oil, such as tar sand, is present, describe procedures, techniques, and demonstrated technologies effective for responding to a spill of the nonfloating oil, including a description of any limitations of those procedures, techniques, and technologies and alternative procedures, techniques and demonstrated technologies that can overcome these limitations.
(c)An oil spill contingency plan for a vessel shall also include, but is not limited to, all of the following requirements:
(1)The plan shall be submitted to the administrator at least seven days prior to the vessel entering waters of the state.
(2)The plan shall provide evidence of compliance with the International Safety Management Code, established by the International Maritime Organization, as applicable.
(3)If the oil spill contingency plan is for a tank vessel, the plan shall include both of the following:
(A)The plan shall specify oil and petroleum cargo capacity.
(B)The plan shall specify the types of oil and petroleum cargo carried.
(4)If the oil spill contingency plan is for a nontank vessel, the plan shall include both of the following:
(A)The plan shall specify the type and total amount of fuel carried.
(B)The plan shall specify the capacity of the largest fuel tank.
(d)An oil spill contingency plan for a facility shall also include, but is not limited to, all of the following provisions, as appropriate:
(1)Provisions for site security and control.
(2)Provisions for emergency medical treatment and first aid.
(3)Provisions for safety training, as required by state and federal safety laws for all personnel likely to be engaged in oil spill response.
(4)Provisions detailing site layout and locations of environmentally sensitive areas requiring special protection.
(5)Provisions for vessels that are in the operational control of the facility for loading and unloading.
(e)Unless preempted by federal law or regulations, an oil spill contingency plan for a railroad also shall include, but is not limited to, all of the following:
(1)A list of the types of train cars that may make up the consist.
(2)A list of the types of oil and petroleum products that may be transported.
(3)A map of track routes and facilities.
(4)A list, description, and map of any prestaged spill response equipment and personnel for deployment of the equipment.
(f)The oil spill contingency plan shall be available to response personnel and to relevant state and federal agencies for inspection and review.
(g)The oil spill contingency plan shall be reviewed periodically and updated as necessary. All updates shall be submitted to the administrator pursuant to this article.
(h)In addition to the regulations adopted pursuant to Section 8670.28, the administrator shall adopt regulations and guidelines to implement this section. The regulations and guidelines shall provide for the best achievable protection of waters and natural resources of the state. The administrator may establish additional oil spill contingency plan requirements, including, but not limited to, requirements based on the different geographic regions of the state. All regulations and guidelines shall be developed in consultation with the Oil Spill Technical Advisory Committee.
(i)Notwithstanding subdivision (a) and paragraph (6) of subdivision (b), a vessel or facility operating where a spill could impact state waters that are not tidally influenced shall identify a rated OSRO in the contingency plan no later than January 1, 2016.
SEC. 2.Section 8670.30 of the Government Code is amended to read:8670.30.(a)An oil spill response organization may apply to the administrator for a rating of that OSROs response capabilities. The administrator shall establish rating levels for classifying OSROs pursuant to subdivision (b).
(b)Upon receiving a completed application for rating, the administrator shall review the application and rate the OSRO based on the OSROs satisfactory compliance with criteria established by the administrator, which shall include, but is not limited to, all of the following elements:
(1)The geographic region or regions of the state where the OSRO intends to operate.
(2)Timeframes for having response resources on-scene and deployed.
(3)The type of equipment that the OSRO will use and the location of the stored equipment.
(4)The volume of oil that the OSRO is capable of recovering and containing.
(5)The type of oil, including nonfloating oils, such as tar sands, the OSRO is capable of recovering and containing.
(c)The administrator shall not issue a rating until the applicant OSRO completes an unannounced drill. The administrator may call a drill for every distinct geographic area in which the OSRO requests a rating. The drill shall test the resources and response capabilities of the OSRO, including, but not limited to, on water containment and recovery, environmentally sensitive habitat protection, and storage. If an OSRO fails to successfully complete a drill, the administrator shall not issue the requested rating, but the administrator may rate the OSRO at a rating lesser than the rating sought with the application. If an OSRO is denied a requested rating, the OSRO may reapply for rating.
(d)A rating issued pursuant to this section shall be valid for three years unless modified, suspended, or revoked. The administrator shall review the rating of each rated OSRO at least once every three years. The administrator shall not renew a rating unless the OSRO meets criteria established by the administrator, including, at a minimum, that the rated OSRO periodically tests and drills itself, including testing protection of environmentally sensitive sites, during the three-year period.
(e)The administrator shall require a rated OSRO to demonstrate that the rated OSRO can deploy the response resources required to meet the applicable provisions of an oil spill contingency plan in which the OSRO is listed. These demonstrations may be achieved through inspections, announced and unannounced drills, or by any other means.
(f)(1)Except as provided in paragraph (6), each rated OSRO shall satisfactorily complete at least one unannounced drill every three years after receiving its rating.
(2)The administrator may modify, suspend, or revoke an OSROs rating if a rated OSRO fails to satisfactorily complete a drill.
(3)The administrator may require the satisfactory completion of one unannounced drill of each rated OSRO prior to being granted a modified rating, and shall require satisfactory completion of one unannounced drill for each rated OSRO prior to being granted a renewal or prior to reinstatement of a revoked or suspended rating.
(4)A drill for the protection of environmentally sensitive areas shall conform as close as possible to the response that would occur during a spill but sensitive sites shall not be damaged during the drill.
(5)The response resources to be deployed by a rated OSRO within the first six hours of a spill or drill shall be dedicated response resources or be owned and controlled by a rated OSRO that are sufficient to meet the spill response planning requirements of the OSROs client owner or operator. This requirement does not preclude a rated OSRO from bringing in additional response resources. The administrator may, by regulation, permit a lesser requirement for dedicated or OSRO owned and controlled response resources for shoreline protection.
(6)The administrator may determine that actual satisfactory spill response performance during the previous three years may be substituted in lieu of a drill.
(7)The administrator shall issue a written report evaluating the performance of the OSRO after every unannounced drill called by the administrator.
(8)The administrator shall determine whether an unannounced drill called upon an OSRO by a federal agency during the previous three years qualifies as an unannounced drill for the purposes of this subdivision.
(g)Each rated OSRO shall provide reasonable notice to the administrator about each future drill, and the administrator, or his or her designee, may attend the drill.
(h)The costs incurred by an OSRO to comply with this section and the regulations adopted pursuant to this section, including drills called by the administrator, shall be the responsibility of the OSRO. All local, state, and federal agency costs incurred in conjunction with participation in a drill shall be borne by each respective agency.
(i)(1)A rating awarded pursuant to this section is personal and applies only to the OSRO that receives that rating and the rating is not transferable, assignable, or assumable. A rating does not constitute a possessory interest in real or personal property.
(2)If there is a change in ownership or control of the OSRO, the rating of that OSRO is null and void and the OSRO shall file a new application for a rating pursuant to this section.
(3)For purposes of this subdivision, a change in ownership or control includes, but is not limited to, a change in corporate status, or a transfer of ownership that changes the majority control of voting within the entity.
(j)The administrator may charge a reasonable fee to process an application for, or renewal of, a rating.
(k)The administrator shall adopt regulations to implement this section as appropriate. At a minimum, the regulations shall appropriately address all of the following:
(1)Criteria for successful completion of a drill.
(2)The amount and type of response resources that are required to be available to respond to a particular volume of spilled oil during specific timeframes within a particular region.
(3)Regional requirements.
(4)Training.
(5)The process for applying for a rating, and for suspension, revocation, appeal, or other modification of a rating.
(6)Ownership and employment of response resources.
(7)Conditions for canceling a drill due to hazardous or other operational circumstances.
(l)Any letter of approval issued from the administrator before January 1, 2002, that rates an OSRO shall be deemed to meet the requirements of this section for three years from the date of the letters issuance or until January 1, 2003, whichever date occurs later.
SEC. 3.Section 8670.35 of the Government Code is amended to read:8670.35.(a)The administrator, taking into consideration the California oil spill contingency plan, shall promulgate regulations regarding the adequacy of oil spill elements of area plans required pursuant to Section 25503 of the Health and Safety Code. In developing the regulations, the administrator shall consult with the Oil Spill Technical Advisory Committee.
(b)The administrator may offer, to a unified program agency with jurisdiction over or directly adjacent to waters of the state, a grant to complete, update, or revise an oil spill element of the area plan.
(c)Each oil spill element established under this section shall include provisions for training fire and police personnel in oil spill response and cleanup equipment use and operations.
(d)Each oil spill element prepared under this section shall be consistent with the local governments local coastal program as certified under Section 30500 of the Public Resources Code, the California oil spill contingency plan, and the National Contingency Plan. Plan, and the 2016 United States Coast Guard OSRO classification program.
(e)If a grant is awarded, the administrator shall review and approve each oil spill element established pursuant to this section. If, upon review, the administrator determines that the oil spill element is inadequate, the administrator shall return it to the agency that prepared it, specifying the nature and extent of the inadequacies, and, if practicable, suggesting modifications. The unified program agency shall submit a new or modified element within 90 days after the element was returned, responding to the findings and incorporating any suggested modifications.
(f)The administrator shall review the preparedness of unified program agencies to determine whether a program of grants for completing oil spill elements is desirable and should be continued. If the administrator determines that local government preparedness should be improved, the administrator shall request the Legislature to appropriate funds from the Oil Spill Prevention and Administration Fund for the purposes of this section.
|
Date
|
Status
|
|---|---|
| Feb 1, 2018 | Returned to Secretary of Senate pursuant to Joint Rule 56. |
| May 25, 2017 | May 25 hearing: Held in committee and under submission. |
| May 23, 2017 | Set for hearing May 25. |
| May 22, 2017 | May 22 hearing: Placed on APPR. suspense file. |
| May 16, 2017 | Set for hearing May 22. |
| May 11, 2017 | May 15 hearing postponed by committee. |
| May 4, 2017 | Set for hearing May 15. |
| May 3, 2017 | May 8 hearing postponed by committee. |
| May 1, 2017 | Set for hearing May 8. |
| Apr 26, 2017 | Read second time and amended. Re-referred to Com. on APPR. |
| Apr 25, 2017 | From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 5. Noes 2. Page 785.) (April 19). |
| Apr 17, 2017 | Read second time and amended. Re-referred to Com. on EQ. |
| Apr 6, 2017 | From committee: Do pass as amended and re-refer to Com. on EQ. (Ayes 7. Noes 2.) (March 28). |
| Apr 6, 2017 | Set for hearing April 19 in EQ. pending receipt. |
| Mar 23, 2017 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on N.R. & W. |
| Mar 10, 2017 | Set for hearing March 28. |
| Mar 9, 2017 | Referred to Coms. on N.R. & W. and EQ. |
| Feb 21, 2017 | From printer. May be acted upon on or after March 23. |
| Feb 17, 2017 | Introduced. Read first time. To Com. on RLS. for assignment. To print. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| May 22, 2017 | Placed on suspense file | Senate Standing Committee on Appropriations |
Passed |
|
| Apr 19, 2017 | Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] | Senate Standing Committee on Environmental Quality |
Passed |
|
| Mar 28, 2017 | Do pass as amended, but first amend, and re-refer to the Committee on [Environmental Quality] | Senate Standing Committee on Natural Resources and Water |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| Audubon Caifornia | * Support | Apr 19, 2017 |
| California Coast Keeper Alliance | * Support | Apr 19, 2017 |
| California League Of Conservation Voters | ** Support | Apr 17, 2017 |
| Californians for Energy Choice | ** Support | Apr 17, 2017 |
| Clean Water Action | ** Support | Apr 17, 2017 |
| Food and Water Watch | ** Support | Apr 17, 2017 |
| International Bird Rescue | ** Support | Apr 17, 2017 |
| Natural Resources Defense Council | * Support | Apr 19, 2017 |
| pacific coast federation of fisherman's associations | ** Support | Apr 17, 2017 |
| Pacific Coast Federation of Fishermans Associations | ** Support | Apr 17, 2017 |
| San Francisco Baykeeper | * Support | Apr 19, 2017 |
| San Francisco Board of Supervisors | ** Support | Apr 17, 2017 |
| San Francisco County Board of Supervisors | * Support | Apr 19, 2017 |
| Save The Bay | ** Support | Apr 17, 2017 |
| Sierra Club | * Support | Apr 19, 2017 |
| Stand.earth | ** Support | Apr 17, 2017 |
| Surfrider Foundation | ** Support | Apr 17, 2017 |
| The Bay Institute | ** Support | Apr 17, 2017 |
| Western States Petroleum Association | * Against | Apr 19, 2017 |
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2017 - 2018 Regular Session
SB 709 (Wiener) - Oil spill response and contingency planning
Version: April 26, 2017 | Policy Vote: N.R. & W. 7 - 2, E.Q. 5 - 2 |
Urgency: No | Mandate: No |
Hearing Date: May 22, 2017 | Consultant: Narisha Bonakdar |
This bill meets the criteria for referral to the Suspense File.
Bill Summary:
SB 709 requires the Office of Oil Spill Prevention and Response (OSPR) within the California Department of Fish and Wildlife (CDFW) to revise the state’s existing oil spill plan (plan) and response statutes to explicitly incorporate nonfloating and potentially nonfloating oils (NFOs).
Fiscal Impact:
- Unknown one-time costs, likely in the low millions (Oil Spill Prevention and Administration Fund), for OSPR to revise the plan and conduct necessary hearings and public outreach. Additional costs every three years to revise this component during the triennial update to the plan required under current law.
- Unknown one-time and ongoing costs, likely in the millions, to incorporate plan revisions related to NFOs into drills and practice exercises. Costs include procuring and maintaining necessary equipment and materials, and staff resources to develop and implement drills.
- Unknown, likely significant costs (General Fund and various special funds costs), for other state, local, and federal entities that would participate in an oil spill response to participate in drills (potentially reimbursed in part or in full by OSPR).
- Potentially significant costs to the California Energy Commission (CEC) and other entities to coordinate with OSPR to establish an effective system to collect and disseminate information pertaining to the transport and use of NFOs in the state.
- Potentially significant costs to contract with the California Department of Technology (CDT) for the development and hosting (if necessary) of a database to track the transportation and use of NFOs oils in California.
Background:
Existing law. The federal Oil Pollution Act of 1990 (federal act) establishes of a comprehensive prevention, response, liability, and compensation program to address oil spills in the navigable waters of the United States, and outlines various federal entities’ responsibilities related to oil spills.
The state Lempert-Keene-Seastrand Oil Spill Prevention and Response Act (state act) creates OSPR to “provide the best achievable protection of California’s natural resources and the public health and safety by preventing, preparing for, and responding to spills of oil and other deleterious materials to all waters of the state, and to restore and enhance affected resources.” The state act directs OSPR to develop a California oil spill contingency plan that complements the National Oil and Hazardous Substances Pollution Contingency Plan and establishes the Oil Spill Technical Advisory Committee (TAC) with specified membership to provide public input and independent judgment of the actions of the OSPR. It also authorizes both criminal and civil remedies in the event of an oil spill.
Oil spill response organization. Prior to operating in state waters, an owner or operator of certain marine facilities or vessels carrying oil must submit and receive approval for an oil spill contingency plan that complies with the rules, regulations, and policies established by the administrator. Retaining an appropriately rated oil spill response organization (OSRO) can satisfy certain spill response requirements.
Existing law authorizes an OSRO to apply to the administrator for a rating of that OSRO’s response capabilities. Upon receiving a completed application, the administrator must review the application and rate the OSRO based on satisfactory compliance with the criteria established by the administrator.
Nonfloating oil. Natural and synthetic crude oils vary widely in composition. Crude oil sources currently being refined in California are more likely to contain heavier hydrocarbon fractions than traditional sources. For example, tar sands crude oil is extra-heavy, low-grade oil found in sedimentary deposits beneath the boreal forests of northern Alberta, Canada. In the event of a spill, lighter hydrocarbon fractions may spread rapidly, float on the surface of the water and evaporate to the atmosphere quickly. In contrast, heavier hydrocarbon fractions may be denser than water, and can sink or become suspended in the water column beneath the surface.
Of particular relevance, the development of Canadian tar sands as a source of oil has raised concerns regarding spill response. The heavy bitumen from the tar sands is diluted with lighter hydrocarbons to facilitate transport. A major spill of diluted bitumen (“dilbit”) in Marshall, Michigan in 2010 released an estimated 843,000 gallons into a tributary of the Kalamazoo River. About 40 miles of the river was affected. The initial response recovered floating oil, but much of the sticky bitumen had sunk in the river or clung to vegetation. Dredging was ultimately required for sections of the river. Estimated cleanup costs exceed $1 billion and cleanup and remediation efforts continued for years.
Data available from the U.S. Energy Information Administration and the state’s Air Resources Board show that crude oils known to or likely to contain tar sands were and are imported into the state. In 2015, for example, approximately 9,100,000 barrels of the approximately 11,400,000 barrels of crude oil imported from Canada likely contained tar sands. There is rising concern that imports of tar sands-based oil may increase into the state by rail, ship or other method.
It is important to note, however, that much of the crude oil produced in this state (roughly 650,000,000 barrels in 2015) is also considered to be relatively heavy. Following the oil spill at Refugio Beach in May 2015, heavier fractions of the spilled oil were found suspended in the water column beneath the surface, presenting significant recovery issues. “Natural” heavy oils challenge existing recovery methods, as well.
Standard response methods are designed for floating oils, and are likely ineffective oil is submerged or sunk to the bottom. National Research Council reports on nonfloating oils, like bitumen, have found that spill response is highly problematic because (1) there are few effective techniques for detection, containment, and recovery of oil submerged in the water column, and (2) available techniques for responding to oil that has sunk to the bottom have variable effectiveness depending on spill conditions. NRC recommends modifications to the regulations governing dilbit spill response plans, preparedness, and cleanup.
Funding. OSPR’s activities are funded by fees assessed on oil imported at California marine terminals ($0.065 per 42-gallon barrel) and on each barrel of crude oil received at California refineries (about a sixth of a penny per gallon). Fees are deposited into the Oil Spill Prevention Administration Fund (OSPAF), which may only be used to implement oil prevention programs, to carry out studies for oil spill prevention and response and to finance environmental studies to the effects of oil spills, but cannot be used for oil spill response.
Proposed Law:
This bill requires several actions related to NFOs, as described below.
General provisions:
- Makes findings and declarations about the anticipated increase in transport of novel crude oils and potential environmental damage that could occur without proper planning and
- Defines “nonfloating oil” and “potentially nonfloating oil”.
- Specifies that, upon appropriation, the OSPAF may be used to implement the bill.
Requires the administrator to:
- Consider whether an OSRO is capable of recovering and containing NFOs when rating applications.
- Require any OSRO seeking NFO response capability rating must explain, in detail, the tools, technologies, and techniques it will deploy, including how these tools, technologies, and techniques will overcome identified challenges in remediating NFO spills.
- Specifies that, when making financial responsibility determinations, the administrator must differentiate the risk based upon whether the oil is floating oil or nonfloating or potentially nonfloating oil.
Requires the OSPR Administrator to do all of the following by January 1, 2019:
- Identify NFOs transported into or through the state that place waters of the state at risk from an oil spill and create a publicly available list of these oils.
- To establish criteria to identify specific characteristics of NFOs through a public process, and periodically update this list.
- In consultation with the CEC and other relevant entities, to establish an effective system to collect and disseminate information pertaining to the transport and use of NFOs in the state.
Requires the OSPR Administrator to do all of the following by January 1, 2020:
- Submit a revised California oil spill contingency plan that includes consideration of NFOs to the Governor and the Legislature. This component must be updated every three years, as required for the existing plan.
- Contact for the completion and make publicly available, an independent scientific study of the potential hazards posed and response to NFOs spills, and specifies study requirements.
Related Legislation:
SB 861 (Committee on Budget and Fiscal Review, Chapter 35, Statutes of 2014) made significant changes, including authorizing the Oil Spill Prevention and Administration Fund to be used for inland oil response and expanding the fee base to include all crude oil entering the state, to the Lempert-Keene-Seastrand Oil Spill Prevention and Response Act in order to extend OSPR’s ability to prepare for and respond to inland oil spills.
Staff Comments:
Current OSPR authority. OSPR currently has the authority to address NFOs in the plan and in owner/operator oil spill contingency plan requirements, as well as to require OSROs to be rated for NFO spills.
Fiscal impact. The CDFW anticipates the need for 3 positions (one analyst and two environmental scientists), in addition to approximately $569,000 annually, and $500,000 to $1 million in Fiscal Year 2017-18 to contract for the completion of the required study. Funds may also be necessary to develop a database to track NFOs, which is likely subject to CDT oversight and contracting fees.
The CDFW indicates that the OSPAF cannot absorb this mandate so, if the Legislature does not increase the $0.065 cents per-barrel fee to generate additional revenue, funds will be redirected from OSPR’s existing activities such as implementation of the inland oil spill program authorized in July 2014.
Department of Technology. Under current law, certain information technology (IT) projects are subject to CDT oversight. These projects, known as “reportable projects”, include those that reach specified costs thresholds (generally between $200,000 and $1 million) and those mandated by the Legislature. Project costs vary widely depending upon the sponsoring entity’s technology need. However, they are based on the following rates: IT Project assessment and approval costs $4,500 per month; (2) IT procurement is $126 hour; (3) IT project oversight costs $9,380 per month; and (4) CDT’s CalCloud service database costs from $655 per month (without CDT management) and up to $26,000 for managed services hosting platforms.
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SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator Wieckowski, Chair
2017 - 2018 Regular
Bill No: SB 709
Author: | Wiener | ||
Version: | 4/17/2017 | Hearing Date: | 4/19/2017 |
Urgency: | No | Fiscal: | Yes |
Consultant: | Anna Reade | ||
SUBJECT: Oil spill response and contingency planning
ANALYSIS:
Existing federal law:
- The federal Oil Pollution Act of 1990 (Act) addresses oil spills in the navigable waters of the United States through the creation of a comprehensive prevention, response, liability and compensation program (33 U.S.C. §2701 et seq.).
- Assigns numerous duties related to oil spills to the U.S. Coast Guard (USCG), the U.S. Environmental Protection Agency and other federal entities, including the development of regional plans to plan and prepare for oil spills on a regional scale.
- Establishes Regional Response Teams representing different geographic regions to support emergency response.
- Team membership includes representatives of both federal and state entities with relevant expertise and the team provides regional planning and coordination of preparedness and response actions, including to oil spills.
- Assigns numerous duties related to oil spills to the U.S. Coast Guard (USCG), the U.S. Environmental Protection Agency and other federal entities, including the development of regional plans to plan and prepare for oil spills on a regional scale.
Existing state law:
- Establishes the Lempert-Keene-Seastrand Oil Spill Prevention and Response Act (Government Code (GC) §8670.1 et seq.).
- Creates the Office of Spill Prevention and Response (OSPR) in the Department of Fish and Wildlife and establishes an administrator, appointed by the Governor, to lead OSPR.
- Establishes OSPR’s mission to provide the best achievable protection of California’s natural resources and the public health and safety by preventing, preparing for, and responding to spills of oil and other deleterious materials to all waters of the state, and to restore and enhance affected resources.
- Directs OSPR to develop a California oil spill contingency plan that complements the National Oil and Hazardous Substances Pollution Contingency Plan and to represent the state in any coordinated response efforts with the federal government.
- Establishes the Oil Spill Technical Advisory Committee (TAC) with specified membership to provide public input and independent judgment of the actions of the OSPR.
- Provides for the possibility of both criminal and civil remedies in the event of an oil spill. The amount of an administrative civil penalty for an oil spill is based on the volume of oil spilled reduced by the amount of oil cleaned up.
- Creates the Office of Spill Prevention and Response (OSPR) in the Department of Fish and Wildlife and establishes an administrator, appointed by the Governor, to lead OSPR.
This bill would revise the state’s existing oil spill planning and response statutes to explicitly incorporate nonfloating and potentially nonfloating oils. Specifically this bill would:
- Require the next update of the California oil spill plan due January 1, 2020, to address nonfloating and potentially nonfloating oils.
- Revised plans shall be submitted every three years thereafter.
- Add legislative findings to the Act stating that the state needs to take immediate action to address “novel” crude oils such as bitumen, address the unknown environmental fate and impact of these novel oils, as specified, and develop improved clean-up capacity for them.
- Define “nonfloating oil” as a hydrocarbon-based oil or any fraction or residue therefrom that does not float on the surface of water either immediately following the spill or at any subsequent time.
- All oil with a specific gravity greater than 1.0 is nonfloating oil.
- Define “potentially nonfloating oil” as oil with an initial specific gravity less than or equal to 1.0 that may become nonfloating over the duration of spill.
- Floating oil may become nonfloating oil by various processes over the duration of a spill.
- Require the administrator, on or before January 1, 2019, to:
- Establish criteria, through a public process, to identify specific characteristics of nonfloating and potentially nonfloating oil.
- Identify oils transported into or through the state that are composed in whole or in part of nonfloating or potentially nonfloating oil and create a publicly available list of these oils, to be updated periodically.
- Establish, in consultation with the State Energy Resources Development and Conservation Commission and other relevant entities, an effective system to collect and disseminate to the public information pertaining to the transport and use of nonfloating or potentially nonfloating oil in the state.
- Require that a facility or vessel oil spill contingency plan:
- Identify at least one oil spill response organization (OSRO) capable of providing oil spill response activities for nonfloating or potentially nonfloating oils if these are present at the facility or on the vessel.
- Include spill location-specific information on the various equipment and techniques available to respond to a spill of nonfloating or potentially nonfloating oils, as specified.
- Add an OSRO rating for types of oil, including nonfloating and potentially nonfloating, that the OSRO is capable of recovering and containing.
- Require the administrator, in consultation with the Department of Fish and Wildlife and other relevant entities, and based on the best available science and technology, to develop recommendations for new criteria for oil spill contingency plans applicable to nonfloating or potentially nonfloating oils and for an OSRO that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters.
- Authorize the administrator to spend certain funds, upon legislative appropriation, for implementation.
- Require the administrator to invite the participation of and seek to coordinate with relevant federal entities in the development of the criteria.
- Recommendations shall be reported to the Legislature by January 1, 2019.
- Require the administrator to require an OSRO seeking a rating for nonfloating or potentially nonfloating oils to provide explicit information, as specified, on the techniques it plans to employ.
- Require that any lower standard for a certificate of financial responsibility for smaller vessels take into consideration the risks of the oil it is carrying including whether the oil is nonfloating or potentially nonfloating.
Background
- Spill Prevention and Response Legislation. On March 24, 1989, the Exxon Valdez spilled over 11 million gallons of Alaskan crude oil into the water of Prince William Sound. In the aftermath of the oil spill it became apparent that the U.S. lacked adequate resources to respond to oil spills and the scope of damages compensable under federal law to those impacted by a spill was fairly narrow. In response to this environmental disaster, the Oil Pollution Act of 1990 was enacted to address the wide range of issues associated with preventing, responding to, and paying for oil pollution incidents in the navigable waters of the U.S.
The Oil Pollution Act greatly increased federal oversight of maritime oil transportation, while providing greater environmental safeguards by: setting new requirements for vessel construction and crew licensing and manning, mandating contingency planning, enhancing federal response capability, broadening enforcement authority, increasing penalties, creating new research and development programs, increasing potential liabilities, and significantly broadening financial responsibility requirements.
One year after the Exxon Valdez oil spill, the American Trader spilled over 400,000 gallons of crude oil off of Huntington Beach in Southern California. These events inspired the California Legislature to enact the Lempert-Keene-Seastrand Oil Spill Prevention and Response Act in 1990.
The Act addresses aspects of marine oil spill prevention and response specific to California. It created the Office of Spill Prevention and Response (OSPR) in the Department of Fish and Wildlife and established an Administrator, appointed by the Governor, to lead OSPR.
OSPR is required to implement activities related to oil spill response, including emergency drills and preparedness, oil spill containment and cleanup, and to represent the state in any coordinated response efforts with the federal government. OSPR is also required to develop a California oil spill contingency plan that complements the National Contingency Plan; and to regulate and approve of oil spill contingency plans required of and submitted by owners and operators of oil-related facilities and vessels.
- Changing sources and types of oil. Recently, there has been a significant shift in oil sources for California as a result of oil booms in North Dakota and Canada. This shift means more heavy crude oils, with different physical and chemical properties from traditional crude oils, are arriving in California through vessels, barges and trains.
- Addition of overland oil spill response. Before 2014, California’s oil spill contingency plan focused on oil spill prevention and response in marine waters, the primary area of oil transport and spill risk; not on the inland areas affected if oil were to be transported by rail or pipeline.
In recognition of recent increased transport of crude oil through rail and pipeline, Governor Edmund G. Brown Jr. expanded the OSPR program to cover all statewide surface waters at risk of oil spills from any source, including pipelines and the increasing shipments of oil transported by railroads. This expansion provided critical administrative funding for industry preparedness, spill response, and continued coordination with local, state and federal government along with industry and non-governmental organizations. SB 861(Committee on Budget and Fiscal Review, Chapter 35, Statutes of 2014) authorized the expansion and provided the additional statutory and regulatory authority, for the prevention, preparedness and response activities in the new inland areas of responsibility.
- Nonfloating oil. Natural and synthetic crude oils vary widely in composition, although the primary components are hydrocarbons. Due to this variation in composition, the different hydrocarbon fractions in a crude oil from any given source may have widely varying chemical and physical properties compared to other crude oils.
Recent crude oil sources being sent to California for refinement are more likely to contain heavier hydrocarbon fractions than traditional sources. For example, tar sands crude oil is extra-heavy, low-grade oil found in sedimentary deposits beneath the boreal forests of northern Alberta, Canada. Unlike conventional oils, tar sands occur as “bituminous sand,” which is a mixture of sand, water, clay and bitumen that is strip-mined or steamed from the ground. At room temperature, the crude oil portion of tar sands, bitumen, has the consistency of peanut butter. Bitumen is often transported as diluted bitumen, or “dilbit,” a mixture of heavy raw bitumen and light diluents such as natural gas liquid condensates.
In the event of a spill, lighter hydrocarbon fractions may spread rapidly, float on the surface of the water and evaporate to the atmosphere quickly. In contrast, heavier hydrocarbon fractions may be denser than water, can sink or become suspended in the water column beneath the surface due to various processes; these processes, such as wind, current, and wave action, transform the chemical and physical properties of oil and are collectively known as “weathering.” Importantly, the properties of spilled oil can weather, or change, during spill response.
- Unprepared and ill-equipped. The development of Canadian tar sands as a source of oil has raised concerns regarding spill response. Existing contingency planning for oil spills is not focused on addressing spills of nonfloating, or potentially nonfloating, oil.
For example, in 2010, a major spill of dilbit in Marshall, Michigan released an estimated 843,000 gallons into a tributary of the Kalamazoo River. After the tar sands oil was released into the environment, the diluents evaporated, causing local residents to experience negative health impacts including headaches, nausea, respiratory discomfort, and eye irritation. Following evaporation of the diluent, large quantities of the bitumen portion of the oil sank below the river’s surface, evading containment tactics designed for conventional oil, which generally floats. Over the next 6 years, more than one billion was spent on cleanup, making this accident the most expensive pipeline spill in U.S. history. As of today, further spill remediation has been stopped, but nearly 40 miles of the Kalamazoo River remain contaminated.
It is important to note, as well, that much of the crude oil produced in this state (roughly 650,000,000 barrels in 2015) is also considered to be relatively heavy. Following the oil spill at Refugio Beach in May 2015, heavier fractions of the spilled oil were found suspended in the water column beneath the surface, presenting significant recovery issues. “Natural” heavy oils challenge existing recovery methods, as well.
- Challenges of nonfloating oil spills. Standard response methods – designed for floating oils – are mostly inadequate and difficult to apply when oil is submerged or sunk to the bottom.
National Research Council (NRC) reports on nonfloating oils, like bitumen, have found that spill response is highly problematic because 1) there are few effective techniques for detection, containment, and recovery of oil submerged in the water column, and 2) available techniques for responding to oil that has sunk to the bottom have variable effectiveness depending on spill conditions.
For spilled dilbit, the majority of properties (greater density and adhesion) and properties (sinking and coating) that differ from commonly transported crudes are a result of weathering products that form within days after a spill. Given the greater levels of concern for weathered dilbit, the NRC recommends modifications to the regulations governing dilbit spill response plans, preparedness, and cleanup.
- Current efforts to address nonfloating oil spills. In 2016, the USCG released its latest guidelines for OSROs that added a new classification for nonfloating oils. USCG acknowledged that the oil spill response capabilities required to detect and recover nonfloating oil differs significantly depending on the operating area, environmental conditions and the type of oil spilled. Additionally, the USCG noted that oils generally considered to be floating can evolve into nonfloating oils due to weathering processes over time after a spill.
Currently, OSPR authorizes OSROs to seek a voluntary Group 5 oils (oils with a greater density than water) capability endorsement. OSROs with a Group 5 endorsement are expected to make available for inspection all equipment specific to this endorsement. No OSROs have sought a Group 5 endorsement to date; although it appears that several OSROs have received the Non-floating Oil classification by the USCG, two of which serve zones located in California (according to USCG’s Response Resource Inventory System website).
Comments
- Purpose of Bill. Author states: “Senate Bill 709 would require an owner or operator of a vessel carrying nonfloating oil, such as tar sand bitumen, to have an approved oil spill contingency plan in place that describes procedures, techniques, and demonstrated technologies that are effective for responding to a spill of nonfloating oil.
“Current spill planning focuses on oils that float on the surface of impacted waters. Spills of such “conventional” oil have profound ecological, economic, and social impacts and much attention has been given to contingency planning for spills of conventional oil. However, nonfloating oil can also directly affect the marine environment, but given that its chemical makeup is distinct from conventional oil, existing contingency planning does not adequately address spills of nonfloating oil, such as tar sand bitumen.
“Nonfloating oils pose a unique risk compared to lighter hydrocarbons, as heavier fractions may be more dense than water, are prone to sinking, or may become suspended in the water column beneath the surface. Furthermore, the United States Coast Guard has found that standard response methods designed for floating oils may be inadequate and difficult to apply when most of the oil is submerged or sunk to the bottom. In 2010, for example, a major spill of tar sands bitumen in Marshall, Michigan released approximately 843,000 gallons of the material into a tributary of the Kalamazoo River. While the initial response was able to recover much of the floating oil through conventional methods, much of the highly viscous bitumen had sunk to the bottom of the river or enveloped vegetation. Dredging of the river was ultimately required and remediation efforts from the Marshall spill went on for years at the tune of over $1 billion.
“California’s bays, rivers, and coastline are some of the most stunning natural resources in the world, and we need to be vigilant in safeguarding them from destructive oil spills. A tar sands oil spill in the San Francisco Bay, or anywhere along California’s coast, for that matter, would be devastating, but right now we have no plan if that disaster occurs. This bill sets a clear and necessary requirement that if you want to bring tar sands oil anywhere near our waterways, you must have a real plan to clean up after yourselves.”
- Increasing transport of heavy crude oil into California. Canada currently does not have the refinery capacity to deal with the amounts and types of heavy crude oil being produced from the Alberta Tar Sands. A large portion of the world’s heavy crude oil refining capacity is located on the U.S. Gulf and California coasts. Therefore, in addition to overland pipeline proposals, oil producers in Alberta have proposed to expand pipeline capacity to Canada’s coasts, where tar sands crude oil could be loaded onto tankers and shipped south.
One of these proposals, the Trans Mountain pipeline expansion, could triple the pipeline’s capacity to transport crude oil from Alberta to the British Colombia coast. The oil terminal port of Burnaby, near Vancouver, can only handle medium-sized oil tankers used for shipping short to medium distances, making California one of the most cost-effective destinations for Alberta tar sands refinement. This expansion will significantly increase the number of vessels carrying crude oil down the Pacific coast per year, which will increase the risk of heavy, nonfloating oil spills in California waters.
- Nonfloating vs. Group 5 classifications. OSPR classifies oils into five categories in its regulations; non-persistent oils, Group 1, and persistent oils, Group 2-5. Persistent oils are classified by their specific gravity (the ratio of the density of oil to the density of freshwater). Group 5 oils have specific gravities greater than 1, which means they do not float in freshwater.
Although OSPR’s Group 5 classification includes nonfloating oil, it does not fully incorporate this bill’s definition of “nonfloating oil.” This bill defines nonfloating oil as any oil that does not float on the surface of water either immediately following the spill (Group 5) or at any subsequent time (potentially nonfloating oil from weathering).
This new classification is consistent with recommendations from an NRC report from 1999 on spills of nonfloating oil. The report found several problems with the statutory definition of Group 5 oils. Firstly, the specific gravity refers to a density ratio at a fixed temperature in freshwater, not conditions that would typically be met during oil spills in California waters. Secondly, oils with specific gravities of less than one, statutorily floating oils, can mix into the water column and sink after weathering and interaction with sediments. Therefore, the report decided to use the term “nonfloating” to include all the oils of concern based on their behavior for nonfloating oil spills.
Defining nonfloating and potentially nonfloating oil in this bill is incorporating weathering of oil during spill response into planning requirements, as recommended by the NRC and already incorporated by the USCG.
- Current OSPR authority. It appears that OSPR has the authority to address nonfloating and potentially nonfloating oils in the California State Oil Spill Contingency Plan and in owner/operator oil spill contingency plan requirements and to require OSROs to be rated for Nonfloating oil spills. If this is the case, it is unclear whether OSPR has exercised this authority to the extent necessary to properly prepare for the increased risk to California waters described above.
OSPR’s current California State Oil Spill Contingency Plan does not specifically address or mention nonfloating or Group 5 oils, however, it does contain a section on how physical properties of oil will vary depending on local environmental conditions and may vary considerably from values reported for “standard” conditions. It also contains a section on how weathering of oil during a spill can affect its behavior during cleanup operations.
As mentioned above, OSPR authorizes OSROs to seek a voluntary Group 5 oils capability endorsement, however, so far none have. According to OSPR, they have not themselves conducted OSRO equipment deployment drills for sinking oil; however, OSROs may conduct their own drills. OSPR has been informed that OSROs do some non-floating oil practice drills on their own, but OSPR does not know how often.
- Knowledge gaps. Recent heavy oil spills have shown that current oil spill planning and response is not adequate for nonfloating or potentially nonfloating oil. Improvements can be made through more comprehensive planning, nonfloating oil specific-training drills, and the sharing of data and lessons learned from previous nonfloating oil spills. However, there remain many unknowns as to how best to improve planning and response to nonfloating oil spills, including lack of knowledge about transport, fate, and impact on the environment; difficulty in locating and tracking oil suspended in the water column or deposited on the seabed; limited technology options for containment and recovery; and insufficient investment in research, development, testing and evaluation of tracking, containment, and recovery systems.
This bill requires OSPR to develop recommendations for new criteria for oil contingency plans applicable to nonfloating or potentially nonfloating oils and for an OSRO that is responsible for remediating a nonfloating or potentially nonfloating oil spill necessary to protect state waters. However, there remain many outstanding questions as to how to adequately prepare and respond to a nonfloating oil spill. Commissioning a larger study to address these unknowns would be greatly beneficial in developing new criteria for oil spill contingency plans for nonfloating or potentially nonfloating oils.
The author wishes to amend GC §8670.30(m) of the bill to do the following:
Require the Administrator to commission an independent scientific study on the protection of state waters from spills of nonfloating or potentially nonfloating oils.
In addition to recommending criteria for oil spill contingency plans and OSROs responsible for remediating such spills, the scientific study shall evaluate the hazards and risks that nonfloating or potentially nonfloating oils pose to natural resources and public, occupational, and environmental health and safety.
Incorporate specific objectives for the study. Examples include, examining the behavior of nonfloating and potentially nonfloating oil under different environmental spill conditions representative of California water; identifying data that needs to be acquired in the field to improve predictive modeling for spills of nonfloating and potentially nonfloating oils; and examining detection capabilities and challenges when oil is submerged or sunken.
Related/Prior Legislation
SB 861 (Committee on Budget and Fiscal Review, Chapter 35, Statutes of 2014) made significant changes, including authorizing the Oil Spill Prevention and Administration Fund to be used for inland oil response and expanding the fee base to include all crude oil entering the state, to the Lempert-Keene-Seastrand Oil Spill Prevention and Response Act in order to extend OSPR’s ability to prepare for and respond to inland oil spills.
DOUBLE REFERRAL:
This measure was heard in Senate Natural Resources and Water Committee on March 28, 2017, and passed out of committee with a vote of 7-2.
SOURCE:
San Francisco Bay Keeper
SUPPORT:
California League of Conservation Voters
Californians for Energy Choice
Clean Water Action
Food and Water Watch
International Bird Rescue
Natural Resources Defense Council
Pacific Coast Federation of Fisherman’s Associations
San Francisco Bay Keeper
San Francisco Board of Supervisors
Save the Bay
Sierra Club
Stand.earth
Surfrider Foundation
The Bay Institute
OPPOSITION:
Western States Petroleum Association
-- END --
SENATE COMMITTEE ON NATURAL RESOURCES AND WATER
Senator Robert Hertzberg, Chair
2017 - 2018 Regular
Bill No: SB 709 Hearing Date: March 28, 2017
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Urgency: | Fiscal: | ||
Consultant: | |||
Subject: Oil spill response and contingency planning
BACKGROUND AND EXISTING LAW
In response to the significant 1989 oil spill from the Exxon Valdez that fouled the waters of Prince William Sound, a series of federal laws were established or amended including the Oil Pollution Act of 1990, the Clean Water Act and others. These laws established a national framework for addressing oil (and other hazardous waste) spills within the United States and its waters.
At the state level, the Lempert-Keene-Seastrand Oil Spill Prevention and Response Act (act) (c. 1248, Statutes of 1990) established the Office of Oil Spill Prevention and Response (OSPR) in the California Department of Fish and Wildlife in order to help meet the state’s responsibilities for oil spill prevention and response established at the federal level. The OSPR administrator (administrator) is required to undertake certain duties related to oil spill prevention, planning and response, including emergency drills, oil spill preparedness, and oil spill containment and cleanup. For example, the administrator is required every three years to submit to the Governor and the Legislature a revised state oil spill contingency plan (state plan), as specified. The most recent state plan was due January 1, 2017 (and is available online).
Existing law requires the administrator to adopt and implement regulations governing the adequacy of oil spill contingency plans to be prepared and implemented and requires the regulations to provide for the best achievable protection of coastal and marine waters.
Existing law requires an owner or operator of a facility, small marine fueling facility, or mobile transfer unit, or an owner or operator of a tank vessel, nontank vessel, or vessel carrying oil as a secondary cargo, while operating in the waters of the state or where a spill could impact waters of the state, to have an oil spill contingency plan that complies with the rules, regulations, and policies established by the administrator, that meets specified minimum requirements, and that has been submitted to, and approved by, the administrator. Identifying and retaining an oil spill response organization (OSRO), as specified, by the owner or operator can satisfy certain spill response requirements.
Existing law authorizes an OSRO to apply to the administrator for a rating of that OSRO’s response capabilities. Upon receiving a completed application for rating, the administrator is required to review the application and rate the OSRO based on the OSRO’s satisfactory compliance with the criteria established by the administrator, including specified elements.
Existing law prohibits a person from operating a marine facility as defined, unless the owner or operator of the marine facility has obtained a certificate of financial responsibility. To receive a certificate of financial responsibility from the administrator for oil spill response, the act requires the owner or operator of a marine facility to make a specified showing of financial resources to the satisfaction of the administrator. The act authorizes the administrator to issue a certificate of financial responsibility on a lesser showing of financial resources for a period of not longer than 3 years if the administrator makes specified findings (i.e. smaller vessel carrying less oil).
The most common and preferred approach in oil spill response, and the one considered in first response efforts, is to use mechanical tools such as containment boom and skimming equipment for recovering and removing spilled oil. According to the National Research Council, recovery rates for oil spills tend to be low -- less than 20 percent of oil spilled onto ocean waters. Oil spills can spread rapidly before mechanical removal equipment and other means are deployed and the circumstances of the spill, such as rough seas, the properties of the oil spilled, and other factors -- can hinder recovery.
Natural and synthetic crude oils vary widely in composition, although the primary components are hydrocarbons. Due to this variation in composition, the different hydrocarbon fractions in a crude oil from any given source may have widely varying chemical and physical properties compared to a different crude. Lighter fractions may spread rapidly, float on the surface of the water and evaporate to the atmosphere quickly. In contrast, heavier fractions may be more dense than water, can sink or become suspended in the water column beneath the surface due to various processes. These processes are collectively known as “weathering” and the important point is that the properties of the spilled oil can change during spill response. Refined oils may also be a mix of light and heavy hydrocarbon fractions.
Of particular relevance, the development of Canadian tar sands as a source of oil has raised concerns regarding spill response. The heavy bitumen from the tar sands is diluted with lighter hydrocarbons to facilitate transport. A major spill of diluted bitumen (“dilbit”) in Marshall, Michigan in 2010 released an estimated 843,000 gallons into a tributary of the Kalamazoo River. About 40 miles of the river was affected. The initial response recovered floating oil, but much of the sticky bitumen had sunk in the river or clung to vegetation. Dredging was ultimately required for sections of the river. Estimated cleanup costs exceed $1 billion and cleanup and remediation efforts continued for years.
Data available from the U.S. Energy Information Administration and the state’s Air Resources Board show that crude oils known to or likely to contain tar sands were and are imported into the state. In 2015, for example, approximately 9,100,000 barrels of the approximately 11,400,000 barrels of crude oil imported from Canada did or were likely to have contained tar sands. There is rising concern that imports of tar sands-based oil may increase into the state by rail, ship or other method.
It is important to note, however, that much of the crude oil produced in this state (roughly 650,000,000 barrels in 2015) is also considered to be relatively heavy. Following the oil spill at Refugio Beach in May 2015, heavier fractions of the spilled oil were found suspended in the water column beneath the surface, presenting significant recovery issues. “Natural” heavy oils challenge existing recovery methods, as well.
In 2016, the US Coast Guard (USCG) released its latest guidelines for OSROs that added a new classification for Group V nonfloating oils, as defined. According to the USCG, the oil spill response capabilities required to detect and recover nonfloating oil differs significantly depending on the operating area, environmental conditions and the type of oil spilled. The USCG noted, however, that oils generally considered to be floating can evolve into nonfloating oils due to weathering processes over time after a spill. Standard response methods – designed for floating oils – may be inadequate and difficult to apply when most of the oil is submerged or sunk to the bottom. A 1999 National Research Council report found that Group V oil when spilled in open waters was largely unrecoverable. OSPR’s regulations allow OSRO’s to voluntarily comply with the Group V classification (although none currently formally do).
OSPR updated its regulations to authorize OSROs to seek a voluntary Group V oils capability endorsement effective at the beginning of 2015. OSROs with a Group V endorsement are expected to make available for inspection all equipment specific to this endorsement. No OSROs have sought this endorsement to date.
PROPOSED LAW
This bill would revise the state’s existing oil spill planning and response statutes to explicitly incorporate nonfloating and potentially nonfloating oils. Specifically this bill would:
- Require that the next update of the California oil spill plan due January 1, 2020 address nonfloating and potentially nonfloating oils.
- This provision sunsets in 2024.
- Add legislative findings to the act stating that the state needs to take immediate action to address “novel” oils such as bitumen, address the unknown toxicity of these novel oils, as specified, and develop improved clean-up capacity for them.
- Substantially revise the act’s definition of “oil” to differentiate between floating, nonfloating and potentially nonfloating oils, and recognize certain specific types.
- Require that a facility or vessel oil spill contingency plan:
- Identify at least one OSRO capable of providing oil spill response activities for nonfloating or potentially nonfloating oils if these are present at the facility or on the vessel.
- Include information on the various equipment and techniques available to respond to a spill of nonfloating or potentially nonfloating oils, as specified.
- Add an OSRO rating for types of oil, including nonfloating and potentially nonfloating, that the OSRO is capable of recovering and containing.
- Require the administrator by December 31, 2018 to establish an effective data collection system for reporting on nonfloating and potentially nonfloating oils with public disclosure.
- Require the administrator, in consultation with specified state and federal agencies, and using the best available science to develop recommendations to the Legislature by January 1, 2019 for new criteria for oil spill contingency planning for nonfloating and potentially nonfloating oil and for an OSRO charged with responding to a spill of the same.
- The administrator is authorized to spend certain funds, upon legislative appropriation, for implementation.
- The administrator shall also require an OSRO seeking a rating for nonfloating or potentially nonfloating oils to provide explicit information, as specified, on the techniques it plans to employ.
- Require the administrator to promulgate regulations to allow compliance with business area plans for hazardous responders that are consistent with the USCG’s OSRO classification program to the extent it is consistent with requirements developed for nonfloating or potentially nonfloating oils in the state oil spill contingency plan.
- Require that any lower standard for a certificate of financial responsibility for smaller vessels take into consideration the risks of the oil it is carrying including whether the oil is nonfloating or potentially nonfloating.
ARGUMENTS IN SUPPORT
According to the author, SB 700 “would require an owner or operator of a vessel carrying nonfloating oil, such as tar sand bitumen, to have an approved oil spill contingency plan in place that describes procedures, techniques, and demonstrated technologies that are effective for responding to a spill of nonfloating oil.”
“Current spill planning focuses on oils that float on the surface of impacted waters. Spills of such “conventional” oil have profound ecological, economic, and social impacts and much attention has been given to contingency planning for spills of conventional oil. However, nonfloating oil can also directly affect the marine environment, but given that its chemical makeup is distinct from conventional oil, existing contingency planning does not adequately address spills of nonfloating oil, such as tar sand bitumen.”
“California’s bays, rivers, and coastline are some of the most stunning natural resources in the world, and we need to be vigilant in safeguarding them from destructive oil spills. A tar sands oil spill in the San Francisco Bay, or anywhere along California’s coast, for that matter, would be devastating, but right now we have no plan if that disaster occurs. This bill sets a clear and necessary requirement that if you want to bring tar sand oil anywhere near our waterways, you must have a real plan to clean up after yourselves.”
ARGUMENTS IN OPPOSITION
None received.
COMMENTS
This bill is double-referred to the Senate Environmental Quality Committee. Issues under that Committee’s jurisdiction, such as water quality, are included here for completeness only and will be subject to discussion before that Committee.
This bill is a work-in-progress. This bill – as introduced and with the recent amendments – demonstrates the author’s desire to incorporate into statute specific requirements for OSPR in order to improve the protection of the state’s waters and associated damage to the environment from spills of nonfloating oils. However, this goal is not fully realized by the current bill language, and amendments will be necessary to do so (see below). The Committee may wish to direct Committee staff to continue working with the author’s office should this bill pass the Committee today to help the author achieve his goal. Additionally, should the bill be amended substantially after it has left this Committee, the Committee may later wish to bring the bill back.
Improving the response to spills of nonfloating oils state-wide. Given the risks posed by spills of nonfloating and potentially nonfloating oils, the Committee may wish to consider the following:
- Given the state’s production of heavy crude oils and potentially increasing imports of synthetic crude heavy oils, requiring the state plan to specifically address nonfloating and potentially nonfloating oils indefinitely.
- Recognizing the concerns and immediate action required by OSPR to address the risks of spills of nonfloating and potentially nonfloating oils of whatever source.
- Developing an appropriate regulatory definition of “oil.”
- Phasing-in changes in contingency plan requirements in order to provide the designated time for the administrator to complete necessary preliminary tasks.
- Invite relevant federal agencies to participate in OSPR planning efforts.
- Provide additional direction to the administrator to ensure robust and effective changes in spill contingency planning and response efforts for nonfloating and potentially nonfloating oils including public and stakeholder participation.
[Amendment 1]
Available oil data. Existing law requires oil producers and fuel product refiners, transporters, storers, wholesalers and marketers to report information on receipts, shipments, inventories and incidents to the California Energy Commission (CEC). This law also requires the CEC to take steps to assure the confidentiality of any of this information provided in confidence. This is the Petroleum Industry Information Reporting Act (PIIRA) which was created in 1980. The Air Resources Board data provided above was based, at least in part, on PIIRA, and the Air Resources Board has specific dispensation under PIIRA to receive confidential data from the CEC. If aggregated data is insufficient for OSPR’s purposes under this bill, a specific exclusion to PIIRA would also be required for OSPR.
Improved preparedness. Requiring documentation of strengths and weaknesses of various methods to respond and/or recover nonfloating and potentially nonfloating oils is a good first step towards improving preparedness to spills of these oils. Thoughtful consideration of how to ensure the most useful information is provided – and not a standardized two page description used state-wide – may be warranted as the bill moves forward. Additionally, it is well documented that knowledge of the environmental fate of bitumen and other heavy oils is poorly documented. Here again, consideration of the best method to obtain information necessary to improve preparedness and response may be warranted.
SUGGESTED AMENDMENTS
AMENDMENT 1
Revise the state oil spill contingency plan requirement to clarify specific and ongoing incorporation of nonfloating and potentially nonfloating oils for planning purposes.
Revise and recast the findings to focus on OSPR’s jurisdiction and heavy oils, and retain the general definition of “oil” while directing OSPR to determine which oils, as applicable, should be considered nonfloating or potentially nonfloating.
Phase-in the requirements for individual vessel and facility plans to identify rated OSROs for nonfloating and potentially nonfloating oils and clarify required materials to be included in the plans.
Revise the role of the federal agencies, clarify participation and technical information requirements submitted as part of OSRO rating, and timing in Government Code section 8670.30.
Additional technical and clarifying changes.
SUPPORT
The Bay Institute
California League of Conservation Voters
Clean Water Action
Food and Water Watch
International Bird Rescue
Natural Resources Defense Council
Pacific Coast Federation of Fishermen’s Associations
San Francisco Baykeeper
San Francisco Board of Supervisors
Save the Bay
Sierra Club California
Stand.earth
Surfrider Foundation
OPPOSITION
None Received
-- END --
Discussed in Hearing
48MIN
Senate Standing Committee on Appropriations
58SEC
Senate Standing Committee on Appropriations
17MIN
Senate Standing Committee on Environmental Quality
Bill Author
