AB 1661: Oil and gas: low-production wells: Baldwin Hills Conservancy: Equitable Community Repair and Reinvestment Account: health impacts.

Existing law requires the Geologic Energy Management Division in the Department of Conservation, on or before March 1, 2025, to identify all low-production wells, as defined, that are located in the County of Los Angeles in an oil field that is adjacent to a state recreation area or state park and is located, in whole or in part, within the boundary of the Baldwin Hills Conservancy, as provided. Existing law prohibits, commencing March 1, 2026, the owners of those wells from allowing those wells to be low-production wells for more than 12 months. Upon a violation of that prohibition, existing law requires the State Oil and Gas Supervisor to charge an administrative penalty of $10,000 per month to the low-production well owner, until the low-production well is plugged and abandoned, as provided.

Existing law requires the plugging and abandoning of all wells located in the County of Los Angeles in an oil field that is adjacent to a state recreation area or state park and is located, in whole or in part, within the boundary of the Baldwin Hills Conservancy by December 31, 2030. Existing law requires the supervisor, on and after January 1, 2031, to charge the owner of a well an administrative penalty of $10,000 per month for a violation of that requirement, until the well is plugged and abandoned.

Existing law establishes the Equitable Community Repair and Reinvestment Account, requires the above-described administrative penalties to be deposited into the account, and makes the funds from the account available, upon appropriation by the Legislature, to the Department of Conservation for allocation to the County of Los Angeles for projects that benefit communities living within 2¹/₂ miles of the identified low-production wells, as provided.

This bill would require the Department of Conservation, upon appropriation by the Legislature and subject to the terms of the appropriation, to distribute the first $5,000,000 deposited into the Equitable Community Repair and Reinvestment Account Account, after accounting for appropriations made for administrative purposes, to be allocated to the County of Los Angeles to disburse in direct cash assistance in equal amounts to families individuals living within 2¹/₂ miles of the identified low production wells whose children who have respiratory or reproductive health conditions. impacts. The bill would require the county to establish processes for individuals to verify that they meet the residency and health-impact requirements, as provided. The bill would require the application process for direct cash assistance to be noninvasive, simple, and standardized. The bill would require the department, subject to an appropriation by the Legislature, to distribute to the county for administrative purposes an amount that does not exceed 10% of the programmatic appropriation. By imposing new duties on the County of Los Angeles, the bill would impose a state-mandated local program.