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<ns0:Id>20250SB__054294AMD</ns0:Id>
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<ns0:Action>
<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2025-02-20</ns0:ActionDate>
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<ns0:ActionText>AMENDED_SENATE</ns0:ActionText>
<ns0:ActionDate>2025-04-28</ns0:ActionDate>
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<ns0:Action>
<ns0:ActionText>AMENDED_SENATE</ns0:ActionText>
<ns0:ActionDate>2025-05-23</ns0:ActionDate>
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<ns0:ActionText>AMENDED_ASSEMBLY</ns0:ActionText>
<ns0:ActionDate>2025-09-02</ns0:ActionDate>
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<ns0:ActionText>AMENDED_ASSEMBLY</ns0:ActionText>
<ns0:ActionDate>2025-09-05</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
<ns0:SessionNum>0</ns0:SessionNum>
<ns0:MeasureType>SB</ns0:MeasureType>
<ns0:MeasureNum>542</ns0:MeasureNum>
<ns0:MeasureState>AMD</ns0:MeasureState>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Senator Limón</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>SENATE</ns0:House>
<ns0:Name>Limón</ns0:Name>
</ns0:Legislator>
</ns0:Authors>
<ns0:Title>An act to amend Sections 8670.28 and 8670.37.51 of, and to add Section 51014.1 to, the Government Code, relating to oil spills. </ns0:Title>
<ns0:RelatingClause>oil spills</ns0:RelatingClause>
<ns0:GeneralSubject>
<ns0:Subject>Oil spill prevention: administrator for oil spill response: duties: pipeline inspections.</ns0:Subject>
</ns0:GeneralSubject>
<ns0:DigestText>
<html:p>
(1)
<html:span class="EnSpace"/>
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 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 these regulations to permit the development, application, and use of an oil spill contingency plan for similar vessels, pipelines, terminals, and facilities within a single company or organization, and across companies and organizations. Existing law requires these regulations to ensure, among other things, standards for determining a reasonable worst case oil spill.
</html:p>
<html:p>This bill would, commencing January 15, 2027, and at least once every 10 years thereafter, require the administrator to solicit public input regarding the appropriateness of the reasonable worst case spill volumes for facilities and, based on this feedback, review and, as appropriate, revise the criteria and formulas for calculating reasonable worst case spill volumes to reflect the best available information, as provided.</html:p>
<html:p>Under the act, the owner or operator of a facility where a spill could impact waters of the state shall apply for and obtain a certificate of financial responsibility issued by the administrator for the facility or the oil to be handled, stored, or transported by the facility.</html:p>
<html:p>This bill would require the administrator to publicly post a list of all applications for certificates of financial responsibility submitted by facility owners and operators on the internet website of the Office of Spill Prevention and Response. The bill would require the posting to include specified information about applicants, including reasonable worst case spill volume of the facility to be covered by the certificate and the amount of financial responsibility demonstrated. The bill would require the administrator to post this information within 7 business days of receiving an application. The bill would, commencing January 15, 2027, and at least
once every 10 years thereafter, require the administrator to solicit public input regarding the appropriateness of the financial responsibility requirements for facilities and, based on this feedback, review and, as appropriate, revise the criteria and formulas for calculating the financial assurances necessary to respond to an oil spill to reflect the best available information, as provided.</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The Elder California Pipeline Safety Act of 1981 requires the State Fire Marshal to administer provisions regulating the inspection of intrastate pipelines used for the transportation of hazardous liquid. A violation of the act is a crime.
</html:p>
<html:p>This bill would prohibit the restarting of an existing oil pipeline that is 6 inches or larger that has been idle, inactive, or out of service for 5 years or more without passing a spike hydrostatic testing program that meets the requirements established by the State Fire
Marshal, as provided. By expanding the scope of a crime, the bill would impose a state-mandated local program. The bill would require these tests to be performed by a qualified testing company, as provided. The bill would require the Office of the State Fire Marshal to promulgate regulations as necessary to implement these provisions.</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
</html:p>
<html:p>This bill would provide that no reimbursement is required by this act for a specified reason.</html:p>
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<ns0:DigestKey>
<ns0:VoteRequired>MAJORITY</ns0:VoteRequired>
<ns0:Appropriation>NO</ns0:Appropriation>
<ns0:FiscalCommittee>YES</ns0:FiscalCommittee>
<ns0:LocalProgram>YES</ns0:LocalProgram>
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<ns0:ImmediateEffect>NO</ns0:ImmediateEffect>
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<ns0:Election>NO</ns0:Election>
<ns0:UsualCurrentExpenses>NO</ns0:UsualCurrentExpenses>
<ns0:BudgetBill>NO</ns0:BudgetBill>
<ns0:Prop25TrailerBill>NO</ns0:Prop25TrailerBill>
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<ns0:Bill id="bill">
<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
<ns0:BillSection id="id_33D95D20-5C3C-4231-9BC5-3655770C5F70">
<ns0:Num>SECTION 1.</ns0:Num>
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Section 8670.28 of the
<ns0:DocName>Government Code</ns0:DocName>
is amended to read:
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<ns0:LawSection id="id_8207716A-6A2D-4122-B7F4-6C84B2BAF5F1">
<ns0:Num>8670.28.</ns0:Num>
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<ns0:Content>
<html:p>
(a)
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The administrator, taking into consideration the facility or vessel contingency plan requirements of the State Lands Commission, the Office of the State Fire Marshal, the California Coastal Commission, and other state and federal agencies, shall adopt and implement regulations governing the adequacy of oil spill contingency plans to be prepared and implemented under this article. All regulations shall be developed in consultation with the Oil Spill Technical Advisory Committee, and shall be consistent with the California oil spill contingency plan and not in conflict with the National Contingency Plan. The regulations shall provide for the best achievable protection of the waters and natural resources of the state. The regulations shall permit the development, application, and use of an oil spill contingency plan for
similar vessels, pipelines, terminals, and facilities within a single company or organization, and across companies and organizations. The regulations shall, at a minimum, ensure all of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
All areas of state waters are at all times protected by prevention, response, containment, and cleanup equipment and operations.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Standards set for response, containment, and cleanup equipment and operations are maintained and regularly improved to protect the resources of the state.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
All appropriate personnel employed by operators required to have a contingency plan receive training in oil spill response and cleanup equipment usage and operations.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Each oil spill contingency plan provides for appropriate financial or contractual arrangements
for all necessary equipment and services for the response, containment, and cleanup of a reasonable worst case oil spill scenario for each area the plan addresses.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
Each oil spill contingency plan demonstrates that all protection measures are being taken to reduce the possibility of an oil spill occurring as a result of the operation of the facility or vessel. The protection measures shall include, but not be limited to, response to disabled vessels and identification of those measures taken to comply with requirements of Division 7.8 (commencing with Section 8750) of the Public Resources Code.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
Each oil spill contingency plan identifies the types of equipment that can be used, the location of the equipment, and the time taken to deliver the equipment.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
Each facility, as determined by the administrator,
conducts a hazard and operability study to identify the hazards associated with the operation of the facility, including the use of the facility by vessels, due to operating error, equipment failure, and external events. For the hazards identified in the hazard and operability studies, the facility shall conduct an offsite consequence analysis that, for the most likely hazards, assumes pessimistic water and air dispersion and other adverse environmental conditions.
</html:p>
<html:p>
(8)
<html:span class="EnSpace"/>
Each oil spill contingency plan contains a list of contacts to call in the event of a drill, threatened discharge of oil, or discharge of oil.
</html:p>
<html:p>
(9)
<html:span class="EnSpace"/>
Each oil spill contingency plan identifies the measures to be taken to protect the recreational and environmentally sensitive areas that would be threatened by a reasonable worst case oil spill scenario.
</html:p>
<html:p>
(10)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
Standards for determining a reasonable worst case oil spill.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Commencing January 15, 2027, and at least once every 10 years thereafter, in order to increase public participation, the administrator shall solicit public input regarding the appropriateness of the reasonable worst case spill volumes for facilities. Based on this feedback, the administrator shall review and, as appropriate, revise the criteria and formulas for calculating reasonable worst case spill volumes to reflect the best available information.
If revisions are appropriate, the administrator shall initiate a rulemaking action pursuant to the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3), which includes a public notice and comment process.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Notwithstanding subparagraphs (A) and (B), for
a nontank vessel, the reasonable worst case is a spill of the total volume of the largest fuel tank on the nontank vessel.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
Any review and rulemaking action undertaken pursuant to this paragraph shall be combined with and be used to inform the review and any rulemaking action undertaken pursuant to paragraph (3) of subdivision (d) of Section 8670.37.51.
</html:p>
<html:p>
(11)
<html:span class="EnSpace"/>
Each oil spill contingency plan specifies an agent for service of process. The agent shall be located in this state.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The regulations and guidelines adopted pursuant to this section shall also include provisions to provide for public review and comment on submitted oil spill contingency plans.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The regulations adopted pursuant to this section shall specifically address the types of equipment that will be necessary, the maximum time that will be allowed for deployment, the maximum distance to cooperating response entities, the amounts of dispersant, and the maximum time required for application should the use of dispersants be approved. Upon a determination by the administrator that booming is appropriate at the site and necessary to provide best achievable protection, the regulations shall require that vessels engaged in lightering operations be boomed prior to the commencement of operations.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The administrator shall adopt regulations and guidelines for oil spill contingency plans with regard to mobile transfer units, small marine fueling facilities, and vessels carrying oil as secondary cargo that acknowledge the reduced risk of damage from oil spills from those
units, facilities, and vessels while maintaining the best achievable protection for the public health and safety and the environment.
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<ns0:BillSection id="id_AB1408A6-B115-4FEE-AD02-5CEA225AFAA7">
<ns0:Num>SEC. 2.</ns0:Num>
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Section 8670.37.51 of the
<ns0:DocName>Government Code</ns0:DocName>
is amended to read:
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<ns0:LawSection id="id_32A27483-5A5A-4384-8552-6C5CBBE51E62">
<ns0:Num>8670.37.51.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
A tank vessel or vessel carrying oil as a secondary cargo shall not be used to transport oil across waters of the state unless the owner or operator has applied for and obtained a certificate of financial responsibility issued by the administrator for that vessel or for the owner of all of the oil contained in and to be transferred to or from that vessel.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
An operator of a marine terminal within the state shall not transfer oil to or from a tank vessel or vessel carrying oil as a secondary cargo unless the operator of the marine terminal has received a copy of a certificate of financial responsibility issued by the administrator for the operator of that vessel or for all of the
oil contained in and to be transferred to or from that vessel.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
An operator of a marine terminal within the state shall not transfer oil to or from any vessel that is or is intended to be used for transporting oil as cargo to or from a second vessel unless the operator of the marine terminal has first received a copy of a certificate of financial responsibility issued by the administrator for the person responsible for both the first and second vessels or all of the oil contained in both vessels, as well as all the oil to be transferred to or from both vessels.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
An owner or operator of a facility where a spill could impact waters of the state shall apply for and obtain a certificate of financial responsibility issued by the administrator for the
facility or the oil to be handled, stored, or transported by the facility.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The administrator shall publicly post on the Office of Spill Prevention and Response internet website a list of all applications for certificates of financial responsibility submitted by facility owners and operators. The posting shall include the legal name of the applicant, the name and
reasonable worst case spill volume of the facility to be covered by the certificate, the amount of financial responsibility demonstrated, and the type of evidence furnished to demonstrate the financial responsibility. The administrator shall post this information within seven business days of receiving an application.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
Commencing January 15, 2027, and at least once every 10 years thereafter,
in order to increase public participation, the administrator shall
solicit public input regarding the appropriateness of the financial responsibility requirements for facilities. Based on this feedback, the administrator shall review and, as appropriate, revise the criteria and formulas for calculating the financial assurances and setting the maximum amount of a certificate of financial responsibility necessary to respond to an oil spill to reflect the best available information, pursuant to the rulemaking requirements of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3), which includes a public notice and comment process.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Any review and rulemaking action undertaken pursuant to this paragraph shall be combined with and be used to inform the review and any rulemaking action undertaken pursuant to paragraph (10) of subdivision (a)
of Section 8670.28.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
Pursuant to Section 8670.37.58, nontank vessels shall obtain a certificate of financial responsibility.
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<ns0:Num>SEC. 3.</ns0:Num>
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Section 51014.1 is added to the
<ns0:DocName>Government Code</ns0:DocName>
, to read:
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<ns0:LawSection id="id_AE1121EB-596F-4343-B85A-6BECF6605903">
<ns0:Num>51014.1.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
Any existing pipeline that transports oil and that is six inches or larger that has been idle, inactive, or out of service for five years or more, shall not be restarted without passing a spike hydrostatic testing program.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
The hydrostatic spike test shall be at least 139 percent of the maximum operating pressure of the pipeline and shall not exceed 80 percent of the specific minimum yield strength, as determined appropriate by the State Fire Marshal.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Notwithstanding paragraph (A), at the operator’s request, the minimum hydrostatic spike test pressure may be lower than 100 percent of the specified minimum yield
strength if the maximum operating pressure of the pipeline is correspondingly reduced. The hydrostatic spike test shall be at least 139 percent of the reduced maximum operating pressure of the pipeline, as determined appropriate by the State Fire Marshal. The hydrostatic spike test shall be performed in segments to ensure every elevation point will be tested.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
If the specified minimum yield strength is unknown, the specified minimum yield strength shall be determined pursuant to Section 195.106(b) of Title 49 of the Code of Federal Regulations before performing the hydrostatic spike test.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The hydrostatic spike test shall be no more than 15 minutes, and be immediately followed by a hydrostatic test, which shall be held for a minimum of eight hours and meet the requirements of the State Fire Marshal.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The
hydrostatic spike test shall be completed in segments for multielevational pipelines.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
All tests shall be performed by a qualified testing company that is compliant with this chapter, as determined by the State Fire Marshal.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
The Office of the State Fire Marshal shall promulgate regulations as necessary to implement this section.
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<ns0:Num>SEC. 4.</ns0:Num>
<ns0:Content>
<html:p>
No reimbursement is required by this act pursuant to Section 6 of Article XIII
<html:span class="ThinSpace"/>
B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII
<html:span class="ThinSpace"/>
B of the California Constitution.
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