BILL NUMBER: SB 1161	CHAPTERED
	BILL TEXT

	CHAPTER  616
	FILED WITH SECRETARY OF STATE  SEPTEMBER 30, 2008
	APPROVED BY GOVERNOR  SEPTEMBER 30, 2008
	PASSED THE SENATE  AUGUST 19, 2008
	PASSED THE ASSEMBLY  AUGUST 12, 2008
	AMENDED IN ASSEMBLY  MAY 28, 2008
	AMENDED IN SENATE  APRIL 29, 2008
	AMENDED IN SENATE  APRIL 9, 2008
	AMENDED IN SENATE  MARCH 12, 2008

INTRODUCED BY   Senator Lowenthal

                        FEBRUARY 6, 2008

   An act to amend Sections 25299.24, 25299.54, 25299.57, and
25299.81 of, and to add Section 25299.50.2 to, the Health and Safety
Code, relating to petroleum underground storage tanks.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1161, Lowenthal. Petroleum underground storage tanks: cleanup.
   (1) Existing law, the Barry Keene Underground Storage Tank Cleanup
Trust Fund Act of 1989, requires owners and operators of petroleum
underground storage tanks to, among other things, pay a storage fee
for each gallon of petroleum placed in the tanks and requires the
fees to be deposited in the Underground Storage Tank Cleanup Fund
(fund). The act defines the term "underground storage tank" for those
purposes as having the same meaning as a tank defined in the
provisions regulating the storage of hazardous substances in
underground tanks, except as specified with regard to only containing
petroleum.
   This bill would revise the definition of "underground storage tank"
for purposes of the act to specify that the term also includes
certain components that are either directly or indirectly connected
to the tank.
   (2) The act authorizes the State Water Resources Control Board to
expend moneys from the fund, upon appropriation by the Legislature,
for various specified purposes, including for payment of claims for
the costs of corrective action, for corrective actions undertaken by
the board, a California regional water quality control board, or a
local agency, and for the cleanup and oversight of unauthorized
releases at abandoned tank sites. The act authorizes the board, a
regional board, or a local agency to undertake or contract for
corrective action in response to unauthorized releases from tanks
that are subject to the act. The act is repealed by its own terms on
January 1, 2011, with specified exceptions.
   This bill would extend the date of the repeal of the act to
January 1, 2016.
   (3) The act requires a person applying to the board for a claim of
corrective action costs to be in compliance with specified insurance
and permit requirements, but authorizes a person to apply to the
board without complying with the insurance requirement under
specified conditions. The board is prohibited from reimbursing a
person whose tanks otherwise meet that exemption for costs
attributable to an occurrence that commenced prior to the acquisition
of the real property, if certain conditions exist with regard to the
purchase of the real property and the person who owned the site or
who owned or operated the tank, except as specified.
   This bill would define the term "purchases or otherwise acquires
real property" for purposes of this reimbursement prohibition and
exception to mean the acquisition of fee title ownership or the
acquisition of the lessee's interest in a ground lease of real
property on which one or more underground storage tanks are located,
if the lease has a specified term.
   (4) The board is required to waive the permitting requirement for
a claim filed on or after January 1, 2008, if the board, among other
things, determines that the claimant was unaware of the permitting
requirement and the claimant complies with that requirement within a
reasonable period, not to exceed one year, after becoming aware of
the requirement, and the claimant obtains a specified level of
financial responsibility.
   This bill would additionally require the board to waive the
permitting requirements as a condition for payment from the fund for
a claimant who filed his or her claim on or after January 1, 2008,
and before July 1, 2009, but is not eligible for a waiver of the
permit requirement pursuant to the board's regulations and who did
not obtain or apply for a permit, if the board makes certain
findings, including that the claimant became the owner or de facto
owner of an underground storage tank, as defined, prior to December
22, 1998, the claimant did not and does not operate the tank, and the
claimant caused the tank to be removed or closed, as specified. The
board would be required to rank all claims submitted pursuant to this
waiver provision in a specified manner of priority class.
    (5) The Cleanup Loans and Environmental Assistance to
Neighborhoods (CLEAN) program authorizes the making of loans to
eligible persons to assess and respond to hazardous material releases
at brownfield sites, as defined.
   This bill would establish the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund in the State Treasury and
would transfer $10,000,000 for each of the 2008-09, 2009-10, and
2010-11 fiscal years, into that fund, for expenditure, upon
appropriation by the Legislature. The bill would authorize the funds
in that Underground Storage Tank Petroleum Contamination Orphan Site
Cleanup Fund to be expended for the costs of a response action to
remediate the harm caused by petroleum contamination at a site, if
the site meets the conditions to be defined as a "brownfield" under
the CLEAN program, petroleum contamination is the site's principal
source of contamination, the source of the contamination is, or was,
an underground storage tank, and a financially responsible party has
not been identified to pay for remediation at the site.
   The bill would allow any funds that are not expended in a given
fiscal year to remain in the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund until encumbered and would
allow a disbursement in liquidation of an encumbrance to be made
before or during the 4 years following the last day the appropriation
is available for encumbrance. The bill would also provide that a
recipient of a grant awarded under provisions that previously
established an Underground Storage Tank Petroleum Contamination
Orphan Site Cleanup Subaccount, which were repealed on January 1,
2008, and whose encumbrance under the grant was not liquidated within
a prescribed period, may receive the undisbursed balance of that
encumbrance from the Underground Storage Tank Petroleum Contamination
Orphan Site Cleanup Fund established by this bill consistent with
the terms of the grant until June 30, 2011.



THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 25299.24 of the Health and Safety Code is
amended to read:
   25299.24.  "Tank," "underground storage tank," "underground tank
system," and "tank system" have the same meaning as defined in
Chapter 6.7 (commencing with Section 25280), except as follows:
   (a) These terms mean only those tanks that contain only petroleum
or, consistent with the federal act, a mixture of petroleum with de
minimis quantities of other regulated substances.
   (b) These terms include all of the following components that are
connected either directly or indirectly to the tank:
   (1) Spill containment structures that are substantially or totally
beneath the surface of the ground.
   (2) Those portions of vent lines, vapor recovery lines, and fill
pipes that are beneath the surface of the ground.
  SEC. 2.  Section 25299.50.2 is added to the Health and Safety Code,
to read:
   25299.50.2.  (a) The Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund is hereby established in the
State Treasury.
   (b) The sum of ten million dollars ($10,000,000) is hereby
transferred, for each of the 2008-09, 2009-10, and 2010-11 fiscal
years, from the Underground Storage Tank Cleanup Fund to the
Underground Storage Tank Petroleum Contamination Orphan Site Cleanup
Fund, for expenditure upon appropriation by the Legislature, for the
costs of response actions to remediate the harm caused by a petroleum
contamination, including contamination caused by a refined product
of petroleum or a petroleum derivative, at a site that meets all of
the following conditions:
   (1) The site meets the conditions described in paragraph (2) of
subdivision (a) of Section 25395.20.
   (2) The petroleum contamination is the principal source of
contamination at the site.
   (3) The source of the petroleum contamination is, or was, an
underground storage tank.
   (4) A financially responsible party has not been identified to pay
for remediation at the site.
   (c) Any funds in the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund that are not expended in the
2009-10, 2010-11, or 2011-12 fiscal years shall remain in the
Underground Storage Tank Petroleum Contamination Orphan Site Cleanup
Fund until they are encumbered.
   (d) Notwithstanding Section 16304.1 of the Government Code, a
disbursement in liquidation of an encumbrance may be made before or
during the four years following the last day the appropriation is
available for encumbrance.
   (e) A recipient of a grant that was awarded pursuant to former
Section 25299.50.2, as that section read on December 31, 2007, and
whose encumbrance under the grant was not liquidated within the time
period prescribed in Section 16304.1 of the Government Code, may
receive the undisbursed balance of the encumbrance from the
Underground Storage Tank Petroleum Contamination Orphan Site Cleanup
Fund consistent with the terms of the grant until June 30, 2011.
  SEC. 3.  Section 25299.54 of the Health and Safety Code is amended
to read:
   25299.54.  (a)  Except as provided in subdivisions (b), (c), (d),
(e), (g), and (h), an owner or operator, required to perform
corrective action pursuant to Section 25296.10, or an owner or
operator who, as of January 1, 1988, is required to perform
corrective action, who has initiated this action in accordance with
Division 7 (commencing with Section 13000) of the Water Code, who is
undertaking corrective action in compliance with waste discharge
requirements or other orders issued pursuant to Division 7
(commencing with Section 13000) of the Water Code, or Chapter 6.7
(commencing with Section 25280), may apply to the board for
satisfaction of a claim filed pursuant to this article.
   (b) A person who has failed to comply with Article 3 (commencing
with Section 25299.30) is ineligible to file a claim pursuant to this
section.
   (c) An owner or operator of an underground storage tank containing
petroleum is ineligible to file a claim pursuant to this section if
the person meets both of the following conditions:
   (1) The person knew, before January 1, 1988, of the unauthorized
release of petroleum which is the subject of the claim.
   (2) The person did not initiate, on or before June 30, 1988, any
corrective action in accordance with Division 7 (commencing with
Section 13000) of the Water Code concerning the release, or the
person did not, on or before June 30, 1988, initiate corrective
action in accordance with Chapter 6.7 (commencing with Section 25280)
or the person did not initiate action on or before June 30, 1988, to
come into compliance with waste discharge requirements or other
orders issued pursuant to Division 7 (commencing with Section 13000)
of the Water Code concerning the release.
   (d) An owner or operator who violates Section 25296.10 or a
corrective action order, directive, notification, or approval order
issued pursuant to this chapter, Chapter 6.7 (commencing with Section
25280) of this code, or Division 7 (commencing with Section 13000)
of the Water Code, is liable for a corrective action cost that
results from the owner's or operator's violation and is ineligible to
file a claim pursuant to this section.
   (e) Notwithstanding this chapter, a person who owns a tank located
underground that is used to store petroleum may apply to the board
for satisfaction of a claim, and the board may pay the claim pursuant
to Section 25299.57 without making the finding specified in
paragraph (3) of subdivision (d) of Section 25299.57 if all of the
following apply:
   (1) The tank meets one of the following requirements:
   (A) The tank is located at the residence of a person on property
used exclusively for residential purposes at the time of discovery of
the unauthorized release of petroleum.
   (B) The tank owner demonstrates that the tank is located on
property that, on and after January 1, 1985, is not used for
agricultural purposes, the tank is of a type specified in
subparagraph (B) of paragraph (1) of subdivision (y) of Section
25281, and the petroleum in the tank is used solely for the purposes
specified in subparagraph (B) of paragraph (1) of subdivision (y) of
Section 25281 on and after January 1, 1985.
   (2) The tank is not a tank described in subparagraph (A) of
paragraph (1) of subdivision (y) of Section 25281 and the tank is not
used on or after January 1, 1985, for the purposes specified in that
subparagraph.
   (3) The claimant has complied with Section 25299.31 and the permit
requirements of Chapter 6.7 (commencing with Section 25280), or the
claimant is not subject to the requirements of those provisions.
   (f) Whenever the board has authorized the prepayment of a claim
pursuant to Section 25299.57, and the amount of money available in
the fund is insufficient to pay the claim, the owner or operator
shall remain obligated to undertake the corrective action in
accordance with Section 25296.10.
   (g) The board shall not reimburse a claimant for any eligible
costs for which the claimant has been, or will be, compensated by
another person. This subdivision does not affect reimbursement of a
claimant from the fund under either of the following circumstances:
   (1) The claimant has a written contract, other than an insurance
contract, with another person that requires the claimant to reimburse
the person for payments the person has provided the claimant pending
receipt of reimbursement from the fund.
   (2) An insurer has made payments on behalf of the claimant
pursuant to an insurance contract and either of the following
applies:
   (A) The insurance contract explicitly coordinates insurance
benefits with the fund and requires the claimant to do both of the
following:
   (i) Maintain the claimant's eligibility for reimbursement of costs
pursuant to this chapter by complying with all applicable
eligibility requirements.
   (ii) Reimburse the insurer for costs paid by the insurer pending
reimbursement of those costs by the fund.
   (B) The claimant received a letter of commitment prior to June 30,
1999, for the occurrence and the claimant is required to reimburse
the insurer for any costs paid by the insurer pending reimbursement
of those costs by the fund.
   (h) (1)  Except as provided in paragraph (2), a person who
purchases or otherwise acquires real property on which an underground
storage tank or tank specified in subdivision (e) is situated shall
not be reimbursed by the board for a cost attributable to an
occurrence that commenced prior to the acquisition of the real
property if both of the following conditions apply:
   (A) The purchaser or acquirer knew, or in the exercise of
reasonable diligence would have discovered, that an underground
storage tank or tank specified in subdivision (e) was located on the
real property being acquired.
   (B) A person who owned the site or owned or operated an
underground storage tank or tank specified in subdivision (e) at the
site during or after the occurrence and prior to acquisition by the
purchaser or acquirer would not have been eligible for reimbursement
from the fund.
   (2) Notwithstanding paragraph (1), if the claim is filed on or
after January 1, 2003, the board may reimburse the eligible costs
claimed by a person who purchases or otherwise acquires real property
on which an underground storage tank or tank specified in
subdivision (e) is situated, if all of the following conditions
apply:
   (A) The claimant is the owner or operator of the underground
storage tank or tank specified in subdivision (e) that had an
occurrence that commenced prior to the owner's acquisition of the
real property.
   (B) The claimant satisfies all eligibility requirements, other
than those specified in paragraph (1).
   (C) The claimant is not an affiliate of a person whose act or
omission caused or would cause ineligibility for the fund.
   (3) If the board reimburses a claim pursuant to paragraph (2), a
person specified in subparagraph (B) of paragraph (1), other than a
person who is ineligible for reimbursement from the fund solely
because the property was acquired from another person who was
ineligible for reimbursement from the fund, shall be liable for the
amount paid from the fund. The Attorney General, upon request of the
board, shall bring a civil action to recover the liability imposed
under this paragraph. All money recovered by the Attorney General
under this paragraph shall be deposited in the fund.
   (4) The liability established pursuant to paragraph (3) does not
limit or supersede liability under any other provision of state or
federal law, including common law.
   (5) For purposes of this subdivision, the following definitions
shall apply:
   (A) "Affiliate" means a person who has one or more of the
following relationships with another person:
   (i) Familial relationship.
   (ii) Fiduciary relationship.
   (iii) A relationship of direct or indirect control or shared
interests.
   (B) Affiliates include, but are not limited to, any of the
following:
   (i) Parent corporation and subsidiary.
   (ii) Subsidiaries that are owned by the same parent corporation.
   (iii) Business entities involved in a reorganization, as defined
in Section 181 of the Corporations Code.
   (iv) Corporate officer and corporation.
   (v) Shareholder that owns a controlling block of voting stock and
the corporation.
   (vi) Partner and the partnership.
   (vii) Member and a limited liability company.
   (viii) Franchiser and franchisee.
   (ix) Settlor, trustee, and beneficiary of a trust.
   (x) Debtor and bankruptcy trustee or debtor-in-possession.
   (xi) Principal and agent.
   (C) "Familial relationship" means relationships between family
members, including, and limited to, a husband, wife, child,
stepchild, parent, grandparent, grandchild, brother, sister,
stepbrother, stepsister, stepmother, stepfather, mother-in-law,
father-in-law, brother-in-law, sister-in-law, daughter-in-law,
son-in-law, and, if related by blood, uncle, aunt, niece, or nephew.
   (D) "Purchases or otherwise acquires real property" means the
acquisition of fee title ownership or the acquisition of the lessee's
interest in a ground lease of real property on which one or more
underground storage tanks are located if the lease has an initial
original term, including unilateral extension or renewal rights, of
not less than 35 years.
   (i) The Legislature finds and declares that the changes made to
subparagraph (A) of paragraph (1) of subdivision (e) by Chapter 1290
of the Statutes of 1992 are declaratory of existing law.
   (j) The Legislature finds and declares that the amendment of
subdivisions (a) and (g) by Chapter 328 of the Statutes of 1999 is
declaratory of existing law.
  SEC. 4.  Section 25299.57 of the Health and Safety Code is amended
to read:
   25299.57.  (a) If the board makes the determination specified in
subdivision (d), the board may only pay for the costs of a corrective
action that exceed the level of financial responsibility required to
be obtained pursuant to Section 25299.32, but not more than one
million five hundred thousand dollars ($1,500,000) for each
occurrence. In the case of an owner or operator who, as of January 1,
1988, was required to perform corrective action, who initiated that
corrective action in accordance with Division 7 (commencing with
Section 13000) of the Water Code or Chapter 6.7 (commencing with
Section 25280), and who is undertaking the corrective action in
compliance with waste discharge requirements or other orders issued
pursuant to Division 7 (commencing with Section 13000) of the Water
Code or Chapter 6.7 (commencing with Section 25280), the owner or
operator may apply to the board for satisfaction of a claim filed
pursuant to this article. The board shall notify claimants applying
for satisfaction of claims from the fund of eligibility for
reimbursement in a prompt and timely manner and that a letter of
credit or commitment that will obligate funds for reimbursement shall
follow the notice of eligibility as soon thereafter as possible.
   (b) (1) For claims eligible for reimbursement pursuant to
subdivision (c) of Section 25299.55, the claimant shall submit the
actual cost of corrective action to the board, which shall either
approve or disapprove the costs incurred as reasonable and necessary.
At least 15 days before the board proposes to disapprove the
reimbursement of corrective action costs that have been incurred on
the grounds that the costs were unreasonable or unnecessary, the
board shall issue a notice advising the claimant and the lead agency
of the proposed disallowance, to allow review and comment.
   (2) The board shall not reject any actual costs of corrective
action in a claim solely on the basis that the invoices submitted
fail to sufficiently detail the actual costs incurred, if all of the
following apply:
   (A) Auxiliary documentation is provided that documents to the
board's satisfaction that the invoice is for necessary corrective
action work.
   (B) The costs of corrective action work in the claim are
reasonably commensurate with similar corrective action work performed
during the same time period covered by the invoice for which
reimbursement is sought.
   (C) The invoices include a brief description of the work
performed, the date that the work was performed, the vendor, and the
amount.
   (c) (1) For claims eligible for prepayment pursuant to subdivision
(c) of Section 25299.55, the claimant shall submit the estimated
cost of the corrective action to the board, which shall approve or
disapprove the reasonableness of the cost estimate.
   (2) If the claim is for reimbursement of costs incurred pursuant
to a performance-based contract, Article 6.5 (commencing with Section
25299.64) shall apply to that claim.
   (d) Except as provided in subdivision (j), a claim specified in
subdivision (a) may be paid if the board makes all of the following
findings:
   (1) There has been an unauthorized release of petroleum into the
environment from an underground storage tank.
   (2) The claimant is required to undertake or contract for
corrective action pursuant to Section 25296.10, or, as of January 1,
1988, the claimant has initiated corrective action in accordance with
Division 7 (commencing with Section 13000) of the Water Code.
   (3) The claimant has complied with Section 25299.31.
   (4) (A) Except as provided in subparagraphs (B), (C), and (F), the
claimant has complied with the permit requirements of Chapter 6.7
(commencing with Section 25280). A claimant shall obtain a permit
required by subdivision (a) of Section 25284 for the underground
storage tank that is the subject of the claim when the claimant
becomes subject to subdivision (a) of Section 25284 or when the
applicable local agency begins issuing permits pursuant to
subdivision (a) of Section 25284, whichever occurs later.
   (B) A claimant who acquires real property on which an underground
storage tank is situated and, despite the exercise of reasonable
diligence, was unaware of the existence of the underground storage
tank when the real property was acquired, has obtained a permit
required by subdivision (a) of Section 25284 for the underground
storage tank that is the subject of the claim within a reasonable
period, not to exceed one year, from when the claimant should have
become aware of the existence of the underground storage tank, or
when the applicable local agency began issuing permits pursuant to
Section 25284, whichever occurs later.
   (C) All claimants who file their claim on or after January 1,
2008, and who do not obtain a permit required by subdivision (a) of
Section 25284 in accordance with subparagraph (A) or (B) may seek a
waiver of the requirement to obtain a permit. The board shall waive
the provisions of subparagraphs (A) and (B) as a condition for
payment from the fund if the board finds all of the following:
   (i) The claimant was unaware of the permit requirement, and upon
becoming aware of the permit requirement, the claimant complies with
either subdivision (a) of Section 25284 or Section 25298 and the
regulations adopted to implement those sections within a reasonable
period, not to exceed one year, from when the claimant became aware
of the permit requirement.
   (ii) Prior to submittal of the application to the fund, the
claimant has complied with Section 25299.31 and has obtained and paid
for all permits currently required by this paragraph.
   (iii) Prior to submittal of the application to the fund, the
claimant has paid all fees, interest, and penalties imposed pursuant
to Article 5 (commencing with Section 25299.40) of this code and Part
26 (commencing with Section 50101) of Division 2 of the Revenue and
Taxation Code for the underground storage tank that is the subject of
the claim.
   (D) (i) A claimant exempted pursuant to subparagraph (C) and who
has complied, on or before December 22, 1998, either with subdivision
(a) of Section 25284 or Section 25298 and the regulations adopted to
implement those sections, shall obtain a level of financial
responsibility twice as great as the amount that the claimant is
otherwise required to obtain pursuant to subdivision (a) of Section
25299.32, but not less than ten thousand dollars ($10,000). All other
claimants exempted pursuant to subparagraph (C) shall obtain a level
of financial responsibility that is four times as great as the
amount that the claimant is otherwise required to obtain pursuant to
subdivision (a) of Section 25299.32, but not less than twenty
thousand dollars ($20,000).
   (ii) The board may waive the requirements of clause (i) if the
claimant can demonstrate that the conditions specified in clauses (i)
to (iii), inclusive, of subparagraph (C) were satisfied prior to the
causing of any contamination. That demonstration may be made through
a certification issued by the permitting agency based on a site
evaluation and tank tests at the time of permit application or in any
other manner acceptable to the board.
   (E) All claimants who file a claim before January 1, 2008, and who
are not eligible for a waiver of the permit requirements pursuant to
applicable statutes or regulations in effect on the date of the
filing of the claim may resubmit a new claim pursuant to subparagraph
(C) on or after January 1, 2008. The board shall rank all claims
resubmitted pursuant to subparagraph (C) lower than all claims filed
before January 1, 2008, within their respective priority classes
specified in subdivision (b) of Section 25299.52.
   (F) The board shall waive the provisions of subparagraph (A) as a
condition for payment from the fund for a claimant who filed his or
her claim on or after January 1, 2008, and before July 1, 2009, but
is not eligible for a waiver of the permit requirement pursuant to
the regulations adopted by the board in effect on the date of the
filing of the claim, and who did not obtain or apply for a permit
required by subdivision (a) of Section 25284, if the board finds all
of the following:
   (i) The claim is filed pursuant to paragraph (2) of subdivision
(h) of Section 25299.54 and the claim otherwise satisfies the
eligibility requirements of that paragraph.
   (ii) The claimant became the owner or de facto owner of an
underground storage tank prior to December 22, 1998.
   (iii) The claimant did not, and does not, operate the underground
storage tank.
   (iv) Within three years after becoming the owner or de facto owner
of the underground storage tank but not after December 22, 1998, the
claimant caused the underground storage tank to be removed and
closed in accordance with applicable law, and commenced no later than
December 22, 1998, to perform corrective action pursuant to Section
25296.10 of this code or pursuant to Division 7 (commencing with
Section 13000) of the Water Code.
   (G) The board shall rank all claims submitted pursuant to
subparagraph (F) in their respective priority classes specified in
subdivision (b) of Section 25299.52 in the order in which the claims
are received by the board, but subsequent to any claim filed on a
previous date in each of those priority classes.
   (H) For purposes of clauses (ii) and (iv) of subparagraph (F), "de
facto owner of an underground storage tank" means a person who
purchases or otherwise acquires real property, as defined in
subparagraph (D) of paragraph (5) of subdivision (h) of Section
25299.54, and has actual possession of, and control over, an
underground storage tank that has been abandoned by its previous
owner.
   (5) The board has approved either the costs incurred for the
corrective action pursuant to subdivision (b) or the estimated costs
for corrective action pursuant to subdivision (c).
   (6) The claimant has paid all fees, interest, and penalties
imposed pursuant to Article 5 (commencing with Section 29299.40) and
Part 26 (commencing with Section 50101) of Division 2 of the Revenue
and Taxation Code for the underground storage tank that is the
subject of the claim.
   (e) The board shall provide the claimant, whose cost estimate has
been approved, a letter of commitment authorizing payment of the
costs from the fund.
   (f) The claimant may submit a request for partial payment to cover
the costs of corrective action performed in stages, as approved by
the board.
   (g) (1) A claimant who submits a claim for payment to the board
shall submit multiple bids for prospective costs as prescribed in
regulations adopted by the board pursuant to Section 25299.77.
   (2) A claimant who submits a claim to the board for the payment of
professional engineering and geologic work shall submit multiple
proposals and fee estimates, as required by the regulations adopted
by the board pursuant to Section 25299.77. The claimant's selection
of the provider of these services is not required to be based on the
lowest estimated fee, if the fee estimate conforms with the range of
acceptable costs established by the board.
   (3) A claimant who submits a claim for payment to the board for
remediation construction contracting work shall submit multiple bids,
as required in the regulations adopted by the board pursuant to
Section 25299.77.
   (4) Paragraphs (1), (2), and (3) do not apply to a tank owned or
operated by a public agency if the prospective costs are for private
professional services within the meaning of Chapter 10 (commencing
with Section 4525) of Division 5 of Title 1 of the Government Code
and those services are procured in accordance with the requirements
of that chapter.
   (h) The board shall provide, upon the request of a claimant,
assistance to the claimant in the selection of contractors retained
by the claimant to conduct reimbursable work related to corrective
actions. The board shall develop a summary of expected costs for
common corrective actions. This summary of expected costs may be used
by claimants as a guide in the selection and supervision of
consultants and contractors.
   (i) The board shall pay, within 60 days from the date of receipt
of an invoice of expenditures, all costs specified in the work plan
developed pursuant to Section 25296.10, and all costs that are
otherwise necessary to comply with an order issued by a local, state,
or federal agency.
   (j) (1) The board shall pay a claim of not more than three
thousand dollars ($3,000) per occurrence for regulatory technical
assistance to an owner or operator who is otherwise eligible for
reimbursement under this chapter.
   (2) For the purposes of this subdivision, regulatory technical
assistance is limited to assistance from a person, other than the
claimant, in the preparation and submission of a claim to the fund.
Regulatory technical assistance does not include assistance in
connection with proceedings under Section 25296.40, 25299.39.2, or
25299.56 or any action in court.
   (k) (1) Notwithstanding any other provision of this section, the
board shall pay a claim for the costs of corrective action to a
person who owns property on which is located a release from a
petroleum underground storage tank that has been the subject of a
completed corrective action and for which additional corrective
action is required because of additionally discovered contamination
from the previous release, only if the person who carried out the
earlier and completed corrective action was eligible for, and applied
for, reimbursement pursuant to subdivision (b), and only to the
extent that the amount of reimbursement for the earlier corrective
action did not exceed the amount of reimbursement authorized by
subdivision (a). Reimbursement to a claimant on a reopened site shall
occur when funds are available, and reimbursement commitment shall
be made ahead of any new letters of commitment to be issued, as of
the date of the reopening of the claim, if funding has occurred on
the original claim, in which case funding shall occur
                             at the time it would have occurred under
the original claim.
   (2) For purposes of this subdivision, a corrective action is
completed when the local agency or regional board with jurisdiction
over the site or the board issues a closure letter pursuant to
subdivision (g) of Section 25296.10.
  SEC. 5.  Section 25299.81 of the Health and Safety Code is amended
to read:
   25299.81.  (a) Except as provided in subdivisions (b) and (c),
this chapter shall remain in effect only until January 1, 2016, and
as of that date is repealed, unless a later enacted statute, which is
enacted before January 1, 2016, deletes or extends that date.
   (b) Notwithstanding subdivision (a), Article 1 (commencing with
Section 25299.10), Article 2 (commencing with Section 25299.11), and
Article 4 (commencing with Section 25299.36) shall not be repealed
and shall remain in effect on January 1, 2016.
   (c) The repeal of certain portions of this chapter does not
terminate any of the following rights, obligations, or authorities,
or any provision necessary to carry out these rights and obligations:

   (1) The filing and payment of claims against the fund, including
the costs specified in subdivisions (c), (e), and (h) of Section
25299.51, and claims for commingled plumes, as specified in Article
11 (commencing with Section 25299.90), until the moneys in the fund
are exhausted. Upon exhaustion of the fund, any remaining claims
shall be invalid.
   (2) The repayment of loans, outstanding as of January 1, 2016, due
and payable to the board.
   (3) The recovery of moneys reimbursed to a claimant to which the
claimant is not entitled, or the resolution of any cost recovery
action.
   (4) The collection of unpaid fees that are imposed pursuant to
Article 5 (commencing with Section 25299.40), as that article read on
December 31, 2015, or have become due before January 1, 2016,
including any interest or penalties that accrue before, on, or after
January 1, 2016, associated with those unpaid fees.
   (5) (A) The filing of an application for funds from, and the
making of payments from, the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund pursuant to Section
25299.50.2, any action for the recovery of moneys paid pursuant to
Section 25299.50.2 to which the recipient is not entitled, and the
resolution of that cost recovery action.
   (B) Upon liquidation of funds in the Underground Storage Tank
Petroleum Contamination Orphan Site Cleanup Fund, the obligation to
make a payment from the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund is terminated.
   (d) The board shall continuously post and update on its Internet
Web site, but at a minimum, annually on or before September 30,
information that describes the status of the fund and shall make
recommendations, when appropriate, to improve the efficiency of the
program.