BILL NUMBER: AB 1530	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Skinner

                        FEBRUARY 27, 2009

   An act to amend Section 8670.40 of the Government Code, relating
to oil spills.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1530, as introduced, Skinner. Oil spills: prevention and
response: fees.
   Existing law, 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.
   The act requires the State Board of Equalization to collect a fee
in an amount determined by the administrator sufficient to carry out
specified oil spill prevention and response purposes, excluding
response to an oil spill. The annual fee is prohibited from exceeding
$0.05 per barrel of crude oil or petroleum products and is required
to be deposited in the Oil Spill Prevention and Administration Fund.
Moneys in the fund are available for appropriation by the Legislature
for specified purposes.
   This bill would raise the upper limits of the fee to $0.08 per
barrel.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 8670.40 of the Government Code is amended to
read:
   8670.40.  (a) The State Board of Equalization shall collect a fee
in an amount determined by the administrator to be sufficient to
carry out the purposes set forth in subdivision (e), and a reasonable
reserve for contingencies. The annual assessment may not exceed
 five   eight  cents  ($0.05)
  ($0.08)  per barrel of crude oil or petroleum
products.
   (b) (1) The oil spill prevention and administration fee shall be
imposed upon a person owning crude oil at the time that  the
 crude oil is received at a marine terminal from within or
outside the state, and upon a person  who owns  
owning  petroleum products at the time that those petroleum
products are received at a marine terminal from outside this state.
The fee shall be collected by the marine terminal operator from the
owner of the crude oil or petroleum products based on each barrel of
crude oil or petroleum products so received by means of a vessel
operating in, through, or across the marine waters of the state. In
addition, an operator of a pipeline shall pay the oil spill
prevention and administration fee for each barrel of crude oil
originating from a production facility in marine waters and
transported in the state by means of a pipeline operating across,
under, or through the marine waters of the state. The fees shall be
remitted to the board by the terminal or pipeline operator on the
25th day of the month based upon the number of barrels of crude oil
or petroleum products received at a marine terminal or transported by
pipeline during the preceding month. A fee shall not be imposed
pursuant to this section with respect to crude oil or petroleum
products if the person who would be liable for that fee, or
responsible for its collection, establishes that the fee has been
collected by a terminal operator registered under this chapter or
paid to the board with respect to the crude oil or petroleum product.

   (2) An owner of crude oil or petroleum products is liable for the
fee until it has been paid to the board, except that payment to a
marine terminal operator registered under this chapter is sufficient
to relieve the owner from further liability for the fee.
   (3) On or before January 20, the administrator shall annually
prepare a plan that projects revenues and expenses over three fiscal
years, including the current year. Based on the plan, the
administrator shall set the fee so that projected revenues, including
 any  interest, are equivalent to expenses as
reflected in the current Budget Act and in the proposed budget
submitted by the Governor. In setting the fee, the administrator may
allow for a surplus if the administrator finds that revenues will be
exhausted during the period covered by the plan or that the surplus
is necessary to cover possible contingencies.
   (c) The moneys collected pursuant to subdivision (a) shall be
deposited into the fund.
   (d) The board shall collect the fee and adopt regulations for
implementing the fee collection program.
   (e) The fee described in this section shall be collected solely
for all of the following purposes:
   (1) To implement oil spill prevention programs through rules,
regulations, leasing policies, guidelines, and inspections and to
implement research into prevention and control technology.
   (2) To carry out studies that may lead to improved oil spill
prevention and response.
   (3) To finance environmental and economic studies relating to the
effects of oil spills.
   (4) To reimburse the member agencies of the State Interagency Oil
Spill Committee for costs arising from implementation of this
chapter, Article 3.5 (commencing with Section 8574.1) of Chapter 7 of
this code, and Division 7.8 (commencing with Section 8750) of the
Public Resources Code.
   (5) To implement, install, and maintain emergency programs,
equipment, and facilities to respond to, contain, and clean up oil
spills and to ensure that those operations will be carried out as
intended.
   (6) To respond to an imminent threat of a spill in accordance with
the provisions of Section 8670.62 pertaining to threatened
discharges. The cumulative amount of an expenditure for this purpose
shall not exceed the amount of one hundred thousand dollars
($100,000) in a fiscal year unless the administrator receives the
approval of the Director of Finance and notification is given to the
Joint Legislative Budget Committee. Commencing with the 1993-94
fiscal year, and each fiscal year thereafter, it is the intent of the
Legislature that the annual Budget Act contain an appropriation of
one hundred thousand dollars ($100,000) from the fund for the purpose
of allowing the administrator to respond to threatened oil spills.
   (7) To reimburse the board for costs incurred to implement this
chapter and to carry out Part 24 (commencing with Section 46001) of
Division 2 of the Revenue and Taxation Code.
   (8) To reimburse the costs incurred by the State Lands Commission
in implementing the Oil Transfer and Transportation Emission and Risk
Reduction Act of 2002 (Division 7.9 (commencing with Section 8780)
of the Public Resources Code).
   (9) To cover costs incurred by the Oiled Wildlife Care Network
established by Section 8670.37.5 for training and field collection,
and search and rescue activities, pursuant to subdivision (g) of
Section 8670.37.5.
   (f) The moneys deposited in the fund shall not be used for
responding to an oil spill.