BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 143|
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                              UNFINISHED BUSINESS


          Bill No:  SB 143
          Author:   Rubio (D)
          Amended:  6/11/12
          Vote:     21

           
          PRIOR SENATE VOTES NOT RELEVANT

           SENATE NATURAL RESOURCES AND WATER COMM.  :  7-0, 8/23/12
          AYES:  Pavley, Cannella, Evans, Kehoe, Padilla, Simitian, 
            Wolk
          NO VOTE RECORDED:  La Malfa, Fuller

           ASSEMBLY FLOOR  :  51-26, 8/20/12 - See last page for vote


           SUBJECT  :    Surface mining:  idle mines

           SOURCE  :     Author


           DIGEST  :    This bill limits the renewal of an idle surface 
          mining operations Interim Management Plan (IMP) to one 
          additional five-year renewal period at the expiration of 
          the first five-year renewal period.

           Assembly Amendments  delete the Senate version of the bill 
          relating to air pollution and instead add the above 
          language.

           ANALYSIS  :    Existing law:

          Pursuant to the Surface Mining and Reclamation Act (SMARA). 
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          1.Prohibits conducting surface mining operations without 
            first obtaining a permit, submitting a reclamation plan, 
            and providing financial assurances to a lead agency, 
            which is usually a local government. 

          2.Defines "reclamation" as the combined process of land 
            treatment that minimizes water degradation, air 
            pollution, damage to aquatic or wildlife habitat, 
            flooding, erosion, and other adverse effects from surface 
            mining operations, including adverse surface effects 
            incidental to underground mines, so that mined lands are 
            reclaimed to a usable condition which is readily 
            adaptable for alternate land uses and create no danger to 
            public health or safety.  The process may extend to 
            affected lands surrounding mined lands, and may require 
            backfilling, grading, resoiling, revegetation, soil 
            compaction, stabilization, or other measures. 

          3.Requires financial assurances from the surface mining 
            operator to ensure reclamation is performed in accordance 
            with the approved reclamation plan. 

          4.Requires, within 90 days of a surface mining operation 
            becoming idle, the operator of a surface mining operation 
            to submit an IMP to the lead agency for review and 
            approval.  A mine has become "idle" when an operator of a 
            surface mining operation has curtailed production at the 
            surface mining operation, with the intent to resume the 
            surface mining operation at a future date, for a period 
            of one year or more by more than 90% of its maximum 
            annual mineral production within any of the last five 
            years during which an IMP has not been approved. 

          5.Requires the IMP to provide measures that the operator 
            will implement to maintain the site. 

          6.Allows the IMP to remain in effect for a period not to 
            exceed five years, at which time the lead agency shall do 
            one of the following: 

             A.   Renew the IMP for an additional period not to 
               exceed five years, which may be renewed for additional 

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               five-year periods at the expiration of each five-year 
               period, if the lead agency finds that the surface 
               mining operator has complied fully with the IMP. 

             B.   Require the surface mining operator to commence 
               reclamation in accordance with its approved 
               reclamation plan. 

          1.Requires the financial assurances to remain in effect 
            during the period the surface mining operation is idle.  
            If the surface mining operation is still idle after the 
            expiration of its IMP, the operation shall commence 
            reclamation in accordance with its approved reclamation 
            plan. 

           Comments
           
          According to a 2011 State Mining and Geology Board (SMGB) 
          report, "Ýl]ack of operator adherence to statutory 
          requirements can result in many surface mining operations 
          becoming abandoned even if such operations had an intent to 
          resume mining."  At the time of the SMGB report, 97 mines 
          should have had IMPs but only 35 had them, and 35 lead 
          agencies (more than 28% of all lead agencies in California) 
          had mines that required IMPs but did not have them in 
          place.  In general, before 2012, if an idle mine did not 
          have an IMP, it was considered abandoned and the operator 
          was obligated to commence and complete reclamation in 
          accordance with the approved reclamation plan. 

          The SMGB report referenced the need for legislative action 
          to provide relief to operators that failed to follow 
          statutory requirements for IMPs.  SB 108 (Rubio), Chapter 
          491, Statutes of 2011, among other things, provides a brief 
          amnesty period for mining operators who did not adhere to 
          SMARA's statutory requirements regarding IMPs. SB 108 also 
          allows a lead agency to renew an IMP every five years. 

          This bill contains SB 108 "cleanup" language. Specifically, 
          the bill only allows a surface mining operation to obtain 
          one additional IMP renewal at the expiration of the first 
          five-year renewal period.  Currently, SB 108 allows 
          unlimited renewals. According to the author, who also 
          authored SB 108: 

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               All mines may experience periods of idleness and may 
               encounter even more in the current economic downturn, 
               so the ability for an operator to be able to submit 
               and renew an Interim Management Plan is crucial. 
               However, it is critical that there is a limit to how 
               long a mine may remain idle before the reclamation 
               process must commence. SB 143 strikes an important 
               balance between creating jobs and protecting the 
               environment by limiting it to two renewals. 

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No

          According to the Assembly Appropriations Committee, 
          negligible costs, if any, to the Department of 
          Conservation. 

           SUPPORT  :   (Verified  8/8/12)

          Sierra Fund

           OPPOSITION  :    (Verified  8/8/12)

          Regional Council of Rural Counties

           ARGUMENTS IN SUPPORT  :    This bill is supported by The 
          Sierra Fund, which advocates for the preservation and 
          restoration of the natural resources of the Sierra Nevada. 

           ARGUMENTS IN OPPOSITION  :   This bill is opposed by the 
          Regional Council of Rural Counties, who contend the bill 
          threatens the ability of mine operators to keep their mines 
          active.


           ASSEMBLY FLOOR  : 51-26, 08/20/12
          AYES: Alejo, Allen, Ammiano, Atkins, Beall, Block, 
            Blumenfield, Bonilla, Bradford, Brownley, Buchanan, 
            Butler, Charles Calderon, Campos, Carter, Cedillo, 
            Chesbro, Davis, Dickinson, Eng, Feuer, Fletcher, Fong, 
            Fuentes, Galgiani, Gatto, Gordon, Hall, Hayashi, Hill, 
            Huber, Hueso, Huffman, Lara, Bonnie Lowenthal, Ma, 
            Mendoza, Mitchell, Monning, Pan, Perea, V. Manuel Pérez, 

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            Portantino, Skinner, Solorio, Swanson, Torres, 
            Wieckowski, Williams, Yamada, John A. Pérez
          NOES: Achadjian, Bill Berryhill, Conway, Cook, Donnelly, 
            Beth Gaines, Garrick, Grove, Hagman, Halderman, Harkey, 
            Jeffries, Jones, Knight, Logue, Mansoor, Miller, Morrell, 
            Nestande, Nielsen, Norby, Olsen, Silva, Smyth, Valadao, 
            Wagner
          NO VOTE RECORDED: Furutani, Gorell, Roger Hernández


          DLW:n   8/25/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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