BILL NUMBER: AB 7 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 8, 2013
INTRODUCED BY Assembly Member Wieckowski
DECEMBER 3, 2012
An act to amend Section Sections
3213 and 3215 of, and to add
Section 3215.5 to, to add Article 3 (commencing with Section
3150) to Chapter 1 of Division 3 of, and to repeal Section 3157
of, the Public Resources Code, relating to oil and gas.
LEGISLATIVE COUNSEL'S DIGEST
AB 7, as amended, Wieckowski. Oil and gas: hydraulic fracturing.
Under existing law, the Division of Oil, Gas, and Geothermal
Resources , (DOGGR) in the Department
of Conservation regulates the drilling, operation, maintenance, and
abandonment of oil and gas wells in the state. The State Oil and Gas
Supervisor supervises the drilling, operation, maintenance, and
abandonment of wells and the operation, maintenance, and removal or
abandonment of tanks and facilities related to oil and gas production
within an oil and gas field regarding safety and environmental
damage. Existing law requires an operator of a well, before
commencing the work of drilling the well, to obtain approval from the
State Oil and Gas Supervisor or a district deputy. Existing law
requires the operator of a well to keep, or cause to be kept, a
careful and accurate log, core record, and history of the drilling of
the well. Within 60 days after the date of cessation of drilling,
rework, or abandonment operations, the owner or operator is required
to file with the district deputy certain information, including the
history of work performed.
This bill would define, among other things, hydraulic fracturing
and hydraulic fracturing fluid. The bill would require an
the owner or operator of a well to
record and include all data on provide to the
supervisor, or to arrange with the supplier to provide to the
supervisor, specific information relating to hydraulic
fracturing treatment, including the risk posed by potential
seismicity, as a part of the history of the drilling of the
well. The bill would require DOGGR, in consultation with
the Department of Toxic Substances Control, the State Air Resources
Board, and the State Water Resources Control Board, on or before
January 1, 2014, to adopt rules and regulations specific to hydraulic
fracturing, including governing the construction of wells and well
casings and full disclosure of the composition and disposition of
hydraulic fracturing. The bill would require an operator to file with
the supervisor or a district deputy, at least 30 days prior to the
commencement of a hydraulic fracturing treatment, a notice of
intention to commence hydraulic fracturing treatment containing
specified information. The bill would require the hydraulic
fracturing to be completed within one year of the filing of the
notice of intention. The bill would require DOGGR, within 10 days of
the receipt of the notice of intention, to make the notice publicly
available, to post it on the division's Internet Web site, and to
notify the appropriate regional water quality control board. The bill
would require the supplier, as defined, of the hydraulic fracturing
treatment to provide to the operator, within 30 days following the
conclusion of the hydraulic fracturing, certain information regarding
the hydraulic fracturing fluid. provide that the
owner or operator of a well may request in writing that the
information required relating to hydraulic fracturing be considered
confidential information under specific provisions. The bill would
also provide that the owner, operator, or supplier who provides
information to the supervisor relating to hydraulic fracturing may,
at the time of submission, submit to the supervisor a claim in
writing that some or all of the information is protected trade secret
information, as specified. The bill would permit the supervisor,
upon his or her own initiative, to make an initial determination as
to whether the information claimed as trade secret has been properly
claimed as trade secret information. The bill would
require the supervisor to make an initial determination upon receipt
of a request for public information, as specified. The bill would
require the supervisor, within 45 days, to provide written
notification of the initial determination to the person who provided
the information and claims trade secret protection. The bill would
provide specific processes for the person claiming trade secret
protection to challenge the supervisor's initial determination within
30 days from the date of receipt of the initial determination by
providing the supervisor with additional written justification for
the trade secret claim. The bill would further require the
supervisor, after making a final determination within 45 days of the
date of receipt of the additional written justification that the
information is not a trade secret, to make the information available
to the public not sooner than 30 days from the date of the mailing of
a copy of the final determination to the person who provided the
additional written justification. The bill would also
require the supervisor to send a notice of the final determination to
the person who provided the additional written ju
stification, if the information is determined to be a trade secret.
The bill would provide that a person claiming trade secret protection
is deemed to have waived his or her claim for trade secret if, on
the date when the final determination requires that the information
be made available to the public, he or she has not filed an action in
a court of competent jurisdiction for a declaratory judgment or
injunction prohibiting disclosure of the information by the
supervisor. The bill would permit the supervisor to disclose
information claimed to be a trade secret to specific government
employees with a clear need for the information for an enforcement
action or emergency response, as specified. The bill would
require the operator, within 60 days of the cessation of hydraulic
fracturing treatment, to post or cause to have posted on an Internet
Web site accessible to the public specified information on
the fracturing and fluid hydraulic fracturing ,
as specified. The bill would require a supplier claiming
trade secret protection for the chemical composition of additives
used in the hydraulic treatment to disclose the composition to DOGGR,
but would, except as specified, further
prohibit those with access to the trade secret to disclose
from disclosing it, and would make a
person who violates this prohibition would be
guilty of a misdemeanor. Because this bill would create a new crime,
it would impose a state-mandated local program.
This bill would require the supervisor, on or before January 1,
2016 2014 , and annually thereafter, to
transmit to the Legislature and make available publicly
a comprehensive report on hydraulic fracturing in the
exploration and production of oil and gas resources in the state
, as specified .
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.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all
of the following:
(a) Hydraulic fracturing has been used in California for several
decades to extract oil and gas and is likely to be used more
extensively as the industry seeks to develop additional oil-bearing
and gas-bearing formations.
(b) The Division of Oil, Gas, and Geothermal Resources in the
Department of Conservation, which has the obligation to protect
public health and the natural resources of the state, including
groundwater resources, has the authority to regulate all oil and
natural gas drilling in the state, but currently does not require the
disclosure of pertinent information regarding hydraulic fracturing
or ascertain all specific types of production and exploration taking
place at permitted wells.
(c) Given California's geologic, seismic complexity, and its
finite and significantly compromised water resources, it is important
to collect basic information about natural resource production
processes. The state and the public should know when and where
hydraulic fracturing is occurring and what chemicals are being used
in the process.
SECTION 1. Article 3 (commencing with Section
3150) is added to Chapter 1 of Division 3 of the Public Resources
Code, to read:
Article 3. Hydraulic Fracturing
3150. "Additive" means a substance or combination of substances
added to a base fluid for purposes of preparing a hydraulic
fracturing fluid. An additive may, but is not required to, serve
additional purposes beyond the transmission of hydraulic pressure to
the geologic formation. An additive may be of any phase and includes
proppants.
3151. "Base fluid" means the continuous phase fluid used in the
makeup of a hydraulic fracturing fluid. The continuous phase fluid
may include, but is not limited to, water, and may be a liquid or a
gas.
3152. "Carrier fluid" means a base fluid into which additives are
mixed to form a hydraulic fracturing fluid.
3153. "Hydraulic fracturing" means a treatment used in
stimulating a well that involves the pressurized injection of
hydraulic fracturing fluid and proppants into an underground geologic
formation in order to fracture the formation, thereby causing or
enhancing, for the purposes of this division, the production of oil
or gas from a well.
3154. "Hydraulic fracturing fluid" means a carrier fluid mixed
with physical and chemical additives for the purpose of hydraulic
fracturing. A hydraulic fracturing treatment may include more than
one hydraulic fracturing fluid.
3155. "Proppants" means materials inserted or injected into the
underground geologic formation that are intended to prevent fractures
from closing.
3156. "Supplier" means an entity performing hydraulic fracturing
or an entity supplying an additive or proppant directly to the
operator for use in hydraulic fracturing.
3157. (a) The Legislature finds and declares that hydraulic
fracturing of oil and gas wells in combination with technological
advances in oil and gas well drilling are spurring oil and gas
extraction, as well as oil and gas exploration, in California.
(b) (1) On or before January 1, 2014, the division, in
consultation with the Department of Toxic Substances Control, the
State Air Resources Board, and the State Water Resources Control
Board, shall adopt rules and regulations specific to hydraulic
fracturing. The rules and regulations shall include, but are not
limited to, revisions, as needed, to the rules and regulations
governing construction of wells and well casings to ensure integrity
of wells, well casings, and the geologic and hydrologic isolation of
the oil and gas formation during and following hydraulic fracturing,
and full disclosure of the composition and disposition of hydraulic
fracturing fluids.
(2) Full disclosure of the composition and disposition of
hydraulic fracturing fluids shall, at a minimum, include:
(A) The date of the hydraulic fracturing.
(B) A complete list of the names, Chemical Abstract Service (CAS)
numbers, and maximum concentration, in percent by mass, of each and
every chemical constituent of the hydraulic fracturing fluids used.
If a CAS number does not exist for a chemical constituent, the well
owner or operator may provide another unique identifier, if
available. Chemical information claimed as a trade secret, pursuant
to subdivision (h), shall be identified as such and reported as
described in subdivision (h).
(C) The trade name, the supplier, and a brief description of the
intended purpose of each additive contained in the hydraulic
fracturing fluid.
(D) The total volume of carrier fluid used during hydraulic
fracturing, and the identification of whether the carrier fluid is
water suitable for irrigation or domestic purposes, water not
suitable for irrigation or domestic purposes, or a fluid other than
water.
(E) The total volume of base fluid, if not reported as a carrier
fluid, used during hydraulic fracturing, and the identification of
whether the base fluid is water suitable for irrigation or domestic
purposes, water not suitable for irrigation or domestic purposes, or
a fluid other than water.
(F) The source, volume, and disposition of all water, including,
but not limited to, all water used as base and carrier fluids, used
during hydraulic fracturing and recovered from the well following
hydraulic fracturing that is not otherwise reported as produced water
pursuant to Section 3227.
(G) The disposition of all hydraulic fracturing fluids other than
water.
(H) Any radiological components or tracers injected into the well
as part of the hydraulic fracturing process, a description of the
recovery method, if any, for those components or tracers, the amount
recovered, if any, and the disposal method for recovered components
or tracers.
(I) The radioactivity of the recovered hydraulic fracturing
fluids.
(J) The location of the portion of the well subject to the
hydraulic fracturing treatment and the extent of the fracturing
surrounding the well induced by the treatment using the methodology
determined by the division.
(c) (1) Notwithstanding any other law or regulation, at least 30
days prior to commencing a hydraulic fracturing treatment on a well,
the operator shall file a written notice of intention to commence the
hydraulic fracturing treatment with the supervisor or district
deputy. The notice shall contain the pertinent data the supervisor
requires on printed forms supplied by the division or on other forms
acceptable to the supervisor. The hydraulic fracturing treatment
shall be completed within one year of filing the notice of intention.
The information provided in the notice shall include, but is not
limited to, the following:
(A) The well identification number and location.
(B) The time period during which the hydraulic fracturing
treatment is planned to occur.
(2) Within 10 days of receipt of the notice of intention, the
division shall make the notice of intention publicly available, post
it on the publicly accessible portion of the division's Internet Web
site, and notify the appropriate regional water quality control board
or boards as determined by where the well, including its subsurface
portion, is located.
(3) The operator shall provide notice to the division 72 hours
prior to the actual start of the hydraulic fracturing treatment in
order for the division to witness the treatment.
(d) If hydraulic fracturing is performed on a well, a supplier
that performs any part of hydraulic fracturing or provides additives
directly to the operator for hydraulic fracturing shall furnish the
operator with information needed for the operator to comply with
subdivision (e). If a supplier claims trade secret protection
pursuant to subdivision (h), the supplier shall notify the operator
and provide to the operator substitute information, as described in
subdivision (h), suitable for public disclosure. This information
shall be accurate and shall be provided as soon as possible but no
later than 30 days following the conclusion of the hydraulic
fracturing.
(e) (1) Within 60 days following cessation of hydraulic fracturing
on a well, the operator shall post or cause to have posted to an
Internet Web site designated or maintained by the division and
accessible to the public, all of the hydraulic fracturing fluid
composition and disposition information required to be collected
pursuant to rules and regulations adopted under subdivision (b),
including well identification number and location.
(2) The division may designate a publicly accessible Internet Web
site, developed by the Ground Water Protection Council and the
Interstate Oil and Gas Compact Commission for the posting of the data
pursuant to paragraph (1), if all of the following requirements are
met by January 1, 2015:
(A) The information is organized on that Internet Web site in a
format such as a spreadsheet that allows the public to easily search
and aggregate, to the extent practicable, each type of information
required to be collected pursuant to subdivision (b) using search
functions on that Internet Web site.
(B) The Internet Web site permits any person to export, copy, or
otherwise obtain in electronic format the data submitted pursuant to
subdivision (b) from that Internet Web site. Once obtained, there
shall be no restrictions on the possession or further distribution,
modification, transmission, or reproduction of any information
submitted pursuant to this section in any form and by any means and
no prior authorization shall be required.
(3) If an Internet Web site is not designated by the division
pursuant to paragraph (2), the division shall maintain a publicly
accessible Internet Web site, in compliance with subparagraphs (A)
and (B) of paragraph (2), for the posting of the data required
pursuant to paragraph (1).
(f) The operator is responsible for compliance with this section.
(g) In developing regulations for hydraulic fracturing pursuant to
subdivision (b), the supervisor shall take into consideration and
document the risk posed by potential seismicity.
(h) (1) The supplier may claim trade secret protection for the
chemical composition of additives pursuant to Section 1060 of the
Evidence Code, or the Uniform Trade Secrets Act (Title 5 (commencing
with Section 3426) of Part 1 of Division 4 of the Civil Code).
(2) If a supplier believes that information regarding a chemical
constituent of a hydraulic fracturing fluid is a trade secret, the
supplier shall nevertheless disclose the information to the division
within 30 days following cessation of hydraulic fracturing on a well,
and shall notify the division in writing of that belief.
(3) The supplier is not required to disclose trade secret
information to the operator.
(4) This subdivision does not permit a supplier to refuse to
disclose the information required pursuant to this section to the
division.
(5) To comply with the public disclosure requirements of this
section, the supplier shall indicate where trade secret information
has been withheld and the specific name of a chemical constituent
shall be replaced with the chemical family name or similar descriptor
associated with the trade secret chemical information.
(6) (A) Except as provided in subparagraph (B) of paragraph (8),
the division shall protect from disclosure any trade secret
designated as such by the supplier, if that trade secret is not a
public record.
(B) Except as provided in subparagraph (B) of paragraph (8),
information claimed as trade secret is not a public record for
purposes of Chapter 9.6 (commencing with Section 3250) of Division 4
of Title 1 of the Government Code.
(7) The supplier shall notify the division in writing within 30
days of any changes to information provided to the division to
support a trade secret claim.
(8) Upon receipt of a request for the release of information to
the public, which includes information the supplier has notified the
division is a trade secret and is not a public record, the following
procedure applies:
(A) The division shall notify the supplier of the request in
writing by certified mail, return receipt requested.
(B) The division shall release the information to the public, but
not earlier than 60 days after the date of mailing the notice of the
request for information, unless, prior to the expiration of the
60-day period, the supplier obtains an action in an appropriate court
for a declaratory judgment that the information is subject to
protection or for a preliminary injunction prohibiting disclosure of
the information to the public and provides notice to the division of
that action.
(9) Except as provided in subparagraph (B) of paragraph (8), trade
secret information is not a public record and shall not be disclosed
to anyone except to an officer or employee of the division, the
state, or the United States, in connection with the official duties
of that officer or employee, to a health professional, under any law
for the protection of health, or to contractors with the division or
the state and its employees if, in the opinion of the division,
disclosure is necessary and required for the satisfactory performance
of a contract, for performance of work, or to protect health and
safety.
(10) Except as provided in subparagraph (B) of paragraph (8), an
officer or employee of the division or former officer or employee
who, by virtue of that employment or official position, has
possession of, or has access to, any trade secret subject to this
section, and who, knowing that disclosure of the information to the
general public is prohibited by this section, knowingly and willfully
discloses the information in any manner to any person not entitled
to receive it, is guilty of a misdemeanor. A contractor of the
division and any employee of the contractor who has been furnished
information as authorized by this section shall be considered an
employee of the division for purposes of this section.
(11) In the event of exposure to hydraulic fracturing fluids
necessitating medical care, the person receiving the care shall have
the right to petition the division to disclose relevant trade secret
information in order to receive appropriate medical care.
(i) This section does not apply to routine tests to monitor the
integrity of wells and well casings.
(j) A well granted confidential status pursuant to Section 3234
shall not be required to comply with the public disclosure of
hydraulic fracturing fluids pursuant to subdivision (e) until the
confidential status of the well ceases.
(k) (1) Whenever it appears that any person is violating or
threatening to violate any provision of this section, the supervisor
may bring suit against the person in the superior court of any county
where the violation occurs or is threatened, to restrain the person
from continuing the violation or from carrying out the threat of
violation. Upon the filing of the suit, summons issued to the person
may be directed to the sheriff or his or her deputies. In the suit,
the court has jurisdiction to grant to the supervisor any final
prohibitory and mandatory injunctions that the facts warrant.
(2) If the supervisor fails to bring suit to enjoin a violation or
threatened violation of any provision of this section, or any rule,
regulation, or order of the supervisor within 30 days after receipt
of written request to do so by any person who is or will be adversely
affected by the violation, the person making the request may bring
suit in the person's own behalf to restrain the violation or
threatened violation in any court in which the supervisor might have
brought suit. If in the suit, the court holds that injunctive relief
should be granted, the supervisor shall be made a party and shall be
substituted for the person who brought the suit, and the injunction
shall be issued as if the supervisor had at all times been the
plaintiff.
(3) A civil action for damages shall not lie against any person
for the violation of this section or any rule, regulation, or order
of the supervisor issued to implement or enforce this section. If the
supervisor brings a suit or action pursuant to paragraph (1), a
defendant or intervenor shall not cross-complain or otherwise bring
an action in the same proceeding against any other person for damages
or for any other purpose.
3158. (a) Within 60 days after the date of cessation of hydraulic
fracturing, the owner or operator shall file with the district
deputy, in a form approved by the supervisor, true copies of the log,
core record, and history of work performed, and, if made, true and
reproducible copies of all electrical, physical, or chemical logs,
tests, or surveys. Upon a showing of hardship, the supervisor may
extend the time within which to comply with this section for a period
not to exceed 60 additional days.
(b) The supervisor shall include information provided pursuant to
subdivision (e) of Section 3157 on existing publicly accessible maps
on the division's Internet Web site, and make the information
available such that hydraulic fracturing and related information are
associated with each specific well. If data are reported on an
Internet Web site not maintained by the division pursuant to
paragraph (2) of subdivision (e) of Section 3157, the division shall
provide electronic links to that Internet Web site. The public shall
be able to search and sort the hydraulic fracturing and related
information by at least the following criteria:
(1) Geographic area.
(2) Additive.
(3) Chemical constituent.
(4) Chemical Abstract Service number.
(5) Time period.
(6) Operator.
(c) On or before January 1, 2016, and annually thereafter, the
supervisor shall prepare and transmit to the Legislature a
comprehensive report on hydraulic fracturing in the exploration and
production of oil and gas resources in California. The report shall
include aggregated data of all of the information required to be
reported pursuant to Section 3157 reported by district, county, and
operator. The report also shall include relevant additional
information, as necessary, including, but not limited to, all the
following:
(1) Aggregated data detailing the disposition of any produced
water from wells that have undergone hydraulic fracturing.
(2) Aggregated data detailing the names and locations of seismic
faults within a distance from the well bore in any direction equal to
five times the fracture zone length and the names and locations of
seismic faults whose movement is reasonably anticipated to impact the
integrity of the well, well casing, and oil and gas formation.
(3) The number of emergency responses to a spill or release.
(4) Aggregated data detailing the number of times trade secret
information was not provided to the public, by county and by each
company, in the preceding year.
(5) Data detailing the loss of well and well casing integrity in
the preceding year for wells that have undergone hydraulic fracturing
treatment. For comparative purposes, data detailing the loss of well
and well casing integrity in the preceding year for all wells shall
also be provided. The cause of each well and well casing failure, if
known, shall also be provided.
(d) The report shall be made publicly available and an electronic
version shall be available on the division's Internet Web site.
(e) (1) The requirement for submitting a report imposed under
subdivision (c) is inoperative on January 1, 2020, pursuant to
Section 10231.5 of the Government Code.
(2) A report to be submitted pursuant to subdivision (c) shall be
submitted in compliance with Section 9795 of the Government Code.
SEC. 2. Section 3213 of the Public Resources Code is amended to
read:
3213. The history shall show the location and amount of
sidetracked casings, tools, or other material, the depth and quantity
of cement in cement plugs, the shots of dynamite or other
explosives, and the results of production and
other tests during drilling operations. All data on
hydraulic fracturing treatments pursuant to Section 3157 shall be
recorded in the history. operations, and the
information required pursuant to Section 3156.
SEC. 3. Article 3 (commencing with Section 3150)
is added to Chapter 1 of Division 3 of the Public
Resources Code , to read:
Article 3. Hydraulic Fracturing
3150. "Chemical Abstracts Service" means the division of the
American Chemical Society that is the globally recognized authority
for information on chemical substances.
3151. "Chemical Abstracts Service (CAS) number" means the unique
identification number assigned to a chemical by the Chemical
Abstracts Service.
3152. "Hydraulic fracturing" is a well stimulation treatment that
may include the application of hydraulic fracturing fluids into an
underground geologic formation in order to create fractures in the
formation, thereby causing or improving the production of oil or gas
from a well.
3153. "Hydraulic fracturing fluid" includes water or other
carrier fluids that may be mixed with physical and chemical additives
for the purpose of hydraulic fracturing. The additives may, but are
not required to, serve additional purposes beyond the transmission of
hydraulic pressure to the geologic formation. Additives may be of
any phase and may include proppants.
3154. "Proppants" are materials inserted or injected into the
formation that are intended to prevent newly created or enhanced
fractures from closing.
3155. "Supplier" means an entity performing hydraulic fracturing
or a person supplying an additive or proppant directly to the
operator for use in hydraulic fracturing a well.
3156. If hydraulic fracturing is performed on a well, the owner
or operator of the well shall provide to the supervisor, or shall
arrange with the supplier to provide to the supervisor, and shall
include in the well history maintained pursuant to Section 3213, all
of the following information, except for information claimed as a
trade secret pursuant to Section 3158:
(a) A complete list of the chemical constituents formulated for
use in the hydraulic fracturing fluid that is injected into the well
and each chemical's associated CAS numbers. Where the CAS number does
not exist, the operator or supplier may provide another unique
identifier where available.
(b) The purpose of each additive contained in the hydraulic
fracturing fluid.
(c) The estimated total amount of the additives in the hydraulic
fracturing fluid.
(d) The estimated maximum concentration of each chemical
constituent in the additive as disclosed on a material safety data
sheet in the hydraulic fracturing fluid expressed as a percentage by
mass.
(e) The estimated maximum concentration of each chemical
constituent disclosed on a material safety data sheet in the
hydraulic fracturing fluid, expressed as a percentage by mass.
(f) The amount and source of any water suitable for irrigation or
domestic purposes used to conduct the hydraulic fracturing treatment
of the well.
(g) The amount and disposition of water and hydraulic fracturing
fluid recovered from each well where hydraulic fracturing occurred
prior to the reporting of
the water produced pursuant to Section 3227.
(h) Any radiological components or tracers injected into the well
as part of the hydraulic fracturing process and a description of the
recovery method, if any, for those components or tracers, the
recovery rate, and the disposal method for recovered components or
tracers.
3157. (a) The owner or operator of a well may request in writing
that the information required by Section 3156 be considered
confidential information pursuant to Section 3234.
(b) For nonexploratory wells where hydraulic fracturing is used to
complete or rework a well, the owner or operator may request in
writing that the information required by Section 3156 be considered
confidential information pursuant to Section 3234.
(c) This section shall become inoperative on January 1, 2017, and,
as of that date, is repealed, unless a later enacted statute, that
becomes operative on or before January 1, 2017, deletes or extends
the date on which it becomes inoperative and is repealed.
3157.5. (a) The owner or operator, of a well may request in
writing that the information required by Section 3156 be considered
confidential information pursuant to Section 3234.
(b) This section shall become operative on January 1, 2017.
3158. (a) The owner, operator, or supplier who provides
information to the supervisor in accordance with Section 3156 may, at
the time of submission, submit to the supervisor a claim in writing
that some or all of the information is protected trade secret
information as defined in the Uniform Trade Secrets Act (Title 5
(commencing with Section 3426) of Part 1 of Division 4 of the Civil
Code).
(b) The written claim submitted to the supervisor under paragraph
(a) shall state the reasons for the trade secret information and
provide specific supporting documentation.
3159. (a) The owner, operator, or supplier who provides
information to the supervisor and who claims trade secret protection
shall submit two versions of the information required under Section
3156 as follows:
(1) The first version shall be labeled "Confidential Information -
Do Not Disclose" and shall include all the information required
under Section 3156.
(2) (A) The second version shall be labeled "Public Information -
This Information shall be Disclosed to the Public," provide an
explanation of the basis for the claim of trade secrecy, and include
all of the information required under Section 3156, except that the
specific name of any constituent that is claimed as trade secret
information shall be replaced with the chemical family associated
with the trade secret constituent, the corresponding CAS number shall
be replaced with the phrase "Trade Secret Information," and all
other trade secret information shall be redacted.
(B) The information contained in the version pursuant to paragraph
(2) shall be made available to the public in accordance with Section
3215 or upon request by a member of the public pursuant to Chapter
3.5 (commencing with Section 6250) of Division 7 of Title 1 of the
Government Code.
(b) The supervisor shall keep the version under paragraph (1) of
subdivision (a) confidential until the person claiming trade secret
protection waives its claim pursuant to subdivision (d) of Section
3161 or the claim of trade secret protection is determined to be
invalid by a court of competent jurisdiction.
3160. If the person claiming trade secret protection pursuant to
Section 3158 is a supplier, the supplier shall only provide the well
owner or operator with the version pursuant to paragraph (2) of
subdivision (a) of Section 3159 so the owner or operator may include
the information required in the history of the drilling of the well
pursuant to Section 3213.
3161. (a) (1) The supervisor, upon his or her own initiative, may
determine whether any or all of the information claimed as a trade
secret pursuant to Section 3158 has been properly claimed as trade
secret information. If the supervisor determines that the information
is not trade secret, the supervisor shall provide written
notification of the determination to the person who furnished the
information within 45 days. The written notification shall be sent by
certified mail.
(2) Upon receipt of a request for public information pursuant to
Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1
of the Government Code, the supervisor shall determine whether any or
all of the information claimed as a trade secret pursuant Section
3158 has been properly claimed as trade secret information. If the
supervisor determines that the information is not trade secret, the
supervisor shall provide written notification of the determination to
the person who furnished the information within 45 days. The written
notification shall be sent by certified mail.
(b) (1) The person who provided the trade secret information under
Section 3159 shall have 30 days from the date of receipt of a
written notification of the determination under subdivision (a) to
provide the supervisor with additional written justification of the
grounds on which trade secret protection is claimed. The additional
written justification shall be submitted by certified mail.
(2) The additional written justification is not a public record
under subdivision (e) of Section 6252 of the Government Code, and
shall be disclosed by the supervisor only to state employees with a
clear need to know the information to reassess the trade secrecy
determination.
(c) (1) The supervisor shall make a final determination on whether
the additional written justification under subdivision (b) satisfies
a claim for trade secret protection, within 45 days of the date of
receipt of the additional written justification.
(A) If the supervisor makes a final determination that the
information is not protected as a trade secret, the supervisor,
within 45 days, shall send a copy of the final determination to the
person who provided the additional written justification, specifying
a date, not sooner than 30 days from the date of the mailing of the
final determination, when the information claimed to be trade secret
information shall be made available to the public. The notice of the
final determination shall be sent by certified mail.
(2) If the supervisor makes a final determination that the
information is protected as a trade secret, the supervisor, within 45
days, shall send a copy of the final determination, including
information stating that the determination may be challenged in
court, to the person who provided the additional written
justification and to any person who requested the information
pursuant to Chapter 3.5 (commencing with Section 6250) of Division 7
of Title 1 of the Government Code. The notice of the final
determination shall be sent by certified mail.
(d) (1) A person claiming trade secret protection shall be deemed
to have waived his or her claim for trade secret protection if, on
the date when the final notice states that the information shall be
made available to the public pursuant to subparagraph (A) of
paragraph (1) of subdivision (c), he or she has not filed an action
in a court of competent jurisdiction for a declaratory judgment or
injunction prohibiting disclosure of the information by the
supervisor after a final determination under subdivision (c).
(2) A person claiming trade secret protection may, at any time,
waive a claim of trade secret protection by submitting a voluntary
waiver of the claim to the supervisor in writing.
3162. (a) The supervisor may disclose information claimed as
trade secret information to an officer or employee of the county,
city, state, or federal government who has a clear need for the trade
secret information for an enforcement action or emergency response.
(b) The information provided under subdivision (a) shall be
clearly labeled as "Confidential trade secret information."
(c) An officer or employee who receive information under
subdivision (a) shall maintain the confidentiality of the information
and shall destroy all copies received once the need for the
information has ended.
3163. Nothing in this article is intended to change or supersede
the disclosure of information pursuant to the California Occupational
Safety and Health Act of 1973 (Part 1 (commencing with Section
6300), Division 5, Labor Code), the requirements of Article 1
(commencing with Section 25500) of Chapter 6.95 concerning hazardous
material release response plans and inventories, the Porter-Cologne
Water Quality Control Act (Division 7 (commencing with Section
13000), Water Code), or any other state or federal act allowing the
disclosure of chemical information.
SEC. 4. Section 3215 of the Public
Resources Code is amended to read:
3215. (a) Within 60 days after the date of
cessation of drilling, rework, hydraulic fracturing, or
abandonment operations, or the date of suspension of operations,
the owner or operator shall file with the district deputy, in a
form approved by the supervisor, true copies of the
log, core record, and history of work performed, and, if made, true
and reproducible copies of all electrical, physical, or chemical
logs, tests, or surveys in such form as the supervisor may
approve shall be filed with the district deputy . Upon a
showing of hardship, the supervisor may extend the time within which
to comply with the provisions of this section for
a period not to exceed 60 additional days.
(b) (1) The supervisor shall post the information provided
pursuant to Section 3156 and that is not claimed as a trade secret
pursuant to Section 3158 to existing Internet maps on the division's
Internet Web site, and shall make that information available to the
public in a way that the information is associated with each specific
well where chemicals are injected for purposes of hydraulic
fracturing.
(2) For purposes of complying with the posting requirements of
paragraph (1), the supervisor may use an existing public Internet Web
site administered by the Ground Water Protection Council or the
Interstate Oil and Gas Compact Commission if both of the following
are met:
(A) The information is transmitted and posted to the public
Internet Web site in a form and manner approved by the supervisor and
includes the information provided to the supervisor pursuant to
Section 3156, except for trade secret information pursuant to Section
3158.
(B) There is an electronic link from the wells represented on the
division's existing internet maps that allows members of the public
to view the information about specific wells based on their location.
SEC. 5. Section 3215.5 is added to the
Public Resources Code , to read:
3215.5. (a) On or before January 1, 2014, and annually
thereafter, the supervisor shall prepare and transmit to the
Legislature a comprehensive report regarding hydraulic fracturing in
oil and gas exploration and production in California, using the
information provided pursuant to Section 3156. Where the information
involves trade secret protection, the supervisor shall only use
information provided pursuant paragraph (2) of subdivision (a) of
Section 3159 to complete the report. The report shall additionally
include, but is not limited to, the following relevant information:
(1) The disposition of water used in the treatments.
(2) Aggregated data detailing the volumes of each chemical used in
hydraulic fracturing treatments in the state, in each county, and by
each company, during the preceding year.
(b) A report to the Legislature pursuant to subdivision (a) shall
be submitted in compliance with Section 9795 of the Government Code.
(c) The requirement for submitting the report pursuant to
subdivision (a) is inoperative seven years after the date the first
report is due, pursuant to Section 10231.5 of the Government Code.
SEC. 3. SEC. 6. No reimbursement is
required by this act pursuant to Section 6 of Article XIII 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
B of the California Constitution.