BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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          |SENATE RULES COMMITTEE            |                        AB 380|
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                                    THIRD READING


          Bill No:  AB 380
          Author:   Dickinson (D), et al.
          Amended:  8/21/14 in Senate
          Vote:     21

           
           SENATE ENVIRONMENTAL QUALITY COMMITTEE  :  6-0, 6/4/14
          AYES:  Hill, Gaines, Hancock, Jackson, Leno, Pavley
          NO VOTE RECORDED:  Fuller

           SENATE APPROPRIATIONS COMMITTEE  :  6-1, 8/11/14
          AYES:  De León, Gaines, Hill, Lara, Padilla, Steinberg
          NOES:  Walters

           ASSEMBLY FLOOR  :  Not relevant


           SUBJECT  :    Spill response for railroads

           SOURCE  :     Author 


           DIGEST  :    This bill requires rail carriers to submit specified  
          information regarding the transport of hazardous materials and  
          Bakken oil to the Office of Emergency Services (OES) for the  
          purposes of emergency response planning.

           Senate Floor Amendments  of 8/21/14 clarify a definition and the  
          disclosure of information.

           ANALYSIS  :    

          Existing federal law:
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          1. Requires that laws related to railroad safety shall be  
             nationally uniform "to the extent practicable" and allows a  
             state to adopt an additional or more stringent law under  
             certain conditions when not preempted by the Federal Railroad  
             Safety Act.

          2. Requires each state to have a State Emergency Response  
             Commission to coordinate and supervise federal programs  
             related to hazardous material emergencies and ensure public  
             availability of appropriate chemical information.

          3. Regulates hazardous materials transportation and requires  
             inspection of shipments by rail under regulations developed  
             by the federal Pipeline and Hazardous Materials Safety  
             Administration.

          4. Defines certain information related to transportation  
             security in the form of rail shipments and security as  
             Sensitive Security Information and places limits on the  
             dissemination of that information.

          Existing state law:

          1. Requires the OES to assist local governments in their  
             emergency preparedness, response, recovery, and hazard  
             mitigation efforts.

          2. Requires that all rail operators provide a risk assessment to  
             the Public Utilities Commission, the Director of Homeland  
             Security, and California Emergency Management Agency that  
             describes the locations, types, and frequency of hazardous  
             cargo movement through rail facilities, and training and  
             emergency response procedures.


          This bill:





          1. Requires rail carriers to submit to the OES the following  
             information:

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                 Retroactive information regarding the transport of the  
               25 largest hazardous material commodities through the state  
               for the previous three months.  These notifications would  
               be required every three months beginning January 31, 2015.


                 Prospective information regarding routes and volumes for  
               the planned weekly movements of trains containing Bakken  
               oil in amounts greater than one million gallons per train.   
               These notifications will be required once every six months  
               beginning January 31, 2015.  If there is an anticipated  
               change of volume that is plus or minus 25%, the rail  
               carrier must notify the OES within 30 days. 

                 A summary of the rail carrier's hazardous materials  
               emergency response plan.

          2. Requires OES to disseminate the information it receives from  
             the rail carriers to a unified program agency for the purpose  
             of developing emergency response plans when the office  
             determines that the agency may be impacted by a hazardous  
             material or oil cargo spill.

          3. Requires that OES provide access to the information provided  
             by the rail carriers in accordance with federal law. 

          4. Requires each rail carrier shall maintain a response  
             management communications center, which provides real-time  
             information to an authorized public safety answering point or  
             911 emergency response center about the train consist  
             involved in a hazardous material or oil cargo spill or other  
             critical incident, including, but not limited to, both of the  
             following:

             A.    Hazardous material movement shipping papers,  
                including a way bill or total trace, detailing the  
                hazardous material or oil cargo; and

             B.    Information that can assist the primary local public  
                safety agency in containing and safely removing a  
                hazardous material spill.


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          5. Prohibits a rail carrier's hazardous materials emergency  
             response plan summary from being posted on a public Web site.

          6. Clarify that the definition "Hazardous materials emergency  
             response plan" has the same meaning as "emergency response  
             program to hazardous substance release," as specified.

           Background
           
          The shipment of crude oil by rail in tank cars into California  
          is growing exponentially.  According to the Association of  
          American Railroads, roughly 400,000 carloads of crude oil  
          travelled to West Coast refineries in 2013.  This is a 4000%  
          increase when compared to the amount of oil shipped in 2008.   
          Looking at it another way, the volume of oil brought into  
          California by rail has gone from 45,000 barrels in 2008 to more  
          than six million barrels in 2013?a 135 fold increase.

          A series of derailments around the country have raised the  
          profile of increased crude by rail shipments among local, state,  
          and federal officials.  Large crude oil spills have led to  
          devastating and deadly fires and explosions.  According to data  
          from the pipeline and hazardous materials and safety  
          administration, the amount of crude oil spilled from rail cars  
          in 2013 exceeded the cumulative spill in the previous 40 years.   
          Further, an increasing amount of crude being shipped by rail  
          into California is largely from the Bakken oil fields and  
          Canadian tar sands.  Crude from the Bakken oil fields has been  
          shown to be highly volatile and explosive, and Canadian tar sand  
          oil particularly heavy and damaging to surface waters.  

          State and local emergency response agencies face new challenges  
          when dealing with this amount of hyper-flammable or heavy crude,  
          as well as an increasing amount of hazardous substances.  The  
          risk to life and property in the event of a crude oil by rail  
          accident has become enormous.  It is essential that emergency  
          response agencies have critical information about crude cargoes  
          that may be unavailable to them now, in order to be best able to  
          respond to crude by rail accidents, should they occur.  Further,  
          there must be greater transparency of plans developed to respond  
          to crude by rail emergencies.
           
          Prior Legislation


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           SB 48 (M. Thompson, Chapter 766, Statutes of 1991) established  
          the Railroad Accident Prevention and Immediate Deployment Force  
          (in order to provide immediate onsite response capability in the  
          event of a hazardous spill by rail.  Funds were also established  
          in order to pay for hazardous spill response, training, and  
          education.  This program ended following a sunset of the law on  
          December 31, 1995. 
           
          FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee, minor and  
          absorbable costs to the General Fund for OES to review and  
          disseminate appropriate information to unified program agencies.

           SUPPORT :   (Verified  8/21/14)

          California Fire Chiefs Association
          City of Sacramento
          Contra Costa County
          Western States Petroleum Association
          Yolo County Board of Supervisors

           OPPOSITION  :    (Verified  8/21/14)

          Sierra Club California

           ARGUMENTS IN SUPPORT  :    Western States Petroleum Association  
          writes, "At the federal, state and local levels, the petroleum  
          industry has been working with appropriate public safety,  
          emergency response agencies, and the railroad industry to ensure  
          the safe delivery of transportation fuels.  Recently, the  
          Federal Department of Transportation announced an emergency  
          order under requiring railroads transporting crude to notify  
          respective state emergency response commissions, such as the  
          Office of Emergency Services (OES), about crude oil deliveries.

          "AB 380 compliments the federal government's efforts by  
          requiring railroads to provide to OES, on a quarterly basis,  
          data for the 25 largest hazardous material commodities and crude  
          oil transported through California.  The data provided will be  
          by county and track routes, and is intended to provide OES the  
          ability to disseminate the information to certified unified  
          program agencies (CUPAs) that may be impacted by a hazardous  

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          material spill.  By providing a copy of a summary report of a  
          rail carrier's hazardous material business plan, with certain  
          safeguards in place to protect security sensitive information,  
          the agencies will be able to improve coordination and public  
          safety.  This improved coordination and planning is a positive  
          step towards meeting public safety expectations for transporting  
          crude-by-rail in California.

          "In addition to increasing coordination with CUPAs, AB 380 would  
          require that railroads maintain an emergency response  
          communications center that can provide information on train  
          composure, which should help state and local emergency  
          responders in their prevention, preparation, response, and  
          hazard mitigation efforts.  Overall, AB 380 compliments efforts  
          by the federal government to coordinate action under its  
          jurisdiction in California."

           ARGUMENTS IN OPPOSITION  :    Sierra Club California states that  
          this bill will, "[?] impose more restrictions than federal law  
          and federal agencies currently impose on information about  
          contents of railcars carrying crude oil.  The federal  
          transportation Security Administration (TSA) reported in  
          mid-June that it had not made a determination that information  
          about oil carried by rail should be included within the category  
          of security sensitive information.  Then, a few days later, the  
          federal Department of Transportation determined that oil by rail  
          information is not protected by federal law from disclosure.   
          Yet [this] bill identifies information about the crude carried  
          by rail as security sensitive information and it places new  
          restrictions on public access to that information.

          "Given this, Sierra Club California must take an oppose position  
          on the bill unless it is amended to remove language that would  
          include in state law new restrictions on information." 
           

          RM:d  8/22/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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