AB 881, as amended, Chesbro. Oil spill prevention and administrative fee.
Existing law imposes an oil spill prevention and administration fee in an amount determined by the administrator to implement oil spill prevention activities, but not to exceed, until January 1, 2015, $0.065 per barrel of crude oil or petroleum products, on persons owning crude oil or petroleum products at a marine terminal and thereafter the fee is not to exceed $0.05 per barrel. The fee is deposited into the Oil Spill Prevention and Administration Fund in the State Treasury. Upon appropriation by the Legislature, moneys in the fund are available for specified purposes, including to cover the costs incurred by the Oiled Wildlife Care Network for training and field collection and search and rescue activities.
This bill would, instead, on and after January 1, 2015, increase the maximum annual assessment to $0.07 per barrel of crude oil or petroleum products.begin insert The bill would also allow the assessment to cover the annual costs incurred by the Oiled Wildlife Care Network on and after January 1, 2015, and until January 1, 2016. The bill would, on and after January 1, 2016, continue the assessment of $0.07 per barrel of crude oil to cover the costs authorized under existing law.end insert
Existing law permits the administrator to charge a nontank vessel owner or operator a reasonable fee, to be collected with each application to obtain a certificate of financial responsibility, in an amount that is based upon the administrator’s costs in implementing oil spill prevention relating to nontank vessels.
end deleteThis bill would, on and after January 1, 2015, require the fee not to exceed $3,500 per nontank vessel but would give the administrator discretion to reduce the fee for nontank vessels that pose a reduced risk of pollution.
end deleteThis bill wouldbegin insert, until January 1, 2016,end insert allow the administrator to transfer up to $2,000,000 in funds from the Oil Spill Prevention and Administration Fund to the Oil Spill Response Trust Fund, as described, to fund specified activities of the Oiled Wildlife Care Network.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 8670.40 of the Government Code is
2amended to read:
(a) The State Board of Equalization shall collect a
4fee in an amount determined by the administrator to be sufficient
5to carry out the purposes set forth in subdivision (e), and a
6reasonable reserve for contingencies. The annual assessment shall
7not exceed six and one-half cents ($0.065) per barrel of crude oil
8or petroleum products.
9(b) (1) The oil spill prevention and administration fee shall be
10imposed upon a person owning crude oil at the time that crude oil
11is received at a marine terminal from within or outside the state,
12and upon a person who owns petroleum products at the time that
13those petroleum products are received at a marine terminal from
P3 1outside this
state. The fee shall be collected by the marine terminal
2operator from the owner of the crude oil or petroleum products
3based on each barrel of crude oil or petroleum products so received
4by means of a vessel operating in, through, or across the marine
5waters of the state. In addition, an operator of a pipeline shall pay
6the oil spill prevention and administration fee for each barrel of
7crude oil originating from a production facility in marine waters
8and transported in the state by means of a pipeline operating across,
9under, or through the marine waters of the state. The fees shall be
10remitted to the board by the terminal or pipeline operator on the
1125th day of the month based upon the number of barrels of crude
12oil or petroleum products received at a marine terminal or
13transported by pipeline during the preceding month. A fee shall
14not be imposed pursuant to this section with respect to crude oil
15or
petroleum products if the person who would be liable for that
16fee, or responsible for its collection, establishes that the fee has
17been collected by a terminal operator registered under this chapter
18or paid to the board with respect to the crude oil or petroleum
19product.
20(2) An owner of crude oil or petroleum products is liable for
21the fee until it has been paid to the board, except that payment to
22a marine terminal operator registered under this chapter is sufficient
23to relieve the owner from further liability for the fee.
24(3) On or before January 20, the administrator shall annually
25prepare a plan that projects revenues and expenses over three fiscal
26years, including the current year. Based on the plan, the
27administrator shall set the fee so that projected revenues, including
28any
interest, are equivalent to expenses as reflected in the current
29Budget Act and in the proposed budget submitted by the Governor.
30In setting the fee, the administrator may allow for a surplus if the
31administrator finds that revenues will be exhausted during the
32period covered by the plan or that the surplus is necessary to cover
33possible contingencies. The administrator shall notify the board
34of the adjusted fee rate, which shall be rounded to no more than
35four decimal places, to be effective the first day of the month
36beginning not less than 30 days from the date of the notification.
37(c) The moneys collected pursuant to subdivision (a) shall be
38deposited into the fund.
39(d) The board shall collect the fee and adopt regulations for
40implementing the fee collection program.
P4 1(e) The fee described in this section shall be collected solely
2for all of the following purposes:
3(1) To implement oil spill prevention programs through rules,
4regulations, leasing policies, guidelines, and inspections and to
5implement research into prevention and control technology.
6(2) To carry out studies that may lead to improved oil spill
7prevention and response.
8(3) To finance environmental and economic studies relating to
9the effects of oil spills.
10(4) To implement, install, and maintain emergency programs,
11equipment, and facilities to respond to, contain, and clean up oil
12spills and to
ensure that those operations will be carried out as
13intended.
14(5) To respond to an imminent threat of a spill in accordance
15with the provisions of Section 8670.62 pertaining to threatened
16discharges. The cumulative amount of an expenditure for this
17purpose shall not exceed the amount of one hundred thousand
18dollars ($100,000) in a fiscal year unless the administrator receives
19the approval of the Director of Finance and notification is given
20to the Joint Legislative Budget Committee. Commencing with the
211993-94 fiscal year, and each fiscal year thereafter, it is the intent
22of the Legislature that the annual Budget Act contain an
23appropriation of one hundred thousand dollars ($100,000) from
24the fund for the purpose of allowing the administrator to respond
25to threatened oil spills.
26(6) To reimburse the board for costs incurred to implement this
27chapter and to carry out Part 24 (commencing with Section 46001)
28of Division 2 of the Revenue and Taxation Code.
29(7) To cover costs incurred by the Oiled Wildlife Care Network
30established by Section 8670.37.5 for training and field collection,
31and search and rescue activities, pursuant to subdivision (g) of
32Section 8670.37.5.
33(f) The moneys deposited in the fund shall not be used for
34responding to an oil spill.
35(g) The moneys deposited in the fund shall not be used to
36provide a loan to any other fund.
37(h) This section shall remain in effect only until January 1, 2015,
38and
as of that date is repealed, unless a later enacted statute, that
39is enacted before January 1, 2015, deletes or extends that date.
Section 8670.40 is added to the Government Code, to
2read:
(a) The State Board of Equalization shall collect a
4fee in an amount determined by the administrator to be sufficient
5to carry out the purposes set forth in subdivision (e), and a
6reasonable reserve for contingencies. The annual assessment shall
7not exceed seven cents ($0.07) per barrel of crude oil or petroleum
8products.
9(b) (1) The oil spill prevention and administration fee shall be
10imposed upon a person owning crude oil at the time that crude oil
11is received at a marine terminal from within or outside the state,
12and upon a person who owns petroleum products at the time that
13those petroleum products are received at a marine terminal from
14outside
this state. The fee shall be collected by the marine terminal
15operator from the owner of the crude oil or petroleum products
16based on each barrel of crude oil or petroleum products so received
17by means of a vessel operating in, through, or across the marine
18waters of the state. In addition, an operator of a pipeline shall pay
19the oil spill prevention and administration fee for each barrel of
20crude oil originating from a production facility in marine waters
21and transported in the state by means of a pipeline operating across,
22under, or through the marine waters of the state. The fees shall be
23remitted to the board by the terminal or pipeline operator on the
2425th day of the month based upon the number of barrels of crude
25oil or petroleum products received at a marine terminal or
26transported by pipeline during the preceding month. A fee shall
27not be imposed pursuant to this section with respect to crude oil
28or
petroleum products if the person who would be liable for that
29fee, or responsible for its collection, establishes that the fee has
30been collected by a terminal operator registered under this chapter
31or paid to the board with respect to the crude oil or petroleum
32product.
33(2) An owner of crude oil or petroleum products is liable for
34the fee until it has been paid to the board, except that payment to
35a marine terminal operator registered under this chapter is sufficient
36to relieve the owner from further liability for the fee.
37(3) On or before January 20, the administrator shall annually
38prepare a plan that projects revenues and expenses over three fiscal
39years, including the current year. Based on the plan, the
40administrator shall set the fee so that projected revenues, including
P6 1any
interest, are equivalent to expenses as reflected in the current
2Budget Act and in the proposed budget submitted by the Governor.
3In setting the fee, the administrator may allow for a surplus if the
4administrator finds that revenues will be exhausted during the
5period covered by the plan or that the surplus is necessary to cover
6possible contingencies. The administrator shall notify the board
7of the adjusted fee rate, which shall be rounded to no more than
8four decimal places, to be effective the first day of the month
9beginning not less than 30 days from the date of the notification.
10(c) The moneys collected pursuant to subdivision (a) shall be
11deposited into the fund.
12(d) The board shall collect the fee and adopt regulations for
13implementing the fee collection program.
14(e) The fee described in this section shall be collected solely
15for all of the following purposes:
16(1) To implement oil spill prevention programs through rules,
17regulations, leasing policies, guidelines, and inspections and to
18implement research into prevention and control technology.
19(2) To carry out studies that may lead to improved oil spill
20prevention and response.
21(3) To finance environmental and economic studies relating to
22the effects of oil spills.
23(4) To implement, install, and maintain emergency programs,
24equipment, and facilities to respond to, contain, and clean up oil
25spills and to
ensure that those operations will be carried out as
26intended.
27(5) To respond to an imminent threat of a spill in accordance
28with the provisions of Section 8670.62 pertaining to threatened
29
discharges. The cumulative amount of an expenditure for this
30purpose shall not exceed the amount of one hundred thousand
31dollars ($100,000) in a fiscal year unless the administrator receives
32the approval of the Director of Finance and notification is given
33to the Joint Legislative Budget Committee. Commencing with the
341993-94 fiscal year, and each fiscal year thereafter, it is the intent
35of the Legislature that the annual Budget Act contain an
36appropriation of one hundred thousand dollars ($100,000) from
37the fund for the purpose of allowing the administrator to respond
38to threatened oil spills.
P7 1(6) To reimburse the board for costs incurred to implement this
2chapter and to carry out Part 24 (commencing with Section 46001)
3of Division 2 of the Revenue and Taxation Code.
4(7) To cover annual costs incurred by the Oiled Wildlife Care
5Network established by Section 8670.37.5, including costs for
6training and field collection, and search and rescue activities,
7pursuant to subdivision (g) of Section 8670.37.5.
8(f) The moneys deposited in the fund shall not be used for
9responding to an oil spill.
10(g) The moneys deposited in the fund shall not be used to
11provide a loan to any other fund.
12(h) This section shall become operative on January 1, 2015begin insert, and
13shall remain in effect only until January 1, 2016, and as of that
14date is repealed, unless a later enacted statute, that is enacted
15before January 1, 2016, deletes or extends that dateend insert.
begin insertSection 8670.40 is added to the end insertbegin insertGovernment Codeend insertbegin insert, to
17read:end insert
(a) The State Board of Equalization shall collect a
19fee in an amount determined by the administrator to be sufficient
20to carry out the purposes set forth in subdivision (e), and a
21reasonable reserve for contingencies. The annual assessment shall
22not exceed seven cents ($0.07) per barrel of crude oil or petroleum
23products.
24(b) (1) The oil spill prevention and administration fee shall be
25imposed upon a person owning crude oil at the time that crude oil
26is received at a marine terminal from within or outside the state,
27and upon a person who owns petroleum products at the time that
28those petroleum products are received at a marine terminal from
29outside this state. The fee shall be collected by the marine terminal
30operator
from the owner of the crude oil or petroleum products
31based on each barrel of crude oil or petroleum products so
32received by means of a vessel operating in, through, or across the
33marine waters of the state. In addition, an operator of a pipeline
34shall pay the oil spill prevention and administration fee for each
35barrel of crude oil originating from a production facility in marine
36waters and transported in the state by means of a pipeline
37operating across, under, or through the marine waters of the state.
38The fees shall be remitted to the board by the terminal or pipeline
39operator on the 25th day of the month based upon the number of
40barrels of crude oil or petroleum products received at a marine
P8 1terminal or transported by pipeline during the preceding month.
2A fee shall not be imposed pursuant to this section with respect to
3crude oil or petroleum products if the person who would be liable
4for that fee, or responsible for its collection, establishes that the
5fee has been collected by a terminal operator
registered under this
6chapter or paid to the board with respect to the crude oil or
7petroleum product.
8(2) An owner of crude oil or petroleum products is liable for
9the fee until it has been paid to the board, except that payment to
10a marine terminal operator registered under this chapter is
11sufficient to relieve the owner from further liability for the fee.
12(3) On or before January 20, the administrator shall annually
13prepare a plan that projects revenues and expenses over three
14fiscal years, including the current year. Based on the plan, the
15administrator shall set the fee so that projected revenues, including
16any interest, are equivalent to expenses as reflected in the current
17Budget Act and in the proposed budget submitted by the Governor.
18In setting the fee, the administrator may allow for a surplus if the
19administrator finds that revenues will be exhausted during the
20period
covered by the plan or that the surplus is necessary to cover
21possible contingencies. The administrator shall notify the board
22of the adjusted fee rate, which shall be rounded to no more than
23four decimal places, to be effective the first day of the month
24beginning not less than 30 days from the date of the notification.
25(c) The moneys collected pursuant to subdivision (a) shall be
26deposited into the fund.
27(d) The board shall collect the fee and adopt regulations for
28implementing the fee collection program.
29(e) The fee described in this section shall be collected solely for
30all of the following purposes:
31(1) To implement oil spill prevention programs through rules,
32regulations, leasing policies, guidelines, and inspections and to
33implement research into
prevention and control technology.
34(2) To carry out studies that may lead to improved oil spill
35prevention and response.
36(3) To finance environmental and economic studies relating to
37the effects of oil spills.
38(4) To implement, install, and maintain emergency programs,
39equipment, and facilities to respond to, contain, and clean up oil
P9 1spills and to ensure that those operations will be carried out as
2intended.
3(5) To respond to an imminent threat of a spill in accordance
4with the provisions of Section 8670.62 pertaining to threatened
5discharges. The cumulative amount of an expenditure for this
6purpose shall not exceed the amount of one hundred thousand
7dollars ($100,000) in a fiscal year unless the administrator receives
8the approval of the Director of
Finance and notification is given
9to the Joint Legislative Budget Committee. Commencing with the
101993-94 fiscal year, and each fiscal year thereafter, it is the intent
11of the Legislature that the annual Budget Act contain an
12appropriation of one hundred thousand dollars ($100,000) from
13the fund for the purpose of allowing the administrator to respond
14to threatened oil spills.
15(6) To reimburse the board for costs incurred to implement this
16chapter and to carry out Part 24 (commencing with Section 46001)
17of Division 2 of the Revenue and Taxation Code.
18(7) To cover costs incurred by the Oiled Wildlife Care Network
19established by Section 8670.37.5 for training and field collection,
20and search and rescue activities, pursuant to subdivision (g) of
21Section 8670.37.5.
22(f) The moneys deposited in the fund shall not be used
for
23responding to an oil spill.
24(g) The moneys deposited in the fund shall not be used to provide
25a loan to any other fund.
26(h) This section shall become operative on January 1, 2016.
Section 8670.41 of the Government Code is amended
28to read:
(a) The administrator shall charge a nontank vessel
30owner or operator a reasonable fee, to be collected with each
31application to obtain a certificate of financial responsibility, in an
32amount that is based upon the administrator’s costs in
33implementing this chapter relating to nontank vessels. Before
34January 1, 2005, the fee shall be two thousand five hundred dollars
35($2,500), or less per vessel.
36(b) The administrator may charge a reduced fee under this
37section for nontank vessels determined by the administrator to
38pose a reduced risk of pollution, including, but not limited to,
39vessels used for research or training and vessels that are moored
40permanently
or rarely move.
P10 1(c) The administrator shall deposit all revenue derived from the
2fees imposed under this section in the Oil Spill Prevention and
3Administration Fund established in the State Treasury under
4Section 8670.38.
5(d) Revenue derived from the fees imposed under this section
6may be spent for the purposes listed in subdivision (e) of Section
78670.40, and may not be used for responding to an oil spill.
8(e) This section shall remain in effect only until January 1, 2015,
9and as of that date is repealed, unless a later enacted statute, that
10is enacted before January 1, 2015, deletes or extends that date.
Section 8670.41 is added to the Government Code, to
12read:
(a) The administrator shall charge a nontank vessel
14owner or operator a reasonable fee, to be collected with each
15application to obtain a certificate of financial responsibility, in an
16amount not to exceed three thousand five hundred dollars ($3,500)
17per nontank vessel for the administrator’s costs in implementing
18this chapter relating to nontank vessels.
19(b) Notwithstanding subdivision (a), the administrator may
20charge a reduced fee under this section for nontank vessels
21determined by the administrator to pose a reduced risk of pollution,
22
including, but not limited to, vessels used for research or training
23and vessels that are moored permanently or rarely move.
24(c) The administrator shall deposit all revenue derived from the
25fees imposed under this section in the Oil Spill Prevention and
26Administration Fund established in the State Treasury under
27Section 8670.38.
28(d) Revenue derived from the fees imposed under this section
29may be spent for the purposes listed in subdivision (e) of Section
308670.40, and may not be used for responding to an oil spill.
31(e) This section shall become operative on January 1, 2015.
Section 8670.43 is added to the Government Code, to
34read:
begin insert(a)end insertbegin insert end insertTo the extent that the interest earned on the Oil
36Spill Response Trust Fund is insufficient to meet the appropriation
37in subparagraph (A) of paragraph (2) of subdivision (l) of Section
388670.48, the administrator may transfer up to two million dollars
39($2,000,000) in funds from the Oil Spill Prevention and
40Administration Fund to the Oil Spill Response Trust Fund to be
P11 1used, upon appropriation by the Legislature, to cover the annual
2costs of the Oiled Wildlife Care Network described in paragraph
3(7) of subdivision (e) of Section 8670.40.
4(b) This section shall remain in effect only until January 1, 2016,
5and as of that date is repealed, unless a later enacted statute, that
6is enacted before January 1, 2016, deletes or extends that date.
O
95