BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1420


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          Date of Hearing:  May 13, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          1420 (Salas) - As Amended April 21, 2015


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          |Policy       |Natural Resources              |Vote:|9 - 0        |
          |Committee:   |                               |     |             |
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          |-------------+-------------------------------+-----+-------------|
          |             |Environmental Safety and Toxic |     |5 - 0        |
          |             |Materials                      |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
          |-------------+-------------------------------+-----+-------------|
          |             |                               |     |             |
          |             |                               |     |             |
          |             |                               |     |             |
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          Urgency:  No  State Mandated Local Program:  YesReimbursable:   
          No


          SUMMARY:


          This bill establishes a process for assessing the risk of leaks  
          in gas pipelines and providing notification and assistance to  








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          residents affected by a leak.   Specifically, this bill:  


          1)Provides when a local health officer is notified of a leak in  
            a pipeline regulated by the Division of Oil, Gas and  
            Geothermal Resources (DOGGR), and the officer makes a  
            determination that the leak poses a risk to public health, the  
            officer shall do all of the following:


             a)   Work collaboratively with DOGGR and the owner or  
               operator of the pipeline.


             b)   Direct the responsible party to test the soil, air, and  
               water in the affected area for contamination caused by the  
               leak and disclose the results of the tests to the public.


             c)   Make a determination, based on the result of the tests,  
               on whether the leak poses a serious threat to the public  
               health and safety of residents affected by the leak, and  
               provide assistance to those residents.


          2)Requires DOGGR to prioritize the identification and testing of  
            all pipelines under its jurisdiction that are near sensitive  
            areas, such as residential areas and schools.


          3)Requires the operator of the pipeline to promptly notify the  
            local health officer and DOGGR of a leak.


          FISCAL EFFECT:


          Increased initial costs of approximately $130,000 for DOGGR to  
          identify and test specified pipelines in sensitive areas;  








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          ongoing estimated annual costs of $120.000 (special fund).


          COMMENTS:


          1)Rationale.  In early 2014, a gas leak was detected beneath the  
            community of Arvin, California.  A total of 8 families were  
            evacuated from their homes and were unable to return for  
            several months. Affected residents claimed to have smelled  
            gas, and complained of nosebleeds, headaches, coughing and  
            dizziness. Once the leak was detected, affected residents were  
            unclear where to get resources and information.  
            According to the author, this incident demonstrated a lack of  
            clarity in the law regarding the role of all involved  
            entities.   This bill establishes a clear process to follow to  
            protect the health, safety, and environment in the event of  
            gas leak.



          2)Background.  Under DOGGR's regulations governing pipeline  
            testing, operators are required to visually inspect all  
            aboveground pipelines for leaks and corrosion at least once a  
            year. For underground urban pipelines that are older than 10  
            years, over 4 inches in diameter, and are in environmentally  
            sensitive areas, testing every two years is required. 
            A county board of supervisors, a city council, or a state  
            agency may petition the Supervisor of DOGGR to include other  
            pipelines as environmentally sensitive. DOGGR regulations also  
            require an operator to promptly report significant gas leaks  
            to the appropriate DOGGR district office.


            The pipeline leak in Arvin was in an environmentally sensitive  
            area, but the pipeline was less than four inches and therefore  
            thousands of feet of pipeline had never been checked for  
            leaks. According to DOGGR the last time the pipeline was  
            inspected was August 8, 2011.  








                                                                    AB 1420


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            This bill requires DOGGR to prioritize the testing of all  
            pipelines under DOGGR's jurisdiction in sensitive places, such  
            as residents and schools.


          


          Analysis Prepared by:Jennifer Galehouse / APPR. / (916)  
          319-2081