BILL ANALYSIS Ó
AB 1420
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CONCURRENCE IN SENATE AMENDMENTS
AB
1420 (Salas)
As Amended September 4, 2015
Majority vote
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|ASSEMBLY: | 74-0 | (May 22, |SENATE: | 40-0 |(September 9, |
| | |2015) | | |2015) |
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Original Committee Reference: NAT. RES.
SUMMARY: Requires a local health officer to take specified
actions when there is a leak in a gas pipeline and requires the
Division of Oil, Gas and Geothermal Resources (DOGGR) to review
its gas pipeline regulations and update them, if needed.
The Senate amendments:
1)Require the responsibility party to be liable for the costs
incurred by the local health officer or his or her designee
implementing the requirements of this bill.
2)Specify that providing resident assistance and reimbursement
for local health officer expenses does not relieve a
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responsible party from liability for damages.
3)Rather than requiring DOGGR to prioritize the identification
and testing of all pipelines under its jurisdiction that are
near sensitive areas, such as residential areas and schools,
the amendments instead require DOGGR to review and evaluate,
and update as appropriate, its existing regulations regarding
all active gas pipelines that are four inches or less in
diameter, located in sensitive areas, and that are 10 years
old or older.
EXISTING LAW:
1)Requires DOGGR to prescribe minimum facility maintenance
standards for oil and gas production facilities, including
pipelines that are not under the jurisdiction of the State
Fire Marshal.
2)Requires minimum facility maintenance standards to include
standards for leak detection.
3)Establishes local health departments under the purview of the
local health officer. Prescribes various duties for those
local health departments, including supervising remediation
when hazardous waste is released and enforcing statutes
relating to public health.
FISCAL EFFECT: According to the Senate Appropriations
Committee, ongoing costs of less than $1 million to the Oil,
Gas, and Geothermal Administrative Fund (special) for personnel
and equipment necessary to identify all pipelines in sensitive
areas and to perform required mechanical integrity tests as
required.
COMMENTS: According to DOGGR's regulations governing pipeline
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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.
When asked about its responsibility for the March 2014 Arvin gas
leak, the Supervisor stated that DOGGR is responsible for the
pipeline that leaked. However, the pipeline "is not subject to
the periodic testing required of other, larger capacity line, or
lines that carry liquid hydrocarbons."
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 have never been checked for leaks.
DOGGR stated the last time the pipeline was inspected was August
8, 2011. This bill will require DOGGR to review its regulations
to ensure the integrity and operation of all active gas
pipelines that are four inches or less in diameter, located in
sensitive areas, and that are 10 years old or older.
DOGGR first learned of the leak on March 12 from the City of
Arvin, which had been working with Southern California Gas to
determine the source of the gas. DOGGR's staff met with Petro
Capital Resources (PCR) that same day and after further
examination determined that the mapping of PCR's pipelines was
incorrect and it was a PCR pipeline that was leaking. On March
13, PCR shut down the gas line. However, it was not until March
17 and 18 that testing revealed that there was a high level of
flammable gas outside of homes. The county then issued a
mandatory evacuation. This bill attempts to require local
health officers and DOGGR to work collaboratively from first
detection of a leak to protect and provide assistance to
residents.
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Analysis Prepared by:
Michael Jarred / NAT. RES. / (916) 319-2092 FN:
0002347