BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                              Senator Wieckowski, Chair
                                2015 - 2016  Regular 
           
          Bill No:            AB 1842
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          |Author:    |Levine                                               |
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          |Version:   |4/27/2016              |Hearing      |6/29/2016       |
          |           |                       |Date:        |                |
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          |Urgency:   |No                     |Fiscal:      |Yes             |
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          |Consultant:|Rachel Machi Wagoner                                 |
          |           |                                                     |
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          SUBJECT:  Water:  pollution:  fines.

            ANALYSIS:
          
          Existing law:

          1)Provides for a base fine/ penalty of up to $2,000 on criminal  
            or $25,000 on civil polluters of state waters.

          2)Under criminal proceedings provides for up to a $10 additional  
            fine/ penalty per gallon or pound of material that is not  
            removed from state waters.  Provides for a similar penalty  
            under administrative proceedings.

          This bill:  


          1)Imposes an additional civil penalty of up to $10 per gallon or  
            pound of polluting material illegally discharged into state  
            waterways.  

          2)Requires the penalty to be reduced for every gallon or pound  
            of the illegally discharged material recovered and properly  
            disposed of by the responsible party.  

          3)Prohibits a person from being subject to both this penalty and  
            the civil penalties imposed under the Lempert-Keene-Seastrand  
            Oil Spill Prevention and Response Act.

            Comments







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          1)Purpose of Bill.  According to the author, AB 1842 protects  
            California's waterways by underscoring the importance of  
            appropriate sanctions that reflect the severity of a  
            violation.  California is home to some of the most beautiful  
            coastline, bays, estuaries, streams, and rivers in the nation.  
             Gross polluters of our waterways must be held accountable and  
            strong enforcement is needed.



          2)The Department of Fish and Wildlife has asked for a technical  
            amendment.  The Department would like the word "polluting"  
            stricken in reference to "polluting material discharged".   
            Because the Fish and Game Code Section 5650 prohibits specific  
            substances from being discharged, the word "polluting" may  
            imply that the civil penalty does not apply to the discharge  
            but rather whether the discharge is considered pollution.

            
          SOURCE:                    California District Attorneys Association  
           
          SUPPORT:               

          California League of Conservation Voters
          Natural Resources Defense Council  
           Sierra Club
           
          OPPOSITION:    

          Association of California Water Agencies
          California Association of Sanitation Districts (CASA)
          El Dorado Irrigation District  

           ARGUMENTS IN  
          SUPPORT:    

          According to the California District Attorneys Association,  
          which is the sponsor of the legislation, the inability to  
          utilize the surcharge as an enforcement tool for civil actions  
          hampers a prosecutors flexibility and in many cases is an  
          impediment to environmental protection.   









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          Environmental prosecution units throughout California help  
          ensure that those who pollute state waters are held accountable  
          for their conduct.

          When a polluter fouls state waters, the violator may face an  
          administrative, civil, or criminal proceeding.

          The polluter is also required to take clean up action and is  
          held responsible for removing and properly disposing of the  
          pollutant.  

          To help ensure that the polluter did as much clean up as  
          possible, the law also provides for a surcharge of $1 to $10 per  
          gallon or pound of material that is not removed from state  
          waters.  Unfortunately, as previously mentioned, this surcharge  
          is available only for criminal and administrative proceedings.   
          Not authorized for civil proceedings. 

          The disparity in existing law creates a loophole.  A prosecutor  
          who cannot bring an administrative action, and believes that the  
          conduct fell short of a criminal action, must then forego the  
          surcharge when filing a civil action.
           
           ARGUMENTS IN  
          OPPOSITION:  
            
           AB 1842 would expose public wastewater agencies to double  
          penalties for the same event. The bill would expand existing  
          penalty authority under the Fish and Game Code by authorizing  
          all 58 California District Attorneys (DAs) to pursue per gallon  
          penalties for pollutant discharges to state waters in a civil  
          proceeding. DAs are already allowed to pursue these penalties  
          criminally, and may also pursue a penalty of $25,000 for such  
          violations civilly.  While expanding the DAs ability to pursue  
          per gallon penalties civilly may be warranted to fill a gap, the  
          bill would result in the possibility of double penalties from  
          multiple sources being imposed on our members.

          CSA states that "dischargers, including local wastewater  
          agencies, which have already paid penalties to the State Water  
          Resources Control Board and/or Regional Water Quality Control  
          Boards (Water Boards) on a per gallon basis, could face another  
          set of per gallon penalties from local DAs for the same  
          discharge. This is both duplicative and unnecessarily punitive."








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          The opposition requests an amendment that would preclude a  
          district attorney from pursuing a civil penalty under the  
          provisions of this bill if SWRCB or a regional board has  
          recovered a civil penalty under the water code for the same  
          event and vice versa.

          The concern with the CASA proposed amendment is that this  
          amendment would inappropriately try to limit civil liability for  
          discharges that violate both the Fish and Game Code and the  
          Water Code.  California law makes specific agencies responsible  
          for implementing specific statutes and regulations in order to  
          protect different aspects of the public interest, as identified  
          by the Legislature.  The Department of Fish and Wildlife is  
          charged with implementing provisions of the Fish and Game Code,  
          including regulating activities to protect fish and wildlife and  
          taking enforcement actions against parties that violate the Fish  
          and Game Code and associated regulations and can thereby  
          adversely affect fish and wildlife. Similarly, the State Water  
          Resources Control Board and Regional Water Quality Control  
          Boards are charged with implementing provisions of the Water  
          Code, including regulating discharges to protect water quality  
          and taking enforcement against parties who violate the Water  
          Code and associated regulations and can thereby adversely affect  
          water quality.  

          A party that conducts an activity that adversely affects both  
          fish and wildlife and water quality should appropriately be  
          subject to enforcement actions for both harms to the public  
          interest.  For example, on the Costco Busan Oil spill which  
          resulted in a release of 64,000 gallons of oil into San  
          Francisco Bay, both the State Water Board and the Department of  
          Fish and Wildlife took enforcement actions under their  
          respective authorities to protect water quality and to protect  
          fish and wildlife.  Similarly, in the area of underground  
          storage tank regulation, a single action by an operator that  
          leads to an unauthorized release of petroleum from an  
          underground storage tank could lead to enforcement actions by  
          the Department of Toxic Substances Control or a Certified  
          Unified Program Agency for violation of hazardous waste laws and  
          as well by a Regional Water Board for adverse impacts to ground  
          water.  Most statutory penalty schemes under California law are  
          non-exclusive.  Therefore, the requested amendment would have  
          deleterious effects on enforcement action taken by either  








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          entity.
                                          
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