BILL ANALYSIS Ó SB 421 Page 1 Date of Hearing: August 19, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair SB 421 (Hancock) - As Amended June 19, 2015 ----------------------------------------------------------------- |Policy |Judiciary |Vote:|10 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill, with respect to existing law governing petroleum refinery turnaround reports: SB 421 Page 2 1)Removes-in a case involving a motion to compel or prohibit disclosure of a refinery report containing trade secret information-the requirement for the court to provide an award of costs and attorney's fees to the prevailing party. (The court would maintain discretion to make such an award.) 2)Removes the requirement for a party-in a suit to compel or prohibit the disclosure of a refinery turnaround report containing trade secret information-to name the other party in the suit as a real party in interest, and instead allows either party to intervene in an action filed by the other party. 3)Requires the Division of Occupational Health and Safety, within the Department of Industrial Relations, if a person requesting the release of information identified by a refinery as a trade secret files an action against division to order disclosure of that information, to promptly notify the refinery of the action by certified mail. FISCAL EFFECT: Negligible fiscal impact to the division to provide notification as required. COMMENTS: Purpose. SB 1300 (Hancock)/ Chapter 519, Statutes of 2014, which stemmed from the Chevron USA refinery explosion in Richmond in 2012, required refineries to issue reports every year regarding planned, periodic shutdowns to perform maintenance, overhaul, and repair operations at the facilities, and to inspect, test and replace process materials and equipment. In his signing message, the Governor indicated that the author had agreed to introduce clean-up legislation to ensure that SB 1300 "does not SB 421 Page 3 authorize petroleum refineries to collect attorney's fees from individuals and organizations" who seek to obtain turnaround reports from the Division of Occupational Safety and Health (the Division). This bill removes the requirement in existing law that a court must award attorney's fees to the party who prevails in an action challenging the disclosure of information contained in a petroleum refinery turnaround report that contains information which the court determines is exempt as trade secret information from public disclosure (even when the prevailing party is a Refinery and the other party is an individual or organization seeking a turnaround report from the Division), but does not prohibit the award of attorney's fees to the prevailing party in such a case. This bill also clarifies that a Refinery that seeks to prevent disclosure of information in a turnaround report, or a party who seeks to obtain it, may intervene in an action regarding the disclosure of such information, but the intervener is not required to be named in the action as a party in interest. Analysis Prepared by:Chuck Nicol / APPR. / (916) 319-2081