BILL ANALYSIS Ó
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
SB 888 (Allen) - Gas corporations: emergency management
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|Version: May 11, 2016 |Policy Vote: G.O. 9 - 0, E., |
| | U., & C. 9 - 2 |
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|Urgency: No |Mandate: No |
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|Hearing Date: May 27, 2016 |Consultant: Narisha Bonakdar |
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Bill
Summary: SB 888 declares the Office of Emergency Services (OES)
as the lead agency for emergency response to a significant leak
of natural gas from a natural gas storage facility. The bill
also directs the California Public Utilities (CPUC) to place any
penalties assessed against a gas corporation for a natural gas
storage facility leak into a special account and places
requirements and restrictions on the use of the monies in the
account.
*********** ANALYSIS ADDENDUM - SUSPENSE FILE ***********
The following information is revised to reflect amendments
adopted by the committee on May 27, 2016
Fiscal
Impact:
The annual cost of this bill would depend upon how many
"significant" leaks occur in that year. Both OES and ARB
provided the per incident costs below:
o Approximately $600 (including staffing and travel
SB 888 (Allen) Page 1 of
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costs) for OES to deploy an onsite coordinator. This
would be recovered from the responsible party.
o Approximately $100,000 (Oil, Gas and Geothermal
Administrative Fund) for ARB to contract for downwind
flights to characterize the natural gas release rate at
reasonable periodic intervals using small planes with
monitors to measure methane.
Unknown, but potentially significant, redirection of penalty
revenue from the General Fund to the Gas Storage Facility Leak
Mitigation Account created by this bill.
Committee
Amendments:
Clarifies that the Office of Emergency Services is the lead on
significant gas leaks that pose a present or potential hazard
to public health and safety, property, or to the environment.
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