BILL ANALYSIS                                                                                                                                                                                                    �




                                                                  AB 1701
                                                                  PageA
          Date of Hearing:   March 20, 2012

           ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS
                                Bob Wieckowski, Chair
             AB 1701 (Wieckowski and Smyth) - As Amended:  March 8, 2012
           
          SUBJECT  :  Underground Storage tanks (UST):  local agency 
          certification.

           SUMMARY  : Provides for State certification of cities and counties 
          to oversee the cleanup of USTs.  Specifically,  this bill  :

          1)Requires a city or county to apply to the State Water 
            Resources Control Board (SWRCB) to be certified to implement 
            the local UST cleanup programs.

          2)Provides that only a certified city or county is authorized to 
            implement the local UST oversight cleanup program after July 
            1, 2013.

          3)Authorizes the SWRCB to certify a city or county that it 
            determines is qualified to oversee or perform the abatement 
            and require the SWRCB to adopt procedures and criteria for 
            certifying cities and counties.  Requires local agency 
            certification by the SWRCB to include a review, at a minimum, 
            of all of the following factors of the city or county 
            capacity:

             a)   Adequacy of the technical expertise possessed by the 
               city or county,
             b)   Adequacy of staff resources,
             c)   Adequacy of budget resources and funding mechanisms,
             d)   Training requirements,
             e)   Past performance in implementing and enforcing 
               corrective action requirements, and
             f)   Record keeping and accounting systems.

          4)Provides that if a local agency is not certified by the SWRCB, 
            after July 1, 2013, the SWRCB shall assign UST remediation 
            cases from that city or county to either the Regional Water 
            Quality control Board (RWQCB) or to a certified local program.

          5)Removes obsolete provisions of the UST cleanup program, 
            including the authority for the Santa Clara Valley Water 
            Agency to operate as the local UST oversight agency and for 









                                                                  AB 1701
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            the funding of these activities by the SWRCB.

           EXISTING LAW:  

          1)Regulates, generally, the storage of hazardous substances in 
            USTs and requires USTs that are used to store hazardous 
            substances to meet certain requirements, including that the 
            primary containment be product tight and that the tank's 
            secondary containment meet specified standards.

          2)Requires the Secretary of California Environmental Protection 
            Agency to establish a unified hazardous waste and hazardous 
            materials management regulatory program, known as the 
            Certified Unified Program Agency (CUPA), as a means of 
            consolidating the local rules or local ordinances relating to 
            the generation or handling of hazardous waste or hazardous 
            materials, as specified pursuant to Chapter 6.11 of the Health 
            and Safety Code (Sections 25404 et seq.).

          3)Requires, under the existing Barry Keene Underground Storage 
            Tank Cleanup Trust Fund Act of 1989 (Act), owners and 
            operators of petroleum USTs to take corrective action on an 
            unauthorized release of petroleum, including requirements for 
            the preparation of a work plan.

          4)Defines "local agency" as the local agency authorized to 
            implement the law (e.g., CUPA), city or county under certain 
            conditions.  Authorizes a CUPA to enter into a written 
            agreement with other state or local agencies (participating 
            agencies) to implement or enforce one or more of the unified 
            program elements (including the UST element).

          5)Directs the SWRCB to create and implement a local oversight 
            program for the abatement or releases from USTs.  Directs the 
            SWRCB to select local agencies to participate in the oversight 
            program that have implemented the law and that collect and 
            transmit fees and surcharges from UST permit holders to cover 
            local agency and SWRCB costs.

          6)Authorizes local agencies to, by ordinance, assume 
            responsibility for the implementation of the UST Act if there 
            is no CUPA approved before January 1, 1997.

           FISCAL EFFECT  :   Not known.










                                                                  AB 1701
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           COMMENTS  :

           1)Need for the bill  .  According to the author, "Leaks from 
            underground storage tanks (UST) represent a threat to 
            California groundwater and land resources.  Even a small 
            amount of petroleum released from a leaking UST can 
            contaminate groundwater.  The multiple local agencies with 
            reasonability for cleanup oversight result in highly varied 
            local requirements and processes for the cleanup of 
            underground tanks.  This variability has led to delays in site 
            cleanups and increased state and business costs."

          2)On November 30, 2011 the Assembly Environmental Safety and 
            Toxic Materials Committee conducted an oversight hearing on 
            the state and local regulation and management of USTs 
            containing hazardous materials including petroleum.  The 
            hearing held in San Jose reviewed policies and actions to 
            increase the efficiency and timeliness of UST cleanups.  One 
            of the findings from the hearing was the need to standardize 
            local agency oversight of cleanups to provide timely closure 
            of sites.

            Oversight of UST cleanup is currently carried out by a range 
            of State and local agencies including 9 RWQCB, 22 local 
            oversight programs (LOPs), and over 90 local implementing 
            agencies (LIAs).  The multiple local agencies with 
            reasonability for cleanup oversight result in highly varied 
            local requirements and processes for the cleanup of USTs.  
            This variability has led to delays in site cleanups and 
            increased state and business costs.  According to the United 
            States Environmental Protection Agency (US EPA), as of 
            February 2009, there were 10,274 leaking USTs remaining to be 
            cleaned up in California.

          3)The US EPA completed a review of UST cleanup in California in 
            2011 and found, among other issues that, "Regional Water 
            Quality Control Boards (RWQCBs), Local Oversight Program (LOP) 
            agencies, and Local Implementing Agencies (LIAs) such as 
            county health agencies and fire departments direct the 
            investigation and cleanup of releases in California. The state 
            provides funding to RWQCBs and LOPs, but it does not fund or 
            have statutory authority over the LIAs.  According to 
            GeoTracker, California's mandated electronic data collection 
            system, the majority of the state's backlog is within the 
            jurisdiction of the RWQCBs and LOPs.  Differences in the 









                                                                  AB 1701
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            management and administration of remedial actions might be 
            causing differences in cleanup outcomes."<1> 

           4)Role of the CUPA  :  CUPAs were authorized in legislation in 
            1993 (Calderon, SB 1082, Chapter 418, Statutes of 1993).  The 
            goal of that legislation was to consolidate and make more 
            effective administrative, permitting, and enforcement 
            activities of state and federal environmental and emergency 
            management programs.  The CUPAs are responsible for the 
            administration and enforcement of six environmental programs - 
            hazardous waste, above ground and underground storage tanks, 
            hazardous materials inventory, extremely hazardous materials 
            accidental release, and hazardous materials/fire code 
            programs.

          Technical Amendments:

          1)Clarifying state, local agency and CUPA authorities.  This 
            bill limits the ability of local agencies to implement SWRCB 
            responsibilities.  The Committee may wish to clarity the 
            intent that CUPAs will not be exercising SWRCB responsibility.

            Page 9, line 32, Strike "local agency" and insert "Unified 
            program agency".

          2)Local agency certification - renewal.  This bill provides for 
            SWRCB local agency certification.  The Committee may wish to 
            add a process to review and renew that certification.

            Page 13, line 4 after "certifying" insert:  "  and withdrawing 
            certification  ".

            Page 13, line 18 insert:
            (f)  The board shall conduct a triennial review of each 
            certified city or county's ability to carry out the local 
            oversight program.  The board shall consider the certification 
            criteria contained in paragraphs (1) through (6), inclusive, 
            of subdivision (c) and criteria developed pursuant to 
            subdivision (d).  Upon the withdrawal of a certified city or 
            county's certification, cases shall be transferred from the 
            city or county and orders and directives shall remain 
            --------------------------
          <1>. US, EPA,  The National Lust Cleanup Backlog: A Study Of 
          Opportunities  , Office of Solid Waste and Emergency Response, 
          Office of Underground Storage Tanks, September 2011









                                                                  AB 1701
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            effective in accordance with the provisions contained in 
            subdivision (e).  The effective date for the withdrawal of a 
            certified city or county's certification shall not predate the 
            expiration a local oversight program agreement entered into 
            between the board and certified city or county pursuant to 
            Section 25297.1, unless the certified city or county has 
            failed to comply with the agreement.

          3)Local agency UST cleanup responsibility.  This bill provides 
            authority to implement UST corrective actions for a series of 
            specific statutory requirements including Health and Safety 
            (H&S) Codes �� 25296.10 to 25296.40, 25296.09, 25297, 25297.2 
            25298 and �� 25299 to 25299.3.  The Committee may wish to 
            broaden the new H&S Code � 25283 (b) (2) & (3) to include a 
            general authority for implementation of the other UST 
            corrective actions of the chapter.

            Page 9, line 39 & page 10, line 7, insert: "and other sections 
            of this chapter that are related to implementation of 
            corrective action".

          4)Local agency mandate.  This bill requires that local agencies 
            shall seek certification by the SWRCB for the local agency 
            oversight responsibility.  The Committee may wish to clarify 
            that seeking the certification is voluntary on the part of the 
            local agencies if they choose not to oversee the UST 
            corrective actions.

            Page 14, line 6, strike "shall" and insert "may".

          5)Reconciling dates for local agency authority.  This bill 
            requires that local agencies take over authority for the UST 
            cleanup programs on July 1, 2013.  The Committee may wish to 
            clarify that the existing oversight authority will lapse on 
            June 30, 2013, rather than the July 1st date, which would 
            create an overlapping authority.

            Page 14, line 9, strike, "July 1" and insert June 30".

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          California Association of Environmental Health Administrators
          California Independent Oil Marketers Association









                                                                  AB 1701
                                                                  PageF
          CORE Environmental Reform

           Opposition 
           
          None received.
           

          Analysis Prepared by  :    Bob Fredenburg / E.S. & T.M. / (916) 
          319-3965