BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2205
                                                                  Page  1

          Date of Hearing:   May 9, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

            AB 2205 (V. Manuel Perez) - As Introduced:  February 23, 2012 

          Policy Committee:                              Environmental 
          Safety and Toxic Materials                    Vote: 9-0

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              No

           SUMMARY  

          This bill adds the following category of geothermal waste to the 
          list of geothermal waste that is exempt from permitting 
          requirements by the Department of Toxic Substances Control 
          (DTSC):  geothermal waste continuously contained within a piping 
          system, nonearthen trench, descaling area, or other related 
          equipment used in connection with extraction of commercial 
          substances from the geothermal waste.

           FISCAL EFFECT  

          No direct state costs.

           COMMENTS  

           1)Rationale.   The author intends to clarify existing statute, 
            which exempts from DTSC permitting requirements many types of 
            waste produced by geothermal energy production.  The author 
            contends this clarification will give certainty to geothermal 
            developers and extraction companies by ensuring that neither 
            party's geothermal exemption will threatened by extraction of 
            beneficial commercial substances from.

           2)Background.   DTSC has been granted primary enforcement 
            authority by the United States Environmental Protection Agency 
            for hazardous waste regulation. Geothermal wastes, however, 
            are exempt from regulation as hazardous waste.  Federal and 
            state law exempt from DTSC permitting authority geothermal 
            waste resulting from drilling for geothermal resources because 
            the disposal of these geothermal wastes is regulated by the 
            state's regional water quality control boards.








                                                                  AB 2205
                                                                  Page  2


           3)Related Legislation.   Chapter 143, Statutes of 2006, (AB 1294 
            (Ducheny)) exempted from DTSC regulation any waste resulting  
            from the operation of a geothermal energy plant.

           Analysis Prepared by  :    Jay Dickenson / APPR. / (916) 319-2081