BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2442
                                                                  Page  1

          Date of Hearing:   April 29, 2014

           ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS
                                  Luis Alejo, Chair
                 AB 2442 (Gordon) - As Introduced:  February 21, 2014
           
          SUBJECT  :  Porter-Cologne Water Quality Control Act:  remedial  
          action:  liability.

           SUMMARY  :  Provides the State Water Resources Control Board  
          (State Water Board) and Regional Water Quality Control Boards  
          (Regional Water Boards) with explicit protection from civil and  
          criminal liability.  Specifically,  this bill  :

          1)Provides the State Water Board and Regional Water Boards with  
            explicit protection from civil and criminal liability related  
            to investigating and cleaning up water pollution.

          2)Provides that the protection from liability for the State and  
            Regional Water Boards would apply to any authorized person in  
            connection with any investigation, cleanup, abatement, or  
            other remedial work.

          3)Excludes from liability protection actions that were performed  
            in a grossly negligent manner.

          4)Provides that the limitation on State and Regional Water  
            Boards liability apply to a cause of action in a civil  
            complaint filed after January 1, 2015.

           EXISTING LAW  : 

          1)Allows the State and Regional Water Boards to investigate  
            actual or suspected waste discharges that threaten water  
            quality.  Provides that if no viable responsible party or  
            discharger is identified for a polluted site, the State or  
            Regional Water Boards may contract for the cleanup.

          2)Authorizes the State and Regional Water Boards to require a  
            person who has discharged waste so as to cause or threaten to  
            cause pollution or nuisance to clean up the waste and abate  
            the effects of the discharge. 

          3)Provides limited liability immunity for the Department Toxic  
            Substance Control Department to enter upon any lands for the  








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            purpose of taking removal or remedial action.

          4)Provides limited liability immunity for a public agency and  
            its employees or agents for injury or property damage caused  
            by actions taken by a public safety employee while responding  
            to a hazardous substance release believed to be an imminent  
            peril to public health or safety.    

          5)Provides that a public entity is not liable for an injury,  
            whether such injury arises out of an act or omission of the  
            public entity, or a public employee, or any other person.   
            Provides that the liability of a public entity, as specified,  
            is subject to any immunity of the public entity provided by  
            statute and is subject to any defenses that would be available  
            to the public entity if it were a private person.


           FISCAL EFFECT  :  Non-Fiscal.

           COMMENTS :   

           Need for the bill  :  According to the State Water Board, the  
          sponsor of this legislation, "Currently, the Water Boards often  
          are reluctant to fully exercise their authority to investigate  
          and/or clean up water pollution problems that may threaten  
          public health and the environment due to liability concerns. 

          "Under current law, the Water Boards can perform, or contract  
          for, the investigation, cleanup, abatement, or remedial work  
          that is required to address waste discharges that have polluted,  
          or threaten to pollute, waters of the State? However, the Water  
          Boards often are reluctant to exert their authority to  
          investigate and/or clean up water pollution problems that may  
          threaten public health or the environment due to liability  
          concerns including:  1) potential liability claims that the  
          Water Boards' actions at a site makes them a responsible party  
          and that their limited actions at a site do not fully protect  
          all affected persons, 2) claims for reimbursement of incidental  
          property damage, or 3) potential trespass actions that may arise  
          due to the Water Boards' investigations or cleanups.  Thus, even  
          when the Water Boards are faced with a severe pollution problem  
          and there is no apparent financially viable responsible party,  
          the Water Boards are likely to decline to act due to liability  
          concerns."









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           Liability of clean-up actions  :  This legislative proposal would  
          provide the State and Regional Water Boards with explicit  
          protection from civil and/or criminal liability related to  
          investigating and cleaning up water pollution.  This would  
          remove a barrier in current law that deters the "Water Boards  
          from taking actions to investigate, prevent, or clean up  
          pollution.  The proposal would clarify that the liability  
          protection applies to actions by the" Water Boards to  
          investigate and clean up any discharges that threaten water  
          quality.  Although civil liability is the primary concern, the  
          proposed language also provides relief from criminal liability  
          (such as trespassing).  

           Government immunity in California  :  According to the Senate  
          Judiciary Committee, California law generally provides public  
          entities with broad tort immunity that insulates them from civil  
          liability.  The California Tort Claims Act (Gov. Code 810 et  
          seq.) states that "a public entity is not liable for an injury,  
          whether such injury arises out of an act or omission of the  
          public entity, or a public employee, or any other person" unless  
          otherwise provided by statute.  Thus, in order to hold a public  
          entity liable for any tort, a plaintiff would first have to  
          identify a specific relevant statute that waived its sovereign  
          immunity and exposed it to liability.  Absent a specific statute  
          that expressly waives sovereign immunity, California's public  
          entities cannot be held liable in tort.

           Penn Mine Case  :  The liability for the State and Regional Water  
          Boards for their actions in cleaning up toxic waste sites was  
          highlighted in the efforts to control runoff from the Penn Mine.  
          The Penn Mine is an abandoned copper and zinc mine adjacent to  
          the Mokelumne River that operated intermittently from the 1860s  
          through the 1950s.  In the 1960s, the East Bay Municipal Utility  
          District (EBMUD) acquired part of the Penn Mine property to  
          build the Comanche Reservoir.  In 1978, EBMUD and the Central  
          Valley Water Board constructed a remediation project in an  
          attempt to reduce the impacts caused by acid mine drainage from  
          the abandoned mine.  The Central Valley Water Board and EBMUD  
          were subsequently found jointly responsible under the Clean  
          Water Act for the acid mine drainage due to their operation of  
          the remediation project.  (Committee To Save Mokelumne River v.  
          East Bay Mun. Utility Dist. (9th Cir. 1993) 13 F.3d 305.) 

          In the appeal of the court order on the Penn Mine case, the  
          court pointed out that unlike the federal Comprehensive  








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          Environmental Response, Compensation and Liability Act, which  
          provides a statutory liability exemption, the federal Clean  
          Water Act contains no such exemption.  Given the absence of any  
          statutory authority to exempt the Board or District from  
          liability under the Clean Water Act, the district court was  
          correct in establishing state liability of their cleanup  
          activities.  While the State law cannot provide liability relief  
          from federal requirements,  there would still be liability under  
          federal law for cleanups that result in unauthorized discharges  
          to surface water bodies that are covered under the Clean Water  
          Act (such as in the case of Penn Mine).  However, there are  
          waters that are not protected under the Clean Water Act but  
          which are protected under Porter-Cologne, such as groundwater.   
          In those cases, there would only be potential liability under  
          state law for actions that we may take to clean up, or partially  
          clean up, water contamination.   

           Criminal Vs Civil Liability  . This bill provides protection from  
          both civil and criminal liability for the State Water Board at  
          cleanup sites.  While the language was modeled after the  
          provisions of the Health and Safety Code that provides liability  
          immunity for the DTSC, the goal of the bill is to avoid delays  
          in environmental clean-up.  It is less clear how the protection  
          from criminal prosecutions would be a necessary component of  
          this protection.

           Suggested amendments  :

          The author may wish to limit the liability protection to civil  
          cases by removing the criminal 
          13304 of the Water Code by stinking the criminal liability  
          provisions of section 13304(a) (5) (a).

           Prior Legislation  :

          AB 440 (Gatto), Chapter 588, Statutes of 2013) provides  
          liability protections for local agencies that clean up  
          brownfield sites in blighted areas, similar to the liability  
          protection that is being proposed for the State and Regional  
          Water Boards.
           
          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           








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          California State Water Resources Control Board (Sponsor)
          Clean Water Action
           
          Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Bob Fredenburg / E.S. & T.M. / (916)  
          319-3965