BILL ANALYSIS �
AB 2712
Page 1
Date of Hearing: May 14, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 2712 (Daly) - As Amended: April 23, 2014
Policy Committee: Environmental
Safety and Toxic Materials Vote: 6-0
Local Government 9-0
Urgency: No State Mandated Local Program:
Yes Reimbursable: Yes
SUMMARY
This bill requires the Orange County Water District (OCWD) to
provide notice to, and consult with, specified agencies and
responsible parties prior to filing an action to recover
contamination clean-up costs. Specifically, this bill:
1)Provides that in order for OCWD to obtain cost recovery from
responsible parties for the costs of cleaning up, or
containing contamination, or taking other emergency removal or
remedial action, the OCWD is required to:
a) Provide notice of the cleanup plan to the office of the
Regional Water Quality Control Board and the Department of
Toxic Substance Control (DTSC).
b) Meet and confer with state agencies, and make reasonable
efforts to meet and confer with any responsible party that
is subject to an order or directive of such administering
agency.
c) Comply with the requirements for consistency with the
National Oil and Hazardous Substances Pollution Contingency
Plan (NCP) that would apply to the state if it were seeking
to recover costs under the Comprehensive Environmental
Response Compensation and Liability Act (CERCLA) or the
California Hazardous Substance Act. Act.
2)States that it is the intent of the Legislature that OCWD will
do the following:
a) Adopt a policy that would address the process for timely
groundwater remediation projects that include clarity and
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certainty of the process for all interested parties.
b) Enter into a memorandum of understanding between the
district, the Department of Toxic Substances Control
(DTSC), Regional Water Quality Control Board-Santa Ana, and
the Orange County Health Care Agency to establish a process
of review of the district's proposed groundwater
remediation projects.
FISCAL EFFECT
Potential minor reimbursable local costs of less than $50,000
for local agencies without fee authority to participate in the
MOU.
COMMENTS
1)Purpose. According to the author, this bill is the product of
compromise between the Orange County Business Council and the
OCWD. This compromise agreement establishes a framework to
enable the district to discharge its primary responsibility
for managing the groundwater basin under northern and central
Orange County while encouraging a transparent and coordinated
process for the clean- up of contaminated groundwater.
2)Background. The OCWD was formed in 1933 to protect Orange
County's rights to water in the Santa Ana River. OCWD's
primary responsibility is managing the vast groundwater basin
under northern and central Orange County that supplies water
to more than 20 cities and water agencies, serving more than
2.3 million Orange County residents.
In 1989, the Orange County Water District Act was amended to
allow OCWD to recover costs for remediating contamination from
responsible parties.
The OCWD has attempted to recover cleanup costs from
businesses responsible for groundwater contamination in both
the North Basin and South Basin area of Orange County. To
date, those attempts to recover site investigation costs have
not been successful.
According to the OCWD, the major potential responsible parties
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for the groundwater contamination at major industrial sites in
the area include: Northrop, Arnold Engineering, Alcoa, MAG
Aerospace, Crucible Materials, and CBS Broadcasting.
Analysis Prepared by : Jennifer Galehouse / APPR. / (916)
319-2081