BILL ANALYSIS �
SB 1319
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SENATE THIRD READING
SB 1319 (Pavley)
As Amended August 19, 2014
Majority vote
SENATE VOTE :23-12
NATURAL RESOURCES 6-3 UTILITIES & COMMERCE 9-5
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|Ayes:|Chesbro, Garcia, |Ayes:|Bonilla, Buchanan, Fong, |
| |Muratsuchi, Skinner, | |Garcia, Roger Hern�ndez, |
| |Stone, Williams | |Mullin, Quirk, Rendon, |
| | | |Skinner |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Dahle, Bigelow, Patterson |Nays:|Patterson, Ch�vez, Dahle, |
| | | | |
| | | |Beth Gaines, Jones |
| | | | |
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APPROPRIATIONS 12-0
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|Ayes:|Gatto, Bocanegra, | | |
| |Bradford, | | |
| |Ian Calderon, Campos, | | |
| |Eggman, Gomez, Holden, | | |
| |Pan, Quirk, | | |
| |Ridley-Thomas, Weber | | |
|-----+--------------------------+-----+--------------------------|
| | | | |
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SUMMARY : Expands the state's and oil spill and railroad
inspection programs. Specifically, this bill :
1)Authorizes Office of Spill Prevention and Response (OSPR) to
obtain confidential and other information from the Office of
Emergency Services (OES), the California Energy Commission
(CEC), and other regulators in order to carry out its duties,
and requires OSPR to develop procedures for handling the
information.
2)Requires the OSPR Administrator to provide training and
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certification programs for local emergency responders, and
offer grants for local response equipment for local
governments with jurisdictions over or directly adjacent to
waters of the state.
3)Requires the OSPR, to the extent allowed by federal law, to
provide the public with information regarding the rail
transport of oil.
4)Increases the membership of Oil Spill Technical Advisory
Committee from 14 to 15 and requires the Governor to appoint a
member with knowledge of the truck transportation industry.
5)Requires the California Public Utilities Commission (PUC) to
expand inspections on railroad bridges and grade crossing used
to transport oil and at oil unloading rail facilities.
FISCAL EFFECT : According to the Assembly Appropriations
Committee:
1)Increased costs for equipment grants to non-marine counties of
at least $1.2 million (36 non-marine counties each receiving a
$35,000 grant). There may also be cities and other local
government agencies in need of grants which would result in
additional costs.
2)Increased ongoing costs to OSPR for new duties including local
training, certification and grant program management of at
least $300,000 per year.
3)Increased annual costs of $65,000 for the PUC for increased
reporting requirements.
4)Minor and absorbable costs for OES and CEC.
COMMENTS : California is experiencing the effects of increased
crude-by-rail transportation due to the North American hydraulic
fracturing boom. In 2011, California moved less than two
million barrels of oil by rail; in 2013, that number rose to
more than six million, with a significant amount coming from
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North Dakota. For the first quarter of 2014, crude-by-rail
numbers were up 104% compared to the first quarter of 2013
(1,414,418 barrels versus 693,457 barrels).
There are currently at least five crude-by-rail refinery
projects being pursued in California: one in Pittsburg, one in
Benicia, two in Bakersfield, and one in Wilmington.
Many of California's rail lines pass over or near bodies of
water and through high density population centers.
Crude-by-rail also presents risks that may be particularly
relevant to environmental justice communities situated near oil
refineries and offloading terminals. Communities in more remote
areas may have fewer skilled emergency response personnel.
A recently enacted budget trailer bill, SB 861 (Budget and
Fiscal Review Committee), Chapter 35, Statutes of 2014, expanded
OSPR's marine oil spill program to inland oil spills that affect
waters of the state. SB 861 requires railroads to have oil
spill contingency plans and demonstrate the financial ability to
pay for any damages resulting from a spill. Additionally, SB
861 established a $0.065 per barrel fee on oil transported by
pipeline or railroads to refineries to fund OSPR regulations and
oversight programs.
This bill expands OSPR's duties to require training and
equipment grants for local first responders and ensures OSPR has
access to confidential information collected by OES and the
Energy Commission. Additionally, this bill requires
comprehensive rail inspections.
Related legislation. AB 380 (Dickinson) of the current
legislative session, requires rail carriers to submit specified
information regarding the transport of hazardous materials and
Bakken oil to OES for the purposes of emergency response
planning.
Analysis Prepared by : Mario DeBernardo / NAT. RES. / (916)
319-2092
FN: 0005020
SB 1319
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