AB 218

Bill Subjects

Abstract

Existing law, commencing January 1, 2025, requires oil or gas production facilities or wells with a wellhead within a health protection zone, defined as an area within 3,200 feet of sensitive receptors, which include residences and health care facilities, to comply with specified health, safety, and environmental requirements, as provided. Existing law requires operators with a production facility or well with a wellhead in a health protection zone to submit a leak detection and response plan, as provided, to the Geologic Energy Management Division of the Department of Conservation by January 1, 2025, division approval or notice of deficiency by January 1, 2026, and implementation of the plan by January 1, 2027. Existing law requires every operator to submit a sensitive receptor inventory and map to the division by July 1, 2023. Existing law, commencing January 1, 2027, requires operators with a wellhead or other production facility or facilities in a health protection zone to provide certain information relating to leaks to the division, as provided. This bill would instead require the oil or gas production facilities and wells within a health protection zone to comply with those health, safety, and environmental requirements commencing July 1, 2026. The bill would instead require operators with a production facility or well with a wellhead in a health protection zone to submit a leak detection and response plan to the division by July 1, 2028, division approval or notice of deficiency by July 1, 2029, and implementation of the plan by July 1, 2030. The bill would instead require every operator to submit a sensitive receptor inventory and map to the division by July 1, 2025. The bill would require operators with a wellhead or other production facility or facilities in a health protection zone to provide certain information relating to leaks to the division, as provided, commencing July 1, 2030. Existing law requires the State Oil and Gas Supervisor, commencing July 1, 2023, and at 6-month intervals thereafter, to notify the applicable legislative budget and policy committees on progress for the leak detection and response plans, as provided. Existing law requires the division, on or before July 1, 2027, to provide a legislative report to the applicable budget and policy committees regarding the implementation of health protection zones, as provided. This bill would instead require the supervisor to notify those committees on the progress for the leak protection and response plans commencing July 1, 2026. The bill would instead require the division to provide the legislative report on or before July 1, 2030. Existing law authorizes the division, the State Air Resources Board, and the State Water Resources Control Board to prescribe, adopt, and enforce emergency regulations to implement, administer, and enforce its duties relating to health protection zones and authorizes those emergency regulations to remain in effect for 2 years from adoption. Existing law requires the State Air Resources Board, relevant local air districts, the State Water Resources Control Board, and relevant local water quality control boards to enter into memoranda of understanding with the division to clearly delineate respective responsibilities for implementing and enforcing health protection zones and to execute those memoranda of understanding by June 1, 2023. This bill would instead authorize the emergency regulations to remain in effect for 2 years from adoption or until July 1, 2026, whichever date is later. The bill would instead require those memoranda of understanding to be executed by June 1, 2025. Existing law requires the Department of Conservation, on or before June 15 of each year, to make an estimate of the amount of money that will be required to carry out specified laws related to oil and gas conservation, as provided. Existing law requires, by June 15 each year, the department to determine the rate, or rates, for charges on operators that will produce the sums necessary to be raised to cover that estimate. Existing law provides penalties for any person who fails to pay an oil and gas assessment within the time required, as provided. This bill would, if the department determines between June 15, 2024, and March 1, 2025, that the estimate is insufficient for the current fiscal year, authorize the department to assess and levy a supplemental assessment on oil and gas production to ensure funds are available for the full amount of the adjusted cost estimate, as provided. The bill would prohibit the department from issuing this supplemental assessment after March 1, 2025. The bill would apply the same penalties to delinquent charges under a supplemental assessment. The bill would repeal these provisions on January 1, 2027, and would authorize the department to continue to pursue the collection of unpaid supplemental assessments, penalties, and interest after these provisions are repealed. Existing law requires specified funds collected from oil and gas operators to be deposited to the credit of the Oil, Gas, and Geothermal Administrative Fund, to be used for, among other things, the State Water Resources Control Board and the regional water quality control boards for their activities related to oil and gas operations that may affect water resources. This bill would appropriate $2,646,000 from the Oil, Gas, and Geothermal Administrative Fund for the 2024–25 fiscal year to the State Water Resources Control Board to support water quality projects implementing provisions related to the above-described health protection zones, as provided. This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.