BILL NUMBER: AB 2739AMENDED BILL TEXT AMENDED IN SENATE JUNE 15, 2010 AMENDED IN ASSEMBLY MAY 28, 2010 AMENDED IN ASSEMBLY APRIL 27, 2010 AMENDED IN ASSEMBLY APRIL 8, 2010 INTRODUCED BY Assembly Member Blakeslee FEBRUARY 19, 2010 An act to amend Section 8670.50 of, and to add Section 8670.15 to , the Government Code, relating to oil spills , and making an appropriation therefor . LEGISLATIVE COUNSEL'S DIGEST AB 2739, as amended, Blakeslee. Oil spill prevention and response. The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act generally requires the administrator for oil spill response, acting at the direction of the Governor, to implement activities relating to oil spill response, including emergency drills and preparedness, and oil spill containment and cleanup, and to represent the state in any coordinated response efforts with the federal government. The act imposes a uniform oil spill response fee on specified owners of petroleum products, operators of a pipeline, operators of a refinery, and marine terminal operators, and that fee is deposited into the Oil Spill Response Trust Fund. The money in the fund is continuously appropriated for specified purposes. This bill would require the administrator, in consultation with the appropriate federal agencies, including, but not limited to, the United States Coast Guard and the National Oceanic and Atmospheric Administration, to prepare a sunken vessel imminent threat assessment and strategic response plan that identifies any sunken vessel off the California coast that meets certain criteria and outlines a strategic plan regarding the threat of a release of oil from the vessel. The bill requires the administrator to report his or her findings to the Legislature by June 1, 2011 National Oceanic and Atmospheric Administration and the United States Coast Guard, to conduct an assessment of the S.S. Montebello wreck, as defined, to determine the likelihood of an oil release from the vessel. The bill would require the administrator to request the appropriate federal agency to reimburse the state for the assessment costs, upon determining that an imminent threat of an oil release exists. If the administrator determines that a threat of an oil release exists, but the threat is not imminent, the bill would require the administrator to identify the recommended course of action to monitor the vessel. The bill would additionally require the money from the fund to be expended to carry out this assessment, thereby making an appropriation . Vote: majority. Appropriation: no yes . Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 8670.15 is added to the Government Code , to read: 8670.15. (a) (1) In consultation with the National Oceanic and Atmospheric Administration and the United States Coast Guard, the administrator shall conduct an assessment of the S.S. Montebello wreck to determine the likelihood of an oil release from the vessel, including whether there is an imminent threat of an oil release. (2) For purposes of this section, "S.S. Montebello wreck" means the oil tanker that was sunk off the coast of California on December 23, 1941, by a Japanese submarine during World War II, located 900 feet below the water's surface approximately six miles off the coast of Cambria, California, at 35*35'N, 121*16'W. (b) If the administrator determines pursuant to subdivision (a) that an imminent threat of an oil release exists, the administrator shall request the appropriate federal agency to reimburse the state for the costs of the assessment made pursuant to this section. (c) If the administrator determines pursuant to subdivision (a) that the threat of an oil release exists, but the threat is not imminent, the administrator shall identify the recommended course of action to monitor the vessel, noting preferred and alternative methods of monitoring and the corresponding cost estimates for those methods. SEC. 2. Section 8670.50 of the Government Code is amended to read: 8670.50. (a) Money from the fund may only be expended to cover the costs incurred by the state and local governments and agencies for any of the following: (1) Responding promptly to, containing, and cleaning up the discharge, if those efforts are any of the following: (A) Undertaken pursuant to the state and local oil spill contingency plans established under this chapter, and the marine response element of the California oil spill contingency plan established under Article 3.5 (commencing with Section 8574.1) of Chapter 7. (B) Undertaken consistent with the standardized emergency management system established pursuant to Section 8607. (C) Undertaken at the direction of the administrator. (2) Meeting the requirements of Section 8670.61.5, relating to wildlife rehabilitation. (3) Making the payments authorized by subdivision (k) of Section 8670.48. (4) Conducting the assessment required by Section 8670.15 in an amount not to exceed four hundred thousand dollars ($400,000). To the extent possible, the administrator shall seek to partner with the National Oceanic and Atmospheric Administration and the United States Coast Guard on funding the assessment required by Section 8670.15. (b) In the event of an oil spill, the administrator shall make whatever expenditures are necessary and appropriate from the fund to cover the costs described in subdivision (a), subject to the lien established pursuant to Section 8670.53.2. SECTION 1. Section 8670.15 is added to the Government Code, to read: 8670.15. (a) In consultation with the appropriate federal agencies, including, but not limited to, the United States Coast Guard and the National Oceanic and Atmospheric Administration, the administrator shall prepare a sunken vessel imminent threat assessment and strategic response plan that does both of the following: (1) Identifies any sunken vessel off the coast of California that meets all of the following criteria: (A) The vessel is within eight miles of the California coast. (B) The vessel is within 20 miles of a national marine sanctuary. (C) There is no party responsible for the vessel. (D) At the time the vessel sank, it contained more than one million gallons of oil. (E) A release of oil from the vessel is likely to pose a threat to California waters and shorelines, archaeological sites, wildlife, and the habitat on which the wildlife depends. (F) The vessel has not yet been classified as posing an imminent threat. (2) Outlines a strategic plan to do the following: (A) Identify studies that should be performed to determine whether there exists an imminent threat of a release of oil from the vessel, noting preferred and alternative methods of study with corresponding cost estimates. (B) In the event that it is determined that an imminent threat exists, notify the California Emergency Management Agency pursuant to Section 8670.25.5 if the vessel is located in state waters or notify the appropriate federal agency if the vessel is located in federal waters. (C) In the event that it is determined that a threat exists, but the threat is not imminent, identify the recommended course of action to monitor the vessel, noting preferred and alternative methods of monitoring with corresponding cost estimates. (b) By June 1, 2011, the administrator shall report his or her findings to the Legislature. (c) (1) The requirement for submitting a report imposed under subdivision (b) is inoperative on June 1, 2015, pursuant to Section 10231.5. (2) A report to be submitted pursuant to subdivision (b) shall be submitted in compliance with Section 9795.