California 2023 2023-2024 Regular Session

California Senate Bill SB740 Introduced / Bill

Filed 02/17/2023

                    CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Senate Bill No. 740Introduced by Senator Cortese(Coauthors: Senators Caballero, Durazo, Newman, and Portantino)(Coauthors: Assembly Members Wendy Carrillo and Garcia)February 17, 2023 An act to add Section 25536.8 to the Health and Safety Code, relating to hazardous materials.LEGISLATIVE COUNSEL'S DIGESTSB 740, as introduced, Cortese. Hazardous materials management: stationary sources: skilled and trained workforce.Existing law establishes an accidental release prevention program for the state. Under that law, stationary sources subject to the accidental release prevention program may be required to prepare and submit a risk management plan (RMP) to prevent accidental releases of certain substances. Existing law imposes criminal penalties upon a stationary source that knowingly violates the requirements of the accidental release prevention program. Existing law requires an owner or operator of a stationary source that is engaged in certain petroleum-related activities, and with one or more covered processes that require the preparation and submission of an RMP, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source to require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades. Existing law defines skilled and trained workforce to include, among other criteria, skilled journeypersons who are paid at least a rate equivalent to the applicable prevailing hourly wage rate.This bill would extend that workforce requirement to contracts awarded, extended, or renewed on or after January 1, 2024, by an owner or operator of a stationary source that is engaged in manufacturing hydrogen, biofuels, lithium batteries, or certain specified chemicals, in mining or beneficiating lithium, or in capturing, sequestering, or using carbon dioxide in specified conditions.By expanding the scope of a crime, and by extending the laws enforced by uniform program agencies to additional stationary source owners or operators and thereby imposing additional duties, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for specified reasons.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares both of the following:(a) The enactment of Section 25536.7 has been successful in reducing the risks to public health and safety and the environment from certain industrial facilities by requiring the use of a skilled and trained workforce to perform contracted-out onsite work in apprenticeable occupations in the building and construction trades.(b) It is the intent of this bill to expand the requirement for use of a skilled and trained workforce to apply to additional industrial facilities regulated by the State Air Resources Board where the use of a skilled and trained workforce to perform contracted-out onsite work will reduce risks to public health and safety and the environment.SEC. 2. Section 25536.8 is added to the Health and Safety Code, to read:25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.(c) This section shall apply to the following activities, when undertaken for commercial purposes:(1) Lithium mineral mining or beneficiating.(2) Lithium battery manufacturing or recycling.(3) Hydrogen manufacturing.(4) Biofuels manufacturing.(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Senate Bill No. 740Introduced by Senator Cortese(Coauthors: Senators Caballero, Durazo, Newman, and Portantino)(Coauthors: Assembly Members Wendy Carrillo and Garcia)February 17, 2023 An act to add Section 25536.8 to the Health and Safety Code, relating to hazardous materials.LEGISLATIVE COUNSEL'S DIGESTSB 740, as introduced, Cortese. Hazardous materials management: stationary sources: skilled and trained workforce.Existing law establishes an accidental release prevention program for the state. Under that law, stationary sources subject to the accidental release prevention program may be required to prepare and submit a risk management plan (RMP) to prevent accidental releases of certain substances. Existing law imposes criminal penalties upon a stationary source that knowingly violates the requirements of the accidental release prevention program. Existing law requires an owner or operator of a stationary source that is engaged in certain petroleum-related activities, and with one or more covered processes that require the preparation and submission of an RMP, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source to require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades. Existing law defines skilled and trained workforce to include, among other criteria, skilled journeypersons who are paid at least a rate equivalent to the applicable prevailing hourly wage rate.This bill would extend that workforce requirement to contracts awarded, extended, or renewed on or after January 1, 2024, by an owner or operator of a stationary source that is engaged in manufacturing hydrogen, biofuels, lithium batteries, or certain specified chemicals, in mining or beneficiating lithium, or in capturing, sequestering, or using carbon dioxide in specified conditions.By expanding the scope of a crime, and by extending the laws enforced by uniform program agencies to additional stationary source owners or operators and thereby imposing additional duties, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for specified reasons.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: YES 





 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION

 Senate Bill 

No. 740

Introduced by Senator Cortese(Coauthors: Senators Caballero, Durazo, Newman, and Portantino)(Coauthors: Assembly Members Wendy Carrillo and Garcia)February 17, 2023

Introduced by Senator Cortese(Coauthors: Senators Caballero, Durazo, Newman, and Portantino)(Coauthors: Assembly Members Wendy Carrillo and Garcia)
February 17, 2023

 An act to add Section 25536.8 to the Health and Safety Code, relating to hazardous materials.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 740, as introduced, Cortese. Hazardous materials management: stationary sources: skilled and trained workforce.

Existing law establishes an accidental release prevention program for the state. Under that law, stationary sources subject to the accidental release prevention program may be required to prepare and submit a risk management plan (RMP) to prevent accidental releases of certain substances. Existing law imposes criminal penalties upon a stationary source that knowingly violates the requirements of the accidental release prevention program. Existing law requires an owner or operator of a stationary source that is engaged in certain petroleum-related activities, and with one or more covered processes that require the preparation and submission of an RMP, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source to require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades. Existing law defines skilled and trained workforce to include, among other criteria, skilled journeypersons who are paid at least a rate equivalent to the applicable prevailing hourly wage rate.This bill would extend that workforce requirement to contracts awarded, extended, or renewed on or after January 1, 2024, by an owner or operator of a stationary source that is engaged in manufacturing hydrogen, biofuels, lithium batteries, or certain specified chemicals, in mining or beneficiating lithium, or in capturing, sequestering, or using carbon dioxide in specified conditions.By expanding the scope of a crime, and by extending the laws enforced by uniform program agencies to additional stationary source owners or operators and thereby imposing additional duties, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for specified reasons.

Existing law establishes an accidental release prevention program for the state. Under that law, stationary sources subject to the accidental release prevention program may be required to prepare and submit a risk management plan (RMP) to prevent accidental releases of certain substances. Existing law imposes criminal penalties upon a stationary source that knowingly violates the requirements of the accidental release prevention program. Existing law requires an owner or operator of a stationary source that is engaged in certain petroleum-related activities, and with one or more covered processes that require the preparation and submission of an RMP, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source to require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades. Existing law defines skilled and trained workforce to include, among other criteria, skilled journeypersons who are paid at least a rate equivalent to the applicable prevailing hourly wage rate.

This bill would extend that workforce requirement to contracts awarded, extended, or renewed on or after January 1, 2024, by an owner or operator of a stationary source that is engaged in manufacturing hydrogen, biofuels, lithium batteries, or certain specified chemicals, in mining or beneficiating lithium, or in capturing, sequestering, or using carbon dioxide in specified conditions.

By expanding the scope of a crime, and by extending the laws enforced by uniform program agencies to additional stationary source owners or operators and thereby imposing additional duties, the bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for specified reasons.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares both of the following:(a) The enactment of Section 25536.7 has been successful in reducing the risks to public health and safety and the environment from certain industrial facilities by requiring the use of a skilled and trained workforce to perform contracted-out onsite work in apprenticeable occupations in the building and construction trades.(b) It is the intent of this bill to expand the requirement for use of a skilled and trained workforce to apply to additional industrial facilities regulated by the State Air Resources Board where the use of a skilled and trained workforce to perform contracted-out onsite work will reduce risks to public health and safety and the environment.SEC. 2. Section 25536.8 is added to the Health and Safety Code, to read:25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.(c) This section shall apply to the following activities, when undertaken for commercial purposes:(1) Lithium mineral mining or beneficiating.(2) Lithium battery manufacturing or recycling.(3) Hydrogen manufacturing.(4) Biofuels manufacturing.(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. The Legislature finds and declares both of the following:(a) The enactment of Section 25536.7 has been successful in reducing the risks to public health and safety and the environment from certain industrial facilities by requiring the use of a skilled and trained workforce to perform contracted-out onsite work in apprenticeable occupations in the building and construction trades.(b) It is the intent of this bill to expand the requirement for use of a skilled and trained workforce to apply to additional industrial facilities regulated by the State Air Resources Board where the use of a skilled and trained workforce to perform contracted-out onsite work will reduce risks to public health and safety and the environment.

SECTION 1. The Legislature finds and declares both of the following:(a) The enactment of Section 25536.7 has been successful in reducing the risks to public health and safety and the environment from certain industrial facilities by requiring the use of a skilled and trained workforce to perform contracted-out onsite work in apprenticeable occupations in the building and construction trades.(b) It is the intent of this bill to expand the requirement for use of a skilled and trained workforce to apply to additional industrial facilities regulated by the State Air Resources Board where the use of a skilled and trained workforce to perform contracted-out onsite work will reduce risks to public health and safety and the environment.

SECTION 1. The Legislature finds and declares both of the following:

### SECTION 1.

(a) The enactment of Section 25536.7 has been successful in reducing the risks to public health and safety and the environment from certain industrial facilities by requiring the use of a skilled and trained workforce to perform contracted-out onsite work in apprenticeable occupations in the building and construction trades.

(b) It is the intent of this bill to expand the requirement for use of a skilled and trained workforce to apply to additional industrial facilities regulated by the State Air Resources Board where the use of a skilled and trained workforce to perform contracted-out onsite work will reduce risks to public health and safety and the environment.

SEC. 2. Section 25536.8 is added to the Health and Safety Code, to read:25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.(c) This section shall apply to the following activities, when undertaken for commercial purposes:(1) Lithium mineral mining or beneficiating.(2) Lithium battery manufacturing or recycling.(3) Hydrogen manufacturing.(4) Biofuels manufacturing.(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.

SEC. 2. Section 25536.8 is added to the Health and Safety Code, to read:

### SEC. 2.

25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.(c) This section shall apply to the following activities, when undertaken for commercial purposes:(1) Lithium mineral mining or beneficiating.(2) Lithium battery manufacturing or recycling.(3) Hydrogen manufacturing.(4) Biofuels manufacturing.(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.

25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.(c) This section shall apply to the following activities, when undertaken for commercial purposes:(1) Lithium mineral mining or beneficiating.(2) Lithium battery manufacturing or recycling.(3) Hydrogen manufacturing.(4) Biofuels manufacturing.(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.

25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.(c) This section shall apply to the following activities, when undertaken for commercial purposes:(1) Lithium mineral mining or beneficiating.(2) Lithium battery manufacturing or recycling.(3) Hydrogen manufacturing.(4) Biofuels manufacturing.(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.



25536.8. (a) The definitions in subdivision (b) of Section 25536.7 shall apply for purposes of this section, except that the criterion described in subparagraph (C) of paragraph (10) of subdivision (b) shall not be applicable.

(b) An owner or operator of a stationary source that is engaged in activities described in subdivision (c), and with one or more covered processes that require the preparation and submission of an RMP pursuant to this article, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, shall require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades.

(c) This section shall apply to the following activities, when undertaken for commercial purposes:

(1) Lithium mineral mining or beneficiating.

(2) Lithium battery manufacturing or recycling.

(3) Hydrogen manufacturing.

(4) Biofuels manufacturing.

(5) Carbon dioxide (CO2) capture and sequestration in either saline or depleted oil and gas reservoirs, or oil and gas reservoirs used for CO2-enhanced oil recovery.

(6) Manufacturing of any of the following chemicals, whether as an intermediary or an end product: ammonia, chlorine, hydrogen fluoride, sulfur dioxide, or hydrogen chloride.

(d) This section shall apply to contracts awarded, extended, or renewed on or after January 1, 2024.

SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

### SEC. 3.