California 2025 2025-2026 Regular Session

California Senate Bill SB767 Amended / Bill

Filed 03/24/2025

                    Amended IN  Senate  March 24, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 767Introduced by Senator RichardsonFebruary 21, 2025 An act to add Section 25354.7 to the Public Resources Code, relating to energy. LEGISLATIVE COUNSEL'S DIGESTSB 767, as amended, Richardson. Energy: transportation fuels: supply. supply: reportable pipelines.Existing law establishes the State Energy Resources Conservation and Development Commission. Existing law requires major oil producers, refiners, marketers, oil transporters, oil storers, pipeline operators, and ports to annually submit certain information to the commission. Existing law establishes the Geologic Energy Management Division in the Department of Conservation, under the direction of the State Oil and Gas Supervisor, who is required to supervise the drilling, operation, maintenance, and abandonment of oil and gas wells in the state and the operation, maintenance, and removal or abandonment of tanks and facilities related to oil and gas production within an oil and gas field, so as to prevent damage to life, health, property, and natural resources. This bill would state the intent of the Legislature to enact subsequent legislation that would require the commission, based on data collected on crude deliveries, to determine if crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines, and, if the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, to provide notice to the Governor and the Legislature of potential gasoline supply disruptions.This bill would require the Geologic Energy Management Division to identify, on or before December 31, 2026, those pipelines that qualify as reportable pipelines, as defined. The bill would require, commencing March 30, 2027, and each month thereafter, the operators of reportable pipelines to report pipeline flows to the division. If reportable pipeline flows fall to, or below, their rated minimum throughput levels, the bill would require the operators to notify the division within 24 hours of the potential pipeline shutdown. The bill would also require the division to notify the State Energy Resources Conservation and Development Commission, the Governor, and specified legislative committees of the potential reportable pipeline shutdown, and to confer with the commission to determine if the potential reportable pipeline shutdown could result in gasoline supply disruptions. The bill would require the division to establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 25354.7 is added to the Public Resources Code, to read:25354.7. (a) For purposes of this section, the following definitions apply: (1) Division means the Geologic Energy Management Division.(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). (B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. (d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). (3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. (e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. SECTION 1.It is the intent of the Legislature to enact subsequent legislation that would require the State Energy Resources Conservation and Development Commission, based on data on crude deliveries collected pursuant to Section 25354 of the Public Resources Code, to do both of the following:(a)Determine if California domestic crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines.(b)If the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, provide notice to the Governor and the Legislature of potential gasoline supply disruptions.

 Amended IN  Senate  March 24, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 767Introduced by Senator RichardsonFebruary 21, 2025 An act to add Section 25354.7 to the Public Resources Code, relating to energy. LEGISLATIVE COUNSEL'S DIGESTSB 767, as amended, Richardson. Energy: transportation fuels: supply. supply: reportable pipelines.Existing law establishes the State Energy Resources Conservation and Development Commission. Existing law requires major oil producers, refiners, marketers, oil transporters, oil storers, pipeline operators, and ports to annually submit certain information to the commission. Existing law establishes the Geologic Energy Management Division in the Department of Conservation, under the direction of the State Oil and Gas Supervisor, who is required to supervise the drilling, operation, maintenance, and abandonment of oil and gas wells in the state and the operation, maintenance, and removal or abandonment of tanks and facilities related to oil and gas production within an oil and gas field, so as to prevent damage to life, health, property, and natural resources. This bill would state the intent of the Legislature to enact subsequent legislation that would require the commission, based on data collected on crude deliveries, to determine if crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines, and, if the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, to provide notice to the Governor and the Legislature of potential gasoline supply disruptions.This bill would require the Geologic Energy Management Division to identify, on or before December 31, 2026, those pipelines that qualify as reportable pipelines, as defined. The bill would require, commencing March 30, 2027, and each month thereafter, the operators of reportable pipelines to report pipeline flows to the division. If reportable pipeline flows fall to, or below, their rated minimum throughput levels, the bill would require the operators to notify the division within 24 hours of the potential pipeline shutdown. The bill would also require the division to notify the State Energy Resources Conservation and Development Commission, the Governor, and specified legislative committees of the potential reportable pipeline shutdown, and to confer with the commission to determine if the potential reportable pipeline shutdown could result in gasoline supply disruptions. The bill would require the division to establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO 

 Amended IN  Senate  March 24, 2025

Amended IN  Senate  March 24, 2025

 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION

 Senate Bill 

No. 767

Introduced by Senator RichardsonFebruary 21, 2025

Introduced by Senator Richardson
February 21, 2025

 An act to add Section 25354.7 to the Public Resources Code, relating to energy. 

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 767, as amended, Richardson. Energy: transportation fuels: supply. supply: reportable pipelines.

Existing law establishes the State Energy Resources Conservation and Development Commission. Existing law requires major oil producers, refiners, marketers, oil transporters, oil storers, pipeline operators, and ports to annually submit certain information to the commission. Existing law establishes the Geologic Energy Management Division in the Department of Conservation, under the direction of the State Oil and Gas Supervisor, who is required to supervise the drilling, operation, maintenance, and abandonment of oil and gas wells in the state and the operation, maintenance, and removal or abandonment of tanks and facilities related to oil and gas production within an oil and gas field, so as to prevent damage to life, health, property, and natural resources. This bill would state the intent of the Legislature to enact subsequent legislation that would require the commission, based on data collected on crude deliveries, to determine if crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines, and, if the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, to provide notice to the Governor and the Legislature of potential gasoline supply disruptions.This bill would require the Geologic Energy Management Division to identify, on or before December 31, 2026, those pipelines that qualify as reportable pipelines, as defined. The bill would require, commencing March 30, 2027, and each month thereafter, the operators of reportable pipelines to report pipeline flows to the division. If reportable pipeline flows fall to, or below, their rated minimum throughput levels, the bill would require the operators to notify the division within 24 hours of the potential pipeline shutdown. The bill would also require the division to notify the State Energy Resources Conservation and Development Commission, the Governor, and specified legislative committees of the potential reportable pipeline shutdown, and to confer with the commission to determine if the potential reportable pipeline shutdown could result in gasoline supply disruptions. The bill would require the division to establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 

Existing law establishes the State Energy Resources Conservation and Development Commission. Existing law requires major oil producers, refiners, marketers, oil transporters, oil storers, pipeline operators, and ports to annually submit certain information to the commission. Existing law establishes the Geologic Energy Management Division in the Department of Conservation, under the direction of the State Oil and Gas Supervisor, who is required to supervise the drilling, operation, maintenance, and abandonment of oil and gas wells in the state and the operation, maintenance, and removal or abandonment of tanks and facilities related to oil and gas production within an oil and gas field, so as to prevent damage to life, health, property, and natural resources. 

This bill would state the intent of the Legislature to enact subsequent legislation that would require the commission, based on data collected on crude deliveries, to determine if crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines, and, if the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, to provide notice to the Governor and the Legislature of potential gasoline supply disruptions.



This bill would require the Geologic Energy Management Division to identify, on or before December 31, 2026, those pipelines that qualify as reportable pipelines, as defined. The bill would require, commencing March 30, 2027, and each month thereafter, the operators of reportable pipelines to report pipeline flows to the division. If reportable pipeline flows fall to, or below, their rated minimum throughput levels, the bill would require the operators to notify the division within 24 hours of the potential pipeline shutdown. The bill would also require the division to notify the State Energy Resources Conservation and Development Commission, the Governor, and specified legislative committees of the potential reportable pipeline shutdown, and to confer with the commission to determine if the potential reportable pipeline shutdown could result in gasoline supply disruptions. The bill would require the division to establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 25354.7 is added to the Public Resources Code, to read:25354.7. (a) For purposes of this section, the following definitions apply: (1) Division means the Geologic Energy Management Division.(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). (B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. (d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). (3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. (e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. SECTION 1.It is the intent of the Legislature to enact subsequent legislation that would require the State Energy Resources Conservation and Development Commission, based on data on crude deliveries collected pursuant to Section 25354 of the Public Resources Code, to do both of the following:(a)Determine if California domestic crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines.(b)If the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, provide notice to the Governor and the Legislature of potential gasoline supply disruptions.

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

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

SECTION 1. Section 25354.7 is added to the Public Resources Code, to read:25354.7. (a) For purposes of this section, the following definitions apply: (1) Division means the Geologic Energy Management Division.(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). (B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. (d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). (3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. (e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 

SECTION 1. Section 25354.7 is added to the Public Resources Code, to read:

### SECTION 1.

25354.7. (a) For purposes of this section, the following definitions apply: (1) Division means the Geologic Energy Management Division.(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). (B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. (d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). (3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. (e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 

25354.7. (a) For purposes of this section, the following definitions apply: (1) Division means the Geologic Energy Management Division.(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). (B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. (d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). (3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. (e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 

25354.7. (a) For purposes of this section, the following definitions apply: (1) Division means the Geologic Energy Management Division.(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). (B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. (d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). (3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. (e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 



25354.7. (a) For purposes of this section, the following definitions apply: 

(1) Division means the Geologic Energy Management Division.

(2) (A) Reportable pipeline means a pipeline that delivers domestic crude feedstock from oil production facilities to oil refineries for processing into transportation fuels, except as specified in subparagraph (B). 

(B) Reportable pipeline does not include a pipeline whose closure would not cause a significant reduction of the processing capacity of the refinery that receives the crude feedstock.

(b) The division shall confer with the commission to determine those pipelines that meet the definition of a reportable pipeline, and, on or before December 31, 2026, identify those pipelines that meet the definition of a reportable pipeline.

(c) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall report pipeline flows to the division. 

(d) (1) If reportable pipeline flows fall to, or below, their rated minimum throughput levels at any time, the reportable pipeline operator shall notify the division within 24 hours of the potential pipeline shutdown.

(2) The division shall notify the commission, the Governor, the Chair of the Assembly Utilities and Energy Committee, and the Chair of the Senate Energy, Utilities, and Communications Committee of the potential pipeline shutdown described in paragraph (1). 

(3) The division shall confer with the commission to determine if the potential reportable pipeline shutdown described in paragraph (1) could result in gasoline supply disruptions. 

(e) The division shall establish a form for reporting pipeline flows that may be submitted via email by reportable pipeline operators. The form shall include a method to report when pipeline flows reach minimum throughput levels. 



It is the intent of the Legislature to enact subsequent legislation that would require the State Energy Resources Conservation and Development Commission, based on data on crude deliveries collected pursuant to Section 25354 of the Public Resources Code, to do both of the following:



(a)Determine if California domestic crude pipeline deliveries to refineries are reaching minimum throughput levels that would cause a shutdown of those pipelines.



(b)If the commission determines that there is a sufficient danger to the operation of a pipeline that could cause it to shut down, provide notice to the Governor and the Legislature of potential gasoline supply disruptions.