Bill Text: CA SB1300 | 2013-2014 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Refineries: turnarounds.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2014-09-20 - Chaptered by Secretary of State. Chapter 519, Statutes of 2014. [SB1300 Detail]

Download: California-2013-SB1300-Amended.html

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BILL NUMBER: SB 1300	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 18, 2014
	AMENDED IN SENATE  APRIL 21, 2014

INTRODUCED BY   Senator Hancock
    (   Principal coauthor:   Assembly Member
  Skinner   ) 

                        FEBRUARY 21, 2014

   An act  to amend Section 7870 of, and  to add
Section 7872  to,   to  the Labor Code,
relating to refineries.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1300, as amended, Hancock. Refineries: turnarounds.
   Existing law, the California Refinery and Chemical Plant Worker
Safety Act of 1990, states that its purpose is to prevent or minimize
the consequences of catastrophic releases of toxic, flammable, or
explosive chemicals.  Existing law   The act
 provides for the adoption  by the Occupational Safety and
Health Standards Board  of specified process safety management
standards for, among others, refineries that handle acutely hazardous
material.  Existing law   The act 
declares the intent of the Legislature  for, among others,
  for the standards board and  the Division of
Occupational Safety and  Health,   Health 
to promote worker safety through implementation of training and
process safety management, as defined, in refineries and other
facilities as deemed appropriate. A violation of the act is a crime.
   This bill would require every petroleum refinery employer to,
every September 15, submit to the division a full schedule  for
the   following calendar year  of planned turnarounds,
meaning a planned, periodic shutdown of a refinery process unit or
plant to perform maintenance, overhaul, and repair operations and to
inspect, test, and replace process materials and equipment, 
for thefl following calendar year, as specified. Upon the request of
the division, the   as specified. The  bill would
also require a petroleum refinery employer  , upon the request of
the division,  to provide access  on site 
 onsite  and provide the division with specified
documentation relating to a planned turnaround within a certain
period of time, as provided. 
   Existing law requires the division to annually fix and collect
reasonable fees for consultation, inspection, adoption of standards,
and other duties conducted pursuant to the act, and requires all
revenue collected from these fees to be deposited into the
Occupational Safety and Health Fund. Existing law requires the fees
to be sufficient to support, at a minimum, the annual cost of 15
positions and requires the fees to be adopted by March 15, 2014.
 
   This bill would instead authorize the Department of Industrial
Relations to fix and collect reasonable fees to cover all necessary
expenses, including administrative and indirect costs, for
consultation, inspection, adoption of standards, participation in
interagency efforts to improve safety in refineries and chemical
plants, and other duties conducted pursuant to this act. This bill
would require the Director of Industrial Relations to adopt
reasonable rules and regulations governing the criteria and
procedures to fix and collect the fees, including emergency
regulations as necessary.  
   This bill would require the Director of Industrial Relations to
recoup the full costs of extraordinary expenditures from the owner of
a refinery by adding the amount expended to the next year's
assessment for that facility as a result of the division's response
to a hazardous material release or similar occurrence at a petroleum
refinery.  
   This bill would authorize the department to hold in reserve any
unexpended funds as a contingency fund for expenditures required by
an emergency response to a hazardous material release or other
emergency situation an unexpended funds, as provided.
   Because a violation of the bill's requirements would be a crime,
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 a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
   
  SECTION 1.    Section 7870 of the Labor Code is
amended to read:
   7870.  (a) Notwithstanding the availability of federal funds to
carry out the purposes of this part, the department may fix and
collect reasonable fees to cover all necessary expenses, including
administrative and indirect costs, for consultation, inspection,
adoption of standards, participation in interagency efforts to
improve safety in refineries and chemical plants, and other duties
conducted pursuant to this part. All revenue collected from these
fees shall be deposited into the Occupational Safety and Health Fund.
The expenditure of these funds shall be subject to appropriation by
the Legislature in the annual Budget Act. The director shall adopt
reasonable rules and regulations governing the criteria and
procedures to fix and collect the fees and to implement this section,
including emergency regulations as necessary. All regulations
previously adopted by the division pursuant to this section shall
remain in effect until repealed or amended by the director.
   (b) The emergency regulations adopted pursuant to this section
shall be adopted by the director in accordance with Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code. The adoption of these regulations is an
emergency and shall be considered by the Office of Administrative Law
necessary for the immediate preservation of the public peace,
health, safety, and general welfare.
   (c) If, as a result of the division's response to a hazardous
material release or similar occurrence at a petroleum refinery, the
division is required to make extraordinary expenditures, including,
but not limited to, transportation, meals, lodging, overtime, or
other costs, the director shall recoup the full costs of such
expenditures from the owner of the refinery by adding the amount
expended to the next year's assessment for that facility. The
director shall provide the owner of the refinery with an accounting
of the costs for which reimbursement is being sought.
   (d) In the event the funds collected pursuant to this section are
not fully expended by the department in carrying out its duties
pursuant to this part, the balance shall be carried forward and may,
in the department's discretion, be credited against the subsequent
year's assessment or held in reserve as a contingency fund for
expenditures required by an emergency response to a hazardous
material release or other emergency situation. 
   SEC. 2.   SECTION 1.   Section 7872 is
added to the Labor Code, to read:
   7872.  (a)  For the purposes of   As used in
 this section, "turnaround" means a planned, periodic shutdown,
total or partial, of a refinery process unit or plant to perform
maintenance, overhaul, and repair operations and to inspect, test,
and replace process materials and equipment. "Turnaround" does not
include unplanned shutdowns that occur due to emergencies or other
unexpected maintenance matters in a process unit or plant.
"Turnaround" also does not include routine maintenance, where routine
maintenance consists of regular, periodic maintenance on one or more
pieces of equipment at a refinery process unit or plant that may
require shutdown of such equipment.
   (b) Every September 15, every petroleum refinery employer shall
submit to the division a full schedule of planned turnarounds for
 the various   all affected  units for the
following calendar year.
   (c) At the request of the division, at least 60 days prior to the
shutdown of a process unit or plant as part of a planned turnaround,
a petroleum refinery employer shall provide access onsite and allow
the division to review and receive copies of, or, at the division's
discretion, submit in physical format or in electronic format if
available electronically, the following documentation for the process
unit or plant scheduled to be shut down for that turnaround:
   (1)  Corrosion   All corrosion  reports
and risk-based inspection reports generated since the last
turnaround.
   (2) Process  Hazard Analyses   hazard
analyses  generated since the last turnaround.
   (3) Boiler permit schedules.
   (4) All management of change records related to repairs, design
modifications, and process changes implemented since the last
turnaround or scheduled to be completed in the planned turnaround
referenced in this subdivision and identified in subdivision (b).
   (5) Work orders scheduled to be completed in the planned
turnaround referenced in this subdivision and identified in
subdivision (b).
   (6)  Temporary   All   temporary
 repairs  made  since the last turnaround, including,
but not limited to, clamps and encapsulations.  For the
purposes of   As used in  this section, "temporary
repairs"  shall be defined as   means 
repairs made to piping systems in order to restore sufficient
integrity to continue safe operation until permanent repairs can be
scheduled.
   (d) The division may request additional information as necessary
to perform its responsibilities in this part pursuant to Section
6314.
   (e) At the request of the division, at least 30 days 
prior to   before  the shutdown of a process unit
or plant as part of a planned turnaround, a petroleum refinery
employer shall provide access onsite and allow the division to review
and receive copies of, or, at the division's discretion, submit in
physical format or in electronic format if available electronically,
notification and description of any changes to the information or
documents provided pursuant to subdivision (c) and relevant
supporting documents.
   (f) By agreement with a petroleum refinery employer, the division
may modify the reporting period as to any individual item of
information.
   (g) This section is not intended to limit or increase the division'
s authority in Part 1 (commencing with Section 6300) to prohibit use
of a place of employment, machine, device, apparatus, or equipment or
any part thereof that constitutes an imminent hazard to employees.

   (h) The division shall develop an electronic information
management system to facilitate monitoring of petroleum refineries
pursuant to this section.  
   (i) 
    (h)  The Legislature finds and declares  that 
the purpose of this section is to improve the ability of the state to
conduct inspections of petroleum refining operations.
   SEC. 3.   SEC. 2.   No reimbursement is
required by this act pursuant to Section 6 of Article XIII B of the
California Constitution because the only 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 XIII
B of the California Constitution.