Bill Text: CA AB2447 | 2021-2022 | Regular Session | Amended


Bill Title: Oil and gas wastewater: unlined ponds: prohibition.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2022-05-26 - Ordered to inactive file at the request of Assembly Member Quirk. [AB2447 Detail]

Download: California-2021-AB2447-Amended.html

Amended  IN  Assembly  May 19, 2022
Amended  IN  Assembly  April 07, 2022

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 2447


Introduced by Assembly Member Quirk

February 17, 2022


An act to add, repeal, and add Article 3.3 (commencing with Section 3170) of Chapter 1 of Division 3 of the Public Resources Code, relating to oil and gas.


LEGISLATIVE COUNSEL'S DIGEST


AB 2447, as amended, Quirk. Oil and gas wastewater: unlined ponds: prohibition.
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. Existing law requires the owner of any well to file with the supervisor a monthly statement that provides certain information relating to the well, including the source, volume, treatment, and disposition of water produced in oil and gas activities. Under existing law, a person who fails to comply with this and other requirements relating to the regulation of oil or gas operations is guilty of a misdemeanor.
Under the Porter-Cologne Water Quality Control Act, the State Water Resources Control Board and the California regional water quality control boards are the principal state agencies with authority over matters relating to water quality, including prescribing waste discharge requirements for the discharge of waste that could affect the quality of the waters of the state. Under the act, persons discharging waste are required to file with the appropriate regional board a report of the discharge and the discharge is subject to waste discharge requirements prescribed by that regional board. Under the act, each regional board is required to formulate and adopt water quality control plans for all areas within its region, as specified.
Beginning January 1, 2023, and until January 1, 2025, this bill would prohibit the disposal of produced wastewater, as defined, into unlined ponds and the construction of new unlined ponds, except as conducted pursuant to a permit or other authorization lawfully issued before that date, and would also prohibit the issuance or renewal of a permit or other authorization for those activities. Beginning January 1, 2025, the bill would prohibit all disposal of produced wastewater into unlined ponds and the construction of new unlined ponds. The bill would exclude from these prohibitions the discharge of produced wastewater into unlined ponds under specified conditions. The bill would require various state and local entities, require, as needed, the State Water Resources Control Board and regional water quality control boards, on or before January 1, 2025, to adopt amendments to their rules and regulations consistent with the prohibitions beginning January 1, 2023. To the extent local governments regional water quality control boards would be required to provide a higher level of service in the amending of rules and regulations, the bill would impose a state-mandated local program.
Because violation of the prohibition on disposing of produced wastewater into unlined ponds or constructing new unlined ponds, except pursuant to a permit issued before January 1, 2023, or as otherwise exempted, would create a new 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 with regard to certain mandates no reimbursement is required by this act for a specified reason.
With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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


SECTION 1.

 Article 3.3 (commencing with Section 3170) is added to Chapter 1 of Division 3 of the Public Resources Code, to read:
Article  3.3. Unlined Ponds

3170.
 (a) For purposes of this article, the following terms have the following meanings:
(1) “Produced wastewater” means water, or water and other fluids, from underground formations that is brought to the surface as a result of any phase of crude oil, condensate, or natural gas extraction, including following a well stimulation treatment or during oil and gas production.
(2) “Unlined pond” means any pond, open pit, sump, shallow well, or other soil excavation serving as an unlined percolation receptacle for collecting or storing, or both, water and fluids attendant to oil and gas field operations.
(b) (1) Subject to subdivision (c), notwithstanding any law or regulation, beginning January 1, 2023, the disposal of produced wastewater into unlined ponds and the construction of new unlined ponds is prohibited, except pursuant to a valid permit or other authorization lawfully issued before that date and in compliance with the requirements for that permit or authorization.
(2) Subject to subdivision (c), notwithstanding any law or regulation, beginning January 1, 2023, a permit or other authorization for the disposal of produced wastewater into unlined ponds or for the construction of new unlined ponds shall not be issued, and a then-existing permit or other authorization for those purposes shall not be renewed, and any permit or other authorization issued to the operator of a well after January 1, 2023, for the disposal of produced wastewater into an unlined pond or for the construction of a new unlined pond is void.
(c) The discharge of produced wastewater into unlined ponds is not subject to the prohibitions of this section if all of the following conditions are met:
(1) The stored discharge does not exceed the water quality objectives established by the water quality control plan of the regional water quality control board pursuant to Section 13240 of the Water Code or the stored discharge is treated or blended so that it does not exceed those water quality objectives.
(2) The discharge is permitted by the State Water Resources Control Board or a regional water quality control board.
(3) The produced wastewater is put to a beneficial use, as defined in subdivision (f) of Section 13050 of the Water Code, including, but not limited to, groundwater recharge. A beneficial use does not include use for extraction of oil or gas for the purposes of this section.
(d) (1) The prohibitions in this section shall be implemented, as appropriate, by the State Water Resources Control Board, the Department of Toxic Substances Control, the State Air Resources Board, local air districts and Board, regional water quality control boards, and any other public agency or entity having pertinent jurisdiction.
(2) On or before January 1, 2025, the public agencies or entities described in paragraph (1) State Water Resources Control Board and the regional water quality control boards shall adopt amendments, as needed, to their rules and regulations for consistency with this article.

3171.
 This article shall remain in effect only until January 1, 2025, and as of that date is repealed.

SEC. 2.

 Article 3.3 (commencing with Section 3170) is added to Chapter 1 of Division 3 of the Public Resources Code, to read:
Article  3.3. Unlined Ponds

3170.
 (a) For purposes of this article, the following terms have the following meanings:
(1) “Produced wastewater” means water, or water and other fluids, from underground formations that is brought to the surface as a result of any phase of crude oil, condensate, or natural gas extraction, including following a well stimulation treatment or during oil and gas production.
(2) “Unlined pond” means any pond, open pit, sump, shallow well, or other soil excavation serving as an unlined percolation receptacle for collecting or storing, or both, water and fluids attendant to oil and gas field operations.
(b) Subject to subdivision (c), notwithstanding any law or regulation, the disposal of produced wastewater into unlined ponds and the construction of new unlined ponds is prohibited.
(c) The discharge of produced wastewater into unlined ponds is not subject to the prohibitions of this section if all of the following conditions are met:
(1) The stored discharge does not exceed the water quality objectives established by the water quality control plan of the regional water quality control board pursuant to Section 13240 of the Water Code or the stored discharge is treated or blended so that it does not exceed those water quality objectives.
(2) The discharge is permitted by the State Water Resources Control Board or a regional water quality control board.
(3) The produced wastewater is put to a beneficial use, as defined in subdivision (f) of Section 13050 of the Water Code, including, but not limited to, groundwater recharge. A beneficial use does not include use for extraction of oil or gas for the purposes of this section.
(d) The prohibitions in this section shall be implemented, as appropriate, by the State Water Resources Control Board, the Department of Toxic Substances Control, the State Air Resources Board, local air districts and Board, regional water quality control boards, and any other public agency or entity having pertinent jurisdiction.

3171.
 This article shall become operative on January 1, 2025.

SEC. 3.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution for certain costs that may be incurred by a local agency or school district because, in that regard, 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.
However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
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