Bill Text: CA SB763 | 2013-2014 | Regular Session | Amended

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

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Bill Title: State Water Resources Control Board: underground storage tanks.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2013-10-08 - Chaptered by Secretary of State. Chapter 640, Statutes of 2013. [SB763 Detail]

Download: California-2013-SB763-Amended.html

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BILL NUMBER: SB 763	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  AUGUST 19, 2013
	AMENDED IN ASSEMBLY  AUGUST 6, 2013
	AMENDED IN SENATE  APRIL 23, 2013
	AMENDED IN SENATE  APRIL 16, 2013

INTRODUCED BY   Senator Fuller

                        FEBRUARY 22, 2013

   An act to amend Sections 25284.1, 25299.51,  25299.81,
 25299.102, 25299.103, 25299.104, 25299.105, 25299.106,
25299.107,  and  25299.109  , and 25299.117
 of, to repeal  Sections 25299.111 and  
Section  25299.113 of, and to repeal and add  Sections
  Section  25299.110  and 25299.117
 of, the Health and Safety Code, relating to underground
storage tanks, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 763, as amended, Fuller. State Water Resources Control Board:
underground storage tanks.
   (1) Existing law provides for the regulation of underground
storage tanks by the State Water Resources Control Board. Existing
law, until January 1, 2016, requires the board to conduct a loan and
grant program to assist small businesses in upgrading, replacing, or
removing tanks meeting applicable local, state, or federal standards
(UST upgrade program). Under existing law, the interest rate for
loans is set at the rate earned by the Surplus Money Investment Fund
at the time of the loan commitment. Existing law establishes the
Petroleum Underground Storage Tank Financing Account (financing
account) and, upon appropriation by the Legislature, requires moneys
in the account to be used by the board to make loans and grants for
purposes of the UST upgrade program. Existing law requires interest
earned from the investment of the moneys in the account to be
deposited into a subaccount, available upon appropriation by the
Legislature for administrative expenses of the board. Existing law
requires the board annually to make available not more than 33% of
the available funds from the account for the purposes of providing
grants.
   This bill would extend the operation of the loan and grant program
until  the board determines the moneys in the financing
account are exhausted and would repeal the program on the subsequent
January 1 of the date the board makes that determination
 January 1, 2022  , except as specified with regard to
certain authority.
   The bill would revise loan eligibility and grant award
requirements. The bill would require the board to annually make
available not more than 25% of the available funds from the account
for the purposes of providing grants. The bill would set the interest
rate for loans at the rate equal to 1/2 of the most recent general
obligation rate obtained by the office of the Treasurer at the time
of commitment. The bill would instead require interest earned from
moneys in the financing account to be deposited into that account and
would eliminate the subaccount. The bill would require loan fees and
various other moneys received in the implementation of the loan and
grant program to be deposited into the financing account. The bill
would specify that moneys in the financing account are permitted to
be used, in addition to making loans and grants, to service loans, to
recover defaulted loan moneys, to protect the state's position as a
lender creditor, and for administration costs, as specified. The bill
would additionally authorize the board to provide grants and loans
for the purposes of compliance with performance standards for the
control of gasoline vapor emissions during gasoline marketing
operations.
   (2) Existing law establishes the Underground Storage Tank Cleanup
Fund in the State Treasury and requires specified moneys to be
deposited into the fund, including charges imposed upon owners of
underground storage tanks. Under existing law, moneys in the fund may
be expended by the board, upon appropriation by the Legislature, for
various purposes, including for the Barry Keene Underground Storage
Tank Cleanup Trust Fund Act of 1989 and for transfer to the financing
account.
   This bill would transfer $8,000,000 of a specified portion of
those charges from the fund to the financing account and appropriate
these funds for the purpose of making grants and loans and
administering specific provisions, as prescribed.
   (3) This bill would also make technical, nonsubstantive changes to
various provisions.
   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 25284.1 of the Health and Safety Code is
amended to read:
   25284.1.  (a) The board shall take all of the following actions
with regard to the prevention of unauthorized releases from petroleum
underground storage tanks:
   (1) On or before June 1, 2000, initiate a field-based research
program to quantify the probability and environmental significance of
releases from underground storage tank systems meeting the 1998
upgrade requirements specified in Section 25284, as that section read
on January 1, 2002. The research program shall do all of the
following:
   (A) Seek to identify the source and causes of releases and any
deficiencies in leak detection systems.
   (B) Include single-walled, double-walled, and hybrid tank systems,
and avoid bias towards known leaking underground storage tank
systems by including a statistically valid sample of all operating
underground storage tank systems.
   (C) Include peer review.
   (2) Complete the research program on or before June 1, 2002.
   (3) Use the results of the research program to develop appropriate
changes in design, construction, monitoring, operation, and
maintenance requirements for tank systems.
   (4) On or before January 1, 2001, adopt regulations to do all of
the following:
   (A) (i) Require underground storage tank owners, operators,
service technicians, installers, and inspectors to meet minimum
industry-established training standards and require tank facilities
to be operated in a manner consistent with industry-established best
management practices.
   (ii) The board shall implement an outreach effort to educate small
business owners or operators on the importance of the regulations
adopted pursuant to this subparagraph.
   (B) (i) Except as provided in clauses (ii) and (iii), require
testing of the secondary containment components, including
under-dispenser and pump turbine containment components, upon initial
installation of a secondary containment component and periodically
thereafter, to ensure that the system is capable of containing
releases from the primary containment until a release is detected and
cleaned up. The board shall consult with the petroleum industry and
local government to assess the appropriate test or tests that would
comply with this subparagraph.
   (ii) Secondary containment components that are part of an
emergency generator tank system may be tested using enhanced leak
detection, if the test is performed at the frequency specified by the
board for testing of secondary containment pursuant to Section
2644.1 of Title 23 of the California Code of Regulations. If the
results of the enhanced leak detection test indicate that any
component of the emergency generator tank system is leaking liquid or
vapor, the owner or operator shall take appropriate actions to
correct the leakage, and the owner or operator shall retest the
system using enhanced leak detection until the system is no longer
leaking liquid or vapor.
   (iii) Any tank or piping that is part of an emergency generator
tank system and located within a structure as described in paragraph
(2) of subdivision (a) of Section 25283.5 is exempt from the
secondary containment testing required by clause (i), if the owner or
operator conducts visual inspections of tank or piping each time the
tank system is operated, but no less than monthly, and maintains a
log of inspection results for review by the local agency. This clause
is not applicable if the board adopts regulations pursuant to
Section 25299.3 that address the design, construction, upgrade, and
monitoring of unburied tanks that are part of an emergency generator
tank system.
   (C) Require annual testing of release detection sensors and
alarms, including under-dispenser and pump turbine containment
sensors and alarms. The board shall consult with the petroleum
industry and local government to assess the appropriate test or tests
that would comply with this subparagraph.
   (5) (A) Require an owner or operator of an underground storage
tank installed after July 1, 1987, if a tank is located within 1,000
feet of a public drinking water well, as identified pursuant to the
state GIS mapping database, to have the underground storage tank
system fitted, on or before July 1, 2001, with under-dispenser
containment or a spill containment or control system that is approved
by the board as capable of containing any accidental release.
   (B) Require all underground storage tanks installed after January
1, 2000, to have the tank system fitted with under-dispenser
containment or a spill containment or control system to meet the
requirements of subparagraph (A).
   (C) Require an owner or operator of an underground storage tank
that is not otherwise subject to subparagraph (A), and not subject to
subparagraph (B), to have the underground storage tank system fitted
to meet the requirements of subparagraph (A), on or before December
31, 2003.
   (D) On and after January 1, 2002, no person shall install, repair,
maintain, or calibrate monitoring equipment for an underground
storage tank unless that person satisfies both of the following
requirements:
   (i) The person has fulfilled training standards identified by the
board in regulations adopted pursuant to this section.
   (ii) The person possesses a tank testing license issued by the
board pursuant to Section 25284.4, or a Class "A" General Engineering
Contractor License, C-10 Electrical Contractor License, C-34
Pipeline Contractor License, C-36 Plumbing Contractor License, or
C-61 (D40) Limited Specialty Service Station Equipment and
Maintenance Contractor License issued by the Contractors' State
License Board.
   (E) Loans and grants for the installation of under-dispenser
containment or a spill containment or control system shall be made
available pursuant to Chapter 6.76 (commencing with Section
25299.100).
   (6) Convene a panel of local agency and regional board
representatives to review existing enforcement authority and
procedures and to advise the board of any changes that are needed to
enable local agencies to take adequate enforcement action against
owners and operators of noncompliant underground storage tank
facilities. The panel shall make its recommendations to the board on
or before September 30, 2001. Based on the recommendations of the
panel, the board shall also establish effective enforcement
procedures in cases involving fraud.
   (b) On or before July 1, 2001, the Contractors' State License
Board, in consultation with the board, the petroleum industry, air
pollution control districts, air quality management districts, and
local government, shall review its requirements for petroleum
underground storage tank system installation and removal contractors
and make changes, where appropriate, to ensure these contractors are
qualified.
  SEC. 2.  Section 25299.51 of the Health and Safety Code is amended
to read:
   25299.51.  The board may expend the money in the fund for all the
following purposes:
   (a) In addition to the purposes specified in subdivisions (c),
(d), and (e), for the costs of implementing this chapter and for
implementing Section 25296.10 for a tank that is subject to this
chapter.
   (b) To pay for the administrative costs of the State Board of
Equalization in collecting the fee imposed by Article 5 (commencing
with Section 25299.40).
   (c) To pay for the reasonable and necessary costs of corrective
action pursuant to Section 25299.36, up to one million five hundred
thousand dollars ($1,500,000) per occurrence. The Legislature may
appropriate the money in the fund for expenditure by the board,
without regard to fiscal year, for prompt action in response to any
unauthorized release.
   (d) To pay for the costs of an agreement for the abatement of, and
oversight of the abatement of, an unauthorized release of hazardous
substances from underground storage tanks, by a local agency, as
authorized by Section 25297.1 or by any other provision of law,
except that, for the purpose of expenditure of these funds, only
underground storage tanks, as defined in Section 25299.24, shall be
the subject of the agreement.
   (e) To pay for the costs of cleanup and oversight of unauthorized
releases at abandoned tank sites. The board shall not expend more
than 25 percent of the total amount of money collected and deposited
in the fund annually for the purposes of this subdivision and
subdivision (h).
   (f) To pay claims pursuant to Section 25299.57.
   (g) To pay, upon order of the Controller, for refunds pursuant to
Part 26 (commencing with Section 50101) of Division 2 of the Revenue
and Taxation Code.
   (h) To pay for the reasonable and necessary costs of corrective
action pursuant to subdivision (f) of Section 25296.10, in response
to an unauthorized release from an underground storage tank subject
to this chapter.
   (i) To pay claims pursuant to Section 25299.58.
   (j) To pay for expenditures by the board associated with
discovering violations of, and enforcing, or assisting in the
enforcement of, the requirements of Chapter 6.7 (commencing with
Section 25280) with regard to petroleum underground storage tanks.
   (k) For transfer to the Petroleum Underground Storage Tank
Financing Account, for purposes of Chapter 6.76 (commencing with
Section 25299.100). 
  SEC. 3.    Section 25299.81 of the Health and
Safety Code is amended to read:
   25299.81.  (a) Except as provided in subdivisions (b) and (c),
this chapter shall remain in effect only until January 1, 2016, and
as of that date is repealed, unless a later enacted statute, which is
enacted before January 1, 2016, deletes or extends that date.
   (b) Notwithstanding subdivision (a), Article 1 (commencing with
Section 25299.10), Article 2 (commencing with Section 25299.11), and
Article 4 (commencing with Section 25299.36) shall not be repealed
and shall remain in effect on January 1, 2016.
   (c) The repeal of certain portions of this chapter does not
terminate any of the following rights, obligations, or authorities,
or any provision necessary to carry out these rights and obligations:

   (1) The filing and payment of claims against the fund, including
the costs specified in subdivisions (c), (e), and (h) of Section
25299.51, claims filed under Section 25299.50.3, and claims for
commingled plumes, as specified in Article 11 (commencing with
Section 25299.90), until the moneys in the fund are exhausted. Upon
exhaustion of the fund, any remaining claims shall be invalid.
   (2) The repayment of loans, outstanding as of January 1, 2016, due
and payable to the board.
   (3) The recovery of moneys reimbursed to a claimant to which the
claimant is not entitled, or the resolution of any cost recovery
action.
   (4) The collection of unpaid fees that are imposed pursuant to
Article 5 (commencing with Section 25299.40), as that article read on
December 31, 2015, or have become due before January 1, 2016,
including any interest or penalties that accrue before, on, or after
January 1, 2016, associated with those unpaid fees.
   (5) (A) The filing of an application for funds from, and the
making of payments from, the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund pursuant to Section
25299.50.2, any action for the recovery of moneys paid pursuant to
Section 25299.50.2 to which the recipient is not entitled, and the
resolution of that cost recovery action.
   (B) Upon liquidation of funds in the Underground Storage Tank
Petroleum Contamination Orphan Site Cleanup Fund, the obligation to
make a payment from the Underground Storage Tank Petroleum
Contamination Orphan Site Cleanup Fund is terminated.
   (d) The board shall continuously post and update on its Internet
Web site, but at a minimum, annually on or before September 30,
information that describes the status of the fund and shall make
recommendations, when appropriate, to improve the efficiency of the
program. 
   SEC. 4.   SEC. 3.   Section 25299.102 of
the Health and Safety Code is amended to read:
   25299.102.  The board shall only make loan funds available to loan
applicants that meet all of the following eligibility requirements:
   (a) The loan applicant is a small business, either as defined in
Section 632 of Title 15 of the United States Code, and in the federal
regulations adopted to implement that section, as specified in Part
121 (commencing with Section 121.101) of Chapter I of Title 13 of the
Code of Federal Regulations, or employs fewer than 500 full-time and
part-time employees, is independently owned and operated, and is not
dominant in its field of operation. In either case, the principal
office of the small business shall be domiciled in the state, and the
officers of the small business shall be domiciled in this state. The
board shall give priority to awarding loans to small businesses that
meet the definition of small business specified in subdivision (d)
of Section 14837 of the Government Code.
   (b) The loan applicant owns or operates a project tank.
   (c) The loan applicant demonstrates the ability to repay the loan,
and the availability of adequate collateral to secure the loan.
   (d) All tanks owned and operated by the loan applicant are subject
to compliance with Chapter 6.7 (commencing with Section 25280), and
the regulations adopted pursuant to that chapter.
   (e) The loan applicant has complied, or will comply, with the
financial responsibility requirements specified in Section 25299.31
and the regulations adopted pursuant to this section.
   SEC. 5.   SEC. 4.   Section 25299.103 of
the Health and Safety Code is amended to read:
   25299.103.  (a) A complete loan application shall include all of
the following:
   (1) Evidence of eligibility.
   (2) An environmental audit, as specified in Section 5260 of Title
10 of the California Code of Regulations.
   (3) Financial and legal documents necessary to demonstrate the
applicant's ability to repay and provide collateral for the loan. The
board shall develop a standard list of documents required of all
applicants, and may also request from individual applicants
additional financial and legal documents not provided on this list.
   (4) An explanation of the reasons why the project tank is not in
compliance with applicable local, state, or federal standards, and
evidence that tanks not included in the list of project tanks are
currently in compliance with applicable local, state, or federal
standards.
   (5) A detailed cost estimate of the tasks that are required to be
completed in order for the project tanks to comply with applicable
local, state, or federal standards.
   (6) Any other information that the board determines to be
necessary to include in an application form.
   (b) Notwithstanding paragraph (4) of subdivision (a), the board
may not refuse to grant a loan to an applicant solely because the
applicant has failed to obtain a permit pursuant to the requirements
of Chapter 6.7 (commencing with Section 25280).
   SEC. 6.   SEC. 5.   Section 25299.104 of
the Health and Safety Code is amended to read:
   25299.104.  (a) The minimum amount that the board may loan an
applicant is ten thousand dollars ($10,000), and the maximum amount
that the board may loan an applicant is seven hundred fifty thousand
dollars ($750,000).
   (b) The term of the loan shall be for a maximum of 20 years if
secured by real property, and for 10 years if not secured by real
property. The interest rate for loans shall be set at the rate equal
to one-half of the most recent general obligation bond rate obtained
by the office of the Treasurer at the time of the loan commitment.
   (c) Loan funds may be used to finance up to 100 percent of the
costs necessary to upgrade, remove, or replace project tanks,
including corrective actions, to meet applicable local, state, or
federal standards, including, but not limited to, any design,
construction, monitoring, operation, or maintenance requirements
adopted pursuant to Sections 25284.1, 25292.4, and 41954.
   (d) The board may charge a loan fee to loan applicants of up to 2
percent of the requested loan amount. The loan fee shall be deposited
in the Petroleum Underground Storage Tank Financing Account.
   (e) The inoperation or repeal of this chapter pursuant to Section
25299.117 shall not extinguish a loan obligation and shall not impair
the deed of trust or other collateral made pursuant to this chapter
or the authority of the state to pursue appropriate action for
collection.
   SEC. 7.   SEC. 6.   Section 25299.105 of
the Health and Safety Code is amended to read:
   25299.105.  (a) The board shall make grant funds available from
the Petroleum Underground Storage Tank Financing Account to eligible
grant applicants who meet all of the following eligibility
requirements:
   (1) The grant applicant is a small business, pursuant to the
following requirements:
   (A) The grant applicant meets the conditions for a small business
concern as defined in Section 632 of Title 15 of the United States
Code, and in the federal regulations adopted to implement that
section, as specified in Part 121 (commencing with Section 121.101)
of Chapter I of Title 13 of the Code of Federal Regulations.
   (B) The grant applicant employs fewer than 20 full-time and
part-time employees, is independently owned and operated, and is not
dominant in its field of operation.
   (2) The principal office of the grant applicant is domiciled in
the state and the officers of the grant applicant are domiciled in
this state.
   (3) All tanks owned and operated by the grant applicant are
subject to compliance with Chapter 6.7 (commencing with Section
25280) and the regulations adopted pursuant to that chapter.
   (4) The facility where the project tank is located has sold at
retail less than 900,000 gallons of gasoline annually for each of the
two years preceding the submission of the grant application. The
number of gallons sold shall be based upon taxable sales figures
provided to the State Board of Equalization for that facility.
   (5) The grant applicant owns or operates a tank that is in
compliance with all of the following:
   (A) Section 41954.
   (B) Any of the following:
   (i) Section 25290.1.
   (ii) Section 25290.2.
   (iii) Section 25291.
   (iv) Subdivisions (d) and (e) of Section 25292.
   (C) Any regulation implementing the applicable sections required
for compliance with subparagraphs (A) and (B).
   (6) The facility where the project tank is located was legally in
business retailing gasoline after January 1, 1999.
   (b) Grant funds may only be used to pay the costs necessary to
comply with the requirements of Section 25284.1, 25292.4, 25292.5, or
41954.
   SEC. 8.   SEC. 7.   Section 25299.106 of
the Health and Safety Code is amended to read:
   25299.106.  A complete grant application shall include all of the
following information:
   (a) Evidence of eligibility.
   (b) The board shall develop a standard list of documents required
of all applicants, and may also request from individual applicants
additional financial and legal documents not provided on this list.
   (c) An explanation of the actions the applicant is required to
take to comply with the requirements of Sections 25284.1 and 25292.4
or Section 41954.
   (d) A detailed cost estimate of the actions that are required to
be completed for the project tanks to comply with applicable local,
state, or federal standards, if applicable.
   (e) Any other information that the board determines to be
necessary to include in an application form.
   SEC. 9.  SEC. 8.   Section 25299.107 of
the Health and Safety Code is amended to read:
   25299.107.  (a) The minimum amount that the board may grant an
applicant is three thousand dollars ($3,000), and the maximum amount
that the board may grant an applicant is fifty thousand dollars
($50,000).
   (b) Grant funds may be used to finance up to 100 percent of the
costs necessary to comply with Sections 25284.1, 25292.4, 25292.5,
and 41954.
   (c) If the board received the applicant's grant application on or
before April 1, 2009, grant funds may be used to reimburse up to 100
percent of the costs that the applicant incurred after the board
received the grant application to comply with the Enhanced Vapor
Recovery Phase II regulations.
   (d) A person or entity is not eligible to receive more than fifty
thousand dollars ($50,000) in grant funds pursuant to this chapter.
   SEC. 10.   SEC. 9.   Section 25299.109
of the Health and Safety Code is amended to read:
   25299.109.  (a) The Petroleum Underground Storage Tank Financing
Account is hereby created in the State Treasury. All of the following
moneys shall be deposited in the Petroleum Underground Storage Tank
Financing Account:
   (1) Federal, state, and local funds transferred for deposit in the
account.
   (2) Repayments of loans and interest and late fees on loans issued
pursuant to this chapter.
   (3) Repayments of loans and interest and late fees on loans issued
pursuant to former Chapter 8.5 (commencing with Section 15399.10) of
Part 6.7 of Division 3 of Title 2 of the Government Code, as that
chapter existed on December 31, 2003.
   (4) Moneys collected pursuant to Section 25299.110 and subdivision
(d) of Section 25299.104.
   (5) Repayments of loan and grant moneys paid to a loan or grant
applicant to which the applicant is not entitled.
   (6) Notwithstanding Section 16305.7 of the Government Code, all
interest earned upon moneys that are deposited in the account.
   (7) All unexpended moneys in a subaccount of the account that is
consolidated into the account by the act adding this paragraph.
   (8) All unexpended moneys in the Petroleum Financing Collection
Account established pursuant to Section 25299.110, as added by
Section 1 of Chapter 624 of the Statutes of 2004.
   (b) Upon appropriation by the Legislature, funds in the account
shall be used by the board to make loans and grants, service loans,
recover defaulted loan moneys due, protect the state's position as a
lender creditor, and administer this chapter.
   (c) The board shall annually make available not more than 25
percent of the available funds from the account for the purposes of
providing grants pursuant to this chapter.
   (d) Eight million dollars ($8,000,000) is hereby transferred from
the portion of the fees collected pursuant to subdivisions (a) to
(e), inclusive, of Section 25299.43 in the Underground Storage Tank
Cleanup Fund, to the Petroleum Underground Storage Tank Financing
Account, and is hereby appropriated for the purposes of making grants
and loans pursuant to this chapter and administering this chapter.
   SEC. 11.   SEC. 10.   Section 25299.110
of the Health and Safety Code is repealed.
   SEC. 12.   SEC. 11.   Section 25299.110
is added to the Health and Safety Code, to read:
   25299.110.  To defray the costs of the board in administering the
loan program created pursuant to this chapter, the board may do all
of the following:
   (a) Impose reasonable charges on all applications and impose the
loan fee specified in subdivision (d) of Section 25299.104.
   (b) Recover collection costs from the borrower or other party.
   (c) Earn income on any asset recovered pursuant to a loan default.

  SEC. 13.    Section 25299.111 of the Health and
Safety Code is repealed. 
   SEC. 14.   SEC. 12.   Section 25299.113
of the Health and Safety Code is repealed. 
  SEC. 15.    Section 25299.117 of the Health and
Safety Code is repealed.  
  SEC. 16.    Section 25299.117 is added to the
Health and Safety Code, to read:
   25299.117.  (a) This chapter shall become inoperative on the date
when the board issues a determination that no funds remain in the
Underground Storage Tank Cleanup Fund for the purposes of making
grants and loans pursuant to this chapter. Upon making that
determination, the board shall not make any further grants and loans
and any remaining claims for the payment of grants or loans shall be
invalid.
   (b) Upon making a determination pursuant to subdivision (a), the
board shall notify the Secretary of State and the Office of the
Legislative Counsel of that determination and the date of the repeal
of this chapter, as specified in subdivision (c).
   (c) This chapter is repealed as of the subsequent January 1 of the
date of the notification made pursuant to subdivision (b), unless a
later enacted statute, that is enacted on or before that January 1,
deletes or extends that date.
   (d) Notwithstanding subdivision (c), the repeal of this chapter
does not terminate any of the following rights, obligations, or
authority, or any other provision necessary to carry out those rights
or obligations, or that authority:
   (1) The repayment of loans due and payable to the board.
   (2) The resolution of any cost recovery action or the initiation
of an action or other collection process to recover defaulted loan
moneys due to the board or to recover grant moneys paid but to which
the recipient is not entitled. 
   SEC. 13.    Section 25299.117 of the  
Health and Safety Code   is amended to read: 
   25299.117.   This   (a)    
Except as provided in subdivision (b), this    chapter
is repealed as of January 1,  2016   2022 
, unless a later enacted statute that is enacted on or before
January 1,  2016   2022  , deletes or
extends that date. 
   (b) Notwithstanding subdivision (a), the repeal of this chapter
does not terminate any of the following rights, obligations,
authorities, or any provision necessary to carry out these rights,
obligations, and authority:  
   (1) The repayment of loans due and payable to the board. 

   (2) The resolution of any cost recovery action or the initiation
of an action or other collection process to recover defaulted loan
moneys due to the board or to recover grant moneys paid but to which
the grantee is not entitled.