Bill Text: CA SJR27 | 2013-2014 | Regular Session | Chaptered
Bill Title: Railroad safety: transportation of crude oil.
Spectrum: Moderate Partisan Bill (Democrat 56-10)
Status: (Passed) 2014-08-13 - Chaptered by Secretary of State. Res. Chapter 114, Statutes of 2014. [SJR27 Detail]
Download: California-2013-SJR27-Chaptered.html
BILL NUMBER: SJR 27 CHAPTERED
BILL TEXT
RESOLUTION CHAPTER 114
FILED WITH SECRETARY OF STATE AUGUST 13, 2014
ADOPTED IN SENATE AUGUST 11, 2014
ADOPTED IN ASSEMBLY JULY 3, 2014
AMENDED IN ASSEMBLY JULY 3, 2014
INTRODUCED BY Senator Padilla
(Principal coauthor: Senator Wolk)
(Coauthors: Senators DeSaulnier, Hill, and Pavley)
(Coauthors: Assembly Members Alejo, Ammiano, Atkins, Bloom,
Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian Calderon,
Campos, Chau, Chávez, Chesbro, Cooley, Dababneh, Dahle, Daly,
Dickinson, Eggman, Fong, Frazier, Garcia, Gatto, Gomez, Gonzalez,
Gordon, Gray, Hagman, Hall, Roger Hernández, Holden, Jones,
Jones-Sawyer, Levine, Linder, Logue, Lowenthal, Maienschein, Medina,
Melendez, Mullin, Muratsuchi, Nazarian, Nestande, Pan, John A. Pérez,
V. Manuel Pérez, Quirk, Rendon, Rodriguez, Skinner, Stone, Ting,
Wagner, Waldron, Weber, Wieckowski, Williams, and Yamada)
MAY 28, 2014
Relative to railroad safety.
LEGISLATIVE COUNSEL'S DIGEST
SJR 27, Padilla. Railroad safety: transportation of crude oil.
This measure would urge the United States Department of
Transportation and other relevant federal entities to (1) safeguard
communities and environmentally sensitive areas from rail accidents
involving transportation of crude oil by expediting rail safety
reforms, (2) prioritize safety considerations over cost-effectiveness
in deliberations about improving the transport of crude oil by rail,
(3) mandate, at a minimum, the best practices explained in a 2014
safety initiative, as specified and (4) partner with the Canadian
Transportation Agency to improve safety of the North American
railroad tank car fleet by swiftly adopting a stricter design
standard, and by retrofitting or phasing out tank cars that do not
meet that standard.
WHEREAS, Recent years have seen a significant increase in crude
oil production from the Bakken region of North Dakota and Montana as
well as from the bituminous sands, commonly known as tar sands, of
Canada. Because crude oil currently is not transported to California
through pipelines, and because transport by barge and truck is
relatively expensive, energy companies have turned to railroads for
distribution of this crude oil; and
WHEREAS, According to the Association of American Railroads,
transportation of crude oil by rail has a 65 percent lower spill rate
than when transported by pipeline, that is, 2.2 vs. 6.3 gallons
spilled per million ton-miles generated. Nonetheless, trains carry
crude oil throughout the country, including through many densely
populated and environmentally sensitive areas; and
WHEREAS, According to the Association of American Railroads,
roughly 400,000 carloads of crude oil traveled by rail to refineries
located along the West Coast, Northeast, and Gulf of Mexico in 2013.
This number is up from 9,500 in 2008, a 4,000 percent increase; and
WHEREAS, Because of this rapid change in the energy and
transportation sectors, safety rules, regulations, and oversight may
not be aligned with current operations; and
WHEREAS, The United States Pipeline and Hazardous Materials Safety
Administration and the Federal Railroad Administration jointly
initiated Operation Classification to test samples, and verify
labeling, of crude oil coming from the Bakken formation. Bakken crude
oil is now understood to be highly flammable and more prone to
ignite during an accident than traditional heavy crude oil; and
WHEREAS, A series of derailments over the past year have raised
the profile of crude oil transportation by rail among local, state,
and federal officials. On July 6, 2013, a runaway train carrying
crude oil exploded upon derailment in downtown Lac-Mégantic, Québec,
causing the death of 47 people, the evacuation of an entire
community, the burning or spilling of 1.5 million gallons of crude
oil, and over one billion dollars ($1,000,000,000) in damages. Since
this tragedy, eight more high-profile rail accidents involving
transportation of crude oil have occurred in four states and three
Canadian provinces, including, most recently, on April 30, 2014, in
Lynchburg, Virginia; and
WHEREAS, According to the Pipeline and Hazardous Materials Safety
Administration, the amount of crude oil spilled from tank cars last
year was more than all crude oil spilled during the four decades
since the federal government began collecting such data (1.15 million
gallons in 2013 compared to 800,000 gallons between 1975 and 2012).
While the total number of accidents has decreased over time, the
environmental impact, as measured by gallons spilled per million
ton-miles, has dramatically increased; and
WHEREAS, Numerous local and state officials have called for a
thorough review and improvement of federal standards and operational
practices as they pertain to the transport of crude oil by rail; and
WHEREAS, On February 21, 2014, United States Secretary of
Transportation Anthony Foxx and representatives of the country's
major freight railroads jointly released new voluntary operating
practices designed to increase the safety of transporting crude oil
by rail, including the use of safety technology, additional track
inspections, lower operating speeds, and improved emergency response
planning and training; and
WHEREAS, The United States Department of Transportation announced
an Emergency Order on May 7, 2014, requiring each railroad carrier to
notify the emergency response commission in each state in which the
railroad operates trains transporting at least one million gallons of
Bakken crude oil. The notification is required to include an
estimate of qualifying trains traveling through each county in the
state, describe the crude oil transported, provide applicable
emergency response information, identify the routes over which the
crude oil will be transported, and identify at least one point of
contact at the railroad in the case of an accident; and
WHEREAS, The vulnerability of tank cars to punctures remains an
important threat to safety, as demonstrated in the most recent rail
accident involving transportation of crude oil in Lynchburg,
Virginia, which occurred despite the train traveling 15 miles per
hour under the voluntary, lower speed limit; and
WHEREAS, Crude oil is the fastest-growing type of freight moving
into, out of, or through California. According to the State Energy
Resources Conservation and Development Commission, the volume of
crude oil imported into California by rail has increased from 45,491
barrels in 2009 to 6,169,264 barrels in 2013, a 135-fold increase in
only four years; and
WHEREAS, Two major (Class I) railroads are currently moving crude
oil into California, to receiving terminals in Richmond and
Bakersfield. Five additional terminals are planned or under
construction in Bakersfield, Benicia, Pittsburg, San Luis Obispo, and
Wilmington. In order to reach these terminals, crude oil must travel
through areas that are densely populated, environmentally sensitive,
or both; and
WHEREAS, The State Energy Resources Conservation and Development
Commission forecasts that with the shift in crude oil transportation
from ships to trains, and with the addition of several rail receiving
terminals by 2016, nearly 27 percent of the crude oil refined in
California will soon be imported by rail, compared with the 1 percent
of refined crude oil that arrives by rail currently; and
WHEREAS, An increase in tank cars carrying crude oil through
California would increase the likelihood of an accident and,
therefore, the risks to human and environmental safety; and
WHEREAS, The state's Public Utilities Commission performs various
rail safety inspections. Increasing inspections can aid the safe
transportation of crude oil by rail in California, but cannot improve
the safety of the tank cars themselves; and
WHEREAS, The Legislature has had two informational hearings on the
prevention of, and response to, rail accidents involving
transportation of crude oil, and is currently considering legislation
to improve first responder preparedness; and
WHEREAS, Federal law generally preempts states from regulating
rail transportation, including how hazardous materials, such as crude
oil, are transported by rail, material disclosures, train routing,
and tank car design standards; and
WHEREAS, Despite their hazardous contents, according to the
American Association of Railroads, 85 percent of tank cars carrying
flammable liquids, such as crude oil, do not meet the industry's
higher voluntary safety standards, established in October 2011; and
WHEREAS, Canadian National Railway and Canadian Pacific Railway
will charge higher rates for customers moving crude oil in tank cars
that do not meet the industry's higher voluntary safety standards. As
of May 1, 2017, unmodified older tank cars will be banned from
Canadian railroads; and
WHEREAS, Canadian regulators said in April 2014 that they will
work with the United States Department of Transportation to determine
whether stricter requirements are needed for the North American
fleet of railroad tank cars intended to carry hazardous material,
such as crude oil; and
WHEREAS, The Federal Railroad Administration and the Pipeline and
Hazardous Materials Safety Administration released a Safety Advisory
on May 7, 2014, recommending that offerors and rail carriers of
Bakken crude oil select and use, for interstate shipments, the tank
car designs with the highest level of integrity reasonably available
within their fleet. Further, the agencies advised these offerors and
carriers to avoid using older, legacy tank cars to the extent
reasonably practicable; and
WHEREAS, Tank car manufacturers have called for a uniform, lasting
design standard to ensure that their current and planned products
can be sold to both United States and Canadian customers; now,
therefore, be it
Resolved by the Senate and the Assembly of the State of
California, jointly, That the Legislature of the State of California
urges the United States Department of Transportation and other
relevant federal entities to safeguard communities and
environmentally sensitive areas from rail accidents involving
transportation of crude oil by expediting rail safety reforms; and be
it further
Resolved, That the Legislature urges the United States Department
of Transportation and other relevant federal entities to prioritize
safety considerations over cost-effectiveness in deliberations about
improving the transport of crude oil by rail; and be it further
Resolved, That the Legislature urges the United States Department
of Transportation and other relevant federal entities to mandate, at
a minimum, the best practices explained in the safety initiative
announced on February 21, 2014, by Secretary Foxx and railroad
industry representatives; and be it further
Resolved, Most importantly, that the Legislature urges the United
States Department of Transportation and other relevant federal
entities to partner with the Canadian Transportation Agency to
improve safety of the North American railroad tank car fleet by
swiftly adopting a stricter design standard for new tank cars, and by
retrofitting or phasing out tank cars that do not meet that
standard; and be it further
Resolved, That the Secretary of the Senate transmit copies of this
resolution to the President and the Vice President of the United
States, to the United States Secretary of Transportation, to the
Administrator of the Federal Railroad Administration, to the
Administrator of the Pipeline and Hazardous Materials Safety
Administration, to each Senator and Representative from California in
the United States Congress, and to the author for appropriate
distribution.
