Nearly two months ago, on November 19, 2019, the Department of Conservation’s Division of Oil, Gas and Geothermal Resources[1] (“DOGGR”) announced a moratorium on approvals of new oil extraction wells that use a high-pressure cyclic steaming process to break apart a geological formation to extract oil.
The announcement did not contain much, if any,
This is the first in a series of posts to provide the latest on environmental and legal developments affecting oil and gas operations and development and other industries in Los Angeles and adjacent counties, as well as the southern San Joaquin Valley. In this post, we’ll provide an update on legislation proposed in 2019 that affects industry in southern California, implementation of significant legislation previously adopted, and initiatives in Los Angeles to limit oil and gas operations.
AB 617 Implementation
The stated goal of AB 617 (Garcia, 2017) is to protect communities with disproportionate levels of air emissions and provide stricter penalties for certain infractions by regulated entities. In line with AB 617, the California Air Resources Board (CARB) is implementing the Community Air Protection Program and finalized its first annual selection of communities for participation in the Program in September 2018. Air districts are now identifying candidate communities to be considered for the second year of the Community Air Protection Program. CARB isn’t likely to vote on the selections until later in 2019.
In the first round of community selection, South Coast Air Quality Management District (South Coast Air District) chose (1) Wilmington/West Long Beach/Carson; (2) San Bernardino/Muscoy; and (3) Boyle Heights/East Los Angeles/West Commerce. On September 6, 2019, South Coast Air District’s Governing Board approved Community Emission Reduction Programs for these areas. Most of the plans set goals for action, and enhanced enforcement, rulemaking and incentive grants will follow. The plan for San Bernardino/Muscoy focuses on truck, rail bus traffic, warehouses (as an indirect source), concrete and asphalt batch plants, and rock and aggregate plants. The plan for Boyle Heights/East Los Angeles/West Commerce focuses on neighborhood and freeway truck and bus traffic, railyards, metal processing facilities, rendering facilities, auto body shops, and general industrial facilities, along with reducing exposure at schools, childcare facilities, community centers, libraries, and public housing projects.
Continue Reading Southern California Environmental Law Update
The 2019-2020 California Legislative Session has officially reached its first deadline. February 22, 2019 marked the deadline by which bills could be introduced for the first half of the Session. Lawmakers will begin Spring Recess April 12 and reconvene April 22. The last day for bills to be passed out of the house of origin is May 31, 2019.
Below is a list of some of the key bills Stoel Rives’ Oil & Gas Team will be monitoring throughout the Legislative Session.
AB 255 (Limòn, D) and SB 834 (Jackson, D): State lands: leasing: oil and gas.
Status: Introduced January 23, 2019; referred to Committee on Natural Resources February 7, 2019.
The Lempert-Keene-Seastrand Oil Spill Prevention and Response Act authorizes the administrator for oil spill response to offer grants to a local government with jurisdiction over or directly adjacent to waters of the state to provide oil spill response equipment to be deployed by a certified local spill response manager, as provided. This bill would provide that Native American tribes and other public entities are also eligible to receive those grants.
AB 353 (Muratsuchi, D): Oil and gas: Definitions: additive.
Status: Introduced February 4, 2019; awaiting referral.
Under current law, the Division of Oil, Gas, and Geothermal Resources in the Department of Conservation regulates the drilling, operation, maintenance, and abandonment of oil and gas wells in the state. Current law defines various terms for those purposes, including “additive.” This bill would make a non-substantive change to that definition.
Continue Reading Oil & Gas Related Bills Introduced in the 2019-2020 Legislative Session
On November 6, 2018, the State Water Resources Control Board adopted an amendment to the National Pollutant Discharge Elimination System General Permit for Storm Water Discharges Associated with Industrial Activities (General Permit). The General Permit Amendment addresses the implementation of previously-adopted Total Maximum Daily Loads (TMDLs), the new federal Sufficiently Sensitive Methods Rule, and statewide Compliance Options. These changes take effect on July 1, 2020.
Continue Reading 2018 IGP Amendments – Everything You Need to Know
Environmental groups have obtained a favorable Clean Water Act (“CWA”) ruling from the U.S. District Court for the Central District of California, which can be viewed as an expansion of jurisdiction for stormwater permitting for industrial sources. In the Order, issued on August 9, 2018, Judge Stephen V. Wilson held that if the U.S. Environmental Protection Agency (“EPA”) determines that stormwater discharges “cause or contribute to violations of water quality standards,” then regulators must limit such stormwater discharges under the mandates of the CWA. EPA is required to regulate stormwater discharges through the National Pollution Discharge Elimination System (“NPDES”) permitting scheme, and does not have discretion to address the pollution through other methods.
Continue Reading Court Finds that Privately-Owned Industrial Stormwater Discharges Require Clean Water Act Permits
On July 27, 2018 the California Division of Oil, Gas, and Geothermal Resources (“DOGGR”) issued two notices of proposed rulemaking action applicable to oil and gas operations in the state. DOGGR released updated underground injection control (“UIC”) regulations, as well as proposed regulations for idle well testing and management.
UIC Regulations
DOGGR supervises the drilling, operation, maintenance, and plugging and abandonment of onshore and offshore oil, gas, and geothermal wells. Wells that inject fluid for the purposes of enhancing oil or gas recovery, re-pressuring oil or gas reservoirs, or disposing of wastewater and other byproducts associated with oil and gas production – referred to as injection wells or UIC wells – fall within DOGGR’s regulatory scope.Continue Reading DOGGR Issues Revised Regulations for UIC and Idle Wells
Our latest post provides updates on environmental and legal developments in Los Angeles and adjacent counties, as well as the Southern San Joaquin Valley. We welcome your comments and contributions.
Legislation and Ordinances
Implementation of AB 617, CARB’s Community Air Protection Program. AB 617 requires the California Air Resources Board (CARB) by October 1, 2018 to identify the highest priority communities affected by a high cumulative air emissions exposure burden (“impacted communities”); to establish the criteria for air monitoring and local emissions reduction programs; and to develop a statewide strategy for reducing emissions, to be updated every 5 years. Additional timeline for required actions:Continue Reading SOUTHERN CALIFORNIA ENVIRONMENTAL UPDATE – NEW AIR QUALITY AND OIL & GAS REGULATORY DEVELOPMENTS
In early January 2018, the U.S. Environmental Protection Agency (“EPA”) decided to halt previous proposals to stay methane rules for new and existing landfills. The Obama Administration’s EPA issued the final New Source Performance Standards (“NSPS”) and Emissions Guidelines (“EG”) for municipal solid waste landfills on August 29, 2016 (jointly “Methane Rules”). These updates to the NSPS were promulgated to reduce emissions of methane-rich landfill gas from new, modified and reconstructed municipal solid waste (“MSW”) landfills. EPA’s current announcement to desert plans for an administrative stay comes after the EPA announced a 90-day administrative stay for the Methane Rules, which went into effect on May 31, 2017.
Continue Reading Trump EPA Will Not Stay Landfill Methane Rules
The California Office of Spill Prevention and Response (“OSPR”), within the Department of Fish and Wildlife, has been tasked with new responsibilities related to oil spill response. Assembly Bill 1197 (“AB 1197”), which was signed into law in October 2017 and goes into effect on January 1, 2018, authorizes spill management teams (“SMTs”) to apply to the OSPR Administrator (“Administrator”) for a certification of that SMT’s response capabilities. AB 1197 also authorizes the Administrator to charge a reasonable administrative fee to process an application for, or renewal of, a certification. In addition, OSPR must promulgate regulations outlining the certification process for SMTs.
Continue Reading Ready or Not? Now’s the Time to Get Your Oil Spill Management Team OSPR Certification
On October 10, 2017, the California State Water Resources Control Board (“Water Board”) issued the second version of an order to modify agricultural waste discharge requirements (“Proposed Order”), under the Irrigated Lands Regulatory Program (“ILRP”). Through the ILRP, the Water Board regulates discharges from irrigated agricultural lands across the state, especially within California’s Central Valley. Regulation of agricultural water discharges is important because such discharges can affect water quality by transporting pollutants, including pesticides, sediment, nutrients, salts, pathogens, and heavy metals, from cultivated fields into surface waters.
Continue Reading How Low Can You Go? Proposed Agricultural Waste Discharge Requirements Impose Even More Stringent Demands on Central Valley Farmers