Amended  IN  Assembly  August 19, 2024
Amended  IN  Assembly  June 26, 2024
Amended  IN  Senate  April 10, 2024
Amended  IN  Senate  March 18, 2024

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill
No. 1304


Introduced by Senator Limón

February 15, 2024


An act to amend Section 3131 of the Public Resources Code, and to amend Section 13263.5 of the Water Code, relating to oil and gas.


LEGISLATIVE COUNSEL'S DIGEST


SB 1304, as amended, Limón. Underground injection control: aquifer exemption.
The federal Safe Drinking Water Act regulates certain wells as Class II wells, as defined. Under existing federal law, the authority to regulate Class II wells in California is delegated to the Geologic Energy Management Division in the Department of Conservation. Under existing law, the division implements the Underground Injection Control Program pursuant to this federal delegation. The federal act prohibits certain well activities that affect underground sources of drinking water, unless those sources are located in an exempted aquifer. Existing federal law authorizes a state delegated with the responsibility of regulating Class II wells to propose that an aquifer or a portion of an aquifer be an exempted aquifer and authorizes the United States Environmental Protection Agency (USEPA) to approve the proposal if the aquifer or a portion of the aquifer meets certain criteria. Existing law requires the division, before proposing an aquifer or a portion of an aquifer for exemption, to consult with the State Water Resources Control Board and the appropriate regional water quality control board concerning conformity of the proposal with certain requirements. If the division and the state board concur that the exemption proposal may merit consideration by the USEPA, existing law requires those agencies to provide a public comment period on the proposal and to jointly conduct a public hearing. If, after the review of public comments, those agencies concur that the exemption proposal merits consideration by the USEPA, existing law requires the division to submit the exemption proposal to the USEPA.

This bill would, additionally, require the proposed aquifer exemption to meet the criteria that the injection of fluid will not be in an area identified in the 70th percentile or greater by CalEnviroScreen as at risk for drinking water or groundwater threats. The bill would require the State Water Resources Control Board to conduct an environmental review of the proposed aquifer exemption in accordance with the California Environmental Quality Act (CEQA) and to hold a public hearing or hearings consistent with the public review process requirements of CEQA. If the state board concurs with the aquifer exemption proposal following the environment review, the bill would require the state board, in coordination with the division and the appropriate regional water quality control board, to provide a public comment period and conduct a public hearing. The bill would authorize the state board, after public comments and hearing, if the state board determines that the aquifer exemption proposal meets the required criteria, to submit the exemption proposal to the USEPA. The bill would also make a conforming change.

This bill would instead require, based on the consultation between the division and the appropriate regional water quality control board and the state board, if the division and the staff of the state board preliminarily concur that the exemption proposal may merit consideration by the USEPA, the division and the staff of the state board to provide a public comment period on the proposal and to jointly conduct the public hearing. The bill would require, following the review of the public comments and only if the division and the staff of the state board concur that the exemption proposal merits consideration for exemption, the staff of the state board to submit a report to the state board evaluating the exemption proposal’s consistency with the criteria specified in existing law, including an analysis of all potential conduits. The bill would require the report to be made available to the public no fewer than 60 days prior to a meeting before the state board and would provide for a 45-day public comment period. The bill would require the state board to consider, in a public meeting, the report and to determine whether it concurs that the exemption proposal, with any appropriate modifications, complies with legal requirements and merits consideration for exemption. If the state board concurs, the bill would require the division to submit the exemption proposal to the USEPA.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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


SECTION 1.

 Section 3131 of the Public Resources Code is amended to read:

3131.
 (a) To ensure the appropriateness of a proposal by the state for an exempted aquifer determination subject to any conditions on the subsequent injection of fluids, and prior to before proposing to the United States Environmental Protection Agency that it exempt an aquifer or portion of an aquifer pursuant to Section 144.7 of Title 40 of the Code of Federal Regulations, the division shall consult with the appropriate regional water quality control board and the state board concerning the conformity of the proposal with all of the following:
(1) Criteria The criteria set forth in Section 146.4 of Title 40 of the Code of Federal Regulations.
(2) The injection of fluids will not affect the quality of water that is, or may reasonably be, used for any beneficial use.
(3) The injected fluid will remain in the aquifer or portion of the aquifer that would be exempted.
(b) Based on the consultation pursuant to subdivision (a), if the division and the staff of the state board preliminarily concur that an aquifer or portion of an aquifer may merit consideration for exemption by the United States Environmental Protection Agency, they the division and the staff of the state board shall provide a public comment period and, with a minimum of 30 days days’ public notice, and shall jointly conduct a public hearing.
(c) Following review of the public comments, comments pursuant to subdivision (b) and only if the division and the staff of the state board concur that the exemption proposal merits consideration for exemption, the division staff of the state board shall submit a report to the state board evaluating the exemption proposal’s consistency with the criteria set forth in subdivision (a), including an analysis of all potential conduits, that shall be made available to the public no fewer than 60 days prior to a meeting before the state board and subject to a 45-day public comment period.
(d) The state board shall consider, in a public meeting, the report submitted pursuant to subdivision (c) and shall determine whether it concurs that the exemption proposal, with any appropriate modifications, complies with the requirements specified in subdivision (a) and merits consideration for exemption.
(e) If the state board concurs pursuant to subdivision (d), the division shall submit the aquifer exemption proposal to the United States Environmental Protection Agency.

SECTION 1.Section 3131 of the Public Resources Code is amended to read:
3131.

(a)A proposal by the state for an exempted aquifer pursuant to Section 144.7 of Title 40 of the Code of Federal Regulations shall conform with all of the following:

(1)The criteria set forth in Section 146.4 of Title 40 of the Code of Federal Regulations.

(2)The injection of fluids will not affect the quality of water that is, or may reasonably be, used for any beneficial use.

(3)The injected fluid will remain in the aquifer or portion of the aquifer that would be exempted.

(4)The injection of fluids will not be in an area identified in the 70th percentile or greater by the California Communities Environmental Health Screening Tool, also known as CalEnviroScreen, as at risk for drinking water or groundwater threats.

(b)If the division proposes an aquifer exemption, all of the following apply:

(1)The division shall consult with the appropriate regional water quality control board and the state board.

(2)The state board shall conduct an environmental review of the proposal in accordance with the California Environmental Quality Act (Division 13 (commencing with Section 21000)). The state board shall hold a public hearing or hearings consistent with the public review process requirements of that act.

(3)If the state board concurs with the aquifer exemption proposal following the completion of the environmental review pursuant to paragraph (2), the state board, in coordination with the division and the appropriate regional water quality control board, shall, with a minimum of 30 days’ public notice, provide a public comment period and conduct a public hearing.

(c)Following the hearing conducted, and a review of the public comments received, pursuant to paragraph (3) of subdivision (b), if the state board finds that the aquifer exemption proposal complies with subdivision (a), the state board may submit the aquifer exemption proposal to the United States Environmental Protection Agency.

SEC. 2.Section 13263.5 of the Water Code is amended to read:
13263.5.

(a)When the regional board issues waste discharge requirements pursuant to Section 13263, or revises waste discharge requirements pursuant to subdivision (g) of Section 25159.17 of the Health and Safety Code, for any injection well into which hazardous waste is discharged, the waste discharge requirements shall be based upon the information contained in the hydrogeological assessment report prepared pursuant to Section 25159.18 of the Health and Safety Code and shall include conditions in the waste discharge requirements to ensure that the waters of the state are not polluted or threatened with pollution.

(b)Except as provided in Section 3131 of the Public Resources Code, if the state board applies to the federal Environmental Protection Agency to administer the Underground Injection Control Program pursuant to Part 145 (commencing with Section 145.1) of Subchapter D of Chapter 1 of Title 40 of the Code of Federal Regulations, that application shall not include a request to administer the Underground Injection Control Program for any oil, gas, or geothermal injection wells supervised or regulated by the Division of Oil and Gas pursuant to Section 3106 or 3714 of the Public Resources Code.