BILL ANALYSIS
SB 429
Page 1
Date of Hearing: August 4, 2004
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Judy Chu, Chair
SB 429 (Torlakson) - As Amended: July 28, 2004
Policy Committee: UtilitiesVote:N/A
Natural Resources 9-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill requires an examination of government agencies'
requirements associated with the development of petroleum
infrastructure projects. Specifically, this bill:
1)Requires the governor to designate a statewide petroleum
infrastructure facilitator within the California Energy
Commission (CEC) to investigate rulemaking, permitting, and
other government proceedings affecting petroleum
infrastructure projects in the state, and to suggest best
practices for these proceedings.
2)Requires the facilitator, within 120 days, and with respect to
such projects, to:
a) Identify all permits required.
b) Describe procedures used to expedite permitting.
c) Identify all associated laws, rules, and regulations
affecting permitting.
d) Make relevant information on permitting available to
those proposing projects.
e) Survey local governments on their permitting procedures.
3)Requires the CEC to initiate consultations with the
facilitator and specified entities on best practices for
streamlining project permitting, and to publish such for
public comment by June 30, 2005.
4)Requires the CEC, by December 31, 2005 to report to the
Legislature and governor the results of (3) above and
SB 429
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recommendations for establishing improved permitting
processes.
5)Sunsets the above on January 1, 2007.
FISCAL EFFECT
The CEC will incur special fund costs of up to $500,000 for
contracts to compile the information required in (2) above
within 120 days. [Energy Resources Program Account] All other
costs should be absorbable.
COMMENTS
Purpose . According to the author's office, a December 2003
hearing of the Senate Select Committee on Bay Area
Infrastructure examined the reasons behind the rapid rise in
motor vehicle fuel prices in California. Several witnesses
testified that limited gasoline production in the state
contributes to price increases and that transportation fuel
supply is not keeping pace with growing demand. California thus
faces potentially serious transportation fuel imbalances over
the next several years that require immediate, statewide
attention.
The previous version of this bill provided for expedited
processing of permits for gasoline production projects at oil
refineries. The bill was amended to, as a first step, look at
current permitting procedures and develop recommendations to
improve those procedures.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081