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AB-55 Hazardous materials management: stationary sources: contracts.(2017-2018)

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Date Published: 03/14/2017 09:00 PM
AB55:v98#DOCUMENT

Amended  IN  Assembly  March 14, 2017

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill No. 55


Introduced by Assembly Member Thurmond

December 05, 2016


An act to amend Section 7872 of the Labor Code, add Section 25536.9 to the Health and Safety Code, relating to refineries. hazardous materials.


LEGISLATIVE COUNSEL'S DIGEST


AB 55, as amended, Thurmond. Refineries: turnarounds. Hazardous materials management: stationary sources: contracts.
Existing law requires the Secretary for Environmental Protection to implement a unified hazardous waste and hazardous materials management regulatory program. Existing law requires every county to apply to the secretary to be certified to implement the unified program and allows a city or local agency to implement the unified program as a unified program agency. Existing law requires a stationary source, as defined, engaging in activities with certain substances present in more than a threshold quantity to prepare and submit a risk management plan, if the unified program agency makes a determination that there is a significant likelihood of a regulated substances accident risk.
Existing law requires certain owners and operators of stationary sources, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, to require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades. Existing law exempts an owner or operator from that requirement if the contract was awarded before January 1, 2014, unless the contract is extended or renewed after that date.
This bill would require, on or before February 1, 2018, an owner or operator who claims that exception to file with the unified program agency a complete copy of the contract and a 2nd copy of the contract that has been redacted only to the extent necessary to protect sensitive information and that includes the identity of the contractor, the scope of the work covered by the contract, the date of execution of the contract, and the term of the contract. The bill would require the redacted copy to be a public record available for inspection from the unified program agency. Because the bill would add to the duties of a unified program agency and because a violation of the bill’s requirements would be a crime, the bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for specified reasons.

Existing law requires certain owners or operators of a stationary source, when contracting for the performance of construction, alteration, demolition, installation, repair, or maintenance work at the stationary source, to require that its contractors and any subcontractors use a skilled and trained workforce to perform all onsite work within an apprenticeable occupation in the building and construction trades, including skilled journeypersons paid at least a rate equivalent to the applicable prevailing hourly wage rate.

Existing law, the California Refinery and Chemical Plant Worker Safety Act of 1990, requires every petroleum refinery employer to, every September 15, submit to the Division of Occupational Safety and Health a full schedule for the following calendar year of planned turnarounds, meaning a planned, periodic shutdown of a refinery process unit or plant to perform maintenance, overhaul, and repair operations and to inspect, test, and replace process materials and equipment, as specified. The employer is also required, upon the request of the division, to provide the division with specified documentation relating to a planned turnaround within a certain period of time, as provided. Existing law prohibits, except as specified, the division from releasing to the public any information submitted to the division pursuant to these provisions that is designated as a trade secret, as defined. Existing law establishes misdemeanor penalties for a violation of the act and knowingly and willfully disclosing trade secrets.

This bill would require that the documents to be provided to the division upon request also include all documentation necessary to demonstrate compliance with the above-described skilled and trained workforce requirements.

Because a violation of the bill’s requirements would be a crime, the bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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


SECTION 1.

 Section 25536.9 is added to the Health and Safety Code, to read:

25536.9.
 On or before February 1, 2018, an owner or operator of a stationary source that claims that it is exempt from the requirement in paragraph (1) of subdivision (a) of Section 25536.7 pursuant to the exception in paragraph (4) of subdivision (a) of Section 25536.7 shall file with the administering agency a complete copy of the contract described in paragraph (4) of subdivision (a) of Section 25536.7 and a second copy of that contract that has been redacted only to the extent necessary to protect sensitive information and that shall include the identity of the contractor, the scope of the work covered by the contract, the date of execution of the contract, and the term of the contract. The redacted copy of the contract shall be a public record available for inspection from the administering agency.

SEC. 2.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.
SECTION 1.Section 7872 of the Labor Code is amended to read:
7872.

(a)As used in this section and in Section 7873, “turnaround” means a planned, periodic shutdown, total or partial, of a refinery process unit or plant to perform maintenance, overhaul, and repair operations and to inspect, test, and replace process materials and equipment. “Turnaround” does not include unplanned shutdowns that occur due to emergencies or other unexpected maintenance matters in a process unit or plant. “Turnaround” also does not include routine maintenance, where routine maintenance consists of regular, periodic maintenance on one or more pieces of equipment at a refinery process unit or plant that may require shutdown of such equipment.

(b)Every September 15, every petroleum refinery employer shall submit to the division a full schedule of planned turnarounds for all affected units for the following calendar year.

(c)At the request of the division, at least 60 days prior to the shutdown of a process unit or plant as part of a planned turnaround, a petroleum refinery employer shall provide access onsite and allow the division to review the following documentation for the process unit or plant scheduled to be shut down for that turnaround:

(1)All corrosion reports and risk-based inspection reports generated since the last turnaround.

(2)Process hazard analyses generated since the last turnaround.

(3)Boiler permit schedules.

(4)All management of change records related to repairs, design modifications, and process changes implemented since the last turnaround or scheduled to be completed in the planned turnaround referenced in this subdivision and identified in subdivision (b).

(5)Work orders scheduled to be completed in the planned turnaround referenced in this subdivision and identified in subdivision (b).

(6)All temporary repairs made since the last turnaround, including, but not limited to, clamps and encapsulations. As used in this section, “temporary repairs” means repairs made to piping systems in order to restore sufficient integrity to continue safe operation until permanent repairs can be scheduled.

(7)Notification and description of all repairs, design modifications, or process changes described in a corrosion report, risk-based inspection report, process hazard analysis, boiler permit schedule, management of change record, work order, or other document listed in paragraphs (1) to (6), inclusive, that the petroleum refinery employer has deferred to a subsequent operational period or turnaround.

(8)All documentation necessary to demonstrate compliance with Section 25536.7 of the Health and Safety Code.

(d)The division may request additional information as necessary to perform its responsibilities in this part pursuant to Section 6314.

(e)At the request of the division, at least 30 days before the shutdown of a process unit or plant as part of a planned turnaround, a petroleum refinery employer shall provide access onsite and allow the division to review any changes to the information or documents reviewed by the division pursuant to subdivision (c) and relevant supporting documents.

(f)At the division’s request, a petroleum refinery employer shall provide the division with physical copies, or, at the division’s discretion, electronic copies if available, of the documentation reviewed by the division pursuant to subdivisions (c), (d), and (e).

(g)By agreement with a petroleum refinery employer, the division may modify the reporting period as to any individual item of information.

(h)This section is not intended to limit or increase the division’s authority in Part 1 (commencing with Section 6300) to prohibit use of a place of employment, machine, device, apparatus, or equipment or any part thereof that constitutes an imminent hazard to employees.

(i)The Legislature finds and declares that the purpose of this section is to improve the ability of the state to conduct inspections of petroleum refining operations.

SEC. 2.

No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.