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AB-1167 Oil and gas: acquisition: bonding requirements.(2023-2024)

Senate
Assembly
1st
Cmt
2nd
3rd
Pass
1st
Cmt
2nd
3rd
2nd
3rd
Pass
Pass
Chp
Senate
Assembly
1st
Cmt
2nd
3rd
Pass
1st
Cmt
2nd
3rd
2nd
3rd
Pass
Pass
Chp

Bill Status
AB-1167
Wendy Carrillo (A)
-
Stern (S)
Oil and gas: acquisition: bonding requirements.
03/19/23
An act to amend Sections 3202, 3204, and 3205.5 of, and to add Sections 3017 and 3205.8 to, the Public Resources Code, relating to oil and gas.
Secretary of State
10/07/23
09/08/23

Type of Measure
Inactive Bill - Chaptered
Majority Vote Required
Non-Appropriation
Fiscal Committee
State-Mandated Local Program
Non-Urgency
Non-Tax levy
Last 5 History Actions
Date Action
10/07/23 Chaptered by Secretary of State - Chapter 359, Statutes of 2023.
10/07/23 Approved by the Governor.
09/21/23 Enrolled and presented to the Governor at 3:30 p.m.
09/14/23 Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 43. Noes 18. Page 3582.).
09/13/23 In Assembly. Concurrence in Senate amendments pending.
Governor's Message
To the Members of the California State Assembly:

I am signing Assembly Bill 1167, which creates a process requiring the State Oil and Gas Supervisor to approve transfers of marginal oil and gas wells only once the full cost of well plugging and abandonment and site restoration is covered by a bond or other financial assurance mechanisms.

I share the author's desire to minimize the risk that the state will be liable for costs
of plugging and abandonment of orphaned and abandoned oil and gas wells where operators failed to provide sufficient financial assurances. This bill helps achieve this objective. However, increasing the financial assurances required for oil and gas well transfers also potentially creates risk of current oil and gas well operators deserting these hazardous wells. I look forward to working with the Legislature to enact legislation to make any necessary revisions to address this risk and otherwise align this law with programs that the Department of
Conservation's Geologic Energy Management Division is already developing to address orphaned and abandoned wells.

Sincerely,


Gavin Newsom