Oil and gas: low-production wells: Baldwin Hills Conservancy: Equitable Community Repair and Reinvestment Account.

Plain English Breakdown

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Oil and Gas Wells Near Parks: Help for Families

This law sets rules for oil and gas companies to fix or close old wells near parks in Los Angeles County, creates a fund from fines, and gives money to families with sick children who live nearby.

What This Bill Does

• Requires the Department of Conservation to find all low-production oil and gas wells near state parks or recreation areas within the Baldwin Hills Conservancy by March 1, 2025.
• Forbids owners from letting these wells stay inactive for more than a year starting in 2026. If they do, they must pay $10,000 per month until the well is fixed or closed.
• Requires all oil and gas wells near parks within the Baldwin Hills Conservancy to be plugged and abandoned by December 31, 2030. Owners who don't comply face monthly fines of $10,000 starting in 2031.
• Creates an Equitable Community Repair and Reinvestment Account where fines are deposited. The money can be used for projects that help communities near these wells.
• Requires the Department of Conservation to give out up to $5 million from this fund as direct cash aid to families with children who have respiratory health issues living within 2.5 miles of identified low-production wells.

Who It Names or Affects

• Oil and gas companies that own wells near parks in Los Angeles County.
• Families living close to these oil and gas wells whose children suffer from respiratory health issues.

Terms To Know

Low-production well

An oil or gas well that does not produce much energy anymore.

Baldwin Hills Conservancy

A protected area in Los Angeles County with parks and open spaces.

Limits and Unknowns

• The bill needs approval from the Legislature to distribute funds.
• It does not specify how much money will be available for families beyond $5 million initially.

Official Summary Text

AB 1661, as introduced, Bryan.
Oil and gas: low-production wells: Baldwin Hills Conservancy: Equitable Community Repair and Reinvestment Account.
Existing law requires the Geologic Energy Management Division in the Department of Conservation, on or before March 1, 2025, to identify all low-production wells, as defined, that are located in the County of Los Angeles in an oil field that is adjacent to a state recreation area or state park and is located, in whole or in part, within the boundary of the Baldwin Hills Conservancy, as provided. Existing law prohibits, commencing March 1, 2026, the owners of those wells from allowing those wells to be low-production wells for more than 12 months. Upon a violation of that prohibition, existing law requires the State Oil and Gas Supervisor to charge an administrative penalty of $10,000 per month to the low-production well owner, until the low-production well is plugged and abandoned, as provided.
Existing law requires the plugging and abandoning of
all wells located in the County of Los Angeles in an oil field that is adjacent to a state recreation area or state park and is located, in whole or in part, within the boundary of the Baldwin Hills Conservancy by December 31, 2030. Existing law requires the supervisor, on and after January 1, 2031, to charge the owner of a well an administrative penalty of $10,000 per month for a violation of that requirement, until the well is plugged and abandoned.
Existing law establishes the Equitable Community Repair and Reinvestment Account, requires the above-described administrative penalties to be deposited into the account, and makes the funds from the account available, upon appropriation by the Legislature, to the Department of Conservation for allocation to the County of Los Angeles for projects that benefit communities living within 2
1
/
2
miles of the identified
low-production wells, as provided.
This bill would require the Department of Conservation, upon appropriation by the Legislature and subject to the terms of the appropriation, to distribute the first $5,000,000 deposited into the Equitable Community Repair and Reinvestment Account to be allocated to the County of Los Angeles to disburse in direct cash assistance to families living within 2
1
/
2
miles of the identified low production wells whose children have respiratory health conditions.

Current Bill Text

Download Bill PDF