State Codes and Statutes

Statutes > California > Gov > 8670.37.51-8670.37.58

GOVERNMENT CODE
SECTION 8670.37.51-8670.37.58



8670.37.51.  (a) No tank vessel or vessel carrying oil as a
secondary cargo may be used to transport oil across marine waters of
the state unless the operator has obtained a certificate of financial
responsibility issued by the administrator for that vessel or for
the owner of all of the oil contained in and to be transferred to or
from that vessel.
   (b) No operator of a marine terminal within the state may transfer
oil to or from a tank vessel or vessel carrying oil as a secondary
cargo unless the operator of the marine terminal has received a copy
of a certificate of financial responsibility issued by the
administrator for the operator of that vessel or for all of the oil
contained in and to be transferred to or from that vessel.
   (c) No operator of a marine terminal within the state may transfer
oil to or from any vessel that is or is intended to be used for
transporting oil as cargo to or from a second vessel unless the
operator of the marine terminal has first received a copy of a
certificate of financial responsibility issued by the administrator
for the person responsible for both the first and second vessels or
all of the oil contained in both vessels, as well as all the oil to
be transferred to or from both vessels.
   (d) No person may operate a marine facility unless the owner or
operator of the marine facility has first obtained a certificate of
financial responsibility from the administrator for the marine
facility.
   (e) No tank vessel or vessel carrying oil as a secondary cargo may
be used to transport oil across marine waters of the state unless,
at least 24 hours prior to the transport, the administrator has
received both of the following:
   (1) A copy of a certificate applicable to that vessel or to all of
the oil in that vessel at all times during transport.
   (2) A copy of a written statement by the holder of the applicable
certificate authorizing its application to the vessel.



8670.37.52.  The certificate of financial responsibility shall be
conclusive evidence that the person or entity holding the certificate
is the party responsible for the specified vessel, marine facility,
or oil for purposes of determining liability pursuant to this
chapter.



8670.37.53.  (a) To receive a certificate of financial
responsibility for a tank vessel or for all of the oil contained
within such a vessel, the applicant shall demonstrate to the
satisfaction of the administrator the financial ability to pay at
least one billion dollars ($1,000,000,000) for any damages that may
arise during the term of the certificate.
   (b) The administrator may establish a lower standard of financial
responsibility for small tank barges, vessels carrying oil as a
secondary cargo, and small marine fueling facilities. The standard
shall be based on the quantity of oil that can be carried or stored
and the risk of spill into marine waters. The administrator shall not
set a standard that is less than the expected costs from a
reasonable worst case oil spill into marine waters.
   (c)  (1) To receive a certificate of financial responsibility for
a marine facility, the applicant shall demonstrate to the
satisfaction of the administrator the financial ability to pay for
any damages that might arise during a reasonable worst case oil spill
into marine waters that results from the operations of the marine
facility. The administrator shall consider criteria including, but
not necessarily limited to, the amount of oil that could be spilled
into marine waters from the facility, the cost of cleaning up spilled
oil, the frequency of operations at the facility, and the damages
that could result from a spill.
   (2) The administrator may issue a certificate for a marine
facility upon a lesser showing of financial resources for a period of
not longer than three years if the administrator finds all of the
following:
   (A) The marine facility was operating on January 1, 1991.
   (B) Continued operation is necessary to finance abandonment of the
marine facility.
   (C) The financial resources the operator is able to demonstrate
are reasonably sufficient to cover the damages from foreseeable
spills from the facility.



8670.37.54.  (a) For the purposes of this chapter, financial
responsibility may be demonstrated by evidence of insurance, surety
bond, letter of credit, qualifications as a self-insurer, or any
combination thereof or other evidence of financial responsibility.
   (b) In adopting requirements under this article, the administrator
may specify policy or other contractual terms, conditions, or
defenses which are necessary or which are unacceptable in
establishing evidence of financial responsibility, in order to
effectuate the purposes of this article.


8670.37.55.  (a) An owner or operator of more than one tank vessel,
vessel carrying oil as a secondary cargo, nontank vessel, or marine
facility shall only be required to obtain one certificate of
financial responsibility for all of those vessels and marine
facilities owned or operated.
   (b) If a person holds a certificate for more than one tank vessel,
vessel carrying oil as a secondary cargo, nontank vessel, or marine
facility and a spill or spills occurs from one or more of those
vessels or marine facilities for which the owner or operator may be
liable for damages in an amount exceeding 5 percent of the financial
resources reflected by the certificate, as determined by the
administrator, the certificate shall immediately be considered
inapplicable to any vessel or marine facility not associated with the
spill. In that event, the owner or operator shall demonstrate to the
satisfaction of the administrator the amount of financial ability
required pursuant to this article, as well as the financial ability
to pay all damages that arise or have arisen from the spill or spills
which have occurred.


8670.37.56.  If the administrator determines that, because of a
spill outside of the state or some other action or potential
liability, the holder of a certificate may not have the financial
resources to pay damages for the spill or liability and have
resources remaining available to meet the requirements of this
chapter, the administrator may suspend the certificate.



8670.37.57.  No certificate of financial responsibility shall have a
term greater than two years. The administrator may issue
certificates for shorter periods where appropriate.



8670.37.58.  (a) A nontank vessel required to have a contingency
plan pursuant to this chapter shall not enter marine waters of the
state unless the nontank vessel owner or operator has provided to the
administrator evidence of financial responsibility that
demonstrates, to the administrator's satisfaction, the ability to pay
at least three hundred million dollars ($300,000,000) to cover
damages caused by a spill, and the owner or operator of the nontank
vessel has obtained a certificate of financial responsibility from
the administrator for the nontank vessel.
   (b) Notwithstanding subdivision (a), the administrator may
establish a lower standard of financial responsibility for a nontank
vessel that has a carrying capacity of 6,500 barrels of oil or less,
or for a nontank vessel that is owned and operated by California or a
federal agency and has a carrying capacity of 7,500 barrels of oil
or less. The standard shall be based upon the quantity of oil that
can be carried by the nontank vessel and the risk of an oil spill
into marine waters. The administrator shall not set a standard that
is less than the expected cleanup costs and damages from an oil spill
into marine waters.
   (c) The administrator may adopt regulations to implement this
section.

State Codes and Statutes

Statutes > California > Gov > 8670.37.51-8670.37.58

GOVERNMENT CODE
SECTION 8670.37.51-8670.37.58



8670.37.51.  (a) No tank vessel or vessel carrying oil as a
secondary cargo may be used to transport oil across marine waters of
the state unless the operator has obtained a certificate of financial
responsibility issued by the administrator for that vessel or for
the owner of all of the oil contained in and to be transferred to or
from that vessel.
   (b) No operator of a marine terminal within the state may transfer
oil to or from a tank vessel or vessel carrying oil as a secondary
cargo unless the operator of the marine terminal has received a copy
of a certificate of financial responsibility issued by the
administrator for the operator of that vessel or for all of the oil
contained in and to be transferred to or from that vessel.
   (c) No operator of a marine terminal within the state may transfer
oil to or from any vessel that is or is intended to be used for
transporting oil as cargo to or from a second vessel unless the
operator of the marine terminal has first received a copy of a
certificate of financial responsibility issued by the administrator
for the person responsible for both the first and second vessels or
all of the oil contained in both vessels, as well as all the oil to
be transferred to or from both vessels.
   (d) No person may operate a marine facility unless the owner or
operator of the marine facility has first obtained a certificate of
financial responsibility from the administrator for the marine
facility.
   (e) No tank vessel or vessel carrying oil as a secondary cargo may
be used to transport oil across marine waters of the state unless,
at least 24 hours prior to the transport, the administrator has
received both of the following:
   (1) A copy of a certificate applicable to that vessel or to all of
the oil in that vessel at all times during transport.
   (2) A copy of a written statement by the holder of the applicable
certificate authorizing its application to the vessel.



8670.37.52.  The certificate of financial responsibility shall be
conclusive evidence that the person or entity holding the certificate
is the party responsible for the specified vessel, marine facility,
or oil for purposes of determining liability pursuant to this
chapter.



8670.37.53.  (a) To receive a certificate of financial
responsibility for a tank vessel or for all of the oil contained
within such a vessel, the applicant shall demonstrate to the
satisfaction of the administrator the financial ability to pay at
least one billion dollars ($1,000,000,000) for any damages that may
arise during the term of the certificate.
   (b) The administrator may establish a lower standard of financial
responsibility for small tank barges, vessels carrying oil as a
secondary cargo, and small marine fueling facilities. The standard
shall be based on the quantity of oil that can be carried or stored
and the risk of spill into marine waters. The administrator shall not
set a standard that is less than the expected costs from a
reasonable worst case oil spill into marine waters.
   (c)  (1) To receive a certificate of financial responsibility for
a marine facility, the applicant shall demonstrate to the
satisfaction of the administrator the financial ability to pay for
any damages that might arise during a reasonable worst case oil spill
into marine waters that results from the operations of the marine
facility. The administrator shall consider criteria including, but
not necessarily limited to, the amount of oil that could be spilled
into marine waters from the facility, the cost of cleaning up spilled
oil, the frequency of operations at the facility, and the damages
that could result from a spill.
   (2) The administrator may issue a certificate for a marine
facility upon a lesser showing of financial resources for a period of
not longer than three years if the administrator finds all of the
following:
   (A) The marine facility was operating on January 1, 1991.
   (B) Continued operation is necessary to finance abandonment of the
marine facility.
   (C) The financial resources the operator is able to demonstrate
are reasonably sufficient to cover the damages from foreseeable
spills from the facility.



8670.37.54.  (a) For the purposes of this chapter, financial
responsibility may be demonstrated by evidence of insurance, surety
bond, letter of credit, qualifications as a self-insurer, or any
combination thereof or other evidence of financial responsibility.
   (b) In adopting requirements under this article, the administrator
may specify policy or other contractual terms, conditions, or
defenses which are necessary or which are unacceptable in
establishing evidence of financial responsibility, in order to
effectuate the purposes of this article.


8670.37.55.  (a) An owner or operator of more than one tank vessel,
vessel carrying oil as a secondary cargo, nontank vessel, or marine
facility shall only be required to obtain one certificate of
financial responsibility for all of those vessels and marine
facilities owned or operated.
   (b) If a person holds a certificate for more than one tank vessel,
vessel carrying oil as a secondary cargo, nontank vessel, or marine
facility and a spill or spills occurs from one or more of those
vessels or marine facilities for which the owner or operator may be
liable for damages in an amount exceeding 5 percent of the financial
resources reflected by the certificate, as determined by the
administrator, the certificate shall immediately be considered
inapplicable to any vessel or marine facility not associated with the
spill. In that event, the owner or operator shall demonstrate to the
satisfaction of the administrator the amount of financial ability
required pursuant to this article, as well as the financial ability
to pay all damages that arise or have arisen from the spill or spills
which have occurred.


8670.37.56.  If the administrator determines that, because of a
spill outside of the state or some other action or potential
liability, the holder of a certificate may not have the financial
resources to pay damages for the spill or liability and have
resources remaining available to meet the requirements of this
chapter, the administrator may suspend the certificate.



8670.37.57.  No certificate of financial responsibility shall have a
term greater than two years. The administrator may issue
certificates for shorter periods where appropriate.



8670.37.58.  (a) A nontank vessel required to have a contingency
plan pursuant to this chapter shall not enter marine waters of the
state unless the nontank vessel owner or operator has provided to the
administrator evidence of financial responsibility that
demonstrates, to the administrator's satisfaction, the ability to pay
at least three hundred million dollars ($300,000,000) to cover
damages caused by a spill, and the owner or operator of the nontank
vessel has obtained a certificate of financial responsibility from
the administrator for the nontank vessel.
   (b) Notwithstanding subdivision (a), the administrator may
establish a lower standard of financial responsibility for a nontank
vessel that has a carrying capacity of 6,500 barrels of oil or less,
or for a nontank vessel that is owned and operated by California or a
federal agency and has a carrying capacity of 7,500 barrels of oil
or less. The standard shall be based upon the quantity of oil that
can be carried by the nontank vessel and the risk of an oil spill
into marine waters. The administrator shall not set a standard that
is less than the expected cleanup costs and damages from an oil spill
into marine waters.
   (c) The administrator may adopt regulations to implement this
section.


State Codes and Statutes

State Codes and Statutes

Statutes > California > Gov > 8670.37.51-8670.37.58

GOVERNMENT CODE
SECTION 8670.37.51-8670.37.58



8670.37.51.  (a) No tank vessel or vessel carrying oil as a
secondary cargo may be used to transport oil across marine waters of
the state unless the operator has obtained a certificate of financial
responsibility issued by the administrator for that vessel or for
the owner of all of the oil contained in and to be transferred to or
from that vessel.
   (b) No operator of a marine terminal within the state may transfer
oil to or from a tank vessel or vessel carrying oil as a secondary
cargo unless the operator of the marine terminal has received a copy
of a certificate of financial responsibility issued by the
administrator for the operator of that vessel or for all of the oil
contained in and to be transferred to or from that vessel.
   (c) No operator of a marine terminal within the state may transfer
oil to or from any vessel that is or is intended to be used for
transporting oil as cargo to or from a second vessel unless the
operator of the marine terminal has first received a copy of a
certificate of financial responsibility issued by the administrator
for the person responsible for both the first and second vessels or
all of the oil contained in both vessels, as well as all the oil to
be transferred to or from both vessels.
   (d) No person may operate a marine facility unless the owner or
operator of the marine facility has first obtained a certificate of
financial responsibility from the administrator for the marine
facility.
   (e) No tank vessel or vessel carrying oil as a secondary cargo may
be used to transport oil across marine waters of the state unless,
at least 24 hours prior to the transport, the administrator has
received both of the following:
   (1) A copy of a certificate applicable to that vessel or to all of
the oil in that vessel at all times during transport.
   (2) A copy of a written statement by the holder of the applicable
certificate authorizing its application to the vessel.



8670.37.52.  The certificate of financial responsibility shall be
conclusive evidence that the person or entity holding the certificate
is the party responsible for the specified vessel, marine facility,
or oil for purposes of determining liability pursuant to this
chapter.



8670.37.53.  (a) To receive a certificate of financial
responsibility for a tank vessel or for all of the oil contained
within such a vessel, the applicant shall demonstrate to the
satisfaction of the administrator the financial ability to pay at
least one billion dollars ($1,000,000,000) for any damages that may
arise during the term of the certificate.
   (b) The administrator may establish a lower standard of financial
responsibility for small tank barges, vessels carrying oil as a
secondary cargo, and small marine fueling facilities. The standard
shall be based on the quantity of oil that can be carried or stored
and the risk of spill into marine waters. The administrator shall not
set a standard that is less than the expected costs from a
reasonable worst case oil spill into marine waters.
   (c)  (1) To receive a certificate of financial responsibility for
a marine facility, the applicant shall demonstrate to the
satisfaction of the administrator the financial ability to pay for
any damages that might arise during a reasonable worst case oil spill
into marine waters that results from the operations of the marine
facility. The administrator shall consider criteria including, but
not necessarily limited to, the amount of oil that could be spilled
into marine waters from the facility, the cost of cleaning up spilled
oil, the frequency of operations at the facility, and the damages
that could result from a spill.
   (2) The administrator may issue a certificate for a marine
facility upon a lesser showing of financial resources for a period of
not longer than three years if the administrator finds all of the
following:
   (A) The marine facility was operating on January 1, 1991.
   (B) Continued operation is necessary to finance abandonment of the
marine facility.
   (C) The financial resources the operator is able to demonstrate
are reasonably sufficient to cover the damages from foreseeable
spills from the facility.



8670.37.54.  (a) For the purposes of this chapter, financial
responsibility may be demonstrated by evidence of insurance, surety
bond, letter of credit, qualifications as a self-insurer, or any
combination thereof or other evidence of financial responsibility.
   (b) In adopting requirements under this article, the administrator
may specify policy or other contractual terms, conditions, or
defenses which are necessary or which are unacceptable in
establishing evidence of financial responsibility, in order to
effectuate the purposes of this article.


8670.37.55.  (a) An owner or operator of more than one tank vessel,
vessel carrying oil as a secondary cargo, nontank vessel, or marine
facility shall only be required to obtain one certificate of
financial responsibility for all of those vessels and marine
facilities owned or operated.
   (b) If a person holds a certificate for more than one tank vessel,
vessel carrying oil as a secondary cargo, nontank vessel, or marine
facility and a spill or spills occurs from one or more of those
vessels or marine facilities for which the owner or operator may be
liable for damages in an amount exceeding 5 percent of the financial
resources reflected by the certificate, as determined by the
administrator, the certificate shall immediately be considered
inapplicable to any vessel or marine facility not associated with the
spill. In that event, the owner or operator shall demonstrate to the
satisfaction of the administrator the amount of financial ability
required pursuant to this article, as well as the financial ability
to pay all damages that arise or have arisen from the spill or spills
which have occurred.


8670.37.56.  If the administrator determines that, because of a
spill outside of the state or some other action or potential
liability, the holder of a certificate may not have the financial
resources to pay damages for the spill or liability and have
resources remaining available to meet the requirements of this
chapter, the administrator may suspend the certificate.



8670.37.57.  No certificate of financial responsibility shall have a
term greater than two years. The administrator may issue
certificates for shorter periods where appropriate.



8670.37.58.  (a) A nontank vessel required to have a contingency
plan pursuant to this chapter shall not enter marine waters of the
state unless the nontank vessel owner or operator has provided to the
administrator evidence of financial responsibility that
demonstrates, to the administrator's satisfaction, the ability to pay
at least three hundred million dollars ($300,000,000) to cover
damages caused by a spill, and the owner or operator of the nontank
vessel has obtained a certificate of financial responsibility from
the administrator for the nontank vessel.
   (b) Notwithstanding subdivision (a), the administrator may
establish a lower standard of financial responsibility for a nontank
vessel that has a carrying capacity of 6,500 barrels of oil or less,
or for a nontank vessel that is owned and operated by California or a
federal agency and has a carrying capacity of 7,500 barrels of oil
or less. The standard shall be based upon the quantity of oil that
can be carried by the nontank vessel and the risk of an oil spill
into marine waters. The administrator shall not set a standard that
is less than the expected cleanup costs and damages from an oil spill
into marine waters.
   (c) The administrator may adopt regulations to implement this
section.