| 1 | The Water & Natural Resources Committee recommends the |
| 2 | following: |
| 3 |
|
| 4 | Council/Committee Substitute |
| 5 | Remove the entire bill and insert: |
| 6 | A bill to be entitled |
| 7 | An act relating to the exploration, production, and |
| 8 | storage of petroleum and natural gas; directing the |
| 9 | Department of Environmental Protection to contract for a |
| 10 | study of exposure risks and potential adverse effects of |
| 11 | hurricane wind and storm surge on field-erected |
| 12 | aboveground storage tank systems at bulk product |
| 13 | facilities; providing requirements for the scope of the |
| 14 | study; providing an appropriation from the Inland |
| 15 | Protection Trust Fund for the cost of the study; directing |
| 16 | the department to compile and review existing data and |
| 17 | information relating to environmental risks associated |
| 18 | with oil and natural gas exploration and production in the |
| 19 | eastern Gulf of Mexico; providing requirements and |
| 20 | criteria for the evaluation of such risks; requiring the |
| 21 | department to submit a report to the Governor and the |
| 22 | Legislature; providing an effective date. |
| 23 |
|
| 24 | Be It Enacted by the Legislature of the State of Florida: |
| 25 |
|
| 26 | Section 1. Study of exposure risks and potential adverse |
| 27 | effects of hurricane wind and storm surge on field-erected |
| 28 | aboveground storage tank systems at bulk product facilities.-- |
| 29 | (1) The Department of Environmental Protection shall |
| 30 | contract for a study to evaluate the exposure risks and |
| 31 | potential adverse effects of hurricane wind and storm surge on |
| 32 | field-erected aboveground storage tank systems, including tanks, |
| 33 | piping, pumps, and related components, at bulk product |
| 34 | facilities as defined in s. 376.031(3), Florida Statutes. The |
| 35 | study's scope shall include, but need not be limited to: |
| 36 | (a) Evaluating the frequency, strength, and probability |
| 37 | estimates for hurricane winds and storm surge on the coastal |
| 38 | areas of the state where existing bulk product facilities are |
| 39 | located and where new bulk product facilities are likely to be |
| 40 | constructed. |
| 41 | (b) Evaluating the need and timing for requirements for |
| 42 | the establishment of minimum ballast levels for field-erected |
| 43 | aboveground storage tanks at bulk product facilities based on |
| 44 | the frequency, strength, and probability estimates for hurricane |
| 45 | winds and storm surge, and based on levels calculated by a |
| 46 | professional engineer specific to each individual field-erected |
| 47 | aboveground storage tank, taking into account the type of tank, |
| 48 | the type of product stored, tank diameter, tank height, and |
| 49 | other relevant factors. |
| 50 | (c) Evaluating the need and feasibility for requirements |
| 51 | for: |
| 52 | 1. Professionally engineered permanent anchoring systems |
| 53 | for field-erected aboveground storage tanks in high-risk surge |
| 54 | zones. |
| 55 | 2. Professionally engineered temporary cable tie-down |
| 56 | systems, which could be preconstructed or prefabricated and |
| 57 | retained in storage until needed, that would not interfere with |
| 58 | normal daily operations and that could be set up in advance of |
| 59 | an approaching storm. |
| 60 | (d) Evaluating the need for potential siting |
| 61 | considerations or engineering mitigation that would prevent or |
| 62 | limit the installation of new field-erected aboveground storage |
| 63 | tank systems at bulk product facilities in areas that are |
| 64 | potentially high-risk areas for hurricane winds and storm surge |
| 65 | unless the systems are designed and engineered to withstand |
| 66 | hurricane winds and storm surge. |
| 67 | (e) Identifying all current and proposed industry |
| 68 | standards for professionally engineered dike fields surrounding |
| 69 | field-erected aboveground storage tanks at bulk product |
| 70 | facilities, including standards for materials and designs that |
| 71 | will withstand hurricane winds and storm surges yet allow access |
| 72 | for emergency firefighting vehicles in accordance with industry |
| 73 | reference standards contained in National Fire Protection |
| 74 | Association publication NFPA No. 30. |
| 75 | (2) The study shall include recommendations for changes, |
| 76 | if needed, to aboveground storage tank system laws and agency |
| 77 | rules in order to decrease damage from hurricanes and improve |
| 78 | recovery of field-erected aboveground storage tank systems after |
| 79 | storm damage. All recommendations shall be accompanied by a |
| 80 | cost-benefit analysis, which shall include an analysis of: |
| 81 | (a) The costs for modifying existing field-erected |
| 82 | aboveground storage tank systems and dike fields, and the costs |
| 83 | associated with new construction of field-erected aboveground |
| 84 | storage tank systems and dike fields, to meet any proposed new |
| 85 | requirements. |
| 86 | (b) The potential adverse effect on petroleum inventory |
| 87 | capacity in the state resulting from any proposed new |
| 88 | requirements. All industry segments with field-erected |
| 89 | aboveground storage tanks, including, but not limited to, those |
| 90 | used for petroleum and electric utility, shall be included in |
| 91 | the petroleum inventory capacity analysis. |
| 92 | (3) The department shall report the findings and |
| 93 | recommendations of the study to the Governor, the President of |
| 94 | the Senate, and the Speaker of the House of Representatives by |
| 95 | March 1, 2008. |
| 96 | (4) The Department of Environmental Protection is |
| 97 | authorized to use up to $250,000 from the Inland Protection |
| 98 | Trust Fund for the 2006-2007 and 2007-2008 fiscal years for the |
| 99 | cost of the study set forth in this section. |
| 100 | Section 2. Compilation and review of existing data and |
| 101 | information relating to environmental risks associated with oil |
| 102 | and natural gas exploration and production in the eastern Gulf |
| 103 | of Mexico.-- |
| 104 | (1) The Department of Environmental Protection shall |
| 105 | compile and review existing data and information to evaluate the |
| 106 | environmental risks from all activities associated with the |
| 107 | possible future exploration for and production of oil and |
| 108 | natural gas in the eastern Gulf of Mexico currently subject to |
| 109 | federal moratoria. The department shall immediately request from |
| 110 | the appropriate state agencies and private research institutes |
| 111 | all available data and information necessary to complete this |
| 112 | task. The appropriate state agencies must submit the data and |
| 113 | information to the department at the earliest possible date, and |
| 114 | private research institutes are encouraged to submit relevant |
| 115 | data and information to the maximum extent practicable. The |
| 116 | department's effort shall include data and information available |
| 117 | through appropriate federal executive branch agencies. To the |
| 118 | maximum extent practicable, the department's efforts shall take |
| 119 | into consideration current technologies for controlling |
| 120 | discharges from oil and gas exploration rigs and production |
| 121 | platforms and shall include, but need not be limited to: |
| 122 | (a) Evaluating the probability of a discharge from oil and |
| 123 | gas exploration rigs and production platforms. |
| 124 | (b) Evaluating the magnitude of any probable discharge |
| 125 | from oil and gas exploration rigs and production platforms. |
| 126 | (c) Evaluating the Gulf of Mexico currents and circulation |
| 127 | patterns and the likelihood of any probable discharge's reaching |
| 128 | the coastal waters and shorelines of the state. |
| 129 | (d) Evaluating the environmental impacts of any probable |
| 130 | discharge on the fish and wildlife resources in the coastal |
| 131 | waters of the state. |
| 132 | (2) The department shall report the findings of the |
| 133 | evaluation to the Governor, the President of the Senate, and the |
| 134 | Speaker of the House of Representatives within 120 days after |
| 135 | the effective date of this act. |
| 136 | Section 3. This act shall take effect upon becoming a law. |