Senate Bill sb2708c1

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2006                           CS for SB 2708

    By the Committee on Environmental Preservation; and Senator
    Wise




    592-2272-06

  1                      A bill to be entitled

  2         An act relating to the exploration, production,

  3         and storage of petroleum and natural gas;

  4         directing the Department of Environmental

  5         Protection to contract for a study of exposure

  6         risks and potential adverse effects of

  7         hurricane wind and storm surge on

  8         field-erected, aboveground storage tank systems

  9         at bulk product facilities; providing

10         requirements for the scope of the study;

11         providing an appropriation from the Inland

12         Protection Trust Fund for the cost of the

13         study; directing the department to compile and

14         review existing data and information relating

15         to environmental risks associated with oil and

16         natural gas exploration and production in the

17         eastern Gulf of Mexico; providing requirements

18         and criteria for the evaluation of such risks;

19         requiring the department to submit a report to

20         the Governor and the Legislature; providing an

21         effective date.

22  

23  Be It Enacted by the Legislature of the State of Florida:

24  

25         Section 1.  Study of exposure risks and potential

26  adverse effects of hurricane wind and storm surge on

27  field-erected, aboveground storage tank systems at bulk

28  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

                                  1

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                           CS for SB 2708
    592-2272-06




 1  field-erected, aboveground storage tank systems, including

 2  tanks, piping, pumps, and related components, at bulk product

 3  facilities as defined in s. 376.031(3), Florida Statutes. The

 4  study's scope shall include, but need not be limited to:

 5         (a)  Evaluating the frequency, strength, and

 6  probability estimates for hurricane winds and storm surge on

 7  the coastal areas of the state where existing bulk product

 8  facilities are located and where new bulk product facilities

 9  are likely to be constructed.

10         (b)  Evaluating the need and timing for requirements

11  for the establishment of minimum ballast levels for

12  field-erected, aboveground storage tanks at bulk product

13  facilities based on the frequency, strength, and probability

14  estimates for hurricane winds and storm surge, and based on

15  levels calculated by a professional engineer specific to each

16  individual field-erected, aboveground storage tank, taking

17  into account the type of tank, the type of product stored,

18  tank diameter, tank height, and other relevant factors.

19         (c)  Evaluating the need and feasibility for

20  requirements for:

21         1.  Professionally engineered permanent anchoring

22  systems for field-erected, aboveground storage tanks in

23  high-risk surge zones.

24         2.  Professionally engineered temporary cable tie-down

25  systems, which could be preconstructed or prefabricated and

26  retained in storage until needed, that would not interfere

27  with normal daily operations and that could be set up in

28  advance of an approaching storm.

29         (d)  Evaluating the need for potential siting

30  considerations or engineering mitigation that would prevent or

31  limit the installation of new field-erected, aboveground

                                  2

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                           CS for SB 2708
    592-2272-06




 1  storage tank systems at bulk product facilities in areas that

 2  are potentially high-risk areas for hurricane winds and storm

 3  surge unless the systems are designed and engineered to

 4  withstand hurricane winds and storm surge.

 5         (e)  Identifying all current and proposed industry

 6  standards for professionally engineered dike fields

 7  surrounding field-erected, aboveground storage tanks at bulk

 8  product facilities, including standards for materials and

 9  designs that will withstand hurricane winds and storm surges

10  yet allow access for emergency firefighting vehicles in

11  accordance with industry reference standards contained in

12  National Fire Protection Association publication NFPA No. 30.

13         (2)  The study must include recommendations for

14  changes, if needed, to aboveground storage tank system laws

15  and agency rules in order to decrease damage from hurricanes

16  and improve recovery of field-erected, aboveground storage

17  tank systems after storm damage. All recommendations must be

18  accompanied by a cost-benefit analysis, which shall include an

19  analysis of:

20         (a)  The costs for modifying existing field-erected,

21  aboveground storage tank systems and dike fields, and the

22  costs associated with new construction of field-erected,

23  aboveground storage tank systems and dike fields, to meet any

24  proposed new requirements.

25         (b)  The potential adverse effect on petroleum

26  inventory capacity in the state resulting from any proposed

27  new requirements. All industry segments with field-erected,

28  aboveground storage tanks, including, but not limited to,

29  those used for petroleum and electric utility, must be

30  included in the petroleum inventory capacity analysis.

31  

                                  3

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                           CS for SB 2708
    592-2272-06




 1         (3)  The department shall report the findings and

 2  recommendations of the study to the Governor, the President of

 3  the Senate, and the Speaker of the House of Representatives by

 4  March 1, 2008.

 5         (4)  The Department of Environmental Protection may use

 6  up to $250,000 from the Inland Protection Trust Fund for the

 7  2006-2007 and 2007-2008 fiscal years for the cost of the study

 8  set forth in this section.

 9         Section 2.  Compilation and review of existing data and

10  information relating to environmental risks associated with

11  oil and natural gas exploration and production in the eastern

12  Gulf of Mexico.--

13         (1)  The Department of Environmental Protection shall

14  compile and review existing data and information to evaluate

15  the environmental risks from all activities associated with

16  the possible future exploration for and production of oil and

17  natural gas in the eastern Gulf of Mexico currently subject to

18  federal moratoria. The department shall immediately request

19  from the appropriate state agencies and private research

20  institutes all available data and information necessary to

21  complete this task. The appropriate state agencies shall

22  submit the data and information to the department at the

23  earliest possible date, and private research institutes are

24  encouraged to submit relevant data and information to the

25  maximum extent practicable. The department's effort shall

26  include data and information available through appropriate

27  federal executive branch agencies. To the maximum extent

28  practicable, the department's efforts shall take into

29  consideration current technologies for controlling discharges

30  from oil and gas exploration rigs and production platforms and

31  shall include, but need not be limited to:

                                  4

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                           CS for SB 2708
    592-2272-06




 1         (a)  Evaluating the probability of a discharge from oil

 2  and gas exploration rigs and production platforms.

 3         (b)  Evaluating the magnitude of any probable discharge

 4  from oil and gas exploration rigs and production platforms.

 5         (c)  Evaluating the Gulf of Mexico currents and

 6  circulation patterns and the likelihood of any probable

 7  discharge's reaching the coastal waters and shorelines of the

 8  state.

 9         (d)  Evaluating the environmental impacts of any

10  probable discharge on the fish and wildlife resources in the

11  coastal waters of the state.

12         (2)  The department shall report the findings of the

13  evaluation to the Governor, the President of the Senate, and

14  the Speaker of the House of Representatives within 120 days

15  after the effective date of this act.

16         Section 3.  This act shall take effect upon becoming a

17  law.

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  5

CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2006                           CS for SB 2708
    592-2272-06




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                         Senate Bill 2708

 3                                 

 4  The committee substitute provides for a study of exposure
    risks and potential adverse effects of hurricane wind and
 5  storm surge on field-erected, aboveground storage tank systems
    at bulk product facilities by the Department of Environmental
 6  Protection(DEP). Specifies the scope of the study. Requires
    the DEP to report to the Governor, the President of the
 7  Senate, and the Speaker of the House of Representatives by
    March 1, 2008. Provides that the DEP may use up to $250,000
 8  from the Inland Protection Trust Fund for the cost of the
    study.
 9  
    The committee substitute also requires the DEP shall compile
10  and review existing data and information to evaluate the
    environmental risks from all activities associated with the
11  possible future exploration for and production of oil and
    natural gas in the eastern Gulf of Mexico currently subject to
12  federal moratoria. The DEP shall immediately request from the
    appropriate state agencies and private research institutes all
13  available data and information be submitted to the department
    at the earliest possible date, and private research institutes
14  are encouraged to submit relevant data and information
    available to the maximum extent practicable. The DEP's effort
15  shall include data and information available through
    appropriate federal executive branch agencies. The DEP shall
16  report the findings of the evaluation to the Governor, the
    President of the Senate, and the Speaker of the House of
17  Representatives within 120 days after the effective date of
    the act.
18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  6

CODING: Words stricken are deletions; words underlined are additions.