AMENDED IN SENATE AUGUST 21, 2026

AMENDED IN SENATE AUGUST 13, 2026

AMENDED IN SENATE JULY 2, 2026

AMENDED IN SENATE JUNE 10, 2026

AMENDED IN ASSEMBLY APRIL 10, 2025

CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION

94

Introduced by Assembly Member Muratsuchi

February 13, 2025

An act to add and repeal Chapter 3 (commencing with Section 7875) of Part 7.5 of Division 5 of the Labor Code, relating to employment.

Vote: majority   Appropriation: no   Fiscal committee: yes   Local program: no

LEGISLATIVE COUNSEL’S DIGEST

Existing law establishes an accidental release prevention program for the state. Under that law, stationary sources subject to the accidental release prevention program may be required to prepare and submit a risk management plan (RMP) to prevent accidental releases of certain substances. Existing law imposes criminal penalties upon a stationary source that knowingly violates the requirements of the accidental release prevention program.

This bill would state findings and declarations concerning refinery closures in California. The bill would create establish the Refinery Safe Staffing Task Force to develop potential methods and strategies for ensuring maximum employee retention at refineries and addressing employment dislocations associated with oil, gas, and related industries, with membership, as specified, appointed and commencing service no later than January 1, 2028. The bill would require the task force, no later than June 1, 2029, to present to the Legislature and make available online to the public a report documenting a wide range of potential methods and strategies for ensuring maximum employee retention in the time period preceding refinery closure or long-term idling of a refinery, for ensuring safe operation in the event of understaffing, and for transitioning oil and gas workers into sectors that match their skills and experience. The bill would repeal the provisions that would create the task force provisions on January 1, 2030.

The people of the State of California do enact as follows:

SECTION 1.

The Legislature finds and declares all of the following:

(a) Multiple refineries in California have closed or announced closure within recent years, and there is a likelihood that more will close in the foreseeable future in line with declining demand for refined products.

(b) Closure announcements at refineries, required, pursuant to subdivision (p) of Section 25354 of the Public Resources Code, to be made a year in advance of closure, have precipitated severe staffing shortages at these refineries during the time period between the announcement and the completion of the closure, as workers leave to take new employment opportunities. The shortages lead to the remaining workers working extraordinarily long shifts, for extended periods of time, impacting not just their workplace performance but their ability to get proper rest once at home. Additionally, the loss of expertise causes further disruption, impacting efficiency within the workplace.

(c) The staffing shortages and disruptions during the preclosure time period, and attendant protracted working hours, result in dangerous levels of worker fatigue, creating risks for both the workers and the surrounding community. Workers experiencing fatigue from overlong shifts are more likely to make errors, and the complex and volatile processes at refineries are prone to dangerous accidents as a result of any such errors. In addition, fatigued workers’ response to emergency situations may also be impaired. Accidents at refineries have historically caused both worker injury and death, and widespread health harm to surrounding communities.

(d) The job market for laidoff laid off refinery workers is difficult, and hence workers need significant incentives to remain at a refinery headed for closure, rather than leaving to take new employment opportunities. Adequate incentives to remain on the job could include extended severance packages, paid job training, extended job placement assistance, logistical assistance, and other financial assistance. However, to date, refinery operators have not provided sufficient incentives of this nature to persuade their workers to remain.

(e) The twin industrial safety codes applicable to refineries, the Department of Industrial Relations Process Safety Management for Petroleum Refineries regulations (8 Cal. Code Regs. 5189.1) and the California Environmental Protection Agency California Accidental Release Prevention Program 4 regulations (19 Cal. Code Regs. 5110.1 et seq.), set forth general requirements concerning management of organizational change, that, in principle, should encompass plans for refinery closure. However, those requirements have not, to date, been enforced in the context of closure. Additionally, the requirements do not directly address or require the types of measures necessary to retain workers and ensure refinery safety in the run-up to closure, and do not require direct involvement and oversight by enforcement authorities.

(f) In order to ensure worker and community safety in the run-up to a refinery closure or long-term idling, it is essential that the state develop and implement robust safety standards specifically applicable to those events.

SEC. 2.

Chapter 3 (commencing with Section 7875) is added to Part 7.5 of Division 5 of the Labor Code, to read:

Chapter 3. Refinery Safe Staffing Task Force

7875.

(a) There is in the state government the Refinery Safe Staffing Task Force consisting of the following members:

(1) Three representatives of unions representing proprietary employees at refineries as defined in subdivision (c) of Section 7853, one each appointed by the Governor or their appointed Department of Industrial Relations (DIR) Process Safety Management (PSM) Unit regional manager, the Speaker of the Assembly, and the Senate Committee on Rules, respectively.

(2) Three representatives of unions representing building trades whose members serve as contractors at refineries, one each appointed by the Governor or their appointed DIR PSM Unit regional manager, the Speaker of the Assembly, and the Senate Committee on Rules, respectively.

(3) Three representatives of refinery employers, one each employers appointed by the Governor or their appointed DIR PSM Unit regional manager, the Speaker of the Assembly, and the Senate Committee on Rules, respectively. manager.

(4) Three representatives of nongovernmental organizations whose mission relates to the well-being of workers and refinery communities, one each appointed by the Governor, the Speaker of the Assembly, and the Senate Committee on Rules, respectively.

(5) Two members of the public with expertise in refinery process safety, to be appointed by the Governor or their appointed DIR PSM Unit regional manager.

(b) All members shall be appointed and begin serving on the task force no later than January 1, 2028.

(c) The members of the task force shall serve without compensation, except that they shall receive, upon appropriation of funds for this purpose, their actual and necessary expenses incurred in the performance of their duties and responsibilities, including traveling expenses.

(d) The task force shall select one of its members to be its chair.

(e) The task force shall have all of the responsibilities, powers, and duties set forth herein.

(f) The task force shall consult with, and may utilize, the staff of the DIR PSM Unit.

(g) The purpose of the task force shall be to develop potential methods and strategies for ensuring maximum employee retention at refineries, during, and especially in the time period preceding, a refinery closure or long-term idling of a refinery, and for addressing employment dislocations associated with oil, gas, and related industries.

(h) (1) No later than June 1, 2029, the task force shall present to the Legislature, and make available online to the public, a report documenting a wide range of potential methods and strategies for ensuring maximum employee retention in the time period preceding refinery closure or long-term idling of a refinery, including, without limitation, any of the following:

(A) Extended severance periods.

(B) Paid job training.

(C) Extended job placement assistance.

(D) Priority transfer to other refineries.

(E) Financial and logistical assistance.

(2) The report shall consider a wide range of methods and strategies for ensuring safe operation in the event of understaffing and include potential methods and strategies for transitioning oil and gas workers into sectors that match their skills and experience.

(j) This chapter shall become inoperative on July 1, 2029, and, as of January 1, 2030, is repealed.