Dec. 20—California's main oil regulatory agency said Monday it will act to block an industry-funded referendum that was expected to delay a law banning drilling within 3,200 feet of homes and other sensitive sites.

In a move one industry trade group executive criticized as illegal, the state Geologic Energy Management Division called for an emergency order that would impose the terms of State Bill 1137 no later than Jan. 7. The agency said it will file for a review by the Office of Administrative Law to begin as soon as Dec. 28.

It follows last week's announcement that a disputed, industry-sponsored petition drive had turned in about 50 percent more signatures than needed to put a referendum on the November 2024 ballot asking voters whether to uphold SB 1137. The expectation was that, if enough of those signatures were officially verified, the law wouldn't take effect for almost two years.

Monday's state action came as the latest shot in a years-long battle between the Newsom administration and California's Kern-centric oil industry.

"We are aware of the referendum effort to repeal this legislation," a CalGEM representative said by email. "As we await verification of whether that measure has qualified, we have a responsibility to move ahead with implementation of the law."

The agency did not respond to questions about its announcement Monday.

CEO Rock Zierman of the California Independent Petroleum Association said by email the state's authority to initiate an emergency order is derived from SB 1137, which he noted is not scheduled to take effect until next month. He said the law will be stayed this week, assuming the referendum signatures get confirmed.

"What (CalGEM officials) are doing is illegal," Zierman wrote.

A spokesman for another industry trade group, the Western States Petroleum Association, said by email CalGEM's proposal looks "a lot like a work-around for the CEPA 1137 referendum."

Beyond establishing a 3,200-foot buffer zone around sensitive sites including schools and churches, SB 1137 would forbid well deepening and reworks, and it would impose pollution controls on existing wells within the zone. It would also restrict noise, light and dust while mandating new testing and paperwork.

Scientific research has linked proximity to oil and gas wells and health problems such as adverse birth outcomes, heart disease and respiratory diseases including asthma.

SB 1137 was introduced after a state rule-making process on oil field buffers stalled with no explanation by CalGEM. The agency, which was overseeing the create of the rule, has refused to say why the process stalled.

Then, in the final days of the last legislative session, Gov. Gavin Newsom joined lawmakers to build enough support to pass the bill.

Coalition Coordinator Kobi Naseck with VISION, an environmental justice group that has helped lead the fight for the oil buffer, said in an email statement that residents living near oil operations need "immediate and permanent protections" from nearby drilling.

"This emergency rule-making is a strong signal that CalGEM is preparing to carry out its mission to protect public health in the short term," Naseck wrote. "The agency should further take advantage of this moment to continue its long-delayed public health rule-making, which will guarantee permanent protections for all. We need a regulator who will prioritize our health and environmental justice over Big Oil lies."

The state's announcement Monday opens a window for public comment on the emergency order. Anyone wishing to comment on it would need to send comments by Jan. 3 to the state Department of Conservation, which is CalGEM's parent agency, or to the Office of Administrative Law.

Such comments should reference the action as "SB 1137 First Emergency Implementation Regulations / Notice of Proposed Emergency Rulemaking Action."

Anyone directing comments to the Office of Administrative Law should mail them to the OAL Reference Attorney, 300 Capital Mall, Suite 1250, Sacramento, CA 95814. Alternatively, comments may be emailed, using the same reference information, to staff@oal.ca.gov.

Otherwise, comments may be sent to the Department of Conservation at 715 P Street, MS 1907, Sacramento, CA 95814, Attn: SB 1137 Health Protection Zones. Email is also an option, using CalGEM's email address: calgemregulations@conservation.ca.gov.

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