HB 322 Summary

• Increases civil penalties for oil discharges: $40 per gallon (up from $10) for anadromous streams, $10 per gallon (up from $2.50) for estuarine/saltwater, and $4 per gallon (up from $1) for unconfined saltwater environments

• Doubles penalties to 5x the base rate when discharge results from gross negligence, intentional acts, or failure to take reasonable containment measures

• Raises crude oil discharge penalties to $16 per gallon for first 420,000 gallons and $25 per gallon for amounts exceeding 420,000 gallons (previously $8 and $12.50), with maximum civil penalty of $500 million

• Creates new administrative penalty authority allowing $500-$10,000 penalties for serious or repeat unpermitted oil discharges, assessed by department without court review

• Requires commercial motor vehicle operators transporting crude oil on state highways to submit federal oil spill response plans to the department and establishes strict joint liability for response plan holders who fail to comply

• Mandates automatic 10-year penalty adjustments based on Consumer Price Index for Anchorage, with January 2018 as reference base