Oil Spill Prevention and Administration Fee & Oil Spill Response Fee
New Information – Assembly Bill 148 (Stats. 2021, ch. 115) was signed by the Governor on July 22, 2021 and makes changes to the Oil Spill Prevention and Administration (OSPA) Fee Program, including, among other things:
Effective January 1, 2022, the OSPA Fee Program will expand to include all renewable fuels. This guide has been updated to reflect these changes, and it's important to remember that that OSPA fee is not imposed on renewable fuel until January 1, 2022.
A definition of renewable fuel and a revision to the definition of petroleum products was effective July 22, 2021. See the Industry Topics section for more information.
Helping your business succeed is important to us. The fees you collect and pay to the state help fund state and local services and programs that are important to you and your community.
This guide will help you better understand the oil spill prevention and administration fee and the oil spill response fee including registration, collection, and reporting requirements for both the fees.
Imposition of the Oil Spill Prevention and Administration Fee
The Oil Spill Prevention And Administration (OSPA) Fee Law imposes the OSPA fee on owners of crude oil, petroleum products and, beginning January 1, 2022, renewable fuel. Marine terminal operators, refinery operators and, beginning January 1, 2022, renewable fuel receiving facility operators, and renewable fuel production facility operators are responsible for collecting the OSPA fee from the owner.
The owner cannot pay the fee directly to us unless they are also the operator where the crude oil, petroleum products, or renewable fuel were received or shipped.
The chart below shows the application of the OSPA fee by facility operator and product type.
| Received at a Marine Terminal | Received at a Refinery | Received at a Renewable Fuel Receiving Facility (RFRF) (Effective January 1, 2022) | Shipped from a Renewable Fuel Production Facility (RFPF) (Effective January 1, 2022) | |
|---|---|---|---|---|
| Crude Oil | From within or outside the state | From within or outside the state | N/A | N/A |
| Petroleum Products | From outside the state | From within or outside the state | N/A | N/A |
| Renewable Fuel (Starting January 1, 2022) |
From within or outside the state | From within or outside the state | From outside the state | Shipped from a RFPF |
Note: There is a rebuttable presumption that all crude oil, petroleum products, or renewable fuel received at a marine terminal, refinery, or renewable fuel receiving facility, or shipped from a renewable fuel production facility in California, has passed over, across, under, or through waters of the state.
A marine terminal operator, refinery operator, or renewable fuel production facility operator receiving petroleum products derived from crude oil refined in California may presume the fee has been previously collected.
Imposition of the Oil Spill Response Fee
The oil spill response (OSR) fee is currently not imposed; however, there is an annual reporting requirement.
The following chart shows the application of the oil spill response fee, when it is activated:
| Received at Marine Terminal | Received at Refinery | Pipeline Operator | |
|---|---|---|---|
| Crude Oil | From within this state to a destination outside this state | From within or outside the state | Transported out of the state by pipeline |
| Petroleum Products | From outside the state | N/A | Transported into the state by pipeline |
| Renewable Fuels | N/A | N/A | N/A |
How the Revenue is Used
Oil Spill Prevention and Administration Fee
The OSPA fee provides funds for prevention programs in California and the Oiled Wildlife Care Network to protect wildlife affected by oil.
Oil Spill Response Fee
The OSR fee provides funds to cover costs of response, containment, and cleanup of oil spills into waters of the state.
How to Use This Guide
The Getting Started section provides information about accounts required, registering, filing returns, making payments, account maintenance, and other important information you may need.
The Industry Topics and Resources sections provide helpful information, resources and references.
If You Need Help
If at any time you need assistance with topics included in this guide or with topics not included, please contact us by telephone or email for assistance. For contact information and hours of operation, please visit our How to Contact Us webpage.
If you have suggestions for improving this guide, please contact us by email.