AB 527 California Assembly · 2025-2026 Regular Session

California Environmental Quality Act: geothermal exploratory projects: geothermal field development projects: enhanced geothermal system wells.

Summary
The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if the lead agency finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. Existing law establishes the Geologic Energy Management Division in the Department of Conservation, under the direction of the State Oil and Gas Supervisor, who is required to supervise the drilling, operation, maintenance, and abandonment of wells so as to permit the owners or operators of those wells to use all methods and practices known to the industry for the purpose of increasing the ultimate recovery of geothermal resources, as provided. Existing law requires the division to be the lead agency for all geothermal exploratory projects for purposes of CEQA, as specified, and authorizes the division to delegate its lead agency responsibility for geothermal exploratory projects to a county that has adopted a geothermal element for its general plan. Existing law also requires the county in which a geothermal project is located to assume the responsibilities of a lead agency for a geothermal exploratory project upon the request of an applicant, as specified. Existing law defines "geothermal exploratory project" in part as a project composed of not more than 6 wells and associated drilling and testing equipment whose chief and original purpose is to evaluate the presence and characteristics of geothermal resources. Existing law requires wells included within a geothermal exploratory project to be located at least one-half mile from geothermal development wells that are capable of producing geothermal resources in commercial quantities. Existing law requires the owner or operator of a well to keep, or to cause to be kept, a careful and accurate log, core record, and history of drilling the well and requires the log to show, among other things, the character and depth of the formation passed through or encountered in the drilling of the well. Upon completion or abandonment of a well, or upon the suspension of operations of a well, existing law requires true copies of the log, core record, and history to be filed with the district deputy of an oil and gas district, as specified. This bill would expressly include as part of a geothermal exploratory project, among other things, equipment and activities necessary to establish interconnectivity between wells and reservoirs. The bill would exclude certain wells connecting to geothermal reservoirs from the one-half mile limit described above. The bill would require the log for a well that is part of a geothermal exploratory project that is exempt from CEQA, as described below, to include the chemical and physical characteristics of well stimulation fluids. Upon completion or abandonment of a well, or upon the suspension of operations of a well, that is part of a geothermal exploratory project that is exempt from CEQA, as described below, the bill would require a project developer to disclose the composition of fluids used in all relevant hydraulic fracturing operations with the log for a well and would require the project developer to file a copy of the disclosure with the lead agency. This bill would, until January 1, 2031, exempt from CEQA geothermal exploratory projects that meet specified conditions and for which the county or the Geologic Energy Management Division is the lead agency. The bill would require a project developer to conduct a reconnaissance survey, that includes certain information, and to supply the lead agency with the reconnaissance survey when applying for an exemption from CEQA. The bill would require the lead agency to engage in a scoping consultation with any California Native American tribe that is traditionally and culturally affiliated with the geographic area of the proposed project, as provided. The bill would authorize the lead agency to require the project applicant to file an indemnity bond, as specified, before the lead agency determines that a geothermal exploratory project is exempt from CEQA. The bill would require a geothermal exploratory project that is exempt from CEQA to include full reclamation of the project site, as provided. The bill would require the lead agency, at least 30 days before making a determination to approve a geothermal exploratory project as exempt from CEQA pursuant to this exemption, to post a written notice of the intent to apply the exemption at the project site and to post a written notice of the intent to apply the exemption and the entire project application on its internet website. If the lead agency determines that the project is exempt from CEQA, the bill would require the lead agency to file a notice with the State Clearinghouse in the Office of Land Use and Climate Innovation and with the county clerk of the county in which the project is located, as provided, and to provide a copy of the notice to specified entities. Because the exemption would apply to projects where the county is the lead agency and the county would be required to engage in a scoping consultation and determine if a project qualifies for this exemption, the bill would impose a state-mandated local program. This bill would require a geothermal field development project located on a site where a geothermal exploratory project was deployed pursuant to the above-described CEQA exemption to use a baseline for CEQA review that reflects the site before the geothermal exploratory project occurred. Existing law requires the owner or operator of a well to file a written notice of intention to commence drilling with, and prohibits any drilling until approval is given by, the supervisor or district deputy. This bill would require, on or before January 1, 2029, the Geologic Energy Management Division to promulgate regulations for enhanced geothermal system wells, as provided. Before the promulgation and implementation of those regulations, the bill would require an operator to provide specified information to the supervisor when the operator files the notice of intent to commence drilling for a well in a CEQA-exempt geothermal exploratory project that employs enhanced geothermal system technology. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.
Bill status vetoed 4 of 5 stages cleared
Introduction
Feb 2025
Committee Review
Aug 2025
Assembly Passage
May 2025
Senate Passage
Sep 2025
Vetoed
Oct 2025
Introduced Feb 10, 2025 Vetoed Oct 6, 2025
Maddy AI version diff · 9 comparisons

What changed between versions

09/05/25 - Amended Senate 09/12/25 - Enrolled · 6 edits · Sep 12, 2025
MODERATE
This is the enrolled version of AB 527 after final passage by both chambers. The changes are primarily technical drafting cleanups - removing duplicated words, fixing crossed-out text that was not properly resolved, and correcting cross-reference numbering errors left over from earlier amendment rounds. A few substantive clarifications were made to the CEQA exemption conditions in Section 21080.67, including tightening the buffer zone around hazardous waste sites and reorganizing the wetlands distance requirement.
TECHNICAL

Removed 'oil and gas' from the bill's subject line, now reading only 'relating to geothermal resources.'

Fixed numerous drafting errors throughout: removed duplicated words (e.g., 'waterbearing water-bearing' to 'water-bearing', 'formations and formations and' to 'formations and'), resolved unresolved amendment markup (e.g., 'Nothing in this section prohibits This section does not prohibit' to 'This section does not prohibit'), and corrected paragraph cross-references.

ELIGIBILITY

In Section 21080.67(a)(2), removed a redundant restatement of the 20-acre surface limit and deleted the provision that excluded existing roads from the 20-acre calculation, simplifying the site size condition to: not more than 20 acres total at the surface and no more than 12 acres of previously undisturbed ground disturbed.

In Section 21080.67(a)(3), the hazardous waste site condition was changed from simply requiring the project not be located on a listed site to requiring the project site not include or lie within 100 feet of such a site, creating an explicit buffer zone.

The wetlands distance requirement was reorganized: previously it appeared confusingly as item (A) in the 100-foot buffer list with the text 'Three hundred feet of wetlands.' It is now a standalone paragraph (4) clearly stating the project site must not include or lie within 300 feet of wetlands.

Separate conditions about historical/tribal cultural resources and fully protected species were consolidated into broader 'significant adverse impacts' categories under new paragraph (6), which groups natural resources, hydrological resources, and tribal/historical/cultural resources together.

Floor votes · Senate Sep 9, 2025 · Assembly May 27, 2025

How they voted

360
Passed · 4 other
Total votes 40
Sep 9, 2025
D Democratic30
27 Yea 3
90% Yea
R Republican10
9 Yea 1
90% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
33
Key actions
11
Committee
10
Amendments
12
Jan 22, 2026
Vetoed
Consideration of Governor's veto stricken from file.
lower
Oct 6, 2025
Vetoed
Consideration of Governor's veto pending.
lower
Oct 6, 2025
Vetoed
Vetoed by Governor.
lower
Sep 10, 2025
Lower · Passed
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 79. Noes 0. Page 3196.).
lower
Sep 9, 2025
Introduced
In Assembly. Concurrence in Senate amendments pending.
lower
Sep 9, 2025
Upper · Passed
Read third time. Passed. Ordered to the Assembly. (Ayes 36. Noes 0. Page 2739.).
upper
Sep 5, 2025
Upper · Passed
Read third time and amended. Ordered to second reading.
upper
Aug 29, 2025
Upper · Passed
From committee: Do pass. (Ayes 7. Noes 0.) (August 29).
upper
Aug 18, 2025
Committee
In committee: Referred to suspense file.
upper
Jul 23, 2025
Upper · Passed
Read second time and amended. Re-referred to Com. on APPR.
upper
Jul 23, 2025
Introduced
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (July 16).
upper
Jul 7, 2025
Upper · Passed
Read second time and amended. Re-referred to Com. on N.R. & W.
upper
Jul 3, 2025
Introduced
From committee: Amend, and do pass as amended and re-refer to Com. on N.R. & W. (Ayes 6. Noes 1.) (July 2).
upper
Jun 24, 2025
Introduced
From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on E.Q.
upper
Jun 4, 2025
Committee
Referred to Coms. on E.Q. and N.R. & W.
upper
May 27, 2025
Lower · Passed
Read third time. Passed. Ordered to the Senate. (Ayes 76. Noes 0. Page 1729.)
lower
May 14, 2025
Lower · Passed
From committee: Do pass. (Ayes 15. Noes 0.) (May 14).
lower
May 6, 2025
Committee
Re-referred to Com. on APPR.
lower
May 5, 2025
Lower · Passed
Read second time and amended.
lower
May 1, 2025
Introduced
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 14. Noes 0.) (April 28).
lower
Apr 22, 2025
Committee
Re-referred to Com. on NAT. RES.
lower
Apr 21, 2025
Introduced
From committee chair, with author's amendments: Amend, and re-refer to Com. on NAT. RES. Read second time and amended.
lower
Apr 21, 2025
Lower · Passed
In committee: Hearing postponed by committee.
lower
Apr 21, 2025
Committee
Re-referred to Com. on NAT. RES.
lower
Apr 10, 2025
Introduced
From committee chair, with author's amendments: Amend, and re-refer to Com. on NAT. RES. Read second time and amended.
lower
Mar 3, 2025
Committee
Referred to Com. on NAT. RES.
lower
Feb 11, 2025
Lower · Passed
From printer. May be heard in committee March 13.
lower
1 primary · 1 co-sponsor

Sponsors