The California Legislature passed AB 1448, which would prevent existing oil and gas infrastructure on state-controlled tidelands and submerged lands from supporting new federal offshore leases issued after January 1, 2026.
The measure responds to the Trump administration’s efforts to expand offshore oil production. Supporters argue that California must prevent companies holding newly issued federal leases from using pipelines and other infrastructure in state waters to bring additional offshore production to market.
The measure would prohibit the State Lands Commission and local trustees of public-trust lands from approving new leases or other conveyances authorizing construction of infrastructure in state waters to support those federal leases. Existing leases and infrastructure in state waters also could not be used for that purpose.
The restrictions would not prevent repairs or maintenance needed to operate existing infrastructure safely. Pipelines and other facilities could also continue transporting oil and natural gas produced from state waters.
Applications to renew, extend, amend or modify leases for state infrastructure connected to post-2026 federal leases would be subject to additional public review. The commission or local trustee would have to place an application on a public meeting agenda and wait at least 180 days before acting on it.
Before approving an application, officials would have to consider its effects on marine resources and public-trust values; whether it would increase the amount of oil or gas transported through state waters; the infrastructure’s spill history; its connection to unconventional production techniques; and whether the operator has provided adequate financial assurances for spill liability and decommissioning.
An application that would begin, expand, intensify or restart federal offshore production could not be approved at the meeting where it is first presented. The commission or local trustee would also have to accept public comments at the meeting where it votes on the application.
AB 1448 would separately prohibit the State Lands Commission from issuing oil and gas extraction leases within California marine protected areas or national marine sanctuaries.
The bill would also strengthen requirements for transferring state oil and gas leases. The commission would have to consider the proposed operator’s experience, finances, compliance record and ability to protect public resources. The incoming operator would have to post a bond covering at least the estimated cost of decommissioning.
The outgoing operator would generally remain responsible for plugging wells, decommissioning facilities, restoring sites and remediating contamination. The commission could release it from those obligations only after finding that the work had been completed or receiving financial security covering the estimated liability plus 20%.
The Senate approved AB 1448 by a 29–10 vote on August 26, 2026. The Assembly concurred in the Senate amendments by a 46–18 vote on August 27, 2026. The bill now goes to Governor Gavin Newsom.
AB 1448 was originally introduced and passed in the Assembly in 2025 amid Sable Offshore Corp.’s effort to restart production from the Santa Ynez Unit off Santa Barbara County. Although Sable operates under longstanding federal leases that predate the bill’s 2026 cutoff, the legislation’s broader lease-review and financial-assurance provisions could affect Sable and other operators using infrastructure that crosses state waters.