Busted pipeline poured more than 50,000 gallons of crude into Montana's Yellowstone River.
Twenty-one beaches on the Pacific coast of Peru were contaminated.
Gov. Gavin Newsom announced the proposed regulation in a state where 2 million people already live near an oil well.
Investigators believe a 1,200-foot ship dragging anchor in rough seas pulled the pipeline across the seafloor, months before the leak spread to the Southern California coast.
“The oil spill off the coast of Huntington Beach is an environmental disaster," Attorney General Rob Bonta said.
Beaches in Huntington Beach will reopen after water quality tests revealed no detectable levels of oil-associated toxins in the ocean water.
At least 126,000 gallons of crude spilled into the waters off Orange County a week ago.
"We need to grow up, grow out of this dependency, this mindset that we can’t do more," Democrat Gavin Newsom said.
The pipeline’s owner alerted authorities about the oil spill off Huntington Beach Saturday. The first reports of a sheen and foul smell were called in Friday.
The oil created a miles-wide sheen in the ocean and washed ashore in sticky, black globules along with dead birds and fish.