Steve Craig is used to oil companies operating near his ranch in the smooth, rounded hills of southern Monterey County. 
 But Craig draws the line at "fracking."
 A company called Venoco Inc. wants to try hydraulic fracturing in the  Hames Valley near Bradley, using a high-pressure blend of water, sand  and chemicals to crack rocks deep underground and release oil locked in  the stone. 
 The same technique has revolutionized America's natural gas business  in the past five years, boosting production and driving down prices. It  has also been blamed for tainting groundwater near fracked wells, a  charge that drilling companies deny. 
 Anyone living near the Hames Valley has long experience with the oil  industry. The San Ardo oil field - a thicket of pipes, power lines and  pump jacks - sits about 5 miles up Highway 101, a source of petroleum  and jobs since 1947.
 But the possibility of polluted water alarms Craig and others, who  have appealed to the county government to block Venoco. The fact that  California, so far, does not regulate fracking bothers Craig just as  much.
"The agencies have not asked, 'Who's drilling? Which compounds are  being used?' " said Craig, who directs a land-preservation group in  Monterey County. " 'Where does it go? Does it move up through a fault in  the next big earthquake?' No one's asking these questions."
 The fight over fracking has finally come to California.
 Debates over banning or restricting the practice have raged in New  York, Pennsylvania and other states. The U.S. government is studying its  safety, while the oil and gas industry maintains that fracking poses no  threat to the environment or public health.
 Until recently, California remained out of the fray because  environmentalists and politicians believed fracking wasn't happening  here. 
 But it is. 
 Venoco fracked two wells in Santa Barbara County earlier this year,  much to the surprise of local officials. The company received permits  from Monterey County to drill up to nine wells in the Hames Valley, but  Craig and other activists appealed the permits. Farther north, the  company plans to frack 20 wells in the Sacramento Basin this year,  according to one of its financial reports.
 Fracking not tracked in state
Occidental Petroleum Corp., located in Los Angeles, fracked wells in  Kern and Ventura counties this spring. The U.S. Bureau of Land  Management plans to sell oil-development leases next month in Monterey  County, atop a geologic formation that may require fracking to produce  much oil or gas. 
 The small number of individual projects that have come to light in  California suggests that the practice is nowhere near as widespread here  as it is in states such as Pennsylvania and Texas, where fracking has  been used on hundreds of new wells. But no one knows for certain because  no one has kept track.
 The California agency that regulates the oil and gas industry does  not record the number and location of fracked wells, a fact that has  astonished and angered some politicians and environmentalists. Nor does  the agency - the Division of Oil, Gas & Geothermal Resources -  require companies to disclose the chemicals they use in the process.
 That may change. In June, the Assembly passed legislation sponsored  by Assemblyman Bob Wieckowski, D-Fremont, that would force companies to  report the location of each new fracked well as well as the chemicals  used. The state, he said, must do a better job monitoring a practice  that may become common here. 
 "This is a baby step," Wieckowski said. "Most of the time we're  reactive in government. We wait until the hurricane hits, and then we  say, 'Maybe we shouldn't have built homes there.' 
