HLS 14RS-1466 ORIGINAL Page 1 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Regular Session, 2014 HOUSE BILL NO. 957 BY REPRESENTATIVE JOHNSON MINERALS: Provides relative to plugging and abandoning of disposal wells and injection wells and restoration of such well sites AN ACT1 To amend and reenact R.S. 30:4(C)(16)(a), 4.1(B)(1), and 83(B), relative to plugging and2 abandoning of wells; to require the commissioner of conservation to take certain3 actions relative to disposal wells and injection wells; to provide relative to the4 membership of the Oilfield Site Restoration Commission; and to provide for related5 matters.6 Be it enacted by the Legislature of Louisiana:7 Section 1. R.S. 30:4(C)(16)(a), 4.1(B)(1), and 83(B) are hereby amended and8 reenacted to read as follows:9 §4. Jurisdiction, duties, and powers of the assistant secretary; rules and regulations10 * * *11 C. The commissioner has authority to make, after notice and hearings as12 provided in this Chapter, any reasonable rules, regulations, and orders that are13 necessary from time to time in the proper administration and enforcement of this14 Chapter, including rules, regulations, or orders for the following purposes:15 * * *16 (16)(a) To regulate by rules, the drilling, casing, cementing, disposal17 interval, monitoring, plugging and permitting of disposal wells which are used to18 inject waste products in the subsurface and to regulate all surface and storage waste19 facilities incidental to oil and gas exploration and production, in such a manner as20 HLS 14RS-1466 ORIGINAL HB NO. 957 Page 2 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. to prevent the escape of such waste product into a fresh groundwater aquifer or into1 oil or gas strata; may shall require the plugging of each abandoned well or and each2 well which is of no further use and the closure of associated pits, the removal of3 equipment, structures, and trash, and other general site cleanup of such abandoned4 or unused well sites; and may shall require reasonable bond with security for the5 performance of the duty to plug each abandoned well or and each well which is of6 no further use and to perform the site cleanup required by this Subparagraph. Only7 an owner as defined in R.S. 30:3(8) shall be held or deemed responsible for the8 performance of any actions required by the commissioner.9 * * *10 §4.1. Underground injection control11 * * *12 B. The assistant secretary of the office of conservation of the Department of13 Natural Resources, hereafter referred to as the "assistant secretary", shall have14 authority to make, after notice and hearings as provided in this Chapter, any15 reasonable rules, regulations, and orders that are necessary from time to time in the16 proper administration and enforcement of this Section including, but not limited to17 rules, regulations, or orders for the following purposes:18 (1) To regulate, by rules, the drilling, casing, cementing, disposal interval,19 monitoring, plugging, and permitting of disposal wells which are used to inject20 hazardous waste products in the subsurface, and to regulate all surface and storage21 waste facilities incidental to oil and gas exploration and production, in such a manner22 as to prevent the escape of such hazardous waste product into a fresh groundwater23 aquifer or into oil or gas strata; may shall require the plugging of each abandoned24 well or and each well which is of no further use and the closure of associated pits,25 the removal of equipment, structures, and trash, and the general site cleanup of such26 abandoned or unused well sites; and may shall require reasonable bond with security27 for the performance of the duty to plug each abandoned well or and each well which28 is of no further use and to perform the site cleanup required by this Section. Only29 HLS 14RS-1466 ORIGINAL HB NO. 957 Page 3 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. an owner as defined in R.S. 30:3(8) shall be held or deemed responsible for the1 performance of any actions required by the commissioner.2 * * *3 §83. Oilfield Site Restoration Commission; Department of Natural Resources4 * * *5 B. The commission shall consist of ten members comprised as follows:6 (1) The secretary of the Department of Natural Resources, who shall serve7 as the chairman and the assistant secretary, who shall serve as vice chairman. The8 undersecretary of the department may serve as a proxy member of the board in the9 absence of the secretary with full authority to act for the secretary as a member of10 the board.11 (2) One person appointed by the governor, who shall serve at the pleasure12 of the governor.13 (3) One person appointed by the governor from a list of three persons14 submitted by the Louisiana Mid-Continent Oil and Gas Association for an initial15 term of four years. The secretary of the Department of Environmental Quality. The16 undersecretary of the department may serve as a proxy member of the board in the17 absence of the secretary and shall have full authority to act for the secretary when18 serving as a member of the board.19 (4) One person appointed by the governor from a list of three persons20 submitted by the Louisiana Mid-Continent Oil and Gas Association for an initial21 term of two years. The secretary of the Department of Wildlife and Fisheries. The22 undersecretary of the department may serve as a proxy member of the board in the23 absence of the secretary and shall have full authority to act for the secretary when24 serving as a member of the board.25 (5) One person appointed by the governor from a list of three persons26 submitted by the Louisiana Independent Oil and Gas Association who shall serve an27 initial term of four years. One person appointed by the governor from a list of three28 HLS 14RS-1466 ORIGINAL HB NO. 957 Page 4 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. nominations submitted by the Delta Chapter Sierra Club, who shall serve an initial1 term of four years.2 (6) One person appointed by the governor from a list of three persons3 submitted by the Louisiana Independent Oil and Gas Association who shall serve an4 initial term of two years. One person appointed by the governor from a list of three5 nominations submitted by the Louisiana Wildlife Federation, who shall serve an6 initial term of two years.7 (7) One person appointed by the governor from a list of three persons8 nominations submitted by the Louisiana Landowners Association who shall serve an9 initial term of three years.10 (8) One person appointed by the governor from a list of three persons11 nominations submitted by representatives of the Louisiana division of the Sierra12 Club, the Louisiana Wildlife Federation, and the Louisiana division of the Audubon13 Society, the Louisiana Audubon Council who shall serve an initial term of three14 years.15 (9) One person appointed by the governor from a list of three persons16 nominations submitted by the Nature Conservancy for an initial term of three years.17 (10) The assistant secretary for the office of conservation or his designee18 shall serve as vice chairman of the commission. The assistant secretary shall not be19 counted to determine the number needed to constitute a quorum but shall be counted20 to establish a quorum. When the secretary is present, the assistant secretary shall not21 be a voting member. The assistant secretary for the office of conservation may serve22 as a proxy member of the board in the absence of the secretary and he shall have full23 authority to act for the secretary when serving as a member of the board.24 * * *25 HLS 14RS-1466 ORIGINAL HB NO. 957 Page 5 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] Johnson HB No. 957 Abstract: Changes the membership of the Oilfield Site Restoration Commission and requires the commissioner of conservation to do certain things relative to disposal wells and injection wells. Present law provides for the jurisdiction, duties, and powers of the commissioner of conservation. Authorizes the commissioner to regulate disposal wells and injection wells and other items and facilities associated with such wells including requiring the plugging and abandoning of abandoned wells or wells of no further use. Authorizes the commissioner to require reasonable surety bond for such plugging and abandoning. Proposed law requires the commissioner to require the plugging of abandoned wells and wells that are of no further use and require surety bond associated with such activities. Present law creates the Oilfield Site Restoration Commission and charges that commission with the responsibility to approve a priority list for oilfield site restoration efforts by the Dept. of Natural Resources, review such activities, and administer and manage the Oilfield Site Restoration Fund. Provides that the commission be composed of the following: (1)The secretary of the Dept. of Natural Resources, who shall serve as the chairman and the assistant secretary, who shall serve as vice chairman. (2)One person appointed by the governor, serving at the pleasure of the governor. (3)One person appointed by the governor from a list of three persons submitted by the Louisiana Mid-Continent Oil and Gas Association for an initial term of four years. (4)One person appointed by the governor from a list of three persons submitted by the Louisiana Mid-Continent Oil and Gas Association for an initial term of two years. (5)One person appointed by the governor from a list of three persons submitted by the Louisiana Independent Oil and Gas Association who shall serve an initial term of four years. (6)One person appointed by the governor from a list of three persons submitted by the Louisiana Independent Oil and Gas Association who shall serve an initial term of two years. (7)One person appointed by the governor from a list of three persons submitted by the Louisiana Landowners Association who shall serve an initial term of three years. (8)One person appointed by the governor from a list of three persons submitted by representatives of the Louisiana division of the Sierra Club, the Louisiana Wildlife Federation, and the Louisiana division of the Audubon Society, who shall serve an initial term of three years. (9)One person appointed by the governor from a list of three persons submitted by the Nature Conservancy for an initial term of three years. HLS 14RS-1466 ORIGINAL HB NO. 957 Page 6 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. Proposed law alters the membership to be as follows: (1)The secretary of the Dept. of Natural Resources, who shall serve as the chairman. (2)One person appointed by the governor, who shall serve at the pleasure of the governor. (3)The secretary of the Dept. of Environmental Quality. The undersecretary of the department may serve as a proxy member of the board in the absence of the secretary and shall have full authority to act for the secretary when serving as a member of the board. (4)The secretary of the Dept. of Wildlife and Fisheries. The undersecretary of the department may serve as a proxy member of the board in the absence of the secretary and shall have full authority to act for the secretary when serving as a member of the board. (5)One person appointed by the governor from a list of three nominations submitted by the Delta Chapter Sierra Club, who shall serve an initial term of four years. (6)One person appointed by the governor from a list of three nominations submitted by the Louisiana Wildlife Federation, who shall serve an initial term of two years. (7)One person appointed by the governor from a list of three nominations submitted by the Louisiana Landowners Association who shall serve an initial term of three years. (8)One person appointed by the governor from a list of three nominations submitted by the Louisiana Audubon Council who shall serve an initial term of three years. (9)One person appointed by the governor from a list of three nominations submitted by the Nature Conservancy for an initial term of three years. (10)The assistant secretary for the office of conservation or his designee shall serve as vice chairman of the commission. The assistant secretary shall not be counted to determine the number needed to constitute a quorum but shall be counted to establish a quorum. When the secretary is present, the assistant secretary shall not be a voting member. The assistant secretary for the office of conservation may serve as a proxy member of the board in the absence of the secretary and shall have full authority to act for the secretary when serving as a member of the board. (Amends R.S. 30:4(C)(16)(a), 4.1(B)(1), and 83(B))