Req. No. 1073 Page 1 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
1st Session of the 59th Legislature (2023)
SENATE BILL 205 By: Dahm
AS INTRODUCED
An Act relating to oil and gas; creating the State
Strategic Petroleum Reserve; directing certain funds
to be appropriated for certain purpose; establishing
maximum reserve amount; directing the Corporation
Commission to maintain Reserve; defining term;
establishing conditions to be met for release of oil
from Reserve; providing for codification; and
declaring an emergency .
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 281 of Title 52, unless there is
created a duplication in numbering, reads as follows:
A. 1. Beginning July 1, 2023, and each fiscal year thereafter,
the Legislature is hereby directed to appropriate any surplus funds
that are not constitutionally required to be de posited into the
Constitutional Reserve Fund and are not otherwise encumbered to
establish and maintain a State Strategic Petroleum Reserve. The
Reserve shall contain up to fifteen million barrels of crude oil.
The Corporation Commission sha ll maintain the Reserve and is
Req. No. 1073 Page 2 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
authorized to promulgate rules necessary to effectuate the
provisions of this act.
2. For the purposes of this act, “State Strategic Petroleum
Reserve” means state-owned oil stocks maintained in oil wells within
the boundaries of this state.
B. Oil may be released fr om the Reserve by executive order of
the Governor or by direction of the Legislature if a measure
directing the release is enacted; provided, evidence of one or more
of the following conditions or cir cumstances for release shall be
established:
1. The state or any oil-producing entity operating in the sta te
faces a disruption in supply;
2. An exchange agreement w ith another country, state, political
subdivision, or oil company is entered into;
3. The Governor has declared a state of emergency;
4. Non-emergency sales are deemed necessary to raise revenue or
lessen supply disruptions; and
5. The price of gas has increased by more than twenty -five
percent (25.0%) within a three -month period; provided, oil released
to service stations under this act shall b e used to lower the cost
of gas and diesel to consu mers in this state.
SECTION 2. It being immediately necessary for the preservation
of the public peace, health or safety, an emerge ncy is hereby
Req. No. 1073 Page 3 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
declared to exist, by reason whereof this a ct shall take effect and
be in full force from and after its passage and approval.
59-1-1073 RD 1/9/2023 2:39:55 PM