OK
Oklahoma Senate Bill SB1568

Oklahoma 2024 Regular Session

Oklahoma Senate Bill SB1568 Compare Versions

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3-ENGR. H. A. to ENGR. S. B. NO. 1568 Page 1 1
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29-ENGROSSED HOUSE AMENDME NT
30- TO
31-ENGROSSED SENATE BILL NO . 1568 By: Rader of the Senate
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33- and
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35- Boles of the House
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40-[ Corporation Commission – jurisdiction – injection
41-wells – hearing requirements – rule promulgation –
42-unitization – procedures – certificate of
43-completion – obligations – fines and fees –
44-Revolving Fund – cap – report – codification -
45-effective date ]
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50-AUTHOR: Add the following House Coauthor : Archer
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52-AMENDMENT NO. 1. Page 1, line 11, strike the enacting clause
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54-Passed the House of Representatives the 23rd day of April, 2024.
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60-Presiding Officer of the House of
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64-Passed the Senate the ____ day of _______ ___, 2024.
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70-Presiding Officer of the Senate
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29+HOUSE OF REPRESENTATIVES - FLOOR VERSION
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31+STATE OF OKLAHOMA
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33+2nd Session of the 59th Legislature (2024)
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9735 ENGROSSED SENATE
9836 BILL NO. 1568 By: Rader of the Senate
9937
10038 and
10139
102- Boles of the House
40+ Boles and Archer of the
41+House
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10747 [ Corporation Commission – jurisdiction – injection
10848 wells – hearing requirements – rule promulgation –
10949 unitization – procedures – certificate of completion
11050 – obligations – fines and fees – Revolving Fund – cap
11151 – report – codification - effective date ]
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11757 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLA HOMA:
11858 SECTION 1. AMENDATORY 17 O.S. 2021, Section 52, is
11959 amended to read as follows:
12060 Section 52. A. 1. Except as otherwise provided by this
12161 section, the Corporation Commission is hereby vested with exclusive
12262 jurisdiction, power and authority with reference to:
12363 a. the conservation of oil and gas,
12464 b. field operations for geologic and geophysica l
12565 exploration for oil, gas and brine, including seismic
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12693 survey wells, stratigraphic t est wells and core test
12794 wells,
12895 c. the exploration, dri lling, development, producing or
12996 processing for oil and gas on the lease site,
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15697 d. the exploration, drilling, developm ent, production and
15798 operation of wells used in connection with the
15899 recovery, injection or disposal of mineral brines,
159100 e. reclaiming facilities only for the processing of salt
160101 water, crude oil, natural gas condensate and tank
161102 bottoms or basic sediment from crude oil tanks,
162103 pipelines, pits and equipment associated with the
163104 exploration, drilling, development, producing or
164105 transportation of oil o r gas,
165106 f. injection wells known as Class II wells under the
166107 federal Underground Injection Control Program program,
167108 and any aspect of any CO2 sequestration facility,
168109 including any associated Class VI CO2 injection well,
169110 over which the Commission is given ju risdiction
170111 pursuant to the Oklahoma Carbon Capture and Geologic
171112 Sequestration Act. Any substance that the United
172113 States Environmental Protection Agency allows to be
173114 injected into a Class II well may co ntinue to be so
174115 injected,
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175143 g. tank farms for storage of crude oil and petroleum
176144 products which are located outside the boundaries of
177145 refineries, petrochemical manufacturing plants,
178146 natural gas liquid extraction plants, or other
179147 facilities which are subject to the jurisdiction of
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181-ENGR. S. B. NO. 1568 Page 3 1
148+the Department of Environmental Quality with regard to
149+point source discharges,
150+h. the construction and operation of pipelines and
151+associated rights-of-way, equipment, facilities or
152+buildings used in the transportation of oil, gas,
153+petroleum, petroleum products, anhydrous ammonia or
154+mineral brine, or in the treatment of oil, gas or
155+mineral brine during the course of transportation but
156+not including line pipes in any:
157+(1) natural gas liquids extraction plant,
158+(2) refinery,
159+(3) reclaiming facility other than for those
160+specified within subp aragraph e of this
161+subsection paragraph,
162+(4) mineral brine processing plant, and
163+(5) petrochemical manufacturing plan t,
164+i. the handling, transportation, storage and disposition
165+of saltwater, mineral bri nes, waste oil and other
166+deleterious substances produc ed from or obtained or
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194+used in connection with the drilling, development,
195+producing and operating of oil and gas well s, at:
196+(1) any facility or activity specifically listed in
197+paragraphs 1 this paragraph and paragraph 2 of
198+this subsection as being subject to the
199+jurisdiction of the Commission, and
200+(2) other oil and gas extraction facilities and
201+activities,
202+j. spills of deleterious substances associated with
203+facilities and activities specified in paragraph 1 of
204+this subsection paragraph or associated with ot her oil
205+and gas extraction facilities and activities, and
206+k. subsurface storage of oil, natural gas and liquefied
207+petroleum gas in geologic strata.
208+2. The exclusive jurisdiction, power and authority of the
209+Corporation Commission shall also extend to the c onstruction,
210+operation, maintenance, site remediation, closure and abandonment of
211+the facilities and activities descr ibed in paragraph 1 of this
212+subsection.
213+3. When a deleterious substance from a Commi ssion-regulated
214+facility or activity enters a point so urce discharge of pollutants
215+or storm water from a facility or activity regulated by the
216+Department of Environmental Quality, the Department shall have sole
217+jurisdiction over the point source discharge of the commingled
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245+pollutants and storm water from the two facilities or activities
246+insofar as Department -regulated facilities and activities are
247+concerned.
248+4. For purposes of the Federal federal Clean Water Act, any
249+facility or activity which is subject t o the jurisdiction of the
250+Corporation Commission pursu ant to paragraph 1 of this subsection
251+and any other oil and gas extraction facility or activity which
252+requires a permit for the discharge of a pollutant or storm water to
253+waters of the United States shall be subject to the direct
254+jurisdiction of the United States Environmental Protection Agency
255+and shall not be required to be permitted by the Department of
256+Environmental Quality or the Corporation Commission for such
257+discharge.
258+5. The Corporation Commiss ion shall have jurisdiction over:
259+a. underground storage tanks that contain antifreeze,
260+motor oil, motor fuel, gasoline, kerosene, diesel, or
261+aviation fuel and that are no t located at refineries
262+or at upstream or intermediate shipment points of
263+pipeline operations, including, but not limited to,
264+tanks from which these materials are dispensed into
265+vehicles, or tanks used in wholesale or bulk
266+distribution activities, as well as leaks from pumps,
267+hoses, dispensers, and other ancillary equipment
268+associated with the tanks, whether above the ground or
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296+below; provided that any point source discharge of a
297+pollutant to waters of the United States during site
298+remediation or the off -site disposal of contaminated
299+soil, media, or debris shall be regulated by the
300+Department of Environmental Quality,
301+b. aboveground storage ta nks that contain antifreeze,
302+motor oil, motor fuel, gasoline, kerosene, diesel, or
303+aviation fuel and that are not loc ated at refineries
304+or at upstream or intermediate shipment points of
305+pipeline operations, including, but not limited to,
306+tanks from which these materials are dispensed into
307+vehicles, or tanks used in wholesale or bulk
308+distribution activities, as well as le aks from pumps,
309+hoses, dispensers, and other ancillary equipment
310+associated with the tanks, whether above the ground or
311+below; provided that any point source discharge of a
312+pollutant to waters of the United States during site
313+remediation or the off -site disposal of contaminated
314+soil, media, or debris shall be regulated by the
315+Department of Environmental Quality, and
316+c. the Petroleum Storage T ank Release Environmental
317+Cleanup Indemnity Fund and Program and the Oklahoma
318+Leaking Underground Storage Tank Trust Fund.
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346+6. The Department of Environmental Quality shall have sole
347+jurisdiction to regulate the transportation, discharge or release of
348+deleterious substances or hazardous or solid waste or other
349+pollutants from rolling stock and rail facilities. The Depar tment
350+of Environmental Quality shall not have any jurisdiction with
351+respect to pipeline transportation of carbon dioxide.
352+7. The Department of Environmental Quality shall have sole
353+environmental jurisdiction for point and nonpoint source discharges
354+of pollutants and storm water to waters of the state from:
355+a. refineries, petrochemical manufacturing plants and
356+natural gas liquid extraction pl ants,
357+b. manufacturing of oil and gas related equipment and
358+products,
359+c. bulk terminals, aboveground and underground storage
360+tanks not subject to the jurisdiction of the
361+Commission pursuant to this subs ection, and
362+d. other facilities, activities and source s not subject
363+to the jurisdiction of the Corporation Commission or
364+Oklahoma Department of Agriculture , Food, and Forestry
365+as specified by this section.
366+8. The Department of Environmental Quality shall have sole
367+environmental jurisdiction to regulate air e missions from all
368+facilities and sources subject to operating permit requirements
369+under Title V of the Federal federal Clean Air Act as amended.
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397+B. The Corporation Commission and incorporated cities an d towns
398+shall have exclusive jurisdiction over permit fees for the drilling
399+and operation of oil and gas wells.
400+C. The Corporation Commission shall comply with and enforc e the
401+Oklahoma Water Quality Standards.
402+D. For purposes of immediately responding to emergency
403+situations having potentially critical envi ronmental or public
404+safety impact and resulting from activities within its jurisdiction,
405+the Corporation Commission m ay take whatever action is necessary,
406+without notice and hearing, including without l imitation the
407+issuance or execution of administrative agreements by the Oil and
408+Gas Conservation Division of the Corporation Commission, to promptly
409+respond to the emergen cy.
410+SECTION 2. AMENDATORY 27A O.S. 2021, Section 1 -3-101, as
411+last amended by Section 2, Chapter 164, O.S.L. 2023 (27A O.S. Supp.
412+2023, Section 1-3-101), is amended to read as follows:
413+Section 1-3-101. A. The provisions of this s ection specify the
414+jurisdictional areas of responsibility for each state environmenta l
415+agency and state agencies with limited environmental responsibility.
416+The jurisdictional areas of environmental responsibility specified
417+in this section shall be in addi tion to those otherwise provided by
418+law and assigned to the specific state environmental agency;
419+provided that any rule, interagency agreem ent or executive order
420+enacted or entered into prior to the effective date of this section
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448+July 1, 1993, which conflicts with the assignment of jurisdictional
449+environmental responsibilities specified by this section is hereby
450+superseded. The provisions of this subsection shall not nullify any
451+financial obligation arising from services rendered pursuant to any
452+interagency agreement or executive order entered into prior to July
453+1, 1993, nor nullify any obligations or agreements with private
454+persons or parties entered into with any state environmental agency
455+before July 1, 1993.
456+B. Department of Environmental Quality. The Department of
457+Environmental Quality shall have the following jurisdictional areas
458+of environmental responsibility:
459+1. All point source di scharges of pollutants and storm water to
460+waters of the state which originate from municipal, industrial,
461+commercial, mining, transportation and utilities, construction,
462+trade, real estate and finance, services, public administration,
463+manufacturing and oth er sources, facilities and activities, except
464+as provided in subsections D and E of this section;
465+2. All nonpoint source discharges and pollution except as
466+provided in subsections D, E and F of this se ction;
467+3. Technical lead agency for point source, non point source and
468+storm water pollution control programs funded under Section 106 of
469+the federal Clean Water Act, for areas within the Department ’s
470+jurisdiction as provided in this subsection;
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498+4. Surface water and groundwater quality and protection and
499+water quality certifications;
500+5. Waterworks and wastewater works operator certification;
501+6. Public and private water s upplies;
502+7. Underground injection control pursuant to the federal Safe
503+Drinking Water Act and 40 CFR Parts 144 through 148, except for:
504+a. Class II injection wells,
505+b. Class V injection wells utilized in the remediation of
506+groundwater associated with unde rground or aboveground
507+storage tanks regulated by the Corporation Commission,
508+c. those wells used for the recovery, injection or
509+disposal of mineral brines as defined in the Oklahoma
510+Brine Development Act regulated by the Commission, and
511+d. any aspect of any a Class VI CO2 sequestration
512+facility including any associated Class VI CO2
513+injection well, wells over which the Commission is
514+given jurisdiction pursuant to the Oklahoma Carbon
515+Capture and Geologic Sequestration Act;
516+8. Notwithstanding any other provi sion in this section or other
517+environmental jurisdiction statute, sole and exclusive jurisdiction
518+for air quality under the federal Clean A ir Act and applicable state
519+law, except for indoor air quality and asbestos as regulated for
520+worker safety by the fed eral Occupational Safety and Health Act of
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548+1970 and by Chapter 11 of Title 40 of the Oklahoma Statutes the
549+Oklahoma Asbestos Control Act ;
550+9. Hazardous waste and solid waste including industrial,
551+commercial and municipal waste;
552+10. Superfund responsibilit ies of the state under the
553+Comprehensive Environmental Response, Compensation , and Liability
554+Act of 1980 and amendments thereto, except the planning requirements
555+of Title III of the Superfund Amendment Amendments and
556+Reauthorization Act of 1986;
557+11. Radioactive waste and all regulatory activities for the use
558+of atomic energy and sources o f radiation except for electronic
559+products used for di agnosis by diagnostic X-ray x-ray facilities and
560+electronic products used for bomb detection by public safety bomb
561+squads within law enforcement agencies of this state or within law
562+enforcement agencies of any political subdivision of this state;
563+12. Water, waste, and wastewater treatment systems including,
564+but not limited to, septic tanks or other public or private was te
565+disposal systems;
566+13. Emergency response as specified by law;
567+14. Environmental laboratory services and laboratory
568+certification;
569+15. Hazardous substances other than branding, package and
570+labeling requirements;
571+16. Freshwater wellhead protection;
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599+17. Groundwater protection for activities subject to the
600+jurisdictional areas of environmental responsibility of the
601+Department;
602+18. Utilization and enforcement of Oklahoma Water Quality
603+Standards and implementation documents;
604+19. Environmental regulation of any entity or activity, and the
605+prevention, control and abatement of any pollutio n, not subject to
606+the specific statutory authority of another state environmental
607+agency;
608+20. Development and maintenance of a computerized information
609+system relating to water quality pursuant to Section 1 -4-107 of this
610+title;
611+21. Development and promulgation of Oklahoma Water Quality
612+Standards, their acco mpanying use support assessment protocols,
613+anti-degradation policies generally affecting Oklahoma Water Quality
614+Standards application and implementation including but not limited
615+to mixing zones, low fl ows and variances or any modification or
616+change thereof pursuant to Section 1085.30 of Title 82 of the
617+Oklahoma Statutes, and the Water Quality Standards Implementation
618+Plan pursuant to Section 1 -1-202 of this title for its
619+jurisdictional area of environmental responsibility; and
620+22. Development and utilizat ion of policies and requirements
621+necessary for the implementation of Oklahoma Groundwater Quality
622+Standards to the extent that the implementation of such standards is
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650+within the scope of the Department ’s jurisdiction including but not
651+limited to the establ ishment of points of compliance when warranted.
652+C. Oklahoma Water Resources Board. The Oklahoma Water
653+Resources Board shall have the following jurisdictional areas of
654+environmental responsibility:
655+1. Water quantity including, but not limited to, water r ights,
656+surface water and underground water, planning, and interstate stream
657+compacts;
658+2. Weather modification;
659+3. Dam safety;
660+4. Flood plain management;
661+5. State water/wastewater loans and grants re volving fund and
662+other related financial aid programs;
663+6. Administration of the federal Clean Water State Revolving
664+Fund Program program including, but not limited to, ma king
665+application for and receiving capitalization grant awards,
666+wastewater prioritization for funding, technical project reviews,
667+environmental review process processing, and financial review and
668+administration;
669+7. Water well drillers/pump installers lice nsing;
670+8. Technical lead agency for clean lakes eligible for funding
671+under Section 314 of the federal Clean Water Act Lakes Program or
672+other applicable sections of the federal Clean Water Act or other
673+subsequent state and federal clean lakes programs; adm inistration of
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701+a state program for assessing, monitoring, studying and restoring
702+Oklahoma lakes with administration to include, but not be limited
703+to, receipt and expenditure of funds from federal, state and private
704+sources for clean lakes and implementati on of a volunteer monitoring
705+program to assess and monitor state water resources, pro vided such
706+funds from federal Clean Water Act sources are administered and
707+disbursed by the Office of the Secretary of Environment;
708+9. Groundwater protection for activiti es subject to the
709+jurisdictional areas of environmental responsibility of the Board;
710+10. Development and promulgation of a Water Quality S tandards
711+Implementation Plan pursuant to Section 1 -1-202 of this title for
712+its jurisdictional area of environmental r esponsibility;
713+11. Development of classifications and identification of
714+permitted uses of groundwater, in recognized water rights, and
715+associated groundwater recharge areas;
716+12. Establishment and implementation of a statewide beneficial
717+use monitoring program for waters of the state in coordination with
718+the other state environmental agencies; and
719+13. Coordination with other state environme ntal agencies and
720+other public entities of water resource investigations conducted by
721+the federal United States Geolo gical Survey for water quality and
722+quantity monitoring in the state.
723+D. Oklahoma Department of Agriculture, Food, and Forestry.
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751+1. The Oklahoma Department of Agriculture, Food, and Forestry
752+shall have the following jurisdictional areas of environmental
753+responsibility except as provided in paragraph 2 of this subsection:
754+a. point source discharges and nonpoint source runoff
755+from agricultural crop production, agricultural
756+services, livestock production, silviculture, feed
757+yards, livestock markets and animal waste,
758+b. pesticide control,
759+c. forestry and nurseries,
760+d. fertilizer,
761+e. facilities which store grain, feed, seed, fertilizer
762+and agricultural chemicals,
763+f. dairy waste and wastewater associated with milk
764+production facilities,
765+g. groundwater protection for activities subject to the
766+jurisdictional areas of environmental responsibility
767+of the Department,
768+h. utilization and enforcement of Okl ahoma Water Quality
769+Standards and implementation documents,
770+i. development and promulgation of a Water Quality
771+Standards Implementation Plan pursuant to Section 1 -1-
772+202 of this title for its jurisdictio nal areas of
773+environmental responsibility, and
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801+j. storm water discharges for activities subject to the
802+jurisdictional areas of environmental responsibility
803+of the Department.
804+2. In addition to the jurisdictional areas of environmental
805+responsibility specified in subsection B of this section, the
806+Department of Environmental Quality shall have environmental
807+jurisdiction over:
808+a. (1) commercial manufacturers of fertilizers, g rain
809+and feed products, and chemicals, and over
810+manufacturing of food and kindred pro ducts,
811+tobacco, paper, lumber, wood, textile mill and
812+other agricultural products,
813+(2) slaughterhouses, but not including feedlots at
814+these facilities, and
815+(3) aquaculture and fish hatcheries,
816+including, but not limited to, discharges of
817+pollutants and storm water to waters of the state,
818+surface impoundments and land application of wastes
819+and sludge, and other pollution originating at these
820+facilities, and
821+b. facilities which store grain, feed, seed, fertilizer,
822+and agricultural chemicals that are required by
823+federal NPDES National Pollutant Discharge Eliminat ion
824+System (NPDES) regulations to obtain a permit for
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852+storm water discharges shall only be subject to the
853+jurisdiction of the Department of Environmental
854+Quality with respect to such storm water discharges.
855+E. Corporation Commission.
856+1. The Corporation C ommission is hereby vested with exclusive
857+jurisdiction, power and authority, and it shall be its duty to
858+promulgate and enforce rules, and issue and enforce orders governing
859+and regulating:
860+a. the conservation of oil and gas,
861+b. field operations for geolog ic and geophysical
862+exploration for oil, gas and brine including seismic
863+survey wells, stratigraphic test wells and co re test
864+wells,
865+c. the exploration, drilling, development, producing or
866+processing for oil and gas on the lease site,
867+d. the exploration, drilling, development, production and
868+operation of wells used in connection with the
869+recovery, injection or disposal of mineral brines,
870+e. reclaiming facilities only for the processing of salt
871+water, crude oil, natural gas condensate and tank
872+bottoms or basic sediment from crude oil tanks,
873+pipelines, pits and equipment associated with the
874+exploration, drilling, development , producing or
875+transportation of oil or gas,
876+
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903+f. underground injection control pursuant to the federal
904+Safe Drinking Water Act and 40 CFR Pa rts 144 through
905+148 of:
906+(1) Class II injection wells,
907+(2) Class V injection wells utilized in the
908+remediation of groundwater associated with
909+underground or aboveground storage tanks
910+regulated by the Com mission,
911+(3) those wells used for the recovery, inject ion or
912+disposal of mineral brines as defined in the
913+Oklahoma Brine Development Act, and
914+(4) any aspect of any a Class VI CO2 sequestration
915+facility including any associated Class VI CO2
916+injection well, wells over which the Commission
917+is given jurisdiction pursuant to the Oklahoma
918+Carbon Capture and Geologic Sequestration Act.
919+Any substance that the United States Environm ental
920+Protection Agency allows to be injected into a Class
921+II well may continue to be so injected,
922+g. tank farms for storage of crude oil a nd petroleum
923+products which are located outside the boundaries of
924+refineries, petrochemical manufacturing plants,
925+natural gas liquid extraction plants, or other
926+facilities which are subject to the jurisdiction of
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206954 the Department of Environmental Quality wit h regard to
207955 point source discharges,
208956 h. the construction and operation of pipelines and
209957 associated rights-of-way, equipment, facilities or
210958 buildings used in the transportation of oil, gas,
211959 petroleum, petroleum products, anhydrous ammonia or
212960 mineral brine, or in the treatment of oil, gas or
213961 mineral brine during the course of transportation but
214962 not including line pipes in any:
215963 (1) natural gas liquids extraction plant,
216964 (2) refinery,
217965 (3) reclaiming facility other than for those
218966 specified within subparagraph e o f this
219967 subsection paragraph,
220968 (4) mineral brine processing plant, and
221969 (5) petrochemical manufacturing plant,
222970 i. the handling, transportation, storage and disposition
223971 of saltwater, mineral brines, waste o il and other
224972 deleterious substances produced from or o btained or
225973 used in connection with the drilling, development,
226974 producing and operating of oil and gas wells, at:
227975 (1) any facility or activity specifically listed in
228976 paragraphs 1 this paragraph and paragraph 2 of
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1004+this subsection as being subject to the
1005+jurisdiction of the Commission, and
1006+(2) other oil and gas extraction facilities and
1007+activities,
1008+j. spills of deleterious s ubstances associated with
1009+facilities and activities specified in paragraph 1 of
1010+this subsection paragraph or associated with other oil
1011+and gas extraction facilities and activities,
1012+k. subsurface storage of oil, natural gas and liquefied
1013+petroleum gas in geologic strata,
1014+l. groundwater protection for activities subject to the
1015+jurisdictional areas of environmental responsibility
1016+of the Commission,
1017+m. utilization and enforcement of Oklahoma Water Quality
1018+Standards and implementation documents, and
1019+n. development and promulgation of a Water Quality
1020+Standards Implementation Plan pursuant to Sect ion 1-1-
1021+202 of this title for its jurisdictional areas of
1022+environmental responsibility.
1023+2. The exclusive jurisdiction, power and authority of the
1024+Commission shall also ex tend to the construction, operation,
1025+maintenance, site remediation, closure and abandonment of the
1026+facilities and activities described in p aragraph 1 of this
1027+subsection.
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1055+3. When a deleterious substance from a Commission -regulated
1056+facility or activity ente rs a point source discharge of pollutants
1057+or storm water from a facility or activity regulated by the
1058+Department of Environmental Quality, the Department shall have sole
1059+jurisdiction over the point source discharge of the commingled
1060+pollutants and storm wa ter from the two facilities or activities
1061+insofar as Department -regulated facilities and activities are
1062+concerned.
1063+4. The Commission and t he Department of Environmental Quality
1064+are hereby authorized to obtain authorization from the United States
1065+Environmental Protection Agency to administer, within their
1066+respective jurisdictions, any and all programs regulating oil and
1067+gas discharges into th e waters of this state. For purposes of the
1068+federal Clean Water Act, any facility or activity which is subject
1069+to the jurisdiction of the Commission pursuant to paragraph 1 of
1070+this subsection and any other oil and gas extraction facility or
1071+activity which requires a permit for the discharge of a pollutant or
1072+storm water to waters of the United States shall be subject to the
1073+direct jurisdiction and permitting authority of the Oklahoma agency
1074+having received delegation of this program from the United States
1075+Environmental Protection Agency.
1076+5. The Commission shall have jurisdiction over:
1077+a. underground storage tanks that c ontain antifreeze,
1078+motor oil, motor fuel, gasoline, kerosene, diesel, or
1079+
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1106+aviation fuel and that are not located at refineries
1107+or at the upstream or intermediate shipment points of
1108+pipeline operations including, but not limited to,
1109+tanks from which these ma terials are dispensed into
1110+vehicles, or tanks used in wholesale or bulk
1111+distribution activities, as well as leaks from pumps,
1112+hoses, dispensers, and other ancillary equipment
1113+associated with the tanks, whether above the ground or
1114+below; provided, that any point source discharge of a
1115+pollutant to waters of the United States during site
1116+remediation or the off -site disposal of contaminated
1117+soil, media, or debris shall be regulated by the
1118+Department of Environmental Quality,
1119+b. aboveground storage tanks that co ntain antifreeze,
1120+motor oil, motor fuel, gasoline, kerosene, diesel, or
1121+aviation fuel and that are not located at refineries
1122+or at the upstream or intermediate shipment points of
1123+pipeline operations including, but not limited to,
1124+tanks from which these mat erials are dispensed into
1125+vehicles, or tanks used in wholesale or bulk
1126+distribution activities, as well as leaks from pumps,
1127+hoses, dispensers, and other ancillary equipment
1128+associated with the tanks, whether above the ground or
1129+below; provided, that any p oint source discharge of a
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1157+pollutant to waters of the United States during site
1158+remediation or the off-site disposal of contaminated
1159+soil, media, or debris shall be regulated by the
1160+Department of Environmental Quality, and
1161+c. the Petroleum Storage Tank Rel ease Environmental
1162+Cleanup Indemnity Fund, the Oklahoma Petroleum Storage
1163+Tank Release Indemnity Program, and the Oklahoma
1164+Leaking Underground Storage Tank Trust Fund.
1165+6. The Department of Environmental Quality shall have sole
1166+jurisdiction to regulate the transportation, discharge or release of
1167+deleterious substances or solid or hazardous waste or other
1168+pollutants from rolling stock and rail facilities. The Department
1169+of Environmental Quality shall not have any jurisdiction with
1170+respect to pipeline transp ortation of carbon dioxide.
1171+7. The Department of Environmental Quality shall have sole
1172+environmental jurisdiction for point and nonpoint s ource discharges
1173+of pollutants and storm water to waters of the state from:
1174+a. refineries, petrochemical manufacturin g plants and
1175+natural gas liquid extraction plants,
1176+b. manufacturing of equipment and products related to oil
1177+and gas,
1178+c. bulk terminals, aboveground and underground storage
1179+tanks not subject to the jurisdiction of the
1180+Commission pursuant to this subsection , and
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1208+d. other facilities, activities and sources not subject
1209+to the jurisdiction of the Commission or the Oklahoma
1210+Department of Agricultu re, Food, and Forestry as
1211+specified by this section.
1212+8. The Department of Environmental Quality shall have sole
1213+environmental jurisdiction to regulate air emissions from all
1214+facilities and sources subj ect to operating permit requirements
1215+under Title V of the federal Clean Air Act as amended.
1216+F. Oklahoma Conservation Commission. The Oklahoma Conservation
1217+Commission shall have the following jurisdictional areas of
1218+environmental responsibility:
1219+1. Soil conservation, erosion control and nonpoint source
1220+management except as otherwise provided by law;
1221+2. Monitoring, evaluation and assessment of waters to determine
1222+the condition of streams and rivers being impacted by nonpoint
1223+source pollution. In carrying out this area of responsibility, the
1224+Oklahoma Conservation Commission shall serve as the technical lead
1225+agency for nonpoint source categories as defined in Section 319 of
1226+the federal Clean Water Act or other subsequent federal or state
1227+nonpoint source programs, except for activities related to
1228+industrial and municipal storm water or as otherwise provided by
1229+state law;
1230+3. Wetlands strategy;
1231+4. Abandoned mine reclamation;
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1259+5. Cost-share program for land use activities;
1260+6. Assessment and conservation plan development and
1261+implementation in watersheds of clean lakes, as specified by law;
1262+7. Complaint data management;
1263+8. Coordination of environmental and natural resources
1264+education;
1265+9. Federal upstream flood control program;
1266+10. Groundwater protection for activities subject to the
1267+jurisdictional areas of envi ronmental responsibility of the
1268+Commission;
1269+11. Development and promulgation of a Water Quality Standards
1270+Implementation Plan pursuant to Section 1 -1-202 of this title for
1271+its jurisdictional areas of e nvironmental responsibility;
1272+12. Utilization of Oklah oma Water Quality Standards and
1273+Implementation implementation documents; and
1274+13. Verification and certification of c arbon sequestration
1275+pursuant to the Oklahoma Carbon Sequestration Enhancement Act. This
1276+responsibility shall not be superseded by the Okla homa Carbon
1277+Capture and Geologic Sequestration Act.
1278+G. Department of Mines. The Department of Mines shall have the
1279+following jurisdictional areas of environmental responsibility:
1280+1. Mining regulation ;
1281+2. Mining reclamation of active mines;
1282+
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1309+3. Groundwater protection for activities subject to the
1310+jurisdictional areas of environmental responsibility of the
1311+Commission; and
1312+4. Development and promulgation of a Water Quality Standards
1313+Implementation Plan pursuant to Section 1 -1-202 of this title for
1314+its jurisdictional areas of responsibility.
1315+H. Department of Wildlife Conservation. The Department of
1316+Wildlife Conservatio n shall have the following jurisdictional areas
1317+of environmental responsibilities:
1318+1. Investigating wildlife kills;
1319+2. Wildlife protectio n and seeking wildlife damage claims; and
1320+3. Development and promulgation of a Water Quality Standards
1321+Implementation Plan pursuant to Section 1 -1-202 of this title for
1322+its jurisdictional areas of environmental responsibility.
1323+I. Department of Public Saf ety. The Department of Public
1324+Safety shall have the following jurisdictional areas of
1325+environmental responsibilities :
1326+1. Hazardous waste, substances and material transportation
1327+inspections as authoriz ed by the Oklahoma Motor Carrier Safety and
1328+Hazardous Materials Transportation Act; and
1329+2. Inspection and audit activities of hazardous waste and
1330+materials carriers and h andlers as authorized by the Oklahoma Motor
1331+Carrier Safety and Hazardous Materials Transportation Act.
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1359+J. Department of Labor. The Depart ment of Labor shall have the
1360+following jurisdictional areas of environmental responsibility:
1361+1. Regulation of asbest os in the workplace pursuant to Chapter
1362+11 of Title 40 of the Oklahoma Statutes the Oklahoma Asbestos
1363+Control Act;
1364+2. Asbestos monitoring in public and private buildings; and
1365+3. Indoor air quality as regulated under the authority of the
1366+Oklahoma Occupational Health and Safety Standards Act, except for
1367+those indoor air quality issues specifically authorized to be
1368+regulated by another agency.
1369+Such programs shall be a function of the Department ’s
1370+occupational safety and health jurisdiction.
1371+K. Oklahoma Department of Emergency Management. The Oklahoma
1372+Department of Emergency Management shal l have the following
1373+jurisdictional areas of environme ntal responsibilities:
1374+1. Coordination of all emergency resources and activities
1375+relating to threats to citizens ’ lives and property pursuant to the
1376+Oklahoma Emergency Resources Management Act of 1967;
1377+2. Administer and enforce the planning requirements of Title
1378+III of the Superfund Amendments and Reauthorization Act of 1986 and
1379+develop such other emergency operations plans that will enable the
1380+state to prepare for, respond to, recover from and mitigat e
1381+potential environmental emergencies and disasters pu rsuant to the
1382+Oklahoma Hazardous Materials Planning and Notification Act;
1383+
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1410+3. Administer and conduct periodic exercis es of emergency
1411+operations plans provided for in this subsection pursuant to the
1412+Oklahoma Emergency Resources Management Act of 1967;
1413+4. Administer and facilitate hazardous materials training for
1414+state and local emergency planners and first responders pur suant to
1415+the Oklahoma Emergency Resources Management Act of 1967; and
1416+5. Maintain a computerized emergency information system
1417+allowing state and local access to information regarding hazardous
1418+materials’ location, quantity and potential threat.
1419+SECTION 3. AMENDATORY 27A O.S. 2021, Section 3 -5-102, is
1420+amended to read as follows:
1421+Section 3-5-102. As used in the Oklah oma Carbon Capture and
1422+Geologic Sequestration Act:
1423+1. “Agency” means the Corporation Commission or the Department
1424+of Environmental Quality, as the case may be and as described in
1425+Section 3-5-103 of this title;
1426+2. “Anthropogenic carbon dioxide ” or “man-made carbon dioxide”
1427+means the carbon dioxide compound manufactured, mechanically formed
1428+or otherwise caused to occur, as a result of either:
1429+a. a chemical process performed by or involving efforts
1430+of a person, or
1431+b. separation of carbon dioxide from natural gas.
1432+The term shall not include carbon dioxide that is naturally present
1433+in underground locations;
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1461+3. 2. “Approved reservoir” means a reservoir that is determined
1462+by the Agency with jurisdiction Corporation Commission to be
1463+suitable for the receipt, stor age and/or sequestration of injected
1464+carbon dioxide therein;
1465+4. 3. “Carbon dioxide” or “CO2” means an inorganic compound
1466+containing one carbon atom and two oxygen atoms, and exists as a gas
1467+at standard temperature and pressure. Carbon dioxide is an inert ,
1468+stable, colorless, odorless, nontoxic, incombustible, inorganic gas
1469+that is dissolvable in water and is naturally p resent, such as in
1470+underground locations and in the atmosphere as a trace gas;
1471+5. 4. “Carbon sequestration ” means long-term or short-term
1472+underground storage or sequestration of anthropogenic carbon dioxide
1473+in one or more reservoirs;
1474+6. 5. “CO2 injection well” means an artificial excavation or
1475+opening in the ground made by digging, boring, drilling, jetting,
1476+driving, or another method and i s used to inject or transmit
1477+anthropogenic carbon dioxide into one or more reservoirs;
1478+7. 6. “CO2 capture and compression equipment” means the
1479+equipment, separation units, processing units, processing plants,
1480+pipe, buildings, pumps, compressors, meters, f acilities, motors,
1481+fixtures, materials, and machinery, and all other improvements used
1482+in the operation of any of the m, and property, real or personal,
1483+intangible or tangible, either attributable to or relating to, or
1484+located thereon, used for the purpose of:
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1512+a. capturing carbon dioxide from a source that produces
1513+anthropogenic carbon dioxide, and/or
1514+b. compressing or otherwise increasing the pressure of
1515+anthropogenic carbon dioxide;
1516+8. 7. “CO2 pipeline” means any pipeline, compressors, pumps,
1517+meters, facilities, valves, fittings, right -of-way markers, cathodic
1518+protection ground beds, anodes, rectifiers, and any other ca thodic
1519+protection devices, and other associated equipment, appurtenances
1520+and fixtures located on, attributable to or used in connection wit h
1521+the same, and used for the purpose of transporting carbon dioxide
1522+for carbon sequestration in this state or another state, excluding:
1523+a. CO2 capture and compression equipment at the source of
1524+the carbon dioxide, and
1525+b. pipelines that are part of a CO 2 sequestration
1526+facility;
1527+9. 8. “CO2 sequestration facility ” means the approved
1528+reservoir(s), and all associated undergr ound equipment and
1529+pipelines, all associated surface buildings and equipment, and all
1530+associated CO2 injection wells, utilized for carbon s equestration in
1531+a defined geographic boundary established by the Agency Commission,
1532+excluding any:
1533+a. CO2 capture and compression equipment at the source of
1534+the carbon dioxide, and
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1562+b. CO2 pipeline transporting carbon dioxide to the
1563+facility from a source l ocated outside the geographic
1564+boundaries of the surface of the facility;
1565+10. 9. “CO2 trunkline” means a CO2 pipeline that both exceeds
1566+seventy-five (75) miles in distance and has a minimum pipe outside
1567+diameter of at least twelve (12) inches;
1568+11. 10. “Commission” means the Corporation Commission as
1569+established by Section 15 of Article 9 IX of the Oklahoma
1570+Constitution;
1571+12. 11. “Common source of supply ” shall have the same meaning
1572+as in Section 86.1 of Title 52 of the Oklahoma Statutes;
1573+13. 12. “Department” means the Department of Environmental
1574+Quality as established by Section 2 -3-101 et seq. of this title;
1575+14. 13. “Enhanced oil or gas recovery ” means the increased
1576+recovery of hydrocarbons, including oil and gas, from a common
1577+source of supply achieved by artificial means or by the application
1578+of energy extrinsic to the common source of supply, such as
1579+pressuring, cycling, pressure maintenance or injection of a
1580+substance or form of energy, such as inj ection of water and/or
1581+carbon dioxide, including immis cible and miscible floods; provided
1582+that enhanced oil or gas recovery shall not include injection of a
1583+substance or form of energy for the sole purpose of either:
1584+a. aiding in the lifting of fluids in the well, or
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1612+b. stimulation of the reservoir at or near the well by
1613+mechanical, chemical, thermal or explosive means;
1614+15. 14. “Facility operator” means any person authorized by the
1615+Agency Commission to operate a CO 2 sequestration facility;
1616+16. 15. “Facility owner” means the person who owns the CO 2
1617+sequestration facility;
1618+17. 16. “Gas” shall have the same meaning as in Section 86.1 of
1619+Title 52 of the Oklahoma Statutes;
1620+18. 17. “Governmental entity” means any department, commission,
1621+authority, council, board, bureau, committee, legislative body,
1622+agency, beneficial public trust, or other establishment of the
1623+executive, legislative or judicial branch of the United States, the
1624+State of Oklahoma, any other state in the United States, the
1625+District of Columbia, t he Territories of the United States, and any
1626+similar entity of any foreign country;
1627+19. 18. “Oil” shall have the same meaning as in Section 86.1 of
1628+Title 52 of the Oklaho ma Statutes;
1629+20. 19. “Person” means any individual, proprietorship,
1630+association, firm, corporation, company, partnership, limited
1631+partnership, limited liability company, j oint venture, joint stock
1632+company, syndicate, trust, organization, committee, club,
1633+governmental entity, or other type of legal entity, or any group or
1634+combination thereof either acting in concert or as a unit;
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1636+SB1568 HFLR Page 33
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1662+21. 20. “Private operator” means any person that is either a
1663+facility operator or an operator of a CO 2 pipeline, but that is
1664+neither a public utility nor a common carrier as such terms are
1665+defined by the Oklahoma Statutes; and
1666+22. 21. “Reservoir” means any portion of a separate and
1667+distinct geologic or subsurface sedimentary stratum, formation,
1668+aquifer, cavity or void, whether nat urally occurring or artificially
1669+created, including an oil or gas formation, saline f ormation, or
1670+coal seam.
1671+SECTION 4. AMENDATORY 27A O.S. 2021, Section 3 -5-103, is
1672+amended to read as follows:
1673+Section 3-5-103. A. The Corporation Commission shall be the
1674+“Agency” for, and shall have exclusive jurisdiction over Class VI CO2
1675+sequestration facilities involving, and inj ection of Class VI CO2 for
1676+carbon sequestration into, oil reservoirs, gas reservoirs, coal -bed
1677+methane reservoirs, an d mineral brine reservoirs. The Commission
1678+shall have such jurisdiction regardless o f whether such CO 2
1679+sequestration facility or other inj ection of carbon dioxide involves
1680+enhanced oil or gas recovery.
1681+B. The Department of Environmental Quality shall be the
1682+“Agency” for, and shall have exclusive jurisdiction over CO 2
1683+sequestration facilities involving, and injection of CO 2 for carbon
1684+sequestration into all reservoirs other than those described in
1685+subsection A of this section, which shall include, but not be
1686+
1687+SB1568 HFLR Page 34
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1713+limited to, deep saline formations, unmineable coal seams where
1714+methane is not produced, basalt reservoirs, salt domes, and non -
1715+mineral bearing shales.
1716+SECTION 5. AMENDATORY 27A O.S. 2021, Section 3 -5-104, as
1717+amended by Section 1, Chapter 353, O.S.L. 2023 (27A O.S. Supp. 2023,
1718+Section 3-5-104), is amended to read as follows:
1719+Section 3-5-104. A. The Corporation C ommission and the
1720+Department of Environmental Quality shall execute a Memorandum of
1721+Understanding to address areas in which the implementation of the
1722+Oklahoma Carbon Capture and Geologic Sequestration A ct will require
1723+interagency cooperation or interaction , including procedures for
1724+directing applicants through the application process .
1725+B. The operator of a CO2 sequestrat ion facility shall obtain a
1726+permit pursuant to the Oklahoma Carbon Capture and Geologic
1727+Sequestration Act from the Agency having jurisdicti on Commission
1728+prior to the operation of a CO2 sequestration facility, after the
1729+Operator provides notice of the appli cation for such permit pursuant
1730+to subsection D of this section, and the Agency Commission has a
1731+hearing thereon upon request; provided tha t no permit pursuant to
1732+the Oklahoma Carbon Capture and Geologic Sequestration Act is
1733+required if the facility operat or obtains permission, by permit or
1734+order, by the Agency Commission pursuant to the rules and
1735+regulations of the state ’s federally approved Underground Injection
1736+Control Program program and such permission authorizes carbon
1737+
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1764+sequestration or injection of ca rbon dioxide underground and
1765+incorporates any additional requirements adopted pursuan t to
1766+subsection C of this section.
1767+C. To the extent not already authorized by laws governing the
1768+state’s federally approved Underground Injection Control Program
1769+program, the Agency having jurisdiction Commission may issue and
1770+enforce such orders, and may adopt, modify, repeal and enforce such
1771+emergency or permanent rules, including establishment of appropriate
1772+and sufficient fees to cover the cost of the program, financia l
1773+sureties or bonds, and monitoring at CO2 sequestration facilities,
1774+as may be necessary, for the purpose of regulating the drilling of
1775+CO2 injection wells related to a CO2 sequestration facility, the
1776+injection and withdrawal of carbon dioxide, the operati on of the CO2
1777+sequestration facility, CO2 injection well plugging and abandonment,
1778+removal of surface buildings and equipment of the CO2 se questration
1779+facility and for any other purpose necessary to implement the
1780+provisions of the Oklahoma Carbon Capture a nd Geologic Sequestration
1781+Act.
1782+D. The applicant for any permit to be issued pursuant to the
1783+Oklahoma Carbon Capture and Geologic Sequestra tion Act shall give
1784+all surface owners and mineral owners, including working interest
1785+and royalty owners, of the land to be encompassed within the defined
1786+geographic boundary of the CO2 sequestration facility as established
1787+by the Agency Commission, and whose addresses are known or could be
1788+
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1815+known through the exercise of due diligence, at least fifteen (15)
1816+thirty (30) days’ notice of the hearing by mail, return receipt
1817+requested. The applicant shall als o give notice by one publication
1818+two publications, with one publishing at least fifteen (15) thirty
1819+(30) days prior to the hearing and again at least fifteen (15) days
1820+prior to the hearing, in some newspaper of general circulation
1821+published in Oklahoma County, and by one publication two
1822+publications, with one publishing at least fifteen (15) thirty (30)
1823+days prior to the date of the hearing and again at least fifteen
1824+(15) days prior to the hearing , in some newspaper published in the
1825+county, or in each count y, if there be is more than one, in which
1826+the defined geographic boundary of the CO2 sequestration facility,
1827+as established by the Agency Commission, is situated. The app licant
1828+shall file proof of publication and an affidavit of mailing with the
1829+Agency Commission prior to the hearing.
1830+E. In addition to all other powers and duties prescribed in the
1831+Oklahoma Carbon Capture and Geologic Sequestration Act or otherwise
1832+by law, and unless otherwise specifically set forth in the Oklahoma
1833+Carbon Capture and Geolo gic Sequestration Act, the Agency having
1834+jurisdiction Commission shall have the authority to perform any and
1835+all acts necessary to carry out the purposes and requirements of the
1836+federal Safe Drinking Water Act, as amended, relating to this
1837+state’s participation in the federal Underground Injection Control
1838+
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1865+Program program established under that act with respect to the
1866+storage and/or sequestration of carbon dioxide.
1867+F. The Corporation Commission and Department of Environmental
1868+Quality, which are required to comply with the federal Safe Drinking
1869+Water Act, 42 U.S.C. 300f et seq., as amended, shall evaluate the
1870+regulatory and statutory framework that governs the agency and
1871+identify and report any areas in which modifications may be needed
1872+to the Secretary of Energy and Environment to provide for the
1873+development of underground injection control Class VI wells. The
1874+agencies reporting under this subsection shall consult the Secret ary
1875+and work in conjunction with the Office of the Secretary of Energy
1876+and Environment to ensure timely analysis. Identified areas and
1877+recommended modifications to the regulatory and statutory framework
1878+of the agency shall be submitted in a report to the Governor,
1879+Secretary of Energy and Environment, President Pro Tempore of the
1880+Senate, and the Speaker of the House of Representatives not lat er
1881+than August 1, 2023.
1882+SECTION 6. AMENDATORY 27A O.S. 2021, Section 3 -5-105, is
1883+amended to read as follows:
1884+Section 3-5-105. A. Unless otherwise expressly provided by a
1885+contract, bill of sale, deed, mortgage, deed of trust, or other
1886+legally binding document or by other law, carbon dioxide injected
1887+into a CO2 sequestration facility is consider ed to be the personal
1888+property of the facility owner.
1889+
1890+SB1568 HFLR Page 38
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1916+B. Absent a final judgment of willful abandonment rendered by a
1917+court of competent j urisdiction, or a regulatory determination of
1918+willful abandonment, carbon dioxide injected into a CO 2 sequestration
1919+facility is not considered to be the property of the owner of the
1920+surface or mineral e state in the land encompassing the geographic
1921+boundary of the CO2 sequestration facility, or any person claiming
1922+under the owner of the surface or mineral estate.
1923+C. The facility operator, with permission of the facility
1924+owner, may produce, take, extract or reduce to possession any carbon
1925+dioxide injected, stored or sequestered in a CO 2 sequestration
1926+facility. In the event an operator informs the Commission that it
1927+intends to conduct enhanced oil or gas recovery operations on a
1928+compulsory unit formed purs uant to Section 287.1 et seq. of Title 52
1929+of the Oklahoma statutes Statutes, or its predecessor unitization
1930+act, then during the time that such unit is in operation, such
1931+operator shall be relieved of any obligation to either:
1932+1. Plug and abandon any injection or production well within
1933+such unit that is inte nded to be used in such enhanced oil or gas
1934+recovery operations, unless required by the Corporation Commission
1935+pursuant to Section 53 of Title 17 of the Oklahoma Statutes; or
1936+2. Remove any surface equi pment that is associated with any
1937+such well and intend ed to be used in such enhanced oil or gas
1938+recovery operations, or both.
1939+
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1966+D. The Agency having jurisdiction over the i njection of carbon
1967+dioxide under this act Commission shall also have jurisdiction over
1968+a facility operator that produces, takes, extracts o r reduces to
1969+possession any injected, stored or sequestered carbon dioxide in a
1970+CO2 sequestration facility.
1971+SECTION 7. AMENDATORY 27A O.S. 2021, Section 3 -5-106, is
1972+amended to read as follows:
1973+Section 3-5-106. A. Nothing in this act the Oklahoma Carbon
1974+Capture and Geologic Sequestration Act shall supersede the
1975+provisions of the Oklahoma Carbon Sequestration Enhancement Act,
1976+Section 3-4-101 et seq. of Title 27A of the Oklahoma Statutes this
1977+title.
1978+B. Nothing in this act the Oklahoma Carbon Capture and Geologic
1979+Sequestration Act shall alter the incidents of ownership, or other
1980+rights, of the owners of the mineral estate or adversely affect
1981+enhanced oil or gas recovery efforts in the state.
1982+C. Any right granted to a facility operat or pursuant to this
1983+act the Oklahoma Carbon Capture and Geologic Sequestration Act shall
1984+be without prejudice to the rights of any surface owner or mineral
1985+owner, including working interest and royalty owner owners, of the
1986+land encompassed within the defin ed geographic boundary of the CO 2
1987+sequestration facility, as established by the Agency Corporation
1988+Commission, to drill or bore through the approved reservoir in a
1989+manner as shall comply with orders, ru les and regulations issued for
1990+
1991+SB1568 HFLR Page 40
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2017+the purpose of protecti ng the approved reservoir against the escape
2018+of CO2. For purposes of this subsection, the Agency with
2019+jurisdiction under other state law for regulating the well being
2020+drilled or bored through the approved reservoir is the Agency having
2021+jurisdiction to adopt orders and rules for such well in order to
2022+protect the CO 2 sequestration facility, regardless of which Agency
2023+has jurisdiction to permit the CO 2 sequestration facility pursuant to
2024+Section 3 of this act. If the Agency with jurisdiction under other
2025+state law for regulating the well being drilled or bored through the
2026+approved reservoir is not the Agency that has jurisdi ction to permit
2027+the CO2 sequestration facility pursuant to Section 3 of this act,
2028+then the former shall promptly notify the latter in writi ng of the
2029+receipt of an application for the drilling or boring of such a well
2030+and shall consider all timely submitted comments of the latter in
2031+approving, denying, or setting conditions for the well bei ng drilled
2032+or bored. The additional cost of complying with such orders, rules
2033+or regulations in order to protect the CO 2 sequestration facility
2034+shall be borne by the faci lity operator.
2035+D. Nothing in this act the Oklahoma Carbon Capture and Geologic
2036+Sequestration Act shall grant a private operator the right of
2037+condemnation or eminent domain for any purpose.
2038+SECTION 8. NEW LAW A new section of law to be codified
2039+in the Oklahoma Statutes as Section 3 -5-107 of Title 27A, unless
2040+there is created a duplication in numbering, reads as follows :
2041+
2042+SB1568 HFLR Page 41
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2068+A. Subject to the limitations of this section, the Corporation
2069+Commission shall have jurisdiction to effectuate an d enforce the
2070+provisions of this section. The Commission shall promulgate rules
2071+pursuant to the requirements of this section.
2072+B. The provisions of this section shall apply only to the
2073+permanent sequestration of carbon dioxide in a geologic storage
2074+facility.
2075+C. 1. A party desiring to unitize pore space for the purpose
2076+of geologic sequestration of carbon dioxide shall file with the
2077+Corporation Commission an application setting forth a description of
2078+the proposed unit area. The application shall include:
2079+a. a map or plat attachment of the proposed unit area,
2080+b. the name and address of each surface owner and mineral
2081+owner, including working i nterest and royalty owners,
2082+of the land to be encompassed within the defined
2083+geographic boundary of the proposed carb on
2084+sequestration facility,
2085+c. the name and address of each surface owner and mineral
2086+owner, including working interest and royalty owners,
2087+of the land immediately adjacent to the geographic
2088+boundary of the proposed carbon sequestration
2089+facility, and
2090+d. a recommended plan of unitization applicable to the
2091+proposed unit area.
2092+
2093+SB1568 HFLR Page 42
2094+BOLD FACE denotes Committee Amendments. 1
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2119+2. Each person named within the application as prescribed
2120+pursuant to paragraph 1 of this subsection shall be a respondent to
2121+the application.
2122+D. 1. Notice of filing for the creation o f a unit for carbon
2123+sequestration shall be mailed to each respondent to the applicati on
2124+whose address is known, or whose address can be fou nd with
2125+reasonable diligence, not less than thirty (30) days prior to the
2126+date set for hearing.
2127+2. Notice of filing and the date of hearing shall be published
2128+once a week for four consecutive weeks beginning thirty (30) days
2129+prior to the date of the hearing by publication in some newspaper of
2130+general circulation printed in Oklahoma County, and by publication
2131+in some newspaper of general circulation in each county in which the
2132+lands embraced within the application are situated. The Commission
2133+may require additional notice to be given through promulgated rule.
2134+SECTION 9. NEW LAW A new section of la w to be codified
2135+in the Oklahoma Statutes as Section 3 -5-108 of Title 27A, unless
2136+there is created a duplication in numbering, reads as fol lows:
2137+A. A unitization order shall be issued i f the Corporation
2138+Commission finds that:
2139+1. The application meets all statutory and regulatory
2140+requirements for issuance;
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2142+SB1568 HFLR Page 43
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2168+2. The geologic storage facilit y into which the carbon dioxide
2169+is to be injected is s uitable or capable of being made suitable for
2170+storing the carbon dioxide;
2171+3. Both surface water and groundwater can be adequately
2172+protected;
2173+4. The injection and geologic storage o f carbon dioxide will
2174+not injure oil, gas, or any other mineral formation in any material
2175+respect, or such injury has been addressed in an arrangement between
2176+the applicant and the mineral le ssee or owner. Provided, however,
2177+such arrangement shall be in written form and subm itted to the
2178+Commission prior to approval of the unit;
2179+5. The applicant has obtained the consent of the owners
2180+representing no less than sixty-three percent (63%) of the ownership
2181+of the pore space, based on the surface acreage of the proposed
2182+geologic storage facility. Provided, such consent shall be in
2183+written form and submitted to the Commission prior to approval of
2184+the unit;
2185+6. The applicant has made a fair and reaso nable offer to
2186+unitize the nonconsenting pore space owners ’ interests; and
2187+7. All pore space owners who did not consent to unitize their
2188+interests in order to develop the pore space as a proposed geologic
2189+storage facility but who are or will be subject to a unitization
2190+order are or will be equitably compensated for the appurtenant and
2191+reasonable use of the pore space and surface.
2192+
2193+SB1568 HFLR Page 44
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2219+B. To amend a unitization order for the purpose of changing the
2220+size of a geologic storage facility, the storage operator shall
2221+demonstrate to the Commission that the operator has obtained the
2222+consent of the owners representing no less than sixty-three percent
2223+(63%) of the ownership of the pore space based on the surface
2224+acreage of the proposed geologic storage facility as describ ed in
2225+the proposed amended order.
2226+C. An unknown or unlocatable pore space owner is considered to
2227+have consented to unitize the owner ’s interest, provided that the
2228+proposed storage operator complied with the notice requirements
2229+described in Section 8 of th is act. An unknown or unlocatable pore
2230+space owner is eligible for compensation unde r paragraph 8 of
2231+subsection A of this section.
2232+D. An offer made to unitize the nonconsenting pore space
2233+owners’ interest shall be considered fair and reasonable under
2234+paragraph 7 of subsection A of this section if it is made in a
2235+similar manner as the offer made to the other owners of pore space
2236+in the proposed unit, taking into account any material differences
2237+in circumstances.
2238+E. A final unitization order entered by the Commission under
2239+this section, unless modified or overturned by a final order from a
2240+court, shall be considered final and conclusive as to all facts,
2241+findings, and conclusions contained in the order for all purposes
2242+
2243+SB1568 HFLR Page 45
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2269+and as to all parties notified and thei r heirs, successors, and
2270+assigns.
2271+SECTION 10. NEW LAW A new section of law to be codified
2272+in the Oklahoma Statutes a s Section 3-5-109 of Title 27A, unless
2273+there is created a duplication in numbering, reads as follows:
2274+A. 1. Not later than fifty (50) years after cessation of
2275+injection into a geologic storage facilit y for carbon dioxide, or
2276+following the end of any othe r time frame established on a site -
2277+specific basis by application to the Corporation Commission, the
2278+Commission shall issue a certificate of completion of injection
2279+operations, upon a showing by the current storage operator of all of
2280+the following:
2281+a. the reservoir is reasonably expected to retain
2282+mechanical integrity,
2283+b. the carbon dioxide will reasonably remain emplaced ,
2284+c. the storage facility does not pose an endangerment to
2285+underground sources of dri nking water, or to public
2286+health or public safety,
2287+d. the current storage facility operator has complied
2288+with all applicable regulations related to post -
2289+injection monitoring and the issuance of the
2290+certificate of completion of injection operations, and
2291+
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2318+e. the storage facility has been closed in accordance
2319+with all applicable requirements related to site
2320+closure.
2321+2. Upon issuance of a certificate of completion of injection
2322+operations, ownership of the remaining project including the stored
2323+carbon dioxide shall transfer to the state.
2324+3. Upon issuance of a cert ificate of completion of injection
2325+operations, the storage facility operator, all owners of carbon
2326+dioxide stored in the facility, and all owners otherwise having any
2327+interest in the storage facility, shall be released from any and all
2328+future duties or obl igations relating to the facility and any and
2329+all liability associated with or related to that facility which
2330+arises after the issuance of the certificate of completion of
2331+injection operations.
2332+B. The release from duties or obligations under paragraph 3 o f
2333+subsection A of this section shall not apply to:
2334+1. A current or former owner or operator of a storage facility
2335+when such duties or obligations arise from that owner or operator ’s
2336+noncompliance with applicable underground injection control laws and
2337+regulations prior to issuance of the certificate ; or
2338+2. Any owner or operator of a storage facility if it is
2339+demonstrated that such owner or operator intentionally and knowingly
2340+concealed or misrepresented material facts related to the mechanical
2341+
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2343+BOLD FACE denotes Committee Amendments. 1
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2368+integrity of the storage facility or the chemical composition of any
2369+injected carbon dioxide.
2370+C. Continued monitoring of the sit e, including remediation of
2371+any well leakage, shall become the principal responsibility of the
2372+Commission.
2373+D. The Commission may levy fees for the purpose of implementing
2374+the provisions of this act in a form and schedule to be determined
2375+by the Oil and Gas Conservation Division of the Commission for each
2376+ton of carbon dioxide injected int o a storage facility. At the end
2377+of each fiscal year, the Commission may redetermine the fees
2378+collected based upon the estimated cost of administering and
2379+enforcing the provisions of this act for the upcoming year divided
2380+by the tonnage of carbon dioxide expected to be injected during the
2381+upcoming year. The total fee assessed shall be sufficient to assure
2382+a balance in the Class VI Carbon Sequestration Storage Facility
2383+Revolving Fund not to exceed Five Million Dollars ($5,000,000.00)
2384+for any active storage facility within the state at the beginning of
2385+each fiscal year. Any amount received by the Commission that
2386+exceeds the annual balance required under this subsection shal l be
2387+deposited into the fund, but appropriate credits shall be given
2388+against future fees for the storage facility. The Commission shall
2389+promulgate rules regarding the form and manner for fee amount and
2390+payment method.
2391+
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2417+
2418+SECTION 11. NEW LAW A new section of law to be codified
2419+in the Oklahoma Statutes as Section 3 -5-110 of Title 27A, unless
2420+there is created a duplication i n numbering, reads as follows:
2421+A. There is hereby created in the State Treasury a revolving
2422+fund for the Corporation Commission to be designated the “Class VI
2423+Carbon Sequestration Storage Facility Revolving Fund ”. The fund
2424+shall be a continuing fund, not subject to fiscal year limitations,
2425+and shall consist of all monies received by the Commission from
2426+fines and fees paid to the Commission pursuant to Sections 9 through
2427+11 of this act. All monies accr uing to the credit of the fund are
2428+hereby appropriated and may be budgeted and expended by the
2429+Commission for the purpose s provided for in this section.
2430+Expenditures from the fund shall be made upon warrants issued by the
2431+State Treasurer against claims filed as prescribed by law with the
2432+Director of the Offi ce of Management and Enterprise Services for
2433+approval and payment.
2434+B. If a storage facility at any time deposits mor e than Five
2435+Million Dollars ($5,000,000.00) to the fund, the fee assessments to
2436+that storage facility shall cease until such time as funds begin to
2437+be expended for that facility. The State Treasurer shall certify to
2438+the Commission the date on which the ba lance in the fund for a
2439+storage facility equals or exceeds Five Million Dollars
2440+($5,000,000.00). On and after the first day of the second month
2441+following the certification, fees shall not be collected from the
2442+
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2469+facility; provided, fee collection shall resu me on receipt of a
2470+certification by the State Treasurer that, based on the expenditur es
2471+and commitments to expend monies, the fund has fall en below Four
2472+Million Dollars ($4,000,000.00) of funds collected from that
2473+facility.
2474+C. Expenditures from the fund m ay be used to:
2475+1. Remediate any issues associated with, arising from, or
2476+related to the site, including remediation of property, of site
2477+infrastructure, and of any mechanical problems associated with the
2478+remaining wells;
2479+2. Fund research and development in connection with carbon
2480+sequestration technologies and methods;
2481+3. Monitor any remaining surface facilities and wells;
2482+4. Repair any mechanical leaks at the storage facility;
2483+5. Hire outside legal counsel as needed to effectuate the
2484+provisions of this act;
2485+6. Plug remaining injection wells, except for those wells to be
2486+used as observation wells; and
2487+7. Contract for assistance with perm it or application review.
2488+D. Not later than November 1 annually, the Commission shall
2489+furnish a report electronically to the Secretary of Energy and
2490+Environment, the President Pro Tempore of the Senate , and the
2491+Speaker of the House of Representatives. Th e report shall address
2492+
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2519+the administration of funds, fund balances, expenditures made, and
2520+any other information deeme d necessary by the Commission.
2521+E. Not later than November 1, 2029, and every five (5) years
2522+thereafter, the Commission shall furnish a rep ort electronically to
2523+the President Pro Tempore of the Senate and the Speaker of the House
2524+of Representatives assessi ng the effectiveness of the fund and other
2525+related provisions within this act. The Commission shall provide
2526+such other information as may be requested by the Legislature.
2527+SECTION 12. AMENDATORY 52 O.S. 2021, Section 139, is
2528+amended to read as follows:
2529+Section 139. A. The Corporation Commission is vested with
2530+exclusive jurisdiction, power and authority, and it shall be its
2531+duty, to make and enforce such rules and orders governing and
2532+regulating the handling, storage and dispositio n of saltwater,
2533+mineral brines, waste oil and other deleterious substances produced
2534+from or obtained or used in connection with the drillin g,
2535+development, producing, and operating of oil and gas wells and brine
2536+wells within this state as are reasonable and necessary for the
2537+purpose of preventing the pollution of the surface and subsurface
2538+waters in the state, and to otherwise carry out the pu rpose of this
2539+act Section 139 et seq. of this title .
2540+B. 1. Except as otherwise provided by this subsection, the
2541+Corporation Commission is hereby vested with exclusive jurisdiction,
2542+power and authority, and it shall be its duty to promulgate and
2543+
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2570+enforce rules, and issue and enforce orders governing and
2571+regulating:
2572+a. the conservation of oil and gas,
2573+b. field operations for geologic and geophysical
2574+exploration for oil, gas and brine, including seismic
2575+survey wells, stratigraphic test wells and core test
2576+wells,
2577+c. the exploration, drilling, development, producing or
2578+processing for oil and gas on the lease site,
2579+d. the exploration, drilling, development, production and
2580+operation of wells used in connection with the
2581+recovery, injection or disposal of mineral br ines,
2582+e. reclaiming facilities only for the processing of salt
2583+water, crude oil, natural gas condensate and tank
2584+bottoms or basic sediment from crude oil tanks,
2585+pipelines, pits and equipment associated with the
2586+exploration, drilling, development, producing or
2587+transportation of oil or gas,
2588+f. injection wells known as Class II wells under the
2589+federal Underground Injection Control Program, and any
2590+aspect of any CO2 sequestration facility, including
2591+any associated CO2 injection well, over which the
2592+Commission is given jurisdiction pursuant to the
2593+Oklahoma Carbon Capture and Geologic Sequestration
2594+
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2621+Act. Any substance that the United States
2622+Environmental Protection Agency allows to be injected
2623+into a Class II well may continue to be so injected,
2624+underground injection control pursuant to the federal
2625+Safe Drinking Water Act and 40 CFR Parts 144 through
2626+148, including:
2627+(1) Class II injection wells,
2628+(2) Class V injection wells utilized in the
2629+remediation of groundwa ter associated with
2630+underground or aboveground storage tanks
2631+regulated by the Commission,
2632+(3) those wells used for the recovery, injection, or
2633+disposal of mineral brines a s defined in the
2634+Oklahoma Brine Development Act, and
2635+(4) any aspect of a Class VI CO2 sequestration
2636+facility including associated Class VI CO2
2637+injection wells, over which the Commission is
2638+given jurisdiction pursuant to the Oklahoma
2639+Carbon Capture and Geol ogic Sequestration Act,
2640+g. tank farms for storage of crude oil and petroleum
2641+products which are located outside the boundaries of
2642+the refineries, petrochemical manufacturing plants,
2643+natural gas liquid extraction plants, or other
2644+facilities which are subjec t to the jurisdiction of
2645+
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2672+the Department of Environmental Quality with regard to
2673+point source discharges,
2674+h. the construction and operation of pipelines and
2675+associated rights-of-way, equipment, facilities or
2676+buildings used in the transportation of oil, gas,
2677+petroleum, petroleum products, anhydrous ammonia or
2678+mineral brine, or in the treatme nt of oil, gas or
2679+mineral brine during the course of t ransportation but
2680+not including line pipes associated with processing at
2681+or in any:
2682+(1) natural gas liquids extractio n plant,
2683+(2) refinery,
2684+(3) reclaiming facility other than for those
2685+specified within subparagraph e of this
2686+paragraph,
2687+(4) mineral brine processing plant, and
2688+(5) petrochemical manufacturing plant,
2689+i. the handling, transportation, storage and disposition
2690+of saltwater, mineral brines, waste oil and other
2691+deleterious substances produced from or obtained or
2692+used in connection with the drilling, development,
2693+producing and operating of oil and gas wells, at:
2694+(1) any facility or activity specifically listed in
2695+paragraphs 1 this paragraph and paragraph 2 of
2696+
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2552723 this subsection as being subject to the
2562724 jurisdiction of the Commission, and
2572725 (2) other oil and gas extraction facilities and
2582726 activities,
2592727 j. spills of deleterious substances associated with
2602728 facilities and activiti es specified in paragraph 1 of
2612729 this subsection paragraph or associated with other oil
2622730 and gas extraction facilities and activities, and
2632731 k. subsurface storage of oil, natural gas and liquefied
2642732 petroleum gas in geologic strata.
2652733 2. The exclusive jurisdiction , power and authority of the
2662734 Corporation Commission shall also extend to the construction,
2672735 operation, maintenance, site remediation, closur e and abandonment of
2682736 the facilities and activities described in paragraph 1 of this
2692737 subsection.
2702738 3. When a deleteriou s substance from a Commission -regulated
2712739 facility or activity enters a point source di scharge of pollutants
2722740 or storm water from a facility o r activity regulated by the
2732741 Department of Environmental Quality, the Department shall have sole
2742742 jurisdiction over the point source discharge of the commingled
2752743 pollutants and storm water from the two facilities or activities
2762744 insofar as Department -regulated facilities and activities are
2772745 concerned.
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3042773 4. For purposes of the Federal federal Clean Water Act, any
3052774 facility or activity which is subject to the jurisdiction of the
3062775 Corporation Commission pursuant to paragraph 1 of this subsection
3072776 and any other oil and g as extraction facility or activity which
3082777 requires a permit for the discharge of a pollutant or storm water to
3092778 waters of the United States shall be subject to the direct
3102779 jurisdiction of the United States Environmental Protection Agency
3112780 and shall not be requ ired to be permitted by the Department of
3122781 Environmental Quality or the Corporation Commission for such
3132782 discharge.
3142783 5. The Corporation Commission shall have jurisdiction over:
3152784 a. underground storage tank s that contain antifreeze,
3162785 motor oil, motor fuel, gaso line, kerosene, diesel, or
3172786 aviation fuel and that are not located at refineries
3182787 or at upstream or intermediate shipme nt points of
3192788 pipeline operations, including, but not limited to,
3202789 tanks from which these materials are dispensed into
3212790 vehicles, or tanks use d in wholesale or bulk
3222791 distribution activities, as well as leaks from pumps,
3232792 hoses, dispensers, and other ancillary e quipment
3242793 associated with the tanks, whether above the ground or
3252794 below; provided that any point source discharge of a
3262795 pollutant to waters of the United States during site
3272796 remediation or the off -site disposal of contaminated
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3542824 soil, media, or debris shall be r egulated by the
3552825 Department of Environmental Quality,
3562826 b. aboveground storage tanks that contain antifreeze,
3572827 motor oil, motor fuel, gasoline, kerosene, diesel, or
3582828 aviation fuel and that are not located at refineries
3592829 or at upstream or intermediate shipment po ints of
3602830 pipeline operations, including, but not limited to,
3612831 tanks from which these ma terials are dispensed into
3622832 vehicles, or tanks used in wholesale or bulk
3632833 distribution activities, as well as leaks from pumps,
3642834 hoses, dispensers, and other ancillary equipm ent
3652835 associated with the tanks, whether above the ground or
3662836 below; provided that any point source discharge of a
3672837 pollutant to waters of the United States during site
3682838 remediation or the off -site disposal of contaminated
3692839 soil, media, or debris shall be regula ted by the
3702840 Department of Environmental Quality, and
3712841 c. the Petroleum Storage Tank Rel ease Environmental
3722842 Cleanup Indemnity Fund and Program and the Oklahoma
3732843 Leaking Underground Storage Tank Trust Fund .
3742844 6. The Department of Environmental Quality shall have sole
3752845 jurisdiction to regulate the transportation, discharge or release of
3762846 deleterious substances or hazardous or solid waste or other
3772847 pollutants from rolling stock and rail facilities. The Department
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404-of Environmental Quality shall not have any jurisdiction with
405-respect to pipeline transportation of carbon dioxide.
406-7. The Department of Environmental Quality shall have sole
407-environmental jurisdiction for point and nonpoint source discharges
408-of pollutants and storm water to waters of the state from:
409-a. refineries, petrochemical manufacturing plants and
410-natural gas liquid extraction plants,
411-b. manufacturing of oil and gas related equipment and
412-products,
413-c. bulk terminals, aboveground and underground storage
414-tanks not subject to the jurisdiction of the
415-Commission pursuant to this subs ection, and
416-d. other facilities, activities and sources not subject
417-to the jurisdiction of the Corporation Commission or
418-Oklahoma Department of Agriculture , Food, and Forestry
419-as specified by this section.
420-8. The Department of Enviro nmental Quality shall have sole
421-environmental jurisdiction to regulate air emissions from all
422-facilities and sources subject to operating permit requirements
423-under Title V of the Federal federal Clean Air Act as amended.
424-B. The Corporation Commission and incorporated cities an d towns
425-shall have exclusive jurisdiction over permit fees for the drilling
426-and operation of oil and gas wells.
427-
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453-C. The Corporation Commission shall comply with and enforc e the
454-Oklahoma Water Quality Standards.
455-D. For purposes of imm ediately responding to emergency
456-situations having potentially critical environmental or public
457-safety impact and resulting from activities within its jurisdiction,
458-the Corporation Commission m ay take whatever action is necessary,
459-without notice and hearin g, including without l imitation the
460-issuance or execution of administrative agreements by the Oil and
461-Gas Conservation Division of the Corporation Commission, to promptly
462-respond to the emergen cy.
463-SECTION 2. AMENDATORY 27A O.S. 20 21, Section 1-3-101, as
464-last amended by Section 2, Chapter 164, O.S.L. 2023 (27A O.S. Supp.
465-2023, Section 1-3-101), is amended to read as follows:
466-Section 1-3-101. A. The provisions of this s ection specify the
467-jurisdictional areas of responsibility for e ach state environmenta l
468-agency and state agencies with limited environmental responsibility.
469-The jurisdictional areas of environmental responsibility specified
470-in this section shall be in addi tion to those otherwise provided by
471-law and assigned to the spe cific state environmental agency;
472-provided that any rule, interagency agreement or executive order
473-enacted or entered into prior to the effective date of this section
474-July 1, 1993, which conflicts with the assignment of jurisdictional
475-environmental respons ibilities specified by this section is hereby
476-superseded. The provisions of this subsection shall not nullify any
477-
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503-financial obligation arising from services rendered pursuant to any
504-interagency agreement or executive order entered into prior to July
505-1, 1993, nor nullify any obligations or agreements with private
506-persons or parties entered into with any state environmental agency
507-before July 1, 1993.
508-B. Department of Environmental Quality. The Department of
509-Environmental Quality shall have the following j urisdictional areas
510-of environmental responsibility:
511-1. All point source discharges of pollutants and storm water to
512-waters of the state which originate from municipal, industrial,
513-commercial, mining, transportation and utilities, construction,
514-trade, real estate and finance, services, public administration,
515-manufacturing and other sources, facilities and activities, except
516-as provided in subsections D and E of this section;
517-2. All nonpoint source discharges and pollution except as
518-provided in subsections D, E and F of this se ction;
519-3. Technical lead agency for point source, nonpoint source and
520-storm water pollution control programs funded under Section 106 of
521-the federal Clean Water Act, for areas within the Department ’s
522-jurisdiction as provided in this subsection;
523-4. Surface water and groundwater quality and protection and
524-water quality certifications;
525-5. Waterworks and wastewater works operator certification;
526-6. Public and private water s upplies;
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553-7. Underground injection control pursuant to the fede ral Safe
554-Drinking Water Act and 40 CFR Parts 144 through 148, except for:
555-a. Class II injection wells,
556-b. Class V injection wells utilized in the remediation of
557-groundwater associated with unde rground or aboveground
558-storage tanks regulated by the Corporati on Commission,
559-c. those wells used for the recovery, injection or
560-disposal of mineral brines as defined in the Oklahoma
561-Brine Development Act regulated by the Commission, and
562-d. any aspect of any a Class VI CO2 sequestration
563-facility including any associated Class VI CO2
564-injection well, wells over which the Commission is
565-given jurisdiction pursuant to the Oklahoma Carbon
566-Capture and Geologic Sequestration Act;
567-8. Notwithstanding any other provi sion in this section or other
568-environmental jurisdiction statut e, sole and exclusive jurisdiction
569-for air quality under the federal Clean Air Act and applicable state
570-law, except for indoor air quality and asbestos as regulated for
571-worker safety by the fed eral Occupational Safety and Health Act of
572-1970 and by Chapter 11 of Title 40 of the Oklahoma Statutes the
573-Oklahoma Asbestos Control Act ;
574-9. Hazardous waste and solid waste including industrial,
575-commercial and municipal waste;
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591-15
592-16
593-17
594-18
595-19
596-20
597-21
598-22
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601-
602-10. Superfund responsibilit ies of the state under the
603-Comprehensive Environmental Response , Compensation, and Liability
604-Act of 1980 and amendments thereto, except the planning requirements
605-of Title III of the Superfund Amendment Amendments and
606-Reauthorization Act of 1986;
607-11. Radioactive waste and all regulatory activities for the use
608-of atomic energy and sources o f radiation except for electronic
609-products used for diagnosis by diagnostic X-ray x-ray facilities and
610-electronic products used for bomb detection by public safety bomb
611-squads within law enforcement agencies of this state or within la w
612-enforcement agencies of any political subdivision of this state;
613-12. Water, waste, and wastewater treatment systems including,
614-but not limited to, septic tanks or other public or private was te
615-disposal systems;
616-13. Emergency response as specified by la w;
617-14. Environmental laboratory services and laboratory
618-certification;
619-15. Hazardous substances other than branding, package and
620-labeling requirements;
621-16. Freshwater wellhead protection;
622-17. Groundwater protection for activities subject to the
623-jurisdictional areas of environmental responsibility of the
624-Department;
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651-18. Utilization and enforcement of Oklahoma Water Quality
652-Standards and implementation documents;
653-19. Environmental regulation of any entity or activity, and the
654-prevention, control and aba tement of any pollutio n, not subject to
655-the specific statutory authority of another state environmental
656-agency;
657-20. Development and maintenance of a computerized information
658-system relating to water quality pursuant to Section 1 -4-107 of this
659-title;
660-21. Development and promulgation of Oklahoma Water Quality
661-Standards, their accompanying use support assessment protocols,
662-anti-degradation policies generally affecting Oklahoma Water Quality
663-Standards application and implementation including but not limited
664-to mixing zones, low fl ows and variances or any modification or
665-change thereof pursuant to Section 1085.30 of Title 82 of the
666-Oklahoma Statutes, and the Water Quality Standards Implementation
667-Plan pursuant to Section 1 -1-202 of this title for its
668-jurisdictional area of environmental responsibility; and
669-22. Development and utilization of policies and requirements
670-necessary for the implementation of Oklahoma Groundwater Quality
671-Standards to the extent that the implementation of such standards is
672-within the scope of the Department ’s jurisdiction including but not
673-limited to the establishment of points of compliance when warranted.
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700-C. Oklahoma Water Resources Board. The Oklahoma Water
701-Resources Board shall have the following jurisdictional areas of
702-environmental responsibility:
703-1. Water quantity including, but not limited to, water rights,
704-surface water and underground water, planning, and interstate stream
705-compacts;
706-2. Weather modification;
707-3. Dam safety;
708-4. Flood plain management;
709-5. State water/wastewat er loans and grants re volving fund and
710-other related financial aid programs;
711-6. Administration of the federal Clean Water State Revolving
712-Fund Program program including, but not limited to, ma king
713-application for and receiving capitalization grant awards,
714-wastewater prioritization for funding, technical project reviews,
715-environmental review process processing, and financial review and
716-administration;
717-7. Water well drillers/pump installers lice nsing;
718-8. Technical lead agency for clean lakes eligible for f unding
719-under Section 314 of the federal Clean Water Act Lakes Program or
720-other applicable sections of the federal Clean Water Act or other
721-subsequent state and federal clean lakes programs; adm inistration of
722-a state program for assessing, monitoring, study ing and restoring
723-Oklahoma lakes with administration to include, but not be limited
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750-to, receipt and expenditure of funds from federal, state and private
751-sources for clean lakes and implementati on of a volunteer monitoring
752-program to assess and monitor stat e water resources, pro vided such
753-funds from federal Clean Water Act sources are administered and
754-disbursed by the Office of the Secretary of Environment;
755-9. Groundwater protection for activiti es subject to the
756-jurisdictional areas of environmental respons ibility of the Board;
757-10. Development and promulgation of a Water Quality Standards
758-Implementation Plan pursuant to Section 1 -1-202 of this title for
759-its jurisdictional area of environmental r esponsibility;
760-11. Development of classifications and identifi cation of
761-permitted uses of groundwater, in recognized water rights, and
762-associated groundwater recharge areas;
763-12. Establishment and implementation of a statewide beneficial
764-use monitoring program for waters of the state in coordination with
765-the other state environmental agencies; and
766-13. Coordination with other state environmental agencies and
767-other public entities of water resource investigations conducted by
768-the federal United States Geolo gical Survey for water quality and
769-quantity monitoring in the s tate.
770-D. Oklahoma Department of Agriculture, Food, and Forestry.
771-1. The Oklahoma Department of Agriculture, Food, and Forestry
772-shall have the following jurisdictional areas of environmental
773-responsibility except as provided in paragraph 2 of this subsect ion:
774-
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799-
800-a. point source discharges and nonpoint source runoff
801-from agricultural crop production, agricultural
802-services, livestock production, silviculture, feed
803-yards, livestock markets and animal waste,
804-b. pesticide control,
805-c. forestry and nurseries,
806-d. fertilizer,
807-e. facilities which store grain, feed, seed, fertilizer
808-and agricultural chemicals,
809-f. dairy waste and wastewater associated with milk
810-production facilities,
811-g. groundwater protection for activities subject to the
812-jurisdictional areas of environme ntal responsibility
813-of the Department,
814-h. utilization and enforcement of Oklahoma Water Quality
815-Standards and implementation documents,
816-i. development and promulgation of a Water Quality
817-Standards Implementation Plan pursuant to Section 1 -1-
818-202 of this title for its jurisdictio nal areas of
819-environmental responsibility, and
820-j. storm water discharges for activities subject to the
821-jurisdictional areas of environmental responsibility
822-of the Department.
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849-2. In addition to the jurisdictional areas of environmenta l
850-responsibility specified in subsection B of this section, the
851-Department of Environmental Quality shall have environmental
852-jurisdiction over:
853-a. (1) commercial manufacturers of fertilizers, g rain
854-and feed products, and chemicals, and over
855-manufacturing of food and kindred pro ducts,
856-tobacco, paper, lumber, wood, textile mill and
857-other agricultural products,
858-(2) slaughterhouses, but not including feedlots at
859-these facilities, and
860-(3) aquaculture and fish hatcheries,
861-including, but not limited to, discharges of
862-pollutants and storm water to waters of the state,
863-surface impoundments and land application of wastes
864-and sludge, and other pollution originating at these
865-facilities, and
866-b. facilities which store grain, feed, seed, fertilizer,
867-and agricultural chemic als that are required by
868-federal NPDES National Pollutant Discharge Elimination
869-System (NPDES) regulations to obtain a permit for
870-storm water discharges shall only be subject to the
871-jurisdiction of the Department of Environmental
872-Quality with respect to su ch storm water discharges.
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899-E. Corporation Commission.
900-1. The Corporation Commission is hereby vested with exclusive
901-jurisdiction, power and authority, and it shall be its duty to
902-promulgate and enforce rules, and issue and enforce orders governing
903-and regulating:
904-a. the conservation of oil and gas,
905-b. field operations for geologic and geophysical
906-exploration for oil, gas and brine including seismic
907-survey wells, stratigraphic test wells and co re test
908-wells,
909-c. the exploration, drilling, development, produ cing or
910-processing for oil and gas on the lease site,
911-d. the exploration, drilling, development, production and
912-operation of wells used in connection with the
913-recovery, injection or disposal of mineral brines,
914-e. reclaiming facilities only for the processi ng of salt
915-water, crude oil, natural gas condensate and tank
916-bottoms or basic sediment from crude oil tanks,
917-pipelines, pits and equipment associated with the
918-exploration, drilling, development , producing or
919-transportation of oil or gas,
920-f. underground injection control pursuant to the federal
921-Safe Drinking Water Act and 40 CFR Parts 144 through
922-148 of:
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949-(1) Class II injection wells,
950-(2) Class V injection wells utilized in the
951-remediation of groundwater associated with
952-underground or aboveground storage tank s
953-regulated by the Com mission,
954-(3) those wells used for the recovery, injection or
955-disposal of mineral brines as defined in the
956-Oklahoma Brine Development Act, and
957-(4) any aspect of any a Class VI CO2 sequestration
958-facility including any associated Class VI CO2
959-injection well, wells over which the Commission
960-is given jurisdiction pursuant to the Oklahoma
961-Carbon Capture and Geologic Sequestration Act.
962-Any substance that the United States Environm ental
963-Protection Agency allows to be injected into a Class
964-II well may continue to be so injected,
965-g. tank farms for storage of crude oil and petroleum
966-products which are located outside the boundaries of
967-refineries, petrochemical manufacturing plants,
968-natural gas liquid extraction plants, or other
969-facilities which are subject to the jurisdiction of
970-the Department of Environmental Quality with regard to
971-point source discharges,
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998-h. the construction and operation of pipelines and
999-associated rights-of-way, equipment, facilities or
1000-buildings used in the transportation of o il, gas,
1001-petroleum, petroleum products, anhydrous ammonia or
1002-mineral brine, or in the treatment of oil, gas or
1003-mineral brine during the course of transportation but
1004-not including line pipes in any:
1005-(1) natural gas liquids extraction plant,
1006-(2) refinery,
1007-(3) reclaiming facility other than for those
1008-specified within subparagraph e of this
1009-subsection paragraph,
1010-(4) mineral brine processing plant, and
1011-(5) petrochemical manufacturing plant,
1012-i. the handling, transportation, storage and disposition
1013-of saltwater, mineral brines, waste o il and other
1014-deleterious substances produced from or obtained or
1015-used in connection with the drilling, development,
1016-producing and operating of oil and gas wells, at:
1017-(1) any facility or activity specifically listed in
1018-paragraphs 1 this paragraph and paragraph 2 of
1019-this subsection as being subject to the
1020-jurisdiction of the Commission, and
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1047-(2) other oil and gas extraction facilities and
1048-activities,
1049-j. spills of deleterious s ubstances associated with
1050-facilities and activities specified i n paragraph 1 of
1051-this subsection paragraph or associated with other oil
1052-and gas extraction facilities and activities,
1053-k. subsurface storage of oil, natural gas and liquefied
1054-petroleum gas in geologic strata,
1055-l. groundwater protection for activities subject to the
1056-jurisdictional areas of environmental responsibility
1057-of the Commission,
1058-m. utilization and enforcement of Oklahoma Water Quality
1059-Standards and implementation documents, and
1060-n. development and promulgation of a Water Quality
1061-Standards Implementation Plan pursuant to Sect ion 1-1-
1062-202 of this title for its jurisdictional areas of
1063-environmental responsibility.
1064-2. The exclusive jurisdiction, power and authority of the
1065-Commission shall also ex tend to the construction, operation,
1066-maintenance, site remediat ion, closure and abandonment of the
1067-facilities and activities described in paragraph 1 of this
1068-subsection.
1069-3. When a deleterious substance from a Commission -regulated
1070-facility or activity ente rs a point source discharge of pollutants
1071-
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1096-
1097-or storm water from a facility or activity regulated by the
1098-Department of Environmental Quality, the Department shall have sole
1099-jurisdiction over the point source discharge of the commingled
1100-pollutants and storm wa ter from the two facilities or activities
1101-insofar as Department -regulated facilities and activities are
1102-concerned.
1103-4. The Commission and the Department of Environmental Quality
1104-are hereby authorized to obtain authorization from the United States
1105-Environmental Protection Agency to administer, within their
1106-respective jurisdictions, any and all programs regulating oil and
1107-gas discharges into the waters of this state. For purposes of the
1108-federal Clean Water Act, any facility or activity which is subject
1109-to the jurisdiction of the Commission pursuant to paragraph 1 of
1110-this subsection and any other oil and gas extraction facility or
1111-activity which requires a permit for the discharge of a pollutant or
1112-storm water to waters of the United States shall be subject to the
1113-direct jurisdiction and permitting authority of the Oklaho ma agency
1114-having received delegation of this program from the United States
1115-Environmental Protection Agency.
1116-5. The Commission shall have jurisdiction over:
1117-a. underground storage tanks that c ontain antifreeze,
1118-motor oil, motor fuel, gasoline, kerosene, d iesel, or
1119-aviation fuel and that are not located at refineries
1120-or at the upstream or intermediate shipment points of
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1147-pipeline operations including, but not limited to,
1148-tanks from which these ma terials are dispensed into
1149-vehicles, or tanks used in wholesale or bulk
1150-distribution activities, as well as leaks from pumps,
1151-hoses, dispensers, and other ancillary equipment
1152-associated with the tanks, whether above the ground or
1153-below; provided, that any point source discharge of a
1154-pollutant to waters of the United S tates during site
1155-remediation or the off -site disposal of contaminated
1156-soil, media, or debris shall be regulated by the
1157-Department of Environmental Quality,
1158-b. aboveground storage tanks that co ntain antifreeze,
1159-motor oil, motor fuel, gasoline, kerosene, di esel, or
1160-aviation fuel and that are not located at refineries
1161-or at the upstream or intermediate shipment points of
1162-pipeline operations including, but not limited to,
1163-tanks from which these mat erials are dispensed into
1164-vehicles, or tanks used in wholesale or bulk
1165-distribution activities, as well as leaks from pumps,
1166-hoses, dispensers, and other ancillary equipment
1167-associated with the tanks, whether above the ground or
1168-below; provided, that any p oint source discharge of a
1169-pollutant to waters of the United St ates during site
1170-remediation or the off-site disposal of contaminated
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1197-soil, media, or debris shall be regulated by the
1198-Department of Environmental Quality, and
1199-c. the Petroleum Storage Tank Rel ease Environmental
1200-Cleanup Indemnity Fund, the Oklahoma Petrole um Storage
1201-Tank Release Indemnity Program, and the Oklahoma
1202-Leaking Underground Storage Tank Trust Fund.
1203-6. The Department of Environmental Quality shall have sole
1204-jurisdiction to regulate the transportation, discharge or release of
1205-deleterious substances or solid or hazardous waste or other
1206-pollutants from rolling stock and rail facilities. The Department
1207-of Environmental Quality shall not have any jurisdiction with
1208-respect to pipeline transp ortation of carbon dioxide.
1209-7. The Department of Environmental Quality shall have sole
1210-environmental jurisdiction for point and nonpoint source discharges
1211-of pollutants and storm water to waters of the state from:
1212-a. refineries, petrochemical manufacturin g plants and
1213-natural gas liquid extraction plants,
1214-b. manufacturing of equipment and products related to oil
1215-and gas,
1216-c. bulk terminals, aboveground and underground storage
1217-tanks not subject to the jurisdiction of the
1218-Commission pursuant to this subsection , and
1219-d. other facilities, activities and sources not subject
1220-to the jurisdiction of the Commission or the Oklahoma
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1247-Department of Agriculture, Food, and Forestry as
1248-specified by this section.
1249-8. The Department of Environmental Quality shall have sole
1250-environmental jurisdiction to regulate air emissions from all
1251-facilities and sources subj ect to operating permit requirements
1252-under Title V of the federal Clean Air Act as amended.
1253-F. Oklahoma Conservation Commission. The Oklahoma Conservation
1254-Commission shall have the following jurisdictional areas of
1255-environmental responsibility:
1256-1. Soil conservation, erosion control and nonpoint source
1257-management except as otherwise provided by law;
1258-2. Monitoring, evaluation and assessment of waters to determine
1259-the condition of streams and rivers being impacted by nonpoint
1260-source pollution. In carrying out this area of responsibility, the
1261-Oklahoma Conservation Commission shall serve as the technical lead
1262-agency for nonpoint source categories as defined in Section 319 of
1263-the federal Clean Water Act or other subsequent federal or sta te
1264-nonpoint source programs, except for activities related to
1265-industrial and municipal storm water or as otherwise provided by
1266-state law;
1267-3. Wetlands strategy;
1268-4. Abandoned mine reclamation;
1269-5. Cost-share program for land use activities;
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1296-6. Assessment and conservation plan development and
1297-implementation in watersheds of clean lakes, as specified by law;
1298-7. Complaint data management;
1299-8. Coordination of environmental and natural resources
1300-education;
1301-9. Federal upstream flood control program;
1302-10. Groundwater protection for activities subject to the
1303-jurisdictional areas of environmental responsibility of the
1304-Commission;
1305-11. Development and promulgation of a Water Quality Standards
1306-Implementation Plan pursuant to Section 1 -1-202 of this title for
1307-its jurisdictional areas of e nvironmental responsibility;
1308-12. Utilization of Oklahoma Water Quality Standards and
1309-Implementation implementation documents; and
1310-13. Verification and certification of c arbon sequestration
1311-pursuant to the Oklahoma Carbon Sequestrati on Enhancement Act. This
1312-responsibility shall not be superseded by the Oklahoma Carbon
1313-Capture and Geologic Sequestration Act.
1314-G. Department of Mines. The Department of Mines shall have the
1315-following jurisdictional areas of environmental responsibility:
1316-1. Mining regulation ;
1317-2. Mining reclamation of active mines;
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1344-3. Groundwater protection for activities subject to the
1345-jurisdictional areas of environmental responsibility of the
1346-Commission; and
1347-4. Development and promulgation of a Water Quality Standar ds
1348-Implementation Plan pursuant to Section 1 -1-202 of this title for
1349-its jurisdictional areas of responsibility.
1350-H. Department of Wildlife Conservation. The Department of
1351-Wildlife Conservatio n shall have the following jurisdictional areas
1352-of environmental responsibilities:
1353-1. Investigating wildlife kills;
1354-2. Wildlife protection and seeking wildlife damage claims; and
1355-3. Development and promulgation of a Water Quality Standards
1356-Implementation Plan pursuant to Section 1 -1-202 of this title for
1357-its jurisdictional areas of environmental responsibility.
1358-I. Department of Public Safety. The Department of Public
1359-Safety shall have the following jurisdictional areas of
1360-environmental responsibilities :
1361-1. Hazardous waste, substances and material transportation
1362-inspections as authoriz ed by the Oklahoma Motor Carrier Safety and
1363-Hazardous Materials Transportation Act; and
1364-2. Inspection and audit activities of hazardous waste and
1365-materials carriers and h andlers as authorized by the Oklahoma Motor
1366-Carrier Safety and Hazardous Materials Transportation Act.
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1393-J. Department of Labor. The Department of Labor shall have the
1394-following jurisdictional areas of environmental responsibility:
1395-1. Regulation of asbest os in the workplace pursuant to Chapter
1396-11 of Title 40 of the O klahoma Statutes the Oklahoma Asbestos
1397-Control Act;
1398-2. Asbestos monitoring in public and private buildings; and
1399-3. Indoor air quality as regulated under the authority of the
1400-Oklahoma Occupational Health and Safety Standards Act, except for
1401-those indoor air quality issues specifically authorized to be
1402-regulated by another agency.
1403-Such programs shall be a function of the Department ’s
1404-occupational safety and health jurisdiction.
1405-K. Oklahoma Department of Emergency Management. The Oklahoma
1406-Department of Emergency Management shal l have the following
1407-jurisdictional areas of environmental responsibilities:
1408-1. Coordination of all emergency resources and activities
1409-relating to threats to citizens ’ lives and property pursuant to the
1410-Oklahoma Emergency Resources M anagement Act of 1967;
1411-2. Administer and enforce the planning requirements of Title
1412-III of the Superfund Amendments and Reauthorization Act of 1986 and
1413-develop such other emergency operations plans that will enable the
1414-state to prepare for, respond to, re cover from and mitigat e
1415-potential environmental emergencies and disasters pursuant to the
1416-Oklahoma Hazardous Materials Planning and Notification Act;
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1443-3. Administer and conduct periodic exercis es of emergency
1444-operations plans provided for in this subsectio n pursuant to the
1445-Oklahoma Emergency Resources Management Act of 1967;
1446-4. Administer and facilitate hazardous materials training for
1447-state and local emergency planners and first responders pur suant to
1448-the Oklahoma Emergency Resources Management Act of 196 7; and
1449-5. Maintain a computerized emergency information system
1450-allowing state and local access to information regarding hazardous
1451-materials’ location, quantity and potential threat.
1452-SECTION 3. AMENDATORY 27A O.S. 2021, Section 3 -5-102, is
1453-amended to read as follows:
1454-Section 3-5-102. As used in the Oklahoma Carbon Capture and
1455-Geologic Sequestration Act:
1456-1. “Agency” means the Corporation Commission or the Department
1457-of Environmental Quality, as the case may be and as described in
1458-Section 3-5-103 of this title;
1459-2. “Anthropogenic carbon dioxide ” or “man-made carbon dioxide”
1460-means the carbon dioxide compound manufactured, mechanically formed
1461-or otherwise caused to occur, as a result of either:
1462-a. a chemical process performed by or in volving efforts
1463-of a person, or
1464-b. separation of carbon dioxide from natural gas.
1465-The term shall not include carbon dioxide that is naturally present
1466-in underground locations;
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1493-3. 2. “Approved reservoir” means a reservoir that is determined
1494-by the Agency with jurisdiction Corporation Commission to be
1495-suitable for the receipt, storage and/or sequestration of injected
1496-carbon dioxide therein;
1497-4. 3. “Carbon dioxide” or “CO2” means an inorganic compound
1498-containing one carbon atom and two oxygen atoms, and exist s as a gas
1499-at standard temperature and pressure. Carbon dioxide is an inert,
1500-stable, colorless, odorless, nontoxic, incombustible, inorganic gas
1501-that is dissolvable in water and is naturally p resent, such as in
1502-underground locations and in the atmosphere as a trace gas;
1503-5. 4. “Carbon sequestration ” means long-term or short-term
1504-underground storage or sequestration of anthropogenic carbon dioxide
1505-in one or more reservoirs;
1506-6. 5. “CO2 injection well” means an artificial excavation or
1507-opening in the ground made by digging, boring, drilling, jetting,
1508-driving, or another method and is used to inject or transmit
1509-anthropogenic carbon dioxide into one or more reservoirs;
1510-7. 6. “CO2 capture and compression equipment” means the
1511-equipment, separation units, process ing units, processing plants,
1512-pipe, buildings, pumps, compressors, meters, facilities, motors,
1513-fixtures, materials, and machinery, and all other improvements used
1514-in the operation of any of the m, and property, real or personal,
1515-intangible or tangible, eith er attributable to or relating to, or
1516-located thereon, used for the purpose of:
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1543-a. capturing carbon dioxide from a source that produces
1544-anthropogenic carbon dioxide, and/or
1545-b. compressing or otherwise increasing the pressure of
1546-anthropogenic carbon dioxide ;
1547-8. 7. “CO2 pipeline” means any pipeline, compressors, pumps,
1548-meters, facilities, valves, fittings, right -of-way markers, cathodic
1549-protection ground beds, anodes, rectifiers, and any other ca thodic
1550-protection devices, and other associated equipment, appu rtenances
1551-and fixtures located on, attributable to or used in connection with
1552-the same, and used for the purpose of transporting carbon dioxide
1553-for carbon sequestration in this state or another state, excluding:
1554-a. CO2 capture and compression equipment at the source of
1555-the carbon dioxide, and
1556-b. pipelines that are part of a CO 2 sequestration
1557-facility;
1558-9. 8. “CO2 sequestration facility ” means the approved
1559-reservoir(s), and all associated undergr ound equipment and
1560-pipelines, all associated surface buildings and equipment, and all
1561-associated CO2 injection wells, utilized for carbon sequestration in
1562-a defined geographic boundary established by the Agency Commission,
1563-excluding any:
1564-a. CO2 capture and compression equipment at the source of
1565-the carbon dioxide, and
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1592-b. CO2 pipeline transporting carbon dioxide to the
1593-facility from a source located outside the geographic
1594-boundaries of the surface of the facility;
1595-10. 9. “CO2 trunkline” means a CO2 pipeline that both exceeds
1596-seventy-five (75) miles in distance and has a minimum pipe outside
1597-diameter of at least twelve (12) inches;
1598-11. 10. “Commission” means the Corporation Commission as
1599-established by Section 15 of Article 9 IX of the Oklahoma
1600-Constitution;
1601-12. 11. “Common source of supply ” shall have the same meaning
1602-as in Section 86.1 of Title 52 of the Oklahoma Statutes;
1603-13. 12. “Department” means the Department of Environmental
1604-Quality as established by Section 2 -3-101 et seq. of this title;
1605-14. 13. “Enhanced oil or gas recovery ” means the increased
1606-recovery of hydrocarbons, including oil and gas, from a common
1607-source of supply achieved by artificial means or by the application
1608-of energy extrinsic to the common source of supply, such as
1609-pressuring, cycling, pressure maintenance or injection of a
1610-substance or form of energy, such as inj ection of water and/or
1611-carbon dioxide, including immiscible and miscible floods; provided
1612-that enhanced oil or gas recovery shall not include injection of a
1613-substance or form of energy for the sole purpose of either:
1614-a. aiding in the lifting of fluids in the well, or
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1641-b. stimulation of the reservoir at or near the well by
1642-mechanical, chemical, thermal or explosive means;
1643-15. 14. “Facility operator” means any person authorized by the
1644-Agency Commission to operate a CO 2 sequestration facility;
1645-16. 15. “Facility owner” means the person who owns the CO 2
1646-sequestration facility;
1647-17. 16. “Gas” shall have the same meaning as in Section 86.1 of
1648-Title 52 of the Oklahoma Statutes;
1649-18. 17. “Governmental entity” means any department, commission,
1650-authority, council, board, bureau, committee, legislative body,
1651-agency, beneficial public trust, or other establishment of the
1652-executive, legislative or judicial branch of the United States, the
1653-State of Oklahoma, any other state in the United States, the
1654-District of Columbia, t he Territories of the United States, and any
1655-similar entity of any foreign country;
1656-19. 18. “Oil” shall have the same meaning as in Section 86.1 of
1657-Title 52 of the Oklaho ma Statutes;
1658-20. 19. “Person” means any individual, proprietor ship,
1659-association, firm, corporation, company, partnership, limited
1660-partnership, limited liability company, j oint venture, joint stock
1661-company, syndicate, trust, organization, committee, club,
1662-governmental entity, or other type of legal entity, or any group or
1663-combination thereof either acting in concert or as a unit;
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1690-21. 20. “Private operator” means any person that is either a
1691-facility operator or an operator of a CO 2 pipeline, but that is
1692-neither a public utility nor a common carrier as such terms are
1693-defined by the Oklahoma Statutes; and
1694-22. 21. “Reservoir” means any portion of a separate and
1695-distinct geologic or subsurface sedimentary stratum, formation,
1696-aquifer, cavity or void, whether nat urally occurring or artificially
1697-created, including an oil or g as formation, saline f ormation, or
1698-coal seam.
1699-SECTION 4. AMENDATORY 27A O.S. 2021, Section 3 -5-103, is
1700-amended to read as follows:
1701-Section 3-5-103. A. The Corporation Commission shall be the
1702-“Agency” for, and shall have exclusive jurisdiction over Class VI CO2
1703-sequestration facilities involving, and injection of Class VI CO2 for
1704-carbon sequestration into, oil reservoirs, gas reservoirs, coal -bed
1705-methane reservoirs, an d mineral brine reservoirs. The Commission
1706-shall have such jurisdiction regardless o f whether such CO 2
1707-sequestration facility or other injection of carbon dioxide involves
1708-enhanced oil or gas recovery.
1709-B. The Department of Environmental Quality shall be the
1710-“Agency” for, and shall have exclusive jurisdiction over CO 2
1711-sequestration facilities involving, and injection of CO 2 for carbon
1712-sequestration into all reservoirs other than those described in
1713-subsection A of this section, which shall include, but not be
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1740-limited to, deep saline formations, unmineable coal seams wh ere
1741-methane is not produced, basalt reservoirs, salt domes, and non -
1742-mineral bearing shales.
1743-SECTION 5. AMENDATORY 27A O.S. 2021, Section 3 -5-104, as
1744-amended by Section 1, Chapter 353, O.S.L. 2023 (27A O.S. Supp. 2023,
1745-Section 3-5-104), is amended to read as follows:
1746-Section 3-5-104. A. The Corporation Commission and the
1747-Department of Environmental Quality shall execute a Memorandum of
1748-Understanding to address areas in which the implementation of the
1749-Oklahoma Carbon Capture and Ge ologic Sequestration A ct will require
1750-interagency cooperation or interaction , including procedures for
1751-directing applicants through the application process .
1752-B. The operator of a CO2 sequestrat ion facility shall obtain a
1753-permit pursuant to the Oklahoma Car bon Capture and Geologic
1754-Sequestration Act from the Agency having jurisdiction Commission
1755-prior to the operation of a CO2 sequestration facility, after the
1756-Operator provides notice of the appli cation for such permit pursuant
1757-to subsection D of this section , and the Agency Commission has a
1758-hearing thereon upon request; provided that no permit pursuant to
1759-the Oklahoma Carbon Capture and Geologic Sequestration Act is
1760-required if the facility operat or obtains permission, by permit or
1761-order, by the Agency Commission pursuant to the rules and
1762-regulations of the state ’s federally approved Underground Injection
1763-Control Program program and such permission authorizes carbon
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1790-sequestration or injection of ca rbon dioxide underground and
1791-incorporates any additional requir ements adopted pursuan t to
1792-subsection C of this section.
1793-C. To the extent not already authorized by laws governing the
1794-state’s federally approved Underground Injection Control Program
1795-program, the Agency having jurisdiction Commission may issue and
1796-enforce such orders, and may adopt, modify, repeal and enforce such
1797-emergency or permanent rules, including establishment of appropriate
1798-and sufficient fees to cover the cost of the program, financia l
1799-sureties or bonds, and monitoring at CO2 sequestration facili ties,
1800-as may be necessary, for the purpose of regulating the drilling of
1801-CO2 injection wells related to a CO2 sequestration facility, the
1802-injection and withdrawal of carbon dioxide, the operati on of the CO2
1803-sequestration facility, CO2 injection well pluggi ng and abandonment,
1804-removal of surface buildings and equipment of the CO2 sequestration
1805-facility and for any other purpose necessary to implement the
1806-provisions of the Oklahoma Carbon Capture a nd Geologic Sequestration
1807-Act.
1808-D. The applicant for any permit to be issued pursuant to the
1809-Oklahoma Carbon Capture and Geologic Sequestration Act shall give
1810-all surface owners and mineral owners, including working interest
1811-and royalty owners, of the land to be encompassed within the defined
1812-geographic boundary of th e CO2 sequestration facility as established
1813-by the Agency Commission, and whose addresses are known or could be
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1840-known through the exercise of due diligence, at least fifteen (15)
1841-thirty (30) days’ notice of the hearing by mail, return receipt
1842-requested. The applicant shall als o give notice by one publication
1843-two publications, with one publishing at least fifteen (15) thirty
1844-(30) days prior to the hearing and again at least fifteen (15) days
1845-prior to the hearing, in some newspaper of general circulation
1846-published in Oklahoma County, and by one publication two
1847-publications, with one publishing at least fifteen (15) thirty (30)
1848-days prior to the date of the hearing and again at least fifteen
1849-(15) days prior to the hearing , in some newspaper published in the
1850-county, or in each count y, if there be is more than one, in which
1851-the defined geographic boundary of the CO2 sequestration facility,
1852-as established by the Agency Commission, is situated. The app licant
1853-shall file proof of publication and an affidavit of mail ing with the
1854-Agency Commission prior to the hearing.
1855-E. In addition to all other powers and duties prescribed in the
1856-Oklahoma Carbon Capture and Geologic Sequestration Act or otherwise
1857-by law, and unless otherwise specifically set forth in the Oklahoma
1858-Carbon Capture and Geolo gic Sequestration Act, the Agency having
1859-jurisdiction Commission shall have the authority to perform any and
1860-all acts necessary to carry out the purposes and requirements of the
1861-federal Safe Drinking Water Act, as amended, relating to this
1862-state’s participation in the federal Underground Injection Control
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1889-Program program established under that act with respect to the
1890-storage and/or sequestration of carbon dioxide.
1891-F. The Corporation Commission and Department of Environmental
1892-Quality, which are required to comply with the federal Safe Drinking
1893-Water Act, 42 U.S.C. 300f et seq., as amended, shall evaluate the
1894-regulatory and statutory framework that governs the agency and
1895-identify and report any areas in which modifications may be needed
1896-to the Secretary of Energy and Environment to provide for the
1897-development of underground injection control Class VI wells. The
1898-agencies reporting under this subsection shall consult the Secret ary
1899-and work in conjunction with the Office of the Secretary of Energy
1900-and Environment to ensure timely analysis. Identified areas and
1901-recommended modifications to the regulatory and statutory framework
1902-of the agency shall be submitted in a report to the Governor,
1903-Secretary of Energy and Environment, President Pro Te mpore of the
1904-Senate, and the Speaker of the House of Representatives not later
1905-than August 1, 2023.
1906-SECTION 6. AMENDATORY 27A O.S. 2021, Section 3 -5-105, is
1907-amended to read as follows:
1908-Section 3-5-105. A. Unless otherwise expres sly provided by a
1909-contract, bill of sale, deed, mortgage, deed of trust, or other
1910-legally binding document or by other law, carbon dioxide injected
1911-into a CO2 sequestration facility is consider ed to be the personal
1912-property of the facility owner.
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1939-B. Absent a final judgment of willful abandonment rendered by a
1940-court of competent jurisdiction, or a regulatory determination of
1941-willful abandonment, carbon dioxide injected into a CO 2 sequestration
1942-facility is not considered to be the property of the owner of th e
1943-surface or mineral e state in the land encompassing the geographic
1944-boundary of the CO 2 sequestration facility, or any person claiming
1945-under the owner of the surface or mineral estate.
1946-C. The facility operator, with permission of the facility
1947-owner, may produce, take, extract or reduce to possession any carbon
1948-dioxide injected, stored or sequestered in a CO 2 sequestration
1949-facility. In the event an operator informs the Commission that it
1950-intends to conduct enhanced oil or gas recovery operations on a
1951-compulsory unit formed purs uant to Section 287.1 et seq. of Title 52
1952-of the Oklahoma statutes Statutes, or its predecessor unitization
1953-act, then during the time that such unit is in operation, such
1954-operator shall be relieved of any obligation to either:
1955-1. Plug and abandon any injection or production well within
1956-such unit that is intended to be used in such enhanced oil or gas
1957-recovery operations, unless required by the Corporation Commission
1958-pursuant to Section 53 of Title 17 of the Oklahoma Statutes; or
1959-2. Remove any surface equi pment that is associated with any
1960-such well and intended to be used in such enhanced oil or gas
1961-recovery operations, or both.
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1988-D. The Agency having jurisdiction over the i njection of carbon
1989-dioxide under this act Commission shall also have jurisdiction over
1990-a facility operator that produces, takes, extracts or reduces to
1991-possession any injected, stored or sequestered carbon dioxide in a
1992-CO2 sequestration facility.
1993-SECTION 7. AMENDATORY 27A O.S. 2021, Section 3 -5-106, is
1994-amended to read as follows:
1995-Section 3-5-106. A. Nothing in this act the Oklahoma Carbon
1996-Capture and Geologic Sequestration Act shall supersede the
1997-provisions of the Oklahoma Carbon Sequestration Enhancement Act,
1998-Section 3-4-101 et seq. of Title 27A of the Oklahoma Statutes this
1999-title.
2000-B. Nothing in this act the Oklahoma Carbon Capture and Geologic
2001-Sequestration Act shall alter the incidents of ownership, or other
2002-rights, of the owners of the mineral estate or adversely affect
2003-enhanced oil or gas recovery efforts in the state.
2004-C. Any right granted to a facility operator pursuant to this
2005-act the Oklahoma Carbon Capture and Geologic Sequestration Act shall
2006-be without prejudice to the rights of any surface owner or mineral
2007-owner, including working interest and royalty owner owners, of the
2008-land encompassed within the defined geographic boundary of the CO 2
2009-sequestration facility, as established by the Agency Corporation
2010-Commission, to drill or bore through the approved reservoir in a
2011-manner as shall comply with orders, ru les and regulations issued for
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2038-the purpose of protecting the approved reservoir against the escape
2039-of CO2. For purposes of this subsection, the Agency with
2040-jurisdiction under other state law for regulating the well being
2041-drilled or bored through the approved reservoir is the Agency having
2042-jurisdiction to adopt orders and rules for such well in order to
2043-protect the CO 2 sequestration facility, regardless of which Agency
2044-has jurisdiction to permit the CO 2 sequestration facility pursuant to
2045-Section 3 of this act. If the Agency with jurisdiction under other
2046-state law for regulating the well being drilled or bored through the
2047-approved reservoir is not the Agency that has jurisdi ction to permit
2048-the CO2 sequestration facility pursuant to Sect ion 3 of this act,
2049-then the former shall promptly notify the latter in writing of the
2050-receipt of an application for the drilling or boring of such a well
2051-and shall consider all timely submitted comments of the latter in
2052-approving, denying, or setting condi tions for the well bei ng drilled
2053-or bored. The additional cost of complying with such orders, rules
2054-or regulations in order to protect the CO 2 sequestration facility
2055-shall be borne by the faci lity operator.
2056-D. Nothing in this act the Oklahoma Carbon Capt ure and Geologic
2057-Sequestration Act shall grant a private operator the right of
2058-condemnation or eminent domain for any purpose.
2059-SECTION 8. NEW LAW A new section of law to be codified
2060-in the Oklahoma Statutes as Section 3 -5-107 of Title 27A, unless
2061-there is created a duplication in numbering, reads as follows:
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2088-A. Subject to the limitations of this section, the Corporation
2089-Commission shall have jurisdiction to effectuate an d enforce the
2090-provisions of this section. The Commission shall promulgate rules
2091-pursuant to the requirements of this section.
2092-B. The provisions of this section shall apply only to the
2093-permanent sequestration of carbon dioxide in a geologic storage
2094-facility.
2095-C. 1. A party desiring to unitize pore space for the purp ose
2096-of geologic sequestration of carbon dioxide shall file with the
2097-Corporation Commission an application setting forth a description of
2098-the proposed unit area. The application shall include:
2099-a. a map or plat attachment of the proposed unit area,
2100-b. the name and address of each surface owner and mineral
2101-owner, including working interest and royalty owners,
2102-of the land to be encompassed within the defined
2103-geographic boundary of the proposed carb on
2104-sequestration facility,
2105-c. the name and address of each surf ace owner and mineral
2106-owner, including working interest and royalty owners,
2107-of the land immediately adjacent to the geographic
2108-boundary of the proposed carbon sequestration
2109-facility, and
2110-d. a recommended plan of unitization applicable to the
2111-proposed unit area.
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2138-2. Each person named within the application as prescribed
2139-pursuant to paragraph 1 of this subsection shall be a respondent to
2140-the application.
2141-D. 1. Notice of filing for the creation o f a unit for carbon
2142-sequestration shall be mailed to each respo ndent to the applicati on
2143-whose address is known, or whose address can be found with
2144-reasonable diligence, not less than thirty (30) days prior to the
2145-date set for hearing.
2146-2. Notice of filing and the date of hearing shall be published
2147-once a week for four consecutive weeks beginning thirty (30) days
2148-prior to the date of the hearing by publication in some newspaper of
2149-general circulation printed in Oklahoma County, and by publication
2150-in some newspaper of general circulation in each county in which the
2151-lands embraced within the application are situated. The Commission
2152-may require additional notice to be given through promulgated rule.
2153-SECTION 9. NEW LAW A new section of la w to be codified
2154-in the Oklahoma Statutes as Section 3 -5-108 of Title 27A, unless
2155-there is created a duplication in numbering, reads as follows:
2156-A. A unitization order shall be issued i f the Corporation
2157-Commission finds that:
2158-1. The application meets all statutory and regulatory
2159-requirements for issuance;
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2186-2. The geologic storage facilit y into which the carbon dioxide
2187-is to be injected is suitable or capable of being made suitable for
2188-storing the carbon dioxide;
2189-3. Both surface water and groundwater can be adequately
2190-protected;
2191-4. The injection and geologic storage of carbon dioxide will
2192-not injure oil, gas, or any other mineral formation in any material
2193-respect, or such injury has been addressed in an arrangement between
2194-the applicant and the mineral le ssee or owner. Provided, however,
2195-such arrangement shall be in written form and subm itted to the
2196-Commission prior to approval of the unit;
2197-5. The applicant has obtained the consent of the owners
2198-representing no less than sixty-three percent (63%) of the ownership
2199-of the pore space, based on the surface acreage of th e proposed
2200-geologic storage facility. Provided, such consent shall be in
2201-written form and submitted to the Commission prior to approval of
2202-the unit;
2203-6. The applicant has made a fair and reaso nable offer to
2204-unitize the nonconsenting pore space owners ’ interests; and
2205-7. All pore space owners who did not consent to unitize their
2206-interests in order to develop the pore space as a proposed geologic
2207-storage facility but who are or will be subject to a unitization
2208-order are or will be equitably compensated for t he appurtenant and
2209-reasonable use of the pore space and surface.
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2236-B. To amend a unitization order for the purpose of changing the
2237-size of a geologic storage facility, the storage operator shall
2238-demonstrate to the Commission that the operator has obtained t he
2239-consent of the owners representing no less than sixty-three percent
2240-(63%) of the ownership of the pore space based on the surface
2241-acreage of the proposed geologic storage facility as describ ed in
2242-the proposed amended order.
2243-C. An unknown or unlocatable pore space owner is considered to
2244-have consented to unitize the owner ’s interest, provided that the
2245-proposed storage operator complied with the notice requirements
2246-described in Section 8 of th is act. An unknown or unlocatable pore
2247-space owner is eligible for compensation unde r paragraph 8 of
2248-subsection A of this section.
2249-D. An offer made to unitize the nonconsenting pore space
2250-owners’ interest shall be considered fair and reasonable under
2251-paragraph 7 of subsection A of this section if it is made in a
2252-similar manner as the offer made to the other owners of pore space
2253-in the proposed unit, taking into account any material differences
2254-in circumstances.
2255-E. A final unitization order entered by the Commission under
2256-this section, unless modified or overturned b y a final order from a
2257-court, shall be considered final and conclusive as to all facts,
2258-findings, and conclusions contained in the order for all purposes
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2285-and as to all parties notified and thei r heirs, successors, and
2286-assigns.
2287-SECTION 10. NEW LAW A new section of law to be codified
2288-in the Oklahoma Statutes as Section 3 -5-109 of Title 27A, unless
2289-there is created a duplication in numbering, reads as follows:
2290-A. 1. Not later than fifty (50) years after cessation of
2291-injection into a geologic storage facilit y for carbon dioxide, or
2292-following the end of any other time frame established on a site -
2293-specific basis by application to the Corporation Commission, the
2294-Commission shall issue a certificate of completion of injection
2295-operations, upon a showing by the current storage operator of all of
2296-the following:
2297-a. the reservoir is reasonably expected to retain
2298-mechanical integrity,
2299-b. the carbon dioxide will reasonably remain emplaced ,
2300-c. the storage facility does not pose an endangerment to
2301-underground sources of dri nking water, or to public
2302-health or public safety,
2303-d. the current storage facility operator has complied
2304-with all applicable regulations related to post -
2305-injection monitoring and the issuance of the
2306-certificate of completion of injecti on operations, and
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2333-e. the storage facility has been closed in accordance
2334-with all applicable requirements related to site
2335-closure.
2336-2. Upon issuance of a certificate of completion of injection
2337-operations, ownership of the remaining project including the st ored
2338-carbon dioxide shall transfer to the state.
2339-3. Upon issuance of a certificate of completion of injection
2340-operations, the storage facility operator, all owners of carbon
2341-dioxide stored in the facility, and all owners otherwise having any
2342-interest in the storage facility, shall be released from any and all
2343-future duties or obligations relating to the facility and any and
2344-all liability associated with or related to that facility which
2345-arises after the issuance of the certificate of completion of
2346-injection operations.
2347-B. The release from duties or obligations under paragraph 3 of
2348-subsection A of this section shall not apply to:
2349-1. A current or former owner or operator of a storage facility
2350-when such duties or obligations arise from that owner or operator ’s
2351-noncompliance with applicable underground injection control laws and
2352-regulations prior to issuance of the certificate ; or
2353-2. Any owner or operator of a storage facility if it is
2354-demonstrated that such owner or operator intentionally and knowingly
2355-concealed or misrepresented material facts related to the mechanical
2356-
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2382-integrity of the storage facility or the chemical composition of any
2383-injected carbon dioxide.
2384-C. Continued monitoring of the sit e, including remediation of
2385-any well leakage, shall become the principal responsibility of the
2386-Commission.
2387-D. The Commission may levy fees for the purpose of implementing
2388-the provisions of this act in a form and schedule to be determined
2389-by the Oil and Gas Conservation Division of the Commission for each
2390-ton of carbon dioxide injected int o a storage facility. At the end
2391-of each fiscal year, the Commission may redetermine the fees
2392-collected based upon the estimated cost of administering and
2393-enforcing the provisions of this act for the upcoming year divided
2394-by the tonnage of carbon dioxide expected to be injected during the
2395-upcoming year. The total fee assessed shall be sufficient to assure
2396-a balance in the Class VI Carbon Sequestration Storage Facility
2397-Revolving Fund not to exceed Five Million Dollars ($5,000,000.00)
2398-for any active storage facility within the state at the beginning of
2399-each fiscal year. Any amount received by the Commission that
2400-exceeds the annual balance required under this subsection shal l be
2401-deposited into the fund, but appropriate credits shall be given
2402-against future fees for the storage facility. The Commission shall
2403-promulgate rules regarding the form and manner for fee amount and
2404-payment method.
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2431-SECTION 11. NEW LAW A new section of law to be codified
2432-in the Oklahoma Statu tes as Section 3-5-110 of Title 27A, unless
2433-there is created a duplication in numbering, reads as follows:
2434-A. There is hereby created in the State Treasury a revolving
2435-fund for the Corporation Commission to be designated the “Class VI
2436-Carbon Sequestration Storage Facility Revolving Fund ”. The fund
2437-shall be a continuing fund, not subject to fiscal year limitations,
2438-and shall consist of all monies received by the Commission from
2439-fines and fees paid to the Commission pursuant to Sections 9 through
2440-11 of this act. All monies accr uing to the credit of the fund are
2441-hereby appropriated and may be budgeted and expended by the
2442-Commission for the purpose s provided for in this section.
2443-Expenditures from the fund shall be made upon warrants issued by the
2444-State Treasurer against claims filed as prescribed by law with the
2445-Director of the Office of Management and Enterprise Services for
2446-approval and payment.
2447-B. If a storage facility at any time deposits mor e than Five
2448-Million Dollars ($5,000,000.00) to the fund, the fe e assessments to
2449-that storage facility shall cease until such time as funds begin to
2450-be expended for that facility. The State Treasurer shall certify to
2451-the Commission the date on which the ba lance in the fund for a
2452-storage facility equals or exceeds Five Million Dollars
2453-($5,000,000.00). On and after the first day of the second month
2454-following the certification, fees shall not be collected from the
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2480-
2481-facility; provided, fee collection shall resu me on receipt of a
2482-certification by the State Treasurer that, b ased on the expenditur es
2483-and commitments to expend monies, the fund has fallen below Four
2484-Million Dollars ($4,000,000.00) of funds collected from that
2485-facility.
2486-C. Expenditures from the fund m ay be used to:
2487-1. Remediate any issues associated with, arisin g from, or
2488-related to the site, including remediation of property, of site
2489-infrastructure, and of any mechanical problems associated with the
2490-remaining wells;
2491-2. Fund research and development in connection with carbon
2492-sequestration technologies and method s;
2493-3. Monitor any remaining surface facilities and wells;
2494-4. Repair any mechanical leaks at the storage facility;
2495-5. Hire outside legal counsel as needed to effectuate the
2496-provisions of this act;
2497-6. Plug remaining injection wells, except for those well s to be
2498-used as observation wells; and
2499-7. Contract for assistance with permit or application review.
2500-D. Not later than November 1 annually, the Commission shall
2501-furnish a report electronically to the Secretary of Energy and
2502-Environment, the President Pro Tempore of the Senate , and the
2503-Speaker of the House of Representatives. The report shall address
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2530-the administration of funds, fund balances, expenditures made, and
2531-any other information deeme d necessary by the Commission.
2532-E. Not later than November 1, 2 029, and every five (5) years
2533-thereafter, the Commission shall furnish a report electronically to
2534-the President Pro Tempore of the Senate and the Speaker of the House
2535-of Representatives assessi ng the effectiveness of the fund and other
2536-related provisions w ithin this act. The Commission shall provide
2537-such other information as may be requested by the Legislature.
2538-SECTION 12. AMENDATORY 52 O.S. 2021, Section 139, is
2539-amended to read as follows:
2540-Section 139. A. The Corporation Commiss ion is vested with
2541-exclusive jurisdiction, power and authority, and it shall be its
2542-duty, to make and enforce such rules and orders governing and
2543-regulating the handling, storage and dispositio n of saltwater,
2544-mineral brines, waste oil and other deleterious substances produced
2545-from or obtained or used in connection with the drilling,
2546-development, producing, and operating of oil and gas wells and brine
2547-wells within this state as are reasonable and necessary for the
2548-purpose of preventing the pollution of the s urface and subsurface
2549-waters in the state, and to otherwise carry out the purpose of this
2550-act Section 139 et seq. of this title .
2551-B. 1. Except as otherwise provided by this subsection, the
2552-Corporation Commission is hereby vested with exclusive jurisdictio n,
2553-power and authority, and it shall be its duty to promulgate and
2554-
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2579-
2580-enforce rules, and issue and enforce orders governing and
2581-regulating:
2582-a. the conservation of oil and gas,
2583-b. field operations for geologic and geophysical
2584-exploration for oil, gas and brine , including seismic
2585-survey wells, stratigraphic test wells and core test
2586-wells,
2587-c. the exploration, drilling, development, producing or
2588-processing for oil and gas on the lease site,
2589-d. the exploration, drilling, development, production and
2590-operation of wells used in connection with the
2591-recovery, injection or disposal of mineral brines,
2592-e. reclaiming facilities only for the processing of salt
2593-water, crude oil, natural gas condensate and tank
2594-bottoms or basic sediment from crude oil tanks,
2595-pipelines, pits and equipment associated with the
2596-exploration, drilling, development, producing or
2597-transportation of oil or gas,
2598-f. injection wells known as Class II wells under the
2599-federal Underground Injection Control Program, and any
2600-aspect of any CO2 sequestration facili ty, including
2601-any associated CO2 injection well, over which the
2602-Commission is given jurisdiction pursuant to the
2603-Oklahoma Carbon Capture and Geologic Sequestration
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2630-Act. Any substance that the United States
2631-Environmental Protection Agency allows to be inje cted
2632-into a Class II well may continue to be so injected,
2633-underground injection control pursuant to the federal
2634-Safe Drinking Water Act and 40 CFR Parts 144 through
2635-148, including:
2636-(1) Class II injection wells,
2637-(2) Class V injection wells utilized in the
2638-remediation of groundwa ter associated with
2639-underground or aboveground storage tanks
2640-regulated by the Commission,
2641-(3) those wells used for the recovery, injection, or
2642-disposal of mineral brines a s defined in the
2643-Oklahoma Brine Development Act, and
2644-(4) any aspect of a Class VI CO2 sequestration
2645-facility including associated Class VI CO2
2646-injection wells, over which the Commission is
2647-given jurisdiction pursuant to the Oklahoma
2648-Carbon Capture and Geol ogic Sequestration Act,
2649-g. tank farms for storage of crude oil and petroleum
2650-products which are located outside the boundaries of
2651-the refineries, petrochemical manufacturing plants,
2652-natural gas liquid extraction plants, or other
2653-facilities which are subjec t to the jurisdiction of
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2680-the Department of Environmental Qualit y with regard to
2681-point source discharges,
2682-h. the construction and operation of pipelines and
2683-associated rights-of-way, equipment, facilities or
2684-buildings used in the transportation of oil, gas,
2685-petroleum, petroleum products, anhydrous ammonia or
2686-mineral brine, or in the treatme nt of oil, gas or
2687-mineral brine during the course of transportation but
2688-not including line pipes associated with processing at
2689-or in any:
2690-(1) natural gas liquids extractio n plant,
2691-(2) refinery,
2692-(3) reclaiming facility other than for t hose
2693-specified within subparagraph e of this
2694-paragraph,
2695-(4) mineral brine processing plant, and
2696-(5) petrochemical manufacturing plant,
2697-i. the handling, transportation, storage and disposition
2698-of saltwater, mineral brines, waste oil and other
2699-deleterious substances produced from or obtained or
2700-used in connection with the drilling, development,
2701-producing and operating of oil and gas wells, at:
2702-(1) any facility or activity specifically listed in
2703-paragraphs 1 this paragraph and paragraph 2 of
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2730-this subsection as being subject to the
2731-jurisdiction of the Commission, and
2732-(2) other oil and gas extraction facilities and
2733-activities,
2734-j. spills of deleterious substances associated with
2735-facilities and activiti es specified in paragraph 1 of
2736-this subsection paragraph or associated with other oil
2737-and gas extraction facilities and activities, and
2738-k. subsurface storage of oil, natural gas and liquefied
2739-petroleum gas in geologic strata.
2740-2. The exclusive jurisdiction , power and authority of the
2741-Corporation Commission shall also extend to the construction,
2742-operation, maintenance, site remediation, closure and abandonment of
2743-the facilities and activities described in paragraph 1 of this
2744-subsection.
2745-3. When a deleteriou s substance from a Commission -regulated
2746-facility or activity en ters a point source di scharge of pollutants
2747-or storm water from a facility or activity regulated by the
2748-Department of Environmental Quality, the Department shall have sole
2749-jurisdiction over the point source discharge of the commingled
2750-pollutants and storm water from the two facilities or activities
2751-insofar as Department -regulated facilities and activities are
2752-concerned.
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2779-4. For purposes of the Federal federal Clean Water Act, any
2780-facility or activity which is subject to the jurisdiction of the
2781-Corporation Commission pursuant to paragraph 1 of this subsection
2782-and any other oil and gas extraction facility or activity which
2783-requires a permit for the discharge of a pollutant or storm water to
2784-waters of the United States shall be subject to the direct
2785-jurisdiction of the United States Environmental Protection Agency
2786-and shall not be required to be permitted by the Department of
2787-Environmental Quality or the Corporation Commission for such
2788-discharge.
2789-5. The Corporation Commission shall have jurisdiction over:
2790-a. underground storage tank s that contain antifreeze,
2791-motor oil, motor fuel, gasoline, kerosene, diesel, or
2792-aviation fuel and that are not located at refineries
2793-or at upstream or intermediate shipme nt points of
2794-pipeline operations, including, but not limited to ,
2795-tanks from which these materials are dispensed into
2796-vehicles, or tanks used in wholesale or bulk
2797-distribution activities, as well as leaks from pumps,
2798-hoses, dispensers, and other ancillary e quipment
2799-associated with the tanks, whether above the ground or
2800-below; provided that any point source discharge of a
2801-pollutant to waters of the United States during site
2802-remediation or the off -site disposal of contaminated
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2829-soil, media, or debris shall be r egulated by the
2830-Department of Environmental Quality,
2831-b. aboveground storage tanks that contain antifreeze,
2832-motor oil, motor fuel, gasoline, kerosene, diesel, or
2833-aviation fuel and that are not located at refineries
2834-or at upstream or intermediate shipment po ints of
2835-pipeline operations, including, but not limited to,
2836-tanks from which these ma terials are dispensed into
2837-vehicles, or tanks used in wholesale or bulk
2838-distribution activities, as well as leaks from pumps,
2839-hoses, dispensers, and other ancillary equipm ent
2840-associated with the tanks, whether above the ground or
2841-below; provided that any point source discharge of a
2842-pollutant to waters of the United States during site
2843-remediation or the off -site disposal of contaminated
2844-soil, media, or debris shall be regula ted by the
2845-Department of Environmental Quality, and
2846-c. the Petroleum Storage Tank Rel ease Environmental
2847-Cleanup Indemnity Fund and Program and the Oklahoma
2848-Leaking Underground Storage Tank Trust Fund .
2849-6. The Department of Environmental Quality shall have sole
2850-jurisdiction to regulate the transportation, discharge or release of
2851-deleterious substances or hazardous or solid waste or other
2852-pollutants from rolling stock and rail facilities. The Department
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28792875 of Environmental Quality shall not have any jurisdictio n with
28802876 respect to pipeline transportation of carbon dioxide.
28812877 7. The Department of En vironmental Quality shall have sole
28822878 environmental jurisdiction for point and nonpoint source discharges
28832879 of pollutants and storm water to waters of the state from:
28842880 a. refineries, petrochemical manufacturing plants and
28852881 natural gas liquid extraction plants,
28862882 b. manufacturing of oil and gas related equipment and
28872883 products,
28882884 c. bulk terminals, aboveground and underground storage
28892885 tanks not subject to the jurisdiction of the
28902886 Commission pursuant to this subsection, and
28912887 d. other facilities, activities and sources not s ubject
28922888 to the jurisdiction of the Corporation Commissi on or
28932889 Oklahoma Department of Agriculture , Food, and Forestry
28942890 as specified by this section.
28952891 8. The Department of Envi ronmental Quality shall have sole
28962892 environmental jurisdiction to regulate air emissions from all
28972893 facilities and sources subject to operating permit requirements
28982894 under Title V of the Federal federal Clean Air Act as amended.
28992895 C. The Corporation Commission sh all comply with and enforce the
29002896 Oklahoma Water Quality Standards.
29012897 D. 1. For the purpose of immediately responding to emergency
29022898 situations having potentially critical environmental or public
29032899
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29292926 safety impact and resulting from activities within its jurisdict ion,
29302927 the Commission may take whatever necessary action, without notice
29312928 and hearing, including the expenditure of monies from the
29322929 Corporation Commission Revolving Fund, to promptly respond to the
29332930 emergency. Such emergency expenditure shall be made pursuant to the
29342931 provisions of The the Oklahoma Central Purchasing Act, upon such
29352932 terms and conditions established by the Office of Management and
29362933 Enterprise Services to accomplish the purposes of this section.
29372934 Thereafter, the Commission shall seek reimbursement f rom the
29382935 responsible person, firm or corporation for all expenditures made
29392936 from the Corporation Commission Revolving Fund. Any monies recei ved
29402937 as reimbursement shall be deposited to the credit of the Corporation
29412938 Commission Revolving Fund.
29422939 2. The Commission shall not expend from any fund in the State
29432940 Treasury, in any fiscal year, for the p urposes herein provided, an
29442941 amount of money in excess of the total sum specifically authorized
29452942 annually by the Legislature for such purposes. Any monies received
29462943 by the Commission through execution on any required surety shall not
29472944 be subject to such limitation on expenditure for remedial action.
29482945 3. Neither the Commission nor any independent contractor of the
29492946 Commission authorized to conduct remedial action under this sect ion
29502947 shall be held liable or responsible for any damages resulting from
29512948 non-negligent actions reasonably necessary for conducting remedial
29522949 work. Nothing in this section shall limit the authority of the
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29792977 Commission or relieve any person or persons otherwise legally
29802978 responsible from any obligation to prevent or remediate pollution.
29812979 SECTION 13. This act shall become effective Nove mber 1, 2024.
2982-Passed the Senate the 7th day of March, 2024.
2983-
2984-
2985-
2986- Presiding Officer of the Senate
2987-
2988-
2989-Passed the House of Representatives the ____ day of __________,
2990-2024.
2991-
2992-
2993-
2994- Presiding Officer of the Hou se
2995- of Representatives
2996-
2997-
2980+
2981+COMMITTEE REPORT BY: COMMITTEE ON ENERGY AND NATURAL RESOURCES ,
2982+dated 04/11/2024 - DO PASS, As Amended and Coauthored.