Oklahoma 2025 Regular Session

Oklahoma Senate Bill SB269 Latest Draft

Bill / Amended Version Filed 04/21/2025

                             
 
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HOUSE OF REPRESENTATIVES - FLOOR VERSION 
 
STATE OF OKLAHOMA 
 
1st Session of the 60th Legislature (2025) 
 
COMMITTEE SUBSTITUTE 
FOR ENGROSSED 
SENATE BILL NO. 269 	By: Rader of the Senate 
 
  and 
 
  Luttrell of the House 
 
 
 
 
 
COMMITTEE SUBSTITUTE 
 
An Act relating to carbon sequestration; amending 17 
O.S. 2021, Section 52, which relates to Corporation 
Commission jurisdiction; modifying jurisdiction of 
Commission; updating statutory language; amending 27A 
O.S. 2021, Section 1 -3-101, as last amended by 
Section 2, Chapter 164, O.S.L. 2023 (27A O.S. Supp. 
2024, Section 1-3-101), which relates to 
responsibilities and jurisdiction of state 
environmental agencies; modifying duties of certain 
agencies; amending 27A O.S. 2021, Sections 3 -5-101, 
3-5-102, 3-5-103, 3-5-104, as amended by Section 1, 
Chapter 353, O.S.L. 2023, 3 -5-105, and 3-5-106 (27A 
O.S. Supp. 2024, Section 3 -5-104), which relate to 
the Oklahoma Carbon Capture and Geologic 
Sequestration Act; modifying legislative intent; 
modifying definitions; defini ng terms; modifying 
Corporation Commission jurisdiction over CO 2 injection 
wells; allowing Commission to enter into memorandums 
of understanding; modifying notice requirements; 
updating statutory language; providing Corporation 
Commission with jurisdiction over certain CO 2 
sequestration facilities and storage units; 
establishing provisions for creation of certain 
facilities; requiring inclusion of certain ownership 
percentage for inclusion in CO 2 storage unit; 
requiring notice to be served on certain person s and 
through certain newspapers of general circulation;   
 
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requiring certain determination prior to creation of 
CO2 storage unit; providing for rights of certain 
owners; prescribing contents of certain Commission 
orders; providing process for reduction or 
enlargement of certain CO 2 storage unit; requiring 
notice of application for reduction or enlargement; 
directing rule promulgation; providing for appeals of 
Corporation Commission orders to be made to the 
Supreme Court; establishing process for issuance of 
certificate of completion of injection operations; 
providing for release from certain obligations under 
certain circumstances; authorizing fees to be levied 
by the Commission; providing total fee assessment 
amount; creating the Class VI Carbon Sequestration 
Storage Facility Revolving Fund; stating source of 
funds; establishing fund purpose; providing for 
cessation of fee assessments for certain CO 2 
sequestration facilities under certain circumstances; 
providing permitted uses for fund expenditure; 
requiring reporting; amending 52 O.S. 2021, Section 
139, which relates to Corporation Commission 
jurisdiction; modifying jurisdiction over certain 
injection wells; updating statutory language; 
updating statutory references; providing for 
codification; and providing an effective date. 
 
 
 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY     17 O.S. 2021, Section 52, is 
amended to read as follows: 
Section 52.  A.  1.  Except as otherwise provided by this 
section, the Corporation Commission is hereby vested with exclusive 
jurisdiction, power and authority with reference to: 
a. the conservation of oil and gas,   
 
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b. field operations for geologic and geophysical 
exploration for oil, gas and brine, including seismic 
survey wells, stratigraphic test wells and core test 
wells, 
c. the exploration, drilling, development, producing or 
processing for oil and gas on the lease site, 
d. the exploration, drilling, development, production and 
operation of wells used in connection with the 
recovery, injection or disposal of mineral brines, 
e. reclaiming facilities only for the processing of salt 
water, crude oil, natural gas condensate and tank 
bottoms or basic sediment from crude oil tanks, 
pipelines, pits and equipment associated with the 
exploration, drilling, development, producing or 
transportation of oil or gas, 
f. injection wells known as Class II wells under the 
federal Underground Injection Control Program program, 
and any aspect of any CO 2 sequestration facility, 
including any associated Class VI CO2 injection well, 
and any CO2 storage unit associated with a CO 2 
sequestration facility , over which the Commission is 
given jurisdiction pursuant to the Oklahoma Carbon 
Capture and Geologic Sequestration Act.  Any substance 
that the United States Environmental Protection Agency   
 
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allows to be injected into a Class II well may 
continue to be so injected, 
g. tank farms for storage of crude oil and petroleum 
products which are located outside the boundaries of 
refineries, petrochemical manufacturing plants, 
natural gas liquid extraction plants, or other 
facilities which are subject to the jurisdiction of 
the Department of Environmental Quality with regard to 
point source discharges, 
h. the construction and operation of pipelines and 
associated rights-of-way, equipment, facilities or 
buildings used in the transportation of oil, gas, 
petroleum, petroleum products, anhydrous ammonia or 
mineral brine, or in the treatment of oil, gas or 
mineral brine during the course of transportation but 
not including line pipes in any: 
(1) natural gas liquids extraction plant, 
(2) refinery, 
(3) reclaiming facility other than for those 
specified within subparagraph e of this 
subsection paragraph, 
(4) mineral brine processing plant, and 
(5) petrochemical manufacturing plant,   
 
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i. the handling, transportation, storage and disposition 
of saltwater, mineral brines, waste oil and other 
deleterious substances produced from or obtained or 
used in connection with the drilling, development, 
producing and operating of oi l and gas wells, at: 
(1) any facility or activity specifically listed in 
paragraphs 1 this paragraph and paragraph 2 of 
this subsection as being subject to the 
jurisdiction of the Commission, and 
(2) other oil and gas extraction facilities and 
activities, 
j. spills of deleterious substances associated with 
facilities and activities specified in this paragraph 
1 of this subsection or associated with other oil and 
gas extraction facilities and activities, and 
k. subsurface storage of oil, natural gas and liqu efied 
petroleum gas in geologic strata. 
2.  The exclusive jurisdiction, power and authority of the 
Corporation Commission shall also extend to the construction, 
operation, maintenance, site remediation, closure and abandonment of 
the facilities and activit ies described in paragraph 1 of this 
subsection. 
3.  When a deleterious substance from a Commission -regulated 
facility or activity enters a point source discharge of pollutants   
 
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or storm water from a facility or activity regulated by the 
Department of Environmental Quality, the Department shall have sole 
jurisdiction over the point source discharge of the commingled 
pollutants and storm water from the two facilities or activities 
insofar as Department -regulated facilities and activities are 
concerned. 
4.  For purposes of the Federal federal Clean Water Act, any 
facility or activity which is subject to the jurisdiction of the 
Corporation Commission pursuant to paragraph 1 of this subsection 
and any other oil and gas extraction facility or activity which 
requires a permit for the discharge of a pollutant or storm water to 
waters of the United States shall be subject to the direct 
jurisdiction of the United States Environmental Protection Agency 
and shall not be required to be permitted by the Department of 
Environmental Quality or the Corporation Commission for such 
discharge. 
5.  The Corporation Commission shall have jurisdiction over: 
a. underground storage tanks that contain antifreeze, 
motor oil, motor fuel, gasoline, kerosene, diesel, or 
aviation fuel and th at are not located at refineries 
or at upstream or intermediate shipment points of 
pipeline operations, including, but not limited to, 
tanks from which these materials are dispensed into 
vehicles, or tanks used in wholesale or bulk   
 
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distribution activities, as well as leaks from pumps, 
hoses, dispensers, and other ancillary equipment 
associated with the tanks, whether above the ground or 
below; provided, that any point source discharge of a 
pollutant to waters of the United States during site 
remediation or the off-site disposal of contaminated 
soil, media, or debris shall be regulated by the 
Department of Environmental Quality, 
b. aboveground storage tanks that contain antifreeze, 
motor oil, motor fuel, gasoline, kerosene, diesel, or 
aviation fuel and that a re not located at refineries 
or at upstream or intermediate shipment points of 
pipeline operations, including, but not limited to, 
tanks from which these materials are dispensed into 
vehicles, or tanks used in wholesale or bulk 
distribution activities, as well as leaks from pumps, 
hoses, dispensers, and other ancillary equipment 
associated with the tanks, whether above the ground or 
below; provided, that any point source discharge of a 
pollutant to waters of the United States during site 
remediation or the off-site disposal of contaminated 
soil, media, or debris shall be regulated by the 
Department of Environmental Quality, and   
 
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c. the Petroleum Storage Tank Release Environmental 
Cleanup Indemnity Fund and Program and the Oklahoma 
Leaking Underground Storage Tank Trust Fund. 
6.  The Department of Environmental Quality shall have sole 
jurisdiction to regulate the transportation, discharge or release of 
deleterious substances or hazardous or solid waste or other 
pollutants from rolling stock and rail facilities.  The Department 
of Environmental Quality shall not have any jurisdiction with 
respect to pipeline transportation of carbon dioxide. 
7.  The Department of Environmental Quality shall have sole 
environmental jurisdiction for point and nonpoint source discha rges 
of pollutants and storm water to waters of the state from: 
a. refineries, petrochemical manufacturing plants and 
natural gas liquid extraction plants, 
b. manufacturing of oil and gas related equipment and 
products, 
c. bulk terminals, aboveground and u nderground storage 
tanks not subject to the jurisdiction of the 
Commission pursuant to this subsection, and 
d. other facilities, activities and sources not subject 
to the jurisdiction of the Corporation Commission or 
Oklahoma Department of Agriculture , Food, and Forestry 
as specified by this section.   
 
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8.  The Department of Environmental Quality shall have sole 
environmental jurisdiction to regulate air emissions from all 
facilities and sources subject to operating permit requirements 
under Title V of the Federal federal Clean Air Act as amended. 
B.  The Corporation Commission and incorporated cities and towns 
shall have exclusive jurisdiction over permit fees for the drilling 
and operation of oil and gas wells. 
C.  The Corporation Commission shall comply with and enforce the 
Oklahoma Water Quality Standards. 
D.  For purposes of immediately responding to emergency 
situations having potentially critical environmental or public 
safety impact and resulting from activities within its jurisdiction, 
the Corporation Commission may take whatever action is necessary, 
without notice and hearing, including without limitation the 
issuance or execution of administrative agreements by the Oil and 
Gas Conservation Division of the Corporation Commission, to promptly 
respond to the emergency. 
SECTION 2.     AMENDATORY     27A O.S. 2021, Section 1 -3-101, as 
last amended by Section 2, Chapter 164, O.S.L. 2023 (27A O.S. Supp. 
2024, Section 1-3-101), is amended to read as follows: 
Section 1-3-101.  A.  The provision s of this section specify the 
jurisdictional areas of responsibility for each state environmental 
agency and state agencies with limited environmental responsibility.  
The jurisdictional areas of environmental responsibility specified   
 
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in this section shall be in addition to those otherwise provided by 
law and assigned to the specific state environmental agency; 
provided, that any rule, interagency agreement or executive order 
enacted or entered into prior to the effective date of this section 
July 1, 1993, which conflicts with the assignment of jurisdictional 
environmental responsibilities specified by this section is hereby 
superseded.  The provisions of this subsection shall not nullify any 
financial obligation arising from services rendered pursuant to an y 
interagency agreement or executive order entered into prior to July 
1, 1993, nor nullify any obligations or agreements with private 
persons or parties entered into with any state environmental agency 
before July 1, 1993. 
B.  Department of Environmental Q uality.  The Department of 
Environmental Quality shall have the following jurisdictional areas 
of environmental responsibility: 
1.  All point source discharges of pollutants and storm water to 
waters of the state which originate from municipal, industrial, 
commercial, mining, transportation and utilities, construction, 
trade, real estate and finance, services, public administration, 
manufacturing and other sources, facilities and activities, except 
as provided in subsections D and E of this section; 
2.  All nonpoint source discharges and pollution except as 
provided in subsections D, E and F of this section;   
 
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3.  Technical lead agency for point source, nonpoint source and 
storm water pollution control programs funded under Section 106 of 
the federal Clean Wat er Act, for areas within the Department’s 
jurisdiction as provided in this subsection; 
4.  Surface water and groundwater quality and protection and 
water quality certifications; 
5.  Waterworks and wastewater works operator certification; 
6.  Public and private water supplies; 
7.  Underground injection control pursuant to the federal Safe 
Drinking Water Act and 40 CFR C.F.R., Parts 144 through 148, except 
for: 
a. Class II injection wells, 
b. Class V injection wells utilized in the remediation of 
groundwater associated with underground or aboveground 
storage tanks regulated by the Corporation Commission, 
c. those wells used for the recovery, injection or 
disposal of mineral brines as defined in the Oklahoma 
Brine Development Act regulated by the Commission, an d 
d. any aspect of any CO 2 sequestration facility , including 
any associated Class VI CO2 injection well, over which 
the Commission is given jurisdiction pursuant to the 
Oklahoma Carbon Capture and Geologic Sequestration 
Act;   
 
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8.  Notwithstanding any other p rovision in this section or other 
environmental jurisdiction statute, sole and exclusive jurisdiction 
for air quality under the federal Clean Air Act and applicable state 
law, except for indoor air quality and asbestos as regulated for 
worker safety by the federal Occupational Safety and Health Act of 
1970 and by Chapter 11 of Title 40 of the Oklahoma Statutes Asbestos 
Control Act; 
9.  Hazardous waste and solid waste including industrial, 
commercial and municipal waste; 
10.  Superfund responsibilities of th e state under the 
Comprehensive Environmental Response, Compensation , and Liability 
Act of 1980 and amendments thereto, except the planning requirements 
of Title III of the Superfund Amendment Amendments and 
Reauthorization Act of 1986; 
11.  Radioactive waste and all regulatory activities for the use 
of atomic energy and sources of radiation except for electronic 
products used for diagnosis by diagnostic X-ray x-ray facilities and 
electronic products used for bomb detection by public safety bomb 
squads within law enforcement agencies of this state or within law 
enforcement agencies of any political subdivision of this state; 
12.  Water, waste, and wastewater treatment systems including, 
but not limited to, septic tanks or other public or private waste 
disposal systems; 
13.  Emergency response as specified by law;   
 
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14.  Environmental laboratory services and laboratory 
certification; 
15.  Hazardous substances other than branding, package and 
labeling requirements; 
16.  Freshwater wellhead protection; 
17.  Groundwater protection for activities subject to the 
jurisdictional areas of environmental responsibility of the 
Department; 
18.  Utilization and enforcement of Oklahoma Water Quality 
Standards and implementation documents; 
19.  Environmental regulation of any e ntity or activity, and the 
prevention, control and abatement of any pollution, not subject to 
the specific statutory authority of another state environmental 
agency; 
20.  Development and maintenance of a computerized information 
system relating to water qu ality pursuant to Section 1 -4-107 of this 
title; 
21.  Development and promulgation of Oklahoma Water Quality 
Standards, their accompanying use support assessment protocols, 
anti-degradation policies generally affecting Oklahoma Water Quality 
Standards application and implementation including , but not limited 
to, mixing zones, low flows and variances or any modification or 
change thereof pursuant to Section 1085.30 2-6-103.2 of Title 82 of 
the Oklahoma Statutes this title, and the Water Quality Standards   
 
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Implementation Plan pursuant to Section 1 -1-202 of this title for 
its jurisdictional area of environmental responsibility; and 
22.  Development and utilization of policies and requirements 
necessary for the implementation of Oklahoma Groundwater Quality 
Standards to the extent that the implementation of such standards is 
within the scope of the Department’s jurisdiction including , but not 
limited to, the establishment of points of compliance when 
warranted. 
C.  Oklahoma Water Resources Board.  The Oklahoma Wat er 
Resources Board shall have the following jurisdictional areas of 
environmental responsibility: 
1.  Water quantity including, but not limited to, water rights, 
surface water and underground water, planning, and interstate stream 
compacts; 
2.  Weather modification; 
3.  Dam safety; 
4.  Flood plain management; 
5.  State water/wastewater loans and grants revolving fund and 
other related financial aid programs; 
6.  Administration of the federal Clean Water State Revolving 
Fund Program program including, but not limited to, making 
application for and receiving capitalization grant awards, 
wastewater prioritization for funding, technical project reviews,   
 
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environmental review process processing, and financial review and 
administration; 
7.  Water well drillers/pump installers licensing; 
8.  Technical lead agency for clean lakes eligible for funding 
under Section 314 of the federal Clean Water Act Lakes Program or 
other applicable sections of the federal Clean Water Act or other 
subsequent state and federal clean lak es programs; administration of 
a state program for assessing, monitoring, studying and restoring 
Oklahoma lakes with administration to include, but not be limited 
to, receipt and expenditure of funds from federal, state and private 
sources for clean lakes and implementation of a volunteer monitoring 
program to assess and monitor state water resources, provided such 
funds from federal Clean Water Act sources are administered and 
disbursed by the Office of the Secretary of Energy and Environment; 
9.  Groundwater protection for activities subject to the 
jurisdictional areas of environmental responsibility of the Board; 
10.  Development and promulgation of a Water Quality Standards 
Implementation Plan pursuant to Section 1 -1-202 of this title for 
its jurisdictional area of environmental responsibility; 
11.  Development of classifications and identification of 
permitted uses of groundwater, in recognized water rights, and 
associated groundwater recharge areas;   
 
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12.  Establishment and implementation of a statewide b eneficial 
use monitoring program for waters of the state in coordination with 
the other state environmental agencies; and 
13.  Coordination with other state environmental agencies and 
other public entities of water resource investigations conducted by 
the federal United States Geological Survey for water quality and 
quantity monitoring in the state. 
D.  Oklahoma Department of Agriculture, Food, and Forestry. 
1.  The Oklahoma Department of Agriculture, Food, and Forestry 
shall have the following jurisdiction al areas of environmental 
responsibility except as provided in paragraph 2 of this subsection: 
a. point source discharges and nonpoint source runoff 
from agricultural crop production, agricultural 
services, livestock production, silviculture, feed 
yards, livestock markets and animal waste, 
b. pesticide control, 
c. forestry and nurseries, 
d. fertilizer, 
e. facilities which store grain, feed, seed, fertilizer 
and agricultural chemicals, 
f. dairy waste and wastewater associated with milk 
production facilities,   
 
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g. groundwater protection for activities subject to the 
jurisdictional areas of environmental responsibility 
of the Department, 
h. utilization and enforcement of Oklahoma Water Quality 
Standards and implementation documents, 
i. development and promulgatio n of a Water Quality 
Standards Implementation Plan pursuant to Section 1 -1-
202 of this title for its jurisdictional areas of 
environmental responsibility, and 
j. storm water discharges for activities subject to the 
jurisdictional areas of environmental res ponsibility 
of the Department. 
2.  In addition to the jurisdictional areas of environmental 
responsibility specified in subsection B of this section, the 
Department of Environmental Quality shall have environmental 
jurisdiction over: 
a. (1) commercial manufacturers of fertilizers, grain 
and feed products, and chemicals, and over 
manufacturing of food and kindred products, 
tobacco, paper, lumber, wood, textile mill and 
other agricultural products, 
(2) slaughterhouses, but not including feedlots at 
these facilities, and 
(3) aquaculture and fish hatcheries ,   
 
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including, but not limited to, discharges of 
pollutants and storm water to waters of the state, 
surface impoundments and land application of wastes 
and sludge, and other pollution originating at these 
facilities, and 
b. facilities which store grain, feed, seed, fertilizer, 
and agricultural chemicals that are required by 
federal NPDES National Pollutant Discharge Elimination 
System (NPDES) regulations to obtain a permit for 
storm water discharges shall only be subject to the 
jurisdiction of the Department of Environmental 
Quality with respect to such storm water discharges. 
E.  Corporation Commission. 
1.  The Corporation Commission is hereby vested with exclusive 
jurisdiction, power and authority, and it shall be its duty to 
promulgate and enforce rules, and issue and enforce orders governing 
and regulating: 
a. the conservation of oil and gas, 
b. field operations for geologic and geophysical 
exploration for oil, gas and brine including seismic 
survey wells, stratigraphic test wells and core test 
wells, 
c. the exploration, drilling, development, producing or 
processing for oil and gas on the lease site,   
 
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d. the exploration, drilling, development, production and 
operation of wells used in connection with the 
recovery, injection or disposal of mineral brines, 
e. reclaiming facilities only for the processing of salt 
water, crude oil, natural gas condensate and tank 
bottoms or basic sediment from crude oil tanks, 
pipelines, pits and equipment associated with the 
exploration, drilling, development, producing or 
transportation of oil or gas, 
f. underground injection control pursuant to the federal 
Safe Drinking Water Act and 40 CFR C.F.R., Parts 144 
through 148 of: 
(1) Class II injection wells, 
(2) Class V injection wells utilized in the 
remediation of groundwater associated with 
underground or aboveground storage tanks 
regulated by the Commission, 
(3) those wells used for the recovery, injection or 
disposal of mineral brines as defined in the 
Oklahoma Brine Development Act , and 
(4) any aspect of any a CO2 sequestration facility , 
including any associated Class VI CO2 injection 
well wells, and any associated CO 2 storage unit, 
over which the Commission is given jurisdiction   
 
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pursuant to the Oklahoma Carbon Capture and 
Geologic Sequestration Act. 
Any substance that the United States Environmental 
Protection Agency allows to be injected into a Class 
II well may continue to be so injected, 
g. tank farms for storage of crude oil and petroleum 
products which are located outside the b oundaries of 
refineries, petrochemical manufacturing plants, 
natural gas liquid extraction plants, or other 
facilities which are subject to the jurisdiction of 
the Department of Environmental Quality with regard to 
point source discharges, 
h. the construction and operation of pipelines and 
associated rights-of-way, equipment, facilities or 
buildings used in the transportation of oil, gas, 
petroleum, petroleum products, anhydrous ammonia or 
mineral brine, or in the treatment of oil, gas or 
mineral brine during the course of transportation but 
not including line pipes in any: 
(1) natural gas liquids extraction plant, 
(2) refinery, 
(3) reclaiming facility other than for those 
specified within subparagraph e of this 
subsection paragraph,   
 
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(4) mineral brine proces sing plant, and 
(5) petrochemical manufacturing plant, 
i. the handling, transportation, storage and disposition 
of saltwater, mineral brines, waste oil and other 
deleterious substances produced from or obtained or 
used in connection with the drilling, deve lopment, 
producing and operating of oil and gas wells, at: 
(1) any facility or activity specifically listed in 
paragraphs 1 this paragraph and paragraph 2 of 
this subsection as being subject to the 
jurisdiction of the Commission, and 
(2) other oil and gas extraction facilities and 
activities, 
j. spills of deleterious substances associated with 
facilities and activities specified in this paragraph 
1 of this subsection or associated with other oil and 
gas extraction facilities and activities, 
k. subsurface storage of oil, natural gas and liquefied 
petroleum gas in geologic strata, 
l. groundwater protection for activities subject to the 
jurisdictional areas of environmental responsibility 
of the Commission, 
m. utilization and enforcement of Oklahoma Water Quali ty 
Standards and implementation documents, and   
 
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n. development and promulgation of a Water Quality 
Standards Implementation Plan pursuant to Section 1 -1-
202 of this title for its jurisdictional areas of 
environmental responsibility. 
2.  The exclusive jurisd iction, power and authority of the 
Commission shall also extend to the construction, operation, 
maintenance, site remediation, closure and abandonment of the 
facilities and activities described in paragraph 1 of this 
subsection. 
3.  When a deleterious subs tance from a Commission -regulated 
facility or activity enters a point source discharge of pollutants 
or storm water from a facility or activity regulated by the 
Department of Environmental Quality, the Department shall have sole 
jurisdiction over the point source discharge of the commingled 
pollutants and storm water from the two facilities or activities 
insofar as Department -regulated facilities and activities are 
concerned. 
4.  The Commission and the Department of Environmental Quality 
are hereby authorized to obtain authorization from the United States 
Environmental Protection Agency to administer, within their 
respective jurisdictions, any and all programs regulating oil and 
gas discharges into the waters of this state.  For purposes of the 
federal Clean Water Act, any facility or activity which is subject 
to the jurisdiction of the Commission pursuant to paragraph 1 of   
 
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this subsection and any other oil and gas extraction facility or 
activity which requires a permit for the discharge of a pollutant or 
storm water to waters of the United States shall be subject to the 
direct jurisdiction and permitting authority of the Oklahoma agency 
having received delegation of this program from the United States 
Environmental Protection Agency. 
5.  The Commission shall have jurisdiction over: 
a. underground storage tanks that contain antifreeze, 
motor oil, motor fuel, gasoline, kerosene, diesel, or 
aviation fuel and that are not located at refineries 
or at the upstream or intermediate shipment points of 
pipeline operations including, but not limited to, 
tanks from which these materials are dispensed into 
vehicles, or tanks used in wholesale or bulk 
distribution activities, as well as leaks from pumps, 
hoses, dispensers, and other ancillary equipment 
associated with the ta nks, whether above the ground or 
below; provided, that any point source discharge of a 
pollutant to waters of the United States during site 
remediation or the off -site disposal of contaminated 
soil, media, or debris shall be regulated by the 
Department of Environmental Quality, 
b. aboveground storage tanks that contain antifreeze, 
motor oil, motor fuel, gasoline, kerosene, diesel, or   
 
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aviation fuel and that are not located at refineries 
or at the upstream or intermediate shipment points of 
pipeline operations including, but not limited to, 
tanks from which these materials are dispensed into 
vehicles, or tanks used in wholesale or bulk 
distribution activities, as well as leaks from pumps, 
hoses, dispensers, and other ancillary equipment 
associated with the tan ks, whether above the ground or 
below; provided, that any point source discharge of a 
pollutant to waters of the United States during site 
remediation or the off -site disposal of contaminated 
soil, media, or debris shall be regulated by the 
Department of Environmental Quality, and 
c. the Petroleum Storage Tank Release Environmental 
Cleanup Indemnity Fund, the Oklahoma Petroleum Storage 
Tank Release Indemnity Program, and the Oklahoma 
Leaking Underground Storage Tank Trust Fund. 
6.  The Department of Environ mental Quality shall have sole 
jurisdiction to regulate the transportation, discharge or release of 
deleterious substances or solid or hazardous waste or other 
pollutants from rolling stock and rail facilities.  The Department 
of Environmental Quality shal l not have any jurisdiction with 
respect to pipeline transportation of carbon dioxide.   
 
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7.  The Department of Environmental Quality shall have sole 
environmental jurisdiction for point and nonpoint source discharges 
of pollutants and storm water to waters o f the state from: 
a. refineries, petrochemical manufacturing plants and 
natural gas liquid extraction plants, 
b. manufacturing of equipment and products related to oil 
and gas, 
c. bulk terminals, aboveground and underground storage 
tanks not subject to the jurisdiction of the 
Commission pursuant to this subsection, and 
d. other facilities, activities and sources not subject 
to the jurisdiction of the Commission or the Oklahoma 
Department of Agriculture, Food, and Forestry as 
specified by this section. 
8.  The Department of Environmental Quality shall have sole 
environmental jurisdiction to regulate air emissions from all 
facilities and sources subject to operating permit requirements 
under Title V of the federal Clean Air Act , as amended. 
F.  Oklahoma Conservation Commission.  The Oklahoma Conservation 
Commission shall have the following jurisdictional areas of 
environmental responsibility: 
1.  Soil conservation, erosion control and nonpoint source 
management except as otherwise provided by law;   
 
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2.  Monitoring, evaluation and assessment of waters to determine 
the condition of streams and rivers being impacted by nonpoint 
source pollution.  In carrying out this area of responsibility, the 
Oklahoma Conservation Commission shall serve as the technical lead 
agency for nonpoint source categories as defined in Section 319 of 
the federal Clean Water Act or other subsequent federal or state 
nonpoint source programs, except for activities related to 
industrial and municipal storm water or as otherwise provided by 
state law; 
3.  Wetlands strategy; 
4.  Abandoned mine reclamation; 
5.  Cost-share program for land use activities; 
6.  Assessment and conservation plan development and 
implementation in watersheds of clean lakes, as specified by law; 
7.  Complaint data management ; 
8.  Coordination of environmental and natural resources 
education; 
9.  Federal upstream flood control program; 
10.  Groundwater protection for activities subject to the 
jurisdictional areas of environmental responsibility of the 
Commission; 
11.  Development and promulgation of a Water Quality Standards 
Implementation Plan pursuant to Section 1 -1-202 of this title for 
its jurisdictional areas of environmental responsibility;   
 
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12.  Utilization of Oklahoma Water Quality Standards and Water 
Quality Standards Implementation Plan documents; and 
13.  Verification and certification of carbon sequestration 
pursuant to the Oklahoma Carbon Sequestration Enhancement Act.  This 
responsibility shall not be superseded by the Oklahoma Carbon 
Capture and Geologic Sequestrat ion Act. 
G.  Department of Mines.  The Department of Mines shall have the 
following jurisdictional areas of environmental responsibility: 
1.  Mining regulation; 
2.  Mining reclamation of active mines; 
3.  Groundwater protection for activities subject to th e 
jurisdictional areas of environmental responsibility of the 
Commission; and 
4.  Development and promulgation of a Water Quality Standards 
Implementation Plan pursuant to Section 1 -1-202 of this title for 
its jurisdictional areas of responsibility. 
H.  Department of Wildlife Conservation.  The Department of 
Wildlife Conservation shall have the following jurisdictional areas 
of environmental responsibilities: 
1.  Investigating wildlife kills; 
2.  Wildlife protection and seeking wildlife damage claims; and 
3.  Development and promulgation of a Water Quality Standards 
Implementation Plan pursuant to Section 1 -1-202 of this title for 
its jurisdictional areas of environmental responsibility.   
 
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I.  Department of Public Safety.  The Department of Public 
Safety shall have the following jurisdictional areas of 
environmental responsibilities: 
1.  Hazardous waste, substances and material transportation 
inspections as authorized by the Oklahoma Motor Carrier Safety and 
Hazardous Materials Transportation Act; and 
2.  Inspection and audit activities of hazardous waste and 
materials carriers and handlers as authorized by the Oklahoma Motor 
Carrier Safety and Hazardous Materials Transportation Act. 
J.  Department of Labor.  The Department of Labor shall have the 
following jurisdictional areas of environmental responsibility: 
1.  Regulation of asbestos in the workplace pursuant to Chapter 
11 of Title 40 of the Oklahoma Statutes Asbestos Control Act ; 
2.  Asbestos monitoring in public and private buildings; and 
3.  Indoor air quality as regulated under the authority of the 
Oklahoma Occupational Health and Safety Standards Act, except for 
those indoor air quality issues specifically authorized to be 
regulated by another agency. 
Such programs shall be a function of the Department’s 
occupational safety and health jurisdiction. 
K.  Oklahoma Department of Emergency Management.  The Oklahoma 
Department of Emergency Management shall have the following 
jurisdictional areas of environmental responsibilities:   
 
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1.  Coordination of all emergency resources and activities 
relating to threats to citizens’ lives and property pursuant to the 
Oklahoma Emergency Resources Management Act of 1967 2003; 
2.  Administer and enforce the planning requirements of Title 
III of the Superfund Amendments and Reauth orization Act of 1986 and 
develop such other emergency operations plans that will enable the 
state to prepare for, respond to, recover from and mitigate 
potential environmental emergencies and disasters pursuant to the 
Oklahoma Hazardous Materials Planning and Notification Act; 
3.  Administer and conduct periodic exercises of emergency 
operations plans provided for in this subsection pursuant to the 
Oklahoma Emergency Resources Management Act of 1967 2003; 
4.  Administer and facilitate hazardous materials t raining for 
state and local emergency planners and first responders pursuant to 
the Oklahoma Emergency Resources Management Act of 1967 2003; and 
5.  Maintain a computerized emergency information system 
allowing state and local access to information regard ing hazardous 
materials’ location, quantity and potential threat. 
SECTION 3.     AMENDATORY     27A O.S. 2021, Section 3 -5-101, is 
amended to read as follows: 
Section 3-5-101.  A.  This act shall be known and may be cited 
as the “Oklahoma Carbon Capture and Geologic Sequestration Act”. 
B.  The Legislature finds and declares that:   
 
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1.  Carbon dioxide is a valuable commodity to the citizens of 
the state, particularly for its value in enhancing the recovery of 
oil and gas and for its use in ot her industrial and commercial 
processes and applications; 
2.  Carbon dioxide is a gas produced when carbon is oxidized by 
any process, including the combustion of material that contains 
carbon such as coal, natural gas, oil and wood, all of which exist 
in abundance in our state, and the production and use of which form 
one of the foundations of our state’s economy; 
3.  Carbon dioxide is currently being released into the 
atmosphere in substantial volumes; 
4.  In 1982, Oklahoma became the first state in the U nion to 
inject anthropogenic carbon dioxide underground.  Since that time, 
the continued injection of carbon dioxide has benefited the citizens 
of the state by assisting enhanced oil recovery efforts.  When 
carbon dioxide is injected for enhanced oil recov ery and not 
otherwise vented, emitted or removed, such carbon dioxide is 
sequestered and/or stored underground; 
5.  In its first 100 years, Oklahoma produced approximately 15 
billion barrels of oil.  The Department of Energy for the United 
States has determined that Oklahoma has the potential to produce at 
least 9 billion barrels of oil and possibly as much as 20 billion 
barrels of oil through the use of carbon dioxide in enhanced oil 
recovery.  To fully produce those natural resources, additional   
 
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regulation is not necessary or appropriate but state incentives may 
be helpful; 
6.  Storage of carbon dioxide in geological formations is an 
effective and feasible strategy to deposit, store or sequester large 
volumes of carbon dioxide over long periods of time; 
7. Geologic storage and sequestration of carbon dioxide allows 
for the capture of carbon dioxide emissions and the orderly 
withdrawal of the carbon dioxide as appropriate or necessary, 
thereby allowing carbon dioxide to be available for commercial, 
industrial, or other uses, including enhanced oil or gas recovery; 
8.  The transportation of carbon dioxide to, and the storage or 
sequestration of carbon dioxide in, underground geological 
formations for beneficial use or reuse in industrial and commercial 
applications is expected to increase in the United States and in 
Oklahoma due to initiatives by federal, state and local governments, 
industry and commerce, and other interested persons, and may present 
an opportunity for economic growth and development for the state; 
and 
9.  It remains in the public interest for carbon dioxide to be 
injected underground in this state.  The geologic sequestration and 
storage of anthropogenic carbon dioxide for purposes other than 
injection for enhanced oil or gas recovery will be nefit the citizens 
of the state. 
C. It is the intent of the Legislature that:   
 
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1.  Efforts to capture, purify, compress, transport, inject, and 
store or sequester carbon dioxide will enhance the production of oil 
and natural gas in the state, further the d evelopment and production 
of natural resources in the state, and provide opportunities for 
economic growth and development for the state; and 
2.  In the event the State of Oklahoma establishes a unitization 
process to support the establishment of CO 2 sequestration facilities 
in this state In accordance with the Oklahoma Carbon Capture and 
Geologic Sequestration Act , the Corporation Commission shall 
regulate all aspects of such process, including being responsible 
for making any necessary findings concerning the suitability of the 
reservoir targeted for carbon sequestration, whether its use for 
such purpose is in the public interest, and the impact of that use 
on the oil, gas, coal -bed methane and mineral brine resources in the 
State of Oklahoma this state. 
SECTION 4.     AMENDATORY     27A O.S. 2021, Section 3 -5-102, is 
amended to read as follows: 
Section 3-5-102.  As used in the Oklahoma Carbon Capture and 
Geologic Sequestration Act: 
1.  “Agency” means the Corporation Commission or the Depa rtment 
of Environmental Quality, as the case may be and as described in 
Section 3-5-103 of this title;   
 
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2.  “Anthropogenic carbon dioxide” or “man -made carbon dioxide” 
means the carbon dioxide compound manufactured, mechanically formed 
or otherwise caused t o occur, as a result of either: 
a. a chemical process performed by or involving efforts 
of a person, or 
b. separation of carbon dioxide from natural gas. 
The term shall not include carbon dioxide that is naturally present 
in underground locations; 
3. “Approved reservoir” means a reservoir that is determined by 
the Agency with jurisdiction Corporation Commission to be suitable 
for the receipt, storage and/or or sequestration of injected carbon 
dioxide therein; 
2.  “Capture” means capturing: 
a. CO2 emissions at their source, including power plants, 
industrial facilities, or other emissions sites before 
the emissions are released into the atmosphere, and 
b. CO2 from the atmosphere through the process of direct 
air capture; 
4. 3. “Carbon dioxide” or “CO 2” means an inorganic compound 
containing one carbon atom and two oxygen atoms, and that exists as 
a gas at standard temperature and pressure.  Carbon dioxide is an 
inert, stable, colorless, odorless, nontoxic, incombustible, 
inorganic gas that is dissolvable in water and is naturally present,   
 
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such as in underground locations and in the atmosphere as a trace 
gas; 
5. 4. “Carbon sequestration” means long-term or short-term 
underground storage or sequestration of anthropogenic carbon dioxide 
in one or more reservoir s; 
6. 5. “Class VI CO2 injection well” means an artificial 
excavation or opening in the ground made by digging, boring, 
drilling, jetting, driving, or another method and is used to inject 
or transmit anthropogenic carbon dioxide into one or more reservoir s 
for long-term storage; 
7. 6. “Class VI CO2 capture and compression equipment” means the 
equipment, separation units, processing units, processing plants, 
pipe, buildings, pumps, compressors, meters, facilities, motors, 
fixtures, materials, and machinery , and all other improvements used 
in the operation of any of them, and property, real or personal, 
intangible or tangible, either attributable to or relating to, or 
located thereon, used for the purpose of: 
a. capturing carbon dioxide from a source that pr oduces 
anthropogenic carbon dioxide, and/or 
b. compressing or otherwise increasing the pressure of 
anthropogenic carbon dioxide; 
8. 7. “CO2 pipeline” means any pipeline, compressors, pumps, 
meters, facilities, valves, fittings, right -of-way markers, cathodic 
protection ground beds, anodes, rectifiers, and any other cathodic   
 
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protection devices, and other associated equipment, appurtenances 
and fixtures located on, attributable to or used in connection with 
the same, and used for the purpose of transporting carbon dioxide 
for carbon sequestration in this state or another state, excluding: 
a. CO2 capture and compression equipment at the source of 
the carbon dioxide, and 
b. pipelines that are part of a CO 2 sequestration 
facility; 
8.  “CO2 stream” means CO 2 that has been captured from an 
emissions source, including any incidental associated substances 
derived from the source materials and the capture process, and any 
substance added to the stream to enable or improve the injection 
process; 
9.  “CO2 sequestration facility” means the approved reservoir(s), 
and all associated underground equipment and pipelines, all 
associated surface buildings and equipment, and all associated Class 
VI CO2 injection wells, utilized for carbon sequestration in a 
defined geographic bo undary established by the Agency Corporation 
Commission, excluding any: 
a. CO2 capture and compression equipment at the source of 
the carbon dioxide, and 
b. CO2 pipeline transporting carbon dioxide to the 
facility from a source located outside the geograph ic 
boundaries of the surface of the facility;   
 
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10.  “CO2 trunkline” means a CO 2 pipeline that both exceeds 
seventy-five (75) miles in distance and has a minimum pipe outside 
diameter of at least twelve (12) inches “CO2 storage unit” means a 
unit created pursuant to this act as part of a CO 2 sequestration 
facility under which the pore space of an approved reservoir is 
aggregated and communitized for the purpose of injection and storage 
of CO2; 
11.  “Commission” means the Corporation Commission as 
established by Section 15 of Article 9 IX of the Oklahoma 
Constitution; 
12.  “Common source of supply” shall have the same meaning as in 
Section 86.1 of Title 52 of the Oklahoma Statutes; 
13.  “Department” means the Department of Environmental Quality 
as established by Section 2-3-101 et seq. of this title; 
14.  “Enhanced oil or gas recovery” means the increased recovery 
of hydrocarbons, including oil and gas, from a common source of 
supply achieved by artificial means or by the application of energy 
extrinsic to the common source of supply, such as pressuring, 
cycling, pressure maintenance or injection of a substance or form of 
energy, such as injection of water and/or carbon dioxide, including 
immiscible and miscible floods; provided , that enhanced oil or gas 
recovery shall not include injection of a substance or form of 
energy for the sole purpose of either: 
a. aiding in the lifting of fluids in the well, or   
 
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b. stimulation of the reservoir at or near the well by 
mechanical, chemical, thermal or explosive means; 
15.  “Facility operator” means any person authorized by the 
Agency Corporation Commission to operate a CO 2 sequestration 
facility, including any person designated by the Commission to 
operate a CO2 storage unit as part of a CO 2 sequestration facility 
authorized under this act; 
16.  “Facility owner” means the person who owns the CO	2 
sequestration facility , and any cost-bearing owners in a CO 2 storage 
unit as part of a CO 2 sequestration facility authorized under this 
act; 
17.  “Gas” shall have the same meaning as i n Section 86.1 of 
Title 52 of the Oklahoma Statutes; 
18.  “Governmental entity” means any department, commission, 
authority, council, board, bureau, committee, legislative body, 
agency, beneficial public trust, or other establishment of the 
executive, legislative or judicial branch of the United States, the 
State of Oklahoma, any other state in the United States, the 
District of Columbia, the Territories territories of the United 
States, and any similar entity of any foreign country; 
19.  “Oil” shall have the same meaning as in Section 86.1 of 
Title 52 of the Oklahoma Statutes; 
20.  “Person” means any individual, proprietorship, association, 
firm, corporation, company, partnership, limited partnership,   
 
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limited liability company, joint venture, joint stock co mpany, 
syndicate, trust, organization, committee, club, governmental 
entity, or other type of legal entity, or any group or combination 
thereof either acting in concert or as a unit; 
21.  “Pore space” shall have the same meaning as in Section 6 of 
Title 60 of the Oklahoma Statutes; 
22. “Private operator” means any person that is either a 
facility operator or an operator of a CO 2 pipeline, but that is 
neither a public utility nor a common carrier as such terms are 
defined by the Oklahoma Statutes; and 
22. 23. “Reservoir” means any portion of a separate and 
distinct geologic or subsurface sedimentary stratum, formation, 
aquifer, cavity or void, whether naturally occurring or artificially 
created, including an oil or gas formation, saline formation, or 
coal seam. 
SECTION 5.     AMENDATORY     27A O.S. 2021, Section 3 -5-103, is 
amended to read as follows: 
Section 3-5-103.  A. The Corporation Commission shall be the 
“Agency” for, and shall have exclusive jurisdiction over Class VI CO2 
sequestration facilities involving injection wells, and the 
injection of CO 2 for carbon sequestration into , oil reservoirs, gas 
reservoirs, coal-bed methane reservoirs, and mineral brine approved 
reservoirs.  The Commission shall have such jurisdiction regardless   
 
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of whether such CO 2 sequestration facility or other injection of 
carbon dioxide involves enhanced oil or gas recovery. 
B.  The Department of Environmental Quality shall be the 
“Agency” for, and shall have exclusive jurisdiction over CO	2 
sequestration facilities involving, and injection of CO 2 for carbon 
sequestration into all reservoirs other than those described in 
subsection A of this section, which shall include, but not be 
limited to, deep saline formations, unmineable coal seams where 
methane is not produced, basalt reservoirs, salt domes, and non -
mineral bearing shales. 
SECTION 6.     AMENDATORY     27A O.S. 2021, Section 3 -5-104, as 
amended by Section 1, Chapter 353, O.S.L. 2023 (27A O.S. Supp. 2024, 
Section 3-5-104), is amended to r ead as follows: 
Section 3-5-104.  A.  The Corporation Commission and the 
Department of Environmental Quality shall execute a Memorandum of 
Understanding to address areas in which the implementation of the 
Oklahoma Carbon Capture and Geologic Sequestration Act will require 
interagency cooperation or interaction, including procedures for 
directing applicants through the application process.  The 
Corporation Commission may enter into memorandums of understanding 
with any governmental entity deemed necessary to address areas of 
implementation of the Oklahoma Carbon Capture and Geologic 
Sequestration Act that may require interagency cooperation or 
interaction.   
 
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B.  The operator of a CO 2 sequestration facility shall obtain a 
permit pursuant to the Oklahoma Carbon C apture and Geologic 
Sequestration Act from the Agency having jurisdiction Commission 
prior to the operation of a CO 2 sequestration facility, after the 
Operator provides notice of the application for such permit pursuant 
to subsection D of this section, and the Agency Commission has a 
hearing thereon upon request; provided , that no permit pursuant to 
the Oklahoma Carbon Capture and Geologic Sequestration Act is 
required if the facility operator obtains permission, by permit or 
order, by the Agency Commission pursuant to the rules and 
regulations of the state’s federally approved Underground Injection 
Control Program program and such permission authorizes carbon 
sequestration or injection of carbon dioxide a CO2 stream underground 
and incorporates any addition al requirements adopted pursuant to 
subsection C of this section. 
C.  To the extent not already authorized by laws governing the 
state’s federally approved Underground Injection Control Program 
program, the Agency having jurisdiction Commission may issue and 
enforce such orders, and may adopt, modify, repeal and enforce such 
emergency or permanent rules, including establishment of appropriate 
and sufficient fees to cover the cost of the program, financial 
sureties or bonds, and monitoring at CO 2 sequestration facilities, as 
may be necessary, for the purpose of regulating the drilling of 
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the injection and withdrawal of carbon dioxide, the operation of the 
CO2 sequestration facility, Class VI CO2 injection well plugging and 
abandonment, removal of surface buildings and equipment of the CO	2 
sequestration facility and for any other purpose necessary to 
implement the provisions of the Oklahoma Carbon Capture and Geologic 
Sequestration Act. 
D.  The applicant for any permit to be issued pursuant to the 
Oklahoma Carbon Capture and Geologic Sequestration Act shall give 
all surface owners and mineral owners, including working interest 
and royalty owners, well operators, and gas storage operators of the 
land to be encompassed within the defined geographic boundary of the 
CO2 sequestration facility as established by the Agency Commission, 
and whose addresses are known or could be known through the exercise 
of due diligence, at least fifteen (15) days’ no tice of the hearing 
by mail, return receipt requested.  The applicant shall also give 
notice by one publication two publications, with one publishing at 
least thirty (30) days prior to the hearing, and again at least 
fifteen (15) days prior to the hearing, firstly in some newspaper of 
general circulation published in Oklahoma County , and by one 
publication, at least fifteen (15) days prior to the date of the 
hearing, secondly in some newspaper published in the county, or in 
each county, if there be is more than one, in which the defined 
geographic boundary of the CO 2 sequestration facility, as established 
by the Agency Commission, is situated.  The applicant shall file   
 
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proof of publication and an affidavit of mailing with the Agency 
Commission prior to the hearing. 
E.  In addition to all other powers and duties prescribed in the 
Oklahoma Carbon Capture and Geologic Sequestration Act or otherwise 
by law, and unless otherwise specifically set forth in the Oklahoma 
Carbon Capture and Geologic Sequestration Act, the Agency having 
jurisdiction Commission shall have the authority to perform any and 
all acts necessary to carry out the purposes and requirements of the 
federal Safe Drinking Water Act, as amended, relating to this 
state’s participation in the federal Un derground Injection Control 
Program program established under that act with respect to the 
storage and/or sequestration of carbon dioxide. 
F.  The Corporation Commission and Department of Environmental 
Quality, which are required to comply with the federal Safe Drinking 
Water Act, 42 U.S.C. 300f et seq., as amended, shall evaluate the 
regulatory and statutory framework that governs the agency and 
identify and report any areas in which modifications may be needed 
to the Secretary of Energy and Environment to provide for the 
development of underground injection control Class VI wells.  The 
agencies reporting under this subsection shall consult the Secretary 
and work in conjunction with the Office of the Secretary of Energy 
and Environment to ensure timely anal ysis.  Identified areas and 
recommended modifications to the regulatory and statutory framework 
of the agency shall be submitted in a report to the Governor,   
 
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Secretary of Energy and Environment, President Pro Tempore of the 
Senate, and the Speaker of the H ouse of Representatives not later 
than August 1, 2023. 
SECTION 7.     AMENDATORY     27A O.S. 2021, Section 3 -5-105, is 
amended to read as follows: 
Section 3-5-105.  A.  Unless otherwise expressly provided by a 
contract, bill of sale, dee d, mortgage, deed of trust, or other 
legally binding document or by other law, carbon dioxide injected 
into a CO2 sequestration facility or a CO2 storage unit associated 
with a CO2 sequestration facility is considered to be the personal 
property of the facility owner. 
B.  Absent a final judgment of willful abandonment rendered by a 
court of competent jurisdiction, or a regulatory determination of 
willful abandonment, carbon dioxide injected into a CO	2 sequestration 
facility or a storage unit associated with a CO2 sequestration 
facility is not considered to be the property of the owner of the 
surface or mineral estate in the land encompassing the geographic 
boundary of the CO 2 sequestration facility, or any person claiming 
under the owner of the surface or mi neral estate. 
C.  The facility operator, with permission of the facility 
owner, may produce, take, extract or reduce to possession any carbon 
dioxide injected, stored or sequestered in a CO	2 sequestration 
facility.  In the event an operator informs the Com mission that it 
intends to conduct enhanced oil or gas recovery operations on a   
 
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compulsory unit formed pursuant to Section 287.1 et seq. of Title 52 
of the Oklahoma statutes, or its predecessor unitization act, then 
during the time that such unit is in ope ration, such operator shall 
be relieved of any obligation to either: 
1.  Plug and abandon any injection or production well within 
such unit that is intended to be used in such enhanced oil or gas 
recovery operations, unless required by the Commission pursu ant to 
Section 53 of Title 17 of the Oklahoma Statutes; or 
2.  Remove any surface equipment that is associated with any 
such well and intended to be used in such enhanced oil or gas 
recovery operations, or both. 
D.  The Agency having jurisdiction over the injection of carbon 
dioxide under this act shall also have jurisdiction over a facility 
operator that produces, takes, extracts or reduces to possession any 
injected, stored or sequestered carbon dioxide in a CO	2 sequestration 
facility. 
SECTION 8.     AMENDATORY     27A O.S. 2021, Section 3 -5-106, is 
amended to read as follows: 
Section 3-5-106.  A.  Nothing in this act the Oklahoma Carbon 
Capture and Geologic Sequestration Act shall supersede the 
provisions of the Oklahoma Carbon Sequestra tion Enhancement Act, 
Section 3-4-101 et seq. of Title 27A of the Oklahoma Statutes this 
title.   
 
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B.  Nothing in this act the Oklahoma Carbon Capture and Geologic 
Sequestration Act shall alter the incidents of ownership, or other 
rights, of the owners of the mineral estate or adversely affect 
enhanced oil or gas recovery efforts in the state. 
C.  Any right granted to a facility operator pursuant to this 
act the Oklahoma Carbon Capture and Geologic Sequestration Act shall 
be without prejudice to the rights of any surface owner or mineral 
owner, including a working interest and royalty owner, well 
operator, and gas storage operator of the land encompassed within 
the defined geographic boundary of the CO 2 sequestration facility , as 
established or a CO2 storage unit permitted or authorized by the 
Agency Corporation Commission , to drill or bore through the approved 
reservoir in a manner as shall comply with orders, rules and 
regulations issued for the purpose of protecting the approved 
reservoir against the escape o f CO2.  For purposes of this 
subsection, the Agency with jurisdiction under other state law for 
regulating the well being drilled or bored through the approved 
reservoir is the Agency having jurisdiction to adopt orders and 
rules for such well in order to protect the CO 2 sequestration 
facility, regardless of which Agency has jurisdiction to permit the 
CO2 sequestration facility pursuant to Section 3 of this act.  If the 
Agency with jurisdiction under other state law for regulating the 
well being drilled or bored through the approved reservoir is not 
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facility pursuant to Section 3 of this act, then the former shall 
promptly notify the latter in writing of the receipt of an 
application for the dr illing or boring of such a well and shall 
consider all timely submitted comments of the latter in approving, 
denying, or setting conditions for the well being drilled or bored.  
The additional cost of complying with such orders, rules or 
regulations in order to protect the CO 2 sequestration facility shall 
be borne by the facility operator.  The surface estate is servient 
to the dominant mineral estate for the purposes of oil and gas 
development. 
D.  Nothing in this act the Oklahoma Carbon Capture and Geolog ic 
Sequestration Act shall grant a private operator the right of 
condemnation or eminent domain for any purpose. 
SECTION 9.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3 -5-107 of Title 27A, unless 
there is created a duplication in numbering, reads as follows: 
A.  The Corporation Commission, upon filing of an appropriate 
application and following notice and hearing regarding the 
application, shall have the jurisdiction to create a CO	2 storage unit 
as part of a CO 2 sequestration facility and order the aggregation and 
communitization of the pore space within an approved reservoir in 
designated tracts of land for the injection and storage of CO	2 in 
such approved reservoir.   
 
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B.  An application to create a CO2 storage unit may be filed by a 
party owning the rights to inject and store CO 2 in the pore space of 
the approved reservoir in at least sixty -three percent (63%) of the 
tracts of land to be included in the CO 2 storage unit based on the 
surface acres of such unit.  The application shall include: 
1.  A map or plat of the tracts of land to be included in the 
proposed CO2 storage unit; and 
2.  A plan of operations for such proposed CO 2 storage unit, 
which shall include, but not be limited to, an accounting procedure, 
the method, formula, or other basis by which the benefits of the CO	2 
storage unit shall be shared, and the procedures to be followed for 
invoicing and paying the costs of the CO 2 storage unit. 
C.  Notice of an application to create a CO 2 storage unit shall 
be served, at least fifteen (15) days prior to the hearing on the 
merits of such application, by personal service or by mail, return 
receipt requested, on: 
1.  All owners of the right to inject and store CO	2 in the pore 
space of the approved re servoir underlying the tracts of land to be 
included in the CO 2 storage unit; 
2.  All owners of the surface of such tracts of land to be 
included in the CO 2 storage unit; and 
3.  All owners of oil and gas working interests in the mineral 
estate in such approved reservoir underlying such tracts of land to 
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approved reservoir in such tracts of land who have retained and have 
not conveyed away their working interests under any oil and gas 
leases, pooling orders, or otherwise. 
An affidavit of service or mailing showing that the above -
described notice has been completed shall be filed with the 
Commission prior to a hearing on the merits of the application to 
create the CO2 storage unit. 
D.  Notice of an application to create a CO 2 storage unit shall 
be published two times, with one such publication being at least 
thirty (30) days prior to the hearing on the merits of such 
application and the second such publication being at least fifteen 
(15) days prior to such hearing, in a newspaper of general 
circulation published in Oklahoma County and in a newspaper of 
general circulation published in the county or counties in which the 
CO2 storage unit is to be located.  Proof of publication showing that 
the above-described notice has been properly published shall be 
filed with the Commission prior to a hearing on the merits of the 
application to create the CO 2 storage unit. 
E.  In creating a CO 2 storage unit, the Commission shall find and 
determine: 
1.  That the applicant has the required percentage ownership of 
the right to inject and store CO 2 in the pore space of the approved 
reservoir in the tracts of land to be included in the CO	2 storage 
unit;   
 
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2.  That the pore space in the approved reservoir in the tra cts 
of land to be included in the CO 2 storage unit is of such a nature or 
character that CO 2 may be effectively, efficiently, and safely 
injected into and stored in such pore space; 
3.  That the injected CO 2 will be confined to the pore space of 
such approved reservoir in the tracts of land to be included in the 
CO2 storage unit and that the CO 2 injected into and stored in the 
pore space of such approved reservoir in such tracts of land will 
not escape and enter any other geologic interval or lands outside of 
the CO2 storage unit; 
4.  That the injection and storage of CO 2 in the pore space of 
such approved reservoir in the tracts of land to be included in the 
CO2 storage unit will not adversely affect any existing oil and gas 
production from any reservoir; 
5.  That the injection and storage of CO 2 in the pore space of 
such approved reservoir in the tracts of land to be included in the 
CO2 storage unit will not adversely affect or prohibit any potential 
future oil or gas production from such approved reservoir within the 
tracts of land included in the CO 2 storage unit; 
6.  That the area to be included in the CO 2 storage unit is of 
sufficient size and shape to contain and hold all of the CO	2 
anticipated to be injected into and stored in the CO	2 storage unit, 
taking into account the extent of the plume which will be created by 
such injection;   
 
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7.  That the proposed operations of the CO 2 storage unit will be 
such as to safely handle, receive, process, compress, inject, 
confine, and store in such approved reservoir i n the tracts of land 
to be included in the CO 2 storage unit; 
8.  That the operator of the CO 2 storage unit is qualified to 
create, maintain, and conduct operations in such unit; and 
9.  That the proposed plan of operations is reasonable and 
adequate for the operation of the CO 2 storage unit. 
F.  The Commission order creating the CO 2 storage unit shall 
provide any owner of the right to inject and store CO	2 in the pore 
space of the approved reservoir in the tracts of land included in 
such unit the following: 
1.  The right to be a cost -bearing owner who participates in the 
costs of and the benefits from such storage unit.  The costs of the 
CO2 storage unit to be borne by a party electing to be a cost -bearing 
owner in such unit shall include all the actual, nece ssary, and 
reasonable costs of creating, equipping, maintaining, and operating 
the CO2 storage unit.  The Commission shall make provisions for the 
payment of such costs of the CO 2 storage unit by the owners of the 
right to inject and store in such CO 2 storage unit.  Such costs shall 
not include any costs of capturing or transporting the CO	2 that is 
injected into and stored in the CO 2 storage unit, including the costs 
of any CO2 capture and compression equipment, CO 2 pipelines 
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or pipelines used in connection with such capture or transportation; 
or 
2.  The right to receive the fair market value for such owner’s 
right to use such pore space for the injection and storage of CO	2, 
including the fee for the injection and storage of CO 2 in such CO2 
storage unit.  The fair market value of the right to inject and 
store CO2 in the pore space of such approved reservoir shall be 
determined by the Commission, based on all relevant evidence 
presented by the parties as to such fair market value, including, 
but not limited to, arm’s length consummated transactions involving 
the transfer of the right to use pore space for the injection and 
storage of CO2, taking into account any differences in the 
circumstances involved in any such consummated transaction, and the 
specific circumstances involved in the proposed CO	2 storage unit. 
The Commission shall make provisions for payment of the amounts 
set forth above to the owners of the right to inject and store CO	2 in 
the pore space of the approved reservoir who elect or are deemed to 
elect not to be cost -bearing owners in such CO 2 storage unit.  Any 
owner of the right to inject and store CO 2 in the pore space of the 
approved reservoir who elects or is deemed to elect not to be a 
cost-bearing owner in the CO 2 storage unit shall relinquish by 
operation of law under the order creating the CO	2 storage unit the 
right to inject and store CO 2 in the pore space in the approved 
reservoir in the CO 2 storage unit.   
 
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G.  The Commission order creating the CO 2 storage unit shall 
establish: 
1.  The CO2 storage unit by defining and specifically describing 
the approved reservoir and the tracts of land included in the unit; 
2.  The operator of the CO 2 storage unit; 
3.  The plan of operatio ns for the CO2 storage unit; 
4.  The options to be granted to an owner of the right to use 
the pore space in the approved reservoir to inject and store CO	2 as 
prescribed in subsection F of this section; 
5.  The estimated costs of creating, equipping, maint aining, and 
operating the CO 2 storage unit and the provisions for the payment of 
such costs; 
6.  The procedures and safeguards to be followed for any owner 
of oil and gas rights to drill through the CO 2 storage unit for the 
purpose of producing oil or gas from another geologic interval; 
7.  Any other procedures or safeguards that may be deemed 
necessary to ensure the safe operation of the CO	2 storage unit; and 
8.  The provisions for the termination of such CO	2 storage unit, 
including the obligations concern ing the plugging of any wells used 
in connection with such unit and the remediation or restoration of 
the surface of the lands used in the operation of such unit. 
H.  Upon creation of a CO 2 storage unit, the operator of the CO 2 
storage unit may inject a CO 2 stream into and store CO 2 in the 
approved reservoir in the tracts of land included in such unit.    
 
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Operation on any part of the CO 2 storage unit shall be considered 
operation on each separate tract of land in such CO	2 storage unit. 
I.  On and after the ef fective date of a Commission order 
creating a CO2 storage unit, operation of any well injecting CO	2 into 
the approved reservoir in the tracts of land included in such unit 
shall be unlawful except as authorized by the order and plan of 
operations for such unit.  Notice of the creation of the CO 2 storage 
unit shall be placed of record in each county in which the unit is 
located. 
J.  Upon creation of a CO 2 storage unit, the Commission shall 
retain jurisdiction over the unit, including the plan of operations 
for the unit and the designation of the operator.  Nothing in this 
subsection shall preclude or impair the right of any affected party 
to obtain through the district courts of this state any remedy or 
relief available at law or in equity for injuries or dam ages 
resulting from operation of a CO 2 storage unit. 
K.  1.  The Commission, upon the filing of a proper application, 
may enlarge or reduce a CO 2 storage unit.  The application for 
enlargement or reduction of the CO 2 storage unit shall set forth the 
reasons for such enlargement or reduction.  An operator who seeks to 
enlarge or reduce a CO 2 storage unit shall comply with the minimum 
ownership requirements established in subsection B of this section 
as applied to all the tracts of land to be included in the proposed 
enlarged unit or reduced unit, whichever is applicable.  Notice of   
 
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an application to reduce a CO 2 storage unit shall be given to the 
owners of the right to inject and store CO 2 in the pore space of the 
approved reservoir in the unit. 
2.  Notice of an application to enlarge a CO 2 storage unit shall 
be given to: 
a. the owners of the right to inject and store CO 2 in the 
pore space of the approved reservoir in the CO 2 storage 
unit and in the additional pore space underlying the 
tracts of land to be add ed to such unit, 
b. the owners of oil and gas working interests in the 
mineral estate in the additional pore space to be 
added to the unit, including mineral owners in the 
additional pore space who have retained and have not 
conveyed away their working int erests under any oil 
and gas leases, pooling orders or otherwise, and 
c. the owners of the surface of the additional tracts of 
land to be added to the unit.  Notice of the 
application to enlarge or reduce a CO 2 storage unit 
shall be served and published in the same manner with 
the same time periods as set forth in connection with 
the application to create a CO 2 storage unit. 
L.  Subject to the provisions of Section 10 of this act, the CO	2 
injected into and stored in the pore space of the approved reservoir 
in a CO2 storage unit shall be the property of the cost -bearing   
 
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owners in such unit.  However, upon termination of a CO	2 storage 
unit, the CO2 injected into the pore space of the approved reservoir 
of the CO2 storage unit may remain in such pore space and need not be 
removed. 
M.  The Commission may promulgate rules to effectuate the 
provisions of this section. 
N.  Any party aggrieved by any order or determination of the 
Commission made pursuant to this section may appeal the order or 
determination to the Su preme Court in the same manner as provided in 
Section 113 of Title 52 of the Oklahoma Statutes and any other 
applicable statutes relating to appeals of orders by the Commission. 
SECTION 10.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3 -5-108 of Title 27A, unless 
there is created a duplication in numbering, reads as follows: 
A.  1.  Not earlier than fifty (50) years after cessation of 
injection of a CO 2 stream into a CO 2 sequestration facility or a C O2 
storage unit as a part of a CO 2 sequestration facility, or following 
the end of any other time frame established on a site -specific basis 
by Corporation Commission order, the Corporation Commission shall 
issue a certificate of completion of injection op erations, if the 
operator proves that: 
a. the reservoir is reasonably expected to retain 
mechanical integrity, 
b. the CO2 will reasonably remain emplaced,   
 
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c. the CO2 sequestration facility or the CO 2 storage unit 
as a part of a CO 2 sequestration facility d oes not pose 
an endangerment to underground sources of drinking 
water, or to public health or public safety, 
d. the current storage facility operator has complied 
with all applicable regulations related to post -
injection monitoring and the issuance of the 
certificate of completion of injection operations, and 
e. the CO2 sequestration facility or the CO 2 storage unit 
as a part of a CO 2 sequestration facility has been 
closed in accordance with all applicable requirements 
related to the site closure plan submi tted with the 
original application or the most current amended site 
closure plan. 
2.  Upon issuance of a certificate of completion of injection 
operations, ownership of the remaining project, including the stored 
carbon dioxide, shall transfer to the state . 
3.  Upon issuance of a certificate of completion of injection 
operations, the operator of such facility or unit, all owners of 
carbon dioxide stored in such facility or unit, and all owners 
otherwise having any interest in such facility or unit shall be 
released from any and all future obligations relating to the 
facility and any and all liability associated with or related to   
 
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that facility or unit which arises after the issuance of the 
certificate of completion of injection operations. 
B.  The release from duties or obligations under paragraph 3 of 
subsection A of this section shall not apply to: 
1.  A current or former owner or operator of a CO	2 sequestration 
facility or a CO 2 storage unit as a part of a CO 2 sequestration 
facility when such duties or obl igations arise from that owner or 
operator’s noncompliance with applicable underground injection 
control laws and regulations prior to issuance of the certificate; 
or 
2.  Any owner or operator of a CO 2 sequestration facility or a 
CO2 storage unit as a part of a CO2 sequestration facility if it is 
demonstrated that such owner or operator intentionally and knowingly 
concealed or misrepresented material facts related to the mechanical 
integrity of the storage facility or the chemical composition of any 
injected carbon dioxide. 
C.  Continued monitoring of the site, including remediation of 
any well leakage, shall become the principal responsibility of the 
Corporation Commission. 
D.  1.  The Corporation Commission may levy fees to implement 
the provisions of this section in a form and schedule to be 
developed by the Oil and Gas Conservation Division of the 
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a CO2 sequestration facility or a CO 2 storage unit as a part of a CO 2 
sequestration facility . 
2.  At the end of each fiscal year, the Corporation Commission 
may redetermine the fees collected based upon the estimated cost of 
administering and enforcing the provisions of this act for the 
upcoming year, divided by the tonnage of carbon dioxide expe cted to 
be injected during the upcoming year. 
3.  The total fee assessed shall be sufficient to assure a 
balance in the Class VI Carbon Sequestration Storage Facility 
Revolving Fund not to exceed Five Million Dollars ($5,000,000.00) 
for a given CO 2 sequestration facility or CO 2 storage unit; provided, 
however, the total fee for any one operator in the Class VI Carbon 
Sequestration Storage Facility Revolving Fund at the beginning of 
each fiscal year shall not be in excess of Ten Million Dollars 
($10,000,000.00) regardless of the number of such facilities or 
units operated by such operator.  Any amount received by the 
Corporation Commission that exceeds the annual balance required 
under this subsection shall be deposited into the fund, but 
appropriate credits shall be given against future fees for the 
storage facility.  The Corporation Commission shall promulgate rules 
regarding the form and manner for fee amount and payment method. 
SECTION 11.     NEW LAW     A new section of law to be codified 
in the Oklahoma Statutes as Section 3 -5-109 of Title 27A, unless 
there is created a duplication in numbering, reads as follows:   
 
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A.  There is hereby created in the State Treasury a revolving 
fund for the Corporation Commission to be designated the “Class VI 
Carbon Sequestration Storage Facility Revolving Fund”.  The fund 
shall be a continuing fund, not subject to fiscal year limitations, 
and shall consist of all monies received by the Commission from 
fines and fees paid to the Corporation Commission pursuant to 
Sections 9 and 10 of this act.  All monies accruing to the credit of 
the fund are hereby appropriated and may be budgeted and expended by 
the Commission for the purpose provided for in this section.  
Expenditures from the fund shall be made upon warran ts issued by the 
State Treasurer against claims filed as prescribed by law with the 
Director of the Office of Management and Enterprise Services for 
approval and payment. 
B.  If a CO2 sequestration facility or a CO 2 storage unit as a 
part of a CO2 sequestration facility at any time deposits more than 
Five Million Dollars ($5,000,000.00) to the fund, the fee 
assessments to that facility or unit shall cease until such time as 
funds begin to be expended for that facility or unit.  The State 
Treasurer shall certify to the Corporation Commission the date on 
which the balance in the fund for a facility or unit equals or 
exceeds Five Million Dollars ($5,000,000.00).  On and after the 
first day of the second month following the certification, fees 
shall not be collected from such facility or unit; provided, fee 
collection shall resume on receipt of a certification by the State   
 
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Treasurer that, based on the expenditures and commitments to expend 
monies, the fund has fallen below Four Million Dollars 
($4,000,000.00) of funds collected from that facility. 
C.  Expenditures from the fund may be used to: 
1.  Remediate any issues associated with, arising from, or 
related to the site, including remediation of property, site 
infrastructure, and any mechanical problems associate d with the 
remaining wells; 
2.  Fund research and development in connection with carbon 
sequestration technologies and methods; 
3.  Monitor any remaining surface facilities and wells; 
4.  Repair any mechanical leaks at the storage facility; 
5.  Hire outside legal counsel as needed to effectuate the 
provisions of this act; 
6.  Plug remaining injection wells, except for those wells to be 
used as observation wells; and 
7.  Contract for assistance with permit or application review. 
D.  Not later than November 1 annually, the Corporation 
Commission shall furnish an electronic report to the Secretary of 
Energy and Environment, the President Pro Tempore of the Senate, and 
the Speaker of the House of Representatives.  The report shall 
address the administration of f unds, fund balances, expenditures 
made, and any other information deemed necessary by the Corporation 
Commission.   
 
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E.  Not later than November 1, 2030, and every five (5) years 
thereafter, the Corporation Commission shall furnish an electronic 
report to the President Pro Tempore of the Senate and the Speaker of 
the House of Representatives assessing the effectiveness of the fund 
and other related provisions within this act.  The Corporation 
Commission shall provide such other information as may be requested 
by the Legislature. 
SECTION 12.     AMENDATORY     52 O.S. 2021, Section 139, is 
amended to read as follows: 
Section 139.  A.  The Corporation Commission is vested with 
exclusive jurisdiction, power and authority, and it shall be its 
duty, to make and enforce such rules and orders governing and 
regulating the handling, storage and disposition of saltwater, 
mineral brines, waste oil and other deleterious substances produced 
from or obtained or used in connection with the drilling, 
development, producing, and operating of oil and gas wells and brine 
wells within this state as are reasonable and necessary for the 
purpose of preventing the pollution of the surface and subsurface 
waters in the state, and to otherwise carry out the purpose of this 
act section and Sections 140, 141, 142, 143, and 144 of this title . 
B.  1.  Except as otherwise provided by this subsection, the 
Corporation Commission is hereby vested with exclusive jurisdiction, 
power and authority, and it shall be its duty to promulga te and   
 
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enforce rules, and issue and enforce orders governing and 
regulating: 
a. the conservation of oil and gas, 
b. field operations for geologic and geophysical 
exploration for oil, gas and brine, including seismic 
survey wells, stratigraphic test wells a nd core test 
wells, 
c. the exploration, drilling, development, producing or 
processing for oil and gas on the lease site, 
d. the exploration, drilling, development, production and 
operation of wells used in connection with the 
recovery, injection or dispos al of mineral brines, 
e. reclaiming facilities only for the processing of salt 
water, crude oil, natural gas condensate and tank 
bottoms or basic sediment from crude oil tanks, 
pipelines, pits and equipment associated with the 
exploration, drilling, develo pment, producing or 
transportation of oil or gas, 
f. injection wells known as Class II wells under the 
federal Underground Injection Control Program, and any 
aspect of any CO 2 sequestration facility, including any 
associated CO2 injection well, over which the 
Commission is given jurisdiction pursuant to the 
Oklahoma Carbon Capture and Geologic Sequestration   
 
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Act.  Any substance that the United States 
Environmental Protection Agency allows to be injected 
into a Class II well may continue to be so injected 
underground injection control pursuant to the federal 
Safe Drinking Water Act and 40 C.F.R., Parts 144 
through 148, including: 
(1) Class II injection wells, 
(2) Class V injection wells utilized in the 
remediation of groundwater associated with 
underground or aboveground storage tanks 
regulated by the Corporation Commission, 
(3) those wells used for the recovery, injection, or 
disposal of mineral brines as defined in the 
Oklahoma Brine Development Act, and 
(4) any aspect of a CO 2 sequestration facility or CO 2 
storage unit as part of a CO 2 sequestration 
facility, including associated Class VI CO 2 
injection wells, pursuant to the Oklahoma Carbon 
Capture and Geologic Sequestration Act , 
g. tank farms for storage of crude oil and petroleum 
products which are located outside the boundaries of 
the refineries, petrochemical manufacturing plants, 
natural gas liquid extraction plants, or other 
facilities which are subject to the jurisdiction of   
 
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the Department of Environmental Quality with regard to 
point source discharges, 
h. the construction and operation of pipelines and 
associated rights-of-way, equipment, facilities or 
buildings used in the transportation of oil, gas, 
petroleum, petroleum products, anhydrous ammonia or 
mineral brine, or in the treatment of oil, gas or 
mineral brine during the course of transportation but 
not including line pipes associated with processing at 
or in any: 
(1) natural gas liquids extraction plant, 
(2) refinery, 
(3) reclaiming facility other than for those 
specified within subparagraph e of t his 
paragraph, 
(4) mineral brine processing plant, and 
(5) petrochemical manufacturing plant, 
i. the handling, transportation, storage and disposition 
of saltwater, mineral brines, waste oil and other 
deleterious substances produced from or obtained or 
used in connection with the drilling, development, 
producing and operating of oil and gas wells, at: 
(1) any facility or activity specifically listed in 
paragraphs 1 this paragraph and paragraph 2 of   
 
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this subsection as being subject to the 
jurisdiction of the Commission, and 
(2) other oil and gas extraction facilities and 
activities, 
j. spills of deleterious substances associated with 
facilities and activities specified in paragraph 1 of 
this subsection paragraph or associated with other oil 
and gas extraction facilities and activities, and 
k. subsurface storage of oil, natural gas and liquefied 
petroleum gas in geologic strata. 
2.  The exclusive jurisdiction, power and authority of the 
Corporation Commission shall also extend to the construction, 
operation, maintenance, site remediation, closure and abandonment of 
the facilities and activities described in paragraph 1 of this 
subsection. 
3.  When a deleterious substance from a Commission -regulated 
facility or activity enters a point source discharge of pollutan ts 
or storm water from a facility or activity regulated by the 
Department of Environmental Quality, the Department shall have sole 
jurisdiction over the point source discharge of the commingled 
pollutants and storm water from the two facilities or activiti es 
insofar as Department -regulated facilities and activities are 
concerned.   
 
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4.  For purposes of the Federal federal Clean Water Act, any 
facility or activity which is subject to the jurisdiction of the 
Corporation Commission pursuant to paragraph 1 of this subsection 
and any other oil and gas extraction facility or activity which 
requires a permit for the discharge of a pollutant or storm water to 
waters of the United States shall be subject to the direct 
jurisdiction of the United States Environmental Prot ection Agency 
and shall not be required to be permitted by the Department of 
Environmental Quality or the Corporation Commission for such 
discharge. 
5.  The Corporation Commission shall have jurisdiction over: 
a. underground storage tanks that contain anti freeze, 
motor oil, motor fuel, gasoline, kerosene, diesel, or 
aviation fuel and that are not located at refineries 
or at upstream or intermediate shipment points of 
pipeline operations, including, but not limited to, 
tanks from which these materials are di spensed into 
vehicles, or tanks used in wholesale or bulk 
distribution activities, as well as leaks from pumps, 
hoses, dispensers, and other ancillary equipment 
associated with the tanks, whether above the ground or 
below; provided, that any point source d ischarge of a 
pollutant to waters of the United States during site 
remediation or the off -site disposal of contaminated   
 
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soil, media, or debris shall be regulated by the 
Department of Environmental Quality, 
b. aboveground storage tanks that contain antifree ze, 
motor oil, motor fuel, gasoline, kerosene, diesel, or 
aviation fuel and that are not located at refineries 
or at upstream or intermediate shipment points of 
pipeline operations, including, but not limited to, 
tanks from which these materials are dispen sed into 
vehicles, or tanks used in wholesale or bulk 
distribution activities, as well as leaks from pumps, 
hoses, dispensers, and other ancillary equipment 
associated with the tanks, whether above the ground or 
below; provided, that any point source disch arge of a 
pollutant to waters of the United States during site 
remediation or the off -site disposal of contaminated 
soil, media, or debris shall be regulated by the 
Department of Environmental Quality, and 
c. the Petroleum Storage Tank Release Environmenta l 
Cleanup Indemnity Fund and Program and the Oklahoma 
Leaking Underground Storage Tank Trust Fund. 
6.  The Department of Environmental Quality shall have sole 
jurisdiction to regulate the transportation, discharge or release of 
deleterious substances or ha zardous or solid waste or other 
pollutants from rolling stock and rail facilities.  The Department   
 
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of Environmental Quality shall not have any jurisdiction with 
respect to pipeline transportation of carbon dioxide. 
7.  The Department of Environmental Quali ty shall have sole 
environmental jurisdiction for point and nonpoint source discharges 
of pollutants and storm water to waters of the state from: 
a. refineries, petrochemical manufacturing plants and 
natural gas liquid extraction plants, 
b. manufacturing of oil and gas related equipment and 
products, 
c. bulk terminals, aboveground and underground storage 
tanks not subject to the jurisdiction of the 
Commission pursuant to this subsection, and 
d. other facilities, activities and sources not subject 
to the jurisdiction of the Corporation Commission or 
Oklahoma Department of Agriculture , Food, and Forestry 
as specified by this section. 
8.  The Department of Environmental Quality shall have sole 
environmental jurisdiction to regulate air emissions from all 
facilities and sources subject to operating permit requirements 
under Title V of the Federal federal Clean Air Act, as amended. 
C.  The Corporation Commission shall comply with and enforce the 
Oklahoma Water Quality Standards. 
D.  1.  For the purpose of immediat ely responding to emergency 
situations having potentially critical environmental or public   
 
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safety impact and resulting from activities within its jurisdiction, 
the Commission may take whatever necessary action, without notice 
and hearing, including the exp enditure of monies from the 
Corporation Commission Revolving Fund, to promptly respond to the 
emergency.  Such emergency expenditure shall be made pursuant to the 
provisions of The the Oklahoma Central Purchasing Act, upon such 
terms and conditions establi shed by the Office of Management and 
Enterprise Services to accomplish the purposes of this section.  
Thereafter, the Commission shall seek reimbursement from the 
responsible person, firm or corporation for all expenditures made 
from the Corporation Commis sion Revolving Fund.  Any monies received 
as reimbursement shall be deposited to the credit of the Corporation 
Commission Revolving Fund. 
2.  The Commission shall not expend from any fund in the State 
Treasury, in any fiscal year, for the purposes herein p rovided, an 
amount of money in excess of the total sum specifically authorized 
annually by the Legislature for such purposes.  Any monies received 
by the Commission through execution on any required surety shall not 
be subject to such limitation on expendi ture for remedial action. 
3.  Neither the Commission nor any independent contractor of the 
Commission authorized to conduct remedial action under this section 
shall be held liable or responsible for any damages resulting from 
non-negligent actions reasonab ly necessary for conducting remedial 
work.  Nothing in this section shall limit the authority of the   
 
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Commission or relieve any person or persons otherwise legally 
responsible from any obligation to prevent or remediate pollution. 
SECTION 13. This act shall become effective November 1, 2025. 
 
COMMITTEE REPORT BY: COMMITTEE ON ENERGY AND NATURAL RESOURCES 
OVERSIGHT, dated 04/16/2025 - DO PASS, As Amended.