Relating to the state's statutory and contractual liens to secure the payment of unpaid royalty and other amounts due under oil and gas leases of state land.
Impact
The proposed amendments in SB1823 will directly influence how the state oversees oil and gas leases, specifically in terms of securing payment through established liens. The bill allows the commissioner to evaluate and determine the enforceability and exact amounts of these liens based on final audit notices sent to lessees. Additionally, it allows for possible adjustments based on the lessee's ownership interest in the lease, which could lead to more precise financial dealings regarding these state resources.
Summary
Senate Bill 1823 aims to amend existing statutes within the Natural Resources Code regarding the establishment and enforcement of statutory and contractual liens related to unpaid royalties and other payments under oil and gas leases on state land. It specifies that by accepting a lease, the lessee automatically grants an express contractual lien to the state over the oil, gas, and all proceeds from sales derived from the lease area. This change reinforces the state's security interest and provides a clearer framework for protecting against unpaid dues.
Contention
While the bill appears to offer strengthened protection for state interests in enforcing payments from lessees, there may be concerns regarding the implications for lessees who struggle to make payments. The provision that allows the commissioner to temporarily suspend enforcement under certain extenuating circumstances suggests a recognition of potential hardships faced by lessees. However, it is likely that this aspect of the bill could lead to discussions about accountability and the balance between state interests and the operational realities of oil and gas companies.
Identical
Relating to the state's statutory and contractual liens to secure the payment of unpaid royalty and other amounts due under oil and gas leases of state land.
Relating to amendments to the Uniform Commercial Code, including amendments concerning certain intangible assets and the perfection of security interests in those assets.
Relating to amendments to the Uniform Commercial Code, including amendments concerning certain intangible assets and the perfection of security interests in those assets.
Relating to the ownership of the pore space underlying the surface of land and to the use of that space for the geologic storage of carbon dioxide; authorizing a fee.
Relating to the reduction and plugging of orphaned oil and gas wells; providing for the imposition of a fee and an exemption from certain taxes and fees.
Relating to the reduction and plugging of orphaned oil and gas wells; providing for the imposition of a fee and an exemption from certain taxes and fees.
Relating to the authorization, licensing, and regulation of casino gaming and sports wagering in this state, to the creation, powers, and duties of the Texas Gaming Commission, to the support of the horse racing industry and reform of horse racing and greyhound racing, and to other provisions related to gambling; imposing and authorizing administrative and civil penalties; imposing taxes; imposing and authorizing fees; requiring occupational licenses; creating criminal offenses.