Texas 2009 - 81st Regular

Texas Senate Bill SB1823 Compare Versions

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1	1	By: Seliger S.B. No. 1823
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the state's statutory and contractual liens to secure
7	7	the payment of unpaid royalty and other amounts due under oil and
8	8	gas leases of state land.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 52.136, Natural Resources Code, is
11	11	amended by amending Subsection (b) and adding Subsections (b-1),
12	12	(b-2), (b-3), and (d) to read as follows:
13	13	(b) By acceptance of a lease, the lessee grants to the state
14	14	an express contractual lien on and security interest in all oil and
15	15	gas in and extracted from the area covered by the lease, all
16	16	proceeds which may accrue to the lessee from the sale of the oil and
17	17	gas extracted from the area covered by the lease or from the area
18	18	covered by any other lease of state land or minerals held by the
19	19	same lessee, whether the proceeds are held by the lessee or another
20	20	person, and all fixtures on and improvements to the area covered by
21	21	the lease used in connection with the production or processing of
22	22	the oil and gas, to secure the payment of royalties and other
23	23	amounts due or to become due under the lease or this subchapter and
24	24	to secure payment of damages or loss that the state may suffer by
25	25	reason of the lessee's breach of a covenant or condition of the
26	26	lease or of another lease of state land or minerals held by the
27	27	lessee, whether express or implied.
28	28	(b-1) The commissioner shall determine whether to foreclose
29	29	a lien established by Subsection (b) securing the payment of
30	30	royalties and other amounts due or to become due under a lease or
31	31	this subchapter and securing payment of damages or loss that the
32	32	state may suffer by reason of the lessee's breach of a convenant or
33	33	condition of the lease, whether express or implied, including the
34	34	lien on all proceeds which may accrue to the lessee from the sale of
35	35	the oil and gas extracted from the area covered by any other lease
36	36	of state land or minerals held by the lessee.
37	37	(b-2) The commissioner shall determine the amount of a lien
38	38	established by Subsection (b). The amount shall be based on the
39	39	final audit billing notice, or similar order or notice, sent to the
40	40	lessee and any penalty and interest that may have accrued after the
41	41	date the final billing notice, or similar order or notice, was sent.
42	42	(b-3) The commissioner may adjust the amount of a lien
43	43	established by Subsection (b) to account for the lessee's
44	44	proportionate ownership interest in the lease.
45	45	(d) The commissioner may temporarily suspend enforcement of
46	46	a lien established by Subsection (b):
47	47	(1) if the commissioner determines that the lessee did
48	48	not receive payment from the first purchaser of the oil or gas
49	49	produced from the lease area; or
50	50	(2) because of other extenuating circumstances beyond
51	51	the control of the lessee.
52	52	SECTION 2. This Act takes effect September 1, 2009.