2009S0541-2 03/10/09 By: Hinojosa S.B. No. 1908 A BILL TO BE ENTITLED AN ACT relating to safety and financial responsibility in the operating of oil and gas wells; providing criminal penalties. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subsection (a), Section 89.002, Natural Resources Code, is amended by adding Subdivision (9) to read as follows: (9) "Responsible party" means any person who assumed responsibility for operating the well prior to the current operator, as shown by forms filed at the commission. SECTION 2. Subchapter B, Chapter 89, Natural Resources Code, is amended by adding Section 89.013 to read as follows: Sec. 89.013. DUTY OF A RESPONSIBLE PARTY. If the operator of a well fails to comply with Section 89.011 and the nonoperators fail to comply with Section 89.012, the responsible party assumes the duty to plug the well in accordance with Section 89.011. If there is more than one responsible party, the responsible parties are jointly and severally liable for their proportionate share of the cost of plugging the well and for reimbursing the commission for the cost of enforcing this section. SECTION 3. Section 89.042, Natural Resources Code, is amended by adding Subsection (c) to read as follows: (c) If the nonoperators cannot be found, or if they lack the assets or refuse to plug the well under Subsection (b), the commission shall order the responsible parties to plug the well according to the rules of the commission in effect at the time the order is issued. SECTION 4. Subsection (a), Section 91.002, Natural Resources Code, is amended to read as follows: (a) A person who wilfully or with criminal negligence violates Section 91.101 or 91.019 [of this code] or a rule, order, or permit of the commission issued under either [that] section commits an offense. SECTION 5. Subchapter B, Chapter 91, Natural Resources Code, is amended by adding Section 91.019 to read as follows: Sec. 91.019. ELECTRIC LINES. (a) An operator must ensure that electric lines associated with the operator's oil or gas wells do not present an unreasonable risk of causing a fire. (b) An operator must ensure that all electric lines associated with oil or gas wells are properly connected to equipment that requires a source of power. Live electric lines shall at no time be left in contact with the ground while unattached to equipment that requires a source of power. SECTION 6. Subsection (e), Section 89.011, Natural Resources Code, is repealed. SECTION 7. Section 89.013, Natural Resources Code, as added by this Act, applies only to the sale or conveyance of a working interest in or a right to operate an unplugged oil or gas well executed on or after the effective date of this Act. A sale or conveyance executed before the effective date of this Act is governed by the law in effect on that date, and that law is continued in effect for that purpose. SECTION 8. This Act takes effect September 1, 2009.