BILL ANALYSIS Senate Research Center C.S.S.B. 105 82R24535 JXC-F By: Davis Natural Resources 4/26/2011 Committee Report (Substituted) BILL ANALYSIS Senate Research Center C.S.S.B. 105 82R24535 JXC-F By: Davis Natural Resources 4/26/2011 Committee Report (Substituted) Senate Research Center C.S.S.B. 105 82R24535 JXC-F By: Davis Natural Resources 4/26/2011 Committee Report (Substituted) AUTHOR'S / SPONSOR'S STATEMENT OF INTENT C.S.S.B. 105 amends current law relating to a restriction on the formation into which certain commercial disposal wells permitted by the Railroad Commission of Texas may inject oil and gas waste. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter C, Chapter 27, Water Code, by adding Section 27.038, as follows: Sec. 21.038. RESTRICTION ON CERTAIN COMMERCIAL DISPOSAL WELLS. (a) Provides that this section applies only to a commercial disposal well, as defined by the Railroad Commission of Texas (railroad commission), proposed to be located wholly or partly above a hydrocarbon-producing geological formation that underlies all or part of two counties that are adjacent to one another and each of which has a population of more than 1.8 million. (b) Provides that a permit issued by the railroad commission for a commercial disposal well that authorizes the disposal of oil and gas waste may authorize the disposal of the waste only in the Ellenberger formation or a deeper formation. SECTION 2. Makes application of this Act prospective. SECTION 3. Effective date: upon passage or September 1, 2011. AUTHOR'S / SPONSOR'S STATEMENT OF INTENT C.S.S.B. 105 amends current law relating to a restriction on the formation into which certain commercial disposal wells permitted by the Railroad Commission of Texas may inject oil and gas waste. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter C, Chapter 27, Water Code, by adding Section 27.038, as follows: Sec. 21.038. RESTRICTION ON CERTAIN COMMERCIAL DISPOSAL WELLS. (a) Provides that this section applies only to a commercial disposal well, as defined by the Railroad Commission of Texas (railroad commission), proposed to be located wholly or partly above a hydrocarbon-producing geological formation that underlies all or part of two counties that are adjacent to one another and each of which has a population of more than 1.8 million. (b) Provides that a permit issued by the railroad commission for a commercial disposal well that authorizes the disposal of oil and gas waste may authorize the disposal of the waste only in the Ellenberger formation or a deeper formation. SECTION 2. Makes application of this Act prospective. SECTION 3. Effective date: upon passage or September 1, 2011.