Texas 2025 - 89th Regular

Texas House Bill HB3334 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~89R23131~~ JAM-F
	1	+	89R13217 JAM-F
2	2		By: King H.B. No. 3334
3		-	Substitute the following for H.B. No. 3334:
4		-	By: Darby C.S.H.B. No. 3334
5	3
6	4
7	5
8	6
9	7		A BILL TO BE ENTITLED
10	8		AN ACT
11	9		relating to wildfire prevention, mitigation, and response at
12	10		certain wells under the jurisdiction of the Railroad Commission of
13	11		Texas; authorizing an administrative penalty.
14	12		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	13		SECTION 1. The Natural Resources Code is amended by adding
16	14		Title 13 to read as follows:
17	15		TITLE 13. WILDFIRE PREVENTION, MITIGATION, AND RESPONSE
18	16		CHAPTER 231. OIL AND GAS FACILITIES
19	17		SUBCHAPTER A. GENERAL PROVISIONS
20	18		Sec. 231.001. DEFINITIONS. In this chapter:
21	19		(1) "Commission" means the Railroad Commission of
22	20		Texas.
23	21		(2) "Operator" means a person who assumes
24	22		responsibility for the physical operation and control of a well as
25	23		shown by a form the person files with the commission and the
26	24		commission approves.
27	25		(3) "Well" means a hole drilled for the purpose of:
28	26		(A) producing oil or gas;
29	27		(B) injecting fluid or gas into the ground in
30	28		connection with the exploration for or production of oil or gas; or
31	29		(C) obtaining geological information by taking
32	30		cores or through seismic operations.
	31	+	Sec. 231.002. PUBLIC INFORMATION. The commission shall
	32	+	make publicly available on the commission's Internet website as a
	33	+	part of the oil and gas records database:
	34	+	(1) each report provided to the commission under
	35	+	Section 231.051(b) or 231.052(b); and
	36	+	(2) any subsequent inspection report or written
	37	+	evidence supplied by an operator demonstrating completion of
	38	+	remedial action submitted under Section 231.051 or 231.052.
	39	+	Sec. 231.003. CONFLICT WITH OTHER LAW. In the event of a
	40	+	conflict between this chapter and any other law, this chapter
	41	+	prevails.
33	42		SUBCHAPTER B. WILDFIRE SAFETY INSPECTIONS OF WELLS
34		-	Sec. 231.051. INSPECTION AND CERTIFICATION REQUIRED BEFORE
35		-	TRANSFER OF WELL. (a) This section applies only to a well that has
36		-	been the subject of a formal complaint filed with the commission.
37		-	(b) At least 60 but not more than 150 days before the date
38		-	ownership of a well or oil or gas lease on which a well is located
39		-	may be transferred from one operator to another, a bonded and
40		-	state-certified third-party inspector must inspect the well, well
41		-	site, and related facilities to determine compliance with state
42		-	laws and regulations pertaining to susceptibility to wildfires.
43		-	(c) Not later than the 30th day after the date of conducting
44		-	an inspection under Subsection (b), a third-party inspector shall
	43	+	Sec. 231.051. INSPECTION AND REMEDIATION OF ACTIVE WELLS
	44	+	REQUIRED. (a) Annually, an operator of an active well shall
	45	+	contract with a bonded and state-certified third-party inspector to
	46	+	identify and inspect for susceptibility to wildfires all wells and
	47	+	related facilities associated with the operator.
	48	+	(b) Not later than the 30th day after the date of conducting
	49	+	an inspection under Subsection (a), a third-party inspector shall
45	50		provide to the commission and the operator of any well or related
46	51		facility inspected a written report of the results of the
47	52		inspection. The inspector's report shall document any safety
48	53		issue, violation, or fire risk identified during the inspection.
49		-	(d) Not later than the 30th day after the date an operator
50		-	receives a report under Subsection (c), the operator shall confer
	54	+	(c) Not later than the 30th day after the date an operator
	55	+	receives a report under Subsection (b), the operator shall confer
	56	+	with the commission and take any remedial action necessary to
	57	+	address any violation, safety issue, or fire risk identified in the
	58	+	report.
	59	+	(d) To ensure that any required remedial action has been
	60	+	completed, the commission may:
	61	+	(1) send a commission inspector, or require the
	62	+	operator to contract with a third-party inspector, to verify
	63	+	completion; or
	64	+	(2) require that an operator provide written evidence
	65	+	demonstrating that any safety issue, violation, or fire risk
	66	+	identified in the report has been addressed to the satisfaction of
	67	+	the commission.
	68	+	(e) An operator is responsible for any cost associated with
	69	+	an inspection conducted or remedial action taken under this
	70	+	section.
	71	+	Sec. 231.052. INSPECTION AND CERTIFICATION REQUIRED BEFORE
	72	+	TRANSFER OF WELL. (a) At least 60 but not more than 150 days before
	73	+	the date ownership of any well or oil or gas lease on which a well is
	74	+	located may be transferred from one operator to another, a bonded
	75	+	and state-certified third-party inspector must inspect the well,
	76	+	well site, and related facilities to determine compliance with
	77	+	state laws and regulations pertaining to susceptibility to
	78	+	wildfires.
	79	+	(b) Not later than the 30th day after the date of conducting
	80	+	an inspection under Subsection (a), a third-party inspector shall
	81	+	provide to the commission and the operator of any well or related
	82	+	facility inspected a written report of the results of the
	83	+	inspection. The inspector's report shall document any safety
	84	+	issue, violation, or fire risk identified during the inspection.
	85	+	(c) Not later than the 30th day after the date an operator
	86	+	receives a report under Subsection (b), the operator shall confer
51	87		with the commission and take any remedial action necessary to
52	88		address a violation, safety issue, or fire risk identified in the
53	89		report.
54		-	(e) On completion of all remedial actions required by the
55		-	commission under Subsection (d), the third-party inspector shall:
	90	+	(d) On completion of all remedial actions required by the
	91	+	commission under Subsection (c), the third-party inspector shall:
56	92		(1) conduct a follow-up inspection to confirm that
57	93		there are no remaining violations; and
58	94		(2) provide to the commission and the operator a
59	95		report of the follow-up inspection.
60		-	(f) On receipt of a report issued under Subsection (e)(2)
	96	+	(e) On receipt of a report issued under Subsection (d)(2)
61	97		documenting that a well, well site, and associated facilities are
62	98		compliant with state laws and regulations pertaining to
63	99		susceptibility to wildfires, an operator may submit to the
64	100		commission a certification affirming that the well is in compliance
65	101		with all such state laws and regulations.
66		-	(g) The commission may not approve a proposed transfer
	102	+	(f) The commission may not approve a proposed transfer
67	103		subject to this section until the commission receives a
68		-	certification under Subsection (f).
	104	+	certification under Subsection (e).
69	105		SUBCHAPTER C. INACTIVE WELLS: COMMISSION POWERS AND DUTIES;
70	106		SURFACE OWNER LIABILITY
71	107		Sec. 231.101. COMMISSION CONTROL OF WELLS OR FACILITIES
72	108		WITH NO LOCATABLE OWNER OR OPERATOR. For any well and related
73	109		facilities for which there is no locatable owner or operator or for
74	110		which the owner or operator is not responsive, the commission
75	111		shall:
76	112		(1) assume control of and responsibility for the well
77	113		and related facilities; and
78	114		(2) ensure that the well and related facilities are
79	115		compliant with applicable state laws and regulations pertaining to
80	116		susceptibility to wildfires.
81	117		Sec. 231.102. TERMINATION OF ELECTRIC SERVICE FOR ORPHANED,
82	118		INACTIVE, OR NONCOMPLIANT WELL OR FACILITY. (a) At the time the
83	119		commission determines a well or related facility to be orphaned,
84	120		inactive, or not in compliance with state laws and regulations
85		-	pertaining to susceptibility to wildfires, the commission, in
86		-	consultation with the Public Utility Commission of Texas, shall
	121	+	pertaining to susceptibility to wildfires, the commission shall
87	122		direct the electric utility or other entity that provides electric
88	123		service for the well or related facility to terminate electric
89	124		service for the well or related facility at the point of origin.
90	125		(b) Electric service that is terminated under this section
91	126		may not be reinstated until:
92	127		(1) an approved operator assumes ownership of the well
93	128		or related facility;
94	129		(2) the site of the well or related facility is
95	130		confirmed by the commission to be in compliance with all applicable
96	131		state laws and regulations pertaining to susceptibility to
97	132		wildfires; and
98	133		(3) the electric utility or other entity receives
99		-	written notice from the commission ~~and~~ the ~~Public Utility~~
100		-	~~Commission of Texas that the service may be~~ reinstated.
	134	+	written notice from the commission that the service may be
	135	+	reinstated.
101	136		Sec. 231.103. SURFACE OWNER LIABILITY. (a) A surface owner
102	137		affected by a well or related facility that is orphaned, inactive,
103	138		or not in compliance with state laws and regulations pertaining to
104	139		susceptibility to wildfires is not liable for an action taken by the
105	140		owner to ensure the safety of the owner's property:
106	141		(1) if the operator of the well or related facility has
107	142		been unresponsive;
108	143		(2) if the owner has received notice of noncompliance
109	144		from the commission under Section 231.151(a)(2); or
110	145		(3) in the event of an emergency, including the
111	146		imminent threat of wildfire.
112	147		(b) A surface owner may seek reimbursement from the operator
113	148		of a well or related facility located on the owner's land for any
114	149		action taken by the owner to ensure the safety of the owner's
115	150		property.
116	151		SUBCHAPTER D. ENFORCEMENT AND PENALTIES
117	152		Sec. 231.151. REVOCATION OF OPERATING PERMIT; NOTICE TO
118	153		SURFACE OWNER. (a) If an operator fails to have an inspection
119		-	conducted under Section 231.051(b) or fails to take any required
120		-	remedial action under Section 231.051(d), the commission shall:
	154	+	conducted under Section 231.051(a) or 231.052(a) or fails to take
	155	+	any required remedial action under Section 231.051(c) or
	156	+	231.052(c), the commission shall:
121	157		(1) suspend or revoke the permit to operate the well or
122	158		related facility for which a report was not submitted or remedial
123	159		action was not taken; and
124	160		(2) send to the owner of the surface of the tract of
125	161		land on which the well or related facility is located notice that
126	162		the operator of the well or related facility is not in compliance
127	163		with this chapter.
128	164		(b) A suspension or revocation issued under this section
129	165		remains in effect until the operator comes into compliance with
130	166		this chapter.
131	167		Sec. 231.152. ADMINISTRATIVE PENALTY. (a) The commission
132	168		may impose an administrative penalty on a person who violates this
133	169		chapter or a rule adopted or order issued under this chapter.
134	170		(b) The amount of the penalty may not exceed $5,000 for each
135	171		violation. Each day a violation continues or occurs is a separate
136	172		violation for the purpose of imposing a penalty. The amount of the
137	173		penalty shall be based on:
138	174		(1) the seriousness of the violation, including the
139	175		nature, circumstances, extent, and gravity of the violation;
140	176		(2) the economic harm to property or the environment
141	177		caused by the violation;
142	178		(3) the history of previous violations;
143	179		(4) the amount necessary to deter a future violation;
144	180		(5) efforts to correct the violation; and
145	181		(6) any other matter that justice may require.
146	182		(c) The enforcement of the penalty may be stayed during the
147	183		time the order is under judicial review if the person pays the
148	184		penalty to the clerk of the court or files a supersedeas bond with
149	185		the court in the amount of the penalty. A person who cannot afford
150	186		to pay the penalty or file the bond may stay the enforcement by
151	187		filing an affidavit in the manner required by the Texas Rules of
152	188		Civil Procedure for a party who cannot afford to file security for
153	189		costs, subject to the right of the commission to contest the
154	190		affidavit as provided by those rules.
155	191		(d) The attorney general may sue to collect the penalty.
156	192		(e) A proceeding to impose the penalty is considered to be a
157	193		contested case under Chapter 2001, Government Code.
158	194		SECTION 2. As soon as practicable after the effective date
159	195		of this Act, the Railroad Commission of Texas shall adopt rules
160		-	necessary to implement the changes in law made by this Act.
	196	+	necessary to implement the changes in law made by this Act,
	197	+	including rules specifying the date by which a person must conduct
	198	+	the initial inspection required under Section 231.051, Natural
	199	+	Resources Code, as added by this Act.
161	200		SECTION 3. This Act takes effect September 1, 2025.