PDH S.B. 812 76(R)BILL ANALYSIS


Office of House Bill AnalysisS.B. 812
By: Brown
Energy Resources
3/24/1999
Committee Report (Amended)



BACKGROUND AND PURPOSE 

Current law authorizes the Railroad Commission of Texas (commission) to
seek reimbursement of expenses incurred  in the state funded plugging or
cleanup of an oil well through the attorney general. S.B. 812 authorizes
the commission to seek such reimbursement by administrative order, in
addition to attorney general action.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 89.043, Natural Resources Code, by amending
Subsection (c) and adding Subsection (f), as follows:  

(c) Requires the notice, sent at least 30 days before the date the Railroad
Commission of Texas (commission) enters into a contract to plug a
delinquent inactive well, directing a well operator to plug the well to
state that if the commission plugs the well, the commission is authorized,
by order, to require the operator to reimburse the commission for the
plugging costs.  Authorizes the commission to request the attorney general
to file suit against the operator to recover those costs. Makes conforming
and nonsubstantive changes.  

(f) Requires the attorney general, at the request of the commission, to
file suit to enforce the noted order issued by the commission under
Subsection (c).  

SECTION 2. Amends Subsections (h)-(j), Section 89.083, Natural Resources
Code, to authorize the commission, by order, to require the operator and
any nonoperator to reimburse the commission for all reasonable expenses
incurred in plugging a well.   Authorizes the commission to request the
attorney general to file suit against an operator and any nonoperator to
recover those expenses. Requires the attorney general, at the request of
the commission, to file such a suit.  Deletes language requiring the
commission to seek reimbursement for all reasonable expenses incurred in
plugging any well through an action instituted by the attorney general.
Redesignates existing Subsections (i) and (j) to Subsections (j) and (k),
respectively.  

SECTION 3. Amends Section 91.113(f), Natural Resources Code, to authorize
the commission, by order, to require any person required to control or
clean up oil and gas wastes or other substances or materials to reimburse
the commission for all oil field cleanup costs incurred by the commission.
Authorizes the commission to request the attorney general to file suit
against the person to recover those costs.  Requires the attorney general,
at the request of the commission, to file suit to enforce an order issued
by the commission under this subsection. Authorizes a suit under this
subsection to be filed in any court of competent jurisdiction in Travis
County. Makes conforming changes.  

SECTION 4.Emergency clause.
  Effective date: upon passage.


 
EXPLANATION OF AMENDMENTS

Committee Amendment #1

Amends SECTIONS 1, 2, and 3 to authorize, rather than require, the attorney
general to file suit at the request of the Railroad Commission of Texas.