As Introduced

127th General Assembly
Regular Session
2007-2008
H. B. No. 583


Representative Schindel 

Cosponsors: Representatives Harwood, Chandler, Patton, Stebelton 

A BILL
To amend section 1509.06 and to enact section 1
1509.073 of the Revised Code to establish certain 2
notification and noise requirements for the 3
drilling of an oil or gas well and to authorize 4
the Chief of the Division of Mineral Resources 5
Management in the Department of Natural Resources 6
to deny a permit for the drilling of an oil or gas 7
well based on past violations of the Oil and Gas 8
Law by the permit applicant.9


BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

       Section 1. That section 1509.06 be amended and section 10
1509.073 of the Revised Code be enacted to read as follows:11

       Sec. 1509.06. (A) An application for a permit to drill a new12
well, drill an existing well deeper, reopen a well, convert a well13
to any use other than its original purpose, or plug back a well to14
a different source of supply shall be filed with the chief of the15
division of mineral resources management upon such form as the16
chief prescribes and shall contain each of the following that is17
applicable:18

       (1) The name and address of the owner and, if a corporation,19
the name and address of the statutory agent;20

       (2) The signature of the owner or the owner's authorized21
agent. When an authorized agent signs an application, it shall be22
accompanied by a certified copy of the appointment as such agent.23

       (3) The names and addresses of all persons holding the24
royalty interest in the tract upon which the well is located or is25
to be drilled or within a proposed drilling unit;26

       (4) The location of the tract or drilling unit on which the27
well is located or is to be drilled identified by section or lot28
number, city, village, township, and county;29

       (5) Designation of the well by name and number;30

       (6) The geological formation to be tested or used and the31
proposed total depth of the well;32

       (7) The type of drilling equipment to be used;33

       (8) If the well is for the injection of a liquid, identity of 34
the geological formation to be used as the injection zone and the 35
composition of the liquid to be injected;36

       (9) For an application for a permit to drill a new well, a 37
sworn statement that the applicant has provided notice of the 38
application to the owner of each occupied dwelling unit that is 39
located within five hundred feet of the surface location of the 40
well if the surface location will be less than five hundred feet 41
from the boundary of the drilling unit and more than fifteen 42
occupied dwelling units are located less than five hundred feet 43
from the surface location of the well, excluding any dwelling that 44
is located on real property all or any portion of which is 45
included in the drilling unit. The notice shall contain a 46
statement that an application has been filed with the division of 47
mineral resources management, identify the name of the applicant 48
and the proposed well location, include the name and address of 49
the division, and contain a statement that comments regarding the 50
application may be sent to the division. The notice may be 51
provided by hand delivery or regular mail. The identity of the 52
owners of occupied dwelling units shall be determined using the 53
tax records of the municipal corporation or county in which the 54
dwelling unit is located as of the date of the notice.55

       (10) A plan for restoration of the land surface disturbed by56
drilling operations. The plan shall provide for compliance with57
the restoration requirements of division (A) of section 1509.07258
of the Revised Code and any rules adopted by the chief pertaining59
to that restoration.60

       (11) A description by name or number of the county, township,61
and municipal corporation roads, streets, and highways that the62
applicant anticipates will be used for access to and egress from63
the well site;64

       (12) Such other relevant information as the chief prescribes65
by rule.66

       Each application shall be accompanied by a map, on a scale67
not smaller than four hundred feet to the inch, prepared by an68
Ohio registered surveyor, showing the location of the well and69
containing such other data as may be prescribed by the chief. If70
the well is or is to be located within the excavations and71
workings of a mine, the map also shall include the location of the72
mine, the name of the mine, and the name of the person operating73
the mine.74

       (B) The chief shall cause a copy of the weekly circular75
prepared by the division to be provided to the county engineer of 76
each county that contains active or proposed drilling activity. 77
The weekly circular shall contain, in the manner prescribed by the78
chief, the names of all applicants for permits, the location of79
each well or proposed well, the information required by division80
(A)(11) of this section, and any additional information the chief81
prescribes. In addition, the chief promptly shall transfer an 82
electronic copy or facsimile, or if those methods are not 83
available to a municipal corporation or township, a copy via 84
regular mail, of a drilling permit application to the clerk of the 85
legislative authority of the municipal corporation or to the clerk 86
of the township in which the well or proposed well is or is to be 87
located if the legislative authority of the municipal corporation 88
or the board of township trustees has asked to receive copies of 89
such applications and the appropriate clerk has provided the chief 90
an accurate, current electronic mailing address or facsimile 91
number, as applicable.92

       (C) The chief shall not issue a permit for at least ten days93
after the date of filing of the application for the permit unless,94
upon reasonable cause shown, the chief waives that period or a95
request for expedited review is filed under this section. However,96
the chief shall issue a permit within twenty-one days of the97
filing of the application unless the chief denies the application98
by order.99

       (D) An applicant may file a request with the chief for100
expedited review of a permit application if the well is not or is 101
not to be located in a gas storage reservoir or reservoir102
protective area, as "reservoir protective area" is defined in103
section 1571.01 of the Revised Code. If the well is or is to be104
located in a coal bearing township, the application shall be105
accompanied by the affidavit of the landowner prescribed in106
section 1509.08 of the Revised Code.107

       In addition to a complete application for a permit that meets108
the requirements of this section and the permit fee prescribed by109
this section, a request for expedited review shall be accompanied110
by a separate nonrefundable filing fee of five hundred dollars.111
Upon the filing of a request for expedited review, the chief shall112
cause the county engineer of the county in which the well is or is113
to be located to be notified of the filing of the permit114
application and the request for expedited review by telephone or115
other means that in the judgment of the chief will provide timely116
notice of the application and request. The chief shall issue a117
permit within seven days of the filing of the request unless the118
chief denies the application by order. Notwithstanding the119
provisions of this section governing expedited review of permit120
applications, the chief may refuse to accept requests for121
expedited review if, in the chief's judgment, the acceptance of122
the requests would prevent the issuance, within twenty-one days of123
their filing, of permits for which applications are pending.124

       (E) A well shall be drilled and operated in accordance with 125
the plans, sworn statements, and other information submitted in 126
the approved application.127

       (F) The chief shall issue an order denying a permit if the128
chief finds that there is a substantial risk that the operation129
will result in violations of this chapter or rules adopted under 130
it that will present an imminent danger to public health or safety 131
or damage to the environment, provided that where the chief finds132
that terms or conditions to the permit can reasonably be expected133
to prevent such violations, the chief shall issue the permit134
subject to those terms or conditions, including, if applicable, 135
terms and conditions regarding subjects identified in rules 136
adopted under section 1509.03 of the Revised Code. The chief also 137
may issue an order denying a permit if the chief finds that the 138
applicant for the permit has a history of violations of this 139
chapter and rules adopted under it.140

       (G) Each application for a permit required by section 1509.05141
of the Revised Code, except an application to plug back an 142
existing well that is required by that section and an application 143
for a well drilled or reopened for purposes of section 1509.22 of 144
the Revised Code, also shall be accompanied by a nonrefundable fee 145
as follows:146

       (1) Two hundred fifty dollars for a permit to conduct 147
activities in a township with a population of fewer than five 148
thousand;149

       (2) Five hundred dollars for a permit to conduct activities 150
in a township with a population of five thousand or more, but 151
fewer than ten thousand;152

       (3) Seven hundred fifty dollars for a permit to conduct 153
activities in a township with a population of ten thousand or 154
more, but fewer than fifteen thousand;155

       (4) One thousand dollars for a permit to conduct activities 156
in either of the following:157

       (a) A township with a population of fifteen thousand or more;158

       (b) A municipal corporation regardless of population.159

       For purposes of calculating fee amounts, populations shall be 160
determined using the most recent federal decennial census.161

       Each application for the revision or reissuance of a permit 162
shall be accompanied by a nonrefundable fee of two hundred fifty 163
dollars.164

       (H) The chief may order the immediate suspension of drilling,165
operating, or plugging activities after finding that any person is166
causing, engaging in, or maintaining a condition or activity that167
in the chief's judgment presents an imminent danger to public168
health or safety or results in or is likely to result in immediate169
substantial damage to natural resources or for nonpayment of a fee 170
required by this section. The chief may order the immediate171
suspension of the drilling or reopening of a well in a coal172
bearing township after determining that the drilling or reopening173
activities present an imminent and substantial threat to public174
health or safety or to miners' health or safety. Before issuing175
any such order, the chief shall notify the owner in such manner as176
in the chief's judgment would provide reasonable notification that177
the chief intends to issue a suspension order. The chief may issue 178
such an order without prior notification if reasonable attempts to179
notify the owner have failed, but in such an event notification180
shall be given as soon thereafter as practical. Within five181
calendar days after the issuance of the order, the chief shall182
provide the owner an opportunity to be heard and to present183
evidence that the condition or activity is not likely to result in 184
immediate substantial damage to natural resources or does not185
present an imminent danger to public health or safety or to 186
miners' health or safety, if applicable. In the case of187
activities in a coal bearing township, if the chief, after188
considering evidence presented by the owner, determines that the189
activities do not present such a threat, the chief shall revoke190
the suspension order. Notwithstanding any provision of this191
chapter, the owner may appeal a suspension order directly to the192
court of common pleas of the county in which the activity is193
located or, if in a coal bearing township, to the reclamation194
commission under section 1513.13 of the Revised Code.195

       Sec. 1509.073. (A) An owner that is issued a permit to drill 196
a well under this chapter shall provide written notice of the date 197
and time of the proposed drilling to a resident of each dwelling 198
that is located within five hundred feet of the well and to the 199
fire department with territorial jurisdiction over the well's 200
location.201

        (B) An owner that is issued a permit to drill a well under 202
this chapter shall not allow the noise from the drilling operation 203
to exceed one hundred twenty decibels if the well is located 204
within two hundred feet of a multiple unit dwelling with at least 205
three units, a hospital as defined in section 3727.01 of the 206
Revised Code, or a nursing home as defined in that section.207

       Section 2. That existing section 1509.06 of the Revised Code 208
is hereby repealed.209