As Introduced

127th General Assembly
Regular Session
2007-2008
H. B. No. 584


Representative Schindel 


A BILL
To amend section 1509.06 and to enact sections 1
1509.062, 1509.063, and 1509.073 of the Revised 2
Code to allow the applicable board of township 3
trustees or legislative authority of a municipal 4
corporation where an existing or proposed oil or 5
gas well is or is to be located to submit written 6
comments specifically describing safety issues 7
regarding the well to the Chief of the Division 8
of Mineral Resources Management in the Department 9
of Natural Resources, to require the Chief to 10
review any such comments before determining 11
whether to issue a permit for the well, to 12
establish certain notification and noise 13
requirements for the drilling of an oil or gas 14
well, and to establish other permit requirements.15


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

       Section 1. That sections 1509.06 be amended and sections 16
1509.062, 1509.063, and 1509.073 of the Revised Code be enacted to 17
read as follows:18

       Sec. 1509.06. (A) An application for a permit to drill a new19
well, drill an existing well deeper, reopen a well, convert a well20
to any use other than its original purpose, or plug back a well to21
a different source of supply shall be filed with the chief of the22
division of mineral resources management upon such form as the23
chief prescribes and shall contain each of the following that is24
applicable:25

       (1) The name and address of the owner and, if a corporation,26
the name and address of the statutory agent;27

       (2) The signature of the owner or the owner's authorized28
agent. When an authorized agent signs an application, it shall be29
accompanied by a certified copy of the appointment as such agent.30

       (3) The names and addresses of all persons holding the31
royalty interest in the tract upon which the well is located or is32
to be drilled or within a proposed drilling unit;33

       (4) The location of the tract or drilling unit on which the34
well is located or is to be drilled identified by section or lot35
number, city, village, township, and county;36

       (5) Designation of the well by name and number;37

       (6) The geological formation to be tested or used and the38
proposed total depth of the well;39

       (7) The type of drilling equipment to be used;40

       (8) If the well is for the injection of a liquid, identity of 41
the geological formation to be used as the injection zone and the 42
composition of the liquid to be injected;43

       (9) For an application for a permit to drill a new well, a 44
sworn statement that the applicant has provided notice of the 45
application to the owner of each occupied dwelling unit that is 46
located within five hundred feet of the surface location of the 47
well if the surface location will be less than five hundred feet 48
from the boundary of the drilling unit and more than fifteen 49
occupied dwelling units are located less than five hundred feet 50
from the surface location of the well, excluding any dwelling that 51
is located on real property all or any portion of which is 52
included in the drilling unit. The notice shall contain a 53
statement that an application has been filed with the division of 54
mineral resources management, identify the name of the applicant 55
and the proposed well location, include the name and address of 56
the division, and contain a statement that comments regarding the 57
application may be sent to the division. The notice may be 58
provided by hand delivery or regular mail. The identity of the 59
owners of occupied dwelling units shall be determined using the 60
tax records of the municipal corporation or county in which the 61
dwelling unit is located as of the date of the notice.62

       (10) A plan for restoration of the land surface disturbed by63
drilling operations. The plan shall provide for compliance with64
the restoration requirements of division (A) of section 1509.07265
of the Revised Code and any rules adopted by the chief pertaining66
to that restoration.67

       (11) A description by name or number of the county, township,68
and municipal corporation roads, streets, and highways that the69
applicant anticipates will be used for access to and egress from70
the well site;71

       (12) Such other relevant information as the chief prescribes72
by rule.73

       Each application shall be accompanied by a map, on a scale74
not smaller than four hundred feet to the inch, prepared by an75
Ohio registered surveyor, showing the location of the well and76
containing such other data as may be prescribed by the chief. If77
the well is or is to be located within the excavations and78
workings of a mine, the map also shall include the location of the79
mine, the name of the mine, and the name of the person operating80
the mine.81

       (B) The chief shall cause a copy of the weekly circular82
prepared by the division to be provided to the county engineer of 83
each county that contains active or proposed drilling activity. 84
The weekly circular shall contain, in the manner prescribed by the85
chief, the names of all applicants for permits, the location of86
each well or proposed well, the information required by division87
(A)(11) of this section, and any additional information the chief88
prescribes. In addition, the chief promptly shall transfer an 89
electronic copy or facsimile, or if those methods are not 90
available to a municipal corporation or township, a copy via 91
regular mail, of a drilling permit application to the clerk of the 92
legislative authority of the municipal corporation or to the clerk 93
of the township in which the well or proposed well is or is to be 94
located if the legislative authority of the municipal corporation 95
or the board of township trustees has asked to receive copies of 96
such applications and the appropriate clerk has provided the chief 97
an accurate, current electronic mailing address or facsimile 98
number, as applicable.99

       (C) The chief shall not issue a permit for at least ten days100
after the date of filing of the application for the permit unless 101
the chief does not receive notification from a board of township 102
trustees or the legislative authority of a municipal corporation 103
of the board's or the legislative authority's determination to 104
submit written comments concerning safety issues in accordance 105
with section 1509.062 of the Revised Code and, upon reasonable 106
cause shown, the chief waives that period or a request for107
expedited review is filed under this section. However, the chief 108
shall issue a permit within twenty-one days of the filing of the 109
application unless the chief denies the application by order or 110
the chief receives notification from a board of township trustees 111
or the legislative authority of a municipal corporation of the 112
board's or the legislative authority's determination to submit 113
written comments concerning safety issues in accordance with 114
section 1509.062 of the Revised Code. If the chief receives such 115
written comments, the chief shall issue the permit within 116
twenty-one days of the chief's determination that the applicant 117
resolved the safety issues described in the submitted written 118
comments or that the applicant does not need to resolve any such 119
safety issues.120

       (D) An applicant may file a request with the chief for121
expedited review of a permit application if the well is not or is 122
not to be located in a gas storage reservoir or reservoir123
protective area, as "reservoir protective area" is defined in124
section 1571.01 of the Revised Code. If the well is or is to be125
located in a coal bearing township, the application shall be126
accompanied by the affidavit of the landowner prescribed in127
section 1509.08 of the Revised Code.128

       In addition to a complete application for a permit that meets129
the requirements of this section and the permit fee prescribed by130
this section, a request for expedited review shall be accompanied131
by a separate nonrefundable filing fee of five hundred dollars.132
Upon the filing of a request for expedited review and if the chief 133
does not receive notification from a board of township trustees or 134
the legislative authority of a municipal corporation of the 135
board's or legislative authority's determination to submit written 136
comments concerning safety issues in accordance with section 137
1509.062 of the Revised Code, the chief shall cause the county 138
engineer of the county in which the well is or is to be located to 139
be notified of the filing of the permit application and the 140
request for expedited review by telephone or other means that in 141
the judgment of the chief will provide timely notice of the 142
application and request. The chief shall issue a permit within 143
seven days of the filing of the request unless the chief denies 144
the application by order or the chief receives notification from a 145
board of township trustees or the legislative authority of a 146
municipal corporation of the board's or the legislative 147
authority's determination to submit written comments concerning 148
safety issues in accordance with section 1509.062 of the Revised 149
Code. If the chief receives such written comments, the chief shall 150
issue the permit within seven days of the chief's determination 151
that the applicant resolved the safety issues described in the 152
submitted written comments or that the applicant does not need to 153
resolve any such safety issues. Notwithstanding the provisions of 154
this section governing expedited review of permit applications, 155
the chief may refuse to accept requests for expedited review if, 156
in the chief's judgment, the acceptance of the requests would 157
prevent the issuance, within twenty-one days of their filing, of 158
permits for which applications are pending.159

       (E) A well shall be drilled and operated in accordance with 160
the plans, sworn statements, and other information submitted in 161
the approved application.162

       (F) The chief shall issue an order denying a permit if the163
chief finds that there is a substantial risk that the operation164
will result in violations of this chapter or rules adopted under 165
it that will present an imminent danger to public health or safety 166
or damage to the environment, provided that where the chief finds167
that terms or conditions to the permit can reasonably be expected168
to prevent such violations, the chief shall issue the permit169
subject to those terms or conditions, including, if applicable, 170
terms and conditions regarding subjects identified in rules 171
adopted under section 1509.03 of the Revised Code.172

       (G) Each application for a permit required by section 1509.05173
of the Revised Code, except an application to plug back an 174
existing well that is required by that section and an application 175
for a well drilled or reopened for purposes of section 1509.22 of 176
the Revised Code, also shall be accompanied by a nonrefundable fee 177
as follows:178

       (1) Two hundred fifty dollars for a permit to conduct 179
activities in a township with a population of fewer than five 180
thousand;181

       (2) Five hundred dollars for a permit to conduct activities 182
in a township with a population of five thousand or more, but 183
fewer than ten thousand;184

       (3) Seven hundred fifty dollars for a permit to conduct 185
activities in a township with a population of ten thousand or 186
more, but fewer than fifteen thousand;187

       (4) One thousand dollars for a permit to conduct activities 188
in either of the following:189

       (a) A township with a population of fifteen thousand or more;190

       (b) A municipal corporation regardless of population.191

       For purposes of calculating fee amounts, populations shall be 192
determined using the most recent federal decennial census.193

       Each application for the revision or reissuance of a permit 194
shall be accompanied by a nonrefundable fee of two hundred fifty 195
dollars.196

       (H) The chief may order the immediate suspension of drilling,197
operating, or plugging activities after finding that any person is198
causing, engaging in, or maintaining a condition or activity that199
in the chief's judgment presents an imminent danger to public200
health or safety or results in or is likely to result in immediate201
substantial damage to natural resources or for nonpayment of a fee 202
required by this section. The chief may order the immediate203
suspension of the drilling or reopening of a well in a coal204
bearing township after determining that the drilling or reopening205
activities present an imminent and substantial threat to public206
health or safety or to miners' health or safety. Before issuing207
any such order, the chief shall notify the owner in such manner as208
in the chief's judgment would provide reasonable notification that209
the chief intends to issue a suspension order. The chief may issue 210
such an order without prior notification if reasonable attempts to211
notify the owner have failed, but in such an event notification212
shall be given as soon thereafter as practical. Within five213
calendar days after the issuance of the order, the chief shall214
provide the owner an opportunity to be heard and to present215
evidence that the condition or activity is not likely to result in 216
immediate substantial damage to natural resources or does not217
present an imminent danger to public health or safety or to 218
miners' health or safety, if applicable. In the case of219
activities in a coal bearing township, if the chief, after220
considering evidence presented by the owner, determines that the221
activities do not present such a threat, the chief shall revoke222
the suspension order. Notwithstanding any provision of this223
chapter, the owner may appeal a suspension order directly to the224
court of common pleas of the county in which the activity is225
located or, if in a coal bearing township, to the reclamation226
commission under section 1513.13 of the Revised Code.227

       Sec. 1509.062.  Upon receipt of a copy of an application for 228
a permit under section 1509.06 of the Revised Code, a board of 229
township trustees or the legislative authority of a municipal 230
corporation, as applicable, may review the application for safety 231
issues concerning the existing or proposed well that is the 232
subject of the application. If the board or legislative authority 233
determines to review the application, not later than five days 234
after receipt of the copy of the application, the board or 235
legislative authority, as applicable, shall notify the chief of 236
the division of mineral resources management of the board's or 237
legislative authority's determination to review the application. 238
Not later than thirty days after receipt of the copy of the 239
application, the board or legislative authority either shall 240
submit to the chief written comments specifically describing any 241
safety issues that the board or legislative authority has 242
identified that the chief should consider before issuing the 243
permit under section 1509.06 of the Revised Code or shall notify 244
the chief that it will not be submitting any such comments. 245

       After receipt of any written comments from a board of 246
township trustees or the legislative authority of a municipal 247
corporation, as applicable, the chief shall review the comments 248
and determine if the applicant needs to resolve any of the safety 249
issues that the board or legislative authority identified that the 250
chief should consider. If the chief determines that the applicant 251
needs to resolve any such safety issues, the chief shall return 252
the application to the applicant and notify the applicant of the 253
safety issues that the applicant must resolve in order for the 254
chief to issue the permit. The applicant may resubmit the 255
application. If the chief determines that the applicant does not 256
need to resolve any such safety issues or if the applicant 257
resolves such safety issues in an application that is resubmitted, 258
the chief may proceed to issue the permit in accordance with the 259
procedures established in this chapter.260

       Sec. 1509.063. The chief of the division of mineral resources 261
management shall establish as a condition of a permit issued under 262
this chapter a requirement that only the flag of the United States 263
of America may be flown from the equipment that is used to drill a 264
well while the equipment is located at the surface location of the 265
well.266

       Sec. 1509.073. (A) An owner that is issued a permit to drill 267
a well under this chapter shall provide written notice of the date 268
and time of the proposed drilling to a resident of each dwelling 269
that is located within five hundred feet of the well and to the 270
fire department with territorial jurisdiction over the well's 271
location.272

        (B) An owner that is issued a permit to drill a well under 273
this chapter shall not allow the noise from the drilling operation 274
to exceed one hundred twenty decibels if the well is located 275
within two hundred feet of a multiple unit dwelling with at least 276
three units, a hospital as defined in section 3727.01 of the 277
Revised Code, or a nursing home as defined in that section.278

       Section 2. That existing section 1509.06 of the Revised Code 279
is hereby repealed.280