Section 1. That sections 1509.01, 1509.02, 1509.03, 1509.04, | 10 |
1509.05,
1509.06, 1509.07, 1509.071, 1509.072, 1509.10, 1509.11, | 11 |
1509.12,
1509.13, 1509.14, 1509.17, 1509.18, 1509.20, 1509.21, | 12 |
1509.22, 1509.221,
1509.222, 1509.225, 1509.226, 1509.23, | 13 |
1509.27, 1509.31, 1509.35,
1509.36, and 5749.06 be amended and | 14 |
sections 1509.062, 1509.19, 1509.34, 1509.50, and 1571.18 of the | 15 |
Revised Code be enacted to read as follows: | 16 |
(K) "Owner," unless referring to a mine, means the person
who | 62 |
has the right to drill on a tract or drilling unit, to
drill into | 63 |
and produce from a pool, and to appropriate the oil or
gas | 64 |
produced therefrom either for
the person or for others,
except | 65 |
that a person ceases to be an owner with respect to a well when | 66 |
the
well has been plugged in accordance with applicable rules | 67 |
adopted and orders
issued under this chapter. "Owner" does not | 68 |
include a person who obtains a lease of the mineral rights for oil | 69 |
and gas on a parcel of land if the person does not attempt to | 70 |
produce or produce oil or gas from a well or obtain a permit under | 71 |
this chapter for a well or if the entire interest of a well is | 72 |
transferred to the person in accordance with division (B) of | 73 |
section 1509.31 of
the Revised Code. | 74 |
(S) "Safe Drinking Water Act" means the "Safe Drinking
Water | 95 |
Act," 88 Stat. 1661 (1974), 42 U.S.C.A. 300(f),
as amended by the | 96 |
"Safe Drinking Water Amendments of 1977," 91
Stat. 1393, 42 | 97 |
U.S.C.A. 300(f), the "Safe Drinking
Water Act Amendments of 1986," | 98 |
100
Stat. 642, 42 U.S.C.A. 300(f), and the "Safe Drinking Water | 99 |
Act Amendments of 1996," 110
Stat. 1613, 42 U.S.C.A. 300(f), and | 100 |
regulations adopted
under those acts. | 101 |
(V) "Waters of the state" means all streams, lakes, ponds, | 110 |
marshes, watercourses, waterways, springs, irrigation systems, | 111 |
drainage systems, and other bodies of water, surface or | 112 |
underground, natural or artificial, that are situated wholly or | 113 |
partially within this state or within its jurisdiction, except | 114 |
those private waters that do not combine or effect a junction
with | 115 |
natural surface or underground waters. | 116 |
(BB) "Gathering" means the use of any pipeline or series of | 162 |
pipelines to collect and transport natural gas from the | 163 |
furthermost downstream point in a production operation to the | 164 |
furthermost downstream point of the series of endpoints identified | 165 |
as the end of a gathering line under the "Natural Gas Pipeline | 166 |
Safety Act of 1968," 82 Stat. 720 (1968), 49. U.S.C. App. 1671 et | 167 |
seq., as amended, and the regulations adopted under it, including, | 168 |
without limitation, 49 C.F.R. part 192. | 169 |
Sec. 1509.02. There is hereby created in the department of | 200 |
natural resources the division of mineral resources
management, | 201 |
which shall be
administered by the chief of the division of | 202 |
mineral
resources management. The division has sole and exclusive | 203 |
authority to regulate the permitting, location, and spacing of oil | 204 |
and gas wells within the state. The regulation of oil and gas | 205 |
activities is a matter of general statewide interest that requires | 206 |
uniform statewide regulation, and this chapter and rules adopted | 207 |
under it constitute a comprehensive plan with respect to all | 208 |
aspects of the locating, drilling, and operating of oil and gas | 209 |
wells within this state, including site restoration and disposal | 210 |
of wastes from those wells. Nothing in this section affects the | 211 |
authority granted to the director of transportation and local | 212 |
authorities in section 4513.34 of the Revised Code. | 213 |
All moneys collected by the chief pursuant to sections | 217 |
1509.06, 1509.061, 1509.062, 1509.071, 1509.13, 1509.22, and | 218 |
1509.221, 1509.222, 1509.34, 1509.50, and 1571.18,
ninety per cent | 219 |
of moneys received by the treasurer of state from
the tax
levied | 220 |
in divisions (A)(5) and (6) of section 5749.02,
all
civil | 221 |
penalties paid
under section 1509.33, and, notwithstanding
any | 222 |
section of the
Revised Code relating to the distribution or | 223 |
crediting of fines for
violations of the Revised Code, all fines | 224 |
imposed under divisions
(A) and (B) of section 1509.99 of the | 225 |
Revised Code and fines
imposed under divisions (C) and (D) of | 226 |
section 1509.99 of the
Revised Code for all violations prosecuted | 227 |
by the attorney
general and for violations prosecuted by | 228 |
prosecuting attorneys
that do not involve the transportation of | 229 |
brine by vehicle shall
be deposited into the state treasury to the | 230 |
credit of the oil and
gas well fund, which is hereby created. | 231 |
Fines imposed
under divisions (C) and (D) of section 1509.99 of | 232 |
the Revised Code for
violations prosecuted by prosecuting | 233 |
attorneys that involve the
transportation of brine by vehicle and | 234 |
penalties associated with a compliance agreement entered into | 235 |
pursuant to this chapter shall be paid to the county
treasury of | 236 |
the county where the violation occurred. | 237 |
The fund shall be used solely and exclusively for the | 238 |
purposes enumerated in
division
(B) of section 1509.071 of the | 239 |
Revised Code, for the
expenses of the
division associated with | 240 |
the administration of the
"Natural Gas
Policy Act of 1978," 92 | 241 |
Stat. 3358, 15 U.S.C. 3301,
and for the
division's other | 242 |
functionsthis chapter and Chapter 1571. of the Revised Code and | 243 |
rules adopted under them, and for expenses that are critical and | 244 |
necessary for the protection of human health and safety and the | 245 |
environment related to oil and gas production in this state. The | 246 |
expenses of the
division in
excess of the moneys available in the | 247 |
fund shall be
paid from
general revenue fund appropriations to | 248 |
the department. | 249 |
Sec. 1509.03. The chief of the division of mineral
resources | 250 |
management
shall adopt, rescind, and amend, in accordance
with | 251 |
Chapter 119. of the
Revised Code, rules for the
administration, | 252 |
implementation, and enforcement of this chapter. The rules shall | 253 |
include an identification of the subjects that the chief shall | 254 |
address when attaching terms and conditions to a permit with | 255 |
respect to a well and production facilities of a well that are | 256 |
located within an urbanized area. The subjects shall include all | 257 |
of the following: | 258 |
The chief or the chief's authorized representative may at
any | 287 |
time enter upon lands, public or private, for the purpose of | 288 |
administration or enforcement of this chapter, the rules adopted | 289 |
or orders made
thereunder, or terms or conditions
of permits or | 290 |
registration certificates issued thereunder and may
examine and | 291 |
copy records pertaining to the drilling, conversion,
or operation | 292 |
of a well for injection of fluids and logs required
by division | 293 |
(C) of section 1509.223 of the Revised Code. No
person shall | 294 |
prevent or hinder the chief or the chief's
authorized | 295 |
representative in the performance of official
duties. If entry is | 296 |
prevented or hindered, the chief or
the
chief's authorized | 297 |
representative
may apply for, and the court of common pleas may | 298 |
issue, an
appropriate inspection warrant necessary to achieve the | 299 |
purposes
of this chapter within the court's territorial | 300 |
jurisdiction. | 301 |
Orders of the chief denying, suspending, or revoking a | 309 |
registration certificate; approving or denying approval of an | 310 |
application for revision of a registered transporter's plan for | 311 |
disposal; or to implement, administer, or enforce division (A) of | 312 |
section 1509.224 and sections 1509.22, 1509.222, 1509.223, | 313 |
1509.225, and 1509.226 of the Revised Code pertaining to the | 314 |
transportation of brine by vehicle and the disposal of brine so | 315 |
transported are not adjudication orders for purposes of Chapter | 316 |
119. of the Revised Code. The chief shall issue such orders
under | 317 |
division (A) or (B) of section 1509.224 of the Revised
Code, as | 318 |
appropriate. | 319 |
The chief may order the immediate suspension of drilling, | 345 |
operating, or plugging activities that are related to a material | 346 |
and substantial violation and suspend and revoke an unused
permit | 347 |
after finding that an owner
is causing, engaging in, or | 348 |
maintaining a condition or
activity
that the chief determines | 349 |
presents an imminent danger to
the
health or safety of the | 350 |
public or that results in or is
likely to
result in immediate | 351 |
substantial damage to the natural
resources
of this state. The | 352 |
chief may issue
such an order without prior
notification if | 353 |
reasonable attempts to
notify the owner have failed
or if the | 354 |
owner is currently in material breach of a prior enforcement | 355 |
action, but in such an event
notification
shall be given as soon | 356 |
thereafter as practical. | 357 |
Not later than five days after the issuance of a suspension | 358 |
order, the chief shall provide the owner an opportunity to be | 359 |
heard and to present evidence
that the condition or activity does | 360 |
not
present an imminent
danger to the public health or safety or | 361 |
is not likely to result
in
immediate substantial damage to | 362 |
natural resources. If the
chief,
after considering
evidence | 363 |
presented by the owner, determines that the
activities do not | 364 |
present such a
threat, the chief shall revoke
the suspension | 365 |
order.
The
owner may
appeal a
suspension order
to the court | 366 |
of common pleas of the
county in
which the activity
that is the | 367 |
subject of the order is
located. | 368 |
If the owner fails to
comply with a prior enforcement | 374 |
action, the chief may issue a
suspension order without prior | 375 |
notification, but in such an event
the chief shall give notice as | 376 |
soon thereafter as practical. Not
later than five calendar days | 377 |
after the issuance of an order, the
chief shall provide the owner | 378 |
an opportunity to be heard and to present evidence that required | 379 |
records, reports, or logs have been submitted. If the
chief, | 380 |
after considering the evidence presented by the owner,
determines | 381 |
that the reporting
requirements have been satisfied, the chief | 382 |
shall revoke the
suspension order. The owner may appeal
a | 383 |
suspension order to the court of common pleas of the county in | 384 |
which the activity that is the subject of the suspension order is | 385 |
located. | 386 |
The prosecuting attorney of the county or the attorney | 387 |
general, upon the request of the chief, may apply to the court of | 388 |
common pleas in the county in which any of the provisions of
this | 389 |
chapter or any rules,
terms or
conditions of a permit or | 390 |
registration certificate, or orders adopted
or
issued pursuant to | 391 |
this
chapter are being
violated for a temporary restraining order, | 392 |
preliminary
injunction, or permanent injunction restraining any | 393 |
person from
such violation. | 394 |
Sec. 1509.05. No person shall drill a new well, drill an | 396 |
existing well any
deeper, reopen a well, convert a well to any use | 397 |
other than its original
purpose, or plug back a well to a source | 398 |
of supply different from the existing
pool, without having a | 399 |
permit to do so issued by the chief of the division of
mineral | 400 |
resources management, and until the original
permit or a | 401 |
photostatic copy thereof is
posted or displayed in a conspicuous | 402 |
and easily accessible place at the well
site, with the name, | 403 |
current address, and telephone number of the permit
holder and the | 404 |
telephone numbers for fire and emergency medical services | 405 |
maintained on the posted permit or copy. The permit or a copy | 406 |
shall be
continuously displayed in suchthat manner at all times | 407 |
during the work authorized
by the permit. | 408 |
(9) For an application for a permit to drill a new well | 440 |
within an urbanized area, a sworn statement that the applicant has | 441 |
provided notice by regular mail of the application to the owner of | 442 |
each occupied
dwelling unitparcel of real property that is | 443 |
located within five
hundred feet of the surface location of the | 444 |
well if the surface
location will be less than five hundred feet | 445 |
from the boundary of
the drilling unit and more than fifteen | 446 |
occupied dwelling units
are located less than five hundred feet | 447 |
from the surface location
of the well, excluding any dwelling | 448 |
that is located onparcel of
real property all or any portion of | 449 |
which is included in the
drilling unit. The notice shall contain | 450 |
a statement that an
application has been filed with the division | 451 |
of mineral resources
management, identify the name of the | 452 |
applicant and the proposed
well location, include the name and | 453 |
address of the division, and
contain a statement that comments | 454 |
regarding the application may be
sent to the division. The notice | 455 |
may be provided by hand delivery
or regular mail. The identity of | 456 |
the owners of occupied dwelling
unitsparcels of real property | 457 |
shall be determined using the tax
records of the municipal | 458 |
corporation or county in which the
dwelling unita parcel of real | 459 |
property is located as of the date
of the notice. | 460 |
(B) The chief shall cause a copy of the weekly circular | 480 |
prepared
by the division to be provided to the
county engineer of | 481 |
each
county that contains active or proposed
drilling activity. | 482 |
The
weekly circular shall contain, in the
manner prescribed by the | 483 |
chief, the names of all applicants for
permits, the location of | 484 |
each well or proposed well, the
information required by division | 485 |
(A)(11) of this section, and
any
additional information the chief | 486 |
prescribes. In addition, the chief promptly shall transfer an | 487 |
electronic copy or facsimile, or if those methods are not | 488 |
available to a municipal corporation or township, a copy via | 489 |
regular mail, of a drilling permit application to the clerk of the | 490 |
legislative authority of the municipal corporation or to the clerk | 491 |
of the township in which the well or proposed well is or is to be | 492 |
located if the legislative authority of the municipal corporation | 493 |
or the board of township trustees has asked to receive copies of | 494 |
such applications and the appropriate clerk has provided the chief | 495 |
an accurate, current electronic mailing address or facsimile | 496 |
number, as applicable. | 497 |
(2) If the location of a well or proposed well will be or is | 506 |
within an urbanized area, the chief shall not issue a permit for | 507 |
at least eighteen days after the date of filing of the application | 508 |
for the permit unless, upon reasonable cause shown, the chief | 509 |
waives that period or the chief at the chief's discretion grants a | 510 |
request for an expedited review. However, the chief shall issue a | 511 |
permit for a well or proposed well within an urbanized area within | 512 |
thirty days of the filing of the application unless the chief | 513 |
denies the application by order. | 514 |
In addition to a complete application for a permit that meets | 523 |
the
requirements of this section and the permit fee prescribed by | 524 |
this section, a
request for expedited review shall be accompanied | 525 |
by a separate nonrefundable
filing
fee of fivetwo hundred fifty | 526 |
dollars.
Upon the filing of a request for
expedited review, the | 527 |
chief shall
cause the county engineer of the county in
which the | 528 |
well
is or is
to be located to be notified of the filing of the | 529 |
permit
application and the request for expedited review by | 530 |
telephone or
other means that in the judgment of the chief
will | 531 |
provide
timely
notice of the application and request. The
chief | 532 |
shall issue a
permit within seven days of the filing of the | 533 |
request unless the
chief denies the application by order. | 534 |
Notwithstanding the
provisions of this section governing
expedited | 535 |
review of permit
applications, the chief may refuse to
accept | 536 |
requests for
expedited review if, in the chief's
judgment, the | 537 |
acceptance of
the requests would prevent the issuance, within | 538 |
twenty-one days of
their filing, of permits for which
applications | 539 |
are pending. | 540 |
(F) The chief shall issue an order denying a permit if the | 544 |
chief
finds that there is a substantial risk that the operation | 545 |
will
result in violations of this chapter or rules adopted
under | 546 |
it
that will present an imminent danger to
public health
or safety | 547 |
or
damage to the environment, provided that where the
chief finds | 548 |
that terms or conditions to the permit can reasonably
be expected | 549 |
to prevent such violations, the chief shall issue the
permit | 550 |
subject to those terms or conditions, including, if applicable, | 551 |
terms and conditions regarding subjects identified in rules | 552 |
adopted under section 1509.03 of the Revised Code. The issuance of | 553 |
a permit shall not be considered an order of the chief. | 554 |
(H) The chief may order the immediate suspension of drilling, | 581 |
operating, or plugging activities after finding that
any person is | 582 |
causing, engaging in, or maintaining a condition or activity
that | 583 |
in the chief's judgment presents an
imminent danger to
public | 584 |
health or safety or results in or is likely to result in
immediate | 585 |
substantial damage to natural resources or for
nonpayment of a
fee | 586 |
required by this section. The chief may
order the immediate | 587 |
suspension of the drilling or reopening of a
well in a coal | 588 |
bearing
township after determining that the drilling or reopening | 589 |
activities present
an imminent and substantial threat to public | 590 |
health or safety or to miners'
health or safety. Before issuing | 591 |
any
such order, the chief shall notify the owner in such manner as | 592 |
in
the chief's judgment would provide reasonable notification that | 593 |
the chief intends to issue a suspension order. The chief may
issue | 594 |
such
an order without prior notification if reasonable
attempts to | 595 |
notify the owner have failed, but in such an event
notification | 596 |
shall be given as soon thereafter as practical.
Within five | 597 |
calendar days after the issuance of the order, the
chief shall | 598 |
provide the owner an opportunity to be heard and to
present | 599 |
evidence that the condition or activity is not likely to
result
in | 600 |
immediate substantial damage to natural resources or
does not | 601 |
present an imminent danger to public health or safety or
to | 602 |
miners' health
or safety, if applicable.
In the case of | 603 |
activities in a coal bearing township, if the chief, after | 604 |
considering evidence presented by the owner, determines that the | 605 |
activities do
not present such a threat, the chief shall revoke | 606 |
the suspension
order. Notwithstanding any provision of this | 607 |
chapter, the owner
may
appeal a suspension order directly to the | 608 |
court of common
pleas of the
county in which the activity is | 609 |
located or, if in a coal bearing township,
to the
reclamation | 610 |
commission under section 1513.13 of the Revised
CodeA permittee | 611 |
or a permittee's authorized representative shall notify an | 612 |
inspector from the division of mineral resources management at | 613 |
least twenty-four hours, or another time period agreed to by the | 614 |
chief's authorized representative, prior to the commencement of | 615 |
drilling, reopening, converting, well stimulation, or plugback | 616 |
operations. | 617 |
Sec. 1509.062. (A)(1) The owner of a well that has not been | 618 |
completed, a well that has not produced within one year after | 619 |
completion, or an existing well that has no reported production | 620 |
for two consecutive reporting periods as reported in accordance | 621 |
with section 1509.11 of the Revised Code shall plug the well in | 622 |
accordance with section 1509.12 of the Revised Code, obtain | 623 |
temporary inactive well status for the well in accordance with | 624 |
this section, or perform another activity regarding the well that | 625 |
is approved by the chief of the division of mineral resources | 626 |
management. | 627 |
(C) Upon receipt of an application for temporary inactive | 666 |
well status, the chief shall review the application and shall | 667 |
either deny the application by issuing an order or approve the | 668 |
application. The chief shall approve the application only if the | 669 |
chief determines that the well that is the subject of the | 670 |
application poses no threat to the health or safety of persons, | 671 |
property, or the environment. If the chief approves the | 672 |
application, the chief shall notify the applicant of the chief's | 673 |
approval. Upon receipt of the chief's approval, the owner shall | 674 |
shut in the well and empty all liquids and gases from all storage | 675 |
tanks, pipelines, and other equipment associated with the well. In | 676 |
addition, the owner shall maintain the well, other equipment | 677 |
associated with the well, and the surface location of the well in | 678 |
a manner that prevents hazards to the health and safety of people | 679 |
and the environment. The owner shall inspect the well at least | 680 |
every six months and submit to the chief within fourteen days | 681 |
after the inspection a record of inspection on a form prescribed | 682 |
and provided by the chief. | 683 |
(D) Not later than thirty days prior to the expiration of | 684 |
temporary inactive well status or a renewal of temporary inactive | 685 |
well status approved by the chief for a well, the owner of the | 686 |
well may submit to the chief an application for renewal of the | 687 |
temporary inactive well status on a form prescribed and provided | 688 |
by the chief. The application shall include a detailed plan that | 689 |
describes the ultimate disposition of the well, the time frames | 690 |
for that disposition, and any other information that the chief | 691 |
determines is necessary. The chief shall either deny an | 692 |
application by order or approve the application. If the chief | 693 |
approves the application, the chief shall notify the owner of the | 694 |
well of the chief's approval. | 695 |
(G) Temporary inactive well status approved by the chief | 706 |
expires one year after the date of approval of the application for | 707 |
temporary inactive well status or production from the well | 708 |
commences, whichever occurs sooner. In addition, a renewal of a | 709 |
temporary inactive well status expires one year after the | 710 |
expiration date of the initial temporary inactive well status or | 711 |
one year after the expiration date of the previous renewal of the | 712 |
temporary inactive well status, as applicable, or production from | 713 |
the well commences, whichever occurs sooner. | 714 |
Sec. 1509.07. An owner of any well, except an exempt | 724 |
Mississippian well or an exempt domestic well, shall obtain | 725 |
liability
insurance coverage from
a company authorized to do | 726 |
business in this state in an amount
of not less than three hundred | 727 |
thousandone million dollars bodily injury
coverage and three | 728 |
hundred thousand dollars property damage
coverage to pay damages | 729 |
for injury to persons or damage to
property caused by the | 730 |
drilling, operation, or plugging of all
the owner's wells in this | 731 |
state. However, if any well is located within an urbanized area, | 732 |
the owner shall obtain liability insurance coverage in an amount | 733 |
of not less than three million dollars for bodily injury coverage | 734 |
and property damage coverage to pay damages for injury to persons | 735 |
or damage to property caused by the drilling, operation, or | 736 |
plugging of all of the owner's wells in this state. The owner | 737 |
shall maintain thatthe coverage until all the owner's wells are | 738 |
plugged and
abandoned as required by lawor are transferred to an | 739 |
owner who has obtained insurance as required under this
section | 740 |
and who is not under a notice of material and substantial | 741 |
violation or under a suspension order. The
owner shall provide | 742 |
proof of liability
insurance coverage to the chief
of the division | 743 |
of mineral resources management upon
request. Upon failure of the | 744 |
owner to provide that proof when
requested, the chief may order | 745 |
the suspension of
any outstanding permits and operations of the | 746 |
owner until the owner
provides proof of the required insurance | 747 |
coverage. | 748 |
Except as otherwise provided in this section, an owner of any | 749 |
well, before being issued a permit under
section 1509.06 of the | 750 |
Revised Code or before operating or producing from a well, shall | 751 |
execute and file with
the division of mineral resources management | 752 |
a
surety bond conditioned on compliance
with the
restoration | 753 |
requirements of section 1509.072, the plugging
requirements of | 754 |
section 1509.12, the permit provisions of section
1509.13 of the | 755 |
Revised Code, and all rules and orders of the
chief relating | 756 |
thereto, in an amount set by rule of the chief. | 757 |
The owner may deposit with the chief, instead of a surety | 758 |
bond, cash in an amount equal to the surety bond as prescribed | 759 |
pursuant to this section or negotiable certificates of deposit or | 760 |
irrevocable letters of
credit, issued by any
bank organized or | 761 |
transacting business in this state or
by any savings and loan | 762 |
association as defined in section 1151.01 of the Revised Code, | 763 |
having a cash value equal to or greater than the amount of the | 764 |
surety bond as prescribed pursuant to this section. Cash or | 765 |
certificates
of deposit shall be deposited upon the same terms as | 766 |
those upon
which surety bonds may be deposited. If certificates of | 767 |
deposit
are deposited with the chief instead of a surety bond, the | 768 |
chief shall
require the bank or savings and loan association that | 769 |
issued any
such certificate to pledge securities of a cash value | 770 |
equal to
the amount of the certificate that is in excess of the | 771 |
amount
insured by any of the agencies and instrumentalities | 772 |
created
under the "Federal Deposit Insurance Act," 64 Stat. 873 | 773 |
(1950), 12 U.S.C.
1811, as amended, and regulations adopted under | 774 |
it, including at least the
federal
deposit insurance corporation, | 775 |
bank insurance fund, and savings association
insurance fund. The | 776 |
securities shall be security for
the repayment of the certificate | 777 |
of deposit. | 778 |
Instead of a surety bond, the chief may accept proof of | 783 |
financial responsibility consisting of a sworn financial
statement | 784 |
showing a net financial worth within this state equal
to twice the | 785 |
amount of the bond for which it substitutes and, as
may be | 786 |
required by the chief, a list of producing properties of
the owner | 787 |
within this state or other evidence showing
ability and intent to | 788 |
comply with the law and rules concerning
restoration and plugging | 789 |
that may be required by rule of the
chief. The owner of an exempt | 790 |
domestic or exempt Mississippian
well is not required to file | 791 |
scheduled updates of the financial documents, but
shall file | 792 |
updates of those documents if requested to do so by the chief. The | 793 |
owner of a nonexempt domestic or nonexempt Mississippian well | 794 |
shall
file updates of the financial documents in accordance with a | 795 |
schedule
established by rule of the chief. The chief, upon | 796 |
determining that
an owner for whom the chief has
accepted proof of | 797 |
financial responsibility instead of bond cannot
demonstrate | 798 |
financial responsibility, shall order that the owner
execute and | 799 |
file a bond or deposit cash, certificates of
deposit, or | 800 |
irrevocable letters of credit as required by this section for the | 801 |
wells specified in
the order within ten days of receipt of the | 802 |
order. If the order
is not complied with, all wells of the owner | 803 |
that are specified
in the order and for which no bond is filed or | 804 |
cash,
certificates of deposit, or letters of credit are deposited | 805 |
shall be plugged.
No owner shall fail or
refuse to plug such a | 806 |
well. Each day on which such a well
remains unplugged thereafter | 807 |
constitutes a separate offense. | 808 |
Sec. 1509.071. (A) When the chief of the division of
mineral | 833 |
resources
management finds that an owner has failed to
comply with | 834 |
the restoration
requirements of section 1509.072,
plugging | 835 |
requirements of
section 1509.12, or permit provisions of
section | 836 |
1509.13 of the
Revised Code, or rules and orders relating
thereto, | 837 |
the chief shall
make
a finding of that fact and declare
any surety | 838 |
bond filed to
ensure compliance with those sections and
rules | 839 |
forfeited in the
amount set by rule of the chief. The chief | 840 |
thereupon shall
certify the total forfeiture to the attorney | 841 |
general, who shall
proceed to collect the amount of the | 842 |
forfeiture. In addition, the chief may require an owner, operator, | 843 |
producer, or other person who forfeited a surety bond to post a | 844 |
new surety bond in the amount of fifteen thousand dollars for a | 845 |
single well, thirty thousand dollars for two wells, or fifty | 846 |
thousand dollars for three or more wells. | 847 |
(1) The expenditures may be made pursuant to contracts | 915 |
entered into by
the chief with
persons who agree to furnish all of | 916 |
the materials, equipment,
work, and labor as specified and | 917 |
provided in such a contract for activities associated with the | 918 |
restoration or plugging of a well as determined by the chief. The | 919 |
activities may include excavation to uncover a well, geophysical | 920 |
methods to locate a buried well when clear evidence of leakage | 921 |
from the well exists, cleanout of wellbores to remove material | 922 |
from a failed plugging of a well, plugging operations, | 923 |
installation of vault and vent systems, including associated | 924 |
engineering certifications and permits, restoration of property, | 925 |
and repair of damage to property that is caused by such | 926 |
activities. Expenditures shall not be used for salaries, | 927 |
maintenance, equipment, or other administrative purposes, except | 928 |
for costs directly attributed to the plugging of an idle and | 929 |
orphaned well. Agents
or
employees of persons
contracting with | 930 |
the chief for thea
restoration,or plugging, and
injection | 931 |
projectsproject may enter
upon any
land, public or private,
on | 932 |
which the well is located for
the purpose of performing the work. | 933 |
Prior to such entry, the
chief
shall give to the following | 934 |
persons
written notice of the
existence of a contract for a | 935 |
project to
restore,or plug, or
inject
oil or gas production | 936 |
wastes into a well,
the names of the
persons with whom the | 937 |
contract is made, and the
date that the
project will commence: the | 938 |
owner of the well, the
owner of the
land upon which the well is | 939 |
located, the owner or
agents of
adjoining land, and, if the well | 940 |
is located in the same
township
as or in a
township adjacent to | 941 |
the excavations and
workings of a
mine and the owner or
lessee of | 942 |
that mine has
provided written
notice identifying those townships | 943 |
to
the chief
at any time during
the immediately preceding three | 944 |
years, the
owner
or lessee of the
mine. | 945 |
(2)(a) The owner of the land
on which a well is located who | 946 |
has received notice under
division (C)(1)(b) of this section may | 947 |
plug
the well and be reimbursed by the division for the reasonable | 948 |
cost of plugging the well. In order to plug the well, the | 949 |
landowner
shall submit an application to the chief on a form | 950 |
prescribed by
the chief and approved by the technical advisory | 951 |
council on oil
and gas created in section 1509.38 of the
Revised | 952 |
Code. The application, at a
minimum, shall require the landowner | 953 |
to provide the same
information as is required to be included in | 954 |
the application for
a permit to plug and abandon under section | 955 |
1509.13 of the
Revised Code. The application shall be
accompanied | 956 |
by a copy of a proposed contract to plug the well
prepared by a | 957 |
contractor regularly engaged in the business of
plugging oil and | 958 |
gas wells. The proposed contract shall require
the contractor to | 959 |
furnish all of the materials, equipment, work,
and labor necessary | 960 |
to plug the well properly and shall
specify the price for
doing | 961 |
the work, including a credit for the equipment appurtenant to the | 962 |
well
that was forfeited to the state through the operation of | 963 |
division
(C)(2) of this section. Expenditures under division | 964 |
(D)(2)(a) of this section shall be consistent with the | 965 |
expenditures for activities described in division (D)(1) of this | 966 |
section. The application
also shall be
accompanied by the permit | 967 |
fee required by section
1509.13 of the
Revised Code unless the | 968 |
chief, in the
chief's discretion, waives
payment of the permit | 969 |
fee. The application
constitutes an
application for a permit to | 970 |
plug and abandon the
well for the
purposes of section 1509.13 of | 971 |
the
Revised Code. | 972 |
(b) Within thirty days after
receiving an application and | 973 |
accompanying proposed contract
under division
(D)(2)(a) of this | 974 |
section, the chief shall determine
whether the plugging would | 975 |
comply with the applicable requirements of this chapter and | 976 |
applicable rules adopted and orders issued under it and whether | 977 |
the cost of the plugging under the proposed contract is | 978 |
reasonable. If the chief determines that the proposed
plugging | 979 |
would comply with those requirements and that the
proposed cost of | 980 |
the plugging is reasonable, the chief shall notify the
landowner | 981 |
of that determination and issue to the landowner a
permit to plug | 982 |
and abandon the well under section 1509.13 of the
Revised Code. | 983 |
Upon approval of the
application and proposed contract, the chief | 984 |
shall transfer
ownership of the equipment appurtenant to the well | 985 |
to the
landowner. The chief may disapprove an application | 986 |
submitted
under division (D)(2)(a)
of this section if the chief | 987 |
determines that the proposed
plugging would not comply with the | 988 |
applicable requirements of
this chapter and applicable rules | 989 |
adopted and orders issued
under it, that the cost of the plugging | 990 |
under the proposed
contract is unreasonable, or that the proposed | 991 |
contract is not a
bona fide, arms length contract. | 992 |
(d) Upon determining that the
plugging has been completed | 999 |
within the time required by division
(D)(2)(c)
of this section and | 1000 |
has been completed in compliance with
the applicable requirements | 1001 |
of this chapter and applicable rules
adopted and orders issued | 1002 |
under it, the chief shall reimburse
the landowner for the cost of | 1003 |
the plugging as set forth in the
proposed contract approved by the | 1004 |
chief. The reimbursement
shall be paid from the oil and gas well | 1005 |
fund. If the
chief determines that the plugging was not completed | 1006 |
within the
required time or was not completed in accordance with | 1007 |
the applicable
requirements, the chief shall not reimburse the | 1008 |
landowner for
the cost of the plugging, and the landowner or the | 1009 |
contractor, as applicable,
promptly shall
transfer back to this | 1010 |
state title to and possession of the equipment
appurtenant
to the | 1011 |
well that previously was transferred to the landowner
under | 1012 |
division (D)(2)(b)
of this section. If any such equipment was | 1013 |
removed from the
well during the plugging and sold, the landowner | 1014 |
shall pay to
the chief the proceeds from the sale of the | 1015 |
equipment, and the
chief promptly shall pay the moneys so received | 1016 |
to the treasurer
of state for deposit into the oil and gas well | 1017 |
fund. | 1018 |
(E) Expenditures from the oil and gas well fund for the | 1026 |
purpose of
division (B)(2) of this
section may be made pursuant to | 1027 |
contracts entered into by the chief with
persons who agree to | 1028 |
furnish all of the materials, equipment, work, and labor
as | 1029 |
specified and provided in such a contract. The competitive
bidding | 1030 |
requirements of Chapter 153. of
the Revised Code do not
apply if | 1031 |
the chief
reasonably determines
that correction of the
applicable | 1032 |
health or safety risk
requires
immediate action. The
chief, | 1033 |
designated representatives
of the
chief, and agents or
employees | 1034 |
of persons contracting with the
chief
under this
division
may | 1035 |
enter upon any land, public or
private, for the
purpose of | 1036 |
performing the
work. | 1037 |
(G) The owner
of land on which a well is located who has | 1045 |
received notice under
division
(C)(1)(b)
of this section, in lieu | 1046 |
of plugging the well in accordance with
division (D)(2) of this | 1047 |
section, may cause ownership of the well to be transferred to an | 1048 |
owner who is lawfully doing business in this state and who has
met | 1049 |
the financial responsibility requirements established under | 1050 |
section 1509.07 of the Revised
Code, subject to the approval
of | 1051 |
the chief. The transfer of ownership also shall be subject
to the | 1052 |
landowner's filing the appropriate forms required under
this | 1053 |
chaptersection 1509.31 of the Revised Code and providing to the | 1054 |
chief sufficient information
to
demonstrate the landowner's or | 1055 |
owner's right to produce a
formation or formations. That | 1056 |
information may include a deed, a
lease, or other documentation of | 1057 |
ownership or property
rights. | 1058 |
(A) Within five monthsfourteen days after the date upon | 1083 |
which the
surface drilling of a well is commencedcompleted to | 1084 |
total depth in an urbanized area and within two months after the | 1085 |
date upon which the drilling of a well is completed in all other | 1086 |
areas, the owner or the
owner's agent, in accordance with the | 1087 |
restoration
plan filed under
division (A)(10) of section 1509.06 | 1088 |
of the Revised Code,
shall fill all the
pits for containing brine, | 1089 |
and other waste substances resulting,
obtained, or produced in | 1090 |
connection with exploration or
drilling for, or production of, oil | 1091 |
or gas, or oil that are
not required
by
other state or federal law | 1092 |
or regulation, and remove all concrete
bases, drilling supplies, | 1093 |
and drilling equipment. Within nineUnless the chief of the | 1094 |
division of mineral resources management approves a longer time | 1095 |
period, within three months after the date upon which the surface | 1096 |
drilling of a well
is commenced in an urbanized area and within | 1097 |
six months after the date upon which the surface drilling of a | 1098 |
well is commenced in all other areas, the owner or the owner's | 1099 |
agent shall grade or
terrace and
plant, seed, or sod the area | 1100 |
disturbed that is not required in
production of the well where | 1101 |
necessary to bind the soil and
prevent substantial erosion and | 1102 |
sedimentation. If the chief of
the division of mineral resources | 1103 |
management finds
that a pit used for containing
brine, other waste | 1104 |
substances, or oil is in violation of section
1509.22 of the | 1105 |
Revised Code or rules adopted or orders issued
under it, the chief | 1106 |
may require the pit to be emptied
and
closed before expiration of | 1107 |
the five-monthfourteen-day or three-month restoration period. | 1108 |
(B) Within three months after a well that has produced oil or | 1109 |
gas is plugged in an urbanized area and within six months after a | 1110 |
well that has produced oil
or gas is plugged in all other areas, | 1111 |
or after the plugging of a dry hole, unless the chief approves a | 1112 |
longer time period, the owner
or the owner's agent shall remove | 1113 |
all production and storage
structures,
supplies, and equipment, | 1114 |
and any oil, salt water, and debris, and
fill any remaining | 1115 |
excavations. Within that period the
owner or
the owner's agent | 1116 |
shall grade or terrace and plant, seed, or
sod the area
disturbed | 1117 |
where necessary to bind the soil and prevent
substantial erosion | 1118 |
and sedimentation. | 1119 |
The owner shall be released from responsibility to perform | 1120 |
any or all restoration requirements of this section on any part
or | 1121 |
all of the area disturbed upon the filing of a request for a | 1122 |
waiver with and obtaining the written approval of the chief,
which | 1123 |
request shall be signed by the surface owner to certify the | 1124 |
approval of the surface owner of the release sought. The chief | 1125 |
shall approve the request unless the chief
finds upon
inspection | 1126 |
that
the waiver would be likely to result in substantial damage to | 1127 |
adjoining property, substantial contamination of surface or | 1128 |
underground water, or substantial erosion or sedimentation. | 1129 |
(5) The length in feet of the various sizes of casing and | 1161 |
tubing used in drilling the well, the amount removed after | 1162 |
completion, the type and setting depth of each packer, and all | 1163 |
other data relating to muddingcementing in the annular space | 1164 |
behind such
casing or tubing, and data indicating completion as a | 1165 |
dry, gas, oil,
combination oil and gas, brine injection, or | 1166 |
artificial brine well or a stratigraphic test; | 1167 |
(9) If applicable, the type and volume of fluid used to | 1177 |
stimulate the reservoir of the well, the reservoir breakdown | 1178 |
pressure, the method used for the containment of fluids recovered | 1179 |
from the fracturing of the well, the methods used for the | 1180 |
containment of fluids when pulled from the wellbore from swabbing | 1181 |
the well, the average pumping rate of the well, and the name of | 1182 |
the person that performed the well stimulation. In addition, the | 1183 |
owner shall include a copy of the log from the stimulation of the | 1184 |
well, a copy of the invoice for each of the procedures and methods | 1185 |
described in division (A)(9) of this section that were used on a | 1186 |
well, and a copy of the pumping pressure and rate graphs. However, | 1187 |
the owner may redact from the copy of each invoice that is | 1188 |
required
to be included under division (A)(9) of this section the | 1189 |
costs of
and charges for the procedures and methods described in | 1190 |
division
(A)(9) of this section that were used on a well. | 1191 |
Any(B)(1) Not later than sixty days after the completion of | 1200 |
the
drilling operations to the proposed total depth, the owner | 1201 |
shall
file all wireline electric log, or radioactivity log, or | 1202 |
other
geophysical
log, if made in connection with the well shall | 1203 |
be
filedlogs with
the division of mineral resources management | 1204 |
and
the chief shall
transmit such logs electronically, if | 1205 |
available,
to
the division
of geological survey. Such logs may | 1206 |
be retained
by
the owner for a
period of not more than six | 1207 |
months, or such
additional time as may
be granted by the chief in | 1208 |
writing, after
the completion of the
well substantially to the | 1209 |
depth shown in
the application required
by section 1509.06 of the | 1210 |
Revised Code. | 1211 |
Sec. 1509.11. The owner of any well producing or capable of | 1228 |
producing oil or
gas shall file with the chief of the division of | 1229 |
mineral
resources management, on or before the
firstthirty-first | 1230 |
day
of
March, a statement of production of oil, gas, and brine
for | 1231 |
the
last preceding calendar year in such form as the chief may | 1232 |
prescribe.
An owner that has more than one hundred wells in this | 1233 |
state shall submit electronically the statement of production in a | 1234 |
format that is approved by the chief. The chief shall include on | 1235 |
the form, at the minimum, a
request for the submittal of the | 1236 |
information that a person who is
regulated under this chapter is | 1237 |
required to submit under the
"Emergency Planning and Community | 1238 |
Right-To-Know Act of 1986," 100
Stat. 1728, 42 U.S.C.A. 11001, and | 1239 |
regulations adopted under it,
and that the division does not | 1240 |
obtain through other reporting
mechanisms. | 1241 |
Sec. 1509.12. No owner of any well knowingly shall construct | 1242 |
a well, or permit defective
casing or tubing in sucha well to | 1243 |
leak fluids or gasgases, that
may
cause damage to other permeable | 1244 |
strata, underground sources of drinking water, or the surface of | 1245 |
the land or that threatens the public health and safety. Upon | 1246 |
notice fromthe discovery that the casing or tubing in a well is | 1247 |
defective or that a well was not adequately constructed, the owner | 1248 |
of the well shall notify the
chief of the division of mineral | 1249 |
resources
management within twenty-four hours of the discovery, | 1250 |
suchand the owner shall
immediately repair suchthe tubing or | 1251 |
casing,
correct the construction inadequacies, or plug and | 1252 |
abandon suchthe
well. | 1253 |
Unless written permission is granted by the chief, any well | 1254 |
that is or
becomes incapable of producing oil or gas in | 1255 |
commercial quantities
shall be plugged,
but no well shall be | 1256 |
required to be plugged under this section
that is being
used to | 1257 |
produce oil or gas for domestic
purposes, or
that is being | 1258 |
lawfully used for a purpose other than production of
oil or gas. | 1259 |
When the chief finds that a well should be plugged,
the chief | 1260 |
shall notify the owner to that effect by order in
writing and | 1261 |
shall
specify in suchthe order a reasonable time within
which to | 1262 |
comply.
No owner shall fail or refuse to plug a well
within the | 1263 |
time
specified in the order. Each day on which such a
well | 1264 |
remains
unplugged thereafter constitutes a separate offense. | 1265 |
In case of oil or gas wells abandoned prior to September 1, | 1272 |
19511978, the board of county commissioners of the county in | 1273 |
which
suchthe wells are located may submit to the electors of the | 1274 |
county
the question of establishing a special fund, by special | 1275 |
general levy,
by general bond issue, or out of current funds, | 1276 |
which shall be approved by a
majority of the electors voting upon | 1277 |
suchthat question for the
purpose of plugging suchthe wells. The | 1278 |
fund
shall be administered
by the board and the plugging of oil | 1279 |
and gas
wells shall be under
the supervision of the chief, and | 1280 |
the board
shall let contracts for suchthat purpose, provided | 1281 |
that
suchthe fund
shall not be used for the purpose of plugging | 1282 |
oil and
gas wells
that were abandoned subsequent to September 1, | 1283 |
19511978. | 1284 |
Sec. 1509.13. (A) No person shall plug and abandon a well | 1285 |
without having a permit to do so issued by the chief of the | 1286 |
division of mineral resources management. The
permit shall be | 1287 |
issued by the chief
in accordance with this chapter, and the chief | 1288 |
may
establish by ruleshall be valid for a period of time | 1289 |
twenty-four months from the date of issue during
which
permits | 1290 |
will be valid. Application by the owner for a permit
to
plug and | 1291 |
abandon shall be filed as many days in advance as will
be | 1292 |
necessary for a mineral resources
inspector or, if the well is | 1293 |
located in a coal bearing township, both a deputy mine inspector | 1294 |
and a
mineral
resources inspector to be
present at the
plugging. | 1295 |
The application shall be filed with the chief upon
a form
that the | 1296 |
chief prescribes
and shall contain the following information: | 1297 |
If oil or gas has been produced from the well, the | 1308 |
application shall be accompanied by a fee of two hundred fifty | 1309 |
dollars. If a
new dry well has been drilled in accordance with law | 1310 |
and the
permit is still valid, the permit holder may receive | 1311 |
approval to
plug the well from a mineral resources
inspector or, | 1312 |
if the well
is located in a coal bearing township, both a deputy | 1313 |
mine inspector
and a mineral
resources inspector so that
the well | 1314 |
can be
plugged and abandoned without undue delay. Unless waived by | 1315 |
a mineral resources inspector, the owner of a well or the owner's | 1316 |
authorized representative shall notify a mineral resources | 1317 |
inspector at least twenty-four hours prior to the commencement of | 1318 |
the plugging of a well. No well shall be plugged and
abandoned | 1319 |
without a mineral resources inspector
present unless permission | 1320 |
has been granted by the chief. The owner of thea well that has | 1321 |
produced oil or gas shall give
written notice at the same time to | 1322 |
the owner of the land upon
which the well is located, the owners | 1323 |
or agents of adjoining
land, adjoining well owners or agents, and, | 1324 |
ifand to all lessors that receive gas from the well pursuant to a | 1325 |
lease agreement. If the well
penetrates or passes within one | 1326 |
hundred feet of
the excavations
and workings of a mine, the owner | 1327 |
of the well
shall give written notice to the owner or lessee of | 1328 |
that mine, of
the
well owner's intention to abandon the well and | 1329 |
of the time
when
the well owner will be prepared to commence | 1330 |
plugging it. | 1331 |
(B) An applicant may file a request with the chief for | 1332 |
expedited review of an
application
for a permit to plug and | 1333 |
abandon a well. The chief may
refuse
to accept a request for | 1334 |
expedited review if, in the chief's
judgment, acceptance of the | 1335 |
request will prevent the issuance, within
twenty-one days of | 1336 |
filing, of permits for which applications filed under
section | 1337 |
1509.06 of the Revised Code are pending. In
addition to a complete | 1338 |
application for a permit that meets the
requirements of this | 1339 |
section and the permit fee prescribed by
this section, if | 1340 |
applicable, a request shall be accompanied by a
nonrefundable | 1341 |
filing fee of twofive hundred fifty dollars unless the
chief has | 1342 |
ordered the applicant to plug and abandon the well.
When a | 1343 |
request for expedited review is filed, the chief shall
immediately | 1344 |
begin to process the application and shall issue a
permit within | 1345 |
seven days of the filing of the request unless the
chief,
by | 1346 |
order, denies the application. | 1347 |
Sec. 1509.17. Any person who drills a well shall, before | 1380 |
drilling into the principal or major producing formation therein, | 1381 |
encase such well with good and sufficient wrought iron or steel | 1382 |
casing so as to exclude all surface, fresh, or salt water from
any | 1383 |
part of such well penetrating the oil or gas bearing sand or
rock | 1384 |
or fresh water strata. The method of placing such casing
shall be | 1385 |
approved by the chief of the division of
mineral resources | 1386 |
management
and shall be in accord with the most approved method | 1387 |
used in the
operation of such type of well. The chief may, in lieu | 1388 |
of the
casing method outlined in this section, accept adequate | 1389 |
mudding
methods with prepared clay in the annular space behind | 1390 |
such
casing in sufficient quantities to shut off all gas or oil | 1391 |
and
that will exclude all surface, fresh, or salt water from
any | 1392 |
part of such well penetrating the oil, gas, or mineral bearing | 1393 |
formation, or fresh water strata. | 1394 |
(A) A well shall be constructed in a manner that is approved | 1402 |
by the chief of the division of mineral resources management as | 1403 |
specified in the permit using
materials that comply with industry | 1404 |
standards for the type and
depth of the well and the anticipated | 1405 |
fluid pressures that are
associated with the well. In addition, a | 1406 |
well shall be constructed
using sufficient steel or conductor | 1407 |
casing in a manner that
supports unconsolidated sediments, that | 1408 |
protects and isolates all
underground sources of drinking water | 1409 |
as defined by the Safe
Drinking Water Act, and that provides a | 1410 |
base for a blowout
preventer or other well control equipment that | 1411 |
is necessary to
control formation pressures and fluids during the | 1412 |
drilling of the
well and other operations to complete the well. | 1413 |
Using steel
production casing with sufficient cement, an oil and | 1414 |
gas reservoir
shall be isolated during well stimulation and | 1415 |
during the
productive life of the well. In addition, sour gas | 1416 |
zones and gas
bearing zones that have sufficient pressure and | 1417 |
volume to
over-pressurize the surface production casing annulus | 1418 |
shall be
isolated using approved cementing, casing, and well | 1419 |
construction
practices. However, isolating an oil and gas | 1420 |
reservoir shall not
exclude open-hole completion. A well shall | 1421 |
not be perforated for
purposes of well stimulation in any zone | 1422 |
that is located around
casing that protects underground sources | 1423 |
of drinking water without
written authorization from the chief in | 1424 |
accordance with division (D) of this section. When
the well | 1425 |
penetrates
the excavations
of a mine, the casing shall
remain | 1426 |
intact as
provided in section
1509.18 of the Revised Code
and be | 1427 |
plugged
and abandoned in
accordance with section 1509.15 of
the | 1428 |
Revised
Code. | 1429 |
(C) An owner or an owner's authorized representative shall | 1438 |
notify a mineral resources inspector each time that the owner or | 1439 |
the authorized representative notifies a person to perform the | 1440 |
cementing of the conductor casing, the surface casing, or the | 1441 |
production casing. In addition, not later than sixty days after | 1442 |
the completion of the cementing of the production casing, an owner | 1443 |
shall submit to the chief a copy of the cement tickets for each | 1444 |
cemented string of casing and a copy of all logs that were used to | 1445 |
evaluate the quality of the cementing. | 1446 |
If a well is to be drilled within the limits of a mining | 1457 |
operation that may penetrate the excavation of a mine, the
hole | 1458 |
shall be reduced approximately fifteen feet above the roof of the | 1459 |
mine. If roof conditions at the mine warrant, the hole shall be | 1460 |
reduced in the rock formation immediately above suchthe mine, and | 1461 |
a
string of casing placed upon the shoulder so as to shut off all | 1462 |
water, then drilling shall be continued to a point approximately | 1463 |
thirty feet below the floor of the mine and another string of | 1464 |
casing set. Both strings of casing shall be approximately the
same | 1465 |
diameter as the diameter of the hole. | 1466 |
If no water is encountered between the bottom of the drive | 1467 |
pipe and the approximate casing shoulder above the roof of such | 1468 |
the
mine, in lieu of the casing method outlined above, it is | 1469 |
permissible to use the following casing method: the hole shall
be | 1470 |
drilled thirty feet below the floor of the mine and a string
of | 1471 |
casing shall be extended from the surface to a point thirty
feet | 1472 |
below the floor of the mine with a packer of sufficient size | 1473 |
attached to suchthe string of casing. SuchThe packer shall be | 1474 |
placed
so
that it will be below all water and will be located in | 1475 |
the
rock
formation immediately above suchthe mine and shall | 1476 |
prevent
water or
destructive matter from entering therein. Then | 1477 |
the
annular space
above suchthe packer between the casing and | 1478 |
well wall
shall be filled
with prepared clay a minimum distance | 1479 |
of fifty
feet. | 1480 |
In wells penetrating the excavation of a mine, the casing | 1495 |
shall be enclosed, if possible, with a column extending from the | 1496 |
floor to the roof of suchthe mine, built of brick or other | 1497 |
suitable
material, subject to the approval of the chief
of the | 1498 |
division of
mineral resources
management. If the chief finds the | 1499 |
method
prescribed in this section unsafe, inadequate, or not | 1500 |
suitable,
the chief shall require suchthe method to be altered in | 1501 |
such a
manner
that it will be safe. | 1502 |
The chief may order the immediate suspension of the drilling | 1503 |
or reopening of a well in a coal bearing township after | 1504 |
determining that the drilling or reopening activities present an | 1505 |
imminent and substantial threat to public health or safety or to a | 1506 |
miner's health or safety. Before issuing such an order, the chief | 1507 |
shall notify the owner in any manner that the chief determines | 1508 |
would provide reasonable notification of the chief's intent to | 1509 |
issue a suspension order. However, the chief may order the | 1510 |
immediate suspension of the drilling or reopening of a well in a | 1511 |
coal bearing township without prior notification if the chief has | 1512 |
made reasonable attempts to notify the owner and the attempts have | 1513 |
failed. If the chief orders the immediate suspension of such | 1514 |
drilling or reopening, the chief shall provide the owner notice of | 1515 |
the order as soon as practical. | 1516 |
Not later than five days after the issuance of an order to | 1517 |
immediately suspend the drilling or reopening of a well in a coal | 1518 |
bearing township, the chief shall provide the owner an opportunity | 1519 |
to be heard and to present evidence that the drilling or reopening | 1520 |
activities will not likely result in an imminent and substantial | 1521 |
threat to public health or safety or to a miner's health or | 1522 |
safety, as applicable. If the chief, after considering all | 1523 |
evidence presented by the owner, determines that the activities do | 1524 |
not present such a threat, the chief shall revoke the suspension | 1525 |
order. | 1526 |
Sec. 1509.19. An owner who elects to stimulate a well shall | 1531 |
stimulate the well in a manner that will not endanger underground | 1532 |
sources of drinking water. Not later than twenty-four hours before | 1533 |
commencing the stimulation of a well, the owner or the owner's | 1534 |
authorized representative shall notify a mineral resources | 1535 |
inspector. If during the stimulation of a well damage to the | 1536 |
production casing or cement occurs and results in the circulation | 1537 |
of fluids from the annulus of the surface production casing, the | 1538 |
owner shall immediately terminate the stimulation of the well and | 1539 |
notify the chief of the division of mineral resources management. | 1540 |
If the chief determines that the casing and the cement may be | 1541 |
remediated in a manner that isolates the oil and gas bearing zones | 1542 |
of the well, the chief may authorize the completion of the | 1543 |
stimulation of the well. If the chief determines that the | 1544 |
stimulation of a well resulted in irreparable damage to the well, | 1545 |
the chief shall order that the well be plugged and abandoned | 1546 |
within thirty days of the issuance of the order. | 1547 |
Sec. 1509.21. No person shall, without first having
obtained | 1564 |
a permit from the chief of the division of
mineral resources | 1565 |
management,
conduct secondary or additional recovery operations, | 1566 |
including
any underground injection of fluids or carbon dioxide | 1567 |
for the secondary or tertiary
recovery of oil or natural gas or | 1568 |
for the storage of hydrocarbons
that are liquid at standard | 1569 |
temperature or pressure, unless a
rule of the chief expressly | 1570 |
authorizes such operations without a
permit. SuchThe permit shall | 1571 |
be
in addition to any permit required
by section 1509.05 of the | 1572 |
Revised Code. Secondary or additional
recovery operations shall be | 1573 |
conducted in accordance with rules
and orders of the chief and any | 1574 |
terms or conditions of the permit
authorizing such operations. In | 1575 |
addition, the chief may authorize tests to evaluate whether fluids | 1576 |
or carbon dioxide may be injected in a reservoir and to determine | 1577 |
the maximum allowable injection pressure. The tests shall be | 1578 |
conducted in accordance with methods prescribed in rules of the | 1579 |
chief or conditions of the permit. Rules adopted under this | 1580 |
section
shall include provisions regarding applications for and | 1581 |
the
issuance of permits; the terms and conditions of permits; | 1582 |
entry
to conduct inspections and to examine records to ascertain | 1583 |
compliance with this section and rules, orders, and terms and | 1584 |
conditions of permits adopted or issued thereunder; the provision | 1585 |
and
maintenance of information through monitoring, recordkeeping, | 1586 |
and
reporting; and other provisions in furtherance of the goals of | 1587 |
this section and the Safe Drinking Water Act. To implement
the | 1588 |
goals of the Safe Drinking Water Act, the chief shall not issue a | 1589 |
permit
for the underground injection of fluids for the secondary | 1590 |
or
tertiary recovery of oil or natural gas or for the storage of | 1591 |
hydrocarbons that are liquid at standard temperature and
pressure, | 1592 |
unless the chief concludes that the applicant has
demonstrated | 1593 |
that the injection will not result in the presence
of any | 1594 |
contaminant in underground water that supplies or can be | 1595 |
reasonably expected to supply any public water system, such that | 1596 |
the presence of any such contaminant may result in the system's | 1597 |
not complying with any national primary drinking water regulation | 1598 |
or may otherwise adversely affect the health of persons. Rules, | 1599 |
orders, and terms or conditions of permits adopted or issued under | 1600 |
this
section shall be construed to be no more stringent than | 1601 |
required for compliance with the Safe Drinking Water Act, unless | 1602 |
essential to ensure that underground sources of drinking water | 1603 |
will not be endangered. | 1604 |
(1) Brine from any well except an exempt Mississippian
well | 1628 |
shall be disposed of only by injection into an
underground | 1629 |
formation, including annular disposal if approved by rule of the | 1630 |
chief, which injection shall be subject to division (D) of this | 1631 |
section; by surface application in accordance with section | 1632 |
1509.226 of the Revised Code; in association with a method of | 1633 |
enhanced recovery as provided in section 1509.21 of the Revised | 1634 |
Code; or by other methods approved by the chief for testing or | 1635 |
implementing a new technology or method of disposal. Brine from | 1636 |
exempt Mississippian wells shall not be discharged directly into | 1637 |
the waters of the state. | 1638 |
(3) Pits mayor steel tanks shall be used as authorized by | 1641 |
the chief for containing brine and other waste
substances | 1642 |
resulting from, obtained from, or produced in
connection with | 1643 |
drilling, fracturingwell stimulation, reworking, reconditioning, | 1644 |
plugging back,
or plugging operations, but the. The pits and steel | 1645 |
tanks shall be constructed
and
maintained to prevent the escape of | 1646 |
brine and other waste
substances. A | 1647 |
(D) No person, without first having obtained a
permit from | 1663 |
the chief, shall inject brine or other waste substances
resulting | 1664 |
from, obtained from, or produced in connection with
oil or
gas | 1665 |
drilling, exploration, or production into an underground
formation | 1666 |
unless a rule of the chief expressly authorizes the
injection | 1667 |
without a permit. The permit shall be in addition to
any permit | 1668 |
required by section 1509.05 of the Revised Code, and
the permit | 1669 |
application shall be accompanied by a permit fee of
one hundred | 1670 |
thousand dollars. The chief shall adopt rules in accordance
with | 1671 |
Chapter 119. of the Revised Code regarding the injection
into | 1672 |
wells of brine and other waste substances resulting from,
obtained | 1673 |
from, or produced in connection with oil or gas drilling, | 1674 |
exploration, or production. The rules may authorize tests to | 1675 |
evaluate whether fluids or carbon dioxide may be injected in a | 1676 |
reservoir and to determine the maximum allowable injection | 1677 |
pressure, which shall be conducted in accordance with methods | 1678 |
prescribed in the rules or in accordance with conditions of the | 1679 |
permit. In addition, the rules shall include provisions
regarding | 1680 |
applications for and issuance of the permits required
by this | 1681 |
division; entry to conduct inspections and to examine and
copy | 1682 |
records to ascertain compliance with this division and
rules, | 1683 |
orders, and terms and conditions of permits adopted or issued | 1684 |
under it; the provision and maintenance of
information through | 1685 |
monitoring, recordkeeping, and reporting; and other provisions in | 1686 |
furtherance of the goals of this section and the Safe Drinking | 1687 |
Water Act. To implement the goals of the Safe Drinking Water
Act, | 1688 |
the chief
shall not issue a permit for the injection of brine or | 1689 |
other
waste substances resulting from, obtained from, or produced | 1690 |
in
connection
with oil or gas drilling, exploration, or production | 1691 |
unless the
chief concludes that the applicant has demonstrated | 1692 |
that the
injection will not result in the presence of any | 1693 |
contaminant in
ground water that supplies or can reasonably be | 1694 |
expected to
supply any public water system, such that the presence | 1695 |
of the
contaminant may result in the system's not complying with | 1696 |
any
national primary drinking water regulation or may otherwise | 1697 |
adversely affect the health of persons. This division and rules, | 1698 |
orders, and terms and conditions of permits adopted or issued | 1699 |
under it shall be construed to be no more stringent
than required | 1700 |
for
compliance with the Safe Drinking Water Act unless essential | 1701 |
to
ensure that underground sources of drinking water will not be | 1702 |
endangered. | 1703 |
(F) An owner shall replace the water supply of the holder
of | 1711 |
an interest in real property who obtains all or part of
the | 1712 |
holder's supply of water for domestic, agricultural,
industrial, | 1713 |
or other
legitimate use from an underground or surface source | 1714 |
where the
supply has been substantially disrupted by | 1715 |
contamination,
diminution, or interruption proximately resulting | 1716 |
from the
owner's oil or gas operation, or the owner may elect to | 1717 |
compensate the holder of the interest in real property for the | 1718 |
difference between the fair market value of the interest before | 1719 |
the damage occurred to the water supply and the fair market value | 1720 |
after the damage occurred if the cost of replacing the water | 1721 |
supply exceeds this difference in fair market values. However, | 1722 |
during the pendency of any order issued under this division, the | 1723 |
owner shall obtain for the holder or shall reimburse the holder | 1724 |
for the reasonable cost of obtaining a water supply from the time | 1725 |
of the contamination, diminution, or interruption by the
operation | 1726 |
until the owner has complied with an order of the chief
for | 1727 |
compliance with this division or such an order has been revoked
or | 1728 |
otherwise becomes not effective. If the owner elects to pay
the | 1729 |
difference in fair market values, but the owner and the
holder | 1730 |
have not agreed on the difference within thirty days after
the | 1731 |
chief issues an order for compliance with this division,
within | 1732 |
ten days after the expiration of that thirty-day
period,
the owner | 1733 |
and the chief each shall appoint an appraiser to
determine the | 1734 |
difference in fair market values, except that the
holder of the | 1735 |
interest in real property may elect to appoint and
compensate the | 1736 |
holder's own appraiser, in which case the
chief shall not
appoint | 1737 |
an appraiser. The two appraisers appointed shall appoint
a third | 1738 |
appraiser, and within thirty days after the appointment
of the | 1739 |
third appraiser, the three appraisers shall hold a hearing
to | 1740 |
determine the difference in fair market values. Within ten
days | 1741 |
after the hearing, the appraisers shall make their
determination | 1742 |
by majority vote and issue their final
determination of the | 1743 |
difference in fair market values. The chief
shall accept a | 1744 |
determination of the difference in fair market
values made by | 1745 |
agreement of the owner and holder or by appraisers
under this | 1746 |
division and shall make and dissolve orders
accordingly. This | 1747 |
division does not affect in any way the right
of any person to | 1748 |
enforce or protect, under applicable law, the
person's interest in | 1749 |
water resources affected by an oil or gas operation. | 1750 |
Sec. 1509.221. (A) No person, without first having obtained | 1757 |
a
permit from the chief of the division of mineral
resources | 1758 |
management, shall drill
a well or inject a substance into a well | 1759 |
for the exploration for
or extraction of minerals or energy, other | 1760 |
than oil or natural
gas, including, but not limited to, the mining | 1761 |
of sulfur by the
Frasch process, the solution mining of minerals, | 1762 |
the in situ
combustion of fossil fuel, or the recovery of | 1763 |
geothermal energy
to produce electric power, unless a rule of the | 1764 |
chief expressly
authorizes the activity without a permit. The | 1765 |
permit shall be in
addition to any permit required by section | 1766 |
1509.05 of the Revised
Code. The chief shall adopt rules in | 1767 |
accordance with Chapter
119. of the Revised Code governing the | 1768 |
issuance of permits under
this section. The rules shall include | 1769 |
provisions regarding the
matters the applicant for a permit shall | 1770 |
demonstrate to establish
eligibility for a permit; the form and | 1771 |
content of applications
for permits; the terms and conditions of | 1772 |
permits; entry to
conduct inspections and to examine and copy | 1773 |
records to ascertain
compliance with this section and rules, | 1774 |
orders, and terms and
conditions of permits adopted or issued | 1775 |
thereunder; provision and
maintenance of information through | 1776 |
monitoring, recordkeeping, and
reporting; and other provisions in | 1777 |
furtherance of the goals of
this section and the Safe Drinking | 1778 |
Water Act. To implement the goals of the
Safe Drinking Water Act, | 1779 |
the chief shall not issue a permit under
this section, unless the | 1780 |
chief concludes that the applicant
has
demonstrated that the | 1781 |
drilling, injection of a substance, and
extraction of minerals or | 1782 |
energy will not result in the presence
of any contaminant in | 1783 |
underground water that supplies or can
reasonably be expected to | 1784 |
supply any public water system, such
that the presence of the | 1785 |
contaminant may result in the system's
not complying with any | 1786 |
national primary drinking water regulation
or may otherwise | 1787 |
adversely affect the health of persons. The
chief may issue, | 1788 |
without a prior adjudication hearing, orders
requiring compliance | 1789 |
with this section and rules, orders, and
terms and conditions of | 1790 |
permits adopted or issued thereunder.
This
section and rules, | 1791 |
orders, and terms and conditions of permits adopted
or
issued | 1792 |
thereunder shall be construed to be no more stringent than | 1793 |
required for compliance with the Safe Drinking Water Act, unless | 1794 |
essential to ensure that underground sources of drinking water | 1795 |
will not be endangered. | 1796 |
(C) In an action under section 1509.04 or 1509.33 of the | 1824 |
Revised Code to enforce this section, the court shall grant | 1825 |
preliminary and permanent injunctive relief and impose a civil | 1826 |
penalty upon the showing that the person against whom the action | 1827 |
is brought has violated, is violating, or will violate this | 1828 |
section or rules, orders, or terms or conditions of permits | 1829 |
adopted or
issued thereunder. The court shall not require, prior | 1830 |
to
granting such preliminary and permanent injunctive relief or | 1831 |
imposing a civil penalty, proof that the violation was, is, or | 1832 |
will be the result of intentional conduct or negligence. In any | 1833 |
such action, any person may intervene as a plaintiff upon the | 1834 |
demonstration that the person has an interest that is or may be | 1835 |
adversely affected by the activity for which injunctive relief or | 1836 |
a civil penalty is sought. | 1837 |
(2) No more than one registration certificate shall be | 1844 |
required of any business entity. Registration certificates
issued | 1845 |
under this section are not transferable. An
applicant
shall file | 1846 |
an application with the chief, containing such
information in such | 1847 |
form as the chief prescribes, but including a
plan for disposal | 1848 |
that provides for compliance with the
requirements of this chapter | 1849 |
and rules of the chief pertaining to
the transportation of brine | 1850 |
by vehicle and the disposal of brine
so transported and that lists | 1851 |
all disposal sites that the
applicant intends to use, the bond | 1852 |
required by section 1509.225
of the Revised Code, and a | 1853 |
certificate issued by an insurance
company authorized to do | 1854 |
business in this state certifying that
the applicant has in force | 1855 |
a liability insurance policy in an
amount not less than three | 1856 |
hundred thousand dollars bodily injury
coverage and three hundred | 1857 |
thousand dollars property damage
coverage to pay damages for | 1858 |
injury to persons or property caused
by the collecting, handling, | 1859 |
transportation, or disposal of
brine. The policy shall be | 1860 |
maintained in effect during the term
of the registration | 1861 |
certificate. The policy or policies
providing the coverage shall | 1862 |
require the insurance company
to
give notice to the chief if the | 1863 |
policy or policies lapse for any
reason. Upon such termination of | 1864 |
the policy, the chief may
suspend the registration certificate | 1865 |
until proper insurance
coverage is obtained. Each application for | 1866 |
a registration
certificate shall be accompanied by a nonrefundable | 1867 |
fee of five
hundred dollars. | 1868 |
(D) A registered transporter shall apply to revise a
disposal | 1894 |
plan under procedures that the chief shall prescribe by
rule. | 1895 |
However, at a minimum, an application for a revision shall
list | 1896 |
all sources and disposal sites of brine currently
transported. The | 1897 |
chief shall deny any application for a revision of
a plan under | 1898 |
this division if the chief finds that the proposed
revised plan | 1899 |
does not provide for compliance with the
requirements of this | 1900 |
chapter and rules of the chief pertaining to
the transportation of | 1901 |
brine by vehicle and the disposal of brine
so transported. | 1902 |
Approvals and denials of revisions shall be by
order of the chief. | 1903 |
Sec. 1509.225. (A) Before being issued a registration | 1909 |
certificate under section 1509.222 of the Revised Code, an | 1910 |
applicant shall execute and file with the division of
mineral | 1911 |
resources management
a surety bond for fifteen thousand dollars to | 1912 |
provide
compensation for damage and injury resulting from | 1913 |
transporters'
violations of sections 1509.22, 1509.222, and | 1914 |
1509.223 of the
Revised Code, all rules and orders of the chief of | 1915 |
the division
of mineral resource management relating thereto, and | 1916 |
all terms and conditions of
the registration certificate imposed | 1917 |
thereunder. The applicant
may deposit with the chief, in lieu of a | 1918 |
surety bond, cash in an
amount equal to the surety bond as | 1919 |
prescribed in this section, or
negotiable certificates of deposit | 1920 |
issued by any bank organized
or transacting business in this | 1921 |
state, or certificates of deposit
issued by any building and loan | 1922 |
association as defined in section
1151.01 of the Revised Code, | 1923 |
having a cash value equal to or
greater than the amount of the | 1924 |
surety bond as prescribed in this
section. Cash or certificates of | 1925 |
deposit shall be deposited upon
the same terms as those upon which | 1926 |
surety bonds may be deposited.
If certificates of deposit are | 1927 |
deposited with the chief in lieu
of a surety bond, the chief shall | 1928 |
require the bank or
building and loan
association that issued any | 1929 |
such certificate to pledge securities
of a cash value equal to the | 1930 |
amount of the certificate that is in
excess of the amount insured | 1931 |
by any of the agencies and
instrumentalities created under the | 1932 |
"Federal Deposit Insurance
Act," 64 Stat. 873 (1950), 12 U.S.C. | 1933 |
1811, as amended, and regulations adopted
under it, including at | 1934 |
least the federal deposit insurance corporation, bank
insurance | 1935 |
fund, and savings association insurance fund. | 1936 |
(B) The surety bond provided for in this section shall be | 1942 |
executed by a surety company authorized to do business in this | 1943 |
state. The chief shall not approve any bond until it is
personally | 1944 |
signed and acknowledged by both principal and surety,
or as to | 1945 |
either by an attorney in fact, with a certified
copy of the power | 1946 |
of attorney attached thereto. The chief shall not
approve suchthe | 1947 |
bond unless there is attached a certificate of the
superintendent | 1948 |
of insurance that the company is authorized to
transact a fidelity | 1949 |
and surety business in this state. All bonds
shall be given in a | 1950 |
form to be prescribed by the chief. | 1951 |
(C) If a registered transporter is found liable for a | 1952 |
violation of section 1509.22, 1509.222, or 1509.223 of the
Revised | 1953 |
Code or a rule, order, or term or condition of a
certificate | 1954 |
involving, in any case, damage or injury to persons
or property, | 1955 |
or both, the court may order the forfeiture of any
portion of the | 1956 |
bond, cash, or other securities required by this
section in full | 1957 |
or partial payment of damages to the person to
whom the damages | 1958 |
are due. The treasurer of state and the chief
shall deliver the | 1959 |
bond or any cash or other securities deposited
in lieu of bond, as | 1960 |
specified in the court's order, to the person
to whom the damages | 1961 |
are due; however, execution against the bond,
cash, or other | 1962 |
securities, if necessary, is the responsibility of
the person to | 1963 |
whom the damages are due. The chief shall not
release the bond, | 1964 |
cash, or securities required by this section
except by court order | 1965 |
or until two years after the date on which
athe registration is | 1966 |
terminated. | 1967 |
Sec. 1509.226. (A) If a board of county commissioners, a | 1968 |
board of township trustees, or the legislative authority of a | 1969 |
municipal corporation wishes to permit the surface application of | 1970 |
brine to roads, streets, highways, and other similar land
surfaces | 1971 |
it owns or has the right to control for control of dust
or ice, it | 1972 |
may adopt a resolution permitting such application as
provided in | 1973 |
this section. If a board or legislative authority
does not adopt | 1974 |
such a resolution, then no such surface
application of brine is | 1975 |
permitted on such roads, streets,
highways, and other similar | 1976 |
surfaces. If a board or legislative
authority votes on a proposed | 1977 |
resolution to permit such surface
application of brine, but the | 1978 |
resolution fails to receive the
affirmative vote of a majority of | 1979 |
the board or legislative
authority, the board or legislative | 1980 |
authority shall not adopt
such a resolution for one year following | 1981 |
the date on which the
vote was taken. A board or legislative | 1982 |
authority shall hold at
least one public hearing on any proposal | 1983 |
to permit surface
application of brine under this division and may | 1984 |
hold additional
hearings. The board or legislative authority shall | 1985 |
publish
notice of the time and place of each such public hearing | 1986 |
in a
newspaper of general circulation in the political subdivision | 1987 |
at
least five days before the day on which the hearing is to be | 1988 |
held. | 1989 |
(B) If a board or legislative authority adopts a
resolution | 1990 |
permitting the surface application of brine to roads,
streets, | 1991 |
highways, and other similar land surfaces under division
(A) of | 1992 |
this section, the board or legislative authority shall,
within | 1993 |
thirty days after the adoption of the resolution, prepare
and | 1994 |
submit to the chief of the division of mineral
resources | 1995 |
management a copy of
the resolution. Any department, agency, or | 1996 |
instrumentality of
this state or the United States that wishes to | 1997 |
permit the surface
application of brine to roads, streets, | 1998 |
highways, and other
similar land surfaces it owns or has a right | 1999 |
to control shall
prepare and submit guidelines for such | 2000 |
application, but need not
adopt a resolution under division (A) of | 2001 |
this section permitting
such surface application. | 2002 |
If a resolution or guidelines contain only the standards | 2039 |
listed in division (B)(1) to (9)(10) of this section, without | 2040 |
addition or qualification, the resolution or
guidelines shall be | 2041 |
deemed effective when submitted to the chief
without further | 2042 |
action by the chief. All other resolutions and
guidelines shall | 2043 |
comply with and be no less stringent than this
chapter, rules | 2044 |
concerning surface application that the chief
shall adopt under | 2045 |
division (C) of section 1509.22 of the Revised
Code, and other | 2046 |
rules of the chief. Within fifteen days after
receiving such other | 2047 |
resolutions and guidelines, the chief shall
review them for | 2048 |
compliance with the law and rules and disapprove
them if they do | 2049 |
not comply. | 2050 |
The board, legislative authority, or department, agency, or | 2051 |
instrumentality may revise and resubmit any resolutions or | 2052 |
guidelines that the chief disapproves after each disapproval, and | 2053 |
the chief shall again review and approve or disapprove them
within | 2054 |
fifteen days after receiving them. The board, legislative | 2055 |
authority, or department, agency, or instrumentality may amend
any | 2056 |
resolutions or guidelines previously approved by the chief
and | 2057 |
submit them, as amended, to the chief. The chief shall
receive, | 2058 |
review, and approve or disapprove the amended
resolutions or | 2059 |
guidelines on the same basis and in the same time
as original | 2060 |
resolutions or guidelines. The board, legislative
authority, or | 2061 |
department, agency, or instrumentality shall not
implement amended | 2062 |
resolutions or guidelines until they are
approved by the chief | 2063 |
under this division. | 2064 |
(C) Any person, other than a political subdivision
required | 2065 |
to adopt a resolution under division (A) of this section
or a | 2066 |
department, agency, or instrumentality of this state or the
United | 2067 |
States, who owns or has a legal right or obligation to
maintain a | 2068 |
road, street, highway, or other similar land surface
may file with | 2069 |
the board of county commissioners a written plan
for the | 2070 |
application of brine to the road, street, highway, or
other | 2071 |
surface. The board need not approve any such plans, but if
it | 2072 |
approves a plan, the plan shall comply with this chapter,
rules | 2073 |
adopted thereunder, and the board's resolutions, if any. | 2074 |
Disapproved plans may be revised and resubmitted for the board's | 2075 |
approval. Approved plans may also be revised and submitted to
the | 2076 |
board. A plan or revised plan shall do all of the following: | 2077 |
(D) The board may attach terms and conditions to approval
of | 2085 |
a plan, or revised plan, and may revoke approval for any
violation | 2086 |
of this chapter, rules adopted thereunder, resolutions
adopted by | 2087 |
the board, or terms or conditions attached by the
board. The board | 2088 |
shall conduct at least one public hearing
before approving a plan | 2089 |
or revised plan, publishing notice of the
time and place of each | 2090 |
such public hearing in a newspaper of
general circulation in the | 2091 |
county at least five days before the
day on which the hearing is | 2092 |
to be held. The board shall record
the filings of all plans and | 2093 |
revised plans in its journal. The
board shall approve, disapprove, | 2094 |
or revoke approval of a plan or
revised plan by the adoption of a | 2095 |
resolution. Upon approval of a
plan or revised plan, the board | 2096 |
shall send a copy of the plan to
the chief. Upon revoking approval | 2097 |
of a plan or revised plan, the
board shall notify the chief of the | 2098 |
revocation. | 2099 |
(F) Each political subdivision that adopts a resolution
under | 2105 |
divisions (A) and (B) of this section, each department,
agency, or | 2106 |
instrumentality of this state or the United States
that submits | 2107 |
guidelines under division (B) of this section, and
each person who | 2108 |
files a plan under divisions (C) and (D) of this
section shall, on | 2109 |
or before the fifteenth day of April of each
year, file a report | 2110 |
with the chief concerning brine applied
within the person's or | 2111 |
governmental
entity's jurisdiction, including the quantities | 2112 |
transported and the
sources and application points during the last | 2113 |
preceding calendar year and
such other information in such form as | 2114 |
the chief requires. | 2115 |
(G) Any political subdivision or department, agency, or | 2116 |
instrumentality of this state or the United States that applies | 2117 |
brine under this section may do so with its own personnel, | 2118 |
vehicles, and equipment without registration under or compliance | 2119 |
with section 1509.222 or 1509.223 of the Revised Code and without | 2120 |
the necessity for filing the surety bond or other security | 2121 |
required by section 1509.225 of the Revised Code. However, each | 2122 |
such entity shall legibly identify vehicles used to apply brine | 2123 |
with reflective paint in letters no less than four inches in | 2124 |
height, indicating the word "brine" and that the vehicle is a | 2125 |
vehicle of the political subdivision, department, agency, or | 2126 |
instrumentality. Except as stated in this division, such
entities | 2127 |
shall transport brine in accordance with sections
1509.22 to | 2128 |
1509.226 of the Revised Code. | 2129 |
(H) A surface application plan filed for approval under | 2130 |
division (C) of this section shall be accompanied by a | 2131 |
nonrefundable fee of fifty dollars, which shall be credited to
the | 2132 |
general fund of the county. An approved plan is valid for
one year | 2133 |
from the date of its approval unless it is revoked
before that | 2134 |
time. An approved revised plan is valid for the
remainder of the | 2135 |
term of the plan it supersedes unless it is
revoked before that | 2136 |
time. Any person who has filed such a plan
or revised plan and had | 2137 |
it approved may renew it by refiling it
in accordance with | 2138 |
divisions (C) and (D) of this section within
thirty days before | 2139 |
any anniversary of the date on which the
original plan was | 2140 |
approved. The board shall notify the chief of
renewals and | 2141 |
nonrenewals of plans. Even if a renewed plan is
approved under | 2142 |
those divisions, the plan is not effective until
notice is | 2143 |
received by the chief, and until notice is received,
the chief | 2144 |
shall enforce this chapter and rules adopted thereunder
with | 2145 |
regard to the affected roads, streets, highways, and other
similar | 2146 |
land surfaces as if the plan had not been renewed. | 2147 |
(2) Minimum
distances that wells
and other excavations, | 2163 |
structures, and
equipment shall be located from water
wells, | 2164 |
streets, roads,
highways,
rivers, lakes, streams, ponds, other | 2165 |
bodies of water, railroad tracks, public or private recreational | 2166 |
areas, zoning districts, and buildings or other structures; | 2167 |
(4) Procedures, methods, and equipment and other
requirements | 2169 |
for equipment to prevent and contain discharges of
oil and brine | 2170 |
from oil
production facilities and oil drilling and workover | 2171 |
facilities consistent with
and equivalent in scope, content, and | 2172 |
coverage to section 311(j)(1)(c) of the
"Federal Water Pollution | 2173 |
Control Act Amendments of 1972," 86 Stat. 886, 33
U.S.C.A. 1251, | 2174 |
as amended, and regulations adopted under it. In addition, the | 2175 |
rules may specify procedures, methods, and equipment and other | 2176 |
requirements for equipment to prevent and contain surface and | 2177 |
subsurface discharges of fluids, condensates, and gases. | 2178 |
(B) The chief, in consultation with the emergency response | 2180 |
commission created in section 3750.02 of the Revised Code, shall | 2181 |
adopt rules in accordance with Chapter 119. of the Revised Code | 2182 |
that specify the information that shall be included in an | 2183 |
electronic database that the chief shall create and host. The | 2184 |
information shall be that which the chief considers to be | 2185 |
appropriate for the purpose of responding to emergency situations | 2186 |
that pose a threat to public health or safety or the environment. | 2187 |
At the minimum, the information shall include that which a person | 2188 |
who is regulated under this chapter is required to submit under | 2189 |
the "Emergency Planning and Community Right-To-Know Act of 1986," | 2190 |
100 Stat. 1728, 42 U.S.C.A. 11001, and regulations adopted under | 2191 |
it. | 2192 |
Sec. 1509.27. If a tract of land is of insufficient size
or | 2200 |
shape to meet the requirements for drilling a well thereon as | 2201 |
provided in section 1509.24 or 1509.25 of the Revised Code, | 2202 |
whichever is applicable, and the owner of the tract who also is | 2203 |
the owner of the mineral interest has been unable to form a | 2204 |
drilling unit under agreement as provided in section 1509.26 of | 2205 |
the
Revised Code, on a just and equitable basis, thesuch an owner | 2206 |
of such
tract may make application to the division of mineral | 2207 |
resources management for a mandatory pooling order. | 2208 |
SuchThe application shall include such data and information | 2209 |
as
shall be reasonably required by the chief of the division of | 2210 |
mineral
resources management and shall be accompanied by an | 2211 |
application for a permit as
required by section 1509.05 of the | 2212 |
Revised Code. The chief shall
notify all owners of land within the | 2213 |
area proposed to be included
within the orderdrilling unit of the | 2214 |
filing of suchthe application and of their
right to a hearing if | 2215 |
requested. After the hearing or after the
expiration of thirty | 2216 |
days from the date notice of application was
mailed to such | 2217 |
owners, the chief, if satisfied that the
application is proper in | 2218 |
form and that mandatory pooling is
necessary to protect | 2219 |
correlative rights orand to provide effective
development, use, | 2220 |
orand conservation of oil and gas, shall issue a
drilling permit | 2221 |
and a mandatory pooling order complying with the
requirements for | 2222 |
drilling a well as provided in section 1509.24
or 1509.25 of the | 2223 |
Revised Code, whichever is applicable, which. The mandatory | 2224 |
pooling order
shall: | 2225 |
(D) Allocate on a surface acreage basis a pro rata portion
of | 2231 |
the production to the owner of each tract;pooled by the order. | 2232 |
The pro rata portion shall be in the same proportion that the | 2233 |
percentage of the owner's acreage is to the state minimum acreage | 2234 |
requirements established in rules adopted under this chapter for a | 2235 |
drilling unit unless the applicant demonstrates to the chief using | 2236 |
geological evidence that the geologic structure containing the oil | 2237 |
or gas is larger than the minimum acreage requirement in which | 2238 |
case the pro rata portion shall be in the same proportion that the | 2239 |
percentage of the owner's acreage is to the geologic structure. | 2240 |
No surface operations or disturbances to the surface of the | 2249 |
land shall occur on a tract pooled by an order without the written | 2250 |
consent of or a written agreement with the owner of the tract that | 2251 |
approves the operations or disturbances. In addition, the chief | 2252 |
shall adopt rules in accordance with Chapter 119. of the Revised | 2253 |
Code that establish setback requirements for surface facilities of | 2254 |
a well that are located near property that is subject to a | 2255 |
mandatory pooling order. Those rules shall not conflict with | 2256 |
spacing requirements for the surface facilities of a well and | 2257 |
shall not prevent the development of the drilling unit. | 2258 |
If an owner of a tract pooled by the order does not elect to | 2259 |
participate in the risk and
cost of the drilling and operation, or | 2260 |
operation, of a well, the
owner may elect toshall be designated | 2261 |
as a nonparticipating owner in the drilling and
operation, or | 2262 |
operation, of the well, on a limited or carried
basis uponand is | 2263 |
subject to terms and conditions determined by the chief to be
just | 2264 |
and reasonable. In addition, if an owner is designated as a | 2265 |
nonparticipating owner, the owner is not liable for actions or | 2266 |
conditions associated with the drilling or operation of the well. | 2267 |
If one or more of the participating owners
bearapplicant bears | 2268 |
the costs of drilling, equipping, orand operating a well for
the | 2269 |
benefit of a nonparticipating owner, as provided for in the | 2270 |
pooling order, then such participating owner or ownersthe | 2271 |
applicant shall be
entitled to the share of production from the | 2272 |
drilling unit
accruing to the interest of suchthat | 2273 |
nonparticipating
owner,
exclusive of the nonparticipating owner's | 2274 |
proportionate
share of the royalty interest if the fee holder has | 2275 |
leased
the fee
holder's land to others, otherwise, one-eighth of | 2276 |
the fee holder's
share of the
production, until there has been | 2277 |
received the share
of costs
charged to suchthat nonparticipating | 2278 |
owner plus such
additional
percentage of the share of costs as | 2279 |
the chief shall
determine.
The total amount receivable hereunder | 2280 |
shall in no event
exceed
doubletwo hundred per cent of the share | 2281 |
of costs charged
to suchthat nonparticipating owner. After | 2282 |
receipt of that share of
costs by such an applicant, a | 2283 |
nonparticipating owner shall receive
a proportionate share of the | 2284 |
working interest in the well in
addition to a proportionate share | 2285 |
of the royalty
interest, if any. | 2286 |
Sec. 1509.31. (A) Whenever the entire interest of an oil and | 2300 |
gas
lease is assigned or otherwise transferred, the assignor or | 2301 |
transferor shall notify the holders of the royalty interests,
and, | 2302 |
if a well or wells exist on the lease, the division of mineral | 2303 |
resources
management, of the name and address of
the assignee or | 2304 |
transferee by
certified mail, return receipt requested, not later | 2305 |
than thirty
days after the date of the assignment or transfer. | 2306 |
When notice
of any such assignment or transfer is required to be | 2307 |
provided to
the division, it shall be provided on a form | 2308 |
prescribed and
provided by the division and verified by both the | 2309 |
assignor or
transferor and by the assignee or transferee and shall | 2310 |
be accompanied by a nonrefundable fee of one hundred dollars for | 2311 |
each well. The
notice form
applicable to assignments or transfers | 2312 |
of a well to
the owner of
the surface estate of the tract on | 2313 |
which the well is
located
shall contain a statement informing the | 2314 |
landowner that the
well
may require periodic servicing to | 2315 |
maintain its productivity;
that, upon assignment or transfer of | 2316 |
the well to the
landowner,
the landowner becomes responsible for | 2317 |
compliance with the
requirements of this chapter and rules adopted | 2318 |
under it,
including, without limitation, the proper disposal of | 2319 |
brine
obtained from the well, the plugging of the well when it | 2320 |
becomes
incapable of producing oil or gas, and the restoration of | 2321 |
the
well
site; and that, upon assignment or transfer of the well | 2322 |
to
the
landowner, the landowner becomes responsible for the
costs | 2323 |
of
compliance with the requirements of this chapter and rules | 2324 |
adopted
under it and the costs for operating and servicing the | 2325 |
well. | 2326 |
(B) When the entire interest of a well is proposed to be | 2327 |
assigned
or otherwise transferred to the landowner for use as an | 2328 |
exempt
domestic well, the owner who has been issued a permit | 2329 |
under this
chapter for the well shall submit to the chief an | 2330 |
application for
the assignment or transfer that contains all | 2331 |
documents that the
chief requires and a nonrefundable fee of one | 2332 |
hundred dollars. The
application for such an assignment or | 2333 |
transfer shall be prescribed
and provided by the chief. The chief | 2334 |
may approve the
application
if the application is accompanied by | 2335 |
a release of
all of the oil
and gas leases that are included in | 2336 |
the applicable formation of
the
drilling unit, the release is in | 2337 |
a form such that the well
ownership merges with the fee simple | 2338 |
interest of the surface
tract, and the release is in a form that | 2339 |
may be recorded. However,
if the owner of the well does not | 2340 |
release the oil and gas leases
associated with the well that is | 2341 |
proposed to be assigned or
otherwise transferred or if the fee | 2342 |
simple tract that results from
the merger of the well ownership | 2343 |
with the fee simple interest of
the surface tract is less than | 2344 |
five
acres, the proposed exempt
domestic well owner shall post a | 2345 |
five thousand
dollar bond with
the division of mineral resources | 2346 |
management prior to the
assignment or transfer of the well to | 2347 |
ensure that the well will
be properly plugged. The chief, for | 2348 |
good
cause, may modify the
requirements of this section | 2349 |
governing the
assignment or transfer
of the interests of a well | 2350 |
to the
landowner. Upon the assignment
or transfer of the well, | 2351 |
the owner of an exempt domestic well is
subject to the severance | 2352 |
tax levied under section 5749.02 of the
Revised Code and all | 2353 |
applicable fees established in this chapter. | 2354 |
(C) The owner holding a permit under section 1509.05 of the | 2355 |
Revised Code is responsible for all obligations and liabilities | 2356 |
imposed by this chapter and any rules, orders, and terms and | 2357 |
conditions of a permit adopted or issued under
it, and no | 2358 |
assignment or
transfer by the owner relieves the owner of the | 2359 |
obligations and
liabilities until and unless the assignee or | 2360 |
transferee files
with the division the information described in | 2361 |
divisions (A)(1), (2), (3), (4), (5), (10), (11),
and (12) of | 2362 |
section 1509.06 of the Revised Code;
obtains liability insurance | 2363 |
coverage required
by section 1509.07 of the
Revised Code, except | 2364 |
when none is required by that section; and
executes and files a | 2365 |
surety bond, negotiable certificates of
deposit or irrevocable | 2366 |
letters of credit, or cash, as described in
that section. Instead | 2367 |
of a bond,
but only upon acceptance by the chief of the division | 2368 |
of mineral resources
management,
the assignee or transferee may | 2369 |
file proof of financial
responsibility, described in section | 2370 |
1509.07 of the Revised Code.
Section 1509.071 of the Revised Code | 2371 |
applies to the surety bond,
cash, and negotiable certificates of | 2372 |
deposit and irrevocable letters of
credit described in this | 2373 |
section. Unless the chief approves a modification, each assignee | 2374 |
or transferee shall operate in accordance with the plans and | 2375 |
information filed by the permit holder pursuant to section
1509.06 | 2376 |
of the Revised Code. | 2377 |
(D) If a mortgaged property that is being foreclosed is | 2378 |
subject
to an oil or gas lease, pipeline agreement, or other | 2379 |
instrument
related to the production or sale of oil or natural | 2380 |
gas and the
lease, agreement, or other instrument was recorded | 2381 |
subsequent to
the mortgage, and if the lease, agreement, or other | 2382 |
instrument is
not in default, the oil or gas lease, pipeline | 2383 |
agreement, or other
instrument, as applicable, has priority over | 2384 |
all other liens,
claims, or encumbrances on the property so that | 2385 |
the oil
or gas lease, pipeline agreement, or other instrument is | 2386 |
not
terminated or extinguished upon the foreclosure sale of the | 2387 |
mortgaged property. If the owner of the mortgaged property was | 2388 |
entitled to oil and gas royalties before the foreclosure sale, the | 2389 |
oil or gas royalties shall be paid to the purchaser of the | 2390 |
foreclosed property. | 2391 |
Sec. 1509.34. (A) If an owner fails to pay the fees imposed | 2392 |
by
this chapter or the taxes levied on the severance of oil and | 2393 |
gas
under section 5749.02 of the Revised Code, or if the chief of | 2394 |
the
division of mineral resources management incurs costs under | 2395 |
division (E) of section 1509.071 of the Revised Code to correct | 2396 |
conditions associated with the owner's well that the chief | 2397 |
reasonably has determined are causing imminent health or safety | 2398 |
risks, the division of mineral resources management shall have a | 2399 |
priority lien against that owner's interest in the applicable well | 2400 |
in front of all
other creditors for the amount of any such unpaid | 2401 |
fees and taxes
and costs incurred. The chief shall file a | 2402 |
statement in the office
of the county recorder of the county in | 2403 |
which the applicable well is located of the amount of the unpaid | 2404 |
fees and taxes and
costs incurred as described in this division. | 2405 |
The statement shall
constitute a lien on the owner's interest in | 2406 |
the well as of the date of the
filing. The lien shall remain in | 2407 |
force so long as any portion of
the lien remains unpaid or until | 2408 |
the chief issues a certificate of
release of the lien. If the | 2409 |
chief issues a certificate of release
of the lien, the chief | 2410 |
shall file the certificate of release in
the office of the | 2411 |
applicable county recorder. | 2412 |
Sec. 1509.35. (A) There is hereby created an oil and gas | 2436 |
commission
consisting of five members appointed by the
governor. | 2437 |
Terms of office shall be for five years, commencing on the | 2438 |
fifteenth day of October and ending on the fourteenth day of | 2439 |
October, except that the terms of the first five members of
the | 2440 |
board shall be for one, two, three, four, and five years, | 2441 |
respectively, as designated by the governor at the time of the | 2442 |
appointment. Each member shall hold office from the date of | 2443 |
appointment until the end of the term for which the member
was | 2444 |
appointed. Any member appointed to fill a vacancy occurring prior | 2445 |
to the
expiration of the term for which the member's predecessor | 2446 |
was appointed
shall hold office for the remainder of suchthat | 2447 |
term. Any member
shall continue in office subsequent to the | 2448 |
expiration date of
the member's term until a successor takes | 2449 |
office, or
until a period of sixty
days has elapsed, whichever | 2450 |
occurs first. Each vacancy occurring on the
commission shall be | 2451 |
filled by appointment within sixty
days after the vacancy occurs. | 2452 |
One of the appointees to
the commission shall be a person who, by | 2453 |
reason of
the person's
previous
vocation, employment, or | 2454 |
affiliations, can be classed as a representative
of a major | 2455 |
petroleum company. One of the appointees to the commission
shall | 2456 |
be a person who, by reason of
the person's previous vocation, | 2457 |
employment, or affiliations, can be
classed as a representative
of | 2458 |
the public. One of the appointees to the
commission shall be a | 2459 |
person who, by reason of the
person's previous training and | 2460 |
experience,
can be classed as a representative of independent | 2461 |
petroleum
operators. One of the appointees to the commission
shall | 2462 |
be a person
who, by reason of the person's previous training and | 2463 |
experience, can be
classed as one learned and experienced in oil | 2464 |
and gas law. One
of the appointees to the commission shall be a | 2465 |
person
who, by reason
of the person's previous training and | 2466 |
experience, can be
classed as one
learned and experienced in | 2467 |
geology or petroleum engineering. Not more than three members | 2468 |
shall be members of the same political party. This division does | 2469 |
not apply to temporary members appointed under division (C) of | 2470 |
this section. | 2471 |
(C) If the chairperson of the commission determines that a | 2476 |
quorum cannot be obtained for the purpose of considering a matter | 2477 |
that will be before the commission because of vacancies or recusal | 2478 |
of its members, the chairperson may contact the technical advisory | 2479 |
council on oil and gas created in section 1509.38 of the Revised | 2480 |
Code and request a list of members of the council who may serve as | 2481 |
temporary members of the commission. Using the list provided by | 2482 |
the council, the chairperson may appoint temporary members to the | 2483 |
commission. The appointment of temporary members shall be for only | 2484 |
the matter for which a quorum cannot be obtained. The number of | 2485 |
temporary members appointed by the chairperson shall not exceed | 2486 |
the number that is necessary to obtain a quorum for the matter. A | 2487 |
temporary member of the commission has the same authority, rights, | 2488 |
and obligations as a member of the commission, including the right | 2489 |
to compensation and other expenses as provided in this section. | 2490 |
The authority, rights, and obligations of a temporary member cease | 2491 |
when the temporary member's service on the commission ends. | 2492 |
For the purpose of conducting a hearing on an appeal, the | 2539 |
commission may require the attendance of witnesses and the | 2540 |
production of books, records, and papers, and it may, and at the | 2541 |
request of
any party it shall, issue subpoenas for witnesses or | 2542 |
subpoenas
duces tecum to compel the production of any books, | 2543 |
records, or
papers, directed to the sheriffs of the counties where | 2544 |
suchthe
witnesses are found. The subpoenas shall be
served and | 2545 |
returned
in the same manner as subpoenas in criminal cases are | 2546 |
served and
returned. The fees of sheriffs shall
be the same as | 2547 |
those allowed by the court of
common pleas in
criminal cases. | 2548 |
Witnesses shall be paid the fees
and mileage provided for under | 2549 |
section 119.094 of the Revised
Code. Such fees and mileage | 2550 |
expenses incurred at the
request of
appellant shall be paid in | 2551 |
advance by the appellant,
and the
remainder of suchthose | 2552 |
expenses
shall be paid out of funds
appropriated
for the | 2553 |
expenses of the
division of mineral
resources management. | 2554 |
In case of disobedience or neglect of any subpoena served
on | 2555 |
any person, or the refusal of any witness to testify to any
matter | 2556 |
regarding which the witness may be lawfully
interrogated, the | 2557 |
court
of common pleas of the county in which suchthe | 2558 |
disobedience,
neglect,
or refusal occurs, or any judge thereof, | 2559 |
on application
of the
commission or any member thereof, shall | 2560 |
compel obedience
by
attachment
proceedings for contempt as in the | 2561 |
case of disobedience
of the
requirements of a subpoena issued | 2562 |
from suchthat court or a
refusal to
testify therein. Witnesses | 2563 |
at such hearings shall
testify under
oath, and any member of the | 2564 |
commission may
administer
oaths or
affirmations to persons who so | 2565 |
testify. | 2566 |
At the request of any party to the appeal, a stenographic | 2567 |
record of the testimony and other evidence submitted shall be | 2568 |
taken by an official court shorthand reporter at the expense of | 2569 |
the party making the request therefor. SuchThe record shall | 2570 |
include
all of the testimony and other evidence and the rulings on | 2571 |
the
admissibility thereof presented at the hearing. The
commission | 2572 |
shall pass upon the admissibility of evidence, but any party
may | 2573 |
at the
time object to the admission of any evidence and except to | 2574 |
the
rulings of the commission thereon, and if the
commission | 2575 |
refuses to admit
evidence the party offering same may make a | 2576 |
proffer thereof, and such proffer
shall be made a part of the | 2577 |
record of suchthe hearing. | 2578 |
The order of the commission is final unless vacated by the | 2590 |
court
of common pleas of Franklin county in an appeal as provided | 2591 |
for
in section 1509.37 of the Revised Code. Sections 1509.01 to | 2592 |
1509.37 of the Revised Code, providing for appeals
relating to | 2593 |
orders by the chief or by the commission, or
relating to rules | 2594 |
adopted by the
chief, do not constitute the exclusive procedure | 2595 |
that any
person who
believes the person's rights to be unlawfully | 2596 |
affected
by those sections or any official
action taken thereunder | 2597 |
must pursue in order to protect and preserve
those rights, nor do | 2598 |
those sections
constitute a procedure that that person must pursue | 2599 |
before
that person may lawfully appeal to the courts to protect | 2600 |
and
preserve those rights. | 2601 |
The minimum amount of the assessment for every
quarterly | 2611 |
period, which periods are specified in section 5749.06
of the | 2612 |
Revised Code, shall be either the amount of fifteen dollars | 2613 |
multiplied by the total number of the owner's wells or the amount | 2614 |
of the owner's severance taxes levied under section 5749.02 of the | 2615 |
Revised Code plus the oil and gas regulatory cost recovery | 2616 |
assessment imposed by this section, whichever is greater. An owner | 2617 |
shall pay the assessment at the time and using the procedures that | 2618 |
are established in section 5749.06 of the Revised Code for the | 2619 |
collection of the taxes levied on the severance of oil and gas | 2620 |
under section 5749.02 of the Revised Code. All money collected | 2621 |
pursuant to this section shall be deposited in the state treasury | 2622 |
to the credit of the oil and gas well fund created in section | 2623 |
1509.02 of the Revised Code. | 2624 |
Sec. 1571.18. After the effective date of this section and | 2631 |
not later than March 31 each year, the owner of a well that is | 2632 |
used for gas storage or of a well that is used to monitor a gas | 2633 |
storage reservoir and that is located in a reservoir productive | 2634 |
area shall pay to the chief of the division of mineral resources | 2635 |
management a gas storage well regulatory fee of two hundred | 2636 |
twenty-five dollars for each well for the purposes of | 2637 |
administering this chapter and Chapter 1509. of the Revised Code. | 2638 |
The chief may prescribe and provide a form for the collection of | 2639 |
the fee imposed by this section and may adopt rules in accordance | 2640 |
with Chapter 119. of the Revised Code that are necessary for the | 2641 |
administration of this section. | 2642 |
A separate return shall be filed for each calendar
quarterly | 2659 |
period, or other period, or any part thereof, during
which the | 2660 |
severer holds a license as provided by section 5749.04
of the | 2661 |
Revised Code, or is required to hold suchthe license, and
such | 2662 |
the return
shall be filed within forty-five days after the last | 2663 |
day of each
such calendar month, or other period, or any part | 2664 |
thereof, for
which suchthe return is required and shall include | 2665 |
remittance payable
to the treasurer of state of the amount of tax | 2666 |
due. All such
returns shall contain such information as the | 2667 |
commissioner may
require to fairly administer the tax. | 2668 |
If the commissioner believes that quarterly payments of tax | 2672 |
would result in a delay whichthat might jeopardize the collection | 2673 |
of
such tax payments, the commissioner may order that such | 2674 |
payments
be made weekly, or more frequently if necessary, such | 2675 |
payments to
be
made not later than seven days following the close | 2676 |
of the
period for
which the jeopardy payment is required. Such an | 2677 |
order
shall be
delivered to the taxpayer personally or by | 2678 |
certified mail
and
shall remain in effect until the commissioner | 2679 |
notifies the
taxpayer to the contrary. | 2680 |
Section 2. That existing sections 1509.01, 1509.02, 1509.03, | 2700 |
1509.04, 1509.05, 1509.06, 1509.07, 1509.071, 1509.072, 1509.10, | 2701 |
1509.11,
1509.12, 1509.13, 1509.14, 1509.17, 1509.18, 1509.20, | 2702 |
1509.21, 1509.22,
1509.221, 1509.222, 1509.225, 1509.226, | 2703 |
1509.23, 1509.27, 1509.31,
1509.35, 1509.36, and 5749.06 of the | 2704 |
Revised Code are hereby repealed. | 2705 |