Bill Text: OH HB107 | 2009-2010 | 128th General Assembly | Introduced

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Bill Title: To create the Oil and Gas Leasing Board and to establish a procedure by which the Board may enter into leases for oil and gas production on land owned or under the control of a state agency for the purpose of providing funding for capital and operating costs for the agency.

Spectrum: Partisan Bill (Republican 17-0)

Status: (Introduced - Dead) 2009-03-30 - To Agriculture & Natural Resources [HB107 Detail]

Download: Ohio-2009-HB107-Introduced.html

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As Introduced

128th General Assembly Regular Session 2009-2010

H. B. No. 107

Representative Jordan 

Cosponsors: Representatives Adams, J., Balderson, Batchelder, Boose, Burke, Grossman, Hall, Hite, Huffman, Mandel, Martin, Mecklenborg, Morgan, Snitchler, Stebelton, Uecker 

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A BILL

To amend section 123.01, to enact sections 131.50,

1

1509.50, 1509.51, 1509.52, 1509.53, and 1509.54,

2

and to repeal sections 5119.40, 5120.12, and

3

5123.23 of the Revised Code to create the Oil and

4

Gas Leasing Board and to establish a procedure by

5

which the Board may enter into leases for oil and

6

gas production on land owned or under the control

7

of a state agency for the purpose of providing

8

funding for capital and operating costs for the

9

agency.

10

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

Section 1. That section 123.01 be amended and sections	11
131.50, 1509.50, 1509.51, 1509.52, 1509.53, and 1509.54 of the	12
Revised Code be enacted to read as follows:	13

Sec. 123.01.  (A) The department of administrative services,	14
in addition to those powers enumerated in Chapters 124. and 125.	15
of the Revised Code and provided elsewhere by law, shall exercise	16
the following powers:	17

(1) To prepare, or contract to be prepared, by licensed	18
engineers or architects, surveys, general and detailed plans,	19
specifications, bills of materials, and estimates of cost for any	20
projects, improvements, or public buildings to be constructed by	21
state agencies that may be authorized by legislative	22
appropriations or any other funds made available therefor,	23
provided that the construction of the projects, improvements, or	24
public buildings is a statutory duty of the department. This	25
section does not require the independent employment of an	26
architect or engineer as provided by section 153.01 of the Revised	27
Code in the cases to which that section applies nor affect or	28
alter the existing powers of the director of transportation.	29

(2) To have general supervision over the construction of any	30
projects, improvements, or public buildings constructed for a	31
state agency and over the inspection of materials previous to	32
their incorporation into those projects, improvements, or	33
buildings;	34

(3) To make contracts for and supervise the construction of	35
any projects and improvements or the construction and repair of	36
buildings under the control of a state agency, except contracts	37
for the repair of buildings under the management and control of	38
the departments of public safety, job and family services, mental	39
health, mental retardation and developmental disabilities,	40
rehabilitation and correction, and youth services, the bureau of	41
workers' compensation, the rehabilitation services commission, and	42
boards of trustees of educational and benevolent institutions and	43
except contracts for the construction of projects that do not	44
require the issuance of a building permit or the issuance of a	45
certificate of occupancy and that are necessary to remediate	46
conditions at a hazardous waste facility, solid waste facility, or	47
other location at which the director of environmental protection	48
has reason to believe there is a substantial threat to public	49
health or safety or the environment. These contracts shall be made	50
and entered into by the directors of public safety, job and family	51
services, mental health, mental retardation and developmental	52
disabilities, rehabilitation and correction, and youth services,	53
the administrator of workers' compensation, the rehabilitation	54
services commission, the boards of trustees of such institutions,	55
and the director of environmental protection, respectively. All	56
such contracts may be in whole or in part on unit price basis of	57
maximum estimated cost, with payment computed and made upon actual	58
quantities or units.	59

(4) To prepare and suggest comprehensive plans for the	60
development of grounds and buildings under the control of a state	61
agency;	62

(5) To acquire, by purchase, gift, devise, lease, or grant,	63
all real estate required by a state agency, in the exercise of	64
which power the department may exercise the power of eminent	65
domain, in the manner provided by sections 163.01 to 163.22 of the	66
Revised Code;	67

(6) To make and provide all plans, specifications, and models	68
for the construction and perfection of all systems of sewerage,	69
drainage, and plumbing for the state in connection with buildings	70
and grounds under the control of a state agency;	71

(7) To erect, supervise, and maintain all public monuments	72
and memorials erected by the state, except where the supervision	73
and maintenance is otherwise provided by law;	74

(8) To procure, by lease, storage accommodations for a state	75
agency;	76

(9) To lease or grant easements or licenses for unproductive	77
and unused lands or other property under the control of a state	78
agency. Such leases, easements, or licenses shall be granted for a	79
period not to exceed fifteen years and shall be executed for the	80
state by the director of administrative services and the governor	81
and shall be approved as to form by the attorney general, provided	82
that leases, easements, or licenses may be granted to any county,	83
township, municipal corporation, port authority, water or sewer	84
district, school district, library district, health district, park	85
district, soil and water conservation district, conservancy	86
district, or other political subdivision or taxing district, or	87
any agency of the United States government, for the exclusive use	88
of that agency, political subdivision, or taxing district, without	89
any right of sublease or assignment, for a period not to exceed	90
fifteen years, and provided that the director shall grant leases,	91
easements, or licenses of university land for periods not to	92
exceed twenty-five years for purposes approved by the respective	93
university's board of trustees wherein the uses are compatible	94
with the uses and needs of the university and may grant leases of	95
university land for periods not to exceed forty years for purposes	96
approved by the respective university's board of trustees pursuant	97
to section 123.77 of the Revised Code.	98

(10) To lease office space in buildings for the use of a	99
state agency;	100

(11) To have general supervision and care of the storerooms,	101
offices, and buildings leased for the use of a state agency;	102

(12) To exercise general custodial care of all real property	103
of the state;	104

(13) To assign and group together state offices in any city	105
in the state and to establish, in cooperation with the state	106
agencies involved, rules governing space requirements for office	107
or storage use;	108

(14) To lease for a period not to exceed forty years,	109
pursuant to a contract providing for the construction thereof	110
under a lease-purchase plan, buildings, structures, and other	111
improvements for any public purpose, and, in conjunction	112
therewith, to grant leases, easements, or licenses for lands under	113
the control of a state agency for a period not to exceed forty	114
years. The lease-purchase plan shall provide that at the end of	115
the lease period, the buildings, structures, and related	116
improvements, together with the land on which they are situated,	117
shall become the property of the state without cost.	118

(a) Whenever any building, structure, or other improvement is	119
to be so leased by a state agency, the department shall retain	120
either basic plans, specifications, bills of materials, and	121
estimates of cost with sufficient detail to afford bidders all	122
needed information or, alternatively, all of the following plans,	123
details, bills of materials, and specifications:	124

(i) Full and accurate plans suitable for the use of mechanics	125
and other builders in the improvement;	126

(ii) Details to scale and full sized, so drawn and	127
represented as to be easily understood;	128

(iii) Accurate bills showing the exact quantity of different	129
kinds of material necessary to the construction;	130

(iv) Definite and complete specifications of the work to be	131
performed, together with such directions as will enable a	132
competent mechanic or other builder to carry them out and afford	133
bidders all needed information;	134

(v) A full and accurate estimate of each item of expense and	135
of the aggregate cost thereof.	136

(b) The department shall give public notice, in such	137
newspaper, in such form, and with such phraseology as the director	138
of administrative services prescribes, published once each week	139
for four consecutive weeks, of the time when and place where bids	140
will be received for entering into an agreement to lease to a	141
state agency a building, structure, or other improvement. The last	142
publication shall be at least eight days preceding the day for	143
opening the bids. The bids shall contain the terms upon which the	144
builder would propose to lease the building, structure, or other	145
improvement to the state agency. The form of the bid approved by	146
the department shall be used, and a bid is invalid and shall not	147
be considered unless that form is used without change, alteration,	148
or addition. Before submitting bids pursuant to this section, any	149
builder shall comply with Chapter 153. of the Revised Code.	150

(c) On the day and at the place named for receiving bids for	151
entering into lease agreements with a state agency, the director	152
of administrative services shall open the bids and shall publicly	153
proceed immediately to tabulate the bids upon duplicate sheets. No	154
lease agreement shall be entered into until the bureau of workers'	155
compensation has certified that the person to be awarded the lease	156
agreement has complied with Chapter 4123. of the Revised Code,	157
until, if the builder submitting the lowest and best bid is a	158
foreign corporation, the secretary of state has certified that the	159
corporation is authorized to do business in this state, until, if	160
the builder submitting the lowest and best bid is a person	161
nonresident of this state, the person has filed with the secretary	162
of state a power of attorney designating the secretary of state as	163
its agent for the purpose of accepting service of summons in any	164
action brought under Chapter 4123. of the Revised Code, and until	165
the agreement is submitted to the attorney general and the	166
attorney general's approval is certified thereon. Within thirty	167
days after the day on which the bids are received, the department	168
shall investigate the bids received and shall determine that the	169
bureau and the secretary of state have made the certifications	170
required by this section of the builder who has submitted the	171
lowest and best bid. Within ten days of the completion of the	172
investigation of the bids, the department shall award the lease	173
agreement to the builder who has submitted the lowest and best bid	174
and who has been certified by the bureau and secretary of state as	175
required by this section. If bidding for the lease agreement has	176
been conducted upon the basis of basic plans, specifications,	177
bills of materials, and estimates of costs, upon the award to the	178
builder the department, or the builder with the approval of the	179
department, shall appoint an architect or engineer licensed in	180
this state to prepare such further detailed plans, specifications,	181
and bills of materials as are required to construct the building,	182
structure, or improvement. The department shall adopt such rules	183
as are necessary to give effect to this section. The department	184
may reject any bid. Where there is reason to believe there is	185
collusion or combination among bidders, the bids of those	186
concerned therein shall be rejected.	187

(15) To acquire by purchase, gift, devise, or grant and to	188
transfer, lease, or otherwise dispose of all real property	189
required to assist in the development of a conversion facility as	190
defined in section 5709.30 of the Revised Code as that section	191
existed before its repeal by Amended Substitute House Bill 95 of	192
the 125th general assembly;	193

(16) To lease for a period not to exceed forty years,	194
notwithstanding any other division of this section, the	195
state-owned property located at 408-450 East Town Street,	196
Columbus, Ohio, formerly the state school for the deaf, to a	197
developer in accordance with this section. "Developer," as used in	198
this section, has the same meaning as in section 123.77 of the	199
Revised Code.	200

Such a lease shall be for the purpose of development of the	201
land for use by senior citizens by constructing, altering,	202
renovating, repairing, expanding, and improving the site as it	203
existed on June 25, 1982. A developer desiring to lease the land	204
shall prepare for submission to the department a plan for	205
development. Plans shall include provisions for roads, sewers,	206
water lines, waste disposal, water supply, and similar matters to	207
meet the requirements of state and local laws. The plans shall	208
also include provision for protection of the property by insurance	209
or otherwise, and plans for financing the development, and shall	210
set forth details of the developer's financial responsibility.	211

The department may employ, as employees or consultants,	212
persons needed to assist in reviewing the development plans. Those	213
persons may include attorneys, financial experts, engineers, and	214
other necessary experts. The department shall review the	215
development plans and may enter into a lease if it finds all of	216
the following:	217

(a) The best interests of the state will be promoted by	218
entering into a lease with the developer;	219

(b) The development plans are satisfactory;

220

(c) The developer has established the developer's financial	221
responsibility and satisfactory plans for financing the	222
development.	223

The lease shall contain a provision that construction or	224
renovation of the buildings, roads, structures, and other	225
necessary facilities shall begin within one year after the date of	226
the lease and shall proceed according to a schedule agreed to	227
between the department and the developer or the lease will be	228
terminated. The lease shall contain such conditions and	229
stipulations as the director considers necessary to preserve the	230
best interest of the state. Moneys received by the state pursuant	231
to this lease shall be paid into the general revenue fund. The	232
lease shall provide that at the end of the lease period the	233
buildings, structures, and related improvements shall become the	234
property of the state without cost.	235

(17) To lease to any person any tract of land owned by the	236
state and under the control of the department, or any part of such	237
a tract, for the purpose of drilling for or the pooling of oil or	238
gas. Such a lease shall be granted for a period not exceeding	239
forty years, with the full power to contract for, determine the	240
conditions governing, and specify the amount the state shall	241
receive for the purposes specified in the lease, and shall be	242
prepared as in other cases.	243

(18) To manage the use of space owned and controlled by the	244
department, including space in property under the jurisdiction of	245
the Ohio building authority, by doing all of the following:	246

(a) Biennially implementing, by state agency location, a	247
census of agency employees assigned space;	248

(b) Periodically in the discretion of the director of	249
administrative services:	250

(i) Requiring each state agency to categorize the use of	251
space allotted to the agency between office space, common areas,	252
storage space, and other uses, and to report its findings to the	253
department;	254

(ii) Creating and updating a master space utilization plan	255
for all space allotted to state agencies. The plan shall	256
incorporate space utilization metrics.	257

(iii) Conducting a cost-benefit analysis to determine the	258
effectiveness of state-owned buildings;	259

(iv) Assessing the alternatives associated with consolidating	260
the commercial leases for buildings located in Columbus.	261

(c) Commissioning a comprehensive space utilization and	262
capacity study in order to determine the feasibility of	263
consolidating existing commercially leased space used by state	264
agencies into a new state-owned facility.	265

(B) This section and section 125.02 of the Revised Code shall	266
not interfere with any of the following:	267

(1) The power of the adjutant general to purchase military	268
supplies, or with the custody of the adjutant general of property	269
leased, purchased, or constructed by the state and used for	270
military purposes, or with the functions of the adjutant general	271
as director of state armories;	272

(2) The power of the director of transportation in acquiring	273
rights-of-way for the state highway system, or the leasing of	274
lands for division or resident district offices, or the leasing of	275
lands or buildings required in the maintenance operations of the	276
department of transportation, or the purchase of real property for	277
garage sites or division or resident district offices, or in	278
preparing plans and specifications for and constructing such	279
buildings as the director may require in the administration of the	280
department;	281

(3) The power of the director of public safety and the	282
registrar of motor vehicles to purchase or lease real property and	283
buildings to be used solely as locations to which a deputy	284
registrar is assigned pursuant to division (B) of section 4507.011	285
of the Revised Code and from which the deputy registrar is to	286
conduct the deputy registrar's business, the power of the director	287
of public safety to purchase or lease real property and buildings	288
to be used as locations for division or district offices as	289
required in the maintenance of operations of the department of	290
public safety, and the power of the superintendent of the state	291
highway patrol in the purchase or leasing of real property and	292
buildings needed by the patrol, to negotiate the sale of real	293
property owned by the patrol, to rent or lease real property owned	294
or leased by the patrol, and to make or cause to be made repairs	295
to all property owned or under the control of the patrol;	296

(4) The power of the division of liquor control in the	297
leasing or purchasing of retail outlets and warehouse facilities	298
for the use of the division;	299

(5) The power of the director of development to enter into	300
leases of real property, buildings, and office space to be used	301
solely as locations for the state's foreign offices to carry out	302
the purposes of section 122.05 of the Revised Code;	303

(6) The power of the director of environmental protection to	304
enter into environmental covenants, to grant and accept easements,	305
or to sell property pursuant to division (G) of section 3745.01 of	306
the Revised Code.	307

(C) Purchases for, and the custody and repair of, buildings	308
under the management and control of the capitol square review and	309
advisory board, the rehabilitation services commission, the bureau	310
of workers' compensation, or the departments of public safety, job	311
and family services, mental health, mental retardation and	312
developmental disabilities, and rehabilitation and correction, and	313
buildings of educational and benevolent institutions under the	314
management and control of boards of trustees, are not subject to	315
the control and jurisdiction of the department of administrative	316
services.	317

(D) Any instrument by which real property is acquired	318
pursuant to this section shall identify the agency of the state	319
that has the use and benefit of the real property as specified in	320
section 5301.012 of the Revised Code.	321

Sec. 131.50.  (A) There is hereby created in the state	322
treasury the state land royalty fund consisting of money credited	323
to it under section 1509.51 of the Revised Code. Any investment	324
proceeds earned on money in the fund shall be credited to the	325
fund and used as required in division (B) of this section.	326

(B) Money in the state land royalty fund shall be used to pay	327
capital and operating costs of state agencies on whose behalf	328
money has been contributed to the fund by the oil and gas leasing	329
board under section 1509.51 of the Revised Code. Such a state	330
agency is entitled to receive from the fund the amount contributed	331
on its behalf by the board and a share of the investment earnings	332
of the fund in an amount that is equivalent to the proportionate	333
share of contributions made on behalf of the state agency to the	334
fund.	335

Sec. 1509.50. (A) It is the policy of the state to provide	336
access to and support the exploration for, development of, and	337
production of oil and natural gas resources owned or controlled by	338
the state in an effort to stabilize energy prices for citizens of	339
this state and to use the state's natural resources responsibly.	340

(B) There is hereby created the oil and gas leasing board	341
consisting of the chief of the division of mineral resources	342
management and the following four members appointed by the	343
governor:	344

(1) Two members recommended by a statewide organization	345
representing the oil and gas industry;	346

(2) One member representing a statewide environmental	347
advocacy organization;	348

(3) One member representing the public.

349

(B) Of the initial members appointed to the board, one shall	350
serve a term of two years, one shall serve a term of three years,	351
one shall serve a term of four years, and one shall serve a term	352
of five years. Thereafter, terms of office of members shall be	353
for five years from the date of appointment. Each member	354
appointed by the governor shall hold office from the date of	355
appointment until the end of the term for which the member was	356
appointed. The governor shall fill a vacancy occurring on the	357
board by appointing a member within sixty days after the vacancy	358
occurs. A member appointed to fill a vacancy occurring prior to	359
the expiration of the term for which the member's predecessor was	360
appointed shall hold office for the remainder of that term. A	361
member shall continue in office subsequent to the expiration date	362
of the member's term until the member's successor takes office, or	363
until a period of sixty days has elapsed, whichever occurs first.	364

(C) Three members constitute a quorum of the board, and no	365
action of the board is valid unless it has the concurrence of at	366
least three members. The board shall keep a record of its	367
proceedings. The chief of the division of mineral resources	368
management shall serve as the chairperson of the board.	369

(D) The governor may remove an appointed member from the	370
board for inefficiency, malfeasance, misfeasance, or nonfeasance.	371

(E) Members of the board shall receive no compensation, but	372
shall be reimbursed for their actual and necessary expenses	373
incurred in the course of the performance of their duties as	374
members of the board.	375

(F) The division of mineral resources management shall	376
provide staff assistance to the board if requested by the board.	377

Sec. 1509.51. (A) As used in this section, "state agency" has	378
the same meaning as in section 1.60 of the Revised Code.	379

(B) The oil and gas leasing board has exclusive authority to	380
lease any parcel of land that is owned or controlled by a state	381
agency for the purpose of exploring for and developing and	382
producing oil and natural gas resources. A person that is an owner	383
and that is interested in leasing a parcel of land that is owned	384
or controlled by a state agency for the exploration for and the	385
development and production of oil or natural gas may submit to the	386
board a nomination that identifies the parcel of land. A person	387
submitting a nomination shall submit it in the manner and form	388
established in rules adopted under section 1509.52 of the Revised	389
Code and shall include with the nomination the information	390
required by those rules.	391

(C) Not later than thirty days after the receipt of a	392
nomination, the board shall conduct a meeting for the purpose of	393
determining whether to enter into a lease for the parcel of land	394
that is identified in the nomination. Not later than sixty days	395
after the meeting, the board shall approve or disapprove the	396
nomination. In making its decision to approve or disapprove the	397
nomination, the board shall consider all of the following:	398

(1) The economic benefits, including the potential income	399
from an oil or natural gas operation, that would result if the	400
lease that is the subject of the nomination were approved;	401

(2) Whether the proposed oil or gas operation is compatible	402
with the current uses of the parcel of land that is the subject of	403
the nomination;	404

(3) Any objections to the nomination submitted to the board	405
by the state agency that owns or controls the land on which the	406
proposed oil or natural gas operation would take place;	407

(4) Any other factors that the board establishes in rules	408
adopted under section 1509.52 of the Revised Code.	409

Prior to making its decision to approve or disapprove a	410
nomination, the board shall notify the agency that owns or	411
controls the land on which the oil or gas operation would take	412
place.	413

The board shall approve or deny a nomination not later than	414
ninety days after the receipt of the nomination. Notice of the	415
decision of the board shall be sent by certified mail to the	416
person that submitted the nomination.	417

(D) Each calendar quarter, the board shall proceed to	418
advertise for bids for each lease that was the subject of a	419
nomination approved during the previous calendar quarter. The	420
advertisement shall be published on a web site that is maintained	421
by the board and in a newspaper of general circulation in	422
Franklin county and in each county in which the parcel of land	423
that was the subject of the nomination is located. The	424
advertisement shall be published once a week for four consecutive	425
weeks prior to the date that is established by the board for the	426
submission of bids. The notice shall include all of the following:	427

(1) The procedure for the submission of a bid to enter into a	428
lease for a parcel of land;	429

(2) A statement that a standard lease form that is consistent	430
with the practices of the oil and natural gas industries will be	431
used for the lease of the parcel of land;	432

(3) Instructions for obtaining a copy of the standard lease	433
form that will be used for the lease of the parcel of land;	434

(4) A statement, if applicable, that special terms and	435
conditions apply to the lease because of specific conditions	436
related to the parcel of land. If such special terms and	437
conditions apply to the lease, the statement shall include	438
instructions for obtaining a copy of them.	439

(5) Any other information that the board considers pertinent	440
to the advertisement for bids.	441

(E) In order to encourage the submission of bids and the	442
responsible and reasonable development of the state's natural	443
resources, the information that is contained in a bid submitted to	444
the board under this section shall be confidential and shall not	445
be disclosed.	446

(F) Not later than fifteen days after a deadline established	447
by the board for the submission of bids for a particular parcel of	448
land, bids received by the board shall be unsealed and opened on	449
the date designated by the board. Not later than thirty days after	450
the date on which the board unseals and opens the bids, the board	451
shall enter into a lease under this section with the person who	452
submits the highest and best bid for that parcel of land, taking	453
into account the financial responsibility of the prospective	454
lessee and the ability of the prospective lessee to perform its	455
obligations under the lease.	456

(G) All money received by the board in payment for leases	457
entered into under this section shall be paid by the board into	458
the state treasury to the credit of the state land royalty fund	459
created in section 131.50 of the Revised Code, except money that	460
is required to be credited to the oil and gas leasing board	461
administration fund created in section 1509.53 of the Revised	462
Code as required in rules adopted under section 1509.52 of the	463
Revised Code. Money credited to the state land royalty fund shall	464
be contributed on behalf of the state agency that owns or	465
controls the parcel of land on which the drilling for oil or gas	466
takes place.	467

Sec. 1509.52. The oil and gas leasing board shall adopt	468
rules in accordance with Chapter 119. of the Revised Code	469
establishing all of the following:	470

(A) The form of and the information to be included in	471
nominations that are submitted under section 1509.51 of the	472
Revised Code;	473

(B) Procedures for the submission of nominations to the	474
board;	475

(C) Factors that the board may consider when determining	476
whether to approve or disapprove a nomination submitted under	477
section 1509.51 of the Revised Code;	478

(D) A standard lease form that is consistent with the	479
practices of the oil and natural gas industries and that contains	480
a one-eighth landowner royalty, which standard lease form shall be	481
used by the board for leases entered into under section 1509.51 of	482
the Revised Code;	483

(E) Factors that the board shall consider when determining	484
whether special terms and conditions of leases may be required for	485
a particular parcel of land because of specific conditions related	486
to the parcel and to the development of any oil or natural gas	487
from the parcel;	488

(F) A percentage of the proceeds of each lease agreement that	489
shall be credited to the oil and gas leasing board administration	490
fund created in section 1509.53 of the Revised Code for the	491
purpose of providing funding for the board's administrative	492
expenses and actual and necessary expenses of the board members;	493

(G) Any other procedures and requirements that the board	494
determines necessary to implement sections 1509.50 to 1509.54 of	495
the Revised Code.	496

Sec. 1509.53. There is hereby created in the state treasury	497
the oil and gas leasing board administration fund consisting of a	498
percentage of the money derived from leases as provided in rules	499
adopted under section 1509.52 of the Revised Code. Money in the	500
fund shall be used by the oil and gas leasing board to pay the	501
administrative expenses of the board and to pay the actual and	502
necessary expenses incurred by members of the board in the course	503
of the performance of their duties.	504

Sec. 1509.54. If a nomination to lease a parcel of land that	505
is submitted under section 1509.51 of the Revised Code is	506
disapproved by the oil and gas leasing board, the person that	507
submitted the nomination may appeal the board's disapproval to the	508
oil and gas commission for an order reversing the disapproval. The	509
requirements and procedures established in section 1509.36 of the	510
Revised Code that apply to an appeal of an order of the chief of	511
the division of mineral resources management apply to appeals	512
filed under this section.	513

Section 2.  That existing section 123.01 and sections	514
5119.40, 5120.12, and 5123.23 of the Revised Code are hereby	515
repealed.	516

Section 3.  A lease entered into under section 123.01,	517
155.011, 5119.40, 5120.12, or 5123.23 of the Revised Code as those	518
sections existed prior to their amendment or repeal by this act	519
shall remain in effect until the term of the lease expires as	520
provided in the lease.	521