Bill Text: TX SB1165 | 2015-2016 | 84th Legislature | Comm Sub
Bill Title: Relating to the express preemption of regulation of oil and gas operations and the exclusive jurisdiction of those operations by the state.
Spectrum: Moderate Partisan Bill (Republican 5-1)
Status: (Introduced - Dead) 2015-05-05 - Not again placed on intent calendar [SB1165 Detail]
Download: Texas-2015-SB1165-Comm_Sub.html
By: Fraser, et al. | S.B. No. 1165 | |
(In the Senate - Filed March 10, 2015; March 17, 2015, read | ||
first time and referred to Committee on Natural Resources and | ||
Economic Development; March 25, 2015, reported favorably by the | ||
following vote: Yeas 9, Nays 0; March 25, 2015, sent to printer.) | ||
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relating to the express preemption of regulation of oil and gas | ||
operations and the exclusive jurisdiction of those operations by | ||
the state. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. The legislature finds that the laws and policy of | ||
this state have fostered successful development of oil and gas | ||
resources in concert with the growth of healthy and economically | ||
vibrant communities for over 100 years. The legislature | ||
acknowledges this cooperative progress and mutual benefit is | ||
derived from current statutes that provide effective and | ||
environmentally sound regulation of oil and gas operations that is | ||
so comprehensive and pervasive that it occupies the field, while | ||
facilitating the overriding policy objective to fully and | ||
effectively exploit oil and gas resources and protecting the | ||
environment and public's health and safety. The legislature | ||
recognizes that in order to continue this prosperity and the | ||
efficient management of a key industry in this state it is in the | ||
state's interest to explicitly confirm the authority for regulation | ||
of oil and gas activities within the state. The legislature intends | ||
that this Act expressly preempts regulation of oil and gas | ||
operations by municipalities and other political subdivisions that | ||
is already impliedly preempted by state law. | ||
SECTION 2. Subchapter C, Chapter 81, Natural Resources | ||
Code, is amended by adding Section 81.071 to read as follows: | ||
Sec. 81.071. EXPRESS PREEMPTION. (a) In this section: | ||
(1) "Commercially reasonable" is defined as a | ||
condition that permits a reasonably prudent operator to fully, | ||
effectively, and economically exploit, develop, produce, process, | ||
and transport oil and gas. | ||
(2) "Oil and gas operation" is defined as an activity | ||
associated with the exploration, development, production, | ||
processing, and transportation of oil and gas, including drilling, | ||
hydraulic fracture stimulation, completion, maintenance, | ||
reworking, recompletion, disposal, plugging and abandonment, | ||
secondary and tertiary recovery techniques, and remediation | ||
activities. | ||
(b) The authority of a municipality or other political | ||
subdivision to regulate an oil and gas operation is expressly | ||
preempted, except that a municipality is authorized to enact, | ||
amend, or enforce an ordinance or other measure that regulates only | ||
surface activity that is incident to an oil and gas operation, is | ||
commercially reasonable, does not effectively prohibit an oil and | ||
gas operation, and is not otherwise preempted by state or federal | ||
law. | ||
(c) Except as to the authority recognized in Subsection (b), | ||
a municipality or other political subdivision may not enact or | ||
enforce an ordinance or other measure, or an amendment or revision | ||
of an existing ordinance or other measure, that bans, limits, or | ||
otherwise regulates an oil and gas operation within its boundaries | ||
or extraterritorial jurisdiction. An oil and gas operation is | ||
subject to the exclusive jurisdiction of the state. | ||
SECTION 3. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2015. | ||
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