Bill Text: IL SB3571 | 2013-2014 | 98th General Assembly | Introduced

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Bill Title: Amends the Drilling Operations Act. Defines "Department" and "oil country tubular goods". Provides that the operator of each oil or gas well shall annually file with the Department of Natural Resources a disclosure form that identifies the country of origin for each country tubular good that is initially used in a production operation. Further provides that the Department, in consultation with representatives from the natural gas, oil, and steel industries, shall by rule provide for the content of the disclosure form as well as the manner in which it shall be filed. Provides that the information collected from the disclosure forms shall be used by the Department to establish a quality oil and gas infrastructure catalog for the State and that the reporting requirements shall apply to each oil or gas well for which an operator holds a permit. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2015-01-13 - Session Sine Die [SB3571 Detail]

Download: Illinois-2013-SB3571-Introduced.html

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98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 SB3571 Introduced 2/14/2014, by Sen. William R. Haine SYNOPSIS AS INTRODUCED:
765 ILCS 530/2 from Ch. 96 1/2, par. 9652
765 ILCS 530/3 from Ch. 96 1/2, par. 9653
765 ILCS 530/8 new
Amends the Drilling Operations Act. Defines "Department" and "oil country tubular goods". Provides that the operator of each oil or gas well shall annually file with the Department a disclosure form that identifies the country of origin for each country tubular good that is initially used in a production operation. Further provides that the Department, in consultation with representatives from the natural gas, oil, and steel industries, shall by rule provide for the content of the disclosure form as well as the manner in which it shall be filed. Provides that the information collected from the disclosure forms shall be used by the Department to establish a quality oil and gas infrastructure catalog for the State and that the reporting requirements shall apply to each oil or gas well for which an operator holds a permit. Effective immediately.
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A BILL FOR
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AN ACT concerning civil law.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Drilling Operations Act is amended by
changing Sections 2 and 3 and by adding Section 8 as follows:
(765 ILCS 530/2) (from Ch. 96 1/2, par. 9652)
Sec. 2. As used in this Act:
(a) "Person" means any natural person, corporation, firm,
partnership, venture, receiver, trustee, executor,
administrator, guardian, fiduciary or other representative of
any kind and includes any government or any political
subdivision or agency thereof;
(b) "Drilling operations" means the drilling, deepening or
conversion of a well for oil or gas production, core hole or
drill hole for a stratigraphic test;
(c) "Entry" means the moving upon the surface of land with
equipment to commence drilling operations, but shall not
include entry for the survey for or ascertaining or
identification of a well location;
(d) "Operator" means the person, whether the owner or not,
who applies for or holds a permit for drilling operations or
who is named as the principal on a bond for a permit for a well
that was issued by the Department of Natural Resources;

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(e) "Surface owner" means the person in whose name the
surface of the land on which drilling operations are
contemplated, and who is assessed for purposes of taxes imposed
pursuant to the Property Tax Code according to the records of
the assessor of the county where the land is located as
certified by said assessor;
(f) "Assessor" means the supervisor of assessments, board
of assessors, or county assessor, as the case may be, for the
county in which the land is located;
(g) "Production operation" means the operation of a well
for the production of oil, gas, and coalbed methane, including
all acts, structures, equipment, and roadways necessary for
such operation;
(h) "New well" means a well that is spudded after the
effective date of this Act and does not utilize any part of a
well bore or drilling location that existed prior to the
effective date of this Act;
(i) "Completion of the well" means completion of those
processes necessary before production occurs, including the
laying of flow lines and the construction of the tank battery.
If the well is not productive, the date of completion of the
well is the day it is plugged and abandoned.
(j) "Department" means the Department of Natural
Resources.
(k) "Oil country tubular goods" means seamless or welded
steel pipes that are used in drilling operations and production

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operations for oil or natural gas, including, but not limited
to, casing, tubing, and drill pipe, whether finished or
unfinished, as well as couplings, drill collars, and other
fittings used with the pipes.
(Source: P.A. 95-830, eff. 8-14-08.)
(765 ILCS 530/3) (from Ch. 96 1/2, par. 9653)
Sec. 3. Except as otherwise provided in paragraph (c) of
Section 6 and in Section 8, this This Act shall be applicable
only for the drilling operations of new wells except as
explicitly provided in paragraph (c) of Section 6. It shall not
apply for reworking operations on a well.
This Act shall be applicable only when the surface owner
has not consented in writing to the drilling operations and:
(A) there has been a complete severance of the
ownership of the oil, gas, and coalbed methane from the
ownership of the surface, or
(B) where the surface owner owns an interest in the
oil, gas, and coalbed methane, which interest is the
subject of either:
(1) An integration proceeding brought pursuant to
"An Act in relation to oil, gas, coal, and other
surface and underground resources and to repeal an Act
herein named", approved July 24, 1945, as amended, or
(2) A proceeding brought pursuant to "An Act in
relation to oil and gas interest in land", approved

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July 1, 1939, as amended.
(Source: P.A. 95-830, eff. 8-14-08.)
(765 ILCS 530/8 new)
Sec. 8. Country of origin disclosure.
(a) The operator of each oil or gas well shall file with
the Department the disclosure form required under this Section,
identifying the country of origin, unless that country cannot
be determined, for each oil country tubular good that is
initially used in a production operation on or after the
effective date of this amendatory Act of the 98th General
Assembly. The operator shall file the disclosure form annually.
(b) In consultation with representatives from the natural
gas, oil, and steel industries, the Department shall by rule
provide for a disclosure form, together with the annual date by
which the form must be filed, the information required to be
provided on the form, and the manner of filing with the
Department.
(c) The information collected from the disclosure forms
shall be used by the Department to establish a quality oil and
gas infrastructure catalog for the State.
(d) The reporting requirements of this Section shall apply
to each oil or gas well for which the operator holds a permit.
Section 99. Effective date. This Act takes effect upon
becoming law.