Bill Text: MI HB4474 | 2019-2020 | 100th Legislature | Introduced

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Bill Title: Natural resources; gas and oil; hydraulic fracturing; require notice and an opportunity for a public hearing prior to authorizing. Amends secs. 1301 & 61525 of 1994 PA 451 (MCL 324.1301 & 324.61525).

Spectrum: Partisan Bill (Democrat 16-0)

Status: (Introduced - Dead) 2019-04-23 - Bill Electronically Reproduced 04/23/2019 [HB4474 Detail]

Download: Michigan-2019-HB4474-Introduced.html

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HOUSE BILL No. 4474

 

 

April 18, 2019, Introduced by Reps. Sowerby, Pohutsky, Brenda Carter, Garza, Robinson, Chirkun, Ellison, Stone, Gay-Dagnogo, Clemente, Liberati, Sneller, Hope, Wittenberg, Rabhi and Bolden and referred to the Committee on Energy.

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

by amending sections 1301 and 61525 (MCL 324.1301 and 324.61525),

 

section 1301 as amended by 2018 PA 451 and section 61525 as amended

 

by 2004 PA 325.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1301. As used in this part:

 

     (a) "Application period" means the period beginning when an

 

application for a permit is received by the state and ending when

 

the application is considered to be administratively complete under

 

section 1305 and any applicable fee has been paid.

 

     (b) "Department" means the department, agency, or officer

 

authorized by this act to approve or deny an application for a

particular permit. As used in sections 1315 to 1317, "department"

 

means the department of environmental quality.

 

     (c) "Director" means the director of the state department

 

authorized under this act to approve or deny an application for a

 

particular permit or the director's designee. As used in sections

 

1313 to 1317, "director" means the director of the department of

 

environmental quality.

 

     (d) "Environmental permit review commission" or "commission"

 

means the environmental permit review commission established under

 

section 1313(1).

 

     (e) "Environmental permit panel" or "panel" means a panel of

 

the environmental permit review commission, appointed under section

 

1315(2).

 

     (f) "Permit", except as provided in subdivision (g), means a

 

permit, operating license, or registration required by any of the

 

following sections or by rules promulgated thereunder, under any of

 

the following sections, or, in the case of section 9112, by an

 

ordinance referred to in that section:

 

     (i) Section 3104, floodplain alteration permit.

 

     (ii) Section 3503, permit for use of water in mining iron ore.

 

     (iii) Section 4105, sewerage system construction permit.

 

     (iv) Section 6516, vehicle testing license.

 

     (v) Section 6521, motor vehicle fleet testing permit.

 

     (vi) Section 8310, restricted use pesticide dealer license.

 

     (vii) Section 8310a, agricultural pesticide dealer license.

 

     (viii) Section 8504, license to manufacture or distribute

 

fertilizer.

     (ix) Section 9112, local soil erosion and sedimentation

 

control permit.

 

     (x) Section 11509, solid waste disposal area construction

 

permit.

 

     (xi) Section 11512, solid waste disposal area operating

 

license.

 

     (xii) Section 11542, municipal solid waste incinerator ash

 

landfill operating license amendment.

 

     (xiii) Section 11702, septage waste servicing license or

 

septage waste vehicle license.

 

     (xiv) Section 11709, septage waste site permit.

 

     (xv) Section 30104, inland lakes and streams project permit.

 

     (xvi) Section 30304, state permit for dredging, filling, or

 

other activity in wetland. Permit includes an authorization for a

 

specific project to proceed under a general permit issued under

 

section 30312.

 

     (xvii) Section 31509, dam construction, repair, or removal

 

permit.

 

     (xviii) Section 32312, flood risk, high risk, or environmental

 

area permit.

 

     (xix) Section 32512, permit for dredging and filling

 

bottomland.

 

     (xx) Section 32603, permit for submerged log removal from

 

Great Lakes bottomlands.

 

     (xxi) Section 35304, department permit for critical dune area

 

use.

 

     (xxii) Section 36505, endangered species permit.

     (xxiii) Section 41329, nonnative aquatic species sales

 

registration.

 

     (xxiv) Section 41702, game bird hunting preserve license.

 

     (xxv) Section 42101, dog training area permit.

 

     (xxvi) Section 42501, fur dealer's license.

 

     (xxvii) Section 42702, game dealer's license.

 

     (xxviii) Section 44513, charter boat operating permit under

 

reciprocal agreement.

 

     (xxix) Section 44516, boat livery operating permit.

 

     (xxx) Section 45902, game fish propagation license.

 

     (xxxi) Section 45906, game fish import license.

 

     (xxxii) Section 48705, permit to take amphibians and reptiles

 

for scientific or educational use.

 

     (xxxiii) Section 61525, oil or gas well drilling permit.

 

     (xxxiv) Section 62509, brine, storage, or waste disposal well

 

drilling or conversion permit or test well drilling permit.

 

     (xxxv) Section 63103a, ferrous mineral mining permit.

 

     (xxxvi) Section 63514 or 63525, surface coal mining and

 

reclamation permit or revision of the permit, respectively.

 

     (xxxvii) Section 63704, sand dune mining permit.

 

     (xxxviii) Section 72108, use permits for a Pure Michigan

 

Trail.

 

     (xxxix) Section 76109, sunken aircraft or watercraft abandoned

 

property recovery permit.

 

     (xxxx) Section 76504, Mackinac Island motor vehicle and land

 

use permits.

 

     (xxxxi) Section 80159, buoy or beacon permit.

     (g) "Permit", as used in sections 1313 to 1317, means any

 

permit or operating license that meets both of the following

 

conditions:

 

     (i) The applicant for the permit or operating license is not

 

this state or a political subdivision of this state.

 

     (ii) The permit or operating license is issued by the

 

department of environmental quality under this act or the rules

 

promulgated under this act.

 

     (h) "Processing deadline" means the last day of the processing

 

period.

 

     (i) "Processing period", subject to section 1307(2) and (3),

 

means the following time period after the close of the application

 

period, for the following permit, as applicable:

 

     (i) Twenty days, unless a hearing is held, for a permit under

 

section 61525 or 62509.

 

     (ii) Thirty days for a permit under section 9112 or 44516.

 

     (iii) Thirty days after the department consults with the

 

underwater salvage and preserve committee created under section

 

76103, for a permit under section 76109.

 

     (iv) Sixty days, for a permit under section 30104 for a minor

 

project established under section 30105(7) or 32512a(1), or an

 

authorization for a specific project to proceed under a general

 

permit issued under section 30105(8) or 32512a(2), or for a permit

 

under section 32312 or 41329, or, if a hearing is required, for a

 

permit under section 61525 or 62509.

 

     (v) Sixty days or, if a hearing is held, 90 days for a permit

 

under section 35304.

     (vi) Sixty days or, if a hearing is held, 120 days for a

 

permit under section 30104, other than a permit or authorization

 

described in subparagraph (ii) or (iv), or for a permit under

 

section 31509.

 

     (vii) Ninety days for a permit under section 11512, a revision

 

of a surface coal mining and reclamation permit under section

 

63525, or a permit under section 72108.

 

     (viii) Ninety days or, if a hearing is held, 150 days for a

 

permit under section 3104 or 30304, or a permit under section 32512

 

other than a permit described in subparagraph (iv).

 

     (ix) Ninety days after the close of the review or comment

 

period under section 32604, or if a public hearing is held, 90 days

 

after the date of the public hearing for a permit under section

 

32603.

 

     (x) One hundred twenty days for a permit under section 11509,

 

11542, 63103a, 63514, or 63704.

 

     (xi) One hundred fifty days for a permit under section 36505.

 

However, if a site inspection or federal approval is required, the

 

150-day period is tolled pending completion of the inspection or

 

receipt of the federal approval.

 

     (xii) For any other permit, 150 days or, if a hearing is held,

 

90 days after the hearing, whichever is later.

 

     Sec. 61525. (1) A person shall not drill or begin the drilling

 

of any well for oil or gas, for secondary recovery, or a well for

 

the disposal of salt water, or brine produced in association with

 

oil or gas operations or other oil field wastes, or wells for the

 

development of reservoirs for the storage of liquid or gaseous

hydrocarbons, except as authorized by a permit to drill and operate

 

the well issued by the supervisor of wells pursuant to part 13 and

 

unless the person files with the supervisor a bond as provided in

 

section 61506. The permittee shall post the permit in a conspicuous

 

place at the location of the well as provided in the rules and

 

requirements or orders issued or promulgated by the supervisor. An

 

application for a permit shall must be accompanied by a fee of

 

$300.00. A permit to drill and operate shall must not be issued to

 

an owner or his or her authorized representative who does not

 

comply with the rules and requirements or orders issued or

 

promulgated by the supervisor. A permit shall must not be issued to

 

an owner or his or her authorized representative who has not

 

complied with or is in violation of this part or any of the rules,

 

requirements, or orders issued or promulgated by the supervisor or

 

the department.

 

     (2) The supervisor shall forward all fees received under this

 

section to the state treasurer for deposit in the fund.

 

     (3) The supervisor shall make available to any person, upon

 

request, not less often than weekly, the following information

 

pertaining to applications for permits to drill and operate:

 

     (a) Name and address of the applicant.

 

     (b) Location of proposed well.

 

     (c) Well name and number.

 

     (d) Proposed depth of the well.

 

     (e) Proposed formation.

 

     (f) Surface owner.

 

     (g) Whether hydrogen sulfide gas is expected.

     (h) Whether the well will be used for hydraulic fracturing.

 

     (4) The supervisor shall provide the information under

 

subsection (3) to the county in which an oil or gas well is

 

proposed to be located and to the city, village, or township in

 

which the oil or gas well is proposed to be located. if that city,

 

village, or township has a population of 70,000 or more. A city,

 

village, township, or county in which an oil or gas well is

 

proposed to be located may provide written comments and

 

recommendations to the supervisor pertaining to applications for

 

permits to drill and operate. The supervisor shall consider all

 

such comments and recommendations in reviewing the application.

 

     (5) In addition to the requirements of subsection (4), if the

 

department receives a request from the city, village, or township

 

in which the oil or gas well is or would be located or from any

 

person who is or may be adversely impacted by the hydraulic

 

fracturing operation, including any person whose water supply may

 

be adversely impacted by the hydraulic fracturing operation, the

 

department shall hold a public hearing in the city, village, or

 

township in which the oil or gas well is located before issuing a

 

permit or authorizing the use of an oil or gas well for hydraulic

 

fracturing. At the public hearing, interested parties may provide

 

written comments and recommendations to the supervisor pertaining

 

to the application. The supervisor shall consider all such comments

 

and recommendations in reviewing the application.

 

     (6) As used in this section, "hydraulic fracturing" means

 

injecting foam or fluid into a well under pressure to create

 

fractures in a formation and thereby enhance production of

hydrocarbons.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.