Bill Text: PA SB601 | 2011-2012 | Regular Session | Introduced

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Bill Title: Further providing for definitions, for well permits, for well location restrictions, for protection of fresh groundwater, casing requirements and for protection of water supplies.

Spectrum: Moderate Partisan Bill (Republican 13-4)

Status: (Introduced - Dead) 2011-03-07 - Referred to ENVIRONMENTAL RESOURCES AND ENERGY [SB601 Detail]

Download: Pennsylvania-2011-SB601-Introduced.html

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PRINTER'S NO. 759
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 601 Session of2011
INTRODUCED BY YAW, M. WHITE, SCARNATI, PILEGGI, COSTA, GREENLEAF, ERICKSON, BROWNE, D. WHITE, FOLMER, WARD, FONTANA, GORDNER AND PIPPY, MARCH 7, 2011
REFERRED TO ENVIRONMENTAL RESOURCES AND ENERGY, MARCH 7, 2011
AN ACT
Amending the act of December 19, 1984 (P.L.1140, No.223),
entitled "An act relating to the development of oil and gas
and coal; imposing duties and powers on the Department of
Environmental Resources; imposing notification requirements
to protect landowners; and providing for definitions, for
various requirements to regulate the drilling and operation
of oil and gas wells, for gas storage reservoirs, for various
reporting requirements, including certain requirements
concerning the operation of coal mines, for well permits, for
well registration, for distance requirements, for well casing
requirements, for safety device requirements, for storage
reservoir obligations, for well bonding requirements, for a
Well Plugging Restricted Revenue Account to enforce oil and
gas well plugging requirements, for the creation of an Oil
and Gas Technical Advisory Board, for oil and gas well
inspections, for enforcement and for penalties," further
providing for definitions, for well permits, for well
location restrictions, for protection of fresh groundwater,
casing requirements and for protection of water supplies.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 103 of the act of December 19, 1984
(P.L.1140, No.223), known as the Oil and Gas Act, is amended by
adding a definition to read:
Section 103. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
* * *
"Unconventional well." A bore hole drilled or being drilled
for the purpose of or to be used for producing oil or gas from a
geological formation existing below the base of the Elk
Sandstone or its geologic equivalent stratigraphic interval
where oil or gas generally cannot be produced at economic flow
rates or in economic volumes except by wells stimulated by
hydraulic fracture treatments, a horizontal well bore or by
using multilateral well bores or other techniques to expose more
of the formation of the well bore.
* * *
Section 2. Sections 201(b) and (d) and 205 of the act are
amended to read:
Section 201. Well permits.
* * *
(b) The permit application shall be accompanied by a plat
prepared by a competent engineer or a competent surveyor, on
forms to be furnished by the department, showing the political
subdivision and county in which the tract of land upon which the
well to be drilled is located, the name of the surface landowner
of record and lessor, the name of all surface landowners or
water purveyors whose water supplies are within [1,000] 1,500
feet of the proposed well location or, in the case of an
unconventional well, within 2,500 feet of the proposed well
location, the name of the owner of record or operator of all
known underlying workable coal seams, if any, the acreage in the
tract to be drilled, the proposed location of the well
determined by survey, the courses and distances of such location
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from two or more permanent identifiable points or landmarks on
said tract boundary corners, the proposed angle and direction of
such well, if the well is to be deviated substantially from a
vertical course, the number or other identification to be given
the well, the workable coal seams, if any, underlying the tract
of land upon which the well is to be drilled or altered, which
are to be cased off in accordance with section 207, and such
information needed by the department to administer this act. The
applicant shall forward, by certified mail, a copy of said plat
to the following:
(1) The surface landowner[, all].
(2) The coal owner if coal rights have been severed from
the surface regardless of whether the coal seam is workable.
(3) All surface landowners or water purveyors whose
water supplies are within [1,000] 1,500 feet of the proposed
well location[, the] or, in the case of an unconventional
well, within 2,500 feet of the proposed well location.
(4) The owner and lessee, if any, of [such] any coal
seams, and every coal operator required to be identified on
the well permit application and shall submit proof of such
notification with the well permit application.
(5) The municipality where the proposed unconventional
well is located and a municipality within 2,500 feet of the
proposed unconventional well location.
(b.1) With respect to surface owners, notification shall be
accomplished under this section by sending notice to the persons
to whom the tax notices for said surface property are sent, as
indicated in the assessment books in the county in which the
property is located. With respect to surface landowners or water
purveyors whose water supplies are within [1,000] 1,500 feet of
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the proposed well location or, in the case of an unconventional
well, within 2,500 feet of the proposed well location,
notification shall be made on forms and in a manner prescribed
by the department sufficient to identify, for such persons, the
rights afforded them under section 208 and the advisability of
taking their own predrilling or prealteration survey.
(b.2) If the applicant submits to the department written
approval of the proposed well location by the surface landowner
and the coal operator, lessee or owner, if any, of the coal
underlying the proposed well location and no objections are
raised by the department within 15 days of filing or if no such
approval has been submitted and no objections are made to such
proposed well location within 15 days from receipt of such
notice by the surface landowner and the coal operator, lessee or
owner, if any, or by the department, the same shall be filed and
become a permanent record of such location, subject to
inspection at any time by any interested person.
* * *
(d) Every application for a well permit shall be accompanied
by a permit fee, established by regulation of the [department]
Environmental Quality Board, which bears a reasonable
relationship to the cost of administering this act: Provided,
however, That the permit fee shall be $100 for two years
immediately following the effective date of this act.
* * *
Section 205. Well location restrictions.
(a) Wells may not be drilled within 200 feet or, in the case
of an unconventional well, within 500 feet, measured
horizontally from any existing building or existing water well
without the written consent of the owner thereof. Where the
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distance restriction would deprive the owner of the oil and gas
rights of the right to produce or share in the oil or gas
underlying said surface tract, the well operator may be granted
a variance from said distance restriction upon submission of a
plan which shall identify the additional measures, facilities or
practices to be employed during well site construction, drilling
and operations. The variance, if granted, shall include such
additional terms and conditions as the department shall require
to insure the safety and protection of affected persons and
property. The provisions may include insurance, bonding and
indemnification, as well as technical requirements.
(b) No well site may be prepared or well drilled within 100
feet measured horizontally from any stream, spring or body of
water as identified on the most current 7 1/2 minute topographic
quadrangle map of the United States Geological Survey or within
100 feet of any wetlands greater than one acre in size. The
department may waive such distance restrictions upon submission
of a plan which shall identify the additional measures,
facilities or practices to be employed during well site
construction, drilling and operations. Such waiver, if granted,
shall impose such permit conditions as are necessary to protect
the waters of the Commonwealth. The department may establish
additional protective measures for the storage of hazardous
chemicals or material intended to be used on the well drilling
site within 500 feet of any such stream, spring, body of water
or wetland.
(c) The department shall, on making a determination on a
well permit, consider the impact of the proposed well on public
resources to include, but not be limited to, the following:
(1) Publicly owned parks, forests, gamelands and
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wildlife areas.
(2) National or State scenic rivers.
(3) National natural landmarks.
(4) Habitats of rare and endangered flora and fauna and
other critical communities.
(5) Historical and archaeological sites listed on the
Federal or State list of historic places.
(6) Sources used for public drinking water supplies.
(7) Whether the proposed well location is within a
floodplain.
Section 3. Section 208(a), (b), (c) and (d) of the act are
amended and the section is amended by adding subsections to
read:
Section 208. Protection of water supplies.
(a) Any well operator who affects a public or private water
supply by pollution or diminution shall restore or replace the
affected supply with an alternate source of water adequate in
quantity or quality for the purposes served by the supply. The
department shall ensure that a restored or replaced water supply
meets applicable water quality standards consistent with the
Safe Drinking Water Act (Public Law 93-523, 21 U.S.C. § 349 and
42 U.S.C. §§ 201 and 300f et seq.), the act of May 1, 1984
(P.L.206, No.43), known as the Pennsylvania Safe Drinking Water
Act, and predrilling or alteration water quantity standards as
determined by the department. The Environmental Quality Board
shall promulgate regulations necessary to meet the requirements
of this subsection.
(b) Any landowner or water purveyor suffering pollution or
diminution of a water supply as a result of the drilling,
alteration or operation of an oil or gas well may so notify the
20110SB0601PN0759 - 6 -
department and request that an investigation be conducted. A
well operator who receives notice from a landowner, water
purveyor or affected person that a water supply has been
affected by pollution or diminution shall report receipt of the
notice to the department as soon as possible, but no later than
ten calendar days after receiving the notice. Within ten days of
such notification, the department shall investigate any such
claim and shall, within 45 days following notification, make a
determination. If the department finds that the pollution or
diminution was caused by the drilling, alteration or operation
activities or if it presumes the well operator responsible for
pollution pursuant to subsection (c), then it shall issue such
orders to the well operator as are necessary to assure
compliance with subsection (a). Such orders may include orders
requiring the temporary replacement of a water supply where it
is determined that the pollution or diminution may be of limited
duration.
(c) Unless rebutted by one of the five defenses established
in subsection (d), it shall be presumed that a well operator is
responsible for the pollution of a water supply that is within
[1,000] 1,500 feet of the oil or gas well, where the pollution
occurred within [six] 12 months after the completion of drilling
or alteration of such well.
(c.1) Unless rebutted by a defense established under
subsection (d), it shall be presumed that an unconventional well
operator is responsible for the pollution of a water supply that
is within 2,500 feet of the unconventional well where the
pollution occurred within 12 months after the completion of
drilling or alteration of the well.
(d) In order to rebut [the] a presumption of liability
20110SB0601PN0759 - 7 -
established in subsection (c) or (c.1), the well operator must
affirmatively prove one of the following five defenses:
(1) The pollution existed prior to the drilling or
alteration activity as determined by a predrilling or
prealteration survey.
(2) The landowner or water purveyor refused to allow the
operator access to conduct a predrilling or prealteration
survey.
(3) The water supply is not within [1,000] 1,500 feet
or, in the case of a conventional well, within 2,500 feet of
the well.
(4) The pollution occurred more than six months after
completion of drilling or alteration activities.
(5) The pollution occurred as the result of some cause
other than the drilling or alteration activity.
* * *
(g) The department shall ensure that a facility which seeks
a National Pollutant Discharge Elimination System permit for the
purposes of treating and discharging wastewater originating from
oil and gas activities into waters of this Commonwealth is
operated by a competent and qualified individual.
Section 4. This act shall take effect in 60 days.
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