Bill Summary for S 786 (2013-2014)

Summary date: 

May 29 2014

Bill Information:

View NCGA Bill Details2013-2014 Session
Senate Bill 786 (Public) Filed Thursday, May 15, 2014
A BILL TO BE ENTITLED AN ACT TO (1) EXTEND THE DEADLINE FOR DEVELOPMENT OF A MODERN REGULATORY PROGRAM FOR THE MANAGEMENT OF OIL AND GAS EXPLORATION, DEVELOPMENT, AND PRODUCTION IN THE STATE AND THE USE OF HORIZONTAL DRILLING AND HYDRAULIC FRACTURING TREATMENTS FOR THAT PURPOSE; (2) ENACT OR MODIFY CERTAIN EXEMPTIONS FROM REQUIREMENTS OF THE ADMINISTRATIVE PROCEDURE ACT APPLICABLE TO RULES FOR THE MANAGEMENT OF OIL AND GAS EXPLORATION, DEVELOPMENT, AND PRODUCTION IN THE STATE AND THE USE OF HORIZONTAL DRILLING AND HYDRAULIC FRACTURING TREATMENTS FOR THAT PURPOSE; (3) AUTHORIZE ISSUANCE OF PERMITS FOR OIL AND GAS EXPLORATION, DEVELOPMENT, AND PRODUCTION ACTIVITIES SIXTY DAYS AFTER APPLICABLE RULES BECOME EFFECTIVE; (4) CREATE THE NORTH CAROLINA OIL AND GAS COMMISSION AND RECONSTITUTE THE NORTH CAROLINA MINING COMMISSION; (5) AMEND MISCELLANEOUS STATUTES GOVERNING OIL AND GAS EXPLORATION, DEVELOPMENT, AND PRODUCTION ACTIVITIES; (6) ESTABLISH A SEVERANCE TAX APPLICABLE TO OIL AND GAS EXPLORATION, DEVELOPMENT, AND PRODUCTION ACTIVITIES; (7) AMEND MISCELLANEOUS STATUTES UNRELATED TO OIL AND GAS EXPLORATION, DEVELOPMENT, AND PRODUCTION ACTIVITIES; AND (8) DIRECT STUDIES ON VARIOUS ISSUES, AS RECOMMENDED BY THE JOINT LEGISLATIVE COMMISSION ON ENERGY POLICY.
Intro. by Rucho, Newton, Brock.

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Bill summary

House amendments make the following changes to the 4th edition:

Amendment #9

Amends the membership of the proposed NC Mining Commission providing that the State Geologist, while a member of the Commission, will be an ex officio and non-voting member.

Also provides that the Governor will appoint two members to the NC Mining Commission who are representatives of the mining industry (previously, only appointed one member to the Mining Commission).

Amendment #10

Enacts new GS 113-391, concerning the jurisdiction and authority of the Mining and Energy Commission (MEC) expanding their authority to include the development of rules addressing requirements for: permit applications; permit modifications; permit conditions; denial of applications for permits; permit transfers from one person to another; and permit durations, suspensions, revocations, and release.

Amends the standard for penalties for unlawful disclosure, requiring that a person must have knowingly and willfully disclosed the confidential information to an unauthorized person to be guilty of a Class 1 misdemeanor (previous standard was disclosure knowing it to be confidential).  Deletes requirement that  a person must have knowingly or negligently disclosed the condifential information to be subject to civil action for damages or injunction.

Amends GS 113-395, concerning permits, fees, and notice for oil and gas activities, making technical and conforming changes.

Amendment #11

Amends Section 2(d) concerning GS 150B-19.3, providing that the provisions therein also do not apply to rules adopted by the Sedimentation Control Commission Mining in addition to the Energy Commission (MEC), the Environmental Management Commission, or the Commission for Public Health when those rules are for the management of oil and gas exploration, development, and production.

Amendment #20

Makes technical change to introductory language for the members and selection section of the NC Mining Commission provisions, GS 143B-291(a1).

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