Bill Summary for S 76 (2013-2014)

Summary date: 

Feb 26 2013

Bill Information:

View NCGA Bill Details2013-2014 Session
Senate Bill 76 (Public) Filed Monday, February 11, 2013
A BILL TO BE ENTITLED AN ACT TO (1) PROVIDE FOR AUTOMATIC REVIEW OF MINING AND ENERGY COMMISSION RULES BY THE GENERAL ASSEMBLY; (2) EXEMPT THE MINING AND ENERGY COMMISSION, THE ENVIRONMENTAL MANAGEMENT COMMISSION, AND THE COMMISSION FOR PUBLIC HEALTH FROM PREPARING FISCAL NOTES FOR RULES THAT PERTAIN TO THE MANAGEMENT OF OIL AND GAS EXPLORATION AND DEVELOPMENT; (3) DIRECT THE MINING AND ENERGY COMMISSION TO STUDY DEVELOPMENT OF A COMPREHENSIVE ENVIRONMENTAL PERMIT FOR OIL AND GAS EXPLORATION AND DEVELOPMENT ACTIVITIES USING HORIZONTAL DRILLING AND HYDRAULIC FRACTURING TREATMENTS; (4) REQUIRE THE MINING AND ENERGY COMMISSION AND THE DEPARTMENT OF REVENUE TO STUDY ESTABLISHMENT OF A TAX FOR THE SEVERANCE OF ENERGY MINERALS FROM THE SOIL OR WATER OF THE STATE IN AN AMOUNT SUFFICIENT TO COVER ALL COSTS ASSOCIATED WITH ADMINISTRATION OF A MODERN REGULATORY PROGRAM FOR THE MANAGEMENT OF OIL AND GAS EXPLORATION AND DEVELOPMENT ACTIVITIES USING THE PROCESSES OF HORIZONTAL DRILLING AND HYDRAULIC FRACTURING TREATMENTS FOR THAT PURPOSE, INCLUDING CREATION OF AN EMERGENCY FUND TO PROTECT AND PRESERVE THE STATE'S NATURAL RESOURCES, CULTURAL HERITAGE, AND QUALITY OF LIFE; (5) DIRECT THE MINING AND ENERGY COMMISSION TO STUDY MATTERS RELATED TO REGISTRATION OF LANDMEN; (6) MODIFY APPOINTMENTS TO THE MINING AND ENERGY COMMISSION; (7) MODIFY PROVISIONS IN THE OIL AND GAS CONSERVATION ACT CONCERNING THE MINING AND ENERGY COMMISSION'S AUTHORITY TO SET "ALLOWABLES"; (8) CLARIFY BONDING REQUIREMENTS ASSOCIATED WITH OIL AND GAS ACTIVITIES; (9) ASSIGN FUTURE REVENUE FROM ENERGY EXPLORATION, DEVELOPMENT, AND PRODUCTION OF ENERGY RESOURCES IN ORDER TO PROTECT AND PRESERVE THE STATE'S NATURAL RESOURCES, CULTURAL HERITAGE, AND QUALITY OF LIFE; (10) ENCOURAGE THE GOVERNOR TO DEVELOP THE REGIONAL INTERSTATE OFFSHORE ENERGY POLICY COMPACT; (11) AMEND THE ENERGY POLICY ACT OF 1975 AND THE ENERGY POLICY COUNCIL; AND (12) DIRECT THE MEDICAL CARE COMMISSION TO ADOPT RULES AUTHORIZING FACILITIES LICENSED BY THE DEPARTMENT OF HEALTH AND HUMAN SERVICES TO USE COMPRESSED NATURAL GAS AS AN EMERGENCY FUEL.
Intro. by Newton, Rucho, Brock.

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Bill summary

Senate amends the third edition as follows: Amendment #1 deletes language in Section 9.(v) of the bill permitting the Revisor of Statutes to make any "conforming changes necessitated by this section."

Amendment #2 adds Sections 3.(c)-(e) to clarify that the bond furnished by persons registering to drill for oil or gas must run to the State of North Carolina, to require the Environmental Management Commission to adopt rules establishing criteria for setting the amount of bond required pursuant to GS 113-421(a3), and to set forth a procedure for establishing the bond running to a surface owner that is required under GS 113-421. Makes conforming change to bill title.

Amendment #4 deletes Part VI of the bill, which appropriates $22,900 from the Mineral Interest Fund to the Department of Environment and Natural Resources for operating the Mining and Energy Commission and its implementation of the act. Makes conforming change to bill title.

Amendment #5 changes the composition of the Mining and Energy Commission by changing two required appointments of the Governor. Instead of a member of the Environmental Management Commission there must be an appointee who has expertise in the principles of water and air resources management. Instead of a person from the Commission for Public Health there must be an appointee who has expertise in the principles of waste management. Rewrites Section 2.(b) of the bill to end the terms of members presently serving in these positions upon the effective date of the act and to require the replacement members be appointed within 30 days after the bill becomes law.

 

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