1-1 By: Haywood S.B. No. 1357 1-2 (In the Senate - Filed March 10, 1995; March 20, 1995, read 1-3 first time and referred to Committee on Natural Resources; 1-4 April 7, 1995, reported adversely, with favorable Committee 1-5 Substitute by the following vote: Yeas 10, Nays 0; April 7, 1995, 1-6 sent to printer.) 1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1357 By: Haywood 1-8 A BILL TO BE ENTITLED 1-9 AN ACT 1-10 relating to surface commingling of production of oil or gas or oil 1-11 and gas. 1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-13 SECTION 1. Section 85.046, Natural Resources Code, is 1-14 amended by adding Subsection (c) to read as follows: 1-15 (c) The commission, after notice and opportunity for 1-16 hearing, may permit surface commingling of production of oil or gas 1-17 or oil and gas from two or more tracts of land producing from the 1-18 same reservoir or from one or more tracts of land producing from 1-19 different reservoirs if the commission finds that the commingling 1-20 will prevent waste, promote conservation, or protect correlative 1-21 rights. The commission may permit the commingling regardless of 1-22 whether the tracts or horizons have the same working or royalty 1-23 interest ownership. The amount of production attributable to each 1-24 tract or horizon shall be determined in a manner consistent with 1-25 this title. The commission has broad discretion in administering 1-26 this subsection and shall adopt and enforce rules or orders as 1-27 necessary to administer this subsection. 1-28 SECTION 2. This Act takes effect September 1, 1995. 1-29 SECTION 3. The importance of this legislation and the 1-30 crowded condition of the calendars in both houses create an 1-31 emergency and an imperative public necessity that the 1-32 constitutional rule requiring bills to be read on three several 1-33 days in each house be suspended, and this rule is hereby suspended. 1-34 * * * * *