SRC-SLL H.B. 1999 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 1999
By: Merritt (Bivins)
Natural Resources
4-23-97
Engrossed


DIGEST 

Currently, the Railroad Commission of Texas (commission), under the Texas
Experimental Resource and Recovery Activity (TERRA) program, may place
mechanically sound non-polluting wells into TERRA, where the wells will
remain until placed back into active service or plugged by the commission.
The commission has determined that abandoned equipment at TERRA well-sites
should be removed.  The equipment could be stolen, cause injury, or be a
source of pollution of the surface.  TERRA wells should also have clean
well bores; equipment such as rods, tubing, and pumps should not be
allowed to remain in the well where they deteriorate over time, making it
more difficult and expensive to return the well to active service or to
plug the well.  Under current law, the commission has no authority to
dispose of this well-site equipment.  This bill will authorize the
commission to dispose of well-site equipment from a wellbore transferred
to TERRA. 

PURPOSE

As proposed, H.B. 1999 authorizes the Texas Railroad Commission to dispose
of well-site equipment from a wellbore transferred to the Texas
Experimental Resource and Recovery Activity program. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 93.013, Natural Resources Code, by adding
Subsection (g), to authorize the Railroad Commission of Texas to dispose
of well-site equipment from a wellbore transferred to the Texas
Experimental Resource and Recovery Activity (TERRA) program in a
commercially reasonable manner as provided by Section 89.085(a)(2) without
entering into a contract to plug the well. 

SECTION 2. Effective date: September 1, 1997.

SECTION 3. Emergency clause.