By: Bivins S.B. No. 1713
A BILL TO BE ENTITLED
AN ACT
1-1 relating to the Texas Experimental Research and Recovery Activity
1-2 (TERRA) of the Railroad Commission of Texas.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 93.004, Natural Resources Code, is
1-5 amended to read as follows:
1-6 Sec. 93.004. TERRA Fund; Certification. (a) The TERRA fund
1-7 is created in the state treasury.
1-8 (b) The commission shall send to the comptroller, or notify
1-9 the comptroller of the amounts of money to be transferred, for
1-10 credit to the TERRA fund:
1-11 (1) license fees collected under Section 93.033;
1-12 (2) money from the oil-field cleanup fund as provided
1-13 by Section 93.013(c);
1-14 (3) payments received under Section 93.013(a)(8);
1-15 (4) payments received under Sections 93.036 and
1-16 93.052;
1-17 (5) [on January 1 of each year, an amount from the
1-18 oil-field cleanup fund equal to the total money received by that
1-19 fund from the sale of salvaged equipment under Sections 89.085(d)
1-20 and 91.115(f), less the total money paid out to claimants under
1-21 Section 89.086, during the previous fiscal year;]
1-22 [(6)] private contributions or grants; and
1-23 (6) [(7)] any other money as provided by this chapter.
2-1 (c) On or after January 1 of each year, the commission may
2-2 notify the comptroller to transfer, for the credit of the TERRA
2-3 fund, an amount from the oil-field cleanup fund equal to the total
2-4 money received by that fund from the sale of salvaged equipment
2-5 under Sections 89.085(d) and 91.115(f), less the total money paid
2-6 to claimants under Section 89.086 during the previous fiscal year.
2-7 (d) Interest earned on the TERRA fund shall be credited to
2-8 the fund.
2-9 (e) [(d)] Money in the TERRA fund may be used by the
2-10 commission only for:
2-11 (1) the purposes of TERRA, including administrative
2-12 costs; and
2-13 (2) administrative and program costs of the commission
2-14 relating to its oil and gas activities, including those under
2-15 Subchapter M, Chapter 91.
2-16 (f) If the TERRA fund balance is less than twice the
2-17 estimated plugging costs of all unplugged TERRA wellbores, [except
2-18 that] the commission may not use or pledge [not] more than 75
2-19 percent of the annual interest earned on the money in the fund for
2-20 the [these] purposes described by Subsection (e). If the TERRA
2-21 fund balance is less than the total estimated plugging costs of all
2-22 TERRA wellbores, the commission may use or pledge TERRA funds only
2-23 for the purpose described in Subsection (e)(1).
2-24 [(e) Money in the TERRA fund may not be used or pledged for
2-25 a purpose described by Subsection (d)(2) unless the unobligated
3-1 money in the TERRA fund exceeds the total estimated plugging cost
3-2 of all unplugged TERRA wellbores.]
3-3 SECTION 2. Section 93.011, Natural Resources Code, is
3-4 amended by adding Subsection (i) to read as follows:
3-5 (i) A well scheduled for plugging with state money may be
3-6 placed in TERRA without a TERRA agreement, but the well may not be
3-7 licensed under Subchapter C unless the owners of the required
3-8 mineral interest have executed a TERRA agreement under this
3-9 section.
3-10 SECTION 3. Section 93.013, Natural Resources Code, is
3-11 amended by adding Subsection (g) to read as follows:
3-12 (g) When the commission places a wellbore in TERRA, the
3-13 commission may dispose of wellsite equipment in the manner provided
3-14 in Section 89.085 without entering into a contract to plug the
3-15 well.
3-16 SECTION 4. SECTION 93.042, Natural Resources Code, is
3-17 amended to read as follows:
3-18 Sec. 93.042. PREVENTION OF POLLUTION. (a) This chapter
3-19 does not limit the commission's authority under this title to
3-20 prevent pollution, plug wells, or control or clean up oil and gas
3-21 wastes or other substances or material.
3-22 (b) The commission, while a well is in the TERRA program,
3-23 shall assume all well plugging duties for the well and, with the
3-24 exception of the compliance requirements of a valid TERRA license
3-25 holder, all pollution prevention and control responsibilities. The
4-1 commission shall conduct annual inspections and appropriate tests
4-2 to ensure the continuing integrity of the wellbore. The commission
4-3 shall keep and retain the records necessary to prove compliance
4-4 with this requirement.
4-5 SECTION 5. This Act takes effect September 1, 1997.
4-6 SECTION 6. The importance of this legislation and the
4-7 crowded condition of the calendars in both houses create an
4-8 emergency and an imperative public necessity that the
4-9 constitutional rule requiring bills to be read on three several
4-10 days in each house be suspended, and this rule is hereby suspended.