Amend CSHB 2201 by adding a new SECTION, numbered 
appropriately, to read as follows:
	SECTION___.  Subchapter C, Chapter 27, Water Code, is amended 
by adding Section 27.039 to read as follows:
	Sec. 27.039.  RESERVOIR CHARACTERIZATION, REMEDIATION, AND 
MONITORING FOR CARBON DIOXIDE SEQUESTRATION PERMIT.  (a) The 
railroad commission by rule shall establish procedures, 
techniques, and standards for reservoir characterization, 
monitoring, and remediation for carbon dioxide sequestration.
	(b)  The railroad commission shall require four-dimensional 
reservoir characterization of a proposed reservoir for carbon 
dioxide sequestration before the commission issues a permit for 
injecting carbon dioxide. The railroad commission may issue the 
permit only if the reservoir characterization demonstrates that the 
reservoir proposed for the sequestration is capable of retaining 90 
percent of the carbon dioxide to be injected under the permit for a 
period of at least 100 years.
	(c)  The railroad commission by rule shall establish a 
program for detecting and monitoring surface leakage of injected 
carbon dioxide from a permitted sequestration project by measuring 
carbon dioxide pressure and concentration in the reservoir.
	(d)  The railroad commission by rule shall require a 
permitted carbon dioxide sequestration project to sequester an 
additional amount of carbon dioxide that is equal to the amount of 
carbon dioxide that leaks from the project. The additional 
sequestration must be completed before the first anniversary of the 
detection of the leak.