LEGISLATIVE BUDGET BOARD
Austin, Texas

FISCAL NOTE, 87TH LEGISLATIVE REGULAR SESSION


May 25, 2021

TO:	Honorable Dan Patrick, Lieutenant Governor, Senate

FROM:	Jerry McGinty, Director, Legislative Budget Board

IN RE:	SB367 by Miles (Relating to the requirements for an application for a permit to drill an oil or gas well at a site adjacent to a well blowout site.), As Passed 2nd House

No significant fiscal implication to the State is anticipated.

The bill would require an applicant of a oil and gas well drilling permit to disclose if the site is adjacent to a well blowout site.

The bill would also allow an operator or lessee, to produce oil or gas from an oil and gas well, regardless is it is adjacent to a well blowout site, if it traverses multiple tracts to prevent waste and promote conservation.

Based on information provided by the Railroad Commission, it is assumed that duties and responsibilities associated with implementing the provisions of the bill could be accomplished utilizing existing resources.

Local Government Impact

No significant fiscal implication to units of local government is anticipated.