HAPL Articles RSS Feed

Landman Licensing Amendment Proposal - Defeated

HAPL Webmaster - noemail@hapl.org — Thu, 28 Apr 2011 19:00:00 GMT

Click Here to read the proposal by Rep. Veasey to add Landman Licensing to the Texas Railroad Commission Sunset Bill.

Apr 28, 2011 2:00 PM

Horizontal Wellbore NPRI Proposal

HAPL Webmaster - noemail@hapl.org — Fri, 01 Apr 2011 15:00:00 GMT

Click Here to read a proposed bill addressing NPRI in horizontal wellbores.

Apr 1, 2011 10:00 AM

Various Proposed Bills - Texas Surface Owner Protection Act?

HAPL Webmaster - noemail@hapl.org — Fri, 01 Apr 2011 15:00:00 GMT

There have been several bills of interest to oil and gas explorers and producers proposed in the Texas Legislator. Click this link to see a summary of a few of these bills.

Apr 1, 2011 10:00 AM

HB 91 - Relating to ETJ for certain municipalities

HAPL Webmaster - noemail@hapl.org — Wed, 19 Jan 2011 22:30:00 GMT

The bill below is specifically aimed at the Barnett Shale, intending to let municipalities exert greater control over drilling permits.

HB 91

Cook

Relating to the extent of extraterritorial jurisdiction for certain municipalities.

Remarks:

Expands the extraterritorial of municipalities with 25,000 to 49,999 inhabitants from two to three miles.

Jan 19, 2011 4:30 PM

SB 104 - Restrictions on the release of gas and vapors

HAPL Webmaster - noemail@hapl.org — Wed, 19 Jan 2011 22:30:00 GMT

Below is legislation by Senator Davis that (in addition to less bothersome aspects) would allow cities to implement air monitoring ordinances for gas wells. It is aimed at the Barnett Shale.

SB 104

Davis, Wendy

Relating to restrictions on the release into the air of natural gas and associated vapors from a gas well.

Remarks:

Green Completion style legislation. Bracketed to apply to Barnett Shale.

Requires an operator to “employ appropriate processes to minimize the release into the air of gas and associated vapors from the well.” Does not define “appropriate processes” nor “minimize”.

Requires an operator of a gas well to:

(1) Deliver all salable gas to a sales line as soon as the pressure at the wellhead is sufficient or

(2) Shut in the well and conserve the gas.

Allows the RRC to authorize the release of gas from a well with access to a sales line if the release is necessary and the amount of gas vented or flared is charged to the operator’s allowable production. Lists non-exclusive examples of what constitutes a necessity. Requires the RRC to adopt implementation rules.

Allows a municipality in which a gas well is located to monitor compliance and to adopt its own implementation ordinance.

Jan 19, 2011 4:30 PM

Railroad Commission Sunset Analysis

HAPL Webmaster - noemail@hapl.org — Wed, 19 Jan 2011 22:00:00 GMT

As I mentioned in a previous email, below are the decisions made by the Texas Sunset Advisory Commission relating to the Railroad Commission of Texas; these decisions will be drafted into legislation to be considered by the 82nd Texas Legislature.

1.1 Establish the Texas Oil and Gas Commission, governed by a single elected Commissioner, and continue the agency for 12 years.

The current 3-member elected Commission will be abolished September 1, 2011 and the agency would be renamed the Texas Oil and Gas Commission governed by a single Commissioner appointed by the Governor to serve until the next general election in November 2012.

The first single elected Commissioner of the Texas Oil and Gas Commission will serve a two-year term until November 2014, the next general election for statewide officials (i.e. Governor, Lt. Governor, Comptroller, etc.).

The second single elected Commissioner and subsequent commissioners will serve four-year terms like other statewide elected officials.

2.1 Require the Commission’s Oil and Gas program to be self-supporting, and authorize the Commission to levy surcharges on the program’s permits, licenses, certificates, or reports to achieve this purpose.

2.2 Add language in the General Appropriations Act to further ensure that the Commission collects fee amounts to offset the direct and indirect costs of administering its Oil and Gas program, including benefits

2.3 Reconstitute the Oil and Gas Regulation and Cleanup Fund, continued as a dedicated fund in General Revenue established to pay for the entire Oil and Gas program.

2.4 Contingent on the transition to the dedicated Oil and Gas Fund, redirect fines previously deposited in the Oil Field Cleanup Fund to General Revenue.

2.5 Abolish the Oil Field Cleanup Fund Advisory Committee and require in statute that the State appropriations process include, as it does now, two key output measures related to oil field cleanup:

• the number of orphaned wells plugged with the use of state-managed funds; and

• the number of abandoned sites investigated, assessed, or cleaned up with State funds.

Also, modify the Commission’s current quarterly statutory reporting requirements related to cleanup and remediation to require that the Commission report to the Legislative Budget Board its performance in meeting projected targets for the two key output measures noted above, with explanation of any variance of more than 5 percent. Further, require that these reports include information related to total funds deposited to the new Oil and Gas Regulation and Cleanup Fund, as well as expenditures from the fund related to cleanup and remediation.

Finally, modify the Commission’s current annual statutory reporting requirement related to cleanup and remediation to include its performance in meeting projected targets for the two key output measures noted above, including explanation of any variance of more than 5 percent. As is currently required, the report would be made available to the Legislature and the public.

3.1 Require the Commission to develop, in rule, an enforcement policy to guide staff in evaluating and ranking oil- and natural gas-related violations.

3.2 Require the Commission to formally adopt penalty guidelines in rule.

3.3 Transfer the Commission’s enforcement hearings to the State Office of Administrative Hearings.

3.4 Direct the Commission to revamp its tracking of violations and related enforcement actions tied to oil and natural gas production, and to develop a clear and consistent method for analyzing violation data and trends.

3.5 Require the Commission to publish only confirmed, investigated violations that have gone through the enforcement process.

4.1 Eliminate the Commission’s statutory authority to promote the use of propane.

5.1 Authorize the Commission to enforce damage prevention requirements for interstate pipelines.

6.1 The Railroad Commission should develop and implement a succession plan to prepare for impending retirements and workforce changes.

New Item 56. As a management action, direct the agency to revise its notice of hearing provided to parties affected by forced pooling, providing an easily understood description of forced pooling and the hearing process. Also, authorize, by statute, a party affected by forced pooling to request a hearing on the matter in the county where the proposed well will be drilled. Finally, authorize the Commission, by statute, to develop a fee schedule, by rule, for increased charges associated with re-filing permits previously withdrawn.

Jan 19, 2011 4:00 PM

HB 279 - Eminent Domain

HAPL Webmaster - noemail@hapl.org — Wed, 19 Jan 2011 21:15:00 GMT

The Governor has declared Eminent Domain as an emergency issue, meaning that it can be considered in the opening weeks of the legislative session (while other legislation must wait). Strictly FYI, here is a bill analysis of the bill as introduced. There is immense pressure to pass this bill exactly as written. The vast majority of the bill is exactly the same as a bill from last session, which died only because it ran out of time. Landowner groups and the oil and gas association have already declared their support of the bill. Please let me know if you have any questions or comments.

HB 279

Geren

Relating to the use of eminent domain authority.

Companions:

SB 18	Estes	(Identical)
	1-10-11 S Filed
SB 180	Estes	(Identical)
	11- 8-10 S Filed

Remarks:

I. LIMITATION ON EMINENT DOMAIN FOR PRIVATE PARTIES OR ECONOMIC DEVELOPMENT PURPOSES

Prohibits a governmental or private entity from taking private property through the use of eminent domain if the taking is not for public use, among other criteria.

Provides that this provision does not affect the authority of a common carrier pipeline.

II. ROADS ACROSS OIL & GAS PIPELINES

Authorizes a property owner whose property is acquired through the use of eminent domain under Chapter 21, Property Code, for the use of a pipeline to be used for oil or gas exploration or production activities and for the purpose of creating an easement through that owner's property to construct streets or roads, including a gravel, asphalt, or concrete road, at any locations above the easement that the property owner chooses.

Provides that the portion of a road constructed under this section that is within the area covered by the easement is required to cross the easement at or near 90 degrees and may not exceed 40 feet in width, cause a violation of any applicable pipeline regulation, or interfere with the operation and maintenance of any pipeline.

Requires the property owner, at least 30 days before the date on which construction of an asphalt or concrete road or street that will be located, wholly or partly, in an area covered by an easement used for a pipeline is scheduled to begin, to submit plans for the proposed construction to the owner of the easement.

III. REPORT OF EMINENT DOMAIN AUTHORITY; EXPIRATION OF AUTHORITY

Provides that this section does not apply to an entity that was created or that acquired the power of eminent domain on or after December 31, 2012.

Requires an entity, including a private entity, authorized by the state by a general or special law to exercise the power of eminent domain, not later than December 31, 2012, to submit to the Comptroller of Public Accounts (Comptroller) a letter stating that the entity is authorized by the state to exercise the power of eminent domain and identifying the provision or provisions of law that grant the entity that authority. Requires the entity to send the letter by certified mail, return receipt requested.

Provides that the authority of an entity to exercise the power of eminent domain expires on September 1, 2013, unless the entity submits the required letter.

Requires the Comptroller, not later than March 1, 2013, to submit to the Governor, the Lieutenant Governor, the Speaker of the House of Representatives, the appropriate standing committees of the Senate and the House of Representatives, and the Texas Legislative Council (TLC) a report that contains the name of each entity that submitted a letter in accordance with this section and a corresponding list of the provisions granting eminent domain authority as identified by each entity that submitted a letter.

Requires TLC to prepare for consideration by the 84th Legislature, Regular Session, a non-substantive revision of the statutes of this state as necessary to reflect the state of the law after the expiration of an entity's eminent domain authority.

IV. DISCLOSURE OF CERTAIN INFORMATION; INITIAL OFFER

Requires any entity with eminent domain authority, rather than a governmental entity with eminent domain authority, that wants to acquire real property for a public use, by certified mail, return receipt requested, to disclose to the property owner at the time an offer to purchase or lease the property is made any and all appraisal reports, rather than any and all existing appraisal reports, produced or acquired by the entity relating specifically to the owner's property and prepared in the 10 years preceding the offer, rather than used in determining the final valuation offer.

Requires a property owner to disclose to the entity seeking to acquire the property any and all current and existing appraisal reports produced or acquired by the property owner relating specifically to the owner's property and used in determining the owner's opinion of value. Requires that such disclosure take place not later than the earlier of the 10th day after the date of receipt of an appraisal report or the third business day before the date of a special commissioners hearing if an appraisal report is to be used at the hearing.

Prohibits an entity seeking to acquire property that the entity is authorized to obtain through the use of eminent domain from including a confidentiality provision in an offer or agreement to acquire the property. Requires the entity to inform the owner of the property that the owner has the right to discuss any offer or agreement regarding the entity's acquisition of the property with others or keep the offer or agreement confidential.

V. BONA FIDE OFFER REQUIRED

Requires an entity with eminent domain authority that wants to acquire real property for a public use to make a bona fide offer to acquire the property from the property owner voluntarily.

Provides that an entity with eminent domain authority has made a bona fide offer (1) an initial offer is made in writing to a property owner; (2) a final offer is made in writing to a property owner; (3) the final offer is made on or after the 30th day after the date the entity initially contacts the property owner; (4) before making a final offer, the entity obtains a written appraisal from a certified appraiser of the value of the property being acquired and the damages, if any, to any remaining property; (5) the final offer is equal to or greater than the amount of the written appraisal obtained by the entity; (6) the following items are included with the final offer or have been provided previously: (a) a copy of the written appraisal; (b) a copy of the deed, easement, or other instrument conveying the property sought to be acquired; and (c) the landowner’s bill of rights statement; and (7) the entity provides a property owner with at least 14 days to respond to the final offer and the property owner does not agree to the terms of the final offer within that time.

VI. CONDEMNATION PETITION

Authorizes an entity with eminent domain authority that wants to acquire real property for public use but is unable to agree with the owner of the property on the amount of damages to begin a condemnation proceeding by filing a petition in the proper court.

Deletes existing text authorizing a condemning entity, if the United States, this state, a political subdivision of this state, a corporation with eminent domain authority, or an irrigation, water improvement, or water power control district created by law that wants to acquire real property for public use but is unable to agree with the owner of the property on the amount of damages, to begin a condemnation proceeding by filing a petition in the proper court.

Requires the petition to include certain information, including stating with specificity the public use, rather than the purpose, for which the entity intends to acquire the property rather than the use of the property, and state that the entity made a bona fide offer to acquire the property from the property owner voluntarily.

Requires an entity that files a petition under this section to provide a copy of the petition to the property owner by certified mail, return receipt requested.

Requires the judge of a court in which a condemnation petition is filed or to which an eminent domain case is assigned to appoint three disinterested real property owners who reside in the county as special commissioners to assess the damages of the owner of the property being condemned.

Requires the special commissioners in an eminent domain proceeding to promptly schedule a hearing for the parties at the earliest practical time, but prohibits the special commissioners from scheduling a hearing to assess damages before the 20th day after the day after the date the special commissioners were appointed. Provides that the special commissioners are to schedule a hearing for the parties at a place that is as near as practical to the property being condemned or at the county seat of the county in which the proceeding is being held.

Requires that notice of the hearing be served on a party not later than the 20th day before the day set for the hearing.

Requires an entity with eminent domain authority to disclose in writing to the property owner – at the time of acquisition of the property through eminent domain – that the owner or the owner’s heirs, successors, or assigns may be entitled to repurchase the property or request from the entity certain information relating to the use of the property and any actual progress made toward that use. Provides that the repurchase price is the price paid to the owner by the entity at the time the entity acquired the property through eminent domain.

VII. PRODUCTION OF INFORMATION; COST OF COMPLIANCE

Requires an entity that is not subject to Chapter 552 (Public Information), Government Code, and is authorized by law to acquire private property through the use of eminent domain, notwithstanding any other law, to produce information as provided by this section if the information is requested by a person who owns property that is the subject of a proposed or existing eminent domain proceeding and related to the taking of the person's private property by the entity through the use of eminent domain.

Requires such an entity to produce information relating to the condemnant ion of the specific property owned by the requestor as described in the request. Requires that a request under this section contain sufficient details to allow the entity to identify the specific tract of land in relation to which the information is sought.

Requires the entity to respond to a request in accordance with the Texas Rules of Civil Procedure as if the request was made in a matter pending before a state district court.

Provides that exceptions to disclosure provided by this chapter and the Texas Rules of Civil Procedure apply to the disclosure of information under this section.

Provides that jurisdiction to enforce the provisions of this section resides in the court in which the condemnation was initiated, or if the condemnation proceeding has not been initiated, a court that would have jurisdiction over a proceeding to condemn the requestor's property, or a court with eminent domain jurisdiction in the county in which the entity has its principal place of business.

Authorizes the court, if the entity refuses to produce information requested in accordance with this section and the court determines that the refusal violates this section, to award the requestor's reasonable attorney's fees incurred to compel the production of the information.

Requires the special commissioners, in estimating an injury or benefit to consider an injury or benefit that is peculiar to the property owner and that relates to the property owner's ownership, use, or enjoyment of the particular parcel of real property, including a material impairment of direct access on or off the remaining property that affects the market value of the remaining property. Prohibits the special commissioners from considering an injury or benefit that the property owner experiences in common with the general community, including circuitry of travel and diversion of traffic.

Requires a court, if a court hearing a suit under this chapter determines that a condemner did not make a bona fide offer to acquire the property from the property owner voluntarily as required, to abate the suit, order the condemner to make a bona fide offer, and order the condemner to pay all costs and any reasonable attorney's fees incurred by the property owner that are directly related to the violation.

VIII. REPURCHASE OF REAL PROPERTY FROM CONDEMNING ENTITY

Entitles a person from whom a property interest is acquired by an entity through eminent domain for public use, or that person's heirs, successors, or assigns to repurchase the property as provided by this subchapter if the public use for which the property was acquired through eminent domain is canceled, no actual progress is made toward the public use for which the property was acquired between the date of acquisition and the 10th anniversary of that date, or the property becomes unnecessary for the public use for which the property was acquired.

Authorizes a district court to determine all issues in any suit regarding the repurchase of a real property interest acquired through eminent domain by the former property owner or the owner's heirs, successors, or assigns.

IX. NOTICE TO PREVIOUS PROPERTY OWNER REQUIRED

Requires an entity, not later than the 180th day after the date the entity that acquired a real property interest through eminent domain determines that the former property owner is entitled to repurchase the property, to send by certified mail, return receipt requested, to the property owner or the owner's heirs, successors, or assigns a notice containing:

(1) an identification, which is not required to be a legal description of the property that was acquired; (2) an identification of the public use for which the property had been acquired and a statement that the public use has been canceled, no actual progress was made toward the public use, or the property has become unnecessary for the public use; and (3) a description of the person's right under this subchapter to repurchase the property.

X. REQUESTS FOR INFORMATION REGARDING CONDEMNED PROPERTY

Authorizes a property owner or the owner's heirs, successors, or assigns, on or after the 10th anniversary of the date on which real property was acquired by an entity through eminent domain, to request that the condemning entity make a determination and provide a statement and other relevant information regarding whether the public use for which the property was acquired has been canceled; whether any actual progress was made toward the public use between the date of acquisition and the 10th anniversary of that date, including an itemized description of the progress made, if applicable; and whether the property has become unnecessary for the public use of the property.

XI. RESALE OF PROPERTY; PRICE

Requires the property owner or the owner's heirs, successors, or assigns, not later than the 180th day after the date of the postmark on a notice or a response to a request that indicates that the property owner or the owner's heirs, successors, or assigns is entitled to repurchase the property interest, to notify the entity of the person's intent to repurchase the property interest.

Requires the entity, as soon as practicable after receipt of a notice of intent to repurchase, rather than the notification, to offer to sell the property interest to the person for the price paid to the owner by the entity at the time the entity acquired the property through eminent domain, rather than fair market value of the property at the time the public use was canceled.

Jan 19, 2011 3:15 PM