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A BILL TO BE ENTITLED
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AN ACT
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relating to the express preemption of regulation of oil and gas |
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operations and the exclusive jurisdiction of those operations by |
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the state. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. The legislature finds that the laws and policy of |
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this state have fostered successful development of oil and gas |
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resources in concert with the growth of healthy and economically |
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vibrant communities for over 100 years. The legislature |
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acknowledges this cooperative progress and mutual benefit is |
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derived from current statutes that provide effective and |
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environmentally sound regulation of oil and gas operations that is |
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so comprehensive and pervasive that it occupies the field, while |
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facilitating the overriding policy objective to fully and |
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effectively exploit oil and gas resources and protecting the |
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environment and public's health and safety. The legislature |
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recognizes that in order to continue this prosperity and the |
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efficient management of a key industry in this state it is in the |
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state's interest to explicitly confirm the authority for regulation |
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of oil and gas activities within the state. The legislature intends |
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that this Act expressly preempts regulation of oil and gas |
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operations by municipalities and other political subdivisions that |
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is already impliedly preempted by state law. |
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SECTION 2. Chapter 81, Natural Resources Code, is amended |
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by adding a new Section to read as follows: |
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Sec. 81.071. EXPRESS PREEMPTION. (a) In this section: |
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(1) "Commercially reasonable" is defined as a |
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condition that permits a reasonably prudent operator to fully, |
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effectively, and economically exploit, develop, produce, process, |
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and transport oil and gas. |
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(2) "Oil and gas operation" is defined as an activity |
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associated with the exploration, development, production, |
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processing, and transportation of oil and gas, including drilling, |
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hydraulic fracture stimulation, completion, maintenance, |
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reworking, recompletion, disposal, plugging and abandonment, |
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secondary and tertiary recovery techniques, and remediation |
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activities. |
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(b) The authority of a municipality or other political |
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subdivision to regulate an oil and gas operation is expressly |
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preempted, except that a municipality is authorized to enact, |
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amend, or enforce an ordinance or other measure that regulates only |
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surface activity that is incident to an oil and gas operation, is |
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commercially reasonable, does not effectively prohibit an oil and |
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gas operation, and is not otherwise preempted by state or federal |
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law. |
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(c) Except as to the authority recognized in Subsection (b), |
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a municipality or other political subdivision may not enact or |
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enforce an ordinance or other measure, or an amendment or revision |
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of an existing ordinance or other measure, that bans, limits, or |
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otherwise regulates an oil and gas operation within its boundaries |
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or extraterritorial jurisdiction. An oil and gas operation is |
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subject to the exclusive jurisdiction of the state. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2015. |