Bill Text: IL HB5295 | 2013-2014 | 98th General Assembly | Introduced

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Bill Title: Amends the Oil and Gas Wells on Public Lands Act. Provides that, upon application to the Illinois Department of Natural Resources for a permit to drill or otherwise operate an oil or gas well with respect to a drilling unit that includes certain highway lands, those lands shall be deemed leased for the purpose of enabling the permittee to obtain a drilling permit, without action by the Illinois Department of Transportation, if certain conditions are met. Prohibits the State of Illinois from receiving any compensation or royalty interest in the production from the subject well in exchange for the highway lands deemed leased.

Sponsorship: Partisan Bill (Republican 1)

Status: (Failed) 2014-12-03 - Session Sine Die [HB5295 Detail]

Download: Illinois-2013-HB5295-Introduced.html

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98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 HB5295 Introduced , by Rep. Bill Mitchell SYNOPSIS AS INTRODUCED:
5 ILCS 615/23.5 new
Amends the Oil and Gas Wells on Public Lands Act. Provides that, upon application to the Illinois Department of Natural Resources for a permit to drill or otherwise operate an oil or gas well with respect to a drilling unit that includes certain highway lands, those lands shall be deemed leased for the purpose of enabling the permittee to obtain a drilling permit, without action by the Illinois Department of Transportation, if certain conditions are met. Prohibits the State of Illinois from receiving any compensation or royalty interest in the production from the subject well in exchange for the highway lands deemed leased.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Oil and Gas Wells on Public Lands Act is
amended by adding Section 23.5 as follows:
(5 ILCS 615/23.5 new)
Sec. 23.5. Oil and gas leases; highway land.
(a) The General Assembly finds that:
(1) the Illinois Department of Transportation
exercises jurisdiction over lands held, or otherwise used,
for highway purposes, hereinafter "highway lands", but
that title to those lands was not authorized or secured for
the purpose of developing or enjoying oil and gas rights;
(2) the interest of the State of Illinois with respect
to those lands is in the present and future use and
protection of surface rights of way for highways; and
(3) the lawful permitting of private lands for the
exploration and development of oil and gas production is
better served by the leasing of highway lands by the
Illinois Department of Transportation in cooperation with
owners of lands that are contiguous to highway lands.
(b) Therefore, it is the policy of the State of Illinois,
and the purpose of this Section, to encourage the development

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of oil and gas production within the State and to reduce
constraints on the development of those natural resources by
private landowners in compliance with law.
(c) Notwithstanding any other provision of this Act or any
other law to the contrary, upon application to the Illinois
Department of Natural Resources for a permit to drill or
otherwise operate an oil or gas well with respect to a drilling
unit that includes highway lands, the highway lands shall be
deemed leased for the purpose of enabling the permittee to
obtain the drilling permit, without any consent or action by
the Illinois Department of Transportation, if the following
conditions are met:
(1) the acreage under the jurisdiction of the Illinois
Department of Transportation does not exceed 50% of the
total acreage comprising the proposed drilling unit;
(2) the proposed drilling site is at least 200 feet
from any improved road surface; and
(3) the proposed drilling site is not located upon
highway land.
(d) Neither the State of Illinois nor the Illinois
Department of Transportation shall receive any compensation or
royalty interest in the production from the subject well in
exchange for highway lands deemed leased pursuant to subsection
(c).
(e) This Section shall not apply to any land owned,
managed, or leased by the Department of Natural Resources.