August 18, 2015, Introduced by Rep. Lucido and referred to the Committee on Appropriations.
A bill to amend 1994 PA 451, entitled
"Natural resources and environmental protection act,"
(MCL 324.101 to 324.90106) by adding section 61506d; and to provide
an appropriation for purposes incidental thereto.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 61506d. (1) Not later than July 31, 2016, the department
of technology, management, and budget shall enter into a contract
for the performance of a study on best practices associated with
oil and gas exploration, drilling, and production operations in
residential areas. The study shall be conducted by a university or
other person with a high degree of knowledge and expertise in oil
and gas exploration, drilling, and production operations in
residential areas. The study shall include all of the following:
(a) An identification of nuisance issues caused by the
exploration, drilling, and production of oil and gas in residential
areas and recommended best practices to minimize the adverse
effects of the oil and gas operations on residents living in the
vicinity of the oil and gas operations.
(b) An identification of current insurance requirements, an
evaluation of the adequacy of those requirements, and
recommendations on the types and amounts of insurance that should
be required of companies engaged in exploration, drilling, and
production of oil and gas in residential areas.
(c) An identification of current setback requirements for the
exploration, drilling, and production of oil and gas in residential
areas, an evaluation of the adequacy of those requirements, and
recommendations on best practices for setbacks for oil and gas
operations in residential areas that will be protective of
residents living in those areas.
(d) An evaluation of potential environmental health risks and
safety hazards posed by oil and gas exploration, drilling, and
production in residential areas and recommended best practices that
are protective of air, water, and other natural resources and
public health in the vicinity of oil and gas operations.
(2) The contract entered into under subsection (1) shall
require that the study be completed and a manual of recommended
best practices for the exploration, drilling, and production of oil
and gas in residential areas be prepared not later than December
31, 2016. The contract shall also specify that the person preparing
the manual shall provide a copy of the manual to the department of
technology, management, and budget, the department of environmental
quality, and to each member of the legislature.
Enacting section 1. For the state fiscal year ending September
30, 2016, $50,000.00 is appropriated from the general fund to the
department of technology, management, and budget to contract for
the performance of a study and an accompanying manual on best
practices associated with the exploration, drilling, and production
of oil and gas in residential areas as provided in section 61506d
of the natural resources and environmental protection act, 1994 PA
451, MCL 324.61506d. The appropriation made and the expenditures
authorized to be made by the department of technology, management,
and budget under this enacting section are subject to the
management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.