S T A T E O F N E W Y O R K
________________________________________________________________________
1675
2015-2016 Regular Sessions
I N S E N A T E
January 13, 2015
___________
Introduced by Sen. LIBOUS -- read twice and ordered printed, and when
printed to be committed to the Committee on Finance
AN ACT to amend the state finance law and the environmental conservation
law, in relation to establishing the natural gas oversight fund; and
to amend the environmental conservation law, in relation to imposing
an additional fee on the issuance of a well drilling permit for
certain gas pools
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. The state finance law is amended by adding a new section
2 81 to read as follows:
3 S 81. NATURAL GAS OVERSIGHT FUND. 1. THERE IS HEREBY ESTABLISHED IN
4 THE JOINT CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSIONER OF TAXA-
5 TION AND FINANCE A SPECIAL FUND TO BE KNOWN AS THE "NATURAL GAS OVER-
6 SIGHT FUND".
7 2. THE COMPTROLLER SHALL ESTABLISH THE FOLLOWING SEPARATE AND DISTINCT
8 ACCOUNTS WITHIN THE NATURAL GAS OVERSIGHT FUND:
9 (A) INTERNET PERMIT INFORMATION ACCOUNT;
10 (B) WATER QUALITY ACCOUNT;
11 (C) PUBLIC AWARENESS ACCOUNT;
12 (D) INDEPENDENT SURVEY ACCOUNT; AND
13 (E) IMPLEMENTATION ACCOUNT.
14 3. SUCH FUND SHALL CONSIST OF ALL MONEYS APPROPRIATED THERETO, FUNDS
15 TRANSFERRED FROM ANY OTHER FUND OR SOURCE, AND ALL MONEYS RECEIVED BY
16 THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR THE ISSUANCE OF PERMITS
17 PURSUANT TO TITLE FIVE OF ARTICLE TWENTY-THREE OF THE ENVIRONMENTAL
18 CONSERVATION LAW TO DRILL, DEEPEN, PLUG BACK OR CONVERT A WELL DESCRIBED
19 IN CLAUSE (VI) OF SUBPARAGRAPH ONE OF PARAGRAPH B OF SUBDIVISION ONE OF
20 SECTION 23-0501 OF SUCH LAW. MONEYS DEPOSITED IN THE FUND SHALL BE HELD
21 IN INTEREST BEARING ACCOUNTS IN PUBLIC DEPOSITORIES AS PRESCRIBED BY
22 THIS CHAPTER, AND MAY BE INVESTED OR REINVESTED IN SUCH SECURITIES AS
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07235-01-5
S. 1675 2
1 ARE APPROVED BY THE STATE COMPTROLLER. INTEREST OR OTHER INCOME EARNED
2 ON MONEYS DEPOSITED IN THE FUND AND ANY MONEYS WHICH MAY BE APPROPRIATED
3 OR OTHERWISE BECOME AVAILABLE FOR THE PURPOSES OF THE FUND, SHALL BE
4 CREDITED TO AND DEPOSITED IN THE FUND FOR USE AS SET FORTH IN THIS
5 SECTION.
6 4. THE MONEYS IN THE NATURAL GAS OVERSIGHT FUND SHALL BE KEPT SEPARATE
7 FROM AND SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS IN THE CUSTODY OF
8 THE STATE COMPTROLLER AND THE COMMISSIONER OF TAXATION AND FINANCE.
9 5. (A) ALL MONEYS DEPOSITED IN THE INTERNET PERMIT INFORMATION
10 ACCOUNT SHALL BE ALLOCATED TO AND EXPENDED BY THE DEPARTMENT OF ENVIRON-
11 MENTAL CONSERVATION TO ESTABLISH AN INTERNET WEBSITE AND DATABASE ACCES-
12 SIBLE TO THE PUBLIC, WHICH PROVIDES INFORMATION ON ALL APPLICATIONS FOR
13 PERMITS AND PERMITS ISSUED PURSUANT TO TITLE FIVE OF ARTICLE
14 TWENTY-THREE OF THE ENVIRONMENTAL CONSERVATION LAW TO DRILL, DEEPEN,
15 PLUG BACK OR CONVERT A WELL DESCRIBED IN CLAUSE (VI) OF SUBPARAGRAPH ONE
16 OF PARAGRAPH B OF SUBDIVISION ONE OF SECTION 23-0501 OF SUCH LAW.
17 (B) MONEYS FROM THE WATER QUALITY ACCOUNT SHALL BE MADE AVAILABLE FOR
18 THE CONDUCTING OF BASELINE AND FOLLOW-UP SURVEYS OF WATER QUALITY BY THE
19 DEPARTMENT OF ENVIRONMENTAL CONSERVATION AT SITES NEAR ANY WELL
20 DESCRIBED IN CLAUSE (VI) OF SUBPARAGRAPH ONE OF PARAGRAPH B OF SUBDIVI-
21 SION ONE OF SECTION 23-0501 OF THE ENVIRONMENTAL CONSERVATION LAW.
22 (C) MONEYS FROM THE PUBLIC AWARENESS ACCOUNT SHALL BE MADE AVAILABLE
23 TO THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION TO CONDUCT A PUBLIC
24 AWARENESS PROGRAM PROVIDING INFORMATION ON THE MANNER OF NOTIFYING SUCH
25 DEPARTMENT IN THE EVENT OF ANY CONCERN OR PROBLEM RELATING TO A NATURAL
26 GAS WELL.
27 (D) MONEYS FROM THE INDEPENDENT SURVEY ACCOUNT SHALL BE MADE AVAILABLE
28 TO THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION FOR THE EXPENSES OF
29 CONTRACTING FOR THE PROVISION OF AN INDEPENDENT SURVEY OF SUCH DEPART-
30 MENT'S PERFORMANCES RELATING TO THE REGULATION OF WELLS. SUCH SURVEY
31 SHALL BE CONDUCTED NOT LESS THAN THREE YEARS NOR MORE THAN FIVE YEARS
32 AFTER THE EFFECTIVE DATE OF THIS SECTION, SHALL BE SUBMITTED TO THE
33 GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF THE
34 ASSEMBLY.
35 (E) MONEYS FROM THE IMPLEMENTATION ACCOUNT SHALL BE ALLOCATED TO AND
36 EXPENDED BY THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION SOLELY FOR THE
37 IMPLEMENTATION AND ENFORCEMENT OF THE PROVISIONS OF TITLES THREE, FIVE,
38 SEVEN AND NINE OF ARTICLE TWENTY-THREE, AND TITLE THIRTEEN OF ARTICLE
39 SEVENTY-ONE OF THE ENVIRONMENTAL CONSERVATION LAW.
40 S 2. Paragraph b of subdivision 1 of section 23-1903 of the environ-
41 mental conservation law is relettered paragraph c and a new paragraph b
42 is added to read as follows:
43 B. A TWO THOUSAND DOLLAR FEE FOR EACH PERMIT TO DRILL A WELL ISSUED
44 PURSUANT TO CLAUSE (VI) OF SUBPARAGRAPH ONE OF PARAGRAPH B OF SUBDIVI-
45 SION ONE OF SECTION 23-0501 OF THIS ARTICLE; AND
46 S 3. Section 23-0501 of the environmental conservation law is amended
47 by adding a new subdivision 4 to read as follows:
48 4. NOTWITHSTANDING ANY PROVISION OF THIS CHAPTER TO THE CONTRARY, ALL
49 FEES COLLECTED BY THE DEPARTMENT FOR THE ISSUANCE OF A PERMIT FOR A WELL
50 DESCRIBED IN CLAUSE (VI) OF SUBPARAGRAPH ONE OF PARAGRAPH B OF SUBDIVI-
51 SION ONE OF THIS SECTION SHALL BE PAID TO THE STATE COMPTROLLER WHO
52 SHALL DEPOSIT SUCH MONEY IN THE NATURAL GAS OVERSIGHT FUND ESTABLISHED
53 PURSUANT TO SECTION EIGHTY-ONE OF THE STATE FINANCE LAW.
54 S 4. This act shall take effect on the thirtieth day after it shall
55 have become a law.