Bill Text: TX HB3381 | 2021-2022 | 87th Legislature | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the authority of the Railroad Commission of Texas to contract for the treatment of and sell drill cuttings.
Spectrum: Moderate Partisan Bill (Republican 4-1)
Status: (Introduced - Dead) 2021-05-03 - Laid on the table subject to call [HB3381 Detail]
Download: Texas-2021-HB3381-Introduced.html
Bill Title: Relating to the authority of the Railroad Commission of Texas to contract for the treatment of and sell drill cuttings.
Spectrum: Moderate Partisan Bill (Republican 4-1)
Status: (Introduced - Dead) 2021-05-03 - Laid on the table subject to call [HB3381 Detail]
Download: Texas-2021-HB3381-Introduced.html
87R7210 JXC-D | ||
By: Leman | H.B. No. 3381 |
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relating to the authority of the Railroad Commission of Texas to | ||
contract for the treatment of and sell drill cuttings. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. The heading to Section 91.115, Natural Resources | ||
Code, is amended to read as follows: | ||
Sec. 91.115. FIRST LIEN ON EQUIPMENT AND STORED | ||
HYDROCARBONS OR DRILL CUTTINGS. | ||
SECTION 2. Section 91.115, Natural Resources Code, is | ||
amended by amending Subsections (a), (e), (f), and (g) and adding | ||
Subsections (f-1) and (f-2) to read as follows: | ||
(a) If a responsible person fails to clean up a site or | ||
facility that has ceased oil and gas operations under the | ||
commission's jurisdiction on or before the date the site or | ||
facility is required to be cleaned up by law or by a rule adopted or | ||
order issued by the commission, the state has a first lien, superior | ||
to all preexisting and subsequent liens and security interests, on | ||
the responsible person's interest in any hydrocarbons or drill | ||
cuttings stored at the site or facility and in any equipment that | ||
is: | ||
(1) located at the site or facility; and | ||
(2) used by the responsible person in connection with | ||
the activity that generated the pollution. | ||
(e) The lien is extinguished as to any stored hydrocarbons | ||
or drill cuttings or items of equipment that are lawfully removed by | ||
any person other than the operator or a nonoperator according to a | ||
lien, lease, judgment, written contract, or security agreement | ||
before the commission enters into a cleanup contract. An item of | ||
equipment may not be removed from an abandoned site or facility if | ||
the removal will cause the release of a substance that may cause | ||
pollution unless the substance is lawfully disposed of. | ||
(f) Equipment or stored hydrocarbons or drill cuttings | ||
subject to a lien under this section are presumed to have been | ||
abandoned on the date the commission enters into a contract to clean | ||
up the site or facility on which the equipment, [ |
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or drill cuttings are located. | ||
(f-1) The commission may dispose of the abandoned equipment | ||
or stored hydrocarbons in accordance with the provisions of | ||
Sections 89.085, 89.086, and 89.087 [ |
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disposition of well-site equipment and hydrocarbons. | ||
(f-2) The commission may dispose of the abandoned stored | ||
drill cuttings by contracting with a person to treat the drill | ||
cuttings at the site or facility for a subsequent beneficial use and | ||
selling the treated drill cuttings at a public auction or a public | ||
or private sale. Sections 89.085(c)-(i), 89.086, and 89.087 apply | ||
to the disposition of drill cuttings under this subsection in the | ||
same manner as those sections apply to the disposition of | ||
hydrocarbons. | ||
(g) In this section: | ||
(1) "Drill cuttings" has the meaning assigned by | ||
Section 123.001. | ||
(2) "Responsible [ |
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meaning assigned by Section 91.113 [ |
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(3) "Treat" means to use a manufacturing, mechanical, | ||
thermal, or chemical process other than sizing, shaping, diluting, | ||
or sorting. | ||
SECTION 3. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2021. |