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House Committee Reports Out Oil And Gas Bills
The House Environmental Resources and Energy Committee met this week and reported out two bills related to oil and gas drilling--

--House Bill 1155 (George-D-Clearfield) would give surface property rights owners additional control over drillers coming onto their land to extract natural gas or oil; and

--House Bill 1205 (Pickett-R-Bradford) providing further protection of water supplies from oil and gas drilling by requiring testing of water wells for quality and quantity within 2,000 feet of a well site.

“The surging interest in Pennsylvania’s gas deposits has the mineral-rights owners and those who live above the energy supplies clamoring for fair treatment of their interests,” Rep. George said. “The Surface Owners Protection Act, House Bill 1155, would establish a fair framework for both.”

HB 1155 would:

-- Require surface owners to be notified at least 15 days before a driller enters a tract and at least 45 days before drilling begins;

-- Provide surface owners with basic information, such as the scope of planned operations, the drilling operator and plans for protection of water sources;

-- Compel agreements governing drilling operations, drainage changes, nuisance controls, liability and reclamation responsibilities and compensation for damages; and

-- Implement standards governing operations of oil and gas wells.

“A lack of clear guidelines and responsibilities has prompted many landowners to believe their rights have been trampled and owners of the mineral rights to feel they are being unfairly restricted from minerals they legally own,” Rep. George said.” "The Surface Owners Protection Act would clarify those rights and responsibilities.”

Rep. George said HB 1155 would establish provisions to replace water supplies, recover damages and seek an investigation of suspect drilling operations.

"If the sides can’t come to an agreement within 45 days, the owner of the gas and oil rights may file for permits after establishing the appropriate bonds, deposits and insurance," Rep. George said. “Both sides may have divergent interests but both have rights that must be protected.”

Rep. Pickett provided this comment on House Bill 1205-- "Pennsylvania is on the cusp of a booming drilling industry with respect to natural gas exploration in the Marcellus Shale region of the state. It's clear that landowners' wells, springs and other water sources must be protected to ensure public health. Drilling operators must shoulder the responsibility for their actions. This proposal will facilitate more testing and allow for a longer period of time to claim damages."

Rep. Bud George (D-Clearfield) serves as Majority Chair of the Committee and Rep. Scott Hutchinson (R-Venango) serves as Minority Chair.

7/3/2009

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