Vote Smart's Synopsis:

Vote to concur with House amendments and pass a bill that increases the spending cap on the Geologic energy Management Division account for abandoned oil wells.

Highlights:

• Prohibits the Geologic Energy Management Division from making expenditures from the Oil, Gas, and Geothermal Administrative Fund that exceed in any one fiscal year (Sec. 1.a):

• $3,000,000, commencing on July 1, 2018, for the 2018–19 fiscal year, and continuing for three fiscal years thereafter.

• $5,000,000, commencing with the 2022–23 fiscal year, and continuing thereafter.

• Specifies if the division obtains a lien against real or personal property of greater value than the amount of the expenditure, then the amount of the expenditure does not count against the expenditure limit of subdivision (a). If the division obtains a lien against real or personal property of lesser value than the amount of the expenditure, then only the difference between the amount of the expenditure and the value of the property counts against the expenditure limit of subdivision (a) (Sec. 1.b).

• Requires the division to create criteria for determining the priority of plugging and abandoning hazardous or idle-deserted wells and decommissioning hazardous or deserted facilities to be remediated according to this article and performing work. The Administrative Procedure Act does not apply to the development of criteria by the division according to this subdivision (Sec. 1.d).

• Requires the department to provide recommendations to the Legislature for improving and optimizing the involvement of local agencies in the process of plugging and abandoning wells and decommissioning facilities. In drafting these recommendations, the department will consider factors unique to each of the division’s districts and will consult with local agencies in developing recommendations (Sec. 1.B).

• Requires the division to conduct field inspections of hazardous wells, idle-deserted wells, deserted facilities, and hazardous facilities and include information in the report from the field inspections that can be used to prioritize those wells and facilities in the specific schedule of goals (Sec. 1.C).

• Requires the department to provide to the Legislature an update on the report required in paragraph (1) that describes the total costs, average costs per well and facility, the number of wells plugged and abandoned, the number of facilities decommissioned, the total number of projects completed, and any additional wells and facilities identified by the department requiring abandonment or decommissioning (Sec. 1-2).

Full Bill Text

Vote Smart's Synopsis:

Vote to amend and pass a bill that increases the spending cap on the Geologic energy Management Division account for abandoned oil wells.

Highlights:

• Prohibits the Geologic Energy Management Division from making expenditures from the Oil, Gas, and Geothermal Administrative Fund that exceed in any one fiscal year (Sec. 1.a):

• $3,000,000, commencing on July 1, 2018, for the 2018–19 fiscal year, and continuing for three fiscal years thereafter.

• $5,000,000, commencing with the 2022–23 fiscal year, and continuing thereafter.

• Specifies if the division obtains a lien against real or personal property of greater value than the amount of the expenditure, then the amount of the expenditure does not count against the expenditure limit of subdivision (a). If the division obtains a lien against real or personal property of lesser value than the amount of the expenditure, then only the difference between the amount of the expenditure and the value of the property counts against the expenditure limit of subdivision (a) (Sec. 1.b).

• Requires the division to create criteria for determining the priority of plugging and abandoning hazardous or idle-deserted wells and decommissioning hazardous or deserted facilities to be remediated according to this article and performing work. The Administrative Procedure Act does not apply to the development of criteria by the division according to this subdivision (Sec. 1.d).

• Requires the department to provide recommendations to the Legislature for improving and optimizing the involvement of local agencies in the process of plugging and abandoning wells and decommissioning facilities. In drafting these recommendations, the department will consider factors unique to each of the division’s districts and will consult with local agencies in developing recommendations (Sec. 1.B).

• Requires the division to conduct field inspections of hazardous wells, idle-deserted wells, deserted facilities, and hazardous facilities and include information in the report from the field inspections that can be used to prioritize those wells and facilities in the specific schedule of goals (Sec. 1.C).

• Requires the department to provide to the Legislature an update on the report required in paragraph (1) that describes the total costs, average costs per well and facility, the number of wells plugged and abandoned, the number of facilities decommissioned, the total number of projects completed, and any additional wells and facilities identified by the department requiring abandonment or decommissioning (Sec. 1-2).

Full Bill Text