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HB386 (BR1262) - R. Adkins, J. Gooch Jr., J. Greer, R. Smart, G. Stumbo

     AN ACT relating to oil and gas production and reclamation.
    Create new sections of KRS 353.500 to 353.720 to require notice and method of notice of high-volume horizontal fracturing; require baseline water quality testing and exemption from requirements; require information disclosures to the cabinet for a vendor or service provider conducting high-volume horizontal fracturing treatments; create an exemption for disclosure of trade secrets; require vendors to provide information to chemical disclosure registry unless protected by trade secret status and provide method for claiming trade secret status; require release by director or vendor to health professionals under specified conditions and with confidentiality agreement; require release by director to deal with emergency spill or discharge and require nondisclosure of information further and with specific procedure; provide that information disclosed not be deemed publicly available or a waiver of trade secret claim; require notification to parties by the cabinet if the cabinet receives a request for chemicals under the Open Records Act and provide a procedure for notification of vendors and operators who assert confidential treatment status; clarify that the review of a determination of release of information under the Open Records Act not be a part of judicial review; create the Kentucky Abandoned Storage Tank Reclamation Program and define when a tank is deemed abandoned and eligible for the program; specify the purpose of the program and create the Kentucky abandoned storage tank reclamation fund; identify the expenses that can be paid for out-of-fund moneys; allow the cabinet to contract for services and enter into agreements for services; create a right of entry to inspect or to conduct work on an abandoned storage tank; specify procedures for notice before entering lands; authorize the cabinet to recover costs for removal and remediation of an abandoned storage tank from owners or responsible parties; amend KRS 353.180 to make internal reference corrections; amend KRS 353.510 to amend the definitions; amend 353.590 to establish permit fees for vertical deep and horizontal deep wells; establish bonds for deep wells and minimum bonds; specify how bonds will be conditioned; add blanket bonds; amend KRS 353.592 to correct internal references; amend KRS 353.5901 to require a reclamation plan rather than a proposal; clarify the contents of the reclamation plan; require review and approval of the plan prior to permit issuance; allow for a waiver of the mediation fee for a landowner with proof of a financial inability to pay; amend KRS 353.651 to regulate the drilling units of vertical deep and horizontal deep wells and the pooling for deep wells and change the 1/8 royalty to prevailing royalty and overriding royalty to 3 times the share of costs payable or charged for deep wells; amend KRS 353.652 to make technical corrections; amend KRS 353.730 and 353.737 to correct internal references; add noncodified section naming the act as the Kentucky Oil and Gas Regulatory Modernization Act.


     HCS1 - Retain original provisions; delete provision requiring certification of adjacent landowners by property valuation administrators; make technical corrections.

     Feb 09, 2015 - introduced in House
     Feb 10, 2015 - to Natural Resources & Environment (H); posted in committee
     Feb 23, 2015 - posting waived; taken from Natural Resources & Environment (H); 1st reading; returned to Natural Resources & Environment (H)
     Feb 24, 2015 - reported favorably, 2nd reading, to Rules with Committee Substitute as Consent Bill; posted for passage in the Regular Orders of the Day for Wednesday, February 25, 2015
     Feb 25, 2015 - 3rd reading, passed 96-0 with Committee Substitute
     Feb 26, 2015 - received in Senate
     Mar 02, 2015 - to Natural Resources & Energy (S)
     Mar 04, 2015 - taken from Natural Resources & Energy (S); 1st reading; returned to Natural Resources & Energy (S)