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SB186 (BR1128) - J. Carroll

     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 KRS 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.


     SCS1 - Retain original provisions, except delete requirement for PVA to certify landowners for purposes of giving notice; make technical corrections.

     Feb 13, 2015 - introduced in Senate
     Feb 19, 2015 - taken from Committee on Committees (S); 1st reading; returned to Committee on Committees (S); to Natural Resources & Energy (S)
     Feb 25, 2015 - reported favorably, 2nd reading, to Rules with Committee Substitute
     Feb 26, 2015 - posted for passage in the Regular Orders of the Day for Thursday, February 26, 2015; 3rd reading, passed 37-0 with Committee Substitute
     Feb 27, 2015 - received in House
     Mar 03, 2015 - to Natural Resources & Environment (H); posted in committee; taken from Natural Resources & Environment (H); 1st reading; returned to Natural Resources & Environment (H); posting waived
     Mar 10, 2015 - reported favorably, 2nd reading, to Rules as a Consent Bill; posted for passage in the Consent Orders of the Day for Wednesday, March 11, 2015
     Mar 11, 2015 - 3rd reading, passed 99-0; received in Senate; enrolled, signed by each presiding officer; delivered to Governor
     Mar 19, 2015 - signed by Governor (Acts, ch. 021)