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Sen. William R. Haine
Filed: 4/10/2008
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LRB095 15440 AJO 48928 a |
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| AMENDMENT TO SENATE BILL 2079
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| AMENDMENT NO. ______. Amend Senate Bill 2079 by replacing |
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| everything after the enacting clause with the following:
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| "Section 5. The Drilling Operations Act is amended by |
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| changing Sections 2, 3, and 4 as follows:
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| (765 ILCS 530/2) (from Ch. 96 1/2, par. 9652)
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| Sec. 2. As used in this Act:
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| (a) "Person" means any natural person, corporation, firm, |
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| partnership,
venture, receiver, trustee, executor, |
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| administrator, guardian, fiduciary or
other representative of |
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| any kind and includes any government or any
political |
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| subdivision or agency thereof;
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| (b) "Drilling operations" means the drilling, deepening or |
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| conversion of
a well for oil or gas production, core hole or |
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| drill hole for a stratigraphic
test;
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| (c) "Entry" means the moving upon the surface of land with |
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LRB095 15440 AJO 48928 a |
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| equipment to
commence drilling operations, but shall not |
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| include entry for the survey
for or ascertaining or |
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| identification of a well location;
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| (d) "Operator" means the person, whether the owner or not, |
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| who applies
for or holds a permit for drilling operations or |
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| who is named as the
principal on a bond for a permit for a well |
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| that was issued by the
Department of Natural Resources;
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| (e) "Surface owner" means the person in whose name the |
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| surface of the
land on which drilling operations are |
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| contemplated, and who is assessed for
purposes of taxes imposed |
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| pursuant to the Property Tax Code according to the
records of |
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| the assessor of the county where the land
is located as |
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| certified by said assessor;
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| (f) "Assessor" means the supervisor of assessments, board |
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| of assessors,
or county assessor, as the case may be, for the |
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| county in which the land is
located;
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| (g) "Production operation" means the operation of a well |
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| for the
production of oil ,
or gas , and coalbed methane,
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| including all acts, structures, equipment, and
roadways |
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| necessary for such operation;
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| (h) "New well" means a well that is spudded after the |
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| effective date of
this Act and does not utilize any part of a |
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| well bore or drilling location
that existed prior to the |
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| effective date of this Act;
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| (i) "Completion of the well" means completion of those |
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| processes
necessary before production occurs, including the |
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LRB095 15440 AJO 48928 a |
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| laying of flow lines and
the construction of the tank battery. |
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| If the well is not productive, the
date of completion of the |
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| well is the day it is plugged and abandoned.
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| (Source: P.A. 88-670, eff. 12-2-94; 89-445, eff. 2-7-96.)
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| (765 ILCS 530/3) (from Ch. 96 1/2, par. 9653)
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| Sec. 3. This Act shall be applicable only for the drilling
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| operations of new wells except as explicitly provided in |
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| paragraph (c) of
Section 6. It shall not apply for reworking |
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| operations on a well.
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| This Act shall be applicable only when the surface owner |
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| has not
consented in writing to the drilling operations and:
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| (A) there has been a complete severance of the ownership of |
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| the oil ,
and
gas , and coalbed methane from the ownership of the |
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| surface, or
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| (B) where the surface owner owns an interest in the oil ,
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| and gas , and coalbed methane , which
interest is the subject of |
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| either:
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| (1) An integration proceeding brought pursuant to "An Act |
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| in relation to
oil, gas, coal, and other surface and |
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| underground resources and to repeal
an Act herein named", |
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| approved July 24, 1945, as amended, or
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| (2) A proceeding brought pursuant to "An Act in relation to |
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| oil and gas
interest in land", approved July 1, 1939, as |
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| amended.
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| (Source: P.A. 85-1312.)
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| (765 ILCS 530/4) (from Ch. 96 1/2, par. 9654)
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| Sec. 4. Notice.
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| (a) Prior to commencement of the drilling of a well, the |
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| operator shall
give a copy of the Act with a written notice to |
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| the surface owner of the operator's intent to commence
drilling |
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| operations.
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| (b) The operator shall, for the purpose of giving notice as |
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| herein
required, secure from the assessor's office within 90 |
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| days prior to the
giving of the notice, a certification which |
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| shall identify the person in
whose name the lands on which |
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| drilling operations are to be commenced and who
is assessed at |
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| the time the certification is made. The written certification
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| made by the assessor of the surface owner shall be conclusive |
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| evidence of
the surface ownership and of the operator's |
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| compliance with the provisions of
this Act.
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| (c) The notice required to be given by the operator to the |
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| surface owner
shall identify the following:
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| (1) The location of the proposed entry on the
surface |
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| for drilling operations, and the date on or after which |
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| drilling
operations shall be commenced.
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| (2) A photocopy of the drilling application to the |
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| Department
of Natural Resources for
the well to be drilled.
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| (3) The name, address and telephone number of the |
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| operator.
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| (4) An offer to discuss with the surface owner those |
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LRB095 15440 AJO 48928 a |
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| matters set forth
in Section 5 hereof prior to commencement |
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| of drilling operations.
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| If the surface owner elects to meet the operator, the |
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| surface owner
shall request the operator to schedule a meeting |
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| at a mutually agreed time
and place within the limitations set |
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| forth herein. Failure of the surface
owner to contact the |
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| operator at least 5 days prior to the proposed
commencement of |
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| drilling operations shall be conclusively deemed a waiver
of |
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| the right to meet by the surface owner.
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| The meeting shall be scheduled between the hours of 9:00 in |
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| the
morning
and the setting of the sun of the same day and |
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| shall be at least 3 days prior
to commencement of drilling |
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| operations. Unless agreed to otherwise, the
place shall be |
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| located within the county in which drilling operations are
to |
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| be commenced where the operator or his agent shall be available |
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| to
discuss with the surface owner or his agent those matters |
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| set forth in Section
5 hereof.
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| The notice and a copy of the Act as herein required shall |
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| be given to the surface owner by
either:
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| (A) certified mail addressed to the surface owner at |
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| the address shown
in the certification obtained from the |
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| assessor, which shall be postmarked
at least 15 10 days |
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| prior to the commencement of drilling operations; or
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| (B) personal delivery to the surface owner at least 15 |
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| 8 days prior to the
commencement of drilling operations.
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| (C) Notice to the surface owner as defined in this Act |