Texas Laws - Natural Resources Code
NATURAL RESOURCES CODE
TITLE 3. OIL AND GAS

TITLE 3. OIL AND GAS (5771)(1-click HTML)

SUBTITLE A. ADMINISTRATION (5772)(1-click HTML)

CHAPTER 81. RAILROAD COMMISSION OF TEXAS (5773)(1-click HTML)
Sec. 81.001. DEFINITIONS. (5774)(1-click HTML)

In this chapter: (5775)

(1) "Commission" means the Railroad Commission of Texas. (5776)

(2) "Commissioner" means any member of the Railroad Commission of Texas. (5777)

Acts 1977, 65th Leg., p. 2508, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5778)

Sec. 81.002. DEFINITION OF PERSON FOR CERTAIN PROVISIONS. (5779)(1-click HTML)

In this chapter: (5780)

(1) "person" includes a corporation, as provided by Section 312.011, Government Code; and (5781)

(2) the definition of "person" assigned by Section 311.005, Government Code, does not apply. (5782)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.01, eff. April 1, 2011. (5783)

Sec. 81.01001. SUNSET PROVISION. (5784)(1-click HTML)

(a) The Railroad Commission of Texas is subject to Chapter 325, Government Code (Texas Sunset Act). Unless continued in existence as provided by that chapter, the commission is abolished September 1, 2017. (5785)

(a-1) The review of the Railroad Commission of Texas by the Sunset Advisory Commission in preparation for the work of the 85th Legislature in Regular Session is not limited to the appropriateness of recommendations made by the Sunset Advisory Commission to the 83rd Legislature. In the Sunset Advisory Commission's report to the 85th Legislature, the Sunset Advisory Commission may include any recommendations it considers appropriate. The review must include an examination of alternative organizational structures for the Railroad Commission of Texas and alternative methods for performing the commission's responsibilities that would enable the efficient and effective accomplishment of the commission's functions. The examination must include an assessment of existing state agencies that would be able to perform the commission's functions. The review must also include an examination of methods to increase the public's role in decisions of the Railroad Commission of Texas that relate to the effect of the growth of resource extraction. The Sunset Advisory Commission may contract for assistance in performing the review, including assistance in evaluating, auditing, and forensic auditing, as the Sunset Advisory Commission determines necessary. This subsection expires September 1, 2017. (5786)

(b) The Railroad Commission of Texas shall pay the costs incurred by the Sunset Advisory Commission in performing a review of the commission under this section. The Sunset Advisory Commission shall determine the costs, and the commission shall pay the amount of those costs promptly on receipt of a statement from the Sunset Advisory Commission detailing the costs. (5787)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5788)

Amended by: (5789)

Acts 2009, 81st Leg., 1st C.S., Ch. 2 (S.B. 2), Sec. 1.14(b), eff. July 10, 2009. (5790)

Acts 2011, 82nd Leg., R.S., Ch. 1232 (S.B. 652), Sec. 1.07(a), eff. June 17, 2011. (5791)

Acts 2013, 83rd Leg., R.S., Ch. 1279 (H.B. 1675), Sec. 2.05, eff. June 14, 2013. (5792)

Sec. 81.01002. CHAIRMAN. (5793)(1-click HTML)

The commissioners shall elect one commissioner as the chairman. (5794)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5795)

Sec. 81.01003. QUALIFICATIONS FOR OFFICE. (5796)(1-click HTML)

A commissioner must be: (5797)

(1) a qualified voter under the constitution and laws; and (5798)

(2) at least 25 years of age. (5799)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5800)

Sec. 81.01004. PERSONAL FINANCIAL DISCLOSURE, STANDARDS OF CONDUCT, AND CONFLICT OF INTEREST. (5801)(1-click HTML)

A commissioner is subject to the provisions of Chapter 572, Government Code, that apply to elected officers, including the requirements governing personal financial statements, standards of conduct, and conflicts of interest. (5802)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5803)

Sec. 81.01005. NAME AND SEAL. (5804)(1-click HTML)

(a) The commissioners are known collectively as the "Railroad Commission of Texas." (5805)

(b) The seal of the commission contains a star of five points with the words "Railroad Commission of Texas" engraved on it. (5806)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5807)

Sec. 81.01006. PROCEDURAL RULES. (5808)(1-click HTML)

The commissioners may adopt all rules necessary for the commission's government and proceedings. (5809)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5810)

Sec. 81.01007. SUPPLIES. (5811)(1-click HTML)

The commissioners shall be furnished necessary furniture, stationery, supplies, and expenses, to be paid for on the order of the governor. (5812)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5813)

Sec. 81.01008. SESSIONS. (5814)(1-click HTML)

The commission may hold sessions at any place in this state when considered necessary. (5815)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5816)

Sec. 81.01009. RECORDS RESEARCH FEE. (5817)(1-click HTML)

The commission shall charge a person who requests an examination or search of commission records $5 for each half hour or fraction of a half hour that a commission employee spends in the examination or search unless the person requesting the search represents this state or a county. (5818)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5819)

Sec. 81.01010. FEE FOR COPIES. (5820)(1-click HTML)

(a) The commission may charge a fee for copies of papers provided by the commission to a person other than a department of this state. (5821)

(b) The fee for a copy of a paper, document, or record in the commission's office, including the certificate and seal to be applied by the secretary, is 15 cents for each 100 words. (5822)

(c) This section does not authorize the commission to charge a person a fee for a tariff sheet for the person's own use if the tariff sheet is in effect. (5823)

(d) The fees charged and collected under this section shall be accounted for by the secretary of the commission and paid into the treasury as provided by Chapter 603, Government Code. (5824)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5825)

Sec. 81.01011. METHOD OF MAKING PAYMENTS TO COMMISSION. (5826)(1-click HTML)

(a) The commission may authorize payment, as prescribed by the commission, of a regulatory fee, fine, penalty, or charge for goods and services by means of an electronic payment method or a credit card issued by a financial institution chartered by a state or the United States or issued by a nationally recognized credit organization approved by the commission. A payment by the authorized method may be made in person, by telephone, or through the Internet. (5827)

(b) The commission may require a person who makes a payment to the commission by means of an electronic payment method or credit card to pay a discount or service charge in an amount reasonable and necessary to reimburse the commission for the costs involved in processing the payment. (5828)

(c) The commission may adopt rules as necessary to implement this section. (5829)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5830)

Sec. 81.01012. GIFTS, GRANTS, AND DONATIONS. (5831)(1-click HTML)

(a) In this section, "contested case" has the meaning assigned by Section 2001.003, Government Code. (5832)

(b) The commission may apply for, request, solicit, contract for, receive, accept, and administer gifts, grants, and donations of money or other assistance from any source to carry out any commission purpose or power. (5833)

(c) The commission may not, under Subsection (b), accept a gift or donation of money or of property from a party in a contested case during the period from the inception of the contested case until the 30th day after the date a final order is signed in the contested case. (5834)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5835)

Sec. 81.01013. CONFLICT OF INTEREST. (5836)(1-click HTML)

(a) In this section, "Texas trade association" means a cooperative and voluntarily joined association of business or professional competitors in this state designed to assist its members and its industry or profession in dealing with mutual business or professional problems and in promoting their common interest. (5837)

(b) A person may not be an employee of the commission employed in a "bona fide executive, administrative, or professional capacity," as that phrase is used for purposes of establishing an exemption to the overtime provisions of the federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.) if: (5838)

(1) the person is an officer, employee, or paid consultant of a Texas trade association in a business or industry regulated by the commission; or (5839)

(2) the person's spouse is an officer, manager, or paid consultant of a Texas trade association in a business or industry regulated by the commission. (5840)

(c) A person who is required to register as a lobbyist under Chapter 305, Government Code, may not act as the general counsel to the commission. (5841)

(d) The commission shall provide to commissioners and to agency employees, as often as necessary, information regarding the requirements for office or employment under this chapter, including information regarding a person's responsibilities under applicable laws relating to standards of conduct for state officers or employees. (5842)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5843)

Sec. 81.01014. EQUAL EMPLOYMENT OPPORTUNITY. (5844)(1-click HTML)

(a) The commission shall prepare and maintain a written policy statement that implements a program of equal employment opportunity to ensure that all personnel decisions are made without regard to race, color, disability, sex, religion, age, or national origin. (5845)

(b) The policy statement must include: (5846)

(1) personnel policies, including policies relating to recruitment, evaluation, selection, training, and promotion of personnel, that show the intent of the commission to avoid the unlawful employment practices described by Chapter 21, Labor Code; and (5847)

(2) an analysis of the extent to which the composition of the commission's personnel is in accordance with state and federal law and a description of reasonable methods to achieve compliance with state and federal law. (5848)

(c) The policy statement must: (5849)

(1) be updated annually; (5850)

(2) be reviewed by the Texas Workforce Commission civil rights division for compliance with Subsection (b); and (5851)

(3) be filed with the governor's office. (5852)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5853)

Sec. 81.01016. SEPARATION OF RESPONSIBILITIES. (5854)(1-click HTML)

The commission shall develop and implement policies that clearly separate the policy-making responsibilities of the commissioners and the management responsibilities of the staff of the commission. (5855)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5856)

Sec. 81.011. CHIEF SUPERVISOR. (5857)(1-click HTML)

(a) The commission shall employ a chief supervisor of its oil and gas division to assist the commission in enforcing the laws relating to the production, transportation, and conservation of oil and gas and rules and orders of the commission adopted under these laws. (5858)

(b) The chief supervisor also shall perform the duties of the pipeline expert as provided in the pipeline laws of this state. (5859)

Acts 1977, 65th Leg., p. 2508, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5860)

Sec. 81.012. QUALIFICATIONS OF CHIEF SUPERVISOR. (5861)(1-click HTML)

In addition to other qualifications that may be required by the commission, a person appointed chief supervisor must have had at least five years' experience in some line of the oil or gas business, or in some other business or profession that would provide the necessary knowledge and experience for the performance of his duties. (5862)

Acts 1977, 65th Leg., p. 2508, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5863)

Sec. 81.013. DEPUTY SUPERVISORS, ASSISTANTS, AND CLERICAL PERSONNEL. (5864)(1-click HTML)

The commission may appoint a chief deputy supervisor, deputy supervisors, assistants, and clerical personnel necessary to execute the laws relating to oil and gas. (5865)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5866)

Sec. 81.014. QUALIFICATIONS OF CHIEF DEPUTY SUPERVISOR. (5867)(1-click HTML)

A person appointed chief deputy supervisor must have had at least three years' experience in oil and gas field work. (5868)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5869)

Sec. 81.015. QUALIFICATIONS OF DEPUTY SUPERVISORS. (5870)(1-click HTML)

Any person appointed deputy supervisor must have had at least two years' experience in oil and gas field work, including substantial experience in drilling or production. (5871)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5872)

Sec. 81.016. SALARIES. (5873)(1-click HTML)

The salary of the chief supervisor, the chief deputy supervisor, and the deputy supervisors shall be the same as that provided in the General Appropriations Act. (5874)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5875)

Sec. 81.0165. SALARY OF SECRETARY. (5876)(1-click HTML)

The salary of the secretary of the commission shall be the amount appropriated for that purpose by the legislature. (5877)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.02, eff. April 1, 2011. (5878)

Sec. 81.017. ADDITIONAL EMPLOYEES. (5879)(1-click HTML)

The commission may employ gaugers, inspectors, investigators, supervisors, and clerical employees. These employees shall include a chief engineer, chief petroleum engineer, and an administrative chief, and their salaries shall be paid in the amounts provided in the General Appropriations Act. (5880)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 144, ch. 65, Sec. 1, eff. Sept. 1, 1981. (5881)

Sec. 81.018. PAYMENT OF SALARIES AND OTHER EXPENSES. (5882)(1-click HTML)

(a) Salaries and other expenses necessary in the administration and enforcement of the oil and gas laws shall be paid by warrants drawn by the comptroller on the State Treasury from general revenue. (5883)

(b) Warrants for expenses shall be issued only on duly verified statements of the persons entitled to the funds and on approval of the chairman of the commission. (5884)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5885)

Amended by: (5886)

Acts 2015, 84th Leg., R.S., Ch. 470 (S.B. 757), Sec. 3, eff. September 1, 2015. (5887)

Sec. 81.019. DUTIES OF CHIEF SUPERVISOR, CHIEF DEPUTY SUPERVISOR, DEPUTY SUPERVISORS, AND OTHER EMPLOYEES. (5888)(1-click HTML)

The chief supervisor, chief deputy supervisor, deputy supervisors, and other employees shall perform the duties prescribed by the commission in conformity with rules of the commission relating to the production, transportation, and conservation of crude oil and natural gas. (5889)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5890)

Sec. 81.020. ADDITIONAL DUTIES OF CHIEF SUPERVISOR AND HIS DEPUTIES. (5891)(1-click HTML)

(a) The chief supervisor and his deputies shall supervise the plugging of all abandoned wells and the shooting of wells and shall follow the rules of the commission relating to the production and conservation of oil and gas. (5892)

(b) The chief supervisor shall gather information and assist the commission in the performance of its duties under this title. (5893)

Acts 1977, 65th Leg., p. 2509, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5894)

SUBCHAPTER C. JURISDICTION, POWERS, AND DUTIES (5895)(1-click HTML)
Sec. 81.051. JURISDICTION OF COMMISSION. (5896)(1-click HTML)

(a) The commission has jurisdiction over all: (5897)

(1) common carrier pipelines defined in Section 111.002 of this code in Texas; (5898)

(2) oil and gas wells in Texas; (5899)

(3) persons owning or operating pipelines in Texas; and (5900)

(4) persons owning or engaged in drilling or operating oil or gas wells in Texas. (5901)

(b) Persons listed in Subsection (a) of this section and their pipelines and oil and gas wells are subject to the jurisdiction conferred by law on the commission. (5902)

Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1977, 65th Leg., p. 2694, ch. 871, art. II, Sec. 5, eff. Sept. 1, 1977. (5903)

Sec. 81.052. RULES. (5904)(1-click HTML)

The commission may adopt all necessary rules for governing and regulating persons and their operations under the jurisdiction of the commission as set forth in Section 81.051, including such rules as the commission may consider necessary and appropriate to implement state responsibility under any federal law or rules governing such persons and their operations. (5905)

Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1979, 66th Leg., p. 19, ch. 12, Sec. 1, eff. March 15, 1979. (5906)

Sec. 81.0521. FEE FOR APPLICATION FOR EXCEPTION TO RAILROAD COMMISSION RULE. (5907)(1-click HTML)

(a) With each application for an exception to any commission rule contained in Chapter 3 of Part I of Title 16 of the Texas Administrative Code, the applicant shall submit to the commission a fee of $150. (5908)

(b) The application fee for an exception to any commission rule may not be refunded. (5909)

(c) The proceeds from this fee, excluding any penalties collected in connection with the fee, shall be deposited to the oil and gas regulation and cleanup fund as provided by Section 81.067. (5910)

Added by Acts 1985, 69th Leg., ch. 239, Sec. 73, eff. Sept. 1, 1985. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 3, eff. Sept. 1, 2001. (5911)

Amended by: (5912)

Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.01, eff. September 28, 2011. (5913)

Acts 2015, 84th Leg., R.S., Ch. 448 (H.B. 7), Sec. 26, eff. September 1, 2015. (5914)

Sec. 81.0522. NATURAL GAS POLICY ACT APPLICATION FEE. (5915)(1-click HTML)

(a) With each Natural Gas Policy Act (15 U.S.C. Sections 3301-3432) application, the applicant shall submit to the commission a fee. The commission shall set the application fee in an amount necessary to cover the cost of the commission's well category determination program but not to exceed $150. (5916)

(b) The fee for any Natural Gas Policy Act application may not be refunded. (5917)

Added by Acts 1985, 69th Leg., ch. 239, Sec. 73, eff. Sept. 1, 1985. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 4, eff. Sept. 1, 2001. (5918)

Sec. 81.0523. EXCLUSIVE JURISDICTION AND EXPRESS PREEMPTION. (5919)(1-click HTML)

(a) In this section: (5920)

(1) "Commercially reasonable" means a condition that would allow a reasonably prudent operator to fully, effectively, and economically exploit, develop, produce, process, and transport oil and gas, as determined based on the objective standard of a reasonably prudent operator and not on an individualized assessment of an actual operator's capacity to act. (5921)

(2) "Oil and gas operation" means an activity associated with the exploration, development, production, processing, and transportation of oil and gas, including drilling, hydraulic fracture stimulation, completion, maintenance, reworking, recompletion, disposal, plugging and abandonment, secondary and tertiary recovery, and remediation activities. (5922)

(b) An oil and gas operation is subject to the exclusive jurisdiction of this state. Except as provided by Subsection (c), a municipality or other political subdivision may not enact or enforce an ordinance or other measure, or an amendment or revision of an ordinance or other measure, that bans, limits, or otherwise regulates an oil and gas operation within the boundaries or extraterritorial jurisdiction of the municipality or political subdivision. (5923)

(c) The authority of a municipality or other political subdivision to regulate an oil and gas operation is expressly preempted, except that a municipality may enact, amend, or enforce an ordinance or other measure that: (5924)

(1) regulates only aboveground activity related to an oil and gas operation that occurs at or above the surface of the ground, including a regulation governing fire and emergency response, traffic, lights, or noise, or imposing notice or reasonable setback requirements; (5925)

(2) is commercially reasonable; (5926)

(3) does not effectively prohibit an oil and gas operation conducted by a reasonably prudent operator; and (5927)

(4) is not otherwise preempted by state or federal law. (5928)

(d) An ordinance or other measure is considered prima facie to be commercially reasonable if the ordinance or other measure has been in effect for at least five years and has allowed the oil and gas operations at issue to continue during that period. (5929)

Added by Acts 2015, 84th Leg., R.S., Ch. 30 (H.B. 40), Sec. 2, eff. May 18, 2015. (5930)

Sec. 81.053. COMMISSION POWERS. (5931)(1-click HTML)

In the discharge of its duties and the enforcement of its jurisdiction under this title, the commission shall: (5932)

(1) institute suits; (5933)

(2) hear and determine complaints; (5934)

(3) require the attendance of witnesses and pay their expenses out of funds provided for that purpose; (5935)

(4) obtain the issuance of writs and process which may be necessary for the enforcement of its orders; and (5936)

(5) punish for contempt or disobedience of its orders in the manner provided for the district courts. (5937)

Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (5938)

Sec. 81.0531. ADMINISTRATIVE PENALTY. (5939)(1-click HTML)

(a) If a person violates provisions of this title which pertain to safety or the prevention or control of pollution or the provisions of a rule, order, license, permit, or certificate which pertain to safety or the prevention or control of pollution and are issued under this title, the person may be assessed a civil penalty by the commission. (5940)

(b) The penalty may not exceed: (5941)

(1) $10,000 a day for each violation that is not related to pipeline safety; or (5942)

(2) $200,000 a day for each violation that is related to pipeline safety. (5943)

(b-1) Each day a violation continues may be considered a separate violation for purposes of penalty assessments, provided that the maximum penalty that may be assessed for any related series of violations related to pipeline safety may not exceed $2 million. (5944)

(c) In determining the amount of the penalty, the commission shall consider the permittee's history of previous violations, the seriousness of the violation, any hazard to the health or safety of the public, and the demonstrated good faith of the person charged. In determining the amount of the penalty for a violation of a provision of this title or a rule, order, license, permit, or certificate that relates to pipeline safety, the commission shall consider the guidelines adopted under Subsection (d). (5945)

(d) The commission by rule shall adopt guidelines to be used in determining the amount of the penalty for a violation of a provision of this title or a rule, order, license, permit, or certificate that relates to pipeline safety. The guidelines shall include a penalty calculation worksheet that specifies the typical penalty for certain violations, circumstances justifying enhancement of a penalty and the amount of the enhancement, and circumstances justifying a reduction in a penalty and the amount of the reduction. The guidelines shall take into account: (5946)

(1) the permittee's history of previous violations, including the number of previous violations; (5947)

(2) the seriousness of the violation and of any pollution resulting from the violation; (5948)

(3) any hazard to the health or safety of the public; (5949)

(4) the degree of culpability; (5950)

(5) the demonstrated good faith of the person charged; and (5951)

(6) any other factor the commission considers relevant. (5952)

(e) A penalty collected under this section shall be deposited to the credit of the oil-field cleanup fund. (5953)

Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff. Sept. 1, 1983. Amended by Acts 1999, 76th Leg., ch. 1089, Sec. 1, eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 1233, Sec. 5, eff. Sept. 1, 2001. (5954)

Amended by: (5955)

Acts 2013, 83rd Leg., R.S., Ch. 104 (S.B. 900), Sec. 1, eff. September 1, 2013. (5956)

Sec. 81.0532. PENALTY ASSESSMENT PROCEDURE. (5957)(1-click HTML)

(a) A civil penalty may be assessed only after the person charged with a violation described under Section 81.0531 of this code has been given an opportunity for a public hearing. (5958)

(b) If a public hearing has been held, the commission shall make findings of fact, and it shall issue a written decision as to the occurrence of the violation and the amount of the penalty that is warranted, incorporating, when appropriate, an order requiring that the penalty be paid. (5959)

(c) If appropriate, the commission shall consolidate the hearings with other proceedings. (5960)

(d) If the person charged with the violation fails to avail himself of the opportunity for a public hearing, a civil penalty may be assessed by the commission after it has determined that a violation did occur and the amount of the penalty that is warranted. (5961)

(e) The commission shall then issue an order requiring that the penalty be paid. (5962)

Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff. Sept. 1, 1983. (5963)

Sec. 81.0533. PAYMENT OF PENALTY; REFUND. (5964)(1-click HTML)

(a) On the issuance of an order finding that a violation has occurred, the commission shall inform the person charged within 30 days of the amount of the penalty. (5965)

(b) Within the 30-day period immediately following the day on which the decision or order is final as provided in Subchapter F, Chapter 2001, Government Code, the person charged with the penalty shall: (5966)

(1) pay the penalty in full; or (5967)

(2) if the person seeks judicial review of either the amount of the penalty or the fact of the violation, or both: (5968)

(A) forward the amount to the commission for placement in an escrow account; or (5969)

(B) in lieu of payment into escrow, post with the commission a supersedeas bond in a form approved by the commission for the amount of the penalty, such bond to be effective until all judicial review of the order or decision is final. (5970)

(c) If through judicial review of the decision or order it is determined that no violation occurred or that the amount of the penalty should be reduced or not assessed, the commission shall, within the 30-day period immediately following that determination, if the penalty has been paid to the commission, remit the appropriate amount to the person, with accrued interest, or where a supersedeas bond has been posted, the commission shall execute a release of such bond. (5971)

(d) Failure to forward the money to the commission within the time provided by Subsection (b) of this section results in a waiver of all legal rights to contest the violation or the amount of the penalty. (5972)

(e) Judicial review of the order or decision of the commission assessing the penalty shall be under the substantial evidence rule and shall be instituted by filing a petition with the district court of Travis County, Texas, and not elsewhere, as provided for in Subchapter G, Chapter 2001, Government Code. (5973)

Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff. Sept. 1, 1983. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(53), (59), eff. Sept. 1, 1995. (5974)

Sec. 81.0534. RECOVERY OF PENALTY. (5975)(1-click HTML)

Civil penalties owed under Sections 81.0531-81.0533 of this code may be recovered in a civil action brought by the attorney general at the request of the commission. (5976)

Added by Acts 1983, 68th Leg., p. 1407, ch. 286, Sec. 1, eff. Sept. 1, 1983. (5977)

Sec. 81.054. ENFORCEMENT BY ATTORNEY GENERAL. (5978)(1-click HTML)

(a) The attorney general shall enforce the provision of this title by injunction or other adequate remedy and as otherwise provided by law. (5979)

(b) If an action is instituted by the attorney general under this section alleging a violation of an NPDES permit or the failure to obtain an NPDES permit under Chapter 91 or Chapter 141 of the Natural Resources Code, the attorney general may not oppose intervention by a person who has standing to intervene, as provided by Rule 60, Texas Rules of Civil Procedure. (5980)

Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1995, 74th Leg., ch. 310, Sec. 5, eff. Aug. 28, 1995. (5981)

Sec. 81.055. PIPELINE SYSTEM FINANCIAL RESPONSIBILITY REQUIREMENTS. (5982)(1-click HTML)

(a) Repealed by Acts 2011, 82nd Leg., R.S., Ch. 1083, Sec. 25(132), eff. June 17, 2011. (5983)

(b) If the legislature finds that adoption of such a requirement is desirable, the commission by rule may require an owner, operator, or manager of a pipeline system to obtain evidence of financial responsibility. The rules must specify the appropriate form and amount of that evidence and may require evidence of financial responsibility in different amounts for different pipeline systems, taking into consideration whether the pipeline system: (5984)

(1) has a history of discharges or other violations of regulatory requirements; or (5985)

(2) is located over a public drinking water supply, a natural resource, or a critical groundwater resource or near a school or populated area. (5986)

Added by Acts 2001, 77th Leg., ch. 1233, Sec. 6, eff. Sept. 1, 2001. (5987)

Amended by: (5988)

Acts 2011, 82nd Leg., R.S., Ch. 1083 (S.B. 1179), Sec. 25(132), eff. June 17, 2011. (5989)

Sec. 81.056. CONTAMINATION REPORT. (5990)(1-click HTML)

(a) In this section: (5991)

(1) "Common carrier" has the meaning assigned by Section 111.002. (5992)

(2) "Owner of the land" or "landowner" means the first person who is shown on the appraisal roll of the appraisal district established for the county in which a tract of land is located as owning an interest in the surface estate of the land at the time a contamination report is required to be made under this section. (5993)

(b) If in the process of placing, repairing, replacing, or maintaining a pipeline a common carrier or an owner or operator of a pipeline observes or detects any petroleum-based contamination of soil or water in proximity to the pipeline, the common carrier or pipeline owner or operator shall report the contamination to the commission and the owner of the land on which the pipeline is located. Petroleum-based contamination of soil or water that is observed or detected is required to be reported under this subsection if: (5994)

(1) hydrocarbons are present on the surface of the water; (5995)

(2) at least five linear yards of soil have been affected by hydrocarbons; or (5996)

(3) soil affected by hydrocarbons extends beyond the face of the excavation in which the contamination is observed or detected. (5997)

(c) The contamination report: (5998)

(1) must be made not later than 24 hours after the common carrier or pipeline owner or operator observes or detects the contamination; (5999)

(2) must include the global positioning satellite coordinates of the location of the contamination; and (6000)

(3) may be made by telephone, facsimile, or electronic mail. (6001)

(d) Not later than the third business day after the date the commission receives the contamination report, a person authorized by the commission shall withdraw a soil sample from the contaminated land. The person is entitled to enter the land for the purpose of withdrawing the sample. (6002)

(e) A common carrier or pipeline owner or operator that makes a contamination report under this section is released from all liability for the contamination or the cleanup of the contamination covered by the report, except for any contamination caused by the common carrier or pipeline owner or operator. (6003)

(f) The commission shall adopt rules to implement this section. (6004)

(g) The commission may use money in the oil-field cleanup fund to implement this section. The amount of money in the fund the commission may use for that purpose may not exceed the amount of money in the fund that is derived from fees collected under Section 91.142 from common carriers or owners or operators of pipelines as determined annually by the commission. (6005)

Added by Acts 2005, 79th Leg., Ch. 339 (S.B. 1130), Sec. 1, eff. September 1, 2005. (6006)

Amended by: (6007)

Acts 2009, 81st Leg., R.S., Ch. 166 (H.B. 472), Sec. 1, eff. September 1, 2009. (6008)

Acts 2009, 81st Leg., R.S., Ch. 166 (H.B. 472), Sec. 2, eff. September 1, 2009. (6009)

Sec. 81.057. EXEMPTION FROM CERTAIN PURCHASING RULES. (6010)(1-click HTML)

The commission is not required to follow any purchasing procedures prescribed by or under Subchapter E, Chapter 2155, Government Code, when the commission makes a purchase in connection with the remediation of surface locations or well plugging. (6011)

Added by Acts 2003, 78th Leg., ch. 1272, Sec. 2, eff. Sept. 1, 2003. (6012)

Amended by: (6013)

Acts 2005, 79th Leg., Ch. 514 (H.B. 773), Sec. 2, eff. September 1, 2005. (6014)

Acts 2009, 81st Leg., R.S., Ch. 393 (H.B. 1705), Sec. 3.06, eff. September 1, 2009. (6015)

Sec. 81.058. ADMINISTRATIVE PENALTY FOR CERTAIN NATURAL GAS-RELATED ACTIVITIES. (6016)(1-click HTML)

(a) The commission, after notice and opportunity for hearing, may impose an administrative penalty against a purchaser, transporter, gatherer, shipper, or seller of natural gas, a person described by Section 81.051(a) or 111.081(a), or any other entity under the jurisdiction of the commission under this code that the commission determines has: (6017)

(1) violated a commission rule adopting standards or a code of conduct for entities in the natural gas industry prohibiting unlawful discrimination; or (6018)

(2) unreasonably discriminated against a seller of natural gas in the purchase of natural gas from the seller. (6019)

(b) The commission, after notice and opportunity for hearing, may impose an administrative penalty against a purchaser, transporter, or gatherer of natural gas if the commission determines that the person engaged in prohibited discrimination against a shipper or seller of natural gas because the shipper or seller filed a formal or informal complaint with the commission against the person relating to the person's purchase, transportation, or gathering of the gas. (6020)

(c) The commission, after notice and opportunity for hearing, may impose an administrative penalty against a purchaser, transporter, gatherer, shipper, or seller of natural gas who is a party to an informal complaint resolution proceeding and is determined by the commission to have: (6021)

(1) failed to participate in the proceeding; or (6022)

(2) failed to provide information requested by a mediator in the proceeding. (6023)

(d) An administrative penalty imposed under this section may not exceed $5,000 a day for each violation. Each day a violation continues or occurs is a separate violation for purposes of imposing a penalty under this section. (6024)

(e) If the commission determines after notice and opportunity for hearing that an entity has engaged in prohibited discrimination for which a penalty may be imposed under this section, the commission may issue any order necessary and reasonable to prevent the discrimination from continuing. (6025)

(f) The remedy provided by this section is cumulative of any other remedy the commission may order. (6026)

Added by Acts 2007, 80th Leg., R.S., Ch. 757 (H.B. 3273), Sec. 1, eff. September 1, 2007. (6027)

Sec. 81.059. APPOINTMENT OF MEDIATORS FOR INFORMAL COMPLAINTS. (6028)(1-click HTML)

(a) The commission may provide for the appointment of a commission staff member as the mediator of an informal complaint filed with the commission, or the parties may agree to employ and pay an independent mediator for the purpose of mediating the complaint. (6029)

(b) If the parties request that the mediation be conducted at a location other than the offices of the commission in Austin, the parties shall reimburse the commission for the commission's costs related to travel to those other locations. (6030)

(c) This section does not prohibit the commission from requiring that the parties participate in a formal complaint resolution proceeding. (6031)

(d) At least annually, the commission shall notify oil and gas producers of the existence of any informal complaint resolution process provided for by the commission. (6032)

(e) Filing an informal complaint is not a prerequisite for filing a formal complaint. (6033)

Added by Acts 2007, 80th Leg., R.S., Ch. 757 (H.B. 3273), Sec. 1, eff. September 1, 2007. (6034)

Sec. 81.0591. COMPLAINTS. (6035)(1-click HTML)

(a) The commission shall maintain a file on each written complaint filed with the commission. The file must include: (6036)

(1) the name of the person who filed the complaint; (6037)

(2) the date the complaint is received by the commission; (6038)

(3) the subject matter of the complaint; (6039)

(4) the name of each person contacted in relation to the complaint; (6040)

(5) a summary of the results of the review or investigation of the complaint; and (6041)

(6) an explanation of the reason the file was closed, if the commission closed the file without taking action other than to investigate the complaint. (6042)

(b) The commission shall provide to the person filing the complaint and to each person who is a subject of the complaint a copy of the commission's policies and procedures relating to complaint investigation and resolution. (6043)

(c) The commission, at least quarterly until final disposition of the complaint, shall notify the person filing the complaint and each person who is a subject of the complaint of the status of the investigation unless the notice would jeopardize an undercover investigation. (6044)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.03, eff. April 1, 2011. (6045)

Sec. 81.0592. CONSUMER INTEREST INFORMATION. (6046)(1-click HTML)

(a) The commission shall prepare information of consumer interest describing the regulatory functions of the commission and the procedures by which consumer complaints are filed with and resolved by the commission. (6047)

(b) The commission shall make the information available to the public and appropriate state agencies. (6048)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.03, eff. April 1, 2011. (6049)

Sec. 81.060. CONFIDENTIALITY PROVISIONS. (6050)(1-click HTML)

(a) A confidentiality provision may not be required in a contract to which a producer is a party for the sale, transportation, or gathering of natural gas that is entered into on or after September 1, 2007. (6051)

(b) A confidentiality provision in a contract to which a producer is a party for the sale, transportation, or gathering of natural gas that was entered into before September 1, 2007, becomes unenforceable on the date the term of the contract expires. (6052)

Added by Acts 2007, 80th Leg., R.S., Ch. 757 (H.B. 3273), Sec. 1, eff. September 1, 2007. (6053)

Sec. 81.061. AUTHORITY TO ESTABLISH MARKET-BASED RATES. (6054)(1-click HTML)

(a) This section does not apply to rates established under Chapter 103, Utilities Code, or Subchapter C or G, Chapter 104, of that code. (6055)

(b) The commission may use a cost-of-service method or a market-based rate method in setting a rate in a formal rate proceeding. (6056)

(c) On the filing of a complaint by a shipper or seller of natural gas, the commission may set a transportation or gathering rate in a formal rate proceeding if the commission determines that the rate is necessary to remedy unreasonable discrimination in the provision of transportation or gathering services. The commission may set a rate regardless of whether the transporter or gatherer is classified as a utility by other law. (6057)

Added by Acts 2007, 80th Leg., R.S., Ch. 757 (H.B. 3273), Sec. 1, eff. September 1, 2007. (6058)

Sec. 81.062. PUBLIC PARTICIPATION. (6059)(1-click HTML)

The commission shall develop and implement policies that provide the public with a reasonable opportunity to appear before the commission and to speak on any issue under the jurisdiction of the commission. (6060)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.03, eff. April 1, 2011. (6061)

Sec. 81.063. ISSUANCE, SUSPENSION, OR REVOCATION OF LICENSE, PERMIT, OR CERTIFICATE. (6062)(1-click HTML)

(a) If the commission proposes to suspend or revoke a person's license, permit, or certificate of public convenience and necessity, the person is entitled to a hearing before the commission. (6063)

(b) The commission may not: (6064)

(1) refuse to issue a license, permit, or certificate to a person because of the person's race, religion, color, sex, or national origin; or (6065)

(2) revoke or suspend the license, permit, or certificate of a person because of the person's race, religion, color, sex, or national origin. (6066)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.03, eff. April 1, 2011. (6067)

Sec. 81.064. POWERS OF COMMISSIONER OR DESIGNATED EMPLOYEE IN CASES BEFORE COMMISSION. (6068)(1-click HTML)

(a) In a case before the commission, a commissioner, or an authorized commission employee, designated by the commission for that purpose, in the same manner as if the entire commission were present, may: (6069)

(1) hold a hearing; (6070)

(2) conduct an investigation; (6071)

(3) make a record of a hearing or investigation for the use and benefit of the commission; (6072)

(4) administer an oath; (6073)

(5) certify to an official act; and (6074)

(6) compel the attendance of a witness and the production of papers, books, accounts, and other pertinent documents and testimony. (6075)

(b) The record of a hearing or investigation made under this section that is certified to by the commissioner or employee has the same effect as if made before the commission. The commission shall determine a case in which the record is made under this section in the same manner as if the record had been made before the commission. (6076)

(c) The commission may punish for contempt a person who: (6077)

(1) refuses to comply with this section; or (6078)

(2) obstructs or attempts to obstruct a proceeding under this section. (6079)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.03, eff. April 1, 2011. (6080)

Sec. 81.067. OIL AND GAS REGULATION AND CLEANUP FUND. (6081)(1-click HTML)

(a) The oil and gas regulation and cleanup fund is created as an account in the general revenue fund of the state treasury. (6082)

(b) The commission shall certify to the comptroller the date on which the balance in the fund equals or exceeds $30 million. The oil-field cleanup regulatory fees on oil and gas shall not be collected or required to be paid on or after the first day of the second month following the certification, except that the comptroller shall resume collecting the fees on receipt of a commission certification that the fund has fallen below $25 million. The comptroller shall continue collecting the fees until collections are again suspended in the manner provided by this subsection. (6083)

(c) The fund consists of: (6084)

(1) proceeds from bonds and other financial security required by this chapter and benefits under well-specific plugging insurance policies described by Section 91.104(c) that are paid to the state as contingent beneficiary of the policies, subject to the refund provisions of Section 91.1091, if applicable; (6085)

(2) private contributions, including contributions made under Section 89.084; (6086)

(3) expenses collected under Section 89.083; (6087)

(4) fees imposed under Section 85.2021; (6088)

(5) costs recovered under Section 91.457 or 91.459; (6089)

(6) proceeds collected under Sections 89.085 and 91.115; (6090)

(7) interest earned on the funds deposited in the fund; (6091)

(8) oil and gas waste hauler permit application fees collected under Section 29.015, Water Code; (6092)

(9) costs recovered under Section 91.113(f); (6093)

(10) hazardous oil and gas waste generation fees collected under Section 91.605; (6094)

(11) oil-field cleanup regulatory fees on oil collected under Section 81.116; (6095)

(12) oil-field cleanup regulatory fees on gas collected under Section 81.117; (6096)

(13) fees for a reissued certificate collected under Section 91.707; (6097)

(14) fees collected under Section 91.1013; (6098)

(15) fees collected under Section 89.088; (6099)

(16) fees collected under Section 91.142; (6100)

(17) fees collected under Section 91.654; (6101)

(18) costs recovered under Sections 91.656 and 91.657; (6102)

(19) fees collected under Section 81.0521; (6103)

(20) fees collected under Sections 89.024 and 89.026; (6104)

(21) legislative appropriations; (6105)

(22) any surcharges collected under Section 81.070; (6106)

(23) fees collected under Section 91.0115; (6107)

(24) money deposited to the credit of the fund under Section 81.112; (6108)

(25) fees collected under Subchapter E, Chapter 121, Utilities Code; and (6109)

(26) fees collected under Section 27.0321, Water Code. (6110)

Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.02, eff. September 28, 2011. (6111)

Amended by: (6112)

Acts 2013, 83rd Leg., R.S., Ch. 835 (H.B. 7), Sec. 10, eff. June 14, 2013. (6113)

Acts 2013, 83rd Leg., R.S., Ch. 1075 (H.B. 3309), Sec. 1, eff. September 1, 2013. (6114)

Acts 2015, 84th Leg., R.S., Ch. 448 (H.B. 7), Sec. 27, eff. September 1, 2015. (6115)

Sec. 81.068. PURPOSES OF OIL AND GAS REGULATION AND CLEANUP FUND. (6116)(1-click HTML)

Money in the oil and gas regulation and cleanup fund may be used by the commission or its employees or agents for any purpose related to the regulation of oil and gas development, including oil and gas monitoring and inspections, oil and gas remediation, and oil and gas well plugging, the study and evaluation of electronic access to geologic data and surface casing depths necessary to protect usable groundwater in this state, alternative fuels programs under Section 81.0681, the administration of pipeline safety and regulatory programs, public information and services related to those activities, and administrative costs and state benefits for personnel involved in those activities. (6117)

Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.02, eff. September 28, 2011. (6118)

Amended by: (6119)

Acts 2013, 83rd Leg., R.S., Ch. 835 (H.B. 7), Sec. 11, eff. June 14, 2013. (6120)

Acts 2013, 83rd Leg., R.S., Ch. 1075 (H.B. 3309), Sec. 2, eff. September 1, 2013. (6121)

Reenacted and amended by Acts 2015, 84th Leg., R.S., Ch. 448 (H.B. 7), Sec. 28, eff. September 1, 2015. (6122)

Sec. 81.0681. ALTERNATIVE FUELS PROGRAMS. (6123)(1-click HTML)

(a) The commission shall adopt all necessary rules relating to activities regarding the use of alternative fuels that are or have the potential to be effective in improving the air quality, energy security, or economy of this state. (6124)

(b) The commission shall use the oil and gas regulation and cleanup fund to pay for activities relating to the use of alternative fuels, including direct and indirect costs relating to: (6125)

(1) researching all possible uses of liquefied petroleum gas and natural gas as alternative fuels; (6126)

(2) researching, developing, and implementing marketing, advertising, and informational programs relating to alternative fuels to make alternative fuels more understandable and readily available to consumers; (6127)

(3) developing and implementing conservation and distribution plans to minimize the frequency and severity of disruptions in the supply of alternative fuels; (6128)

(4) developing a public information plan that will provide advisory services relating to alternative fuels to consumers; (6129)

(5) developing voluntary participation plans to promote the use of alternative fuels by federal, state, and local agencies; and (6130)

(6) other functions the commission determines are necessary to add a program established by the commission for the purpose of promoting the use of liquefied petroleum gas, natural gas, or other alternative fuels. (6131)

Added by Acts 2013, 83rd Leg., R.S., Ch. 835 (H.B. 7), Sec. 12, eff. June 14, 2013. (6132)

Sec. 81.069. REPORTING ON PROGRESS IN MEETING PERFORMANCE GOALS FOR THE OIL AND GAS REGULATION AND CLEANUP FUND. (6133)(1-click HTML)

(a) The commission, through the legislative appropriations request process, shall establish specific performance goals for the oil and gas regulation and cleanup fund for the next biennium, including goals for each quarter of each state fiscal year of the biennium for the number of: (6134)

(1) orphaned wells to be plugged with state-managed funds; (6135)

(2) abandoned sites to be investigated, assessed, or cleaned up with state funds; and (6136)

(3) surface locations to be remediated. (6137)

(b) The commission shall provide quarterly reports to the Legislative Budget Board that include: (6138)

(1) the following information with respect to the period since the last report was provided as well as cumulatively: (6139)

(A) the amount of money deposited in the oil and gas regulation and cleanup fund; (6140)

(B) the amount of money spent from the fund for the purposes described by Subsection (a); (6141)

(C) the balance of the fund; and (6142)

(D) the commission's progress in meeting the quarterly performance goals established under Subsection (a) and, if the number of orphaned wells plugged with state-managed funds, abandoned sites investigated, assessed, or cleaned up with state funds, or surface locations remediated is at least five percent less than the number projected in the applicable goal established under Subsection (a), an explanation of the reason for the variance; and (6143)

(2) any additional information or data requested in writing by the Legislative Budget Board. (6144)

(c) The commission shall submit to the legislature and make available to the public, annually, a report that reviews the extent to which money provided under Section 81.067 has enabled the commission to better protect the environment through oil-field cleanup activities. The report must include: (6145)

(1) the performance goals established under Subsection (a) for that state fiscal year, the commission's progress in meeting those performance goals, and, if the number of orphaned wells plugged with state-managed funds, abandoned sites investigated, assessed, or cleaned up with state funds, or surface locations remediated is at least five percent less than the number projected in the applicable goal established under Subsection (a), an explanation of the reason for the variance; (6146)

(2) the number of orphaned wells plugged with state-managed funds, by region; (6147)

(3) the number of wells orphaned, by region; (6148)

(4) the number of inactive wells not currently in compliance with commission rules, by region; (6149)

(5) the status of enforcement proceedings for all wells in violation of commission rules and the period during which the wells have been in violation, by region in which the wells are located; (6150)

(6) the number of surface locations remediated, by region; (6151)

(7) a detailed accounting of expenditures of money in the fund for oil-field cleanup activities, including expenditures for plugging of orphaned wells, investigation, assessment, and cleaning up of abandoned sites, and remediation of surface locations; (6152)

(8) the method by which the commission sets priorities by which it determines the order in which orphaned wells are plugged; (6153)

(9) a projection of the amount of money needed for the next biennium for plugging orphaned wells, investigating, assessing, and cleaning up abandoned sites, and remediating surface locations; and (6154)

(10) the number of sites successfully remediated under the voluntary cleanup program under Subchapter O, Chapter 91, by region. (6155)

Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.02, eff. September 28, 2011. (6156)

Sec. 81.070. ESTABLISHMENT OF SURCHARGES ON FEES. (6157)(1-click HTML)

(a) Except as provided by Subsection (b), the commission by rule shall provide for the imposition of reasonable surcharges as necessary on fees imposed by the commission that are required to be deposited to the credit of the oil and gas regulation and cleanup fund as provided by Section 81.067 in amounts sufficient to enable the commission to recover the costs of performing the functions specified by Section 81.068 from those fees and surcharges. (6158)

(b) The commission may not impose a surcharge on an oil-field cleanup regulatory fee on oil collected under Section 81.116 or an oil-field cleanup regulatory fee on gas collected under Section 81.117. (6159)

(c) The commission by rule shall establish a methodology for determining the amount of a surcharge that takes into account: (6160)

(1) the time required for regulatory work associated with the activity in connection with which the surcharge is imposed; (6161)

(2) the number of individuals or entities from which the commission's costs may be recovered; (6162)

(3) the effect of the surcharge on operators of all sizes, as measured by the number of oil or gas wells operated; (6163)

(4) the balance in the oil and gas regulation and cleanup fund; and (6164)

(5) any other factors the commission determines to be important to the fair and equitable imposition of the surcharge. (6165)

(d) The commission shall collect a surcharge on a fee at the time the fee is collected. (6166)

(e) A surcharge collected under this section shall be deposited to the credit of the oil and gas regulation and cleanup fund as provided by Section 81.067. (6167)

(f) A surcharge collected under this section shall not exceed an amount equal to 185 percent of the fee on which it is imposed. (6168)

Added by Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.02, eff. September 28, 2011. (6169)

SUBCHAPTER D. WITNESSES (6170)(1-click HTML)
Sec. 81.091. INCRIMINATING TESTIMONY. (6171)(1-click HTML)

If a witness fails or refuses to appear on being summoned, to answer any question he is asked, or to produce any record or data required by subpoena, the claim that the testimony may tend to incriminate the person giving it does not excuse the witness from testifying or producing the records and data, but the evidence or testimony may not be used against the person on the trial of any criminal proceeding. (6172)

Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6173)

Sec. 81.092. FEE FOR EXECUTING PROCESS. (6174)(1-click HTML)

The sheriff or constable executing process shall receive the compensation authorized by the commission. (6175)

Acts 1977, 65th Leg., p. 2510, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6176)

Sec. 81.093. DEPOSITIONS. (6177)(1-click HTML)

(a) In a matter pending for hearing before the commission or a division of the commission, the commission or an interested party may produce the testimony of a witness by written or oral deposition instead of compelling the personal attendance of the witness. For that purpose, the commission may issue a commission or other process necessary to take a deposition. (6178)

(b) The deposition shall be taken, to the extent applicable and to the greatest extent possible, in accordance with the provisions of the Texas Rules of Civil Procedure relating to written and oral depositions. (6179)

Added by Acts 2009, 81st Leg., R.S., Ch. 85 (S.B. 1540), Sec. 3.04, eff. April 1, 2011. (6180)

SUBCHAPTER E. FEES (6181)(1-click HTML)

Without reference to the amendment of this section, this section was repealed by Acts 2015, 84th Leg., R.S., Ch. 470 (S.B. 757), Sec. 1(1), eff. September 1, 2015. (6182)

Sec. 81.112. DISPOSITION OF TAX PROCEEDS. (6183)(1-click HTML)

The tax shall be deposited in the oil and gas regulation and cleanup fund as provided by Section 81.067. (6184)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 144, ch. 65, Sec. 1, eff. Sept. 1, 1981. (6185)

Amended by: (6186)

Acts 2015, 84th Leg., R.S., Ch. 448 (H.B. 7), Sec. 29, eff. September 1, 2015. (6187)

Acts 2015, 84th Leg., R.S., Ch. 470 (S.B. 757), Sec. 1(1), eff. September 1, 2015. (6188)

Sec. 81.115. APPROPRIATIONS TO COMMISSION FOR OIL AND GAS REGULATION AND CLEANUP PURPOSES. (6189)(1-click HTML)

Money appropriated to the commission under the General Appropriations Act for the purposes described by Section 81.068 shall be paid from the oil and gas regulation and cleanup fund or other fund indicated by the appropriation. (6190)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 144, ch. 65, Sec. 1, eff. Sept. 1, 1981. (6191)

Amended by: (6192)

Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.03, eff. September 28, 2011. (6193)

Sec. 81.116. OIL-FIELD CLEANUP REGULATORY FEE ON OIL. (6194)(1-click HTML)

(a) An oil-field cleanup regulatory fee is imposed on crude petroleum produced in this state in the amount of five-eighths of one cent on each barrel of 42 standard gallons. (6195)

(b) The fee is in addition to, and independent of any liability for, the tax imposed under Chapter 202, Tax Code. (6196)

(c) Except as provided by Subsection (d) of this section, Chapter 202, Tax Code, applies to the administration and collection of the fee, and the penalties provided by that chapter apply to any person who fails to pay or report the fee. (6197)

(d) The comptroller shall suspend collection of the fee in the manner provided by Section 81.067. The exemptions and reductions set out in Sections 202.052, 202.054, 202.056, 202.057, 202.059, and 202.060, Tax Code, do not affect the fee imposed by this section. (6198)

(e) Proceeds from the fee, excluding any penalties collected in connection with the fee, shall be deposited to the oil and gas regulation and cleanup fund as provided by Section 81.067. (6199)

Added by Acts 1991, 72nd Leg., ch. 603, Sec. 2, eff. Sept. 1, 1991. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 7, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 200, Sec. 17, eff. Sept. 1, 2003. (6200)

Amended by: (6201)

Acts 2005, 79th Leg., Ch. 267 (H.B. 2161), Sec. 1, eff. January 1, 2006. (6202)

Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.04, eff. September 28, 2011. (6203)

Acts 2015, 84th Leg., R.S., Ch. 470 (S.B. 757), Sec. 5, eff. September 1, 2015. (6204)

Sec. 81.117. OIL-FIELD CLEANUP REGULATORY FEE ON GAS. (6205)(1-click HTML)

(a) An oil-field cleanup regulatory fee is imposed on gas initially produced and saved in this state in the amount of one-fifteenth of one cent for each thousand cubic feet. (6206)

(b) The fee is in addition to, and independent of any liability for, the tax imposed under Section 201.052, Tax Code. (6207)

(c) Except as provided by Subsection (d), the administration, collection, and enforcement of the fee is the same as for the tax imposed under Section 201.052, Tax Code. (6208)

(d) The comptroller shall suspend collection of the fee in the manner provided by Section 81.067. The exemptions and reductions set out in Sections 201.053, 201.057, 201.058, and 202.060, Tax Code, do not affect the fee imposed by this section. (6209)

(e) Proceeds from the fee, excluding any penalties collected in connection with the fee, shall be deposited to the oil and gas regulation and cleanup fund as provided by Section 81.067. (6210)

Added by Acts 1991, 72nd Leg., ch. 603, Sec. 2, eff. Sept. 1, 1991. Amended by Acts 2001, 77th Leg., ch. 1233, Sec. 8, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 200, Sec. 18, eff. Sept. 1, 2003. (6211)

Amended by: (6212)

Acts 2005, 79th Leg., Ch. 267 (H.B. 2161), Sec. 2, eff. January 1, 2006. (6213)

Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.05, eff. September 28, 2011. (6214)

SUBCHAPTER F. CAMPAIGNING (6215)(1-click HTML)
Sec. 81.151. PENALTY FOR CAMPAIGNING. (6216)(1-click HTML)

A person who receives a salary from funds provided under this title and who uses his time or a state-owned automobile for campaign purposes or for the purpose of furthering the candidacy of his employer or any other candidate for state office is guilty of a misdemeanor and on conviction shall be fined not less than $100 nor more than $500 and shall be confined in jail for not less than 30 nor more than 90 days. (6217)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6218)

Sec. 81.152. DISCHARGE AND INELIGIBILITY. (6219)(1-click HTML)

A person found guilty under Section 81.151 of this code shall be discharged immediately from his position and shall be ineligible for employment by the state in the future. (6220)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6221)

Sec. 81.153. SETTING CIVIL COMPLAINT FOR HEARING. (6222)(1-click HTML)

If a citizen of this state files a civil complaint with a district court in Travis County charging an employee with use of his time or a state-owned automobile for campaign purposes or to further the candidacy of his employer or any other candidate for state office, the court shall set the complaint for hearing at a time not less than 10 nor more than 20 days after the day on which the complaint is filed. (6223)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6224)

Sec. 81.154. NOTICE TO EMPLOYEE. (6225)(1-click HTML)

The court shall have notice of the hearing served on the employee against whom the complaint was filed at least five days before the date of the hearing. (6226)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6227)

Sec. 81.155. COURT'S ORDER. (6228)(1-click HTML)

At the hearing, if the court determines that the employee has used his time or a state-owned automobile as charged in the complaint, the court shall certify the fact to the department, agency, or commission which employs the person and order the employee's immediate discharge. (6229)

Acts 1977, 65th Leg., p. 2511, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6230)

Sec. 81.156. APPEAL. (6231)(1-click HTML)

Any person against whom charges have been filed is entitled to appeal to the court of appeals, but the pendency of the appeal does not suspend his discharge. (6232)

Acts 1977, 65th Leg., p. 2512, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 799, ch. 291, Sec. 91, eff. Sept. 1, 1981. (6233)

SUBTITLE B. CONSERVATION AND REGULATION OF OIL AND GAS (6234)(1-click HTML)

CHAPTER 85. CONSERVATION OF OIL AND GAS (6235)(1-click HTML)
Sec. 85.001. DEFINITIONS. (6236)(1-click HTML)

(a) In this chapter: (6237)

(1) "Commission" means the Railroad Commission of Texas. (6238)

(2) "Pool," "common pool," "field," or "common source of supply" means a common reservoir. (6239)

(3) "Pool" means an underground reservoir containing a connected accumulation of crude petroleum oil, or natural gas, or both. (6240)

(4) "Product" and "product of oil or gas" mean a commodity or thing made or manufactured from oil or gas and derivatives or by-products of oil or gas, including refined crude oil, crude tops, topped crude, processed crude petroleum, residue from crude petroleum, cracking stock, uncracked fuel oil, treated crude oil, fuel oil, residuum, gas oil, naphtha, distillate, gasoline, kerosene, benzine, wash oil, waste oil, lubricating oil, casinghead gas, casinghead gasoline, blended gasoline, and blends or mixtures of oil, or gas, or any derivatives or by-products of them. (6241)

(b) "Oil" means crude petroleum oil, crude petroleum, and crude oil, and "gas" means natural gas. These terms shall not be construed as referring to substances different from those referred to in this chapter and other laws as "oil and gas" and these terms mean the same whether used in this chapter or in other laws relating to the conservation of oil and gas. (6242)

Acts 1977, 65th Leg., p. 2514, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6243)

Sec. 85.002. ANTITRUST AND MONOPOLY STATUTES. (6244)(1-click HTML)

(a) The provisions of this chapter that were formerly a part of Chapter 26, Acts of the 42nd Legislature, 1st Called Session, 1931, as amended, Chapter 2, Acts of the 42nd Legislature, 4th Called Session, 1932, as amended, and Chapter 76, General Laws, Acts of the 44th Legislature, Regular Session, 1935, as amended, do not affect, alter, diminish, change, or modify the antitrust and monopoly laws of this state and do not directly or indirectly authorize a violation of the antitrust and monopoly laws of this state. (6245)

(b) It is the legislative intent that no provision of this chapter that was formerly a part of Chapter 26, Acts of the 42nd Legislature, 1st Called Session, 1931, as amended, Chapter 2, Acts of the 42nd Legislature, 4th Called Session, 1932, as amended, or Chapter 76, General Laws, Acts of the 44th Legislature, Regular Session, 1935, as amended, shall affect, alter, diminish, or amend in any manner a provision of the antitrust and monopoly laws of this state or authorize a violation of the antitrust and monopoly laws. The legislative intent expressed in this subsection shall prevail and take precedence over sections cited in this subsection regardless of any statement in these sections to the contrary. (6246)

(c) If any provision of this chapter that was formerly a part of Chapter 26, Acts of the 42nd Legislature, 1st Called Session, 1931, as amended, Chapter 2, Acts of the 42nd Legislature, 4th Called Session, 1932, as amended, or Chapter 76, General Laws, Acts of the 44th Legislature, Regular Session, 1935, as amended, is construed by a court of this state in a manner that will affect, alter, diminish, or modify any provision of the antitrust and monopoly laws of this state, this provision which is in conflict is declared null and void rather than the antitrust and monopoly laws. (6247)

Acts 1977, 65th Leg., p. 2515, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6248)

Sec. 85.011. SUPERVISORS, DEPUTY SUPERVISORS, AND UMPIRES. (6249)(1-click HTML)

The commission shall employ all supervisors, deputy supervisors, and umpires necessary to carry out the provisions of this chapter and other related laws and rules and orders of the commission. (6250)

Acts 1977, 65th Leg., p. 2515, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6251)

Sec. 85.012. ASSISTANTS AND CLERICAL HELP. (6252)(1-click HTML)

The commission shall employ other assistants and clerical help necessary to carry out the provisions of this chapter and other related laws and rules and orders of the commission. (6253)

Acts 1977, 65th Leg., p. 2515, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6254)

Sec. 85.013. PERSONS ENFORCING RULES AND ORDERS. (6255)(1-click HTML)

A person entrusted with the enforcement of the rules and orders of the commission shall be a regular employee of the state and paid by the state. No person other than a regular employee of the state may be charged with or relied on for the performance of these duties. (6256)

Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6257)

SUBCHAPTER C. PROVISIONS GENERALLY APPLICABLE TO THE CONSERVATION OF OIL AND GAS (6258)(1-click HTML)
Sec. 85.041. ACTS PROHIBITED IN VIOLATION OF LAWS, RULES, AND ORDERS. (6259)(1-click HTML)

(a) The purchase, acquisition, or sale, or the transporting, refining, processing, or handling in any other way, of oil or gas, produced in whole or in part in violation of any oil or gas conservation statute of this state or of any rule or order of the commission under such a statute, is prohibited. (6260)

(b) The purchase, acquisition, or sale, or the transporting, refining, processing, or handling in any other way, of any product of oil or gas which is derived in whole or in part from oil or gas or any product of either, which was in whole or part produced, purchased, acquired, sold, transported, refined, processed, or handled in any other way, in violation of any oil or gas conservation statute of this state, or of any rule or order of the commission under such a statute, is prohibited. (6261)

Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6262)

Sec. 85.042. RULES AND ORDERS. (6263)(1-click HTML)

(a) The commission may promulgate and enforce rules and orders necessary to carry into effect the provisions of Section 85.041 of this code and to prevent that section's violation. (6264)

(b) When necessary, the commission shall make and enforce rules either general in their nature or applicable to particular fields for the prevention of actual waste of oil or operations in the field dangerous to life or property. (6265)

Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6266)

Sec. 85.043. APPLICATION OF CERTAIN RULES AND ORDERS. (6267)(1-click HTML)

If the commission requires a showing that refined products were manufactured from oil legally produced, the requirement shall be of uniform application throughout the state; provided that, if the rule or order is promulgated for the purpose of controlling a condition in any local area or preventing a violation in any local area, then on the complaint of a person that the same or similar conditions exist in some other local area and the promulgation and enforcement of the rule could be beneficially applied to that additional area, the commission may determine whether or not those conditions do exist, and if it is shown that they do, the rule or order may be enlarged to include the additional area. (6268)

Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6269)

Amended by: (6270)

Acts 2005, 79th Leg., Ch. 346 (S.B. 1175), Sec. 1, eff. June 17, 2005. (6271)

Sec. 85.044. EXEMPT PURCHASES. (6272)(1-click HTML)

The provisions of Sections 85.041 through 85.043 of this code do not apply to the purchase of products of oil if made by the ultimate consumer from a retail distributor of the products. (6273)

Acts 1977, 65th Leg., p. 2516, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6274)

Sec. 85.045. WASTE ILLEGAL AND PROHIBITED. (6275)(1-click HTML)

The production, storage, or transportation of oil or gas in a manner, in an amount, or under conditions that constitute waste is unlawful and is prohibited. (6276)

Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6277)

Sec. 85.046. WASTE. (6278)(1-click HTML)

(a) The term "waste," among other things, specifically includes: (6279)

(1) operation of any oil well or wells with an inefficient gas-oil ratio and the commission may determine and prescribe by order the permitted gas-oil ratio for the operation of oil wells; (6280)

(2) drowning with water a stratum or part of a stratum that is capable of producing oil or gas or both in paying quantities; (6281)

(3) underground waste or loss, however caused and whether or not the cause of the underground waste or loss is defined in this section; (6282)

(4) permitting any natural gas well to burn wastefully; (6283)

(5) creation of unnecessary fire hazards; (6284)

(6) physical waste or loss incident to or resulting from drilling, equipping, locating, spacing, or operating a well or wells in a manner that reduces or tends to reduce the total ultimate recovery of oil or gas from any pool; (6285)

(7) waste or loss incident to or resulting from the unnecessary, inefficient, excessive, or improper use of the reservoir energy, including the gas energy or water drive, in any well or pool; however, it is not the intent of this section or the provisions of this chapter that were formerly a part of Chapter 26, Acts of the 42nd Legislature, 1st Called Session, 1931, as amended, to require repressuring of an oil pool or to require that the separately owned properties in any pool be unitized under one management, control, or ownership; (6286)

(8) surface waste or surface loss, including the temporary or permanent storage of oil or the placing of any product of oil in open pits or earthen storage, and other forms of surface waste or surface loss including unnecessary or excessive surface losses, or destruction without beneficial use, either of oil or gas; (6287)

(9) escape of gas into the open air in excess of the amount necessary in the efficient drilling or operation of the well from a well producing both oil and gas; (6288)

(10) production of oil in excess of transportation or market facilities or reasonable market demand, and the commission may determine when excess production exists or is imminent and ascertain the reasonable market demand; and (6289)

(11) surface or subsurface waste of hydrocarbons, including the physical or economic waste or loss of hydrocarbons in the creation, operation, maintenance, or abandonment of an underground hydrocarbon storage facility. (6290)

(b) Notwithstanding the provisions contained in this section or elsewhere in this code or in other statutes or laws, the commission may permit production by commingling oil or gas or oil and gas from multiple stratigraphic or lenticular accumulations of oil or gas or oil and gas where the commission, after notice and opportunity for hearing, has found that producing oil or gas or oil and gas in a commingled state will prevent waste, promote conservation, or protect correlative rights. (6291)

(c) The commission, after notice and opportunity for hearing, may permit surface commingling of production of oil or gas or oil and gas from two or more tracts of land producing from the same reservoir or from one or more tracts of land producing from different reservoirs if the commission finds that the commingling will prevent waste, promote conservation, or protect correlative rights. The commission may permit the commingling regardless of whether the tracts or commission-designated reservoirs have the same working or royalty interest ownership. The amount of production attributable to each tract or commission-designated reservoir shall be determined in a manner consistent with this title. The commission has broad discretion in administering this subsection and shall adopt and enforce rules or orders as necessary to administer this subsection. (6292)

Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1979, 66th Leg., p. 673, ch. 300, Sec. 1, eff. May 29, 1979; Acts 1981, 67th Leg., p. 3166, ch. 830, Sec. 2, eff. June 17, 1981; Acts 1995, 74th Leg., ch. 870, Sec. 1, eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch. 871, Sec. 1, eff. Sept. 1, 1995. (6293)

Sec. 85.047. EXCLUSION FROM DEFINITION OF WASTE. (6294)(1-click HTML)

The use of gas produced from an oil well within the permitted gas-oil ratio for manufacture of natural gasoline shall not be included in the definition of waste. (6295)

Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6296)

Sec. 85.048. AUTHORITY TO LIMIT PRODUCTION. (6297)(1-click HTML)

(a) Under the provisions of Subsection (10), Section 85.046 of this code, the commission shall not restrict the production of oil from any new field brought into production by exploration until the total production from that field is 10,000 barrels of oil a day in the aggregate. (6298)

(b) The commission's authority to restrict production from a new field under other provisions of Section 85.046 of this code is not limited by this section. (6299)

Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6300)

Sec. 85.049. HEARING. (6301)(1-click HTML)

(a) On verified complaint of any person interested in the subject matter that waste of oil or gas is taking place in this state or is reasonably imminent, or on its own initiative, the commission, after proper notice, may hold a hearing to determine whether or not waste is taking place or is reasonably imminent and if any rule or order should be adopted or if any other action should be taken to correct, prevent, or lessen the waste. (6302)

(b) The hearing shall be held at the time and place determined by the commission. (6303)

Acts 1977, 65th Leg., p. 2517, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6304)

Sec. 85.050. PROCEDURE AT HEARING. (6305)(1-click HTML)

(a) At the hearing, interested parties shall be entitled to be heard and to introduce evidence and require the attendance of witnesses. (6306)

(b) The production of evidence may be required as provided by law. (6307)

Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6308)

Sec. 85.051. ADOPTION OF RULE OR ORDER. (6309)(1-click HTML)

If the commission finds at the hearing that waste is taking place or is reasonably imminent, it shall adopt a rule or order in the manner provided by law as it considers reasonably required to correct, prevent, or lessen the waste. (6310)

Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6311)

Sec. 85.052. COMPLIANCE WITH RULE OR ORDER. (6312)(1-click HTML)

From and after the promulgation of a rule or order of the commission, it is the duty of each person affected by the rule or order to comply with it. (6313)

Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6314)

Sec. 85.053. DISTRIBUTION, PRORATION, AND APPORTIONMENT OF ALLOWABLE PRODUCTION. (6315)(1-click HTML)

(a) If a rule or order of the commission limits or fixes in a pool or portion of a pool the production of oil, or the production of gas from wells producing gas only, the commission, on written complaint by an affected party or on its own initiative and after notice and an opportunity for a hearing, shall distribute, prorate, or otherwise apportion or allocate the allowable production among the various producers on a reasonable basis if the commission finds that action to be necessary to: (6316)

(1) prevent waste; or (6317)

(2) adjust the correlative rights and opportunities of each owner of oil or gas in a common reservoir to produce and use or sell the oil or gas as permitted in this chapter. (6318)

(b) When, as provided in Subsection (b) of Section 85.046 or Subsection (b) of Section 86.012 of this code, as amended, the commission has permitted production by commingling oil or gas or oil and gas from multiple stratigraphic or lenticular accumulations of oil or gas or oil and gas, the commission may distribute, prorate, apportion, or allocate the production of such commingled separate multiple stratigraphic or lenticular accumulations of oil or gas or oil and gas as if they were a single pool; provided, however, that: (6319)

(i) such commingling shall not cause the allocation of allowable production from a well producing from any separate accumulation or accumulations to be less than that which would result from the commission applying the provisions of Section 86.095 of this code to such accumulation or accumulations; and (6320)

(ii) the allocation of the allowable for such commingled production shall be based on not less than two factors which the Railroad Commission shall take into account as directed by Section 86.089 of this code. (6321)

Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 2578, ch. 688, Sec. 1, eff. June 16, 1981; Acts 1995, 74th Leg., ch. 435, Sec. 1, eff. Aug. 28, 1995. (6322)

Amended by: (6323)

Acts 2005, 79th Leg., Ch. 346 (S.B. 1175), Sec. 2, eff. June 17, 2005. (6324)

Sec. 85.054. ALLOWABLE PRODUCTION OF OIL. (6325)(1-click HTML)

(a) To prevent unreasonable discrimination in favor of one pool as against another, and on written complaint and proof of such discrimination or if the commission on its own initiative finds such an action to be necessary, the commission may allocate or apportion the allowable production of oil on a fair and reasonable basis among the various pools in the state. (6326)

(b) In allocating or ascertaining the reasonable market demand for the entire state, the reasonable market demand of one pool shall not be discriminated against in favor of another pool. (6327)

(c) The commission may determine the reasonable market demand of the respective pool as the basis for determining the allotments to be assigned to the respective pool so that discrimination may be prevented. (6328)

Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6329)

Amended by: (6330)

Acts 2005, 79th Leg., Ch. 346 (S.B. 1175), Sec. 3, eff. June 17, 2005. (6331)

Sec. 85.055. ALLOWABLE PRODUCTION OF GAS. (6332)(1-click HTML)

(a) If, on written complaint by an affected party or on its own initiative and after notice and an opportunity for a hearing, the commission finds that full production from wells producing gas only from a common source of supply of gas in this state is in excess of the reasonable market demand, the commission shall inquire into the production and reasonable market demand for the gas and shall determine the allowable production from the common source of supply. (6333)

(b) The allowable production from a prorated common source of supply is that portion of the reasonable market demand that can be produced without waste. (6334)

(c) The commission shall allocate, distribute, or apportion the allowable production from the prorated common source of supply among the various producers on a reasonable basis and shall limit the production of each producer to the amount allocated or apportioned to the producer. (6335)

(d) When, as provided in Subsection (b) of Section 85.046 or Subsection (b) of Section 86.012 of this code, as amended, the commission has permitted production by commingling oil or gas or oil and gas from multiple stratigraphic or lenticular accumulations of oil or gas or oil and gas, the commission may allocate, distribute, or apportion the production of such commingled separate multiple stratigraphic or lenticular accumulations of oil or gas or oil and gas as if they were a single common source of supply; provided, however, that: (6336)

(i) such commingling shall not cause the allocation of allowable production from a well producing from any separate accumulation or accumulations to be less than that which would result from the commission applying the provisions of Section 86.095 of this code to such accumulation or accumulations; and (6337)

(ii) the allocation of the allowable for such commingled production shall be based on not less than two factors which the Railroad Commission shall take into account as directed by Section 86.089 of this code. (6338)

Acts 1977, 65th Leg., p. 2518, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1981, 67th Leg., p. 2579, ch. 688, Sec. 2, eff. June 16, 1981; Acts 1995, 74th Leg., ch. 435, Sec. 2, eff. Aug. 28, 1995. (6339)

Amended by: (6340)

Acts 2005, 79th Leg., Ch. 346 (S.B. 1175), Sec. 4, eff. June 17, 2005. (6341)

Sec. 85.056. PUBLIC INTEREST. (6342)(1-click HTML)

In the administration of the provisions of this chapter that were formerly a part of Chapter 2, Acts of the 42nd Legislature, 4th Called Session, 1932, as amended, the commission shall take into consideration and protect the rights and interests of the purchasing and consuming public in oil and all its products, such as gasoline and lubricating oil. (6343)

Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6344)

Sec. 85.057. RESTRICTION ON UNEXPLORED TERRITORY. (6345)(1-click HTML)

The provisions of this chapter that were formerly a part of Chapter 2, Acts of the 42nd Legislature, 4th Called Session, 1932, as amended, shall not be construed to grant the commission any authority to restrict or in any manner limit the drilling of wells to explore for oil or gas or both in territory that is not known to produce either oil or gas. (6346)

Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6347)

Sec. 85.058. COMMISSION INQUIRY AND DETERMINATION. (6348)(1-click HTML)

From time to time, the commission may inquire into the production, storage, transportation, refining, reclaiming, treating, marketing, and processing of oil and gas, and the reasonable market demand for oil and gas, so that it may determine whether or not waste exists or is imminent or whether the oil and gas conservation laws of this state or the rules and orders of the commission promulgated under those laws are being violated. (6349)

Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6350)

Amended by: (6351)

Acts 2005, 79th Leg., Ch. 346 (S.B. 1175), Sec. 5, eff. June 17, 2005. (6352)

Sec. 85.059. RECORDS. (6353)(1-click HTML)

Each person who produces, stores, transports, refines, reclaims, treats, markets, or processes oil or gas or the products of either shall keep in this state accurate records of the amount of oil or gas which such person produced, stored, transported, refined, reclaimed, treated, marketed, or processed and of the source from which the person produced, obtained, or received the oil or gas or the products of either and the disposition made of them. (6354)

Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6355)

Sec. 85.060. SWORN STATEMENTS AND REPORTS. (6356)(1-click HTML)

The commission may require a person who produces, stores, transports, refines, reclaims, treats, markets, or processes oil or gas or the products of either to make and file with the commission sworn statements or reports as to facts within his knowledge or possession pertaining to the reasonable market demand for oil and to the production, storage, transportation, refining, reclaiming, treating, marketing, or processing of oil or gas and the products of either. The report shall include those facts enumerated in Section 85.059 of this code. (6357)

Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6358)

Sec. 85.061. INSPECTION AND GAUGING. (6359)(1-click HTML)

The commission may require any well, lease, refinery, plant, tank or storage, pipeline, or gathering line that belongs to or is under the control of a person who produces, stores, transports, refines, reclaims, treats, markets, or processes oil or gas or the products of either to be inspected or gauged by the agents of the commission whenever and as often as and for such periods as the commission considers necessary. (6360)

Acts 1977, 65th Leg., p. 2519, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6361)

Sec. 85.062. EXAMINATION OF BOOKS AND RECORDS. (6362)(1-click HTML)

The commission and its agents and the attorney general and his assistants and representatives may examine the books and records of a person who produces, stores, transports, refines, reclaims, treats, markets, or processes oil or gas or the products of either as often as considered necessary for the purpose of determining the facts concerning matters covered by Sections 85.058 through 85.061 of this code. (6363)

Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6364)

Sec. 85.063. VIOLATIONS BY CORPORATIONS. (6365)(1-click HTML)

(a) The failure of a corporation chartered under the laws of this state to comply with the provisions of Sections 85.059 through 85.062 of this code and to keep the records required by Section 85.059 of this code in this state or the refusal to permit officers designated in Section 85.062 of this code to inspect and examine the records required by Section 85.059 of this code shall constitute grounds for forfeiture of the corporation's charter rights and privileges and dissolution of its corporate existence. (6366)

(b) The failure of a foreign corporation to comply with the provisions of Sections 85.059 through 85.062 of this code and to keep the records required by Section 85.059 of this code in this state or the refusal to permit officers designated in Section 85.062 of this code to inspect and examine the records required by Section 85.059 of this code shall be grounds for enjoining and forever prohibiting such corporation from doing business in this state. (6367)

Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6368)

Sec. 85.064. ACTION AGAINST CORPORATION. (6369)(1-click HTML)

(a) If he determines that the public interest requires it, the attorney general shall institute suit or other appropriate action in Travis County for forfeiture of charter rights of a domestic corporation or to enjoin a foreign corporation from doing business in this state when a corporation is deemed guilty of violating the provisions of Sections 85.059 through 85.062 of this code. The attorney general may take this action on his own motion and without leave or order of any judge or court. (6370)

(b) On judgment against a defendant for violating the provisions of Sections 85.059 through 85.062 of this code, the court may, if in its judgment the public interest requires it, forfeit the charter rights of a defendant domestic corporation or enjoin a defendant foreign corporation from doing business in this state. (6371)

Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6372)

Sec. 85.065. INFORMAL COMPLAINT PROCESS REGARDING LOSS OF OR INABILITY TO ACCOUNT FOR NATURAL GAS GATHERED OR TRANSPORTED. (6373)(1-click HTML)

(a) A producer may submit a written request to a person who gathers or transports gas for the producer for an explanation of any loss of or inability to account for the gas tendered to the person by the producer. The request may ask the person to provide any or all of the information that would be required to be included in an accounting under Subsection (c). Not later than the 30th day after the date the person receives the request from the producer, the person must provide the producer a written explanation of any loss of or inability to account for the gas tendered to the person by the producer. The response must include any relevant information requested by the producer that is available to the person and that would be required to be included in an accounting under Subsection (c). (6374)

(b) If a producer submits a request under Subsection (a) to a person who gathers or transports gas for the producer and the person provides an inadequate explanation of any loss of or inability to account for the gas, or fails to provide any explanation of any loss of or inability to account for the gas by the deadline provided by that subsection, the producer may file with the commission an informal complaint against the person. An informal complaint may not be filed before the 30th day after the end of the production period covered by the complaint. An informal complaint must: (6375)

(1) specify the production period covered by the complaint; (6376)

(2) state that at least 30 days have elapsed since the end of the production period covered by the complaint; and (6377)

(3) if the producer metered the volume of gas tendered to the person who gathered or transported the gas: (6378)

(A) describe the type of meter used; and (6379)

(B) state the date the meter was last calibrated. (6380)

(c) Not later than the 14th day after the date the complaint is filed, the person who gathered or transported the gas shall provide to the producer and the commission an accounting of the gas tendered to the person by the producer for gathering or transport during the production period covered by the complaint. The accounting may be provided on a thousand cubic feet or a million British thermal unit basis, as applicable, and must include the information the commission determines to be necessary to resolve an informal complaint under this section, which may include: (6381)

(1) the amount of gas tendered by the producer from each well that has a meter; (6382)

(2) a laboratory analysis of the composition and heating value of the gas and other substances tendered by the producer, if such an analysis has been performed; (6383)

(3) if available, a schematic drawing of the person's system for gathering or transporting gas that shows: (6384)

(A) each meter type; (6385)

(B) the date each meter was last calibrated; (6386)

(C) the accuracy of each meter; and (6387)

(D) all equipment that alters, disposes of, or otherwise consumes any of the gas tendered to the person; (6388)

(4) the estimated amount of gas used for fuel, flared, or vented for construction, repair, maintenance, or other operational uses and, if the information is available, the location of that use; (6389)

(5) the estimated amount of contaminants or other impurities removed from the gas and the location at which the impurities were removed; (6390)

(6) the estimated amount of liquid hydrocarbons and condensate removed from the gas and the location at which the liquid hydrocarbons and condensate were removed; (6391)

(7) the estimated amount of gas lost and the location at which the gas was lost; (6392)

(8) the estimated amount of gas redelivered by the person, including the amount of gas sold that was allocated to the producer, and the location at which the redelivery of the gas occurred; (6393)

(9) any amount of gas received from the producer by the person that remains unaccounted for; and (6394)

(10) any other information the person who gathered or transported the gas considers relevant to the resolution of the complaint. (6395)

(d) The commission may grant an extension of time to the person who gathered or transported the gas to provide the accounting required by Subsection (c). An extension may not permit the accounting to be provided later than the 45th day after the date the informal complaint was filed. (6396)

(e) If the person who gathered or transported the gas does not have the information necessary to provide the accounting required by Subsection (c), the person must provide to the producer and to the commission a written explanation of the reason the person does not have the information. (6397)

(f) If the person who gathered or transported the gas fails to provide the accounting required by Subsection (c) or the explanation required by Subsection (e), the informal complaint filed by the producer is considered to be valid. (6398)

(g) If Subsection (f) applies or the commission determines that the person who gathered or transported the gas committed waste, the commission may take any action it considers appropriate, including issuing an order in a formal proceeding to prevent waste by the person who gathered or transported the gas. (6399)

(h) This subsection applies only to a producer and a person who gathers or transports gas for the producer under a contract between the producer and that person that is entered into or renewed on or after September 1, 2007. On written request, the producer is entitled to audit the books and records of the person that pertain to the contract between the producer and the person for the purpose of verifying whether any gas tendered to the person by the producer that the person has lost or is unable to account for has been allocated to the volume of gas tendered to the person by the producer as required by the contract. A producer is not entitled to conduct an audit under this subsection more frequently than annually. (6400)

Added by Acts 2007, 80th Leg., R.S., Ch. 696 (H.B. 1920), Sec. 1, eff. September 1, 2007. (6401)

SUBCHAPTER D. MARGINAL WELLS (6402)(1-click HTML)
Sec. 85.121. DEFINITIONS. (6403)(1-click HTML)

(a) In this subchapter, "marginal well" means an oil well that is incapable of producing its maximum capacity of oil except by pumping, gas lift, or other means of artificial lift, and which well so equipped is capable, under normal unrestricted operating conditions, of producing such daily quantities of oil, as provided in this subchapter, that would be damaged, or result in a loss of production ultimately recoverable, or cause the premature abandonment of the well, if its maximum daily production were artificially curtailed. (6404)

(b) As used in Subsection (a), Section 85.121 and Section 85.122 of this code, "gas lift" means gas lift by the use of gas not in solution with oil produced. (6405)

Acts 1977, 65th Leg., p. 2520, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6406)

Sec. 85.122. WELLS CONSIDERED AS MARGINAL WELLS. (6407)(1-click HTML)

Wells that are considered marginal wells include any oil well in this state that is incapable of producing its maximum daily capacity of oil except by pumping, gas lift, or other means of artificial lift and having: (6408)

(1) when producing from a depth of 2,000 feet or less, a maximum daily capacity for production of 10 barrels or less, averaged over the preceding 10 consecutive days of stabilized production; (6409)

(2) when producing from a horizon deeper than 2,000 feet and less in depth than 4,000 feet, a maximum daily capacity for production of 20 barrels or less, averaged over the preceding 10 consecutive days of stabilized production; (6410)

(3) when producing from a horizon deeper than 4,000 feet and less in depth than 6,000 feet, a maximum daily capacity for production of 25 barrels or less, averaged over the preceding 10 consecutive days of stabilized production; (6411)

(4) when producing from a horizon deeper than 6,000 feet and less in depth than 8,000 feet, a maximum daily capacity for production of 30 barrels or less, averaged over the preceding 10 consecutive days of stabilized production; or (6412)

(5) when producing from a horizon deeper than 8,000 feet, a maximum daily capacity for production of 35 barrels or less, averaged over the preceding 10 consecutive days of stabilized production. (6413)

Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 325, ch. 73, Sec. 1, eff. May 3, 1983. (6414)

Sec. 85.123. CURTAILMENT OF MARGINAL WELL PRODUCTION AS WASTE. (6415)(1-click HTML)

To artificially curtail the production of a marginal well below the marginal limit as set out in Sections 85.121 through 85.122 of this code before the marginal well's ultimate plugging and abandonment is declared to be waste. (6416)

Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6417)

Sec. 85.124. RULES AND ORDERS RESTRICTING MARGINAL WELLS. (6418)(1-click HTML)

No rule or order of the commission or of any other constituted legal authority shall be adopted requiring the restriction of the production of a marginal well. (6419)

Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6420)

Sec. 85.125. EFFECT OF OTHER SUBCHAPTERS. (6421)(1-click HTML)

None of the provisions of this chapter that were formerly a part of Chapter 26, Acts of the 42nd Legislature, 1st Called Session, 1931, as amended, Chapter 2, Acts of the 42nd Legislature, 4th Called Session, 1932, as amended, or Chapter 76, General Laws, Acts of the 44th Legislature, Regular Session, 1935, as amended, authorize or may be construed to limit, modify, or repeal the provisions of this subchapter. (6422)

Acts 1977, 65th Leg., p. 2521, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6423)

SUBCHAPTER F. RULES AND ORDERS OF THE COMMISSION (6424)(1-click HTML)
Sec. 85.201. ADOPTION OF RULES AND ORDERS. (6425)(1-click HTML)

The commission shall make and enforce rules and orders for the conservation of oil and gas and prevention of waste of oil and gas. (6426)

Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6427)

Sec. 85.202. PURPOSES OF RULES AND ORDERS. (6428)(1-click HTML)

(a) The rules and orders of the commission shall include rules and orders: (6429)

(1) to prevent waste, as defined in Section 85.046 of this code, of oil and gas in drilling and producing operations and in the storage, piping, and distribution of oil and gas; (6430)

(2) to require dry or abandoned wells to be plugged in a manner that will confine oil, gas, and water in the strata in which they are found and prevent them from escaping into other strata; (6431)

(3) for the drilling of wells and preserving a record of the drilling of wells; (6432)

(4) to require wells to be drilled and operated in a manner that will prevent injury to adjoining property; (6433)

(5) to prevent oil and gas and water from escaping from the strata in which they are found into other strata; (6434)

(6) to provide rules for shooting wells and for separating oil from gas; (6435)

(7) to require records to be kept and reports made; and (6436)

(8) to provide for issuance of permits, tenders, and other evidences of permission when the issuance of the permits, tenders, or permission is necessary or incident to the enforcement of the commission's rules or orders for the prevention of waste. (6437)

(b) The commission shall do all things necessary for the conservation of oil and gas and prevention of waste of oil and gas and may adopt other rules and orders as may be necessary for those purposes. (6438)

Acts 1977, 65th Leg., p. 2522, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6439)

Sec. 85.2021. DRILLING PERMIT FEE. (6440)(1-click HTML)

(a) With each application or materially amended application for a permit to drill, deepen, plug back, or reenter a well, the applicant shall submit to the commission a nonrefundable fee of: (6441)

(1) $200 if the total depth of the well is 2,000 feet or less; (6442)

(2) $225 if the total depth of the well is greater than 2,000 feet but less than or equal to 4,000 feet; (6443)

(3) $250 if the total depth of the well is greater than 4,000 feet but less than or equal to 9,000 feet; (6444)

(4) $300 if the total depth of the well is greater than 9,000 feet. (6445)

(b) An applicant shall submit an additional nonrefundable fee of $200 when a Rule 37 spacing or a Rule 38 density exception review is requested. (6446)

(c) An applicant shall submit an additional nonrefundable fee of $150 when requesting that the commission expedite the application for a permit to drill, deepen, plug back, or reenter a well. (6447)

(d) All fees collected under this section shall be deposited in the oil and gas regulation and cleanup fund. (6448)

Added by Acts 1983, 68th Leg., p. 5260, ch. 967, Sec. 7, eff. Sept. 1, 1983. Amended by Acts 1985, 69th Leg., ch. 239, Sec. 74, eff. Sept. 1, 1985; Acts 1991, 72nd Leg., ch. 603, Sec. 5, eff. Sept. 1, 1991; Acts 1999, 76th Leg., ch. 1089, Sec. 2, eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 1233, Sec. 9, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1233, Sec. 10, eff. Sept. 1, 2004. (6449)

Amended by: (6450)

Acts 2011, 82nd Leg., 1st C.S., Ch. 4 (S.B. 1), Sec. 19.06, eff. September 28, 2011. (6451)

Sec. 85.203. CONSIDERATIONS IN ADOPTING RULES AND ORDERS TO PREVENT WASTE. (6452)(1-click HTML)

The commission may consider any or all of the definitions of waste stated in Section 85.046 of this code, whenever the facts, circumstances, or conditions make them applicable, in adopting rules or orders to prevent waste of oil or gas. (6453)

Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6454)

Sec. 85.204. PROHIBITED RULES AND ORDERS. (6455)(1-click HTML)

The commission is not authorized to adopt a rule or order or to make a determination or holding that any mode, manner, or process of refining oil constitutes waste. (6456)

Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6457)

Sec. 85.205. NOTICE AND HEARING. (6458)(1-click HTML)

No rule or order pertaining to the conservation of oil and gas or to the prevention of waste of oil and gas may be adopted by the commission except after notice and hearing as provided by law. (6459)

Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6460)

Sec. 85.206. EMERGENCY ORDER. (6461)(1-click HTML)

(a) If the commission finds an emergency to exist, that in the commission's judgment requires the adoption of an order without giving notice or holding a hearing, the emergency order may be adopted and shall be valid as though notice had been given and a hearing held. (6462)

(b) The emergency order shall remain in force no longer than 15 days from its effective date. (6463)

(c) The emergency order shall expire, in any event, at the time an order relating to the same subject matter and adopted after proper notice and hearing becomes effective. (6464)

Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6465)

Sec. 85.207. EFFECT OF AMENDMENT, REPEAL, OR EXPIRATION OF A RULE OR ORDER. (6466)(1-click HTML)

The amendment, repeal, or expiration of a rule or order of the commission adopted under the provisions of this chapter that were formerly a part of Chapter 76, General Laws, Acts of the 44th Legislature, Regular Session, 1935, as amended, or the provisions of Title 102, Revised Civil Statutes of Texas, 1925, as amended, including provisions of this code formerly included in that title, shall not have the effect of releasing or discharging from liability, penalty, or forfeiture any person violating the rule or order before the effective date of the amendment, repeal, or expiration. Prosecutions and suits for these violations, liabilities, penalties, and forfeitures shall be instituted and proceeded with in all respects as if the rule or order had not been amended or repealed, or had not expired. (6467)

Acts 1977, 65th Leg., p. 2523, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6468)

SUBCHAPTER G. SUITS CHALLENGING THE VALIDITY OF LAWS AND ORDERS (6469)(1-click HTML)
Sec. 85.241. SUITS BY INTERESTED PERSONS. (6470)(1-click HTML)

Any interested person who is affected by the conservation laws of this state or orders of the commission relating to oil or gas and the waste of oil or gas, and who is dissatisfied with any of these laws or orders, may file suit against the commission or its members in a court of competent jurisdiction in Travis County to test the validity of the law or order. (6471)

Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6472)

Sec. 85.242. EXPEDITIOUS TRIAL. (6473)(1-click HTML)

A suit brought under Section 85.241 of this code shall be advanced for trial and shall be determined as expeditiously as possible. No postponement or continuance shall be granted except for reasons considered imperative by the court. (6474)

Acts 1977, 65th Leg., p. 2524, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. (6475)

  

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