THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY MUNDY, BRIGGS, CALTAGIRONE, CARROLL, COHEN, FRANKEL, FREEMAN, GOODMAN, JOSEPHS, MULLERY, MURPHY, M. O'BRIEN, PASHINSKI, PRESTON, STURLA, WAGNER AND SANTARSIERO, JANUARY 26, 2011

REFERRED TO COMMITTEE ON ENVIRONMENTAL RESOURCES AND ENERGY, JANUARY 26, 2011  

AN ACT

Amending the act of December 19, 1984 (P.L.1140, No.223),

entitled "An act relating to the development of oil and gas

and coal; imposing duties and powers on the Department of

Environmental Resources; imposing notification requirements

to protect landowners; and providing for definitions, for

various requirements to regulate the drilling and operation

of oil and gas wells, for gas storage reservoirs, for various

reporting requirements, including certain requirements

concerning the operation of coal mines, for well permits, for

well registration, for distance requirements, for well casing

requirements, for safety device requirements, for storage

reservoir obligations, for well bonding requirements, for a

Well Plugging Restricted Revenue Account to enforce oil and

gas well plugging requirements, for the creation of an Oil

and Gas Technical Advisory Board, for oil and gas well

inspections, for enforcement and for penalties," further

providing for definitions, for well permits and for well

location restrictions; and providing for disposal of

wastewater from oil and gas activities targeting

unconventional shale formations and for a cumulative impacts

study.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Section 103 of the act of December 19, 1984

(P.L.1140, No.223), known as the Oil and Gas Act, is amended by

adding definitions to read:

Section 103.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

* * *

"Best management practices."  Activities, facilities,

measures, planning or procedures used to minimize accelerated

erosion and sedimentation and manage stormwater to protect,

maintain, reclaim and restore the quality of waters and the

existing and designated uses of waters of this Commonwealth

before, during and after earth disturbance activities.

* * *

"Erosion and sediment control permit."  A permit issued by

the Department of Environmental Protection and required for

earth disturbance activities associated with oil and gas

activities.

"Erosion and sediment control plan."  A site-specific plan

consisting of both drawings and narrative that identifies best

management practices to minimize accelerated erosion and

sedimentation before, during and after earth disturbance

activities.

"Floodplain."  The lands adjoining a river or stream that

have been or may be expected to be inundated by flood waters in

a 100-year frequency flood. Unless otherwise specified, the

boundary of the floodplain is as indicated on maps and flood

insurance studies provided by the Federal Emergency Management

Agency or equivalent floodplain maps and studies. In an area

where no such maps or studies have defined the boundary of the

100-year floodplain, absent evidence to the contrary, the

floodplain extends from the river or stream to 100 feet from the

top of streambank.

* * *

"Postconstruction stormwater management plan."  A site-

specific plan identifying best management practices to manage

changes in stormwater runoff volume, rate and water quality

after earth disturbance activities have ended and the project

site is permanently stabilized.

* * *

"Stripper well."  A well site that is not capable of

producing more than 90,000 cubic feet of natural gas per day.

"Top of streambank."  The first substantial break in slope

between the edge of the bed of the stream and the surrounding

terrain.

"Unconventional shale formations."  Any of the following:

(1)  Formations that typically produce gas through high

volume hydraulic fracturing and horizontal wellbores such as

the Rhinestreet, Burket, Marcellus, Mandata and Utica Shale

formations.

(2)  Formations identified by the Department of

Environmental Protection.

* * *

Section 2.  Section 201(a) of the act, amended July 2, 1992

(P.L.365, No.78), is amended and the section is amended by

adding a subsection to read:

Section 201.  Well permits.

(a)  No person shall drill a well or alter any existing well,

except for alterations which satisfy the requirements of

subsection (j), without having first obtained a well permit

pursuant to subsections (b), (c), (d) [and], (e) and (e.1). A

copy of the permit shall be kept at the well site during

drilling or alteration of the well. However, no person shall be

required to obtain a permit to redrill a nonproducing well, if:

(1)  the redrilling has been evaluated and approved as

part of an order from the department authorizing the cleaning

out and plugging or replugging of a nonproducing well,

pursuant to section 13(c) of the act of December 18, 1984

(P.L.1069, No.214), known as the Coal and Gas Resource

Coordination Act; and

(2)  the redrilling is incidental to the plugging or

replugging operation and the well subsequently is plugged

within 15 days of redrilling.

* * *

(e.1)  The department shall require an erosion and sediment

control permit for all earth disturbance associated with oil and

gas activities targeting unconventional shale formations. The

department shall not approve any permit application for any

erosion and sediment control permit unless the application

affirmatively demonstrates and the department finds on the basis

of the department's review of the information in the application

and a site visit that the following conditions are met:

(1)  The permit application is complete and accurate.

(2)  The permit application contains an erosion and

sediment control plan and a postconstruction stormwater

management plan and the plans and designs are complete and

technically sufficient to meet the requirements of the act of

June 22, 1937 (P.L.1987, No.394), known as The Clean Streams

Law, and 25 Pa. Code Chs. 93 (relating to water quality

standards) and 102 (relating to erosion and sediment

control).

(3)  The permit application contains a detailed survey

conducted by a certified professional wetland scientist of

all waters of this Commonwealth, including wetlands, seeps

and intermittent and ephemeral streams, located in or

adjacent to the proposed earth disturbance and all such

waters are clearly marked on the plans.

(4)  The requirements of The Clean Streams Law and 25 Pa.

Code Chs. 93, 102 and 105 (relating to dam safety and

waterway management).

(5)  The assessment of the probable cumulative impacts of

all anticipated oil or gas drilling activities within the

same 12-digit hydrologic unit code watershed on waters of

this Commonwealth has been made by the department in

consultation with the Department of Conservation and Natural

Resources and the Pennsylvania Fish and Boat Commission and

the activities proposed under the application have been

designed to prevent adverse cumulative impacts to waters of

this Commonwealth.

(6)  The proposed activities are protective of existing

and designated uses of waters of this Commonwealth and would

not cause or contribute to a violation of water quality

standards.

(7)  The applicant has provided a complete copy of the

permit application to the applicable municipality, county,

county conservation district, the Pennsylvania Fish and Boat

Commission, community water system as defined in section 3 of

the act of May 1, 1984 (P.L.206, No.43), known as the

Pennsylvania Safe Drinking Water Act, and provided them with

the opportunity to comment.

(8)  Notice of the department's receipt of the

application has been published in the Pennsylvania Bulletin 

and a newspaper of general circulation in the area of the

proposed activities and the public has been given at least 30

days from the date of publication to comment.

* * *

Section 3.  Section 205 of the act is amended by adding a

subsection to read:

Section 205.  Well location restrictions.

* * *

(b.1)  No well site may be prepared or well drilled within a

floodplain.

* * *

Section 4.  The act is amended by adding sections to read:

Section 208.1  Disposal of wastewater from oil and gas

activities targeting unconventional shale formations.

(a)  Notwithstanding any other provision of law, a moratorium

is established during which no new discharges of wastewater from

oil and gas activities targeting unconventional shale formations

to surface waters of this Commonwealth may be permitted. This

moratorium shall expire when the department completes the

evaluation required in subsection (b).

(b)  Within three years of the effective date of this

section, the department shall complete an evaluation of

nondischarge alternatives to surface water discharge of such

wastewater, including deep well injection. The department shall

provide public notice and opportunity for comment as it develops

the evaluation. If as a result of this evaluation the department

determines that nondischarge alternatives are environmentally

sound, protective of water quality and cost effective, the

department shall prohibit the discharge of wastwater from oil

and gas activities targeting unconventional shale formations and

require disposal by nondischarge alternatives, provided the

disposal is authorized by permit.

(c)  Within 180 days of the effective date of this section,

the department shall establish an online electronic tracking

system for the reporting and tracking of storage, transportation

and disposal of wastewater from oil and gas activities targeting

unconventional shale formations. The tracking system shall be

readily accessible online by the department and the public and

allow for the tracking of the amount, type and location of all

such wastewater on a daily basis through the use of tracking

numbers unique to each transport unit. The tracking system shall

require all persons who generate, store, transport or dispose

such wastewater to record and provide information to the

tracking system necessary to track the amount, type and location

of all such wastewater on a daily basis, from generation to

ultimate disposal.

Section 603.2  Cumulative impacts study.

By May 1, 2012, the department, the Department of

Conservation and Natural Resources, the Pennsylvania Fish and

Boat Commission and the Pennsylvania Game Commission shall

jointly complete a comprehensive study of the probable

cumulative impacts of all anticipated oil and gas activities in

this Commonwealth. The study shall analyze impacts to the

Commonwealth's land, air and water, including, but not limited

to, local, regional and Statewide air quality, surface and

ground water quality and quantity, streams, wetlands, vernal

pools and other waters of this Commonwealth, publicly and

privately owned forests and other natural habitat, wildlife and

aquatic life and recreational economies, and shall provide

recommendations for avoiding, minimizing and mitigating any such

impacts.

Section 5.  This act shall take effect immediately.