Proposed Rulemaking for IDAPA 20.07.02, Rules Governing Conservation of Crude Oil and Natural Gas in the State of Idaho
Updates
Click link to Administrative Bulletin and go to page 454 for current draft of proposed rules.
Background
On May 17, 2011 the Oil and Gas Conservation Commission gave its approval for the Department to start negotiated rulemaking on IDAPA 20.07.02. The existing rules are almost twenty years old, and industry practices and expectations have changed considerably. IDL conducted negotiated rulemaking from June 2nd through August 10th. A total of ten days were spent negotiating some very extensive changes to these rules. Additional time was spent conducting research and drafting revisions.
Participation was quite broad during the negotiations. Industry representatives, non-government organizations, local governments, citizens, and other state agencies helped to improve the rule. Thank you to those who were able to attend and participate.
Next Steps
The resulting Proposed Rule will be published in the October 5th Administrative Bulletin. A 21-day public comment period will run through October 26th. A public hearing to take testimony on the Proposed Rule is tentatively scheduled for October 12th, location to be announced. IDL can make changes to the Proposed Rule based on the comments received at the hearing and in written comments. The Pending Rule will then be submitted in November for the 2012 legislative session.
The Temporary Rule for well treatments and hydraulic fracturing remains in effect until the close of the 2012 legislature, when the Pending Rule would become effective.
Changes in Brief
The rule changes are quite extensive and a substantial improvement over the existing rules. The current draft of the rules can be viewed by clicking the link at the top right. Changes are displayed in red underline and strikeout.
• Rule format is revised to conform with Idaho Code § 67-52 and IDAPA 44.01.01• Definitions are changed for consistency and clarity
• Well drilling permit requirements are expanded to ensure that the department has the information needed to properly review them
• A public comment period on applications is added
• Application, operating, and reporting requirements for well treatments, including hydraulic fracturing, are added
• Bond amounts are increased and additional bonding requirements are added to decrease the potential well plugging liabilities present in other states
• Basic surface owner protections are added, and geophysical exploration requirements are expanded, to reduce conflicts between surface and mineral owners and thereby enhance orderly development of oil and gas resources
• Well drilling and plugging rules are modified to better prevent waste and protect fresh waters
• Comprehensive pit requirements and surface reclamation standards are added to protect fresh waters
• Well completion and well log reporting is clarified to improve the flow of information and stimulate additional exploration
• Active and inactive wells are defined to reduce the potential liability of abandoned wells
• The periodic testing of well integrity is added to prevent waste and protect fresh waters
• Class II injection wells are no longer permitted under this rule as the Idaho Department of Water Resources currently prohibits their use in IDAPA 37.03.03 and they will pursue permitting authority with the Environmental Protection Agency
• Basic emergency response requirements were added to ensure that accidents and fires are handled appropriately and public safety issues are addressed
• Other sections of the rules addressing wellhead equipment, tools with radioactive material, the pulling of casing, gas-oil ratios, and multiple zone completions were upgraded or added based on the existing standards used in other states to prevent waste, protect correlative rights, and protect fresh water supplies
• Responsibilities of the Department and the Oil and Gas Conservation Commission are clarified
• Multiple documents are incorporated by reference to allow the industry standards to be adopted in Idaho
For official rules, see this website: http://adm.idaho.gov/adminrules/rules/idapa20/0702.pdf
For the authorizing statute, visit: Idaho Code § 47-3
Timeline
| DATE | ACTION |
| August 31, 2011 | Last day to submit Proposed Rule for 2012 Legislature |
| October 5, 2011 | Proposed Rule is published |
| October 12, 2011 | Public Hearing for Proposed Rule (tentative) |
| October 26, 2011 | End of comment period on Proposed Rule |
| November 15, 2011 | Present Pending Rule to Commission |
| November 25, 2011 | Last day to submit Pending Rule for 2012 Legislature |
Pending Rules are reviewed by the germane Senate and House Subcommittees. If adopted, they take effect when the legislature adjourns for the session.
More Information on Rulemaking
Download the Rule Writer’s Manual from the Department of Administration:
http://adm.idaho.gov/adminrules/bulletin/rule_draftmanual.pdf
Contact Person for this Rulemaking
Eric WilsonMinerals Program Manager
Idaho Department of Lands
300 N 6th St Suite 103
Boise ID 83702
(208) 334-0261
ewilson@idl.idaho.gov
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