WEST VIRGINIA LEGISLATURE

SENATE JOURNAL

EIGHTIETH LEGISLATURE

FOURTH EXTRAORDINARY SESSION, 2011

SECOND DAY

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Charleston, W. Va., Monday, December 12, 2011

     The Senate met at 11 a.m.
(Senator Kessler, Mr. President, in the Chair.)

     Prayer was offered by the Honorable Ronald F. Miller, a senator from the tenth district and Pastor, Shuck Memorial Baptist Church, Lewisburg, West Virginia, and West Point Baptist Church, Asbury, West Virginia.
     Pending the reading of the Journal of Sunday, December 10, 2011,
     On motion of Senator Boley, the Journal was approved and the further reading thereof dispensed with.
     The Clerk presented a communication from the Board of Accountancy, submitting its biennial report for fiscal years 2010 and 2011, in accordance with chapter thirty, article one, section twelve of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the State Board of Examiners for Licensed Practical Nurses, submitting its biennial report for fiscal years 2010 and 2011 as required by chapter thirty, article one, section twelve of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the Medical Imaging and Radiation Therapy Technology Board of Examiners, submitting its biennial report for fiscal years 2010 and 2011, in accordance with chapter thirty, article one, section twelve of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the Occupational Pneumoconiosis Board, submitting its biennial report for fiscal years 2010 and 2011 as required by chapter thirty, article one, section twelve of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the Board of Osteopathy, submitting its biennial report for fiscal years 2010 and 2011, in accordance with chapter thirty, article one, section twelve of the code of West Virginia.
     Which communication and report were received and filed with the Clerk.
     The Clerk presented a communication from the Board of Examiners for Speech-Language Pathology and Audiology, submitting its biennial report for fiscal years 2010 and 2011 as required by chapter thirty, article one, section twelve of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the Geological Survey, submitting its annual report, in accordance with chapter twenty-nine, article two, section six of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the Outdoor Heritage Conservation Fund, submitting its annual report as required by chapter five-b, article two-g, section six of the code of West Virginia.
     Which report was received and filed with the Clerk.
     The Clerk presented a communication from the Office of Health Facility Licensure and Certification of the Department of Health and Human Resources, submitting its annual report on licensing of nursing homes as required by chapter sixteen, article five-c, section three of the code of West Virginia.
     Which report was received and filed with the Clerk.
     Senator Kessler (Mr. President) presented a communication from the Higher Education Policy Commission and the Community and Technical College System, submitting its annual veterans initiatives report, in accordance with chapter eighteen-b, article four, section nine of the code of West Virginia.
     Which communication and report were received and filed with the Clerk.
     On motion of Senator Edgell, the special order of business set for this position on the calendar (consideration of executive nominations) was postponed and made a special order of business for tomorrow, Tuesday, December 13, 2011, at 11 a.m.
     The Senate proceeded to the fourth order of business.
     Senator Palumbo, from the Committee on the Judiciary, submitted the following report, which was received:
     Your Committee on the Judiciary has had under consideration
     Senate Bill No. 4001, Regulating oil and gas wells.
     And reports back a committee substitute for same with the following title:
     Com. Sub. for Senate Bill No. 4001 (originating in the Committee on the Judiciary)--
A Bill to repeal §22C-7-1, §22C-7-2 and §22C-7-3 of the Code of West Virginia, 1931, as amended; to amend said code by adding thereto a new section, designated §5B-2B- 4a; to amend and reenact §22-6-1 and §22-6-2 of said code; to amend said code by adding thereto a new section, designated §22-6-2a; to amend said code by adding thereto a new article, designated §22-6A- 1, §22-6A-2, §22-6A-3, §22-6A-3a, §22-6A-4, §22-6A-5, §22-6A-6, §22-6A-7, §22-6A-8, §22-6A-9, §22-6A-10, §22-6A-10a, §22-6A-11, §22-6A-12, §22-6A-13, §22-6A-14, §22-6A-15, §22-6A-16, §22-6A-17, §22-6A-18, §22-6A-19, §22-6A-20, §22-6A-21, §22-6A-22, §22-6A-23 and §22-6A-24; to amend said code by adding thereto a new article, designated §22-6B-1, §22-6B-2, §22-6B-3, §22-6B-4, §22-6B-5, §22- 6B-6, §22-6B-7 and §22-6B-8; to amend and reenact §22C-8-2 of said code; and to amend and reenact §22C-9-2 of said code, all relating generally to oil and gas wells; requiring West Virginia Workforce Investment Council to complete certain reviews and provide report to Legislature; expanding powers of Secretary of the Department of Environmental Protection; authorizing secretary to determine number of oil and gas inspectors and supervisors and to make investigations or inspections to ensure compliance with applicable law; providing for inspector qualifications, duties and minimum salaries; creating Natural Gas Horizontal Well Control Act; providing short title; making legislative findings and declarations of public policy; providing for applicability of act and exceptions; providing special considerations and rulemaking for karst formations; defining terms; making horizontal wells subject to certain provisions in article six, chapter twenty-two of the Code of West Virginia; specifying powers and duties of secretary, including certain rule-making power and reporting duties; requiring permit for horizontal wells; establishing permit application requirements and contents; requiring bond and permit fees; providing for issuance of emergency permits; providing for denial, suspension and reinstatement of permits in certain circumstances; providing for application review, requirements for issuance of permit and permit requirements; establishing performance standards; providing for copies of permits to be furnished to county assessors; requiring certificate of approval for large pits or impoundment construction; requiring application for certificate; establishing application requirements and payment of fees; providing for modification, revocation or suspension of certificate and hearing procedure, including an administrative appeals process; providing exceptions for certain farm ponds; authorizing secretary to propose legislative rules governing large pits and impoundments; providing notice to certain property owners of certain applications, intent to enter property or conduct seismic activity; clarifying that notice to certain lienholders is not notice to certain landowners; clarifying method of delivering of notice; establishing procedure for filing written comments; establishing well location restrictions; requiring promulgation of legislative rules for plugging and abandonment of horizontal wells; establishing reclamation requirements; requiring performance bonds or other security; providing notice of planned operation and contents of notice to certain surface owners; providing notice to certain surface owner and offer for compensation for certain damages to certain surface owner; providing for reimbursement of property taxes to surface owner; providing for civil action, rebuttable presumption and relief for water contamination or deprivation; establishing water rights and replacement procedure; establishing civil penalties and offenses; requiring gas operations to submit certification from Division of Highways that operator has entered into road maintenance agreement pursuant to Division of Highways Oil and Gas Road Policy; creating public website and electronic notification registry of horizontal well permit applications and public notice of website; providing for air quality study, report to Legislature and rulemaking; requiring secretary to report to Legislature regarding safety of pits and impoundments; providing casing and cement standards; authorizing secretary to promulgate legislative and emergency rules relating to casing and cement standards; authorizing secretary to promulgate legislative rules governing pits and impoundments; providing secretary authority to establish, revise and grant waivers regarding casing and cement standards and programs; creating the Oil and Gas Horizontal Well Production Damage Compensation Act; providing legislative findings and purpose; defining terms; providing conditions and parameters for compensation of surface owners for drilling operations; preserving common law right of action and providing offset for compensation or damages paid; requiring notice of claims by surface owners; providing manner in which oil and gas operator must provide notice of reclamation; providing for offers of settlement; providing procedures for civil actions, arbitration and fees; preserving alternate remedies; and modifying definitions of shallow wells and deep wells.
     With the recommendation that the committee substitute do pass; but under the original double committee reference first be referred to the Committee on Finance.
                              Respectfully submitted,
                               Corey Palumbo,
                               Chair.
     At the request of Senator Palumbo, unanimous consent being granted, the bill (Com. Sub. for S. B. No. 4001) contained in the preceding report from the Committee on the Judiciary was taken up for immediate consideration, read a first time, ordered to second reading and, under the original double committee reference, was then referred to the Committee on Finance.
     Pending announcement of meetings of standing committees of the Senate,
     On motion of Senator Unger, the Senate recessed until 6 p.m. today.
     Upon expiration of the recess, the Senate reconvened and resumed business under the fourth order.
     Senator Prezioso, from the Committee on Finance, submitted the following report, which was received:
     Your Committee on Finance has had under consideration
     Com. Sub. for Senate Bill No. 4001, Regulating oil and gas wells.
     Now on second reading, having been read a first time and referred to the Committee on Finance in prior proceedings today;
     And reports the same back with the recommendation that it do pass.
                              Respectfully submitted,
                               Roman W. Prezioso, Jr.,
                               Chair.
     Senator Unger then moved that the Senate adjourn until tomorrow, Tuesday, December 13, 2011, at 10 a.m.
     The question being on the adoption of Senator Unger's aforestated motion, and on this question, Senator Unger demanded the yeas and nays.
     The roll being taken, the yeas were:
Beach, Boley, Browning, Chafin, Edgell, D. Facemire, K. Facemyer, Fanning, Foster, Green, Hall, Helmick, Jenkins, Kirkendoll, Laird, McCabe, Miller, Minard, Nohe, Palumbo, Plymale, Prezioso, Snyder, Stollings, Sypolt, Tucker, Unger, Wells, Williams, Wills, Yost and Kessler (Mr. President)--32.
     The nays were: Barnes and Klempa--2.
     Absent: None.
     So, a majority of those present and voting having voted in the affirmative, the President declared Senator Unger's motion had prevailed.
     In accordance with the foregoing motion, the Senate adjourned until tomorrow, Tuesday, December 13, 2011, at 10 a.m.
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