| Summary |
The bill establishes a regulatory scheme that requires disclosure
of certain chemical information for products used in downhole oil and gas
operations (chemical disclosure information). On or before July 31, 2023,
the oil and gas conservation commission (commission) is required to
utilize or develop a chemical disclosure website to collect and share
certain chemical disclosure information to the public (chemical disclosure
website).
On and after July 31, 2023, a manufacturer that sells or distributes
a chemical product for use in underground oil and gas operations
(downhole operations) in the state must disclose to the commission:
• The trade name of the chemical product;
• A list of the names of each chemical used in the chemical
product;
• The estimated amount of each chemical used in the
chemical product; and
• A description of the intended purpose of the chemical used
in the chemical product.
The manufacturer must also provide the commission with a
declaration that the chemical product contains no intentionally added
perfluoroalkyl or polyfluoroalkyl chemicals.
For manufacturers that were already selling or distributing a
chemical product for use in downhole operations in the state before July
31, 2023, the disclosure and declaration must be made at least 30 days
before July 31, 2023. For manufacturers that begin to sell or distribute a
chemical product for use in downhole operations in the state on or after
July 31, 2023, the disclosure and declaration must be made at least 30
days before the manufacturer begins selling or distributing the chemical
product.
On and after July 31, 2023, an operator of downhole operations
using a chemical product must disclose to the commission:
• The date of commencement of downhole operations;
• The county of the well site where downhole operations are
being conducted;
• The numerical identifier assigned by the American
Petroleum Institute to the well where downhole operations
are being conducted; and
• The trade names and quantities of any chemical products
the operator plans to use in downhole operations.
The operator must also provide the commission with a declaration
that the chemical product contains no intentionally added perfluoroalkyl
or polyfluoroalkyl chemicals.
For downhole operations that commenced before July 31, 2023,
and that will be ongoing on July 31, 2023, the disclosure and declaration
must be made at least 75 days before July 31, 2023. For downhole
operations that commence on or after July 31, 2023, the disclosure and
declaration must be made at least 75 days before commencement of
downhole operations.
The commission will use the chemical disclosure information to
create a chemical disclosure list for each well site, which will include:
• An alphabetical list of names of chemicals that will be used
in downhole operations at the well site; and
• The total estimated amount of each chemical that will be
used at the well site.
The commission will post each chemical disclosure list on the
chemical disclosure website. The commission shall provide the chemical
disclosure list to the applicable operator within 7 days after the operator's
disclosures.
Prior to the commencement of downhole operations, the operator
is required to disclose the chemical disclosure list to communities near
where downhole operations will be conducted, local public water
administrators, and, if there is a high-priority habitat near where
downhole operations are being conducted, the division of parks and
wildlife. For downhole operations that commenced before July 31, 2023,
and that will be ongoing on July 31, 2023, the disclosure of the chemical
disclosure list by the operator to these entities must be made at least 60
days before July 31, 2023. For downhole operations that commence on or
after July 31, 2023, the disclosure of the chemical disclosure list by the
operator to these entities must be made at least 60 days before
commencement of downhole operations.
If a manufacturer believes that any information that will be
included on a chemical disclosure list is a trade secret, the manufacturer
must file a trade secret claim with the commission. If the commission
determines that the information covered by the trade secret claim
constitutes a trade secret, the commission shall not include the
information in any applicable chemical disclosure list.
On or before July 31, 2023, the commission must promulgate rules
that set standards for the disclosure of the chemical disclosure
information to:
• An officer or employee of the United States, the state, or a
local government in connection with the officer's or
employee's official duties;
• Contractors of the United States, the state, or a local
government if the commission determines that the
disclosure is necessary for performance of a contract or the
protection of public health and safety;
• A health-care professional in connection with an
emergency or with diagnosing or treating a patient; and
• In order to protect public safety, a person who is employed
in public health or a scientist or researcher employed by an
institution of higher education.
No later than February 1, 2025, and no later than February 1 each
year thereafter, the commission shall submit and present an annual report
to the general assembly based on the chemical disclosure information.
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