S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1908

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            January 14, 2011
                               ___________

Introduced  by  Sens. SERRANO, PARKER -- read twice and ordered printed,
  and when printed to be committed to the Committee on Cultural Affairs,
  Tourism, Parks and Recreation

AN ACT to amend the parks, recreation and historic preservation law,  in
  relation to oil and gas drilling in Allegany state park

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The parks, recreation  and  historic  preservation  law  is
amended by adding a new section 13.31 to read as follows:
  S  13.31  OIL AND GAS DRILLING IN ALLEGANY STATE PARK.  1. LEGISLATIVE
FINDINGS AND DECLARATION. THE LEGISLATURE FINDS AND DECLARES THAT  ALLE-
GANY  STATE  PARK  HARBORS  UNIQUE  AND IRREPLACEABLE NATURAL AND SCENIC
RESOURCES AND PROVIDES AN EXTENSIVE VARIETY OF RECREATIONAL  AND  EDUCA-
TIONAL  OPPORTUNITIES  FOR  NEW YORK RESIDENTS AND VISITORS. THE PARK IS
LOCATED IN A GEOLOGICALLY DISTINCT, UNGLACIATED AREA WITH UNIQUE TERRES-
TRIAL, FRESHWATER AND OLD GROWTH FOREST ECOSYSTEMS THAT WARRANT  SPECIAL
PROTECTION,  AND  IS  HOME  TO  NUMEROUS RARE, THREATENED AND ENDANGERED
SPECIES OF PLANTS AND WILDLIFE. THE PARK'S SIXTY-FIVE THOUSAND ACRES ARE
THE LARGEST TRACT OF INTACT, UNFRAGMENTED FOREST  LAND  IN  THE  WESTERN
HALF  OF  THE STATE, INCLUDING MATURE SECOND-GROWTH AS WELL AS EXTENSIVE
OLD-GROWTH FORESTS. THESE FEATURES ARE AN INVALUABLE  AND  IRREPLACEABLE
PART  OF  THE  STATE'S  NATURAL HERITAGE WHICH THE STATE IS OBLIGATED TO
PRESERVE FOR FUTURE GENERATIONS.
  THE LEGISLATURE FURTHER FINDS AND DECLARES THAT A UNIQUE  CIRCUMSTANCE
EXISTS  IN  ALLEGANY STATE PARK WHEREBY PRIVATE ENTITIES CONTROL SUBSUR-
FACE OIL AND GAS RIGHTS BENEATH PORTIONS OF THE PARK. OWNERSHIP OF  SUCH
SUBSURFACE OIL AND GAS RIGHTS WAS SEVERED AND RETAINED IN PRIVATE OWNER-
SHIP  PRIOR  TO THE ACQUISITION AND CREATION OF THE PARK BY THE STATE OF
NEW YORK IN THE EARLY TWENTIETH CENTURY.  IT  IS  THE  PURPOSE  OF  THIS
SECTION  TO ENSURE THAT ANY EXPLORATION, DRILLING, OR PRODUCTION ASSOCI-
ATED WITH PRIVATELY-CONTROLLED OIL AND GAS RIGHTS WITHIN ALLEGANY  STATE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD00398-01-1
              

S. 1908                             2

PARK,  INCLUDING ALL ACTIVITIES NECESSARY TO OBTAIN ACCESS TO SUBSURFACE
OIL AND GAS, BE UNDERTAKEN WITH  THE  STRICTEST  POSSIBLE  OVERSIGHT  TO
MINIMIZE ADVERSE IMPACTS ON THE PARK'S NATURAL, SCENIC, AND RECREATIONAL
RESOURCES  AND  THE PUBLIC'S ACCESS TO THEM AND ENJOYMENT THEREOF. IT IS
INTENDED THAT THE PROVISIONS OF THIS SECTION BE LIBERALLY CONSTRUED  AND
APPLIED IN FURTHERANCE OF THIS PURPOSE.
  THE LEGISLATURE FINDS AND DECLARES THAT THE PROVISIONS OF THIS SECTION
HAVE  BEEN  ENACTED  PURSUANT  TO  THE  STATUTORILY-MANDATED DUTY OF THE
OFFICE TO PROVIDE FOR THE HEALTH, SAFETY AND WELFARE OF THE PUBLIC USING
FACILITIES UNDER  ITS  JURISDICTION.  THE  LEGISLATURE  FINDS  THAT  THE
PROVISIONS  OF  THIS SECTION CONSTITUTE REASONABLE RESTRICTIONS UPON THE
EXERCISE OF PRIVATELY-CONTROLLED OIL AND GAS RIGHTS  IN  FURTHERANCE  OF
THE  STATE'S  SOVEREIGN POWER AND DUTY TO HOLD PUBLIC PARKLANDS IN TRUST
FOR THE BENEFIT OF THE PEOPLE OF THE STATE.
  2. SURFACE ACCESS PERMIT. NO  DRILLING,  ROAD  BUILDING,  CLEARING  OF
VEGETATION,  OR  OTHER  ACTIVITY  IN  FURTHERANCE  OF THE EXPLORATION OR
PRODUCTION OF PRIVATELY-CONTROLLED OIL OR GAS RIGHTS BENEATH STATE OWNED
LAND WITHIN ALLEGANY STATE PARK SHALL BE UNDERTAKEN EXCEPT  PURSUANT  TO
THE  TERMS  OF  A SURFACE ACCESS PERMIT ISSUED BY THE OFFICE PURSUANT TO
THIS SECTION. AN APPLICATION FOR SUCH PERMIT SHALL  BE  FILED  WITH  THE
OFFICE  CONCURRENT  WITH  THE  APPLICATION TO THE DEPARTMENT OF ENVIRON-
MENTAL CONSERVATION FOR A PERMIT TO DRILL AN OIL OR GAS WELL  AND  SHALL
INCLUDE AT A MINIMUM:
  (A) PROOF SATISFACTORY TO THE OFFICE OF THE APPLICANT'S LEGAL RIGHT TO
RECOVER  OIL OR GAS RESOURCES BENEATH STATE OWNED LAND, INCLUDING COPIES
OF TITLE REPORTS AND, WHERE APPLICABLE, LEASES WITH TITLE HOLDERS, AND A
BOUNDARY SURVEY COMPLETED BY A LICENSED SURVEYOR OF THE AFFECTED AREA;
  (B) A MAP IDENTIFYING THE PROPOSED LOCATION OF EACH OIL  OR  GAS  WELL
FOR WHICH AN APPLICATION FOR A DRILLING PERMIT HAS BEEN SUBMITTED TO THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION;
  (C)  A  GENERAL DESCRIPTION OF THE PROPOSED OIL OR GAS EXPLORATION AND
PRODUCTION ACTIVITIES;
  (D) IDENTIFICATION OF THE AMOUNT OF WATER NEEDED AND ITS SOURCES;
  (E) A DETAILED DESCRIPTION OF ALL SURFACE DISTURBANCE ASSOCIATED  WITH
THE PROPOSED EXPLORATION AND PRODUCTION OF OIL OR GAS, INCLUDING BUT NOT
LIMITED  TO THE LOCATION OF ALL PROPOSED ROAD CONSTRUCTION, ALL PROPOSED
WELL DRILLING LOCATIONS, AND THE LOCATION AND AMOUNT  OF  PROPOSED  TREE
AND VEGETATION REMOVAL, AND THE METHODS TO BE USED IN SUCH ACTIVITIES;
  (F)  A  DESCRIPTION OF HOW PRODUCED OIL OR GAS WILL BE TRANSPORTED OUT
OF THE PARK, INCLUDING A DETAILED DESCRIPTION OF  THE  CONSTRUCTION  AND
LOCATION OF ALL PROPOSED TRANSMISSION LINES;
  (G) A DETAILED DESCRIPTION AND TIMELINE OF STEPS THAT WILL BE TAKEN TO
RECLAIM THE AFFECTED SURFACE AREA AND RESTORE IT TO ITS PREVIOUS NATURAL
CONDITION  ONCE  DRILLING  AND  PRODUCTION  ACTIVITIES HAVE CEASED. SUCH
DESCRIPTION SHALL DESCRIBE INTERIM  RESTORATION  ACTIVITIES  THAT  SHALL
OCCUR  IMMEDIATELY  AFTER  EACH WELL HAS BEEN DRILLED AND ANY ASSOCIATED
TRANSMISSION LINES HAVE BEEN INSTALLED, AS  WELL  AS  FINAL  RESTORATION
ACTIVITIES THAT SHALL OCCUR AFTER PRODUCTION HAS CEASED;
  (H)  BASELINE  SAMPLING RESULTS, TAKEN PRIOR TO ANY GROUND DISTURBANCE
OR REMOVAL OF TREES OR VEGETATION, FOR SURFACE WATER, SOIL, AND EXISTING
GROUNDWATER WELLS IN PROXIMITY TO PROPOSED  DRILLING  LOCATIONS,  TRANS-
MISSION  LINES,  AND  ROAD  CONSTRUCTION  LOCATIONS AS DETERMINED BY THE
OFFICE;
  (I) A COMPREHENSIVE INVENTORY OF PLANT AND ANIMAL SPECIES,  ECOLOGICAL
COMMUNITIES,  WETLANDS,  AND  SURFACE STREAMS WITHIN THE AREA, AS DETER-
MINED  BY  THE  OFFICE,  THAT  MAY  BE  AFFECTED  BY  PROPOSED  DRILLING

S. 1908                             3

LOCATIONS,  ROAD  CONSTRUCTION, TRANSMISSION LINES, AND ANY OTHER ACTIV-
ITIES ASSOCIATED WITH PROPOSED EXPLORATION  AND  PRODUCTION  ACTIVITIES,
AND  AN  ANALYSIS  OF  THE  POTENTIAL  ADVERSE  IMPACTS ON SUCH SPECIES,
ECOLOGICAL COMMUNITIES, WETLANDS, AND SURFACE STREAMS; AND
  (J)  A  DESCRIPTION  OF HISTORIC, ARCHEOLOGICAL AND CULTURAL RESOURCES
POTENTIALLY AFFECTED BY PROPOSED EXPLORATION, PRODUCTION, ROAD BUILDING,
AND TRANSMISSION LINES.
  3. SURFACE ACCESS PERMIT CONDITIONS. ANY SURFACE ACCESS PERMIT GRANTED
BY THE OFFICE PURSUANT TO THIS SECTION SHALL INCLUDE THE FOLLOWING TERMS
AND CONDITIONS:
  (A) THE OFFICE MAY LIMIT THE NUMBER OF WELL  SITES,  THE  LOCATION  OF
WELL  SITES,  AND  THE  AMOUNT OF CLEARED AREA ASSOCIATED WITH EACH WELL
SITE IN ORDER  TO  MITIGATE  ADVERSE  IMPACTS  TO  NATURAL,  ECOLOGICAL,
SCENIC, AND RECREATIONAL RESOURCES.
  (B)  NO  LIQUID  OR  SOLID WASTES SHALL BE COLLECTED OR STORED IN OPEN
PITS NOR DISPOSED OF OR RELEASED WITHIN THE PARK.
  (C) THE OFFICE MAY LIMIT THE CONSTRUCTION AND THE LOCATION  OF  ACCESS
ROADS  IN  ORDER  TO  MITIGATE  ADVERSE  IMPACTS TO NATURAL, ECOLOGICAL,
SCENIC, AND RECREATIONAL RESOURCES.  ALL NEW ROADS SHALL BE DESIGNED  TO
THE MINIMUM POSSIBLE WIDTH AND SHALL BE CONSTRUCTED TO AVOID OR MINIMIZE
THE  POTENTIAL  FOR  EROSION AND OTHER ADVERSE IMPACTS. ALL TREES CUT OR
REMOVED AS PART OF ROAD CONSTRUCTION AND WELL SITE  CLEARING  ACTIVITIES
SHALL REMAIN THE PROPERTY OF THE OFFICE.
  (D)  IN  ORDER  TO  PROTECT THE HEALTH AND SAFETY OF PARK VISITORS AND
EMPLOYEES AND TO MINIMIZE ADVERSE IMPACTS ON PUBLIC RECREATIONAL USES OF
THE PARK, THE OFFICE MAY RESTRICT THE SEASONS  THAT  THE  PERMITTEE  MAY
UNDERTAKE ROAD CONSTRUCTION, WELL DRILLING, AND ASSOCIATED ACTIVITIES ON
STATE  OWNED  LANDS.  THE  OFFICE  MAY ALSO DESIGNATE THE PARK ROADS THE
PERMITTEE SHALL USE FOR VEHICLE ACCESS INTO AND THROUGH  THE  PARK,  AND
MAY  RESTRICT  SEASONS  OR TIMES THAT THE PERMITTEE MAY EXERCISE VEHICLE
ACCESS ON PARK ROADS OPEN TO THE PUBLIC.
  (E) THE PERMITTEE SHALL BE REQUIRED TO ESTABLISH AND MAINTAIN  A  FUND
SUFFICIENT  TO REIMBURSE THE OFFICE FOR THE COSTS OF AN ON-SITE MONITOR,
WHO SHALL BE HIRED BY AND REPORT TO THE OFFICE, WHO SHALL BE  PHYSICALLY
PRESENT  DURING  ALL  LAND  CLEARING,  ROAD CONSTRUCTION, WELL DRILLING,
INSTALLATION AND MAINTENANCE OF TRANSMISSION  LINES,  WELL  MAINTENANCE,
WELL  CLOSURE, AND RESTORATION ACTIVITIES UNDERTAKEN BY THE PERMITTEE TO
ASSURE COMPLIANCE WITH ALL REQUIRED PERMITS  AND  APPLICABLE  STATE  AND
FEDERAL LAWS AND REGULATIONS.
  (F)  THE  PERMITTEE SHALL BE REQUIRED TO ESTABLISH AND MAINTAIN A FUND
SUFFICIENT TO REIMBURSE THE OFFICE FOR THE COSTS OF CONSULTANTS RETAINED
BY THE OFFICE TO CONDUCT:
  (1) SAMPLING OF GROUNDWATER, SURFACE WATER, WETLANDS, AND SOIL;
  (2) MONITORING TO DETECT ANY ADVERSE IMPACTS TO SENSITIVE  SPECIES  OF
PLANTS AND ANIMALS AND ECOLOGICAL COMMUNITIES; AND
  (3)  INSPECTIONS  TO  DETECT  ANY  NON-NATIVE INVASIVE PLANT OR ANIMAL
SPECIES THAT ARE INTRODUCED INTO THE PARK AS A RESULT OF THE PERMITTEE'S
ACTIVITIES.
  THE OFFICE SHALL DETERMINE THE AREAS TO BE SUBJECT TO  SUCH  SAMPLING,
MONITORING, AND INSPECTIONS, WHICH SHALL BE UNDERTAKEN ANNUALLY, OR MORE
FREQUENTLY  IF DETERMINED APPROPRIATE BY THE OFFICE, UNTIL THE PERMITTEE
HAS CONCLUDED OIL AND GAS  EXPLORATION  AND  PRODUCTION  ACTIVITIES  AND
COMPLETED  THE  RESTORATION REQUIREMENTS ESTABLISHED IN PARAGRAPH (H) OF
THIS SUBDIVISION.
  (G) THE PERMITTEE SHALL BE REQUIRED AT ITS EXPENSE TO TAKE  CORRECTIVE
ACTIONS  TO  ELIMINATE  ANY ADVERSE IMPACTS RESULTING FROM THE PERMITTED

S. 1908                             4

ACTIVITY TO THE PARK'S ROADS, FACILITIES AND INFRASTRUCTURE, OR  TO  THE
PARK'S  GROUNDWATER,  SURFACE  WATER, WETLANDS, SOIL, NATURAL RESOURCES,
PLANT AND ANIMAL SPECIES AND ECOLOGICAL COMMUNITIES.
  (H) THE PERMITTEE SHALL BE REQUIRED TO OBTAIN FINANCIAL SECURITY IN AN
AMOUNT  SUFFICIENT  TO  RESTORE  TO THEIR PREVIOUS NATURAL CONDITION ALL
AREAS AFFECTED BY THE PERMITTEE'S GROUND DISTURBANCE,  CLEARING,  DRILL-
ING,  ROAD  CONSTRUCTION,  AND INSTALLATION OF TRANSMISSION LINES, AFTER
OIL AND  GAS  EXPLORATION,  DRILLING,  AND  PRODUCTION  ACTIVITIES  HAVE
CONCLUDED. RESTORATION SHALL INCLUDE BUT NOT BE LIMITED TO A REQUIREMENT
THAT THE PERMITTEE REMOVE AND REFOREST ALL ROADS AND CLEARED AREAS.
  (I) THE OFFICE SHALL INCLUDE ANY ADDITIONAL PERMIT CONDITIONS IT DEEMS
NECESSARY  TO  AVOID  OR  MINIMIZE  IMPACTS  ON THE PARK'S RECREATIONAL,
SCENIC AND NATURAL RESOURCES AND TO PROTECT THE  HEALTH  AND  SAFETY  OF
PARK VISITORS AND EMPLOYEES.
  4.  OTHER  REQUIREMENTS.  THE REQUIREMENTS OF THIS SECTION SHALL BE IN
ADDITION TO, AND SHALL NOT REPLACE OR AFFECT, ANY OTHER REQUIREMENTS FOR
THE EXERCISE OF OIL AND GAS DRILLING RIGHTS, INCLUDING BUT  NOT  LIMITED
TO  REQUIREMENTS  SET FORTH IN ARTICLE TWENTY-THREE OF THE ENVIRONMENTAL
CONSERVATION LAW OR OTHER APPLICABLE STATE  OR  FEDERAL  LAWS,  PERMITS,
ORDERS,  OR  REGULATIONS. NOTHING IN THIS SECTION SHALL AFFECT OR SUPER-
SEDE THE APPLICATION OF ARTICLE SEVEN OF THE PUBLIC SERVICE LAW  TO  THE
SITING OF A MAJOR UTILITY TRANSMISSION FACILITY AS DEFINED THEREIN.
  5.  ENVIRONMENTAL  REVIEW.  THE  OFFICE  WILL SERVE AS LEAD AGENCY FOR
REVIEW PURSUANT TO ARTICLE EIGHT OF THE ENVIRONMENTAL  CONSERVATION  LAW
FOR  ALL ACTIONS INVOLVING EXPLORATION AND PRODUCTION OF PRIVATELY-CONT-
ROLLED OIL AND GAS RESOURCES BENEATH STATE OWNED LANDS  WITHIN  ALLEGANY
STATE  PARK,  INCLUDING  APPLICATIONS  FOR  A  PERMIT  PURSUANT  TO THIS
SECTION. IN CONDUCTING SUCH REVIEW, THE OFFICE SHALL EVALUATE ALL POTEN-
TIAL IMPACTS OF PROPOSED WELL DRILLING, ROAD CONSTRUCTION,  CLEARING  OF
VEGETATION,  AND  OTHER  RELATED ACTIVITIES IN TERMS OF CONSISTENCY WITH
THE AGENCY'S MISSION AS SET FORTH IN SECTION 3.02 OF THIS CHAPTER.
  6. ENFORCEMENT. ANY VIOLATION OF A TERM  OR  CONDITION  OF  A  SURFACE
ACCESS  PERMIT  GRANTED  PURSUANT  TO  THIS SECTION SHALL BE GROUNDS FOR
REVOCATION THEREOF. IN ADDITION, ANY PARTY ACTING IN VIOLATION OF SUCH A
PERMIT, AND ANY PARTY ENGAGING IN OIL OR GAS EXPLORATION,  DRILLING,  OR
PRODUCTION ACTIVITY WITHOUT HAVING OBTAINED A PERMIT AS REQUIRED BY THIS
SECTION,  SHALL  BE SUBJECT TO INJUNCTION AND LIABLE FOR A CIVIL PENALTY
OF NOT MORE THAN TEN THOUSAND DOLLARS FOR EACH DAY  OF  SUCH  VIOLATION,
OBTAINABLE IN AN ACTION BROUGHT BY THE ATTORNEY GENERAL UPON REFERRAL BY
THE COMMISSIONER OR ON HIS OR HER OWN INITIATIVE.
  7.  COMPENSATION  OF  LOST  REVENUE.  IN  THE  EVENT THAT ANY SPILL OR
RELEASE OF OIL, GAS, OR OTHER SUBSTANCE PRODUCED OR TRANSPORTED IN ALLE-
GANY STATE PARK BY, OR ON BEHALF OF, ANY PERSON RECEIVING A PERMIT UNDER
THIS SECTION RESULTS IN THE TEMPORARY CLOSING OF ALL OR PART OF ALLEGANY
STATE PARK, SUCH PERSON SHALL BE LIABLE TO COMPENSATE THE OFFICE FOR ANY
LOST REVENUE OR PARK USER FEES RESULTING FROM THE CLOSURE. SUCH  COMPEN-
SATION OF LOST REVENUE SHALL BE IN ADDITION TO ANY OTHER COSTS OR PENAL-
TIES IMPOSED UNDER APPLICABLE LAWS, REGULATIONS, OR PERMIT CONDITIONS.
  8.  RULES  AND  REGULATIONS.   THE COMMISSIONER IS AUTHORIZED TO ADOPT
RULES  AND  REGULATIONS  NECESSARY  OR  DESIRABLE  TO   EFFECTUATE   THE
PROVISIONS OF THIS SECTION.
  S 2. This act shall take effect immediately.