|Assembly Actions - Lowercase
Senate Actions - UPPERCASE
|Jan 04, 2012||referred to environmental conservation|
|Mar 01, 2011||referred to environmental conservation|
senate Bill S3659
Archive: Last Bill Status - In Committee
- In Committee
- On Floor Calendar
- Passed Senate
- Passed Assembly
- Delivered to Governor
- Signed/Vetoed by Governor
S3659 - Details
S3659 - Summary
Provides that integrated royalty owners in the New York Marcellus Shale region shall receive a royalty equal to the highest royalty in an existing lease in the spacing unit, but no less than 18.75 percent.
S3659 - Sponsor Memo
BILL NUMBER:S3659 TITLE OF BILL: An act to amend the environmental conservation law, in relation to integrated royalty owners in the New York Marcellus Shale region PURPOSE OR GENERAL IDEA OF BILL: To increase the statutory minimum royalty for landowners in the New York Marcellus Shale region who are involuntarily included in a natural gas drilling unit through compulsory integration. SUMMARY OF SPECIFIC PROVISIONS: § 23-0901, subsection 3 of Environmental Conservation law is amended to increase the minimum royalty payment for landowners who undergo compulsory integration in the New York Marcellus Shale region from 12.5 percent to the highest royalty in an existing lease in the drilling unit, but no less than 18.75 percent. JUSTIFICATION: When a natural gas drilling company applies for a permit from the Department of Environmental Conservation (DEC) to drill a well, the company proposes a drilling unit from which gas will be extracted. These unit boundaries may cut across property lines and include land owned by people that have not, for various reasons, signed a lease with a gas company for development.
S3659 - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 3659 2011-2012 Regular Sessions I N S E N A T E March 1, 2011 ___________ Introduced by Sen. VALESKY -- read twice and ordered printed, and when printed to be committed to the Committee on Environmental Conservation AN ACT to amend the environmental conservation law, in relation to inte- grated royalty owners in the New York Marcellus Shale region THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subparagraph 3 of paragraph a of subdivision 3 of section 23-0901 of the environmental conservation law, as amended by chapter 386 of the laws of 2005, is amended to read as follows: (3) "Integrated royalty owner" means an owner who has either elected to be an integrated royalty owner or who does not elect to become either a participating owner or a non-participating owner. [The integrated] INTEGRATED royalty [owner] OWNERS, OTHER THAN INTEGRATED ROYALTY OWNERS IN THE NEW YORK MARCELLUS SHALE REGION, shall receive a royalty equal to the lowest royalty in an existing lease in the spacing unit, but no less than one-eighth. INTEGRATED ROYALTY OWNERS IN THE NEW YORK MARCELLUS SHALE REGION SHALL RECEIVE A ROYALTY EQUAL TO THE HIGHEST ROYALTY IN AN EXISTING LEASE IN THE SPACING UNIT, BUT NO LESS THAN 18.75 PERCENT. The integrated royalty owner shall have no obligation to the well operator or any other owner for any charges, taxes or fees associated with the operation of the oil or gas well and, notwithstanding any other law to the contrary, shall not be liable by reason of the owner's status as an integrated royalty owner for any claims for personal injury or property damage suffered by any person relating to the drilling and operation of the well. S 2. This act shall take effect immediately. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD03289-01-1
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