Senate Bill S3864

                                BILL NUMBER:S3864

TITLE OF BILL:  An act to amend the environmental conservation law, in
relation to the prohibition of the on-site storage of flowback water

PURPOSE OR GENERAL IDEA OF BILL:

The purpose of this bill is to provide greater oversight of natural
gas drilling.

SUMMARY OF SPECIFIC PROVISIONS:

This bill would:

*prohibit the use of on-site reserve pits for flowback waters;

*require flowback waters to be contained within steel tanks;

*require the removal of flowback waters within seven days of a halt in
drilling operations; and,

*require the immediate removal of flowback waters if the site is to be
left unattended or if operations are suspended.

EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER:

              

Amends 23-0305(8) of the ECL to add a new paragraph K.

JUSTIFICATION:

New York is home to rich natural gas reserves. In 2006, there were
6,213 active natural gas wells that generated a state record of 55.3
billion cubic feet of natural gas. The Marcellus formation that
extends from the Southern Tier into Ohio, Pennsylvania and West
Virginia is estimated to have $1 trillion worth of natural gas, and is
largely untapped. The rising price of natural gas has led to an
increased demand for new sources and made formations like the
Marcellus even more attractive.

The extraction of these reserves is accompanied by considerable risk
to the environment. In order to fully examine this risk, the Assembly
Environmental Conservation Committee has held a series of hearings to
examine the environmental protections needed in the Department of
Environmental Conservation's (DEC) natural gas, and oil drilling
regulatory structure in order to safeguard natural resources. In the
course of time hearings, expert testimony was presented on necessary
steps to ensure the safety of New York's precious water resources.

The use of on-site reserve pits for flowback waters poses a potential
hazard to humans and wildlife. The use of steel tanks will minimize
such hazard and also decrease the risk of accidental releases In
addition, the presence storage limitations will ensure that flowback
waters are not stockpiled on site for unlimited periods of time.

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None.


EFFECTIVE DATE:

This Act shall take effect 90 days after enactment.