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

                                  1220

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                             January 9, 2015
                               ___________

Introduced by Sens. AVELLA, ADDABBO, CARLUCCI, ESPAILLAT, KRUEGER, MONT-
  GOMERY,  RIVERA,  SERRANO  -- 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
  natural gas development using hydraulic fracturing

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

  Section 1. Legislative declarations and purpose.  1.  The  legislature
recognizes that the expansion of natural gas development in the state of
New York using hydraulic fracturing poses unique threats to human health
and  to  the  environment.  The  legislature further recognizes that New
York's current laws are inadequate to protect against these threats.
  2. As natural gas development expands, it is the highest  priority  of
this  state  to  protect human health as well as to ensure the safety of
irreplaceable natural assets such as safe  drinking  water,  clean  air,
wildlife, and the aesthetic beauty of the state.
  3. Hydraulic fracturing utilizes components that are often toxic, that
are  non-biodegradable, and that are virtually impossible to remove once
they enter the natural environment. Many of  these  hazardous  chemicals
are  known  carcinogens  and  others  can  cause  other life threatening
illnesses. Drinking water contamination from  hydraulic  fracturing  can
lead  to  exposure to endocrine disrupting agents and to other chemicals
that can cause kidney, liver,  heart,  blood,  brain  damage  and  other
hazardous health effects.
  4.  Hydraulic  fracturing  operations  withdraw millions of gallons of
water from the ground and surface waters  of  the  state,  which  are  a
precious,  finite and invaluable resource, upon which there is likely to
be an ever-increasing demand for present, new and  competing  uses.  The
withdrawal of ground and surface waters of the state should be regulated
in a manner that benefits the people of the state and is compatible with
long-range  water resource planning and with managing such waters in the
public trust for the benefit of all New Yorkers.
  5. Hydraulic fracturing operations result in wastewater  that  returns
to the surface laden with salt, heavy metals, other chemicals and radio-

              

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02057-01-5

S. 1220                             2

active  elements.  In  other  states, this wastewater is often stored in
open pits until transported for ultimate disposal.  Chemicals  evaporate
from these open pits, contributing to air pollution. Leaks and spills of
chemicals  from  the  trucks  and  waste pits may cause contamination of
surface waters. Fracturing fluid left underground could migrate or  seep
through   fractures  in  underground  formations,  cracks  in  well-bore
casings, through abandoned wells, or otherwise to  pollute  groundwater.
Given  the  increased  prevalence  of natural gas drilling in the state,
these negative effects may  increase  if  the  process  of  natural  gas
extraction is not carefully and thoughtfully regulated.
  6.  One  of  the  chief environmental and infrastructure assets of the
state of New York is its drinking water systems, which play a  fundamen-
tal  role  in  the economic productivity and public health of the state.
The policy of the state with respect to  the  management  of  shale  gas
extraction must be one of zero drinking water risk.
  7.  Furthermore,  natural  gas  exploration  must  be carried out in a
manner that is sensitive to the ecological richness and aesthetic beauty
of the state. Widespread, uncontrolled  natural  gas  development  using
hydraulic  fracturing will diminish or destroy the natural beauty of the
land and disrupt the natural habitat of wildlife. The legislature  finds
that  natural  gas  development  must  be  carried out to minimize these
effects to the maximum extent possible.
  8. Natural gas extraction can impose both  monetary  and  non-monetary
costs  on  municipalities  and cause property damage or otherwise reduce
the property value of private land owners. It is the  intention  of  the
legislature  that  all  persons who undertake natural gas development in
the state of New York take full responsibility for  their  actions,  and
act consistent with local concerns.
  9.  Although  natural gas development provides the promise of economic
benefit for the state of New York, the state must ensure that the  bene-
fits  outweigh the costs. It is the policy of the state that natural gas
development practices will be sustainable, respectful, and safe.    This
act is intended to ensure that goal is met.
  S  2.  The  environmental  conservation law is amended by adding a new
section 17-0709 to read as follows:
S 17-0709. WASTEWATER TREATMENT FACILITIES.
  NOTWITHSTANDING ANYTHING TO  THE  CONTRARY  CONTAINED  IN  SUBDIVISION
TWENTY-ONE  OF  SECTION 17-0105 OF THIS ARTICLE, THE COMMISSIONER SHALL,
AFTER HOLDING A PUBLIC HEARING WITH DUE NOTICE,  PROMULGATE  REGULATIONS
ESTABLISHING  A STANDARD OF PERFORMANCE FOR THE CONTROL OF THE DISCHARGE
OF POLLUTANTS FROM FACILITIES  WHICH  TREAT  WASTEWATER  FROM  HYDRAULIC
FRACTURING  OPERATIONS.  THIS  STANDARD OF PERFORMANCE SHALL REFLECT THE
GREATEST DEGREE OF EFFLUENT REDUCTION WHICH THE COMMISSIONER  DETERMINES
TO  BE ACHIEVABLE THROUGH APPLICATION OF THE BEST AVAILABLE DEMONSTRATED
CONTROL TECHNOLOGY, PROCESSES, OPERATING METHODS, OR OTHER ALTERNATIVES,
INCLUDING, WHERE PRACTICABLE, A  STANDARD  PERMITTING  NO  DISCHARGE  OF
POLLUTANTS.  THIS  STANDARD  OF PERFORMANCE SHALL REMAIN IN EFFECT UNTIL
SUCH TIME THAT THE FEDERAL GOVERNMENT DETERMINES THAT A  GREATER  DEGREE
OF  EFFLUENT LIMITATION IS ACHIEVABLE BY THIS CATEGORY OF FACILITIES, AT
WHICH TIME THIS STANDARD OF PERFORMANCE  SHALL  BE  SUPERSEDED  BY  SUCH
FEDERAL STANDARD.
  S 3. Section 23-0101 of the environmental conservation law, as amended
by chapter 846 of the laws of 1981 and subdivision 1 as amended by chap-
ter 891 of the laws of 1984, is amended to read as follows:
S 23-0101. Definitions.
  As used in this article, unless the context otherwise requires:

S. 1220                             3

  1.  "AIR POLLUTANT" MEANS VOLATILE ORGANIC COMPOUNDS (VOCS) AS DEFINED
AT 40 CFR 51.100(S), HAZARDOUS AIR POLLUTANTS (HAPS) AS  DEFINED  AT  42
USC  S  7412(B)  AND  40  CFR 63, NITROGEN OXIDES (NOX), CARBON MONOXIDE
(CO), METHANE (CH4), ETHANE (C2H6), PARTICULATE MATTER (PM10 AND PM2.5),
OZONE  (O3),  LEAD (PB), SULFUR DIOXIDE (SO2) AND OTHER AIR CONTAMINANTS
AS MAY BE IDENTIFIED BY THE DEPARTMENT.
  2. "BEST MANAGEMENT PRACTICES (BMPS)" ARE PRACTICES THAT ARE  DESIGNED
TO  PREVENT  OR  REDUCE IMPACTS CAUSED BY OIL AND GAS OPERATIONS TO AIR,
WATER, SOIL, OR BIOLOGICAL RESOURCES, AND TO MINIMIZE ADVERSE IMPACTS TO
PUBLIC HEALTH, SAFETY AND WELFARE, INCLUDING THE ENVIRONMENT  AND  WILD-
LIFE RESOURCES.
  3.  "Buffer  zone"  means  all  that  area outside and surrounding the
underground gas storage  reservoir  which  the  department  approves  as
appropriate  to protect the integrity of the reservoir, no part of which
shall be more than thirty-five hundred linear  feet  from  the  boundary
thereof.
  [2.]  4.  "Cavity"  means an open or partially open space left after a
salt has been solution mined.
  [3.] 5. "CLOSED-LOOP SYSTEM" MEANS A SYSTEM FOR HANDLING  OIL  OR  GAS
EXPLORATION, STIMULATION, OR PRODUCTION WASTES, INCLUDING BUT NOT LIMIT-
ED  TO  DRILLING  FLUIDS  AND  CUTTINGS,  HYDRAULIC FRACTURING FLOWBACK,
PRODUCED WATER, AND RESIDUAL SLUDGES OR BRINES,  WITHOUT  THE  NEED  FOR
PITS.
  6.  "Commissioner"  means  the commissioner of environmental conserva-
tion.
  [4.] 7. "CONSEQUENCES OF ANY HAZARDOUS  DISCHARGE"  AS  USED  IN  THIS
SECTION  MEANS ANY DETRIMENTAL EFFECT TO THE HEALTH, SAFETY, WELFARE, OR
AESTHETIC ENJOYMENT OF ANY CITIZEN, RESIDENT, OR VISITOR IN THE STATE BY
A HAZARDOUS DISCHARGE.
  8. "Department" means the department of environmental conservation.
  [5.] 9. "ENVIRONMENTAL DAMAGE" AS USED IN THIS  SECTION  MEANS  DAMAGE
TO:
  A. ANY WATERS OF THE STATE;
  B. ANY LAND SURFACE OR SUBSURFACE STRATA OF THE STATE;
  C. ANY AMBIENT AIR WITHIN THE STATE; OR,
  D.  THE  WILDLIFE OR ECOLOGICAL SYSTEMS IN THE LAND, AIR, OR WATERS OF
THE STATE.
  10. "Fund" means the oil and  gas  [fund  as  established  in  section
eighty-three-a of the state finance law] ACCOUNT ESTABLISHED UNDER CHAP-
TER FIFTY-EIGHT OF THE LAWS OF NINETEEN HUNDRED EIGHTY-TWO.
  [6.]  11.  "Field"  means  the  general  area underlaid by one or more
pools.
  [7.] 12. "Gas" means all natural, manufactured, mixed,  and  byproduct
gas, and all other hydrocarbons not defined as oil in this section.
  [8.]  13.  "GROUNDWATER"  MEANS  WATER  IN A SATURATED ZONE OR STRATUM
BENEATH THE SURFACE OF LAND OR WATER.
  14. "GROUNDWATER WELL" MEANS ANY WELL DESIGNED OR USED  FOR  THE  SOLE
PURPOSE OF OBTAINING GROUNDWATER.
  15. "HAZARDOUS RELEASE" AS USED IN THIS SECTION MEANS THE RELEASE OF A
HAZARDOUS SUBSTANCE.
  16.  "HAZARDOUS  SUBSTANCE"  MEANS SUBSTANCES WHICH MEET THE FOLLOWING
CRITERIA, INCLUDING BUT NOT LIMITED TO THOSE LISTED  IN  N.Y.C.R.R.    S
597.2:
  A.  BECAUSE OF THEIR QUANTITY, CONCENTRATION, OR PHYSICAL, CHEMICAL OR
INFECTIOUS CHARACTERISTICS CAUSE PHYSICAL INJURY OR ILLNESS WHEN IMPROP-
ERLY TREATED, STORED, TRANSPORTED, DISPOSED OF, OR OTHERWISE MANAGED;

S. 1220                             4

  B. POSE A PRESENT OR POTENTIAL HAZARD TO THE ENVIRONMENT WHEN  IMPROP-
ERLY TREATED, STORED, TRANSPORTED, DISPOSED OF, OR OTHERWISE MANAGED;
  C.  BECAUSE  OF  THEIR  TOXICITY  OR  CONCENTRATION  WITHIN BIOLOGICAL
CHAINS, PRESENT A DEMONSTRATED THREAT TO  BIOLOGICAL  LIFE  CYCLES  WHEN
RELEASED INTO THE ENVIRONMENT;
  D.  HAVE  AN  ORAL LD (RAT) TOXICITY OF LESS THAN FIFTY MILLIGRAMS PER
KILOGRAM; OR HAVE AN INHALATION LC  (RAT)  TOXICITY  OF  LESS  THAN  TWO
MILLIGRAMS PER LITER; OR HAVE A DERMAL LD (RABBIT) TOXICITY OF LESS THAN
TWO HUNDRED MILLIGRAMS PER KILOGRAM; OR
  E.  CAUSE  OR ARE CAPABLE OF CAUSING DEATH, SERIOUS ILLNESS OR SERIOUS
PHYSICAL INJURY TO ANY PERSON OR PERSONS AS  A  CONSEQUENCE  OF  RELEASE
INTO THE ENVIRONMENT.
  17.  "Local  agency"  means any local agency, board, authority, school
district, commission or governing  body,  including  any  county,  city,
town, village or other political subdivision of the state.
  [9.]  18.  "Metered"  means  the  physical measurement of gas by means
acceptable to the department.
  [10.] 19. "Oil" means crude petroleum oil and all other  hydrocarbons,
regardless  of gravity, that are produced at the wellhead in liquid form
by ordinary production methods and that are not the result of  condensa-
tion of gas.
  [11.]  20.  "OIL  AND  GAS FACILITY" MEANS EQUIPMENT, IMPROVEMENTS, OR
PHYSICAL STRUCTURES, INCLUDING ANY OIL OR GAS WELLS, USED  OR  INSTALLED
AT  AN OIL AND GAS LOCATION FOR THE EXPLORATION, PRODUCTION, WITHDRAWAL,
GATHERING, TREATMENT, OR PROCESSING OF OIL OR NATURAL GAS.
  21. "OIL AND GAS LOCATION" MEANS A DEFINABLE AREA  WHERE  AN  OPERATOR
HAS  DISTURBED OR INTENDS TO DISTURB THE LAND SURFACE IN ORDER TO LOCATE
AN OIL AND GAS FACILITY.
  22. "OIL AND GAS  OPERATIONS"  MEANS  EXPLORATION  FOR  OIL  AND  GAS,
INCLUDING  THE  CONDUCT  OF  SEISMIC OPERATIONS AND THE DRILLING OF TEST
BORES; THE SITING,  DRILLING,  DEEPENING,  RECOMPLETION,  REWORKING,  OR
ABANDONMENT  OF  AN OIL AND GAS WELL, UNDERGROUND INJECTION WELL, OR GAS
STORAGE WELL; PRODUCTION OPERATIONS RELATED TO ANY SUCH  WELL  INCLUDING
THE  INSTALLATION  OF  FLOWLINES  AND GATHERING SYSTEMS; THE GENERATION,
TRANSPORTATION, STORAGE,  TREATMENT,  OR  DISPOSAL  OF  EXPLORATION  AND
PRODUCTION  WASTES;  AND ANY CONSTRUCTION, SITE PREPARATION, OR RECLAMA-
TION ACTIVITIES ASSOCIATED WITH SUCH OPERATIONS.
  23. "OPERATOR" MEANS ANY PERSON WHO EXERCISES THE RIGHT TO CONTROL THE
CONDUCT OF, OR WHO CONDUCTS, OIL AND GAS OPERATIONS.
  24. "Owner" means the person who has  the  right  to  drill  into  and
produce from a pool or a salt deposit and to appropriate the oil, gas or
salt  he  produces  either  for  himself  or  others, or for himself and
others.
  [12.] 25. "PIT" MEANS ANY NATURAL OR MAN-MADE DEPRESSION IN THE GROUND
USED FOR THE PURPOSE OF RETAINING OR STORING SUBSTANCES ASSOCIATED  WITH
OIL AND GAS OPERATIONS.
  26. "Person" means and includes any natural person, corporation, asso-
ciation, partnership, receiver, trustee, executor, administrator, guard-
ian,  fiduciary,  or  other representative of any kind, and includes any
department, agency or instrumentality of the state or any of its govern-
mental subdivisions.
  [13.] 27. "Plug and abandon" means the plugging, replugging if  neces-
sary, and abandonment of a well bore including the placing of all bridg-
es, plugs, and fluids therein and the restoration and reclamation of the
surface  in  the immediate vicinity to a reasonable condition consistent
with the adjacent terrain.

S. 1220                             5

  [14.] 28. "Pool" means an underground reservoir  containing  a  common
accumulation  of  oil  or gas or both; each zone of a structure which is
completely separated from any other zone in  the  same  structure  is  a
pool.
  [15.]  29.  "POTENTIAL ENVIRONMENTAL JUSTICE AREA" MEANS A MINORITY OR
LOW-INCOME COMMUNITY THAT MAY BEAR A DISPROPORTIONATE SHARE OF THE NEGA-
TIVE ENVIRONMENTAL CONSEQUENCES RESULTING  FROM  INDUSTRIAL,  MUNICIPAL,
AND COMMERCIAL OPERATIONS OR THE EXECUTION OF FEDERAL, STATE, LOCAL, AND
TRIBAL PROGRAMS AND POLICIES.
  30. "Producer" means the owner of a well or wells capable of producing
oil, gas, or salt; or any salt or hydrocarbon mixture.
  [16.]  31.  "Product"  means  any  commodity  made from oil or gas and
includes refined crude oil, crude tops, topped crude,  processed  crude,
processed crude petroleum, residue from crude petroleum, cracking stock,
uncracked  fuel  oil,  fuel  oil,  treated crude oil, residuum, gas oil,
casinghead gasoline, natural-gas gasoline, kerosene, benzine, wash  oil,
waste  oil, blended gasoline, lubricating oil, blends or mixtures of oil
with one or more liquid products or by-products derived from oil or gas,
and blends or mixtures of two or more  liquid  products  or  by-products
derived from oil or gas, whether herein enumerated or not.
  [17.]  32.    "RELEASE" MEANS ANY SPILLING, LEAKING, PUMPING, POURING,
EMITTING,  EMPTYING,  DISCHARGING,  ESCAPING,   LEACHING,   DUMPING   OR
DISCHARGING  INTO THE ENVIRONMENT (INCLUDING THE ABANDONMENT OR DISCARD-
ING OF BARRELS, CONTAINERS, AND OTHER CLOSED RECEPTACLES).
  33. "Reservoir" means any underground reservoir, natural or artificial
cavern or geologic dome, sand or  stratigraphic  trap,  whether  or  not
previously occupied by or containing oil or gas.
  [18.] 34. "Salt" means sodium chloride, evaporite or other water solu-
ble  minerals,  either in solution or as a solid or crystalline material
in a pure state or as a mixture.
  [19.] 35.  "SITE" MEANS THE LOCATION OF ANY   OIL AND  GAS  OPERATION,
INCLUDING  BUT  NOT  LIMITED TO WELLS AND WELL PADS, STORAGE FACILITIES,
NATURAL GAS COMPRESSOR STATIONS, AND CENTRALIZED IMPOUNDMENTS.
  36. "Solution mining" means the dissolving of an underground  salt  by
water to produce a brine for transport to another underground or surface
location for sale, processing or storage.
  [20.]  37.    "SURFACE WATER" MEANS ANY WATER OCCURRING ON THE EARTH'S
SURFACE IN THE FORM OF A STREAM,  RIVER,  POND,  LAKE,  WETLAND,  OCEAN,
ARTIFICIAL CHANNEL OR RESERVOIR, OR OTHER SURFACE WATER BODY.
  38. "Waste" means
  a. Physical waste, as that term is generally understood in the oil and
gas industry;
  b.  The  inefficient, excessive or improper use of, or the unnecessary
dissipation of reservoir energy;
  c. The locating, spacing, drilling, equipping, operating, or producing
of any oil or gas well or wells in a manner which  causes  or  tends  to
cause  reduction  in  the  quantity of oil or gas ultimately recoverable
from a pool under prudent and proper  operations,  or  which  causes  or
tends  to  cause unnecessary or excessive surface loss or destruction of
oil or gas;
  d. The inefficient storing of oil or gas; and
  e. The flaring of gas produced from an oil or  condensate  well  after
the department has found that the use of the gas, on terms that are just
and reasonable, is, or will be economically feasible within a reasonable
time.

S. 1220                             6

  S 4. Section 23-0303 of the environmental conservation law, as amended
by chapter 846 of the laws of 1981, is amended to read as follows:
S 23-0303. Administration of article.
  1.  Except  to  the  extent that the administration of this article is
specifically entrusted to other agencies or officers of the state by its
provisions, such administration shall be by the department.   Geological
services  for  the  department  in connection with the administration of
this article shall be provided by or in cooperation with the state geol-
ogist. Within appropriations therefor the department  is  authorized  to
employ such personnel as may be necessary for the administration of this
article  and may also employ or secure the services of such engineering,
technical and other consultants as it may require from time to time.
  2. The provisions of this article shall supersede all  local  laws  or
ordinances  relating  to  the  regulation  of  the oil, gas and solution
mining industries; [but shall not supersede local  government  jurisdic-
tion  over local roads or the rights of local governments under the real
property tax law] PROVIDED, HOWEVER, THAT NOTHING IN THIS ARTICLE  SHALL
BE CONSTRUED TO PREVENT ANY LOCAL GOVERNMENT FROM:
  A.  ENACTING OR ENFORCING LOCAL LAWS OR ORDINANCES OF GENERAL APPLICA-
BILITY, EXCEPT THAT SUCH LOCAL LAWS OR ORDINANCES SHALL NOT REGULATE OIL
AND GAS OPERATIONS REGULATED BY STATE STATUTE OR REGULATION; OR
  B. ENACTING OR ENFORCING LOCAL LAWS OR ORDINANCES RELATED TO THE REGU-
LATION AND MANAGEMENT OF LOCAL ROADS, SUCH  AS  INGRESS  AND  EGRESS  TO
PUBLIC THOROUGHFARES CONTROLLED BY THE LOCAL GOVERNMENT; OR
  C.  ENACTING OR ENFORCING LAWS PURSUANT TO THE RIGHTS OF LOCAL GOVERN-
MENTS UNDER THE REAL PROPERTY TAX LAW; OR
  D. ENFORCING ANY REQUIREMENT CONTAINED IN ANY OIL OR GAS PERMIT ISSUED
BY THE STATE; OR
  E. ENACTING OR ENFORCING LOCAL ZONING ORDINANCES OR LAWS  THAT  DETER-
MINE PERMISSIBLE USES IN ZONING DISTRICTS, INCLUDING WHETHER OIL AND GAS
FACILITIES ARE PERMISSIBLE WITHIN A PARTICULAR ZONING DISTRICT. WHERE AN
OIL  AND  GAS  FACILITY  IS  DESIGNATED  A  PERMISSIBLE  USE IN A ZONING
DISTRICT AND ALLOWED BY SPECIAL USE PERMIT, CONDITIONS  PLACED  ON  SUCH
SPECIAL USE PERMITS SHALL BE LIMITED TO THE FOLLOWING:
  I. REQUIREMENTS AND CONDITIONS CONCERNING SETBACK FROM PROPERTY BOUND-
ARIES,  SURFACE  WATERS, GROUNDWATER WELLS, HOMES OR PRIVATE RESIDENCES,
CHURCHES, SCHOOLS, AND OTHER PUBLIC FACILITIES, AND PUBLIC  THOROUGHFARE
RIGHTS-OF-WAY;
  II.  REQUIREMENTS AND CONDITIONS CONCERNING NATURAL OR MAN-MADE BARRI-
ERS TO RESTRICT ACCESS FROM OIL AND GAS FACILITIES, IF REQUIRED; AND
  III. DUST, NOISE, VIBRATION, OR LIGHT LIMITATIONS, AND  REGULATION  OF
HOURS OF OPERATION.
  3. NOTWITHSTANDING ANY PROVISION TO THE CONTRARY, LOCAL LAWS AND ORDI-
NANCES  REGULATING  ZONING,  INCLUDING CONDITIONS IN SPECIAL USE PERMITS
THAT IMPOSE SETBACKS, THE REQUIREMENT OF NATURAL OR MANMADE BARRIERS, OR
LIMITATIONS ON DUST, NOISE, VIBRATION, LIGHT, OR HOURS OF OPERATION,  DO
NOT  CONSTITUTE  THE  REGULATION  OF OIL AND GAS OPERATIONS REGULATED BY
STATE STATUTE OR REGULATION.
  4. IN ORDER TO FACILITATE A MUNICIPALITY'S  ABILITY  TO  EXERCISE  ITS
AUTHORITY  UNDER  PARAGRAPH  D  OF  SUBDIVISION TWO OF THIS SECTION, THE
DEPARTMENT SHALL PROVIDE EVERY MUNICIPALITY WITH A COPY OF THE PERMIT OF
EACH WELL LOCATED OR PERMITTED TO BE LOCATED WITHIN ITS BOUNDARIES.
  [3.] 5. a. The commissioner shall accept from municipalities  requests
for  funds  from  the oil and gas fund to reimburse the municipality for
costs incurred in repairing damages to municipal land or property.  Such

S. 1220                             7

requests  shall  include  such explanatory material and documentation as
the commissioner may require.
  b.  The commissioner and director of the budget, may recommend payment
to the municipality to satisfy the request for reimbursement upon  find-
ing that:
  (1)  The  municipality  has made a bona fide effort to seek relief and
recover its costs from those deemed to  be  responsible  and  any  other
appropriate avenues, but has been unsuccessful;
  (2)  The damage was a direct result of activities regulated under this
article and that the amount of funds requested is reasonable in view  of
such damages; and
  (3)  The costs were incurred after the effective date of this subdivi-
sion.
  S 5. Paragraph d of subdivision 8 of section 23-0305 of  the  environ-
mental  conservation law, as amended by chapter 846 of the laws of 1981,
is amended to read as follows:
  d. Require the drilling, casing, operation, plugging and replugging of
wells and reclamation of surrounding land in accordance with  rules  and
regulations  of  the  department  in such manner as to prevent or remedy
[the following] ANY ACT RESULTING IN ENVIRONMENTAL DAMAGE, including but
not limited to: the escape of oil, gas, brine or water out of one  stra-
tum  into  another;  the intrusion of water into oil or gas strata other
than during enhanced recovery operations; the pollution of  fresh  water
supplies  by oil, gas, salt water, DRILLING FLUIDS, HYDRAULIC FRACTURING
FLUIDS or other contaminants; and blowouts, cavings, seepages and fires.
SUCH RULES AND REGULATIONS SHALL REGULATE THE TYPE, VOLUME, AND  CONCEN-
TRATION OF ADDITIVES FOR THE PROTECTION OF HUMAN HEALTH AND THE ENVIRON-
MENT;  AND SUCH REGULATIONS SHALL PROHIBIT THE USE OF DRILLING FLUIDS OR
HYDRAULIC FRACTURING FLUIDS CONTAINING ANY CHEMICAL SUBSTANCE THAT  UPON
EXPOSURE,  INGESTION,  INHALATION  OR  ASSIMILATION  INTO  ANY ORGANISM,
EITHER DIRECTLY FROM THE ENVIRONMENT, INCLUDING FROM DRINKING WATER,  OR
INDIRECTLY THROUGH FOOD CHAINS, WILL, ON THE BASIS OF INFORMATION AVAIL-
ABLE  TO THE DEPARTMENT, CAUSE DEATH, DISEASE, BEHAVIORAL ABNORMALITIES,
CANCER, GENETIC MUTATIONS, ENDOCRINE DISRUPTION, PHYSIOLOGICAL  MALFUNC-
TIONS, INCLUDING MALFUNCTIONS IN REPRODUCTION, OR PHYSICAL DEFORMATIONS,
IN  SUCH  ORGANISMS  OR  THEIR  OFFSPRING, INCLUDING BUT NOT LIMITED TO:
BENZENE AND ANY CHEMICAL SUBSTANCE THAT HAS BEEN IDENTIFIED PURSUANT  TO
THE  FEDERAL TOXIC SUBSTANCES CONTROL ACT AS PERSISTENT, BIOACCUMULATIVE
AND TOXIC.
  S 6. Section 23-0305 of the environmental conservation law is  amended
by adding a new subdivision 15 to read as follows:
  15.  THE  DEPARTMENT SHALL PROMULGATE REGULATIONS REQUIRING DISCLOSURE
OF CHEMICALS USED IN OIL AND GAS WELL DRILLING AND HYDRAULIC FRACTURING,
INCLUDING BUT NOT LIMITED TO THE FOLLOWING REQUIREMENTS:
  A. NO PERMIT TO DRILL, DEEPEN, PLUG BACK, OR CONVERT A WELL  SHALL  BE
ISSUED  UNDER  THIS ARTICLE UNTIL THE DEPARTMENT OBTAINS FROM THE PERMIT
APPLICANT A COMPLETE LIST OF THE CHEMICAL CONSTITUENTS OF EACH  ADDITIVE
THAT  MAY  BE  USED  IN DRILLING OR FRACTURING THE WELL SPECIFIED IN THE
APPLICATION;
  B. WHENEVER THE DEPARTMENT OR A TREATING PHYSICIAN  OR  NURSE,  DETER-
MINES THAT A MEDICAL EMERGENCY EXISTS AS A RESULT OF OIL OR GAS EXPLORA-
TION, STIMULATION, OR PRODUCTION ACTIVITIES CONDUCTED BY A WELL DRILLING
PERMIT  HOLDER OR ITS SUBCONTRACTORS AND THAT THE DISCLOSURE OF PROPRIE-
TARY CHEMICAL INFORMATION, INCLUDING THE IDENTITY OF ANY CHEMICAL OR THE
FORMULA OF ANY ADDITIVE USED IN DRILLING OR HYDRAULIC  FRACTURING  OF  A
PERMITTED  OIL  OR GAS WELL, MAY BE NECESSARY FOR EMERGENCY OR FIRST-AID

S. 1220                             8

TREATMENT, THE WELL DRILLING  PERMIT  HOLDER  OR  ANY  SUBCONTRACTOR  IN
POSSESSION  OR  CONTROL OF THE PROPRIETARY INFORMATION SHALL IMMEDIATELY
DISCLOSE THE PROPRIETARY INFORMATION REQUESTED TO THE DEPARTMENT OR THAT
TREATING  PHYSICIAN  OR  NURSE, REGARDLESS OF THE EXISTENCE OF A WRITTEN
STATEMENT OF NEED OR A CONFIDENTIALITY AGREEMENT.  THE PERMIT HOLDER  OR
SUBCONTRACTOR  MAY  REQUEST  A WRITTEN STATEMENT OF NEED AND A CONFIDEN-
TIALITY AGREEMENT AS SOON THEREAFTER AS  CIRCUMSTANCES  PERMIT.  IN  THE
EVENT  THE  PERMIT HOLDER OR SUBCONTRACTOR FAILS TO IMMEDIATELY DISCLOSE
SUCH PROPRIETARY INFORMATION, THE DEPARTMENT SHALL MAKE AVAILABLE  TO  A
TREATING PHYSICIAN OR NURSE ALL INFORMATION WITHIN ITS POSSESSION RELAT-
ING  TO  THE  INGREDIENTS OF ANY CHEMICAL OR THE FORMULA OF ANY ADDITIVE
USED IN DRILLING OR HYDRAULIC FRACTURING UTILIZED IN A PERMITTED OIL  OR
GAS WELL SUSPECTED OF CAUSING SUCH EMERGENCY;
  C.  EACH  PERMIT  HOLDER SHALL NOTIFY THE DEPARTMENT OF ANY CHANGES TO
THE CHEMICAL CONSTITUENTS USED IN DRILLING OR FRACTURING  PRIOR  TO  THE
FLUID'S USE IN THE DRILLING OR FRACTURING PROCESS.
  D.  THE  DEPARTMENT SHALL MAKE ANY DISCLOSURES FILED UNDER PARAGRAPH A
OR C OF THIS SUBDIVISION AVAILABLE TO THE PUBLIC  AND  SHALL  POST  SUCH
INFORMATION ON THE DEPARTMENT'S WEBSITE.
  S  7. Section 23-0313 of the environmental conservation law is amended
by adding four new subdivisions 3, 4, 5 and 6 to read as follows:
  3. THE DEPARTMENT SHALL PROMULGATE REGULATIONS REQUIRING:
  A. OIL AND GAS WELL OWNERS OR OPERATORS TO GIVE NOTICE TO THE  DEPART-
MENT,  LOCAL  HEALTH  DEPARTMENT  AND  RESPONDING EMERGENCY AGENCIES, IN
PERSON OR BY SUCH MEANS AS THE  DEPARTMENT  SHALL  SPECIFY,  IMMEDIATELY
AFTER  THE RELEASE OF ANY FUEL, HAZARDOUS CHEMICAL OR WASTE STORED AT OR
GENERATED BY AN OIL AND GAS FACILITY OR USED IN WELL DRILLING OR HYDRAU-
LIC FRACTURING OPERATIONS.
  B. NOTICE REQUIRED UNDER PARAGRAPH A OF THIS SUBDIVISION SHALL INCLUDE
EACH OF THE FOLLOWING (TO THE EXTENT KNOWN AT THE TIME OF THE NOTICE AND
SO LONG AS NO DELAY IN RESPONDING TO THE RELEASE RESULTS):
  I. THE CHEMICAL NAME OR IDENTITY OF  ANY  SUBSTANCE  INVOLVED  IN  THE
RELEASE; AND
  II.  AN  ESTIMATE  OF  THE  QUANTITY  OF  ANY  SUCH SUBSTANCE THAT WAS
RELEASED INTO THE ENVIRONMENT; AND
  III. THE TIME AND DURATION OF THE RELEASE; AND
  IV. THE MEDIUM OR MEDIA INTO WHICH THE RELEASE OCCURRED; AND
  V. ANY KNOWN OR ANTICIPATED ACUTE OR CHRONIC HEALTH  RISKS  ASSOCIATED
WITH THE RELEASE AND, WHERE APPROPRIATE, ADVICE REGARDING MEDICAL ATTEN-
TION NECESSARY FOR EXPOSED INDIVIDUALS; AND
  VI. PROPER PRECAUTIONS AND REMEDIAL ACTIONS TO TAKE AS A RESULT OF THE
RELEASE; AND
  VII.  THE  NAME  AND  TELEPHONE  NUMBER OF THE PERSON OR PERSONS TO BE
CONTACTED FOR FURTHER INFORMATION.
  C. AS SOON AS PRACTICABLE AFTER A RELEASE THAT REQUIRES  NOTICE  UNDER
PARAGRAPH  A OF THIS SUBDIVISION, SUCH OWNER OR OPERATOR SHALL PROVIDE A
WRITTEN FOLLOW-UP EMERGENCY NOTICE  (OR  NOTICES,  AS  MORE  INFORMATION
BECOMES  AVAILABLE)  SETTING FORTH AND UPDATING THE INFORMATION REQUIRED
UNDER PARAGRAPH B OF THIS SUBDIVISION, AND INCLUDING:
  I. ACTIONS TAKEN TO RESPOND TO AND CONTAIN THE RELEASE;
  II. ANY KNOWN OR ANTICIPATED ACUTE OR CHRONIC HEALTH RISKS  ASSOCIATED
WITH THE RELEASE; AND
  III. ADVICE REGARDING MEDICAL ATTENTION NECESSARY FOR EXPOSED INDIVID-
UALS.

S. 1220                             9

  D.  THE  DEPARTMENT  SHALL  POST ALL CHEMICAL SPILL REPORT INFORMATION
REFERENCED IN PARAGRAPHS A, B AND C OF THIS SUBDIVISION ON  THE  DEPART-
MENT'S WEBSITE.
  4.  THE  DEPARTMENT  SHALL  PROMULGATE RULES AND REGULATIONS REQUIRING
THAT OWNERS OR OPERATORS OF WELLS GIVE WRITTEN  NOTICE  TO  ALL  PERSONS
RESIDING WITHIN ONE HALF MILE OF ANY PROPOSED WELL SITE TWO WEEKS BEFORE
DRILLING  OR  HYDRAULIC FRACTURING OPERATIONS BEGIN. OWNERS OR OPERATORS
OF WELLS SHALL PUBLISH A NOTICE IN A LOCAL NEWSPAPER CIRCULATING IN  THE
AREA  OF  THE  PROPOSED WELL SITE TWO WEEKS BEFORE DRILLING OR HYDRAULIC
FRACTURING OPERATIONS BEGIN. WITHIN TWO BUSINESS DAYS OF  GIVING  NOTICE
UNDER THIS SECTION, A LIST OF RECIPIENTS AND A COPY OF ALL NOTICES, WITH
PROOF OF DELIVERY IN COMPLIANCE WITH THIS SECTION, SHALL BE SUBMITTED TO
THE  DEPARTMENT FOR INCLUSION IN THE DRILLING PERMIT FILE. COPIES OF ALL
NOTICES SHALL BE PUBLICLY AVAILABLE.
  5. THE DEPARTMENT SHALL DEVELOP MAPS OF ALL KNOWN OIL AND  GAS  WELLS,
INCLUDING  ACTIVE  AND  ABANDONED  WELLS, IN NEW YORK USING A GEOGRAPHIC
INFORMATION SYSTEM AND MAKE THOSE MAPS SYSTEM PUBLICLY AVAILABLE ON  THE
DEPARTMENT'S WEBSITE.
  6.  THE  DEPARTMENT  SHALL CREATE AND OPERATE AN EMERGENCY 1-800 TELE-
PHONE NUMBER FOR PUBLIC USE IN IDENTIFYING  AND  REPORTING  ANY  OIL  OR
NATURAL GAS-RELATED INCIDENTS TO THE DEPARTMENT.
  S  8.  The  environmental  conservation law is amended by adding a new
section 23-0315 to read as follows:
S 23-0315. BEST MANAGEMENT PRACTICES.
  1. THE COMMISSIONER SHALL NOT PERMIT ANY OWNER OR OPERATOR TO COMMENCE
OPERATIONS TO DRILL, DEEPEN, PLUG BACK OR CONVERT A  WELL  FOR  EXPLORA-
TION,  PRODUCTION,  STORAGE OR DISPOSAL UNLESS SUCH OPERATIONS IMPLEMENT
BEST MANAGEMENT PRACTICES.
  2. THE COMMISSIONER SHALL INCLUDE ALL APPLICABLE BEST MANAGEMENT PRAC-
TICES AS CONDITIONS OF EACH  PERMIT  TO  DRILL,  DEEPEN,  PLUG  BACK  OR
CONVERT A WELL.
  3.  EVERY THREE YEARS, AFTER HOLDING A PUBLIC HEARING WITH DUE NOTICE,
THE COMMISSIONER SHALL PUBLISH AN INVENTORY OF BEST MANAGEMENT PRACTICES
THAT MAY BE INCLUDED AS SPECIAL CONDITIONS OF PERMITS  FOR  NATURAL  GAS
DRILLING,  DEPENDING UPON SITE-SPECIFIC ANALYSIS OF A PROPOSED WELL SITE
AND AVAILABLE CONTROL TECHNOLOGIES. ANY BEST MANAGEMENT  PRACTICES  THAT
MAY  BE  APPLIED  TO  ALL DRILLING PERMITS SHALL BE PROMULGATED AS REGU-
LATIONS IN COMPLIANCE WITH THE REQUIREMENTS OF THE STATE  ADMINISTRATIVE
PROCEDURE ACT.
  S  9.  The  environmental  conservation law is amended by adding a new
section 23-0317 to read as follows:
S 23-0317. LIABILITY.
  1. LIABLE PARTIES. THE FOLLOWING PERSONS SHALL BE LIABLE UNDER  SUBDI-
VISION TWO OF THIS SECTION:
  A. THE OWNER OF AN OIL AND GAS FACILITY OR PIPELINE;
  B. THE OPERATOR OF AN OIL AND GAS FACILITY OR PIPELINE;
  C.  ANY  PERSON  WHO BY CONTRACT, AGREEMENT, OR OTHERWISE ARRANGED FOR
THE TRANSPORT OF OIL OR GAS, OR FOR THE TRANSPORT, DISPOSAL,  OR  TREAT-
MENT  OF  A HAZARDOUS SUBSTANCE USED IN OIL OR GAS OPERATIONS, INCLUDING
HAZARDOUS HYDRAULIC FRACTURING FLUID OR ANY HAZARDOUS COMPONENTS  THERE-
OF; AND,
  D.  ANY PERSON WHO ACCEPTS ANY HAZARDOUS SUBSTANCE USED IN OIL AND GAS
OPERATIONS FOR RECYCLING, DISPOSAL, OR TREATMENT.
  2. LIABILITY. ANY LIABLE PARTY MENTIONED IN SUBDIVISION  ONE  OF  THIS
SECTION SHALL BE LIABLE FOR ANY ENVIRONMENTAL DAMAGE FROM, OR THE CONSE-
QUENCES  OF  ANY  HAZARDOUS  RELEASE  FROM,  AN  OIL  AND  GAS FACILITY,

S. 1220                            10

WELL-BORE, PIPELINE, OR FROM ANY STORAGE OR DISPOSAL AREA FOR OIL,  GAS,
OR A HAZARDOUS SUBSTANCE USED IN OIL OR GAS OPERATIONS INCLUDING:
  A.  ALL  COSTS  OF REMOVAL OR REMEDIAL ACTION INCURRED BY THE STATE OR
ANY SUBDIVISION THEREOF;
  B. ANY OTHER NECESSARY COSTS OF RESPONSE OR MITIGATION INCURRED BY ANY
OTHER PERSON AUTHORIZED BY THE STATE TO RESPOND TO THE CONTAMINATION  OR
MITIGATE THE EFFECTS THEREOF;
  C.  DAMAGES  FOR  INJURY  TO,  DESTRUCTION  OF,  OR  LOSS  OF  NATURAL
RESOURCES, INCLUDING THE REASONABLE  COSTS  OF  ASSESSING  SUCH  INJURY,
DESTRUCTION, OR LOSS RESULTING FROM SUCH A RELEASE; AND,
  D.  ALL DIRECT COSTS PROXIMATELY CAUSED BY THE ENVIRONMENTAL DAMAGE OR
THE CONSEQUENCES OF ANY HAZARDOUS RELEASE TO PRIVATE PARTIES,  INCLUDING
BUT NOT LIMITED TO DAMAGE TO PROPERTY OWNED BY SUCH PARTIES OR INJURY TO
PERSONAL HEALTH OR WELFARE.
  3.  LIMITATION  OF  LIABILITY.  NOTHING  IN  THIS  SECTION  SHOULD  BE
CONSTRUED AS LIMITING THE LIABILITY OF ANY LIABLE  PARTY  IDENTIFIED  IN
SUBDIVISION  ONE OF THIS SECTION AS AGAINST ANY PRIVATE PARTY IN A CIVIL
ACTION.
  4. NATURAL RESOURCES LIABILITY. A. IN  THE  EVENT  OF  AN  INJURY  TO,
DESTRUCTION OF, OR LOSS OF NATURAL RESOURCES UNDER PARAGRAPH C OF SUBDI-
VISION TWO OF THIS SECTION, LIABILITY SHALL BE TO THE STATE OF NEW YORK;
PROVIDED,  HOWEVER,  THAT NO LIABILITY TO THE STATE OF NEW YORK SHALL BE
IMPOSED UNDER PARAGRAPH C OF SUBDIVISION TWO OF THIS SECTION, WHERE  THE
PARTY  SOUGHT TO BE CHARGED HAS DEMONSTRATED THAT THE DAMAGES TO NATURAL
RESOURCES COMPLAINED OF WERE SPECIFICALLY IDENTIFIED AS AN  IRREVERSIBLE
OR  IRRETRIEVABLE  COMMITMENT  OF  NATURAL RESOURCES IN AN ENVIRONMENTAL
IMPACT STATEMENT, OR OTHER COMPARABLE ENVIRONMENTAL  ANALYSIS,  AND  THE
DECISION  TO  GRANT  A  PERMIT  OR LICENSE AUTHORIZES SUCH COMMITMENT OF
NATURAL RESOURCES, AND THE FACILITY OR PROJECT WAS  OTHERWISE  OPERATING
WITHIN THE TERMS OF ITS PERMIT OR LICENSE.
  B.  THE  COMMISSIONER,  OR  ANOTHER  REPRESENTATIVE  AUTHORIZED BY THE
GOVERNOR OF NEW YORK, SHALL ACT ON BEHALF OF THE PUBLIC  AS  TRUSTEE  OF
SUCH  NATURAL  RESOURCES  TO RECOVER FOR SUCH DAMAGES. SUMS RECOVERED BY
THE COMMISSIONER AS TRUSTEE UNDER THIS SUBSECTION SHALL BE  RETAINED  BY
THE  TRUSTEE,  WITHOUT  FURTHER  APPROPRIATION, FOR USE ONLY TO RESTORE,
REPLACE, OR ACQUIRE THE EQUIVALENT OF SUCH NATURAL RESOURCES. THE  MEAS-
URE  OF  DAMAGES  IN  ANY ACTION UNDER PARAGRAPH C OF SUBDIVISION ONE OF
THIS SECTION SHALL NOT BE LIMITED BY THE  SUMS  WHICH  CAN  BE  USED  TO
RESTORE OR REPLACE SUCH RESOURCES.
  5.  FINANCIAL  RESPONSIBILITY.  A.  ANY OWNER OR OPERATOR OF A WELL OR
WELLS MUST, BEFORE COMMENCEMENT OF OPERATIONS, POST A LIABILITY BOND  OR
HOLD LIABILITY INSURANCE COVERAGE FOR EACH WELL OWNED OR OPERATED.
  B.  THE  LIABILITY  BOND  OR INSURANCE REQUIRED BY PARAGRAPH A OF THIS
SUBDIVISION SHALL BE IN SUCH FORM AS THE DEPARTMENT BY REGULATION  SHALL
REQUIRE AND IN SUCH AMOUNT AS THE DEPARTMENT SHALL DEEM TO BE REASONABLY
SUFFICIENT  TO  CORRECT,  REPAIR  OR  REMEDY  TO THE SATISFACTION OF THE
DEPARTMENT ANY ENVIRONMENTAL DAMAGE  OR  HAZARDOUS  DISCHARGE  RESULTING
FROM OIL OR GAS EXPLORATION OR PRODUCTION.  HOWEVER, FOR WELLS LESS THAN
TWO  THOUSAND  FIVE  HUNDRED  FEET IN DEPTH OR LENGTH, A MINIMUM OF FIVE
THOUSAND FIVE HUNDRED DOLLARS PER WELL WILL BE REQUIRED TO SATISFY  THIS
SECTION  AND  FOR  WELLS  BETWEEN TWO THOUSAND FIVE HUNDRED FEET AND SIX
THOUSAND FEET IN DEPTH OR LENGTH, TEN THOUSAND FIVE HUNDRED DOLLARS  PER
WELL  WILL BE REQUIRED. WELLS GREATER THAN SIX THOUSAND FEET IN DEPTH OR
LENGTH AND FOR WHICH HYDRAULIC FRACTURING  FLUID  SHALL  BE  USED,  WILL
REQUIRE  THAT  THE OPERATOR PROVIDE ADDITIONAL FINANCIAL SECURITY OF TWO
HUNDRED FIFTY THOUSAND DOLLARS,  PROVIDED  HOWEVER  THE  DEPARTMENT  MAY

S. 1220                            11

REQUIRE AN ADDITIONAL BOND OR FINANCIAL SECURITY IN AN AMOUNT SUFFICIENT
TO  COVER  POTENTIAL  REMEDIATION COSTS ASSOCIATED WITH CONTAMINATION OF
THE ENVIRONMENT.
  C.  THE  LIABILITY  BOND  OR INSURANCE REQUIRED BY PARAGRAPH A OF THIS
SUBDIVISION SHALL BE HELD FOR THE DURATION OF OPERATIONS.
  D. AFTER OPERATIONS HAVE CEASED, ANY OWNER OR OPERATOR OF  A  WELL  OR
WELLS  SHALL  POST A LIABILITY BOND OR HOLD LIABILITY INSURANCE FOR EACH
WELL OWNED OR OPERATED.
  E. THE LIABILITY BOND OR INSURANCE REQUIRED BY  PARAGRAPH  D  OF  THIS
SUBDIVISION  SHALL BE IN SUCH FORM AS THE DEPARTMENT BY REGULATION SHALL
REQUIRE AND IN SUCH AMOUNT AS THE DEPARTMENT SHALL  DEEM  SUFFICIENT  TO
CORRECT,  REPAIR,  OR  REMEDY  TO THE SATISFACTION OF THE DEPARTMENT ANY
ENVIRONMENTAL DAMAGE OR HAZARDOUS DISCHARGE RESULTING FROM  MOVEMENT  OF
ANY HAZARDOUS SUBSTANCE FROM THE PLUGGED OR PERMANENTLY ABANDONED WELL.
  F.  THE  LIABILITY  BOND  OR INSURANCE REQUIRED BY PARAGRAPH D OF THIS
SUBDIVISION SHALL BE HELD FOR ONE HUNDRED YEARS AFTER THE WELL HAS  BEEN
PLUGGED OR PERMANENTLY ABANDONED.
  G.  NOTHING IN THIS SECTION SHALL AFFECT THE REQUIREMENTS OF PARAGRAPH
E OF SUBDIVISION THREE OF SECTION 23-1101 OF THIS ARTICLE.
  6. DEFINITION OF NATURAL RESOURCES. "NATURAL  RESOURCES"  AS  USED  IN
THIS  SECTION  MEANS  LAND,  FISH,  WILDLIFE,  BIOTA, AIR, WATER, GROUND
WATER, DRINKING WATER SUPPLIES, AND OTHER SUCH RESOURCES  BELONGING  TO,
MANAGED  BY,  HELD IN TRUST BY, APPERTAINING TO, OR OTHERWISE CONTROLLED
BY THE STATE OF NEW YORK.
  S 10. The environmental conservation law is amended by  adding  a  new
section 23-0505 to read as follows:
S 23-0505. OIL AND GAS FACILITY LOCATION REQUIREMENTS.
  1.  MINIMUM SETBACKS. NO OIL AND GAS FACILITY, WELL-BORE, PIPELINE, OR
STORAGE OR DISPOSAL AREA FOR OIL, GAS, OR A HAZARDOUS SUBSTANCE USED  IN
OIL  OR  GAS OPERATIONS SHALL BE LOCATED WITHIN TWO THOUSAND FEET OF ANY
SURFACE WATERS, GROUNDWATER WELL, HOME OR PRIVATE RESIDENCE (INCLUDING A
NURSING HOME), SCHOOL, CHURCH, DAY CARE FACILITY, OR HEALTH CARE FACILI-
TY.
  2. SUBSURFACE LANDS. FOR THE  PURPOSES  OF  SUBDIVISION  ONE  OF  THIS
SECTION,  THE  SETBACKS  APPLICABLE  TO  ANY SURFACE WATERS, GROUNDWATER
WELL, HOME OR PRIVATE RESIDENCE  (INCLUDING  A  NURSING  HOME),  SCHOOL,
CHURCH,  DAY  CARE FACILITY, OR HEALTH CARE FACILITY SHALL ALSO APPLY TO
THE LAND DIRECTLY BELOW THOSE AREAS, INCLUDING ANY SUBSURFACE STRATA.
  3. CONTAMINATION PREVENTION. A. SPILLS, WELL  LEAKS,  AND  CONTAMINANT
FLOW FROM TARGETED FORMATION.
  (1)  THE  WELL PAD OF ANY OIL OR GAS WELL LOCATED WITHIN ONE-HALF MILE
OF ANY SURFACE WATERS MUST BE SURROUNDED BY A  PROTECTIVE  BERM  WITH  A
WATER  DETENTION  CAPACITY OF AT LEAST TWENTY-FIVE THOUSAND GALLONS. THE
DEPARTMENT MAY REQUIRE A PROTECTIVE BERM TO HAVE  A  DETENTION  CAPACITY
GREATER  THAN  TWENTY-FIVE THOUSAND GALLONS IF THE DEPARTMENT DETERMINES
IT IS NECESSARY TO PROTECT SURFACE WATERS FROM CONTAMINATION.
  (2) THE DEPARTMENT SHALL  REQUIRE  A  SITE-SPECIFIC  ANALYSIS  OF  THE
TOPOGRAPHY, GEOLOGY, AND HYDROGEOLOGY OF ALL PROPOSED OIL AND GAS FACIL-
ITIES  OR  PIPELINES. THIS ANALYSIS SHOULD INCLUDE IDENTIFICATION OF ALL
POTENTIAL PATHWAYS AND RECEIVING WATERS FOR  SPILLS  FROM  THE  SITE  TO
REACH SURFACE WATERS.
  (3)  THE  DEPARTMENT  SHALL  REQUIRE  THE  DEVELOPMENT  OF GROUNDWATER
CONTOUR AND VERTICAL GRADIENT MAPS OF THE GEOLOGICAL FORMATION FROM  THE
TARGET  FORMATION  TO  THE  GROUND  SURFACE PRIOR TO APPROVAL OF ANY GAS
DRILLING PERMIT.

S. 1220                            12

  (4) THE DEPARTMENT SHALL PROMULGATE REGULATIONS IDENTIFYING TOPOGRAPH-
ICAL AND GEOLOGIC AND HYDROGEOLOGIC CONDITIONS, INCLUDING BUT NOT LIMIT-
ED TO STEEP SLOPES BETWEEN THE WELL PAD AND SURFACE WATERS; PROXIMITY TO
IMPAIRED WATERWAYS IDENTIFIED BY THE  STATE  OF  NEW  YORK  PURSUANT  TO
SECTION  303(D)  OF  THE  FEDERAL CLEAN WATER ACT; CONDITIONS THAT WOULD
PERMIT SUDDEN SPILLS TO  REACH  SURFACE  WATERS  BEFORE  CONTAINMENT  IS
POSSIBLE;  OR  ANY  OTHER  CONDITIONS  THAT  WOULD  INCREASE THE RISK OF
SURFACE OR GROUNDWATER CONTAMINATION OR FURTHER DEGRADATION THAT REQUIRE
SETBACKS LARGER THAN THOSE SPECIFIED IN SUBDIVISION ONE OF THIS  SECTION
OR DENIAL OF A WELL DRILLING PERMIT.
  (5)  AS  A CONDITION OF ANY PERMIT GRANTED PURSUANT TO SECTION 23-0501
OF THIS TITLE FOR ANY WELL SUBJECT TO SETBACK REQUIREMENTS, THE  DEPART-
MENT SHALL ESTABLISH SETBACKS SUFFICIENT TO PROTECT HUMAN HEALTH AND THE
WATERS OF THE STATE.
  B.  MONITORING REQUIREMENTS. (1) ALL OIL OR GAS WELLS MUST BE EQUIPPED
WITH A MONITORING DEVICE OR DEVICES INSTALLED TO DETECT ANY  CONTAMINANT
MOVEMENT FROM THE OIL OR GAS WELL IN THE DIRECTION OF ANY GROUNDWATER OR
GROUNDWATER WELL.
  (2)  THE  DEPARTMENT SHALL PROMULGATE REGULATIONS ESTABLISHING A MONI-
TORING PROGRAM TO DETECT ANY CONTAMINANT MOVEMENT FROM  AN  OIL  OR  GAS
FACILITY. THE REGULATIONS SHALL PROVIDE, AT A MINIMUM, THAT:
  (I) MONITORING SHALL OCCUR NO LESS OFTEN THAN QUARTERLY;
  (II)  GROUNDWATER  MONITORING  SHALL  COMMENCE AT OR NEAR THE PROPOSED
WELL SITE AT LEAST THREE HUNDRED SIXTY-FIVE DAYS BEFORE DRILLING  BEGINS
TO  PROVIDE  A WATER QUALITY BASELINE THAT ACCOUNTS FOR SEASONAL CHANGES
IN WATER QUALITY;
  (III) MONITORING SHALL CONTINUE FOR THE DURATION OF  OPERATIONS  UNTIL
FIFTY  YEARS  AFTER  OPERATIONS  HAVE CEASED OR THE OIL AND GAS WELL HAS
BEEN PLUGGED OR PERMANENTLY ABANDONED;
  (IV) THE MONITORING DEVICE OR DEVICES USED TO DETECT CONTAMINANT MOVE-
MENT SHALL REFLECT THE BEST TECHNOLOGY AVAILABLE FOR SUCH MONITORING;
  (V) MONITORING SHALL BE CONDUCTED FOR ONE OR MORE ACTUAL  CONSTITUENTS
OF DRILLING AND FRACTURING FLUIDS USED AT EACH PROXIMATE SITE; AND
  (VI)  SCREEN  LENGTHS,  MONITORING WELL DENSITY AND MONITORED AQUIFERS
SHALL BE BASED UPON A CONCEPTUAL FLOW MODEL, DEVELOPED ON THE  BASIS  OF
ALL AVAILABLE OR NEW DATA, AS APPROPRIATE, TO DETECT A LEAK OR MIGRATION
OF  ANY  CONTAMINATION  SO  AS  TO MAXIMIZE THE POSSIBILITY OF DETECTION
PRIOR TO CONTAMINATION OF ANY DRINKING WATER SOURCE.
  S 11. The environmental conservation law is amended by  adding  a  new
section 23-0507 to read as follows:
S 23-0507. EXCLUSION AREAS.
  1.  THE  DEPARTMENT  SHALL  IDENTIFY  SPECIFIC AREAS WITH DETERMINABLE
BOUNDARIES IN WHICH ANY OIL AND GAS FACILITIES,  WELL-BORES,  PIPELINES,
OR STORAGE OR DISPOSAL AREAS FOR OIL, GAS, OR A HAZARDOUS SUBSTANCE USED
IN OIL OR GAS OPERATIONS WILL BE PROHIBITED. THESE AREAS SHALL INCLUDE:
  A. THE AREA AROUND AND INCLUDING THE NEW YORK CITY WATERSHED;
  B.  THE  AREA AROUND AND INCLUDING ANY WATER SYSTEM THAT HAS RECEIVED,
AT ANY POINT IN TIME, A  FILTRATION  AVOIDANCE  DETERMINATION  FROM  THE
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY;
  C. ANY AREA OVERLYING A SOLE SOURCE AQUIFER;
  D.  ANY  OTHER  AREA IDENTIFIED BY THE DEPARTMENT AS NECESSARY FOR THE
PROTECTION OF DRINKING WATER RESOURCES;
  E. ANY AREA IDENTIFIED AS A  CRITICAL  HABITAT  FOR  A  THREATENED  OR
ENDANGERED  SPECIES UNDER SECTION FOUR OF THE FEDERAL ENDANGERED SPECIES
ACT (42 U.S.C. S 1533) OR ANY AREA IDENTIFIED  AS  A  "NATURAL  HERITAGE
AREA" UNDER SECTION 11-0539 OF THIS CHAPTER;

S. 1220                            13

  F.  ANY  AREA IDENTIFIED BY THE DEPARTMENT AS A BIRD CONSERVATION AREA
OR ANY OTHER CRITICAL BIRD HABITAT FOR THE PROTECTION  OF  MIGRATORY  OR
NON-MIGRATORY BIRDS;
  G. ALL FLOODPLAINS; AND,
  H.  ALL  AREAS  WITHIN ANY NEW YORK STATE PARK, FOREST PRESERVE, STATE
FOREST, WILDLIFE REFUGE, WILDLIFE MANAGEMENT AREA, OR WILDERNESS AREA.
  2. FOR ANY AREAS IDENTIFIED IN PARAGRAPH A OR B OF SUBDIVISION ONE  OF
THIS SECTION THE DEPARTMENT SHALL IDENTIFY AN ADDITIONAL AREA AROUND THE
PRIMARY DRINKING WATER RESOURCE IN WHICH OIL AND GAS OPERATIONS SHALL BE
PROHIBITED IN ORDER TO ENSURE ADEQUATE PROTECTION OF SUCH RESOURCE.
  3. FOR ANY AREAS IDENTIFIED IN PARAGRAPHS A, B, C, OR E OF SUBDIVISION
ONE  OF  THIS  SECTION  THE DEPARTMENT SHALL ADD AN ADDITIONAL EXCLUSION
BUFFER OF NO LESS THAN ONE-HALF MILE IN WHICH ANY OIL  AND  GAS  FACILI-
TIES,  WELL-BORES, PIPELINES, OR STORAGE OR DISPOSAL AREAS FOR OIL, GAS,
OR A HAZARDOUS SUBSTANCE USED IN OIL OR GAS OPERATIONS WILL BE PROHIBIT-
ED.
  4. ALL AREAS IDENTIFIED IN SUBDIVISION ONE OF  THIS  SECTION  AND  THE
EXCLUSION  BUFFER  AREAS  IDENTIFIED  IN SUBDIVISION TWO OF THIS SECTION
SHALL INCLUDE ALL THE LAND LOCATED DIRECTLY BELOW THOSE AREAS, INCLUDING
ALL LEVELS OF SUBSURFACE STRATA.
  5. THE DEPARTMENT MAY ALSO IDENTIFY ANY OTHER EXCLUSION AREA  FOR  THE
PROTECTION  OF  ANY  NATURAL  RESOURCE  AS DEFINED IN SUBDIVISION SIX OF
SECTION 23-0317 OF THIS ARTICLE OR FOR THE HEALTH,  SAFETY,  OR  GENERAL
WELFARE OF ANY CITIZEN, RESIDENT, OR VISITOR IN THE STATE OF NEW YORK.
  S  12.  The  environmental conservation law is amended by adding a new
section 23-0509 to read as follows:
S 23-0509. PROHIBITION ON WASTE STORAGE PITS OR IMPOUNDMENTS.
  PITS AND OTHER IMPOUNDMENTS, WHETHER OR NOT LINED, SHALL NOT  BE  USED
FOR ON-SITE OR OFF-SITE COLLECTION OR STORAGE OF ANY OIL OR GAS EXPLORA-
TION,  STIMULATION,  OR  PRODUCTION WASTES, INCLUDING BUT NOT LIMITED TO
DRILLING FLUIDS AND CUTTINGS, HYDRAULIC  FRACTURING  FLOWBACK,  PRODUCED
WATER,  AND RESIDUAL SLUDGES OR BRINES REMAINING AFTER ON-SITE TREATMENT
OF OIL OR GAS WASTES FOR REUSE OR RECYCLING. ALL OIL OR GAS EXPLORATION,
STIMULATION, OR PRODUCTION WASTES SHALL  BE  COLLECTED  AND  STORED  AND
RETRIEVABLE  AT  ALL  TIMES IN CLOSED-LOOP SYSTEMS. THE DEPARTMENT SHALL
PROMULGATE MINIMUM STANDARDS FOR CLOSED-LOOP SYSTEMS  FOR  OIL  AND  GAS
WASTE COLLECTION, STORAGE, AND RETRIEVAL.
  S  13.  Section  23-1903  of  the  environmental  conservation law, as
amended by section 1 of part R1 of chapter 62 of the laws  of  2003,  is
amended to read as follows:
S 23-1903. Imposition  of  oil,  gas  and solution mining regulation and
             reclamation fees.
  1. When a permit is granted to a person by the department pursuant  to
section  23-0305  of  this  article  to  drill  a  well or when a person
converts a well to one subject to the oil, gas and solution mining  law,
such person shall pay to the department:
  a.  A one hundred dollar fee to be credited to the oil and gas account
established under chapter fifty-eight of the laws  of  nineteen  hundred
eighty-two; and
  b.  A  fee in accordance with the depth AND LENGTH drilled or expected
to be drilled as set forth below:
     0-  500ft. - [$  190] $ 250
   501- 1000ft. - [$  380] $ 500
  1001- 1500ft. - [$  570] $ 750
  1501- 2000ft. - [$  760] $1000
  2001- 2500ft. - [$  950] $1250

S. 1220                            14

  2501- 3000ft. - [$1,140] $1500
  3001- 3500ft. - [$1,330] $1750
  3501- 4000ft. - [$1,520] $2000
  4001- 4500ft. - [$1,710] $2250
  4501- 5000ft. - [$1,900] $2500
  5001- 5500ft. - [$2,090] $2750
  5501- 6000ft. - [$2,280] $3000
  6001- 6500ft. - [$2,470] $3250
  6501- 7000ft. - [$2,660] $3500
  7001- 7500ft. - [$2,850] $3750
  7501- 8000ft. - [$3,040] $4000
  8001- 8500ft. - [$3,230] $4250
  8501- 9000ft. - [$3,420] $4500
  9001- 9500ft. - [$3,610] $4750
  9501-10,000ft.- [$3,800] $5000
  over 10,000ft.- [$3,800]  $5000  plus [$190] $250 for each incremental
500 feet of depth OR LENGTH over 10,000 feet.
  A person who has paid the fees described shall not be required to  pay
any  additional  fee  for a well conversion.  The fee for well deepening
permits pertaining to wells for which a well drilling permit was  issued
after  August twenty-fifth, nineteen hundred eighty-one, shall be calcu-
lated on the basis of the additional depth OR LENGTH drilled.
  In the event the actual depth drilled exceeds the depth expected to be
drilled, an additional amount shall be paid such that the total fee paid
shall be in accordance with the schedule set forth in this paragraph.
  2. THE DEPARTMENT SHALL REVIEW THE FEE SCHEDULES  SET  FORTH  IN  THIS
SECTION  PRIOR  TO  SEPTEMBER  FIRST  OF  EACH YEAR. THE FIGURES WILL BE
ADJUSTED UP OR DOWN ANNUALLY BY  THE  PREVIOUS  TWELVE  MONTH  INFLATION
FACTOR.  THE INFLATION FACTOR IS BASED UPON THE UNITED STATES DEPARTMENT
OF LABOR, BUREAU OF LABOR STATISTICS DATA PUBLISHED IN THE  MONTHLY  CPI
DETAILED  REPORT.  THE  DATA  WILL  BE TAKEN FROM THE MOST RECENT REPORT
AVAILABLE ON JULY FIRST OF EACH YEAR AND THE ACTUAL PERCENTAGE USED WILL
BE THE PAST YEAR PERCENT CHANGE FOR THE U.S. CITY  AVERAGE,  ALL  ITEMS,
ALL URBAN CONSUMERS.
  3.  Upon  requesting  from  the department any determination under the
Natural Gas Policy Act, such person shall  pay  a  [fifty]  ONE  HUNDRED
dollar fee per well for each such determination.
  S  14.  Article 23 of the environmental conservation law is amended by
adding a new title 29 to read as follows:
                                TITLE 29
                              CITIZEN SUITS
SECTION 23-2901. ACTIONS TO ENFORCE LAWS  ON  POLLUTION,  IMPAIRMENT  OR
                   DESTRUCTION  OF  ENVIRONMENT,  OR TO PROTECT ENVIRON-
                   MENT; DISMISSAL OF FRIVOLOUS ACTIONS.
S 23-2901. ACTIONS  TO  ENFORCE  LAWS  ON   POLLUTION,   IMPAIRMENT   OR
              DESTRUCTION  OF  ENVIRONMENT,  OR  TO PROTECT ENVIRONMENT;
              DISMISSAL OF FRIVOLOUS ACTIONS.
  1. ANY PERSON MAY COMMENCE A CIVIL ACTION  IN  A  COURT  OF  COMPETENT
JURISDICTION  AGAINST ANY OTHER PERSON ALLEGED TO BE IN VIOLATION OF ANY
STATUTE, REGULATION OR ORDINANCE WHICH IS DESIGNED TO PREVENT,  MINIMIZE
OR  CONTROL POLLUTION, IMPAIRMENT OR DESTRUCTION OF THE ENVIRONMENT. THE
ACTION MAY BE FOR INJUNCTIVE OR OTHER EQUITABLE RELIEF TO COMPEL COMPLI-
ANCE WITH A STATUTE, REGULATION OR ORDINANCE, OR TO ASSESS CIVIL  PENAL-
TIES  FOR  THE VIOLATION AS PROVIDED BY LAW. THE ACTION MAY BE COMMENCED
UPON AN ALLEGATION THAT A PERSON IS IN VIOLATION, EITHER CONTINUOUSLY OR

S. 1220                            15

INTERMITTENTLY, OF A STATUTE, REGULATION OR ORDINANCE, AND THAT THERE IS
A LIKELIHOOD THAT THE VIOLATION WILL RECUR IN THE FUTURE.
  2.  EXCEPT  IN THOSE INSTANCES WHERE THE CONDUCT COMPLAINED OF CONSTI-
TUTES A VIOLATION OF A STATUTE, REGULATION  OR  ORDINANCE  WHICH  ESTAB-
LISHES A MORE SPECIFIC STANDARD FOR THE CONTROL OF POLLUTION, IMPAIRMENT
OR  DESTRUCTION  OF  THE  ENVIRONMENT,  ANY  PERSON MAY COMMENCE A CIVIL
ACTION IN ANY COURT OF COMPETENT JURISDICTION FOR DECLARATORY AND  EQUI-
TABLE RELIEF AGAINST ANY OTHER PERSON FOR THE PROTECTION OF THE ENVIRON-
MENT,  OR THE INTEREST OF THE PUBLIC THEREIN, FROM POLLUTION, IMPAIRMENT
OR DESTRUCTION OCCURRING IN VIOLATION, EITHER CONTINUOUSLY OR  INTERMIT-
TENTLY, OF THIS ARTICLE.
  3.  THE  COURT  MAY, ON THE MOTION OF ANY PARTY, OR ON ITS OWN MOTION,
DISMISS ANY ACTION BROUGHT PURSUANT  TO  THIS  ACT  WHICH  ON  ITS  FACE
APPEARS TO BE PATENTLY FRIVOLOUS, HARASSING OR WHOLLY LACKING IN MERIT.
  S  15.  Article 23 of the environmental conservation law is amended by
adding a new title 31 to read as follows:
                                TITLE 31
                        HEALTH IMPACT ASSESSMENT
SECTION 23-3101. PREPARATION OF HEALTH IMPACT ASSESSMENT.
S 23-3101. PREPARATION OF HEALTH IMPACT ASSESSMENT.
  1. NO PERMIT SHALL BE ISSUED UNDER SECTION  23-0501  OF  THIS  ARTICLE
UNTIL  THE  DEPARTMENT OF HEALTH HAS COMPLETED THE HEALTH IMPACT ASSESS-
MENT DESCRIBED IN SUBDIVISION TWO OF THIS SECTION AND THE DEPARTMENT HAS
ADOPTED REGULATIONS AND IMPLEMENTED ANY MITIGATION MEASURES  RECOMMENDED
IN  THE HEALTH IMPACT ASSESSMENT. THE PURPOSE OF A HEALTH IMPACT ASSESS-
MENT IS TO PROVIDE DETAILED INFORMATION ABOUT THE  EFFECT  OIL  AND  GAS
OPERATIONS  ARE  LIKELY  TO  HAVE ON PUBLIC HEALTH, TO IDENTIFY MEASURES
THAT COULD BE IMPLEMENTED TO MINIMIZE ANY ADVERSE EFFECTS OF SUCH  OPER-
ATIONS,  AND TO SUGGEST ALTERNATIVES TO SUCH AN ACTION SO AS TO FORM THE
BASIS FOR A DECISION WHETHER OR NOT TO UNDERTAKE OR APPROVE SUCH  ACTIV-
ITIES.
  2.  THE DEPARTMENT OF HEALTH SHALL PREPARE, OR CAUSE TO BE PREPARED BY
CONTRACT OR OTHERWISE, A COMPREHENSIVE HEALTH IMPACT ASSESSMENT  OF  OIL
AND  GAS  OPERATIONS  INVOLVING ANY SHALE FORMATION, INCLUDING ALL OPER-
ATIONS RELATED AND INCIDENT THERETO, WHICH MAY HAVE AN ADVERSE IMPACT ON
PUBLIC HEALTH.
  A. SUCH AN ASSESSMENT SHALL INCLUDE A DETAILED STATEMENT SETTING FORTH
THE FOLLOWING:
  I. A DESCRIPTION OF THE OPERATIONS;
  II. THE PUBLIC HEALTH IMPACT OF THE OPERATIONS,  INCLUDING  SHORT-TERM
AND LONG-TERM EFFECTS;
  III. WHETHER AN OPERATION OCCURS IN, OR DISPROPORTIONATELY WILL IMPOSE
NEGATIVE HEALTH IMPACTS UPON A POTENTIAL ENVIRONMENTAL JUSTICE AREA, AND
IF SO, THE IDENTITY OF SUCH AREA;
  IV. ANY ADVERSE PUBLIC HEALTH EFFECTS THAT CANNOT BE AVOIDED;
  V.  ALTERNATIVES  TO  THE OIL AND GAS OPERATIONS GENERALLY OR ALTERNA-
TIVES TO ANY ASPECT RELATED  OR  INCIDENT  THERETO  WHICH  MAY  HAVE  AN
ADVERSE IMPACT ON PUBLIC HEALTH;
  VI. MITIGATION MEASURES PROPOSED TO MINIMIZE THE PUBLIC HEALTH IMPACT;
  VII.  ANY  SUCH OTHER INFORMATION CONSISTENT WITH THE PURPOSES OF THIS
ARTICLE AS MAY BE PRESCRIBED IN GUIDELINES ISSUED BY THE COMMISSIONER.
  B. THE DEPARTMENT OF HEALTH SHALL FIRST ISSUE A  DRAFT  HEALTH  IMPACT
ASSESSMENT THAT SATISFIES THE REQUIREMENTS OF PARAGRAPH A OF THIS SUBDI-
VISION.  THE DRAFT SHOULD RESEMBLE IN FORM AND CONTENT THE HEALTH IMPACT
ASSESSMENT TO BE PREPARED AFTER COMMENTS HAVE BEEN RECEIVED AND  CONSID-
ERED.

S. 1220                            16

  3. THE DRAFT ASSESSMENT SHALL BE FILED WITH THE DEPARTMENT.
  A.  THE DEPARTMENT AND THE DEPARTMENT OF HEALTH SHALL SOLICIT COMMENTS
FROM THE PUBLIC AND FEDERAL, STATE, REGIONAL AND LOCAL  AGENCIES  HAVING
AN  INTEREST IN THE ASSESSMENT. THE COMMENT PERIOD SHALL LAST NO SHORTER
THAN NINETY DAYS.
  B. THE DRAFT ASSESSMENT SHALL BE POSTED ON THE DEPARTMENT OF  HEALTH'S
AND THE DEPARTMENT'S WEBSITES.
  4.  AFTER  THE  FILING  OF A DRAFT HEALTH IMPACT ASSESSMENT EITHER THE
DEPARTMENT OF HEALTH OR THE DEPARTMENT SHALL DETERMINE WHETHER OR NOT TO
CONDUCT A PUBLIC HEARING ON THE PUBLIC HEALTH IMPACT OF THE OIL AND  GAS
OPERATIONS.  IF  EITHER AGENCY DETERMINES TO HOLD SUCH HEARING, IT SHALL
COMMENCE THE HEARING WITHIN SIXTY DAYS OF THE FILING UNLESS THE PROPOSED
ACTION IS WITHDRAWN FROM CONSIDERATION.
  5. IF NO HEARING IS HELD, THE AGENCY SHALL PREPARE AND MAKE  AVAILABLE
THE  FINAL  HEALTH IMPACT ASSESSMENT. THE FINAL ASSESSMENT SHALL INCLUDE
COPIES OR A SUMMARY OF THE SUBSTANTIVE COMMENTS RECEIVED BY  THE  AGENCY
PURSUANT TO SUBDIVISION FOUR OF THIS SECTION, AND THE AGENCY RESPONSE TO
SUCH COMMENTS.
  6.  THE  HEALTH IMPACT ASSESSMENT TOGETHER WITH ALL COMMENTS, SHALL BE
FILED WITH THE COMMISSIONER, MADE AVAILABLE TO THE PUBLIC, AND POSTED ON
A PUBLICLY-AVAILABLE INTERNET WEBSITE UPON ISSUANCE.
  7. WHEN AN AGENCY DECIDES TO CARRY OUT OR APPROVE AN ACTION WHICH  HAS
BEEN  THE  SUBJECT  OF  THIS  HEALTH IMPACT ASSESSMENT, IT SHALL MAKE AN
EXPLICIT FINDING THAT THE REQUIREMENTS OF THIS SECTION HAVE BEEN MET AND
THAT TO THE MAXIMUM EXTENT PRACTICABLE, ADVERSE  PUBLIC  HEALTH  IMPACTS
REVEALED  IN  THE  HEALTH IMPACT ASSESSMENT PROCESS WILL BE MINIMIZED OR
AVOIDED.
  8. WHERE THE DEPARTMENT OF  HEALTH  CONCLUDES  OR  THE  HEALTH  IMPACT
ASSESSMENT  INDICATES  THAT  THE  OIL  AND GAS OPERATIONS, OR OPERATIONS
RELATED OR INCIDENT THERETO, OCCUR IN, OR DISPROPORTIONATELY WILL IMPOSE
NEGATIVE HEALTH IMPACTS UPON A POTENTIAL ENVIRONMENTAL JUSTICE AREA, THE
DEPARTMENT OF HEALTH SHALL REQUIRE A SITE SPECIFIC HEALTH IMPACT ASSESS-
MENT. THAT ASSESSMENT SHALL CONFORM TO THE  REQUIREMENTS  SET  FORTH  IN
SUBDIVISION TWO OF THIS SECTION, AND THE DEPARTMENT OF HEALTH SHALL MAKE
REGULATIONS SPECIFYING ADDITIONAL REQUIREMENTS WHICH SHALL APPLY TO SITE
SPECIFIC ASSESSMENTS. NO PERMIT SHALL BE ISSUED UNDER SECTION 23-0501 OF
THIS  ARTICLE  IN  ANY  AREA  SUBJECT  TO  A SITE SPECIFIC HEALTH IMPACT
ASSESSMENT UNTIL THE SITE SPECIFIC HEALTH  IMPACT  ASSESSMENT  HAS  BEEN
COMPLETED  AND  THE  MITIGATION  MEASURES  SUGGESTED  THEREIN  HAVE BEEN
ADOPTED. THE DEPARTMENT OF HEALTH MAY REQUIRE  A  SITE  SPECIFIC  HEALTH
IMPACT ASSESSMENTS IN ANY OTHER CIRCUMSTANCES IT DEEMS ADVISABLE.
  S  16.  Article 23 of the environmental conservation law is amended by
adding a new title 33 to read as follows:
                                TITLE 33
                         AIR QUALITY MONITORING
SECTION 23-3301. AIR QUALITY MONITORING.
S 23-3301. AIR QUALITY MONITORING.
  WITHIN SIX MONTHS OF THE ENACTMENT  OF  THIS  SECTION  THE  DEPARTMENT
SHALL:
  1.  PREPARE  A  DRAFT  AIR QUALITY TESTING AND MONITORING PLAN FOR ALL
AREAS OF CURRENT OR POTENTIAL OIL AND GAS OPERATIONS IN NEW YORK  STATE.
THE  DRAFT  PLAN  SHALL  BE  SUBJECT TO PUBLIC REVIEW, INCLUDING BUT NOT
LIMITED TO NOTICE AND A COMMENT PERIOD OF  AT  LEAST  THIRTY  DAYS.  THE
DRAFT AND FINAL PLAN SHALL INCORPORATE THE FOLLOWING MINIMUM PROVISIONS:
  A.  MANDATORY  BASELINE TESTING OF AIR QUALITY AND AIR POLLUTANT EMIS-
SIONS THROUGHOUT THE OIL AND GAS DEVELOPMENT REGION OF NEW  YORK  STATE,

S. 1220                            17

INCLUDING  EMISSIONS  FROM  BOTH MOBILE AND STATIONARY AIR CONTAMINATION
SOURCES INVOLVED IN OIL AND GAS OPERATIONS, AS  DEFINED  IN  SUBDIVISION
FIVE OF SECTION 19-0107 OF THIS CHAPTER;
  B. DEPLOYMENT OF A SUFFICIENT NUMBER OF AIR QUALITY MONITORING DEVICES
WITHIN  THE OIL AND GAS DEVELOPMENT REGION TO ENSURE PROMPT DETECTION OF
ANY VIOLATIONS OF AIR QUALITY STANDARDS;
  C. DELINEATION OF OIL AND GAS DEVELOPMENT SUBREGIONS WITHIN  NEW  YORK
STATE, BASED ON THE AIRSHEDS FOR EACH REGULATED POLLUTANT EMITTED BY OIL
AND  GAS  FACILITIES;  PREPARATION  OF CUMULATIVE IMPACT ANALYSES OF AIR
EMISSIONS IN EACH SUBREGION, INCLUDING EMISSIONS FROM  ALL  NATURAL  GAS
COMPRESSOR  STATIONS; AND DEVELOPMENT OF STANDARDS AND REGULATORY PROCE-
DURES FOR CONTROL OF COMPRESSOR STATION EMISSIONS;
  D. DEVELOPMENT OF PROCEDURES AND A SCHEDULE FOR THE REGULAR MONITORING
AND REPORTING OF AIR QUALITY AND AIR POLLUTANT DENSITY  WITHIN  EACH  OF
THE SUBREGIONS;
  E. MANDATORY POSTING OF SUCH REPORTS ON THE DEPARTMENT'S WEBSITE;
  F.  ESTABLISHMENT  OF  PROCEDURES FOR APPROPRIATE RESPONSES, INCLUDING
EMERGENCY RESPONSES, TO VIOLATIONS OF AIR QUALITY STANDARDS.
  2. IN THE FINAL AIR QUALITY TESTING AND MONITORING PLAN,  THE  DEPART-
MENT  SHALL  RESPOND TO ALL SUBSTANTIVE COMMENTS TIMELY SUBMITTED ON THE
DRAFT PLAN.
  3. NO PERMIT SHALL BE ISSUED UNDER SECTION  23-0501  OF  THIS  ARTICLE
UNTIL  THIRTY  DAYS  AFTER  NOTICE OF THE FINAL PLAN IS PUBLISHED IN THE
ENVIRONMENTAL NOTICE BULLETIN.
  4. NO PERMIT SHALL BE ISSUED UNDER SECTION 23-0501 OF THIS ARTICLE, IF
AIR EMISSIONS FROM THE PERMITTED OPERATION WOULD CAUSE OR CONTRIBUTE  TO
A VIOLATION OF ANY AIR QUALITY STANDARD.
  S 17. Section 27-0903 of the environmental conservation law is amended
by adding a new subdivision 4 to read as follows:
  4.  UNIFORM TREATMENT OF WASTE. NOTWITHSTANDING ANY OTHER LAW OR REGU-
LATION TO THE CONTRARY, ALL WASTE RESULTING FROM THE EXPLORATION, DEVEL-
OPMENT, EXTRACTION OR PRODUCTION OF CRUDE OIL OR NATURAL GAS,  INCLUDING
BUT NOT LIMITED TO DRILLING FLUIDS AND PRODUCED WATERS, SHALL BE CONSID-
ERED  HAZARDOUS  WASTE  UNDER  THE  LAW OF THIS STATE AND SUBJECT TO ALL
PERTINENT GENERATION, TRANSPORTATION, TREATMENT, STORAGE,  AND  DISPOSAL
LAWS  AND  REGULATIONS,  IF SUCH WASTE MEETS THE DEFINITION OF HAZARDOUS
WASTE SET FORTH IN SUBDIVISION THREE OF SECTION 27-0901 OF THIS CHAPTER.
WITHIN SIX MONTHS FROM THE  EFFECTIVE  DATE  OF  THIS  SUBDIVISION,  THE
DEPARTMENT  SHALL  MAKE  ALL  NECESSARY CHANGES TO BRING ITS REGULATIONS
INTO COMPLIANCE WITH THIS SECTION.
  S 18.   The opening paragraph of paragraph  f  of  subdivision  1  and
subdivision  6 of section 15-1503 of the environmental conservation law,
the opening paragraph of paragraph f of subdivision  1  as  amended  and
subdivision  6  as added by chapter 401 of the laws of 2011, are amended
to read as follows:
  a description of the applicant's proposed near  term  and  long  range
water conservation program that [incorporates] MUST COMPLY WITH environ-
mentally  sound  and  economically feasible water conservation measures,
including implementation and enforcement  procedures,  effectiveness  to
date  and  any  planned modifications for the future. For a public water
supply system, the water conservation program may include but  need  not
be limited to:
  6.  A  new  permit  for  a  water withdrawal system and any subsequent
renewal thereof shall be valid for a period of time not to exceed  [ten]
FIVE  years  from the date of issuance. A new permit or permit modifica-

S. 1220                            18

tion must be obtained from the  department  prior  to  any  transfer  or
change of ownership of a water withdrawal system.
  S  19.  The  environmental conservation law is amended by adding a new
section 15-1531 to read as follows:
S 15-1531. REPORTING.
  THE COMMISSIONER SHALL, WITHIN TWO YEARS OF THE EFFECTIVE DATE OF THIS
SECTION, AND THEREAFTER AS OFTEN AS THE COMMISSIONER DEEMS  APPROPRIATE,
REPORT TO THE GOVERNOR AND THE LEGISLATURE ON THE IMPLEMENTATION OF THIS
TITLE. THE REPORT MAY INCLUDE BUT NEED NOT BE LIMITED TO RECOMMENDATIONS
FOR  MODIFICATIONS TO THIS TITLE, INCLUDING BUT NOT LIMITED TO MODIFICA-
TIONS TO THE THRESHOLD VOLUME PROVIDED  IN  THIS  TITLE  FOR  PARTICULAR
WATER SOURCES, WATERSHEDS, WATER BODIES OR REGIONS, WHERE THE DEPARTMENT
HAS  DETERMINED  THAT  SUCH  WATER  SOURCES, WATERSHEDS, WATER BODIES OR
REGIONS ARE IN NEED OF SPECIAL  PROTECTION  BECAUSE  OF  THE  NATURE  OR
VOLUME  OF  DEMANDS  MADE  UPON  THEM AND A MODIFICATION IS NECESSARY TO
PROTECT THE PUBLIC HEALTH, SAFETY AND WELFARE.
  S 20. Article 15 of the environmental conservation law is  amended  by
adding a new title 35 to read as follows:
                                 TITLE 35
                           WATER USE STANDARDS
SECTION 15-3501. WATER USE STANDARDS.
S 15-3501. WATER USE STANDARDS.
  THE  DEPARTMENT SHALL ADOPT RULES ESTABLISHING WATER USE STANDARDS FOR
MAINTAINING IN-STREAM FLOWS THAT ARE  PROTECTIVE  OF  AQUATIC  LIFE  AND
OTHER  USES  AND THAT ESTABLISH CRITERIA FOR DESIGNATING WATERSHEDS MOST
AT RISK FROM CUMULATIVE WATER USE. STANDARDS ADOPTED UNDER THIS  SECTION
MUST BE BASED ON THE NATURAL VARIATION OF FLOWS AND WATER LEVELS, ALLOW-
ING FOR VARIANCES IF USE WILL STILL BE PROTECTIVE OF WATER QUALITY WITH-
IN THAT CLASSIFICATION.
  S  21.  Article 72 of the environmental conservation law is amended by
adding a new title 8 to read as follows:
                                 TITLE 8
                    WATER SUPPLY PERMIT PROGRAM FEES
SECTION 72-0801. DEFINITIONS.
        72-0802. WATER SUPPLY PERMIT PROGRAM FEES.
S 72-0801. DEFINITIONS.
  WHEN USED IN THIS TITLE:
  1. "AGRICULTURAL PURPOSE" SHALL  MEAN  THE  PRACTICE  OF  FARMING  FOR
CROPS,  PLANTS, VINES AND TREES; AND THE KEEPING, GRAZING, OR FEEDING OF
LIVESTOCK FOR SALE OF LIVESTOCK OR LIVESTOCK PRODUCTS.
  2. "PUBLIC WATER SUPPLY PURPOSE" SHALL MEAN  WATER  USE  BY  A  PUBLIC
WATER SUPPLY SYSTEM.
  3. "WATER SUPPLY PERMIT PROGRAM" MEANS THOSE ACTIVITIES OF THE DEPART-
MENT  AS  SPECIFIED  IN TITLE FIFTEEN OF ARTICLE FIFTEEN OF THIS CHAPTER
RELATED TO THE WITHDRAWAL  OF  WATERS  OF  THE  STATE  AND  ANY  RELATED
ENFORCEMENT ACTIVITIES.
S 72-0802. WATER SUPPLY PERMIT PROGRAM FEES.
  1.  EXCEPT  AS OTHERWISE PROVIDED IN THIS TITLE, ALL PERSONS, EXCEPT A
POLITICAL SUBDIVISION OF THE STATE, OR AN  AGENCY,  DEPARTMENT,  BUREAU,
PUBLIC  AUTHORITY  OF  THE  STATE,  OR PERSONS MAKING WITHDRAWALS FOR AN
AGRICULTURAL PURPOSE WHO ARE TO OBTAIN A PERMIT PURSUANT  TO  THE  WATER
SUPPLY PERMIT PROGRAM SHALL SUBMIT ANNUALLY TO THE DEPARTMENT A FEE, FOR
EACH WATER WITHDRAWAL SYSTEM, IN AN AMOUNT TO BE DETERMINED AS FOLLOWS:
  A. FIFTY DOLLARS FOR A WATER WITHDRAWAL SYSTEM WITH A CAPACITY OF LESS
THAN ONE MILLION GALLONS PER DAY, USED PRIMARILY FOR PUBLIC WATER SUPPLY
PURPOSES;

S. 1220                            19

  B.  ONE HUNDRED TWENTY-FIVE DOLLARS FOR A WATER WITHDRAWAL SYSTEM WITH
A CAPACITY OF BETWEEN ONE MILLION AND NINE MILLION NINE HUNDRED  NINETY-
NINE  THOUSAND  NINE HUNDRED NINETY-NINE GALLONS PER DAY, USED PRIMARILY
FOR PUBLIC WATER SUPPLY PURPOSES;
  C.  TWO  HUNDRED  FIFTY  DOLLARS  FOR A WATER WITHDRAWAL SYSTEM WITH A
CAPACITY OF TEN MILLION GALLONS PER DAY  OR  MORE,  USED  PRIMARILY  FOR
PUBLIC WATER SUPPLY PURPOSES;
  D.  TWO  HUNDRED  FIFTY  DOLLARS  FOR A WATER WITHDRAWAL SYSTEM WITH A
CAPACITY OF BETWEEN FIFTY THOUSAND AND NINETY-NINE THOUSAND NINE HUNDRED
NINETY-NINE GALLONS PER DAY, FOR ANY AND ALL USES WHICH ARE NOT PRIMARI-
LY FOR AGRICULTURAL OR PUBLIC WATER SUPPLY PURPOSES;
  E. FIVE HUNDRED FIFTY DOLLARS FOR A WATER  WITHDRAWAL  SYSTEM  WITH  A
CAPACITY  OF  BETWEEN ONE HUNDRED THOUSAND AND ONE HUNDRED THOUSAND NINE
HUNDRED NINETY-NINE GALLONS PER DAY, FOR ANY AND ALL USES WHICH ARE  NOT
PRIMARILY FOR AGRICULTURAL OR PUBLIC WATER SUPPLY PURPOSES;
  F.  ONE THOUSAND DOLLARS FOR A WATER WITHDRAWAL SYSTEM WITH A CAPACITY
OF  BETWEEN  TWO  HUNDRED  FIFTY  THOUSAND  GALLONS  AND  FOUR   HUNDRED
NINETY-NINE  THOUSAND  NINE HUNDRED NINETY-NINE GALLONS PER DAY, FOR ANY
AND ALL USES WHICH ARE NOT PRIMARILY FOR AGRICULTURAL  OR  PUBLIC  WATER
SUPPLY PURPOSES;
  G.  TWO  THOUSAND  FIVE  HUNDRED DOLLARS FOR A WATER WITHDRAWAL SYSTEM
WITH A CAPACITY OF  BETWEEN  FIVE  HUNDRED  THOUSAND  GALLONS  AND  NINE
HUNDRED  NINETY-NINE  THOUSAND NINE HUNDRED NINETY-NINE GALLONS PER DAY,
FOR ANY AND ALL USES WHICH ARE NOT PRIMARILY FOR AGRICULTURAL OR  PUBLIC
WATER SUPPLY PURPOSES;
  H. FIVE THOUSAND DOLLARS FOR A WATER WITHDRAWAL SYSTEM WITH A CAPACITY
OF  BETWEEN  ONE MILLION AND NINE MILLION NINE HUNDRED NINETY-NINE THOU-
SAND NINE HUNDRED NINETY-NINE GALLONS PER DAY,  FOR  ANY  AND  ALL  USES
WHICH  ARE  NOT  PRIMARILY  FOR  AGRICULTURAL  OR  PUBLIC  WATER  SUPPLY
PURPOSES;
  I. SEVEN THOUSAND FIVE HUNDRED DOLLARS FOR A WATER  WITHDRAWAL  SYSTEM
WITH  A  CAPACITY  OF  BETWEEN  TEN  MILLION AND FORTY-NINE MILLION NINE
HUNDRED NINETY-NINE THOUSAND NINE HUNDRED NINETY-NINE GALLONS  PER  DAY,
FOR  ANY AND ALL USES WHICH ARE NOT PRIMARILY FOR AGRICULTURAL OR PUBLIC
WATER SUPPLY PURPOSES;
  J. TEN THOUSAND DOLLARS FOR A WATER WITHDRAWAL SYSTEM WITH A  CAPACITY
OF FIFTY MILLION GALLONS PER DAY OR MORE, FOR ANY AND ALL USES WHICH ARE
NOT PRIMARILY FOR AGRICULTURAL OR PUBLIC WATER SUPPLY PURPOSES.
  2.  FOR  THE  PURPOSE  OF  DETERMINING THE APPROPRIATE FEE REQUIRED BY
SUBDIVISION ONE OF THIS SECTION, THE  AMOUNT  OF  RECLAIMED  WASTEWATER,
WHICH  A  PERSON WITHDRAWS FOR REUSE, SHALL NOT BE INCLUDED IN THE TOTAL
CAPACITY OF THE WATER WITHDRAWAL.
  3. ALL FEES COLLECTED PURSUANT TO THIS ARTICLE SHALL BE PAID INTO  THE
ENVIRONMENTAL  CONSERVATION  SPECIAL  REVENUE  FUND TO THE CREDIT OF THE
ENVIRONMENTAL REGULATORY ACCOUNT.
  S 22. This act shall take effect immediately;  provided  that  section
twenty  of this act shall take effect upon the completion of rule-making
required in subdivision  2  of  section  15-1501  of  the  environmental
conservation law and provided that the commissioner of the department of
environmental  conservation  shall  notify the legislative bill drafting
commission upon the occurrence of the enactment of  the  rules  required
under subdivision 2 of section 15-1501 of the environmental conservation
law  in  order  that  the commission may maintain an accurate and timely
effective data base of the official text of the laws of the state of New
York in furtherance of effectuating the provisions of section 44 of  the
legislative law and section 70-b of the public officers law.