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SB3113 - 104th General Assembly

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SB3113 Enrolled
LRB104 19645 BAB 33094 b
1

AN ACT concerning regulation.

2

Be it enacted by the People of the State of Illinois,
3
represented in the General Assembly:

4

Section 5.
The Illinois Oil and Gas Act is amended by
5
changing Sections 1, 6, 8a, 8e, 14, and 26 as follows:

6

(225 ILCS 725/1)

(from Ch. 96 1/2, par. 5401)
7

Sec. 1.
Unless the context otherwise requires, the words
8
defined in this Section have the following meanings as used in
9
this Act.
10

"Department" means the Department of Natural Resources.
11

"Director" means the Director of Natural Resources.
12

"Drilling unit" means the surface area allocated by an
13
order or rule of the Department to the drilling of a single
14
well for the production of oil or gas from an individual pool.
15

"Enhanced recovery method" means any method used in an
16
effort to recover hydrocarbons from a pool by the injection of
17
fluids, gases, or other substances to maintain, restore, or
18
augment natural reservoir energy, or by introducing immiscible
19
or miscible gases, chemicals, or other substances, or heat, or
20
by in-situ combustion, or by any combination thereof.
21

"Field" means the same general surface area that is
22
underlaid or appears to be underlaid by one or more pools.
23

"Fresh water" means surface and subsurface water in its

SB3113 Enrolled
- 2 -
LRB104 19645 BAB 33094 b
1
natural state useful as drinking water for human consumption,
2
domestic livestock, irrigation, industrial, municipal, and
3
recreational purposes, and that will support aquatic life and
4
contains less than 10,000 ppm of total dissolved solids.
5

"Person" means any natural person, corporation,
6
association, partnership, governmental agency or other legal
7
entity, receiver, trustee, guardian, executor, administrator,
8
fiduciary or representative of any kind.
9

"Oil" means natural crude oil or petroleum and other
10
hydrocarbons, regardless of gravity, which are produced at the
11
well in liquid form by ordinary production methods or by the
12
use of an oil and gas separator and which are not the result of
13
condensation of gas after it leaves the underground reservoir.
14

"Gas" means all natural gas, including casinghead gas, and
15
all other natural hydrocarbons not defined above as oil.
16

"Mineral owner's royalty" means the share of oil and gas
17
production reserved in an oil and gas lease, free of all costs
18
by an owner of the minerals, whether denominated royalty or
19
overriding royalty.
20

"Mining Board" means the State Mining Board in the
21
Department of Natural Resources Office of Mines and Minerals.
22

"Oil" means natural crude oil or petroleum and other
23
hydrocarbons, regardless of gravity, which are produced at the
24
well in liquid form by ordinary production methods or by the
25
use of an oil and gas separator, which are not the result of
26
condensation of gas after it leaves the underground reservoir.

SB3113 Enrolled
- 3 -
LRB104 19645 BAB 33094 b
1

"Orphan well" means a well for which: (1) no fee
2
assessment under Section 19.7 of this Act has been paid or no
3
other bond coverage has been provided for 2 consecutive years;
4
(2) no oil or gas has been produced from the well or from the
5
lease or unit on which the well is located for 2 consecutive
6
years; and (3) no permittee or owner can be identified or
7
located by the Department. "Orphan well" includes a well that
8
has been drilled for purposes other than those for which a
9
permit is required under this Act if the well is a conduit for
10
oil or salt water intrusions into fresh water zones or onto the
11
surface, which may be caused by oil and gas operations.
12

"Owner" means the person who has the right to drill into
13
and produce from any pool and to appropriate the production
14
either for the person or for the person and another, others, or
15
solely for others, excluding the mineral owner's royalty, if
16
the right to drill and produce has been granted under an oil
17
and gas lease. "Owner" includes a person granted the right to
18
drill and operate an injection (Class II UIC) well independent
19
of the right to drill for and produce oil or gas. When the
20
right to drill, produce, and appropriate production is held by
21
more than one person, then all persons holding these rights
22
may designate the owner by a written operating agreement or
23
similar written agreement. In the absence of such an
24
agreement, and subject to the provisions of Sections 22.2 and
25
23.1 through 23.16 of this Act, the owner shall be the person
26
designated in writing by a majority of the persons in interest

SB3113 Enrolled
- 4 -
LRB104 19645 BAB 33094 b
1
holding these rights.
2

"Permit" means the Department's written authorization
3
allowing a well to be drilled, deepened, converted, or
4
operated by an owner.
5

"Permittee" means the owner holding or required to hold
6
the permit, and who is also responsible for paying assessments
7
in accordance with Section 19.7 of this Act, and, where
8
applicable, executing and filing the bond associated with the
9
well as principal, and who is responsible for compliance with
10
all statutory and regulatory requirements pertaining to the
11
well.
12

When the right and responsibility for operating a well is
13
vested in a receiver or trustee appointed by a court of
14
competent jurisdiction, the permit shall be issued to the
15
receiver or trustee.
16

"Person" means any natural person, corporation,
17
association, partnership, governmental agency, including any
18
other legal entity, receiver, trustee, guardian, executor,
19
administrator, fiduciary, or representative of any kind.
20

"Pool" means a natural, underground reservoir containing
21
in whole or in part, a natural accumulation of oil or gas, or
22
both. Each productive zone or stratum of a general structure,
23
which is completely separated from any other zone or stratum
24
in the structure, is deemed a separate "pool" as used herein.
25

"Produced water" means water, regardless of chloride and
26
total dissolved solids content that is produced in conjunction

SB3113 Enrolled
- 5 -
LRB104 19645 BAB 33094 b
1
with oil and natural gas production or natural gas storage
2
operations.
3

"Temporary abandonment status" means a well that has
4
received an authorization for temporary abandonment status
5
from the Department.
6

"Vacuum" means pressure that is reduced below the pressure
7
of the atmosphere.

8

"Field" means the same general surface area which is
9
underlaid or appears to be underlaid by one or more pools.
10

"Permit" means the Department's written authorization
11
allowing a well to be drilled, deepened, converted, or
12
operated by an owner.
13

"Permittee" means the owner holding or required to hold
14
the permit, and who is also responsible for paying assessments
15
in accordance with Section 19.7 of this Act and, where
16
applicable, executing and filing the bond associated with the
17
well as principal and who is responsible for compliance with
18
all statutory and regulatory requirements pertaining to the
19
well.
20

When the right and responsibility for operating a well is
21
vested in a receiver or trustee appointed by a court of
22
competent jurisdiction, the permit shall be issued to the
23
receiver or trustee.
24

"Orphan Well" means a well for which: (1) no fee
25
assessment under Section 19.7 of this Act has been paid or no
26
other bond coverage has been provided for 2 consecutive years;

SB3113 Enrolled
- 6 -
LRB104 19645 BAB 33094 b
1
(2) no oil or gas has been produced from the well or from the
2
lease or unit on which the well is located for 2 consecutive
3
years; and (3) no permittee or owner can be identified or
4
located by the Department. Orphaned wells include wells that
5
may have been drilled for purposes other than those for which a
6
permit is required under this Act if the well is a conduit for
7
oil or salt water intrusions into fresh water zones or onto the
8
surface which may be caused by oil and gas operations.
9

"Owner" means the person who has the right to drill into
10
and produce from any pool, and to appropriate the production
11
either for the person or for the person and another, or others,
12
or solely for others, excluding the mineral owner's royalty if
13
the right to drill and produce has been granted under an oil
14
and gas lease. An owner may also be a person granted the right
15
to drill and operate an injection (Class II UIC) well
16
independent of the right to drill for and produce oil or gas.
17
When the right to drill, produce, and appropriate production
18
is held by more than one person, then all persons holding these
19
rights may designate the owner by a written operating
20
agreement or similar written agreement. In the absence of such
21
an agreement, and subject to the provisions of Sections 22.2
22
and 23.1 through 23.16 of this Act, the owner shall be the
23
person designated in writing by a majority in interest of the
24
persons holding these rights.
25

"Department" means the Department of Natural Resources.
26

"Director" means the Director of Natural Resources.

SB3113 Enrolled
- 7 -
LRB104 19645 BAB 33094 b
1

"Mining Board" means the State Mining Board in the
2
Department of Natural Resources, Office of Mines and Minerals.
3

"Mineral Owner's Royalty" means the share of oil and gas
4
production reserved in an oil and gas lease free of all costs
5
by an owner of the minerals whether denominated royalty or
6
overriding royalty.
7

"Waste" means "physical waste" as that term is generally
8
understood in the oil and gas industry, and further includes:
9

(1) the locating, drilling, and producing of any oil
10

or gas well or wells drilled contrary to the valid order,
11

rules and regulations adopted by the Department under the
12

provisions of this Act;
13

(2) permitting the migration of oil, gas, or water
14

from the stratum in which it is found, into other strata,
15

thereby ultimately resulting in the loss of recoverable
16

oil, gas or both;
17

(3) the drowning with water of any stratum or part
18

thereof capable of producing oil or gas, except for
19

secondary recovery purposes;
20

(4) the unreasonable damage to underground, fresh or
21

mineral water supply, workable coal seams, or other
22

mineral deposits in the operations for the discovery,
23

development, production, or handling of oil and gas;
24

(5) the unnecessary or excessive surface loss or
25

destruction of oil or gas resulting from evaporation,
26

seepage, leakage or fire, especially such loss or

SB3113 Enrolled
- 8 -
LRB104 19645 BAB 33094 b
1

destruction incident to or resulting from the escape of
2

gas into the open air in excessive or unreasonable
3

amounts, provided, however, it shall not be unlawful for
4

the operator or owner of any well producing both oil and
5

gas to burn such gas in flares when such gas is, under the
6

other provisions of this Act, lawfully produced, and where
7

there is no market at the well for such escaping gas; and
8

where the same is used for the extraction of casinghead
9

gas, it shall not be unlawful for the operator of the plant
10

after the process of extraction is completed, to burn such
11

residue in flares when there is no market at such plant for
12

such residue gas;
13

(6) permitting unnecessary fire hazards;
and

14

(7) permitting unnecessary damage to or destruction of
15

the surface, soil, animal, fish or aquatic life or
16

property from oil or gas operations.
17

"Drilling Unit" means the surface area allocated by an
18
order or regulation of the Department to the drilling of a
19
single well for the production of oil or gas from an individual
20
pool.
21

"Enhanced Recovery Method" means any method used in an
22
effort to recover hydrocarbons from a pool by injection of
23
fluids, gases or other substances to maintain, restore or
24
augment natural reservoir energy, or by introducing immiscible
25
or miscible gases, chemicals, other substances or heat or by
26
in-situ combustion, or by any combination thereof.

SB3113 Enrolled
- 9 -
LRB104 19645 BAB 33094 b
1

"Well-Site Equipment" means any production-related
2
equipment or materials specific to the well, including motors,
3
pumps, pump jacks, tanks, tank batteries, separators,
4
compressors, casing, tubing, and rods.
5

"Temporary abandonment status" means a well that has
6
received an authorization for temporary abandonment status
7
from the Department.

8
(Source: P.A. 102-1017, eff. 1-1-23
.)

9

(225 ILCS 725/6)

(from Ch. 96 1/2, par. 5409)
10

Sec. 6.
The Department shall have the authority to conduct
11
hearings and to make such reasonable rules as may be necessary
12
from time to time in the proper administration and enforcement
13
of this Act, including the adoption of rules and the holding of
14
hearings for the following purposes:
15

(1) To require the drilling, casing and plugging of
16

wells to be done in such a manner as to prevent the
17

migration of oil or gas from one stratum to another; to
18

prevent the intrusion of water into oil, gas or coal
19

strata; to prevent the pollution of fresh water supplies
20

by oil, gas or salt water.
21

(2) To require the person desiring or proposing to
22

drill, deepen or convert any well for the exploration or
23

production of oil or gas, for injection or water supply in
24

connection with enhanced recovery projects, for the
25

disposal of salt water, brine, or other oil or gas field

SB3113 Enrolled
- 10 -
LRB104 19645 BAB 33094 b
1

wastes, or for input, withdrawal, or observation in
2

connection with the storage of natural gas or other liquid
3

or gaseous hydrocarbons before commencing the drilling,
4

deepening or conversion of any such well, to make
5

application to the Department upon such form as the
6

Department may prescribe and to comply with the provisions
7

of this Section. The drilling, deepening or conversion of
8

any well is hereby prohibited until such application is
9

made and the applicant is issued a permit therefor as
10

provided by this Act. Each application for a well permit
11

shall include the following: (A) The exact location of the
12

well, (B) the name and address of the manager, operator,
13

contractor, driller, or any other person responsible for
14

the conduct of drilling operations, (C) the proposed depth
15

of the well, (D) lease ownership information, and (E) such
16

other relevant information as the Department may deem
17

necessary or convenient to effectuate the purposes of this
18

Act.
19

(2.5) Additionally, for each applicant who has not
20

been issued a permit that is (i) not of record with the
21

Department on the effective date of this amendatory Act of
22

the 104th General Assembly, or (ii) a permittee on record
23

with the Department but who has failed to make payments of
24

the assessments as required under Section 19.7 of this Act
25

at any time in the preceding 5 years of the application,
26

the permittee or applicant shall execute, as principal,

SB3113 Enrolled
- 11 -
LRB104 19645 BAB 33094 b
1

and file with the Department a bond, executed by a surety
2

authorized to transact business in this State, in an
3

amount estimated to cover the cost of plugging the well
4

and restoring the well site and shall set at the following
5

rates:
6

(A) $10,000 for one well;
7

(B) $25,000 in total covering a blanket bond for
8

up to 10 wells;
9

(C) $50,000 in total covering a blanket bond for
10

up to 50 wells; or
11

(D) $100,000 in total covering a blanket bond for
12

up to 100 wells.
13

A blanket bond covering more than 100 wells shall be
14

increased to include the bond amount, as provided in this
15

paragraph (2.5), for the total number of wells more than
16

100 that are covered by the blanket bond. Such bond shall
17

be submitted to the Department before drilling, deepening,
18

converting, or operating any well for which a new or
19

transfer permit is required and that has not previously
20

been plugged and abandoned in accordance with the Act. The
21

Department shall release the bond if any of the following
22

are met:
23

(i) all wells covered by the bond are plugged and
24

all well sites are restored in accordance with this
25

Act and administrative rules;
26

(ii) all wells covered by the bond are transferred

SB3113 Enrolled
- 12 -
LRB104 19645 BAB 33094 b
1

in accordance with this Act and administrative rules;
2

or
3

(iii) the permittee pays assessments to the
4

Department in accordance with Section 19.7 of this Act
5

for 5 consecutive years from the date of issuance of a
6

permit after the effective date of this amendatory Act
7

of the 104th General Assembly and the permittee is not
8

in violation of this Act or any administrative rules.
9

In lieu of a surety bond, the applicant may provide
10

certificates of deposit or irrevocable letters of credit
11

under such terms and conditions as the Department may
12

provide by rule.
13

The sureties on all bonds in effect on this amendatory
14

Act of the 104th General Assembly shall remain liable as
15

sureties in accordance with their undertakings until
16

released by the Department from further liability under
17

the Act. The principal on each bond in effect on the
18

effective date of this amendatory Act of the 104th General
19

Assembly shall be released from the obligation of
20

maintaining the bond if the well covered by a surety bond
21

has been plugged and the well site restored in accordance
22

with the Department's rules or the principal of the surety
23

has paid the initial assessment in accordance with Section
24

19.7 and no well or well site covered by the surety bond is
25

in violation of the Act.
26

No permit shall be issued to a corporation

SB3113 Enrolled
- 13 -
LRB104 19645 BAB 33094 b
1

incorporated outside of Illinois until the corporation has
2

been authorized to do business in Illinois.
3

No permit shall be issued to an individual,
4

partnership, or other unincorporated entity that is not a
5

resident of Illinois until that individual, partnership,
6

or other unincorporated entity has irrevocably consented
7

to be sued in Illinois.
8

(3) To require the person assigning, transferring, or
9

selling any well for which a permit is required under this
10

Act to notify the Department of the change of ownership.
11

The notification shall be on a form prescribed by the
12

Department, shall be executed by the current permittee and
13

by the new permittee, or their authorized representatives,
14

and shall be filed with the Department within 30 days
15

after the effective date of the assignment, transfer or
16

sale. Within the
30-day

30 day
notification period and
17

prior to operating the well, the new permittee shall pay
18

the required well transfer fee and, where applicable, file
19

with the Department the bond required under subsection
20

(2.5) of this Section.
21

(4) To require the filing with the State Geological
22

Survey of all geophysical logs, a well drilling report and
23

drill cuttings or cores, if cores are required, within 90
24

days after drilling ceases; and to file a completion
25

report with the Department within 30 days after the date
26

of first production following initial drilling or any

SB3113 Enrolled
- 14 -
LRB104 19645 BAB 33094 b
1

reworking, or after the plugging of the well, if a dry
2

hole. A copy of each completion report submitted to the
3

Department shall be delivered to the State Geological
4

Survey. The Department and the State Geological Survey
5

shall keep the reports confidential, if requested in
6

writing by the permittee, for 2 years after the date the
7

permit is issued by the Department. This confidentiality
8

requirement shall not prohibit the use of the report for
9

research purposes, provided the State Geological Survey
10

does not publish specific data or identify the well to
11

which the completion report pertains.
12

(5) To prevent "blowouts", "caving" and "seepage" in
13

the same sense that conditions indicated by such terms are
14

generally understood in the oil and gas business.
15

(6) To prevent fires.
16

(7) To ascertain and identify the ownership of all oil
17

and gas wells, producing leases, refineries, tanks,
18

plants, structures, and all storage and transportation
19

equipment and facilities.
20

(8) To regulate the use of any enhanced recovery
21

method in oil pools and oil fields.
22

(9) To regulate or prohibit the use of vacuum
,
23

including charging a vacuum permit application fee of up
24

to $300 per permit
.
25

(10) To regulate the spacing of wells, the issuance of
26

permits, and the establishment of drilling units.

SB3113 Enrolled
- 15 -
LRB104 19645 BAB 33094 b
1

(11) To regulate directional drilling of oil or gas
2

wells.
3

(12) To regulate the plugging of wells.
4

(13) To require that wells for which no logs or
5

unsatisfactory logs are supplied shall be completely
6

plugged with cement from bottom to top.
7

(14) To require a description in such form as is
8

determined by the Department of the method of well
9

plugging for each well, indicating the character of
10

material used and the positions and dimensions of each
11

plug.
12

(15) To prohibit waste, as defined in this Act.
13

(16) To require the keeping of such records, the
14

furnishing of such relevant information and the
15

performance of such tests as the Department may deem
16

necessary to carry into effect the purposes of this Act.
17

(17) To regulate the disposal of salt or
18

sulphur-bearing water and any oil field waste produced in
19

the operation of any oil or gas well.
20

(18) To prescribe rules, conduct inspections and
21

require compliance with health and safety standards for
22

the protection of persons working underground in
23

connection with any oil and gas operations. For the
24

purposes of this paragraph, oil and gas operations include
25

drilling or excavation, production operations, plugging or
26

filling in and sealing, or any other work requiring the

SB3113 Enrolled
- 16 -
LRB104 19645 BAB 33094 b
1

presence of workers in shafts or excavations beneath the
2

surface of the earth. Rules promulgated by the Department
3

may include minimum qualifications of persons performing
4

tasks affecting the health and safety of workers
5

underground, minimum standards for the operation and
6

maintenance of equipment, and safety procedures and
7

precautions, and shall conform, as nearly as practicable,
8

to corresponding qualifications, standards and procedures
9

prescribed under the Coal Mining Act.
10

(19) To deposit the amount of any forfeited surety
11

bond or other security in the Plugging and Restoration
12

Fund, a special fund in the State treasury which is hereby
13

created; to deposit into the Fund any amounts collected,
14

reimbursed or recovered by the Department under Sections
15

19.5, 19.6 and 19.7 of this Act; to accept, receive, and
16

deposit into the Fund any grants, gifts or other funds
17

which may be made available from public or private sources
18

and all earnings received from investment of monies in the
19

Fund; and to make expenditures from the Fund for the
20

purposes of plugging, replugging or repairing any well,
21

and restoring the site of any well, determined by the
22

Department to be abandoned or ordered by the Department to
23

be plugged, replugged, repaired or restored under Sections
24

8a, 19 or 19.1 of this Act, including expenses in
25

administering the Fund.
26

For the purposes of this Act, the State Geological Survey

SB3113 Enrolled
- 17 -
LRB104 19645 BAB 33094 b
1
shall co-operate with the Department in making available its
2
scientific and technical information on the oil and gas
3
resources of the State, and the Department shall in turn
4
furnish a copy to the State Geological Survey of all drilling
5
permits as issued, and such other drilling and operating data
6
received or secured by the Department which are pertinent to
7
scientific research on the State's mineral resources.
8
(Source: P.A. 104-150, eff. 1-1-26
.)

9

(225 ILCS 725/8a)

(from Ch. 96 1/2, par. 5413)
10

Sec. 8a.
When an inspector or other authorized employee or
11
agent of the Department determines that any permittee, or any
12
person engaged in conduct or activities required to be
13
permitted under this Act, is in violation of any requirement
14
of this Act or the rules adopted hereunder or any permit
15
condition, or has falsified or otherwise misstated any
16
information on or relative to any application, permit,
17
required record, or other document required to be submitted to
18
the Department by this Act or any rules or procedures adopted
19
under this Act, a notice of violation shall be completed and
20
delivered to the Director or his designee.
21

The notice shall contain:
22

1. the nature of the violation;
23

2. the action needed to abate the violation, including
24

any appropriate remedial measures to prevent future
25

violation such as replacement, repair, testing and

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reworking a well and any appurtenances and equipment;
2

3. the time within which the violation is to be
3

abated; and
4

4. any factors known to the person completing the
5

notice of violation in aggravation or mitigation and the
6

existence of any factors indicating that the permit should
7

be conditioned or modified.
8

Upon receipt of a notice of violation, the Director shall
9
conduct his investigation and may affirm, vacate or modify the
10
notice of violation. In determining whether to take actions in
11
addition to remedial action necessary to abate a violation,
12
the Director shall consider the person's or permittee's
13
history of previous violations including violations at other
14
locations and under other permits, the seriousness of the
15
violation including any irreparable harm to the environment or
16
damage to property, the degree of culpability of the person or
17
permittee and the existence of any additional conditions or
18
factors in aggravation or mitigation including information
19
provided by the person or permittee.
20

The Director shall serve the person or permittee with his
21
decision at the conclusion of the investigation. Modification
22
of the notice of violation may include:
23

1. any different or additional remedial action
24

required to abate the violation and the time within which
25

the violation must be abated;
26

2. the assessment of civil penalties not to exceed

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$5,000 for each and every falsification or misstatement of
2

information
and civil penalties not to exceed $4,000 per

3

and $1,000 a
day for each and every act of violation not
4

including a falsification or misstatement of information;
5

3. probationary or permanent modification or
6

conditions on the permit which may include special
7

monitoring or reporting requirements; and
8

4. revocation of the permit.
9

The Director's decision shall provide that the person or
10
permittee has the right to request a hearing.
11

The Director's decision affirming, vacating or modifying
12
the notice of violation shall be considered served when mailed
13
by first class mail to the person or permittee at his last
14
known address.
15

A person or permittee shall have 30 days from the date of
16
service of the Director's decision to request a hearing. If
17
the Director's decision includes the assessment of a civil
18
penalty, the person or permittee charged with the penalty
19
shall pay the penalty in full or, if the person or permittee
20
wishes to contest either the amount of the penalty or the fact
21
of the violation, submit the assessed amount, with the request
22
for a hearing, to be held in escrow. The filing of a request
23
for a hearing shall not operate as a stay of the Director's
24
decision. All civil penalties finally assessed and paid to the
25
Department shall be deposited in the Underground Resources
26
Conservation Enforcement Fund.

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Any person who willfully or knowingly authorized, ordered,
2
or carried out any violation cited in the Director's decision
3
shall be subject to the same actions, including civil
4
penalties, which may be imposed on the person or permittee
5
under this Section.
6

Upon receipt of a request, the Department shall provide an
7
opportunity for a formal hearing upon not less than 5 days
8
notice. The hearing shall be conducted by the Director or
9
anyone designated by him for such purpose, and shall be
10
located and conducted in accordance with the rules of the
11
Department. Failure of the person or permittee to timely
12
request a hearing or, if a civil penalty has been assessed, to
13
timely tender the assessed civil penalty, shall constitute a
14
waiver of all legal rights to contest the Director's decision,
15
including the amount of any civil penalty. Within 30 days of
16
the close of the hearing record or expiration of the time to
17
request a hearing, the Department shall issue a final
18
administrative order.
19

If, at the expiration of the period of time originally
20
fixed in the Director's decision or in any subsequent
21
extension of time granted by the Department, the Department
22
finds that the violation has not been abated, it may
23
immediately order the cessation of operations or the portions
24
thereof relevant to the violation. Such cessation order shall
25
be served in the manner and within the time prescribed in
26
Section 19.1 of this Act.

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Pending the holding of any hearing or entry of a final
2
administrative order under this Section, the person or
3
permittee to whom the cessation order was issued may file a
4
written request for temporary relief subject to the same terms
5
and conditions as are provided for in Section 19.1 of this Act.
6

If the Department finds that a person or permittee has
7
failed to comply with a final administrative order, the
8
Department may immediately order the cessation of operations
9
or the portions thereof relevant to the final administrative
10
order. Such cessation order shall be served in the manner and
11
within the time prescribed in Section 19.1 of this Act. The
12
Department shall commence a hearing within 5 days after
13
issuance of a cessation order and shall conclude such hearing
14
without appreciable delay. At the hearing the Department shall
15
have the burden of proving that the person or permittee has not
16
complied with the final administrative order. A cessation
17
order issued under this paragraph shall continue in effect
18
until modified, vacated, or terminated by the Department.
19

The Department shall refuse to issue a permit or permits,
20
and shall revoke any permit or permits previously issued if:
21

(1) the applicant has falsified or otherwise misstated
22

any information on or relative to the permit application;
23

(2) the applicant has failed to abate a violation of
24

the Act specified in a final administrative decision of
25

the Department;
26

(3) an officer, director, partner, or person with an

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interest in the applicant exceeding 5% failed to abate a
2

violation of the Act specified in a final administrative
3

decision of the Department; or
4

(4) the applicant is an officer, director, partner, or
5

person with an interest exceeding 5% in another entity
6

that has failed to abate a violation of the Act specified
7

in a final administrative decision of the Department.
8
(Source: P.A. 99-137, eff. 1-1-16
.)

9

(225 ILCS 725/8e)
10

Sec. 8e.
Temporary abandonment status fees.
11

(a) The Department shall assess and collect annual fees of
12
$100 per well for each well that is in temporary abandonment
13
status.
14

(b) All annual fees collected pursuant to subsection (a)
15
shall be
deposited into the Plugging and Restoration Fund, and
16
one-half of all such deposited fees shall be used solely for
17
the Landowner Grant Program.

deposited as follows: (1)
18
one-half of all such fees shall be placed in the Plugging and
19
Restoration Fund; and (2) one-half of all such fees shall be
20
placed in the Landowner Grant Program.
21
(Source: P.A. 102-1017, eff. 1-1-23
.)

22

(225 ILCS 725/14)

(from Ch. 96 1/2, par. 5420)
23

Sec. 14.
Each application for a permit to drill, deepen,
24
convert, or amend shall be accompanied by the required fee of

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$400. The fee for an application for a permit to oil lease road
2
shall be $150. A fee of $75 for the first 100 wells and $50 for
3
each well in excess of 100 shall be paid by the new owner for
4
each transfer of well ownership. Except for the assessments
5
required to be deposited in the Plugging and Restoration Fund
6
under Section 19.7 of this Act and any other deposits required
7
to be deposited in the Plugging and Restoration Fund under
8
this Act, all fees assessed and collected under this Act shall
9
be deposited in the Underground Resources Conservation
10
Enforcement Fund. The
moneys

monies
deposited into the
11
Plugging and Restoration Fund or the Underground Resources
12
Conservation Enforcement Fund under this Section
or deposited
13
into the Plugging and Restoration Fund under Section 26
shall
14
not be subject to administrative charges or chargebacks unless
15
otherwise authorized by this Act.
16

On and after July 1, 2022, any fees that are created by or
17
increased by this amendatory Act of the 102nd General Assembly
18
in this Section shall be deposited into the Plugging and
19
Restoration Fund.
20
(Source: P.A. 102-1017, eff. 1-1-23
.)

21

(225 ILCS 725/26)

(from Ch. 96 1/2, par. 5456)
22

Sec. 26.
(a) Any person who violates any provision of this
23
Act or any valid rule, regulation, permit or order of the
24
Department made hereunder, or who repeats or continues the
25
violation thereof, shall be subject to a civil penalty not to

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exceed
:

2

(1)
$1,000 a day for each and every act of violation
3

lasting 90 days or less.
4

(2) $2,000 a day for any violation lasting more than
5

90 days but less than 180 days
.
6

(3) $4,000 a day for any violation lasting 180 days or
7

more.
8

Any civil penalties that are assessed in excess of $1,000
9
per day shall be deposited into the Plugging and Restoration
10
Fund.
11

Civil penalties may not be assessed until notice has been
12
sent to the permittee. Such notice may be sent electronically
13
at the time the notice of violation is sent to the Springfield
14
office of the Department.
15

A permittee may notify the Department if an extraordinary
16
circumstance prevents abatement of a violation for which civil
17
penalties are sought to be assessed against the permittee. If
18
the permittee notifies the Department, the permittee shall
19
then provide evidence of the extraordinary circumstance to the
20
Department, as set forth by rule. The assessment of a civil
21
penalty shall not begin until the extraordinary circumstance
22
terminates, as set forth by rule. The process to declare an
23
extraordinary circumstance, the Department's review and
24
approval of the extraordinary circumstance, and any appeal of
25
the Department's determination shall be set by rule. An
26
extraordinary circumstance shall include, but not be limited

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1
to, roads being posted with a weight limit that prevents the
2
movement of equipment, wet field conditions that prevent
3
mitigation activities, or flooding that prevents the movement
4
of equipment for the abatement.

5

(b) Any person
willfully

wilfully
aiding or abetting any
6
other person in the violation of any provision of this Act, or
7
any rule, regulation and order made hereunder, shall be
8
subject to the same penalties as are prescribed herein for the
9
violation by such other person.
10
(Source: P.A. 85-1334.)

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