AN ACT relating to natural resources.

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AN ACT relating to natural resources. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 350.600 is amended to read as follows: 3
(1) The General Assembly finds that [ there has been a] recent interest in [ the 4
Commonwealth in the] mining and processing of oil shale in the Commonwealth is 5
due to the critical need for fossil fuel [ which has developed in this country] . The 6
General Assembly further finds that the development of this fossil fuel could be of 7
significant long -range benefit to the Commonwealth and to the United States of 8
America; however,[ but that] the unregulated extraction and processing of oil shale 9
within the Commonwealth could cause soil erosion, water pollution, and the 10
destruction of aesthetic and agricultural values. The General Assembly further finds 11
that, in order to effectively regulate the extraction and processing of oil shale, the 12
Energy and Environment Cabinet shall conduct extensive research concerning the 13
process, waste production, and potentially adverse environmental impacts of such 14
recovery operations. 15
(2) It is the intent of the General Assembly to provide for the[ such] regulation and 16
control of[ the] mining activity and the processing of oil shale[ as] to minimize and 17
prevent its adverse effects on the citizens and the environment of the 18
Commonwealth. The General Assembly further finds that the Energy and 19
Environment Cabinet is the most competent agency to regulate the extraction and 20
processing of oil shale due to its expertise in the handling of the surface mining of 21
other minerals and in the regulation of other sources of air and water pollution. 22
(3) The Energy and Environment Cabinet shall file with the administrative regulations 23
compiler reasonable rules and administrative regulations in accordance with KRS 24
Chapter 13A pertaining to oil shale mining operations, which shall include strip 25
mining as defined by KRS 350.010, the surface effects of underground mining of 26
oil shale, and the in situ mining of oil shale by June 30, 1981. No person shall 27
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engage in the commercial mining or processing of oil shale until such time as the 1
cabinet promulgates rules and administrative regulations in accordance with KRS 2
Chapter 13A to provide standards for such mining. 3
(4) In promulgating administrative regulations pursuant to subsection (3) of this 4
section, the secretary shall make written finding that the administrative regulations 5
promulgated are based on sound scientific and engineering data and are reasonably 6
necessary to protect the people and environment of the Commonwealth from the 7
adverse effects of oil shale extraction. The secretary shall promulgate 8
administrative regulations consistent with existing standards for land, water, and air 9
protection. The secretary may conduct a public hearing on the subject of the 10
cabinet's administrative regulation of the extraction and processing of oil shale for 11
the purpose of collectin g data and receiving public comments on this issue. The 12
hearing will be held at a time and place to be determined by the secretary in 13
accordance with the policy of the cabinet. 14
(5) Prior to the adoption of the administrative regulations required by this section, any 15
person may conduct core drilling, experimentation, removal of samples, or a pilot 16
and demonstration project which involves the mining of not more than five (5) 17
acres for the production of oil shale in any one (1) county. [Such ] Core drilling, 18
experimentation, removal of samples, or pilot and demonstration project involving 19
the mining of not more than five (5) acres for the production of oil shale in any one 20
(1) county shall not be initiated until written notificati on of the intent to perform 21
such operations shall be filed at least fifteen (15) days prior to commencement of 22
such projects by registered mail by the mine operator with the secretary of the 23
Energy and Environment Cabinet of the Commonwealth of Kentucky an d with the 24
person(s) holding title to the surface of the land to be utilized for the[such] 25
operations. 26
(6) The secretary of the Energy and Environment Cabinet of the Commonwealth of 27
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Kentucky shall be granted the right to monitor such core drilling, experim entation, 1
removal of samples, or pilot and demonstration project as it may deem necessary 2
for the purpose of establishing sound and reasonable scientific and engineering data 3
upon which rules and regulations pertaining to oil shale mining operations in the 4
Commonwealth of Kentucky can be based. 5