Read the full stored bill text
Req. No. 3089 Page 1
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
2nd Session of the 60th Legislature (2026)
SENATE BILL 1474 By: Boren
AS INTRODUCED
An Act relating to oil and gas production; defining
terms; requiring the Corporation Commission to levy
certain fees; authorizing collection of certain
credits; authorizing promulgation of rules; creating
the Water and Agricultural Protection Revolving Fund;
stating purpose; providing for codification; and
providing an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 155 of Title 52, unless there is
created a duplication in numbering, reads as follows:
A. For the purposes of this section:
1. “Agricultural land” means land currently used or recently
used for the purpose of farming, grazing, or ranching;
2. “Best environmental practices” means activities approved by
the Corporation Commission that include, but are not limited to:
a. reduced pad footprint and consolidated well pads,
b. produced water recycling or reuse,
Req. No. 3089 Page 2
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
c. use of closed-loop drilling systems,
d. topsoil preservation and rapid interim reclamation,
e. livestock-compatible fencing and site design, and
f. protection of riparian buffers;
3. “Operator” means any person authorized by the Corporation
Commission to drill, complete, and operate a well for the intended
development and production of oil, gas, or other hydrocarbons,
regardless of whether the well is completed or produces; and
4. “Produced water” means formation water, brine, flowback, or
other wastewater produced in connection with oil and gas
development.
B. The Corporation Commission shall levy an annual surface
impact fee of Twenty-five Dollars ($25.00) per acre for any surface
disturbance associated with oil and gas operations on agricultural
land. The fee shall be applied from the date of initial disturbance
until the date the Corporation Commission certifies successful
reclamation. No fee shall be assessed on acres restored to
agriculture use within twelve (12) months or acres used for multi-
use grazing under an approved surface-use conservation plan.
C. The Corporation Commission shall levy a produced water
impact fee of one cent ($0.01) per barrel on any produced water
generated within this state. Operators may deduct volumes of
produced water that is recycled and reused for drilling or
completion, is treated and beneficially reused for agricultural or
Req. No. 3089 Page 3
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
industrial purposes, or is disposed of in disposal wells that
utilize advanced seismicity-reduction practices as determined by the
Corporation Commission. Recycled water volumes shall receive an
additional credit of fifty percent (50%) per barrel.
D. 1. An operator shall be eligible for a surface stewardship
credit of up to one hundred percent (100%) of the surface impact fee
if the operator implements best environmental practices that are
certified by the Corporation Commission to include, but not be
limited to:
a. interim reclamation completed within six (6) months of
well completion,
b. a reduced pad footprint, to be less than three (3)
acres for horizontally drilled wells,
c. pollinator-friendly reclamation seed mixes, and
d. consolidated production facilities to reduce surface
footprint by at least forty percent (40%).
2. An operator shall be eligible for a water stewardship credit
of up to seventy-five percent (75%) of produced water fees if the
operator:
a. recycles or reuses more than fifty percent (50%) of
produced water generated,
b. invests in regional water recycling hubs or
cooperative reuse networks, and
c. demonstrates an annual reduction in disposal volumes.
Req. No. 3089 Page 4
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
E. The Corporation Commission shall promulgate rules to
effectuate the provisions of this section.
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 155.1 of Title 52, unless there
is created a duplication in numbering, reads as follows:
There is hereby created in the State Treasury a revolving fund
for the Corporation Commission to be designated the “Water and
Agricultural Protection Revolving Fund”. The fund shall be a
continuing fund, not subject to fiscal year limitations, and shall
consist of all monies received by the Corporation Commission from
fees collected pursuant to this act, federal grants, private
contributions, and legislative appropriations provided for the
purpose of testing groundwater and rural drinking water systems in
connection with a pollution concern that stems from a well,
restoring soil and land for farms and ranches affected by oil and
gas operations, plugging and reclaiming abandoned wells, providing
technical assistance programs, and creating water recycling research
programs. All monies accruing to the credit of the fund are hereby
appropriated and may be budgeted and expended by the Corporation
Commission for the purpose provided for in this section.
Expenditures from the fund shall be made upon warrants issued by the
State Treasurer against claims filed as prescribed by law with the
Director of the Office of Management and Enterprise Services for
approval and payment.
Req. No. 3089 Page 5
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
SECTION 3. This act shall become effective November 1, 2026.
60-2-3089 CN 1/8/2026 2:11:59 PM