Discharged water management.

WORKING DRAFT
2009
STATE OF
WYOMING
09LSO-0026

HOUSE BILL
NO.
HB0014

Discharged water management.

Sponsored by:
Joint Agriculture, State and
Public

Lands
and Water Resources Interim Committee

A BILL

for

AN ACT relating to water; providing for the management of surface water discharges
;
authorizing the issuance of general permits for discharged water as specified; providing for additional management of water discharged from coalbed natural gas wells; authorizing construction to limit effects of excess surface discharges of coalbed water; authorizing assessment of damages related to such construction; providing definitions; providing a review process; providing rulemaking authority; providing for enforcement; providing for penalties; and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.

W.S. 41
‑
3
‑
116 and 41
‑
3
‑
507 are created to read:

41
‑
3
‑
116
.

Curtailment of excess surface discharges; restrictions on w
ater produced from coalbed natural gas
w
e
ll
s
; orders; penalties.

(a)

The state engineer may order curtailment of
any surface discharges in
exce
ss of the natural capacity of a channel upon a deter
m
in
ation by the state engineer that
excess surface discharge is occurring.
For purposes of this section, "surface discharge" shall be as defined in W.S. 41
‑
3
‑
507(p)(iv).

(b)

Except as provided in W.S. 41
‑
3
‑
507 and subsection (e) of this section, i
t
is

unlawful
for the quantity of water discharged from individual or combined coalbed natural gas
w
e
ll
s to exceed the natural capacity of a
channel with
intermittent
or
ephemeral
natural
flow i
nto which the surface discharge occurs. For purposes of this section, "natural capacity" shall be as defined in W.S. 41
‑
3
‑
507(p)(ii).

(c)

In the event more than one (1) coalbed natural gas well is causing the excess surface discharge described in subsection (b) of this section
, the curtailment of
such excess surface
water discharge
sha
ll begin with the
operator with the
most recently commenced
surface
discharge and then proceed to the curtailment of
any additional
discharges with increasingly older dates of discharge commencement until the natural capacity of the channe
l is no longer exceeded.

(d)

Natural
flow
shall not be
included in a measurement of flow
when determining a violation under this
section.

(e)

Surface water discharges shall not be unlawful if, on land he owns or controls, the landowner stores the surface water discharges in any reservoir, makes beneficial use of the surface water discharges or otherwise consents to the flow of the surface water discharges that shall not exceed the natural capacity of the channel.

(f)

If either the landowner or
any
discharging party is aggrieved by any order of the state engineer under this
section
,
the
order may be appealed to the
b
oard of
c
ontrol
pursuant to
W.S. 41
‑
3
‑
517.

(g)

The state engineer
shall
adopt reasonable rules and regulations
necessary
for
the implementation and
administration of this
section
.

(h
)

Any violation of this section shall be punishable pursuant to W.S. 41
‑
3
‑
616.

41
‑
3
‑
507
.

Management of water
discharg
ed from coalbed natural gas
w
e
ll
s
; definitions; rulemaking authority.

(a)

Surface d
ischarge of produced water from
any
coalbed natural gas well
subject to permitting by
the
state engineer into
a
channel with an
intermittent or ephemeral natural
flow may
be limited to the natural capacity of the channel downstream
of the discharge.

(b)

A landowner, on land he owns or controls, may store surface water discharges in any reservoir, make beneficial use of the surface water discharges or otherwise consent to the flow of surface water discharges that shall not exceed the natural capacity of the channel.

(c)

A landowner who believes he has been or will be affected by surface discharges resulting from coalbed natural gas wells and who has a reach of interest, may file a written request with the state engineer

stating the nature and extent of
the
actual and potential effects of
those surface
disc
harges in the reach of interest and asking the state engineer to review the flow characteristics of the actual or potential surface discharges through the reach of interest.

(d)

Upon receipt of
the
written request
from the landowner under subsection (c) of this section
, the state engineer
sha
ll proceed
within ten (10) business days
with an evaluation of the natural capacity of the channel and shall complete this evaluation within
one hundred twenty (
120
) days.

(e)

If the state engineer
find
s

the
capacity in the reach of interest
is less than the natural capacity of the water course
, the state engineer or superintendent
of the water division in which the reach of interest exists
shall
order the necessary construction of additional capacity in the reach of interest, up to the natural capacity of the water course.

(f)

In the event more than one (1) coalbed natural gas operator is causing surface discharge in excess of the capacity of the reach of interest
, the
order under subsection (e) of this section

sha
ll be

prorated
. The costs of construction resulting from the order shall be prorated to each operator contributing to the excess of the capacity of the reach of interest, based upon the percentage of each operator's contribution to the total excess surface discharge.

(g)

All parties included in the order under subsection (e) of this section

sha
ll
provide a construction plan to the landowner and the state engineer for review.

(h)

The landowner and the state engineer’s office shall review and approve the construction plan, which
shall
include requirements
for access, mitigation of damages caused by construction and reclamation. Reclamation requirements may include removal of facilities, fixtures or other features constructed under the construction plan. The construction work under the construction plan shall be completed within one (1) year after the state engineer's written approval of the construction plan, unless the time is extended in writing by the state engineer.

(j)

If the landowner fails to
provide written
approv
al of
the final construction plans or
fails to
provide
written approval for
access for
planning,
construction
or reclamation
, the construction order
shall be revoked.

(k)

The state engineer is authorized to assess damages
related
to construction against the discharging party
or parties, in addition to those covered by the construction plan, upon receipt, review
and approval of documentation submitted by the landowner
or any party included in the order
.

(m)

If either the landowner or
any
discharging party is aggrieved by any order of the state engineer under this
section
,
the
order may be appealed to the
b
oard of
c
ontrol
pursuant to
W.S. 41
‑
3
‑
517.

(n)

The state engineer
shall
adopt reasonable rules and regulations
necessary
for
the implementation and
administration of this
section
.

(o)

Any violation of this section shall be punishable pursuant to W.S. 41
‑
3
‑
616.

Nothing in this section shall in any way limit, delay or preempt the exercise or assertion of any other civil or administrative claim or remed
y
available to any landowner or any person or entity discharging
coalbed natural gas
water.

(p)

As used in this
section
and in W.S. 41
‑
3
‑
116
:

(
i
)

"
Landowner
"
means the person or entity with fee title to the land containing the reach of interest and who is filing a request under this
section;

(
i
i)

"
Natural capacity
" means the bank
to

bank hydraulic carrying capacity, expressed in cubic feet of water per second of time, of the primary naturally

formed channel through which runoff would typically flow, using the predominant cross-sectional characteristics exhibited by the channel in the vi
cinity of the reach of interest. These channel cross-sections may be obtained upstream or downstream of the reach of interest;

(
iii
)

"
Reach of interest
"
means that section of
a
water course
with
intermittent or ephemeral
flow that
is alleg
ed

to have
insufficient
hydraulic
capacity
to convey water when compared to the natural capacity of a channel
;

(iv)

"Surface discharge" means surface discharge from coalbed natural gas operations.

Section 2.

W.S. 35
‑
11
‑
302(a)(v) is amended to read:

35
‑
11
‑
302.

Administrator's authority to recommend standards, rules, regulations or permits.

(a)

The administrator, after receiving public comment and after consultation with the advisory board, shall recommend to the director rules, regulations, standards and permit systems to promote the purposes of this act. Such rules, regulations, standards and permit systems shall prescribe:

(v)

Standards for the issuance of permits as authorized pursuant to section 402(b) of the Federal Water Pollution Control Act as amended in 1972, and as it may be hereafter amended
,
including general permits
;

Section 3.

This act is effective July 1, 200
9
.

(END)

1
HB0014