55-192. Abandoned oil and gas well fund established; well plugging assurance fund abolished.

345 words·~2 min read·/ks/chapter-55/55-192

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)There is hereby established in the state treasury the abandoned oil and gas well fund.

(b)Moneys in the abandoned oil and gas well fund shall be used only for the purpose of paying the costs of:

(1)Investigation and remediation of contamination sites;

(2)investigation of abandoned wells, and their well sites;

(3)plugging, replugging or repairing abandoned wells and remediation of the well sites in accordance with a prioritization schedule adopted by the commission and based on the degree of threat to public health or the environment; and

(4)any reimbursement authorized by the commission pursuant to K.S.A. 55-180 , and amendments thereto. No moneys credited to the fund shall be used to pay administrative expenses of the commission or to pay compensation or other expenses of employing personnel to carry out the duties of the commission.

(c)On or before the 10 th day of each month, the director of accounts and reports shall transfer from the state general fund to the abandoned oil and gas well fund interest earnings based on:

(1)The average daily balance of moneys in the abandoned oil and gas well fund for the preceding month; and

(2)the net earnings rate for the pooled money investment portfolio for the preceding month.

(d)All expenditures from the abandoned oil and gas well fund shall be made in accordance with appropriations acts upon warrants of the director of accounts and reports issued pursuant to vouchers approved by the chairperson of the state corporation commission or a person designated by the chairperson.

(e)On July 1, 2021:

(1)The director of accounts and reports shall transfer all moneys in the well plugging assurance fund established pursuant to K.S.A. 55-166 , prior to its repeal, to the abandoned oil and gas well fund;

(2)all liabilities of the well plugging assurance fund are hereby transferred to and imposed on the abandoned oil and gas well fund; and

(3)the well plugging assurance fund is hereby abolished.