SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Fracking rules finally unveiled

Friday, Aug 29, 2014

* IDNR released its new fracking rules today. Lawrence Falbe took a quick look for us…

Rich,

My take on the revisions is that IDNR seems to worked very hard to digest an enormous body of public comment, and revise the regulations as it saw necessary and appropriate. I think that few people will be able to argue that IDNR rushed the process or otherwise did not fairly consider the staggering volume of comments it received, even if the end result is not considered perfect by either pro- or anti-fracking proponents.

Here is my “quick hit” list of what I saw that was important in my first very quick run-through.

    • Requirement to disclose specific fracking chemicals is strengthened and burden to prove protection as a trade secret is more stringent
    • Radioactivity is now addressed and a Radioactive Materials Management Plan is now required, among other things
    • The carve-out for adverse effects to water bodies that are “wholly contained” is much more stringent, with any hydrogeological connections to off-site groundwater sources now enough to exclude this caveat
    • The permit applicant must identify efforts to mitigate the impact of HVHHF on local roads
    • Burden is on the applicant to show if local first responders have adequate training and equipment to respond to emergencies
    • Changes to the permit application to address deficiencies identified by IDNR may trigger a new public comment/hearing period on those changes
    • Tightens up rules for when an objector can demand a public hearing by requiring specific facts and regulations at issue to be identified, but softens requirement to identify witnesses at time of request for public hearing
    • Public hearings must be held WITHIN THE COUNTY of the well site when possible but in no event more than 30 MILES OUTSIDE of county of well site
    • Applicants MUST appear at the public hearing (if there is one) except in a case of documented emergency, in which case the hearing can be rescheduled but applicant must pay costs
    • Clarifies that Hearing Officer does not render a “decision” but now makes only recommended findings, and the IDNR (presumably the Director but it’s not specified) makes the decision.
    • The permit decision still has to be made within 60 days of application completion unless waived by the applicant
    • The standard for granting a permit now specifically includes consideration of potential harm to property, wildlife, aquatic life and the environment
    • The IDNR has to make specific findings in its permit decision on key input from governmental agencies and objectors that was presented by public comment/hearing
    • The permit decision must consider the incremental impact and CUMULATIVE EFFECT of past, present and future fracking operations in the same vicinity or county
    • Significant deviations to the original permit application (including changes in well dimensions, boring locations, changes to proposed containment, etc.) requires another $13,500 fee
    • IDNR can impose ADDITIONAL SETBACKS as necessary to protect public health, public safety, property, wildlife, aquatic life, or the environment
    • Baseline groundwater monitoring requires GPS coordinates
    • Burden for claiming technical or economic infeasibility of complying with requirements to manage natural gas and hydrocarbon fluids produced during flowback periods is more stringent
    • Excess fluid in a reserve pit must be removed within 7 days after it is deposited
    • SITE Restoration is MANDATORY and cannot be contractually waived between site owner and permittee

Note that the new requirement that a well permit application decision must consider incremental impacts and “cumulative effects” (Section 245.300(c)(4)(vii)) is HUGE and could have a major impact on incentivizing companies to rush to get permitted, for fear that an overabundance of wells in a certain area may make additional permits harder to get as time goes on.

- Posted by Rich Miller        


17 Comments
  1. - VanillaMan - Friday, Aug 29, 14 @ 1:54 pm:

    Well.
    It was either this or video gaming at every McDonalds, Burger King and KFC booth and drive up window.


  2. - Anonymous - Friday, Aug 29, 14 @ 2:03 pm:

    Gee, thoughtful consideration of both sides and a balance between the two. I thought they were just slow rolling?

    Good job all involved, despite the hand-wringing from both sides IDNR were the adults I the room.


  3. - Hack in the Back - Friday, Aug 29, 14 @ 2:03 pm:

    The Commenter Index is unprecedented. It’s the who’s who of fracking in IL.


  4. - wordslinger - Friday, Aug 29, 14 @ 2:07 pm:

    OK, start making money.


  5. - Down South - Friday, Aug 29, 14 @ 2:19 pm:

    The Commenter Index is indeed quite interesting. It is basically a roster of every ecoreligionist in Illinois. Shows clearly the urgent involvement of those who wished to block the drillers.

    The Commenter Index also shows the lack of involvement of individuals who are in counties which stand to gain from fracking. Most names are from Chicago, Carbondale, etc.


  6. - dupage dan - Friday, Aug 29, 14 @ 2:32 pm:

    === OK, start making money. ===

    With that long list it could take awhile - I hope not. The applicants are keen - there is real money to be made.


  7. - John A Logan - Friday, Aug 29, 14 @ 2:41 pm:

    Finally, the savior of Southern Illinois has arrived! God Bless You Pat Quinn and the fracking industry! Hallelujah!


  8. - Just Saying - Friday, Aug 29, 14 @ 2:44 pm:

    Most of these proposed changes are non-starters with industry. Don’t see these passing.


  9. - Demoralized - Friday, Aug 29, 14 @ 2:54 pm:

    ==Most of these proposed changes are non-starters with industry. Don’t see these passing.==

    Let the whining begin. You figure out a way to 100% satisfy everybody you let us know.


  10. - Ghost - Friday, Aug 29, 14 @ 3:07 pm:

    about fracking time…..

    VMan you say that like its a bad thing? we could put these on parking meters, play for a free parking


  11. - dupage dan - Friday, Aug 29, 14 @ 3:08 pm:

    Apparently one company has allowed their lease to expire possibly due to the delays in the approval process. There’s plenty of gas to be drilled in Indiana. It’ll be interesting to see if the path of least resistance leads east.


  12. - Going nuclear - Friday, Aug 29, 14 @ 3:16 pm:

    I think DNR took a measured approach. It’s important to get this right from the start.

    Look what’s going on in Pennsylvania. The state environmental protection agency recently made public 243 cases of contamination of private drinking wells from oil and gas drilling operations.

    Let’s make sure fracking is done safely here.

    See: http://online.wsj.com/article/AP16a162b66b5946d0837c7395cab7a5f4.html


  13. - Judgment Day - Friday, Aug 29, 14 @ 3:33 pm:

    “Most of these proposed changes are non-starters with industry. Don’t see these passing.”
    ————————–

    It’s not just a matter of ‘passing’. It’s more Administrative Rules/JCAR, which as I look at more of a technical document writing process.

    And industry may howl initially, but IDNR, the anti-fracking folks, and eventually the legislature will be saying “what were we thinking of?” And that’s where the most noise will be coming from.

    This same type of issue, is why in many ways we were never able to get a real, custom designed statewide building code passed into law.

    Most, not all, but enough came to the realization that a ‘one fits all’ regulatory environment doesn’t work very well in practice across the entire state, even excluding Chicago (even all of Cook County). The law just can’t keep up with technology.

    And fracking technology is always changing. So that’s going to be a lot of $13.5k fees and paperwork, but remember, the fracking companies can far outpace the regulatory agencies in paperwork. After all, for the oil/fracking companies, it’s their BUSINESS. For the regulators, it’s just one area.

    And please note, the local health departments (Environmental Health) are going to be ‘players’ in this. Is anybody aware, for example, that Richland County (Olney, IL), which is right smack in the middle of the S. Illinois oil patch, has no chartered health department? I mean, NONE.

    That’s going to be an interesting ‘work around”.

    Also, with the rules on potential drilling (such as ‘incremental impacts’ and ‘cumulative effects’), you will have immediately created immediate litigation over those terms, but also a fairly immediate secondary market for existing wells and related support facilities.

    Just a thought, but you may want to re-think this particular one, as you are potentially kicking over a hornets nest known as MERS (Mortgage Electronic Registration Systems, Inc. (MERS)).

    The link is: http://en.wikipedia.org/wiki/Mortgage_Electronic_Registration_Systems

    Remember, MERS handles all UCC (Uniform Commercial Code) documents for virtually all places in the US, and that includes Southern Illinois. A secondary marketplace for the fracking business might very well fall under the UCC provisions. Oh, this could be some serious ‘fun’.

    Just a few initial thoughts to consider.


  14. - Illiana - Friday, Aug 29, 14 @ 4:02 pm:

    Either way the natural gas will be extracted eventually. Those who want to prevent fracking will fail for economic reasons & those who want it easier are not going to increase the amount of natural gas in the ground. The past of least resistance cannot increase the amount extracted over the long term.


  15. - 4 percent - Friday, Aug 29, 14 @ 4:02 pm:

    Unfortunately, many of these changes go beyond the scope of the legislation and fragile agreement that resulted in support from enviros, ag, and business community. While they may seem to “make sense” they don’t reflect the “give and take” that resulted in the historic agreement. Several items go far beyond what was negotiated by both sides.


  16. - wordslinger - Friday, Aug 29, 14 @ 4:05 pm:

    –Apparently one company has allowed their lease to expire possibly due to the delays in the approval process. There’s plenty of gas to be drilled in Indiana. It’ll be interesting to see if the path of least resistance leads east–

    So someone else will get it. They’ll drill where it’s juicy.

    For more 100 years, the elected Texas Railroad Commission has ruled where you can drill and how much you can take out of the ground, every month.

    I don’t think any drillers abandoned Texas over that hyper-regulation.


  17. - Judgment Day - Friday, Aug 29, 14 @ 4:14 pm:

    IF the fracking community is really smart, they will have performance time frames included for IL DNR. Because IL DNR will likely never be able to meet any reasonable time frames.

    And as a result, eventually there will be enough of a firestorm over IL DNR performance that moderating legislation will get passed that will be more in line with reasonable expectations.

    The State of Illinois will pass these hideously complicated rule sets, then do an ‘epic fail’ in terms of IL DNR regulatory performance, and as a result, will get their brains kicked out with new legislation meant to correct the resulting IL DNR regulatory failures.

    It’s going to be like the FOID card performance, only far bigger, and more complex. And somebody will come along and use IL DNR performance metrics as an example of why changes have to occur.

    Wait for it…..


Sorry, comments for this post are now closed.


* Today's quotable
* *** LIVE *** Overtime session coverage
* This Just In: Exelon Profits Up 22.2 Percent in 2nd Quarter
* Today's most interesting read
* US Supreme Court agrees to postpone filing deadline in pension case
* SUBSCRIBERS ONLY - Fundraiser and event list
* Duckworth heads to Israel as hearing held on "whistleblower" case
* Senate moving bill to appropriate federal dollars
* Today's number: 2,000
* The big picture
* Recovering from surgery, Mautino responds to Rauner attack
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Good morning!
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * Beautiful Galaxy Note 5 hands-on pics leak
        * Explore a strange world with Barmark, now on Android
        * [TA Deals] Save 89% on this Android development bundle
        * Sprint numbers confirm: T-Mobile moves up to third-place carrier position
        * It’s a Warhammer kind of Humble Bundle for you
        * How Lumia and Microsoft can help you disrupt your industry
        * Dating app Luxy rejects over 40,000 applications for being “poor or ugly”

        * Alexei Ramirez rises from the ashes
        * Bullpen allows Rays to rally late in opener
        * Ill-fated send home costs White Sox in ninth
        * Rays 5, White Sox 4: Hit 'send' to end
        * Strikeout artists Sale, Archer set to duel
        * Bullpen allows Rays to rally late in opener
        * Prospect Thompson called up by White Sox

        ...............


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        August 2015
        July 2015
        June 2015
        May 2015
        April 2015
        March 2015
        February 2015
        January 2015
        December 2014
        November 2014
        October 2014
        September 2014
        August 2014
        July 2014
        June 2014
        May 2014
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * NRC inspecting Illinois uranium-conversion plant after leak
        * Indiana man charged with killing 2 in Chicago in 2013
        * Excerpts from editorials by Illinois newspapers
        * Ex-Rep. Aaron Schock spends campaign funds after departure
        * Dixon man pleads not guilty to murder-for-hire charge
        * Questionable computer files lead to priest's suspension
        * Forecasters confirm tornado struck Chicago-area on Sunday
        * Fireworks replace cannon at Northern Illinois football games
        * EXCHANGE: Uniform store founded by police officer expands
        * Illinois State Fair to host activities for senior citizens

        * Ex-U.S. Rep. Aaron Schock spends campaign funds after departure
        * Illinois Senate taking up plan to spend $5B in federal funds
        * Adult education funding cause for concern, Springfield school superintendent tells board
        * 'Fair share' court decision was a blow, but not a knockout, union says
        * Adult education funding cause for concern, Gill tells school board
        * Rauner declares 23 counties disaster areas, seeks FEMA help
        * Survey: 1/3 of Illinois human service agencies making cuts
        * Rauner signs bill regarding student concussions
        * Lawmakers evade pressure to buckle on budget
        * Statehouse Insider: What took them so long?

        * Baxter spinoff gets $30 billion offer
        * R.R. Donnelley to split into 3 public companies
        * McPier bondholders caught in state budget fight
        * Allstate’s quarterly profit slides 45% as auto losses rise
        * Allstate's quarterly profit slides 45% as auto losses rise


          * Filing lawsuit, Sandra Bland's family says it's 'possible' she did commit suicide
          * Man shot dead in Gary
          * 5 wounded, including county correctional officer, in city shootings
          * Paul Christiano, talented dancer and choreographer with a difficult past, is dead at 39
          * Off-duty correctional officer wounded in Little Village shooting
          * New Chicago parade in the works, this one for Halloween
          * Michigan Avenue group hosting inaugural Halloween parade
          * Chicago police investigate priest pulled from ministry over items on computer
          * ISU Solar Car Team finishes third in Texas race
          * Search the results of 244 investigations into alleged police misconduct


          * Ex-U.S. Rep. Aaron Schock spends campaign funds after departure
          * Illinois Senate taking up plan to spend $5B in federal funds
          * Adult education funding cause for concern, Springfield school superintendent tells board
          * Michael Gerson: A great deal -- for Iran
          * Kathleen Parker: Conception deception
          * 'Fair share' court decision was a blow, but not a knockout, union says
          * Rauner declares 23 counties disaster areas, seeks FEMA help
          * Survey: 1/3 of Illinois human service agencies making cuts
          * Rauner signs bill regarding student concussions
          * Dick Haas: Critical to strengthen Illinois' public record


          * 08-04-15 Penny for Your Thoughts
          * Street closures listing
          * UPDATED: Ambulance leaves standoff scene
          * U.S. factory orders advance 1.8 percent in June
          * State workers' twice-dismissed suit against Duckworth spills into Senate bid
          * Dixon man pleads not guilty to murder-for-hire charge
          * Officials probing New Hampshire tent collapse that killed 2
          * Toronto nightclub shooting leaves at least 2 dead, 3 wounded
          * More fights ahead on Planned Parenthood after Senate vote
          * Massive California wildfire jumps containment line


          * Music notes: From Motley Crue to Maggie Speaks
          * NRC inspecting Illinois uranium-conversion plant after leak
          * German justice minister fires country's top prosecutor
          * Creator of iconic 'Fremd Booster Buggy' dies
          * Brad Paisley to mentor on 'Voice' with Blake Shelton

          * House lawmakers overcome hurdle on key tra...
          * Rodney Davis talks funding with Bloomingto...
          * The agency that fought Illiana gets a new ...
          * Rep. Dold takes educational cruise down Ch...
          * Lawmakers decry high turnover rate of VA h...
          * CBD Oil, and politics
          * Simon considering state Senate bid
          * Killer Congressman Tom MacArthur trying to...
          * Shutdown? State may not notice
          * Rep. Bob Dold

          * Steve Cochran Full Show 8/4/15: Party At U......
          * Senator Dick Durbin Explains What Bill He'......
          * Planned Parenthood Cuts - Alton Daily News...

          * State workers' lawsuit against Tammy Duckw......
          * State workers' suit against Duckworth spil......
          * State veterans' home worker lawsuit spills......
          * State workers' suit against Rep. Tammy Duc......
          * State workers' suit against Duckworth spil......

          * Morning Minute: U.S. home prices climbed in May, S&P/Case-Shiller reports
          * IHDA announces new home loan plan in 10 counties
          * New 5th video shows Planned Parenthood lab gathers "intact fetal cadavers"
          * Obama warned of climate change mandates causing electricity rates to skyrocket
          * Duckworth raises money on Planned Parenthood video scandal
          * Where's Weyermuller? With Governor Scott Walker in Chicago
          * Paid Influencer Opp: The Flaming Lips, Patti LaBelle, Kings of Leon + Josh Groban To Appear On New Ovation Show
          * The [Tuesday] Papers
          * Chicago GOP offers chance to view first 2016 presidential debate in Cleveland
          * President Obama's Clean Power Plan will place huge demands on Illinois' coal industry


          * Governor Takes Bill Action
          * Gov. Rauner and Fitness Icon Jake Steinfeld Award Three Illinois Schools for Commitment to Physical Fitness and Wellness Programs
          * Streamlined Nursing Licensure Verification Begins Today
          * Department on Aging Hosts Activities for Seniors and Their Families During the Illinois State Fair - August 17 is “Senior Day” – Admission is free for guests age 60 years & older
          * Illinois EPA Statement on Clean Power Plan Final Rule




              Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller