SB2122

The statutory fee schedule: A landfarm, landtreatment or land-application permit application—or an amendment application—costs $500. A commercial oil-and-gas waste separation facility permit application costs $2,000, and an amendment $1,000. A commercial surface oil-and-gas waste disposal facility permit application costs $3,000, and an amendment $1,000. All are nonrefundable application fees, not charges imposed only after approval. Final law, 91.1013(b).

The commercial-facility definitions distinguish management from disposal: a separation facility manages waste but does not dispose of it on site; a surface-disposal facility disposes of it on site. In each case, the owner or operator’s primary business must be providing the specified oil-field fluid or oil-and-gas waste services for compensation. These definitions matter when choosing the fee category. Final law, 91.1013(a)(1)–(2).

Land application covers gas-plant effluent or low-chloride produced water applied to a controlled area through sprinklers or another irrigation system. Landfarming mixes or tills low-chloride, water-based waste, including drilling fluid, into soil so it will not migrate from the permitted area. Landtreatment similarly handles oil-based waste, including drilling fluid or oil-impacted soil, to degrade it and prevent migration. These are distinct permit categories, not permission to spread any waste anywhere. Final law, 91.1013(a)(4)–(6).

The existing $200 fluid-injection-well application fee is moved into a new subsection without changing its amount or nonrefundable status. Its definition expressly excludes oil-and-gas waste disposal wells regulated under Water Code Chapter 27; it is not the fee for every injection or disposal well. The old subsection (b) instead imposed a $300 surface-water-discharge application fee with an exception for discharges meeting federal National Pollutant Discharge Elimination System requirements for agricultural or wildlife use. SB2122 replaces that wording with the category-specific schedule—it is misleading to describe every new category simply as the same old $300 permit becoming more expensive. Final law; Previous fee law.

These are the base amounts stated in SB2122, not a verified all-in invoice. Existing law separately directs rule-based surcharges on qualifying fees, with a statutory ceiling of 185% of the underlying fee. The amount actually due must account for applicable commission rules; this briefing does not assume that the ceiling is the surcharge charged in every case. Fees under 91.1013 remain deposited in the oil and gas regulation and cleanup fund. Separate surcharge law; Retained fund-deposit provision.

Changes during passage: Introduced and Senate-committee operative texts match. Adopted Senate amendment F1 added the two commercial-facility definitions, clarified the landfarming/landtreatment definitions and made facility names consistent in the fee list. The fee amounts did not change. The House substitute restored the word “permit” in the last amendment-fee item; the House and enrolled texts match, and the Senate concurred May 14. Applications filed before September 1 remain governed by prior law. Introduced; Senate committee; Adopted Senate F1; Senate-passed; House substitute; Final law, sections 2–3; Version index; Amendment index.

Compare the published text versions in the official text index. A change is not attributed to a specific amendment here without a verified record.

Applicants in the listed categories bear the nonrefundable fees even if an application is not approved, and amendment filings can generate their own charge. The schedule provides revenue for the existing regulatory fund, but the act does not promise faster processing, approve a particular facility or establish measured environmental improvements. Final law; Fund destination.

The May 9 House-substitute fiscal note estimates $1,217,500 a year in added revenue to the dedicated Oil and Gas Regulation account in fiscal years 2026–2030. Its $0 impact on General Revenue-related funds does not mean no new government revenue: the gain is in a different account. Implementation costs are assumed absorbable, with no significant local fiscal impact. The introduced and Senate-passed notes give the same annual revenue estimate. The act itself appropriates no money, and the estimate is not an audited collection total. House fiscal note; Senate-passed fiscal note; Introduced fiscal note.