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IllinoisSB2463104th General Assembly (2025–2026)SenateWALLET

OIL AND GAS ACT-SURETY BONDS

Sponsored By: Erica Harriss (Republican)

Became Law

assignmentsjudiciaryjudiciary - civil

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 0 benefits, 3 costs, 2 mixed.

Stricter rules for oilfield waste haulers

You must get a liquid oil field waste transport permit before operating. The application costs $150 and requires a $10,000 surety bond, or cash, a CD, or a letter of credit. Each truck needs a $150 vehicle permit every two years with a windshield decal; renew 30 days before it expires. Keep tanks tightly closed in transit and dump only at Department‑approved, permitted sites. You are legally responsible for the waste from pickup until approved disposal. If you generate waste, you must hire a permitted hauler and keep records on Department forms. Operating or hiring without required permits can bring at least a $2,000 fine per day and 10–30 days in jail if unpaid.

Well permits, bonds, and transfer rules

You cannot drill, deepen, or convert a well without a permit. New applicants or permittees who missed assessments for two straight years must post a $5,000 bond per well or a blanket bond up to $100,000; cash, CDs, or letters of credit are allowed. The Department releases bonds after plugging and restoring sites, after proper transfers, or after two years of paid assessments with no violations. When a well is sold, both parties must file the transfer within 30 days; the new permittee must pay the transfer fee and file any bond before operating. You must file logs, drilling and completion reports on time, and you may request two years of confidentiality. Out‑of‑state companies need Illinois authority to do business; nonresident individuals or unincorporated entities must consent to be sued in Illinois.

Old wells need permits and cleanup fund

Wells drilled before the Act that are not plugged and were never permitted must now be permitted and bonded under current rules. If you applied within one year of the 1990 amendatory Act’s effective date, no permit fee applied; after that, unpermitted operation faces penalties. The law also creates a Plugging and Restoration Fund to pay for plugging or repairing abandoned wells and restoring sites, using forfeited bonds, certain collections, grants, and earnings.

Test holes: permits, bonds, exemptions

Geological, structure, coal, or other mineral test holes and monitoring wells are exempt from most Oil and Gas Act rules, but you must file a notice, get a permit, post a $2,500 bond per permit or a $25,000 blanket bond, and plug the holes. You may use cash, a CD, or an irrevocable letter of credit instead of a surety bond. If you ask in writing, the Department keeps test‑hole records confidential for two years after the permit is issued. Quarry drill/blast holes and seismograph test holes are fully exempt from the Act.

Fees and permits for injection wells

You must get a permit before drilling or converting a disposal or enhanced‑recovery well. Class II injection wells pay an annual per‑well fee set in law ($50 in 1988, $75 in 1989, $100 in 1990), due by January 31. Fees after 1990 require approval by the General Assembly. Fees for Class II wells go to the Underground Resources Conservation Enforcement Fund.

Sponsors & Cosponsors

Sponsor

  • Erica Harriss

    Republican • Senate

Cosponsors

  • Terra Costa Howard

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 204 • No: 0

House vote • 5/22/2025

Third Reading - Short Debate - Passed

Yes: 112 • No: 0

House vote • 4/30/2025

Do Pass / Short Debate Judiciary - Civil Committee;

Yes: 20 • No: 0

Senate vote • 4/10/2025

Third Reading - Passed;

Yes: 55 • No: 0

Senate vote • 4/9/2025

Senate Floor Amendment No. 1 Recommend Do Adopt Judiciary;

Yes: 8 • No: 0

Senate vote • 3/19/2025

Do Pass Judiciary;

Yes: 9 • No: 0

Actions Timeline

  1. Public Act . . . . . . . . . 104-0150

    8/1/2025Senate

  2. Effective Date January 1, 2026

    8/1/2025Senate

  3. Governor Approved

    8/1/2025Senate

  4. Sent to the Governor

    6/20/2025Senate

  5. Passed Both Houses

    5/22/2025Senate

  6. Third Reading - Short Debate - Passed 112-000-000

    5/22/2025House

  7. Placed on Calendar Order of 3rd Reading - Short Debate

    5/14/2025House

  8. Second Reading - Short Debate

    5/14/2025House

  9. Placed on Calendar 2nd Reading - Short Debate

    4/30/2025House

  10. Do Pass / Short Debate Judiciary - Civil Committee; 020-000-000

    4/30/2025House

  11. Assigned to Judiciary - Civil Committee

    4/17/2025House

  12. Referred to Rules Committee

    4/11/2025House

  13. First Reading

    4/11/2025House

  14. Chief House Sponsor Rep. Terra Costa Howard

    4/10/2025House

  15. Arrived in House

    4/10/2025House

  16. Third Reading - Passed; 055-000-000

    4/10/2025Senate

  17. Placed on Calendar Order of 3rd Reading

    4/10/2025Senate

  18. Senate Floor Amendment No. 1 Adopted; E. Harriss

    4/10/2025Senate

  19. Recalled to Second Reading

    4/10/2025Senate

  20. Senate Floor Amendment No. 1 Recommend Do Adopt Judiciary; 008-000-000

    4/9/2025Senate

  21. Senate Floor Amendment No. 1 Assignments Refers to Judiciary

    4/8/2025Senate

  22. Senate Floor Amendment No. 1 Referred to Assignments

    4/4/2025Senate

  23. Senate Floor Amendment No. 1 Filed with Secretary by Sen. Erica Harriss

    4/4/2025Senate

  24. Placed on Calendar Order of 3rd Reading April 1, 2025

    3/20/2025Senate

  25. Second Reading

    3/20/2025Senate

Bill Text

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