OklahomaHB 1369Oklahoma 2026 Regular SessionHouseWALLET

Oil and gas; evidence of financial ability for drilling and operating wells; modifying surety amount and types; effective date.

Sponsored By: Brad Boles (Republican)

Signed by Governor

Senate Committee

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 0 benefits, 1 costs, 2 mixed.

Phase-out and limits on Category A surety

Beginning November 1, 2025, new operators cannot use Category A surety. Current operators with a valid Category A in good standing can keep it while they remain valid operators. Operators of record on June 7, 1989 may use Category A only if they and their insiders or affiliates have no outstanding fines or contempt citations. Category A requires a financial statement showing at least $50,000 net worth. New operators, and operators with outstanding fines or contempt (or whose insiders or affiliates had them as of June 7, 1989), must post Category B. After three years on Category B with no outstanding fines, an operator may switch to Category A. If you use Category A and get a fine of $2,000 or more and do not pay on time, you must switch to Category B within 30 days of the Commission’s notice.

Tiered bonding amounts for well operators

Beginning November 1, 2025, Category B surety depends on how many wells you run: 1–10 wells $25,000; 11–50 wells $50,000; 51–100 wells $100,000; over 100 wells $150,000. The Commission can raise your required amount based on past compliance, up to $150,000. Any letter of credit, bond, or other instrument must be an unconditional promise to pay and negotiable by the Commission. You can ask for a lower amount if a licensed well plugger certifies your statewide plugging, closure, and removal costs are under $25,000; the posted amount must at least cover that estimate and can increase if you expand operations.

Stronger enforcement and bond forfeiture rules

Beginning November 1, 2025, after a Director application and a hearing, the Commission can order extra Category B surety for pollution or bad plugging, above $25,000 and up to $150,000. If a blanket bond is required, it must cover plugging wells, closing impoundments, and removing trash and equipment, and it stays in place until the Commission releases it. If you fail to do required remedial work, the Commission can take money from your bond or make you pay the state’s costs after 10 days’ notice; extra funds go to the Oil and Gas Revolving Fund, and litigation costs may be recovered. It is illegal to operate without the required financial proof; the Commission can shut in wells immediately until Category B is posted and verified. A buyer must show required financial proof before taking title. Related-party rules define affiliates (20% ownership link) and insiders (officers, directors, controllers, certain partners, spouses, and managing agents) for compliance.

Sponsors & Cosponsors

Sponsor

  • Brad Boles

    Republican • House

Cosponsors

  • Mary B. Boren

    Democratic • Senate

  • Grant Green

    Republican • Senate

  • John Waldron

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 114 • No: 4

Senate vote 4/28/2025

THIRD READING

Yes: 0 • No: 0

Senate vote 4/17/2025

Top_of_Page

Yes: 0 • No: 0

House vote 3/5/2025

Top_of_Page

Yes: 91 • No: 3

House vote 2/26/2025

DO PASS

Yes: 14 • No: 1

House vote 2/5/2025

DO PASS

Yes: 9 • No: 0

Actions Timeline

  1. Approved by Governor 05/03/2025

    5/5/2025House
  2. Sent to Governor

    4/29/2025House
  3. Enrolled measure signed, returned to House

    4/29/2025Senate
  4. Enrolled, signed, to Senate

    4/29/2025House
  5. Referred for enrollment

    4/28/2025House
  6. Engrossed measure signed, returned to House

    4/28/2025Senate
  7. Measure passed: Ayes: 44 Nays: 0

    4/28/2025Senate
  8. General Order, Considered

    4/28/2025Senate
  9. Coauthored by Senator Boren

    4/28/2025Senate
  10. Placed on General Order

    4/22/2025Senate
  11. Reported Do Pass Energy committee; CR filed

    4/17/2025Senate
  12. Second Reading referred to Energy

    4/1/2025Senate
  13. Coauthored by Representative Waldron

    3/6/2025Senate
  14. First Reading

    3/6/2025Senate
  15. Engrossed, signed, to Senate

    3/6/2025House
  16. Referred for engrossment

    3/5/2025House
  17. Third Reading, Measure passed: Ayes: 91 Nays: 3

    3/5/2025House
  18. General Order

    3/5/2025House
  19. CR; Do Pass, amended by committee substitute Energy and Natural Resources Oversight Committee

    2/26/2025House
  20. Authored by Senator Green (principal Senate author)

    2/10/2025House
  21. Policy recommendation to the Energy and Natural Resources Oversight committee; Do Pass Energy

    2/10/2025House
  22. Referred to Energy

    2/4/2025House
  23. Second Reading referred to Energy and Natural Resources Oversight

    2/4/2025House
  24. Authored by Representative Boles

    2/3/2025House
  25. First Reading

    2/3/2025House

Bill Text

  • Enrolled (final version)

    4/29/2025

  • Floor (Senate)

    4/21/2025

  • Senate Committee Report

    4/17/2025

  • Engrossed

    3/6/2025

  • Floor (House)

    3/2/2025

  • House Committee Report

    2/26/2025

  • House Committee Substitute

    2/26/2025

  • House Policy Committee Report

    2/10/2025

  • Introduced

    1/15/2025

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