Legislator wonders about regulators’ discussion of his bill

  • August 25, 2025

 

One of the authors of a new oil and gas law was surprised that Oklahoma Corporation Commissioners recently raised some apparent questions about how it conflicts with current rules and regulations at the agency.

Rep. Brad Boles, the House author of SB132, and a recently announced candidate for the Corporation Commission, explained in response to an email inquiry by OK Energy Today, “During session; I worked with OCC staff and even one of the OCC Commissioners on this bill to alleviate some of their concerns and this is the first I’ve heard of any constitution issues.”

He did not identify the commissioner. However, commissioners recently discussed the implementation of SB132 and did so in an August 13 non-public meeting, but revealed the topic in an Open Meeting Act Exempt Event Compliance Form filed days later.

The word “constitution” was not mentioned in the compliance form but it stated that there was a “discussion of efforts by the Oil and Gas Conservation Division to implement SB132, which requires operators to plug nonproducing natural gas wells,and discussion of OAC 165:10-11-3 which currently conflicts with SB132.”

“This bill most definitely changes current rules on the plugging of gas wells which was the purpose/intent of the bill. However, I’m not aware of our legislative changes being in conflict with the state constitution,” continued Rep. Boles.

In responding to questions about the constitutionality of the new law, the bill took effect with the signature of Gov. Kevin Stitt, Rep. Boles admitted he wasn’t the legislator who drew up the measure.

“There are really smart attorneys on both side of this issue that have differing opinions. We do have House legal staff in the legislature that advise us when drafting bills of any potential constitutional conflicts. I wasn’t the primary author of this bill and didn’t draft the bill or work with the House attorneys on it. I’m sure Rep. Trey Caldwell who was the House author of this bill could answer this question.”

Did you have some legal staff or attorney review the constitutionality of SB132?

“Yes multiple House legal attorneys helped me in the amending of this Senate bill and as mentioned I worked with OCC staff and even one of the OCC commissioners on amending this bill to accommodate some of their concerns,” answered Boles.

The history of SB132, as revealed in the legislative history of the measure stated, “The conference committee substitute for SB 132 modifies state law regarding idle gas wells. If an operator has idle gas wells that have not produced for a consecutive 20-year-period as of the effective date of the act, they must plug or produce from those wells in the following manner: • They must plug or produce from 25 percent of their idle wells by July 1, 2028; • They must plug or produce from 50 percent of their idle wells by July 1, 2031; • They must plug or produce from all remaining idle wells by July 1, 2035. Moving forward, once a gas well is deemed idle, the operator will have 10 years to plug or produce from it. A well is deemed idle if there has been no commercial production from it in ten years.”

Yet Article 9, Section 4, of the Oklahoma Constitution, provides:
Oil pipe line companies – Regulation – Duties. All oil pipe companies shall be subject to the reasonable control and regulation of the Corporation Commission.
It is the second new law that Corporation Commissioners have questioned. In a recent open meeting, they wondered about the constitutionality of SB998, another measure authored by or heavily involving Rep. Trey Caldwell. It too became law without the governor’s signature and forces the Corporation Commission to reduce the deadline from the 240 days required in the current law for it to take action on a utility’s request “to construct a new electric generating facility, to purchase an existing electric generation facility or enter into a long-term contract for purchased power and capacity and/or energy, subject to the provisions of this subsection.”
The new law, which will go into effect later this week, cuts the time by 60 days.
“If the electric generation facility uses natural gas as its primary
fuel source, then the Commission shall enter an order on an
application filed pursuant to this subsection within one hundred
eighty (180) days of the filing of the application, following notice
and hearing and after consideration of reasonable alternatives.”
As one attorney for a public consumer group told the commissioners in the public meeting, “This 180 day thing is a real problem. It does strip you of your authority and we believe the legislation, 998, is unconstitutional because it usurps your authority.”

Jerry Bohnen