CHAPTER 13. PENALTIES
IC 14-37-13
Chapter 13. Penalties
IC 14-37-13-1
Permit revocation
Sec. 1. The commission may revoke a permit issued under this
article if the commission finds any of the following:
(1) The permit was issued through fraud or misrepresentation.
(2) The owner or operator has violated:
(A) this article; or
(B) a rule adopted under this article.
(3) The information or conditions upon which a permit was
issued have substantially changed since issuance.
(4) The operation of a well for oil and gas purposes is polluting
the water or land in Indiana.
(5) The owner or operator has been issued a notice of violation
under IC 14-37-12 and has failed to do at least one (1) of the
following:
(A) Abate the violation within the prescribed period.
(B) Secure in writing from the division an extension of time
in which to abate the violation before the expiration of the
period established for abatement.
(C) Request a proceeding under IC 4-21.5-3-6 within:
(i) thirty (30) days after receipt of the notification; or
(ii) the period provided by the division for abatement;
whichever is longer.
As added by P.L.1-1995, SEC.30.
IC 14-37-13-2
Action following revocation of permit
Sec. 2. (a) If a permit is revoked under this chapter, the
commission may do either of the following:
(1) Order the owner or operator to plug and abandon the well.
(2) Plug and abandon the well.
(b) The revocation of a permit under this chapter does not relieve
the owner or operator of the well to which the permit relates of the
responsibility imposed by IC 14-37-8 for the plugging and
abandonment of the well.
(c) If the commission elects to plug and abandon a well under
subsection (a)(2), the commission may apply the bond or other
security provided under:
(1) IC 14-37-6; or
(2) IC 13-8-8 (before its repeal);
to the costs of plugging and abandoning the well.
(d) If the commission elects to plug and abandon a well under
subsection (a)(2), the owner or operator of the well remains liable for
the costs of plugging and abandoning the well.
(e) The state has a lien on:
(1) the casing and all equipment located on or removed from the
well site;
(2) the leasehold of the land upon which the well is located; and
(3) any crude oil stored on the well site or recovered at the time
the well is plugged and abandoned;
to secure the cost of plugging and abandoning. Except as provided in
subsection (f), the lien may be foreclosed on order of the commission
in the name of the state of Indiana by the attorney general in a circuit
or superior court having jurisdiction in any county where the land is
located.
(f) If the commission elects to plug and abandon a well under
subsection (a)(2), the commission may also enter an order
authorizing its agents, employees, or contractors to dispose of:
(1) casing and all equipment located on or removed from the
well site; and
(2) any crude oil stored on the well site or recovered;
at the time the well is plugged and abandoned. An inventory of the
casing and all equipment and any crude oil shall be made, and the
salvage or other reasonable market value of the casing and all
equipment and any crude oil shall be applied as a credit to offset the
actual cost incurred by the commission to plug and abandon the well.
As added by P.L.1-1995, SEC.30. Amended by P.L.236-2001, SEC.5.
IC 14-37-13-3
Civil penalty
Sec. 3. The commission may assess against a person who violates:
(1) this article or IC 13-8 (before its repeal); or
(2) a rule adopted under this article (or IC 13-8 before its
repeal);
a civil penalty of not more than ten thousand dollars ($10,000) for
each day the violation occurs. The penalty may be recovered and the
violator may be enjoined from continuing the violation in a civil
action.
As added by P.L.1-1995, SEC.30.
IC 14-37-13-4
Administrative review; effectiveness of civil penalty
Sec. 4. A civil penalty assessed under section 3 of this chapter is
subject to IC 4-21.5-3-6 and becomes effective without a proceeding
under IC 4-21.5-3 unless a person requests an administrative review
within thirty (30) days of notice of the assessment.
As added by P.L.1-1995, SEC.30.
IC 14-37-13-5
Civil action in name of state to restrain person from commencing
or continuing violations
Sec. 5. The commission may bring a civil action in the name of
the state of Indiana through the attorney general, in a circuit or
superior court having jurisdiction in any county in which land
involved is located or in which a person resides, to restrain the
person from commencing or continuing to violate any of the
following:
(1) This article.
(2) A rule adopted under this article.
(3) An order of the commission.
As added by P.L.1-1995, SEC.30.
IC 14-37-13-6
Violations
Sec. 6. (a) Except as provided in subsection (b), a person who
knowingly violates this article commits a Class B misdemeanor.
Each day a violation occurs is a separate offense.
(b) A person who knowingly violates this article with respect to
the operation of a Class II well commits a Class D felony.
As added by P.L.1-1995, SEC.30.
IC 14-37-13-7
Costs and expenses
Sec. 7. If an order is issued:
(1) under this article or IC 13-8 (before its repeal); or
(2) as a result of any administrative proceeding under this
article or IC 13-8 (before its repeal);
the court or the director may assess against any party to the
proceeding the costs and expenses, including attorney's fees,
reasonably incurred by that person with respect to the proceedings,
including any judicial review of a final agency action. The director
shall determine the amount of the costs and expenses.
As added by P.L.1-1995, SEC.30.