62.1-195.1 - Chesapeake Bay; drilling for oil or gas prohibited.
§ 62.1-195.1. Chesapeake Bay; drilling for oil or gas prohibited.
A. Notwithstanding any other law, a person shall not drill for oil or gas inthe waters of the Chesapeake Bay or any of its tributaries. In TidewaterVirginia, as defined in § 10.1-2101, a person shall not drill for oil or gasin, whichever is the greater distance, as measured landward of the shoreline:
1. Those Chesapeake Bay Preservation Areas, as defined in § 10.1-2101, whicha local government designates as "Resource Protection Areas" andincorporates into its local comprehensive plan. "Resource ProtectionAreas" shall be defined according to the criteria developed by theChesapeake Bay Local Assistance Board pursuant to § 10.1-2107; or
2. Five hundred feet from the shoreline of the waters of the Chesapeake Bayor any of its tributaries.
B. In the event that any person desires to drill for oil or gas in any areaof Tidewater Virginia where drilling is not prohibited by the provisions ofsubsection A of this section, he shall submit to the Department of Mines,Minerals and Energy as part of his application for permit to drill anenvironmental impact assessment. The environmental impact assessment shallinclude:
1. The probabilities and consequences of accidental discharge of oil or gasinto the environment during drilling, production, and transportation on:
a. Finfish, shellfish, and other marine or freshwater organisms;
b. Birds and other wildlife that use the air and water resources;
c. Air and water quality; and
d. Land and water resources;
2. Recommendations for minimizing any adverse economic, fiscal, orenvironmental impacts; and
3. An examination of the secondary environmental effects of induced economicdevelopment due to the drilling and production.
C. Upon receipt of an environmental impact assessment, the Department ofMines, Minerals and Energy shall notify the Department of EnvironmentalQuality to coordinate a review of the environmental impact assessment. TheDepartment of Environmental Quality shall:
1. Publish in the Virginia Register of Regulations a notice sufficient toidentify the environmental impact assessment and providing an opportunity forpublic review of and comment on the assessment. The period for public reviewand comment shall not be less than thirty days from the date of publication;
2. Submit the environmental impact assessment to all appropriate stateagencies to review the assessment and submit their comments to the Departmentof Environmental Quality; and
3. Based upon the review by all appropriate state agencies and the publiccomments received, submit findings and recommendations to the Department ofMines, Minerals and Energy, within ninety days after notification and receiptof the environmental impact assessment from the Department.
D. The Department of Mines, Minerals and Energy may not grant a permit under§ 45.1-361.29 until it has considered the findings and recommendations of theDepartment of Environmental Quality.
E. The Department of Environmental Quality shall, in conjunction with otherstate agencies and in conformance with the Administrative Process Act (§2.2-4000 et seq.), develop criteria and procedures to assure the orderlypreparation and evaluation of environmental impact assessments required bythis section.
F. A person may drill an exploratory well or a gas well in any area ofTidewater Virginia where drilling is not prohibited by the provisions ofsubsection A of this section only if:
1. For directional drilling, the person has the permission of the owners ofall lands to be directionally drilled into;
2. The person files an oil discharge contingency plan and proof of financialresponsibility to implement the plan, both of which have been filed with andapproved by the State Water Control Board. For purposes of this section, theoil discharge contingency plan shall comply with the requirements set forthin § 62.1-44.34:15. The Board's regulations governing the amount of anyfinancial responsibility required shall take into account the type ofoperation, location of the well, the risk of discharge or accidental release,the potential damage or injury to state waters or sensitive natural resourcefeatures or the impairment of their beneficial use that may result fromdischarge or release, the potential cost of containment and cleanup, and thenature and degree of injury or interference with general health, welfare andproperty that may result from discharge or accidental release;
3. All land-disturbing activities resulting from the construction andoperation of the permanent facilities necessary to implement the contingencyplan and the area within the berm will be located outside of those areasdescribed in subsection A of this section;
4. The drilling site is stabilized with boards or gravel or other materialswhich will result in minimal amounts of runoff;
5. Persons certified in blowout prevention are present at all times duringdrilling;
6. Conductor pipe is set as necessary from the surface;
7. Casing is set and pressure grouted from the surface to a point at least2500 feet below the surface or 300 feet below the deepest known ground water,as defined in § 62.1-255, for a beneficial use, as defined in § 62.1-10,whichever is deeper;
8. Freshwater-based drilling mud is used during drilling;
9. There is no onsite disposal of drilling muds, produced contaminatedfluids, waste contaminated fluids or other contaminated fluids;
10. Multiple blow-out preventers are employed; and
11. The person complies with all requirements of Chapter 22.1 (§ 45.1-361.1et seq.) of Title 45.1 and regulations promulgated thereunder.
G. The provisions of subsection A and subdivisions 1 and 4 through 9 ofsubsection F of this section shall be enforced consistent with therequirements of Chapter 22.1 (§ 45.1-361.1 et seq.) of Title 45.1.
H. In the event that exploration activities in Tidewater Virginia result in afinding by the Director of the Department of Mines, Minerals and Energy thatproduction of commercially recoverable quantities of oil is likely andimminent, the Director of the Department of Mines, Minerals and Energy shallnotify the Secretary of Commerce and Trade and the Secretary of NaturalResources. At that time, the Secretaries shall develop a joint report to theGovernor and the General Assembly assessing the environmental risks andsafeguards; transportation issues; state-of-the-art oil production welltechnology; economic impacts; regulatory initiatives; operational standards;and other matters related to the production of oil in the region. No permitsfor oil production wells shall be issued until (i) the Governor has had anopportunity to review the report and make recommendations, in the publicinterest, for legislative and regulatory changes, (ii) the General Assembly,during the next upcoming regular session, has acted on the Governor'srecommendations or on its own initiatives, and (iii) any resultinglegislation has become effective. The report by the Secretaries and theGovernor's recommendations shall be completed within eighteen months of thefindings of the Director of the Department of Mines, Minerals and Energy.
(1989, c. 325; 1990, c. 967; 1992, cc. 480, 887; 1993, c. 239; 1994, c. 957.)