AN ACT

        ENTITLED, An Act to revise the provisions regarding plugging and performance bonds for oil and gas wells and to repeal the supplemental restoration bond requirement.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
    Section 1. That § 45-9-15 be amended to read as follows:
    45-9-15. Without limiting its general authority, the Board of Minerals and Environment may require, or may delegate to the secretary of environment and natural resources, specific authority to require the furnishing of a plugging and performance bond in the amount as follows:
            (1)    For wells at or less than fifty-five hundred feet in depth, an individual bond of ten thousand dollars per well drilled or a thirty thousand dollar blanket; or
            (2)    For wells more than fifty-five hundred feet in depth, an individual bond of fifty thousand dollars per well drilled, or one hundred thousand dollars blanket,
with good and sufficient surety, conditioned for the performance of the duty to plug each dry or abandoned well, to restore the premises, insofar as possible, to the condition that existed before the filing of the application to drill; and conditioned on the proper performance of all of the requirements of §§ 45-9-5 to 45-9-18, inclusive. The condition of the bond insofar as it relates to restoration of the surface is deemed to have been complied with if the landowner or lessee and the producer or driller adopt a different plan as approved by the board. The board may require additional bond if the circumstances require.
    Section 2. That § 45-9-15.1 be repealed.
    Section 3. The bond requirements in section 1 of this Act do not apply to any wells permitted or drilled prior to July 1, 2013, unless the well is sold or transferred after July 1, 2013.
An Act to revise the provisions regarding plugging and performance bonds for oil and gas wells and to repeal the supplemental restoration bond requirement.

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I certify that the attached Act originated in the

SENATE as Bill No. 1

____________________________
Secretary of the Senate
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____________________________
President of the Senate

Attest:

____________________________
Secretary of the Senate

____________________________
Speaker of the House

Attest:

____________________________
Chief Clerk

Senate Bill No. 1
File No. ____
Chapter No. ______  
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Received at this Executive Office this _____ day of _____________ ,

20____ at ____________ M.


By _________________________
for the Governor
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The attached Act is hereby approved this ________ day of ______________ , A.D., 20___

____________________________
Governor
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STATE OF SOUTH DAKOTA,
ss.
Office of the Secretary of State

Filed ____________ , 20___
at _________ o'clock __ M.

____________________________
Secretary of State

By _________________________
Asst. Secretary of State