85R13433 JXC-D     By: Canales H.B. No. 3403       A BILL TO BE ENTITLED   AN ACT   relating to the authority of a municipality to require that certain   oil and gas operations be set back a certain distance from   child-care facilities and schools.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 81.0523(a), Natural Resources Code, is   amended by amending Subdivision (1) and adding Subdivisions (1-a)   and (3) to read as follows:                (1)  "Child-care facility" has the meaning assigned by   Section 42.002, Human Resources Code.                (1-a)  "Commercially reasonable" means a condition   that would allow a reasonably prudent operator to fully,   effectively, and economically exploit, develop, produce, process,   and transport oil and gas, as determined based on the objective   standard of a reasonably prudent operator and not on an   individualized assessment of an actual operator's capacity to act.                (3)  "Private school" means a private school, including   a parochial school, that:                      (A)  offers a course of instruction for students   in one or more grades from kindergarten through grade 12; and                      (B)  has more than 100 students enrolled and   attending courses at a single location.          SECTION 2.  Section 81.0523(c), Natural Resources Code, is   amended to read as follows:          (c)  The authority of a municipality or other political   subdivision to regulate an oil and gas operation is expressly   preempted, except that a municipality may enact, amend, or enforce   an ordinance or other measure that is not otherwise preempted by   state or federal law and:                (1)  that:                      (A)  regulates only aboveground activity related   to an oil and gas operation that occurs at or above the surface of   the ground, including a regulation governing fire and emergency   response, traffic, lights, or noise, or imposing notice or   reasonable setback requirements;                      (B) [(2)]  is commercially reasonable; and                      (C) [(3)]  does not effectively prohibit an oil   and gas operation conducted by a reasonably prudent operator; or                (2)  that regulates or prohibits the drilling of a new   oil or gas well located within 1,500 feet of the property line of a   child-care facility, private school, or primary or secondary public   school [and                [(4)     is not otherwise preempted by state or federal   law].          SECTION 3.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2017.