85R5032 JAM-F     By: Nevárez H.B. No. 1168       A BILL TO BE ENTITLED   AN ACT   relating to the mineral use of land that has been subdivided for   energy development resulting in the generation of electricity.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 92.002, Natural Resources Code, is   amended by adding Subdivision (5) to read as follows:                (5)  "Qualified subdivision for energy development"   means a tract of land of not more than 640 acres that:                      (A)  has been subdivided in a manner authorized by   law by the surface owners for energy development resulting in the   generation of electricity by a plant or industrial facility; and                      (B)  contains one or more operations sites within   the tract and provisions for road and pipeline easements to allow   use of the operations sites.          SECTION 2.  Section 92.003, Natural Resources Code, is   amended to read as follows:          Sec. 92.003.  CREATION OF SUBDIVISION. The surface owners   of a parcel of land may create a qualified subdivision or a   qualified subdivision for energy development on the land if a plat   of the subdivision has been approved by the railroad commission and   filed with the clerk of the county in which the subdivision is to be   located.          SECTION 3.  Section 92.004(a), Natural Resources Code, is   amended to read as follows:          (a)  The railroad commission shall adopt rules governing the   contents of an application for a qualified subdivision or a   qualified subdivision for energy development.  An application must   be accompanied by a plat of the subdivision showing the applicant's   proposed location of operations sites and road and pipeline   easements.          SECTION 4.  Section 92.005, Natural Resources Code, is   amended to read as follows:          Sec. 92.005.  USE OF OPERATIONS SITE. (a)  An owner of a   possessory mineral interest within a qualified subdivision or a   qualified subdivision for energy development may use only the   surface contained in designated operations sites for exploration,   development, and production of minerals and the designated   easements only as necessary to adequately use the operations sites.          (b)  The owner of the possessory mineral interest may drill   wells or extend well bores from an operations site or from a site   outside of the qualified subdivision or qualified subdivision for   energy development under the surface of other parts of the   qualified subdivision or qualified subdivision for energy   development if the operations do not unreasonably interfere with   the use of the surface of the qualified subdivision or qualified   subdivision for energy development outside the operations site.          (c)  This section ceases to apply to a qualified subdivision   if, by the third anniversary of the date on which the order of the   commission becomes final:                (1)  the surface owner has not commenced actual   construction of roads or utilities within the qualified   subdivision; and                (2)  a lot within the qualified subdivision has not   been sold to a third party.          (d)  This section ceases to apply to a qualified subdivision   for energy development if, by the third anniversary of the date on   which the order of the commission becomes final, the surface owner   has not commenced actual construction of roads or facilities for   use in generating electricity within the qualified subdivision for   energy development.          SECTION 5.  Section 92.006, Natural Resources Code, is   amended to read as follows:          Sec. 92.006.  AMENDMENT, REPLAT, OR ABANDONMENT.  All or any   portion of a qualified subdivision or qualified subdivision for   energy development may be amended, replatted, or abandoned by the   surface owner.  An amendment or replat, however, may not alter,   diminish, or impair the usefulness of an operations site or   appurtenant road or pipeline easement unless the amendment or   replat is approved by the commission in accordance with Section   92.003 [of this code].          SECTION 6.  Not later than January 1, 2018, the Railroad   Commission of Texas shall adopt rules necessary to implement   Chapter 92, Natural Resources Code, as amended by this Act.          SECTION 7.  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.