[UPDATED] Dunwell brings fracking disclosure bill

Critics of the bill pointed to existing laws and regulations as adequate for protection of public health and the environment, calling the bill unneeded and burdensome.

Rep. Mary Anne Dunwell’s House Bill 243 amends fracking reporting laws for oil and gas developers from the current 48-hour notice to the Montana Board of Oil and Gas to a landowner notice requirement of 45 days. Dunwell called the bill a property rights and transparency issue, as well as a good neighbor policy, at a committee hearing Friday.

“Let’s say a landowner wants to do baseline water testing; that would take a few weeks to arrange,” Dunwell said. “We’re talking about something that could affect water and their livelihood.”

Dunwell, a Democrat, called the 45-day notice the “industry standard” and pointed to several states with the same requirements.

“This comes at a really good time with the oil pipeline spill and underscores why we need as much info for property owners and emergency responders as possible,” Dunwell said.

HB243 had several supporters.

Derf Johnson of the Montana Environmental Information Center testified that current posting requirements on www.frackfocus.org are often vague and vary from company to company.

“Right now, companies get to decide what constitutes a trade secret; there’s no independent third-party analysis,” he said. “What this bill does is provides landowners with notice that oil and gas is coming to their backyard.”

The Northern Plains Resource Council, Montana Farm Union, Montana Audubon, and Montana Conservation voters also testified in favor.

Industry opponents testified that current rules under the Montana Board of Oil and Gas already provide protection and that the new law would make extra hoops for developers. They further testified that disclosing chemical concentrations would reveal trade secrets.

“HB243 adds unnecessary costs and burdens without providing a demonstrated deficiency for the rules in place,” said Jessica Sena for the Montana Petroleum Association.

Existing regulations include reporting of chemicals and pressures post-frack, she said. Drillers will often not know if fracking will be required until after the test well is drilled, making a long wait for notification impractical, she added.

For those critical of the 45-day requirement, Dunwell suggested that multimillion dollar companies should have long-range planning and be able to comply. If companies do not have all the information on operations 45 days out, then they could report the information they have and then update as they know more, Dunwell said.

To protect trade secrets, under HB243 a developer could go to court and request a waving of public disclosure. The company would still be required to disclose to the Montana Board of Oil and Gas, she said.

“It’s important that the public knows what’s going on in their backyards because it could have adverse effects on the strength and welfare of our communities,” Dunwell said.