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Forced Pooling Attempt in Texas House - Act now
http://www.legis.state.tx.us/tlodocs/82R/billtext/pdf/HB02087H.pdf#...
House Bill 2807 has been proposed. A full text of the bill is linked above.
This bill has to do with Non-Participating Royalty Interests (NPRI).
If the owner of a NPRI is under the drillsite tract, he does not have to consent to pooling. In Texas, the pooling transaction constitutes a cross conveyance of property and the owner of the underlying mineral interest does not have the authority to convey something which he does not own.
If the NPRI does not consent to pooling, his interest is not diluted at all.
This bill, if passed, will force the NPRI into the pool. There are several reasons that this is dangerous. First, the oil companies want to have this bill, because they have poor field landmen, who cannot get things done. Second, it opens the door to more Forced Pooling, since precedents are being set.
Before I resigned from the board of NARO-TX due to health reasons, I wrote a position paper on Forced Unitization, which is not the same thing as forced pooling. However, my arguments are the same. Attached is a copy of the position paper I wrote.
You will note that the bill subjects landowners to one standard but exempts lands owned and maintained by the General Land Office. Why must the playing field be not level? The reason is because the State knows how devastating this would be to their fee royalty lands.
For a good civics lesson, contact the Committee Members and tell them of your opposition of the bill, which results in a confiscation of property rights.
HOUSE CALENDARS COMMITTEE
(512-463-0758):
Todd Hunter, Chair – 512-463-0672
District 32 – Aransas, Calhoun, Nueces, San Patricio
Dennis Bonnen, Vice-Chair – 512-463-0564
District 25 – Brazoria
Dan Branch – 463-0367
District 108 – Dallas
Garnet Coleman – 512-463-0524
District 147 – Harris
Byron Cook – 512-463-0730
District 8 – Anderson, Freestone, Limestone, Navarro
Charlie Geren – 512-463-0610
District 99 – Tarrant
Jim Keffer – 512-463-0656
District 60 – Brown, Eastland, Hood, Palo Pinto, Shackelford, Stephens
Tracy King – 512-463-0194
District 80 – Dimmit, Frio, Kinney, La Salle, Maverick, Medina, Zavala
Lois Kolkhorst – 512-463-0600
District 13 – Austin, Grimes, Walker, Washington
Eddie Lucio III – 512-463-0606
District 38 – Cameron
Allan Ritter – 512-463-0706
District 21 – Jefferson
Eddie Rodriguez – 512-463-0674
District 51 - Travis
Burt Solomons – 512-463-0478
District 65 – Denton
Vicki Truitt – 512-463-0690
District 98 – Tarrant
John Zerwas – 512-463-0657
District 28 – Fort Bend, Waller, Wharton
Blogs do not allow for the attachment of files, so this has been cross posted to this forum.
Buddy Cotten
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Replies to This Discussion
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Permalink Reply by Buddy Cotten on
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I was not kidding. I am dyslexic, but only on numbers. I do fine with letters and words. What makes it even more weird is that I am whiz in math. Calculus and statistics in college. No real problem, because that is as much theory as anything.
But I always have someone check my numbers before I send something out. AND, thank you Bill Gates for Excel.
I do drive my wife nuts when I write a check where the number part is one thing and the written out part is a different number. And she is a banker.
Isn't life interesting?
Buddy Cotten
sima furtick said:Mr. Cotton,
Nobody is perfect.
I think you're great. Thanks for all your help.
Buddy Cotten said:Good catch. That was me being dyslexic. Thanks again Buddy.
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Dear 6GT,
This Bud's for you:
http://www.mineralrightsforum.com/forum/topics/hb-3586-forced-uniti...
Best,
Buddy Cotten
6th Generation Texan said:
Dear Buddy,
Just glancing at this long bill gives me a sick feeling in the pit of my stomach. From what I can make of it, it doesn't bode well for mineral and royalty owners and must be defeated! I look forward to your report to find out the specifics. Thanks for bringing this to our attention and for your analysis!
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Permalink Reply by Wilson Inc on -
Just found this info. Is there still time to act?
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Permalink Reply by Seth on -
Did this law pass or fail? And, will this law continue to be reintroduced if it failed in the next Legislative Session?
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Dear Mr. English,
Any bill can be introduced. This one never made it out of committee - thank goodness.
Best,
Mineral Management
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Permalink Reply by Seth on
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Buddy,
Thank goodness, it never survived Committee! Keep up the great Legislative and informing the public on the issues which are important to frame a more informative community of land & royalty owners. And, thanks for taking time to answer back.
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Permalink Reply by Seth on
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All,
Last week we sent an alert, urging you to send a letter to the Railroad Commission telling them not to railroad Texans’ property rights via new rules for the Mineral Interest Pooling Act (MIPA) – the law that authorizes forced pooling.
If you haven’t done so, it’s not too late to send a letter.
But even better than sending a letter, come say your piece in person.
WHAT: Railroad Commission hearing to consider whether to proceed with new forced pooling rules under MIPA
WHEN: January 30th at 9:00 am
WHERE: William B. Travis State Office Building, Room 1-111 1701 N. Congress Ave., Austin, TX
WHY: The reason the TRC is considering the rules now? Among other things, they want to legitimize railroading (hah!) small landowners -- who want no part of production/leasing -- into not just drilling, but PAYING for the drilling they don't want. If the well isn't profitable, new rules could wind up losing landowners money.
Thank you!
Sharon Wilson, Gulf Regional Organizer
P.S. If you haven’t yet sent a letter to the Commission, click here to do so.
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