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Presented by:Thomas Beeching, CRA
Illinois Hydraulic Fracturing Rules
2nd Annual Midwest Environmental Compliance ConferenceOverland Park, KS
May 13, 2015
1.0 The Law and The Rule
The Law Illinois Hydraulic Fracturing Regulatory Act
(HFRA), June 17, 2013 (225 ILCS 732/1-1)
The Rule 62 IAC 245,
December 5, 2014
The HFRA – “Strongest package of regulations in the Country”– Ann Alexander, Senior Attorney, Chicago Office,
Natural Resources Defense Council
Complexity of the Rule– California’s draft regulations for hydraulic
fracturing were contained in 13 pages. Illinois regulations required 130 pages.
1.0 The Law and The Rule
2.0 Overview of Fracking Regulations in Illinois
The Illinois Department of Natural Resources will have the primary authority to administer the Act. Other Groups with Regulatory Involvement include:– Illinois State Geological Society– Illinois State Water Survey– Illinois State Fire Marshal– Illinois Environmental Protection Agency
The HFRA vs. the Illinois Gas and Oil Act (IGOA) – If conflict exists, the HFRA takes precedence over the IGOA
2.0 Overview of Fracking Regulations in Illinois
Applicability Pertains to High Volume Horizontal Hydraulic
Fracturing (HVHHF) operations in which:– > 80,000 gallons – Stimulant (single stage); or,– > 300,000 gallons – Stimulant (all stages)
Medium Volume Horizontal Hydraulic Fracturing Operations (MVHHF) operations in which:– > 80,000 gallons – Stimulant (all stages) and – < 300,000 gallons – Stimulant (all stages).
2.0 Overview of Fracking Regulations in Illinois
The original HFRA signed into law by Governor Pat Quinn included: – Well construction standards
– Chemical Disclosure Standards (posted by IDNR)
– Standards placing health needs above privacy concerns
– Natural gas must be captured and used
– Trade secret claims can be challenged
– Citizen law suits
– Public hearings and appeals
– Open-air ponds prohibited (wastewater [WW] must be stored in closed tanks)
– WW must be tested for dangerous chemicals
– Wells must be closed if fracking fluids are released outside of shale rock formation
– Baseline and periodic post-frack testing of water
– Mandatory setbacks from water sources
– Liability insurance provisions for environmental and health damages
2.0 Overview of Fracking Regulations in Illinois
The HFRA Rule published in December 2014 included some modifications:– WW can be stored in open-air ponds for extended periods of
time if closed tanks could not be emptied expeditiously– Companies must explain why it is not economically feasible
to capture and/or use escaping gas
3.0 Setbacks and Prohibitions
Fracking Wells No well may be located as follows:
– Within 500 feet of any residence or place of worship (w/out written agreement)
– Within 500 feet of any school, hospital, or licensed home facility
– Within 500 feet of surface location of existing water well or spring used for human (or domestic) consumption
– Within 300 feet of a perennial stream or ordinary high water mark of any river, natural or artificial lake, pond, or reservoir
– Within 750 feet of a natural preserve or a site listed on the Register of Land and Water Resources
– Within 1,500 feet of a surface water or groundwater intake of a public water supply
It is unlawful to discharge hydraulic fracturing fluid, produced water, BTEX, diesel, or petroleum distillates into fresh water
It is unlawful to perform high volume horizontal hydraulic fracturing operations by knowingly or recklessly injecting diesel
4.0 Required Permits/Information
A permit is required to drill, deepen, or convert a horizontal well where HVHHF operations are planned
Permit Requirements- Applicant must first register with the IDNR, 30 days prior to applying for a permit.– Registration Form must provide:
– Name, address and legal status of the registrant and all subsidiaries or affiliates
– Full disclosure of any serious violations w/in past 5 years
– Proof of insurance to cover injuries, damages or loss related to pollution or diminution in the amount of $5,000,000
Upon successful registration, the applicant will receive a HVHHF registration number which must be used when making application for a HVHHF Permit. This registration number must be renewed every two years on, or before, September 1.
4.0 Required Permits/Information
Every applicant for a permit must provide the following information to the IDNR on the requisite permit application form – Name, email address, and address of applicant and the HVHHF
registration number
– The proposed well name, location, and legal description of the well, well site, and its unit area (PE/PG certified)
– A statement certifying that the well site is in compliance with setbacks (property boundaries)
– A detailed description of the proposed well to be used for hydraulic fracturing
– The estimated depth and elevation of the well and the lowest potential fresh water along the proposed wellbore
4.0 Required Permits/Information
Detailed description of the proposed HVHHF operations, including, but not limited to:– Geological formation name affected by the fracking operations
– Anticipated surface treating pressure range
– Maximum anticipated injection treating pressure
– Estimated or calculated fracture pressure of the producing and confining zones
– Planned depth of all proposed perforations or depth to the top of the open hole section
Scaled plat maps, diagrams, or cross-sections - all known wells within 750 feet of the horizontal well bore that penetrated within 400 feet of the formation to be stimulated
4.0 Required Permits/Information
A chemical disclosure report that will include:– Total volume of water anticipated to be used in hydraulic
fracturing treatment of the well – Each hydraulic fracturing additive to be used – Each chemical anticipated to be added to the base fluid – The concentration in the base fluid of each chemical to be
added to the base fluid– A master list of chemicals on file with IDNR
4.0 Required Permits/Information
A certification of compliance with the Water Use Act of 1983 and applicable regional water supply plans
Owner information:– Names and addresses of all owners of real property within
1,500 feet of the proposed well site as disclosed by the County Recorders Office
Public Notice Drafts Restoration Statement (strategy for reclamation) Proof of Insurance –$5 million per occurrence to cover
injuries, damages, or losses related to pollution Applicant Disclosure – disclosure of any conviction or
finding occurring after application was submitted Nine separate plans
5.0 Required Plans
Water Source Management Plan – a fresh water withdrawal and management plan. Plan must identify the following:– Name, location (lat./long.), volume, anticipated frequency of
withdrawal, methods used to minimize withdrawals, and methods to minimize impacts to aquatic life
Hydraulic Fracturing Fluids and Flowback Plan A Well Site Safety Plan
- Emergency response arrangements Containment Plan – description of containment practices
and equipment. Directional Drilling Plan
5.0 Required Plans
Casing and Cementing Plan Traffic Management Plan Restoration Statement – Reclamation Plan Water Quality Monitoring Work Plan – PE/PG
Certification– Ensure accurate and complete sampling/testing of area
groundwater supply wells. This may be the most significant part of the new permit requirements!
6.0 Filing and IDNR Review
The hydraulic fracturing permit shall be accompanied by a bond in the amount of $50,000 per permit or a blanket bond of $500,000 for all permits
Each application for a permit under the HFRA shall include a non-refundable fee of $13,500
Permit application shall be submitted to the IDNR in both electronic (searchable format) and hard copy version
Pre-notification of permit filing (5 business days) Post permit application on website within 5 days of
receipt The IDNR shall have 60 calendar days after it receives the
permit application to approve it or reject it, or send it back for additional information
7.0 Public Notice and Comment
Applicants shall mail specific requisite public notices by certified mail within 3 calendar days after submittal of the permit
- Notices to all property owners within 500 feet of the proposed well site and to each municipality and county in which the well site is to be located
Applicants must provide general public notice by publication– Once each week for 2 consecutive weeks beginning no later than 3
calendar days after submittal of the permit
Public comment period begins 7 calendar days after IDNR-receipt of permit application and lasts for 30 days
During public comment period, any person may file written comments to the IDNR concerning any portion of the permit application
Provisions for filing a written objection to the permit:– demonstrate that a party has an interest that will be significantly
affected
8.0 Permit Issuance
Permit shall be reviewed and issued by the IDNR if the following are demonstrated:– Well location restrictions (set backs and prohibitions) of the
Act are satisfied– The applicant satisfies the permit requirements – The Plans required under the Act are adequate and effective– Hydraulic fracturing will be conducted in a manner that
protect public health and safety and prevents pollution of any water source
– Applicant has abated any violation of this Act or of the IOGA– IDNR will also consider all written comments received during
public comment periods and responses to those comments provided by the applicant and any historical information about the company
9.0 Permit Denial
IDNR may suspend, revoke, or refuse to issue a hydraulic fracking permit under this Act for one or more of the following:– Providing incorrect, misleading, incomplete, or materially
untrue information – Violating any condition of the permit– Violating any provision or any regulation – Unethical or dishonest business practices– Demonstration of financial irresponsibility– Revocation of a permit in any other state or province– Emergency condition exists which could impact health and
or safety of the public
10.0 Well Preparation, Construction, and Drilling
Applies to all wells that are to be completed using high volume hydraulic fracturing operations at the site:– Access roads must be located away from occupied
structures, places of assembly, and property lines of unleased properties
– Topsoil usage – Piping, conveyances, valves, and tanks must be compatible
with fluids contained– Site maintenance standards
11.0 High Volume Horizontal Fracking Operation
Permittee shall comply with the terms of the permit at all times IDNR notification at least 48 hours prior to start of fracking
activities All containment inspections and mechanical integrity tests
required under the HFRA be completed All hydraulic fracturing flowback, fluids and produced water
must be stored in above ground tanks Reserve pit is only allowed for temporary storage of fracturing
flowback Tanks used to contain flowback must be routinely corrosion
tested Flowback materials must be tested for VOCs, inorganic
chemicals, heavy metals and naturally occurring radioactive material prior to removal from the site
Subsurface injection of flowback in accordance with internal/external mechanical integrity testing and all applicable IOGA requirements.
11.0 High Volume Horizontal Fracking Operation
Produced water may be disposed of by injection in a permitted enhanced oil recovery operation
Discharge of hydraulic fracturing fluids, hydraulic fracturing flowback, and produced water into any surface water or water drainage way is prohibited
Transportation of hydraulic fracturing fluids, flowback and/or produced water for disposal must be by a liquid oilfield waste hauler permitted by the IDNR under Section 8c of the IOGA
Spills/releases of hydraulic fracturing fluids, additives, or flowback must immediately be cleaned up.
- Release > 42 gallons must be reported to the IDNR. If RQ is exceeded, CERCLA must also be notified.
12.0 Water Quality Monitoring
Each applicant for a HVHHF permit shall provide the IDNR with a Work Plan to ensure accurate and complete sampling and testing. The Work Plan shall include at a minimum the following:– Information identifying all water sources within the range of
testing under this section– A sampling plan and protocol, including notification to the
IDNR at least 7 calendar days prior to sample collection– The name and contact information of an independent third
party under the supervision of a PE/PG that shall be designated to conduct sampling to establish a baseline as provided for under subsection b of this section
12.0 Water Quality Monitoring
– Name and contact information of an independent 3rd party under supervision of a PE/PG
– Name and contact information of an independent certified contract laboratory
– Proof of access and the right to test within the area for testing prescribed
– Identification of practicable contingency measures, including provisions for alternative drinking water supplies which could be implemented in the event of pollution of a water source
Sampling of all water sources within 1,500 feet of the well site prior to any fracturing activities (baseline)
Sampling/analysis - minimum of 3 samples for each water source tested
Analytical results provided to IDNR and within 7 days of receipt or to the owner of the water source
12.0 Water Quality Monitoring
All water sources shall be subjected to retesting in the same manner at 6 months, 18 months, and 30 months after HVHHF operations have been completed
Permittee shall notify the IDNR whenever water quality data indicates that concentrations exceed the standards or criteria referenced in the definition of pollution under section I-5 of the HFRA
Analytical data for each set of sample shall include the following:– pH
– TDS, dissolved methane, dissolved propane, dissolved ethane, alkalinity, and specific conductance
– Chloride, sulfate, arsenic, barium, calcium, chromium, iron, magnesium, selenium, cadmium, lead, manganese, mercury, and silver
– BTEX
– Gross alpha and beta particles
Contact Information
Questions regarding Illinois Fracking Rules?
Please contact:
Thomas Beeching—tbeeching@CRAworld.com
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