House Committee passes the Kentucky Oil and Gas Modernization Act

The House Committee on Natural Resources and Environment unanimously passed the Kentucky Oil and Gas Modernization Act (HB 386) Tuesday. The bill, sponsored by House Majority Floor Leader Rocky Adkins, is the result of six months of negotiations with the Kentucky Chamber of Commerce, the Kentucky Oil and Gas Association, the Energy & Environment Cabinet, the Department of Natural Resources, the Division of Oil and Gas, the Kentucky Division of Water, the Kentucky Resources Council, the Kentucky Farm Bureau and other industry leaders.   


HB 386 makes the first significant reforms to Kentucky’s regulation of the oil and gas industry in approximately 20 years.  During that time there has been technological advances in drilling practices which have led to an oil and gas boom throughout the United States.  This legislation addresses those technological advances by balancing the need to establish a pro-investment, pro-job creation approach with an enhanced commitment by the oil and gas industry to environmental protections in the Commonwealth and our local communities.


Specifically HB 386 would:

  • Offer regulatory certainty for the development of Kentucky’s deep shale resources.
  • Ensure “Best management practices” for well site reclamation.
  • Begin the effort to reclaim abandoned storage tanks.
  • Establish water quality testing requirements are established for deep horizontal drilling.
  • Require FracFocus disclosure for high volume horizontal fracturing. (NOTE: FracFocus is a national model used by 16 other oil and gas states).


HB 386 now heads for a vote on the House floor.  Please let your legislator know your support by calling 1-800-372-7181.

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Jacqueline Pitts
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