News & Alerts
April 1, 2021 COGCC COMPLETES 2-DAY INFORMATIONAL HEARING ON FINANCIAL ASSURANCE
On March 31, 2021 and April 1, 2021, the Colorado Oil and Gas Conservation Commission held a virtual Hearing to receive information from stakeholders and the public on a future Financial Assurance Rulemaking. Senate Bill 19-181, which was signed into law on April 16, 2019, directs the Commission to engage in a Financial Assurance Rulemaking to consider the following topics: increasing financial assurance for inactive wells and for wells transferred to a new owner; requiring a financial assurance account, which must remain tied to the well in the event of a transfer of ownership, to be fully funded in the initial years of operation for each new well to cover the costs to plug, reclaim, and remediate a well; and creating a pooled fund to address orphaned wells for which no owner, operator, or responsible party is capable of covering the costs of plugging, reclamation, and remediation. Following the Informational Hearing, the Commission plans to hold work sessions focusing on Financial Assurance and will take the initial steps to consider proposed rules on this topic. More information on the COGCC’s Financial Assurance Rules and future Rulemaking is located on the COGCC website: