CO HB1150

Local governments that ban hydraulic fracturing of oil and gas wells are liable to mineral interest owners for the value of the mineral interest not received due to the prohibition.

Local governments that enact moratoriums of any duration on oil and gas activities must compensate oil and gas operators, mineral lessees, and royalty owners for all costs, damages, and losses of fair market value associated with the moratorium.

Compensable losses include delays or losses in royalty payments, delays or losses in developing oil and gas resources, and delays or losses in realizing the value of mineral leases.

The act takes effect 90 days after the general assembly adjourns (August 8, 2018, if adjournment occurs on May 9, 2018), unless subject to a referendum petition filed under the state constitution.

If a referendum petition is filed, the act will not take effect unless approved by voters at the November 2018 general election.