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IA HSB740
SB
Status
2/12/2026
Primary Sponsor
Natural Resources
Click for details
AI Summary
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Establishes the "Iowa Surface Owners Protection Act" requiring oil and gas operators to compensate surface owners for damages to crops, soils, water, groundwater, land improvements, loss of agricultural production, reduction in land value, and loss of access caused by operations.
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Requires operators to provide written notice to surface owners at least 30 days before initial entry for activities disturbing the surface, including a proposed surface use and compensation agreement detailing planned operations, timelines, and compensation offers.
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Applies to oil and gas operations (including geologic hydrogen, hydrocarbons, and other minerals) commenced on or after July 1, 2026, with exceptions for existing wells with valid permits and operations covered by pre-existing surface agreements.
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Mandates operators reclaim all affected surface land to its pre-operation condition once operations are completed or wells are plugged or closed.
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Requires operators to compensate farm tenants for crop damage, yield reductions, and damaged leasehold improvements equal to the greater of the amount invested or crop value, plus repair and replacement costs.
Legislative Description
A bill for an act relating to the production of oil and gas, geologic hydrogen, hydrocarbons, or other minerals, including establishing certain duties required of oil and gas operators, requiring notice and surface use agreement offers, and providing for remedies.(See HF 2702.)
Last Action
Committee report approving bill, renumbered as HF 2702.
2/23/2026