House Bill 1375 Summary

• Repeals the petroleum severance tax effective July 1, 2013, for petroleum severed from the land after that date.

• Moves civil and criminal penalties for petroleum severance tax violations to criminal law under IC 35-44.2-5, with penalty provisions expiring July 1, 2017.

• Transfers the balance of the oil and gas fund to the oil and gas environmental fund (OGEF) and directs future petroleum severance tax collections and permit fees to the OGEF instead.

• Removes the $1,500,000 cap on the OGEF balance and allows research, administrative expenses, and well abandonment costs to be paid from the fund.

• Requires the OGEF to maintain a minimum balance of $500,000 as a surety fund for operators and annually appropriates money from the fund for specified environmental and administrative purposes.