(1) The supervisor shall expend money from the fund, upon appropriation, only for the following purposes:
  (a) For plugging of abandoned or improperly closed oil or gas wells or response activity or site restoration at oil or gas wells for which no owner or operator is known, for which all owners or operators are insolvent, or at which the supervisor determines there exists an imminent threat to the public health and safety.

Terms Used In Michigan Laws 324.61603

  • Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
  • Fund: means the orphan well fund created in section 61602. See Michigan Laws 324.61601
  • Operator: means the person authorized by contract or agreement by the owner to drill, operate, maintain, or plug a well. See Michigan Laws 324.61601
  • Owner: means the person who has the right to drill a well into a pool, to produce from a pool, and to receive and distribute the value of the production from the pool for himself or herself either individually or in combination with others. See Michigan Laws 324.61601
  • Site restoration: means the filling and leveling of all cellars, pits, and excavations; the removal or elimination of all debris; the elimination of conditions that may create a fire or pollution hazard; the minimization of erosion; and the restoration of the well site as nearly as practicable to the original land contour or to a condition approved by the supervisor after consulting with the surface owner of the land and with the operator of a natural gas storage field if the well site is within the boundary of a natural gas storage field. See Michigan Laws 324.61601
  • Supervisor: means the supervisor of wells as provided by part 615 or his or her designee. See Michigan Laws 324.61601
  (b) For the reasonable cost of the supervisor for internal administration in connection with the activities included in subdivision (a).
  (2) The supervisor shall consult with the operator of a natural gas storage field prior to plugging any abandoned or improperly closed oil or gas wells within the boundary of the storage field operator’s natural gas storage field.