Ohio Administrative Code Title 1509 - Oil and Gas Commission
Ohio Administrative Code Title 1509 — Oil and Gas Commission
Overview
The Ohio Administrative Code (OAC) Title 1509 governs the Oil and Gas Commission, a regulatory body responsible for overseeing the exploration, drilling, production, and overall management of oil and gas resources in Ohio. This Title works in conjunction with the Ohio Revised Code Chapter 1509, which sets forth the statutory authority.
The Oil and Gas Commission acts as an appellate body to hear appeals from decisions made by the Chief of the Division of Oil and Gas Resources Management (within the Ohio Department of Natural Resources). The Commission also establishes rules and procedures related to oil and gas operations in Ohio.
Key Functions and Provisions
Regulatory Authority of the Chief
The Chief of the Division of Oil and Gas Resources Management issues permits related to drilling, waste disposal, well plugging, and other activities.
The Chief enforces the rules and regulations designed to protect the environment, public health, and private property.
Appeals to the Oil and Gas Commission
Any person adversely affected by an order of the Chief may appeal to the Commission.
Appeals must be filed in writing within 30 days of receiving notice of the Chief’s order.
The Commission conducts hearings where evidence is presented, witnesses can be called, and both parties can argue their positions.
Commission Hearings and Decisions
The Commission reviews the appeal de novo or based on the record.
It issues written decisions, including findings of fact, conclusions of law, and a final order which may affirm, modify, or reverse the Chief’s decision.
The Commission may also remand cases back to the Chief for further proceedings.
Judicial Review
After a final decision from the Commission, parties may appeal to the Court of Common Pleas in Franklin County.
The court reviews the Commission’s decision based on the record and applicable law.
Definitions and Procedural Rules
The Code defines key terms such as "appellant," "appellee," and "interested person."
It sets forth requirements for notice, timelines, evidence submission, and hearing conduct.
Important Case Law
Several court decisions have clarified how the Commission’s authority and procedural rules operate:
1. Limitation on Commission’s Jurisdiction — State Oil & Gas Commission v. Summitcrest (Ohio Supreme Court, 2013)
Facts: A landowner appealed the Chief’s issuance of a drilling permit to an oil and gas company.
Issue: Whether the Oil and Gas Commission had jurisdiction to hear the appeal.
Holding: The Supreme Court held the Commission did not have jurisdiction to review the Chief’s issuance of drilling permits because such permits were not considered "orders" appealable under the law.
Significance: This ruling limits the scope of the Commission’s authority, emphasizing that not all actions by the Chief are appealable. It ensures that only specific decisions classified as "orders" under Ohio law can be appealed to the Commission.
2. Strict Compliance with Appeal Timelines — Simballa v. Ohio Dept. of Natural Resources (Ohio Court of Appeals, 2024)
Facts: An appellant filed a late appeal against a Chief’s order.
Issue: Whether the appeal was timely and valid.
Holding: The Court upheld dismissal based on the appellant missing the statutory 30-day deadline.
Significance: Emphasizes that procedural requirements like filing deadlines are strictly enforced, even if the appellant has substantive claims. This protects the orderly administration of appeals and prevents delay.
3. Standing to Appeal — Eric Petroleum Corp. v. Vendel (Ohio Court of Appeals, 2025)
Facts: A company sought to appeal a Chief’s order, but the Commission questioned whether it had "standing" to do so.
Issue: Whether the appellant was "adversely affected" as required by statute.
Holding: The court ruled that the appellant must demonstrate a real, concrete adverse effect caused by the order to have standing. Mere interest or indirect effects were insufficient.
Significance: Reinforces that only persons directly and substantially affected by a decision can appeal it, narrowing the pool of potential appellants and avoiding frivolous or speculative appeals.
Legal Principles
Jurisdictional Limits: The Commission’s authority is strictly limited by statute to review certain orders. This protects agencies from having their decisions endlessly challenged and promotes administrative finality.
Procedural Rigor: Timeliness and procedural compliance are essential. Appeals not filed on time or lacking necessary information are dismissed.
Standing Requirement: Only those with a direct adverse impact may appeal. This avoids wasting resources on parties without a legitimate stake.
Due Process: The Commission’s hearings ensure notice, an opportunity to be heard, and reasoned decisions, protecting appellants’ rights.
Summary
OAC Title 1509 provides a framework balancing regulatory oversight of oil and gas activities with procedural fairness for those impacted. The Oil and Gas Commission acts as an important check on the Chief’s authority, but its jurisdiction is carefully circumscribed. The case law reinforces the need for strict adherence to statutory rules on jurisdiction, standing, and timeliness.
This system helps regulate Ohio’s oil and gas industry efficiently while protecting landowners, operators, and the environment under clear and enforceable rules.
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