State ex rel. Morrison v. Beck Energy Corp.

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Ohio Rev. Code 1509 gives state government “sole and exclusive authority” to regulate the permitting, location, and spacing of oil and gas wells and production operations within Ohio. Beck Energy Corporation obtained a permit from the Ohio Department of Natural Resources in order to drill an oil and gas well on property within the corporate limits of the City of Munroe Falls. When Beck Energy began drilling, the City filed a complaint seeking injunctive relief and alleging that Beck Energy was violating several provisions of the Munroe Falls Codified Ordinances. The trial court issued a permanent injunction prohibiting Beck Energy from drilling until it complied with all local ordinances. The court of appeals reversed, concluding that section 1509.02 prohibited the City from enforcing the five ordinances. In so holding, the court rejected the City’s argument that the Home Rule Amendment to the Ohio Constitution allowed the City to impose its own permit requirements on oil and gas drilling operations. The Supreme Court affirmed, holding that the Home Rule Amendment does not grant the City the power to discriminate against, unfairly impede, or obstruct oil and gas activities and production operations that the State has permitted under chapter 1509. View "State ex rel. Morrison v. Beck Energy Corp." on Justia Law