STATE OF NEW JERSEY
218th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2018 SESSION
Sponsored by:
Assemblyman REED GUSCIORA
District 15 (Hunterdon and Mercer)
Assemblywoman ELIZABETH MAHER MUOIO
District 15 (Hunterdon and Mercer)
SYNOPSIS
Prohibits inclusion of provision in agreements, contracts, or settlements related to pipeline siting or hydraulic fracturing, or “fracking,” that would restrict parties from disclosing information, statements, or assertions related to public health or safety.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning non-disclosure agreements, pipeline siting, and hydraulic fracturing and supplementing Title 13 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. No agreement, contract, or settlement entered into after the effective date of this act, which in any material way relates to pipeline siting or hydraulic fracturing, including but not limited to an agreement, contract, or settlement effectuating the sale, lease, license, or other conveyance of real property for the purpose of pipeline siting or conducting hydraulic fracturing, shall include any provision that would:
(1) require non-disclosure of information related to public health or safety; or
(2) prohibit or restrict any party from making any statement or assertion related to public health or safety.
b. Any provision of an agreement, contract, or settlement relating to pipeline siting or hydraulic fracturing that violates subsection a. of this section shall be void as contrary to public policy and wholly unenforceable.
c. As used in this section:
“Hydraulic fracturing” means the drilling technique of expanding existing fractures or creating new fractures in rock by injecting water, often with chemicals, sand, or other substances, and often under pressure, into or underneath the surface of the rock for purposes including, but not necessarily limited to, well drilling and natural gas exploration and production. The term “hydraulic fracturing” shall include “fracking,” “hydrofracking,” “hydrofracturing,” and other colloquial terms for this drilling technique.
“Pipeline” means any “gas pipeline facility” or “hazardous liquid pipeline facility” as defined pursuant to 49 U.S.C. s.60101.
2. This act shall take effect immediately.
STATEMENT
This bill would provide that whenever parties enter into an agreement, contract, or settlement that materially relates to pipeline siting or hydraulic fracturing, or “fracking,” no provision of the agreement, contract, or settlement may: (1) require non-disclosure of information related to public health or safety, or (2) prohibit or restrict any party from making any statement or assertion related to public health or safety. Agreements, contracts, and settlements covered by the bill would include, but not be limited to, those used to sell, lease, license, or otherwise convey real property for the purpose of pipeline siting or conducting hydraulic fracturing. The bill would apply to the siting of a “natural gas pipeline facility” or a “hazardous liquid pipeline facility,” as those terms are defined under federal law. Hazardous liquid pipeline facilities include oil pipelines. Any provision of such an agreement, contract, or settlement that does not comport with the requirements discussed above would be void as contrary to public policy and wholly unenforceable. The bill would only apply to agreements, contracts, and settlements entered into after enactment of the bill into law.