Laserfiche WebLink
Zoning Bulletin March 25, 2015 I Volume 9 1 Issue 6 <br />Preemption/Oil and Gas Well <br />Regulation—Energy company <br />argues that city's zoning <br />ordinances are preempted by <br />conflict with state statutory scheme <br />governing oil and gas drilling <br />operations <br />City contends Home Rule Amendment to Ohio <br />Constitution gives it power to regulate oil and <br />gas drilling via municipal zoning ordinances <br />Citation: State ex rel. Morrison v. Beck Energy Corp., 2015 -Ohio -485, <br />2015 WL 687475 (Ohio 2015) <br />OHIO (02/17/15)—This case addressed the issue of whether the Home <br />Rule Amendment to the Ohio Constitution grants to municipalities the <br />power to enforce their own permitting schemes for oil and gas drilling <br />regulation atop the state system. More specifically, the case addressed the <br />issue of whether a particular city's zoning ordinances represented a valid <br />exercise of the city's home -rule power, or whether those ordinances were <br />preempted by conflict with state laws regulating oil and gas drilling. <br />The Background/Facts: In 2011, Beck Energy Corporation ("Beck <br />Energy"), obtained a permit from a division of the Ohio Department of Nat- <br />ural Resources ("ODNR") for the purpose of drilling an oil and gas well on <br />property within the corporate limits of the city of Munroe Falls (the "City"). <br />Beck Energy obtained its state permit through state statutory law, R.C. <br />Chapter 1509. Under that statute, specifically R.C. 1509.02, regulatory <br />authority of oil and gas wells and production operation is within the "sole <br />and exclusive authority of a division of the ODNR" (except for certain <br />activities regulated by federal laws). R.C. 1509.02 does preserve certain <br />regulatory powers granted to local governments including: (1) the "special <br />power" to control public highways, streets, avenues, alleys, sidewalks, pub- <br />lic grounds, bridges, aqueducts, and viaducts (R.C. 723.01); and (2) the <br />power to grant permits to operate certain heavy vehicles on highways within <br />their jurisdiction (4513.34). However, R.C. 1509.02 expressly prohibits a <br />local government from exercising those powers "in a manner that discrimi- <br />nates against, unfairly impedes, or obstructs oil and gas activities and opera- <br />tions regulated under [R.C. Chapter 1509]." <br />Beck began drilling the oil and gas well in the City pursuant to its state <br />permit. Soon thereafter, the City issued a stop -work order and filed a legal <br />action in county court. The City alleged that Beck Energy was violating <br />© 2015 Thomson Reuters 9 <br />