SB 2449
Oil Operators With Several Subsidiaries Get A One-Bond Option
Died in committee
Verdict: Smells
Why it's charged
Carve-out
THE TEXT
“An operator that owns or controls multiple subsidiaries operating under separate P-5 organization reports may satisfy financial security requirements through a single consolidated bond”…
Bill text, introduced version (I)
The consolidated-bond option is open only to operators that own several subsidiaries, so it helps multi-entity companies more than single operators. The neutral caption does not say who gains.
Carve-outInitial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade
Caption
relating to financial assurance requirements for operators under the jurisdiction of the Railroad Commission of Texas.
Caption from analyzed text · version I.
Summary
One bond covers every subsidiary. Cheaper options like self-insurance count too.
The bill orders the Railroad Commission to accept cheaper forms of financial assurance, including self-insurance and bonds backed by a parent company, as proof that an operator can pay to run and close produced water recycling pits and related facilities. It lets a parent company with several subsidiaries cover them all with one consolidated bond, and it tells the Commission to build an annual reporting system and write rules by December 31, 2025. Oil and gas operators, especially larger companies with multiple subsidiaries, could post less separate security, while the Commission keeps power to demand more if it finds the assurance too thin.
Labels
Labels: NEVER GOT A HEARING. Filed Mar 13, 2025 and referred to the Senate Natural Resources committee. No public hearing. The bill died.
Receipt
The receipt
89R-SB2449 · 2025-03-13
SOLD BY
ITEM
relating to financial assurance requirements for operators under the jurisdiction of the Railroad Commission of Texas.
WHAT IT DOES
One bond covers every subsidiary. Cheaper options like self-insurance count too.
The bill orders the Railroad Commission to accept cheaper forms of financial assurance, including self-insurance and bonds backed by a parent company, as proof that an operator can pay to run and close produced water recycling pits and related facilities. It lets a parent company with several subsidiaries cover them all with one consolidated bond, and it tells the Commission to build an annual reporting system and write rules by December 31, 2025. Oil and gas operators, especially larger companies with multiple subsidiaries, could post less separate security, while the Commission keeps power to demand more if it finds the assurance too thin.
CHARGES
[x] CARVE-OUTanalysis confidence 45%
THE TEXT
“An operator that owns or controls multiple subsidiaries operating under separate P-5 organization reports may satisfy financial security requirements through a single consolidated bond”…
Bill text, introduced version (I)
The consolidated-bond option is open only to operators that own several subsidiaries, so it helps multi-entity companies more than single operators. The neutral caption does not say who gains.
TOTAL
No fiscal note in the loaded record.
HISTORY
- Received by the Secretary of the Senate
- Filed
- Read first time
- Referred to Natural Resources
FILED UNDER
No verified beat found.
THANK YOU FOR CHECKING THE RECEIPT
CAMPAIGN PAID FOR BY
CAMPAIGN PAID FOR BY
Donors
Not tied to this bill.
Sources
The author's campaign account only. Own money and internal transfers are separate on the member page.
Derived itemized flow · Jul 25, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Texans for Lawsuit Reform PAC$60,000.00
Texans for Lawsuit Reform PAC
$60,000.00
- Cash
- $60,000.00
- Paid by others
- $0.00
- Total
- $60,000.00
Also funds 124 other sitting lawmakers.
Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · Oct 15, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Report IDs: 101012623, 101029380, 101072732.
Missing data does not establish zero giving. Display amounts are rounded.
Texans for Lawsuit Reform PAC
$60,000.00
- Cash
- $60,000.00
- Paid by others
- $0.00
- Total
- $60,000.00
Also funds 124 other sitting lawmakers.
Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · Oct 15, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.
Report IDs: 101012623, 101029380, 101072732.
Votes
No floor vote loaded for this bill.
Fiscal
No fiscal note in the loaded record.
How this was graded
Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.
Sources
Texas Senate · Filed Mar 13, 2025
03/25/2025 S Referred to Natural Resources
Texas Legislature Online · Introduced
Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.
Senate committee · Natural Resources · Final status: Died in committee
Companion
HB 5123 by Darby (identical)
Subjects
Financial--General
Oil & Gas
RAILROAD COMMISSION
Text
The text as introduced · 311 words
By: Sparks S.B. No. 2449 A BILL TO BE ENTITLED AN ACT relating to financial assurance requirements for operators under the jurisdiction of the Railroad Commission of Texas. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 91, Natural Resources Code, is amended by adding Section 91.115 to read as follows: Sec. 91.115. FINANCIAL ASSURANCE REQUIREMENTS FOR OPERATORS. (a) The Railroad Commission shall accept financial assurance mechanisms, including but not limited to, self-insurance and parental bonding, to demonstrate an operator's ability to satisfy financial security obligations for the operation and closure of produced water recycling pits and other related facilities. (b) An operator that owns or controls multiple subsidiaries operating under separate P-5 organization reports may satisfy financial security requirements through a single consolidated bond, subject to a demonstration of financial adequacy to the Commission. (c) The Railroad Commission shall develop and implement a system allowing operators to submit an annual report identifying facilities covered under specific bonding mechanisms and ensuring financial responsibility is properly assigned when assets are transferred through mergers, acquisitions, or sales. (d) The Commission shall adopt rules necessary to implement this section, including but not limited to establishing: (1) criteria for demonstrating financial adequacy for self-insurance and parental bonding; (2) requirements for the submission and approval of consolidated bonding structures for multiple P-5 operators; and (3) procedures for tracking and assigning financial responsibility when transactions result in changes of ownership(e) Nothing in this section shall diminish the authority of the Railroad Commission to require additional financial security in cases where the Commission determines that an operator's financial assurance is insufficient to cover potential closure and remediation costs. SECTION 2. The Railroad Commission shall adopt rules to implement Section 91.115, Natural Resources Code, as added by this Act, no later than December 31, 2025. SECTION 3. This Act takes effect September 1, 2025.