Texas Comptroller Manual of Accounts - Fiscal 2024
Revenue Object 3317 – Oil and Gas Well Applicant Bond/Financial Security

Created by 1991 by S.B. 1103, 72nd Leg., R.S. in Natural Resources Code §§ 91.103, 91.104. Administered by Railroad Commission of Texas. Any person, firm, partnership, joint stock association, corporation or other organization performing oil and gas operations is required to execute and file an individual or blanket bond or letter of credit or cash deposit in the amount required under §§ 91.1041 or 91.1042. Bonds or securities received under this section are deposited under Revenue Code 3791. Should violations occur, the cash value of bonds or financial security posted would be deposited as an oil and gas violation (see Revenue Code 3314). The commission by rule, shall set the amount of bond for an operator of one or more bay or offshore wells at a reasonable rate. (Amended by H.B. 1317, 77th Leg., R.S.) Deposit changed by S.B. 1, 82nd Leg., 1st C.S. to 5155 - GR Account - Oil and Gas Regulation and Cleanup (formerly to GR Account - Oil-Field Cleanup 0145). This revenue code was repealed because S.B. 310, 77th Leg repealed the statute requiring a non-refundable annual fee of $1,000 if the commission determines bonds are not available at a reasonable price and a non-refundable annual fee equal to 12.5% of the bond.