WHEREAS the Municipalities Act and The Municipalities Regulations authorize municipalities to charge a fee for drilling oil wells and gas wells.

WHEREAS the fee is set at $450 for drilling an oil or gas well, and $225 for exploratory drill holes.

WHEREAS the fees for drilling oil wells and gas wells were originally at their current prices in The Rural Municipality Oil Well and Gas Well Drilling Fees Schedule Regulations in 1991, and resolutions to review these fees were presented at the 2002 and 2008 SARM Midterm Conventions but resulted in no change.

WHEREAS the fees for drilling oil wells and gas wells do not adequately cover the expenses of the municipality in the review and administration of drilling applications.

BE IT RESOLVED that SARM lobby the Ministry of Government Relations to engage in consultations with all applicable stakeholders to review the fees for drilling oil wells and gas wells, and that the Ministry of Government Relations set the well fees in The Municipalities Regulations at a fair rate for both industry and municipalities.