In this subtitle the following words have the meanings indicated. “Department” means the Department of the Environment. “Gas” means natural gas, whether or not processed by the removal of component parts not essential to its use for light, heat, power, or manufactured gas of any combination or mixture. “Gas storage company” means any corporation of this State, any other state, the District of Columbia, or the United States, which is engaged in supplying gas to local consumers in this State and which desires to engage in the underground storage of gas in this State in whole or in part for either direct or ultimate distribution to its consumers. “Public body” means the State, any political subdivision, or any unit of, or created by, either the State or any political subdivision. “Underground storage” or “underground storage of gas” means the storing of gas in a geological stratum or strata beneath the surface of the earth, together with all operations necessary or convenient therefor including but not limited to the following: acquisition, preparation, alteration, maintenance, utilization, and operation of an underground storage reservoir for the storage of gas together with the injection of gas into the underground storage reservoir and its withdrawal therefrom. “Underground storage reservoir” means the stratum or strata and the subsurface areas which are or are to be used for, or in connection with, the underground storage of gas.

Subject to the limitations and provisions contained in this subtitle, a gas storage company may acquire by eminent domain the right to utilize for underground storage of gas, geological strata lying not less than 800 feet below the surface of a maximum of 12,000 acres of land in Prince George’s County. However, the 12,000 acres shall be within the area located west of highway U.S. 301 where located as of July 1, 1965; north of the Charles County boundary line; east of 76 degrees 56 minutes 30 seconds west longitude; and south of 38 degrees 45 minutes 45 seconds north latitude. The use of eminent domain in any case under this subsection shall be in accordance with the provisions of Title 12 of the Real Property Article, which are applicable to any eminent domain proceeding case under this subtitle. Subject to the limitations and provisions contained in this subtitle, a gas storage company may acquire, in Prince George’s County, by negotiation and agreement, the right to utilize for underground storage of gas, geological strata owned by any public body and lying not less than 800 feet below the surface of land, which right the public body may grant for the consideration agreed upon with the gas storage company. If the company and public body cannot agree upon the consideration, or if there is no public authority other than the General Assembly which has power to enter into the agreement, then the company may acquire the right by eminent domain, in the manner provided in Title 12 of the Real Property Article for the taking by eminent domain of private property for a public use, which provisions are applicable to any case under this subtitle. If the State is made a party, service of process shall be made upon the Attorney General. A gas storage company may acquire by eminent domain the rights provided for in subsections (a) and (b) of this section in geological strata lying not less than 800 feet below the surface of land in Prince George’s County even though this land is already devoted to a public use under authority of law, if the exercise of these rights do not materially interfere with the public use.

The right to take by eminent domain under § 14–202(a) and (b) of this subtitle, may not be exercised unless the gas storage company desiring the right first obtains an order from the Public Service Commission, made after a public hearing, finding the underground storage project to be in the public interest. The company also shall obtain an underground gas storage permit. A permit may not be issued without the consent of the Department.

In any eminent domain proceedings under § 14–202(a) and (b) of this subtitle, the owner of the land shall be compensated for the right to utilize geological strata being taken by eminent domain for the underground storage of gas, and for any commercially recoverable oil or gas not owned by the gas storage company in the strata. In any eminent domain proceedings under § 14–202(a) of this subtitle, the owner or owners in fee of the land have the right by unanimous election in their answer to have the jury make, after evidence is presented, alternate inquisitions assessing the fair value of the underground storage rights, and the fair value of the fee–simple ownership, including all improvements. On the tenth day following the date of the verdicts, the court shall enter a judgment of condemnation on the inquisition for the fair value of the underground storage rights, unless on or before the tenth day every owner shall join in an irrevocable election, filed in writing in the case, to have a judgment of condemnation entered on the inquisition for the fee–simple title to the property including all improvements, in which case the court shall enter a judgment of condemnation for the fee–simple title to the property. Unless all persons having an interest in the fee–simple title join in the election provided for, the court shall enter judgment of condemnation on the inquisition for the underground storage rights. In the event the property owner elects to have a judgment of condemnation entered on the inquisition for the fee–simple title to the property, he shall be entitled to defer final settlement for a period of time not exceeding six months from the date of the election. However, nothing in this subtitle shall prevent the gas storage company from utilizing underground storage rights during this time, subsequent to the inquisition. The property owner has the duty, during the period prior to final settlement, to maintain the property in reasonable condition, normal wear and tear excepted.

The right to utilize geological strata for the underground storage of gas, acquired by any gas storage company by eminent domain under § 14–202(a) and (b) of this subtitle, is subject to the right of the owner of the land or of other rights or interests, to penetrate the strata for the purpose of exploring or recovering gas not owned by the company or water, oil, or other minerals from other strata. If the owner desires to penetrate the underground gas storage reservoir in order to recover the gas, water, oil, or other minerals from a lower stratum, he may do so provided he gives the company sufficient written notice to permit proper precautions to be taken. The company, after receiving notice, at its expense and responsibility, shall supervise the penetration to assure that it is made in a manner which will not hamper or impair the operation of the underground storage reservoir, result in the pollution of gas stored there, or permit the escape of any gas.

Gas injected into underground storage in Prince George’s County which remains under the surface of land in the county, unless and until it is disposed of with the consent of the gas storage company, shall remain the personal property of the company. It is not subject to production, taking, reduction to possession, waste, or interference by the owner of the surface of the land or by any other person except the company or its authorized agents. Gas injected into underground storage in Prince George’s County and which is found under the surface of any land in Anne Arundel, Calvert, Charles, and St. Mary’s counties other than in gas mains is subject to the property rights of the captor of the gas or the owner of the land, in all respects as though the gas occurred there naturally. In such a case, the owner of the land may alternatively elect to proceed against the gas storage company for his damages.

For the privilege of using geological strata beneath the surface of the earth in Prince George’s County or underground storage of gas in volumes greater than the minimum volume specified, a gas storage company shall pay the county an annual underground storage use fee. The fee applies annually to all gas in storage, except the specified minimum volume, on the last day of each calendar year. It is computed at the following annual rates on the commodity charge paid for the gas by the gas storage company, as evidenced by the tariff under which the gas was purchased: Rate                 Cubic feet of gas in storage No fee              On the first 5 billion 2 percent             On all over 5 billion but not over 10 billion 4 percent             On all over 10 billion but not over 15 billion 6 percent             On all over 15 billion but not over 20 billion 8 percent             On all over 20 billion but not over 25 billion 10 percent             On all over 25 billion.

Nothing in this subtitle limits or impairs any right to exercise the power of eminent domain which may be vested in any gas storage company by any other law.

Nothing in this subtitle repeals, amends, or otherwise affects any other law of the State or its political subdivisions relating to the underground storage of gas or the pollution of underground waters.