Loading...
HomeMy WebLinkAbout2.0 Staff ReportPROJECT INFORMATION AND STAFF COMMENTS REQUEST: BOCC - 8.10.09 DD Land Use Change Permit for the operation and maintenance of a 'Storage Facility' on a former COGCC well pad (F11 E) through a Limited Impact Review (LIRA) Application. APPLICANT / PROPERTY OWNER: EnCana Oil & Gas (USA) Inc. LOCATION / ACCESS: (Parcel # 2401-112-00-219, (F11 E Well pad) SITE INFORMATION: 3.12 acres of a 44.61 -acre parcel EXISTING / ADJACENT ZONING: Rural (R) Zone District I. REQUEST and DESCRIPTION OF PROPOSAL The Applicant requests a Land Use Change Permit from the Garfield County Board of County Commissioners (BOCC) through the Limited Impact Review (LIR) process the operation and maintenance of the Flt E Storage Facility. The site is owned by EnCana, and the affected area is 3.12 acres of a 44.61 -acre parcel,a COGCC- permitted well pad. The site is located southeast of the City of Rifle, south of 1-70, off County Road 331. The storage Facility is Ioc� in Section 11, Township 7 South, Rar 92 West of the 6th P.M. Land uses on surrounding parcels near the project include agriculture / range land, wildli habitat, and recent natural gas extrac development. The use of the property will be for sto of empty fracture (frac) or flow back/r off tanks, heaters, trailers, fire trailers pumps and other general equipment. site was previously constructed and permitted through Colorado Oil and C Conservation Commission (COGCC) utilized as oil and gas operations in o ‘4114 Al _-ar � ■ Silt .•i_ . 11 13 alii rill NOI ell MEM r r i 1111,1111illittistisrms .. MIMI" CR— ME 111Mmi—ME2AM 36 14 111111all II 33 19= ' 44. 44v.i 2 r_ r �n .i1I!a,gg11.Ir•� ��,,\�_ . ■ ImormIkIlill . w&, .. . 21 U 3f ME TONT ARIGHT •'., KR. 1 V:ILLI<ll..- f.;nU (;.I:.: I:II f.Ly _, S , Ited 'Tj.__ C4 sE MELTON \LLUEEEENEY' II E,.1rJL ., i _ FI_LE 4 Ige the LI2. IF:IAYNARD E - - - o- rl RSNK,( 34 CIRCLE`! S DO ELSON ' - C � _ LAND COMPANY IEC DMSRION � HAZELSUSH EXEAVIO— ., LAMP s .ATTtr. >ite �c/� TGSJ ' ° ` :70N, LASTON,CEIU 6)NEL - EnCana F71 E ; fe , , tion/ Lnsixi.,cELLC Well Pad JUMP L$ .- ', f' ''' PI �NRSTOCR— 1. Tffa _ 2 141EOPROAWA r rage CHEROKEE t PIE MOUNTAIN P ESTATES C ` ' 'ARUNSKi A ELATE A i, P - - � ENCAJAR 02 - ERACKEN )Il The ,.- .�E {{',,��• t,. ROH' SGAR 3 V - _.c ' �_� ASTtEN RESOfIRCE EWE E�� 1.1 - ENiA�,IA� Eli "AMMON _. j MOON ENCANA F11 EL MALT /� •5 t CRIFFM _ /, � / THOMPSON �' ' FIAT'LV TRUST ORac `.. TI CI If SONTHC t EUA ',/ as TAll I ME TANK STORAGE YARD Eli STAIJFERt, STMT and "der ir • j KNIGHT REri , HENHOLLERSRDEONS + ,I -. . . Site, looking ENE LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 2 1972 Wass Cap 'N.: (NOIP1 33.03') _Na.th.46: Cama. Seater 11 W.I9essed by • a 1975 Drabs Cep 40 \ (VCRIf 33.001 \ VPA gw 6. SW J/4 'div !/4 1 1 \ �ti- F.X'5t1S.��'• Existing Pipeline e,,tir1 C 136 NW 7/16 Section One lin Ma fLrn 1/4 -52'14': C1 .r, M 0 0 I v SCALE / . Sc 1/4 NW 7/4 I Ex:Dting Ft1E Wel Pod SDIy7ygY I7n ��. S89'37'130E I1942214 20.13' 63.61' S3112'44% 67.25' N Storage Area- ' a*. r ..ca Boundary1 6d .... . N82.W12 NI'^•••1.ri9otl_.....` STORAGE AREA DESCRIPTION / / A PARCEL OF LAND LOCATED IN THE NW 1/4 OF SECTION 11, T7S, R92W, 6th \ / RM. GARFIELD COUNTY, COLORADO. SAID PARCEL BONO MORE PARTICULARLY DESOR:BED AS FOLLOWS; Wept 1/4 Comae —SaA'ar 11 (A.,r,mam Cay) BEGINNING AT A POINT IN ThE SW 1/4 NW 1/4 OF SECTON 11, TPS, R92W, 6th P.M. WIIICN BEARS 528'32'45"E 2224.80' FROM THE NORTHWEST CORNER OF SAID SECTION 11, THENCE N74.48'1rE 213.65'; THENCE N82'52'141 112.03'; THENCE SB1'47'I9"E 178.25'; THENCE 589'07'13"E 20.13'; THENCE N69'52'24'E 6561'; THENCE 53112'44"E 57.75'; THENCE 51819'46-W 32.23'; THENCE 552'53'07'W 120.43; 1)IENCE 534'23'08"W 80.16; THENCE S6610'31"W 220.17; THENCE N821:1O'12'W 86.24'; THENCE N74'07'59'W 77.73; THENCE N22'42'22"W 249.05' TO THE POINT OF BEGNNING, CONTANS 312 ACRES YORE OR LESS. .534.23'09'6 00.18' 51919'46'W 32.23' / / / .Area of Proposed Storage Area Boundary Is 3.12 Acres •Zone District is Rural LEGEND: SARI = PAD/ACCESS ROAD INTERFACE SR - SEDIMENT RESERVOIR ST = SEDIMENT TRAP R.O.P. - RUN-ON PROTECTION aaaaar PERIAETER CONTRO (WATTLES) CSO = CUT 405E O.VERSCN (BERM TOE Or CJT SLOPE) 0 +, nLL CCVERSCN 10 SEDIMENT TRAP VCR _ VEGETATION DUFFER (Ul3ISTURnrO I AND INSIDE Pf 03M - CHECK CAM rc0 - FLOW CONTROL DITCH CCNTOJR INTERVAL = 2' LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 3 to store empty 'frac' tanks being used for the Fl1 E pad site. The Storage Facility is proposed to be in continuous use, year -around. The majority of activity at the Storage Facility will occur during normal daylight hours. The proposed maximum number of 'frac' tanks would be eighty five (85) tanks, but the Applicant estimates more than one dozen (12) tanks on the site at any given time. II. AUTHORITY / APPLICABILITY In the zone district, a permit would be for the use 'Storage Facility' may be considered with Limited Impact Review. The application is to follow the required procedure for a Limited Impact Review, detailed in Unified Land Use Resolution of 2008, as amended (ULUR), Article IV, and satisfy the submittal requirements 4-501 (E). In addition to the portions of ULUR that define the process and submittal materials, applicable portions of Article VII: Standards are required to be met, and additional standards related to 'Storage' of industrial materials must be met: 7-810 and 7-821, Additional Standards Applicable to Storage Areas and Facilities. ULUR, Article 1, Division 3 states that the decision-making and advisory bodies set forth in the administration of this land use code are defined in Section 1-301 (1-3). Authority is given the Board of County Commissioners to 'take such other action not delegated to the Planning Commission, the Board of Adjustment or Director, as the Board of County Commissioners may deem necessary to implement the provisions of this Land Use Code', and hold public hearings where official action may be taken. III. ZONING / ADJACENT USES The zoning on the parcel is Rural (R), as is the zoning on surrounding parcels. The 'neighborhood' is one of small- to moderate-sized rural residential parcels, with numerous extractive processes (natural gas well pads) nearby. The topography of the area is rolling hills with pinyon -juniper forest and sagebrush community, interrupted by washes with some riparian zone. Within one half -mile is a parcel with a conservation easement on it to conserve its value as an agricultural parcel with wildlife values, in association with Aspen Valley Land Trust. IV. RELATIONSHIP TO THE COMPREHENSIVE PLAN As depicted on the map to the right, the map (Garfield County Comprehensive Plan of 2000, as amended) shows the site (red circle near the map's base) to be located outside both the Town of Silt's Two—mile 'Sphere of Influence' (shown on the map at right as the red dashed line) and its Three- mile Urban Growth Boundary (UGB), shown as the black dashed line. Section III of the Garfield County Comprehensive Plan of 2000, as amended, ('Comp Plan') establishes basic policy direction for land use. Chapter 10 discusses the relationship between the County and the municipalities. Intergovernmental Agreements (IGAs) are in place with the municipalities which requires Staff to review proposals with consideration given to the goals and objective of each municipality's comprehensive plan. In Chapter 10: Urban Area of influence - it states in Goals to: • Ensure that development and overall land use policies occurring in the County that will affect a municipality are compatible with the existing zoning and future land use objectives of the appropriate municipality, LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 4 • .n.111.4wsot= 11141114.181:::::371::'.11111:1111.1.11411 4 ••_.•miel• SO Mme•• •••• Y ww•n_N •••M_ ati.M a ISMS II_..,wry, �.n Bastes Ma • Allow for comments on community impacts including cases which fall outside the community's sphere of influence, Related Objectives include: 10.1 County land use policies will be consistent with local land use policies and objectives. 10.5 Retain rural character outside of community limits. Related Policies include: 10.1 Comprehensive Plan and Zoning resolution revisions, Zone District LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 5 Amendments and individual projects within defined Urban Areas of Influence, will be consistent with local municipal land use policies. The Town of Silt Comprehensive Plan (2005) serves as its comprehensive planning document. In that plan, nothing is specifically mentioned about energy extraction, but the following citation contemplates land uses near the Town's boundary: Within the Three-mile Planning Area, `continued productive use of agricultural land is strongly encouraged. The Agricultural industry is a part of the community's custom and culture. Ranching and farming has long defined the rural character of the Silt area and has defined the community edges'. The Garfield County Comprehensive Plan of 2000 as amended, designates zoning of the parcel and those adjacent to it to be 'Outlying Residential'. The subject parcel is not contiguous with the community's boundary. Staff reviewed the proposal in relation to the goals and objectives of the Town of Silt Comprehensive Plan (2005), and found the proposal to be compatible with that plan. The Garfield County Comp Plan goes on to discuss Goals, Objectives, Policies and Programs more specifically related to the use proposed. 4. Goals: COMMERCIAL AND INDUSTRIAL USES: Garfield County will encourage the development of a diversified industrial base for the County which recognizes ...natural resources... and which further recognizes and addresses the social & environmental impacts of industrial uses. Objectives: 4.1 To ensure that ...industrial development is compatible with adjacent land uses and mitigate impacts identified during the plan review process. 4.2 Encourage the location of industrial development in areas where visual, noise, air quality and infrastructure impacts are reduced. 4.4 Ensure that the type, size and scope of industrial development is consistent with the long-term land use objectives of the County. 4.7 Ensure an industrial development policy that is environmentally sound and acceptable to County residents and policy makers. Policies: 4.3 Landscaping and screening will be required to address specific visual impacts of industrial development 4.4 The project review process will include the identification and mitigation of LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 6 transportation impacts related to...industrial development. Programs: 4.1 Zoning Resolution (recently updated as ULUR) 9. Goals: NATURAL RESOURCE EXTRACTION: Garfield County recognizes that under Colorado law, the surface and mineral interests have certain legal rights and privileges, including the right to extract and develop these interests. Furthermore, private property owners also have certain legal rights and privileges, including the right to have the mineral estate developed in a reasonable manner and to have adverse land impacts mitigated. Objectives: 9.1 The County will require adequate mitigation to address impacts of mineral extraction on private property owners, without undue burden on the legal rights of mineral lessees. 9.2 The County, through the implementation of the Comp Plan, Zoning and Special Use Permit policies (now permits under ULUR); will address future compatibility issues with current mining operations. 9.3 The County will ensure that mineral extraction activities will not adversely affect the natural environment, including air quality, water quality, wildlife habitat or important visual resources. Policies: 9.1 Garfield County, to the extent legally possible, will require adequate mitigation to address the impacts of mineral extraction on adjacent land owners. These measures may include the following: A. Landscaping and screening. C. Roadway improvements and signage. E. Drainage improvements to protect surface and groundwater. 9.2 Garfield County, in coordination with relevant authorities will require that developers of energy or mineral extraction projects finance the construction and operation of any public improvements which, now or in the future, will be required by their projects. 9.4 Dust, odors and fumes should be contained within the extraction site generating such emission and should not negatively affect any surrounding land use. 9.5 Any proposal regarding mineral extraction that cannot mitigate adverse impacts may be denied based on a finding of incompatibility for the following reasons: LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 7 A Adversely affecting the desirability of the immediate neighborhood or the entire community, B. Impairing the stability or value of existing adjacent properties, C. Adversely affecting the quality of life of existing adjacent residences, D. Showing a lack of quality or function in operational planning and/or design, E. Creating a public danger or nuisance to surrounding areas, F. Altering the basic character of adjacent land uses or the entire community Programs: 9.1, 9.2 Zoning Resolution (recently updated as ULUR) has been revised to address the concerns expressed in the Goals, Objectives and Policies above. Consideration of a Land Use Change Permit application evaluated through the Limited Impact Review process involves analysis to determine the project's compatibility with the ULUR. The Applicant is required to meet the Standards in Article VII, and consider the application with regard to its compatibility and potential impacts on adjacent uses. Standards address compatibility, location, scale, mitigation, and screening/buffering. Preservation of land uses (agricultural) and the public input possible through comment and public hearing are also included as part of a LIRP review. This provides the opportunity for community and neighbor participation. Staff finds that with proper mitigation measures, the proposal may be permitted and meet the goals, objective and policies of the Comp Plan. In specific, the proposal has incorporated into its design measures to reduce the transportation impact onto roadways; reduce the adverse effects on adjacent parcels in the form of fumes, light, noise, glare; ensure safe handling of materials so as to preserve air and water quality, contribute to the infrastructure utilized and affected by their project, and minimize the adverse potential effects on the quality of life on adjacent properties, while exercising the right to extract the natural resources of the subject parcel. Mitigations and requirement are discussed under the Review Criteria that follows. V. REVIEW CRITERIA FOR LIMITED IMPACT REVIEW PERMITS Article VII, Division 1: General Approval Standards for Land Use Change Permits. 7-101 Compliance with Zone District Use Restrictions This use is considered by permit review in the Rural zone district. This requirement has been met. 7-102 Compliance with Comprehensive Plan and IGAs LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 8 With mitigations that are conditions of approval recommended by Staff, the proposal can be operated in such a way as to be made compatible with the goals, objectives, policies, zoning and programs of the Comp Plan. This use, properly mitigated, will meet the goals of conserving the remainder of subject parcel for wildlife and agriculture. This requirement has been met. 7-103 Compatibility While the use is not the same as those uses on adjacent parcels (rural residential), with proper mitigation measures recommended as Conditions of Approval by Staff, adverse effects and visual impacts can be reduced. It is the right of the mineral lessee to extract the resource and use the site, but it is a requirement of both Comp Plan and ULUR that the extraction permit include measures to ensure the resource is `developed in a reasonable manner and to have adverse land impacts mitigated'. The site is more than 1500 feet from the nearest residence, and is situated to be above the horizon line on a hill. The Impact Analysis addresses specific site design features that the Applicant will provide to ensure the adjacent properties; In specific, the Applicant proposes berms on the edges of the storage area to better screen the site from view from the residence down the hill. This requirement can be met with conditions recommended by Staff. 7-104 Sufficient Legal and Physical Source of Water No fresh water well is on site, and no produced 'water' is proposed to be stored on site; the containers are to be stored empty. This requirement has been met. 7-105 Adequate Water Supply See 7-104. This requirement has been met. 7-106 Adequate Central Water System and Wastewater There is no central water system or central wastewater system. In reference to comments from the Environmental Health Department Manager, a portable toilet will be required on site to serve the need for sanitary facilities. This requirement can be met with conditions recommended by Staff. 7-107 Adequate Public Utilities to Serve the Use The proposal do not propose to operate generators or pumps on the site. This requirement has been met. 7-108 Access and Roadways The proposal has adequate existing access, and a condition of approval shall be to required to perform dust mitigation and road maintenance on the section of the roadway that are their responsibility, as per Garfield County Road & Bridge LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 9 Department (Exhibit H). Staff recommends that the road connecting to Fl I E well pad site from CR 331 be graded in response to assessment by the Garfield County Road & Bridge Department, and that dust abatement be performed as per a schedule recommended by Garfield County Road & Bridge Department. Proper permits from Garfield County Road & Bridge for overweight/oversize vehicles and traffic control plans during the installation of structures and tanks are also required. This requirement can be met with conditions recommended by Staff. 7-109 No Significant Risk from Natural Hazards The subject parcel is not in an area that has been identified as having natural hazards, such as mudflow, geologic instability, mudflow, fault, etc. as it is outside of the assessed and mapped areas. The only identifiable natural hazard is that the site having a low to moderate wildfire risk. The concern there is that it is a relatively remote site with limited manpower to respond to a threat to or from limited supplies of flammable materials remaining inside the tanks. Burning Mountains Fire Protection District, the fire and EMS provider, comments that no additional concerns or conditions are required related to this application services. Staff recommends that the Spill Containment and Emergency Response Plan of May 2008 be updated; some of the contact information is not current. An annual update of contact information to the fire service helps safety be provide to the neighborhood. This requirement can be met with conditions recommended by Staff. Article VII, Division 2: General Resource Protection Standards for Land Use Chancre Permits. 7-201 Protection of Agricultural Lands A. No adverse effect to agricultural operations The site is on an existing well pad site, so no additional land disturbance is minimized. The site perimeter is fenced with three -strand barbed wire fence to prevent livestock form entering the area. This fence meets Division of Wildlife (DOW) 'wildlife friendly' fencing standards and allows wildlife to travel through the site. If more security is necessary, Division of Wildlife 'wildlife friendly' fencing serve as the guide. As this is a rural residential neighborhood, an alternative to industrial chain link fence is recommended, that being 2" x 4" mesh horse fence that will reduce the visual impacts. This requirement can be met with conditions recommended by Staff. B. Domestic animal controls As discussed above, wildlife friendly' fencing provides for increased safety for domestic and wild animals. It is also recommended by Staff that the site utilize bear -proof dumpsters or waste containers to prevent habituation of black bears. Staff recommends that no domestic animals, such as dogs, accompany employees or LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 10 subcontractors to the site, as the goal outside of the perimeters of the storage facility is conservation of agricultural operations. This requirement can be met with conditions recommended by Staff. C. Fences As discussed above in A. and B. Staff recommends as a condition of approval that the Division of Wildlife 'wildlife friendly' fencing serve as the guide for fencing on the site. This requirement can be met with conditions recommended by Staff. D. Roads The proposal has adequate legal access and existing roadway on the subject parcel. The Applicant shall be required to meet the conditions set forth by Garfield County Road & Bridge Department (Exhibit H) in 7-108 as a condition of approval. This requirement can be met with conditions recommended by Staff in 7-108. E. Irrigation Ditches The proposal has been designed to minimize potential adverse effects to any nearby ditch. Garfield County Planning Department Project Engineer John Niewoenher PE, comments: Code Section 7.203: 35' Buffer from Water Bodies: Presuming that irrigation ditches are included in the definition of water bodies (Article XVI, Page 16-52), there needs to be a 35 foot buffer between proposed disturbance (including cut & fill slopes) and the irrigation ditch. They need to (1) provide the County with revised construction drawings showing the 35 foot buffer and (2) stipulate on the construction drawings that a construction fence will be placed along the 35 foot buffer line to prevent earthmoving equipment from entering the buffer area. The 35 foot buffer assumes that the frac tanks are empty. If hazardous materials (i.e. any amount of fracing liquids) are stored onsite, the buffer would have to be 100 feet. Thus, a condition of approval is that the tanks must be empty and that no hazardous materials will be stored at the site. The Applicant represents that no hazardous wastes or industrial wastes (produced water) are proposed to be stored in this storage area. As conditions of approval, Staff recommends that: 1. A 35 -foot buffer between the proposed disturbance and any irrigation ditch if the site is prohibited from containing hazardous or industrial wastes in amounts greater than 10 gallons, and a 100 -foot buffer between the proposed disturbance and any irrigation ditch if the site is not prohibited from containing hazardous or industrial wastes in amounts greater than 10 gallons. 2. Prior to the issuance of the Land Use Change Permit, the Applicant shall LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 1 / provide the Garfield County Planning Department Project Engineer revised construction drawings showing the appropriate buffer and stipulate on the drawing that a construction fence to satisfy the fence recommendations in 7- 201(c.) will be placed along the buffer line to prevent equipment from entering the buffer area. This requirement can be met with conditions recommended by Staff. 7-202 Protection of Wildlife Habitat Areas As discussed above in 7-201 A -D, Staff recommends those conditions of approval to mitigate adverse effects on wildlife. The wildlife report cites no adverse effect on sensitive species, but does mention that the sagebrush/pinyon/juniper plant community takes a long time to re-establish itself, and is of value to numerous bird species that are 'Birds of Conservation Concern'. The report states further that sagebrush is an important browse and cover for the Mule Deer and Elk herds that use this area, most importantly in winter. Reducing it height reduces its value to wildlife. The report also cites the drainages of Dry Hollow Creek and West Divide Creek as important to wildlife and fish. As a condition of approval, Staff recommends that construction be limited to the 'Ideal construction periods' listed in the the Wildlife Impact and Sensitive Species Report for F11 E Tank Storage Yard. This requirement can be met with conditions recommended by Staff. 7-203 Protection of Wetlands and Waterbodies The only semblance of a waterbody on the site is a nearby ditch Water quality protection has been addressed in 7-201(E). This requirement can be met with conditions recommended by Staff. 7-204 Protection of Water Quality from Pollutants The proposal has an adequate stormwater management plan and spill containment measures are adequate. Conditions set forth in the discussions of 7-201 and 7-203 shall be recommended as conditions of approval. This requirement can be met with conditions recommended by Staff. 7-205 Erosion and Sedimentation 7-206 Drainage 7-207 Stormwater Runoff As discussed in 7-204 above, the proposal has an adequate stormwater management plan and spill containment measures are adequate to address these three requirements. Conditions set forth in the discussions of 7-201 and 7-203 shall be recommended as conditions of approval. These requirements can be met with conditions recommended by Staff. LIRP EnCana USA Storage Facility —BOCC-8/10/09 Page 12 7-208 Air Quality The Applicant states that the majority of activity on the site will be performed in the daylight house and does not present that any on-site power will be present. Operations of the site shall be within CDPHE air quality standards, and the condition stated by the Applicant that 'prior to operations commencing at this facility, all CDPHE air quality emission control, notice and permitting requirements shall be satisfied' shall be a condition of approval. This requirement can be met with conditions recommended by Staff. 7-209 Areas subject to Wildfire Hazards 7-210 Areas subject to Natural Hazards and Geologic Hazards As discussed in 7-109 above. These requirements can be met with conditions recommended by Staff in 7-109. 7-211 Areas with Archaeological, Paleontological or Historical Importance A Class 1 Cultural Resource Survey was conducted and resulted in the statement that there is no material injury to cultural or paleontological resources, or items of historical importance as part of the site expansion. This requirement has been met. 7-212 Reclamation The site has been protected from landscape water run-on and the landscape water has been directed into waste water diversions for irrigation use on existing pastures. All surfaces used for storage have been stabilized with gravel. All other disturbances have been seeded with grasses and protected from erosion with a hydraulic erosion control mulch. Seeded surfaces will be maintained until revegetation reaches 80% cover. Maintenance includes reseeding, weed management and stormwater management. The site visit during the wettest part of the year revealed a need for more stringent weed abatement. The Applicant shall be required to provide adequate security to re -vegetate the site and cut slopes. A financial security shall be provided to restore the site to a pre- operation condition. Garfield County Planning Department Project Engineer John Niewoenher PE, comments: 2. Shod -term re -vegetation: I'm okay with Encana not giving us a bond for short-term re -vegetation of the minimal cutlfili slopes. However if you think otherwise, you can use the following language: "Places like the drainage swain and cut/fill slopes will need to be stabilized and re -vegetated as soon as the storage area is created. Enema needs to provide the County with (i) a re -vegetation plan and estimate of the area to be re - vegetated, (ii) a cost estimate for stabilization (erosion control), re -vegetation and weed management, (iii) a bond for this amount. Unless there are a lot of steep slopes requiring costly stabilization, the re -vegetation bond can usually be calculated at $2,500/acre." Regarding short-term re -vegetation and weed abatement, Garfield County Vegetation Management Director Steve Anthony comments: LIRP EnCana USA Storage Facility —BOCC-8/10/09 Page 13 1. Noxious Weeds Weed Management The weed management plan is acceptable. Staff requests that the applicant treat the two patches of Russian knapweed identified on the eastern perimeter of the project area prior to the start of construction. 2. Revegetation Revegetation Plan The revegetation plan is acceptable. All seed tags must be saved and made available to: Garfield County Vegetation Management, POB 426, Rife CO 81650 Revegetation Security The surface disturbance has been quantified as 3.12 acres. The revegetation security rate for a long-term project is $4000 per acre; the applicant has provided evidence of a security in the amount of $12,480. The security shall be held by Garfield County until vegetation has been successfully reestablished according to the Reclamation Standards in the Garfield County Weed Management Plan. It is the responsibility of the applicant to contact the County, upon successful revegetation establishment, to request an inspection for security release consideration. If the use as a storage facility is ended, the reclamation process shall be initiated within 60 days and meet the requirements set forth in the reclamation plan in place on the date the Land Use Change Permit issued, or the site reclamation standards in place at the time of use cessation, whichever is more stringent. The Reclamation Standards at the date of permit issuance are cited in Section 4.06, 4.07 and 4.08 of the Garfield County Weed Management Plan (Resolution #2002-94). GarCo Planning Department Project Engineer John Niewoenher PE, comments: 3. j.ong-term Reclamation of the Site: Encana has offered a bond for $000 per acre or $12,480. This $4,000 number is an estimate put forth for Steve Anthony for that re -vegetation after the sites use has been discontinued. Steve states emphatically that the $4,000 does not include re -grading. Thus, the $12, 480 is probably inadequate. The County expects that the industry will return the disturbed lands to pre -development conditions after extraction has occurred. Therefore, Encana needs to have in place a financial security (i.e. bond) for the cost to remove structures, re -grade the land, and re -vegetate the parcel. Encana needs to provide the County with: (i) an estimate the current cost to re -grade and re -vegetate the land, (ii) a calculation of the security needed considering 4% annual inflation rate and a 20 -year project life, (iii) the appropriate current Engineering News Record (ENR) price index. Using the ENR price index, during the life of the project the County can periodically reevaluate the security to determine if it is adequate. LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 14 SStaff finds that in reviewing these requirements together, that two goals need to be met by conditions of approval: Stabilizing the site with vegetation to provide cover and prevent weeds, and ensuring that the site be returned to a pre -development condition after the use is concluded. Staff finds that the re -vegetation security rate of $2500 per acre will provide adequate security for the short-term, but that $4000 per acre is not a suitable security for the site which will require extensive grading to return it to pre - development condition. Staff recommends the following be conditions of approval: 1. Prior to the issuance of the permit, the Applicant shall provide a security based on a site reclamation plan with the following components to the satisfaction of the Garfield County Planning Department Project Engineer: a. an engineer's estimate of the current cost for re -grading the site and re -vegetating the land, b. a calculation of the security needed, considering 4% annual inflation rate and a 20 -year project life, c. the appropriate engineering News Record (ENR) price index. 2. The Applicant shall provide a short term re -vegetation bond of $2500 per acre or $7800. This requirement can be met with conditions recommended by Staff. Article VII : Additional Standards 7-810: Additional Standards Related to Industrial Use A. All fabrication, service and repair operations shall be conducted within an enclosed building or obscured by a fence, natural topography or landscaping. No fabrication, service or repair operations are affiliated with this use. This requirement has been met. B. All operations involving loading and unloading of vehicles shall be conducted on private property and shall not be conducted on a public right- of-way. No loading or unloading is proposed to take place off the site. This requirement has been met. C. All outdoor storage facilities for fuel, raw materials and products shall be screened by natural topography or enclosed by a fence or wall adequate to conceal such facilities from adjacent property. LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 15 1. All outside storage abutting or facing a lot in a residential or commercial zone shall be screened by natural topography or enclosed by a site -obscuring fence to obstruct the storage area from view. The fence shall be of material and design that will not detract from adjacent residences. The design of this site has utilized natural topography that screens the site from the south, and rolling topography blocks the view of the site from the south. The storage area is set in a depression to limit its visibility above the horizon. As a condition of approval, any permanently affixed structures and man-made features shall be painted with non -reflective paint in a color (sage green) to reduce the visual impact. Staff also recommends increasing the earthen berms by four (4) vertical feet to reduce the visual impact, especially from residences nearby. These requirements can be met with conditions recommended by Staff. D. All industrial wastes shall be disposed of in a manner consistent with statutes and requirements of CDPHE. Staff notes that a minimal amount of produced water may be handled on this site. The operation shall be required to meet the waste handling requirements of the CDPHE as a condition of approval. This requirement can be met with conditions recommended by Staff. E. The volume of sound generated shall comply with the standards set forth in the Colorado Revised Statutes. The major noise generation on the site will be the periodic arrival and departure of large trucks. Staff recommends as a condition of approval that the site noise standards set forth in the Colorado Revised Statutes (CRS) for residential levels be applied to the use on this site, that being a daytime level of 55 dB(A) and 50 dB(A) for night. This requirement can be met with conditions recommended by Staff. F. Every use shall be operated so that the ground vibration inherently and recurrently generated is not perceptible without instruments at any point of any boundary line of the property Staff recommends that the operation on the site be performed so as to meet LLRP EnCana USA Storage Facility —BOCC-8/10/09 Page 16 the vibration requirements, that being imperceptible at the property line. This requirement can be met with conditions recommended by Staff. G. Every use shall be so operated that it does not emit heat, glare, radiation or fumes which substantially interfere with the existing use of adjoining property or which constitutes a public nuisance or hazard. Flaring of gases, aircraft warning signal and reflective painting of storage tanks, or other legal requirements for safety or air pollution control measures shall be exempted from this provision. In 7-810. C.1, Staff recommended that as a condition of approval, permanently affixed structures and man-made features shall be painted with non -reflective paint in a color (sage green) to reduce the visual impact on adjacent properties. Staff recommends an ongoing dust mitigation program be applied to the unsurfaced road on the subject parcel, and any temporary lighting on the site be downcast and directed inward as conditions of approval. This requirement can be met with conditions recommended by Staff. 7-821: Additional Standards Related to Storage A. Storage of Hazardous Materials. Flammable or explosive solids or gases shall be stored according to the manufacturer's standards and shall comply with the national, state and local fire codes and written recommendations from the appropriate local fire protection district. The conditions proposed by the Applicant incorporate comments from the fire service provider. Staff finds that these adequately address the storage of hazardous materials. This requirement has been met. B. Materials and Wastes Contained on Property. No materials or wastes shall be deposited on the property in a form or manner that may be transferred off the property by any reasonably foreseeable natural cause or force. As discussed in 7-205, 206, 207 and 7-810 D above, the proposal has an adequate stormwater management plan and spill containment measures are adequate to address this requirement. Conditions set forth in the discussions of 7-201 and 7-203 shall be recommended as conditions of approval. These requirements can be met with conditions recommended by Staff. In 7-201 and 7-203. C. Outdoor Storage Enclosed or Concealed. Outdoor storage facilities shall be enclosed or have adequate provisions to conceal these facilities LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 17 from adjacent property. As discussed in 7-810.C.1 above, the proposal has adequate provisions for the outdoor storage, that 'storage' being the tanks and structures on the site. This requirement can be met with conditions recommended by Staff in 7-810(c )(1.) D. Use and Storage of Heavy Equipment. Heavy equipment will be on site to pick up or drop off equipment, for short-term storage, repairs or maintenance. As the Applicant has represented the maximum number of trips to the site to average 20 per month, Staff recommends that a threshold level of 3 ADT be in place for the traffic to the site. Should that threshold level be exceeded, the Applicant shall, within 40 days, provide Garfield County with a plan that includes traffic analysis by a qualified engineer, a dust abatement program / road maintenance schedule to the satisfaction of Garfield County Road & Bridge Department. This requirement can be met with conditions recommended by Staff. 1. Loading and unloading activity shall be conducted on private property and not on any public row. This requirement has been addressed in 7-810.B. This requirement can be met with conditions recommended by Staff. 2. Repair and maintenance activity requiring use of equipment that will generate noise, odors or glare beyond the property boundaries will be conducted within a building, or outdoors during the hours of 8am to 6pm Monday through Friday. By following the Staff recommendations for conditions set forth in 7-810.E. F. and G, this adverse effect can be mitigated. Additionally, a potential increase in noise levels would be an increase in energy resource extraction activities that would require move movement of rolling stock from this site, generating increased noise, fumes and dust. This requirement can be met with conditions recommended by Staff. 3. Storage area is not located any closer than 300 ft from an existing residential dwelling. L1RP EnCana USA Storage Facility —BOCC —8/10/09 Page 18 The closest residence is over 1500 feet from the site. This requirement has been met. 4. Equipment storage will be enclosed in area with screening at least 8 feet in height and obscured from view at the same elevation or lower. This has been addressed in 7-810.C.1 This requirement can be met with conditions recommended by Staff. 5. A minimum lot size of 5 acres that are not a platted residential subdivision shall be required. These requirements have been met. 6. The storage area for uses not associated with natural resources shall not exceed ten (10) acres in size. This requirement has been met. Article IV, 4-502 E. Impact Analysis: The following sections were stated analysis and no additional commentary is necessary: 4-502 E.1-8. 4-502.E.9 —Traffic The Applicant has represented the maximum number of trips to the site to average 20 per month, Staff recommends that a threshold level of 3 ADT be in place for the traffic to the site. Should that threshold level be exceeded, the Applicant shall, within 40 days, provide Garfield County with a plan that includes traffic analysis by a qualified engineer, a dust abatement program / road maintenance schedule to the satisfaction of Garfield County Road & Bridge Department. This requirement can be met with conditions recommended by Staff. Finally, the site is not located in a floodplain. (This fact was not presented elsewhere.) VI. REVIEW AGENCY COMMENTS Staff referred the application to the following referral agencies for comment, with the response noted: • Garfield County Road & Bridge Department , Administrative Foreman Jake Mall, email dated 7.8.09 (Exhibit H ) LII213 EnCana USA Storage Facility —BOCC —8/10/09 Page 19 • Garfield County Vegetation Management Department, Manager Steve Anthony, email comments, revised, dated 7.28.09 (Exhibit I) • Garfield County Planning Department, Project Engineer John Niewoehner PE, email dated 7.29.09 (Exhibit J ) • Burning Mountains Fire Protection District, Fire Marshal Brit McLin, dated 7.30.09 (Exhibit K ) • Garfield County Oil & Gas Liaison- no comment received. • Division of Wildlife- no comment received. • Town of Silt- no comment received. VII. RECOMMENDED FINDINGS 1. Proper posting and public notice was provided as required for the meeting before the Board of County Commissioners. 2. The meeting before the Board of County Commissioners was extensive and complete, that all pertinent facts, matters and issues were submitted and that all interested parties were heard at that meeting. 3. The above stated and other reasons, the proposed special use permit has been determined to be in the best interest of the health, safety, morals, convenience, order, prosperity and welfare of the citizens of Garfield County. 4. The application has met the requirements of Limited Impact Review Permit (Sections 4- 501) the Garfield County Unified Land Use Resolution of 2008 as amended. VIII. STAFF RECOMMENDATION Due to the following conditions: • the limited nature of potential impacts to surrounding properties through conditions of approval that mitigate these effects, • the proposed is required to operated within compliance levels for noise and to mitigate glare and other emanations, Staff recommends the Board approve the request for a Land Use Change Permit evaluated through the Limited Impact Review process for the EnCana F11 E Storage Facility for EnCana Oil & Gas (USA) Inc. with the following conditions: 1. All representations of the Applicant, either within the application or stated at the hearing before the Board of County Commissioners, shall be considered conditions of LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 20 approval unless explicitly altered by the Board. 2. The operation of the facility be done in accordance with all applicable Federal, State, and local regulations governing the operation of this type of facility. 3. The Applicant shall comply with the fire protection provisions included in the rules and regulations of the Colorado Oil and Gas Conservation Commission (COGCC) and the International Fire Code as the Code pertains to the operation of this facility. 4. Updated emergency contact information shall be put in place on site and provided to the fire service provider (Burning Mountains Fire Protection District) no less than annually. 5. The Fl 1E Storage Facility shall be so operated that the ground vibration inherently and recurrently generated is not perceptible, without instruments, at any point of any boundary line of the property on which the use is located. 6. Volume of sound generated shall comply with the standards set forth in the Colorado Revised Statutes for residential levels. 7. Emissions of smoke and particulate matter: the Fl 1E Storage Facility shall be so operated so as to comply with all Federal, State and County air quality laws, regulations and standards. 8. The operation shall be required to meet the waste handling requirements of the CDPHE as a condition of approval. 9. Emission of heat, glare, radiation and fumes: the Fl 1E Storage Facility shall be operated so that it does not emit heat, glare, radiation or fumes which substantially interfere with the existing use of adjoining property or which constitutes a public nuisance or hazard. 10. All permanently affixed equipment and structures shall be painted with non -reflective paint in neutral colors (sage green) to reduce glare and reduce visual impacts. 11. To reduce the visual impact, especially from residences nearby, the earthen berms shall be increased by four (4) vertical feet. 12. Any temporary lighting shall be pointed downward and inward to the property center and shaded to prevent direct reflection on adjacent property. 13. The Applicant shall be to required to perform dust mitigation and road maintenance on the section(s) of the roadway that are their responsibility: a. The roadway connecting from CR 331 to F11 E well pad site shall be graded LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 21 in response to assessment by the Garfield County Road & Bridge Department, b. Dust abatement shall be performed as per a schedule recommended by Garfield County Road & Bridge Department. 14. Proper permits from Garfield County Road & Bridge for overweight/oversize vehicles and traffic control plans during the installation of structures and tanks are also required 15. A traffic threshold level of 3 ADT shall be in place for the traffic to the site. Should that threshold level be exceeded, the Applicant shall, within 40 days, provide Garfield County with a plan that includes traffic analysis by a qualified engineer, a dust abatement program / road maintenance schedule to the satisfaction of Garfield County Road & Bridge Department. 16. To ensure safety to wildlife and domestic animals: a. All fencing shall follow Division of Wildlife 'wildlife friendly' fencing requirements. Industrial chain link fence shall be replaced with 2" x 4" mesh horse fence. b. A bear -proof dumpster or waste container shall be provided on the site, c. No domestic animals, such as dogs, shall accompany employees or subcontractors to the site. d. Construction shall be limited to the 'ideal construction periods' listed in the Wildlife Impact and Sensitive Species Report for HIE Tank Storage Yard. 17. Prior to the issuance of the permit, the Applicant shall be required to provide adequate security to re -vegetate the site and cut slopes to a 'pre-operation condition'. a. If the site is prohibited from containing hazardous or industrial wastes in amounts greater than 10 gallons, a 35 -foot buffer between the proposed disturbance and any irrigation ditch is required, b. If the site is not prohibited from containing hazardous or industrial wastes in amounts greater than 10 gallons, a 100 -foot buffer between the proposed disturbance and any irrigation ditch is required, b. The Applicant shall provide the Garfield County Planning Department Project Engineer revised construction drawings showing the appropriate buffer, and stipulate on the drawing that a construction fence to satisfy the fence LIRP EnCana USA Storage Facility —BOCC —8/10/09 Page 22 recommendations in 7-201(c.) will be placed along the buffer line to prevent equipment from entering the buffer area. 18. The Applicant shall provide a short term re -vegetation bond of $2500 per acre for 3.12 acres, or $7800. 19. Prior to the issuance of the permit, a security to return the site to its 'pre - development' condition shall be provided by the Applicant based on a site reclamation plan with the following components to the satisfaction of the Garfield County Planning Department Project Engineer: a. an engineer's estimate of the current cost for re -grading the site and re -vegetating the land, b. a calculation of the security needed, considering 4% annual inflation rate and a 20 -year project life, c. the appropriate engineering News Record (ENR) price index. If the use as the F11 E Storage Facility is ended, reclamation shall be initiated within 60 days and meet the requirements set forth in the reclamation plan in place on the date the Land Use Change Permit issued, or the site reclamation standards in place at the time of use cessation, whichever is more stringent. The reclamation standards at the date of permit issuance are cited in Section 4.06, 4.07 and 4.08 of the Garfield County Weed Management Plan (Resolution #2002-94). 20. Proper building or grading permits shall be secured from Garfield County prior to construction. IX. RECOMMENDED MOTION "I move to approve a Land Use Change Permit through the process of a Limited Impact Review allow the installation, operation and maintenance of the EnCana F11 E Storage Facility for EnCana Oil & Gas (USA), Inc. with the conditions provided by Staff." Dusty Dunbar From: John Niewoehner Sent: Wednesday, July 29, 2009 3:36 PM To: Dusty Dunbar Subject: Encana - LIR - Fl 'IE Tank Storage Yard - Engin Comments Dusty - - Here are my comments: 1. Code Section 7-203; 35' Buffer from Water Bodies: Presuming that Irrigation ditches are Included in the definition of water bodies (Article XVI, Page 16-52), there needs to be a 35 foot buffer between proposed disturbance (including cut & fill slopes) and the irrigation ditch. They need to (1) provide the County with revised construction drawings showing the 35 foot buffer and (2) stipulate on the construction drawings that a construction fence will be placed along the 35 foot buffer line to prevent earthmoving equipment from entering the buffer area. The 35 foot buffer assumes that the frac tanks are empty. If hazardous materials (i.e. any amount of fracing liquids) are stored onsite, the buffer would have to be 100 feet. Thus a condition of approval is that the tanks must be empty and that no hazardous materials will be stored at the site. 2. Short-term re -vegetation: I'm okay with Encana not giving us a bond for short-term re -vegetation of the minimal cut/fill slopes. However if you think otherwise, you can use the following language: "Places like the drainage swales and cut/fill slopes will need to be stabilized and re -vegetated as soon as the storage area is created. Encana needs to provide the County with (i) a re -vegetation plan and estimate of the area to be re - vegetated, (ii) a cost estimate for stabilization (erosion control), re -vegetation and weed management, (iii) a bond for this amount. Unless there are a lot of steep slopes requiring costly stabilization, the re -vegetation bond can usually be calculated at $2,500/acre." 3. Long-term Reclamation of the Site: Encana has offered a bond for $4,000 per acre or $12,480. This $4,000 number is an estimate put forth for Steve Anthony for that re -vegetation after the site's use has been discontinued. Steve states emphatically that the $4,000 does not Include re -grading. Thus, the $12, 480 is probably inadequate. The County expects that the industry will return the disturbed lands to pre -development conditions after extraction has occurred. Therefore, Encana needs to have In place a financial security (i.e. bond) for the cost to remove structures, re -grade the land, and re -vegetate the parcel. Encana needs to provide the County with: (i) an estimate the current cost to re -grade and re -vegetate the land, (ii) a calculation of the security needed considering 4% annual inflation rate and a 20 -year project life, (iii) the appropriate current Engineering News Record (ENR) price Index. Using the ENR price Index, during the life of the project the County can periodically reevaluate the security to determine if it is adequate. I think that's everything. John MEMORANDUM To: Dusty Dunbar From: Steve Anthony Re: Comments on the EnCana FOE Tank Storage Yard Date: July 28, 2009 Thanks for the opportunity to comment on this permit. My comments are as follows: Noxious Weeds Weed Management The weed management plan is acceptable. Staff requests that the applicant treat the two patches of Russian knapweed identified on the eastern perimeter of the project area prior to the start of construction. Revegetation Revegetation Plan The revegetation plan is acceptable. All seed tags must be saved and made available to: Garfield County Vegetation Management POB 426 Rifle CO 81650 Revegetation Security The surface disturbance has been quantified as 3.12 acres. The revegetation security rate for a long-term project is $4000 per acre; the applicant has provided evidence of a security in the amount of $12,480. The security shall be held by Garfield County until vegetation has been successfully reestablished according to the Reclamation Standards in the Garfield County Weed Management Plan. It is the responsibility of the applicant to contact the County, upon successful revegetation establishment, to request an inspection for security release consideration. If the use as a storage facility is ended, the reclamation process shall be initiated within 60 days and meet the requirements set forth in the reclamation plan in place on the date the Land Use Change Permit issued, or the site reclamation standards in place at the time of use cessation, whichever is more stringent. The Reclamation Standards at the date of permit issuance are cited in Section 4.06, 4.07 and 4.08 of the Garfield County Weed Management Plan (Resolution #2002-94). 07/31/2009 14:09 FAX 9708765738 Burning Mountains Fire Burning Mountains Fire Protection District humin n1nrefrd@m,n.rom Dusty Dunbar Garfield County Planning Dept. Ref. EnCana FI 1E Tank Storage Yard July 30, 2009 Dusty: After reviewing the proposed EnCana Fl 1E Tank Storage Yard, Burning Mountains Fire Protection District has no comments or additional requirements to this application, BOARD OF DIRECTORS`. President, Karen Maddaione•Cochran Secretary, John Moore Jr. Director, Robert Thrower rlt C, McLin Fire Chief, Brit C. Melia @1002 Treasurer, John W. Gredig Director, BOND NO. 105190020 PERMIT BOND KNOW ALL BY THE PRESENTS, That we EnCana Oil & Gas (USA) Inc. as Principal, and the Travelers Casualty and Surety Company of America a Connecticut corporation, as Surety, are held and firmly bound unto Garfield County, Board of County Commissioners, 108 8th Street, Bldg & Planning Dep as Obligee, in the sum of Twelve Thousand Four Hundred Eighty Dollars & NO/100 DOLLARS ($ 12,480.00 ) for which sum, well and truly to be paid, we bind ourselves, our heirs executors, administrators, successors and assigns, jointly and severally, firmly by these presents. 'WHEREAS, the Principal has been or is about to be granted a Special Use Permit for Fl1E Tank Storage Yard covering approximately 3.12 acres located in Sec 11, T7S, R92W; S1/2, NW1/4; Garfield County by the Obligee. NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH THAT if the Principal shall well and truly comply with applicable local ordinances, and conduct business in conformity therewith, then this obligation to be void: otherwise to remain in full force and effect, in no event shall the liability hereunder exceed the penal sum hereof. PROVIDED AND SUBJECT TO THE CONDITIONS PRECEDENT: 1. This obligation may be canceled by the Surety by giving thirty (30) clays notice in writing of the intention to do so to the Obligee, and the Surety shall be relieved of any further liability under this Bond thirty (30) days after receipt of said notice by the Obligee, except for defaults occurring prior thereto. 2. Any claim must be presented in writing to 4650 Westway Park Blvd., Houston, Texas 77041-2036 3. Surety shall have no obligation to the Principal, the Obligee or any other person or entity for any loss suffered by the Principal, the Obligee or any other person or entity by reason of acts or omissions which are or could be covered by the Obligee's or the Principal's general liability insurance, products liability insurance, completed operations insurance or any other insurance. 4. No right or action shall accnre under this Bond to or for the use or benefit of anyone. other than the named Obligee. 5. The Obligee will issue a release of this Bond within a reasonable period, but in no instance longer than thirty (30) days after termination of the Permit. IN WITNESS WHEREOF, the above. bound parties have. executed this inshument under their several seals this 27th day of March , 2009 , the name and corporate seal of each corporate party being hereto affixed and those presents duly signed by its undersigned representative pursuant to authority of its governing body. This bond is Effective from: March 27, 2009 EnCana Oil & Gas (USA) Inc. By: C. , h We c • e, G. w ocdi A nork.-in F . 1- Tr.r rs Casualt and Suret C. i .an of America I!P.L a z Principal Surety Candace D. Bosheers , At ritey-in-Fact TRAVELER5J WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER POWER OF ATTORNEY Farmington Casualty Company Fidelity and Guaranty Insurance Company Fidelity and Guaranty Insurance Underwriters, Inc. Seaboard Surety Company St. Paul Fire and Marine Insurance Company Attorney -In Fact No. 219916 St. Paul Guardian Insurance Company St. Paul Mercury Insurance Company Travelers Casualty and Surety Company Travelers Casualty and Surety Company of America United States Fidelity and Guaranty Company Certificate No. 0 02340171 KNOW ALL MEN BY THESE PRESENTS: That Seaboard Surety Company is a corporation duly organized under the laws of the State of New York, that St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company and St. Paul Mercury Insurance Company are corporations duly organized under the laws of the State of Minnesota, that Farmington Casualty Company, Travelers Casualty and Surety Company, and Travelers Casualty and Surety Company of America are corporations duly organized under the laws of the State of Connecticut, that United States Fidelity and Guaranty Company is a corporation duly organized under the laws of the State of Maryland, that Fidelity and Guaranty Insurance Company is a corporation duly organized under the laws of the State of Iowa, and that Fidelity and Guaranty Insurance Underwriters, Inc. is a corporation duly organized under the laws of the State of Wisconsin (herein collectively called the "Companies"), and that the Companies do hereby make, constitute and appoint Teresa D. Kelly, Dan W. Burton, Benjamin D. Wilcox, and Candace D. Bosheers of the City of Houston State of Texas their true and lawful Attomey(s)-in-Fact, each in their separate capacity if more than one is named above, to sign, execute, seal and acknowledge any and all bonds, recognizances, conditional undertakings and other writings obligatory in the nature thereof on behalf of the Companies in their_ business of guaranteeing the fidelity of persons, guaranteeing the performance of contracts and executing or guaranteeing bonds and undertakings required or permitted -in any actions of proceedings allowed by law. 4 • s.a 23rd \�l WITNESSWHEREOF, the Commits have caused this instrument to be signed and their corporate seals to be hereto affixed, this y of April (44, Farmington Casualty Company Fidelity and Guaranty Insurance Company A_ Fidelity and Guaranty Insurajice Underwriters, Inc. Seaboard Surety Company St. Paul Fire and Marine Insurance Company St. Paul Guardian Insurance Company St. Paul Mercury Insurance Company Travelers Casualty and Surety Company Travelers Casualty and Surety Company of America United States Fidelity and Guaranty Company State of Connecticut City of Hartford ss. By: Georg: / Thompson, 'enior ice President On this the 23rd day of April 2008 before me personally appeared George W. Thompson, who acknowledged himself to be the Senior Vice President of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., Seaboard Surety Company, St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company, and that he, as such, being authorized so to do, executed the foregoing instrument for the purposes therein contained by signing on behalf of the corporations by himself as a duly authorized officer. In Witness Whereof, I hereunto set my hand and official seal. y Commission expires the 30th day of June, 2011. 58440-5-07 Printed in U.S.A. Marie C. Tetreault, Notary Public WARNING:THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER This Power of Attorney is granted under and by the authority of the following resolutions adopted by the Boards of Directors of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., Seaboard Surety Company, St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company, which resolutions are now in full force and effect, reading as follows: RESOLVED, that the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President, any Vice President, any Second Vic President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary may appoint Attorneys -in -Fact and Agents to act for and on behalt of the Company and may give such appointee such authority as his or her certificate of authority may prescribe to sign with the Company's name and seal with the Company's seal bonds, recognizances, contracts of indemnity, and other writings obligatory in the nature of a bond, recognizance, or conditional undertaking, and any of said officers or the Board of Directors at any time may remove any such appointee and revoke the power given him or her; and it is FURTHER RESOLVED, that the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice President may delegate all or any part of the foregoing authority to one or more officers or employees of this Company, provided that each such delegation is in writing and a copy thereof is filed in the office of the Secretary; and it is FURTHER RESOLVED, that any bond, recognizance, contract of indemnity, or writing obligatory in the nature of a bond, recognizance, or conditional undertaking shall be valid and binding upon the Company when (a) signed by the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice President, any Second Vice President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary and duly attested and sealed with the Company's seal by a Secretary or Assistant Secretary; or (b) duly executed (under seal, if required) by one or more Attorneys -in -Fact and Agents pursuant to the power prescribed in his or her certificate or their certificates of authority or by one or more Company officers pursuant to a written delegation of authority; and it is FURTHER RESOLVED, that the signature of each of the following officers: President, any Executive Vice President, any Senior Vice President, any Vice President, any Assistant Vice President, any Secretary, any Assistant Secretary, and the seal of the Company may be affixed by facsimile to any power of attorney or to any certificate relating thereto appointing Resident Vice Presidents, Resident Assistant Secretaries or Attorneys -in -Fact for purposes only of executing and attesting bonds and undertakings and other writings obligatory in the nature thereof, and any such power of attorney or certificate bearing such facsimile signature or facsimile seal shall be valid and binding upon the Company and any such power so executed and certified by such facsimile signature and facsimile seal shall be valid and binding on the Company in the future with respect to any bond or understanding to which it is attached. I, Kori M. Johanson, the undersigned, Assistant Secretary, of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., Seaboard Surety Company, St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company do hereby certify that the above and foregoing is a true and correct copy of the Power of Attorney executed by said Companies, which is in full force and effect and has not been revoked. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed the seals of said Companies this 19 r day of /A-04 w S , 2 4.1 Kori M. Johansdn(Assistant Secretary To verify the authenticity of this Power of Attorney, call 1-800-421-3880 or contact us at www.travelersbond.com. Please refer to the Attorney -In -Fact number, the above-named individuals and the details of the bond to which the power is attached. WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER