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HomeMy WebLinkAbout1.0 Correspondence & MemosThe first agenda item will be the continued discussion of the proposed pipeline regulations. staff wasdirected to poll the Board of county commissionomno enJg-/ioui.ory Board regarding the intent ofthe regulations' As of this morning, only one EAB memoer hJo commented, which was Dave cesarkfrom williams Energy/coGA and n'is comments were as foilows: The requirement for placement along property perimeters and not within crop areas is nowcharacterized as a "general guide"; lio'*"r"r, -"non-perimeiei,, locations still require surfaceowner approval (presumably obtained in the Ro\Alagreemlnt; rno ,,no ,Jror"lilpr"t.', onadjaCent pfOpeftieS - ' ' -v' qr rv I rv qu v=r Dc ll I lpi ln addition' the reg's still require compliance with federal/state T&E species, air quality and waterquality provisions,over which the county nas no;uiis;"ii- 1's.oz.oo s, 6&z). such ,,hortatory, language should be avoided in any regrJlation. lnformal conversations with other people and listening to some of the presentations mafle to the Boardof county commissioners on howto dp"no tn" Encana fine money, it appears that these areas are themajor concerns: Location: where are,the pipelines going to be located and then where they are actually located?People want to be able to anticipate'the"construction of a pipeiine and then have a record of whereit is located for future emergency and non_emergency purposes. Reveoetation: A:?":f: revegetation plan and timeline for revegetating the cuts. some way toguarantee the revegetation is completed and that noxious *""0r are keep out of the disturbedareas. Traffic & construction lmpacts: How much and -what type of construction traffic will there be andyffl.,:Tf,.,:'lfi?r;;:; W-"t are the hours or constiuction activity? wrren wirrine-project start The framework of the proposed administrative process can address all of these concerns, if thePlanning commission feels these are the i=.u"" that need to oe aoJresseo. At the time of this memobeing written, no work had commenceo onierisions to the proposed regurations, Ulemo lo: From: Date: Re: Planning Commission Mark Bean, Director 9t27t2004 Proposed Pipeline regulations - ffi Memo To: From: Date: Re: Planning Commission Mark Bean, Director 8t17t04 Pipeline regulations Attached for your review are proposed regulations developed by staff, based on regulations from Boulder County. The Boulder County regulation was noted by industry representatives as a good model for such a regulation during a public hearing on this issue earlier this year. The proposed regulation creates an administrative process for the review of all pipelines, on either an individual line basis or on a field wide basis. The option of permitting an area of pipeline development is unique to this proposal and has been supported by some industry representatives in the past. lnitially, the County Commissioners directed staff to develop a regulation dealing with "pipelines". The Planning Commission reviewed a proposed definition and regulation amendment at the December 2003 meeting. The proposed amendments were not approved by the Board of County Commissioners, with the exception of two amendments that allowed for parallel permitting a land use permit applications that require another State or Federal agency approval. The Board referred a modified definition and a proposed Section 9.07, Development Plan Review for Oil and Gas Operations. That proposal never made it past the Planning Commission. The Board then entered into discussions with the State Oil and Gas Conservation Commission (COGCC) and other counties through the Colorado Counties lncorporated (CCl) to consider the development of OGCC regulations dealing with pipelines. Other counties involved with the process determined that they did not want to have state wide regulations dealing with pipelines. Since the County does not have a definition of a pipeline and there is no State or Federal regulation of pipelines from the end of the flowline to Federally controlled transmission lines, the Board directed staff to develop a regulation to deal with pipelines that are not regulated by State or Federal regulations. In addition to the proposed regulations, a definition needs to be developed. Prior to the last regulations being discarded, the Board of County Commissioners had developed a proposed definition. The proposed definition states the following: 2.02.431 Pipeline: Any conduit and appurtenant facilities designed for, or capable of, transporting natural gas, other petroleum derivatives or other liquid matter, which creates a hoop stress of twenty percent (20%) or more at their specified minimum yield strength. Pipelines regulated, licensed or permitted under federal regulations as interstate transmission lines shall be exempt from regulation under this Chapter. Garfield GounQz Bulldinq & Planr It is also necessary to add the land use "pipeline subject to review and approval per procedure and requirements of Section 9.07" to Sections 3.02.01, 3.07.01 and 3.08.01. These changes would add "pipeline" as a Use by Right to the A/R/RD, C/L and C/G zone districts. The proposed regulations and definition have been reviewed by the County Energy Advisory Board and staff has attempted to modify the regulations consistent the comments made at the meeting. Also attached is a letter from the Colorado Oil and Gas Association to Doug Dennison, which notes some issubs that they feel need to be changed or addressed in the proposed regulations. Staff acknowledges that the County has no authority to regulate flowlines, as defined by the COGCC and would recommend that the proposed deflnition language be modified to exempt flowlines from the definition that meet the COGCC definition of a flowline. Other issues noted, will be discussed with the Planning Commission at the meeting or reflected in modifications attached to this memo. STAFF RECOMMENDATION; The Planning Commission recommend approval of the recommended addition of Section 9.07, Development Plan Review for Piplines. The addition of the definition "Pipeline" as follows: 2.02.432 Pioeline: Any conduit and appurtenant facilities designed for, or capable of, transporting natural gas, other petroleum derivatives or other liquid matter, which creates a hoop stress of twenty percent (20%) or more at their specified minimum yield strength. Pipelines regulated, licensed or permitted under federal regulations as interstate transmission lines or state regulations as flowlines, shall be exempt from regulation.. The addition of the land use "pipeline subject to review and approval per procedure and requirements of Section 9.07" to Sections 3.02.01, 3.07.01 and 3.08.01. aPage2 9.07 9.07.01 9.07.02 9.07.03 9.07.04 Development PIan Review for Pipelines Purpose (1) This development plan review is an administrative review procedure for pipelines considered likely to significantly impact surrounding land uses qnd infrastructureneeds ""d'W"m fiefl/ft ,r\ff1 6)4'' {r{f/ .Zff '1 t ?v I M1 (2) Development plan gfrew should b"",rr before#firH=Jtof working d.a*irrgs ;"K"";6"rpJ.eted for submission as part of an application for a building permi part of the review procedure, the applicant may be required to submit a development plan indicating siting and layout, buffering, landscaping, access, lighting, and other specific data. (3) Development plan review is not intended to mandate aesthetics of design. Development Plan Review Requirements: A development plan must be submitted for the site or area of any pipeline(s) proposed to be located in the unincorporated area of Garfield County. Development plan approval is required prior to the issuance of any County building permits, or associated access or other land use permits associated with pipeline operations. However, pipeline operations which do not require a builfing or other associated County permit must still obtain development plan approval under this resolution. Application: The application for development plan review shall be made on application forms available at the County Planning Department. Such forms shall have all spaces completed, designate all agents, exhibit all owner or operator signatures, and be accompanied by required fees and all materials required within these regulations. Development Plan Submission: The applicant shall submit eight copies of the proposed development plan with the completed application form to the Planning Director. The following information must be submitted with a development plan application: (1) A vicinity map indicating the section, township, and range of the site, and its relation to surrounding public roads and municipal boundaries. (2) Route Drawing/Flagging A. If the application is for a single pipeline, a detailed drawing of the route at a minimum scale of I inch tgffieet,including the following: /dD 1. The dimensions of the proposed route, indicating area in square feet and acres, and the area to be disturbed; 2. the location of all associated pipeline structures; 3. Bxisting and proposed roads within the site as well as ingress and egress from public or private roads; 4. Lease lines, if applicable; 5. On-site features such as floodplain designations, water courses, drainage, utility lines and easements, ditches, wetlands or aquatic feet. - ,. f)* proposed 6{th. apphcatfi ?. approved. B. If the application is for a development plan for the development of pipeline operations for an area? a detailed drawing at a scale suitable to identify all pipelines and assogiated facilities, including the follo*'ing: proPJttt 1. The location of aU(ipelines and compressor sites, inficating the easement/right-of-way widths and the total disturbance area and the of compressor sites to be located along each route; 2. Existing and proposed roads along the route as well as ingress and egress from public or private roads; 3. Lease lines, if applicable; 4. Area features such as floodplain designations, water courses, drainage, utility ]ines and easements, ditches, wetlands or aquatic habit at, geologic fe ature s, ve getativT6G[ {ims]r-us grvoirs, and mtnes: 5. Existing topography ofthe area)ilH 0 ft. fufdcvals at the - 6. Thgllroposed-rou tes shgJkbe fl agged;rr*Q ip{otthe apflfcation-a-nf, remain irrpface u,if y'" a"i,"l/rpment plan is approved. (3) Ownership A. For individual routes, a diagram showing adjacent properties and the approximate location of buildings and their uses within a distance of 350 feet of any proposed structure, faciJity, or area to be disturbed. This may be drawn at a smaller scale than the site plan. B. For arr area plan, the map will show the property boundaries and ownership information for all private and public property included in the development area. (4) Evidence of surface owner notification and of surface agreements where the surface owner is not a party to the mineral lease. (5) Copies offinancial guarantees in the form ofbonds, letters ofcredit, cash, certificates of deposit, or other guarantees acceptable to the County, - routes, geologic features, vegetative cover, dams, res \P#:X;*ffi;*;ls.,p'y or the .o,,," * te shall be fl when the Director determines that financial guarantees are necessary to assure the performance of specific confitions of approval of the development plan. This requirement may be waived by the Director if the Director is satisfred that infividual bonds posted with the OGCC for the proposed operation cover the conditions ofthe development plan approval granted under this Resolution, or if the operator posts a blanket bond with the Director covering all operations conducted in Garfield County in an amount of $50,000 or more, if justified by the Director. (6) An operation plan inclufing the method of and schedule for the completion abandonment, and reclamation phases of each individual pipeline. (7) An emergency response plan, including a fire protection and hazardous materials spills plan, which specifies planned actions for possible emergency events? a listing of persons to be notifred of an emergency event, proposed signage, and provisions for access by emergency response teams. The emergency plan must be acceptable to the appropriate fire district or the County Sheriff, as appropriate. The plan shall include a provision for the operator to reimburse the appropriate emergency service provider for costs incurred in connection with emergency response for the operator's activities at the site. (B) A reclamation plan, including proposed recontouring, revegetation or other appropriate measures to restore the surface while operations proceed or after they cease, consistent with standards established by the U.S. Bureau of Land Management for simi-lar activities. (0) A, odor and dust abatement plan to control impacts on adjacent properties during construction and operation. (10) Any proposed measures necessary to mitigate anticipated adverse impacts on the aesthetic features of the site, views from surrounding properties or public rights-of-walr or on significant environmental resources such as wetlands or plant and wildlife habitats. (11) An access and transportation route plan. (L2) A waste fisposal plan. (13) A drainage and erosion control plan for both on-site and off-site drainage. (15) An undesirable plant management plan for the site or area. 9.07.05 Referral and Review by Director: The Director will coordinate the review of the development plan application. Upon the filing of a complete application for development plan review, the Director shall promptly forward one copy to the County Road & Bridge, Oil & Gas Auditor and Engineering 9.07.06 Departments; the appropriate fire district or County Sheriff; the surface owners of an individual pipeline development plan; and any adjacent municipality for comment. (1) Referral comments on the proposed development shall be returned to the Director no later than 18 days from the date of application for an infividual site application and 30 days from the date of application for an area development plan.';*u*l"^L^P (2) ln addlu./on, the applicant shall notify the property owners within 200 feet of,(f{route that are not affected surface owners with an agreement with the applicant. A sign will be posted on the portions of the route crossing or adjacent to a public road within seven days after receiving the application for an infividual development plan review. Both the notice and the sign shall indicate that a development plan rerriew application has been made, and the phone number of the Planning Department where information regarding the application may be obtained. 200 ohla*.T]re applicant shall notify all property owners within l€OOfeet of the crutsidle y<af an area development plan and post a sign at the intersection of each public road entering the area within seven days after receiving the application for an area development plan review. Both the notice and the sign shall indicate that a developnrent plan review application has bcen made, and the phone number of the Planning Department where information regarfing the application may be obtained. (3) Any determination by the Director to approve or conditionally approve a development plan application must be in writing and mailed or otherwise provided to the applicant no later than 28 days for an individual pipeline development plan or 60 days for an area pipeline development plan, after the date on which the development plan application is filed. Failure to make a determination on the application within this time period shall result in the application being considered approved and the applicant's building permit or access, or other permits being processed. Development PIan Review Standards and Criteria for Approval: A development plan shall be approved or conditionally approved in accordance with the following standards and criteria. (I) Pipelines and any associated facilities shall be located along the perimeters of surface property ownerships and not within areas of agricultural crop production as a general guide. Non-perimeter locations will be acceptable if the surface owner agrees and there is no adverse impact on adjacent properties. (2) Aoy equipment used in construction or operation of a pipeline must comply with Section 25-12-103, C.R.S., Maximum Permissible Noise Levels. a. For any pipeline construction or operational facfity that will have a substantial impact in adjacent areas, additional noise mitigation may be required. One or more of the following additional noise nritigation measures may be required: (i) acoustically insulated housing or covers enclosing any motor or engine; (ii) screening of the site or noise emitting equipment by fence or landscaping; (iii) a noise management plan specifying the hours of maximum noise and the type, frequency, and level of noise to be emitted; and (iv) any other noise mitigation measures required by the OGCC. b. All po\.ver sources used in pipeline operations shall have electric motors or muffled internal combustion engines. (3) Pipetine operations shall be located in a manner to minimize their visual impact and fisturbance of the land surface. a. The location of pipelines shall be away from prominent natural features and identified environmental resources. b. Pipelines shall be located to avoid crossing hills and ridges, and wherever possible, shall be located at the base of slopes. c. Facilities shall be painted in a uniform, noncontrasting, nonreflective color, to blend with the adjacent landscape. Pipelines shall be located in existing disturbed areas unless safety or visual concerns or other adverse surface impacts clearly dictate otherwise. d. In areas where the corridor or associated facilities will have a substantial visual inrpact on the surrounding area, an accelerated revegetation schedule may be required. Specific or revegetation requirements may include, but are not necessarily limited to, establishing and properly maintaining ground cover, shrubs, and trees; shaping cuts and fills to appear as natural forms; designing the pipeline to utilize natural screens. (4) Access points to public roads shall be reviewed by the County Road & Bridge Department and shall be built and maintained in accordance with the Garfield County Road Specifications. All access and oversize or overweight vehicle permits must be obtained from the County Road & Bridge Department prior to beginning operation. All proposed transportation routes to the site shall also be re'rriewed and approved by the County Road & Bridge Department to minimize traffrc hazards and adverse impacts on public roadways. Existing roads shall be used to minimize land disturbance unless traffic safety, visual or noise concerns, or other adverse surface impacts clearly dictate otherwise. ,/dvrl x'. 9.O7.O7 A- Any new roads created as a result of the pipeline construction, intended to be permanent for maintenance and repair operations shall be placed behind a locked gate or other barriers preventing use by recreational vehicles' Any gates or barriers need to be consistent with the surface o\{ners preferences. (6) Air contaminant emissions shall be in compliance with the applicable permit and control provisions of the Colorado Air Quality Control Program, Title 25, Resolution 7, C.R.S.. \ \ (7) All operations shall comply with all applicable State Public Health and \ Errr.iro.r-ent, Water Quality Control standards. (B) A"y proposed waste fisposal or treatment facilities shall comply with all requirements of the County Infividual Sewage Disposal System Regulations. (9) The proposed reclamation plan shall provide for a reasonable reclamation schedule in light of the specific surface use and surrounding land uses, and may require recontouring and revegetation of the surface to pre-disturbance conditions. alter-ef -{ppli€artqr€€r apd the and the Cnrnp*eherrs've Plt.. Conditions of Approval (1) If the Director finds in reviewing a development plan application that the application meets the applicable standards set forth above, the Director shall approve the site plan, and the applicant may continue the processing of the building or other associated County permit application, or otherwise engage in the proposed pipeline. (2) If the Director finds that the application does not meet an applicable standard or standards, the application shall be approved with appropriate reasonable conditions imposed to avoid or minimize the significant adverse impacts of the development. Such conditions may include, but are not necessarily limited to, the relocation or modification of proposed access roads, facilities, or structures; landscaping, buffering, or screening; posting of adequate financial guarantees; compliance with specified surface reclamation measures; or any other measures necessary to mitigate any significant impact on surrounding properties and public infrastructure. (3) Once the Director issues a deterrnination on the development plan, the determination shall not be final, and no permit based upon the determination shall be issued, for 14 calendar days after the date of the determination, in order to allow time for the applicant to appeal, or for the 15) tn no case shall an ooerator ensase in activities which threaten an ?.,du.,g"r*d species. a.r'olldtrtt)'tq F<d fd4 , 0 9.07.08 9.07.09 Board of County Commissioners to call up the deternrination for further review, pursuant to Sections 9.07.08 and 9.07.09 of this Resolution. The Director's determination shall becorne final, and permits applied for in accordance with the determination may be issued, only after the expiration of this 14-day period, and only if the determination is not reviewed and acted upon by the Board of County Commissioners at a subsequent appeal or call-up hearing. Applicant's Right of Appeal of Conditional Approval (1) In the event that the Director conditionally approves a development plan application, the applicant shall be entitled to appeal the approval to the Board of County Commissioners. The applicant must frle an appeal for this purpose with the Director in writing no later than seven calendar days after the date of the Director's determination. If the deternrination is mailed to the applicant, three additional days for mailing shall be added to the time for fiJing an appeal. (2) The Board shall review the Director's determination at a public hearing held as soon as practical after the date of the determination. Prior written notice of this hearing shall be provided to the applicant and to affected surface property owners, and shall be published as part of the Board's agenda in a newspaper of general circulation in Garfield County. (3) At the public hearing the Board shall consider e'rridence related to the Director's determination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be limited in their review to the subject of the appeal, but may review any aspect of the development plan application. Based upon this evidence the Board may affirm the Director's determination, or may approve the development plan with modified, altered, deleted, or added conditions in accordance with Section 9.07 .06 of this Resolution. No County building, grading, or access permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the development plan with or without the adfition or modification of conditions. Board of County Commissioners' Review ("Call-up") of a Determination to Approve or Conditionally Approve a Development Plan (1) No County builfing, grading or access permit may be issued to the applicant, nor shall the applicant be authorized to proceed with any proposed pipeline construction not requiring one of these County permits, for 14 calendar days after the date of the Director's approval, in order for the Board of County Commissioners to review the approval. At the same time written approval of the development plan is provided to the applicant, the Director shall forward to the Board a written statement which shall include a description of the proposed pipeline construction, and, if the development plan is conditionally approved, the conditions of approval. 9.07.10 9.07.1 1 (2) Upon receiving the Director's statement, and no later than l4 calendar days after the date of the approval, the Board may call the Director's determination up for review before the Board. The call-up generally shall be rnade by the Board at a public meeting convened within this 14-day period. However, if it is not practical for the Board to convene a public meeting for this purpose within the 14-day period, any member of the Board may authorize a call-up within the l4-day period, which call-up shall be effective provided that the Board subsequently ratifies the call-up at a public meeting held within a reasonable period of time after the l4-day period expires. a. The Board shall review the Director's determination at a public hearing held as soon as practical after the Director's determination. Prior written notice of the hearing shall be provided to the applicant and to to surface property owners having agreements with the applicant, and shall be published as part of the Board's agenda in a newspaper of general circulation in Carfield County. (3) At the public hearing, the Board shall consider evidence related to the Director's deterrnination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be Iimited in their review to the subject of the call-up, but may review any aspect of the developnrent plan application. Based upon this evidence, the Board may affirm the determination, or alter, delete, or add conditions of approval, in accordance with Section 9.07.06 of this Resolution. No County builfing, grading or access permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the development plan with or without the addition or modification of conditions. Effect of the Approved Development Plan: After approval of a development plan for a pipeline, the applicant shall be entitled to have processed any necessary building, grading or access permits or to otherwise proceed with the proposed operation. The approval of a development plan by the Director does not result in the vesting of development rights, nor does it permit the violation of any County or state regulations or preclude the County Building Official or Road & Bridge Department from refusing to issue a permit if the plans and specifications do not comply with applicable County regulations. Inspections/Certifications: The applicant shall provide the telephone number of a contact person who may be reached 24 hours a day for purposes of being notified of any proposed County inspection under this Section. Any site under an approved development plan may be inspected by the County at any time, to ensure compliance with the requirements of the approved development plan, provided that one hour's prior notice is given to the contact person at the telephone number supplied by the applicant. Calling the number (or leaving a message on an available answering machine or voice mail service at the number) at least one hour in advance of the proposed inspection shall constitute sufficient prior notice if the contact person does a R Rti c a n t "s i nr R [, " ;y ;WY,;:;VW, r fr*s p n h l, 0/ @*p a not answer. The approvecl development plan shall be considered to grant the IJpon coSx$Letion of any pipeline, the applicant shall submit a staternent 6epq certifYing the completion of the projecqand include a figital copy of the surveyed pipelineas-buirt' I s"r(*'- g+ttu Enforcement (l) In addition to any other remedy authorized under this Resolution to enforce the provisions of this Resolution, the Director shall be entitled to draw on any financial guarantee provided by an applicant pursuant to this Resolution, if the applicant violates any term or condition of an approved development plan. If the Director has reason to believe that a violation of an approved development plan for which a financial guarantee has been provided has occurred, the Director shall provide written notice to the applicant describing the violation, and stating a reasonable time within which the violation must be corrected. If, within that time period, the applicant has not either corrected the violation or filed a written appeal with the Board of County Commissioners, the Director shall be entitled to enter upon the site to take any reasonable measures to correct the violation, and may draw on the financial guarantee to cover the costs of corrective measures. (2) If the applicant files a timely appeal with the Board of County Commissioners, the Board shall schedule a hearing on the appeal at the soonest possible time of which the applicant shall receive reasonable prior notice. If the Board confirms at the hearing that the violation has occurred and has not been corrected, the Board in its fiscretion may give the applicant additional time to correct the violation, or may specify the time at which the Director may take appropriate action to have the violation corrected and draw on the financial guarantee to cover the costs of corrective measures. (3) To insure the Director's ability to enforce the provisions of any approved development plan, the Director shall not release any financial guarantee provided under this Resolution for an individual development plan, until the Director confirms that all operations have been completed and all provisions of the plan complied with. The Director shall not release any blanket bond or other blanket financial guarantee provided under this Resolution unless he is satisfied that the person providing the bond has adequately declared its intention to conduct no further oil and gas operations in Garfield County in the foreseeable future. The Director shall also be empowered to release a financial guarantee if a successor to an operator provides satisfactory guarantees in accordance with this Resolution. Amendments to a Development Plan: Any proposal to change a development plan approved under this Resolution shall require an application to the 9.07.t2 9.07.13 Planning Department to determine whether the proposed change constitutes a substantial modification to the approved plan. If the Director determines that the change constitutes a sulstantial modification, no such change shall be allowed to proceed until an application to amend the approved development plan is filed with the Director and approval granted in accordance with this Resolution. The applicant or its successor may appeal the Director's decision to require an amended development plan to the Board of County Commissioners, provided that any such appeal shall be in writing and shall be filed with the Planning Director no later than 30 days following the date of the Director's decision to require a development plan amendrnent. 'L).5 Coio.ado Od & 6ar Assoctarcn August 5.2004 NIr. Doug Dennison Garfield County Oil & Gas Auditor 14-l E. 3'd St. fut]e, CO 81650 RE:Proposed Garfietd County Development Plan Reviewfor Oil & Gas Operations Dear Mr. Doug Dennison: As you know, Garfield County (GarCo) is in the process of considering a Proposed Development Plan Revietv for Oil & Gas Operallorzs. Both Operator Representatives and Western Slope Chapter of the Colorado Oil & Gas Association (COGA) are iisted as "Charter" and "Suppofiing" "Members" (respectively) of the GarCo Energy Advisory Board (EAB). COGA represents most (if not all) of the natural gas opelators in GarCo. We thank you for the oppornrnity to provide the following comments with respect to proposed development plan review. It is our strong opinion that "flowlines" need to be exemPt flom the proposal. Flowlines are defined per Colorado Oil & Gas Conservation Commission (COGCC- 100 Series) rules (for gas) as: "segments of pipe from the weilhead downstream through the production facilities ending at ... the gas metering equipment". Flowlines ale comprehensively regulated by the COGCC (materials, installation, integrity management, reclamation, etc.) and are buiit pursuant to leasehold rights. Therefore, it is our belief that the county has no authority in this arena. Ivloreover, regulating flowlines wouid be disruptive to fieid operations and r.vould overburden the county planning staff- Other objectionable provisions inciude the requirements for: . 907.04(4) Evidence of surface owner asreements (non-leasehold). COGA feels that the law of trespass covers this and again we believe that the county has no jurisdiction in this arena. . 907.0-+(j) Financial guarantecs. up to a blanliet 5500-000 bond. The COGCC bonding regs (Rule 711) cover gathering s)'stems 1*ith respect to environmental mitigation and remediation). Its bond is 550.000. The proposed county amount exceeds a BLIl "nationrvide" bond. Clearl,u-. the countv does not understand that bonds are actuarial in nature. and not intended to completely cover "rvorst case scenarios". . The 907.06(1) requirement tbr "perimeter" locations is overlv prescriptive. This is matter for the private negotiation betrveen the operator and the landorvner. . Does the 907.0612)b ret-erence to ''pumping and production operations" cover welisite (as opposed to pipeline) activities? If so. the county is precluded by starute from reguiating the noise impacts of oil and gas operations. . The 907.06(3)c requirement to place lines in "existins disturbed areas" only provides tbr exceptions related to safety. visual and other surface impacts. It IvIUST provide for operational t'lexibility as well- . 907.06(5)-(7) requirements are state or federai in nature and the county has no jurisdiction or enforcement authority. . The 907.06(10) requirement for consistency with the Comprehensive PIan is open-ended and allows for discretionary Board denial based on its "vision" of compatible land use. Thanks again for allowing us to provide our input on this important topic. If you have questions, related to the above, please feel free to contact the undersigned at 285-9377. David R. Cesark President - West Slope Chapter COGA Colorado Oil & Gas Association 1776 Lincoln Street, Suite 1008 Denver, CO 80203 303-861-0362 Comments on Proposed Garfield County Oil & Gas Regulations General The fundamental issue for the county to determine is the purpose it is seeking to achieve through the adoption of local regulations. This decision must be informed by th.e limitations on the exercise of local land use authority under Colorado case law. This case law makes it clear that a local government may not prohibit the drilling of wells, nor may it dictate their location through zoning or setbacks. ln the Town of Frederick case, provisions relating to visual impacts, noise mitigation, signage and local incorporation of COGCC standards were struck down as being in conflict with COGCC regulatory authority. ln a La Plata County district court decision, the county's attempt to grant surface owners well location authority was invalidated. ln the ongoing Delta County litigation, the Denver district court has found the areas of water quantity and quality impacts to be preempted. ln general, all technical matters relating to locating, drilling and constructing a well, site preparation and reclamation, production and gathering operations, and protection of public safety and the environment are matters under exclusive COGCC jurisdiction. Thus the whole notion of tocal controlover oil and gas operations is a misnomer. Local governments do not have the land use authority to determin e whether and where oil and gas wells will be drilled, or how the operation will be conducted. This situation means that local involvement in oil and gas operations is largely limited to information exchange. Accordingly, the COGCC requires that operators provide advance notice to localities of proposed wells. Moreover, the commission adopted procedures jointly developed by COGA and CCI that grant local governments an enhanced opportunity to review drilling permit applications, suggest conditions of approval to the operator and COGCC, and to bring unresolved concerns to a public hearing before a well permit is issued. COGA believes that this procedure should be the primary method used by local governments to be informed about and provide input to oil and gas operations. It is instructive to note that Weld County, the home of over one-thousand annual well operations (new drills, recompletes and refrac's)and over ten-thousand active wells has the most accommodative local oil and gas regulatory regime in the state. Wells are a "use by right" in the majority of the unincorporated area of Weld County, and the county simply receives and reviews permit applications through its "local government designee". Weld imposes setbacks on surface development that mirror the COGCC's setbacks for wells, and does not insert itself into property rights matters relating to competing surface USES. As these comments are not intended as an adversarial legal brief, citations will be omitted. The Boulder County model that Garfield County is examining goes one step further by requiring a separate county land use application. Boulder County employs an "administrative review" process, performed by planning staff, and generally eschews Board of Commissioner hearings and decisions. lt provides that development plans are "deemed approved" after 28 days (or 60 days for an "area plan"). These are positive aspects, and, in some ways, the Boulder County process resembles the COGfuCCI local involvement rule. However, it is dated, and there has been little to no drilling activity in the county since 1994. It should be kept in mind that the Boulder County regulation was adopted prior to significant statutory revisions to the Oil & Gas Conservation Act in 1994, substantial COGCC rulemaking during the late 1990's, and subsequent court decisions. For example, the COGCC application for permit to drill has been expanded (Form 24) to include most of the "development plan" information. And, the COGA/CCI local input process offers the opportunity to coordinate local administrative reviews directly with COGCC permit approval and to avoid potential conflict regarding local conditions of approval. Accordingly, there are several problematic aspects of the Boulder County model. Specific Comments 9.07.03 & 9.07.04 COGA suggests that Garfield County accept the COGCC application for permit to drill (Forms 2 & 2A) as the basis for local review. 9.07.04(5) - The county may not require information relating to surface owner notification, mineral leases or surface use agreements. Surface owner notification is a statutory matter under exclusive COGCC jurisdiction, and mineral leases and surface use agreements are private contracts relating to property rights over which the county has no legal authority. 9.07.04(6) - The COGCC has exclusive authority and comprehensive requirements relating to financial assurance (plugging, abandonment and reclamation bonds; surface damage bonds; gathering system bonds; general liability insurance - see 700 Series). 9.07.04(7) - What is the purpose of requiring an "operating plan" covering the "methods" of "drilling, completion, production, abandonment and reclamation"? These are technical matters beyond the scope of county authority. 9.07.04(8) - This provision requiring "emergency response plans" is a legitimate county interest, supported by the Town of Frederick decision. 9.07.04(9) - Reclamation is comprehensively regulated by the COGCC (see 1000 Series) and the county may not require a plan in advance of drilling a well. lt would be appropriate for the county to review reclamation activities generally with operators and the COGCC on a regular basis. 9.07.04(10) - Counties are expressly precluded by statute from regulating noise associated with oil and gas operations. Odor control is a matter of state air quality regulation. A dust abatement plan, especially as it relates to county roads is appropriate. 9.07.04(11) - These visual and environmental mitigation measures can and should be worked out with the operator pursuant to the COGA/CCI process, and agreements can be incorporated by the COGCC permit. 9.07.04(12) - Use of and connection with county roads is an appropriate topic of local interest and authority. 9.07.04(13) - E&P waste disposal is comprehensively and exclusively regulated by the COGCC (see 900 Series). 9.07.04(14)- Oil and gas operations have been specifically exempted from stormwater management (drainage and erosion) regulations by the Water Quality Control Commission through March 2005. The COGCC regulates site construction practices and erosion control measures. 9.07.04(15) - While the COGCC requires noxious weed control, COGA supports developing this program in consultation with local experts. 9.07.05(2) - Counties may not require operator notice to adjacent landowners. Notice of drilling operations is a statutory matter. The Oil & Gas Conservation Act was amended to replace notice to owners of land "affected" by such operations - which could be interpreted to cover adjacent owners -- with a specific notice requirement only to surface owners of the parcel on which a well will be drilled. The COGCG has comprehensive notice and consultation regulations for operators and the county may not expand this requirement. (lf the county wishes to, it may solicit comments from adjacent landowners, although it is unclear what the purpose would be other than to stimulate "nimby" problems.) 9.07.06(1) - Localwell setbacks are "clearly preempted" under the Town of Frederick decision. 9.07.06(2) - County "ordinances enacted to regulate noise on public and private property ... shall not apply to ... property used for oil and gas production". CRS 30-15-401(t)(m)(tt). (ln addition,the Town of Frederick decision preempted municipal noise regulation of oil and gas operations.) These matters can and should be addressed via the COGCC permitting process. 9.07.06(3) - The Town of Frederick decision struck down virtually identical local visual mitigation standards. [he following 8 subsections are either examples of invalid local incorporation of state agency rules, or they are simply hortatory statements with no legal effect. ln either case, they should be stricken.l 9.07.06(5)- The county may not enforce COGCC signage rules. 9.07.06(6) - The county has no authority with respect to endangered species. 9.07.06(7) - The county has no authority with respect to air quality programs. 9.07.06(8) - The county has no authority with respect to water quality programs. 9/07.06(9) - COGCC waste disposal regulations preempt localstandards. 9.07.06(10) - COGCC production facility containment and federal "SPCC" regulations preempt local standards. 9.07.06(11) - COGCC reclamation regulations preempt local standards. 9.07.06(12) - The county cannot enforce compliance with COGCC standards. CRS 34-60-106(15) and Town of Frederick. Nor may the county require operators to seek variances from COGCC rules in the case of operational conflicts, which are invalid as a matter of law. 9.07.06(13) - Traditional land use control notions such as compatibility with surrounding uses or consistency with a Comprehensive Plan are inapplicable in the oil and gas context. Counties may not preclude or relocate wells. Town of Frederick. 9.07.07 - Conditions of approval should be negotiated with operators and incorporated into the COGCC permit per the COGA/CCI process. As the foregoing analysis demonstrates, the proposed GartieH County "Development Plan Review for Oil and Gas Operations" is based on an outdated and tegatty-defective model. Gartied County was instrumental in developing the COGNCCI process for local input to COGCC drilling permit approval. COGA urges the county to become the leader in implementing and utilizing this approach - unique in the nation. lf the process needs further improvement, COGA will be willing fo assisf in that effort. Until the process is fully put to use, however, Gafiield County should forego adoption of unnecessary, duplicative local regulations. COGA believes that all of the local concerns reflected in this draft can be accommodated through the COGNCCI local involvement process. Respectfully submitted this 9th day of April, 2004: lsl Kenneth A. Wonstolen COGA General Counsel Memo To: From: Date: Re: Planning Commission Mark Bean, Director 4lo7l04 Pipeline regulations Attached for your review are proposed regulations developed by staff, resulting from input ol the Planning Commission and other individuals at the February 9, 2005 meeting. This process is still administrative, but the requirements for a submittal are based upon a Plan of Development form submitted at the meeting by an oil and gas industry consultant. The Planning Commission and audience reviewed the document and agreed that the information requested was reasonable. Last year a proposed definition had developed to define a pipeline. That definition has been discussed tlr t over a number of meetings and at the last meeting it appeared that the following definition may be ,, r trJ acceptable. The proposed definition statesthefollowing: / ,, 1,i/:( tt') 2.02.431 Pioeline: Any conduidnd appurtenant facilities designed for, or carr{Ole of, transporting natural gas, other petroleum derivatives or other liquid mattezl Pipelines regulated, licensed or permitted under federal regulations as interstate transmission lines shall be exempt from regulation under this Chapter. It is also necessary to add the land use "pipeline subject to review and approval per procedure and requirements of Section 9.07" to Sections 3.02.01, 3.07.01 and 3.08.01. These changes would add "pipeline" as a Use by Right to the A/F/RD, C/L and C/G zone districts. STAFF RECOMMENDATTON; The Planning Commission recommend approval of the recommended addition of Section 9.07, Development Plan Review for Pipelines. The addition of the definition "Pipeline" as follows: 2.02.431 Pipeline: Any conduit and appurtenant facilities designed for, or capable of, transpofting natural gas, other petroleum derivatives or other liquid. Pipelines regulated, licensed or permitted under federal regulations as interstate transmission lines or state regulations as flowlines, shall be exempt from regulation.. The addition of the land use "pipeline subject to review and approval per procedure and requirements of Section 9.O7"to Sections 3.01.01, 3.02.01,3.07.01 3.08.01,3.10.01 Uses, by right, 3.'10.02 Uses, by right, 3.10.03 Uses, by right and 3.10.04 Uses, by right. Deleting pipeline as a Conditional or Special Use in allzone districts. Garfield Gountyr 9.O7 9.07.0r Purpose Development Plan Review for Pipelines (1) This development plan review is an administrative review procedure for pipelines considered likely to impact surrounding land uses and infrastructure needs and demands. (2) Development plan review should occur before a full set of working drawings has been completed for submission as part of an application for a building permit. As part of the review procedure, the applicant may be required to submit a development plan indicating siting and layout, buffering, landscaping, access, lighting, and other specific data. (3) Development plan re'iew is not intend"Or.Wi:t$fr:#'Yh-1:fifrtri Development Plan Review Requirements: A dit'lopment plan must be fff'.' ,!ni , submitted for the site or ur"u oi any pipelinet s/roposea to te located in the. , 'n1i4',unincorporated area of Garfield County. Development plan approval is required t' prior to the issuance of any County building permits, or associated access or other land use permits associated with pipeline operations. However, pipeline operations which do not require a building or other associated County permit must still obtain development plan approval under this resolution. Application: The application for development plan review shall be made on application forms available at the County Planning Department. Such forms shall have all spaces completed, designate all agents, exhibit all owner or operator signatures, and be accompanied by required fees and all materials required within these regulations. Development Plan Submission: The applicant shall submit eight copies of the proposed development plan with the completed application form to the Planning Director. The following information must be submitted with a development plan application: (1) A vicinity map indicating the section, township, and range of the site, and its relation to surrounding public roads and municipal boundaries. (2) Project Overview: a description of the project including the length of the pipeline, diameter of the pipeline, pipeline commodity, and the general description of the pipeline route. (3) Ownership A. For individual routes, a diagram showing adjacent properties and the approximate location of buildings and their uses within a distance of 350 feet of any proposed structure, facility, or area to be disturbed. This may be drawn at a smaller scale than the site plan. 9.07.02 9.07.03 9.07.04 / B. For an area plan, the map will show the property boundaries and ownership information for all private and public property included in the development area. (4) Evidence of surface owner notification and of surface agreements where the surface owner is not a party to the mineral lease. (5) Need for Proposed Action: a statement of the reason for the pipeline (6) Regulatory Permit Requirements: a table indicating the permit agency name, permit/action driving task and the task to be performed to obtain the permit. (7) Primary Project Participants: Include the names, address and phone numbers of the company representative, company and individual acting as an agent for the company, construction company contacts, federal and state agency contacts (8) Project Facilities: Identify any permanent project facilities such as permanent right-of-way, widths, meter stations, valve sets, etc. Also indicate any temporary right-of-way, width during construction, construction facilities, etc.. (9) Construction Schedule: indicate the estimated start and end dates for construction, days of the week in which construction will occur, hours of day which construction will occur. (10) Sensitive Area Survey: List the types and areas ofconcern along the pipeline right-of-way, such as: sensitive plant populations, cultural, archeological, paleontological resources and wetlands identified during pre- construction environmental surveys, if applicable. (11) Land Grant/Permits/Authorizations and Stipulations: attach a copy of any land grant, permits, and authorizations including stipulations. (12) RevegetationPlan: a. A plant material list. Be specific, scientific and common names are required. Include application rate in terms of pure live seed (PLS) per acre. b. A planting schedule that includes timing, methods, and mulching. c. A revegetation security. A security may be required if, in the determination of the County Vegetation Management, the proposed project has: (i) A potential to facilitate the spread of noxious weeds (ii) A potential to impact watershed areas. (iiD A potential for visual impacts from public viewing corridors. (iv) Steep slopes (l5Vo or greater) or unstable areas. (v) Disturbs Iarge area (Half an acre or greater) 7 9.07.05 d. The revegetation security will be in an amount to be determined by the County Vegetation Management that will be site-specific and based on the amount of disturbance. The security shall be held by Garfield County until vegetation has been successfully reestablished, or for a period of time approved by the County Vegetation Management in any specific land use action, according to the Reclamation & Revegetation Standards Section in the Garfield County Weed Management Plan. The County Vegetation Management will evaluate the reclamation and revegetation prior to the release of the security. (13) A weed management plan for all Garfield County listed noxious weeds and State of Colorado listed noxious weeds that are targeted by the Commissioner of Agriculture for statewide eradication . (.14) Emergency Response Plan: include a fire protection and hazardous materials spills plan, which specifies planned actions for possible emergency events, a listing of persons to be notified of an emergency event, proposed signage, and provisions for access by emergency response teams. The emergency plan must be acceptable to the appropriate fire district or the County Sheriff, as appropriate. The plan shall include a provision for the operator to reimburse the appropriate emergency service provider for costs incurred in connection with emergency response for the operator's activities at the site. (15) Traffic Impact: for construction traffic on county roads, indicate the anticipated types of vehicles, number of each type, anticipated number of trips per day per each type, county roads to be used , percentage of the construction traffic that will travel on each listed county road. ( l6) Staging Areas: indicate the general location of the staging areas required for pipeline construction. (17) Hydrotest Water: indicate the quantity of water required, source of water and the disposition of the water after testing. Referral and Review by Director: The Director will coordinate the review of the development plan application. Upon the filing of a complete application for development plan review, the Director shall promptly forward one copy to the County Road & Bridge, Oil & Gas Auditor, Vegetation Management and Engineering Departments; the appropriate fire district or County Sheriff; the surface owners of an individual pipeline development plan; and any adjacent municipality for comment. (1) Referral comments on the proposed development shall be returned to the Director no later than 18 days from the date of application for an individual site application and 30 days from the date of application for an area development plan. (2) In addition, the applicant shall notify the property owners within 200 feet of the route that are not affected surface owners with an agreement with the applicant. A sign will be posted on the portions of the route crossing or adjacent I to a public road within seven days after receiving the application for an individual development plan review. Both the notice and the sign shall indicate that a development plan review application has been made, and the phone number of the Planning Department where information regarding the application may be obtained. 9P0 The applicant shall notify all property owners withinJdO feet of the outside boundary of an area development plan and post a sign at the intersection of each public road entering the area within seven days after receiving the application for an area development plan review. Both the notice and the sign shall indicate that a development plan review application has been made, and the phone number of the Planning Department where information regarding the application may be obtained. (3) Any determination by the Director to approve or conditionally approve a development plan application must be in writing and mailed or otherwise provided to the applicant no later than 28 days for an individual pipeline development plan or 60 days for an area pipeline development plan, after the date on which the development plan application is filed. Failure to make a determination on the application within this time period shall result in the application being considered approved and the applicant's building permit or access, or other permits being processed. De : A development plan shall be approved or conditionally approved in accordance with the following standards and criteria. (1) Pipelines and any associated facilities shall be located along the perimeters of surface property ownerships and not within areas of agricultural crop production as a general guide. Non-perimeter locations will be acceptable if the surface owner agrees and there is no adverse impact on adjacent properties. (2)AnyequipmentusedinconstructionoroperationofapipelinemustcomplyL'> witrr sfu ., IuaximumJemiseible Noi se a+as fi I a-{,-,'1rcr -K /v z,/,,rn ytffir9 !rq4an^- 86u,L/'o<et'1'/ ' 7 /) a. For any pipeline construction or operational facility that will have a filti t lLkf substantial impact in adjacent areas, additional noise mitigation may be required. One or more of the following additional noise mitigation measures may be required: (i) acoustically insulated housing or covers enclosing any motor or engine; (ii) screening of the site or noise emitting equipment by fence or landscaping; (iii) a noise management plan specifying the hours of maximum noise and the type, frequency, and level of noise to be emitted; and (iv) any other noise mitigation measures required by the OGCC. b. All power sources used in pipeline operations shall have electric motors or muffl ed internal combustion engines. 9.O7.06 (3) Pipeline operations shall be located in a manner to minimize their visual impact and disturbance of the land surface. a. The location of pipelines shall be away from prominent natural features and identifi ed environmental resources. b. Pipelines shall be located to avoid crossing hills and ridges, and wherever possible, shall be located at the base of slopes. c. Facilities shall be painted in a uniform, noncontrasting, nonreflective color, to blend with the adjacent landscape. Pipelines shall be located in existing disturbed areas unless safety or visual concerns or other adverse surface impacts clearly dictate otherwise. (4) Access points to public roads shall be reviewed by the County Road & Bridge Department and shall be built and maintained in accordance with the Garfield County Road Specifications. All access and oversize or overweight vehicle permits must be obtained from the County Road & Bridge Department prior to beginning operation. All proposed transportation routes to the site shall also be reviewed and approved by the County Road & Bridge Department to minimize traffic hazards and adverse impacts on public roadways. Existing roads shall be used to minimize land disturbance unless traffic safety, visual or noise concerns, or other adverse surface impacts clearly dictate otherwise. Any new roads created as a result of the pipeline construction, intended to be permanent for maintenance and repair operations shall be placed behind a locked gate or other barriers preventing use by recreational vehicles. Any gates or barriers need to be consistent with the surface owners preferences. (5) In no case shall an operator engage in activities which threaten an endangered species. (6) Air contaminant emissions shall be in compliance with the applicable permit and control provisions of the Colorado Air Quality Control Program, Title 25, Resolution 7, C.R.S.. (7) All operations shall comply with all applicable State Public Health and Environment, Water Quality Control standards. (8) Any proposed waste disposal or treatment facilities shall comply with all requirements of the County lndividual Sewage Disposal System Regulations. (9) The proposed reclamation plan shall provide for a reasonable reclamation schedule in light of the specific surface use and surrounding land uses, and may require recontouring and revegetation of the surface to pre-disturbance conditions. The Director may also approve a plan for an alternative postdisturbance reclamation, provided the surface owner and the applicant agree, and the plan is in harmony with the surrounding land uses and theJ'/0, 6 9.07 .07 Conditions of Approval (l) If the Director finds in reviewing a development plan application that the application meets the applicable standards set forth above, the Director shall approve the site plan, and the applicant may continue the processing of the building or other associated County permit application, or otherwise engage in the proposed pipeline. (2) If the Director finds that the application does not meet an applicable standard or standards, the application shall be approved with appropriate reasonable conditions imposed to avoid or minimize the significant adverse impacts of the development. Such conditions may include, but are not necessarily limited to, the relocation or modification of proposed access roads, facilities, or structures; landscaping, buffering, or screening; posting ofadequate financial guarantees; compliance with specified surface reclamation measures; or any other measures necessary to mitigate any significant impact on surrounding properties and public infrastructure. (3) Once the Director issues a determination on the development plan, the determination shall not be final, and no permit based upon the determination shall be issued, for 14 calendar days after the date of the determination, in order to allow time for the applicant to appeal, or for the Board of County Commissioners to call up the determination for further review, pursuant to Sections 9.07.08 and 9.07.09 of this Resolution. The Director's determination shall become final, and permits applied for in accordance with the determination may be issued, only after the expiration of this 14-day period, and only if the determination is not reviewed and acted upon by the Board of County Commissioners at a subsequent appeal or call-up hearing. 9.07.08 Applicant's Right of Appeal of Conditional Approval (l) In the event that the Director conditionally approves a development plan application, the applicant shall be entitled to appeal the approval to the Board of County Commissioners. The applicant must file an appeal for this purpose with the Director in writing no later than seven calendar days after the date of the Director's determination. If the determination is mailed to the applicant, three additional days for mailing shall be added to the time for filing an appeal. (2) The Board shall review the Director's determination at a public hearing held as soon as practical after the date of the determination. Prior written notice of this hearing shall be provided to the applicant and to affected surface property owners, and shall be published as part of the Board's agenda in a newspaper of general circulation in Garfield County. (3) At the public hearing the Board shall consider evidence related to the Director's determination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be limited in their review to the subject of the appeal, but may review any aspect of the development plan application. Based upon this evidence the Board may affirm the Director's determination, or may approve the development plan with modified, altered, deleted, or added conditions in accordance with Section (, 9.O7 .06 of this Resolution. No County building, grading, or access permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the development plan with or without the addition or modification of conditions. 9.07 .09 Board of Count), Commissioners' Review ("Call-up") of a Determination to Approve or Conditionally Approve a Development Plan (1) No County building, grading or access permit may be issued to the applicant, nor shall the applicant be authorized to proceed with any proposed pipeline construction not requiring one of these County permits, for 14 calendar days after the date of the Director's approval, in order for the Board of County Commissioners to review the approval. At the same time written approval of the development plan is provided to the applicant, the Director shall forward to the Board a written statement which shall include a description of the proposed pipeline construction, and, if the development plan is conditionally approved, the conditions of approval. (2) Upon receiving the Director's statement, and no later than 14 calendar days after the date of the approval, the Board may call the Director's determination up for review before the Board. The call-up generally shall be made by the Board at a public meeting convened within this 14-day period. However, tii, i;;-- - - t4 oln{-, practical for the Board to convene a public meiting for this purpose.lvitfril tfe. 9.%:/2 / l4-day period, !/Xt' aayfb,fr- wfricfr caff- ly h,0. -h) .aayrbrd- wnicn cat- tY /Lo. -'Z t .rat@lic meeting held,iirithin a;teasena,ble periodoFtime A/tn,{fl after the 14-da#+erieCslires. C*- iU,lXr ^ ,L*,fr" Director's determination at a public hearing e d rry held as soon as practical after the Director's determination. Prior wri-tten hy'S l',* notice of the hearing shall be provided to the applicant and to to surface ill2dn property owners having agreements with the applicant, and shall be U|r published as part of the Board's agenda in a newspaper of general circulation t in Garfield County. (3) At the public hearing, the Board shall consider evidence related to the Director's determination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be limited in their review to the subject of the call-up, but may review any aspect of the development plan application. Based upon this evidence, the Board may affirm the determination, or alter, delete, or add conditions of approval, in accordance with Section 9.07 .06 of this Resolution. No County building, grading or access permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the development plan with or without the addition or modification of conditions. Effect of the Approved Development Plan: After approval of a development plan for a pipeline, the applicant shall be entitled to have processed any necessary building, grading or access permits or to otherwise proceed with the proposed operation. The approval of a development plan by the Director does not result in / 9.07.10 9.07.11 9.07 .12 Enforcement the vesting of development rights, nor does it permit the violation of any County or state regulations or preclude the County Building Official or Road & Bridge Department from refusing to issue a permit if the plans and specifications do not comply with applicable County regulations. Inspections/Certifications: The applicant shall provide the telephone number of a contact person who may be reached 24 hours a day for purposes of being notified of any proposed County inspection under this Section. Any site under an approved development plan may be inspected by the County at any time, to ensure compliance with the requirements of the approved development plan, provided that one hour's prior notice is given to the contact person at the telephone number supplied by the applicant. Calling the number (or leaving a message on an available answering machine or voice mail service at the number) at least one hour in advance of the proposed inspection shall constitute sufficient prior notice if the contact person does not answer. The approved development plan shall be considered to grant the applicant's implied consent to such inspections. Upon completion of any pipeline, the applicant shall submit a statement from a licensed Professional Engineer in the State of Colorado certifying the completion of the project and include a digital copy of the surveyed pipeline as-built. (l) In addition to any other remedy authorized under this Resolution to enforce the provisions of this Resolution, the Director shall be entitled to draw on any financial guarantee provided by an applicant pursuant to this Resolution, if the applicant violates any term or condition of an approved development plan. If the Director has reason to believe that a violation of an approved development plan for which a financial guarantee has been provided has occurred, the Director shall provide written notice to the applicant describing the violation, and stating a reasonable time within which the violation must be corrected. If, within that time period, the applicant has not either corrected the violation or filed a written appeal with the Board of County Commissioners, the Director shall be entitled to enter upon the site to take any reasonable measures to correct the violation, and may draw on the financial guarantee to cover the costs of corrective measures. (2) If the applicant files a timely appeal with the Board of County Commissioners, the Board shall schedule a hearing on the appeal at the soonest possible time of which the applicant shall receive reasonable prior notice. If the Board confirms at the hearing that the violation has occurred and has not been corrected, the Board in its discretion may give the applicant additional time to correct the violation, or may specify the time at which the Director may take appropriate action to have the violation corrected and draw on the financial guarantee to cover the costs of corrective measures. (3) To insure the Director's ability to enforce the provisions of any approved development plan, the Director shall not release any financial guarantee provided under this Resolution for an individual development plan, until the Director confirms that all operations have been completed and all provisions of the plan complied with. The Director shall not release any blanket bond or other blanket 0 9.07 .13 financial guarantee provided under this Resolution unless he is satisfied that the person providing the bond has adequately declared its intention to conduct no further oil and gas operations in Garfield County in the foreseeable future. The Director shall also be empowered to release a financial guarantee if a successor to an operator provides satisfactory guarantees in accordance with this Resolution. Amendments to a Development Plan: Any proposal to change a development plan approved under this Resolution shall require an application to the Planning Department to determine whether the proposed change constitutes a substantial modification to the approved plan. If the Director determines that the change constitutes a substantial modification, no such change shall be allowed to proceed until an application to amend the approved development plan is filed with the Director and approval granted in accordance with this Resolution. The applicant or its successor may appeal the Director's decision to require an amended development plan to the Board of County Commissioners, provided that any such appeal shall be in writing and shall be filed with the Planning Director no later than 30 days following the date of the Director's decision to require a development plan amendment. ? Page 1 of2 Mark Bean From: Macke,Brian[Brian.Macke@state'co'us] Sent: ThursdaY, APril07,2005 5:21 PM To: Mark Bean Subiect: RE: Garfield CountY Mark - nice to hear from You. To answer your question, the coGCC does not issue permits for pipeline compressors with respect to noise' You are correct that the cocec noise regulations are there to enforce in response to noise complaints. Please let me know if you need any additional clariflcation' Brian Macke Colorado Oil and Gas Conservation Commission -----Original Message----- Ftom : Mark Bea n [mailto : mbean@gafietd-cou nty'com] Sent: Thursday, APril 07, 2005 4:10 PM To: Macke, Brian Cc: Doug Dennison Subject Garfield CountY Brian: As you are aware, we have been working on regulations to clein up the 'pipeline' issue in our zoning resolution' Attached is the most recent version. Oneissuethatisstillupintheair,istheissueofcompressor regulation. Tresi Houpt was at a CCI meeting in which a number of other counties stated that they regulate eompressors and someone ftom your department-confirmed that compressor regulation is up to the localjurisdiction. Now I'm being told that COGCC does issue permits for compressors to dealwith the noise issue. Do you actually issueapermitfornoiseassociatedwithacompressororare your regulations there for enforcement, should someone have a comPlaint? We have also developed a new definition of .pipeline", that states .Any conduit and appurtenant facilities designed for, or capable of, transporting naturalgas, other petroleum derivatives or other liquid matter.' The industry representatives would like to consider "appurtenant facilities" to include compressors. while I understand their logic and interest, I am concerned that including compressors in this definition could be a deal breaker to get a regulation amendment through the process. lf COGCC actually issues permits for noise, then the other issues associated with may be regulated through the new administrative process with appropriate standards for siting. lfyoucouldclarifftheonequestion,itwouldbeveryhelpfulin reloMing what has been a very protracted regulation amendment Process. 4l13l2A05 dila-///on /",6.ntls. 5zz'- 'L-a' Oh'6t-' - Da,rlil/ l:h'E;r- -&* u/2 4ffru'ry*/-. 0u/4 ;/r// - P7u tu201/'/4 ef H//-D 24,/7U'*i wctz/Z" # oon'r::'h, _ftd(- - TIME: PLACE: DATE: 1) 2) 3) 4) s) -/l/lc^lr- Garfield County Planning Commission Agenda 6:00 P.M. GARFIELD COUNTY COURTHOUSE PLAZA, ROOM lOO APRIL I3,2OO5 Call Meeting to Order Roll Call Approval of Minutes from the February 16ft and the March g, 2005 Planning Commission Meetings. Public Meeting: Request is for review a Sketch Plan Application for Red Canyon Ranch Subdivision. The property is located at 6000 County Road 115, Glenwood Springs, CO. The Applicant is proposing to subdivide approximately 30.443 acres into 4 lots. Each lot proposes a single-family dwelling unit and an accessory dwelling unit. Applicant: F. Peter Simmons Other Business: 6)Adjournment --r I Other business. Mark mentioned that Don DeFord had to leave town due to a medical emergency and that we would not be discussing the other itells originally scheduled for the work session tonight. Hopefirlly he will be back by the 8e of March and we would discuss those items then. There are no other planning items to review at this time for your regularly scheduled meeting date of March 8th. Christina mentioned that she had read in the newspaper that the school district had changed their mind about the property that they were originally looking at for the bus barn. Mark said that was his understanding too. At this point they have backed offof that site and will not be moving forward. They are exploring other options. Not sure where they are going at this time. Mike said regarding our work sessiorl he shows Wednesday, March 9th as our regular meeting date. Mari corrected the date to March 9ft. Mike asked if that is a 6:00 meeting time. Mark said it is your call. Members present tonight agreed that 6:00 works for them. Mark will go ahead and plan on 6:00 p.m. for the meeting unless he hears differently from the other members not present tonight. Mark mentioned that the BOCC has reappointed Michelle Foster, Cheryl Chandler, and Phil Vaughan as regular Planning Commission members and has appointed Shirley Brewer as a new alternate member. Mike said he asked Cheryl how her interview went with the BOCC and she said that she had no interview. Mark said he knows. He mentioned that to one of the Commissioners and they said we did that! Christina asked if there was a lot of interest. Mark thought there were quite a few more applications. It was mentioned that the Board of Adjustment has openings at this time and all but one member's term will be expiring next year. Tom Morton was reappointed to the BOA by the BOCC. Christina asked if there is anyway to combine these two boards. Or is that not allowed by statute. Mark will check into that. No other business to discuss so meeting is adjourned. 2 Planning Commission MeetingAilork Session Of March 9,2005 Minutes PC Members Present Phil Vaughan Cheryl Chandler Bob Fullerton Jock Jacober Colin Laird (came-in @ 7:45) Staff Present Mark Bean, B&P Director Fred Jarman, Planner Don DeFord, Cty. Atty. Doug Dennison, Oil & Gas Auditor Roll call was taken and the following members are absent tonight: Christina Chapin, David Stover, Michelle Foster, Mike Deer, and Shirley Brewer. Items of discussion are Oil & Gas Issues and Curriculum. Don will start up tonight's discussion with legal aspects of pipeline regulations. Doug will talk about the more practical aspects und then Mark will finish up. Staff would like to start with why do we itirk *" *" ut this point? Why it has been suggested that we might want to look at pipeline regulations. You need to start with the Garfield County regulations to have a good undeistanding of what we have in place today. Section 1.07 of the Garfield County Zon ngResolutionitut", that unless a use is specifically spelled out in this regulation as permitted uses, if not then that use is prohibited' Definition of material handling is taken from Section 2.O2.31 which is Industrial Operations Classifications. Pipelines are not specifically included in the NIzone district oienfRp. Staff uses the term of "material handling" in the A/I and A/R/RD zone districts as a Special Use Application process. That term got us in the ball park. BOCC and staff asked you to look at this. Staff believes this to be very cumbersome to consider as "material handling". Section 5.03.07 is the supplementary section for "industrial operations". Change this provision and add a definition of pipeline and include in the A/R/RD zone district. Section 3.10.04 under "Resource Land", the term pipeline is included in that district. Pipelines unfortunately are neither defined nor any special conditions been set out other than the industrial criteria set out in Section 5.03.07 & 5.03.08 and those don't really relate to pipelines. Need to clarify regulations related to pipelines and make more workable. Asked Oil and Gas Commission to give input on pipelines. Response was received by e- mail on August 29,2003. COGCC does not regulate pipelines. They do regulate the flow lines und th"y define what a flow line is. Beyond the question of flow lines they neither have regulations to control them nor the staff to enforce regulations to control pipelines. Phil referenced the email of 2003 which stated "it must be emphasized that 1. Above represents staff opinion in that COGCC has statutory authority from the Asst. Attorney General or decision from our Commission as to the question of our authority in these areas". Don responded. There were a series of meetings started in Denver. Initially they involved Garfield County and the staff of the COGCC, and eventually othei counties, for sure Western Colorado was involved in those meetings and CCI evenlually became involved as well. A request was made to Garfield County through the other counties to stop activity with the Oil & Gas Commission to have them deveiop reguiations. There has been a lot of activity on this but we have received no formal opinio, from the Attorney General. Jock asked for a brief description of gathering lines as well as flow lines and pipelines. Don included some of that in the packet. See handout entitled "pipeline definitions". He also referred to some of the case law he submitted. We are not oniy dealing with COGCC regulations but Federal regulations as well. About a year ago, the Office of Pipeline Safety made regulations directed at the technical aspects of pipeline construction. The State of Colorado has designated the Public Utiliti,es Commission as the appropriate agency to go forward with the enforcement of pipeline safety regulations. To date, Don is not aware that PUC has moved forward on regulations. We need to be aware of areas that the State may be involved with. Don referred to a case named Bowen/Edwards in LaPiata County. Operational conflict. State doesn't enforce regulations in certain areas. Don referred to a case with the Town of Frederick. State preemption was not total and Frederick could require a permit. Don also included a case from a District Court in Gunnison County. This case is on appeal. A brief overview was given. o Pipeline Definitions o Flow line Definitionso End of Flow line ro beginning of pipeline Other regulations are included in packet from Don. He referred to Town of Silt Ordinance (page 3) pulled from model municipal code. LaPlata County regulations were also included. They have major and minor facilities. Major includes pipelines with full public hearing. Phil asked Don if there are any recent court cases out of LaPlata County. Don said only one he can think of is where LaPlata County challenged an OGCC regulation that reported to preempt all local regulations. LaPlata County actually prevailed in that case but in terms of its own regulations Don is not aware of an appellani case under which 2 Jock asked what is the definition of each of those sections shown on the slide. Doug said the metering equipment is not shown there in the case of a gas line. That's the key to the division from the states authority and the no mans land. Doug said typically the meter is close to the well site. Cheryl mentioned that her's might be metered at the well head and his might be farther down the transmission line. Jock clarified the area we are talking about. Don said the problem we have right now is the County is trying to regulate today. So it's not unregulated. Phil said we are talking about meter at well site. Garfield County requires a Special Use Appiication for these pipelines after the meter to the transmission line. Is it safe to assume that some of these are getting Special Use Permits and some are not? Doug said that is correct. A lot of it is related to the inconsistency on how the County has applied the Special Use Permit requirements in the past. Doug spoke about how County has reviewed pipelines in the past. Confusion by staff and industry about what's required. Phil asked if we are including water lines. Doug said it doesn't meet the definition of a flow line. Phil said back in September of 2003 we asked what makes sense in Garfield County and what is reasonable to regulate. Mark asked if we could hold off on that and he will drive into that in a minute. Mark will speak next. He handed out the latest version of proposed regulations. o Administrative process and review o Pipeline issue - one we can regulate o COGCC has changed their position again - compressor sites as well as pipelines fall under SUP process o Get to an administrative process for pipelines - site specific, possible area wide plan. (spoke of this back in August) o What issues do we want to get to - make a notification process; may require some reclamation or bonding o Time frame to review and have hearing Industry definition of gathering lines covers the area between the flow line and transmission line. Trying to define what a pipeline is and where is it required to get a permit. Trying to clarify what a pipeline is. If we have to review all applications for pipelines SUP, we will a substantial number to review at each BOCC meeting. Cheryl asked how come the oil & gas industry doesn't have to go through the oil ? for permitting? Mark responded that OGCC regulations preempt them from doing that. Phil said in regards to quality issues he would like comments from the public. Phil asked who regulates quality. Mark understands that it is mostly self-enforcement that they abide by the rules. 5 Jock said maybe we can't regulate safety issues. Is there a way out of the quagmire? Mark said yes, our land use regulations are primarily surface related. Mark said you all need to think about what issues we want to get involved with. Jock asked what authority County has to collect costs. Don and Mark say County can collect through the SUP process. No further questions were asked of staff. Moved out to the public for comments. The first speaker is Steve Zocheck, District Manager for Williams out of Parachute. Plan to drill 300-350 wells this year, as well as some next year and the following year after that. Responded to Cheryl's questions about bonding. COGCC Section 7:1 1 does address bonding for reclamation. There is a certain dollar amount. Referring to safety aspects, draft a rule change to include gathering lines and flow lines to handle some of the safety issues. COGA has made effort to address this issue. Go back to COGCC and talk to new director. Another active county is Well's County. Mark said Well's County is the base for our pipeline definition. They basically require a permit for any pipeline over 10" in size. Mark said in Well's County theirs are mostly oil wells which have smaller line. Steve thinks most of the activity in Well's County is natural gas. Might make sense to look at size of unit (line). Steve said you might want to look at length as well as diameter provisions. Scott Denado with Bill Barrett Corporation out of Denver spoke next. What is the specific issue? Is itjust the fact that these aren't regulated, safety concerns or are there other issues. Mark said initially some surface owners were unhappy with sighting and location as well as inadequate reclamation. Those are the issues that brought this to the forfront. Scott mentioned the new on-site inspection rule. Scott asked if COGCC does accept modifications that have been proposed by COGA or something to that affect, does that cover your concerns. Scott's suggestion is that you do not want to be in the pipeline inspection business. Mark said another issue people have is where the pipelines are. Scott said they try to work with folks as best they can. Paul White of Oxidental Oil & Gas is the third speaker and they operate wells in Garfield County. They have plans to drill 25-30 wells this year. He has some of the same sentiments that Scott brought forth. Don't go into technical aspects;just address what areas the County is concerned with? Don't think County wants this industry to go away. Paul thinks the industry is very concerned that they are designed and engineered correctly and they operate correctly. Don't want to affect the entire industry because of a few instances of maybe things that weren't done just right. Public hearing process creates a forum for a hostile environment. Their lively hood comes from doing the work properly and safely. Don't hinder the industry from going forward and doing their job. Mark said we have regulations right now that require you to get permits and quite frankly they are cumbersome for us and the industry. Need to work more quickly in getting these regulations drawn up. Mark said we need help from industry on what should be looked at. (for instance the size of the pipe) 6 Jock has a comment. This packet from industry, Jimmy Smith indicates a whole gammit of activity just outlined on the first page. How can you do this five times a day. How can you give us that model so we can do this five times per day too but with only one page worth. Hone in on what we want to do. Not hinder industry. For a year and a half we have been looking at this. Where is the mapping? Jock had talked about obtaining a map eight (8) months ago. Section 2.02.431, the definition of a pipeline was read into the record. Mark handed that definition out. Dewy Girtum, the Project manager for Rocky Mountain Petroleum Development Corporation spoke next. If you look at what Steve gave you related to what they are proposing that they offer to the Colorado Oil & Gas Commission to get flow lines and gathering lines under the same definition. It will take care of the safety concerns that have been brought up. His thought process was to require an SUP for lines over 18" and greater than 1000 feet. Require an SUP for 12" or greater and greater than five (5) miles. Take care of the rest through COGCC. Notification for anlthing over 12". Doug says the dilemma he sees is that everything would go through a process. Administrative review process a lot easier for all of us. Don suggested that he prefers a definition to be as easy as possible. Regulate somewhere else. Pointed out federal regulations that were handed out earlier. Define what a pipeline is under regulations. Read federal definitions into the record. Phil clarified if we were to define pipeline as "any conduit and appurtenant facilities for, or capable of transporting natural gas, other petroleum derivatives or other liquid matter." Delete "which creates a hoop stress of 207o or more at their specified yield strength." Don suggests deleting the last sentence as well. Jock thinks Dewy had a point well taken. The regulation we are talking about is a relationship. We have the Industry, you have the Oil & Gas Commission, and you have the County. Mark said our focus should be on land use issues and impact. Jock asked could you have a pipeline regulation that basically said part of the permitting and notification that said yes we told the Oil & Gas Commission that we are complying with these things. Mark said yes we could. Cody Smith of Wagon Wheel Consulting spoke next. Cody handed out suggested supplemental form to be sent out with notice as a plan of development. This might help! Phil wanted to list goals to regulate pipelines: o Notification to surface owners o Reclamation and access . Mapping o Visual impact o Safety o SUP addresses a lot of these issues - Regulations on books. o Fire protection o Erosion and weed control (All of these are included in his handout) Colin said if we get this information from industry what is included in supplemental notice, this would be great. This is a good start. Plan of development: (Cody's handout) 1.) Project overview includes general legal description and description ofproposal. 2.) Okay as written. 3.) Permit requirements: State & federal permitting, watershed permits. 4.) Primary project participants. Mark would verify that permits coincide with BLM, Federal, etc. 5.) Phil has concerns with flagging the route. Mapping is better idea. Scott asked is that an "as built". Mark said identifying righrof-way or easement. Phil asked is there a real need to know exactly where the location of pipeline is. Mark said only in an emergency. 6.) BLM & DOW does not regulate. 7.) Sensitive area surveys. Industry does on private grounds if requested. 8.) Permit authorization and stipulations - includes all agreements. Fred said include storm water management plan (Include in item #3) Phil is concerned with storm water management plan. The EPA is very clear about this. 9.) Reclamation - suggest a reclamation plan on file. 10.) Fire prevention suppression plan. 11.) Traffic impact - R&B access permits are appropriate. Cheryl suggests flaggers when big rigs are coming in. Help coordinate with signage. County R&B is requiring professional flaggers. Cheryl suggests portable signs. Fred said that R&B has designated haul routes. Ron said R&B regulations address these areas in their permitting process. 12.) Stagingarca. 13.) Water source, quantity (if applicable) - provide evidence of legal water rights. Water usage has to be metered. 14. if applicable. Draft regulations: o Odor and abatement plan (part of storm water management plan) o Waste disposal plan (part of storm water management plan) . Operator place a bond (Section 9.07.04: incorporate this new language above) Mark said he can take a stab at Section 9.O7.04 and bring back to Commission. Mark will work on language related to 18"...... etc. Jock asked how much water is moved through a 12" Iine. Jock said we may need some way to address a 12" line when necessary. Colin said let's let Mark take a stab at this. Colin and Phil thanked people from the industry for helping us through this process as well as staff. Cheryl said to get a certified land man and that he can address these items. Phil recommended continuing the other item listed on agenda to the next meeting. (conflict of interest) The next Planning Commission meeting is Wednesday, April i3ft at 6:30 p.m. No other business to discuss at this time so meeting is adjourned. \ 9 Garfield County MEMORANDUM To: From: Date: Subject: Mark Bean Doug Dennison, Oil & Gas Auditor Api17,2004 Review of First Draft of Development Plan for Oil & Gas Operations I reviewed the subject document that you emailed to me on March 5,2004 and have the following comments: Editorial Comments 1. There are still a few instances where the document refers to "Boulder" instead of "Garfield" County. 2. Change "Land Use Department" to "Planning Department" throughout. 3. In several places (e.g., 9.07.09 (3) and 9.07.10), the document refers to "building, grading, access, or floodplain development permits." I'm not entirely familiar with all Garfield County permits, but we need to make sure that these statements accurately reflect those permits that Garfield County issues. General Comments 1. This process may be the place to address some of the zoning issues unique to the oil & gas industry that have arisen recently, such as the use of trailers by flow testers during the initial stages of production. 2. We might want to consider adding some wording in the appropriate places in this process to encourage operators to propose innovative methods for mitigating impacts from operations. Specific Comments 9.07.01 (a) - Is the reference to Site Plan Review applicable to oil and gas operations? The only reference to site plans in the County Zoning Resolution was in the section applicable to PUDs. 9.07 .04 (2)b. (Under both individual site and area developments) - Suggest that this sentence 144 E. 3'd Street Rifle, CO 81650 (970) 62s-s691 Fax (970) 625-0908 read "the location of all existine and proposed strucfures, ..." 9.07 .04 (2)d. (Under both individual site and area developments) - Suggest that this sentence read "lease lines and unit boundaries, if applicable;" 9.07.04 (3) - Should there be a requirement that ownership information be provided for individual sites as there is for area plans? 9.07.04 - Suggest that an item 16 be added that requires "A mosquito management plan for the site or area." 9.01.04 - Suggest that an item 17 be added that requires "A traffic management/mitigation plan for the site or area. 9.07 .05(2) (Under both individual site and area developments) - The first sentence of each section should be revised to read "...within seven days after filing..." to make it clear that it will be the applicant's responsibility to notify owners and post signs. 9.07.06(1) - As you are aware, the set backs specified in this version of the proposed process are more restrictive than those specified by the COGCC. In my discussions with industry personnel in La Plata County, who also has adopted rules that specify more restrictive set backs, they have indicated in the event those set backs do conflict with COGCC spacing orders that they believe the set backs will pose an "operational conflict" with COGCC rules and will result in litigation. I can conceive of this also happening in Garfield County, particularly in light of the fact that spacing here is significantly denser than in La Plata County. The numerous Federal units within Garfield County also complicate this matter in that there is no prescribed spacing within a Federal unit and an operator can drill on whatever spacing they desire to most economically produce the natural gas. 9.07.06(3)e. - In Garfield County, oil is generally not transported via pipeline but is contained in tanks at the well site and periodically trucked from the site. 9.07.06(4) - Suggest that the second sentence of this paragraph be revised to read "All access... vehicle and road cut/boring permits must be obtained from and appropriate road bonds posted with the County Road..." 9.07.06(8) - Suggest revising this sentence to read " ... State Water Quality Control, including storm water control, and drinking water standards." 9.07.09(2)a. - Suggest that this section be revised to clarify who will make the required notifications. Please let me know if you have any questions regarding my comments. 144 E. 3'd Street Rifle, CO 81650 (970) 62s-s69t Fax (970) 62s-0908 Memo To: From: Date: Re: Board of County Commissioners Mark Bean, Director 3t11tO4 Pipeline regulations Attached for your review are proposed regulations developed by staff, based on regulations from Boulder County. The Boulder County regulation was mentioned at the last public hearing on this issue. This regulation creates an administrative process for the review of all oil and gas activities, on either an individual facility or on a field wide basis. The option of permitting an area for oil & gas development is unique to this proposal, but has been supported by some industry representatives. The proposed regulation could represent a substantial work load for someone and staff requests that a part of the consideration of this regulation, include direction on how to deal with it on a staff level. As it is written, the Planning Department staff would be responsible for this process. This may be more appropriately handled by the Oil & Gas Auditor office, but may be more than Doug can handle by himself. This memo had to go out prior to any discussion of the actions or proposals presented at the CCI meeting on this same date. As a result, there are no proposals for a new definition or other issues being discussed at the meeting. Also attached to this memo is the previous staff report and the exhibits that were submitted at it. Since this proposed regulation was not included in the original notice for this continued hearing, it is staffs opinion that the proposed regulation should be referred back to the Planning Commission for a recommendation and a new notice be published for final consideration of the regulation, if the Board decides to proceed fonruard with the proposed regulation or a version similar to it. Staff is aware of an interest on the part of the Encana representatives to have the Board close this hearing and make a decision on the proposed language changes to Sections 9.02.01 and 9.03.01 (1), that deals with concurrency review by state and federal agencies of land use permits that require approval from multiple jurisdictions. ' *' / L, , nr --t,0 4*<r"46;-,- /t{r", m, "*4 /4}f/'/-1 /.ft'/ ----'t-'3- - r,)tr[/r-; Garfield Goun$ "ir*t u*fiil t*'*/"r< ftt)7\"-' <,, (a @tftl<zz t 't:flr" t,/ t ],t/, --, /: ' , ., ('- *L/t''ZC )/^-, nt-*rr--n 1 d**fo- y -rq"L--- U-"", , -,%,;2r:' -r o 5 r,, ",_n r'*-* ),,, *,,1o{ q-,,r*L'f) ry '/4 ffiffi,'a -'- , J:.'r-L"-/ / €-,?L C-,'/,/ "-?'Z-1/-/-4-{ -?",6;no,rr"# tu/hr*"4/t,-n 9,07 Development Plan Review for Oil and Gas Operations 9.07.01 Purpose (I) This development plan review is an administrative revierv procedure for oil and gas operations considered likely to significantly impact surrounding land uses and infrastructure needs and demands. (2) Development plan review should occur before a full set of worhing drawings has been completed for submission as part of an application for a building permit. As part of the review procedure, the applicant may be required to submit a development plan inficating building siting and layout, buffering, landscaping, access, lighting, and other specific data. (3) Development plan review is not intended to mandate aesthetics of design, nor is it intended to alter basic development standards such as floor area, density, height, and setbacks. (4) Site Plan Review is not required for projects undergoing a Development Plan Review. 9.07.02 Developnrent Plan lteview Requirenrents: A developnrent plan must be submitted for the site or area of any oil and gas operation(s) proposed to be located in the unincorporated area of Garfield County. Development plan approval is required prior to the issuance of any County building permits, or associated access or other land use permits for oil and gas operations. flowever, oil and gas operations which may not require a building or other associated County permit must still obtain development plan approval under this resolution. 907.03 Application: The application for development plan review shall be made on application forms available at the County Planning Department. Such forms shall have all spaces completed, designate all agents, exhibit all owner or operator signatures, and be accompanied by required fees and all materials required within these regulations. 9.07.04 Development Plan Submission: The applicant shall submit eight copies of the proposed development plan with the completed application form to the Land Use Department. The following information must be submitted with a development plan application: (l) A vicinity map indicating the section, township, and range of the site, and its relation to surrounding public roads and municipal boundaries. (2) If the application is for an individual site, a detailed drawing of the site at a scale of I inch to 100 feet, including the following: a. the dimensions of the site, indicating area in square feet and acres, and the area of the site to be disturbed; b. the location of all structures, flowlines or pipelines, tanks, wells, pits, and any other oil and gas operation facilities or equipment; c. existing and proposed roads within the site as well as ingress and egress from public or private roads; d. lease lines, if applicable; e. on-site features such as floodplain designations? lvater courses, drainage, utility lines and easements, ditches, wetlands or aquatic habitat, significant plant ecosystems, wildlife habitat and migration routes, geologic features, vegetative cover, dams, reservoirs, mines, and known cultural resources ; f. existing and proposed topography of the site at intervals of five feet; and g. existing and proposed vegetation, bu{fers, berms, fences, and other screening devices. If the application is for a development plan for the development of oil and gas operations for an area, a detailed drawing at a scale suitable to identify all drilling sites and associated facilities, including the following: a. the locations of all drill and compressor sites, indicating the area in square feet and acres of each site, and the number of wells to be drilled or compressors to be placed on each site; b. the location of all flowlines or pipelines and any other oil and gas operation facilities or ecluipnrerrt, indicating the size of any line; c. existing and proposed roads within the site as well as ingress and egress from public or private roads; d. lease lines, if applicable; e. Area features such as floodplain designations, water courses, drainage, utility lines and easenlents, ditches, wetlands or aquatic habitat, geologic features, vegetative cover, dams, reservoirs, and mines; f. existing topography of the area at intervals of forty feet; and g. existing and proposed vegetation, buffers, berms, fences, and other screening devices. h. a typical drill site plan, showing the information requested for an individual drill site. (3) For individual sites, a diagram showing adjacent properties and the approximate location of builfings and their uses within a fistance of 350 feet of any proposed structure, facility, or area to be disturbed. This may be drawn at a smaller scale than the site plan. For an area plan, the map will show the property boundaries and ownership information for all private and pu-blic property included in the development area. (4) Copies of application forms for all applicable local, state, or federal permits, including OGCC Forms I and 2. 9.07.05 (5) Evidence of surface owner notification, of mineral lease agreements, ancl of surface agreements rvhere the surface owner is not a party to the mineral lease. (6) Copies of financial guarantees in the form of boncls, letters of credit, cash, certificates of deposit, or other guarantees acceptable to the County, if the Director deternrines that financial guarantees are necessary to assure the performance of specific conditions of approval of the developnrent plan. This requirement may be waived by the Director if the Director is satisfied that individual bonds posted with the OGCC for the proposed operation cover the conditions of the developnrent plan approval granted under this Resolution, or if the operator posts a blanket bond with the Director covering all operations conducted in Boulder County in an amount of $500,000 or more. (7) An operation plan including the method of and schedule for the drilling, completion, production, abandonment, and reclamation phases of each infividual operation. (B) An emergency response plan, including a fire protection and hazardous materials spills plan, which specifies planned actions for possible emergency events, a listing of persons to be notified of an emergency event, proposed signage, and provisions for access by emergency response teams. The emergency plan must be acceptable to the appropriate fire district or the County Sheriff, as appropriate. The plan shall include a provision for the operator to reimburse the appropriate emergency service provider for costs irtcurred in conncction with elrrergerrc) response for the operator''s activities at the site. (9) A reclamation plan, including proposed recontouring, revegetation or other appropriate measures to restore the surface while operations proceed or after they cease. (10) A noise, odor, and dust abatement plan to control impacts on adjacent properties. (It) Any proposed measures necessary to mitigate anticipated adverse impacts on the aesthetic features of the site, views from surrounding properties or pullic rights-of-wal: or on significant environmental resources such as wetlands or plant and wildlife habitats. (12) An access and transportation route plan. (13) A waste disposal plan. (14) A drainage and erosion control plan for both on-site and off-site drainage. (15) An undesirable plant management plan for the site or area. Referral and Review by Director: The Director will coordinate the review of the development plan application. Upon the filing of a complete application for development plan review, the Director shall promptly forward one copy to the County Road & Bridge, Oil & Cas Auditor and Engineering Departments; the appropriate fire district or County Sheriff; the surface owners of an infividual site development plan; and any adjacent municipality for comment. (l) Referral comments on the proposed developnrent shall be returned to the Director no later than 18 days from the date of application for an individual 9.O7.06 site application and 30 days from the date of application for an area development plan. (2) In addition, the applicant shall notify the adjacent property orvners within 1,500 feet and post a sign on the site within seven days after receiving the application for an individual development plan review. Both the notice and the sign shall indicate that a development plan review application has been made, and the phone number of the Land Use Department where information regarding the application may be obtained. The applicant shall notify all property owners within I000 feet of the outside boundary of an area development plan and post a sign at the intersection of each public road entering the area within seven days after receiving the application for an area development plan review. Both the notice and the sign shall indicate that a developnrent plan review application has been made, and the phone number of the Planning Department where infornration regarfing the application may be obtained. (3) Ary deternrination by the Director to approve or conditionally approve a development plan application must be in writing and mailed or otherwise provided to the applicant no later than 28 days for an individual site development plan or 60 days for an area development plan, after the date on rvhich the devclopnrent plan application is filctl. Failure to nrake a determination on the application within this time period shall result in the application being considered approved and the applicant's building permit or access, or other permits being processed. Development Plan Review Standards and Criteria for Approval: A development plan shall be approved or conditionally approved in accordance with the following standards and criteria. (I) \fireils and any associated oil and gas operation facility or structure requiring a builfing permit shall be set back a minimum of 350 feet from any occupied building or occupied building permitted for construction, and a minimum of I50 feet from any public right-of-way. a. A smaller set back may be granted by the Director if the surface owner agrees and if there is no adverse impact on adjacent properties created by the reduced setback. b. If the OGCC spacing rules require location of wells at a distance less than these minimum requirements, the applicant shall apply for a variance with the OGCC to meet the County's setback requirements. If such a variance is not granted, the setbacks specified in these regulations shall be complied with to the maximum extent possi}le. The Director may impose additional mitigation nleasures as necessary to protect the pullic health, safety, and welfare where these setbacks cannot be met. (2) Any equipment used in drilling, completion, or production of a well must comply with Section 25-12-L03, C.R.S., Maximum Perrnissible l{oise Levels. a. For any well which does not comply with the required setback or where noise from the site will have a substantial impact in adjacent areas, additional noise mitigation may be recluired. One or more of the following additional noise mitigation rneasures may be recluired: (i) acoustically insulatecl housing or covers enclosing any motor or engine; (ii) screening of the site or noise emitting equipment by fence or landscaping; (iii) a noise management plan specifying the hours of maximum noise and the type, frequency, and level of noise to be emitted; and (iv) any other noise mitigation measures required by the OGCC. b. All po\Mer sources used in pumping and production operations shall have electric motors or nruffled internal combustion engines. (3) Oil and gas operations shall be located in a manner to minimize their visual impact and disturbance of the land surface. a. The location of operations shall be away front pronrinent natural features, designated environmental resources, or trails, as identified in the Comprehensive Plan and associated documents. b. Oif and gas operations shall be located to avoid crossing hills and ridges, and wherever possible, shall be located at the base of slopes. c. All equipment shall be located within the tank battery wherever possible. d. Facilities shall be painted in a uniform, noncontrasting, nonreflective color, to blend with the adjacent landscape. Pipelines or flowlines shall be located in existing fisturbed areas unless safety or visual concerns or other adverse surface impacts clearly dictate otherwise. e. All produced oil or gas shall be transported from the well to the production facilities by buried pipeline. Likewise, all electrical lines servicing pumping and accessory equipment shall be installed below ground. f. In areas where the facilities will have a substantial visual impact on the surrounding area, landscaping or screening of the site, or the use of low profrle tanks or less intrusive equipment, may be required. Specific landscaping or screening requirements may include, but are not necessarily limited to, establishing and properly maintaining ground cover, shrubs, and treesl shaping cuts and fills to appear as natural fornrs; designing the operation to utilize natural screens; or constructing fences for use with or instead of landscaping. (4) Access roads on the site and access points to public roads shall be reviewed by the County Road & Bridge Departrrrent and shall be built ancl maintained in accordance with the Garfield County Road Specifications. All access and oversize or overweight vehicle permits rnust be obtainecl from the County Road & Bridge Department prior to beginning operation. AII proposed transportation routes to the site shall also be reviewed and approved by the County Road & Bridge Department to rnini,mize traffic hazards and adverse inrpacts on public roadways. Existing roads shall be used to minimize land fisturbance unless traffic safety, visual or noise concerns, or other adverse surface impacts clearly dictate otherwise. (5) Each site shall have signs consistent with OGCC regulations. (6) In no case shall an operator engage in activities which threaten an endangered species. (7) Air contaminant emissions shall be control provisions of the Colorado Air , Resolution 7, C.R.S.. (B) All operations shall comply with all Control and drinking ruater standards. in compliance with the permit and Quality Control Program, Title 25, I applicable State Vater Quality (9) AX waste disposal or treatment facilities shall comply with all recluirements of the OGCC as well as the County Individual Sewage Disposal System Regulations. (10) AX production tanhs shall be located within a containment berm which is designed to be capable of impounfing l0o%o of the fluid capacity of the largest production tank. (11) The proposed reclamation plan shall provide for a reasonable reclamation schedule in light of the specific surface use and surrounding land uses, and may require recontouring and revegetation of the surface to pre-disturbance conditions. The Director may also approve a plan for an alternative postdisturbance reclamation, provided the surface owner and the applicant agreel and the plan is in harmony with the surrounfing land uses and the Comprehensive Plan. (12) OiI and gas operations shall comply with all OGCC requirements. However, to the extent that an OGCC requirement falls within a land use regulatory area addressed by this Resolution, and conflicts with any conditions of a development plan approved under this Resolution, the development plan conditions shall be enforceable provided they do not materially impede the State's interest under the OiI and Gas Conservation Act. The applicant may appeal the development plan approval to the Board of County Commissioners under Section 9.07.08, below (or within thirty days after written notification to the Director of an alleged material conflict if the conflict is discovered after the appeal deadline in Section 9.07.08 has expired and could not reasonably have been discovered earlier), or any argument as to naterial conflict shall be deemed waived. If it is possible for the applicant to appeal to the OGCC for a variance to comply with a conflicting development plan condition, there shall be a presumption in any appeal before the Board of County Commissioners that a material conflict does not exist, unless the applicant has pursued an appeal with the OGCC. (13) The proposal shall be consistent with the Comprehensive Plan, any applicable intergovernmental agreement affecting land use or development, and this Code. 9.07 .07 Conditions of Approval (1) If the Director finds in reviewing a development plan application that the application meets the applicable standards set forth above, the Director shall approve the site plan, and the applicant may continue the processing of the building or other associated County pernrit application, or otherwise engage in the proposed oil and gas operation. (2) If the Director finds that thc application does rrot rneet an applicable standard or standards, the application shall be approved with appropriate reasonable conditions imposed to avoid or minimize the significant adverse impacts of the development. Such conditions may include, but are not necessarily limited to, the relocation or mofification of proposed access roads, facilities, or stmctures; landscaping, buffering, or screening; posting of adequate financial guaranteesl compliance with specified surface reclamation measures; or any other measures necessary to mitigate any significant impact on surrounding properties and public infrastructure. (3) Once the Director issues a determination on the development plan, the determination shall not be final, and no permit based upon the determination shall be issued, for 14 calendar days after the date of the determination, in order to allow time for the applicant to appeal, or for the Board of County Commissioners to call up the determination for further review, pursuant to Sections 9.07.08 and 9.07.09 of this Resolution. The Director's determination shall become final, and permits applied for in accordance with the determination may be issued, only after the expiration of this 14-day period, and only if the determination is not reviewed and acted upon by the Board of County Commissioners at a subsequent appeal or call-up hearing. 9.07.08 Applicant's Right of Appeal of Conditional Approval (1) In the event that the Director conditionally approves a development plan application, the applicant shall be entitled to appeal the approval to the Board of County Cornmissioners. The applicant must file an appeal for this 9.07.09 purpose with the Director in writing no later than seven calendar days after the date of the Director's determination. If the deternrination is mailed to the applicant, three additional days for rnailing shall be added to the time for filing an appeal. (2) The Board shall review the Director's determination at a public hearing held as soon as practical after the date of the determination. Prior written notice of this hearing shall be provided to the applicant and to property owners within I,500 feet, and shall be published as part of the Board's agenda in a newspaper of general circulation in Boulder County. (3) At the public hearing the Board shall consider evidence related to the Director's determination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be limited in their review to the subject of the appeal, but may review any aspect of the development plan application. Based upon this evidence the Board may affirm the Director's determination, or may approve the development plan with modified, altered, deleted, or added conditions in accordance with Section 9.07.06 of this Resolution. No County builfing, grading, access, or floodplain development permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the clevelopruent plan with or without the atlditiort or ttrotlification of ct-rntlitions. Board of County Commissioners'Review ("Call-up") of a Determination to Approve or Conditionally Approve a Derelopment Plan (1) No County builfing, grading, access, or floodplain development permit may be issued to the applicant, nor shall the applicant be authorized to proceed with any proposed oil or gas operation not recluiring one of these County permits, for 14 calendar days after the date of the Director's approval, in order for the Board of County Commissioners to review the approval. At the same time written approval of the development plan is provided to the applicant, the Director shall forward to the Board a written statement which shall include the location of the site, a description of the proposed oil and gas operation, and, if the development plan is confitionally approved, the conditions of approval. (2) Upon receiving the Director's statement, and no later than 14 calendar days after the date of the approval, the Board may call the Director's determination up for review before the Board. The call-up generally shall be made by the Board at a public meeting convened within this l4-day period. However, if it is not practical for the Board to convene a public meeting for this purpose within the }4-day period, any member of the Board may authorize a call-up within the l4-day period, which call-up shall be effective provided that the Board subsequently ratifies the call-up at a public meeting held within a reasonable period of time after the 14-day period expires. 9.07.10 9.07.1r 9.07.t2 a. The Board shall review the Director's determination at a public hearing held as soon as practical after the Director's determination. Prior written notice of the hearing shall be provided to the applicant and to property owners within 1,500 feet, and shall be published as part of the Board's agencla in a newspaper of general circulation in Boulder County. (3) At the public hearing, the Board shall consider evidence related to the Director's determination which may be presented by County staff, the applicant, or interested rnembers of the public. The Board shall not be limited in their review to the subject of the call-up, but rnay review any aspect of the development plan application. Based upon this evidence, the Board may affirm the determination, or alter, delete, or add confitions of approval, in accordance with Section 9.07 .06 of this Resolution. No County building, grading, access, or floodplain development permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the development plan with or without the addition or nrofification of conditions. Effect of the Approved Development Plan: After approval of a development plan for an oil and gas operation, the applicant shall be entitled to have processed any necessary building, grading, access, or floodplail development permits or to otherwise proceed with the proposed operation. The approval of a development plan by the Director does not result in the vesting of development rights, nor does it permit the violation of any County or state regulations or preclude the County Building Official or Road & Bridge Department from refusing to issue a permit if the plans and specifications do not cornply with applicable County regulations. Inspections: The applicant shall provide the telephone number of a contact person who may be reached 24 hours a day for purposes of being notified of any proposed County inspection under this Section. Any site under an approved development plan may be inspected by the County at any time, to ensure compliance with the recluirements of the approved development plan, provided that one hour's prior notice is given to the contact person at the telephone number supplied by the applicant. Calling the number (or leaving a message on an available answering nachine or voice mail service at the number) at least one hour in advance of the proposed inspection shall constitute sufficient prior notice if the contact person does not answer. The approved development plan shall be considered to grant the applicant's implied consent to such inspections. Enforcement (1) In addition to any other remedy authorized under this Resolution to enforce the provisions of this Resolution, the Director shall be entitled to draw on any financial guarantee provided by an applicant pursuant to this Resolution, if the applicant violates any term or condition of an approved 9.07.t3 development plan. If the Director has reason to believe that a violation of an approved development plan for which a financial guarantee has been provided has occurred, the Director shall provide written notice to the applicant describing the violation, and stating a reasonable time within which the violation nrust be corrected. If, within that time period, the applicant has not either corrected the violation or filed a written appeal with the Board of County Comnissioners, the Director shall be entitled to enter upon the site to tahe any reasonable nleasures to correct the violation, and may draw on the financial guarantee to cover the costs of corrective measures. (2) If the applicant files a tinrely appeal with the Board of County Commissioners, the Board shall schedule a hearing on the appeal at the soonest possi-ble time of which the applicant shall receive reasonable prior notice. Ifthe Board confirnrs at the hearing that the violation has occurred and has not been corrected, the Board in its fiscretion may give the applicant additional time to correct the violation, or may specify the time at which the Director may take appropriate action to have the violation corrected and draw on the financial guarantee to cover the costs of corrective measures. (3) To insure the Director's ability to enforce the provisions of any approved clevclopnrent plan, the Director shall not release any Iiuancial E;uarantee provided under this Resolution for an infividual development plan, unti-l the Director confirms that all operations have been conrpleted and all provisions of the plan complied with. The Director shall not release any blanket bond or other blanket financial guarantee provided under this Resolution unless he is satisfied that the person providing the bond has adequately declared its intention to conduct no further oil and gas operations in Boulder County in the foreseeable future. The Director shall also be empowered to release a financial guarantee if a successor to an operator provides satisfactory guarantees in accordance with this Resolution. Amendments to a Development Plan: Any proposal to change a development plan approved under this Resolution shall require an application to the Land Use Department to cletermine whether the proposed change constitutes a substantial mofification to the approved plan. If the Director determines that the change constitutes a su-bstantial modification, no such change shall be allowed to proceed until an application to amencl the approved development plan is filed with the Director and approval granted in accordance with this Resolution. The applicant or its successor may appeal the Director's decision to recluire an amended development plan to the Board of County Commissioners, provided that any such appeal shall be in writing and shall be filed with the Planning Director no later than 30 days following the date of the Director's decision to require a development plan amendment. Garfield Coun MEMORANDUM To: From: Date: Subject: Mark Bean Doug Dennison, Oil & Gas Auditor March 10,2004 Review of First Draft of Development Plan for Oil & Gas Operations I reviewed the subject document that you emailed to me on March 5,2004 and have the following comments: Editorial Comments 1. There are still a few instances where the document refers to "Boulder" instead of "Garfield" County. 2. Change "Land Use Department" to "Plaruring Department" throughout. 3. In several places (e.g., 9.07.09 (3) and 9.07.10), the document refers to "building, grading, access, or floodplain development permits." I'm not entirely familiar with all Garfield County permits, but we need to make sure that these statements accurately reflect those permits that Garfield County issues. General Comments 1. This process may be the place to address some of the zoning issues unique to the oil & gas industry that have arisen recently, such as the use of trailers by flow testers during the initial stages of production. 2. We might want to consider adding some wording in the appropriate places in this process to encourage operators to propose innovative methods for mitigating impacts from operations. Specific Comments 9.07.01(4) - Is the reference to Site Plan Review applicable to oil and gas operations? The only reference to site plans in the County ZoningResolution was in the section applicable to PUDs. 9.07 .04 (2)b. (Under both individual site and area developments) - Suggest that this sentence 144 E. 3'd Street Rifle, CO 81650 (970) 62s-5691 Fax (970) 625-0908 read "the location of all existine and proposed structures, . . ." 9.07 .04 (2)d. (Under both individual site and area developments) - Suggest that this sentence read "lease lines and unit boundaries, if applicable;" 9.07.04 (3) - Should there be a requirement that ownership information be provided for individual sites as there is for area plans? 9.07.04 - Suggest that an item l6 be added that requires "A mosquito management plan for the site or area." 9.07 .04 - Suggest that an item 1 7 be added that requires "A traffic management/mitigation plan for the site or area. 9.07 .05(2) (Under both individual site and area developments) - The first sentence of each section should be revised to read "...within seven days after filing..." to make it clear that it will be the applicant's responsibility to notify owners and post signs. 9.07.06(1) - As you are aware, the set backs specified in this version of the proposed process are more restrictive than those specified by the COGCC. In my discussions with industry personnel in La Plata County, who also has adopted rules that specify more restrictive set backs, they have indicated in the event those set backs do conflict with COGCC spacing orders that they believe the set backs will pose an "operational conflict" with COGCC rules and will result in litigation. I can conceive of this also happening in Garfield County, particularly in light of the fact that spacing here is significantly denser than in La Plata County. The numerous Federal units within Garfield County also complicate this matter in that there is no prescribed spacing within a Federal unit and an operator can drill on whatever spacing they desire to most economically produce the natural gas. 9.07.06(3)e. - In Garfield County, oil is generally not transported via pipeline but is contained in tanks at the well site and periodically trucked from the site. 9.07.06(4) - Suggest that the second sentence of this paragraph be revised to read "All access... vehicle and road cut/boring permits must be obtained from and appropriate road bonds posted with the County Road..." 9.07.06(8) - Suggest revising this sentence to read " ... State Water Quality Control, including storm water control, and drinking water standards." 9.07.09(2)a. - Suggest that this section be revised to clarify who will make the required notifications. Please let me know if you have any questions regarding my comments. 144 E. 3'd Street Rifle, CO 81650 (970) 62s-s69t Fax (970) 625-0908 I J ohn )o.t, Jt ) I ,, )J,l,rr*l tvlz,tv)s - Fr.r) 1, w TO: FROM: RE: DATE: MEMORANDUM Garfield County Planning & Zoning Commission Building & Planning Department, Fred Jarman Amendment to Pipeline Definition Memo November 13, 2003 PURPOSE The purpose of this memorandum is to slightly modify the proposed deflnition of "pipeline" as presented in the original memorandum from the Building & Planning Director to the Garfield County elanning and Zoning Commission to be reviewed on December 10, 2003- It is anticipated that the Planning & ZoningCommission will make a recommendation to the Board of County Commissioners regarding this definition. ORIGINALLY PROPOSED DEFINITION The initially proposed definition of "pipeline" stated the following: "Any pipeline and appurtenant facilities designed for, or capable of, transporting natural gas, other petroleum derivatives or other liquid matter, ten (10) inches in diameter or larger which creates a hoop stress of twenty percent (20%) or more at their specified minimum yield strength. Pipelines regulated, licensed or permitted under federal regulations as interstate transmission lines shall be exempt from regulation under this Chapter." SLIGHTLY MODIFIED DEFINITION PROPOSED IN THIS MEMORANDUM (MOdifiCd IANgUAgC und e r I in ed fo r c lari ty) Pipeline: "An dist natural gas. other petroleum derivatives. or other liquid matter, ten (10) inches in diameter or larger which creates a hoop stress of twenty percent (20%) or more at their specified minimum yield strength. Pipelines regulated, licensed or permitted under federal regulations as interstate transmission lines shall be exempt from regulation under this Chapter." As a side note, the following definitions have recently been proposed by Delta County in reference to pipelines: l. Oil and Gas Gathering Svstem. A system consisting of gas/oil flowlines for the transport and consolidation of oil, gas, and other hydrocarbon products from individual oil and gas wells and production focilities to a central oil or gas facility or transmission pipe line, so classified under the DOT regulations. 2. Transmission Pipe Line. A pipeline transporting oil, gas or any other products derived for oil and gas production. NOV- 15-93 04 2 t.A PH SnvAGE 97A6251675 t r \re\r,o: '$ iohn t\rr,.lNr Frtont' Mnu-1 6\\e"r \rntsr*r 1 1Cf k Fulrsw rrrrq is \-H€ AcraunFn6 f r?.oCtpu(tQ- FDn_ Woa-ri N\6, j r\rft,n_{:,Sr. OhlN eP&. 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Memo To: Board of County Commissioners From: Mark Bean, Director Date: 8/6/03 Re: Pipelines Staff has reviewed the issue of pipeline definition and determined that there are a variety of different approaches to the issue. As noted previously in a memo and discussions with the Board, the County does not have a definition of pipeline, yet we have the use allowed in some zone districts. tn the early 90's, the Board of County Commissioners made an informal decision to only require permits of gas companies for transmission lines. Unfortunately, this was not codified and through the years the industry has taken the term gathering line to be defined in a manner different than the Board originally intended. [n reviewing the minutes, the Board wanted to have all lines that connected a number well sites subject to Special Use Permit. Since it was not clearly defined, the staffhas always said that gathering lines are not subject to permitting and the industy has built a number of pipelines that should have been subject to a land use permit. Until recently, staffwas not aware that the industry was using a different term for gathering lines than the staffwould have used for the same purpose. It has also been determined that there is no agency that regulates the lines from the "flow lines" as defined by the Colorado Oil & Gas Conservation Commission to the inter-state transmission lines. In the interest of trying to find other examples of the definition, staffresearched otherjurisdictions land use codes to see ifthere is any guidance. The following are definitions used in otherjurisdictions with oil and gas activity: Weld Count-v PIPELINE: Any PIPELINE and appurtenant facilities designed for, or capable of, fiansporting natural gas or other petroleum derivatives ten (10) inches in diameter or larger which creates a hoop stress oftwenty percent (20%) or more at their specified minimum yield strength. PIPELINES regulated, licensed or permiued under federal regulations as interstate transmission lines shall be exempt from regulation under this Chapter. It is not clear whether or not Weld County requires a land use permit from their regulations. At the time of writing this memo, staffwas awaiting a verbal response from the Planning Deparhnent. Garfield & Planning k,\ uo/o*l ;furu''il"'w- u'-r'( rt' t'a'Y/4 /'-lt W fr*fr*br /bwr^a'/ rl 4 un/7'*"- ef"'"''"t fu$*** r/ tnfu Va't'/ 'b /2 Zs/'"/z '/a'bt 9,-/ thr/'rt./-, b, A- /t',^7ae ol d'@ @' ti 4sstdd( fr, bz- trhz- ful r*Va-& ot r{zr &- /r,bn/"/ ^ / /,"Yed^7 &r,/1 aaL /nz6'-*az<<-- /tr,,r/*'o\r aI ruz'j 'adQaz'( /2 /&- &'y'&4"/<-- im. a--,( okh +/^/k{L Z"W;s 9.07 Development Plan Review for Pipelines 9.07.0f Purpose (1) This development plan review is an administrative review procedure for pipelines considered likely to significantly impact surrounding land uses and infrastructure needs and demands. (2) Development plan review should occur before a fuII set of working drawings has been completed for submission as part of an application for a building permit. As part of the review procedure, the applicant may be required to submit a development plan indicating siting and layout, buffering, landscaping, access, lighting, and other specific data. (3) Development plan review is not intended to mandate aesthetics of design. 9.07.02 Development Plan Review Requirements: A development plan must be submitted for the site or area of any pipeline(s) proposed to be located in the unincorporated area of Garfield County. Development plan approval is required prior to the issuance of any County building permits, or associated access or other land use permits associated with pipeline operations. However, pipeline operations which do not require a building or other associated County permit must still obtain development plan approval under this resolution. 9.07.03 Application: The application for development plan review shall be made on application forms available at the County Planning Department. Such forms shall have all spaces completed, designate all agents, exhibit all owner or operator signatures, and be accompanied by required fees and all materials required within these regulations. 9.07 .04 Development Plan Submission: The applicant shall submit eight copies of the proposed development plan with the completed application form to the Planning Director. The following information must be submitted with a development plan application: (1) A vicinity map inficating the section, township, and range of the site, and its relation to surrounfing public roads and municipal boundaries. (2) Route Drawing/Flagging A. If the application is for a single pipeline, a detailed drawing of the route at a minimum scale of I inch to 300 feet, including the following: l. The dimensions of the proposed route? indicating ai:ea in square feet and acres, and the area to be disturbed; 2. the location of all associated pipeline structures; 3. Existing and proposed roads within the site as well as ingress and egress from public or private roads; 4. Lease lines, if applicable; 5. On-site features such as floodplain designations, water courses? drainage, utility lines and easements, ditches, wetlands or aquatic habitat, significant plant ecosystems, wildlife habitat and migration routes, geologic features, vegetative cover, dams, reservoirs, mines, and hnown cultural resources; 6. Existing and proposed topography ofthe route at intervals of20 feet. 7. The proposed route shall be flagged at 200 ft. intervals at the time of the application and remain in place until the development plan is approved. B. If the application is for a development plan for the development of pipeline operations for an area) a detailed drawing at a scale suitable to identify all pipelines and associated facilities, including the following: 1. The location of all pipelines and compressor sites, indicating the easement/right-of-way widths and the total fisturbance area and the of compressor sites to be located along each routel 2. Existing and proposed roads along the route as well as ingress and egress fronr pul-rlic or private roads; 3. Lease lines, if applicable; 4. Area features such as floodplain designations, water courses, drainage, utility lines and easements) ditches, wetlands or aquatic habitat, geologic features, vegetative cover, dams, reservoirs, and mines; 5. Existing topography of the area at intervals of forty feet. 6. The proposed routes shall be flagged at 200 ft. intervals at the time of the application and remain in place until the development plan is approved. (3) Ownership A. For infividual routes, a diagram showing adjacent properties and the approximate location of builfings and their uses within a fistance of 350 feet of any proposed structure, facility, or area to be disturbed. This may be drawn at a smaller scale than the site plan. B. For an area plan, the map will show the property boundaries and ownership information for all private and public property included in the development area. (4) Evidence of surface owner notification and of surface agreements where the surface owner is not a party to the mineral lease. (5) Copies of financial guarantees in the form of bonds, letters of credit, cash, certificates of deposit, or other guarantees acceptable to the County, when the Director determines that financial guarantees are necessary to assure the performance of specific conditions of approval of the development plan. This requirement may be waived by the Director if the Director is satisfied that infividual bonds posted with the OGCC for the proposed operation cover the conditions ofthe development plan approval granted under this Resolution, or if the operator posts a blanket bond with the Director covering all operations conducted in Garfield County in an amount of $50,000 or more, if justified by the Director. (6) An operation plan including the method of and schedule for the completion abandonment, and reclamation phases of each individual pipeline. (7) An emergency response plan, including a fire protection and hazardous materials spills plan, which specifies planned actions for possible emergency events, a listing of persons to be notified of an emergency event, proposed signage, and provisions for access by emergency response teams. The emergency plan nust be acceptable to the appropriate fire district or the County Sheriff, as appropriate. The plan shall include a provision for the operator to reinrburse the appropriate emergency service provider for costs incurred in connection with emergency response for the operator's activities at the site. (B) A reclamation plan, including proposed recontouring, reyegetation or other appropriate measures to restore the surface while operations proceed or after they cease, consistent with standards established by the U.S. Bureau of Land Management for similar activities. (0) An odor and dust abatement plan to control impacts on adjacent properties during construction and operation. (10) Any proposed measures necessary to mitigate anticipated adverse impacts on the aesthetic features of the site, views from surrounfing properties or public rights-of-wafr or or significant environmental resources such as wetlands or plant and wildlife habitats. (ll) An access and transportation route plan. (12) A waste disposal plan. (I3) A drainage and erosion control plan for both on-site and off-site drainage. (15) An undesirable plant management plan for the site or area. Referral and Review by Director: The Director will coordinate the review of the development plan application. Upon the filing of a complete application for development plan review, the Director shall promptly forward one copy to the County Road & Bridge, Oil & Gas Auditor and Engineering 9.0.7.05 9.07.06 Departments; the appropriate fire district or County Sheriff; the surface owners of an individual pipeline development plan; and any adjacent municipality for comment. (I) Referral comments on the proposed development shall be returned to the Director no later than 18 days from the date of application for an infividual site application and 30 days from the date of application for an area development plan. (2) In addition, the applicant shall notify the property o\{ners within 200 feet of the route that are not affected surface owners with an agreement with the applicant. A sign will be posted on the portions of the route crossing or adjacent to a public road within seven days after receiving the application for an individual development plan review. Both the notice and the sign shall indicate that a development plan review application has been made, and the phone number of the Planning Department where information regarfing the application may be obtained. The applicant shall notify all property owners within 1000 feet of the outside boundary of an area development plan and post a sign at the intersection of each public road entering the area within seven days after receiying the application for an area development plan review. Both the notice and the sign shall indicate that a dcvelopnrent plan review application has been made, and the phone numler of the Planning Department where information regarding the application may be obtained. (3) Aoy determination by the Director to approve or conditionally approve a development plan application must be in writing and mailed or otherwise provided to the applicant no later than 28 days for an individual pipeline development plan or 60 days for an area pipeline development plan, after the date on which the development plan application is flled. Failure to make a determination on the application within this time period shall result in the application being considered approved and the applicant's builfing permit or access, or other permits being processed. Development r A development plan shall be approved or conditionally approved in accordance with the following standards and criteria. (1) Pipelines and any associated facilities shall be located along the perimeters of surface property ownerships and not within areas of agricultural crop production as a general guide. Non-perimeter locations wiII be acceptable if the surface owner agrees and there is no adverse impact on adjacent properties. (2) Arry equipment used in construction or operation of a pipeline must comply with Section 25-12-103, C.R.S., Maximum Perrnissille Noise Levels. a. For any pipeline construction or operational facility that will have a substantial impact in adjacent areas? additional noise mitigation may be required. One or more of the following additional noise mitigation measures may be required: (i) acoustically insulated housing or covers enclosing any motor or engine; (ii) screening of the site or noise emitting equipment by fence or landscaping; (iii) a noise management plan specifying the hours of maximum noise and the type, frequency, and level of noise to be emitted; and (iv) any other noise mitigation measures required by the OGCC. b. All power sources used in pipeline operations shall have electric motors or muffled internal combustion engines. (3) Pipeline operations shall be located in a manner to minimize their visual impact and disturbance of the land surface. a. The location of pipelines shall be away from prominent natural features and identified environmental resources. \tf, q c\$f b. Pipelines shall be located to avoid crossing hills and riclges,tnd t - L , , (r- wherever possible, s[all be,localed at the ]ase of slopes. El/-orfr S rL& r r ,-o)u *i 4a1AgSr4- fi'fr- r{4 i 7 c. Facilities shall be paYnted in/a uniforrn, noncontrasting, nonreflective color, to blend with the adjacent landscape. Pipelines shall be located in existing disturbed areas unless safety or visual concerns or other adverse surface impacts clearly dictate otherwise. d. In areas where the corridor or associated facilities will have a substantial visual impact on the surrounding area, an accelerated revegetation schedule may be required. Specific or revegetation requirements may include, but are not necessarily limitecl to, establishing and properly maintaining ground cover, shrubs, and trees; shaping cuts and frlls to appear as natural forms; designing the pipeline to utilize natural screens. (4) Access points to public roads shall be reviewed by the County Road & Bridge Department and shall be built and maintained in accordance with the Garfield County Road Specifications. All access and oversize or overweight vehicle permits must be obtained from the County Road & Bridge Department prior to beginning operation. All proposed transportation routes to the site shall also be rerriewed and approved by the County Road & Bridge Department to ninimize traffic hazards and adverse impacts on public roadways. Existing roads shall be used to mininrize land disturbance unless traffic safety, visual or noise concerns, or other adverse surface impacts clearly dictate otherwise. 9.07.07 Any new roads created as a result of the pipeline construction, intended to be permanent for maintenance and repair operations shall be placed behind a loched gate or other barriers preventing use by recreational vehicles. Ary gates or barriers need to be consistent with the surface owners preferences. (5) In no case shall an operator engage in activities which threaten an endangered species. (6) Air contaminant emissions shall be in compliance with the applicahle permit and control provisions of the Colorado Air Quality Control Program, Title 25, Resolution 7, C.R.S.. (7) All operations shall comply with all applicable State Public Health and Environment, Water Quality Control standards. (B) Any proposed waste fisposal or treatment facilities shall comply with all requirements of the County Individual Sewage Disposal System Regulations. (9) The proposed reclamation plan shall provide for a reasonable reclamation schedule in light of the specific surface use and surrounding land uses, and may require recontouring and revegetation of the surface to pre-disturbancc conditions. 'I'he Director nray also apl)rove a plan for an alternative postdisturbance reclamation, provided the surface owner and the applicant agree, and the plan is in harmony with the surrounfing land uses and the Comprehensive Plan. Conditions of Aooroval (1) If the Director finds in reviewing a development plan application that the application meets the applicable standards set forth above, the Director shall approve the site plan, and the applicant may continue the processing of the building or other associated County permit application, or otherwise engage in the proposed pipeline. (2) If the Director finds that the application does not nreet an applicable standard or standards, the application shall be approved with appropriate reasonable conditions imposed to avoid or minimize the significant adverse impacts of the development. Such confitions may include, but are not necessarily limited to, the relocation or modification of proposed access roads, facilities, or structures; landscaping, buffering, or screening; posting of adequate financial guarantees; compliance with specified surface reclamation measures; or any other measures necessary to mitigate any significant impact on surrounding properties and public infrastructure. (3) Once the Director issues a determination on the development plan, the determination shall not be final, and no pernrit based upon the determination shall be issued, for 14 calendar days after the date of the determination, in order to allow time for the applicant to appeal, or for the 9.07.08 9.07.09 Board of County Commissioners to call up the determination for further review, pursuant to Sections 9.07.08 and 9.07.09 of this Resolution. The Director's determination shall become final, and permits applied for in accordance with the determination may be issued, only after the expiration of this l4-day period, and only if the determination is not reviewed and acted upon by the Board of County Commissioners at a subsequent appeal or call-up hearing. Applicant's Right of Appeal of Conditional Approval (1) In the event that the Director conditionally approves a development plan application, the applicant shall be entitled to appeal the approval to the Board of County Commissioners. The applicant rnust file an appeal for this purpose with the Director in writing no later than seven calendar days after the date of the Director's determination. If the determination is mailed to the applicant, three additional days for mailing shall be added to the time for filing an appeal. (2) The Board shall review the Director's determination at a public hearing held as soon as practical after the date of the determination. Prior written notice of this hearing shall be provided to the applicant and to affected surface property owners? and shall be published as part of the Board's agenda in a ncwspaper of gerreral circulation in Carfieicl Countv. (3) At the public hearing the Board shall consider evidence ,"tu,"a to the Director's determination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be limited in their review to the subject of the appeal, but may review any aspect of the development plan application. Based upon this evidence the Board may affirm the Director's determination, or may approve the development plan with modified, altered, deleted, or added conditions in accordance with Section 9.07 .06 of this Resolution. No County building, grading, or access permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's determination at the public hearing, and approves the development plan with or without the adfition or modification of conditions. Board of County Commissioners' Review ("Call-up") of a Determination to Approve or Confitionally Approve a Development Plan (1) No County builfing, grading or access permit may be issued to the applicant, nor shall the applicant be authorized to proceed with any proposed pipeline construction not requiring one of these County permits, for L4 calendar days after the date of the Director's approval, in order for the Board of County Commissioners to review the approval. At the same time written approval of the development plan is provided to the applicant, the Director shall forward to the Board a written statement which shall include a description of the proposed pipeline construction, and, if the development plan is conditionally approved, the conditions of approval. 9.07.10 9.07.1 1 (2) Upon receiving the Director's statement, and no later than 14 calendar days after the date of the approval, the Board may call the Director's deterrrrination up for review before the Board. The call-up generally shall be made by the Board at a public meeting convened within this 14-day period. However, if it is not practical for the Board to convene a public meeting for this purpose within the 14-day period, any member of the Board may authorize a call-up within the 14-day period, which call-up shall be effective provided that the Board subsequently ratifies the call-up at a public meeting held within a reasonable period of time after the l4-day period expires. a. The Board shall review the Director's determination at a public hearing held as soon as practical after the Director's deternrination. Prior written notice of the hearing shall be provided to the applicant and to to surface property owners having agreements with the applicant, and shall be published as part of the Board's agenda in a newspaper of general circulation in Carfield County. (3) At the public hearing, the Board shall consider evidence related to the Director's determination which may be presented by County staff, the applicant, or interested members of the public. The Board shall not be limited in their review to the subject of the call-up, but may review any aspect of the developnrent plan application. Ilasecl upon this evidence, the Board may affirm the determination, or alter, delete, or add conditions of approval, in accordance with Section 9.07 .06 of this Resolution. No County building, grafing or access permit shall be issued, or the applicant otherwise allowed to proceed with the operation, until the Board acts on the Director's deternrination at the public hearing, and approves the development plan with or without the addition or modification of conditions. Bffect of the Approved Development Plan: After approval of a development plan for a pipeline, the applicant shall be entitled to have processed any necessary building, grading or access permits or to otherwise proceed with the proposed operation. The approval of a development plan by the Director does not result in the vesting of development rights, nor does it permit the violation of any County or state regulations or preclude the County Building Official or Road & Bridge Department from refusing to issue a permit if the plans and specifications do not comply with applicable County regulations. Inspections/Certifications: The applicant shall provide the telephone number of a contact person who may be reached 24 hours a day for purposes of being notificd of any proposed County inspection under this Section. Any site under an approved development plan may be inspected by the County at any time, to ensure compliance with the requirements of the approved development plan, provided that one hour's prior notice is given to the contact person at the telephone number supplied by the applicant. Calling the number (or leaving a message on an available answering machine or voice mail service at the number) at least one hour in advance of the proposed inspection shall constitute sufficient prior notice if the contact person does not answer. The approved development plan shall be considered to grant the applicant's implied consent to such inspections. Upon completion of any pipeline, the applicant shall subnrit a statement from a licensed Professional Engineer in the State of Colorado certifying the completion of the project and include a digital copy of the surveyed pipeline as-built. 9.07 .12 Enforcement (1) In addition to any other remedy authorized under this Resolution to enforce the provisions of this Resolution, the Director shall be entitled to draw on any financial guarantee provided by an applicant pursuant to this Resolution, if the applicant violates any term or condition of an approved development plan. If the Director has reason to believe that a violation of an approved development plan for which a financial guarantee has been provided has occurred, the Director shall provide written notice to the applicant describing the violation, and stating a reasonable time within which the violation must be corrected. If, within that time period, the applicant has not either corrected the violation or filed a written appeal with the Board of County Commissioners, the Director shall be entitled to enter upon the site to take any reasonable measures to correct the violation, and may draw on the financial guararrtee to cover the costs of corrective measures. (2) If the applicant files a timely appeal with the Board of County Commissioners, the Board shall schedule a hearing on the appeal at the soonest possible time of which the applicant shall receive reasonable prior notice. If the Board confirms at the hearing that the violation has occurred and has not been corrected, the Board in its discretion may give the applicant additional time to correct the violation, or may specify the time at which the Director may take appropriate action to have the violation corrected and draw on the financial guarantee to cover the costs of corrective measures. (3) To insure the Director's ability to enforce the provisions of any approved development plan, the Director shall not release any financial guarantee provided under this Resolution for an individual development plan, until the Director eonfirms that all operations have heen completed and all provisions of the plan complied with. The Director shall not release any blanket bond or other blanket financial guarantee provided under this Resolution unless he is satisfied that the person providing the bond has atlequately declared its intention to conduct no further oil and gas operations in Garfield County in the foreseeable future. The Director shall also be empowered to release a financial guarantee if a successor to an operator provides satisfactory guarantees in accordance with this Resolution. 9.07.13 Amendments to a Development Plan: Any proposal to change a development plan approved under this Resolution shall require an application to the Planning Department to determine whether the proposed change constitutes a substantial modification to the approved plan. If the Director determines that the change constitutes a substantial modification, no such change shall be allowed to proceed until an application to amend the approved development plan is filed with the Director and approval granted in accordance with this Resolution. The applicant or its successor may appeal the Director's decision to require an amended development plan to the Board of County Commissioners, provided that any such appeal shall be in writing and shall be filed with the Planning Director no later than 30 days following the date of the Director's decision to require a development plan anendment. Wemo lo: From: Date: Re: Board of County Commissioners Mark Bean, Director 7l16l03 Pipelines Staff has reviewed the issue of pipeline definition and determined that there are a variety of different approaches to the issue. As noted previously in discussiors with the Board, the Corurty does not have a definition of pipeline, yet we have the use allowed in some zone districts. Lr the early 90's, the Board of County Commissioners made an infomnl decision to only require permits of gas companjes for tansmission lines. Unforhrnately, this was not codified and through the years the industry has taken the term gathering line to be defined in a marurer different than the Board origrnally intended. In reviewing the minutes, the Board wanted to have all lines that corrnected a murrber weli sites subject to Special Use Permit. Since it was not clearly defined the staff has always said that gathering lines are not subject to permitting. Until recently, staff was not aware that the industry was using a different term for gathering lines than the staff would have used for the same purpose. It has also been deterrnined that there is no agency that regulates the lines from the "flow lines" to the "trarsmission lines". In the interest of trying to find other examples of the definition, staff researched other jurisdictions land use codes to see if there is any guidance. The following are definitiors.used in otherjurisdictions with oil and gas activity: Weld Courty PIPELI|\E:Any PIPELINE and appurtenant facilities designed for, or capable of, transporting natural gas or other petoleum derivatives ten (10) inches in dia:neter or larger which creates a hoop stess of twenty perc ent (20oO or more at their specified minimum yield strength. PIPELII{ES regulated licensed orpermitted under federal regulations as interstate trarsmission lines shall be exempt from regulation under this Chapter. Ia Plata Cowrtv Gathering systemmeans a system consisting of well (or gathering), lateral, and trunk pipelines transporting oil, gas or other products derived from oil and gas production to a central facility or transmission line, and so classified under the DOT regulations. 1 Boulder County GAS DISTRIBI]TION PIPELINE Mains, services, equipment and appurtenant faciljties which cary or conffol the supply of gas from the point of local supply to and including the sales meter. GAS REGTILATOR STATION An assemblage of equipment which reduces, regulates and meters natural gas pressure in the transmission line, holder, main, pressure vessel or the compressor station piping. This may include auxiliary equipment such as valves, control instruments or control lines as well as piping. GAS TRANSMSSION PIPELII{E Pipelines and appurtenant facilities irstalled for the purpose of ,ransmitting gas from a source to a distributing center, to a large volume customer, or to interconnect sources of supply. There is no clear similarity between the tlrree counties, although Weld County does attempt to put a criteria to what they consider a pipeline. Encana provided the attached definitions from the Code of Federal Regulatiors and OGCC Regulatiors. Please noted that the only pipelines regulated by any entity are the Trarsmission lines (FERC) and the Flowlines (OGCC). As noted in previous discussions, flou.lines regulated by OGCC may cover the water line that Encana is presently constructing. That is based on water flowlme that drscharges in to a pit, per the OGCC regulations. What is not covered are water lines that deliver water to a wellhead site or water lines that deliver water from a site (i.e., ditch) other than a wellhead. Staffwouid recommend that a definition similar to the Weld County definition would recommend that a definition ofpipeLine be similar to Weld County's definition with specific sizes and other appropriate criteria, but be generic in terrns of the tlpe of material to be transported. Suggested wording to consider could be the following: PIPEUNE: AnyPIPELINE and appurtenant facilities designed for, or capable of, transporting natural gas, other petoleum derivatives, or liquids, that is ten (10) inches in diameter or larger which creates a hoop skess of twentypercent(20%) ormore at their specifiedminimumyield sfi'ength. Additionally, staffnotes that the term pipeline will need to be added to a nurnber of zone districts, to ensure that the facilities do not have to be permitted under a different term. . Page2 Pipeline Definitions Code of Federal Regulations. Title 49. Volume 3. Revised October. 2002. Chapter I Research and Special ProSrams Administration. Departrnent of Transportation, Part 192. Section i92.3 Definitions "Gathering line means a pipeline that tansports gas from a current production facility to a fransmission line or main." "Main means a distribution line that sewes as a cornmon source of supply for more than one service line. "Transmission line means a pipeline, other than a gathering line, that:a) Transports gas from a gathering line or storage facility to a distributron center, storage facility, or large voiume customer that is not downstream from a distibution center;b) Operates at a hoop stress of 20 percent oi more of SMYS; orc) Transports gas within a storage field. A large volume customer may receive sirnilar volumes ofgas as a distribution center, and includes factories, power plants, and institutional users of gas" "SMYS means specified minimum yield skength is: 1) For steel pipe manufactured in accordance with a iisted specification, the yield sfrength specified as a minimum in that specification, or2) For steel pipe manufactured in accordance with an unknown or unlisted specification, the yield strength determined in accordance with Sec. 192.107 (b). COGC Rules. Rule i00 "Flowlines shall mean those segments of pipe from the wellhead downskeam through the production facilities ending at: In the case of gas lines, the gas metering equipment; or In the case of oil lines, the oil loading point of LACT uuit; or In the case of water liaes, the water loading poiat, the point of discharge to a pit, or the injection wellhead." (4 CCR 723-1 1) Part I. Ruies Governing the Filing of Reports Relating to Gas Pipehne Safetlz (Reference 49 CFR 191. "723-7i-1.4 Gathering pipeline means a pipeline that transports gas from a currentproduction facility to a transmission pipeline or main." "723'11-1.15 Transmission pipetine means a pipeline other than a gathering pipeline, that: 723-11-l.l5.l Transports gas from a gathering pipeline of storage facility to a distribution center or storage facility; 723-11-1.15.2 Operates at a hoop stress of 20 percent or more of SMyS, or 723-11-1.15.3 Transports gai withiu a storage field; or, 723-11-1.15.4 A pipeline serving a large volume customer receiving sirnilar volume of gas as a dishibution center, and includes factories, power plants, and institutional users of gas. 0cT-09-2003 THU 02r42 PIl October 9, 2003 Yia Facsimile 970.384.5005 3 Pages Don Killian Deford, Esq' Carfield CountY AttorneY's Office 108 E. 8'h Street. Suite 2I9 Glenwood Springs, Colorado 8160I Enc. cc: Joel Fox Jesse Wood Trcvor Bors u Trads.Mart ot Frf.u! Cqt)0EtEr\ l.r8sd under llconso ,.\A-;--A Diane M. Blieszner \ Consulting AfforneY FA}( NO, Encana Oil & Gac (USA) lnc. 950 1 7ih SIreEl Suite 2600 Denver CO USA 80202 P, 01 tsri (303) 623-2300 r.r (303) 623-2400 www.encana,cofil Re: EnCana Great Divide PiPeline [)ear Mr. Deford: This letter is further to our oonversation on october 7 in which we discussed regulation of the EnCana C:reat Divide Pipeline currently under construction- Under Department of Transportation interpretations, tlre pipelino is subject to regulation by the DOT' Enclosed is a copy of aD interpretation ]etter from the Office oinipetine SalgtV to Unocal that addresses tho applioability of tho pipeline safety standards in 49 CiR Part 192 to various types of pipelines' ('llre inrcrpretation leitors are arailable at http:/iops'dot.gov/regsindex'htrn undcr "Index of OPS in,"rpr"t"iions.") The 4" Lewis River e pipitine aesoribed in tho letter is our situation as well' it. bfn." of pipeline Safety takes the poritiot that a line that transPorts qas tnat-]: ready for sate is subject to'DOt regulation. EnCana is installing the pipeline according to DOT specifications. It is EnCana,s position that since the pipeline is subject to DOT regulation, the County is prcenrpted from regutaring it. The other 24"iine for whichwe obtainod a permit is a gathering line that is not subject to DOT regulatiou. EnCarra values its relationship with the County, and we appreciate your.communication with us So that we can provide information and address rhe County's concerns in.order to resolve this issue, plcase teleptone me on 720,956.3633 if I can provide any additional information to you. My fax numher is 720.956.3655' Sincerely, 0CT-09-2003 THU 02t42 Pl1 FAX NO, 9l25le6 Mr, Jolru'l', Dono}tue Unooal Clorporatiou Oiland Gas Operations 909 West 9[h Avenue Anchorage, AK 99519-6247 L)ear Mr. Donohue: This is in respqnse ro your letter of May 21, 1996, requesting an interpretation of whether five gas pipelines locared ir: oiadjacent to Cook Iniet in Alaska are subjoot to 49 CFR ParI 192- Your Icger describcs each of the five pipelines including treatment and field processing to which the gas in each line is subjected. A garhering line is defined iil $ 192.3 as a pipeline that transports gas from a current production fr"iliiy to i transrnission line or main A transmission line is defined (in part) as a line that nr*jons gas from a gathering line to a distribution centor or slorage facrlity. These general definirions have often ied to derermination ofwhether a pipeline is a gathering line or a rrar:smission line ou a case-by-case basis depending on the set of circumstances for each line. -tt We consider rhat a gather-ing line ends and a transmission line begins at a point whero rhe gas is 7f Leady for sale. Sinci rhe gai, when delivercd to a transmission line, must be in a condltion generally suitablc for transporlarion to a tlistribution center or storage facility, it follows that the gathoring prooess includes the field equipment necessary for tho treatment and fisld processing of gur, such as a heater, dehyclrator. o, .rpiratnr. A gathoring linc is considered to terminate at the point ar which the gathering process is complete. A number of interpretations made over the years wcre based on these considerations. With this baokground, we car respond to your irrqu,ty of the jurisdiotion for oaoh of the five pipelines descnted by you: - The gas in this pipeline is scrubbed and dehydrated on the Str"ri, 1ak. ildJ..rrp.rt"i 6.0 *it"" to the lvan River pad where ir commingles wirh lvau River gm oii.t rhe ctnrmingle'd gas is scrubbed again prior to entering rhe ENSTAR transmission fipelinc, The gas frorn Stump lake is nor ready for sale until aftor it is scrubbed subsequenr to conlr:ingling *ith ri,. gas &om Ivan Rivr)r. Therefore, the Stump Lake to lvan River pipeline is P, 02 0cT-09-2003 THU 02:43 py Richard D. Huriarx, P.E. Director for Tcchnology and Regu)ations Offico of Pipeline Safety l,Wt.i lrich:jmd ;64046:9- I 2'9(r cc: DI'S- I,2, I0,20,28 TSI,StatcMailbrg FA}( NO.P. 03 2 considered a gathering line and, since it is located in a rural &rea as defined in $ 192.1OX2), rhe pipcline is r:oi subject to the regulations in 49 Cl'R Part 192' E_,' Ivari Ruql3jpglbe ENSTAR transmission pipoline - Tho gas in this prpelineis scrubbed and dehydrated on ,hJi-ruo Ri*r proAu"tion p.a ft isitran transported through ttre..8" lvan River pipcline and scrubbed again prior ro entering the ENSTAR pipeline. The gas is "re-adY for salc" after ir is scrubbed rhe icond time prior tointering the ENSTAR pipcline- Therefore, the 8" Ivan River pipeline is considered a gathering line up to the outlet of tlre second scrubber and' since it is locared in a rural area as describecJ in S I92.1(bX2), the pipeline is not subject Io the regulations in 49 CFR Part 192. 4,1 Lewis River A trripeline to ENSTAR frars:nissipn pipelinp - The gas in this pipeline is scrubbed ,t and dehydrat"a uilt" p*au.tionpad and is "ready for sale" at tho outlel of this lreatmentt* iltil;i;r"nit oogt cusrody transfer, l. e., il is "sold," at the end of the line prior to entoring the ENSTAR pipeline. The sale of the gas is sccondary to it being of a quality for sale' i'e'' ..ready for sale." Theretbre, rhe 4" Leriis River A pipeline is considered a rransmission line sub.iect to the regulations in 49 CFR Part 192. 4,, Lewis River C pipelino ro I'lNSi'l'AR transmission pilroline - 'flie gas in this pipeline is scrubbed ar rhe produ"tion@nd i. "r.^iy for sati" at the outlet of the scrubbing equipment. Thercfore, the 4,, Lewis River C pipelinc is corsillered a transmission line subjcct to the regulations in 49 C'FR Part I92. 4,, prqtty CregB #2 nipeline to ENS'I'AR transmission,PiPeline - The gas in this pipeline is treated iounticalE tf,e-gas in tf,e 4" L"-*it River e pipeline, Therefore, the 4" Pretty Creek #2 pipeline is a rransmissioir pipeline subject ro the regulatiom in 49 CFR Part I92' Sincerely,