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HomeMy WebLinkAbout3.0 BOCC Staff Report 12.15.2015BOCC 12/15/2015 FJ REQUEST: A Special Use Permit for "Extraction of Natural Resources" to drill for natural gas with accessory pipelines within the Battlement Mesa Planned Unit Development (BMPUD) for the D Pad location FILE NUMBER: MIPA-06-15-8342 APPLICANT: Battlement Mesa Land Investments (Surface Owner) Ursa (Minerals Lessee & Operator) OPERATOR: Ursa Operating Company: Rob Bleil, representative PARCEL #: 2407-081-00-152 ZONING: Low Density Residential subzone district within the Battlement Mesa Planned PUD I. GENERAL PROJECT DESCRIPTION 40 Ursa Operating Company (Ursa) proposes to extract natural gas that lies below the surface of the Battlement Mesa Planned Unit Development (BMPUD) which is defined as "Extraction of Natural Resources" and is specifically listed as a Special Use in the PUD documents. As such, Ursa is required to seek approval for a Special Use Permit (SUP) from the Garfield County Board of County Commissioners. The surface where the D Pad is proposed is owned by Battlement Mesa Land Investments. (While Ursa's proposed overall Phase I plan also includes the construction of the B Pad and natural gas and water pipelines, this staff report will focus only on the D Pad for clarity of the review.) Generally, the proposed D Pad location is in an open space tract on the west side of the PUD on the east side of and adjacent to County Road 307 (River Bluff Road). The location is approximately 700 feet north of the Stone Ridge neighborhood, 630 feet south of the Willow Ridge and Willow Park neighborhood (primarily containing multi -family apartments) that are on the north side of South Battlement Parkway, and approximately 1,400 feet west of the valley View Village neighborhood. (A vicinity map is located on the following page.) The pad itself will be approximately 250' x 350' on a larger parcel that is 1,248 acres. Access to the pad will come off of County Road 307 also known as River Bluff Road. Ursa intends to develop up to 28 natural gas wells on the pad where approximately 8 wells would be drilled in one drilling event at one time called an "occupation". The intent of the drilling program is to target the Williams Fork formation. 1 C7 The full development of the D Pad consists of 5 phases including pad construction, drilling the wells, completing the wells, producing the wells, and ultimately final reclamation of the pad site after the productive service life of the wells. Ursa proposes to construct a sound wall to contain noise and serve as a visual barrier during the drilling and completions portion of the project. The total time frame from pad construction to production will be approximately 3 years with final reclamation of the well site in approximately 30 years (typical life of a producing well in the Williams Fork formation). 2 Ursa provided a time frame and associated employees required to develop the D Pad (corrected • here for 28 wells): • Phase Duration No. of Employees Pad Construction 21 days 6 contractors per day Drilling 112 days (4 days per well) 20 contractors per day Production 280 days (10 days per well) 35 contractors per day Production 30 years 1 employee per day Final Reclamation 14 days 6 contractors per day Once the wells are drilled, completed and placed into production, the pads will be some reclaimed on an interim basis and will have 28 well heads, a bank of 5 separators, and 6 tanks to primarily hold produced water with 1 or 2 of those tanks to contain what little condensate may be produced for a total tankage of 2,400 to 3,000 bbls (barrels) that has primary, secondary and tertiary containment. There will also be a combustor to burn any VOCs (Volatile Organic Compounds) that may generate from the produced water / condensate tanks. The site plan in the Application shows the D Pad as follows: The hours of operation will vary depending on the phase. Pad construction will occur during the day (7:00 AM to 8:00 PM), drilling will occur 24 hours a day until completed. Completions are to be conducted during the daylight hours only. Once the wells are placed into production, the site Unplatted Battlement Mesa P.U.D. I \\J— Reception No. 333478 & Unrecorded Resolution No. 82-138 (21 June, 1982) 20' unary Eassrnanr / / i{E�� • , \ ` \ / / R�6n4362172 100' Right 0 W., r � f / 04�j16� \ R— &W Road R—Prion N. J95502 \ \ .•.` �. P.O.B. � •\ \ \ y1 �,• \ �(� BNC D Site Basement \� Pao xa 20' < \ \\ wry too t i�5� Itfds n — Rood cep6on J rn� Fa9s Wthil 30' Wiety E ---t ` r \ � Sts Eosamenr + Roc ti— ft. 162180 \ \ i�i� �'Ntw Wo(n 4 Go Pin �. C 1967' taaamany fJrp,�aj ca„r \\ !!//!�/! � 1„' I � 5 \ \ \ � r 20' Ubrb Eaxmmt yy 4 v V `n McaP�' n Na J61172 Pro ed 50' wmt aon4man e \ 1198.76' \ \ x..._+ �j x — gb`O��Oi. 9 3� -� Re J�. / ✓ ✓ \ x .161.1 � f ✓ I f Unplatted h +/r.\,/� Battlement Mesa P.U.D. Al ✓✓✓ I ` Reception No. 33.7476 & 3 0 will be unmanned and primarily monitored remotely with telemetry; visits to the pads will be during the day time (7:00 Am to 8:00 PM) by employees on a limited / routine basis. Background / History The Battlement Mesa Planned Unit Development was originally approved by the Board of County Commissioners in 1975, but the basic guidelines and zone districts were established by a PUD modification in 1981, Resolution 82-121, which contained the PUD zoning restrictions for the 3,200 acre area. The zoning restrictions included locating permitted uses and "special uses" within the PUD area. The restrictions provided for a variety of residential densities and commercial areas to support the residents as well as related open space and recreation. Extraction and processing were listed as "special uses" within all zones of the PUD. Although there have been amendments to the PUD since 1982, extraction and processing remain "special uses" in all zone districts within the PUD. Today, Battlement Mesa exists as a comprehensively planned community which includes residential areas ranging from low density to mobile home park density, commercial development to support community needs, and a significant recreational and open space component. The community continues to develop and currently includes a variety of residential communities, an 18 -hole golf course and clubhouse, a recreation center, and Market Plaza which contains retail establishments, a grocery store and the Battlement Mesa Medical Center. Exxon was one of the original owners of both the surface and sub -surface of lands in and around Battlement Mesa. Exxon transferred its interest in the surface land to Battlement Mesa Inc., a Delaware Corporation in 1981, reserving the oil, gas and other minerals it owned. Battlement Mesa Inc. conveyed its interest to Battlement Mesa Partners, a Colorado general partnership, in December 1989, which deed included as proof of ownership in the applications. Prior to that conveyance, Battlement Mesa Partners and Exxon signed a letter agreement dated December 12, 1989 concerning the development of oil and gas (the "Exxon Agreement") and identifying specific drill site locations which was recorded in 1999 in Book 1139, Page 112 with reception 548481 in the Garfield County Clerk and Recorder's Office. In 1990, Battlement Mesa Partners and Battlement Mesa Realty Partners entered into a Surface Use Agreement with Barrett Resources Corporation (the "Barrett SUA"). Exxon entered into oil and gas lease agreements with Barrett Resources Corporation in 1991. (Note, there were two well pads drilled in the Battlement Mesa PUD under this agreement that also received approval from the BOCC in 2009 Williams Production RMT.) Subsequent to that in 2009, Battlement Mesa Partners entered into a Surface Use Agreement with Antero Resources which has recently been modified by Ursa. (As one purchases a residential lot in Battlement Mesa, a variety of recorded information appears in the title documents as expressed by Commonwealth Title Company in Exhibit Z regarding proposed drilling activity. For example, one of the original drill site maps of title is here from the Exxon - Barrett SUA and an earlier on from the Exxon Letter (on the following page): T • • • 5 Process The County approved Resolution 82-121 on May 24, 1982 which provides the zone districts and the uses permitted in each zone district within the BMPUD. "Extraction of Natural Resources" is listed in each zone as a'special use'. Section 10.0 (SR Supplementary Regulations) found on page 24 provides the process by which the special use is to be administered. This is stated here: 'Where preceding general standards or the following supplemental regulations do not adequately describe what is permitted or required, reference shall be made to the officially adopted Garfield County Zoning Resolution of January 2, 1979, including the zoning amendment, adopted October 15, 1979, (79-132) and to the officially adopted Garfield County Subdivision Regulations of January 2, 1979, and amendments of October 15, 1979.' As a result, the County shall require that in order to extract natural resources (drill for natural gas) within the BMPUD, the property owner (or their designee) shall be required to render an application for a Special Use Permit to the County. This application shall require the owner to demonstrate that they comply with the standards / criteria found in the County's zoning code on January 2, 1979, including the zoning amendment, adopted October 15, 1979, (79-132). The process for the review of this Special Use Permit application shall be that of the "Major Impact Review" process in the County's Land Use and Development Code of 2013, as amended. The Application has not only responded to standards required under the 1978 Code, but also the current Land Use and Development Code. • 111. PUBLIC COMMENTS AND REFFERAL AGENCY COMMENTS The Application was referred to the following County Staff, public agencies and interested groups for their review and comment. The actual comment letter is attached as an exhibit to this memorandum. 1) Garfield County Road and Bridge- District 3: Exhibit Y 2) Garfield County Sheriff: No comments received 3) Garfield County Vegetation Manager: Exhibit H 4) Garfield County Oil & Gas Liaison: Exhibit L 5) Garfield County Environmental Health: Exhibit KK 6) Garfield County Emergency Management: No Comments received 7) Garfield County Public Health: No Comments received 8) Colorado Division of Water Resources: Exhibit CC 9) Colorado Department of Public Health & Environment (Air Pollution): Exhibit J 10) Colorado Department of Public Health & Environment (Oil & Gas Air Pollution): No Comments Received 11) Colorado Department of Public Health & Environment (Water Quality): No Comments Received 12) Colorado Parks & Wildlife: Exhibit DD 13) US Army Corps of Engineers: No Comments Received 14) Town of Parachute: Exhibit I R 15) Mountain Cross Engineering: Exhibit EE 16) Grand Valley Fire Protection District: Exhibit FF 17) School District 16: No Comments Received 18) Battlement Mesa Metropolitan District: Exhibit GG 19) Battlement Mesa Concerned Citizens: Exhibit HH 20) Battlement Mesa Service Association: Exhibit 21) Battlement Mesa Oil & Gas Committee: Exhibit II 22) Colorado Department of Transportation: Exhibit K 23) Grand Valley Citizens Alliance: Exhibit JJ Ill. STAFF COMMENTS AND ANALYSIS (1978 Zoning Resolution) (1) Utilities adequate to provide water and sanitation service based on accepted engineering standards and approved by the Board of County Commissioners shall either be in place or shall be constructed in conjunction with the proposed use. Response: The D Pad will need water in various types and volumes that vary with the phases of the project. For example, drilling and completions require large volumes of water that are proposed to be provided by Stallion Oilfield Services, the Town of Silt and the Battlement Mesa Metropolitan District. The Application contains letters from both Stallion and the Town of Silt indicating they can and will serve water to the project as proposed. In addition, the Battlement Mesa Metropolitan District has also agreed to provide water from its system for these operations which is memorialized in a Water Service Agreement. Personal water and waste water service for employees on site during the construction and drilling and completion phase will be provided by bottled water and portable toilets. This is acceptable due to the temporary nature of the use being less than one year. Fresh and operational water will be delivered to and away from the D Pad via two 8 -inch flex steel water lines that are proposed to be co -located with as 12 -inch gas line (collectively, the pipeline). This pipeline is proposed to be bored underground from the B -Pad in a north easterly direction under County Road 307 (River Bluff Road) to the D Pad, then in a cut trench across the PUD to a terminus point off the PUD. A pipeline plan was prepared by a professional engineer and contained in the application. It should be noted that approximately 15,000 bbls of working storage of water (frac tanks) is needed on the D Pad during completions. This arrangement is preferred by the County because it allows Ursa to pipe water to and from the D Pad thereby eliminating a large volume of heaving truck traffic in the community. The Colorado Division of Water Resources commented they have no objection to the application. They further clarified that the Williams Fork formation in that location is non -tributary pursuant to the Produced Non -Tributary Ground Water Rules. As a result, groundwater produced from the wells is not subject to administration in the prior appropriation system and the wells may operate without a plan for augmentation or a substitute water supply plan. They also will not be required to be permitted, so long as the water is not put to beneficial use subsequent to extraction, 7 beyond any use by the operator in the same geologic basin to facilitate or permit the mining of minerals. (2) Street improvements adequate to accommodate traffic volume generated by the proposed use and to provide safe, convenient access to the use shall eitherbe in place orshall be constructed in conjunction with the proposed use. Response: The development of the D pad will occur simultaneously with the development of the B Pad with drilling occurring on one pad will completions occur on the other. Note, the pipeline is also contemplated for construction at the same time. All of these activities will generate a variety of trips by light trucks to large heavy haul vehicles. The traffic study states the following: The study states: The most intense period of traffic generation for the two pads will be during the alternating drilling and completions operations. During these times, there will be one drilling crew and two completions crews working. It is assumed that half of these trips will remain within the PUD for a total of 28 trips per day. This is expected to last for approximately one year. At the end of the construction, drilling, and completions phase, trips will drop to two per pad per day for daily monitoring. Daily monitoring will occur between 7AM and BPM. When considering concurrent pipeline construction, daily trips to and from the PUD will be approximately 60 vehicles per day. It is anticipated that there would be approximately 15 trips per peak hour. With The Study concludes, that the level of service (LOS) for all intersections in the PUD affected by this traffic, they will remain at a LOS B. Ursa proposes to utilize two County designated haul routes to access the D Pad: The first is the "Upper Route" from 1-70 to the main entrance of the PUD at Battlement Mesa Parkway (at the water fountain) to River Bluff Road and the second ("Lower Route") is from 1-70 to County Road 300 to Battlement Mesa Parkway to Rive Bluff Road. Ursa indicates they intends to use the lower route for most of its trips devoted to the development of the D Pad. The exceptions are noted in the study. The Applicant contains a detailed traffic study prepared by a professional engineer with Olsson & Associates which evaluated the trip volumes per stage of the project and the existing road system and concluded that even with the anticipated 90 vehicles per day (for Pad B) for a 1 week period during the 3 week construction phase that it results in only a 1% increase to the traffic volumes on the proposed road ways. It will increase traffic by approximately 10% on River Bluff Road, again during construction. Once construction of the pad is compete, traffic volumes will reduced to be between 13 to 16 vehicles per day during drilling / completions. (However, note that the same volume will occur on the D Pad at the same time due to the interval drilling/ completions between the B and D Pads simultaneously. Once these pads are completed and in production phase, each pad would see approximately 2 vpd per pad. The report concluded that the intersections to be navigated by large vehicles are adequate to handle the turning movements and will operate at acceptable levels of service. The traffic study does not recommend any new improvements such as turning lanes are needed in conjunction with this project. As a result, the street improvements are adequate to serve the proposed use. Ursa will be required to obtain Over Size / Over Weight permits from the Garfield County Road and Bridge Department. 51 Access to the D Pad will be a newly constructed access road of approximately 460 feet directly from River Bluff Road. The Application also contains an "Access Road Assessment" prepared by Schmueser, Gordon, Meyer (SGM) that evaluated the physical access road way to the D Pad that Ursa proposes to use. Ultimately, SGM concluded the access road is proposed to be constructed to a standard that exceeds those of a Semi Primitive Driveway standard noted in the County's Design Standards in Table 7-107 of the County's Land Use Code. As such, the road is anticipated to function adequately as proposed and is typical of existing roads providing access to natural gas production in Garfield County. The only exception here is that Ursa has requested a slight waiver from the 3% cross slope to 2% to accommodate for the proposed route. The Assessment states: It is noted when comparing the proposed access road construction with that of the Semi Primitive standards, the access road for Ursa BMC D is being constructed at a standard that generally exceeds the County's standard with the exception of the cross slope being 2% versus 3%. This variance from the standard is justified by making sure that adequate drainage is provided for the roadway to not allow ponding in the road surface. Also, as the roadway needs to tie to both the well pad and an existing roadway, varied cross slopes to transition to the existing (and proposed) grading at those locations is necessary. The County Road and Bridge reviewed the haul routes and suggested that the Upper Haul Route is preferable for the development of both the B and D pads because the vehicles will pass fewer residential properties, is shorter in length, and will not increase impact to the intersection of South Battlement Parkway and Stone Quarry Road (at the Kum and Go Gas Station) which is a heavily used intersection. Colorado Department of Transportation concluded: From an access point of view, it is unlikely this project will increase the traffic by 20% at the Parachute Interchange. Therefore, no access permit is required. Ultimately, the SGM Assessment concludes: Based on the expected trip generation rates discussed in the Basic Traffic Study, the increase in average daily traffic is not expected to increase on County Roads such that a modification of the existing access permit would be required. The total traffic volumes will remain very low and are anticipated to be accommodated by the existing roadway. Additionally, the majority of existing traffic on this road is associated with the natural gas industry and/or the maintenance personnel for the Battlement Mesa Water and Wastewater District facilities. Mountain Cross Engineering provided this comment: "The Applicant should evaluate if a culvert is necessary at the driveway intersection with River Bluff Road. It appears from the topography that grading of the area to drain may also be necessary to get runoff to drain to the existing culverts." (3) Design of the proposed use is organized to minimize impact on and from adjacent uses of land through installation of screen fences or landscape materials on the periphery of the lot and by location of intensively utilized areas, access points, lighting and signs in such a manner as to protect established neighborhood character. E • Response: The D Pad location is proposed in the Low Density Residential zone district that was designed to accommodate the following uses with Extraction and Processing of Natural Resources listed as a Special Use. 2.0 iR - Low Density Residential 2.1 Uses, by right: Detached single-family dwellings and attached single-family dwellings (either townhouses or zero -lot -line houses) and customary accessory uses, including buildings for shelter or enclosure of animals or property accessory to use of the lot for single-family residential purposes and fences, hedges, gardens; walks, and similar landscape features; park. 2.2 Uses, conditional: Church, school, community building, day nursery, fire station, and o—tFiir public uses. 2.3 Uses, special: Octraction and processing of natural resources. While the D Pad is located in an undeveloped tract / field, it is surrounded on three sides by residential neighborhoods including Stoney Ridge, Valley View Village, and Willow Ridge and Willow Park neighborhoods. These neighborhoods are as close as 630 feet to the apparent edge of pad. (Although outside the PUD, as a comparison for spatial context, Ursa's Monument Ridge Pad is approximately 450 feet from Monument Creek Village neighborhood.) The development of the D Pad will have short term (3 years or less) impacts on the surrounding neighborhoods. To that end, Ursa has proposed a variety of mitigations to minimize these impacts to protect the established neighborhood character. A) Noise Impacts: To minimize noise during well drilling well completions, Ursa proposes to construct a 32 foot sound wall encompassing the entire pad and around the fraccing pump trucks that will significantly reduce noise levels. As will be discussed in detail later in this memorandum, the noise levels are a concern given the location of this pad to nearby residents. B) Lighting Impacts: Ursa will be required to direct all lighting inward and downward to the pad site and provide shielding, if necessary, to contain light from radiating directly off pad to adjoining uses during drilling activity. Activities related to pad construction and completions will only occur during daylight hours. C) Visual Impacts: As the pad is constructed in the first instance, Ursa has committed to installing a complex and robust landscaping program around the D Dad including large berming systems with sizable vegetation to greatly reduce the visual impacts, if not eliminate the pad completely once constructed from surrounding views. This will be constructed prior to drilling and completions in order that it matures and remains well 10 • established once the pad enters production phase and the wall is removed. The Landscape Plan, prepared by a landscape architect, contains several illustrations that show this program once the pad is in production. 0 • D) For example, this is a copy of the plan view of the landscape plan. _0�I 11 In addition, the landscape plan also includes profile views intended to show the second story • view (line of sight) from the Stoney Ridge and Willow Creek houses nearest to the pad during drilling as well as in production. For Example: During Drilling and Completions f During Production Phase i E) Dust: Construction, drilling and completing activity on well pads and roads can generate fugitive dust. To address this issue, Ursa has provided a "Fugitive Dust Control Plan" that will be implemented to control fugitive dust emissions that include measures such as reduced speed limits, using gravel as well as vegetative surface cover, applying dust inhibitors (water, non -saline dust suppressants), requiring truck canopy covers for . transport of materials, etc. This plan is comprehensive and is adequate if implemented properly. 12 . F) Emissions: Emissions (vapors / odors) will be generated from the D Pad during all phases of the pad development with most occurring during pad construction, well drilling and completion activity. These emissions are in the form of vehicle exhaust, Volatile Organic Compounds (VOCs) that emanate from produced water and condensate tanks and related equipment, etc. This operation is required to meet or exceed regulations required by the Colorado Department of Public Health and Environment (CDPHE) Air Quality Regulation Section 7 criteria. Additionally, the Application commits to Best Available Control Technology (BACT) and Reasonably Available Control Technology (RACT) which allows a "low emissions flow back process" for green well completions and routes tent venting through a VOC combustor to combust VOCs. Ursa developed a Leak Detection and Repair system with infrared cameras to detect any emissions as well as implemented a Storage Tank Emissions Monitoring program to monitor and repair any emissions leaks from produced water and condensate tanks which complies with the newly adopted CDPHE Regulation 7 requirements known as "Control of Ozone via Ozone Precursors and Control of Hydrocarbons via Oil and Gas Emissions. Ursa has implemented formalized 24/7 fast -action complaint receipt and response program that will ensure residents have immediate access to report and begin resolution of nuisance or safety issues that may arise. • In earlier discussions and in order to attempt to eliminate emissions and significantly reduce odors as a best management practice, Staff suggested that rather than routing production tank venting emissions through a VOC combustor operated with auto -igniters, the Operator use vapor recovery technology to further reduce air pollution and odors. This was ultimately eliminated because it is not the right type of technology for this gas play and would also result in additional noise and visual impact. 1) Traffic: While there will be a variety of increased vehicle and large truck traffic generated to develop, drill and complete the wells on the D Pad; however, it will also be temporary. Ursa has proposed two water pipelines in the same trench as the gas gathering line in order to eliminate a large volume of trucks that would otherwise be required to transport large volumes of water to and from the pad even as the pad entered into its production phase. Ursa proposes to utilize two County designated haul routes to access the D Pad: The first is the "Upper Route" from 1-70 to the main entrance of the PUD at Battlement Mesa Parkway (at the water fountain) to River Bluff Road and the second ("Lower Route") is from 1-70 to County Road 300 to Battlement Mesa Parkway to Rive Bluff Road. Ursa indicates they intend to use the lower route for most of its trips devoted to the development of the D Pad. The exceptions are noted in the study. The Applicant contains a detailed traffic study prepared by a professional engineer with Olsson & Associates • which evaluated the trip volumes per stage of the project and the existing road system and concluded that even with the anticipated 90 vehicles per day (for Pad D) during the 3 13 week construction phase (the 90 trips only occurring in 1 week) that results in only a 1% increase to the traffic volumes on the proposed road ways. It will increase traffic by approximately 10% on River Bluff Road, again during construction. Once construction of the pad is compete, traffic volumes will reduced to be between 13 to 16 vehicles per day during drilling / completions. (However, note that the same volume will occur on the B Pad at the same time due to the interval drilling/ completions between the B and D Pads simultaneously. Once these pads are completed and in production phase, each pad would see approximately 2 vpd per pad. The report concluded that the intersections to be navigated by large vehicles are adequate to handle the turning movements and will operate at acceptable levels of service. The traffic study does not recommend any new improvements such as turning lanes are needed in conjunction with this project. As a result, the street improvements are adequate to serve the proposed use. Ursa will be required to obtain Over Size / Over Weight permits from the Garfield County Road and Bridge Department. The Application also contains an "Access Road Assessment" prepared by Schmueser, Gordon, Meyer (SGM) that evaluated the physical access road way to the B Pad that Ursa proposes to use. Ultimately, SGM concluded the access road is proposed to be constructed to a standard that exceeds those of a Semi Primitive Driveway standard noted in the County's Design Standards in Table 7-107 of the County's Land Use Code. As such, the road is anticipated to function adequately as proposed and is typical of existing roads Is providing access to natural gas production in Garfield County. The County Road and Bridge reviewed the haul routes and suggested that the Upper Haul Route is preferable for the development of both the B and D pads because the vehicles will pass fewer residential properties, is shorter in length, and will not increase impact to the intersection of South Battlement Parkway and Stone Quarry Road (at the Kum and Go Gas Station) with left hand turns. G) Hours of Operation: The Applicant proposes to construct the pad and associated landscaping, conduct well completions, and produce the pad during day light hours from 7:00 Am to 8:00 PM. This includes routine ongoing maintenance, development and production operations activities which will also be limited to the hours of 7:00 am to 8:00 pm. The Applicant proposes that drilling the wells will occur on a 24 hour / 7 day a week basis. The full time frame to drill and complete 28 wells on the D pad is expected to take approximately 3 years before the pad is placed fully into production. Note, Section 7- 1001(x) of the County's Land Use Code of 2013, and amended, provides the following hours of operations for industrial uses: Any activity that will generate noise, odors, or glare beyond the property boundaries will be conducted between the hours of 7.00 a.m. to 7:00 p.m. Monday through Saturday, or as approved by the decision-making authority. 0 14 • The Board of County Commissioners are the decision-making authority in this case where the proposed uses (primarily the drilling) extend beyond the time frame listed in the regulation. Based on this location, the Planning Commission suggests the following hours of operation: The construction of the a Pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. Drilling may occur continuously 24 hours a day. Well completion activity shall be limited to occurring between 7:OOAM and 7:OOPM. Once the wells are in production, vehicle trips to the pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. While not in this exact location, this pad location (same tract of undeveloped land, further to the east, was identified 26 years ago as one of the original pad locations (1 of 14 sites in the PUD) in the following recorded documents also described in Exhibit Z in an email from Land Title: 1) 1989 Letter from Exxon Company to Battlement Mesa Partners with "Drill Sites Plan" recorded in Book 1139, Page 112 with reception no. 548481; 2) 1990 Surface Use Agreement between Battlement Mesa Partners and Barrett Resources Corporation also containing a "Drill Sites Plan" recorded in Book 1139, Page 104 with reception no. 548481; and 3) 2009 Memorandum of Surface Use Agreement which refers to original Surface Use Agreement between Exxon and Battlement Mesa Partners containing the "Drill Sites Map" recorded in Book 1139, Page 112 with reception no. 548481. In addition, the Special Use Permit requested, is also required to demonstrate compliance with Supplementary Regulations from Section 5.03.07; Industrial uses and Section 5.03.08, Industrial Performance Standards. Section 5.03 (1) The applicant for a permit for industrial operations shall prepare and submit to the Planning Director two (2) copies of an impact statement on the proposed use prescribing its location, scope, design and construction schedule, including an explanation of its operational characteristics. The impact statement shall show that the use shall be designed and operated in compliance with all applicable laws and regulations of the County, State and Federal Governments, and will not have a significant adverse effect upon: (a) Existing lawful use of water through depletion or pollution of surface run-off, stream flow or ground water; (b) Use of adjacent land through generation of vapor, dust, smoke, noise, glare or vibration, or other emanations; (c) Wildlife and domestic animals through creation of hazardous attractions, alteration of existing native vegetation, blockade of migration routes, use patterns or other disruptions; 15 • • • Response: The Application contains an Impact Analysis that addresses Section 5.03(a) -(c). The Application contains approval from both the Town of Silt and the Battlement Mesa Metropolitan District to provide water for the proposed use from pad construction through to reclamation. The pad is not located within the 100 year flood plain of the Colorado River. Additionally, the pad is not located in the Town of Parachute's Watershed Protection Area, but does fall within the COGCC 317B Buffer area and will follow CDPHE Water Quality Control standards. The Application also contains an area wide and pad specific Stormwater Management Plan, Grading and Drainage Plan, and an SPCC Plan that all work in concert to provide protections that will manage any fluids that may occur on the site not only from natural weather events but also spill events. (The Grading and Drainage Plan analyzed run off from the pad site using the 24 hour storm 2 and 25 year event) standard. This resulted in the requirement for off -pad detention pond located on the NE corner of the pad to capture runoff (3,121 cubic feet) and sedimentation from both the pad and the road. This is shown in the Plan to the right with the detention pond encircled. The SPCC (Spill Prevention Counter Measure and Control Plan) Plan manages any and all spill concerns on the pad. Once the pad is placed into production, it will contain a tank battery of 6 tanks that hold mostly produced water with 1 or 2 tanks to contain condensate. These tanks have a three layer containment system including their individual tank liner system, a larger on ground steel -lined basin (typical image to the left) to contain 150% of the largest tank volume in the battery as well as a larger earthen berming system at the edge of pad that also serves to control storm water runoff. Mountain Cross Engineering (on behalf of the County) provided this comment: " The Applicant should provide additional information on the storage tank sizes, how those tanks are to be interconnected, the volume of secondary containment to be provided including precipitation, the anticipated leak detection, and how the precipitation events would be safely drained from the secondary containment. The Applicant should provide the site specific SPCC plan for pad D. One was not included in the SPCC that was submitted." Staff has suggested installing up and 16 down gradient water monitoring wells that serve as way to detect for any potential contamination. (2) Truck and automobile traffic to and from such uses shall not create hazards or nuisance to areas elsewhere in the County; Response: The development of the D pad will occur simultaneously with the development of the B Pad with drilling occurring on one pad will completions occur on the other. Note, the pipeline is also contemplated for construction at the same time. All of these activities will generate a variety of trips by light trucks to large heavy haul vehicles. The traffic study states the following: The study states: The most intense period of traffic generation for the two pads will be during the alternating drilling and completions operations. During these times, there will be one drilling crew and two completions crews working. It is assumed that half of these trips will remain within the PUD for a total of 28 trips per day. This is expected to last for approximately one year. At the end of the construction, drilling, and completions phase, trips will drop to two per pad per day for daily monitoring. Daily monitoring will occur between 7AM and BPM. When considering concurrent pipeline construction, daily trips to and from the PUD will be approximately 60 vehicles per day. It is anticipated that there would be approximately 15 trips per peak hour. With The Study concludes, that the level of service (LOS) for all intersections in the PUD affected by this traffic, they will remain at a LOS B. • Ursa proposes to utilize two County designated haul routes to access the D Pad: The first is the "Upper Route" from 1-70 to the main entrance of the PUD at Battlement Mesa Parkway (at the water fountain) to River Bluff Road and the second ("Lower Route") is from 1-70 to County Road 300 to Battlement Mesa Parkway to Rive Bluff Road. Ursa indicates they intends to use the lower route for most of its trips devoted to the development of the D Pad. The exceptions are noted in the study. The Applicant contains a detailed traffic study prepared by a professional engineer with Olsson & Associates which evaluated the trip volumes per stage of the project and the existing road system and concluded that even with the anticipated 90 vehicles per day (for Pad B) for a 1 week period during the 3 week construction phase that it results in only a 1% increase to the traffic volumes on the proposed road ways. It will increase traffic by approximately 10% on River Bluff Road, again during construction. Once construction of the pad is compete, traffic volumes will reduced to be between 13 to 16 vehicles per day during drilling / completions. (However, note that the same volume will occur on the D Pad at the same time due to the interval drilling/ completions between the B and D Pads simultaneously. Once these pads are completed and in production phase, each pad would see approximately 2 vpd per pad. The report concluded that the intersections to be navigated by large vehicles are adequate to handle the turning movements and will operate at acceptable levels of service. The traffic study does not recommend any new improvements such as turning lanes are needed in conjunction with this project. As a result, the street improvements are adequate to serve the proposed use. Ursa will be required to obtain Over Size / Over Weight permits from the Garfield County Road • and Bridge Department. 17 Access to the D Pad will be a newly constructed access road of approximately 460 feet directly from River Bluff Road. The Application also contains an "Access Road Assessment" prepared by Schmueser, Gordon, Meyer (SGM) that evaluated the physical access road way to the D Pad that Ursa proposes to use. Ultimately, SGM concluded the access road is proposed to be constructed to a standard that exceeds those of a Semi Primitive Driveway standard noted in the County's Design Standards in Table 7-107 of the County's Land Use Code. As such, the road is anticipated to function adequately as proposed and is typical of existing roads providing access to natural gas production in Garfield County. The only exception here is that Ursa has requested a slight waiver from the 3% cross slope to 2% to accommodate for the proposed route. The Assessment states: It is noted when comparing the proposed access road construction with that of the Semi Primitive standards, the access road for Ursa BMC D is being constructed at a standard that generally exceeds the County's standard with the exception of the cross slope being 2% versus 3%. This variance from the standard is justified by making sure that adequate drainage is provided for the roadway to not allow ponding in the road surface. Also, as the roadway needs to tie to both the well pad and an existing roadway, varied cross slopes to transition to the existing (and proposed) grading at those locations is necessary. The County Road and Bridge reviewed the haul routes and suggested that the Upper Haul Route is preferable for the development of both the B and D pads because the vehicles will pass fewer residential properties, is shorter in length, and will not increase impact to the intersection of South Battlement Parkway and Stone Quarry Road (at the Kum and Go Gas Station) which is a heavily used intersection. Colorado Department of Transportation concluded: From an access point of view, it is unlikely this project will increase the traffic by 20% at the Parachute Interchange. Therefore, no access permit is required. Ultimately, the SGM Assessment concludes: Based on the expected trip generation rates discussed in the Basic Traffic Study, the increase in average daily traffic is not expected to increase on County Roads such that a modification of the existing access permit would be required. The total traffic volumes will remain very low and are anticipated to be accommodated by the existing roadway. Additionally, the majority of existing traffic on this road is associated with the natural gas industry and/or the maintenance personnel for the Battlement Mesa Water and Wastewater District facilities. (3) Sufficient distances shall separate such use from abutting property which might otherwise be damaged by operations of the proposed uses; Response: As discussed above, while the D Pad is located in an open space tract, it is surrounded on three sides by residential neighborhoods including Stoney Ridge, Valley View Village, and Willow Ridge and Willow Park neighborhoods. These neighborhoods are as close as 550 feet to the apparent edge of pad. (Although outside the PUD, as a comparison for spatial context, Ursa's Monument Ridge Pad is approximately 450 feet from Monument Creek Village neighborhood.) The development of the D Pad will have short term (3 years or less) impacts on the surrounding 18 • neighborhoods. To that end, Ursa has proposed a variety of mitigations (mentioned above) to minimize these impacts to protect the established neighborhood character. As mentioned above, the activities on the D pad will generate nuisances (noise, traffic, emissions, dust, and visual impacts) in the short term (approximately 3 years); however, there is no expected or anticipated physical damage to these adjoining properties with the development of the D Pad so long as the proposed mitigations are properly implemented. As will be mentioned in detail, noise will be a challenging nuisance for this location. The operator proposes a sound wall; however, the drilling and completion activity will be the loudest as measured at 350 feet from the wall and will reach at least the Light Industrial Zone thresholds (65 — 70) db(A). It is unclear what that level will be at the property lines adjacent to the residential neighborhoods, albeit it is expected to be less. Despite the PUD's Low Density Residential zoning, the COGCC noise regulations permit operations involving pipeline or gas facility installation or maintenance, the use of a drilling rig, completion rig, workover rig, or stimulation is subject to the maximum permissible noise levels for industrial zones. However, COGCC Rule 604(c)(2)(A) states that "Operations involving pipeline or gas facility installation or maintenance, or the use of a drilling rig, are subject to the maximum permissible noise levels for Light Industrial Zones (emphasis added), as measured at the nearest Building Unit. Short-term increases shall be allowable as described in 802.c. Stimulation or re -stimulation operations and Production Facilities are governed by Rule 802." In this instance, COGCC Staff indicated that were going to require Ursa to meet the Light Industrial noise zone threshold for drilling and completions at 350 feet from the noise source. Staff prepared the following graphic to show where that would occur relative to the D pad. 19 (4) At the discretion of the County Commissioners additional information supplementing the impact statement may be required. Such request for additional information shall be in writing and shall be given to the applicant not later than forty-five (45) days after the filing of the impact statement. (5) Permits shall be granted for those uses only with the provisions that a satisfactory rehabilitation plan for the affected land be submitted prior to commencement of such use; (a) The plan for site rehabilitation shall be submitted to the Planning Director with the impact statement, and must be approved by the County Commissioners before a permit for conditional or special use will be issued; (b) The County Commissioners may require security before a permit for special or conditional use is issued, if required. The applicant shall furnish evidence of a bank commitment of credit, or bond, or certified check or other security deemed acceptable by the County Commissioners in the amount calculated by the County Commissioners to secure the execution of the site rehabilitation plan in workmanlike manner and in accordance with the specifications and construction schedule established or approved by the County Commissioners. Such commitments, bonds, or check shall be payable to and held by the County Commissioners: Response: The Application contains a site specific Reclamation Plan prepared by HRL Compliance Services, Inc. The Plan covers a pad specific program including re -contouring, reseeding, noxious weed treatment, storm water mitigation and monitoring of the well pads, Rights of Way (ROWS), and other infrastructures required for natural gas operation. In this case, reclamation occurs in two stages where the first stage, known as interim reclamation, will occur after the pad has been constructed and lies in a production state and then final reclamation when the pad and ROW are no longer in operation and the wells have been plugged and abandoned. Ursa is required to provide a reclamation bond to the COGCC to ensure reclamation occurs. In addition, Ursa has committed to installing a complex landscaping program around the D Dad including large berming systems with sizable vegetation to greatly reduce the visual impacts, if not eliminate the pad completely once constructed from surrounding views. This will be constructed prior to drilling and completions in order that it matures and remains well established once the pad enters production phase and the wall is removed. The Landscape Plan, prepared by a landscape architect, contains several illustrations that show this program once the pad is in production. Garfield County Vegetation Manager provided the following comments: "The noxious weed inventory indicated that the Colorado State List C noxious weed, cheatgrass is prevalent on the is site. Cheatgrass is not a Garfield County Listed noxious weed however it is a prolific fire promotor. Management of cheatgrass in this area will benefit not only the industrial site but 20 • also the surrounding neighborhoods. The Applicant is encouraged to manage the cheatgrass this fall, within the 30 -meter survey area and pad site, as mid-September through October is a very effective time of year to treat this weed." Section 5.03.08 industrial Performance Standards: All industrial operations in Garfield County shall comply with applicable County, State, and Federal regulations regulating water, air and noise pollution and shall not be conducted in a manner constituting a public nuisance or hazard. Operations shall be conducted in such a manner as to minimize heat, dust, smoke, vibration, glare and odor and all other undesirable environmental effects beyond the boundaries of the property in which such uses are located, in accord with the following standards: (1) Volume of the sound generated: every use shall be so operated that the volume of sound inherently and recurrently generated does not exceed ninety (90) decibles, with a maximum increase of five (5) decibles permitted for a maximum of fifteen (15) minutes in any one hour, at any point of any boundary line of the property on which the use is located. (2) Vibration generated: every use shall be so operated that the ground vibration inherently and recurrently generated is not perceptible, without instruments, at any point of any boundary line of the property on which the use is located; (3) Emissions of smoke and particulate matter: every use shall be so operated so as to comply with all Federal, State and County air quality laws, regulations and standards; (4) Emission of heat, glare, radiation and fumes: every use shall be so operated that it does not emit heat, glare, radiation or fumes which substantially interfere with the existing use of adjoining property or which constitutes a public nuisance or hazard. Flaring of gases, aircraft warning signals, reflective painting of storage tanks, or other such operations which may be required by law as safety or air pollution control measures shall be exempted from this provision; (5) Storage area, salvage yard, sanitary land fill, and mineral waste disposal areas: (a) Storage of flammable, or explosive solids, or gases, shall be in accordance with accepted standards and laws and shall comply with the National Fire Code; (b) At the discretion of the County Commissioners all outdoor storage facilities for fuel, raw materials and products shall be enclosed by a fence or wall adequate to conceal such facilities from adjacent property; 21 (c) No materials or wastes shall be deposited upon a property in such form or manner that they may be transferred off the property by any reasonably foreseeable natural causes or forces; (d) All materials or wastes which might constitute afire hazard or which may be edible by or otherwise be attractive to rodents or insects shall be stored outdoors in accordance with applicable State Board of Health Regulations: (6) Water pollution: in a case in which potential hazards exist, it shall be necessary to install safeguards designed to comply with the Regulations of the Environmental Protection Agency before operation of the facilities may begin. All percolation tests or ground water resource tests as may be required by local or State Health Officers must be met before operation of the facilities may begin. Response: These regulations listed above are performance regulations which mean they will apply as conditions as long as the use is operating. Note, volume of sound is regulated by COGCC 800 Series which differs from Section 5.03.08(1) above. IV. STAFF COMMENTS AND ANALYSIS (LUDC 2013), as amended 7-101. ZONE DISTRICT USE REGULATIONS Response: The Garfield County Board of County Commissioners approved Resolution 82-121 on May 24, 1982 which established the Battlement Mesa Planned Unit Development (BMPUD) as well as its sub zone districts and the uses permitted in each zone district. "Extraction of Natural Resources" is listed in each zone as a 'special use'. Section 10.0 (SR Supplementary Regulations) found on page 24 of the BMPUD provides the process by which a special use is to be administered which is the process / standards found in the Garfield County Zoning Resolution of January 2, 1979, including the zoning amendment, adopted October 15, 1979, (79-132) and to the officially adopted Garfield County Subdivision Regulations of January 2, 1979, and amendments of October 15, 1979. As a result, the County requires that in order to extract natural resources (drill for natural gas) within the BMPUD, the property owner (or their designee) shall be required to render an application for a Special Use Permit to the County. This application shall require the owner to demonstrate that they comply with the standards / criteria found in the County's zoning code on January 2, 1979, (including the zoning amendments), adopted October 15, 1979, (79-132). The process for the review of this Special Use Permit application shall be that of the "Major Impact Review" process in the County's Land Use and Development Code of 2013, as amended. 7-102. COMPREHENSIVE PLAN AND INTERGOVERNMENTAL AGREEMENTS Response: The Garfield County Comprehensive Plan 2030, as amended, identifies the Battlement Mesa PUD as an "unincorporated community" which is further defined as self-contained subdivisions that contain town and neighborhood centers primarily to serve their own 22 populations. Their infrastructure and certain governmental functions are provided by one or more special districts. Compatible zoning is identifies as residential urban, commercial limited, commercial general, and planned unit development. Battlement Mesa PUD was a fundamental example when this designation was crafted. The elements of the Plan that are the most germane to this application include 1) economy, employment and tourism, 2) natural resources, and 3) mineral extraction. Staff finds that the development of the B Pad is in general conformance with the County's Comprehensive Plan demonstrated by the following policies, goals and vision contained within the plan so long as adequate mitigations can be properly implemented to minimize adverse impacts: Economy, Employment and Tourism: Goal: Maintain a strong and diverse economic base (for both employment and income generation). Policy: Garfield County will encourage the development of a diversified industrial base recognizing physical location -to market capabilities of the community, and the social and environmental impacts of industrial uses. Strategy & Action: Ensure that commercial/industrial developments are compatible with adjacent land uses and preserve the visual quality of the county. 0 Natural Resources Goal: Ensure that natural, scenic, ecological, and critical wildlife habitat resources are protected and/or impacts mitigated. Ensure the appropriate reclamation of land after extraction processes. Mineral Extraction Vision: Resource extraction, including oil and gas development, has been encouraged to remain in the county due to their contribution they make to the county's overall goal of having a diverse and stable economy. While resource industries are welcomed in the county, they have been expected to fairly mitigate negative impacts that might have resulted due to their operations. Goals: Ensure that mineral extraction is regulated appropriately to promote responsible development and provide benefit to the general public. Ensure that mineral extraction activities mitigate their effects on the natural environment, including air quality, water quality, wildlife habitat or important visual resources. In working with mineral extraction projects, the county will protect the public health, safety and welfare of its citizens. 23 • Policies: Garfield County recognizes that surface and mineral owners have certain legal rights and privileges, including the right to extract and develop these interests. Private property owners also have certain legal rights and privileges, including the right to have the mineral estate developed in a reasonable manner and to have adverse impacts mitigated. The property rights of mineral lessees must be balanced with the rights of private property owners and the general public. Mineral resource extraction activities will protect critical wildlife habitat as identified by state and federal agencies. Development within these designations that cannot be designed, constructed and conducted so as to have a minimum adverse impact upon such habitat or these wildlife species, shall be discouraged. 7-103. COMPATIBILITY While the D Pad is located in an undeveloped tract / open field, it is surrounded on three sides by residential neighborhoods including Stone Ridge, Valley View Village, and Willow Ridge and Willow Park neighborhoods. These neighborhoods are as close as 630 feet to the apparent edge of pad. (Although outside the PUD, as a comparison for spatial context, Ursa's Monument Ridge Pad is approximately 450 feet from Monument Creek Village neighborhood.) The development of the D Pad will have short term (3 years or less) impacts on the surrounding neighborhoods. To that end, Ursa has proposed a variety of significant mitigations to minimize these impacts to protect the established neighborhood character. Once the pad is placed into production, the pad will be compatible with the surrounding area. Ultimately, one of the primary guiding policies in 0 the Comprehensive Plan is: Garfield County recognizes that surface and mineral owners have certain legal rights and privileges, including the right to extract and develop these interests. Private property owners also have certain legal rights and privileges, including the right to have the mineral estate developed in a reasonable manner and to have adverse impacts mitigated. The property rights of mineral lessees must be balanced with the rights of private property owners and the general public. In the short term (approximately 3 years), there will be impacts (noise, dust, traffic, visual, emissions) from the development of the D Pad to surrounding residential uses; however, these impacts will be significantly reduced by the proposed mitigations. The long term configuration of the use (a well pad in production phase for 25-30 years) is compatible in this location with the goals, policies, and vision outlined in the County's Comprehensive Plan 2030 and as a result of the longterm mitigation proposed by the Operator. 7-104. SOURCE OF WATER The D Pad will need water in various types and volumes that vary with the phases of the project. For example, drilling and completions require large volumes of water that are proposed to be provided by Stallion Oilfield Services from the Town of Silt. The Application contains letters from both Stallion and the Town of Silt indicating they can and will serve water to the project as proposed. In addition, the Battlement Mesa Metropolitan District has also agreed to provide water from its system for these operations which is memorialized in a Water Service Agreement. Personal water and waste water service for employees on site during the construction and drilling 24 • and completion phase will be provided by bottled water and portable toilets. This is acceptable due to the temporary nature of the use being at one year or less. Water will be delivered to and away from the D Pad via two 8 -inch flex steel water lines that are proposed to be co -located with as 12 -inch gas line (collectively, the pipeline). This pipeline is proposed to be bored underground from the B -Pad in a north easterly direction under County Road 307 (River Bluff Road) to the proposed D Pad, then in a cut trench across the PUD to a terminus point off the PUD. A pipeline plan was prepared by a professional engineer and contained in the application. It should be noted that approximately 15,000 bbls of working storage of water (frac tanks) is needed on the D Pad during completions. This arrangement is preferred by the County because it allows Ursa to pipe water to and from the D Pad thereby eliminating a large volume of heaving truck traffic in the community. 7-105. CENTRAL WATER DISTRIBUTION AND WASTEWATER SYSTEMS While the D Pad will require water to construct, drill and complete the wells on the pad, this is a short term / temporary water need adequately covered with a legally and physically adequate source of water provided by the Battlement Mesa Metropolitan District and the Town of Silt. Once the project enters the production phase (to last approximately 20-30 years), it does not require a central water / wastewater system. 7-106. PUBLIC UTILITIES The Application states that Ursa is currently negotiating with Holy Cross Energy to bring a power line to the pad site. This is the only public utility that is contemplated for the project. This power line will be required to be buried unless otherwise approved by the BOCC. Additionally, it shall be installed so that it avoids unnecessary removal of trees and minimizes excavation. 7-107. ACCESS AND ROADWAYS The development of the D pad will occur simultaneously with the development of the B Pad with drilling occurring on one pad will completions occur on the other. Note, the pipeline is also contemplated for construction at the same time. All of these activities will generate a variety of trips by light trucks to large heavy haul vehicles. The traffic study states the following: The study states: The most intense period of traffic generation for the two pads will be during the alternating drilling and completions operations. During these times, there will be one drilling crew and two completions crews working. It is assumed that half of these trips will remain within the PUD for a total of 28 trips per day. This is expected to last for approximately one year. At the end of the construction, drilling, and completions phase, trips will drop to two per pad per day for daily monitoring. Daily monitoring will occur between 7AM and 8PM. When considering concurrent pipeline construction, daily trips to and from the PUD will be approximately 60 vehicles per day. It is anticipated that there would be approximately 15 trips per peak hour. With The Study concludes, that the level of service (LOS) for all intersections in the PUD affected by this traffic, they will remain at a LOS B. Ursa proposes to utilize two County designated haul routes to access the D Pad: The first is the "Upper Route" from 1-70 to the main entrance of the PUD at Battlement Mesa Parkway (at the water fountain) to River Bluff Road and the second ("Lower Route") is from 1-70 to County Road 25 300 to Battlement Mesa Parkway to Rive Bluff Road. Ursa indicates they intends to use the lower route for most of its trips devoted to the development of the D Pad. The exceptions are noted in the study. The Applicant contains a detailed traffic study prepared by a professional engineer with Olsson & Associates which evaluated the trip volumes per stage of the project and the existing road system and concluded that even with the anticipated 90 vehicles per day (for Pad B) for a 1 week period during the 3 week construction phase that it results in only a 1% increase to the traffic volumes on the proposed road ways. It will increase traffic by approximately 10% on River Bluff Road, again during construction. Once construction of the pad is compete, traffic volumes will reduced to be between 13 to 16 vehicles per day during drilling / completions. (However, note that the same volume will occur on the D Pad at the same time due to the interval drilling/ completions between the B and D Pads simultaneously. Once these pads are completed and in production phase, each pad would see approximately 2 vpd per pad. The report concluded that the intersections to be navigated by large vehicles are adequate to handle the turning movements and will operate at acceptable levels of service. The traffic study does not recommend any new improvements such as turning lanes are needed in conjunction with this project. As a result, the street improvements are adequate to serve the proposed use. Ursa will be required to obtain Over Size / Over Weight permits from the Garfield County Road and Bridge Department. • Access to the D Pad will be a newly constructed access road of approximately 460 feet directly from River Bluff Road. The Application also contains an "Access Road Assessment" prepared by Schmueser, Gordon, Meyer (SGM) that evaluated the physical access road way to the D Pad that Ursa proposes to use. Ultimately, SGM concluded the access road is proposed to be constructed to a standard that exceeds those of a Semi Primitive Driveway standard noted in the County's Design Standards in Table 7-107 of the County's Land Use Code. As such, the road is anticipated to function adequately as proposed and is typical of existing roads providing access to natural gas production in Garfield County. The only exception here is that Ursa has requested a slight waiver from the 3% cross slope to 2% to accommodate for the proposed route. The Assessment states: It is noted when comparing the proposed access road construction with that of the Semi Primitive standards, the access road for Ursa BMC D is being constructed at a standard that generally exceeds the County's standard with the exception of the cross slope being 2% versus 3%. This variance from the standard is justified by making sure that adequate drainage is provided for the roadway to not allow ponding in the road surface. Also, as the roadway needs to tie to both the well pad and an existing roadway, varied cross slopes to transition to the existing (and proposed) grading at those locations is necessary. The County Road and Bridge reviewed the haul routes and suggested that the Upper Haul Route is preferable for the development of both the B and D pads because the vehicles will pass fewer residential properties, is shorter in length, and will not increase impact to the • intersection of South Battlement Parkway and Stone Quarry Road (at the Kum and Go Gas Station) which is a heavily used intersection. Colorado Department of Transportation 26 • concluded: From an access point of view, it is unlikely this project will increase the traffic by 20% at the Parachute Interchange. Therefore, no access permit is required. Ultimately, the SGM Assessment concludes: Based on the expected trip generation rates discussed in the Basic Traffic Study, the increase in average daily traffic is not expected to increase on County Roads such that a modification of the existing access permit would be required. The total traffic volumes will remain very low and are anticipated to be accommodated by the existing roadway. Additionally, the majority of existing traffic on this road is associated with the natural gas industry and/or the maintenance personnel for the Battlement Mesa Water and Wastewater District facilities. 7-108. USE OF LAND SUBJECT TO NATURAL HAZARDS The Application contains Geologic and Soils Hazard Report prepared by Olsson & Associates (by James Hix, Senior Geologist) that assessed the geology of the site where the B Pad is proposed. The report concluded that there are no significant natural hazards (100 year floodplain, collapsible soils, rock fall, avalanche, mud slide, steep slopes, radioactivity, etc.) that should preclude construction and adequate operation of the D Pad as proposed. Ultimately, the report offers this recommendation regarding corrosive soils: • "Geological hazards are not expected to be associated with the installation of buried utilities at the BMC B Pad. Corrosive soil may be a limitation to this construction, but this limitation should be able to be overcome with proper engineering, design, and construction. Cathodic protection for buried piping may reduce corrosion resulting from salts in these soils." 7-109. FIRE PROTECTION The D Pad will contain some materials that are flammable such as tanks containing condensate. The pad is located in the Grand Valley Fire Protection District which is the agency responsible for providing assistance to Ursa regarding fire protection. The District is aware of the project and has committed to serving the location. More specifically as stated in the Fire District's letter, they have reviewed the Emergency Response Plans, haul routes and has no objections to the project. Ursa has worked closely with GVFPD in training programs so that they can work well together in the vent there is an incident and the District is aware of the chemicals and materials that are known to be on site. The Application also contains an "Emergency Evacuation, Assembly, Accountability and a Response Plan" & "Emergency Action Plan and Wildfire Mitigation Plan." These plans provide considerable detail regarding key company lead personnel and off-site agencies including fire protection districts, hospitals, and Garfield County Emergency Management officials. It also outlines annual training, contingency planning, drills, wildfire mitigation measures, event notification and reporting and post emergency response • investigation. The same plan includes a School Bus Schedule and RE -16 School Calendar which should be updated every school year. 27 7-201. AGRICULTURAL LANDS There are no adjacent lands in active agricultural production that are near this project. 7-202. WILDLIFE HABITAT AREAS The Application contains a "Wildlife and Vegetation Impact Analysis" prepared by WestWater Engineering (Nicholas Jaramillo, biologist and environmental scientist). The report evaluated the project area for Threatened or Endangered wildlife species, raptors, birds of conservation concern (migratory and non -migratory birds), elk and mule deer, black bear, mountain lion, small mammals, reptiles and amphibians, and aquatic species. The report provided the following recommendations that were addressed to impacts to wildlife and domestic animals: Development of the project would not be expected to significantly affect biological resources if precautions are taken during construction and potential post -construction mitigation techniques are used to protect natural resources. This project would result in a contribution to cumulative effects of habitat alteration and fragmentation on a local scale. 1) Creation of hazardous conditions: Fencing of the project sites may introduce a hazard for big game. Some passerine bird species and small mammals may choose to inhabit or nest on equipment or objects on these locations. The inherent risks associated with these structures are low. By closing or covering all ports, hatches, cavities, and openings (such as the ends of pipes) this potential is decreased. Most non -game bird species and their nests are protected under the Migratory Bird Treaty Act (16 U.S.C. 703-712; Ch. 128; July 13, 1918, 40 Stat. 755) and damaging occupied nests could be considered a "take" resulting in a violation. 2) Indirect Construction Effects: Additional human presence and activity related to construction, operation, and maintenance of the facilities may influence spatial and temporal use of habitat surrounding the project by wildlife. Since the site exists within and adjacent to significant and long-term human presence, the additional disturbance from this project is expected to be low. 3) Road -kill: Speed limits are set low and most wildlife in the area has become habituated to vehicle traffic. The potential for increased vehicle related mortalities related to this project should be low. 4) Endangered Fish Species: Potential impacts could include water depletions and runoff from storm events or snowmelt that carry increased sediment loads or pollutants to the river. The Colorado Division of Parks and Wildlife provided the following comments: "After reviewing the application materials, CPW has concluded that the locations and scope of development are accounted for in the Wildlife Mitigation Agreement between Ursa and CPW. Therefore, CPW is not providing additional comments at this time." ffs] 7-203. PROTECTION OF WATERBODIES There are no defined water bodies within 35 feet of the project area. Regardless, the Application contains a site specific Grading and Drainage Plan, site specific Storm Water Management Plan, Spill Prevention Countermeasure and Control Plan (SPCC), and a three tier containment system for the 3,000 barrels of produced water / condensate to be contained on site during production. All of these measures are meant to control and liquid materials on the location either from the operations or natural storm water event. Similar to the recommended condition for the B Pad, the Planning Commission suggests groundwater monitoring be put in place with up and down gradient piezometers. The purpose is to be able to monitor for any potential subsurface leaks to groundwater. 7-204. DRAINAGE AND EROSION The Application is required to address specific erosion, sedimentation and stormwater run-off provisions in the County's regulations. The D Pad, evidenced by the Town of Parachute Manager, is not located in the Town of Parachute's Watershed Protection Area, but does fall within the COGCC 317B Buffer area and will follow CDPHE Water Quality Control standards. The Application contains an area wide and pad specific Stormwater Management Plan, Grading and Drainage Plan, and a Spill Prevention, Control, and Countermeasure (SPCC) Plan that all work in concert to provide protections that will manage any fluids that may occur on the site not only from natural weather events but also spill events. The Grading and Drainage Plan analyzed run off from the pad site using the 2 and 25 year, 24-hour storm standard. This resulted in the requirement for off -pad detention pond located on the NE corner of the pad to capture runoff and sedimentation from the pad. The report provides the following suggestions: Temporary erosion control measures will be required for the duration of construction. A CDPHE Stormwater Permit for Construction activities will likely be required. Best Management Practices will be utilized during construction to control the stormwater runoff during construction. Key temporary erosion control measures include installation and maintenance of silt fence, straw waddles, inlet protection, a stabilized construction entrance and all necessary acceptable best management practices that would relate to this project. The SPCC Plan manages any and all spill concerns on the pad. Once the pad is placed into production, it will contain a tank battery of 6 tanks (total volume of 3,000 bbls) that hold mostly produced water with 1 or 2 tanks to contain condensate. These tanks have a three tier containment system including their individual tank liner system, a larger on ground steel -lined basin to contain 150% of the largest tank volume in the battery, and a larger earthen berming system that also serves to control storm water runoff. Mountain Cross Engineering provided this comment: "The Applicant should provide a discussion, calculations, and details for the proposed outlet structure of the detention pond. Release from the detention pond may need to comply with the requirements of the SPCC." 29 7-205. ENVIRONMENTAL QUALITY Regarding air quality, the County's regulations require that any Land Use Change shall not cause air quality to be reduced below acceptable levels established by the Colorado Air Pollution Control Division. Regarding water quality, the County's regulations require that at a minimum, all hazardous materials shall be stored and used in compliance with applicable State and Federal hazardous materials regulations. Air Quality The development of the D Pad will generate dust, odor and emissions into the atmosphere. Garfield County does not have its own specific air quality regulations; rather, it relies on the regulations promulgated by the Colorado Department of Public Health and Environment (CDPHE) which has a division (Air Pollution Control Division) focused on permitting oil and gas facilities / activities such as the D Pad. That Division provided comments on the Application attached as Exhibit J that outlines all the requirements of CDPHE. Ursa proposes three main new EPA emission controls including: 1) The CDPHE requirement of an infrared camera that identifies leaks of VOCs from tanks and equipment for an emissions control. This will greatly improve the ability to detect and manage any potential leaks. 2) Ursa commits to 'green completions' technology so that emissions (VOCS / methane) during completions are captured and not released to the atmosphere. 3) Produced water / condensate tank vent capture systems that pipe emissions form tank vents to an emissions combustor system which all are mitigation programs to reduce emissions from the site. Water Quality Ursa has stated that they do not intend to store hazardous materials on site; however, once in production, the pad will contain a tank battery (3,000 bbl total volume) of mostly produced water with limited amounts of condensate. Ursa has proposed a three tier containment system where those fluids are to be contained in lined tanks located inside a lined steel containment basin that can contain 150% of the largest tank volume. Additionally, the pad itself will be surrounded by an earthen berm system to contain any liquids that may leak beyond the steel containment basin. The pad is not located in the Town of Parachute's Watershed Protection Area, but does fall within the COGCC 317B Buffer area and will follow CDPHE Water Quality Control standards. The Application also contains an area wide and pad specific Stormwater Management Plan, Grading and Drainage Plan, and an SPCC Plan that all work in concert to provide protections that will manage any fluids that may occur on the site not only from natural weather events but also spill events. The Grading and Drainage Plan analyzed run off from the pad site using the 24 hour storm 2 and 25 year event) standard. This resulted in the requirement for off -pad detention pond located on the NE corner of the pad to capture runoff and sedimentation from • both the pad. 30 • Staff has suggested the following water quality conditions: 1. The Operator shall install at least one up -gradient and two down -gradient groundwater monitoring wells at the B Pad location. The Operator shall conduct baseline sampling for, at a minimum, the following: all major cations and anions, total dissolved solids, iron, manganese, nitrates, nitrites, selenium, benzene, toluene, ethylbenzene, xylenes, methane, pH, specific conductance, and any chemical identified in the full disclosure of chemicals of potential concern. 2. The Operator shall conduct monthly monitoring of the well site groundwater wells for the parameters specified in condition of approval No. 18 during well drilling and completion activities, followed by annual monitoring for the duration of the project. All results of this monitoring shall be provided to the Garfield County Community Development Department and Oil and Gas Liaison within 60 days of sample collection and posted on Garfield County's website. If (1) benzene, ethylbenzene, toluene, or xylenes are detected at levels greater than the concentration levels specified in Table 910-1 of the COGCC rules; (2) any cations, anions, metals, or total dissolved solids exceed 1.25 times background concentrations; (3) methane or any chemical identified as a concern from the full disclosure of chemicals exceeds 1.25 background concentrations; or (4) if pH or specific conductance exceeds the limits specified in COGCC table 910-1, the Operator shall immediately remediate the concern as a condition of the Special Use Permit. 7-206. WILDFIRE HAZARDS The proposed well pad is located in an area designated as having low wildfire hazard according to the maps maintained by Garfield County. It is not located within a fire chimney as identified by the Colorado State Forest Service. The proposed well pad will not increase the potential intensity or duration of a wildfire, or adversely affect wildfire behavior or fuel composition. There are no buildings contemplated with the development of the D Pad. Chief Blair provided the following comments: The District is aware of the project and has committed to serving the location. More specifically as stated in the Fire District's letter, they have reviewed the Emergency Response Plans, haul routes and has no objections to the project. 7-207. NATURAL AND GEOLOGIC HAZARDS The Application contains Geologic and Soils Hazard Report prepared by Olsson & Associates (by James Hix, Senior Geologist) that assessed the geology of the site where the D pad is proposed. The report concluded that there are no significant natural hazards (100 year floodplain, collapsible soils, rock fall, avalanche, mud slide, steep slopes, radioactivity, etc.) that should preclude construction and adequate operation of the D Pad as proposed. Ultimately, the report offers this recommendation regarding corrosive soils: • "Geological hazards are not expected to be associated with the installation of buried utilities at the BMC D Pad. Corrosive soil may be a limitation to this construction, but this limitation 31 • should be able to be overcome with proper engineering, design, and construction. Cathodic protection for buried piping may reduce corrosion resulting from salts in these soils." 7-208. RECLAMATION The full development of the D Pad consists of 5 phases including pad construction, drilling the wells, completing the wells, producing the wells, and ultimately final reclamation of the pad site after the productive service life of the wells. The total time frame from pad construction to final reclamation of the well site is approximately 30 years (typical life of a producing well in the Williams Fork formation) with the bulk of activity occurring in the first year. The Application contains a Reclamation Plan prepared by HRL Compliance Services, Inc. The Plan covers a pad specific program including re -contouring, reseeding, noxious weed treatment, storm water mitigation and monitoring of the well pads, Rights of Way (ROWS), and other infrastructures required for natural gas operation. In this case, reclamation occurs in two stages where the first stage, known as interim reclamation, will occur after the pad has been constructed and lies in a production state and then final reclamation when the pad and ROW are no longer in operation and the wells have been plugged and abandoned. Ursa is required to provide a reclamation bond to the COGCC to ensure reclamation occurs. Any reclamation occurring on the site will be required to manage for noxious weeds, see comments provide by the Garfield County Vegetation Manager. "The noxious weed inventory indicated that the Colorado State List C noxious weed, cheatgrass is prevalent on the site. Cheatgrass is not a Garfield County Listed noxious weed however it is a prolific fire promotor. Management of cheatgrass in this area will benefit not only the industrial site but also the surrounding neighborhoods. The Applicant is encouraged to manage the cheatgrass this fall, within the 30 -meter survey area and pad site, as mid-September through October is a very effective time of year to treat this weed." As discussed earlier, the Application proposes a significant landscaping program, The Applicant should provide more information reading irrigation for this plan. 7-301. COMPATIBLE DESIGN While the D Pad is located in an open space tract, it is surrounded on three sides by residential neighborhoods including Stoney Ridge, Valley View Village, and Willow Ridge and Willow Park neighborhoods. These neighborhoods are as close as 630 feet to the apparent edge of pad. (Although outside the PUD, as a comparison for spatial context, Ursa's Monument Ridge Pad is approximately 450 feet from Monument Creek Village neighborhood.) The development of the D Pad will have short term (3 years or less) impacts on the surrounding neighborhoods. To that end, Ursa has proposed a variety of mitigations to minimize these impacts to protect the established neighborhood character. A) Noise Impacts: To minimize noise during well drilling well completions, Ursa proposes to construct a 32 foot sound wall encompassing the entire pad that will significantly reduce noise levels. As will be discussed in detail later in this memorandum, the noise levels are a concern given the location of this pad to nearby residents. 32 B) Lighting Impacts: Ursa will be required to direct all lighting inward and downward to the pad site and provide shielding, if necessary, to contain light from radiating directly off pad to adjoining uses during drilling and completions. Activities related to pad construction, landscaping, well completions, and production will only occur during daylight hours. C) Visual Impacts: As the pad is constructed in the first instance, Ursa has committed to installing a complex landscaping program around the D Dad including large berming systems with sizable vegetation to greatly reduce the visual impacts, if not eliminate the pad completely once constructed from surrounding views. This will be constructed prior to drilling and completions in order that it matures and remains well established once the pad enters production phase and the wall is removed. The Landscape Plan, prepared by a landscape architect, contains several illustrations that show this program once the pad is in production. This landscaping is discussed in detail previously in this memorandum. D) Dust: Construction, drilling and completing activity on well pads and roads can generate fugitive dust. To address this issue, Ursa has provided a "Fugitive Dust Control Plan" that will be implemented to control fugitive dust emissions that include measures such as reduced speed limits, using gravel as well as vegetative surface cover, applying dust inhibitors (water, non -saline dust suppressants), requiring truck canopy covers for transport of materials, etc. This plan is comprehensive and is adequate if implemented properly. 10 E) Emissions: Emissions (vapors / odors) will be generated from the D Pad during all phases of the pad development with most occurring during pad construction, well drilling and completion activity. These emissions are in the form of vehicle exhaust, Volatile Organic Compounds (VOCs) that emanate from produced water and condensate tanks and related equipment, etc. This operation is required to meet or exceed regulations required by the Colorado Department of Public Health and Environment (CDPHE) Air Quality Regulation Section 7 criteria. Additionally, the Application commits to Best Available Control Technology (BACT) and Reasonably Available Control Technology (RACT) which allows a "low emissions flow back process" for green well completions and routes tent venting through a VOC combustor to combust VOCs. • Ursa developed a Leak Detection and Repair system with infrared cameras to detect any emissions as well as implemented a Storage Tank Emissions Monitoring program to monitor and repair any emissions leaks from produced water and condensate tanks which complies with the newly adopted CDPHE Regulation 7 requirements known as "Control of Ozone via Ozone Precursors and Control of Hydrocarbons via Oil and Gas Emissions. In order to continue to respond to nuisance issues, Ursa has developed a more formalized 24/7 fast -action complaint receipt and response program that will ensure residents have immediate access to report and begin resolution of nuisance or safety issues that may arise. 33 • F) Traffic: While there will be a variety of increased vehicle and large truck traffic generated to develop, drill and complete the wells on the D Pad; however, it will also be temporary. Ursa has proposed two water pipelines in the same trench as the gas gathering line in order to eliminate a large volume of trucks that would otherwise be required to transport large volumes of water to and from the pad even as the pad entered into its production phase. G) Hours of Operation: The Application states that there will be no time of day restrictions with regard to drilling operations. Well pad construction, landscaping, well completions, routine ongoing maintenance, development and production operations activities will be limited to the hours of 7:00 am to 8:00 pm. The full time frame to drill and complete 28 wells on the D pad is expected to take approximately 1 year before the pad is placed fully into production. Note, Section 7-1001(H) of the County's Land Use Code of 2013, and amended, provides the following hours of operations for industrial uses: Any activity that will generate noise, odors, or glare beyond the property boundaries will be conducted between the hours of 7:00 a.m. to 7:00 p.m. Monday through Saturday, or as approved by the decision-making authority. The Board of County Commissioners are the decision-making authority in this case where the proposed uses (primarily the drilling and completions work) extend beyond the time frame listed in the regulation. Based on the sensitivity of the location, the Planning Commission suggests the following hours of operation: The construction of the 8 Pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. Drilling may occur continuously 24 hours a day. Well completion activity shall be limited to occurring between 7:OOAM and 7:OOPM. Once the wells are in production, vehicle trips to the pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. 7-302. OFF-STREET PARKING AND LOARDING STANDARDS All off-street parking and loading activity will be accommodated on the well pad and will not occur on the public right-of-way. 7-303. LANDSCAPING STANDARDS Then Garfield County exempts industrial uses from providing landscaping and thus they are not required. However; the Operator has proposed a substantial landscaping plan prepared by a professional landscape architect that is discussed in detail above. This plan considered the immediate visual surroundings as well as the view plane (second story) from nearby residences in both Willow Creek and Stoney Ridge. Despite the voluntary nature of the planning efforts, if this application is approved, this Plan will be part of the requirements for the life of the project. Additional information is needed to better understand how on-going irrigation will be provided. 34 0 7-304. LIGHTING STANDARDS The County's regulations require all lighting shall be designed so that light is directed inward, towards the interior of the Subdivision or site. Additionally, exterior lighting shall be fully shielded or arranged in a manner so that concentrated rays of light will not shine directly onto other properties. Light sources which exceed 40 feet in height shall not be permitted except for temporary holiday displays or as required by local, State or Federal regulations. The Application states that, "During drilling operations, if a drilling rig is within 1,000 feet of an occupied dwelling, Ursa and its subcontractors will align the lighting equipment to minimize the proportion of the lights that are directed toward the dwellings and will install lighting shield devices on all of the more conspicuous lights. Lighting will be directed inward and downward except as deemed necessary for safety reasons. After drilling and completion operations, any lighting will be directed inward and downward, towards the interior of the site." As proposed, the lighting program proposed does not meet the County requirement. In this case, the drilling rig will be located within 1000 feet of the Willow Creek and Stoney Ridge neighborhoods. Ursa has committed to the following condition regarding lighting: All lighting, except as demonstrated for safety reasons, shall be directed inward and downward and be shaded in order to prevent direct reflection on adjacent property and residences in the area. LED lights will be used when possible and practical. Workers will be advised when moving light plants to ensure that the light is focused directly on the work being done. Most lighting will be below the sound wall. Drilling mast lighting that is above the sound wall will be downcast and/or shielded to reduce fugitive light outside sound wall and well pad. Safety considerations will take precedence. 7-305. SNOW STORAGE STANDARDS Snow will be stored in a vacant section of the proposed well pad. The site will be graded to accommodate snowmelt to insure sufficient drainage. 7-306. TRAIL AND WALKWAY STANDARDS These standards do not apply to this proposed use. 7-1001. INDUSTRIAL USE A. Residential Subdivisions The use does not occupy a lot in a platted residential subdivision. B. Setbacks The activity for the proposed use will be at least 100 feet back from the nearest residential property line. The D Pad is located approximately 713 feet from Stone Ridge, 630 feet from Willow Creek and over 1,000 feet from Valley View Village. 35 • C. Concealing and Screening The development and completion of the D Pad is an industrial use'; however, once the pad has been drilled and completed, there will not be any long term independent storage, fabrication, service, and repair operations other than occasional service of the existing equipment that cannot occur in a building by design. The Operator proposes a landscape plan that provides adequate screening of the well heads, tanks and separators on the pad. D. Storing The Application commits to storing all products in compliance with all national, state, and local codes and will be a minimum of 100 feet from adjacent property lines. Once the pad has entered production phase, the only storage on site will be the 6 tanks of produced water and limited amounts of condensate which have been adequately addressed in the Application. E. Industrial Wastes The primary industrial waste from the development of the D Pad will be cuttings from the drilling activity itself and produced water resultant from on-going well production. The cuttings will be sampled and profiled as generated on site to determine if they need to be treated to reach acceptable levels found in COGCC rule 910-1 (Concentrations & Sampling for Soil and Ground Water). If they do not meet those standards, they will be hauled to a permitted disposal location. If the cuttings have been determined to meet the "clean" is threshold in rule 910-1, Ursa suggests a variety of options to manage the cuttings: 1) Remain on site for pad stabilization/reclamation; 2) Be relocated to another location for pad stabilization/reclamation; 3) Made available as fill material to the general public; 4) Be relocated to a COGCC approved cuttings management facility; or 5) Disposed of at an approved waste facility. [You may recall, in the approvals granted by the Board of County Commissioners in 2009 for the two Williams Production pads (GV 82-5 and PA 41-9) that are both located inside the PUD, the cuttings were required to be removed from the pad regardless of their composition.] Regarding produced water and condensate, once the D Pad is in production phase, Ursa proposes a tank battery consisting of 6 tanks totaling 3,000 bbls. to collect produced water and condensate that occur naturally as part of the gas production activity. The produced water will be piped off the pad through a buried water line to a point in another approved location where it can be injected into the Isles Formation pursuant to COGCC and Garfield County rules. These gas wells are anticipated to produce "dry gas" based on the characteristics of the formation which means there is very little condensate produced as part of typical gas production. Condensate is a marketable commodity that is collected in a 0 tank on the pad then drained on a periodic basis by truck to be taken to market. 36 A& As mentioned above, while these fluids are on the pad prior to begin piped or collected, they are contained in lined tanks located with a steel enclosed and lined basin which will contain 150% of the largest tank volume, and within the earthen berming system around the pad itself for a three tier containment system. The volumes in the tanks are constantly monitored remotely with alarms in the event a level is breached. F. Noise The County's regulations specifically point to the noise regulations (800 Series: Aesthetic & Noise Control Regulations) promulgated by the Colorado Oil & Gas Conservation Commission (COGCC). The Application contains a noise analysis based on a Sound Study performed by Behrens and Associates from real-time data compiled on the Monument Ridge Pad as well as two subsequent noise analyses that serve to further refine the analysis on a site specific basis (See Exhibits EEE and RRRR). During the Planning Commission hearings, Staff requested a more refined noise study as a result of the original analysis of the application as well as the request that Ursa meet a more restrictive noise level than allowed by the COGCC rules because of its location inside the PUD and location near residences. The Applicant retained Behrens and Associates, Inc. to evaluate the pad location and model site specific expected noise levels based on both drilling and fraccing activity at 350 feet from the pad boundaries. Recall for reference, the COGCC rules that apply. Staff has requested that all activity fall at or below the "Light Industrial" standard at 350 feet from the well pads which is 70 dB(A) during the day and 65 dB(A) during the night. (COGCC allows fraccing activity, regardless of location, to fall within the higher Industrial levels. Ursa has committed to day time fraccing activity only.) ZONE 7:00 am to nett 7:00 7:00 pm to nett 7:00 pm am Residential/ Agri cultural "Rural 55 db(A) 50 db(A) Commercial 60 db(A) 55 db(A) Light industrial 70 db(A) 65 db(A) Industrial 80 db(A) 75 db(A) Noise Levels for Drilling the D Pad The revised noise study indicates noise levels measured at 350 feet from the B Pad during drilling (without mitigation) range from 46.7 to 59.9 dB(A) which fall well below the suggested Light Industrial zone and are more closely aligned with the Commercial Zone levels. With the suggested mitigation in Option 1(sound walls), these levels will reduce even further. Noise levels for Fraccing the B Pad Ursa has committed to only daytime fraccing. For fraccing activity during the day time, unmitigated noise levels at 350 feet range from 60.2 to 76.1 dB(A) which are slightly higher 37 C7 than the suggested Light Industrial Standard but within the COGCC regulations. Based on this, the Applicant is proposing two levels of noise mitigation: 1) Option 1: This mitigation option includes installation of a 40 foot tall acoustical sound wall around the majority of the well pad and 20 foot STC -33 panels located around all the frac trucks inside the pad. This reduced noise to be between 55.4 to 60.9 dB(A) which is much lower (better) than the suggested threshold of Light Industrial. 2) Option 2: This mitigation includes the 40 foot sound wall, the 20 foot STC -33 panels located around all the frac trucks inside the pad and 16-32 foot tall panels adjacent to residential properties. With this added mitigation, noise levels will drop even further. These mitigated noise levels not only reduce the noise levels to meet or be below the Light Industrial zone standards, they are also only measured at 350 feet from the pads. As the noise emanates outward, those dB(A) will continue to decrease such that noise experienced at the closest residences in the Stone Ridge, Monument Ridge, Valley View Village, and Willow Ridge apartments will be nearer to or within the residential / agricultural / rural zone levels. It has been suggested that Ursa ought to comply with the Town of Erie's Best Management Practices (BMPs) for noise as committed to by Encana Oil and Gas, shown below: 2. Noise mitigation. Encana will comply with the following noise mitigation requirements at all pad sites: (a) For db(A) scale noise, Encana will insure that the noise level from operations subject to the light industrial zone noise standard under COGCC Regulations 802.b and 604.c.(2)(A) does not exceed sixty (60) db(A) and that the noise level from operations subject to the industrial zone noise standard under COGCC Regulations 802.b and 604.c.(2)(A) is reduced at least five (5) db(A) below the maximum level permitted by those Regulations. For this purpose, the noise level shall be measured as set forth in COGCC Regulations 802.b & c, except no measurements shall be taken when traffic is passing the sound level meter, Encana shall be present during all measurements, and building units shall be limited to those units existing as of the Effective Date. As set forth in COGCC Regulation 802.b, the noise levels shall be subject to increase for a period not to exceed fifteen (15) minutes in any one (1) hour period and reduction for periodic, impulsive or shrill noises. The Erie BMPs (above) essentially state that drilling activities and other noise (except fraccing) shall remain at or below 60 dB(A) and that activities that are allowed at the COGCC Industrial level (fraccing) shall be reduced only 5dB(A) from its COGCC level; essentially from a range of 75 to 80 d(B)(A) to 70 to 75 d(B)(A) for fraccing. The Behrens study shows that noise (during drilling & fraccing) generated on the D Pad will not only meet or exceed (fall below) the Erie BMPs, but will also fall below the Staff suggested Light Industrial thresholds. ME • Finally, recall that the standards in Garfield County's 1978 and 2013 Land Use and Development Codes are as follows: (1978 Code) Section 5.03 (1) The applicant for a permit for industrial operations shall prepare and submit to the Planning Director two (2) copies of an impact statement on the proposed use prescribing its location, scope, design and construction schedule, including an explanation of its operational characteristics. The impact statement shall show that the use shall be designed and operated in compliance with all applicable laws and regulations of the County, State and Federal Governments, and will not have a significant adverse effect upon: (d) Use of adjacent land through generation of vapor, dust, smoke, noise, glare or vibration, or other emanations; Section 5.03.08: Industrial Performance Standards: All industrial operations in Garfield County shall comply with applicable County, State, and Federal regulations regulating water, air and noise pollution and shall not be conducted in a manner constituting a public nuisance or hazard. Operations shall be conducted in such a manner as to minimize heat, dust, smoke, vibration, glare and odor and all other undesirable environmental effects beyond the boundaries of the property in which such uses are elocated, in accord with the following standards: (1) Volume of the sound generated: every use shall be so operated that the volume of sound inherently and recurrently generated does not exceed ninety (90) decibles, with a maximum increase of five (5) decibles permitted for a maximum of fifteen (15) minutes in any one hour, at any point of any boundary line of the property on which the use is located. (Land Use and Development Code of 2013) 7-1001(F) Noise shall not exceed State noise standards pursuant to C.R.S., Article 12, Title 25, unless the use is regulated by the COGCC. In this case, the use shall be subject to COGCC rules in regard to noise abatement. Noise will emanate from the D Pad while it is being built, drilled and completed. This noise will continue over adjacent properties. The 1978 Code requires that noise not have a significant adverse effect on the use of adjacent land and that the noise should not constitute a public nuisance or hazard. Further, noise from industrial activities shall not exceed 90 dB(A) at the property lines of the subject property. The 2013 Code (Industrial Standards) defers to the COGCC noise regulations which has been discussed above. Because of this, the COGCC standards are the required thresholds (which are also more restrictive). This proposed operation, with the proposed mitigation, meets or exceeds these standards as well as the fit • LI more stringent staff -recommended noise limits. Based on all this, the Planning Commission suggests the following condition of approval: 7(1) Volume of the sound generated: Every use shall be so operated that the volume of sound inherently and recurrently generated does not exceed 70 dB(A) from 7:00 AM to 7:00 PM and 65 dB(A) from 7:00 PM to 7:00 AM, measured 350 feet from the edge of the pad. As set forth in COGCC Regulation 802(b), the noise levels shall be subject to an increase by 10 dB(A) for a period not to exceed 15 minutes in any one (1) hour period and cannot exceed 65 dB(A) for shrill or periodic impulsive noise. Complaint protocols shall be governed by COGCC Rule 802(c). G. Ground Vibration The Application provides the statement that there will be no vibration felt at the property lines or beyond; however, there was no information that substantiates this statement. H. Hours of Operation. The Application states, Per the SUA, there will be no time of day restrictions with regard to drilling, completing, re -completing, workover, or reservoir fracture stimulation operations. Routine ongoing maintenance and production operations activities will be limited to the hours of 7:00 am to 8:00 pm. Section 7-1001(H) of the County's Land Use Code of 2013, and amended, provides the following hours of operations for industrial uses: Any activity that will generate noise, odors, or glare beyond the property boundaries will be conducted between the hours of 7:00 a.m. to 7:00 p.m. Monday through Saturday, or as approved by the decision-making authority. The challenge with hours of operation for drilling gas wells is that they are typically a 24 hours a day, 7 days a week type of operation. The Operator has committed to conducting completions during daylight hours. Once the wells are in the production phase, there is little to no activity on the pad themselves for the remaining life of the pad. Added to the 18 complexity is the fact that drilling and completions are very loud activities and that noise will be a significant challenge to residents nearby. Ultimately, the Board of County Commissioners are the decision-making authority in this case where the proposed uses (primarily the drilling) extend beyond the time frame listed in the regulation. LIJ The Applicant has agreed to the following suggested condition: The construction of the a Pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. Drilling may occur continuously 24 hours a day. Well completion activity shall be limited to occurring between 7:OOAM and 7:OOPM. Once the wells are in production, vehicle trips to the pad shall be limited to the hours of 7:OOAM to 7.00PM, with the exception of emergencies and episodic events beyond Ursa's control. I. Interference, Nuisance, or Hazard. The County requires that every use shall be so operated that it does not emit heat, glare, radiation, or fumes that substantially interfere with the existing use of adjoining property or that constitutes a public nuisance or hazard. Flaring of gases, aircraft warning signal, and reflective painting of storage tanks, or other legal requirements for safety or air pollution control measures, shall be exempted from this provision. 41 The proposed industry activity of developing the pad, drilling and competing gas wells, and producing the wells will generate heat, glare and fumes. The Application provides substantial mitigation that reduces these nuisances from reaching beyond the property to adjoining property that would constitute a public nuisance or hazard. However, it is not unlikely that odors and noise may leave the property from time to time as experienced by residents of Battlement Mesa from other well pads especially during drilling and completions. The County Oil and Gas Liaison works diligently with industry and residents to address these complaints as soon as possible. The Application provides a variety of measures (green completions, LDAR infrared cameras to detect equipment leaks for hydrocarbon and VOC emissions, tank vent combustors, noise walls and blankets, etc.) that are intended to mitigate the odors and noise at their sources as well as commits to a complaint response program to ensure that when issues do arise, they are dealt with immediately and thoroughly. The Liaison supports this commitment and but also suggests that the Applicant continue to provide options regarding best available technology regarding emissions control's due to the close nature of residential communities and the potential for impact. V. BATTLEMENT MESA HEALTH IMPACT ASSESSMENT In 2009, the Garfield County Board of County Commissioners commissioned the Colorado School of Public Health (CSPH) to conduct a Health Impact Assessment (HIA) in order to address citizen concerns about health impacts of natural gas development and production in the Battlement Mesa Planned Unit Development (PUD). The HIA scope of work was informed by citizen concerns and was limited to Battlement Mesa. The HIA process included stakeholder participation and review. The two primary functions of the HIA are to: 1) Identify ways in which Antero's proposed natural gas development project can affect the health of the Battlement Mesa residents; and 2) Develop a priority list of recommendations to minimize the potential health impacts of Antero's proposed project. A 2nd draft was completed in 2011; however, the Board of County Commissioners voted not to extend a contract with the University of Colorado School of Public Health to produce a final report for the Battlement Mesa Health Impact Assessment. At the time the contract was ended, the BOCC did acknowledge their intent to use the document at the time an application to drill in Battement Mesa was submitted to the County. While the HIA is not a legally binding document and does not contain any rules or regulations adopted by the BOCC, it is contained as an exhibit to this memorandum for reference for decision making. Staff has requested the Applicant to respond directly to the some 70+ recommendations suggested in the HIA for the benefit of the decision makers; however, the required land use review in this memorandum is focused solely on the rules and regulations adopted and required by the BOCC. A copy of the HIA is attached as is an exhibit for reference. The Applicant has been addressing portions of the HIA in their 42 community outreach meetings and has prepared specific responses to the recommendations in Exhibit TT. VI, PLANNING COMMISSION RECOMMENDATION The Planning Commission forward a recommendation of approval to the Board of County Commissions for the proposed Special Use Permit with the following suggested findings and conditions. SUGGESTED FINDINGS 1. That proper public notice was provided as required for the hearing before the Board of County Commissioners. 2. The hearing before the Board of County Commissioners was extensive and complete, that all pertinent facts, matters and issues were submitted and that all interested parties were heard at that hearing. 3. That for the above stated and other reasons the proposed Special Use Permit for Extraction of Natural Resources for Battlement Mesa Partners (Surface Owner) and Ursa (Minerals Lessee & Operator) is in the best interest of the health, safety, convenience, order, prosperity • and welfare of the citizens of Garfield County. 4. That a waiver from Section 7-107 Access & Roadways (reduction of cross -slope from 3% to 2% for a gravel road) is granted; 5. That a waiver from Section 4-203(J) Development Agreement is granted as it does not apply. 6. That a waiver from Section 4-203(K) Improvements Agreement is granted as it does not apply. 7. That with the adoption of conditions, the application is in general conformance with the 2030 Comprehensive Plan, as amended. 8. That with the adoption of the Conditions of Approval the application has adequately met the requirements of the Garfield County Land Use and Development Code, as amended. RECOMMENDED CONDITIONS OF APPROVAL 1. That all representations of the Applicant, either in testimony or the submitted application materials, shall be considered conditions of approval unless specifically altered by the Board of County Commissioners. 2. If future extraction and processing activity (additional to what is being permitted herein) would be proposed, an amended Special Use Permit shall be required prior to that activity 43 • occurring on the site. 3. The Operator (Ursa) acknowledges that the County has performance standards in place that could lead to revocation of the Special Use Permit if violations of the permit occur. 4. Operation of the facility must be in accordance with all Federal, State and Local regulations and permits governing the operation of this facility. 5. The County commits to notifying the operator of any compliance concern. This may include direct notice by Garfield County to other affected permitting agencies if necessary depending on the compliance concern. 6. The County can request a site inspection with one calendar days' notice to the Operator. Full access to any part of the site will be granted. On request, all paperwork must be shown. The County cannot request a large number of inspections that would interfere with normal operation without cause. 7. All extraction and processing activities shall be required to comply with the following performance standards: a. Volume of the sound generated: Every use shall be so operated that the volume of sound inherently and recurrently generated does not exceed 70 dB(A) from 7:00 AM to 7:00 PM and 65 dB(A) from 7:00 PM to 7:00 AM, measured 350 feet from the edge of the pad. As set forth in COGCC Regulation 802(b), the noise levels shall be subject to an increase by 10 dB(A) for a period not to exceed 15 minutes in any one (1) hour period and cannot exceed 65 dB(A) for shrill or periodic impulsive noise. Complaint protocols shall be governed by COGCC Rule 802(c); b. Vibration generated: every use shall be so operated that the ground vibration inherently and recurrently generated is not perceptible, without instruments, at any point of any boundary line of the property on which the use is located; c. Emissions of smoke and particulate matter: every use shall be so operated so as to comply with all Federal, State and County air quality laws, regulations and standards; d. Emission of heat, glare, radiation and fumes: every use shall be so operated that it does not emit heat, glare, radiation or fumes which substantially interfere with the existing use of the adjoining property or which constitutes a public nuisance or hazard. Flaring of gases, aircraft warning signals, reflective painting of storage tanks, or other such operations which may be required by law as safety or air pollution control measures shall be exempted from this provision; • e. Storage area, salvage yard, sanitary land -fill, and mineral waste disposal areas: 44 • i. Storage of flammable, or explosive solids, or gases, shall be in accordance with accepted standards and laws and shall comply with the National Fire Code; ii. At the discretion of the County Commissioners all outdoor storage facilities for fuel, raw materials and products shall be enclosed by a fence or wall adequate to conceal such facilities from adjacent property; iii. No materials or wastes shall be deposited upon a property in such form or manner that they may be transferred off the property by any reasonable foreseeable natural causes or forces; iv. All materials or wastes which might constitute a fire hazard or which may be edible by or otherwise be attractive to rodents or insects shall be stored outdoors in accordance with applicable State Board of Health Regulation; f. Water pollution: in a case in which potential hazards exist, it shall be necessary to install safeguards designed to comply with the Regulations of the Environmental Protection Agency before operation of the facilities may begin. 8. All lighting, except as demonstrated for safety reasons, shall be directed inward and downward and be shaded in order to prevent direct reflection on adjacent property and • residences in the area. LED lights will be used when possible and practical. Workers will be advised when moving light plants to ensure that the light is focused directly on the work being done. Most lighting will be below the sound wall. Drilling mast lighting that is above the sound wall will be downcast and/or shielded to reduce fugitive light outside sound wall and well pad. Safety considerations will take precedence. 9. The construction of the D Pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. Drilling may occur continuously 24 hours a day. Well completion activity shall be limited to occurring between 7:OOAM and 7:OOPM. Once the wells are in production, vehicle trips to the pad shall be limited to the hours of 7:OOAM to 7:OOPM, with the exception of emergencies and episodic events beyond Ursa's control. 10. Operator will comply with COGCC Series 1100 rules and associated guidance which requires at least one annual pressure test be performed. Operator shall utilize only welded and flanged connections for all buried flowlines. The Applicant shall bed and partially backfill flowlines on the pad with non-native backfill to eliminate the corrosive soil concern. Operator will line all flowline trenches with a bentonite liner at least 6 inches in depth. 11. Operator shall comply with the CDPHE regulations and air quality permit conditions for emission controls considering technically and economically feasible BMPs. • 12. The Operator shall comply with COGCC green completion practices and EPA's natural gas • STAR program to reduce VOC emissions to the lowest level technically possible for the wells on the D Pad. Additionally, the Applicant commits to using carbon blankets over thief hatches on temporary tanks to reduce odors. The Applicant shall provide an update to the BOCC on a quarterly basis as to its use of the latest proven technologies to reduce emissions and odors on the well pad. 13. Once construction begins, the Operator shall treat all List A, B C noxious weeds within pad site perimeter and along access road according to Ursa's noxious weed management plan. This shall include three treatments annually by a licensed and certified herbicide applicator. 14. The Operator shall commit to ensuring truckloads of dirt, sand, aggregate materials, drilling cuttings, and similar materials are covered to reduce dust and PM emissions during transport. 15. The Operator shall install at least one up -gradient and two down -gradient groundwater monitoring wells at the D Pad location. The Operator shall conduct baseline sampling for, at a minimum, the following: all major cations and anions, total dissolved solids, iron, manganese, nitrates, nitrites, selenium, benzene, toluene, ethylbenzene, xylenes, methane, pH, specific conductance, and any chemical identified in the full disclosure of chemicals of potential concern. 16. The Operator shall conduct monthly monitoring of the well site groundwater wells for the • parameters specified in condition of approval No. 18 during well drilling and completion activities, followed by annual monitoring for the duration of the project. All results of this monitoring shall be provided to the Garfield County Community Development Department and Oil and Gas Liaison within 60 days of sample collection and posted on Garfield County's website. If (1) benzene, ethylbenzene, toluene, or xylenes are detected at levels greater than the concentration levels specified in Table 910-1 of the COGCC rules; (2) any cations, anions, metals, or total dissolved solids exceed 1.25 times background concentrations; (3) methane or any chemical identified as a concern from the full disclosure of chemicals exceeds 1.25 background concentrations; or (4) if pH or specific conductance exceeds the limits specified in COGCC table 910-1, the Operator shall immediately remediate the concern as a condition of the Special Use Permit. 17. The Operator shall provide a formal update to the Board of County Commissioners on a quarterly basis as to the progress of the project, including but not limited to, advancement and utilization of odor and emissions technology. This update shall be coordinated through the Community Development Department specifically including the Oil and Gas liaison's office. Updates shall begin at the beginning of construction and continue throughout drilling and completion operations and cease once the pad is in full production operations. 18. No Special Use Permit shall be issued to the Applicant/Operator (and no activity shall occur on the site) until all required local, state and federal permits, except those permits which are ® obtained only after construction is complete, have been obtained and tendered to the County Community Development Department. A violation of any of the terms and/or conditions of M. • these local, state and federal permits shall also be considered a violation of the Special Use Permit. The Air Quality permit shall be submitted as soon as it is received. 19. The Operator will provide a draft site specific SPCC plan for D Pad within 30 days of installation of tank containment structures. The Operator shall provide a final site specific SPCC plan for the D Pad wells pad within six months of installation of the tank containment structures per EPA regulations. The site specific plan shall include information on storage tank sizes and the volume of secondary containment is calculated. 20. Prior to the issuance of the Special Use Permit, the Applicant should provide a discussion, calculations, and details for the proposed release structures from the detention pond. 21. Prior to the hearing before the Board of County Commissioners, the Applicant should evaluate if a culvert is necessary at the driveway intersection with River Bluff Road. It appears from the topography that grading of the area to drain may also be necessary to get runoff to drain to the existing culverts. 22. The Applicant (Ursa Operating Company LLC) shall provide a one-time contribution of $50,000 to Garfield County, prior to the issuance of the Special Use Permit, for site-specific air quality monitoring program designed, owned and operated by Garfield County. The sampler will collect a suite of 78 volatile organic compounds (VOCs) based of the EPA's TO -12 method which include the BTEX compounds. Results of the air monitoring will be publically available and reported to the BOCC on a regular basis. The Applicant shall provide the Garfield County Environmental Health Department with at least 2 weeks advance notice prior to drilling and completions activity. Permission shall be granted to Garfield County by the land owner (Battlement Mesa Partners) for the location of the sampling unit. A letter of agreement to the terms of the program shall be executed prior to the issuance of a special use permit. 23. The Application proposes a significant landscaping program; as a result, the Applicant should provide more information regarding the ongoing irrigation for tis plan. jd- 24. Applicant agrees and co rf emits to a three year time frame for' Phase I activities which includes placing up to 53 wells into full production. This time frame will commence at the start of construction of either'kase I well pads or pipeline. ( VII. RECOMMENDED MOTION "I will make a motion to approve the Special Use Permit Application for the D Pad with the specific findings and conditions as contained herein." 47