Gas Drilling Task Force Final Recommendations

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Gas Drilling Task ForceFinal Recommendations

• Pre-Council Meeting
• May 9, 2006

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Task Force Members

• Eva Bonilla, Chair (Mayor)
• Debra Hines (District 2)
• Gary Hogan (District 3)
• Danny Scarth (District 4)
• Lloyd Jones (District 5)
• Ralph Emerson ( District 6)
• Carl C. Wilson (District 7)
• Susan De Los Santos (District 8)
• Matt Graves (District 9)
• Joel Ward, Chief Oil Gas LLC
• Larry Dale, Dale Operating Co
• Gilbert Horton, Devon Energy Production Co.,
  L.P.
• Larry Brogden, Four Sevens Operating Co., Ltd.
• Walter Dueease, XTO Energy
• Mark Howe, Greater Fort Worth Area of Realtors,
  Inc.
• Lee Nichol, James R. Harris Company Inc.
• Thad Brundrette, Carter and Burgess
• Rob Green. Walsh Ranch
• Jim Schell, Pope Hardwick

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List of Issues Discussed by the Task Force

• Noise
• Well Classification
• Neighborhood Education
• Lights
• Safety- Evacuation plans
• Increasing city staff
• Delivery times
• Security around well site
• Landscaping and Fencing
• Compliance
• Truck Access and damage to roads
• Closed Loop Mud Systems/ Open pits
• Distance

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Noise

• Current Regulation 78 dBA for High Impact
  Permit 85 dBA for Rural Permit and 90 dBA for
  Rural Permit during drilling
• Task Force Recommendation
• 1. Require the operator to determine the
  pre-drilling ambient noise level each time a
  permit is issued.
• 2. Allow no more than 5 dBA over ambient during
  the daytime, 3 dBA over ambient at night,
  measured at the sensitive receivers/receptors
  property line or 100 feet from the protected
  uses, whichever is closer to the
  receiver/receptor.
• 3. Define daytime as between the hours of 6 am
  to 7 pm.
• 4. Any introduction of equipment after
  production of the well would require a new
  ambient level to be established by the operator
  before equipment is installed.
• 5. Continue research on different type of
  brakes asbestos vs. fiberglass.
• 6. Recommend that staff work with noise
  consultant on issue of monitoring and spike
  levels over ambient (hourly versus unforeseeable
  or incidental spikes).

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Well Classification

• Current Regulation High Impact Permit if
  within 600 feet of protected uses, Urban
  Permit if within 600 to 1,000 feet from
  protected uses, Rural Permit if 1,000 feet
  from protected uses and on 25 acres or more
• Task Force Recommendation
• Leave current classifications in place.
• One member Combine High Impact and Urban
  Classifications, using 1,000 feet as the
  recommended setback from protected uses.

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Neighborhood Education

• Task Force Recommendation
• Have informational meeting once a month at city
  hall, with staff and industry presenting industry
  prepared video and answering questions.
• Include information on mineral interest in deeds
• List monthly meetings on the City page in Star
  Telegram newspaper
• Public education by Emergency Management Office
• Prepare film on gas drilling ordinance for use on
  city cable channel and at monthly meetings.
• Provide consistent message to the public about
  gas drilling.
• Provide staff telephone numbers for citizens to
  contact with questions.
• Move newspaper notices from legal section.
• 6. Require notice to contain internet link to
  provide explanation of drilling process, name of
  applicant and contact phone number, drilling will
  take place within 180 days of issuance of permit
  and the number of wells.
• 7. Increase notice to 1,000 feet if well drilled
  1,000 feet from a protected use.
• City to send notices by fire addresses rather
  than operators by TAD to avoid missing new owners
  which would include date and time of the next
  city hall meeting.
• List permits on the City page in Star Telegram
  newspaper and on City web page.
• Require more than one sign if well site fronts on
  more than one street.
• Include information on City web page related to
  buying a home in a split estate state.

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Lights

• Current Regulation Site lighting shall be
  directed inward and internally so as to avoid
  glare on public roads and adjacent dwellings
  and buildings within three hundred (300) feet.
  Lights shall not shine directly on roads and
  adjacent dwellings
• Task Force Recommendation
• 1. Include location of lights on site plan of a
  High Impact Permit.
• 2. Increase enforcement.

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Safety/Evacuation Plans

• Task Force Recommendation
• Citys Emergency Management Office should
  coordinate with appropriate city staff to insure
  readiness to respond to an emergency, increase
  necessary safety measures and provide public
  education.

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Increase Permit Fees to Add Additional Staffing

• Current status
• 1. Two city gas inspectors
• 2. 1,500.00 permit fee
• 3. 200.00 annual inspection fee
• Task Force Recommendation
• 1. Increase permit fees to cover additional
  staffing to provide compliance with current
  ordinance regulations.
• 2. Change fee structure to a per well basis
  rather than by permit, but retain blanket
  permits.
• 3. Increase the 200 annual permit fee.
• 4. Fees charged should be sufficient to cover
  the costs, with no costs to the taxpayers

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Delivery Times

• Current Regulation Delivery restricted to
  between the hours of 6 am to 7 pm for High
  Impact Permits, no restrictions for Urban or
  Rural Permits
• Task Force Recommendation
• 1. Apply current High Impact restricted delivery
  times to Urban Permits or to any well within
  1,000 feet of a protected use.
• 2. Consider limiting deliveries to certain
  classifications of streets.
• 3. Restrict delivery to day time hours of 6 am to
  7 pm on residential streets.
• 4. Require watering/wetting of all drill site
  access roads that are adjacent to residential
  property to minimize dust.

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Security Around the Well

• Current Regulation A watchman or security
  personnel is required on site during the
  drilling or re-working of a well when other
  workmen are not on the premises.
• Task Force Recommendation
• Require entrance off the public road to be gated
  and secured when the site is unmanned to prevent
  unauthorized vehicular traffic.

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Landscaping

• Current Regulation Landscape and irrigation
  required along all street frontages of the
  well site with suitable screening shrubs.
  Screening shrubs that complement the
  architectural character of the surrounding
  neighborhood completely around the well site
  with a minimum of three feet in height at
  planting, have the potential to grow to a
  mature height of a minimum of six feet and
  must have an installed irrigation system that
  provides total water coverage to all plant
  materials.
• No requirements for Urban or Rural Permits
• Task Force Recommendation
• 1. High Impact Permit Council approved
  landscape plan. Landscape must blend with the
  environment and existing surrounding area. Must
  be installed within 90 days from the completion
  of last permitted gas well.
• 2. Urban/Rural Permit Administrative review of
  site plan for compatibility with surrounding
  area. Party encroaching on existing use would be
  responsible for landscaping.
• 3. Appointment of a subcommittee to recommend
  minimum standards for installation and
  maintenance of landscaping, fencing and
  screening.

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Fencing

• Current Regulation 1. High Impact All wells
  and tanks enclosed by a solid masonry
  wall a minimum of 8 feet but not to exceed 10
  feet in height
• 2. Urban All wells and tanks enclosed by a
  chain link fence, a minimum of 8 feet in
  height with three and one-half inch mesh
  interwoven with opaque slats
• 3. Rural All wells and tanks enclosed by
  chain link fence a minimum of 6 feet in
  height
• All fences shall have security extension arms
  at the top of such fences with at least two
  strands of galvanized barbed wire.
• Task Force Recommendation
• 1. High Impact Council approved site plan.
  Fencing must blend with environment and existing
  surrounding areas and must be installed within 90
  days of completion of last permitted gas well.
• 2. Urban/Rural Administrative review of site
  plan. Allow option of type of fencing used,
  such as wood, slatted or green coated chain link
  fence or tennis court mesh.
• 3. All open pits must be fenced on all four
  sides once well is producing or when site
  becomes unmanned. Fencing for High Impact and
  Urban Permits must be open design.
• 4. No Trespassing signs on all four sides of
  the drill site fence.
• 5. Recommend the appointment of a subcommittee
  to study and make recommendations on minimum
  standards for landscaping, fencing and screening.
  

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Compliance

• Current Regulation The Gas Inspector gives
  written notice specifying the nature of the
  failure and gives reasonable time to cure,
  taking into consideration the nature and
  extent of the failure, the extent of the
  efforts required to cure, and the potential
  impact on the health, safety, and welfare of
  the community. In no event, however, shall
  the cure period be less than thirty (30) days
  unless the failure presents a risk of imminent
  destruction of property or injury to persons.
  
• Task Force Recommendation
• 1. Require compliance or initiate compliance
  within ten days after notice to cure, with
  citation issued on the 11th day, except where
  health, safety and welfare or noise issue.
• 2. Allow 24 hours to correct notice issue if it
  cant be corrected immediately, issue a citation
  following the 24 hour period.
• 3. Increase enforcement personnel to insure
  compliance with existing ordinance.

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Truck Access /Damage to Roads

• Current Regulation Vehicles associated with
  drilling and/or production in excess of three
  tons shall be restricted to such streets
  designated as either truck routes or
  commercial delivery routes by the City Code
  wherever capable of being used. The vehicles
  shall be operated on a truck route wherever
  able of being used and shall be operated on
  a commercial delivery route only when it s not
  possible to use a truck route to fulfill the
  purpose for which such vehicle is then being
  operated.
• A Road Maintenance Agreement is required
• Task Force Recommendation
• 1. Allow a city wide road maintenance agreement.
• 2. Allow cuttings to be buried on site to reduce
  truck traffic provided tested
• before burial.

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Closed Loop Mud Systems/ Open Pits

• Current Regulation Lined earthen mud or
  circulating pits shall be used. Such pits and
  contents shall be removed from the premises
  and the drilling site within sixty (60) days
  after completion of the well
• Task Force Recommendation
• 1. Require closed loop mud system for High
  Impact well permits. Allow burial of cuttings
  per the RRC and as approved by the city, after
  pre-burial testing by the operator.
• 2. Require fencing around all four sides of pits
  after well producing or when site becomes
  unmanned. Fencing for High Impact and Urban
  Permits must be open design.
• 3. No Trespassing signs on all four sides of
  the fence
• 4. Provide public education

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(No Transcript)
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DistanceDrilling From a Protected Use

• Current Regulation Allowed to drill 300 feet
  from a protected use
• Task Force Recommendation
• Consensus of Task Force to require drilling 600
  feet from a protected use unless
• A variance is granted by the City Council or
• A waiver from all protected use property
  owners within 600 feet, then drilling
  allowed up to 200 feet without City Council
  action
• Waivers must be filed in the applicable county
  deed records
• Drill sites must be identified on plats
• Distance determined by existing protected use or
  a building permit issued
• Existing agreements and plats grandfathered
• The vote was as follows
• 13 members would prefer to leave the current
  regulations in place due to lack of evidence
  current distance unsafe or creates a nuisance
• 4 members would prefer 1,000 feet becoming the
  preferred distance to drill from a protected use
  and encouraged by the City, with applicant
  required to demonstrate that 1,000 feet is
  unreasonable and reason why a lesser distance
  should be allowed
• 1 member did not vote, 2 were absent

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DistanceNew Construction from an Existing Well

• Current Regulation Allowed to build 200 feet
  from an existing well
• Task Force Recommendation
• 6 members recommend leaving current regulation
  of 200 feet in place.
• 8 members recommend exploring the alternative of
  a pad site permits which is filed with the
  applicable county deed records. Any future
  drilling on a pad site would be subject to the
  state law distance of 200 feet. Each new well
  would be permitted for compliance with ordinance,
  except for distance.
• 4 members would recommend increasing the
  distance to 600 feet with waivers from the
  property owners of the protected uses filed in
  the applicable county deed records indicating
  possible future gas well operations and
  grandfathering of existing plats and contracts.
• 2 members were absent.

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Recommended Legislative Changes

• Four members of the Task Force strongly
  encourage the City Council draft Legislation
• Revising Section 253.005(c) of the Local
  Government code to read as follows 
• (c) A well may not be drilled in the thickly
  settled part of the municipality or within 600
  feet of a private residence or any other
  occupied building, unless waived by the property
  owners within than 600 feet
• It currently reads
• (c) A well may not be drilled in the thickly
  settled part of the municipality or within 200
  feet of a private residence.
• All members of the Task Force support a
  legislative change
• Requiring a stand-alone or separate public
  disclosure notification at all real estate
  closings regarding mineral ownership and the
  Texas law. 

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Next Recommended Steps

• Prepare draft of revised ordinance and send to
  Task Force members for review
• With Council approval, place on June 6th City
  Council agenda for public hearing and on June
  13th City Council agenda for adoption.

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• Questions?