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HomeMy WebLinkAboutConstituent Letter - Mail Packet - 5/8/2018 - Memorandum From Nancy Duteau Re: Land Use Code Updates For Oil & Gas OperationsEnvironmental Services 215 N. Mason PO Box 580 Fort Collins, CO 80522 970.221-6600 970.224-6177 - fax fcgov.com MEMORANDUM NATURAL RESOURCES ADVISORY BOARD DATE: May 1, 2018 TO: Mayor and City Council Members FROM: Nancy DuTeau, on behalf of the Natural Resources Advisory Board (NRAB) SUBJECT: Land Use Code Updates for Oil & Gas operations Regulation of oil & gas operations is a complicated issue in Colorado. The Colorado Oil and Gas Conservation Commission (COGCC) standards for permitting and operation, including setbacks, are not based on scientific evidence of health and economic effects on citizens, but rather a compromise with special interests, primarily Oil & Gas Producers and Developers. NRAB strongly recommends Council direct staff to use all mechanisms available within city authority to increase protection of health of residents and to reduce air and property contamination. In addition, we recommend city leadership adopt positions advocating evidence- based state standards for permitting and operation. The COGCC has the authority to permit new oil & gas wells as well as set standards for operation and closing of wells. The state is responsible for inspections for compliance with operation standards and has an orphan well fund for sealing abandoned wells. The Colorado Department of Public Health and the Environment (CDPHE) has a mobile unit for sampling air quality in residential areas in response to complaints of residents of health effects from chemical exposures at sites. The city, on the other hand, has two main ways to control interactions between Oil & Gas operations and residents:  the City has authority through Land Use Code to set buffers between oil & gas operations and new development, including buffer and site characteristics.  the City creates operator agreements with producers for individual permitted sites NRAB recommends that Council adopt proposed changes to the Land Use Code to reflect the new state regulations for setbacks for new wells, to apply to new development near existing and abandoned oil & gas operations (reciprocal setbacks) with the addition of:  3.8.26 (C) (4) (a) “Buffer Yard D areas may include paved areas, notwithstanding paragraph (1) above, with the exception of playgrounds and parking lots of high occupancy building units”.  3.8.26 (C) (4) (c) Require identification of Responsible Party when plugged well seal fails; add requirements for repair, annual third-party monitoring, bonding requirements to address any future well integrity issues, and inspection.  Amend the Land Use Code definition for where the buffer (reciprocal setback) is measured to be from the edge of the property line to the edge of the well site, as opposed to the edge of the nearest occupied building. The NRAB recommends that the City operator agreement for producers at individual sites include  specific requirements for monitoring as outlined in 3.8.26 (C) (4) (c) (i) (B). Additional Recommendations Citizens of Fort Collins are deeply engaged in the debate about regulation of Oil & Gas operations in our state and the effects on their health and property. This is clearly shown by the passage of a citizen-initiated moratorium on fracking within our city and on city land in 2013. NRAB has been following this issue for several years with technical presentations by outside scientific groups like -- CSU and National Center for Atmospheric Research for example -- some of whom have been hired by the City to perform analysis on air quality, toxic gas levels at active wells, and contributions to ozone, in addition to presentations at regular meetings by staff. NRAB recommends that Council move forward with:  Verifying Poudre Fire Authority (PFA) readiness for abandoned well seal failures and active well accidents. There are 10 active and 20 abandoned wells within city limits. No wells sealed recently or in the past will remain sealed indefinitely, because the current technology does not create a permanent seal.  Installing a 3rd air monitoring station in Southeast Fort Collins as recommended in City- funded study by National Center for Atmospheric Research. Results of wind analysis document impact of gases from daytime upslope winds from oil & gas operations in Weld County on ozone levels in our city.  Approving an Economic Analysis of health and economic effects on citizen health and property contamination, including impacts of natural gas and other pollutants from operations outside the city.  Pursuing ways to protect Natural Areas, parks and open spaces from oil & gas operations whether the source is within or beyond City boundaries.  Urging the COGCC to increase buffer zones and to change the measurement of setbacks from edge of well site to edge of property. Current setback measures to the edge of buildings which, for schools, increases exposure of children on playgrounds and for other facilities increases exposure to those who choose to enjoy outdoor spaces. cc: Darin Atteberry Lindsay Ex