From
Cindy Mendez, Environmental Quality Manager
Title
Five year extension for GHA Barnett LLC to drill gas wells on the Race Padsite at 2200 Lower Tarrant Road
Presenter
James R. Cummings, Environmental Services Director
Recommended Action
Approve
Analysis
On January 18, 2011, the Gas Well Drilling and Production Ordinance was amended to limit drilling on a padsite to five years with one (1) five year extension from the Environmental Services Director, if applied for within six months of expiration date of the permit. Additional extensions are available with approval by the City Council. In this particular case, the first drilling permit was issued on May 13, 2013 after approval at City Council on April 16, 2013 due to its proximity of less than 1,000 feet to Link Park at 516 feet. In addition, this padsite is in the floodplain and horizontal drilling crosses beneath the Dorchester Levee. The operator, GHA Barnett LLC has met all of the conditions in Resolution 4616-2013 Attachment A which requires monitoring to ensure the effectiveness of the Dorchester Levee and has moved production out of the floodplain and onto an adjacent property having properly met all city and federal requirements. Since the issuance of the initial permit for 1 well, a total of five wells have been drilled on the padsite and production has been established off site. The current permit expires on May 13, 2018. An extension request was received on February 6, 2018. Per the ordinance, Chapter 13, Article 19, Section 13-504, the Environmental Services Director can no longer authorize an extension since the request does not meet the six month requirement.
Environmental Services recommends approval of an extension as there has been no additional development around the gas well padsite and GHA Barnett, LLC has met all of the requirements established for this padsite. In addition, all reporting requirements have been met and inspections have shown compliance. An application for four drilling permits is currently pending.
The Public Safety Health and Environment Committee reviewed this item on March 5, 2018.
Financial Consideration
An extension fee of $10,000, per the City ordinance, will be owed if approved.