From
Cindy Mendez, Environmental Quality Manager
Title
Five year extension to drill gas wells on the Auto Impound Gas Well padsite at 3010 Hardrock 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 instance, a permit application was submitted on March 3, 2012 for one well, the Thoroughbred 2H on the Auto Impound padsite. Subsequently, another well was permitted and drilled. The current permit expires on April 25, 2017. Due to the lengthy process of the ownership transfer of the padsite from Beacon E&P to the new owner GHA Barnett, an extension request was never submitted to the city to meet the six month requirement. An extension request was received on December 22, 2016. 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 Quality recommends approval of an extension as there has been limited development around the gas well padsite and there have been no complaints from residents regarding this padsite. In addition, all reporting requirements have been met and inspections have shown compliance. An application for nine additional wells is currently pending.
The Public Safety Health and Environment Committee reviewed this item on February 6, 2017.
Financial Consideration
An extension fee of $10,000, per the City ordinance, will be owed if approved.