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HomeMy WebLinkAboutWS Item 01 - Oil and Gas Well Drillin RegulationsMEMO TO: FROM: MEETING DATE: SUBJECT RECOMMENDATION 0) K ITEM # HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL BRUNO RUMBELOW, CITY MANAGER lJkllv MAY 1, 2007 AMENDMENT TO OIL AND GAS WELL DRILLING REGULATIONS Amend Section D - Setback Distances as it relates to Section D.1.c. - Distance from non- residential building used for human occupancy. BACKGROUND Section D.1.c. establishes a minimum 1,000 ft. separation from the well head to any building that can be occupied. This would apply to any commercial and industrial building. If the 1,000 ft. separation were applied on commercial and industrial property, there would be little opportunity for a well to be drilled and leave enough area for other development on the property. Staff recommends that Section D.1.c be amended to allow buildings used for human occupancy be permitted with a 300 ft. separation. Staff feels this would allow a minimum opportunity to drill wells and also develop property, Staff is proposing no change to Sections D.1.a and b., which requires 1,000 ft. separation from parks, residences, hospitals, religious institutions, and public buildings. 20. After any spill, leak or malfunction, the operator shall remove or cause to be removed all waste materials from any public or private property affected by such spill, leak or malfunction. Cleanup operations shall begin immediately. 21. The drill site shall at all times be kept free of debris, pools of water or other liquids, contaminated soil, weeds, brush, trash or other waste material outside the drill site within a radius of one hundred (100) feet around any separators, tanks and producing wells within the leased property. 22. Drilling mud pits shall adhere to the following requirements: a. Only freshwater -based mud systems shall be permitted. Saltwater -based mud systems and oil-based mud systems are prohibited. b. No metal additives may be added to any drilling fluids. C. All fluid produced from the well during completion of production shall be held in enclosed containers while stored on the property. d. The pit and its contents shall be removed from the premises within ninety (90) days after completion of the well; provided, however, that the permittee may apply for a 90 day extension from such requirements based on showing of good cause, necessity to maintain said pit, inclement weather, or other factors. The City may designate a period of time shorter than the 90 -day extension set out herein. 23.A copy of the hazardous materials management plan as required by the City of Grapevine's Fire Marshal's office. In addition to the hazardous materials management plan, all material safety data sheets (MSDSs) for all hazardous materials that will be located, stored, transported, and/or temporarily used on the drilling site shall be provided to the oil and gas inspector and Fire Marshal. 24.A copy of the emergency response plan as required by the City of Grapevine's Fire Marshal's office. 25.A copy of the determination by the Texas Commission on Environmental Quality of the depth of useable quality ground water. D. Setback Distances. 1. Wells setbacks for gas or oil well permits: It shall be unlawful to drill, redrill, deepen, re-enter, activate or convert any well, the center of which, at the surface of the ground, is located: a. Within 1,000 feet from any public park; or b. Within 1,000 feet from any residence, religious institution, public building, hospital building or school for which a building permit has been issued on the date of the application for a drilling permit is filed with the Fire Marshal; or C. Except for buildings addressed by Subsection D.1.b. immediately hereinabove, within 300 feet from any building used or designed and intended to be used, for human occupancy; or ORD. NO. 13 d. Within 500 feet from any lease line as indicated on Texas Railroad Commission Form W-1, or recorded property, lot or tract line; or e. Within 500 feet from any existing storage tank, or source of potential ignition; or f. Within 200 feet of any public street, road, highway, or right-of-way line; or g. Within 100 feet of any building accessory to, but not necessary to the operation of the well; or h. Within 1,000 feet to any fresh water well; or i. The measurement of all distances shall be calculated from the proposed well bore, in a straight line, without regard to intervening structures or objects, to the closest exterior point of the any object listed in a. through h. above. j. For purposes of this section, a building used, or designed and intended to be used, for human occupancy" means an enclosed space, other than a residence, in which individuals congregate for amusement or similar purposes or in which occupants are engaged at labor, and which is equipped with means of egress, light, and ventilation facilities." 2. The distances set out in this may be reduced at the discretion of the City Council. 3. Tank batteries, well facilities and equipment shall be located at least 4300 feet from any public park, or from any residence, religious institution, public building, hospital building or school, or any other building used, or designed and intended to be used, for human occupancy, for which a building permit has been issued on the date of the application for a drilling permit is filed. The distance shall be calculated from the closest tank batteries, well facilities and/or equipment, in a straight line, without regard to intervening structures or objects, to the closest exterior point of the building. 12-146. Insurance and Indemnification Requirements. The operator shall provide or cause to be provided the insurance described below for each well for which a Gas or Oil Well Permit is issued, such insurance to continue until the well is abandoned and the site restored. The operator may provide the required coverage on a "blanket basis for multiple wells". Such coverage shall be subject to the review and approval of the City Attorney for the City of City of Grapevine. A. General Requirements Indemnification and Express Negligence Provisions. 1. Each Gas Well Permit issued by the City shall include the following language: Operator does hereby expressly release and discharge, all claims, demands, actions, judgments, and executions which it ever had, or now have or may have, or assigns may have, or claim to have, against the City of Grapevine, and/or its departments, it agents, attorneys, elected officials, officers, contractors, servants, successors, assigns, sponsors, volunteers, or employees, created by, or arising out of personal injuries, bodily injuries, or death, known or unknown, and injuries to property, real or personal, or in any way incidental to or in connection with the performance of the work performed by the operator under a gas or oil well permit ORD. NO. 14