Wednesday, August 8, 2012

Citizens Lawsuit Against COGCC Moves to Next Phase

La Veta, CO - On Aug 1st, Citizens for Huerfano County (CHC) filed its briefing regarding judicial review in Denver District Court. The briefing asks the District Court to vacate a permit granted in June, 2011, by the Colorado Oil and Gas Conservation Commission (COGCC) for the Klikus 2-19, a 14,000-foot-deep, hydraulically-fractured (fracked) natural gas well near La Veta Pass.
CHC attorney Julie Kreutzer argues a lack of due process, in that COGCC failed to notify the public of the Klikus application for permit, and that COGCC's hasty approval was arbitrary and capricious. In more than 300 pages of administrative records, CHC could find no evidence that the COGCC conducted the kind of thorough review it claims that it applies to every permit in order to meet its legislative mandate to protect public health, safety and the environment.

“This is a straightforward case, and one of the very few meaningful things happening right now in the state to address the concerns citizens have over granting drilling permits without adequate review,” said Kreutzer.

The District Court Judge will determine whether the permit was properly granted by reviewing the administrative record, CHC's briefing, and responses from the defendants: COGCC and Shell Western Exploration and Production Inc (SWEPI, a unit of Royal Dutch Shell). Huerfano County may also file a response, because it intervened in the case on the side of the COGCC and Shell.

Shell has indicated that it isn't interested in the Klikus well at this time, and recently received COGCC and Huerfano County permit approvals to drill four oil wells about 20 miles north of the Klikus site, near Gardner. These permits could be considered relatively "better" in that they have emission controls on all tanks and dehydrators, require tanks instead of pits, and are not for fracking (at least, not the first well, and not right away).

“CHC considered dismissing the Klikus case,” said CHC Vice President Sandy Borthick, “But if this case does not go forward, there is really nothing stopping Shell from developing the Klikus, and nothing stopping the COGCC from rubber-stamping more incomplete, inadequately reviewed permits in Huerfano County or elsewhere in the state.” 

It is important to hold Shell to meaningful standards to protect neighboring water wells and water resources,”  said CHC President, Keli Kringel. “It is also important that the COGCC review every permit carefully and insist upon commonsense protections for public health, safety and the environment.” 

"This permit, Shell's first here, poses real dangers,” added Kringel. "For example, Shell plans to dig a huge (225 ft x 110 ft x 14 ft deep)  fracking flowback pit in an intermittent streambed, and only 8 feet above the water table. This pit is a potential threat that was not addressed by the COGCC in its review of the permit."

Monday, July 16, 2012

County Commissioners to Vote on the 4 Shell Wells - Wednesday 10AM

IMPORTANT NOTICE --

Please attend the Huerfano Board of County Commissioners (BOCC) on July 18, 2012
at 10:00 AM at the courthouse in Walsenburg.

This meeting is critically important because the BOCC will be deciding whether to
approve conditional use permits (CUPs) for the four Shell oil wells in the Gardner area.

There is no public hearing on these permits.

Planning Commission (P&Z) has reviewed the CUPs and has recommended the BOCC
attach the following eleven conditions of approval to each CUP: (this is draft language,
not exact)

1. A $7,500.00 performance bond per well (or a $30,000 blanket bond for all four
wells), in addition to an agreement that Shell will maintain, repair or upgrade all
the roads it uses to county standards. This includes dust mitigation on all roads,
especially roads near residences

2. All wells shall use a closed loop system

3. Any dumpsters placed on the well site shall be bear-proof

4. The weed control plan shall include lands within 750 feet of the well site and
along all roads used by Sehll for drilling or hauling operations for the life of the
well.

5. Noise mitigation measures shall be utilized at all well sites to meet minimum
standards set forth in the current Oil and Gas Regulations

6. No produced water may be used on county roads without first meeting the Clean
Water act and be approved by the State Health Department

7. Comply with Dark Sky policy by directing lighting away from residences

8. Notification shall e given to the County if fracking is to occur and should be
approved by the County

9. Failure to comply with any of these conditions may result in revocation of the
permit

10. Any major changes to any well shall require notification to the county and
approval by the county

11. Construction must begin within one (1) year of permit approval

CHC supports these eleven conditions, and we hope that the commissioners will take
P&Z’s recommendation to attach them to each of the permits.

See you Wednesday 10:00AM at the Courthouse.

Saturday, July 14, 2012

Bonnie Raitt Benefit to Support CHC!

BONNIE RAITT TO HOST BENEFIT RECEPTION AUGUST 26 TO SUPPORT ANTI-FRACKING ORGANIZATIONS IN COLORADO

Legendary singer Bonnie Raitt and her band will be performing at the Red Rocks
Amphitheater in Morrison, CO on Sunday August 26th. Bonnie will host a special benefit reception following the show in support of regional organizations that are working to protect Colorado from the threats of hydraulic fracturing to extract gas and oil. The organizations include Citizens for Huerfano County (CHC) and the GrassRoots EnErgy activist Network (GREEN).

Bonnie Raitt is touring again in 2012 after a two year respite and premiering her new
album Slipstream which was released this spring. She has an amazing 58 other
recordings. She is a nine-time Grammy winner and inductee into the Rock N Roll Hall of Fame. She is well known, long time social change activist and is a founding member of The Blues Foundation and Musicians United for safe Energy among others. Visit http://www.bonnieraitt.com/ for more information on her tour dates, benefit history, discography and more.

Citizens for Huerfano County (http://www.huerfanofrack.org/), a CO non-profit, was one of the first grassroots groups to organize in response to the new oil and gas boom in Colorado, when, in June 2011, citizens became aware of a potentially massive (150,000 acres leased), oil and gas drilling/fracking play that could destroy the health of their communities, ecosystems, and unique cultural and historic values. CHC’s work has included: a legal battle requiring the Colorado Oil and Gas Conservation Commission (COGCC) enforce its own rules and claiming the people’s right to hearings in oil and gas matters that impact them, pressing for strengthening local and state oil and gas regulations, ongoing research, outreach and education, responding to new drilling applications, and helping communities prepare for and defend against oil and gas drilling impacts through initiatives such as well-adjudication and county-wide baseline water testing.

The GrassRoots EnErgy activist Network (GREEN), a project of the Renewable
Communities Alliance (http://www.renewablecommunities.org/), provides strategic legal,policy and media support to a growing number of communities impacted by oil and gas drilling/fracking in Colorado. GREEN has worked with grassroots groups across the state including Erie Rising, Longmont ROAR, Commerce City/Adams County United
NOW, Elbert County Oil and Gas Interest Group (ECOGIG), WTFrack!?, Routt County
Frack, Colorado Springs/El Paso County, Denver and Boulder Community Rights
groups and others fighting to protect communities or even ban the dangerous practice of hydraulic fracturing in CO.

The Guacamole fund has worked with Bonnie and other members of the musicians’
community for over 35 years for peace with justice, the environment and a non nuclear future. More information is available at http://www.musiciansunited4safeenergy.org/,
http://www.nukefree.org/ and http://www.guacfund.org/

Saturday, June 30, 2012

Joint Public Hearing - On Shell Water Plans - August 7

This announcement just came from the Huerfano County P&Z:

A joint public hearing will be held by the Board of County Commissioners and the Planning Commission of Huerfano County, at 2:00 P.M. on Tuesday, August 7, 2012 at the Huerfano County Community Center, located at  928 Russell Ave, Walsenburg, Colorado.

The purpose of this meeting is to take public comment on the following HB-1041 applications submitted by Shell Exploration & Production Company:

  • No: 12-015, this application is for the construction of an earthen storage pond to be located on 15 acres of the Thorne Ranch in Section 3 & 4 of Township 27 South, Range 68 West of the 6th P.M.
  • No: 12-016 this application for the temporary change of decreed water usage from Agricultural to Industrial, and to dry up 15 acres of irrigated land located where the said earthen storage pond will be constructed.
The applications can be reviewed at the Huerfano County Land-use Office, 401 Main Street, Suite 103, Walsenburg, Colorado during normal office hours.

Inquires will be answered at the following telephone number (719) 738-1220 extension one.

Published: July 5, 2012

Sunday, June 10, 2012

CHC Questions District 2 Democratic Primary Candidates


Lonnie Brown and Ken Schneider are running in the primary on June 26 to be the Democratic candidate for District 2 County Commissioner. Recognizing the importance of the issue of oil and gas exploration in Huerfano County, Citizens for Huerfano County (CHC) developed the following questions for the candidates. Only four of the questions and answers were published in the newspaper. The numbers of those questions are shown in parentheses after the question below.

1) Do you feel that the current oil and gas regulations of Huerfano County would be improved with one or more of the enclosed Seven Safeguards? Yes/No: elaborate

Brown: Yes: Huerfano County should further review and consider the following:
Bonding: Bonding requirements at both the County and State levels should be reviewed and strongly considered for up-grading to more commensurate and realistic levels that reflect present day values and risk potential.
Water Quality: Huerfano County’s new oil/gas regulations that were recently adopted address “Water” in section 8.2.38 (e) under “Environmental quality standards”. Even though frack and drill chemicals are addressed to some degree, water quality is not specifically addressed. This section should be re-visited with the intent to strengthen it in terms of water quality. The handling and disposal of produced water should also be dealt with.
Air Quality: A plan should be initiated to develop an air quality testing program to be in place in the county before the production phase of oil/gas development if it progresses to that point. Other counties (like Garfield) have on-going air quality testing programs in place.
Pitless/Closed Loop: I would prefer that all drilling operations in Huerfano County be pitless. We should work toward that end. Under the existing regulations, there must be careful review of the environmental setting of each proposed drill location to “red-flag” potential hazards. COGCC can require closed loop systems on locations where the operation of a pit would create a potential for significant adverse impacts. However, they appear to fall back on the use or requirement of a “lined pit” as the acceptable answer. Until we can reach a total pitless program, we must be as strict as possible on the complete removal of all waste products, produced water, and pit liners.


Flaring: The county and CHC should combine with other counties to urge the State to adopt the EPA’s New Source Performance Standards for oil/gas operations (specifically NSPS Subpart 0000). Once this is in place, the State would have primary enforcement authority which would trigger stronger controls, including the use of combustion devices and phasing in of emission completions or “green completions


Schneider: Yes: All of them. Mitigation should be increased. The $25,000 agreed to is inadequate. Shell Oil would even improve public relations by posting a bond. Disclosure of proprietary chemicals is covered only in cases of medical emergencies. I support the General Land Use Regulations and Procedures of Huerfano County; it’s on the county web site. Under Regulations for Areas & Activities of State Interest, number 7 states: “Regulate projects that would otherwise cause excessive noise, water, and/or pollution, or which could otherwise degrade or threatens the existing environmental quality within Huerfano County.” Safety First!

2)  An oil and gas drilling boom would be good Huerfano County. Yes/no: elaborate.  (Published in the papers as #1).



Brown: Yes: A moderate “boom” could have positive financial impacts for Huerfano County. Oil/gas drilling and production would provide jobs, income to local businesses, and increased revenue toward taxing districts. Since we are still in the exploratory phase, it is too early to predict any degree of “boom” level. We must, however, carefully address the “Boom & Bust” potential. I like the idea and program that was recently presented by Dale Lyons --- to try to reduce the impacts of both boom and bust. I would encourage the formation of a Task Force to work on this to help make our county better prepared.


Schneider: Yes and no: There are no guarantees with oil and gas, there are risks. The reality is that International markets can change, planning for the economy, protection of the environment and economic diversity to name a few. In Colorado 75% of its citizens use natural gas. There are about 40,000 gas and oil wells in production. Severance tax is levied on any extraction of metals, coal and oil and gas. These create huge revenues. The economic impact of the oil and gas industry on Colorado and the U.S. economies supply about 63% of the nation’s energy and is estimated to be worth over one trillion dollars or 7-8 % of U.S. GDP. We are still living in the Carbon era, trying to transition to greener and a more renewable form of energy. We can reduce our carbon footprint and be responsible parents, educators and adults by supporting the transition to a cleaner form of energy. We are not there yet. My hope is that if there is a discovery that this exploration becomes a model of safety.

3)  The current Huerfano Board of County Commissioners intervened in the Citizens for Huerfano County lawsuit against Shell and the Colorado Oil and Gas Conservation Commission (COGCC) concurring with Shell's motion to dismiss CHC's claims, which ask for :

  • A) A public hearing in front of the COGCC,

  • B) A redo of a flawed permit to drill including failure to officially contact the Local Government Designee (LGD), John Galusha,

  • C) Compensation for legal expenses.

This case may continue into 2013. What legal position would you take as commissioner?



Brown: I have not been briefed on or been privy to the legal decisions and detailed reasons that led to the BOCC taking the action they did. If elected, my first action would be to be exposed to and updated on all those decisions and details. If the case is still pending in 2013, my legal position and subsequent action would depend on that information learned. Future potential for lawsuits of this nature would be greatly reduced or eliminated by proper and aggressive usage of the LGD position.


Schneider: I would ask that all of the above be heard and that we strengthen our local regulations so we can enforce and regulate the oil and gas industry in regards to safety.

 

4) Recently, Mike King, head of the Division of Natural Resources which oversees the COGCC, said that the LGD plays a critical role as an interface between the public, the county commissioners, and the COGCC. As commissioner, how would you instruct the LGD to perform that role? (Published in the papers as #2).



Brown:  As commissioner, I would strongly encourage the rest of the BOCC to fully utilize the LGD position as the direct link between the County and COGCC. The LGD should take aggressive action at the local level to keep the public informed about any new activity coming to the county to ensure transparency. The LGD should be the county respondent to COGCC to provide immediate local level knowledge or information in the event of any “red-flag” items or issues that may be crucial in the initial stages of a new permit application to COGCC. In addition, the LGD should supply to COGCC any and all critical and pertinent County conditions that would be attached on a new permit application to the county by an oil/gas developer. These county conditions can be attached to the state permit --- thus making them stronger. The LGD position would have to be assigned to someone with adequate time to address the needs and requirements of the job.


Schneider:  The LGD should be a proactive force and interact with the COGCC, oil and gas and citizens of the county. The LGD is the go-between.  I would ask the LGD to convene a meeting with the various parties in order to get feedback from all parties in order to know what is going on. As I have stated, the county website should be updated to provide citizens the right to interact and allow their local government to be transparent via a blog so as to get immediate responses to any issue. Additionally, the LGD should hold regular meetings regarding important oil and gas topics.

 

5) In Colorado there is legal tension between state and county regulations regarding oil and gas development. Some feel that the state should 'preempt' local government. Others feel that local government plays a necessary role in addressing particular regulations that are unique to each county. Please describe your position on this issue as a commissioner in Huerfano County. (Published in the papers as #3).

Brown: I am a firm believer in law and order. I don’t believe in opposing laws, regulations, rules or policies just because it doesn’t fit one’s personal agenda. However, our world is dynamic and ever-changing. If a law or regulation is found to be weak or can be proven to be in need of change, there are processes in place to do that. In county vs. state authority, those issues that are of statewide concern should be under State authority. If issues are truly unique and localized, they should be administered locally.
Schneider: Governor Hickenlooper’s Executive Order: B 2012-002 http://erieco.gov/DocumentCenter/Home/View/1081, provides in Section C4: changes to existing laws and regulations and C5: suggested new laws and regulations, might provide a possible venue to strengthen local control via legal means. Local control gives authority to localities to provide more accountability and meet their specific needs. It is a cornerstone for education in the state of Colorado.

6)  According to the US Geological Service, Huerfano County is a "blank spot on the map in terms of hydro-geology”. Poor hydro-geo understanding led to huge problems with coalbed methane extraction in the Huerfano. If elected, would you request a county wide hydro-geology study? Yes/no. (Published in the papers as #4).



Brown:  Yes: Huerfano County should have complete information in terms of hydrogeology.


Schneider:  Yes

Would you vote for a moratorium until that study was finished? Yes/no: elaborate



Brown: (no answer to yes/no): Before I would commit to a moratorium, I would want answers to these questions:
   1. Who or what entity would conduct the study?
   2. How long would the study take to complete?
   3. Who would pay for the study?
If the funds were from a source other than Huerfano County, and if the project were to be conducted by a reliable entity or agency, and the time frame could be guaranteed to be reasonable without violating rights of landowners/mineral owners or exposing Huerfano County to lawsuits, then a moratorium could be considered.


Schneider: Yes

 

7)  Besides possible contamination issues, are there other risks to energy extraction here in Huerfano County? Yes/no: elaborate



Brown: Yes: There are other potential risks, including, but not necessarily limited to the following. There is potential for split estate issues. County officials should follow closely the possibility of the potential for conflicts in cases where the mineral rights are severed from the surface ownership. Huerfano County should keep this potential problem at the forefront in discussions with Shell or any other oil/gas developer, and should actively encourage and assist with mitigation or other resolution.
Other potential risks would include law enforcement concerns with the influx of transient workers; traffic concerns with the increase in usage on the county road system, increased vehicle accident potential, and thus increased need for medical/emergency responders.
If, in the event, the exploratory phase indicates increased drilling and production may be eminent, Huerfano County should take aggressive action and develop plans to be better prepared to reduce those potential impacts or risks. The BOCC should take the lead to ensure protection and reduce risks to the county.


Schneider: Yes: “A significant body of literature shows that boomtowns can harbor disproportionate increases in social problems such as crime, mental health problems, community dissatisfaction, education shortfalls, and other indicators. Research shows that certain groups of people will have different social reactions to rapid growth, depending on their stature in the community and whether they were residents before the growth occurred.” Source: Energy Boomtowns & Natural Gas: NERCRD Rural Development Paper No. 43.

Update on Petition and Public Comment to COGCC on Shell Wells

There is still a way to comment to the COGCC on the Shell applications TODAY ONLY 6/10/12 (probably until midnight).  On 8 of the 12 total application forms, the public input shows as "waived" already, but there are still 4 that show as "active" until 6/10/12 - that is those that were incidentally "posted" later on 5/21 instead of 5/18, starting the 20-day public input clock later. Between the permits and the location assessments, there is still one open today on each well. See this blog post for how to comment. Kudos to those who have taken the time to figure it out, navigate the site and submit comments!

Did we get the additional 10-days requested in the petition? In short, no.  There was a very strong flood of response to the petition, much more than we expected. The comments were great.  If you want to read them, they are at the bottom of the "About this petition" tab on the petition.  There were over 600 signatures, roughly 75% in Colorado, and 50% of those were from Huerfano County. Thank you to all who signed and spread the word!    Nevertheless, the answer has still been "no", "no", "no", or silence, on our requests for 10 more days. We have not taken the petition down just yet, but it is looking like another public input period will come and go without any meaningful communication between the government representatives and the people -- it's not for our lack of trying!!!  

CHC Public Comments on the SWEPI APDs were submitted --- under the wire --- on 6/7 and got posted to their website by the COGCC:  

Hydrogeological Concerns in Huerfano Park:

Comments on the Shell Western Exploration and Production, Inc. (SWEPI) Fortune 4-9, Freeman 3-24, Seibert 3-8, and State 2-36 Applications for Permit to Drill, submitted by Ceal Smith on behalf of the Citizens for Huerfano County:

Substantive Review of SWEPI’s Huerfano County APDs: Fortune 4-9, State 2-36, Seibert 3-8, and Freeman 3-24:


What's next? 
  • We would like a response from the COGCC on the points we raised. 
  • People should also ask Shell:  Which of these 4 wells is the one SWEPI plans to drill this fall?  They have said they are only drilling one this year in the forum.  Is there a good reason not to inform us which one it is?  
  • We believe the county Conditional Use Permit applications from Shell have just arrived at the County Planners desk.  
  • Don't forget to vote!  The Democratic primary ballots for county commissioner are due in on June 26! See candidate Oil and Gas questionnaire on this blog, here.