BEFORE THE
In
the Matter of Changes to the ) Cause No. _________
Rules
and Regulations Relating )
to Local Government Review of ) Docket
No. _________
Applications
for Permit to Drill and )
Related Hearing Procedures )
JOINT APPLICATION OF THE
________________________________________________________________
The
Colorado Oil & Gas Association (COGA) and Colorado Counties, Inc. (CCI)
jointly request the Commission to adopt changes to its rules and regulations
relating to local government review of Applications for Permit to Drill (APD’s)
and establishing a clear procedure for local governments to obtain “public
issues” hearings thereon.
Statement of Basis &
Purpose
The
Commission is charged with providing advance notice of drilling to local
governments that register for receipt thereof, CRS 34-60-106(14), and to
promulgate rules to protect the health, safety and welfare of the general
public in the conduct of oil and gas operations. CRS 34-60-106(11). Implicit in this notice requirement is
providing a meaningful opportunity for a local government to review a proposed
drilling project and comment thereon.
Currently, the Commission’s rules allow for a seven-day local review
period, with an automatic ten-day extension upon request. COGA and CCI agree that these review periods
should be extended to allow local governments to make referrals among their
relevant departments, to participate in the onsite consultation already
provided for in Commission rules, and to formulate comments, or to make the
decision to request a hearing.
COGA
and CCI further agree that, should significant issues related to public health,
safety and welfare, including the environment, remain unresolved after this
review period, local governments should have a guaranteed opportunity to obtain
a hearing on such “public issues” by filing an application, with the issuance
of the APD to be withheld pending the (expedited) hearing. This procedure, already prescribed by
Commission rule, is currently committed to the discretion of the Director. Such hearing would be conducted in the same
manner as the “public issues” hearing already provided for with respect to
certain applications to increase well density (Rule 508).
The
proposed rule changes and their specific purpose follow, with new language in
italics (ellipses indicate current rule language that precedes or follows the
changes):
Purpose
– extend local government (LGD) comment period on APD’s
303.d. Form 2/2A
application and copies to local governmental designees.
…
Any comments from the local government designee concerning the Permit-to-Drill,
Form 2, and Form 2A as filed shall be provided to the Director and to the
applicant in writing within seven (7) ten (10) days after the date on
which the Permit-to-Drill, Form 2 was sent to the local government designee(s)
by the Director. The Director shall take
no action with respect to the Permit-to-Drill, Form 2, prior to the expiration
of the seven (7) ten (10)seven (7) ten (10)seven (7) ten (10) day period, the local
government designee shall be granted an extension of up to twenty
(20) additional
days to consider the application. If,
prior to the expiration of the comment period provided herein and after
participation in an onsite consultation under Rule 306.a(3),
the local governmental designee files an application for hearing on the
Permit-to-Drill, Form 2, under Rule 503.b(6), alleging significant impacts on
public health, safety and welfare, including the environment, the Director
shall withhold the issuance of such permit and the provisions of Rule 303.k
shall apply.
Purpose
– withhold issuance of certain APD’s until hearing
303.k. Withholding
Permit-to-Drill, Form 2, approval. The Director may withhold the issuance of any
Permit-to-Drill, Form 2, for any proposed well when, based on information
supplied by a surface owner or local governmental designee, or by staff
analysis, and where appropriate as confirmed by an onsite inspection, the
Director has reasonable cause to believe that a proposed well location raises
significant concerns regarding potential significant adverse impacts to public
health, safety and welfare, including the environment. If such request is made by a local
governmental designee under Rules 303.d and 503.b(6),
such application shall be granted and the Director shall withhold issuance of
the Permit-to-Drill, Form 2, unless the local government has been disqualified
from making such request under Rule 501.b.
Any hearing granted pursuant to this rule shall be expedited and the
matter shall be heard at the next scheduled Commission hearing, and all parties
shall be deemed to have waived any notice requirements to the contrary. In the event ….
Purpose
– provide for applications for hearing by local governments on certain APD’s
503.b(6). For purposes of seeking a
hearing on a Permit-to-Drill, Form 2, under Rules 303.d and 303.k, the relevant
local government shall be the applicant, and the hearing shall be conducted in
similar fashion as is specified in Rule 508 with respect to a Public Issues
Hearing. It shall be the burden of the
local government applicant to bring forward evidence sufficient for the Commission
to make the preliminary findings specified in subsection j of Rule 508 at the
outset of such hearing.
Respectfully submitted this
13th day of December, 2002:
__________________________ ____________________________
J. Greg Schnacke, COGA Larry Kallenberger, CCI