File #: Ord 2235    Version: 1 Name:
Type: Ordinance Status: Tabled
File created: 8/25/2019 In control: City Council
On agenda: 11/4/2019 Final action:
Title: AN ORDINANCE RELATING TO THE REGULATION AND ENFORCEMENT OF OIL AND GAS DEVELOPMENT BY AMENDING THE COMMERCE CITY REVISED MUNICIPAL CODE, INCLUDING SECTION 3-2304 AND ARTICLES III, V, VI, AND XI OF THE COMMERCE CITY LAND DEVELOPMENT CODE, AND APPROVING AND IMPLEMENTING A BEST MANAGEMENT PRACTICES DOCUMENT, AND ESTABLISHING RELATED PENALTIES AND PROCEDURES
Attachments: 1. Ordinance, 2. Code Revisions (Clean), 3. Council Communication, 4. Staff Report, 5. Focus Group Summary, 6. Oil and Gas Regional Operator Agreement with Extraction Oil & Gas, Inc., 7. Public Outreach Concepts, 8. Colorado Senate Bill 181, 9. COGCC Objective Criteria Guidance, 10. COGCC Objective Criteria, 11. Resources - Publications Reviewed, 12. Presentation
Title
AN ORDINANCE RELATING TO THE REGULATION AND ENFORCEMENT OF OIL AND GAS DEVELOPMENT BY AMENDING THE COMMERCE CITY REVISED MUNICIPAL CODE, INCLUDING SECTION 3-2304 AND ARTICLES III, V, VI, AND XI OF THE COMMERCE CITY LAND DEVELOPMENT CODE, AND APPROVING AND IMPLEMENTING A BEST MANAGEMENT PRACTICES DOCUMENT, AND ESTABLISHING RELATED PENALTIES AND PROCEDURES

Body
Summary and Background Information:
In 2012, Commerce City adopted its current set of Oil and Gas regulations, which require any potential operators to obtain an Oil and Gas Permit, and execute an Extraction Agreement. Since of the adoption of these rules, the landscape of oil and gas regulation at the state level has increased significantly. Since 2012, the Colorado Oil and Gas Conservation Commission (COGCC) has conducted a number of rulemaking procedures, which have modified requirements such as school setbacks, flowline regulations, spill reporting, and many other items. Most significantly, on April 16th, 2019, Governor Polis signed Senate Bill 19-181 into law, which expressly gave local governments more authority to regulate the surface impacts of resource extraction. The bill expressly modifies state pre-emption by authorizing local government regulation that is more stringent than state standards.

Study sessions were held with City Council on September 9, and October 14th, to discuss the overall framework and concepts for the regulation changes, and to receive policy direction. The stated objectives of the code update were presented as follows:
· Utilize SB-181 authority to regulate location and siting of facilities
· Incorporate other powers granted to local governments through SB-181
· Define approval criteria for alternative location analysis
· Evaluate current process and approval process
· Incorporate feedback received during the Oil and Gas Focus Group
· Evaluate additional feedback provided from the public, industry, and regulatory agencies
· Evaluate financial assurances and ...

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