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WS Item 3 SummaryPage 1 Ordinance 880-A: Summary of Changes - 7/27/11 Section Change Justification Staff recommended added term. Term was Sec. 9.5 -222. Definitions Blind /shear ram: an integral part of a blowout preventer, which serves as the closing added to language found on page 27, Blowout 1 page 2 element to an open hole. Its ends do not fit around the drill pipe but seal against each Prevention, added safety feature. Added to other and shut off the space below completely. definitions for clarity and ensure that this safety feature is included in operations. Christmas tree: the control valves, pressure gauges, and chokes assembled at the top 2 Sec. 9.5 -222. Definitions of a well to control the flow of oil and gas after the well has been drilled and completed. Added to definitions as this term is referenced in page 2 It is used when reservoir pressure is sufficient to cause reservoir fluids to flow to the the ordinance. surface. Sec. 9.5 -222. Definitions Frac, fracture or fracturing: The process of fracture stimulation of a rock formation, Staff recommended added language in order to 3 page 3 including but not limited to the process of pumping sand laden fluids down a well, or any maintain sustainability in the future for possible other means used to stimulate a rock formation. advances in fracturing technology. Staff recommended added term. Term added to language found on page 29, Fresh Water Well Sec. 9.5 -222. Definitions Fresh Water Perennial Stream: A body of water flowing in a natural or man -made Testing. Stream testing was a condition placed 4 page 4 channel year - round, except during periods of drought. It can be identified by a "blue line" on the SUP for the Milner site due to the close on the United States Geological Survey. proximity of the pad to Dove Creek. Stream testing may be applicable in other locations. Added to definitions for clarity. Green Completion: Using technology to recover gas that may otherwise be vented or flared during the completion phase of a natural gas well; using equipment designed to Staff recommended added term. Term added to handle high pressure, high rate flowback fluids so as to safely handle and to sell the language found on page 16, (42) regarding Sec. 9.5 -222. Definitions natural gas produced during flowback period; using flowback equipment to separate Green Completion plan requirement. Definition 5 page 4 sand, water and gas during initial flowback; having a sales line in place prior to added for clarity. A Green completion plan is completion of the frac'king process; using the recommended technologies and practices recommended as a submission requirement (p. outlined in the U.S. Environmental Protection Agency Natural Gas STAR Program and 16). also including, but not limited to, vapor recovery systems, no -bleed pneumatic valves, flaring and venting bans, and electric compressors. Page 1 Page 2 Section Change Justification Staff recommended added term. The word Sec. 9.5 -222. Definitions Lightning arrester: A device incorporated into an electrical system to prevent damage "lightning" added to language found on page 34, 6 page 5 by heavy surges of high- voltage electricity, such as a stroke of lightning or voltage Tank Battery Equipment. Term added to surges resulting from mishaps in operations. definitions for clarity and to better define the equipment. 7 Sec. 9.5 -223. Variance procedure (a) The following procedures apply to a variance request made subsequent to the Staff recommended added language to clarify the page 8 issuance of a Specific Use Permit for gas and oil well drilling and production variance procedure. An operator or pipeline operator requesting a permit or other approval required by this article may apply for a variance from the requirements of this article by submitting to the Staff recommended added language to clarify the 8 Sec. 9.5 -223. Variance procedure director of planning and development services a written request for variance. The variance procedure in regards to the consent page 8 request must include the following, where applicable; provided, however, that the form signatures in that 100% does not guarantee provision of the information below does not automatically result in the approval of the variance approval. variance request: The variance request shall be deemed approved if, within 45 days after the Staff recommended revised language to be more 9 Sec. 9.5 -223. Variance procedure administrator issues a written determination that the variance request is administratively specific. This now references variance requests page 9 complete, the administrator does not lace the variance request on the agenda for city p p q g Y submitted post SUP. council consideration. Staff recommended revised language to clarify 10 Sec. 9.5 -223. Variance procedure (b) The following applies to a variance filed concurrently with an application for a the variance procedure. Variances submitted in page 9 Specific Use Permit for oil and gas well drilling and production: conjunction with the SUP must be considered in the processing of the application. A variance application that accompanies an application for a specific use permit shall be Sec. 9.5 -223. Variance procedure considered in conjunction with specific use permit application by the City Council Staff recommended revised language to be more 11 page 9 following a recommendation by the Planning and Zoning Commission. The Planning specific as well as add P &Z to the formal action and Zoning ommission and City Council may take a separate action on each variance g Y Y p process. p request or may consider all variances collectively. Page 2 Page 3 Section Change Justification Each variance request application submitted in conjunction with a Specific Use Permit 12 Sec. 9.5 -223. Variance procedure shall include all information required under section 9.5 -223(1 )(a -f) and the City Council Staff recommended added language to clarify the page 9 and Planning and Zoning Commission may consider the factors set forth in section 9.5- variance procedure. 223(2)(a -f) when evaluating a variance request. (a) Any aggrieved person who believes that an action taken pursuant to this Article by the City Council or any officer or employee of the City constitutes a taking under the Texas or United States Constitution or under other State law, may file an application with the City Council requesting a takings determination. (b) The applicant seeking a takings determination from the Council shall file its appeal with the office of the City Secretary. The City Secretary shall then forward the appeal to the City Council for consideration. An appeal fee in the amount set in the city's fee schedule shall accompany each filing. Sec. 9.5 -225. Takings Determination (c) The appeal shall state the reasons that the applicant believes would support a 13 pages 10 & 11 finding that the City's actions constitute a taking under the Texas or United States City attorney will discuss with Council. Constitution or pursuant to other State law and shall include evidence substantiating the purported diminution in value of the applicant's real property. (d) If the Council finds in favor of the applicant it may: (1) grant the relief requested, (2) direct the City Manager to rescind action taken by City staff that formed the basis of the takings determination appeal, or (3) direct the City Manager to reconsider action taken by City staff that formed the basis of the takings determination appeal. If the Council denies the appeal, or after a favorable determination the City Council fails to take action as specified above, the applicant may appeal the decision or inaction of the City Council to the county or district court of the county in which the affected real property is located within 30 days of the date that the Council issues its final decision. Page 3 Page 4 Section Change Justification In addition to obtaining a well permit and before establishing a drill site and access road, Staff recommended added Ian ua a for tree g g Sec. 9.5 -232. Well permit required the operator must obtain all other necessary permits, including a tree protection and protection permit. While this type of permit is 14 page 12 earth disturbance permit from the building inspections department. Theoperator shall p g p p p already required, the language communicates also be required to demonstrate compliance with the city's tree preservation ordinance, this to the o erator. p Ordinance No. 585 -C, (Code §§ 9.5- 371 - -9.5 -385) as amended. 15 Sec. 9.5 -233. Seismic survey Y o seismic activity shall be permitted on city- owned fee property without the express Y p Y p p Y p Attorney recommended added language to be more specific regarding the seismic survey permit permit required page 13 consent of, and pursuant to the conditions established by, the City Council. requirements. Sec. 9.5 -233. Seismic survey Y o seismic activity shall be permitted within City owned rights of way or utility Staff recommended added language to be more 16 permit required page 13 easements without first entering into a license agreement with the City, prepared by the specific regarding the seismic survey permit City ublic Works Department. Y p requirements regarding license agreements. q g g g Sec. 9.5 -234. Application and review of pp Owner and address of each parcel of property parcel (s) on p p p Y within 1 000 feet of the p () Staff recommended revised language to be more 17 well permit page 14 which the proposed drill site is located; and spec ific regarding the property information re g g p ro p Y requirements on the site plan. A site plan of the proposed drill site and operation site depicting the color, height, size, Sec. 9.5 -234. Application and review of bulk and location of all structures and equipment specific to the proposed site, including Condition of the SUP approval. Included to 18 well permit page 14 but not limited to all security cameras, lighting, utilities and the floodplain, and the ensure that the operator identifies equipment as location and description of all improvements, structures utilities and flood lain areas p p p p art of the submittal. within 1,000 feet of the proposed drill site; and All current material safety data sheets (MSDSs) detailing the hazardous materials that Condition of the SUP approval. Included to pp 19 Sec. 9.5 -234. Application and review of will be located, stored, transported and /or used at the drill site shall be provided to the ensure that the operator identifies all compounds well permit e 15 a p p g inspector and fire marshal which must include all types, volumes and concentration of p Yp used in the frac'ing process. all additives for the proposed drilling and frac program; and Page 4 Page 5 Section Change Justification A screening, fencing and landscape plan detailing compliance with all landscape and screening requirements required by city ordinance, or, if a specific use permit has already been approved for the pad site, a copy of the screening, fencing and landscape plan previously approved; and Condition of the SUP approval; staff Sec. 9.5 -234. Application and review of recommended revised language for improved 20 well permit page 15 A landscape irrigation plan as designed by a State of Texas licensed landscape readability and incorporating additional architect detailing he appropriate t e of irri irrigation for the site; measures to be taken to g type g � e submission information in regards to landscape g p adequately irrigate all landscaping, including indicating the water source for irrigation irrigation and maintenance. and the proposed efforts to replace dead or dying screening vegetation, or, if a specific use permit has already been approved for the pad site, a copy of the landscape irrigation plan previously approved; and A dust mitigation plan detailing measures to be implemented to mitigate and suppress Condition of the SUP a royal. Included to pp 21 Sec. 9.5 -234. Application and review of dust generated at the drill site and the private vehicle access route, including a mud ensure that a mud shaker will be shown on the well permit page 16 p p g shaker for vehicles exiting the site or, if a specific use permit has already een g p p Y site plan at time of submittal. approved for the pad site, a copy of the dust mitigation plan previously approved; and A detailed evacuation p Ian addressin g strategy the evacuation strate fora public ublic or private During the SUP application on the Milner tract 22 Sec. 9.5 -234. Application and review of school, hospital or daycare facility if any such facility will be located within 1,250 feet of there was a condition placed on the application that the operator work with a nearby future well p ermit page 16 the proposed permit approved drill site or, if a specific use has already been a roved for the ad hospital approximately a quarter mile away on an site, a copy of the evacuation plan previously approved; and evacuation p Ian. Page 5 Page 6 Section Change Justification A leak detection and compliance plan to ensure that all site activities and equipment are in compliance with applicable rules and regulations. This plan should outline methodology to assess and evaluate the impact of drilling, fracturing, production, and other activities at the pad site on the immediate surroundings. Specific elements shall Staff recommendation to address general air include, but are not limited to: A quarterly leak detection monitoring program, methods quality concerns discussed during the recent 23 Sec. 9.5 -234. Application and review of and equipment for emission measurements, and a response plan to address SUP applications. Leak detection programs are well permit page 16 emergency issues, if they arise; and any other information required by the Specific Use now requirements in other cities. Addition of leak Permit or the administrator. Monitoring shall include evaluation of potential impact to air, detection and compliance plan recommended to soil, surface water, and groundwater. Quarterly reporting of the monitoring results to the be at time of application submittal. Planning and Development Services department is required with all laboratory data sheets, field logs, data summaries, and actions taken in response to problems identified during the prior quarter. 24 Sec. 9.5 -234. Application and review of A Green Completion plan that addresses equipment, techniques, practices and Staff recommendation to add as a submission well permit page 16 programs that will be implemented to reduce emissions requirement. Sec. 9.5 -234. Application and review of A gas dispersion model and a risk assessment study that includes a blowout SUP condition. This study was required as part of 25 well permit pages 16 & 17 iliated third with contingency assessment and a blast stud conducted b un affiliated art g Y Y y an una party the Wright SUP conditions. a licensed engineer on staff. Staff recommended added language to include a Sec. 9.5 -234. Application and review of requirement for a cement casing program. 26 well permit page 17 A cement casing program Based on SUP motion requiring full compliance with State and local municipality requirements for p Y re q ground water protection. Page 6 Page 7 Section Change Justification If the application for a well permit is approved, prior to a permit being issued, the operator shall deposit with the city the sum of $50,000.00 for each pad site containing a well permit application approved. The funds shall be maintained by the city in an interest bearing account from which the city may reimburse itself for the actual administrative expenses, consulting fees, contracting fees or the funding of inspector position(s). All interest earned shall be credited to the fund balance or refunded to the operator if and when the minimum balance is achieved. The city shall invoice and notify the operator, in Staff recommended revised language to raise the Sec. 9.5 -234. Application and review of writing of any deduction from the application fund and within 15 days of receipt thereof, amount of the revolving account in order to be 27 well permit page 17 the operator shall a to the city for deposit into the fund the amount necessary o return p p Y Y p Y commensurate to realistic costs associated with the balance to $50,000.00. The operator may appeal any charge assessed against the applicable fees. a pp fund by filing an appeal as provided in this article. If the operator fails to maintain the fund as required by this section, such failure shall constitute a violation of this article, and the administrator may suspend or revoke the well permit and the city may pursue all remedies provided in this article for such violation. Upon completion of all drilling activities, final inspection and approval by the city of a restored site, and fulfillment by the operator of all of operator's obligations under this article, the city shall return any remaining account balance to the operator or the operator's approved assign. Bodily injury and property damage coverage shall be a minimum combined single limit of $20,000,000.00 per occurrence with an annual general aggregate coverage of 28 Sec. 9.5 -237. Insurance and $50 This coverage must include premises, operations, blowout or Condition of the SUP approval. indemnification page 21 p g explosion, products, completed operations, blanket contractual liability, round p � p � p p � Y� g property damage, underground reservoir (or resources) damage, broad form property damage, independent contractor's protective liability and personal injury. Page 7 Page 8 Section Change Justification Environmental impairment (or seepage and pollution) coverage shall be either included in the comprehensive general liability coverage or as separate coverage. Such coverage shall not exclude damage to the lease site. If environmental impairment (or seepage and pollution) coverage as written on a "claims made" basis, the policy must Sec. 9.5 -237. Insurance and provide that any retroactive date applicable precedes the effective date of the issuance 29 indemnification page 21 of the permit. Coverage shall apply to sudden and accidental pollution conditions Condition of the SUP approval. resulting rom the escape or release of smoke vapors, fumes acids alkalis toxic g p p , chemicals, liquids, oil and gas, waste material, or other irritants, contaminants or pollutants. Such policy shall provide for a minimum combined single limit coverage of $20,000,000.00 per occurrence. A discovery period for such peril shall not be less than ten years after the occurrence. Sec. 9.5 -237. Insurance and Automobile liability insurance: Minimum combined single limit of $20,000,000.00 per 30 indemnification page 21 occurrence for bodily injury and property damage. Such coverage shall include owned, Condition of the SUP approval non -owned and hired vehicles Sec. 9.5 -239. Periodic reports A quarterly extended gas analysis report must be provided to the City once production 31 page 23 begins. The report must be in a format specified by the City's gas consultant or Condition of the SUP approval petroleum engineer The operator shall construct all facilities located off the pad site and used for parking, loading, unloading, driveways, and other vehicular access areas of concrete, unless an Sec. 9.5 -242. On -site operation alternative material is approved by the city council as a condition of a specific use Staff recommended added Ian for clarity in language y ua a 32 requirements page 25 permit or an approved variance. The operator shall maintain the surface for such defining location facilities and drive approach in good condition and repair and meet the minimum pp g p requirements set forth in the fire code approved by the city council, as amended. The pad site is not required to be constructed of concrete or asphalt Page 8 Page 9 Section Change Justification A masonry perimeter wall of a minimum of eight feet in height shall be required to enclose and visually screen the well and all associated equipment during post - drilling operations. Such wall must be completed within 60 days of completion of drilling or as Staff recommended added language in order to Sec. 9.5 -242. On -site operation required by the city council as a condition of the specific use permit. The masonry add some flexibility in the timing requirement; and 33 requirements pages 25 & 26 perimeter wall shall have an architectural metal ate that shall remain locked when the g to add other governing documents that may operator or operators employees are not within the enclosure. In addition to the apply. foregoing, the operator shall also be required to comply with the screening requirements set forth in the zoning ordinance, as well as the City's Policy on Natural Resource Extraction Activities, as it may be amended. The operator shall provide and maintain in good working order all fire suppression and Sec. 9.5 -242. On -site operation prevention equipment required by any applicable federal, state or local law, or the Staff recommended added language to add 34 requirements page 26 p response operator's p p Ian at the operator's cost. The operator shall keep p flexibility that would enable the Fire Marshal to adequate foam fire suppressant equipment and supplies at each drill site, in addition to increase requirements if necessary. any fire suppressant equipment and supplies deemed necessary by the fire marshal Air testing. Continuous air testing is required as soon as the first well is frac'ed and must be maintained until one year after third well is placed into production on the pad, where applicable. Testing must be consistent with City established methodology, as required by the applicable Specific Use Permit. If requested, the operator may witness 35 Sec. 9.5 -242. On -site operation testing conducted by the city consultant. The operator shall be responsible for the cost Condition of the SUP approval. re requirements pages 26 & 27 q p g of all monitoring equipment. The location of the continuous monitoring equipment will be g g determined by the city consultant with the operator's representative present during installation. A gas chromatograph system is required. The operator shall seek incorporation of all data generated into the Texas Commission on Environmental Quality air monitoring program. Annual meeting with city required. Each operator shall meet annually with 36 Sec. 9.5 -242. On -site operation representatives of the city to review emergency response and evacuation plans. These Staff recommendation that evacuation plans be requirements page 27 reviews shall be in accord with U.S. Department of Transportation and railroad review annually. commission requirements and the operator will Page 9 Page 10 Section Change Justification Blowout prevention. In all cases, the operator shall install and utilize blowout prevention equipment on all wells being drilled, worked -over or in which tubing is being changed. Protection shall be provided to prevent blowout during oil and /or gas operations as required by and in conformance with the requirements of the railroad commission and Staff recommended added language to include 37 Sec. 9.5 -242. On -site operation the recommendations of the American Petroleum Institute. The operator must equip all blind /shear ram installation for increased safety in requirements page 27 drilling wells with adequate blowout preventers, flow lines and valves commensurate emergency closing of the hole. with the working pressures involved as required by the railroad commission. A blind /shear ram shall be used as part of the blowout preventer stack. Well control surface equipment shall be inspected after rig up to ensure function and appropriate application for the well parameters Chemical and materials storage. The operator shall store all chemicals and /or hazardous materials in such a manner as to prevent, contain and facilitate rapid remediation and clean -up of any accidental spill, leak or discharge of a hazardous material. The operator shall maintain all material safety data sheets (MSDSs) for all Staff recommended added language per the hazardous materials on site and shall provide the city with updated copies on a quarterly advice of gas inspector who stated that new Sec. 9.5 -242. On -site operation basis to address additional products that may have been introduced or to remove products are introduced regularly and older 38 requirements pages 27 & 28 previously listed products that may have been discontinued. The operator shall comply products may get discontinued. With all applicable federal and state regulatory requirements for the proper labeling of containers. The operator shall take all appropriate pollution prevention actions including Condition of the SUP approval but not limited to raising chemical and materials and bulk storage (e.g., placing such materials on wooden pallets), installing and maintaining secondary containment systems, and providing adequate protection from storm water and weather elements. fhe site shall not be used for long -term storage of additives. Sec. 9.5 -242. On -site operation Drilling fluids. Low toxicity glycols, synthetic hydrocarbons, polymers and esters shall be 39 requirements page 28 substituted for conventional oil -based drilling fluids. Appropriate green fluids shall be Condition of the SUP approval used to the extent possible Page 10 Page 11 Section Change Justification Drip pans and other containment devices. The operator shall install drip pans and other containment devices underneath all tanks, containers, pumps, lubricating oil systems, Sec. 9.5 -242. On -site operation engines, fuel and chemical storage tanks, system valves, connections and any other 40 requirements page 28 areas or structures that could potentially leak, discharge or spill hazardous liquids, semi- Condition of the SUP approval liquids or solid waste materials including hazardous waste. A secondary containment q � g Y system shall be installed around all separators, tank batteries, and other fluid containing equipment on the drill site. Dust, vibrations, odors. The operator shall conduct all drilling and production operations in such a manner as to minimize, so far as practicable, dust, vibration or noxious odors, and in accordance with the best accepted practices incident to drilling for the production of oil, gas and other hydrocarbon substances. The operator shall construct and operate all equipment so that vibrations, dust, odor or other harmful or annoying substances or effect created by the operations carried on at any drill site or from anything incident thereto will be minimized, to minimize the possibility of injury or annoyance of persons Sec. 9.5 -242. On -site operation living in the vicinity. The operator shall maintain all aspects of the site and structures 41 requirements page 28 thereon in good operating condition and good appearance. Proven technological Condition of the SUP approval. improvements in industry standards of drilling and production in this area shall be p Y g p adopted as they become available if capable of reducing factors of dust, vibration and odor. Brine water, sulphur water, or water in mixture with any type of hydrocarbon may not be used for dust suppression. A mud shaker for truck traffic shall be installed with the construction of any access road. Dust suppression must be applied prior to drilling and every three months or sooner, where necessary to mitigate dust dispersion. Periodic watering must occur during dry periods or when necessary to mitigate dust dispersion. Page 11 Page 12 Section Change Justification Emergency response plan. Prior to the commencement of oil and /or gas drilling, or any other hydrocarbons production activities, the operator shall submit to the inspector and fire marshal an emergency response plan to the city, and no drilling or other production activity shall commence until such plan has been approved by the city. The emergency response plan shall be kept current with any additions, modifications, and /or 42 Sec. 9.5 -242. On -site operation amendments concerning all construction related activities, oil and /or natural gas Staff recommendation to ensure element is requirements page 29 operations and production. Updated plans shall be submitted to the inspector and fire addressed in the emergency response plan. marshal within two business days after any additions, modifications and /or amendments to said plan(s). A copy of the emergency response plan shall be kept on site. The emergency response plan shall at a minimum provide for prompt and effective response to emergencies and shall include a site - specific evacuation plan and blowout contingency plan Fire prevention; sources of ignition. The operator shall provide and maintain on the drill site at all times during drilling and production operations all firefighting apparatus and supplies which are required by the fire chief, or the fire chief's designee, or which are Sec. 9.5 -242. On -site operation required by any applicable federal, state or local law, at the operator's cost. The ua Staff recommended added language. 300 feet is g g 43 requirements page 29 operator shall be responsible for the maintenance and upkeep of such equipment. Each twice the distance allowed by TRRC. well shall beequipped with an automated valve that closes the well in the event of an abnormal change in operating pressure. All well heads shall contain an emergency shut off valve to the well distribution line. All potential permanent off -site sources of ignition shall be setback a minimum distance of 300 feet from the pad site. Fresh water wells and /or Fresh Water Perennial Streams. The operator shall, within 120 days of its completion date, equip each gas well with a cathodic protection system to protect the production casing from external corrosion, unless the inspector approves Sec. 9.5 -242. On -site operation p an alternative method of protecting the production casing from external corrosion. The 44 requirements page 29 operator of a well shall provide the inspector with a "pre- drilling" and "post- drilling" water Condition of the SUP approval. analysis and flow rate from an existi fresh water well within 2 000 feet of the well; y y g , and any existing fresh water perennial stream within 300 feet of the well. Such water tests shall conform to the methodology prescribed by the applicable Specific Use Permit and the following testing requirements: Page 12 Page 13 Section Change Justification Water samples must be collected by a third party consultant and analyzed utilizing 45 Sec. 9.5 -242. On -site operation proper sampling and laboratory protocol from a U.S. Environmental Protection Agency Condition of the SUP approval. pp requirements page 29 or Texas Commission on Environmental Quality approved laboratory, with a copy of the third party analysis provided to the city; Well and /or stream samples shall be analyzed prior to any drilling activity to document Sec. 9.5 -242. On -site o p eration baseline water quality data of the well. A post - drilling sample shall be analyzed once 46 requirements page 29 frac`ng begins and quarterly thereafter until one year after the third well on the pad site Condition of the SUP approval is laced into roduction where applicable; or as required b the applicable Specific p p � pp � q Y pp p Use Permit; and Sec. 9.5 -242. On -site operation Parameters to be tested for, include, but are not limited to, TDS, Chlorides, VOC's and 47 requirements a 29 p g e TPH dissolved ethane), fractioned SVOC's and other target g ases (methane, � g Condition of the SUP approval. pp compounds based on drilling and fracturing additives disclosed by the operator. Gas emission or burning restrictions. No person shall allow, cause or permit gases to Sec. 9.5 -242. On -site operation be vented into the atmosphere or to be burned by open flame. No open flaring is 48 requirements page 30 permitted. A vapor recovery system is required. The frac'ing process shall not be Condition of the SUP approval. completed until a sales line is in lace to service the well. Green completion methods p p p as defined by this Article, are required. Firefighter /Emergency Responder training. Each operator shall be required to provide training and instruction to the fire department and other emergency responder Sec. 9.5 -242. On -site operation personnel regarding well safety and emergency management protocol, and all Staff recommended added language to extend 49 requirements page 30 information specific to the well operation which is requested by the fire chief or the fire required training to additional emergency chief's designee, or which is relevant to emergency management activities at the site. g � g Y g personnel. p Such fire department training must occur prior to the operator conducting drilling operations under the operator's first well permit Page 13 Page 14 Section Change Justification Muffling exhaust. Exhaust from any internal combustion engine, stationary or mounted on wheels, used in connection with the drilling of any well or for use on any production Staff recommended language added from 50 Sec. 9.5 -242. On -site operation equipment shall not be discharged into the open air unless it is equipped with an neighboring city's ordinance (experienced with requirements page 30 exhaust muffler or mufflers, or an exhaust muffler box constructed of noncombustible active pad sites and the nuisances caused by materials sufficient to suppress noise and prevent the escape of obnoxious gases, noise and /or obnoxious air emissions). fumes, or ignited carbon or soot. The operator shall immediately install and continuously display a sign at the gate on the temporary and permanent site fencing erected pursuant to the requirements of this Staff recommended language added from 51 Sec. 9.5 -242. On -site operation section. Such sign shall be constructed of a durable material, maintained in good neighboring city's ordinance that is more specific requirements page 31 condition and, unless otherwise required by the railroad commission, shall have a and would require a more weather -proof durable surface area of not less than two (2) square feet, or more than four (4) square feet and material. shall contain the following: A sign shall be placed at the exit to the site that reads "ALL TRUCK TRAFFIC IS REQUIRED TO FOLLOW THE APPROVED TRANSPORTATION ROUTE. VIOLATORS SUBJECT TO $2,000 FINE. TODOS LOS CAM ION ES ESTAN Sec. 9.5 -242. On -site operation OBLIGADOS A SEGUIR LAS RUTAS DE TRANSPORTE APROBADAS. LOS Staff recommended language added from 52 requirements pages 31 & 32 INFRACTORES ESTAN SUJETOS A MULTAS DE $2,000." The sign lettering, size, neighboring city's ordinance (experienced with and background shall meet city specifications. A directional arrow shall be laced g Y p p active ad sites and truck route violators . p ) immediately below the above sign and shall indicate the proper direction of travel for exiting truck traffic. The sign shall be placed in a location that is visible to exiting truck traffic and shall not be placed within the city right of way. 53 Sec. 9.5 -242. On -site operation No other signs shall be permitted at the site other than those required by this Article or Staff recommended language added from neighboring city's ordinance (experienced with requirements page 32 other law. active pad sites) to prohibit advertising. All tanks shall be set back pursuant to the standards of the railroad commission and the national fire protection association, but in all cases, shall be at least feet from any Sec. 9.5 -242. On -site operation public right of way and adjacent property line. Each storage tank shall be equipped with Staff recommended revised language to increase 54 requirements page 32 a level control device that will automatically activate a valve to close the well in the Y distance requirements as a safety precaution. event of excess liquid accumulation in the tank. The city council may require installation of barriers and /or other protections for any tank located within 150 feet of a public right of way or other public property. Page 14 Page 15 Section Change Justification Sec. 9.5 -242. On -site operation Tanks must be setback at least 300 feet from any other fuel source not related to Language added from neighboring city's 55 requirements page 32 operator s operations. ordinance (experienced with active pad sites) as an added safety precaution Surface casing. The operator shall set surface casing in full compliance with the applicable rules and regulations of the appropriate state and local authorities for groundwater protection. The operator shall permit the inspector or city consultant to access the site during casing installation, provided that the individual has the Sec. 9.5 -242. On -site operation appropriate personal protective equipment. The inspector or city consultant must be 56 requirements pages 32 & 33 provided with access to all relevant reports associated with the setting of the casing. Condition of the SUP approval. Theo operator shall provide the city with 72 -hours notice prior to setting the well casing. p p Y p g . g The casing string must be pressure tested prior to drilling the next section of the hole. If the casing fails a pressure test, isolation tools must be placed in the hole to locate the leak and the corrective measures must be implemented to repair the failure and ensure the pressure integrity of the casing string before conducting subsequent operations. 57 Sec. 9.5 -242. On -site operation Thermal Oxidizer. A thermal oxidizer shall be required if deemed necessary by the Condition of the SUP approval. pp requirements page 33 city's inspector or consultant. Valves. The operator shall equip each well with a shutoff valve to terminate the well's 58 Sec. 9.5 -242. On -site operation production. The fire department shall have access to the drill site to enable it to close Condition of the SUP approval. pp requirements page 33 the shut -off valve in an emergency. The operator shall paint these valves red and post signs to show they are shut off valves. No —bleed pneumatic valves shall be used. Bond for surface restoration. The operator shall restore surface locations of all dry wells and /or abandoned operations as nearly as possible to its original condition. The Sec. 9.5 -242. On -site operation operator shall submit a performance bond in a form acceptable to the city to cover the 59 requirements page 34 costs of any clean -up necessary. The amount of the performance bond shall be Condition of the SUP approval. 60 000.00 provided, however, the amount may be hi � ,p Y her if the administrator g determines that the estimated cost of the restoration project, including labor and materials, will likely exceed this amount. Page 15 Page 16 Section Change Justification Security camera(s). The operator shall at all times after the permanent masonry perimeter fence is in place, have installed a minimum of one 24 -hour operating security Sec. 9.5 -242. On -site operation camera inside the perimeter fence, and post on the fencing of the site signs indicating Staff recommended revised language for 60 requirements page 35 that any activity on the site may be recorded by video surveillance. The location of the clarification. security camera and picture resolution of the recordings shall be subject to the approval of the police chief. Camera systems shall be maintained in proper operating condition and must perform all of the following functions. Tank battery equipment. The operator shall equip any tank battery facilities with a Sec. 9.5 -242. On -site operation remote foam line and lightning arrestor system, and shall erect a sign clearly indicating Staff recommended revised language adding the 61 requirements page 35 the location of the foam line and lightning arrestor system. All connections for the Word lightning for clarity. remote foam line and lightning arrestor system shall meet industry specifications and be approved by the fire marshal's office. An operator shall not drill or re -drill a well or operate any equipment in such a manner so as to create pure tones where one -third octave band sound - pressure level in the land Language added from neighboring city's 62 Sec. 9.5 -243. Operations and equipment with the tone exceeds the arithmetic average of the sound - pressure levels of two five for frequencies ordinance (experienced with active pad sites and practices and standards page 36 contiguous one -third octave bands by (5) dB center of 500 hertz and the nuisance caused by vibrations) above, and by eight (8) dB for center frequencies between 160 and 400 hertz, and by fifteen (15) dB for center frequencies less than or equal to 125 hertz An operator shall not drill or re -drill a well or operate any equipment in such a manner so as to create low- frequency outdoor noise levels that exceed the following decibel Sec. 9.5 -243. Operations and equipment levels: Language added from neighboring city's 63 practices and standards page 36 16 hertz octave band: 65 dB ordinance (experienced with active pad sites and 32 hertz octave band: 65 dB the nuisance caused by vibrations) 64 hertz octave band: 65 dB Sec. 9.5 -243. Operations and equipment f the proposed gas well is within 1,000 feet of any habitable structure, the operator mus language added from neighboring city's 64 practices and standards page 37 comply with these additional noise abatement measures: ordinance (experienced with active pad sites and the nuisance caused by noise) Page 16 Page 17 Section Change Justification Exterior noise levels, including pure tone and low frequency data, shall be continuously monitored to ensure compliance. This data shall also include an audio recording to help identify the source of sound level "spikes" throughout the logging period. The continuous noise monitoring equipment shall be capable of wireless transmission of real time noise and audio data. Access to this real -time data shall be made available to the Language added from neighboring city's g g y 65 Sec. 9.5 -243. Operations and equipment inspector. The cost of all such monitoring shall be borne by the operator. The noise ordinance (experienced with active pad sites and practices and standards page 37 p g readings shall also be submitted to the inspector on a week) basis in an electronic g p y the nuisance caused by noise) format or other format specified by the inspector. The weekly report shall state whether the pad site is in compliance with the noise requirements. If the report states that the pad site is not in compliance with the noise standards, then the report shall state the measures that are being taken to return the pad site to compliance and the timeframes for implementing these remedial measures. At a minimum, the operator shall install noise reduction blankets on the pad site boundaries facing any habitable structures within 1,000 feet. The height of boundary blankets shall at a minimum be 30 feet. The height may be increased at the discretion anguage added from neighboring , city's 66 Sec. 9.5 -243. Operations and equipment p of the inspector in response to topographic necessity. In addition to the boundary p p y y ordinance (experienced with active pad sites and practices and standards pages 37 & 38 barriers, the operator must, at a minimum, install additional noise reduction blankets to the nuisance caused b noise y mitigate noise generated from the rig substructure the rig floor area brake drum g g g � g housings, mud pumps, diesel motors, and generators. The blankets shall be constructed of a fire - retardant material approved by the fire department. Acoustical blankets, sound walls, mufflers or other alternative methods as approved by the inspector may be used to ensure compliance with this article. All soundproofing shall Language added from neighboring city's g g y 67 Sec. 9.5 -243. Operations and equipment comply with accepted industry standards and subject to approval by the fire marshal. ordinance (experienced with active pad sites and practices and standards page 38 p g Noise mitigation measures will be evaluated on a case b case basis. The inspector g y p the nuisance caused by noise) may require the operator to use noise reduction blankets that meet a standard of STC 30 or greater, if necessary. Page 17 Page 18 Section Change Justification The casing string will be pressure tested prior to drilling the next section of the hole. If 68 Sec. 9 -245. Well operations and the casing fails a pressure test then isolation tools will be placed in the hole to locate the Condition of the SUP approval pp inspections page 40 leak and the corrective measures will be taken to repair the failure and ensure pressure integrity of the casing string before conducting subsequent operations. The operator shall submit an educational letter to the administrator for approval detailing drilling operations within 15 days of approval of the well permit. The letter shall detail typical operations associated with oil and gas drilling activity with an intended audience Staff recommended revised language to allow the 69 Sec. 9.5 -252. Public information of the general public. The topics to be detailed shall include, but are not limited to, site use of social media provided by the City, i.e., web page 45 preparation, site development and construction drilling, fracturing, pipeline p p p g ' g ' g p p site, twitter, facebook and CTY construction, production, transportation, and general weekly, monthly and yearly maintenance of the operation site. The letter will be published on the City's web site and further dissimulated using social media for the benefit of the public. 7o Sec. 9.5 -271. Pipeline markers The material, design, color, size and content of each line marker shall comply with These markers are state and federally regulated. e 55 page railroad commission and U.S. Department of Transportation regulations p p g Within 30 days after the date of filing of said application and plans, the administrator shall send notice to the pipeline operator as to whether the application will be accepted Sec. 9.5 -287. Unregulated pipeline permit for formal submittal processing and the total charge due. A formal submittal application Staff recommended revised language due to 71 application requirements for an unregulated pipeline permit shall be accompanied by two full -size paper sets, one experience with previous applications. Language pages 63 & 64 11 x17 paper set and one pdf electronic set showing all of the items described in better defines submittal requirements. subsection (b)(2) above. Any application that is returned as incomplete, the administrator shall provide notice to the pipeline operator of the deficiencies. Page 18