Colorado Oil and Gas Task Force
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As part of the negotiations that removed some fracking-related ballot measures from the November 4, 2014, ballot, Governor John Hickenlooper created the Oil and Gas Task Force in September 2014. According to the Colorado state government website, the task force consisted of "representatives from local government, civic organizations, environmental interests, agriculture, and affected industries." The task force was co-chaired by La Plata County Commissioner Gwen Lachelt and Randy Cleveland, the president of XTO Energy, Inc.[1][2]
The stated purpose of the commission was to release a set of recommendations with the goal of minimizing the "land use conflicts that can occur when siting oil and gas facilities near homes, schools, businesses and recreational areas." The commission's first step towards these recommendations was a tour around the state, where residents were invited to speak.[1]
The task force issued nine recommendations that two-thirds of the 21-member task force supported (these proposals can be found below). There were 27 recommendations that were not able to garner a two-thirds vote. All 36 recommendations were passed on to Hickenlooper in two separate reports.[3]

Natural gas production in Colorado from 1952 to 2012
Recommendations
“ |
[1.] Facilitate collaboration of local governments, Colorado Oil and Gas Conservation Commission [COGCC] and operators relative to oil and gas locations and urban planning ... [2.] Include future oil and gas drilling and production facilities in existing local comprehensive planning processes ... [3.] Enhance the local government liaison and local government designee roles and functions ... [4.] Increase COGCC full time staff, including inspectors, field operations, enforcement, and permitting staff ... [5.] Related to CDPHE [Colorado Department of Public Health and Environment] staffing, a health complaint line, a human health risk assessment, and a mobile air quality monitoring unit ... [6.] Create an oil and gas information clearinghouse ... [7.] Reduce truck traffic on public streets, roads, and highways for oil and gas activities ... [8.] Implement a compliance assistance program ... [9.] Recommendation to general assembly regarding air quality rules. [4] |
” |
—Oil and Gas Task Force, Colorado Department of Natural Resources, "Colorado Oil and Gas Task Force Final Report," February 27, 2015 |
Three of these proposals "require legislative action" and were expected to go to the state legislature in March 2015.[1][3][5]
Membership
The table below lists the members of the Colorado Oil and Gas Task Force.
Members of the Colorado Oil and Gas Task Force | |||
---|---|---|---|
Member | Position | ||
Sara Barwinski | Member of community group, Weld Air and Water | ||
Bernie Buescher | Former Colorado Secretary of State | ||
Peter Dea | President & CEO, Cirque Resources LP | ||
Jim Fitzgerald | Rancher, educator, activist | ||
Russ George | Former Speaker of the House and former exec. director of Department of Natural Resources | ||
Jon Goldin-Dubois | President, Western Resources Advocates | ||
Brad Holly | Vice president of operations (Rocky Mountain Region), Anadarko | ||
Dan Kelly | Vice president of Wattenberg Business Unit, Noble Energy | ||
Rebecca Kourlis | Retired justice of the Colorado Supreme Court; executive director, Institute for the Advancement of the American Legal System | ||
Steve Moreno | Clerk and Recorder, Weld County | ||
Perry Pearce | Manager of state government affairs (Rocky Mountain Region), ConocoPhillips | ||
Kent Peppler | President, Rocky Mountain Farmers Union, farmer | ||
Pat Quinn | Former mayor, Broomfield | ||
Bruce Rau | Vice chairman/treasurer, Colorado Association of Home Builders | ||
Jeff Robbins | Attorney, Goldman Robbins & Nicholson | ||
Matt Sura | Attorney, Law Office of Matthew Sura | ||
Will Toor | Former Boulder mayor and Boulder County Commissioner | ||
Elbra Wedgeworth | Chief government & community relations officer, Denver Health | ||
Scot Woodall | President & CEO, Bill Barrett Corporation | ||
Source: State of Colorado |
Background
- See also: Fracking
Hydraulic fracturing, also known as fracking, is a method of oil and natural gas extraction. The process involves injecting fluid into subterranean rock formations at high pressure. The high-pressure fluid produces a fracture network that allows crude oil and natural gas inside dense rocks to flow into a wellbore and be extracted at the surface. The fluid (known as frac fluid) contains between 98 percent and 99.5 percent water and sand; between 0.5 percent and 2 percent of the fluid is composed of chemical additives, which are used to stop the growth of microorganisms, prevent well casing corrosion, increase the rate at which the fluid is injected, and reduce pressure, among other things.[6]
According to the U.S. Energy Information Administration (EIA), there were approximately 23,000 hydraulically fractured wells in the United States in 2000. In 2015, the United States contained approximately 300,000 hydraulically fractured wells, accounting for 67 percent of U.S. natural gas production and 51 percent of U.S. crude oil production.[7][8][9]
Local regulation of oil and gas activities
There are five types of local government structures in Colorado: statutory municipalities, home rule municipalities, statutory counties, home rule counties, and special districts. The powers granted to each of these government types affect how they can regulate fracking. As of September 2015, there were three municipalities that had five-year fracking suspensions in place: Broomfield, Boulder, and Fort Collins. All three cities passed their bans through ballot initiatives in November 2013. Lafayette and Longmont City both adopted indefinite bans on fracking in 2013 and 2012, respectively.[10]
2014
Voting on Fracking | ||
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Policy | ||
Fracking policy | ||
Ballot Measures | ||
By state | ||
By year | ||
Not on ballot
|
A statewide fracking ban initiative that would have given local governments the ability to ban fracking in their jurisdictions was being prepared for the November 2014 ballot by the Colorado Community Rights Network (CCRN). Supporters of the fracking ban were not able to collect enough signatures, however, and instead, the CCRN has said they will try to get the measure on the November 2016 ballot.[11]
The following measures were set to appear on the November 2014 ballot in Colorado. On August 4, 2014, however, negotiations between anti- and pro-fracking groups resulted in these measures being removed from the November ballot.[12]
Colorado Environmental Rights Amendment (2014)
Colorado Fiscal Impact of Ballot Measures Initiative (2014)
Colorado Local Regulation of Oil and Gas Amendment (2014)
Colorado Distribution of Oil and Gas Revenue Initiative (2014)
Colorado Distribution of Oil and Gas Revenue Initiative (2014)
Colorado Mandatory Setback of Oil and Gas Wells Amendment (2014)
Colorado Local Regulation of Oil and Gas Development Initiative (2014)
On June 24, 2014, City of Loveland voters defeated a ballot initiative that would have suspend fracking for two years.
2013
There were three towns that passed ballot initiatives imposing five-year fracking suspensions in 2013:
A Broomfield Five Year Fracking Suspension ballot question was on the November 5, 2013, election ballot for voters in the consolidated city and county of Broomfield, Colorado. It was approved, with a final vote re-count margin of only 20 votes. This measure put a clause in the charter of Broomfield establishing a five-year prohibition on hydraulic fracturing, or fracking, a method of extracting oil and gas. The City of Broomfield faced a court challenge from the Broomfield Balanced Energy Coalition that argued the city did not conduct the November 2013 election properly. The results were upheld by Judge Chris Melonakis of the Colorado 17th Judicial District Court. As of March 20, 2014, the case cost the city $23,400 in legal fees. The city also spent $37,182 on legal advice in 2013 when it was crafting new oil and gas regulations.[13][14][15][16][17]
A City of Boulder Five Year Fracking Suspension ballot question was on the November 5, 2013, election ballot for voters in the city of Boulder in Boulder County, Colorado. It was approved. This measure converted the then-current one-year moratorium on fracking to a five-year moratorium.[18]
A City of Fort Collins Five Year Fracking Suspension Initiative was on the November 5, 2013, election ballot for voters in the city of Fort Collins in Larimer County, Colorado. It was approved. The measure established an ordinance prohibiting for five years the use of hydraulic fracturing, the method of extracting oil and gas known as fracking, and prohibiting for the same time the storage of any waste products associated with fracking in the city limits. This measure was on the ballot through citizen initiative petition. The ordinance approved by Question 2A also called for studies and research on whether there are in fact harmful effects that might come from fracking.[13][19]
A City of Lafayette "Community Rights Act" Fracking Ban Amendment was on the November 5, 2013, election ballot for voters in the city of Lafayette in Boulder County, Colorado. It was approved, but it was struck down by a court ruling. Immediately after election results were finalized, the Colorado Oil and Gas Association (COGA), which was one of the main opponents to the fracking bans passed in four Colorado cities on November 5, 2013, sued the cities of Fort Collins and Lafayette. The lawsuit claimed that the fracking bans passed on the city ballots were illegal because case law and regulations dictate that only the state has right to regulate drilling. As of March 20, 2014, the city had spent $24,384 on legal services to defend the ban, which passed with a 60 percent majority. A lawsuit was also brought against the fracking ban in Broomfield, but this suit focused on allegedly improper vote-counting procedures used and did not ultimately overturn the fracking ban.[17][20][21]
Boulder County District Court Judge Dolores Mallard ruled on August 24, 2014, that Question 300 violated state law and was invalid. Mallard wrote, “Lafayette does not have the authority, in a matter of mixed state and local concern, to negate the authority of the state. It does not have the authority to prohibit what the state authorizes and permits.”[20]
2012
A Longmont City Fracking Ban was on the November 6, 2012, ballot in the city of Longmont, which is in Boulder and Weld Counties, Colorado. It was approved. COGA also challenged this ban in court. By April 2014, Longmont had spent $61,152 on the lawsuit. On July 24, 2014, however, Boulder District Court Judge Dolores Mallard overruled the measure. Despite this, Question 300 remains in effect, since the ruling was immediately put on hold due to an appeal by Question 300 supporters. As of March 20, 2014, the city had been defending previous oil and gas regulations in court against a suit brought by the COGCC, which had cost the city $163,660 in legal fees.[17][22][23]
Related lawsuits
On May 2, 2016, the Colorado Supreme Court ruled that state hydraulic fracturing laws preempted local laws. As a result, fracking bans in Longmont and Fort Collins were rendered "invalid and unenforceable." According to Mark Matthews, an attorney for the Colorado Oil and Gas Association, because this issue only involved state laws, the case could not be brought to the Supreme Court of the United States, despite earlier pledges by anti-fracking lawyers and activists to do so. Dan Haley, the president and CEO of the Colorado Oil and Gas Association, called the court's ruling "a win" for Colorado residents. Lauren Petrie, the Rocky Mountain region director with Food and Water Watch, which supported the fracking bans, said, "Today's decision deals a devastating blow not just to Longmont residents, but to all Coloradans."[24][25][26]
Three other cities in Colorado banned fracking through the initiative process—Boulder, Broomfield, and Lafayette. On May 19, 2016, Boulder County Commissioners lifted that county's fracking moratorium and imposed a new six-month moratorium to allow officials time to update the county's oil- and gas-related statutes. The five-year moratorium on fracking in Broomfield was suspended during the Longmont trial. The Lafayette fracking ban was invalidated by a judge over voting process issues; the city did not appeal the ruling.[24][27]
Background
In 2012, Longmont voters approved a citizen-initiated charter amendment to ban hydraulic fracturing. The measure was approved by approximately 60 percent of voters. Two lawsuits were filed against Longmont over this ban, one of which involved the Colorado Oil and Gas Association (COGA) and the state's Colorado Oil and Gas Conservation Commission as plaintiffs. According to a Colorado Open Records Act request, both lawsuits cost the city of Longmont almost $69,000 in legal fees as of March 31, 2013. On July 24, 2014, Boulder District Court Judge Dolores Mallard struck down the ban, finding that the city of Longmont "does not have the authority to prohibit what the state authorizes and permits." Mallard cited Voss v. Lundvall, a 1992 court ruling that gave states, rather than cities, control over oil and gas extraction regulations and bans. The ban, however, remained in effect, as Mallard's ruling was immediately stayed due to an appeal by the ban's supporters.[28][29][30]
On September 21, 2015, the Colorado Supreme Court agreed to hear the case. The court stated that it would rule on lawsuits related to fracking bans passed in both Longmont (2012) and Fort Collins (2013). Groups on both sides of the issue—Our Longmont, which supported the city's ban, and the Colorado Oil and Gas Association, which opposed such bans—welcomed the court's decision to make a ruling on the legality of local fracking bans in Colorado.[31]
State regulation
The COGCC has a series of regulations and court rulings that guide how it regulates the oil and gas industry. The COGCC works with the Colorado Department of Public Health and the Environment and Colorado Air Quality Control Commission (CAQCC) on dust and odor permitting. Oil and gas operators that have the potential to emit more than 5 tons of VOCs per year must obtain a Air Pollution Control Division permit. In Colorado large oil and gas producers have been working with environmental groups and the CAQCC to limit methane and VOC emissions. Colorado was the first state to regulate methane emissions. These new rules require companies to control or capture 95 percent of emissions. Operators have 15 days to repair methane leaks and are subject to routine inspections. These regulations are expected to cost the industry between $40 million and $100 million.[10][32][33][34]
Oil and gas operators are also required to report spills in a timely manner through the Oil and Gas Information System. (More information on spills available here.) The space between wells and schools, homes or businesses has been debated heavily in Colorado. Before 2013 oil and gas wells were required to be 350 feet from high-density areas and 150 feet from homes. In 2013 the COGCC revised these standards increasing the setback minimum to 500 feet, although this setback can be waived.[35]
COGCC oil and gas regulations
- The 200 Series discusses record-keeping rules, requires those using hydraulic fracturing to document the chemicals used unless the chemical is a trade secret. Operators have 120 days to disclose this information to the COGCC from the day the operations commenced. Operators are required to submit Comprehensive Drilling Plans that include potential impacts, maps of the area, waste management plan and descriptions of the wildlife that will be affected.[36]
- The 300 Series affects the permitting process and outlines general drilling rules. Operators are required to submit a monthly report of all fluids injected into dedicated injection wells and operators must also submit mechanical integrity tests. This series affects new oil and gas locations, requiring drillers to submit a list of all equipment that will be brought to the site and updates requirements for working with surface owners.[36][37]
- The 400 Series contains rules for well casing and cementing and created a produced water discharge permitting system.[36][38]
- The 600 Series comprises health and safety regulations. These include equipment safety regulations, well setback rules, mitigation measures and groundwater baseline sampling.[36]
- The 700 Series reviews the financial instruments oil and gas operators must have and the Environmental Response Fund. Operators must have between $10,000 and $20,000 in insurance per well, depending on the well's depth and $1 million in general liability insurance.[36]
- The 800 Series outlines noise, odor, dust and lighting abatement rules. This section also outlines the requirements for the pits that hold oil and gas activity waste.
- The 900 Series of oil and gas regulations from the COGCC created new standards for well exploration and production waste management and outlines the procedures if a spill occurs. These rules apply to the treatment and disposal of produced water.[36][38]
- The 1000 Series outlines the rules around site preparation and well reclamation.[36]
- The 1100 Series outlines pipeline regulations.[36]
- The 1200 Series regulates the protection of wildlife.[36]
Colorado Oil and Gas Conservation Act
The Colorado Oil and Gas Conservation Act (COGCA), last amended in 2007, created the COGCC and gave it the authority to make rules and regulations over many aspects of oil and gas drilling and to balance oil and gas extraction with public health and the environment. The COGCA set rules for who can be on the COGCC and the requirements for commission members. The COGCC was given the authority to oversee the "drilling, casing operation, and plugging" of wells; drilling permits; the chemical treatment of wells; the spacing of wells; worksite safety; production reporting; create an environmental response fund; and penalize violators of the law.[39]
The COGCA was amended in 2007 to direct the COGCC to limit impacts of the oil and gas industry on wildlife. In 2008 several series of implementing regulations were crafted directing drilling requirements, mechanical testing, groundwater protection, well setbacks, noise abatement, centralized waste disposal facilities and many other areas of the drilling process.[10]
Recent news
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See also
Footnotes
- ↑ 1.0 1.1 1.2 The Durango Herald, "Oil, gas panel hints at priorities," November 21, 2014
- ↑ Colorado.gov, "Oil and Gas Task Force," accessed November 24, 2014
- ↑ 3.0 3.1 Denver Post, "Colorado oil and gas task force sends 9 measures on to governor's desk," February 24, 2015
- ↑ Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.
- ↑ State of Colorado, "Gov. Hickenlooper announces members of oil and gas task force to address local control and land use issues," September 8, 2014
- ↑ Frack Wire, “What is Fracking,” accessed January 28, 2014
- ↑ University of Oklahoma, "Hydraulic Fracturing and Water Resources," accessed March 12, 2014
- ↑ U.S. Energy Information Administration, "Hydraulic fracturing accounts for about half of current U.S. crude oil production," March 15, 2016
- ↑ U.S. Energy Information Administration, "Hydraulically fractured wells provide two-thirds of U.S. natural gas production," May 5, 2016
- ↑ 10.0 10.1 10.2 Stanford Law School Student Journals, "Local Government Fracking Regulations: A Colorado Case Study,"January 2014
- ↑ The Denver Post, "Community rights ballot measure pulled due to lack of signatures," July 14, 2014
- ↑ Governing, "Last-Minute Deal Keeps Fracking Measure Off Colorado Ballot," August 5, 2014
- ↑ 13.0 13.1 Broomfield County November 5, 2013 sample ballot, accessed October 10, 2013 Cite error: Invalid
<ref>
tag; name "TEXT" defined multiple times with different content - ↑ Trading Charts, "New pro-fracking group forms in Broomfield," October 2, 2013
- ↑ Broomfield News, "Broomfield election challenge going to trial Feb. 20," February 6, 2014
- ↑ Broomfield Daily Camera, "Judge upholds Broomfield election; fracking ban remains in effect," February 27, 2014
- ↑ 17.0 17.1 17.2 Daily Camera, "Longmont, Broomfield, Lafayette spend $100K defending fracking bans," May 15, 2014
- ↑ Coloradan.com, "Fracking moratorium passed by Boulder City Council," June 5, 2013
- ↑ Coloradan.com, "Fort Collins voters to decide fracking moratorium," August 20, 2013
- ↑ 20.0 20.1 Denver Business Journal, "Colorado fracking ban scorecard: 3 ruled illegal, 2 remain," August 29, 2014
- ↑ Denver Post, "Oil and gas industry sues Lafayette and Fort Collins on fracking bans," December 3, 2013
- ↑ The Colorado Independent, "Longmont ballot initiative fuels debate over fracking," August 17, 2012
- ↑ Weld County Elections, Sample Ballot
- ↑ 24.0 24.1 Denver Business Journal, "Colorado Supreme Court rules on local fracking bans," May 2, 2016
- ↑ The Supreme Court of the State of Colorado, "No. 15SC668, City of Fort Collins v. Colo. Oil and Gas Ass’n—Moratoria—12 Preemption," May 2, 2016
- ↑ The Supreme Court of the State of Colorado, No. 15SC667, City of Longmont v. Colo. Oil and Gas Ass’n—Preemption—Inalienable Rights Provision," May 2, 2016
- ↑ Daily Camera, "Boulder County ends fracking moratorium, imposes another," May 19, 2016
- ↑ Coloradan.com, "As Fort Collins awaits similar fracking lawsuit, Longmont racks up $69,000 in legal fees," May 2, 2013
- ↑ Inside Climate News, "Colorado: Judge Strikes Down Town's Fracking Ban," July 25, 2014
- ↑ Times Call, "Longmont seeks reversal of ruling that overturned city's fracking ban," January 17, 2015
- ↑ Tri-City Herald, "Colorado's high court to decide if cities can ban fracking," September 21, 2015
- ↑ The Denver Post, "Colorado adopts tougher air rules for oil, gas industry," February 25, 2014
- ↑ Colorado Department of Public Health and the Environment, "Oil and Gas Odor and Dust Permitting," May 12, 2014
- ↑ Colorado Department of Public Health and the Environment, "Colorado Oil and Gas Conservation Commission (COGCC) 805 series requirement," September 28, 2009
- ↑ Leeds School of Business, Business Research Division, University of Colorado Boulder, "Hydraulic Fracturing Ban, The Economic Impact of a Statewide Fracking Ban in Colorado," March 2014
- ↑ 36.0 36.1 36.2 36.3 36.4 36.5 36.6 36.7 36.8 Colorado Oil and Gas Conservation Commission, "Amended Rules," accessed May 13, 2014
- ↑ Colorado Oil and Gas Conservation Commission, "300 and 500 Series Permitting Process," accessed May 12, 2014
- ↑ 38.0 38.1 Colorado School of Mines, "State Regulations: Colorado," accessed May 12, 2014
- ↑ Colorado Oil and Gas Conservation Commission, "Oil and Gas Conservation Act," July 1, 2007