Colorado County and Municipal Law

Additionally, San Miguel County "encourages the use of directional drilling, the placement of multiple wells on a single site, the use of evaporation pits rather than water injection stations, and other innovative techniques, and provides for the supplemental use of the Bureau of Land Management Gold Book (Surface Operating Standards for Oil and Gas Exploration and Development), the Gunnison Sage-grouse Rangewide Conservation Plan, and the San Miguel Basin Gunnison Sage-grouse Conservation Plan as guidance for the land use development and review process and the required mitigation of potential impacts. 

San Miguel County also encourages the avoidance of critical wildlife habitat areas, wetland areas, floodplains, and geohazard areas." (§5-2601(A)) 

Provisions of particular interest include:

§5-2601 Definitions of Minor and Major Facility – establishes criteria for categorizing facilities as minor or major oil and gas operations for the purposes of permitting:

Minor Oil and Gas Facility – an individual well site or multiple well sites on a single pad or water injection stations and their associated facilities used by a single operator servicing a single oil and gas field; the cumulative horsepower rating of all auxiliary equipment does not exceed 200 hp.

Major Oil and Gas Facility – any facility related to the production of oil and gas, including compressor stations and associated facilities which serve a single well or multiple wells, water injection stations serving more than one operator or more than one field, or storage yards that occupy more than one acre; the cumulative horsepower rating of all auxiliary equipment is 200 hp or more.

§5-2602(J) Reclamation – requires a facility plan for interim and final reclamation that provides for a reasonable reclamation schedule in light of the specific surface use and surrounding land uses and possible recontouring and revegetation of the surface to pre-disturbance conditions equivalent to adjacent undisturbed areas; requires the construction of pipelines, flowlines, and reserve pits to be consistent with the standards provided by the Bureau of Land Management "Gold Book".

§5-2602(K) Surface Damages and Surface Use Agreements – requires an operator to submit documentation of any surface use agreement, written waiver, or written consent of the surface owner for operations located on split estates.

§5-2602(L) Air Quality – requires air contaminant emissions to be in compliance with the permit and control provisions of the Colorado Air Quality Control Program and any local air quality regulations if and when the county adopts such regulations.

§5-2602(N) Siting Criteria for Minor and Major Oil and Gas Facilities – establishes criteria for the siting of oil and gas operations, for example:

• Facilities should be sited in locations that maximize the amount of natural screening available
• Facilities should be sited to minimize the amount of cut and fill needed to construct the facility
• Facilities should be sited away from prominent natural features, such as distinctive rock and landforms, vegetative patterns, river crossings, and other landmarks
• Facilities should be sited to avoid crossing hills and ridges or silhouetting
• Facilities should be sited to minimize the impact on wildlife habitat as identified or mapped by the Colorado Division of Wildlife, including raptor proofing any potential perching structures in mapped Occupied Gunnison Sage-grouse habitat

§5-2603 Development of Minor Oil and Gas Facilities – establishes application requirements for minor facility permits, including drilling plans, surface use plans, surface owner notification, descriptions of potential impacts on surface lands, and proposed reclamation and mitigation measures.

§5-2604 Development of Major Oil and Gas Facilities – proposals for major facilities undergo a two-step review process, including a public hearing and issuance of a Special Use Permit before commencement of construction and operation:

• application requirements for major facility permits include surface owner notification, public notice, detailed site maps, site plans, and operation plans, analysis of the potential impacts on surface lands, vegetation, wildlife, wildlife habitat, and water quality, proposed reclamation plans, and proposed mitigation measures
• major facility applications are reviewed for general consistency with applicable land use plans and standards set forth in the Bureau of Land Management "Gold Book"
  

§5-2604(F) Water – all approved or conditionally approved facilities must comply with all applicable state water quality standards and classifications established by the Colorado Water Quality Control Commission.

La Plata County

La Plata County Oil and Gas Regulations (select Chapter 90, Article II): La Plata County is located in the southwest corner of Colorado and includes the city of Durango. Both the Paradox Basin and the San Juan Basin lie within the county, which leads to a significant amount of oil development and especially natural gas development. La Plata County is one of the top three natural gas producers in the state. La Plata County enacted its oil and gas regulations "to facilitate the development of oil and gas resources within the unincorporated area of the county while mitigating potential land use conflicts between such development and existing, as well as planned, land uses." The regulations are generally intended "to protect and promote the health, safety, morals, convenience, order, prosperity, and general welfare of present and future residents of the county." (§90-17)

The La Plata County regulations were adopted as part of the La Plata County Code and are administered by the La Plata County Board of Commissioners. The regulations were updated in November 2008.

Provisions of particular interest include:

§90-19 Definitions of Major and Minor Oil and Gas Facility – establishes criteria for categorizing operations as either major or minor oil and gas facilities for the purposes of permitting:

Major Oil and Gas Facility – compressor stations and associated facilities and gas treating facilities serving multiple wells, water injection stations and associated facilities, and storage yards occupying more than one acre; the cumulative horsepower rating of all auxiliary equipment is 200 hp or more.

Minor Oil and Gas Facility – an individual well site built and operated to produce petroleum or natural gas and all auxiliary equipment, the cumulative horsepower rating of which does not exceed 200 hp.

Minor Oil and Gas Facility Requiring Special Mitigation Measures – any facility not categorized as a major oil and gas facility that does not meet all applicable standards and requirements set forth for a minor facility.

§90-41 Submittal Requirements for Facility Permits – establishes application requirements, such as site plans, operating plans, and mitigation measures, for facility permits based on the type of facility.

§90-108 Permit Review Criteria – facility permit applications are reviewed by the board of county commissioners according to criteria such as the demonstrated need for the facility in the proposed location, the suitability of the proposed location given its size, design, and operational characteristics, the potential impacts of the facility on air and water quality, wildlife, aesthetics, and public safety, and the compatibility of the facility with existing uses.

§90-123 Environmental Quality Standards – establishes environmental standards for both major and minor oil and gas facilities, such as:

Facility Siting Criteria – maximizing the amount of natural screening available, minimizing the amount of cut and fill needed to construct the facility, avoiding prominent natural features, such as distinctive rock and landforms, vegetative patterns, river crossings, and other landmarks, and avoiding crossing hills and ridges or silhouetting.

Wildlife Requirements

• Applicants must consult with the Colorado Division of Wildlife to obtain recommendations for appropriate site specific and cumulative impact mitigation procedures when a facility is located within a "moderate" or "high impact" habitat zone as determined by the Division
• Examples of site-specific wildlife mitigation procedures include:
  Triple indent
• Avoiding drilling and construction activities during wildlife critical use periods (i.e., near eagle nests during nesting, and on big game winter ranges during winter)
• Avoiding onsite operation and maintenance activities during wildlife critical use hours
• Conducting work in streams in a manner that minimizes siltation and erosion and at a period of little or no flow
• Completing the fueling and lubrication of construction equipment away from aquatic environments
  
• Impacts from oil and gas operations that threaten endangered species are considered nonmitigable and will result in denial of a permit
  

Water – onsite containment and disposal of water must be in accordance with applicable federal, state, and county regulations.

§90-124 Surface Impact Standards – the purpose of this section is to encourage minimal damage to surface activities and surface conditions; it requires that, where a facility reduces or destroys existing vegetation, an applicant consult with the Soil Conservation Service and develop a revegetation plan, specifying particular species as well as appropriate planting schedules and methods.

Garfield County

Garfield County Oil and Gas Department: Garfield county is located on the western border of the state and includes the cities of Battlement Mesa, Glenwood Springs, and Rifle. There is a significant amount of oil and gas development in the county as much of the County is part of the Piceance Basin. Over the last five years, Garfield County has been working to implement oil and gas regulations. Recently the County drafted a Unified Land Use Resolution. Additionally, the County has a County Oil and Gas Department that serves as a liaison between the citizens of Garfield County and the energy industry and plays a significant role in the regulation and development of oil and gas resources in Garfield County. Additionally, the Garfield County Energy Advisory Board was established in 2004 to provide a forum for the oil and gas industry, the public, impacted landowners, and local government entities to prevent or minimize conflict associated with oil and gas development through positive and proactive communication and actions that encourage responsible and balanced development of resources within Garfield County. Visit the Garfield County website.

Garfield County has issued several oil and gas guidance documents that include:

Draft Garfield County Oil and Gas Primer: How to Navigate Garfield County Zoning Regulations – This document is intended to serve as a guide for operators, contractors, and consultants involved in pursuing projects related to the development of oil and gas in Garfield County. It contains the County Zoning Regulations that govern the most common types of oil and gas projects.

Garfield County Energy Advisory Board’s Community Guide: Understanding Natural Gas Development – This user-friendly Guide provides a general overview of the drilling and processing of natural gas. It also explains legal issues surrounding split estates, major applicable state and federal regulations, environmental concerns related to air quality, water quality, and surface impacts, and provides information about the implementation of best management practices. 

A County’s Role in Oil and Gas Development (One County’s Perspective) – This presentation created by the Garfield County Oil and Gas Department describes current oil and gas activity in Garfield County and proposes what the County considers to be the appropriate role for local government to play in the regulation of oil and gas development. 

Pitkin County

Pitkin County Oil and Gas Regulations: Pitkin County is located in western Colorado and includes the city of Aspen. The Piceance Basin runs along the western edge of Pitkin County. Chapter Four of the Pitkin County Code, last updated by the Board of County Commissioners in 2006, covers permitted and special review uses and addresses oil and gas development.

Provisions of note include:

§ 4-10-10(b) Special Review Uses – indicating that, when a particular land use is classified as a special review use in a given zoning district, it is allowed only after a permitting and review by the Board of County Commissioners. This process is described at § 2-40-20(a)-(e) and involves a permit requirement, an annual reporting requirement for operators, a site visit by the County Development Commission, and other requirements.

§ 4-20 Permitted Use Table – classifying oil and gas extraction as a special review use in certain rural zoning districts and prohibiting extraction in most rural and urban zoning classifications.

§ 4-30-20(h) Oil and Gas Extraction – setting various performance standards that oil and gas surface operations must comply with in order to be permitted. These standards will not be waived even on the basis of technological infeasibility, and the burden is on the operator to show compliance. Oil and gas surface operations must be compatible with current and projected surrounding uses. Compatibility is to be determined on the basis of a operator’s ability to mitigate the impacts of oil and gas development on surrounding uses.

§ 4-30-20(h)(2)(b) Emergency Response Requirements – requiring that operators file an emergency response plan that includes emergency contact information and site specifications. Operators also must provide any necessary equipment and training to Fire District and Pitkin County Hazardous Material Team personnel. Additionally, this provision requires that all storage tanks be bermed subject to COGCC rules and regulations.

§ 4-30-20(h)(2)(d) Fire Protection – requiring compliance with fire management planning regulations for facilities in severe or low to moderate wildfire hazard areas.

§ 4-30-20(h)(2)(e) Floodplain – Requiring compliance with floodplain regulations for facilities in flood hazard areas.

§ 4-30-20(h)(2)(f) Impact on Agriculture – prohibiting oil and gas operations from interfering with agricultural operations or irrigation ditches without the written consent of the affected parties.

§ 4-30-20(h)(2)(i) Off-Site Staging Area – requiring that off site staging areas be maintained and constructed in the same manner as the oil and gas operation’s access road, and placing additional permitting requirements if the county road must be used to travel between the staging area and the well site.

§ 4-30-20(h)(2)(j) Roads and Access – requiring that road use permits be obtained, requiring a bond to cover any potential road degredation, and requiring that operators repair damaged roads. This provision also requires operators to avoid scheduling heavy traffic between Oct. 1 and May 2, due to the possibility of muddy conditions that could increase rut formation, and requires operators to minimize dust creation and provide the county with a drainage plan.

§ 4-30-20(h)(2)(k) Security – requiring security measures, such as fencing and locking gates, as agreed upon by the operator and the surface owner. Also requiring that discharge valves on pipelines, storage tanks, and other containers be secured when the facility is unattended.

§ 4-30-20(h)(2)(l) Trash and Waste Removal – requiring that liquid and solid waste be confined to the site or disposed of in compliance with county regulations and in a manner that avoids impacts on surrounding land.

§ 4-30-20(h)(2)(n) Visual Impact Mitigation – giving the county authority to require vegetative screening and other visual impact mitigation for facilities visible from scenic byways or within 200 feet of a maintained public road, 350 feet of a residence, or 1,000 feet of a public facility. These visual impact mitigation measures include requirements that facilities be located away from scenic areas, avoid crossing ridgelines, and be situated at the base of hills where possible, and also require that cleared vegetation lines be feathered or thinned and that cutting and filling be minimized. Buildings must be of minimal size and painted flat, non-reflective colors slightly darker than the surrounding land.

§ 4-30-20(h)(2)(o) Noxious Weed Control – requiring that operators control noxious weeds during construction and operation of facilities using methods recommended by the Pitkin County Weed Coordinator.

§ 4-30-20(h)(3) Oil and Gas Gathering Systems and Transmission Pipelines – placing various requirements on the construction, siting, and operation of oil and gas gathering systems and pipelines. These include measures for emergency response, erosion control, fire protection, floodplain regulation compliance, agricultural operation protection, road damage mitigation, visual impact mitigation, noxious weed control, and wildlife protection.

Colorado Cities

The following is a sampling of municipal oil and gas ordinances enacted by cities throughout Colorado. In general, city ordinances are more limited in scope than county regulations, and they tend to echo many county provisions both in form and substance. Due to this similarity, links to the municipal codes are provided, but provisions of particular interest are not additionally highlighted.  One noticeable distinction between regulations at the county and municipal levels, however, is that many municipal codes include restrictions on specific oil and gas activities permitted in urban areas of a city and those permitted in nonurban areas. 

Click on the link to view the city's ordinances; choose the specific chapter or section indicated in parentheses.

City of Aurora Building and Zoning Code (Ch. 146, art. 12, sec. 7)

City of Durango Code of Ordinances (Ch. 27, sec. 10-12)

City of Lafayette Code of Ordinances (§ 26.22-1)

City of Louisville Code of Ordinances (Ch. 17.68)

City of Thornton Code of Ordinances (Ch. 18, art. VI)