HomeMy WebLinkAboutOrdinance 2945
ORDINANCE NO. 2945
AN ORDINANCE AMENDING CHAPTER 104 OF THE CITY OF
NORTH RICHLAND HILLS CODE OF ORDINANCES,
REGULATING THE DRILLING AND PRODUCTION OF GAS
WELLS WITHIN THE CITY; REGULATING GAS PIPELINE
CONSTRUCTION; PROVIDING A PENALTY; PROVIDING A
SAVINGS CLAUSE; PROVIDING FOR PUBLICATION;
PROVIDING FOR SEVERABILITY; PROVIDING A CUMULATIVE
CLAUSE; AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, the City of North Richland Hills, Texas is a Home Rule
Municipality located in Tarrant County, Texas, created in accordance with the
provisions of the Texas Local Government Code and operating pursuant to the
enabling legislation of the State of Texas and its home rule charter; and
WHEREAS, the City Council of North Richland Hills, Texas finds that the
enactment of regulations of drilling and production of gas prior to permitting such
operations in a developed high quality residential community is necessary in
order to protect the health, safety, and general welfare of the public; and,
WHEREAS, the regulations herein established will preserve property
values as well as ensure safety by limiting noise, requiring screening and
landscaping, establishing minimum distance from residential and business
structures and requiring restoration of drilling sites and otherwise minimizing the
impact of such operations on the city's residents; and,
WHEREAS, the City Council of North Richland Hills, Texas deems it
prudent to enact an ordinance to govern the drilling and production of gas within
the corporate limits of the City of North Richland Hills;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF NORTH RICHLAND HILLS, TEXAS:
Section 1: THAT, the above findings are hereby found to be true and correct
and are incorporated herein in their entirety.
Section 2: THAT, Chapter 104 of the City of North Richland Hills Code of
General Ordinances is hereby amended to read as follows"
"CHAPTER 104. Gas Well Drilling & Production
Article I - Purpose and Definitions
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Page 1 of 63
Section 104-1. Purpose
The exploration, development and production of gas in the City are activities
which necessitate reasonable regulation to ensure that all property owners,
mineral and otherwise, have the right to enjoy their property and its benefits and
revenues. It is hereby declared to be the purpose of this chapter to establish
reasonable and uniform limitations, safeguards and regulations for operations
related to the exploring, drilling, developing, producing, transporting and storing
of gas and other substances produced in association with gas within the City to
protect the health, safety and general welfare of the public, minimize the potential
impact to property and mineral rights owners, protect the quality of the
environment and encourage the orderly production of available mineral, and gas
resources.
Section 104-2. Definitions
All technical industry words or phrases related to the drilling and production of
gas wells not specifically defined in this chapter shall have the meanings
customarily attributable thereto by prudent and reasonable gas industry
operators. The following words, terms and phrases, when used in this chapter,
shall have the meanings ascribed to them in this section, except where the
context clearly indicates a different meaning:
Abandonment: means "abandonment" as defined by the Texas Railroad
Commission and includes the plugging of the well and the restoration of any well
site as required by this chapter.
Affiliate: means any individual, partnership, association, joint stock company,
limited liability company, trust, corporation, or other person or entity who owns or
controls, or is owned or controlled by, or is under common ownership or control
with, the entity in question.
All-Weather Hard Surface: means a permanent surface that as a minimum is a
base course constructed such that is meets the requirements of the International
Fire Code, be at least twenty feet (20') wide, have an overhead clearance of
fourteen feet (14'), drains appropriately, remains water resistant, is free of litter,
debris, weeds, grass or other objectionable materials or objects and is visibly
dust free.
Base Flood: means the flood having a one percent (1 %) chance of being equaled
or exceeded in any given year.
Berm: means a mound of soil, either natural or man made, used to obstruct a
view. The side slope shall not exceed a three foot (3)'horizontal and a one foot
(1 ') vertical slope.
Blowout Preventer: means a mechanical, hydraulic, pneumatic or other device or
combination of such devices secured to the top of a well casing, including valves,
fittings and control mechanisms connected there with, which can be closed
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around the drill pipe, or other tubular goods which completely close the top of the
casing and are designed for preventing the uncontrolled flow of oil, gas and
drilling fluids from the well.
Building: means any primary structure used or intended for supporting or
sheltering any use or occupancy. The term "building" shall be construed as if
followed by the words "or portions thereof."
Cathodic Protection: means an electrochemical corrosion control technique
accomplished by applying a direct current to the structure that causes the
structure potential to change from the corrosion potential to a protective potential
in the immunity region. The required cathodic protection current is supplied by
sacrificial anode materials or by an impressed current system.
City: means the City of North Richland Hills, Tarrant County, Texas.
City Attorney: means the City Attorney of the City of North Richland Hills, Texas.
City Code: means the Code of Ordinances of the City of North Richland Hills,
Texas.
City Council: means the governing body of elected officials for the City of North
Richland Hills, Texas.
City Manager: means the City Manager of the City of North Richland Hills,
Texas.
Closed Loop System: means a series of tanks including filters separators and
shakers on the discharge side of the drilling process that contains by-products of
drilling such as cuttings and earthen materials to contain the by-products and
recycle useable materials for reuse in the drilling process.
Commission: means the Texas Railroad Commission.
Completion: means the date the work is completed for workover and flowback
operations and the crew is released by completing its work or contract or by its
employer.
Compressor. means a device that raises the pressure of a compressible fluid
such as air or gas. Compressors create a pressure differential to move or
compress a vapor or a gas. More than one compressor as in a series may be
located on a compressor pad site to adequately compress product.
Customer: means any Person located, in whole or in part, within the City.
Day: means a calendar day.
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Derrick: means any portable framework, tower, mast and/or structure which is
required or used in connection with drilling or re-working a well for the production
of gas.
Development Review Committee (ORC): is an internal staff review committee
that includes, but is not limited to, representatives of the Departments of Planning
and Development, Inspections, Public Works, Fire, Police, Parks and Recreation,
Neighborhood Services, Economic Development, and the Gas Inspector.
Drilling: means digging or boring a hole in the earth for the purpose of exploring
for, developing or producing gas or for the purpose of injecting gas, water or any
other fluid or substance into the earth.
Drilling Equipment: means the derrick, together with all parts of and
appurtenances to such structure, every piece of apparatus, machinery or
equipment used or erected or maintained for use in connection with drilling.
Drill Site: means the immediate area used during the drilling, re-drilling
completion or workover of a well.
Emergency Response Plan: means a plan put in place to deal with emergency
situations that may occur at the Drill Site during all stages of the drilling and
production process.
Exploration: means geologic or geophysical activities, including seismic surveys,
related to the search for gas or other subsurface hydrocarbons.
Fire Department: means the Fire Department of the City of North Richland Hills,
Texas.
Flaring: means to dispose of surplus combustible vapors by igniting them in the
atmosphere. This process may include the use of a series of secured piping to
facilitate flow of gas and a combustion chamber to ignite the gas.
Flow back Operations: means activities and processes used to expel water from
a well in order to facilitate the production of gas.
Frac Tank: means a man made water storage tank designed using earthen
berms to contain water. These can be from existing ponds or other water storage
tanks.
Fracturing: means a method of stimulating production from a well by increasing
the permeability of the producing formation. Fracturing can be accomplished by
the injecting of a fluid carrying propping agents under extremely high hydraulic
pressure downward into a well to cause pressure that 'cracks' or opens up
fractures already present in the formation.
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Gas: means any fluid, either combustible or noncombustible, which is produced
in a natural state from the earth and which maintains a gaseous or rarefied state
at standard temperature and pressure conditions and/or the gaseous
components or vapors occurring in or derived from petroleum or natural gas.
Gas Board of Appeals: means the Board that hears all appeals and deviation
requests to this Chapter.
Gas Inspector: means an individual designated by the City Manager or any other
person or entity so designated as an Inspector by the City Manager. The Gas
Inspector will report to the Office of the Fire Marshal.
Gas Pipeline Construction Plans shall mean the necessary gas pipeline
construction documents that shall be submitted at time of gas pipeline permit
application.
Gas Well: means any well drilled, to be drilled, or used for the intended or actual
production of natural gas.
Generator Plant: means the electrical service generated on site servicing the
drilling rig and all associated equipment including personal living quarters.
Grounding and bonding: The means to ground all power and equipment on the
drilling site to prevent electrical discharges and lighting protection.
Isolation Valves: means mechanical valves located at pre-designated intervals on
gas pipelines to shut the flow of gas in a pipeline to minimize an accidental
release in to the environment in the event of an emergency or to facilitate the
controlled release of gas in connection with testing, maintenance, repair or
inspection of pipelines. Isolation valves may be manually operated, automatic or
remotely controlled by the pipeline operator.
Operation Site: means the area used for development and production and all
operational activities associated with gas after drilling activities are complete.
Operator: means, for each well, the person listed on the Railroad Commission's
Form W-1 or Form P-4 for a gas well that is, or will be actually in charge and in
control of drilling, maintaining, operating, pumping or controlling any well,
including, without limitation, a unit operator. If the operator, as herein defined, is
not the lessee under a gas lease of any premises affected by the provisions of
the chapter, then such lessee shall also be deemed to be an operator. In the
event that there is no gas lease relating to any premises affected by this chapter,
the owner of the fee mineral estate in the premises shall be deemed an operator.
Perforating: means piercing the casing wall and cement in a wellbore by use of
explosive charges to create holes through which formation fluids may enter or to
provide holes in the casing so that materials may be introduced into the annulus
between the casing and the wall of the wellbore.
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Permit: means any written license granted by the City for the exploration,
development, and production of gas wells issued pursuant to rules and
regulations of this Chapter.
Person: means both the singular and the plural and means a natural person, a
corporation, association, guardian, partnership, receiver, trustee, administrator,
executor, and fiduciary or representative of any kind.
Pipeline(s) means the pipeline(s) and other facilities approved by the DRC that
are installed by Pipeline Company in the Public Rights-of-Way in accordance
with a Right-of-way Use Agreement.
Pipeline Company: means the company authorized by an Agreement to install
and maintain gas pipelines within the City's Public Right-of-Way.
Planning and Development Department: means the Planning and Development
Department of the City of North Richland Hills, Texas.
Planning and Zoning Commission: means the Planning and Zoning Commission
of the City of North Richland Hills, Texas.
Production: means the period after the fracturing and flow back operations have
been completed and natural gas has been run thru a series of separators and
tank batteries to metering devices and in to the pipeline.
Property Lines: means surface property lines per this ordinance.
Public Building: means all buildings used or designed to and intended to be used
for the purpose of assembly of persons for such purposes as deliberation,
entertainment, amusement, or health care. Public buildings include, but shall not
be limited to, theaters, assembly halls, auditoriums, armories, mortuary chapels,
dance halls, exhibition halls, museums, gymnasiums, bowling lanes, libraries,
skating rinks, courtrooms, restaurants, and hospitals.
Public Park: means any land area dedicated to and/or maintained by the City for
traditional park-like recreational purposes, NRH20 and Iron Horse Golf Course
but shall not include privately-owned amusement parks.
Public Right-of-Way: means public streets, highways, alleys, sidewalks,
pathways, trails, and bridges.
Public Works Department: means the Public Works Department of the City of
North Richland Hills, Texas.
Re-Orill: means re-completion of an existing well by deepening or sidetrack
operations extending more than one hundred fifty feet (150') from the existing
well bore.
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Page 6 of 55
Religious Institution: means any building in which persons regularly assemble for
religious worship and activities intended primarily for purposes connected with
such worship or for propagating a particular form of religious belief.
Residence: means a house, duplex, apartment, townhouse, condominium,
mobile home or other building designed for dwelling purposes, including those for
which a building permit has been issued on the date the application for a gas well
permit is filed and accepted by the Planning and Development Department.
Re-working: means re-completion or re-entry of an existing well within the
existing bore hole or by deepening or sidetrack operations which do not extend
more than one hundred fifty feet (150') from the existing well bore, or
replacement of well liners or casings.
Rig-down: The day drilling has been completed and the rig is dissembled and all
equipment prepared for movement from the pad site.
Right-of-Way: means any area of land within the City that is acquired by,
dedicated to, or claimed by the City in fee simple, by easement, by prescriptive
right or other interest and that is expressly or impliedly accepted or used in fact
or by operation of law as public roadway, sidewalk, alley, utility, drainage, or
public access easement or used for the provision of governmental services or
functions. The term includes the area on, below, and above the surface of the
public right-of-way. The term applies regardless of whether the public right-of-
way is paved or unpaved.
Right-of-Way Maintenance Agreement: means a written agreement provided by
the City obligating the Operator, at his own expense to repair damage, excluding
ordinary wear and tear, if any, including but not limited to, public streets,
sidewalks, pathways, trails, and bridges. Damages to Public Rights-of-Way
caused by the Operator or its employees, agents, contractors, subcontractors, or
representatives in the performance of any activity associated with the
preparation, drilling, production or operation of gas wells authorized by the City
shall be repaired out of the Operators expense.
Right-of-Way Use Agreement: means the authorization issued to a Pipeline
Company to use the Public Right-of-Ways for (i) the construction, installation,
maintenance and repair of Pipeline Company's Pipeline; (ii) the use of such
Pipeline for the transportation of Gas; and (Hi) any other directly related uses of
the Public Rights-of-Ways, pursuant to and in accordance with a Right-of-Way
Use Agreement.
Rig-up: The process of setting up ancillary equipment and the drilling rig in order
to begin the drilling process.
School: means any public and private, primary and secondary educational
facilities providing education up through and including the twelfth grade level and
any licensed day care centers, meaning a facility licensed by the State of Texas
or by the City of North Richland Hills that provides care, training, education,
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custody, treatment or supervision for more than six (6) children under fourteen
(14) years of age, and for less than twenty-four (24) hours per day.
Street: means any street, highway, sidewalk, alley, avenue, recessed parking
area or other public right-of-way, including the entire right-of-way.
Thoroughfare Plan: means the ThorouQhfare Plan approved by the City of North
Richland Hills, Texas.
Well: means any single hole or bore to any horizon, formation, or strata, for the
purpose of producing gas, liquid hydrocarbon, brine water or sulphur water, or for
use as an injection well for secondary recovery, disposal or production of gas, or
other hydrocarbons from the earth. For each separate new hole a gas well
permit is required.
Wire line logging: means the use of radioactive isotopes which are used when
measuring formations within the immediate vicinity of the drilling hole. A permit
will be required thru the Gas Inspector.
Workover: means to perform one or more of a variety of remedial operations on
a producing well to try to increase production. Examples of workover operations
are deepening, plugging back, pulling and resetting liner, squeeze cement and
similar activities.
Article II - Drilling & Production
Section 104-3. City Oversight
The Gas Inspector shall have the authority to enter and inspect any premises
covered by the provisions of this chapter to determine compliance with the
provisions of this chapter and all applicable laws, rules, regulations, standards or
directives of the City or state. Failure of any person to permit access to the Gas
Inspector shall constitute a violation of this chapter. Additionally, the Gas
Inspector and other City officials shall have the authority to issue any orders or
directives required to carry the intent and purpose of this chapter and its
provisions. The Gas Inspector shall have the authority to request and receive
any records, including any records sent to the Commission, logs, reports and the
like, relating to the status or condition of any permitted well necessary to
establish and determine compliance with the applicable permit. Failure of any
person to provide any such requested material shall be deemed a violation of this
chapter. The Gas Inspector shall insure the drilling site meets all site plan
conditions as approved in the drilling permit. The Gas Inspector shall have the
authority to approve minor changes to the site plan in order to facilitate conditions
conducive to operations as long as they do not conflict with Chapter 104 or any
Gas Board of Appeals approvals or stipulations. Any major change shall require
an amended permit submittal and approval.
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Section 104-4. Operator's Agent
Every operator of any well shall designate an agent, who is a resident of the
State of Texas, upon whom all orders and notices provided in this chapter may
be served in person or by registered or certified mail. Every operator designating
such agent shall within ten (10) days notify the Planning and Development
Department in writing of any change in such agent or such mailing address
unless operations within the City are discontinued. Failure to do so shall be
deemed a violation of this chapter.
Section 104-5. Seismic Survey Permit Requirements
A permit shall be required for seismic surveys. No seismic survey permit shall be
granted unless the applicant shows proof of lease of mineral property within 200
feet of the right-of-way on which the survey is to be conducted. All seismic
survey permit applications shall be submitted to the Gas Inspector for approval.
The seismic survey shall not begin prior to the issuance of a seismic survey
permit from the City. A permit shall include, but is not limited to, the following
information:
(a) Operator/applicant name, phone number, fax number, physical address,
and, if possible, email address; if the operator is a corporation, the state of
the incorporation, and if the operator is a partnership, the names and
addresses of the general partners shall be provided.
(b) Detailed mapping of location and extent of seismic survey.
(c) Date and time the seismic survey will be conducted.
(d) Detailed explanation of the seismic survey method to be used on site.
(e) Date and time the seismic survey will be completed.
(f) If the seismic survey is conducted in any right-of-way then the operator
must reimburse all costs to the City for any damages associated with the
seismic survey.
(g) The permit fee for a seismic survey on public property shall be 25 cents
per linear foot, plus the costs of barricade rental and personnel required to
direct and divert traffic if City forces and materials are used.
(h) An operator must submit a traffic safety and management plan as required
by the Public Works Department with all seismic surveys that are
conducted within the right-of-way.
(i) Under no circumstances may explosive charges, including, but not limited
to, the use of dynamite, be used in any way related to the preparation
and/or operation of conducting a seismic survey.
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Section 104-6. Gas Well Permit Requirements
(a) A person wanting to engage in and/or operate in gas production activities
shall apply for and obtain a gas well permit under this chapter and shall
indicate what type of well permit is requested. It shall be unlawful for any
person acting either for himself or acting as an agent, employee,
independent contractor, or servant for any person to drill any well, assist in
any way in the site preparation, re-working, fracturing or operation of any
such well or to conduct any activity related to the production of gas without
first obtaining a gas well permit issued by the City in accordance with this
chapter. Such activities include, but are not limited to, re-working, initial
site preparation, drilling, operation, construction of rigs or tank batteries,
fracturing and pressurizing.
(b) The operator must apply for and obtain a gas well permit for the drilling of
each well. The operator shall neither apply nor obtain a "blanket" permit
for more than one (1) well if multiple wells are located on the same tract of
land. Each new well established at the ground surface will be considered
a new gas well permit.
(c) An existing gas well permit shall not constitute authority for the re-entering
and drilling of an abandoned well. An operator shall obtain a new well
permit in accordance with the provisions of this chapter if the operator is
re-entering and drilling an abandoned well.
(d) When a gas well permit has been issued to the operator for the drilling, re-
entering, activating or converting of a well, such gas well permit shall
constitute sufficient authority for drilling, operation, production gathering or
production maintenance, repair, re-working, testing, plugging and
abandonment of the well and/or any other activity associated with mineral
exploration at the site of such well. An amended gas well permit shall be
obtained before such well may be modified for purposes of re-drilling,
deepening or converting such well to a depth or use other than that set
forth in the then current permit for such well.
(e) Any person who intends to re-work a permitted well using a drilling rig, to
fracture stimulate (fracturing) a permitted well after initial completion shall
give written notice to the Gas Inspector no less than ten (10) days before
the activities begin. The notice must identify where the activities will be
conducted and must describe the activities in detail, including, but not
limited to, whether explosive charges will be used, the duration of the
activities and the time the activities will be conducted. The notice must
also provide the address and twenty-four (24) hour telephone number of
the person conducting the activities. The person conducting the activities
shall post a sign on the property giving the public notice forty eight (48)
hours in advance of the fracturing activities. The sign shall comply with the
requirements of Section 104-13, "On Site and Technical Regulations," (y)
Signs (1).
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Page 10 of 55
(f) Wire line logging Permit Approval: ten days prior to this event a permit
application shall be completed at the Office of the Gas Inspector. Once
application and permit is approved the operator shall notify the Gas
Inspector no later than 72 hours prior to commencement of the event. A
plan should be submitted for transportation route of the explosives which
shall be the Primary A route as specified in the Drilling Permit. An on-site
inspection will take place once items have been delivered and prior to use.
Proper signage shall be posted for this procedure.
(g) Perforating Permit Approval: ten days prior to the event a permit
application shall be completed at the Office of the Gas Inspector. Once
application and permit is approved the operator shall notify the Office of
the Gas Inspector. A plan should be submitted for transportation route of
the explosives which shall be the Primary A route as specified in the
Drilling Permit. An on-site inspection will take place once items have been
delivered and prior to use. Proper signage shall be posted for this
procedure.
(h) No gas well permit shall be issued for any improvements on gas well sites
or separate compressor sites along a pipeline that include compressors
without approval from the Gas Board of Appeals.
(i) Well setbacks for gas well permits.
(1) It shall be unlawful to drill, re-drill, deepen, re-enter, activate or
convert any well, the center of which, at the surface of the ground,
is located:
a. Within six hundred feet (600') from any playgrounds,
competition athletic fields, swimming pools, water slides and
playgrounds, concession stands, pavilions or picnic areas
within a public park unless prior consent is obtained from the
City Council to drill in a public park;
b. Within six hundred feet (600') from any residence, religious
institution, public building, retail or commercial building,
hospital building or school for which a building permit has
been issued on the date of the application for a gas well
permit is filed with the Planning and Development
Department;
c. Within fifty feet (50') of any public street, road, highway, or
right-of-way line;
d. Within one hundred feet (100') of any existing potable water
well.
e. Within one hundred fifty feet (150') of any property line.
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f. Within one hundred fifty feet (150') from a railroad right of
way.
g. The measurement of all distances shall be calculated from
the proposed well bore, in a straight line, without regard to
intervening structures or objects, to the closest exterior point
of the object listed in items a through f, above. The above
calculations shall be prepared by a Registered Professional
Land Surveyor.
(2) Wall or other screening around the final production gas well site
containing tank batteries and separators shall be located at least
one hundred fifty feet (150') from any public playground,
competition athletic field, picnic area within a public park, unless
prior consent is obtained from the City Council to drill in a public
park; or from any residence, religious institution, public building,
hospital building or school, or any other building used, or designed
and intended to be used, for human occupancy, for which a building
permit has been issued on the date of the application for a gas well
permit is filed. The distance shall be calculated from the closest
point of the wall or other screening around the final production gas
well site, in a straight line, without regard to intervening structures
or objects, to the closest part of the playground, competition athletic
field, picnic area, residence, religious institution, public building,
hospital building or schools, or any other building used or designed
and intended to be used for human occupancy.
(3) The distances set out in subsection 104-6 (f)(1) and (2) above may
be reduced at the discretion of the Gas Board of Appeals pursuant
to Section 104-18, "Appeals," of this chapter, but never less than
three hundred feet (300') except as provided by (4) below. All
distance reductions shall be documented as exceptions to the
requested permit prior to issuance.
(4) Notwithstanding the provisions of this section, wells may be drilled
no closer than one hundred fifty feet (150') from existing residences
that are occupied by persons who in writing consent to the request
to drill the well if approved by a majority vote of the Gas Board of
Appeals pursuant to Section 104-18. Said written consent is
required from all residences occupied by persons within three
hundred feet (300') of a proposed well bore prior to an application
for a well permit being processed by city staff. Wells may be re-
drilled, deepened, re-entered, activated or converted if no closer
than one hundred fifty feet (150') from any residence constructed
after the well was originally drilled without such consent.
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(5) Notwithstanding the prOVISions of this section, new residences,
religious institutions, public buildings, retail or commercial buildings,
hospital buildings or school buildings with classrooms may be built
no closer than one hundred and fifty feet (150') from the outside
fence or boundary of an existing production gas well site.
U) A gas well permit shall automatically terminate, unless extended, if drilling
is not commenced within ninety (90) days from the date of the issuance of
the permit. A well permit may be extended by the Gas Inspector for an
additional ninety (90) days upon written request by the operator and proof
that the regulatory standards of the requested permit for such location
have not changed.
(k) Permits required by this chapter are in addition to and are not in lieu of
any permit which may be required by any other provision of the City Code
or by any other governmental agency.
(I) Gas Wells proposed in the floodplain shall comply with the requirements
for development in the City Code, Chapter 102: "Floods and Stormwater
Management" and the requirements in the Public Works Design Manual.
Gas Well development that will result in any changes to either the FEMA
Flood Insurance Rate Maps (FIRM) or the corresponding hydraulic model
will require the operator to obtain a FEMA Letter of Map Revision (LOMR).
(m) No gas well permit shall be issued for any well to be drilled that is not in
compliance with any standard, provision, procedure, and/or
recommendation as described in the City's Public Works Desiqn Manual.
(n) By acceptance of any permit issued pursuant to this chapter, the operator
expressly stipulates and agrees to be bound by and comply with the
provisions of this chapter. The terms of this chapter shall be deemed to
be incorporated in any permit issued pursuant to this chapter with the
same force and effect as if this chapter was set forth verbatim in such
permit.
(0) Prior to the issuance of any permit, the Operator shall obtain and furnish
to the City a recordable easement from the owner of affected property as
grantor to the City as grantee which prohibits residences, religious
institutions, public buildings, retail or commercial buildings within one
hundred fifty feet (150') of the outside wall or other screening around the
final production gas well site.
Section 104-7. Gas Well Permit Application and Filing Fees
(a) Every application for a gas well permit issued pursuant to this chapter
shall be in writing signed by the operator, or some person duly authorized
to sign on his behalf, and filed with the Planning and Development
Department.
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(b) Every application shall be accompanied by a permit fee of ten thousand
dollars ($10,000.00). The application shall include the following
information:
(1) The date of the application and type of permit requested.
(2) An accurate legal description of the lease property to be used for
the operation site, the parcel and the production unit and name of
the geologic formation as used by the Commission. Property
recorded by plat shall reference subdivision, block and lot numbers.
(3) Map showing proposed transportation route and road(s) for
equipment, chemicals or waste products used or produced by the
gas operation.
(4) Proposed well name and well depth.
(5) Surface owner names(s), telephone number(s), fax number(s),
physical address(es), and, if possible, e-mail addresses, of the
lease property.
(6) Mineral lessee name, telephone number, fax number, physical
address, and, if possible, e-mail address.
(7) Operator/applicant name, telephone number, fax number, physical
address, and if possible, e-mail address and if the operator is a
corporation, the state of incorporation, and if the operator is a
partnership, the names and addresses of the general partners.
(8) Name, telephone number, fax number physical address of
individual designated to receive notice, and, if possible, e-mail
address.
(9) Names and address of representatives or operator's agent with
supervisory authority over all gas operation site activities and a
twenty-four (24) hour telephone number.
(10) Location and description of all improvements and structures within
eight hundred feet (800') of the well. Such locations and
descriptions shall be prepared by a Registered Professional Land
Surveyor.
(11) A site plan of the proposed operation site showing the location of all
improvements and equipment, including the location of the
proposed well(s) and other facilities including, but not limited to,
tanks, pipelines, separators and storage tanks or storage sheds.
All site plans must include the following criteria:
a. Property boundaries with dimensions and setback lines.
Ordinance No. 2945
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b. Location of proposed buildings and structures indicating
sizes in square feet.
c. The location and intensity of exterior lighting fixtures.
d. The location of mechanical equipment.
e. Outside storage areas.
f. Curb cut locations.
g. Parking, loading, and maneuvering areas.
h. The location, materials and dimensions of screening
improvements as required by Section 104-14, Screening (a)
(1 ).
I. A separate plan sheet showing the location, materials and
dimensions of all screening improvements as required by
Section 104-14, "Screening," (a) (2).
J. Sanitary Waste disposal locations with screening and any
sanitary waste disposal operations onsite.
k. Adjacent Property lines, streets, easements immediately
adjacent to the operation site.
I. Names of owners of property immediately adjacent to the
operation site.
m. Names of subdivisions immediately adjacent to the
operation.
n. Site plans shall be submitted on a sheet size of 24" x 36"
minimum.
o. City boundaries where applicable.
p. Date the drawing was prepared with name, address, and
phone number of preparer.
q. Location, width, purpose of all existing easements.
r. North arrow, at a maximum scale of 1 :50 immediately
adjacent to the operation site.
s. All existing street names immediately adjacent to the
operation site.
Ordinance No. 2945
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t. Dimensions of all existing rights-of-way as specified on the
City's Thorouqhfare Plan.
u. Title Block identifying gas well site location.
v. Vicinity location map at 1"= 2000'.
w. Zoning classifications of all properties shown on the Site
Plan.
x. Location of 1 OO-year flood limits where applicable.
y. Texas NAD83 State Plane Coordinates for at least two
corners
Z. As a minimum, a preliminary drainage study as identified in
the Public Works Desiqn Manual.
(12) Copies of all reports required by the Commission, specifically
including a copy of the approved Railroad Commission Form W-1
and/or P-4.
(13) A signed right-of-way maintenance agreement.
(14) A description of public utilities required during drilling and site
operations.
(15) A description of the water source to be used during drilling.
(16) A copy of the Stormwater Pollution Prevention Plan (SWPP) as
required by the Commission, the Texas Commission on
Environmental Quality (TCEQ), the United States Environmental
Protection Agency (USEPA) and/or the City. A copy of the Notice
Of Intent (NOI) shall be submitted to the Public Works Department
at least three (3) days prior to the commencement of any onsite
activity.
(17) A copy of the determination by the TCEQ of the depth of useable
quality ground water.
(18) Evidence of insurance and security requirements under this
chapter.
(19) A statement, under oath, signed by the operator or designated
representative, that the information submitted with the application
is, to the best knowledge and belief of the operator or designated
representative, true and correct.
(20) All required application and permit fees.
Ordinance No. 2945
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(21) A tree preservation plan that conforms to the City's ordinance.
(22) A copy of a Hazardous Materials Manaqement Plan and
additionally, all material safety data sheets (MSDSs) for all
hazardous materials that will be located, stored, transported and/or
temporarily used on the drilling site shall be provided to the Gas
Inspector and the Fire Department. This document shall be divided
in to Drilling and Production with table of contents and individually
tabbed chemicals.
(c) Building Permit Required.
(1) No building or structure regulated by the current code adopted by
the City shall be erected, constructed, enlarged, altered, repaired,
moved, improved, removed, converted, or demolished unless a
separate permit for each building or structure has first been
obtained from the Planning and Development Department. No
subdivision plat will be required.
(2) It shall be the responsibility of any person, firm, or corporation,
upon submittal of an application for a building permit for work
regulated by the current code adopted by the City, to register as a
general contractor with the City. Work regulated includes, but is not
limited to, construction of gates, fencing, plumbing, irrigation,
electricity, roadways, entrances, compressors, flow lines, pipelines,
gathering lines, tank batteries, and buildings. Such registration
shall be upon forms supplied by the Planning and Development
Department and shall become null and void on December 31st of
each year. An appropriate fee for registration shall be assessed in
accordance with the City fee schedule.
(d) Annual Permit Required - Operator shall be responsible for applying for
an annual permit within 30 days of the anniversary of the original approval
of the drilling permit. The annual permit fee shall be $2,000 per Drill Site.
Section 104-8. Permitting Procedure
(a) All Gas Well Permits will be filed through the Planning and Development
Department. The Planning and Development Department will then
convene a meeting of the Development Review Committee (DRC).
(b) It is the responsibility of the DRC to review and approve or disapprove all
applications for gas well drilling permits based on the criteria established
by this chapter.
Ordinance No. 2945
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(c) The DRC, within forty-five (45) days after the filing of a completed
application and remittance of all fees, insurance, and security per the
requirements of this chapter for a gas well permit, shall determine whether
the permit application shall be approved or denied. Upon approval, the
Gas Inspector shall sign the permit.
(d) The provisions of this chapter shall apply to any dwellings or buildings for
which an application for a building permit has been submitted on the date
the application for a gas well permit is filed with the Planning and
Development Department.
(1) All new and/or proposed construction of any buildings, structures,
streets, roads, and/or applicable improvements to the property
upon which any gas well is located must be in compliance with all
applicable setback requirements enumerated in this chapter.
(2) If all the requirements of this chapter are met, the DRC shall issue
an approval letter for the drilling of the well or the installation of the
facilities for which the permit application was made.
(3) If the DRC denies a permit application for cause as set out in this
chapter for the requested gas well permit, the DRC shall notify the
operator in writing of such denial stating the reasons for the denial.
Within forty-five (45) days of the date of the written decision of the
DRC to deny the permit, the operator may cure those conditions
that caused the denial and resubmit the application to the Planning
and Development Department for approval and issuance of the
permit. Additionally, the operator may file an appeal to the Gas
Board of Appeals under the provisions outlined in this chapter
pursuant to Section 104-18 of this chapter.
(4) The failure of the DRC to review and issue a permit within the time
limits specified above shall not cause the application to be deemed
approved. The failure of the DRC to act within the time limit shall
be deemed a disapproval. The operator may file an appeal to the
Gas Board of Appeals under the provisions outlined in this chapter
pursuant to Section 104-18 of this chapter.
(e) If an application for a permit is denied by the City, nothing herein
contained shall prevent a new permit application from being submitted to
the Planning and Development Department for the same well.
(f) Forfeiture of Applications Fees: The applicant shall forfeit all fees paid
and be responsible for making a new application and paying new fees
after 180 days from the initial permit approval if no rig-up has begun, or if
the operator fails to correct any noncompliance as a result of a suspension
or revocation of a gas well permit.
Ordinance No. 2945
Page 18 of 55
Section 104-9. Amended Gas Well Permits
(a) An amended permit may be issued for, but not limited to, the following
changes in drill and/or operational site activities:
(1) Re-drilling;
(2) Deepening beyond one hundred fifty feet (150') of the permitted
depth;
(3) Site access;
(4) Locations and/or quantities of equipment as determined by the Gas
Inspector;
(5) Locations and/or number of drilling fluid or other types of pits; and
(6) Locations and/or number of buildings and structures.
(b) Applications for amended permits shall be in writing, shall be signed by
the operator, and shall include the following:
(1) An application fee of five hundred dollars ($500.00);
(2) A description of the proposed amendments;
(3) Any changes to the information submitted with the application for
existing permit (if such information has not previously been
provided to the City);
(4) Such additional information as is reasonably required by the Gas
Inspector to demonstrate compliance with the applicable permit;
(5) Such additional information as is reasonably required by the Gas
Inspector to prevent imminent destruction of property or injury to
persons; and
(6) An amended Site Plan will be required.
(c) All applications for amended permits shall be filed with the Planning and
Development Department for review by the DRC. Incomplete applications
may be returned to the applicant, in which case the City shall provide a
written explanation of the deficiencies; however, the City shall retain the
application fee. The City may return any application as incomplete if there
is a dispute pending before the Commission regarding the determination
of the operator.
Ordinance No. 2945
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(d) If the activities proposed by the amendment are not materially different
from the activities covered by the existing permit then the DRC shall
approve or disapprove the amendment within fifteen (15) days after the
application is filed.
(e) If the activities proposed by the amendment are materially different from
the activities covered by the existing permit, and do not create a risk of
destruction of property or injury to persons, then the DRC shall approve or
disapprove the amendment within forty-five (45) days after the application
is filed. If, however, the activities proposed by the amendment are
materially different and, in the judgment of the Gas Inspector or the DRC,
might create a risk of destruction of property or injury to persons that were
not associated with the activities covered by the existing permit or that
were not otherwise taken into consideration by the existing permit, the
DRC may require the amendment to be processed as a new permit
application.
(f) The failure of the DRC to review and issue an amended permit within the
time limits specified above shall not cause the application for the amended
permit to be deemed approved. Further, the decision of the DRC to deny
an amendment to a permit shall be provided to the operator in writing
within the time period indicated in (d) and (e) above, including an
explanation of the basis for the decision. The operator may appeal any
such denial to the Gas Board of Appeals, if such an appeal is filed within
ten (10) days after such denial, as provided by Section 104-18 of this
Chapter.
Section 104-10. Suspension or Revocation of Gas Well Permits
(a) If an operator (or its officers, employees, agents, contractors, or
representatives) fails to comply with any requirement of a permit (including
any requirement incorporated by reference as part of the permit), the City
shall give written notice to the operator specifying the nature of the failure
and giving the operator a reasonable time to cure, taking into
consideration the nature and extent of the failure, the extent of the efforts
required to cure, and the potential impact on the health, safety, and
welfare of the community. In no event, however, shall the cure period be
less than ten (10) days unless the failure presents a risk of imminent
danger of property or injury to persons or unless the failure involves the
operator's failure to provide periodic reports as required by this chapter.
(b) If the operator fails to correct the noncompliance, the City may suspend or
revoke the permit pursuant to the provisions of this chapter.
Ordinance No. 2945
Page 20 of 55
(c) No person shall carry on any operations performed under the terms of the
permit issued under this chapter during any period of any permit
suspension or revocation or pending a review of the decision or order of
the City in suspending or revoking the permit. Nothing contained herein
shall be construed to prevent the necessary, diligent and bona fide efforts
to cure and remedy the default or violation for which the suspension or
revocation of the permit was ordered for the safety of persons or as
required by the Commission.
(d) If the operator does not cure the noncompliance within the time specified
in this chapter, the City, upon written notice to the operator, may notify the
Commission and request that the Commission take any appropriate
action.
(e) An operator may, within ten (10) days of the date of the decision of the
City in writing to suspend or revoke a permit, file an appeal to the Gas
Board of Appeals under the provisions outlined in this chapter pursuant to
Section 104-18 of this chapter.
Section 104-11. Periodic Reports
(a) The operator shall notify the Gas Inspector of any changes to the following
information within ten (10) days after the change occurs:
(1) The name, physical address, telephone number, and fax number,
of the operator;
(2) The name, address, and telephone number of the person
designated to receive notices from the city (which person must be a
resident of Texas that can be served in person or by registered or
certified mail); and
(3) The operator's emergency action response plan (including "drive-
to-maps" from public rights-of-way to each drill site).
(b) The operator shall notify in writing the Gas Inspector and the Planning and
Development of any change to the name, address, and twenty-four (24)
hour phone number of the person(s) with supervisory authority over drilling
or operations activities within one (1) business day.
(c) The operator shall provide a copy of any "incident reports" or written
complaints submitted to the Commission and a copy to the City within
thirty (30) days after the operator has notice of the existence of such
reports or complaints.
Ordinance No. 2945
Page 21 of 55
(d) Beginning on December 31st after each well is completed, and continuing
on each December 31 st thereafter until the operator notifies the Gas
Inspector and the Planning and Development Department that the well
has been abandoned and the site restored, the operator shall submit a
written report to the Gas Inspector identifying any changes to the
information that was included in the application for the applicable permit
that have not been previously reported to the City.
Section 104-12. Bond, Letters of Credit, Indemnity, Insurance.
(a) General requirements. The operator shall be required to:
(1) Comply with the terms and conditions of this chapter and the permit
issued hereunder.
(2) Promptly clear drill and operation sites of all litter, trash, waste and
other substances used, allowed, or occurring in the operations, and
after abandonment or completion grade, level and restore such
property to the same surface conditions as nearly as possible as
existed before operations as determined by the Gas Inspector.
(3) Indemnification and express negligence provisions. Operators shall
sign each permit and the City shall retain a signed original. Each
such permit issued by the City shall include the following language:
Operator does hereby expressly release and discharge, all claims,
demands, actions, judgments, and executions which it ever had, or
now has or may have, or assigns may have, or claim to have,
against the City of North Richland Hills, and/or its departments,
agents, officers, servants, successors, assigns, sponsors,
volunteers, or employees, created by, or arising out of personal
injuries, known or unknown, and injuries to property, real or
personal, or in any way incidental to or in connection with the
performance of the work performed by the operator under a permit.
The operator shall fully defend, protect, indemnify, and hold
harmless the City of North Richland Hills, Texas, its departments,
agents, officers, servants, employees, successors, assigns,
sponsors, or volunteers from and against each and every claim,
demand, or cause of action and any and all liability, damages,
obligations, judgments, losses, fines, penalties, costs, fees, and
expenses incurred in defense of the City of North Richland Hills,
Texas, its departments, agents, officers, servants, or employees,
including, without limitation, personal injuries and death in
connection therewith which may be made or asserted by operator,
its agents, assigns, or any third parties on account of, arising out of,
or in any way incidental to or in connection with the performance of
the work performed by the operator under a permit. The operator
agrees to indemnify and hold harmless the City of North Richland
Hills, Texas, its departments, its officers, agents, servants,
employees, successors, assigns, sponsors, or volunteers from any
Ordinance No. 2945
Page 22 of 55
liabilities or damages suffered as a result of claims, demands,
costs, or judgments against the City, its departments, its officers,
agents, servants, or employees, created by, or arising out of the
acts or omissions of the City of North Richland Hills occurring on
the drill site or operation site in the course and scope of inspecting
and permitting the wells including, but not limited to, claims and
damages arising in whole or in part from the negligence of the City
of North Richland Hills occurring on the drill site or operation site in
the course and scope of inspecting and permitting gas wells.
IT IS UNDERSTOOD AND AGREED THAT THE INDEMNITY
PROVIDED FOR IN THIS SECTION IS AN INDEMNITY
EXTENDED BY THE OPERATOR TO INDEMNIFY AND
PROTECT THE CITY OF NORTH RICH LAND HILLS, TEXAS
AND/OR ITS DEPARTMENTS, AGENTS, OFFICERS,
SERVANTS, OR EMPLOYEES FROM THE CONSEQUENCES OF
THE NEGLIGENCE OF THE CITY OF NORTH RICHLAND HILLS,
TEXAS AND/OR ITS DEPARTMENTS, AGENTS, OFFICERS,
SERVANTS, OR EMPLOYEES, WHETHER THAT NEGLIGENCE
IS THE SOLE OR CONTRIBUTING CAUSE OF THE RESULTANT
INJURY, DEATH, AND/OR DAMAGE.
(4) Promptly pay all fines, penalties and other assessments imposed
due to breach of any terms of the permit.
(5) Promptly restore to its former condition any public property
damaged by the gas operation.
(b) Bond, irrevocable letter of credit. Prior to the issuance of a gas well permit
the operator shall provide the Public Works Department with a security
instrument in the form of a bond or an irrevocable letter of credit as
follows:
(1) Bond. A bond shall be executed by a reliable bonding or insurance
institution authorized to do business in Texas, acceptable to the
City. The bond shall become effective on or before the date the
gas well permit is issued and shall remain in force and effect for at
least a period of six (6) months after the expiration of the permit
term or until the well is plugged and abandoned and the site is
restored, whichever occurs last. The operator shall be listed as
principal and the instrument shall run to the City, as obligee, and
shall be conditioned that the operator will comply with the terms
and regulations of this chapter and the City. The original bond shall
be submitted to the Planning & Development Department with a
copy of the same provided to the City Secretary. City, as obligee,
and shall be conditioned that the operator will comply with the
terms and regulations of this chapter and the City.
Ordinance No. 2945
Page 23 of 55
(2) Letter of Credit. A letter of credit shall be issued by a reliable bank
authorized to do business in Texas and shall become effective on
or before the date the permit is issued. The letter of credit shall
remain in force and effect for at least a period of six (6) months
after the expiration of the permit term or until the well is plugged
and abandoned and the site is restored, whichever occurs last.
The City shall be authorized to draw upon such letter of credit to
recover any fines or penalties or costs to remedy assessed under
this chapter. Evidence of the execution of a letter of credit shall be
submitted to the City by submitting an original signed letter of credit
from the banking institution, with a copy of the same provided to the
City Secretary.
(3) The principal amount of any security instrument shall be fifty
thousand dollars ($50,000.00) for any single well. If, after
completion of a well, the applicant/operator, who initially posted a
fifty thousand dollars ($50,000.00) bond, has complied with all of
the provisions of this chapter and whose well in the producing stage
and all drilling operations have ceased, may submit a request to the
Gas Inspector to reduce the existing bond to ten thousand dollars
($10,000.00) for the remainder of the time the well produces
without reworking. During reworking operations, the amount of the
bond or letter of credit shall be maintained at fifty thousand dollars
($50,000.00). If at any time after no less than a fifteen (15) day
written notice to the operator and a public hearing, the City Council
shall deem any operator's bond or letter of credit to be insufficient, it
may require the operator to increase the amount of the bond or
letter of credit up to a maximum of two hundred fifty thousand
dollars ($250,000.00) per well.
(4) Whenever the Gas Inspector finds that a default has occurred in the
performance of any requirement or condition imposed by this
chapter, a written notice shall be given to the operator. Such notice
shall specify the work to be done, the estimated cost and the period
of time deemed by the Gas Inspector to be reasonably necessary
for the completion of such work. After receipt of such notice, the
operator shall, within the time therein specified, either cause or
require the work to be performed, or failing to do so, shall pay over
to the City one hundred twenty-five percent (125%) of the estimated
cost of doing the work as set forth in the notice. In no event,
however, shall the cure period be less than thirty (30) days unless
the failure presents a risk of imminent destruction of property or
injury to persons or unless the failure involves the operator's failure
to provide periodic reports as required by this chapter. The City
shall be authorized to draw against any irrevocable letter of credit
or bond to recover such amount due from the Operator. Upon
receipt of such monies, the City shall proceed by such mode as
deemed convenient to cause the required work to be performed
and completed, but no liability shall be incurred other than for the
Ordinance No. 2945
Page 24 of 55
expenditure of said sum in hand. In the event that the well has not
been properly abandoned under the regulations of the Commission,
such additional money may be demanded from the operator as is
necessary to properly plug and abandon the well and restore the
drill site in conformity with the regulations of this chapter.
(5) In the event the operator does not cause the work to be performed
and fails or refuses to pay over to the City the estimated cost of the
work to be done as set forth in the notice, or the issuer of the
security instrument refuses to honor any draft by the City against
the applicable irrevocable letter of credit or bond the City may
proceed to obtain compliance and abate the default by way of civil
action against the operator, or by criminal action against the
operator, or by both such methods.
(6) When the well or wells covered by said irrevocable letters of credit
or bond have been properly abandoned in conformity with all
regulations of this chapter, and in conformity with all regulations of
the Commission and notice to that effect has been received by the
City, or upon receipt of a satisfactory substitute, the irrevocable
letter of credit or bond issued in compliance with these regulations
shall be terminated and cancelled.
(c) Insurance. In addition to the bond or letter of credit required pursuant to
this chapter, the operator shall carry a policy or policies of insurance
issued by an insurance company or companies authorized to do business
in Texas. In the event such insurance policy or policies are cancelled, the
permit shall be suspended on such date of cancellation and the operator's
right to operate under such permit shall immediately cease until the
operator files additional insurance as provided herein.
(1) General requirements applicable to all policies.
a. The City, its officials, employees, agents and officers shall
be endorsed as an "additional insured" to all policies except
employer's liability coverage under the operator's workers
compensation policy.
b. All policies shall be written on an occurrence basis except for
environmental pollution liability (seepage and pollution
coverage) and excess or umbrella liability, which may be on
a claims-made basis.
c. All policies shall be written by an insurer with an A-: VIII or
better rating by the most current version of the A.M. Best
Key Rating Guide or with such other financially sound
insurance carriers acceptable to the City.
Ordinance No. 2945
Page 25 of 55
d. Deductibles shall be listed on the certificate of insurance and
shall be on a "per occurrence" basis unless otherwise
stipulated herein.
e. Certificates of insurance shall be delivered to the City
Secretary, City of North Richland Hills, 7301 Northeast Loop
820, North Richland Hills, Texas 76180, evidencing all the
required coverage's, including endorsements, prior to the
issuance of a permit.
f. All policies shall be endorsed with a waiver of subrogation
providing rights of recovery in favor of the City.
g. Any failure on part of the City to request required insurance
documentation shall not constitute a waiver of the insurance
requirement specified herein.
h. Each policy shall be endorsed to provide the City a minimum
thirty (30) day notice of cancellation, non-renewal, and/or
material change in policy terms or coverage. A ten (10) days
notice shall be acceptable in the event of non-payment of
premium.
I. During the term of the permit, the operator shall report, in a
timely manner, to the Public Works Department any known
loss occurrence which could give rise to a liability claim or
lawsuit or which could result in a property loss.
J. Upon request, certified copies of all insurance policies shall
be furnished to the City.
(2) Standard commercial general liability policy. This coverage must
include premises, operations, blowout or explosion, products,
completed operation, sudden and accidental pollution, blanket
contractual liability, underground resources damage, broad form
property damage, independent contractors protective liability and
personal injury. This coverage shall be a minimum combined single
limit of one million dollars ($1,000,000.00) per occurrence location
for bodily injury and property damage.
(3) Excess or umbrella liability. Five million dollars ($5,000,000.00)
excess, if the operator has a stand-alone environmental pollution
liability (EPL) policy. Ten million dollars ($10,000,000.00) excess, if
the operator does not have a stand-alone EPL policy. Coverage
must include an endorsement for sudden or accidental pollution. If
seepage and pollution coverage is written on a "claims made"
basis, the operator must maintain continuous coverage and
purchase extended coverage period insurance when necessary.
Ordinance No. 2945
Page 26 of 55
(4) Environmental pollution liability coverage. Operator shall purchase
and maintain in force for the duration of the permit, insurance for
environmental pollution liability applicable to bodily injury, property
damage, including loss of use of damaged property or of property
that has not been physically injured or destroyed; cleanup costs;
and defense, including costs and expenses incurred in the
investigation, defense or settlement of claims; all in connection with
any loss arising from the insured site. Coverage shall be
maintained in an amount of at least one million dollars
($1,000,000.00) per loss, with an annual aggregate of at least ten
million dollars ($10,000,000.00.)
a. Coverage shall apply to sudden and accidental pollution
conditions resulting from the escape or release of smoke,
vapors, fumes, acids, alkalis, toxic chemicals, liquids or
gases, waste material or other irritants, contaminants or
pollutants.
b. The operator shall maintain continuous coverage and shall
purchase extended coverage period insurance when
necessary. The extended coverage period insurance must
provide that any retroactive date applicable to coverage
under the policy precedes the effective date of the issuance
of the permit by the City.
(5) Control of well. The policy should cover the cost of controlling a
well that is out of control, re-drilling or restoration expenses,
seepage and pollution damage as first party recovery for the
operator and related expenses, including, but not limited to, loss of
equipment, experts and evacuation of residents. Five million dollars
($5,000,000.00) per occurrence/no aggregate, if available,
otherwise an aggregate of ten (10) million dollars ($10,000,000.00).
Five hundred thousand dollars ($500,000.00) sub-limit
endorsement may be added for damage to property for which the
operator has care, custody and control.
(6) Workers compensation and employers liability insurance. Workers
compensation benefits shall be Texas statutory limits. Employers'
liability shall be a minimum of five hundred thousand dollars
($500,000.00) per accident. Such coverage shall include a waiver
of subrogation in favor of the City and provide coverage in
accordance with applicable state and federal laws.
(7) Automobile liability insurance. Combined single limit of one million
dollars ($1,000,000.00) per occurrence for bodily injury and
property damage. Coverage must include all owned, hired and not-
owned automobiles.
Ordinance No. 2945
Page 27 of 55
(8) Certificates of insurance. The company must be admitted or
approved to do business in the State of Texas, unless the coverage
is written by a Surplus Lines insurer. The insurance set forth by the
insurance company must be underwritten on forms that have been
approved by the Texas State Board of Insurance or ISO (Insurance
Services Office), or an equivalent policy form acceptable to the
City, with the exception of environmental pollution liability and
control of well coverage. Sets forth all endorsements and
insurance coverage according to requirements and instructions
contained herein. Shall specifically set forth the notice of
cancellation, termination, or change in coverage provisions to the
City. All policies shall be endorsed to read "THIS POLICY WILL
NOT BE CANCELLED OR NON-RENEWED WITHOUT THIRTY
(30) DAYS ADVANCED WRITTEN NOTICE TO THE OWNER AND
THE CITY EXCEPT WHEN THIS POLICY IS BEING CANCELLED
FOR NONPAYMENT OF PREMIUM, IN WHICH CASE TEN (10)
DAYS ADVANCE WRITTEN NOTICE IS REQUIRED." Original
endorsements affecting coverage required by this section shall be
furnished with the certificates of insurance.
(9) Notice. The individual designated to receive notice shall be a
resident of Texas upon whom all orders and notices provided in this
chapter may be served in person or by registered or certified mail.
Every operator shall within ten (10) days notify the Gas Inspector in
writing of any change in such agent or mailing address unless
operations in the City are discontinued and abandonment is
complete.
(10) As an alternative to any or all of the required insurance policies, the
Operator may provide a letter of credit or other security satisfactory
to the City's attorney in such amount, for such term and conditioned
as he may require.
Section 104-13. On Site and Technical Regulations.
(a) Abandoned wells. All wells shall be abandoned in accordance with the
rules of the Railroad Commission; however, all well casings shall be cut
and removed to a depth of at least ten feet (10') below the surface unless
the surface owner submits a written agreement otherwise. No structures
shall be built over an abandoned well.
(b) Blowout prevention. In all cases, blowout prevention equipment shall be
used on all wells being drilled, worked-over or in which tubing is being
changed. Protection shall be provided to prevent blowout during gas
operations as required by and in conformance with the requirements of the
Ordinance No. 2945
Page 28 of 55
Commission and the recommendations of the American Petroleum
Institute (API). The operator must equip all drilling wells with adequate
blowout preventers, flow lines and valves commensurate with the working
pressures involved as required by the Commission. The operator must
conduct daily testing of the operation and pressure providing a copy to the
City weekly.
(c) Chemical and materials storage. All chemicals and/or hazardous
materials shall be stored in such a manner as to prevent, contain, and
facilitate rapid remediation and cleanup of any accidental spill, leak, or
discharge of a hazardous material. Operator shall have all material safety
data sheets (MSDSs) for all hazardous materials on site. All applicable
federal and state regulatory requirements for the proper labeling of
containers shall be followed. Appropriate pollution prevention actions
shall be required and include, but are not limited to, chemical and
materials raised from the ground (e.g., wooden pallets), bulk storage,
installation and maintenance of secondary containment systems, and
protection from stormwater and weather elements.
(d) Closed Loop System. A closed loop mud circulating system shall be the
only approved and permitted system used in the drilling process. This
system is self contained and has the ability to reuse certain products and
is contained within the confines of the drilling pad site.
(e) Fracture Stimulation. The following requirements shall apply to all fracture
stimulation (fracturing) operations performed on a well:
(1) At least forty-eight (48) hours before operations are commenced,
the operator shall post a sign, which complies with (y) Signs (1) of
this Section, at the entrance of the well site advising the public of
the date the operations will commence and an anticipated
completion date;
(2) "Flowback" operations to recover fluids used during fracture
stimulation shall be performed during daylight hours only unless the
Gas Inspector approves in writing such operations during non-
daylight hours;
(3) A watchperson shall be required at all times during such
operations; and
(f) Compliance. Operator shall comply at all times with all applicable federal,
state and City requirements.
(g) Discharge. No person shall place, deposit, discharge, or cause or permit
to be placed, deposited or discharged, any oil, naphtha, petroleum,
asphalt, tar, hydrocarbon substances or any refuse including wastewater
Ordinance No. 2945
Page 29 of 55
or brine from any gas operation or the contents of any container used in
connection with any gas operation in, into, or upon any public right-of-way,
alleys, streets, lots, storm drain, ditch or sewer, sanitary drain or any body
of water or any private or public property in the City.
(h) Drilling fluids. Low toxicity glycols, synthetic hydrocarbons, polymers, and
esters shall be substituted for conventional oil-based drilling fluids.
(i) Drill stem testing. All open hole formation or drill stem testing shall be
done during daylight hours. Drill stem tests may be conducted only if the
well effluent during the test is produced through an adequate gas
separator to storage tanks and the effluent remaining in the drill pipe at the
time the tool is closed is flushed to the surface by circulating drilling fluid
down the annulus and up the drill pipe.
U) Drip pans and other containment devices. Drip pans and other
containment devices shall be placed or installed underneath all tanks,
containers, pumps, lubricating oil systems, engines, fuel and chemical
storage tanks, system valves, connections, and any other areas or
structures that could potential leak, discharge, or spill hazardous liquids,
semi-liquids, or solid waste materials.
(k) Dust, vibration, odors. All drilling and production operations shall be
conducted in such a manner as to minimize, so far as practicable, dust,
vibration, or noxious odors, and shall be in accordance with the best
accepted practices incident to drilling for the production of gas and other
hydrocarbon substances. All equipment used shall be so constructed and
operated so that, vibrations, dust, odor or other harmful or annoying
substances or effect will be minimized by the operations carried on at any
drilling or production site or from anything incident thereto, to the injury or
annoyance of persons living in the vicinity; nor shall the site or structures
thereon be permitted to become dilapidated, unsightly or unsafe. Proven
technological improvements as identified by the Gas Inspector in industry
standards of drilling and production in this area may be adopted as they
become available if capable of reducing factors of dust, vibration and odor.
(I) Electric lines. All electric lines to production facilities shall be located in a
manner compatible to those already installed in the surrounding area or
subd ivision.
(m) Electric motors. Only electric prime movers or motors shall be permitted
for the purpose of pumping wells. No electric power shall be generated on
location. All electrical installations and equipment shall conform to the
City's ordinances and the appropriate national codes.
Ordinance No. 2945
Page 30 of 55
(n) Emergency response plan. Prior to the commencement of any gas or
other hydrocarbons production activities, operator shall submit to the Gas
Inspector an emergency response plan establishing written procedures to
minimize any hazard resulting from drilling, completion or producing of gas
wells. Said plan shall use existing guidelines established by the
Commission, TCEQ, Texas Department of Transportation and/or the
USEPA. The emergency response plan shall be kept current with any
additions, modifications, and/or amendments concerning all construction-
related activities, natural gas operations and, and/or natural gas
production. Updated plans shall be submitted to the Gas Inspector within
two (2) business days. A copy of the emergency response plan shall be
kept on site.
(0) Explosive charges. Under no circumstances shall explosives of any type
be used during any phase of drilling, re-drilling, deepening, re-entering,
activating, converting, fracturing, or completing a gas well without the prior
consent of the Gas Inspector. The operator shall provide notice to the
Gas Inspector at least ten (10) days prior to such activities. The notice
shall identify the date that the explosive charges will be used, the date and
means of transporting the explosive charges, and the transportation route
to and from the drill and/or operation site that will be used for the delivery
of the explosive charges. A permit shall be issued from the Gas Inspector
for all use of explosives.
(p) Fire prevention; sources of ignition. Firefighting apparatus and supplies
as approved by the Fire Department and required by any applicable
federal, state, or local law shall be provided by the operator, at the
operator's cost, and shall be maintained on the drilling site at all times
during drilling and production operations. The operator shall be
responsible for the maintenance and upkeep of such equipment. Each
well shall be equipped 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.
(q) Gas emission or burning restricted. No person shall allow, cause or
permit gases to be vented into the atmosphere or to be burned by open
flame except as provided by law or as permitted by the Commission. If
the venting of gases into the atmosphere or the burning of gases by open
flame is authorized as provided by law or as permitted by the Commission,
then such vent or open flame shall not be located closer than three
hundred feet (300') from any building not used in operations on the drilling
site and such vent or open flame shall be screened in such a way as to
minimize detrimental effects to adjacent property owners.
(r) Grass, weeds, trash. All drill and operation sites shall be kept clear of
high grass, weeds, and combustible trash.
Ordinance No. 2945
Page 31 of 55
(s) Lights. No person shall permit any lights located on any drill or operation
site to be directed in such a manner so that they shine directly on public
roads, adjacent property or property in the general vicinity of the operation
site. To the extent practicable, and taking into account safety
considerations, site lighting shall be directed downward and shielded so
as to both prevent direct illumination of and minimize glare on public
roads and adjacent dwellings and buildings within six hundred feet (600').
(t) 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 equipment shall not be discharged
into the open air unless it is equipped with an exhaust muffler, or mufflers
or an exhaust muffler box constructed of noncombustible materials
sufficient to suppress noise and prevent the escape of noxious gases,
fumes or ignited carbon or soot. All formation fracturing operations shall
be conducted between 7:00 a.m. and 7:00 p.m. Monday through Saturday.
(u) Organic solvents. Organic solvents, such as trichloroethylene and carbon
tetrachloride, shall not be used for cleaning any element, structure, or
component of the drilling rig, platform, and/or associated equipment, tools,
or pipes. To the maximum extent practicable, high flash point Varsol shall
be used.
(v) Pipe dope. Lead-free, biodegradable pipe dope shall be substituted for
API specified pipe dope.
(w) Pits. No open pit shall be used except for freshwater storage. One foot of
freeboard shall be required between the surface elevation and the top of
the berm.
(x) Private roads and drill sites. Prior to the commencement of any drilling
operations, all private roads used for access to the drill site and the
operation site itself shall be at least twenty feet (20') wide, have an
overhead clearance of fourteen feet (14'). All private roads on drill sites
during the drilling and fracturing stages of a drill site shall be an all-
weather hard surface and maintained to prevent dust, mud and rutting. A
permanent private access roadway constructed of concrete in accordance
with the Public Works Design Manual and approved by the Public Works
Department shall be constructed within ninety (90) days after the
production phase begins on all active drilling permits for each Drill Site.
(y) Salt water wells. No salt water disposal wells shall be located within the
City.
Ordinance No. 2945
Page 32 of 55
(z) Signs.
(1) A sign shall be immediately and prominently displayed at the gate
on the temporary and permanent site fencing erected pursuant to
this chapter. Such sign shall be durable material, maintained in
good condition and, unless otherwise required by the Commission,
shall have a surface area of not less than sixteen (16) square feet
with contrasting lettering not less than four inches (4) tall and shall
be lettered with the following:
a. Well name and number;
b. Name of operator;
c. The emergency 911 number; and
d. 24 Hour Telephone numbers of two (2) persons responsible
for the well who may be contacted in case of emergency.
(2) Permanent weatherproof signs reading "DANGER NO SMOKING
ALLOWED" in both English and Spanish shall be posted
immediately upon completion of the well site fencing at the
entrance of each well site and tank battery or in any other location
approved or designated by the Fire Department of the City. Sign
lettering shall be four inches (4") in height and shall be red on a
white background or white on a red background. Each sign shall
include the emergency notification numbers of the Fire Department
and the operator, well and lease designations required by the
Commission.
(aa) Storage of equipment. On-site storage is prohibited on the operation site.
No equipment shall be stored on the drilling or production operation site,
unless it is necessary to the everyday operation of the well. Lumber,
pipes, tubing and casing shall not be left on the operation site except
when drilling or well servicing operations are being conducted on the site.
No vehicle or item of machinery shall be parked or stored on any street,
right-of-way or in any driveway, alley or upon any operation site which
constitutes a fire hazard or an obstruction to or interference with fighting or
controlling fires except that equipment which is necessary for drilling or
production operations on the site. The Fire Department shall be the entity
that determines whether equipment on the site shall constitute a fire
hazard. No refinery, processing, treating, dehydrating or absorption plant
of any kind shall be constructed, established or maintained on the
premises. This shall not be deemed to exclude a conventional gas
separator or dehydrator.
Ordinance No. 2945
Page 33 of 55
(bb) Storage tanks. All tanks and permanent structures shall conform to the
API specifications unless other or additional specifications are approved
by the Fire Department. All storage tanks shall be equipped with a
secondary containment system including lining with an impervious
material. The secondary containment system shall be a minimum of three
feet (3') in height and one and one-half (1 1/2) times the contents of the
largest tank in accordance with the Fire Code, and buried at least one foot
(1') below the surface. Drip pots shall be provided at the pump out
connection to contain the liquids from the storage tank. All tanks shall be
set back pursuant to the standards of the Commission and the National
Fire Protection Association. Each storage tank shall be equipped with a
level control device that will automatically activate a valve to close the well
in the event of excess liquid accumulation in the tank. Meters, storage
tanks, separation facilities, or other above ground facilities proposed in the
floodplain shall comply with the requirements for development in the City
Code, Chapter 102: "Floods and Stormwater Management" and the
requirements in the Public Works Design Manual.
(cc) Tank battery facilities. Tank battery facilities shall be equipped with a
lightning arrestor system.
(dd) Surface casing. Surface casing shall be run and set in full compliance
with the applicable rules and regulations of the Commission.
(ee) Valves. Each well must have a shutoff valve to terminate the well's
production. The Fire Department shall have access to the well site to
enable it to close the shut-off the valve in an emergency.
(ff) Waste disposal. Unless otherwise directed by the Commission, all tanks
used for storage shall conform to the following: Operator must use
portable closed steel storage tanks for storing liquid hydrocarbons. Tanks
must meet the API standards. All tanks must have a vent line, flame
arrester and pressure relief valve. All tanks must be enclosed by a fence
applicable to the issued permit classification. Drilling mud, cuttings, liquid
hydrocarbons and all other field waste derived or resulting form or
connected with the drilling, re-working or deepening of any well shall be
discharged into an above-ground self-contained tank, or, after
authorization by the Gas Board of Appeals, a lined pit. All disposals must
be in accordance with the rules of the Commission and any other
appropriate local, state or federal agency. Unless otherwise directed by
the Commission and approved by the Gas Inspector waste materials shall
be removed from the site and transported to an off-site disposal facility not
less often than every thirty (30) days. Water stored in on-site tanks shall
be removed as necessary. All waste shall be disposed of in such a
manner as to comply with the air and water pollution control regulations of
the state, this chapter and any other applicable ordinance of the City.
Ordinance No. 2945
Page 34 of 55
(gg) Watchperson. The operator must keep a watchman or security personnel
on site during the drilling or re-working of a well when other workmen are
not on the premises.
(hh) Installation of pipelines on, under or across public property. The operator
shall apply to the City for a right-of-way use agreement on, over, under,
along or across the City streets, sidewalks, alleys and other City property
for the purpose of constructing, laying, maintaining, operating, repairing,
replacing and removing pipelines. Operator shall:
(1) Not interfere with or damage existing water, sewer or gas lines or
the facilities of public utilities located on, under or across the course
of such rights-of way.
(2) Furnish to the Public Works Department a site plan showing the
location of such pipelines.
(3) Construct, operate and maintain such lines out of pipe and related
facilities in accordance with applicable Federal law and regulations
of the U.S. Department of Transportation Pipeline and Hazardous
Materials Safety Administration (UPHMSA Regulations") or, to the
extent that Federal law and PHMSA Regulations do not apply, in
accordance with the City Codes and regulations.
(4) After completion of initial pipeline construction, grade, level and
restore such property to the initial construction of the pipeline. With
respect to any subsequent operation involving the pipeline, the
operator shall grade, level and restore such property to the same
surface condition, as nearly as practicable, as existed immediately
prior to such subsequent operation.
(ii) Public streets. No permit shall be issued for any well to be drilled
within any of the streets or alleys of the City and/or projected streets or
alleys shown by the current Comprehensive Plan of the City, and no
street or alley shall be blocked or encumbered or closed due to any
exploration, drilling or production operations unless prior consent is
obtained from the Public Works Department. Any consent from the
Public Works Department shall be temporary in nature and state the
number of hours and/or days that any street or alley may be blocked,
encumbered or closed. The site must not conflict with the City's
ThorouQhfare Plan.
Uj) Vehicle routes for gas well permits. Vehicles associated with drilling
and/or production in excess of three (3) tons shall be restricted to state
arterials, and where local access is required, to those arterials, collectors
or commercial routes designated on the City's thoroughfare plan.
Ordinance No. 2945
Page 35 of 55
(kk) Work hours for gas well operations. No activity other than drilling, shall be
conducted only between 7:00 a.m. and 7:00 p.m. Monday through
Saturday. Truck deliveries of equipment and materials associated with
drilling and/or production, well servicing, site preparation and other related
work conducted on the well site shall be limited to between the above
same work hour restrictions except in cases of fires, blowouts, explosions,
and any other emergencies or where the delivery of equipment is
necessary to prevent the cessation of drilling or production. It is
understood, however that preparation activities prior to fracturing
operations including assembly, perforating, disassembly and cleanup are
allowed other than designated hours with approval from the Gas
Inspector. The Operator may also request an exception from the Gas
Board of Appeals, pursuant to Section 104-18 of this chapter.
(II) Noise restrictions for gas well permits.
(1) During drilling, re-drilling or re-working, no on-site activity shall
produce a sound level greater than seventy-eight (78) dB(a) when
measured at a distance of three hundred feet (300') from the drilling
equipment in question.
(2) During fracturing, no on-site activity shall produce a sound level
greater than eighty-five (85) dB(a) when measured at a distance of
three hundred feet (300') from the drilling equipment in question.
(3) During production, no on-site activity shall produce a sound level
greater than sixty-five (65) dB(a) when measured at a distance of
three hundred feet (300') from any onsite equipment in question.
(4) Sound level measurements shall be made with a sound level meter
conforming as a minimum, to the requirements of the American
National Standards Institute (ANSI).
(5) If sound levels exceed the dB(a) levels referenced in this
subsection, the Gas Inspector may require additional sound
reducing techniques and devices including, but not limited to, sound
reducing mufflers.
(mm) Tank specifications for gas well permit. All tanks and permanent
structures shall conform to the API specifications unless other
specifications are approved by the Fire Department. The top of the tanks
shall be no higher than twelve feet (12') above the terrain surrounding the
tanks.
Ordinance No. 2945
Page 36 of 55
Section 104-14. Screening
(a) Throughout the entire exploration, drilling, and production process there
shall be screening improvements (fences, walls, berms and landscaping)
required during each phase of the process.
(1) Exploration through completion (drilling phase) - Once the pad site
has been prepared a temporary chain link fence with wooden slats
at least six feet (6') in height shall be established around the entire
operation site to obscure view of the gas drilling activities. The
temporary fence shall remain standing and in a serviceable
condition throughout this phase. A secured entrance gate shall be
required. All gates are to be kept locked when the operator or his or
her employees are not within the enclosure. A "Knox Padlock" or
"Knox Box with a key" shall be provided to access the well site to
be used only in case of an emergency.
(2) Completion through abandonment - Within 90 days of completion
of initial drilling of any well on a drilling site a masonry wall with
landscaping shall be required to enclose and visually screen the
well and all associated equipment. Partial screening of the drilling
site shall not be allowed without approval from the Gas Board of
Appeals. An earthen berm may also be required. The masonry
walls, berms, and landscaping shall be in compliance with standard
engineering and design practices and shall meet the following
minimum requirements:
a. The masonry wall material and design shall be generally
compatible with the design of similar facilities, buildings and
structures on and/or adjacent to the site; and
b. Masonry walls shall be at least eight feet (8') in height.
c. Masonry walls shall be placed upon earthen berms in order
to prevent viewing of the well and associated equipment
from a public street, playground, competition athletic field or
picnic area within a public park, existing residences and
residentially zoned undeveloped property contiguous to the
well site where practicable as determined by the DRC.
However, the above mentioned berms shall not be required
unless needed to augment the height of an eight (8') foot
masonry wall in order to prevent the viewing of the well or
any associated equipment from the above items.
Ordinance No. 2945
Page 37 of 55
d. All landscape improvements shall be maintained in an
attractive and healthy state by the applicant and/or operator
as to ensure the effective visual screening of the site
throughout its use for gas production and associated
activities.
e. Screening shrubs and trees shall be evergreen species and
shall be installed in conjunction with the required masonry
walls and or berms in order to supplement both the visual
screening and noise mitigation of the well site and
associated equipment. Screening shrubs shall be a
minimum of five feet (5') in height at planting, having the
potential to grow to a mature height of at least eight feet (8'),
be planted on four foot (4') centers and must have an
irrigation system that provides total water coverage to all
plant materials. Screening trees shall be planted on twenty
foot (20') centers. Trees must be a minimum of three inch
(3") caliper at time of planting and be irrigated as above. All
screening shrubs and trees will comply with the evergreen
species listed within the General Plant List as part of the
City's Landscape Regulations. Plans for landscape and
irrigation shall be submitted to the Planning and
Development Department for approval.
(b) Gate specifications. All temporary fences and masonry walls shall be
equipped with at least one (1) gate. The gate shall meet the following
specifications:
(1) Each gate shall be not less than twelve feet (12') wide and be
composed of two (2) gates, each of which is not less than six feet
(6') wide, or one (1) sliding gate not less than twelve feet (12') wide.
If two (2) gates are used, gates shall latch and lock in the center of
the span;
(2) The gates shall be of chain link construction, with all-weather
screening fabric, that meets the applicable specifications, or of
other approved material that, for safety reasons, shall be at least as
secure as a chain link fence;
(3) The gates shall be provided with a combination catch and locking
attachment device for a padlock, and shall be kept locked except
when being used for access to the site; and
(4) Operator must provide the Fire Department with a "Knox Padlock"
or "Knox Box with a key" to access the well site to be used only in
case of an emergency.
(5) At each gate there needs to be a sign that reads "no trespassing"
Ordinance No. 2945
Page 38 of 55
Section 104-15. Cleanup and Maintenance
(a) Cleanup after well servicing. After the well has been completed or
plugged and abandoned, the operator shall clean the drill site or operation
site, complete restoration activities and repair all damage to public
property caused by such operations within sixty (60) days.
(b) Clean-up after spills, leaks and malfunctions. After any spill, leak or
malfunction, the operator shall remove or cause to be removed to the
satisfaction of the Fire Department and the Gas Inspector all waste
materials from any public or private property affected by such spill, leak or
malfunction. Clean-up operations must begin immediately. If the owner
fails to begin site clean-up within twenty-four (24) hours, the City shall
have the right to contact the Commission in order to facilitate the removal
of all waste materials from the property affected by such spill, leak or
malfunction.
(c) Painting. All production equipment shall be painted and maintained at all
times, including wellheads, pumping units, tanks, and buildings or
structures. When requiring painting of such facilities, the Gas Inspector
shall consider the deterioration of the quality of the material of which such
facility or structure is constructed, the degree of rust, and its appearance.
Paint shall be of a neutral color, compatible with surrounding uses.
Neutral colors shall include sand, gray and unobtrusive shades of green,
blue and brown, or other neutral colors approved by the Planning and
Development Department.
(d) Blowouts. In the event of the loss of control of any well, operator shall
immediately take all reasonable steps to regain control regardless of any
other provision of this chapter and shall notify the Gas Inspector and Fire
Department as soon as practicable. The Gas Inspector shall certify in
writing, briefly describing the same, to the City Manager. If the City
Manager, in his opinion, believes that danger to persons and property
exists because of such loss of well control and that the operator is not
taking or is unable to take all reasonable and necessary steps to regain
control of such well, the City may then employ any well control expert or
experts or other contractors or suppliers of special services, or may incur
any other expenses for labor and material which the City deems
necessary to regain control of such well. The City shall then have a valid
lien against the interest in the well of all working interest owners to secure
payment of any expenditure made by the City pursuant to such action of
the Gas Inspector in gaining control of said well.
Section 104-16. Plugged and Abandoned Wells.
(a) Surface requirements for plugged and abandoned well. Whenever
abandonment occurs pursuant to the requirements of the Commission, the
Ordinance No. 2945
Page 39 of 55
operator so abandoning shall be responsible for the restoration of the well
site to its original condition as nearly as practicable, in conformity with the
regulations of this chapter.
(b) Abandonment shall be approved by the Gas Inspector after restoration of
the drill and/or operation site has been accomplished in conformity with
the following requirements at the discretion of the Public Works
Department:
(1) The derrick and all appurtenant equipment thereto shall be
removed from the site;
(2) All tanks, towers, and other surface installations shall be removed
from the site;
(3) All concrete foundations, piping, wood, guy anchors and other
foreign materials regardless of depth, except surface casing, shall
be removed from the site, unless otherwise directed by the
Commission;
(4) If any soil was contaminated, it shall be removed from the site in
accordance with City, State and Federal regulations.
(5) All holes and depressions shall be filled with clean, compactable
soil;
(6) All waste, refuse or waste material shall be removed from the site;
and
(7) During abandonment, operator shall comply with all applicable
sections in this chapter.
(c) Abandoned well requirement. The operator shall furnish the following to
the Gas Inspector:
(1) A copy of the approval of the Commission confirming compliance
with all abandonment proceedings under the state law; and
(2) A notice of intention to abandon under the provisions of this section
and stating the date such work will be commenced. Abandonment
may then be commenced on or subsequent to the dates so stated.
(d) Abandonment requirements prior to new construction. All abandoned or
deserted wells or drill sites shall meet the most current abandonment
requirements of the Commission prior to the issuance of any building
permit for development of the property. No structure shall be built over an
abandoned well.
Ordinance No. 2945
Page 40 of 55
(e) The Operator can only abandon a well if the Gas Inspector has reviewed
and approved the abandonment and all appropriate Commission
requirements have been met.
Section 104-17. Technical Advisor
The City may from time to time employ a technical advisor or advisors who are
experienced and educated in the gas industry or the law as it pertains to gas
matters. The function of such advisor(s) shall be to advise, counselor represent
the City on such matters relating to gas operations within the City as the City may
want or require and the effect thereof, both present and future, on the health,
welfare, comfort and safety of the citizens of the City. In the event such technical
advisor(s) is (are) employed for the purpose of advising, counseling or
representing the City relative to an operator's unique and particular set of
circumstances, case or request relating to this chapter, then the cost for such
services of such technical advisor(s) shall be assessed against and paid for by
such operator in addition to any fees or charges assessed pursuant to this
chapter. Prior to the employment of a technical advisor, the City shall inform the
operator of the intended scope of work and the estimated costs and expenses.
The employment of a technical advisor shall be approved by the City Council.
Article III - Appeals
Section 104-18. Appeals
(a) In order to hear and decide appeals of orders, decisions, or
determinations made by the Gas Inspector and or the DRC relative to the
application and interpretation of this chapter, there shall be and is hereby
created a Gas Board of Appeals consisting of members who shall pass on
matters pertaining to all gas well applications and permits. The Board
shall be subject to the Texas Open Meetings Act and Public Information
Act.
(b) The chairpersons of the Planning and Zoning Commission, the Zoning
Board of Adjustment, the Parks and Recreation Board, the Keep North
Richland Hills Beautiful Commission and the Substandard Building Board
shall serve as the Gas Board of Appeals.
(c) The Gas Board of Appeals is authorized to decide by majority vote
requests for deviations specifically authorized by this chapter, such as
distance of drilling sites from certain structures and improvements, and
hours of operation. The Board is likewise authorized to decide by majority
vote requests for deviations from landscape and screening requirements
and can hear requests for allowing compressors on specific sites within
the City. Relevant considerations in determining whether such requests
should be granted include the nature and remoteness of the site, the
wishes of the owner(s) of the immediately adjacent property impacted by
the request, and any proposed measures to offset the impact of the
request. The Board may impose restrictions to offset the impact of the
Ordinance No. 2945
Page 41 of 55
requests. Requests shall be in writing stating the rationale for the deviation
and shall be accompanied by a filing fee of $500.00.
(d) The Gas Board of Appeals shall have and exercise the authority to hear
and determine appeals where it is alleged there is error or abuse of
discretion regarding the issuance of a gas well permit or the revocation or
suspension of any permit issued hereunder, and as provided by this
chapter. Any person or entity whose application is denied by the DRC or
whose permit is suspended or revoked may file an appeal to the Gas
Board of Appeals. Such appeal shall be in writing, specifying the error or
abuse of discretion and shall be accompanied by a filing fee of $500.00.
The Gas Board of Appeals shall review the appeal and any other related
information. The Gas Board of Appeals in deciding appeals regarding the
issuance of a gas well permit or its revocation or suspension shall
consider the grounds for the action appealed from and whether an error of
fact or in interpretation of these regulations occurred. The Board may
reverse or modify the action appealed from only upon the concurring vote
of 75% of the members of the Board present and voting. The only basis
for a reversal or modification shall be error in applying these regulations;
hardship shall be irrelevant.
(e) Notice shall be provided of the date, time and place of a hearing for each
request for a deviation and appeal by mailing such notice to the owner of
record of each parcel of property located within six hundred feet (600') of
the well within the city and to the City Secretary of each city within such
distance. Such notice shall be mailed at least ten (10) days prior to such
hearing.
(f) Judicial Review of Board Decisions on Appeals
(1) Any of the following persons may present to a district court of
Tarrant County Texas a verified petition stating that the decision of
the Gas Board of Appeals is illegal in whole or in part and
specifying the grounds of the illegality:
a. the person whose appeal was denied;
b. a City taxpayer; or
c. the City Manager of the City of North Rich/and Hills, Texas.
(2) The petition must be received for filing by the clerk of the district
court within 10 days after the date the decision is made by the
Board.
(3) On the presentation of the petition meeting the foregoing
requirements, the court may grant a writ of certiorari directed to the
Ordinance No. 2945
Page 42 of 55
board to review the board's decision. The writ must indicate the
time by which the board's return must be made and served on the
petitioner's attorney, which must be after 10 days and may be
extended by the court. Granting of the writ does not stay the
proceedings on the decision under appeal, but on application and
after notice to the Board the court may grant a restraining order if
due cause is shown.
(4) The Board's return must concisely state any pertinent and material
facts that show the grounds of the decision under appeal. The
Board is not required to return the original documents on which the
Board acted but may return certified or sworn copies of the
documents or parts of the documents as required by the writ.
(5) If after receiving the return the court determines that there is
substantial evidence in such return to constitute grounds for
reasonable persons to differ as to whether the action of the Board
in denying the appeal was lawful, the court shall affirm the decision.
If the court finds that there is insufficient information contained in
such return to make such a determination, and that testimony is
necessary for the proper disposition of the matter, it may take
evidence or appoint a referee to take evidence as directed. The
referee shall report the evidence to the court with the referee's
findings of fact and conclusions of law. The referee's report
constitutes a part of the proceedings on which the court shall make
its decision.
(6) The court may reverse or affirm, in whole or in part, or modify the
decision that is appealed. Costs shall not be assessed against the
Board.
Sections 104-19 - 104-30 Reserved
Article IV - Gas Pipeline Installation
Section 104-31. Public Right-Of-Way Use Agreement Requirements
A Public Right-Of-Way Use Agreement shall be required prior to any gas pipeline
construction within the City. The Public Right-Of-Way Agreement shall include,
but is not limited to the following information:
(a) The Pipeline Company/applicant name, phone number, fax number,
physical address, and, if possible, email address; if the Pipeline Company
is a corporation, the state of the incorporation, and if the Pipeline
Company is a partnership, the names and addresses of the general
partners shall be provided.
(b) Detailed mapping of location and extent of proposed use within public
right-of-way.
Ordinance No. 2945
Page 43 of 55
(c) A traffic safety and management plan as required by the Public Works
Department.
(d) Bonds in the amount of the cost of work or $50,000, whichever amount is
greater. Such bonds shall guarantee:
(1) the faithful performance and completion of all construction,
maintenance, removal or repair work in accordance with the
contract between Company and the contractor;
(2) full payment for all wages for labor and services and of all bills for
materials, supplies and equipment used in the performance of that
contract;
(3) that Pipeline Company shall restore the right-of-ways affected by
such cut, opening, or other excavation in a satisfactory and
workmanlike manner; and
(4) maintain such restoration work in a state of repair satisfactory to the
City for a period of two years following the date the City approves
the restoration; and fully comply with the City's ordinances
governing excavation in the public rights-of-ways. If the Pipeline
Company meets its obligations under this Section, the City shall
return the bond to the Pipeline Company upon expiration of the
two-year period. The bonds shall name both the City and Pipeline
Company as dual obliges.
Section 104-32. Fees and Payments to City
The following fees shall be due to the City prior to any pipeline construction:
(a) Application Fee - Pipeline Company shall pay the City an Application Fee
in the amount of $1,500.00. This fee shall be collected at the time
Pipeline Company applies for a permit to construct gas pipelines within the
City and submits Gas Pipeline Construction Plans.
(b) Right-of-Way Uses Fee - Pipeline Company shall pay a Right-of-Way
Uses Fee. This fee shall be collected on or prior to the Effective Date of
the Agreement, and annually thereafter, Pipeline Company shall pay the
City as compensation for its use of the Public Rights-of-Ways for the Term
of the Agreement the sum of $1.75 per linear foot based on the linear foot
of gas pipeline proposed to be constructed within the City's public Right-
Of-Way ("License Fee"). This License Fee shall be adjusted annually
based on the Dallas-Fort Worth Consumer Price Index.
(c) Construction Plan Review Fee - Pipeline Company shall pay a
Construction Plan Review Fee. This fee in the amount equivalent to
Ordinance No. 2945
Page 44 of 55
2.23% of the actual construction costs of the gas pipeline proposed to be
constructed within the City's public Right-Of-Way shall be collected on or
prior to constructing any gas pipelines within the City for Gas Pipeline
Construction Plan review. This fee percentage shall be approved annually
by the City Council and indicated as the Construction Plan Review Fee
within the City's Fee Table.
(d) Inspection Fee - Pipeline Company shall pay an Inspection Fee. This fee
in the amount equivalent to 3.34% of the actual construction costs of the
gas pipeline proposed to be constructed within the City's public Right-Of-
Way shall be collected on or prior to constructing any gas pipelines within
the City for inspection of gas pipeline construction. This fee percentage
shall be approved annually by the City Council and indicated as the
Inspection Fee within the City's Fee Table.
(e) Other Payments and Interest - In addition to the License Fee, Pipeline
Company shall pay the City all sums which may be due the City for
property taxes, license fees, permit fees, or other taxes, charges or fees
that the City may from time to time impose on all other similarly situated
entities within the City.
Section 104-33. Regulatory Authority of the City
A Pipeline Company's property and operations hereunder shall be subject to
such regulation by the City as may be reasonably necessary for the protection or
benefit of the general public. In this connection, Pipeline Company shall be
subject to, governed by and shall comply with all applicable federal, state and
local laws, including all ordinances, rules and regulations of the City, as same
may be adopted and amended from time to time.
Section 104-34. Use of Public Rights-Of-Ways
The City has the right to control and regulate the use of the Public Rights-of-
Ways, public places and other City-owned property and the spaces above and
beneath them. Pipeline Company shall comply with all applicable laws,
ordinances, rules and regulations, including, but not limited to, City ordinances,
rules and policies related to construction permits, construction bonds, permissible
hours of construction, operations during peak traffic hours, barricading
requirements and any other construction rules or regulations that may be
promulgated from time to time.
(a) Pipelines shall not be erected, installed, constructed, repaired, replaced or
maintained in any manner that places an undue burden on the present or
future use of the Public Rights-of-Ways by the City and the public. If the
City reasonably determines that the Pipeline does place an undue burden
on any portion of the Public Rights-of-Ways, Pipeline Company, at
Pipeline Company's sole cost and expense and within a reasonable time
period specified by the City, shall modify the Pipeline or take other actions
Ordinance No. 2945
Page 45 of 55
reasonably determined by the City to be in the public interest to remove or
alleviate such undue burden.
(b) Prior to the undertaking of any kind of construction, installation,
maintenance, removal, repairs or other work that requires the excavation,
lane closure or other physical use of the Public Rig hts-of-Ways , Pipeline
Company shall, except for work required to address an emergency,
provide at least 48 hours' advance written notice to the owners of property
adjacent to the Public Rights-of-Ways that will be affected. In the case of
emergencies Pipeline Company shall provide notice to the affected
landowners within 24 hours after commencement of work.
(c) During any such work, Pipeline Company shall provide construction and
maintenance signs and sufficient barricades at work sites to protect the
public. The use of such traffic control devices shall be consistent with the
standards and provisions of Part VI of the Texas Manual on Uniform
Traffic Control Devices. Pipeline Company shall utilize appropriate
warning lights at all construction and maintenance sites where one or
more traffic lanes are closed or obstructed during nighttime conditions.
Pipeline Company shall plan and execute construction of the pipeline so
that no flood conditions are created or worsened on the surrounding land.
To minimize erosion, the excavated portion of the right-of-way adjacent to
the improved portion of the road shall be restored and revegetated in
accordance with Exhibit "C" which specifies the appropriate grass seed
mix to be used.
(d) Pipeline Company shall bury or have buried its pipeline facilities at least
four feet (4') deep except underneath public roads. Underneath public
roads, Pipeline Company's pipeline facilities shall be at least seven feet
(7') below the lowest point in such road pavement. When pipeline facilities
can not be bored, during backfill of the pipeline excavation, "Buried
Pipeline" warning tape shall be buried one foot above the pipeline to warn
future excavators of the presence of the pipeline.
(e) Isolation Valves - The number and location of isolation valves on the
Pipeline shall be approved by the City and clearly indicated on the
Construction Plans.
(f) Marking of Pipeline - The Pipeline shall be marked, in a manner that is
reasonably acceptable to the Gas Inspector, to show conspicuously
Pipeline Company's name, a toll-free telephone number of Pipeline
Company that a Person may call for assistance and the appropriate Texas
One Call System telephone number.
(g) Pavement Cut Coordination and Additional Fees - The City shall have the
right to coordinate all excavation work in the Public Rights-of-Ways in a
manner that is consistent with and convenient for the implementation of
Ordinance No. 2945
Page 46 of 55
the City's program for street construction, rebuilding, resurfacing and
repair. To preserve the integrity of the Public Rights-of-Ways, Pipeline
Company shall not cut, excavate or otherwise breach or damage the
surface of any paved Public Right-of-Ways within 96 months following the
construction or resurfacing of such Public Right-of-Ways unless Pipeline
Company obtains written consent from the City Manager, which consent
shall not be unreasonably withheld, pays an additional fee reasonably
agreed to by and between the parties, and restores the Public Rights-of-
Ways in accordance with this Agreement.
(h) Restoration of Public Rights-of-Ways and Property - Pipeline Company, at
Pipeline Company's sole cost and expense, and in a manner approved by
the City, shall promptly restore any portion of the Public Rights-of-Ways,
City-owned property or other privately-owned property that are in any way
disturbed or damaged by the construction, operation, maintenance or
removal of any of the Pipeline to, at Pipeline Company's option, as good
or better a condition as such property was in immediately prior to the
disturbance or damage. Pipeline Company shall complete the restoration
of property from any disturbance or damage within 60 calendar days
following the date that Pipeline Company first became aware of the
disturbance or damage. Any private service/utility lines that are in any
way disturbed or damaged by the Pipeline Company's construction,
operation, maintenance or removal of any of the Pipeline, shall be
repaired at the Pipeline Company's sole cost and expense within 24
hours.
(i) Relocation of Pipeline - Within one hundred eighty (180) calendar days
following a written request by the City, Company, at Pipeline Company's
sole cost and expense, shall protect, support, disconnect, alter or remove
from the Public Rights-of-Ways all or any portion of its Pipeline due to
street or other public excavation, construction, repair, grading, regrading
or traffic conditions; the installation of sewers, drains, water pipes or
municipally-owned facilities of any kind; the vacation, construction or
relocation of streets or any other type of structure or improvement of a
public agency; any public work; or any other type of improvement
necessary, in the City's sole discretion, for the public health, safety or
welfare. If Pipeline Company reasonably requires more than one hundred
eighty (180) days to comply with the City's written request, it shall notify
the City Manager in writing and the City will work in good faith with
Pipeline Company to negotiate a workable time frame. Any relocation will
require that the Public Works Department, at Pipeline Company's
expense, approve Pipeline Company's plans. It is the desire of both
parties to determine such relocation within the existing Public Right-of-
Way.
U) Emergencies
Ordinance No. 2945
Page 47 of 55
(1) Work by the City - a public emergency shall be any condition which,
in the reasonable opinion of the officials specified herein, poses an
immediate threat to life, health or property and is caused by any
natural or man-made disaster, including, but not limited to, storms,
floods, fires, accidents, explosion, water main breaks and
hazardous materials spills. In the event of a public emergency, the
City shall have the right to take whatever action is deemed
reasonably appropriate by the City Manager or Fire Chief, or their
authorized representatives, including, but not limited to, action that
may result in damage to the Pipeline, and Company hereby (i)
releases the City, its officers, agents, servants, employees and
subcontractors from liability or responsibility for any Damages that
may occur to the Pipeline or that Pipeline Company may otherwise
incur as a result of such necessary response, and (ii) agrees that
Pipeline Company, at Pipeline Company's sole cost and expense,
shall be responsible for the repair, relocation or reconstruction of all
or any of its Pipeline that is affected by such action of the City. In
responding to a public emergency, the City agrees to comply with
all local, state and federal laws, including, without limitation, any
requirements to notify the Texas One Call System, to the extent
that they apply at the time and under the circumstances. In
addition, if the City takes any action that it believes will affect the
Pipeline, the City will notify Pipeline Company as soon as
practicable so that Pipeline Company may advise and work with the
City with respect to such action.
(2) Work by or on Behalf of Pipeline Company - In the event of an
emergency that directly involves any portion of the Pipeline and
necessitates immediate emergency response work on or repairs,
Pipeline Company may initiate the emergency response work or
repairs or take any action required under the circumstances
provided that Pipeline Company notifies the City as promptly as
possible. After the emergency has passed, Pipeline Company shall
apply for and obtain a construction permit from the DRC and
otherwise fully comply with the requirements of the applicable right-
of-way use agreement.
(k) Removal of Pipeline
(1) Pipeline Company obligated to Remove - Upon the revocation,
termination or expiration without extension or renewal of an
Agreement, Company's right to use the Public Rights-of-Ways
under this Agreement shall cease and Pipeline Company shall
immediately discontinue the transportation of Gas in or through the
City. Within one hundred eighty (180) days following such
revocation, termination or expiration and if the City requests,
Ordinance No. 2945
Page 48 of 55
shall remove the Pipeline from the Public Rights-of-Ways (or cap
and abandonment of the Pipeline, if consented to by the City), in
accordance with applicable laws and regulations.
(2) City's Right to Remove - If Pipeline Company has not removed all
of the Pipeline from the Public Rights-of-Ways (or capped the
Pipeline, if consented to by the City) within six (6) months following
revocation, termination or expiration of an Agreement, the City may
deem any portion of the Pipeline remaining in the Public Rights-of-
Ways abandoned and, at the City's sole option, (i) take possession
of and title to such property or (ii) take any and all legal action
necessary to compel Pipeline Company to remove such property;
provided, however, that Pipeline Company may not abandon its
facilities or discontinue its services within the City without the
approval of the Commission or successor agency or any other
regulatory authority with such jurisdiction.
(3) Restoration of Property - Within six (6) months following revocation,
termination or expiration of an Agreement, Pipeline Company shall
also restore any property, public or private, that is disturbed or
damaged by removal (or, if consented to by the City, capping) of
the Pipeline. If Pipeline Company has not restored all such
property within this time, the City, at the City's sole option, may
perform or have performed any necessary restoration work, in
which case Pipeline Company shall immediately reimburse the City
for any and all reasonable costs incurred in performing or having
performed such restoration work.
Section 104-35. As-Built Plans and Maps
Pipeline Company, at Company's sole cost and expense, shall provide the City
with as-built plans of all portions of the Pipeline located in the City and the City's
extraterritorial jurisdiction and maps showing such Pipeline within one hundred
eighty (180) calendar days following the completion of such Pipeline. Pipeline
Company shall supply the textual documentation of such as-built plans and maps
in a TIFF format and shall otherwise fully cooperate with the City in ensuring that
the Pipeline is accurately reflected in the City's mapping system. The TIFF
format provided to the City shall meet the following requirements:
(a) The file shall be saved directly to the TIFF format and not
converted from another format;
(b) The file shall be saved at a resolution of 400 pixels/inch (ppi);
and
(c) The LZW compression format shall be used.
Ordinance No. 2945
Page 49 of 55
Section 104-36. Liability and Indemnification
(a) Liability of Pipeline Company - Pipeline Company shall be liable and
responsible for any and all damages, losses, liabilities Uoint or several),
payments, obligations, penalties, claims, litigation, demands, defenses,
judgments, lawsuits, proceedings, costs, disbursements or expenses
(including, without limitation, fees, disbursements and reasonable
expenses of attorneys, accountants and other professional advisors and of
expert witnesses and costs of investigation and preparation) of any kind or
nature whatsoever (collectively "Damages"), which may arise out of or be
in any way connected with (i) the construction, installation, operation,
maintenance or condition of the Pipeline or any related facilities or
appurtenances; (ii) the transportation of Gas through the Pipeline; (iii) any
claim or lien arising out of work, labor, materials or supplies provided or
supplied to Pipeline Company, its contractors or subcontractors with
respect to the Pipeline; or (iv) Company's failure to comply with any
applicable federal, state or local law, ordinance, rule or regulation, except
to the extent directly caused by the gross negligence or intentional
misconduct of the City.
(b) Indemnification - Indemnification - PIPELINE COMPANY, AT PIPELINE
COMPANY'S SOLE COST AND EXPENSE, SHALL INDEMNIFY AND
HOLD HARMLESS THE CITY, ITS OFFICERS, BOARDS,
COMMISSIONS, AGENTS, EMPLOYEES AND VOLUNTEERS
(IIINDEMNITEES'?, FROM AND AGAINST ANY AND ALL DAMAGES
WHICH MA Y ARISE OUT OF OR BE IN ANY WA Y CONNECTED WITH
(I) PIPELINE COMPANY'S CONSTRUCTION, INSTALLATION,
OPERA TION, MAINTENANCE OR CONDITION OF THE PIPELINE OR
ANY RELA TED FACILITIES OR APPURTENANCES; (II) THE
TRANSPORTATION OF GAS THROUGH THE PIPELINE; (III) ANY
CLAIM OR LIEN ARISING OUT OF WORK, LABOR, MA TERIALS OR
SUPPLIES PROVIDED OR SUPPLIED TO PIPELINE COMPANY, ITS
CONTRACTORS OR SUBCONTRACTORS; OR (IV) PIPELINE
COMPANY'S FAILURE TO COMPL Y WITH ANY APPLICABLE
FEDERAL, STATE OR LOCAL LA ~ ORDINANCE, RULE OR
REGULA TION, ACTS; OR (V) THE NEGLIGENT ACT OR OMISSION(S)
OF THE CITY, ITS OFFICERS AND EMPLOYEES.
(c) Assumption of Risk - Pipeline Company hereby undertakes and assumes,
for and on behalf of Pipeline Company, its officers, agents, contractors,
subcontractors, agents and employees, all risk of dangerous conditions, if
any, on or about any City-owned or City-controlled property, including, but
not limited to, the Public Rights-of-Ways.
(d) Defense of Indemnitees - If an action is brought against any Indemnitee by
reason of any matter for which the Indemnitees are indemnified
Ordinance No. 2945
Page 50 of 55
hereunder, the City shall give Pipeline Company prompt written notice of
the making of any claim or commencement of any such action, lawsuit or
other proceeding, and Pipeline Company, at Pipeline Company's sole cost
and expense, shall resist and defend the same with reasonable
participation by the City and with legal counsel selected by Pipeline
Company and specifically approved by the City, at City's own expense. In
such an event, Pipeline Company shall not admit liability in any matter on
behalf of any Indemnitee without the advance written consent of the City.
Section 104-37. Insurance
Pipeline Company shall procure and maintain at all times, in full force and effect, a
policy or policies of insurance to provide coverages as specified herein, naming the
City as an additional insured and covering all public risks related to the use,
occupancy, condition, maintenance, existence or location of the Public Rights-of-
Ways and the construction, installation, operation, maintenance or condition of the
Pipeline, including the transportation of Gas through the Pipeline, as follows:
(a) Primary Liability Insurance Coverage
(1) Commercial General Liability:
$5,000,000 per occurrence, including coverage for the following:
(i) Premises Liability; (ii) independent contractors; (iii)
products/completed operations; (iv) personal injury; (v) contractual
liability; (vi) explosion, collapse and underground property
damage
(2) Property Damage Liability:
$1,000,000 per occurrence
(3) Automobile Liability:
$1,000,000 per accident, including, but not limited to, all owned,
leased, hired or non-owned motor vehicles used in conjunction
with the rights granted under this Agreement
(4) Worker's Compensation:
As required by law; and, Employer's Liability as follows:
$1,000,000 per accident
(b) Requirements and Revisions to Required Coverage - The City may, not
more than once every five years during the term of this Agreement, revise
insurance coverage requirements and limits required by this Agreement.
Pipeline Company agrees that within ninety days of receipt of written
notice from the City, Pipeline Company will implement all such revisions
reasonably requested by the City. The policy or policies of insurance shall
be endorsed to provide that no material changes in coverage, including,
but not limited to, cancellation, termination, non-renewal or amendment,
Ordinance No. 2945
Page 51 of 55
shall be made without thirty (30) days' prior written notice to the City. The
policies and Certificate of Insurance provided to the City shall contain the
following language:
CANCELLATION CLAUSE
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE
CANCELLED BEFORE THE EXPIRATION DATE
THEREFORE, THE ISSUING INSURER WILL PROVIDE 30
DAYS WRITTEN NOTICE TO THE NAMED CERTIFICATE
HOLDER.
(c) Underwriters and Certificates - Pipeline Company shall procure and
maintain its insurance with underwriters authorized to do business in the
State of Texas and who are reasonably acceptable to the City in terms of
solvency and financial strength. Within thirty (30) days following adoption of
this Agreement by the City Council, Pipeline Company shall furnish the City
with certificates of insurance signed by the respective companies as proof
that it has obtained the types and amounts of insurance coverage required
herein. No construction shall commence until such certificates are received.
In addition, Pipeline Company shall, on demand, provide the City with
evidence that it has maintained such coverage in full force and effect.
(d) Deductibles - Deductible or self-insured retention limits on any line of
coverage required herein shall not exceed $50,000 in the annual aggregate
unless the limit per occurrence or per line of coverage, or aggregate is
otherwise approved by the City.
(e) No Limitation of Liability - The insurance requirements set forth in this
section and any recovery by the City of any sum by reason of any insurance
policy required under this Agreement shall in no way be construed or
affected to limit or in any way affect Pipeline Company's liability to the City
or other persons as provided by this Agreement or law.
(f) As an alternative to any or all of the required insurance policies, the Pipeline
Company may provide a letter of credit or other security satisfactory to the
City's attorney, in such amount, for such term and conditioned as he may
require.
104-38. Provision of Information
(a) Filings with the Commission - Pipeline Company shall, upon request,
provide copies to the City of all documents which Pipeline Company files
with or sends to the Commission concerning or related to its transportation
of Gas through or other operations in the City, including, but not limited to,
filings related to (i) rules, regulations and policies requested, under
consideration or approved by the Commission; and (ii) applications and
any supporting pre-filed testimony and exhibits filed by Pipeline Company
Ordinance No. 2945
Page 52 of 55
or third parties on behalf of Pipeline Company, on the same date as such
filings are made with the Commission. In addition, Pipeline Company
shall provide the City with copies of records, documents and other filings
that Pipeline Company is required to maintain or supply to the
Commission under any applicable state or federal law, rule or regulation.
(b) Lawsuits - Pipeline Company shall provide the City with copies of all
pleadings in all lawsuits to which Company is a party and that pertain to
the granting of this Agreement and/or the transportation of Gas through
the City within thirty (30) days of Pipeline Company's receipt of same.
Sections 104·39 - 104-50 Reserved
Article V - Penalties, Severabilty and Effective Date
Section 104-51. Penalty
(a) It shall be unlawful and an offense for any person to do the following:
(1) Engage in any activity not permitted by the terms of a gas well
permit issued under this chapter.
(2) Fail to comply with any condition set forth in a gas well permit
issued under this chapter; or
(3) Violate any provision or requirement set forth under this chapter.
(b) Any violation of this chapter shall be punished by a fine of not more than
five hundred dollars ($500.00) per violation per day, subject to applicable
state law. Each day that a violation exists shall constitute a separate
offense.
(c) Any violation of this chapter that governs fire safety, public health, and/or
sanitation, including dumping, refuse, or discharge, shall be punished by a
fine not exceeding two thousand dollars ($2,000) per violation per day,
subject to applicable state law. Each day that a violation exists shall
constitute a separate offense.
(d) The penalty provided herein shall be cumulative of other remedies
provided by state law, including but not limited to, the recovery of civil
penalties under Subchapter B, Chapter 54, of the Texas Local
Government Code. The City may institute any appropriate action or
proceeding in a court of competent jurisdiction to enjoin the violation of
this chapter. The power of injunction may be exercised in enforcing this
chapter whether or not there has been a criminal complaint filed."
Ordinance No. 2945
Page 53 of 55
Section 3: Severability Clause
It is hereby declared to be the intention of the City Council that the phrases,
clauses, sentences, paragraphs and sections of this ordinance are severable,
and if any phrase, clause, sentence, paragraph or section of this ordinance shall
be declared unconstitutional by the valid judgment or decree of any court of
competent jurisdiction, such unconstitutionality shall not affect any of the
remaining phrases, clauses, sentences, paragraphs and sections of this
ordinance, since the same would have been enacted by the City Council without
the incorporation of this ordinance of any such unconstitutional phrase, clause,
sentence, paragraph or section.
Section 4: Repealer and Savings Clause
Any provision of any prior ordinance of the City whether codified or uncodified,
which are in conflict with any provision of the Ordinance, are hereby repealed to
the extent of the conflict, but all other provisions of the ordinances of the City
whether codified or uncodified, which are not in conflict with the provisions of this
Ordinance, shall remain in full force and effect.
Section 5: Publication Clause
The City Secretary is authorized and directed to cause publication of the
descriptive caption and penalty clause of this ordinance as an alternative method
authorized by law.
Section 6: Effective Date
This Ordinance shall become effective August 1,2007.
PASSED, APPROVED AND ADOPTED by the City Council of the City of North
Richland Hills, Texas, on this the 23rd day of July, 2007.
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Ordinance No. 2945
Page 54 of 55
APPRO,\ED ~ C~NTENT:
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John Pitstick, Planning & Development Director
Ordinance No. 2945
Page 55 of 55
INVOICE
..
Star- Telegram
400 W. 7TH STREET
FORT WORTH, TX 76102
(817) 390-7761
Federal Tax ID 22-3148254
Customer ID:
Invoice Number:
Invoice Date:
Terms:
Bill To:
CITY OF N RICHLAND HILLS/SECRET
PO BOX 820609
NORTH RICHLAND HILLS, TX 76182-
Due Date:
PO Number:
Order Number: 28697624
Sales Rep: 073
Description: CITY OF NORTH RI
Publication Dates: 7/30/07 -7/31/07
CIT 13
286976241
7/31/07
Net due in 21 days
7/31/07
CITY OF NORTH RICHLAND HILLS
13580
115
115 LINE
$0.36
$82.80
Net Amount:
$82.80
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THE STATE OF TEXAS
County of Tarrant
Before me, a Notary Public in and for said County and State, this day personally appeared Deborah Baylor, Bid and Legal Coordinator
for the Star-Telegram, published by the Star-Telegram, Inc. at Fort Worth, in Tarrant County, Texas; and who, after being duly sworn, did depose and
say that the attached clipping of an advertisement was published in the above named paper on the listed dates: BIDS & LEGAL DEPT. STAR
TELEGRAM
(817) 390-7501
SUBSCRIBED AND SWORN TO BEFORE ME, THIS Friday,
Thank You For Your Payment
----------------------------------------------
Remit To: Star-Telegram
P.O. BOX 901051
FORT WORTH, TX 76101-2051
Customer ID:
Customer Name:
Invoice Number:
Invoice Amount:
CIT13
CITY OF N RICHLAND HIL
286976241
$82.80
PO Number:
Amount Enclosed: $
I
CITY OF NORTH
RICH LAND HILLS
ORDINANCE NO.
2945
An ordinance amend-
Ing Chapter 1.04 of
~~~hl£~ H~"S N¿'o'â~
of Ordlnançes reg-
ulating the drilling
and production of
gas wells within the
CIty; ,regulating ,gas
~IPe.llne construc~
~:~'ltyrr~~J~mPng :
~~:s~!J=bnro-
tldn;' 1)"",Idf~'~
severability; provid-
Ing a cumulative
clause; and estab-
(egII NotIcu
IIshlng an effective
date.
S:tit1on 1.()4-51; Pen-
(a) I~ sh,,1I be urolawful
and an offjlnse for
any person to do the
followIng:
(1.) Engage In any
activity not permit-
ted by the terms of
a gas well permit
Issued under this
chapter. ,
(2) Fall to comply with
any condItion set
forth In a gas well
~ermlt Issued under
(3~1\~~r:e~n~r, pro-
vision or require-
ment set forth under
this èhapter.
(b) Any violation of
this chapter shall be
punished by a fine of
not mOJe than five
hundred dollars
($500.00) per' viola-
tion per da~t sUbJect
t:w.a~~~~ada~ t~a~t:
violation exIsts shall
constitute asepa-
rate offense.
(Ch Any violation of
~o~ern~h'Wr~er saf~~~
public health, and/or
sanitation, IncludIng
~t's~~~~:é, r-:;::IT' g~
~~rIS~:~ee~n: r~g
thousand dollars
($2,00(1) per vIola-
tion per d~r sUbtct
}ow.a~~~~-ada~ t~a~t:
v1olatlon exIsts shall
constitute a sepa-
rate offense.
('!ÀdJ~ttr:rna~Ka8rg~
cumulative of other
remedies provided by
~~~ten~~w(¡~?~~dlr~
the recovery of civIl
penaltIes under
Subchapter 8,
Chapter 54, of the
Texas Local Gov-
ernment Code. The
City may InstItute
any appropriate ac-
tion or proceeding in
a court of competent
W,~s~I~~~ro~o o'}nl~\~
chapter. The po~er
of InJunctIon må!æbe
exercised In, en, " -
Ing this chaDt
whether or not théré
has been a criminal
complaint filed.
Passed and ApRroved
on this 23rd (lay of
July, 2007.
Is/Oscar Trevino
Oscar Trevino -,
Mayor'
ATTEST~·
IS/Patricia Hutson
Pfi ut!òon -
CI', ,.ry
A "AS TO
F '''.GAL-
ITV: ' ,
Is/Geor,!e Staples
~:¡~rl"tto~~~~s -