HomeMy WebLinkAbout20041695 RESOLUTION
RE: ACTION OF BOARD AT PROBABLE CAUSE HEARING CONCERNING USE BY
SPECIAL REVIEW PERMIT #729 - LYSTER FAMILY FARMS/PATINA OIL AND GAS
CORPORATION
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS,on the 21st day of June, 2004, a Probable Cause Hearing was held before the
Board to consider setting a Show Cause Hearing to determine whether or not the current property
owners, Lyster Family Farms,22727 Weld County Road 64,Greeley,Colorado 80631, and Patina
Oil and Gas Corporation, 1625 Broadway, Suite 2000, Denver,Colorado 80202, are in compliance
with Section 23-2-200.E of the Weld County Code relating to Use by Special Review Permit#729
for an Oil and Gas Support Operation(saltwater injection facility)in the A(Agricultural)Zone District
on property described as part of the SW1/4 of Section 26,Township 6 North, Range 65 West of the
6th P.M., Weld County, Colorado, and
WHEREAS, the question presented to the Board was whether there are sufficient facts to
show that it is more probable than not that Use by Special Review Permit#729 has been inactive
for a period exceeding three(3)years,thereby warranting the scheduling of a Show Cause Hearing
on the matter, and
WHEREAS, at said hearing, Patina Oil and Gas Corporation was represented by Mike
Wesniak, and Lyster Family Farms was represented by Norman Lyster, and
WHEREAS, after hearing testimony from those present, the Board finds that there is not
sufficient probable cause to schedule a Show Cause Hearing in this matter.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that there are not sufficient facts to show that it is more probable than not that
Use by Special Review Permit #729 has been inactive for a period exceeding three (3) years,
thereby warranting the scheduling of a Show Cause Hearing, and that the matter be, and hereby is,
dismissed.
2004-1695
PL0038
PROBABLE CAUSE HEARING-LYSTER FAMILY FARMS/PATINA OIL AND GAS CORPORATION
(USR #729)
PAGE 2
The above and foregoing Resolution was, on motion duly made and seconded,adopted by
the following vote on the 21st day of June, A.D., 2004.
0.100 s. BOARD OF COUNTY COMMISSIONERS
II�� I / /n//// WE(�I D C�n/O.UN ', CItO�LORADO
( , R ±� �` ��y j��//I/ 1 �t 60, ?r-
i %� ( i :? = Robert D. Masden, Chair
C'"EN rat Clerk to the Board
l
• *N /� William H. ke, Pro-Tem
Deputy Clerk to the Board
M. eile
O AST
David E. Long
ounty Attorne Sid
Glenn Vaad
Date of signature: 4442.4
2004-1695
PL0038
a
DEPARTMENT OF PLANNING SERVICES
Code Compliance Division
1555 N. 17th Avenue, Greeley, CO 80631
Phone: (970) 353-6100, Ext. 3540
Ci Fax: (970)304-6498
COLORADO
CASE SUMMARY
CASE NUMBER: USR-729
NAME: Lyster Family Farms/Patina Oil &Gas Corporation
MAILING ADDRESS: Lyster Family Farms: 22727 County Road 64, Greeley, CO 80631
Patina Oil & Gas: 1625 Broadway, Suite 2000, Denver, CO 80202
LEGAL DESCRIPTION: Part of the NW4 and part of the NW4 NE4 of Section 30, T2N, R66W
of the 6th P.M., Weld County, Colorado
TOTAL ACREAGE: 5 Acres
April 30, 1986 USR-729 approved by the Board of County Commissioners
June 7, 1989 Two additional 400-barrel tanks and additional pipe rack storage areas as
proposed by Coors Energy determined not to be a substantial change and
approved by the Department of Planning Services contingent upon submittal
of a screening plan for the pipe rack storage areas and subject to the
condition that vehicle trips to and from the site do not exceed the number
indicated on the original USR-729 application.
May 13, 2004 Weld County Planning Staff sends letter to Dave Siple - Patina
Oil &Gas indicating that staff has determined that the USR-729 permit is
considered an inactive operation and indicating an administrative hearing
before the Board of County Commissioners will be required.
April 29, 2004 Patina Oil & Gas sends letter RE: Lyster Disposal Well.
May 26, 2004 Dave Siple- Patina Oil &Gas indicates they are prepared to attend an
administrative hearing to consider the status of USR-729.
June 10, 2004 Letter indicating June 21, 2004 probable cause hearing date regarding the
status of USR-729 mailed to Patina Oil & Gas and Lyster Family Farms.
Case Summary Continued
June 16, 2004
Page 2
Staff Recommendation:
It is the understanding of County staff pursuant to a telephone conversation between Dave Siple (Patina
Oil & Gas) and representatives from the Department of Planning Services (Kim Ogle & Chris Gathman)
and the Department of Public Health & Environment (Cindi Etcheverry)that this facility has been inactive
for a period of five years and would be considered inactive per section 23-2-200.E of the County Code.
Section 23-2-200.E of the County Code states: "If the Use by Special Review has not commenced within
three (3)years from the date of approval or is discontinued for a period of three (3)consecutive years, it
shall be presumed inactive. The county shall initiate an administrative hearing to grant an extension of
time to commence the use or revoke the Use by Special Review. If the Use by Special Review is revoked,
it shall be necessary to follow the procedures and requirements of this Section in order to reestablish any
Use by Special Review."
The original USR-729 application materials indicated that the facility would be visited by a maximum of 2-3
truck trips per day. In conversations with Dave Siple, Patina Oil & Gas, it was indicated that future users
of the facility would be looking at possibly 50 truck trips a day. Staff would consider this to be a substantial
change to the existing Use by Special Review 729 permit. Staff would recommend that USR-729 be
revoked and a that new USR be applied for that reflects the revised amounts of truck trips so that
additional impacts to county roads and neighboring properties as a result of the increased traffic could be
addressed.
f c(1\I
'gDEPARTMENT OF PLANNING SERVICES
CCode Compliance Division
WI O WWW.CO.WELD.CO.US
E-mail Address: cgathman@co.weld.co.us
• 1555 N. 17th Avenue, Greeley, CO 80631
COLORADO _ Phone(970) 353-6100
Fax(970) 304-6498
June 10, 2004
Lyster Family Farms
22727 County Road 64
Greeley, CO 80631
Dave Siple
Vice President
Patina Oil and Gas Corporation
1625 Broadway, Suite 2000
Denver, CO 80202
Subject: USR-729, Part SW4 SE4 of Section 26, T6N, R65W of the 6th P.M., Weld County, Colorado
Dear Lyster Family Farms and Mr. Siple,
Notice is hereby given that on Monday, June 21, 2004, at 9:00 a.m., or as soon thereafter as the agenda of the
Board of County Commissioners permits, the Board of County Commissioners of Weld County will hold a
Probable Cause public hearing pursuant to Chapter 23, Article 11(2), Division 4, Section 23-2-270 of the Weld
County Code. This meeting will take place in the Commissioner's Hearing Room, Weld County Centennial
Center, 915 10' Street, Greeley, Colorado.
The purpose of this public hearing will be to review case number USR-729 for compliance with Section 23-2-
200.E of the Weld County Code to determine if probable cause exists to extend or revoke USR-729.
Section 23-2-200.E states:"If the Use by Special Review has not commenced within three(3)years from the date
of approval or is discontinued for a period of three (3) consecutive years, it shall be presumed inactive. The
COUNTY shall initiate an administrative hearing to consider whether to grant an extension of time to commence
the use or revoke the Use by Special Review. It the Use by Special Review is revoked, it shall be necessary to
follow the procedures and requirements of this Section in order to reestablish any Use by Special Review."
It is the understanding of County staff pursuant to a telephone conversation between Mr. Siple, and
representatives from the Department of Planning Services(Chris Gathman and Kim Ogle)and the Department of
Public Health and Environment(Cindi Etcheverry),that this facility(USR-729)has been inactive for a period of
approximately five years and thus would be considered inactive per Section 23-2-200.E of the County Code.
Should you have any questions regarding this letter,or if you need any further information,please feel free to contact
me at the above address,telephone number or e-mail address. If you wish to see me personally,please call to schedule
an appointment so that I may reserve a sufficient amount of time with you.
Sincerely,
•
Chris Gathman
Planner II - AICP
pc: USR-673
Board of County Commissioners
Bruce Barker, County Attorney
•-.is -0
SERVICE,TEAMWORK,INTEGRITY,QUALITY
SENDER: COMPLETE THIS SECTION col/'LETS IRIS SECTION ON DELIVERY
• Complete items 1,2,and 3.Also complete A. signature
item 4 if Restricted Deliveryis desired. ❑Agent
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4. Restricted Delivery?(Extra Fee) ❑ Yes
2. Article Number
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PS Form 3811,August 2001 Domestic Return Receipt
?ACPRI-03P-0091
SEN 1 E': C•M'LETE THIS SECTION
COMFLETF THIS SECTI•N•N OELIVE•V
• Complete items 1,2,and 3.Also complete A. Signature
item 4 if Restricted Delivery is desired. I
• Print your name and address on the reverse X N(1,.,., (h i 1/
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PS Form 3811,August 2001 Domestic Return Receipt "
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U.S.Postal Service
CERTIFIED MAIL RECEIPT
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PATINA
OIL&GAS CORPORATION
1625 Broadway, Suite 2000
Denver, Colorado 80202
(303) 389-3600
(303) 389-3680 Fax
May 26, 2004 Weld County Planning Depart ie,r
GREELcy rrrICC
VIA U.S. MAIL & FAX (970-304-6498) MAY 2 7 2004
Weld County Department of Planning Services
Attn: Mr. Kim Ogle
1555 N. 17th Avenue
Greeley, CO 80631
Re: USR-729
Lyster Disposal Well
Dear Mr. Ogle:
Pursuant to your letter dated May 13, 2004, Patina Oil & Gas Corporation ("Patina") will be
prepared to attend an administrative hearing to consider the status of the referenced permit. We
have several questions regarding the hearing:
1. How does Patina initiate the hearing process?
2. How soon can the hearing be scheduled?
3. What information does Patina need to present at the hearing?
4. Is the hearing a formal, legal proceeding or informal?
Any guidance and assistance that you can provide with expediting the process would be greatly
appreciated. Please don't hesitate to call if you have any comments or questions regarding this
matter.
Sincerely,
PATIN OIL & AS CORPORATION
David W. Siple
Vice President
c: Jay Decker
Andy Ashby
Scott Reasoner
Kea ts\ -61
DEPARTMENT OF PLANNING SERVICES
1555 N. 17'"AVENUE
GREELEY, COLORADO 80631
WEBSITE: www.co.weld.co.us
C E-mail address: S
O PHONE (970) 353-6100, EXT. 3540
FAX (970) 304-6498
COLORADO
May 13, 2004
David Siple
Vice President
Patina Oil and Gas Corporation
1625 Broadway, Suite 2000
Denver, CO 80202
Subject: USR-729, Lyster Disposal Well
Dear Mr. Siple:
The Department of Planning Services is in receipt of your letter dated April 29, 2004 concerning
staff's determination that the above referenced permit is no longer a valid permit. Staffs
determination was based on interpretation of the Weld County Code, specifically Section 23-2-
200.
Section 23-2-200.E states "If the Use by Special Review has not commenced within three (3)
years from the date of approval or is discontinued for a period of three (3) consecutive years, it
shall be presumed inactive. The COUNTY shall initiate an administrative hearing to consider
whether to grant an extension of time to commence the use or revoke the Use by Special
Review. If the Use by Special Review is revoked, it shall be necessary to follow the procedures
and requirements of this Section in order to reestablish any Use by Special Review."
It is important to note the latter portion of the first sentence, "or is discontinued for a period of
three (3) consecutive years, it shall be presumed inactive." Your letter states that Patina took
no steps to discontinue the use of the well, staff concurs with this statement as this office has
not received any correspondence asking for vacation of the existing permit. However, pursuant
to a telephone conversation with representatives from the Department of Public Health and
Environment (Cindi Etcheverry) and the Department of Planning Services, (Chris Gathman and
Kim Ogle) and yourself, it was understood by the County that this facility has been inactive for a
period of approximately five years, thus would be considered inactive per County Code.
Given the issues presented in your letter and the known timeline of inactive operation for this
facility, staff will require Patina Oil and Gas to attend an Administrative hearing before the
Board of County Commissioners to consider this permit.
Please direct your comments and all correspondence to this department for action.
Should you have any questions or need further information, I may be reached at the above
address, telephone number or e-mail address.
Sincerely,
Kim Ogle
Planning Manager
pc: C. Etcheverry, DPH&E
C.Gathman, DPS
ec: L.Morrison,Attorney's Office
File: USR-729
Property Research
ULJI �o �uuv ua: �i 3035957410 PATINA OIL&GAS CORP
PAGE 02/03
PATINA
s
•
CORPORATIOrl
1625 Broadway, 3ulte 2000
Denver. Colorado 80202
(303) 389-3600
(303) 389-3680 Fax
April 29, 2004
VIA U,S. MAIL & FAX (970-304-6498)
Weld County Department of Planning Services
Attn: Mr. Kim Ogle
1555 ti- 17`h Avenue
Greeley, CO 80634
Re: USR-729:86:11
Lyster Disposal Well
Dear Mr. Ogle:
Thank you for speaking with me last week regarding the Use by Special Review ("USR") for the
Lyster Disposal Well (the "Well") which was approved on April 30, 1986- As you know. Patina
Oil & Gas Corporation ("Patina") is the successor to Coors Energy Company under the USR.
During our conversation you indicated that Weld County(the "County") considers the USR to be
inactive. Patina has reviewed Section 23-2-200 of the County Code and we respectfully disagree
with the County's decision.
The USR should not be considered inactive for the following reasons:
1) The Well and the onsite equipment and tanks have been maintained by Patina in full
operational capacity.
2) The agreement between Patina and the landowner is in full force and effect and Patina
has paid approximately $78,000 since 1999 as required thereunder.
3) The Colorado Oil and Gas Conservation Commission (the "Commission") has
confirmed that Patina's permit for the Well is valid and that the Well is in compliance with
Commission rules and regulations.
In fact, Patina took no steps to discontinue its use of the Well. If Patina intended to discontinue
use of the Well, the equipment would have been removed and the agreement with the landowner
would have been allowed to expire along with the permit from the Commission. Patina has
relied upon the Well being available for water disposal and has taken the affirmative steps to
maintain the equipment, permit and agreement.
uo io; rona ne: zi 3035957410 PATINA OIL&GAS CORP PAGE 03/03
Weld County Department of Planning Services April 29, 2004
Page 2 -
The operation of the Well is vital to Patina's current and planned operations within the County.
A presumption of inactivity of the L/SR by the County
l create an Patina. Patina respectfully requests that the County review its decision regarding the status of
the USR in light of the foregoing facts. Please don't hesitate to call if you havea
an te hardship upon
questions regarding this matter.
y oents or
Sincerely,
PA N OIL GAS CORPORATION
avid W.• le
Vice President
r Jay Decker
Andy Ashby
Scott Reasoner
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r
,,rr _ DEPARTMr t OF PLANNING SERVICES
re r
�,
g (` PHONE(303)356-4000 EXT.4400
j 915 10th STREET
y _ GREELEY,COLORADO 80631
W I
C.
COLORADO
June 7, 1989
Mr. John Al.thouse, Supervisor
Mine Engineering
Coors Energy Company
P. 0. Box 467
Golden, Colorado 80402
Dear Mr. Althouse:
Thank you for your letter of June 1. As we discussed in our conversation
yesterday, the Department of Planning Services' staff has determined that
the addition of two 400—barrel tanks to your special review permit site is
not considered a major change to USR-729 as approved. The following items
need clarification :
1 . The 8 x 20 shop/storage area shown on your submitted plat appears
larger than the 16 x 20 pumphouse already permitted. Please
clarify size and uses of the shop/storage area. You mentioned
yesterday that the bathroom facilities will not be located in the
shop/storage area as shown on the plat.
2. If the pipe rack storage areas are to be located as shown on the
plat, screening must be provided. Please submit a plan to us for
screening these areas.
3. Approval of the additional tanks and structures does not imply
approval of additional truck traffic to the site. Vehicle trips
are not to exceed the number shown in the approved application
materials.
Please check with the Weld County Building Inspection Department regarding
building permit applications for new structures.
Please let me know if you. have any questions.
Sincerely yours,
Lanell J. Curry
Current Planner
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MEMORANDUM
CTO: Chris Gathman, Planner II DATE: June 17, 2004
FROM: Donald Carroll, Engineering Administrator )
COLORADO SUBJECT: USR-729, Lyster Family Farms/Patina Oil & Gas
I received this request June 16, 2004,for a hearing scheduled for June 21, 2004.
The original USR-729 application material indicated that the facility would accommodate a maximum of two to
three trucks per day. It is now proposed that the facility will accommodate 50 trucks per day.
WCR 64 is designated on the Weld County Road Classification Plan (FHU) as a local gravel road, which dead
ends with a cul-de-sac on the east side of the Greeley/Weld County Airport adjacent to the runway. I verified
that the width of the road is approximately 22 feet in width. The distance from the edge of the asphalt on WCR
47 west to the entrance of the proposed USR is approximately 1,975 feet. There are four residential-type
structures with at least one or two now being occupied.
It is recommended that the applicant enter into a Long-Term Road Maintenance and Improvements Agreement
with the Weld County Public Works Department as the plant site shall generate an increase in heavy truck
traffic on the local gravel road. The applicant will be responsible for upgrading and maintenance of the
designated haul route on WCR 64 west of WCR 47. Improvements will consist of improving the intersection of
WCR 64 and WCR 47 with adequate turning radiuses, widening this section of WCR 64 to 26 feet in width to
accommodate two-way heavy truck traffic, improvements at the approach road and WCR 64 with either soil
stabilization or possibly a paved section to be determined as per the volume of truck traffic, ditch relocation,
entry location, extension of culverts, and other relevant improvements within the County right-of-way.
This is our typical agreement site specific associated with any heavy hauling impacts to the county road
system.
pc: Keith Meyer, Engineering Manager
USR-729
M:\PLANNING - DEVELOPMENT REVIEW\USR-Use by Special Review\USR-729.DOC
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a MEMORANDUM
rs t TO: CHRIS GATHMAN, DEPT. PLANNING SERVICES
FROM: CINDI ETCHEVERRY, ENV. HEALTH SERVICES
' SUBJECT:LYSTER FAMILY FARMS, USR - 729
O DATE: 6/21/2004
• CC: BOARD OF COUNTY COMMISSIONERS
COLORADO TREVOR JIRICEK, DIRECTOR, WCDPHE
MONICA MIKA, DIRECTOR,PLANNING SERVICES
The Environmental Health Services has responded to several complaints during April, 2004, concerning
the Lyster Well. The complaints allege strong odors were emanating from the facility, that they were
digging up contamination at the facility, and that there were no demolition permits for the tearing down
and moving of existing buildings. The complainants were also concerned about their health and
groundwater contamination. Upon inspection of the facility, I observed that the facility was under
remediation. I did not observe strong odors emanating from the pit or underground piping that had been
removed. I also did not observe water at the bottom of the pit.
Colorado Oil and Gas Conservation Commission (COGCC) over saw the remediation project. According
to Randall Ferguson of the COGCC, the project has been completed and requires no further action. I
have also spoke with Ed DiMatteo of the COGCC concerning the integrity of the injection well and related
structures. He said the injection well itself is capable of handling an increase of volumes. However, if the
facility were to increase volumes surface improvements would be required.
Additionally, please be aware that if this was a new Use by Special Review Permit application,
Environmental Health Services would require additional surface improvements. The improvements would
include, but not be limited to the following:
• Cement secondary containment structures around the tank battery,
• noise limitations,
• chemical storage requirements,
• surfaces to be constructed to minimize infiltration into soil,
• appropriate grading to insure that all spilled waste is contained within the unloading pad,
• air emissions permits be obtained,
• and that the facility comply with the laws, standards, rules and regulations of the Air Quality
Control Commission, the Water Quality Control Commission, the Hazardous Materials and Solid
Waste Division, the Colorado Oil and Gas Commission, and any other applicable agency.
EXHIBIT
0:\ETCH\WASTE\Lysfer1040618memo for probable cause hearngdoc
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Chris Gathman
From: David Sipe [DSIPLE@patinaoil.com] -
Sent: Friday, June 18, 2004 5:02 PM
To: Chris Gathman
Cc: wozniak.mike@dorseylaw.com; Scott Reasoner
Subject: USR-729
Pursuant to your request for clarification, Patina wants to extend the USA under the
originally approved conditions . Assuming that the Board approves the extension, we may
request a change to the USR to allow additional vehicle use at a later date pursuant t_
Sec. 2?-2-2J_ .
EXHIBIT
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