Loading...
HomeMy WebLinkAbout20250659.tiffResolution Approve Use by Special Review Permit, USR24-0025, for Oil and Gas Support and Service (Substation and Compressor Station) Outside of Subdivisions and Historic Townsites in the A (Agricultural) Zone District — Cervi Enterprises, Inc., c/o Kerr- McGee Oil and Gas Onshore, LP 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, the Board of County Commissioners held a public hearing on the 19th day of March, 2025, at the hour of 10:00 a.m., in the Chambers of the Board, for the purpose of hearing the application of Cervi Enterprises, Inc., P.O. Box 1930, Greeley, Colorado 80632, do Kerr-McGee Oil and Gas Onshore, LP, 1099 18th Street, Suite 700, Denver, Colorado 80202, for Use by Special Review Permit, USR24-0025, for Oil and Gas Support and Service (substation and compressor station) outside of subdivisions and historic townsites in the A (Agricultural) Zone District, on the following described real estate, being more particularly described as follows: All of Section 23, Township 3 North, Range 63 West of the 6th P.M., Weld County, Colorado Whereas, at said hearing, the applicant was represented by Matt Wells, Kerr-McGee Oil and Gas Onshore, 1099 18th Street, #700, Denver, Colorado 80202, and Whereas, Section 23-2-230 of the Weld County Code provides standards for review of said Use by Special Review Permit, and Whereas, the Board of County Commissioners heard all of the testimony and statements of those present, studied the request of the applicant and the recommendation of the Weld County Planning Commission, and all of the exhibits and evidence presented in this matter, and having been fully informed, finds that this request shall be approved for the following reasons: 1. The submitted materials are in compliance with the application requirements of Section 23-2-260 of the Weld County Code. 2. The applicant has demonstrated that the request is in conformance with Section 23-2-230.B of the Weld County Code as follows: A. Section 23-2-230.B.1 —The proposed use is consistent with Chapter 22 and any other applicable code provisions or ordinance in effect. 1) Section 22-2-60.B states: "Support responsible energy and mineral development." The applicant, Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore (a subsidiary of Occidental Petroleum Corporation) is requesting a USR for an electric substation that will cc . PL (DE/MN/DA/KR), ASR (sq CA (HC), APPL. REP. oy /30/2.5 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP Page 2 encumber 0.7 acres and a gas lift compressor station for four (4) compressors, to be located on 3.5 acres. Both the substation and compressor station will be on a 640 -acre parcel. The substation transformer has a capacity of 25 MVA and there will be a step down / step up transformer with 115kV primary and 24.9 kV secondary. There is a short connection (gen-tie) between the Tri-State switch yard that is located to the north of the subject property. There will be a total of four (4) compressors, two (2) of which will be installed immediately, and then as more oil and gas locations come online over the next two (2) years, the other two (2) compressors will be installed. According to the Reclamation Statement, the site will be reclaimed upon termination of the substation and compressor station, including: all equipment will be removed, and the ground will be graded to accommodate agricultural uses, or be re -vegetated to 80% of pre -disturbance vegetative cover. The site will be enclosed with a chain link fence or cattle fence. The substation and compressor station, to be known as the Bronco Comprehensive Development Plan (CDP) Electric Substation and Gas Lift Compression Station, will support the Bronco CDP, which is nine (9) oil and gas locations that were submitted to, and reviewed by, the Oil and Gas Energy Department under case #1041 WOGLA22-0044. The substation and compressor station will support the nine (9) oil and gas locations identified in the Bronco CDP. 2) Section 22-2-60.B.2. states: "Ensure that infrastructure, such as adequate roads and utilities, exist or can be made available, prior to development of energy and mineral resource production facilities." The access will be from U.S. Highway 34 at mile post 128.772 (County Road 69). The applicant has applied to, and received approval from, the Colorado Department of Transportation (CDOT) Access for Permit #419110. The site is located seven and one-half (7.5) miles south of U.S. Highway 34 and two and one-half (2.5) miles north of Interstate 76 (1-76) (along County Road 69 resolution right- of-way). B. Section 23-2-230.B.2 - The proposed use is consistent with the intent of the A (Agricultural) Zone District. 1) Section 23-3-10 Intent, states: "Agriculture in the County is considered a valuable resource, which must be protected from adverse impacts resulting from uncontrolled and undirected business, industrial and residential land uses. The A (Agricultural) Zone District is established to maintain and promote agriculture as 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP Page 3 an essential feature of the county. The A (Agricultural) Zone District is intended to provide areas for the conduct of agricultural activities and activities related to agriculture and agricultural production, and for areas for natural resource extraction and energy development, without the interference of other, incompatible land uses." 2) Section 23-3-40.V allows for a Use by Special Review Permit for Oil and Gas Support and Service in the A (Agricultural) Zone District, as defined in Section 23-1-90, and lists natural gas compressor stations and natural gas processing facilities, including liquification (LNG) facilities. The substation will support the new oil and gas facilities in the area, as listed in the Bronco CDP. C. Section 23-2-230.B.3 — The uses which will be permitted will be compatible with the existing surrounding land uses. The adjacent properties are zoned A (Agricultural) and the land uses include dryland pasture grasses and oil and gas encumbrances. Within one (1) mile of the site there are no residences, but two (2) USRs: USR-1562, for electrical power lines; and USR-1166, for a 22 -inch pipeline. The Weld County Department of Planning Services sent notice to two (2) surrounding property owners and no correspondence was received in response. The applicant has submitted a Reclamation Statement. The site is surrounded by properties that are owned by the same owner as the subject property and in a remote area of the County, being located seven and one-half (7.5) miles south of U.S. Highway 34 and two and one-half (2.5) miles north of 1-76 along County Road 69 resolution right-of-way. The proposed use is in an area that can support this development, and the Conditions of Approval and Development Standards will assist in mitigating the impacts of the facility on the adjacent properties and ensure compatibility with surrounding land uses and the region. D. Section 23-2-230.B.4 — The uses which will be permitted will be compatible with future development of the surrounding area, as permitted by the existing zoning, and with the future development, as projected by Chapter 22 of the Weld County Code and any other applicable code provisions or ordinances in effect, or the adopted Master Plans of affected municipalities. The site is not located within the three (3) mile referral area of an incorporated municipality or a County. E. Section 23-2-230.B.5 — The application complies with Chapter 23, Articles V and XI, of the Weld County Code. The property is not located within any overlay district officially adopted by the County, including A -P (Airport) Overlay District, 1-25 Overlay District, Geologic Hazard Overlay District, 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP Page 4 MS4 - Municipal Separate Storm Sewer System area, Special Flood Hazard Area, Historic Townsites Overlay District, or Agricultural Heritage Overlay District. Building Permits issued on the lot will be required to adhere to the fee structure of the County -Wide Road Impact Fee, County Facility Fee, and Drainage Impact Fee Programs. F. Section 23-2-230.B.6 — If the use is proposed to be located in the A (Agricultural) Zone District, the applicant has demonstrated a diligent effort has been made to conserve Prime Farmland in the locational decision for the proposed use. The proposed site is located on 495 acres of Valent- Loup complex, low to severe slopes (0 to 9%), 123 acres of Valent sand, low slope (0 to 3%), one (1) acre of Loup-Boel loamy sands, low slope (0 to 3%), four (4) acres of Valent sand, moderate to severe slopes (3 to 9%), and 16 acres of water. The above listed soil types are designated as "Not Prime Farmland" with Valent sand, low slope (0 to 3%) designated as "Farmland of Local Importance". The 4.2 acres of land that will be built out for the substation and compressor station are located on Valent sand, low to severe slopes (0 to 9%), therefore, no "Prime Farmland" will be removed from production. G. Section 23-2-230.B.7 — The Design Standards (Section 23-2-240, Weld County Code), Operation Standards (Section 23-2-250, and 23-4-290, Weld County Code), Conditions of Approval and Development Standards can ensure there are adequate provisions for the protection of the health, safety, and welfare of the inhabitants of the neighborhood and County. This proposal has been reviewed by the appropriate referral agencies and it has been determined that the attached Conditions of Approval and Development Standards ensure there are adequate provisions for the protection of the health, safety and welfare of the inhabitants of the neighborhood and county and will address and mitigate impacts on the surrounding area with the operation of open mining (sand, gravel, stone, and overburden) and processing of minerals. Now, therefore, be it resolved by the Board of County Commissioners of Weld County, Colorado, that the application of Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP, for Use by Special Review Permit, USR24-0025, for Oil and Gas Support and Service (substation and compressor station) outside of subdivisions and historic townsites in the A (Agricultural) Zone District, on the parcel of land described above, be, and hereby is, granted subject to the following conditions: 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP Page 5 1. Prior to recording the map: A. The applicant shall acknowledge the recommendations of the Weld County Oil and Gas Energy Department, as stated in the referral dated October 23, 2024. Written evidence of such shall be submitted to the Weld County Department of Planning Services. B. The map shall be amended to delineate the following: 1) All sheets of the map shall be labeled USR24-0025. 2) The attached Development Standards. 3) The map shall be prepared in accordance with Section 23-2-260.D of the Weld County Code. 4) The applicant shall delineate the trash collection areas on the map. Section 23-2-240.A.13 of the Weld County Code addresses the issue of trash collection areas. 5) The applicant shall develop a Lighting Plan for review and acceptance, in accordance with Sections 23-9-40 and 23-2-250 of the Weld County Code. 6) All signs shall be shown on the map and shall adhere to Chapter 23, Article IV, Division 2 of the Weld County Code. 7) The applicant shall show and label all recorded easements and rights -of -way by book and page number or Reception number and date. 8) The applicant shall show the approved Colorado Department of Transportation (CDOT) access on the map and label with the approved access Permit number, if applicable. 9) The applicant shall show and label the entrance gate, if applicable. 10) The applicant shall show and label the drainage flow arrows. 11) The applicant shall show and label the parking and traffic circulation flow arrows showing how the traffic moves around the property. 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., do Kerr-McGee Oil and Gas Onshore, LP Page 6 2. Upon completion of Condition of Approval #1 above, the applicant shall submit one (1) electronic copy (.pdf) of the map for preliminary approval to the Weld County Department of Planning Services. Upon approval of the map the applicant shall submit a paper map along with all other documentation required as Conditions of Approval. The paper map shall be recorded in the office of the Weld County Clerk and Recorder by the Department of Planning Services. The map shall be prepared in accordance with the requirements of Section 23-2-260.D of the Weld County Code. The paper map and additional requirements shall be submitted within 120 days from the date of the Board of County Commissioners Resolution. The applicant shall be responsible for paying the recording fee. 3. In accordance with Appendix 5-J, Weld County Code Ordinance, should the map not be recorded within the specified timeline from the date of the Board of County Commissioners Resolution, a $50.00 continuance fee shall be added for each additional three (3) month period. 4. Prior to Construction: A. If more than one (1) acre is to be disturbed, a Weld County Grading Permit will be required. B. Overweight and/or oversized Special Transport Permits from the Department of Public Works shall be required for all applicable trucks traveling on County maintained roads. 5. The Use by Special Review is not perfected until the Conditions of Approval are completed and the map is recorded. Activity shall not occur, nor shall any Building or Electrical Permits be issued on the property, until the Use by Special Review map is ready to be recorded in the office of the Weld County Clerk and Recorder or the applicant has been approved for an early release agreement. Use by Special Review Permit Development Standards Cervi Enterprises, Inc. c/o Kerr-McGee Oil and Gas Onshore, LP USR24-0025 1. Use by Special Review Permit, USR24-0025, is for Oil and Gas Support and Service (substation and compressor station) outside of subdivisions and historic townsites in the A (Agricultural) Zone District, subject to the Development Standards stated hereon. 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., do Kerr-McGee Oil and Gas Onshore, LP Page 7 2. Approval of this plan may create a vested property right, pursuant to Section 23-8-10 of the Weld County Code. 3. The facility is unmanned, according to the application materials. 4. All signs shall adhere to Chapter 23, Article IV, Division 2 of the Weld County Code. 5. The property owner or operator shall be responsible for controlling noxious weeds on the site, pursuant to Chapter 15, Articles I and II, of the Weld County Code. 6. The access to the site shall be maintained to mitigate any impacts to the public road, including damages and/or off -site tracking. 7. There shall be no parking or staging of vehicles on public roads. On -site parking shall be utilized. 8. The historical flow patterns and runoff amounts will be maintained on the site in such a manner that it will reasonably preserve the natural character of the area and prevent property damage of the type generally attributed to runoff rate and velocity increases, diversions, concentration and/or unplanned ponding of stormwater runoff. 9. Weld County is not responsible for the maintenance of on -site drainage related features. 10. All liquid and solid wastes (as defined in the Solid Wastes Disposal Sites and Facilities Act, C.R.S. §30-20-100.5) shall be stored and removed for final disposal in a manner that protects against surface and groundwater contamination. 11. No permanent disposal of wastes shall be permitted at this site. This is not meant to include those wastes specifically excluded from the definition of a solid waste in the Solid Wastes Disposal Sites and Facilities Act, C.R.S. §30-20-100.5. 12. Waste materials shall be handled, stored, and disposed of in a manner that controls fugitive dust, blowing debris, and other potential nuisance conditions. The facility shall operate in accordance with Chapter 14, Article I of the Weld County Code. 13. Fugitive dust should attempt to be confined on the property. Uses on the property should comply with the Colorado Air Quality Commission's Air Quality Regulations. 14. The applicant shall submit an Air Pollution Emission Notice (A.P.E.N.) and Emissions Permit Application and obtain a permit from the Air Pollution Control 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., do Kerr-McGee Oil and Gas Onshore, LP Page 8 Division of the Colorado Department of Public Health and Environment, as applicable. 15. Adequate drinking, handwashing and toilet facilities shall be provided for employees and patrons of the facility, at all times. As employees or contractors are onsite for less than two (2) consecutive hours a day portable toilets and bottled water are acceptable. Records of maintenance and proper disposal for portable toilets shall be retained on a quarterly basis and available for review by the Weld County Department of Public Health and Environment. Portable toilets shall be serviced by a cleaner licensed in Weld County, contain hand sanitizers and be screened from existing adjacent residential properties and public rights -of -way. 16. All chemicals must be handled in a safe manner, in accordance with product labeling. All chemicals must be securely stored, on an impervious surface, and in accordance with manufacturer's recommendations. 17. Secondary containment shall be constructed around tanks to provide containment for the largest single tank and sufficient freeboard to contain precipitation. Secondary containment shall be sufficiently impervious to contain any spilled or released material. Secondary containment devices shall be inspected at regular intervals and maintained in good condition. 18. The facility shall comply with all provisions of the State Underground and Above Ground Storage Tank Regulations. 19. The facility shall adhere to the maximum permissible noise levels allowed in the Light Industrial Zone, as delineated in C.R.S. §25-12-103. 20. The applicant shall obtain a Colorado Discharge Permit System (CDPS) permit from the Colorado Department of Public Health and Environment, Water Quality Control Division, if applicable. 21. The facility shall be constructed and operated to ensure that contamination of soil and groundwater does not occur. 22. The facility shall notify the County of any revocation and/or suspension of any state -issued permit. 23. The facility shall notify the County upon receipt of any compliance advisory or other notice of non-compliance of a state-ssued permit, and of the outcome or disposition of any such compliance advisory, or other notice of non-compliance. 24. The operation shall comply with all applicable rules and regulations of state and federal agencies and the Weld County Code. 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP Page 9 25. Sources of light shall be shielded so that light rays will not shine directly onto adjacent properties. Sources of light should not cause a nuisance or interfere with the use on the adjacent properties in accordance with the map. Neither the direct, nor reflected, light from any light source may create a traffic hazard to operators of motor vehicles on public or private streets. No colored lights may be used, which may be confused with, or construed as, traffic control devices. 26. Building Permits may be required for any new construction, set up of manufactured structures, or change of use of existing buildings, per Section 29-3-10 of the Weld County Code. Buildings and structures shall conform to the requirements of the various codes adopted at the time of permit application. Currently, the following have been adopted by Weld County: 2018 International Codes, 2018 International Energy Conservation Code, 2020 National Electrical Code, and Chapter 29 of the Weld County Code. A Building Permit application must be completed and two (2) complete sets of engineered plans, bearing the wet stamp of a Colorado registered architect or engineer, must be submitted for review. A Geotechnical Engineering Report, performed by a Colorado registered engineer, or an Open Hole Inspection shall be required. A Building Permit must be issued prior to the start of construction. 27. Building Permits issued on the proposed lots will be required to adhere to the fee structure of the County -Wide Road Impact Fee, County Facility Fee, and Drainage Impact Fee Programs. 28. All buildings shall comply with the setback from oil and gas wells, per Section 23- 4-700, as amended. 29. The property owner or operator shall be responsible for complying with the Design and Operation Standards of Chapter 23 of the Weld County Code. 30. Necessary personnel from the Weld County Departments of Planning Services, Public Works, and Public Health and Environment shall be granted access onto the property at any reasonable time in order to ensure the activities carried out on the property comply with the Conditions of Approval and Development Standards stated herein and all applicable Weld County regulations. 31. The Use by Special Review area shall be limited to the plans shown hereon and governed by the foregoing standards and all applicable Weld County regulations. Substantial changes from the plans or Development Standards, as shown or stated, shall require the approval of an amendment of the Permit by the Weld County Board of County Commissioners before such changes from the plans or Development Standards are permitted. Any other changes shall be filed in the office of the Department of Planning Services. 2025-0659 PL2944 Use by Special Review Permit, USR24-0025 — Cervi Enterprises, Inc., c/o Kerr-McGee Oil and Gas Onshore, LP Page 10 32. Construction or use pursuant to approval of a Use by Special Review Permit shall be commenced within three (3) years from the date of Board of County Commissioners signed Resolution, unless otherwise specified by the Board of County Commissioners when issuing the original Permit, or the Permit shall be vacated. 33. This Use by Special Review shall terminate when the use is discontinued for a period of three (3) consecutive years, the use of the land changes or the time period established by the Board of County Commissioners through the approval process expires. The landowner may notify the Department of Planning Services of a termination of the use, or Planning Services staff may observe that the use has been terminated. When either the Department of Planning Services is notified by the landowner, or when the Department of Planning Services observes that the use may have been terminated, the Planner shall send certified written notice to the landowner asking that the landowner request to vacate the Use by Special Review Permit. The Board of County Commissioners of Weld County, Colorado, approved the above and foregoing Resolution, on motion duly made and seconded, by the following vote on the 19th day of March, A.D., 2025: Perry L. Buck, Chair: Aye Scott K. James, Pro -Tern: Aye Jason S. Maxey: Aye Lynette Peppler: Aye Kevin D. Ross: Aye Approved as to Form: Bruce Barker, County Attorney Attest: Esther E. Gesick, Clerk to the Board 2025-0659 PL2944 Hello