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Home My WebLink About20193932.tiffEXHIBIT INVENTORY CONTROL SHEET E EDGE C NTY E OR 1019-15 IN THE T, APTE Exhibit Submitte A. Jason Maxey, OGED B. C. D. E. F. G. H. J. K. L. M. N. O. O. R. S. T. U. TTE'a OF REPEALING ENUE AND FINANCE, EENA F THE Tr' � f ELD Description Two entails from Andrea Gross, dated 08/09/19, and Angela Mallon, dated 08/12/19 2019-3932 ORD2019-15 Est er Gesick Subject: Attachments: FW: 1041 WOGLA Fees Re: Emergency Ordinance /1 2019-13; Weld County Fees From: Jason Maxey Sent: Monday, August 12, 2019 10:56 AM T : Commissioners <COMMISSINERS@co.weld.co.us>; Bruce Barker <bbarker@weldgov.com>; Don Warden (dwarden@weldgov.com) <dwarden@weldgov.com> Subject: 1041 WOGLA Fees Good morning, Attached are two emails that I have received so far regarding the 1041 WOGLA fees. Both are in support — however they do also mention having a reduced fee for any WOGLAs that may need to be renewed. I think this would possibly be something to consider in the future, if the Commissioners agree. I will forward any additional emails that I receive. Thank you, Jason S. Maxey Director / Local Government Designee Oil & Gas Energy Department 1301 N 17th Ave. Greeley, CO 80631 j maxeyweldgov. corn Direct: (970) 400-3579 Confidentiality Notice: This electronic transmission and any attached documents or other writings are intended only for the person or entity to which it is addressed and may contain information that is privileged, confidential or otherwise protected from disclosure. If you have received this communication in error, please immediately notify sender by return e-mail and destroy the communication. Any disclosure, copying, distribution or the taking of any action concerning the contents of this communication or any attachments by anyone other than the named recipient is strictly prohibited. 2019-3932 1 Esther Gesick From: - to To: Cc: Subject: Angela Mallon <AMallon@confluencelp.com> Monday, August 12, 2019 6:53 AM Jason Maxey Brittany Rothe; Mike Dickinson; Andrea J. Gross (agross@upstreampm.com) Re: Emergency Ordinance #2019-13 This email originated from outside of Weld County Government. Do not click links or open attachments unless you recognize the sender and know the content is safe. Jason, Appreciate your time and Commissioner Kirkmeyer's time last week. Confluence is okay with the fee of $10,000/pad fee as we discussed at the meeting. I do think it would be nice to see a price break for application renewals, but that is a detail we can work on next. This seem much more equitable for the small operators. Have a great week ahead, Angela Sent from my iPad On Aug 7, 2019, at 4:52 PM, Angela Mallon <AMallon@confluencelp.com>wrote: Jason, Thank you for taking the time to email and for the thoughtful consideration of our comments. I did get the invite to tomorrow's meeting and I'll be there representing Confluence as a small operator in Weld County. Looking forward to seeing you tomorrow. Angela From: Jason Maxey [mailto:jmaxey©weldgov.com] Sent: Wednesday, August 07, 2019 3:41 PM To: Angela Mallon <AMallon@confluencelp.com> Cc: Brittany Rothe <brothe@confluencelp.com>; Mike Dickinson <mDickinson@confluencelp.com>; Andrea J. Gross (agross@upstreamprn.com) <agross©upstreampm.com> Subject: RE: Emergency Ordinance #2019-13 Angela, Thank you for your email. I didn't respond in time, but I wanted to let you know that I forwarded your email to the Commissioners and our County Attorney. I also mentioned this email in the Monday morning Board of County Commissioner meeting when we discussed the fees. Due to some comments received, we will be having a meeting tomorrow morning in Denver at CPC's office at 10:30. Did Confluence get that invite? COGA was also aware of this meeting and was notifying operators. 1 I hope Confluence can attend the meeting tomorrow, but if not, I wanted to make sure you knew that I received your email and it was discussed. Thank you, Jason S. Maxey Director / Local Government Designee Oil & Gas Energy Department :maxey weldgov.com 970-400-3579 From: Angela Mallon <AMallon@confluencelp.com> Sent: Friday, August 2, 2019 2:58 PM To: Jason Maxey <'maxey@weldgov.com> Cc: Brittany Rothe <brothe@confluencelp.com>; Mike Dickinson <mDickinson@confluencelp.com>; Andrea J. Gross (agross@upstreampm.com) <agross@upstreampm.com> Subject: Emergency Ordinance #2019-13 Caution: This email originated from outside of Weld County Government. Do not click links or open attachments unless you recognize ti sender and know the content is safe. Jason, A member of Confluence will be unable to attend the hearing on Monday at 9:00 am. I wanted to email you directly to provide our thoughts. Please let us know if there is additional information I can provide from a small operators perspective. Confluence Resources LP and Confluence DJ LLC ("Confluence") strongly opposes the proposed fees set out in Ordinance Number 2019-13, Appendix 5-D, #39 and #40. Confluence is a small operator with 100% of our drilling locations in Weld County. As a small operator we do not have the same economies of scale as large operators in the basin and cost increases have a substantial impact to our business model. The proposed fee of $1,000/well is significant to us and adds another layer to the already complex and costly operating environment. Further, the way the fee structure is set it, does not incentive operators to minimize their footprint or consolidate their wells to just one pad. With a per well payment, operators may opt to have multiple pads instead of one pad. This will likely lead to the unintended consequence of increased surface impacts. Or the reverse impact would cause operators to permit fewer wells which could leave reserves behind. In closing, we are incredibly grateful to Weld County for their outspoken support of our industry and we genuinely appreciate their position with SB-181. However, we feel this proposed change goes beyond the scope of what is reasonable, especially for small operators like Confluence, and we ask for you to strongly reconsider your position on the aforementioned fees. Thank you, Jason, for your time and your continued support for our industry. Angela Mallon Regional Land Manager <image001.jpg> Confluence Resources LP 1001 17t" Street, Suite 1250 Denver, CO 80202 Ph: 303-226-9506 Fax: 303-226-9595 Email: amallon@confluencelpecom 3 Esth esic Fro Sent: .e Subject: Agross@upstreampm.com Friday, August 9, 2019 7:26 PM Jason Maxey Weld County Fees Caution.: This email originated from outside of Weld County Government. Do not click links or open attachments unless you recognize the sender and know the content is safe. Hi Jason, I'd like to thank you and Commissioner Kirkmeyer for meeting with us this week to discuss the WOGLA fees. I've spoken to several of our clients and they don't have a problem with the proposed $10,000 flat WOGLA fee. However, I'd like to suggest that the County consider a reduced price for renewal WOGLA if nothing has changed. I understand that if there are significant changes it would require new analysis. However, if nothing has changed Upstream and several other operators (Upland and Confluence) would like the consideration of a reduced fee. Thank you again for meeting with us, Andrea Gross Project Lead 7000 S. Yosemite Street, Suite 290B Englewood, CO 80112 Phone: 303-942-0506 Cell: 720-339-4277 agross@upstreaom.Conn www.upstreampm.Com 1 Hello