HomeMy WebLinkAbout20141722.tiff HEARING CERTIFICATION
DOCKET NO. 2014-32
RE: A SITE SPECIFIC DEVELOPMENT PLAN AND USE BY SPECIAL REVIEW PERMIT,
USR14-0011, FOR MINERAL RESOURCE DEVELOPMENT FACILITIES, OIL AND
GAS SUPPORT FACILITY, INCLUDING A CLASS II OILFIELD WASTE DISPOSAL
FACILITY - SALTWATER INJECTION FACILITY, WATER RECYCLING AND A
WATER SUPPLY AND STORAGE UPLOAD FACILITY AND TRUCK TANKER
WASHOUT FACILITY IN THE A (AGRICULTURAL) ZONE DISTRICT - EXPEDITION
WATER SOLUTIONS
A public hearing was conducted on June 18, 2014, at 10:00 a.m., with the following present:
Commissioner Douglas Rademacher, Chair
Commissioner Barbara Kirkmeyer, Pro-Tem
Commissioner Sean P. Conway
Commissioner Mike Freeman
Commissioner William F. Garcia - EXCUSED
Also present:
Acting Clerk to the Board, Susan Brown
Assistant County Attorney, Brad Yatabe
Planning Department representative, Kim Ogle
Public Works representative, Don Carroll
Health Department representative, Heather Barbare
The following business was transacted:
IR I hereby certify that pursuant to a notice dated April 18, 2014, and duly published
April 23, 2014, in the Greeley Tribune, a public hearing was conducted on May 21, 2014, to
consider the request of Expedition Water Solutions, for a Site Specific Development Plan and
Use by Special Review Permit, USR14-0011, for Mineral Resource Development Facilities, Oil
and Gas Support Facility, including a Class II Oilfield Waste Disposal Facility — saltwater
injection facility, water recycling and a water supply and storage upload facility and truck tanker
washout facility in the A (Agricultural) Zone District, and was continued to June 18, 2014 at said
hearing. Brad Yatabe, Assistant County Attorney, made this a matter of record.
El Kim Ogle, Department of Planning Services, presented a brief summary of the proposal
and entered the favorable recommendation of the Planning Commission into the record as
written. He reviewed the location and surrounding land use; there are five residences within a
half mile, and two are 200 feet to the west of the property line. No referrals were received. He
said access is from CR 50 and reviewed traffic circulation on the property. A maximum of 70
trucks will visit the site per day. Mr. Ogle said that three referrals offered comments, several
phone calls were received from one neighbor regarding mineral rights, and staff received a call
from Barry Schaefer, Platte Valley Fire Department, who was concerned with the amount of
traffic. Mr. Ogle presented aerial views, photos of the site and nearby residences, and the
facility plan.
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IR Don Carroll, Department of Public Works, provided a brief overview of the transportation
plans and requirements. He said CR 50 is a concrete-treated base road and he visited the site
last week, and noted the westbound lane has some wheel rutting and cracking adjacent to
where the facility is proposed and that the intersection is offset. CR 59 is a collector status
asphalt road; the applicant's propose 70 vehicle roundtrips, and that number is reduced from a
previous application. An engineer's drainage letter has been supplied.
ID Heather Barbare, Department of Public Health and Environment, reviewed the water and
sewer provisions. She said a Groundwater Monitoring Plan and a Waste Handling Plan have
been submitted but not yet approved. An Air Emissions Plan and a Spill Prevention Control and
Countermeasure Plan are required for all injection facilities, as well as other Colorado Oil and
Gas Commission requirements, such as leak detection systems. In response to Commissioner
Rademacher, she confirmed that the Ground Water Monitoring Plan and the Waste
Management Plan are County requirements.
ID Shirley Aab, surrounding property owner, stated she has two small children and truck
traffic is already very dangerous at this location, and added that jake break noise and diesel
smell will lower their quality of life. She pointed out her house in the picture, where she has
lived for almost seven years.
John Stahley, surrounding property owner, asserted that the sight distance at the site
location is inadequate and addressed other safety concerns at specific intersections and
stretches of road in detail.
Mr. Carroll explained that 70, in and out, is 140 truck trips per day total.
Vertus Banowitz, owner of an Event Center on CR 50, also expressed concern regarding
excessive truck traffic in the area and their unsafe driving habits.
IR Alan Axton, surrounding property owner, addressed adding additional traffic at the
intersection of Hwy 34 and CR 61. He said he counts 23 residences in close proximity to this
site. He said in 2010 or 2011 a Recorded Exemption was approved for Plumb Ridge to do three
residential sites, but now this is turning into an industrial area. He also addressed the safety of
specific intersections. In response to Commissioner Conway, he said the truck traffic has
increased since CR 61 was paved, and a facility here would require a stoplight. In response to
Commissioner Kirkmeyer, he said he has lived here for 11 years, has not met with the applicant,
and received no notice.
El Lynn Erickson, surrounding property owner said she is on the east side of CR 61; she
reiterated previous statements about excessive and dangerous truck traffic, and she is
concerned for her livestock.
.F) Mike Hegarty, surrounding property owner, said his residence is east of the site on CR 50,
and he thinks 140 vehicles would double the traffic on this already taxed dirt road. There are no
shoulders and a relatively deep ditch, and he also said he has had very close calls with large
trucks. He also said the chip seal is not holding up well. He said he moved to this area for an
agricultural environment, not an industrial one, and he was not noticed by Expedition.
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• (Clerk's Note: Chair Rademacher recessed the hearing for lunch at 11:49 a.m. and the
meeting was resumed at 1:35 p.m.)
El Mr. Yatabe noted there is an email from CDOT and photos of the intersections in question
from the Department of Public Works. He also noted that the property has been transferred to
Expedition; therefore, Plumb Ridge should be removed from the resolution.
e Jim Goddard and Kevin Cumming, co-presidents of Expedition Water Solutions, showed a
PowerPoint presentation, entered into the record as Exhibit "E". Mr. Cumming said their facility
will address the current shortage of recycled water services for the fracking industry, and
Mr. Goddard has managed a number of facilities in his background and has been a good
neighbor at those locations. Mr. Cumming explained how the proposed facility will operate and
the current state of truck wait times to offload wastewater; adding that Noble Energy, Inc. drilled
300 wells in 2013, and projects 600 more by 2016. He showed a map of Weld County activity
and proposed Expedition locations. He said they are hoping to develop three facilities, centrally
located with traffic in mind. There are 43 acres at this site, so there is plenty of space for the
staging of trucks, and they are also discussing a pipeline with Sterling Midstream, and long-term
they hope to use pipelines instead of trucks. He stated the trucks are already elsewhere on
CRs due to the oil and gas activity. The facility itself will only take up one (1) acre of space. He
concluded that Mr. Goddard constructed the last four facilities built in the County, has been a
resident of the County for thirty years, and been in this business for 20 years. This will be an
efficient safe facility, and said Mr. Goddard has worked with residents and been a good
neighbor at all of his facilities.
e Mr. Goddard said that he has worked with schools in the past to ensure bus stop safety
and they have agreed to close their gates from 10:00 p.m. until 8:00 a.m. He said Expedition
will use down-lighting and dim the lights when the trucks are off the property at 10:00 p.m. In
regard to traffic flow, he said they will coordinate with Public Works to evaluate and determine
the safest truck routes. He asserted that truckers will be declined from entering the site if they
do not follow the traffic flow plan, and that he does this at several of his other facilities. He said
he attempted to contact the neighbors in close proximity to the facility by calling them and
knocking on doors to give them an opportunity to express concerns, and he also met with the
local Fire Chief, and Superintendant of Schools.
E In response to Commissioner Conway, Mr. Goddard said the site was chosen because the
geology is excellent for their purpose, and noted the property was for sale for three years, and
there are paved roads, as well as electric power nearby. Mr. Yatabe confirmed with
Mr. Goddard that Plumb Ridge no longer has an interest in this property.
El Chair Rademacher reopened the floor for further public comment. Patrick Shower, project
manager with Tetratech, said his company works with Noble Energy, Inc., and has become
aware of the current lack of disposal facilities for wastewater. Noble is aggressively pursuing
recycled water as part of a sustainability plan and future growth will be curtailed without
additional facilities.
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Ei Dennis Hoshiko, surrounding property owner, spoke in opposition to the application and
submitted an email listing eight summary points; he said he is speaking for his neighbor's as
their representative, and also presented a video and map, entered into the record as Exhibits
"H" and "I". He said he and neighbors met with another company in this industry and gained
insights from them. He addressed available facilities in the area, surrounding land use, haul
routes, school bus stops, road conditions and unsafe intersections, and he said when the site
was for sale for rural-residential use there was no neighborhood opposition. He stated that no
one has approached them regarding the construction of pipelines, and they would be opposed.
He also questioned the tanker wash-out aspect of this operation and said the potential effects of
that have not been addressed; the wash-out aspect could be more impactful than the
wastewater injection. Mr. Hoshiko concluded by saying this location is not conducive to this
type of operation.
Commissioner Conway asked about Mr. Hoshiko's discussions, and Mr. Hoshiko said his
understanding is that Bill Barrett Corporation and Bonanza Creek Energy are already partnering
with two other facilities in the area.
ID Eric Millage, surrounding property owner, stated no one in his family received notice; he
just got a call from Mr. Goddard two days ago. Regarding pipelines, he said neither he nor his
neighbors are inclined to grant permission for that and it seems the disposal should be where
the oil and gas activity is. He said the lack of shoulders on these roads is a huge issue, and
there is no place to make road improvements (construct turn lanes). He urged the board to
deny this application.
le Dan Buderus, surrounding property owner, said the Bill Barrett site is already approved.
He stated his belief the property is in a floodplain and questioned the safety of putting a disposal
site there. He said that Fire Chief Schaffer had concerns about the CR59/50 intersection. He
also expressed concerns about the trucks lining up before 8:00 a.m. and asked if every truck will
be offsite at the 10:00 p.m. closing time.
Ted Buderus, surrounding property owner, reiterated some of the prior comments, and
addressed truck traffic and staging.
ID Curtis Pankow, , surrounding property owner, said he doesn't understand the wash-out
aspect of the project, and he is worried his property value will drop. He said he has lived there
17 years and did not receive notice from the applicant.
Todd Bean, former site owner, said the lots are not in a floodplain, drainage on the site is
adequate and the land was recently re-vegetated for dry land farming. He said his property
won't sell because of its proximity to a feedlot. He gave some historubout the sale, explained
the drainage on the site, and confirmed he owns the gravel road. Pi Commissioner Garcia
noted the Board needs to consider this parcel's viability for agricultural use.
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Wendy and Larry Tekler, surrounding property owners, said they have lived half a mile
away for 14 years and received no notice, the recycling facility and the truck wash-out will make
a lot of noise, and reiterated some of the points already made in opposition. He said a mud
farm has already increased traffic which is what has stirred up the neighborhood's concerns and
objections. Wendy Tekler addressed potential landscaping and the floodplain location.
IEl Stacey Hegarty, surrounding property owner, said she has five kids and animals, and the
trucks speed down her road. She said she was not noticed or contacted and questioned who
will ensure that the applicant lives up to their promises regarding lighting and traffic.
Mr. Goddard and Mr. Cummings responded to the concerns expressed. Mr. Cummings
said the last facility built in Weld County was in 2007, and High Sierra has built no facilities since
then, and have none on the docket for future hearings, and further addressed business
competition and asserted there are no floodplain issues. Mr. Goddard showed on the map how
much of the property is in the floodplain in the lower southeast corner, and said any trucks not
following the traffic plan will be denied entry into the property. He also said they would be willing
to consider landscaping. In regard to Mr. Hoshiko's video, Mr. Cummings said that the other
lanes were empty when the truck was swinging wide. He spoke regarding staging. He
addressed road conditions and said those concerns exist for most facilities in the County. He
asserted that everyone within the zone of 500 feet was noticed per County requirements, but in
the future he intends to broaden that notification process. Mr. Cummings addressed the
potential of a pipeline, investors, and the opening and closing times of their gate. Mr. Goddard
said early/late trucks will be sent away or told to come back tomorrow. He noted the neighbor's
frustration with the 24/7 operations of the mud farm is being directed towards Expedition, and
mentioned that the truck wash-out and the recycled water are future projects. He said the
geology is very important in selecting a suitable site. In conclusion, Mr. Goddard offered to put
trees around the facility for a noise barrier.
ID Commissioner Kirkmeyer asked about the truck wash-out and if that will increase the truck
trips; the applicant confirmed that was already included and explained there is a skim of oil in
the truck from production water that needs to be rinsed for the truck to then carry fresh water,
and the washout water will then also be injected. In regard to the afternoon school bus route,
Mr. Cummings said the main concern regarding schoolchildren was keeping the trucks to
daylight hours. He offered to work around this problem, saying perhaps they can carve out
some space for a drop-off area, but closing in the middle of the day would be very challenging.
Commissioner Kirkmeyer asked what the proposed haul route would be. Mr. Goddard replied
U.S. Highway 34 to CR 61 and then back to CR 50, noting that most of the product will come
from U.S. Highway 34. He said he did not think neighbors to the south would feel much impact.
le Chair Rademacher said the applicants had alread addressed some of his questions. He
said there can be no line of trucks waiting on CR 50. r Commissioner Conway asked about
the truck washing part of the facility. Mr. Goddard said that tap water is cheaper than recycled
water, so that aspect is probably 2-3 years out. Mr. Cummings addressed questions regarding
staging and community outreach, saying they will have multiple facilities available to send extra
trucks to. Commissioner Conway said this problem exists right now. Mr. Goddard said they
wanted to talk personally with the immediate neighbors and that is why they didn't have a
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community meeting. He said will have a BBQ for their grand opening and get to know the
neighbors and their concerns, and he said they will do a better job for future facilities.
IIEJ Mr. Carroll said the applicant is proposing a haul route along U.S. Highway 34 to CR 61
and south to CR 50 and back to the west of the facility. These are concrete treated base road
and CR 59 is an asphalt road. There was further discussion regarding delineating a haul route.
The applicants stated they would be open to suggestions from the Department of Public Works.
IP Commissioner Garcia suggested the deletion of the sentence, "Staff has not received any
letters, telephone calls or electronic mail from adjacent or surrounding property owners or
interested persons," and this was done by assent of the Board.
Commissioner Kirkmeyer said the Board has criteria to meet under the County Code. She
said that she has heard that the roads in this area are woefully inadequate for this volume of
traffic, and there is no way to mitigate safety in these intersections for the citizens living in this
area. She said she has never voted against an injection well, but in this case traffic safety is of
primary concern. El Chair Rademacher stated those problems exist everywhere in the
County. WI Commissioner Garcia stated that his primary difficulty with approving this is in
regard to due diligence in conserving valuable agricultural land. This parcel could support
dryland farming and that would be a better use than oil and gas or residential. He also balked at
the lengths the applicant did not go to, to notice and communicate with the neighborhood. He
stated Mr. Goddard has been through this process before and should know better, so he is
neutral at this time. WI Commissioner Freeman said when there is a dry up you can't put
water back on the land, and a few acres out does not affect the viability of the agricultural use.
His issue is with too much traffic on narrow roads, and with getting on and off of U.S. Hwy 34
without adequate turn lanes. He would like to explore what mitigation could address those
safety concerns. WI Commissioner Conway addressed the school bus stop issue, and said
local landowners should not need to give up their private property in order for this company to
locate here. He also addressed safety issues and agreed there does not seem to be a lot of
options for mitigation. He said it is normal for issues to be raised in Planning Commission
hearings and then solved and/or addressed, but in this case that did not happen. Chair
Rademacher said that the lack of notice is his biggest issue with this case. The road safety
issues exist everywhere in the County. WI In response to Commissioner Garcia, Tom Parko,
Director of the Department of Planning Services, confirmed that Impact Fees go into a pool for
Area #2 and then divide up for specific projects.
Commissioner Kirkmeyer noted this is not a Use by Right, the Board has a Code to follow,
and it is the Board's responsibility to mitigate the negative impacts. There are no shoulders and
the intersections are not large enough, and it would be unsafe to add an additional 140 turns at
those locations.
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e Commissioner Kirkmeyer moved to deny the request of Expedition Water Solutions for a
Site Specific Development Plan and Use by Special Review Permit, USR14-0011, for Mineral
Resource Development Facilities, Oil and Gas Support Facility, including a Class II Oilfield
Waste Disposal Facility — saltwater injection facility, water recycling and a water supply and
storage upload facility and truck tanker washout facility in the A (Agricultural) Zone District. The
motion was seconded by Commissioner Conway.
Commissioner Conway reiterated that the surrounding land owners would have to give up
private property in order to have the detrimental effects of the project mitigated. Commissioner
Kirkmeyer thanked the applicant for coming; she said their application was not poor, but the
location is just not suited to this type of use and would infringe on prime agricultural land at
these intersections. Commissioner Freeman concurred. He acknowledged the need, but said
this is not the right location. Commissioner Garcia stated it is imperative that applicants in
situations like these reach out to the public, and they did not do so. Chair Rademacher
concurred that his biggest concern was that they did not reach out to neighbors to let them know
up front what they were proposing to do. He said, in his view this is the best use for this land;
however, he is also opposed to the application.
There being no further discussion, the motion to deny carried unanimously, and the hearing was
completed at 4:20 p.m.
This Certification was approved on the 23rd day of June, 2014.
BOARD OF COUNTY COMMISSIONERS
WELD COUNTY, COLORADO
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