The title of this division and the name of which it shall be known is the city salt water surface storage and oil sludge processing ordinance.
(Ordinance 78, sec. 1, adopted 10/8/1996)
The city council, knowing there is likelihood of the temporary surface storage of salt water, oil sludge and/or other mineralized substances, and the operation of a surface salt water, oil sludge or other mineralized substance processing facility within the city limits, now and in the future, and being mindful of the unsanitary conditions, contaminated water supply and like threats to the lives, property, health, safety and convenience of the public in general, for which the police power of the state delegated to this city, is to be and is hereby invoked in aid of the enforcement of the provisions of this division.
(Ordinance 78, sec. 2, adopted 10/8/1996)
For the purposes of this division and for all purposes under this division, the following words and terms, wherever used or appearing in this division, shall have the scope and meaning as defined and set out in connection with each:
Oil sludge
means heavy hydrocarbons and other mineralized substances produced by drilling an oil or gas well, produced in connection with the operation of an oil or gas well or which result from the production, storage, processing, refining and transporting of hydrocarbons.
Permittee
means the person to whom is issued a permit for the surface storage of, the processing of, and the operation of a facility for the processing of salt water, oil sludge and other substances resulting from the production, storage, processing, refining and transporting of hydrocarbons under this division and his or its administrators, executors, heirs, successors and assigns.
Person
includes both the singular and plural, and shall mean and include any person, individual, firm, partnership, association, corporation, club, society, cooperative, trust, municipal corporation or political subdivision.
Regulated area
means all of the corporate area of the city, as shown by the official map of the city.
Salt water
means water containing salt and other mineralized substances produced by drilling an oil or gas well or produced in connection with the operation of an oil or gas well.
Surface storage
means the storage of saltwater, oil, sludge and other substances resulting from the production, storage, processing, refining and transporting of hydrocarbons prior to processing, injecting or disposing of such substances in any ground level or above-ground storage facility, including but not limited to earthen pits that must be licensed by the state railroad commission and metal, fiberglass or other types of tanks that may be used to store the above-referenced substances.
(Ordinance 78, sec. 3, adopted 10/8/1996)
(a) 
Any person desiring to store salt water or oil sludge on the surface of the earth prior to the injection into a salt water disposal well or to operate a salt water or oil sludge processing facility within the regulated area of the city shall present an application in duplicate to the city secretary, which application shall set forth in writing the following facts:
(1) 
It shall be addressed to the mayor of the city;
(2) 
The date of the application;
(3) 
The name of the applicant;
(4) 
The address of the applicant;
(5) 
Clear identification of the exact location of the storage and/or processing facility, together with certified or xeroxed copies of all requisite permissions (if required) from the owners of the surface and improvements situated on such location;
(6) 
The proposed size of the storage facility;
(7) 
The proposed capacity of the processing facility;
(8) 
Proof, satisfactory to the council, that all tests and requirements of the state railroad commission have been met insuring the safety from contamination of all fresh water sands;
(9) 
Must be accompanied by a cashier's check in the amount set forth in the fee schedule in appendix A of this code, made payable to the city, which will be the filing fee;
(10) 
Must be signed by the applicant or some person duly authorized to sign the application on his behalf;
(11) 
A permit from the state railroad commission, if required, authorizing the operation of the salt water and/or oil sludge storage and/or processing facility.
(b) 
The application will be accepted and filed by the city secretary and kept as a part of the public records of the city.
(Ordinance 78, sec. 4, adopted 10/8/1996; Ordinance adopting Code)
(a) 
When the application above set forth is filed with the city secretary, the city secretary shall issue a notice within two (2) days from the date of the application, addressed to "TO WHOM IT MAY CONCERN", which notice shall state as follows:
This the _____ day of ___________, ____, Notice is hereby given that ____________ acting under and pursuant to the terms and provisions of AN ORDINANCE REGULATING THE OPERATION OF TEMPORARY SURFACE STORAGE OF SALT WATER, OIL SLUDGE AND/OR OTHER MINERALIZED SUBSTANCES, AND THE OPERATION OF A SURFACE SALT WATER, OIL SLUDGE OR OTHER MINERALIZED SUBSTANCE PROCESSING FACILITY WITHIN THE LIMITS OF THE CITY OF DAISETTA, TEXAS, dated the ______ day of ____________, ____, filed with the City Secretary of the City of Daisetta, Texas, an application for a permit as set forth in the copy of the application attached to this notice. A hearing upon such application before the Mayor and the City Council will be held in the office of the City Secretary of the City of Daisetta, Texas, on the _____ day of ___________, ____, at ______ o'clock, __.M.
(b) 
This notice shall bear the signature of the city secretary and the seal of the city, and shall be accompanied by one of the duplicate copies of said application provided for by this division. This notice shall be served by posting one copy on the public bulletin board in the city for not less than ten (10) days before the day of the hearing on the application.
(Ordinance 78, sec. 5, adopted 10/8/1996)
At the time fixed in the notice provided for by this division, a hearing on such application for a permit shall be held in accordance with the notice. In the event a majority of the members of the city council are not present at the hearing, or at the discretion of the members of the city council if a majority of the members are present at the hearing, the hearing may be recessed, continued or postponed from time to time until final disposition of the application; provided that in no event shall the final decision on the application be postponed for a longer period than thirty (30) days from the original date of hearing fixed for the application unless a final decision within such time be waived in writing by the applicant.
(Ordinance 78, sec. 6, adopted 10/8/1996)
(a) 
If, after such hearing, an application filed pursuant to this division be found by the city council to comply in all respects with the terms of this division, and the operation of a surface salt water storage facility or of a salt water, oil sludge or other mineralized substance processing facility is not prohibited by the terms of this division, then the city council shall issue a permit for the operation of a surface salt water storage facility or of a salt water, oil sludge or other mineralized substance processing facility for the facility applied for. Each permit issued under this division shall:
(1) 
By reference have incorporated into such permit all provisions of this division with the same force and effect as if this division were copied verbatim in such permit;
(2) 
Specify the storage and/or processing facility location with particularity to the lot number, block number, name of the addition or subdivision, or the available legal description;
(3) 
Contain and specify that the term of such permit shall be for a period of one (1) year beginning ninety (90) days from the date of the permit and shall be renewable annually upon the payment of a renewal fee in the amount set forth in the fee schedule in appendix A of this code, provided that the storage and/or processing facility meets the standards set by this division and is in compliance with all applicable rules and regulations of the state railroad commission.
(b) 
The permit, in duplicate originals, shall be signed by the mayor of the city and prior to delivery to the permittee shall be signed by the permittee (with one original to be retained by the city and one by the permittee), and when so signed shall constitute the permittee's license and the contractual obligation of the permittee to comply with the terms of such permit and this division.
(Ordinance 78, sec. 7, adopted 10/8/1996; Ordinance adopting Code)
(a) 
If the issuance of a permit be authorized by proper vote of the city council, same shall not issue until the applicant shall file with the city secretary a bond executed by the permittee as principal and by a good and sufficient corporate surety company licensed to do business in the State of Texas, conditioned that the principal obligor will operate such facility in strict accordance with the terms of this division; that the obligor will repair any and all damages to streets, curbs, gutters, water lines, fire hydrants and other public property, occasioned in any manner by his or its operation of the facility; and that the obligor will hold the city harmless from any and all liability growing out of such permit. Such bond shall be in form acceptable to the city council, and shall be in the amount of one thousand dollars ($1,000.00) and/or proof of financial responsibility.
(b) 
Failure to keep the bond in full force and effect, in accordance with the terms of this division and the permit as granted, shall be unlawful and shall be punishable in accordance with the applicable provisions of this division.
(Ordinance 78, sec. 8, adopted 10/8/1996; Ordinance adopting Code)
The granting of a permit as provided by this division and the acceptance of the permit by the permittee obligates the permittee to hold the city harmless from any and all liability of every kind and nature whatsoever which may arise because of any act done or omitted by the permittee or successors of the permittee.
(Ordinance 78, sec. 9, adopted 10/8/1996)
It shall be unlawful for any person, firm or corporation to store or process any materials, liquids, or other substances other than salt water or oil sludge as those terms are defined by the provisions of this division in a storage or processing facility located within the regulated area.
(Ordinance 78, sec. 10, adopted 10/8/1996)
It shall be unlawful and an offense for any person, acting either for himself or as agent, employee, independent contractor or servant of any other person, to operate any commercial surface salt water storage or processing facility or oil sludge processing facility within the regulated area of the city or to work upon or assist in any way in the prosecution or operation of any such facility without a permit for the operation of such facility having first been issued by the authority of the city council in accordance with the provisions of this division.
(Ordinance 78, sec. 11, adopted 10/8/1996)
Any violation of the laws of the United States, the state or any rule or regulation of the state railroad commission or any other regulatory agency, or any other present or future ordinance of the city, pertaining to the operation of a commercial salt water surface storage or processing facility or oil sludge processing facility, shall be a violation of this division and shall be punishable in accordance with the provisions of this division.
(Ordinance 78, sec. 12, adopted 10/8/1996)
It is further provided that, in addition to the fines and penalties provided for by this division, the city council will revoke the license or permit under which a commercial salt water surface storage facility, saltwater processing facility and/or oil sludge processing facility is operated upon proof and evidence that any provision of this division is being violated after the issuance of the permit by the city secretary and the mayor of the city. Notice of revocation shall be in writing and shall be mailed by registered mail, returned receipt requested, to the permittee's address shown in his application. Any permittee whose permit or license has been revoked may, within fifteen (15) days from and after the date of the order of revocation, appeal to the city council from such order. Within fifteen (15) days from the filing of such appeal with the city council, the city council shall hear the appeal and shall either sustain or set aside the order revoking such permit.
(Ordinance 78, sec. 13, adopted 10/8/1996)
A holder of a permit authorized by this division shall be bound by all regulations set forth and by all regulations set forth by any future amendments to this division.
(Ordinance 78, sec. 14, adopted 10/8/1996)
Any violation of any of the terms of this division, whether denominated by this division to be unlawful or not, shall be deemed a misdemeanor, and any person convicted of any such violation shall be fined in a sum not exceeding two hundred dollars ($200.00), and any natural person so convicted shall be committed to jail until such fine and cost are paid. Each day of the continuance of such violation shall be considered a separate offense and be punished separately, and any person, agent or employee engaged in any such violation shall on conviction be so punished for such conviction.
(Ordinance 78, sec. 15, adopted 10/8/1996)
If ever and whenever in this division, restrictions, prohibitions or provisions conflict with the laws of the state, or with the rules and regulations promulgated by the state railroad commission, or any other state or federal regulatory office, agency or authority, in each such instance the more restrictive restriction, prohibition or provision shall apply.
(Ordinance 78, sec. 16, adopted 10/8/1996)
The city council shall have the right, upon proper application submitted and for good cause shown to the city council, to grant exemptions, exceptions or modifications to any person, to any provisions and requirements of this division.
(Ordinance 78, sec. 21, adopted 10/8/1996)