(a)
A person wanting to [commence] oil and gas production activities shall apply for and obtain an oil and gas well permit as required by this division. It shall be unlawful for any person acting either for himself or acting as agent, employee, independent contractor, or servant for any person to drill any well, assist in any way in the site preparation, reworking, fracturing or operation of any such well, or conduct any activity related to the production of oil or gas without first obtaining an oil and gas well permit issued by the city in accordance with this division. Such activities include but are not limited to reworking, initial site preparation, drilling, operation, construction of rigs or tank batteries, fracturing and pressurizing.
(b)
The operator must apply for and obtain an oil and gas well permit for the drilling, redrilling, deepening, re-entering, activating or converting of each well. The operator may apply for and obtain a “blanket” oil and gas well permit for more than one well if multiple wells are located on the same tract of land. All wells covered by the “blanket” permit shall be described in the application.
(c)
An oil and gas well permit shall not constitute authority for the re-entering and drilling of an abandoned well. An operator shall obtain a new oil and gas well permit in accordance with the provisions of this division if the operator is re-entering and drilling an abandoned well.
(d)
When an oil and gas well permit has been issued to the operator for the drilling, redrilling, deepening, re-entering, activating or converting of a well, such oil and gas well permit shall constitute sufficient authority for drilling, operation, production gathering or production maintenance, repair, reworking, testing, plugging and abandonment of the well and/or any other activity associated with mineral exploration at the site of such well, but only in accordance with the regulations established by this article; provided, however, that a new or supplemental permit shall be obtained before such well may be reworked for purposes of redrilling, deepening or converting such well to a depth or use other than that set forth in the then-current permit for such well.
(e)
Issuance of an oil and gas permit does not grant the permittee any easement, franchise or right-of-way, including the use of public streets, rights-of-way, or property for pipelines.
(f)
An oil and gas well permit shall automatically terminate, unless extended, if drilling of the well bore has not commenced within one hundred eighty (180) days from the date of the issuance of the oil and gas well permit. Drilling must commence within one hundred eighty (180) days from the date of the issuance of the oil and gas well permit on at least one well under a “blanket permit” in order to maintain the validity of the oil and gas well permit for the multiple wells. An oil and gas well permit may be extended by the city for an additional one hundred eighty (180) days upon request by the operator and proof that the classification of the requested oil and gas well permit for such location has not changed. For a “blanket permit,” all drilling operations for all wells authorized under the “blanket permit” must be completed within one (1) year from the date of approval by the city council, unless a specific time period is authorized by the council as a condition of the permit.
(g)
The oil and gas well permits required by this division are in addition to and are not in lieu of any permit or agreement which may be required by any other provision of this code or by any other governmental agency.
(h)
(1)
No additional oil and gas well permit or filing fees shall be required for the following:
(A)
Any wells previously issued a permit by the city and which are in active operation, or in existence prior to the enactment of the previous permitting requirements of the city and in active operation within the corporate limits of the city on the effective date of this division;
(B)
Any wells for which drilling has commenced on the effective date of this amended division, and for which a permit was properly obtained under the city’s prior permitting requirements; or
(C)
Any wells in existence or any wells on which drilling has commenced prior to annexation on land annexed into the city after the effective date of this division.
(2)
Any person engaging in oil and gas operations within the city who was required to obtain a permit under a previous version of this division or other prior city ordinance relating to oil or gas wells, but failed to do so, must obtain an oil and gas well permit under this division, as amended, to continue operations. Application for said permit must be submitted within 30 days after the enactment of this division by the city council.
(3)
Even operations exempted from obtaining a permit under this amended division must comply with the requirements set forth in the other divisions of this article unless expressly exempted within those divisions.
(i)
An oil and gas well permit shall not be issued for any well to be drilled until a road damage mediation [remediation] agreement has been executed between the operator and city. Said road damage mediation agreement shall obligate the operator to repair damage to public streets, including but not limited to bridges, caused by the operator or by the operator’s employees, agents, contractor, or representatives, in the performance of any activity authorized by or contemplated by an approved oil and gas well permit. A master road damage mediation agreement may be executed between the operator and the city in lieu of an agreement for each individual oil and gas well permit. The city administrator shall have the authority to enter into the road damage mediation agreement.
(j)
An approved oil and gas well permit shall:
(1)
By reference have incorporated therein all of the provisions of this article with the same force and effect as if this article were copied verbatim in such permit.
(2)
Specify the location of the proposed drill site, well, or injection facility with particularity to lot number, block number, name of addition or subdivision or by a metes and bounds description, or other available correct legal description.
(3)
Contain and specify such other terms and provisions as may be required by the city council in a particular case to accomplish the purposes of this article.
(Ordinance adopted 12/17/07, sec. 6)