City of El Reno, OK Oil and Gas Well Drilling

Completed permit application form.

Site plan thoroughly detailing all areas within 1,000 feet of the wellhead, showing radii at distances of 500 feet and 1,000 feet from the wellhead. Distances shall be shown to each fresh water well, and to each of the following protected land uses: religious institutions, public buildings, hospital buildings, schools, residentially zoned properties, and residential dwellings.

The measurement of distance shall be made from the well bore, in a straight line, without regard to intervening structures or objects, to the closest exterior point of the well or protected land use.

(4)

A truck route map that clearly defines the proposed driving directions for vehicular entrance and departure from the site. The map shall display the entire route to and from the nearest location on a City of El Reno truck route, as defined by the Council by resolution, or to the corporate limit of the City of El Reno, if not entering the City on an approved truck route. The route proposed should be the most direct path to a City of El Reno truck route. A less direct path to a City of El Reno truck route may be proposed, based on the following factors:

Road conditions, carrying capacities, road widths, bridge navigation, or other safety related concerns.

Reasonably minimizing impact on local traffic.

(5)

Name of representative with supervisory authority over all gas operation site activities and a twenty-four-hour phone number.

(6)

A signed road maintenance agreement supplied by the City that provides that the operator shall repair, at his own expense, any City of El Reno roads, streets, or highways caused by the use of heavy vehicles for any activity associated with the preparation, drilling, production, and operation of gas wells.

(7)

Plan review fees as established by Council through resolution.

(8)

Proof of liability insurance in an amount acceptable to the City Attorney.

Issuance.

The inspector shall review applications and plans for conformity to the City Code.

Permits shall be issued where it appears all criteria are met.

Proof of compliance with the blanket bond or irrevocable letter of credit requirements of this article must be presented prior to the issuance of a permit.

Permits shall be valid for up to one year from the date they are issued.

§ 270-6 Special drilling/conversion permits.

The term "special drilling/conversiEditor's Note: on permit," as used herein, shall mean a written permit allowing the holder thereof to drill an enhanced recovery, saltwater, or deleterious substance well within the City and in conformity with the provisions of this article or to convert an existing oil and gas well for such purpose. Permit applications shall be filed with the inspector.

No person shall convert any well from natural or primary production to a use for enhanced recovery or disposal of saltwater or deleterious substances before obtaining a permit for such activity.

No person shall reenter any abandoned well or drill an original well to be used for enhanced recovery or disposal of saltwater or deleterious substances without first obtaining a permit therefor.

Application for permit and permit fee for enhanced recovery and disposal well.

Every application for a permit as required by § 270-6 of this chapter shall be in the same form as that required for a permit to drill an original well. All such applications shall be filed with the inspector, and all such applications shall be accompanied by a nonrefundable application fee in the amount established by City Council through resolution. The permittee shall pay an additional nonrefundable annual licensing fee as described in § 270-8. The applicant shall submit two copies of all documents required by the inspector, including the following:

A block map of the well site, showing all equipment to be used thereat, location of pipelines, access road, and distances from the well to any and all fences, public roadways, and buildings within a radius of 500 feet.

A block map of the project, showing the location of all water supply, disposal, injection and producing wells; all pipelines; tank batteries, pumping station and appurtenant equipment; all wells in the project area and those located within one mile of a proposed enhanced recovery or disposal well, including producing, abandoned, disposal, and public or private freshwater supply wells.

Evidence that all freshwater zones within the project area and within one mile of a proposed enhanced recovery or disposal well will be adequately protected.

(d)

All wells within the project area and within one mile of a proposed enhanced recovery or disposal well shall be indicated by status (i.e., plugged and abandoned, injection, saltwater, etc.) and show the following additional information:

[1]

Footage location (surface casing).

[2]

Derrick floor and ground level elevation.

[3]

Drilled total depth.

[4]

Plugged back total depth.

[5]

Size, depth and quality of surface and production casing, including zones from which casing has been removed.

[6]

Location of all plugs, packers, cement plugs, tubing anchors, etc., with the well bore.

[7]

Depth and nature of all cement squeeze jobs.

[8]

Formation name and depth of all perforations and open-hole completions.

[9]

Volume and type of cement used on surface and production strings.

[10]

Top of cement.

[11]

One copy of all electric, mechanical, sample and driller's log, if available.

[12]

Fee and operator name for each well.

[13]

One copy of all cement bond logs and temperature surveys which show the top of the cement outside the production casing.

[14]

One copy of all work performed on the well.

[15]

Copies of all information supplied to the Oklahoma Corporation Commission, and said Commission's approval of the project.

[16]

The detail of a pressure test of the tubing-casing annulus as described herein. The pressure test shall be required prior to the use of any such enhanced recovery or disposal well.

[17]

The applicant shall also submit a certified copy of the order by the Board of Adjustment of the City or a certified copy of the journal entry of judgment which grants such applicant a special exception for such enhanced recovery or disposal well.

[18]

Proof of insurance coverage as fully described in this chapter.

[19]

Proof of compliance with the blanket bond or irrevocable letter of credit conforming to the requirements of this chapter.

No application for a permit to drill or operate an enhanced recovery or disposal well shall be considered to be a valid and a complete application unless and until the applicant submits the required application fee and all of the items, documents and/or information required above.

§ 270-7 Annual submission of information to inspector required.

Effective March 1, 2008, and each year thereafter, on February 1, every owner or operator of a well or wells within the City shall provide the inspector with the following information:

A list of personnel to be contacted in case of an emergency at the well site. This list shall contain all information reasonably requested by the inspector, including but not limited to the following:

The name(s) of such person or persons;

The job description(s) of such person or persons; and

The residence, office and mobile telephone numbers of such person or persons.

A list of all wells owned or operated within the City by that owner or operator. This list shall include all wells, except wells which have been plugged and abandoned in compliance with the law. The list shall contain all information reasonably requested by the inspector, including but not limited to the following:

The lease name and well number of each well;

The legal description (1/4 Section, T.R.) of each well; and

The status and use of each well.

§ 270-8 Annual operating licenses.

[Amended 9-12-2023 by Ord. No. 9335]

Operating oil and gas wells. A current annual license is required for each operating oil and gas well, thereof being operated by any individual, corporation, partnership, unincorporated association, firm or any other entity within the El Reno City limits. Each well requires a separate license.

Annual licensing fees shall be set by Council through resolution and shall not be prorated. The cost of the first year's annual license for each well is included in the initial plan review fee to obtain the requisite drilling permit for the initial drilling of any new well in the El Reno City limits.

Prior to issuing an annual license, the inspector must perform a site visit at the location of each operating oil and gas well to verify compliance with the following requirements:

The operator's name and contact information, lease name, and legal description of the lease are available and clearly visible at the entrance to the lease road and at the well site.

The driveway or entrance to the leased road, lease road, and related appurtenances are in good condition in compliance with the International Fire Code and can easily be traversed by the Fire Department during inclement weather.

Tank batteries are free from leaks, rust and corrosion and are appropriately marked.

(d)

Containment dikes are structurally sound and contiguous where necessary.

(e)

No abandoned vehicles, discarded equipment, rubbish, trash or other nuisances are present at the site.

(f)

Tall grass or weeds are not present that would constitute a fire hazard.

(g)

All required fencing is maintained in good order.

(h)

There are no leaks, spills, contaminants, or other hazards present that could be detrimental to public health, safety, welfare, or the environment.

The inspector and/or Streets Department shall also inspect the approved and other potentially used truck routes.

Licenses are nontransferable and are valid for one calendar year from the date of issuance.

City of El Reno license number(s) must be legibly posted at the entrance to the well site.

When an operator sells, or otherwise transfers a licensed oil and gas well, the new operator must apply for and receive a new annual operating license for each well.

The new annual license will be issued upon verification the well meets all requirements of this chapter, including, but not limited to:

Roadway use, repair and maintenance agreements as required in §§ 270-5A and § 270-11C;

Noise mitigation or waivers from affected parties as required in § 270-11E;

Fencing as required in § 270-11F;

(d)

Landscaping as required in § 270-11G;

(e)

Sealed surface driveway as required in § 270-11I; and

(f)

Insurance and bonding as required in § 270-10.

The bond for the operator who is selling or transferring a licensed oil and gas well will only be released upon verification by the City that all fees, fines, and other costs owed to the City, including the cost to repair damaged roadways, have been paid in full.

§ 270-9 Plugging.

Every person owning or operating any well and the officers, agents and employees of such person shall begin removing all derricks, machinery, concrete foundations and any and all other objects that interfere with the leveling of the land within a period of 60 days from the day of abandonment of the well and shall remove such objects in a workmanlike manner. Such person shall also grade, level and restore the land as nearly as possible to the same conditions which existed before the well was first commenced.

Any well in which production casing has been run but which has not been operated for six months, and which has not received temporarily abandoned status from the Oklahoma State Corporation Commission and the inspector, and any well in which no production casing has been run and for which drilling operations have ceased for 30 consecutive days, shall be presumed to be abandoned and shall be plugged in accordance with the provisions of the Oklahoma State Corporation Commission.

Any well which has not had the annual operating license paid for a period of one year or for which the inspector has not been provided proof of bond or letter of credit as required by this chapter or for which the inspector has not been provided proof of insurance as provided in this chapter shall be presumed to be abandoned and shall be plugged in accordance with this chapter.

Operators must obtain plugging permits prior to work being done. Permit applications shall include the following:

Completed permit application form.

Permit fees as established by Council through resolution.

Other pertinent information as required by the inspector.

The operator must notify the inspector that plugging operations are commencing at least 48 hours beforehand.

§ 270-10 Insurance and bonding requirements.

After the inspector's review, but prior to the issuance of any permit, the permittee must also provide a bond or irrevocable letter of credit in the principal of $25,000.

Said bond or letter of credit must be executed by a reliable insurance company or bank authorized to do business in the State of Oklahoma, as surety or creditor, with the permittee as principal or debtor, running to the City of El Reno for the benefit of the City and all persons concerned, conditioned that the permittee will comply with the terms and conditions of this article in the drilling and operation of all oil or gas wells drilled or operated within the City.

Said bond or letter of credit must become effective on or before the date same filed with the City and remain in full force and effect for at least 12 months subsequent to the expiration of the permit term, and in addition, the bond or letter of credit must be conditioned that the permittee must promptly pay all fines, penalties, and other assessments imposed upon the permittee by reason of his breach of any of the terms, provisions or conditions of this chapter and that the permittee must promptly restore the streets, sidewalks and other public property within the City which may be disturbed or damaged during the permittee's operations to their former condition; and that the permittee must promptly clear all premises of all litter, trash, waste and other substances and must, after plugging and abandonment, grade, level and restore said property to the same surface condition, as far as possible, as existed prior to commencing operations; and further that the permittee shall indemnify and hold harmless the City of El Reno from any and all liability attributable to granting the permit; and that the permittee shall promptly pay all sums with respect to deductibles on covered losses under insurance policies required by this chapter; and that the permittee shall comply with all of the terms of this chapter concerning the plugging and abandonment of all such wells.

Each bond or letter of credit submitted shall cover all wells drilled or operated by said person within the City of El Reno as specifically described all wells covered by name, legal description, and oil and gas permit number, if any. For good cause shown, the City, after notice to a permittee and opportunity for hearing, may require the filing of a blanket bond or letter of credit for all wells within the City of El Reno in an amount higher than $25,000, but not to exceed $100,000. "Good cause" shall include, but shall not be limited to, a showing that the operator or permittee has previously violated the provisions of this chapter, or that the operator has multiple wells so that, in the exercise of ordinance prudence, the El Reno City Council shall require an additional amount.

All applications for a permit under the provisions of this chapter shall be accompanied by proof of insurance coverage as follows:

The applicant for a permit shall submit with the permit application a policy or policies of standard comprehensive public liability insurance, including contractual liability insurance covering bodily injuries and property damage naming the applicant/permittee and the City as coinsureds, issued by an insurance company authorized to do business within the state; said policy or policies in the aggregate shall provide for the following minimum coverage:

Bodily injuries: $100,000 per person and $300,000 per accident.

Property damage: $200,000 per accident.

Said insurance policy or policies shall provide that they may not be canceled without written notice to the inspector at least 30 days prior to the effective date of such cancellation. In the event said policy or policies are canceled, the permit granted shall immediately terminate without any action on the part of the inspector, and the applicant's/permittee's right to operate under said permit shall cease until the permittee files additional insurance as required herein.

The insurance policies required by this section shall be submitted and maintained in full force and effect at all times by all persons drilling, completing, operating, maintaining and/or producing any well located within the limits of the City, whether drilling operations were commenced on, prior to or subsequent to February 10, 2008.

In addition to the requirements outlined hereinabove, the permittee shall obtain seepage and pollution insurance of $1,000,000 per well for the benefit of the City of El Reno and all persons concerned, conditioned that the permittee will comply with all applicable federal and state law, rules, regulations, standards or directives relating to the maintenance of the safe and beneficial physical, chemical and biological properties of any natural waters of the City, including the Lake El Reno Watershed and the Wellhead Protection Area; that the permittee shall obtain the necessary permits from the City and state with regard to any operations which have the potential of rendering such waters harmful or detrimental or injurious to the public health, safety and welfare; that the permittee shall bear all the cost necessary and incidental to the correction of any pollution to said waters caused by the permittee or permittee's agents, servants, employees, subcontractors or independent contractors; that the permittee shall pay all fines, penalties, assessments or judgments resulting directly or incidentally from the permittee's activities and which result in pollution of City waters; that the permittee shall indemnify and hold harmless the City from any and all liability attributable to granting the permit where such liability results from the pollution of City waters, the Lake El Reno Watershed, and/or Wellhead Protection Area. The Wellhead Protection Area shall be defined on a map maintained by the City of El Reno Public Works Department.

§ 270-11 Setbacks; floodplain; truck routes; road maintenance; noise.

[Amended 6-12-2018 by Ord. No. 9147; 8-13-2019 by Ord. No. 9202; 9-14-2021 by Ord. No. 9282; 2-8-2022 by Ord. No. 9292]

No drilling permit shall be issued for any location within 500 feet of any existing residence, religious institution, public building, hospital building, school, or residentially zoned property, nor shall a drilling permit be issued for any location within 300 feet of any existing fresh water well.

A separate floodplain development permit shall be required for any drilling related activities occurring within the floodplain. Drilling, storage, and other constructed or permanent activities shall not be permitted within the floodway.

The City Manager or his designee and the operator or his agent shall agree to and sign an official truck route map, a copy of which shall be retained by the operator on site. Any truck travel associated with the permitted activities shall be conducted along the official truck route. The mutual agreement and signing of said official truck route map shall be a prerequisite to issuance of a drilling permit. Truck travel associated with the permitted activities which is not confined within the "official truck route" shall be considered a violation of this article.

The operator shall be responsible for restoring the official truck route to predevelopment conditions. The City Manager, or his designee, shall be responsible for recording predevelopment conditions for purposes of comparison.

Noise emitted by any drilling activity shall be measured from the location of any of the protected land uses referenced in § 270-5A. Noise shall be measured on a sound level meter of standard design and quality having specifications recognized and established by the American National Standards Institute. Measurements with sound level meters shall be made when wind velocity at the time and place of the measurement is not more than five miles per hour, or 25 miles per hour with a windscreen. In all sound level measurements, consideration shall be given to the effect of the ambient noise level created by the encompassing noise of the environment from all sources at the time and place of the sound level measurement.

Permissible defined levels. A noise or recognized noise pollution measured or in excess of the guidelines and measured in accordance with the above requirements is declared to be excessive and is unlawful. A noise shall be found to be excessive when it exceeds the following defined levels for more than 15 minutes in duration or more than two times in one hour.

Permissible daytime levels. Between the hours of 6:00 a.m. and 9:00 p.m., nuisance noise shall not exceed 70 dB(A).

Permissible nighttime levels. Between the hours of 9:00 p.m. and 6:00 a.m., nuisance noise shall not exceed 60 dB(A).

Noise ordinance waiver. A waiver from noise pollution requirements may be obtained in instances where all protected land uses within the 1,000 foot distance agree to the waiver. To apply for the waiver, the applicant must provide notarized signatures from the affected party of each protected land use. Affected parties include:

For residential dwellings and residentially zoned properties, the affected party is the resident. If there is no resident, the affected party is the owner.

For religious institutions, public buildings, hospital buildings, and schools not owned by the City of E1 Reno, the affected party shall certify that they are able to make the decision to allow the waiver by their organization.