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Kern County 2015 Updated Oil & Gas Permitting Ordinance B. Joe Ashley | Director – Regulatory & External Affairs | March 2016 The Future of the Oil and Gas Industry: Permitting The Oil Industry In Kern, Lessons Learned And – Now What??
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Page 1: Permitting The Oil Industry In Kern, Lessons Learned And Now …safetybakersfield.com/media/3D - The Future Of The Oil... · 2016. 4. 18. · California –WSPA, CIPA and IOPA –jointly

Kern County 2015 Updated

Oil & Gas Permitting Ordinance

B. Joe Ashley | Director – Regulatory & External Affairs |

March 2016

The Future of the Oil and Gas Industry: Permitting The Oil Industry In Kern, Lessons Learned And – Now What??

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BACKGROUND

• California Environmental Quality Act (CEQA) requires state and local

agencies to identify and mitigate significant impacts when issuing

discretionary permits for “Projects”

• The trade associations representing the upstream oil and gas industry in

California – WSPA, CIPA and IOPA – jointly applied for an amendment to

the County’s zoning ordinance in January, 2013 to demonstrate that

adequate CEQA has been completed for oil and gas related activities in

Kern County

• Conduct a project-level CEQA review in support of the amendment to

Kern County’s Oil & Gas Zoning Ordinance (Chapter 19.98) and

establish a new County-led permitting process for oil & gas activities

• The project will provide CEQA coverage for most oilfield development

activities for next ±20 years

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OBJECTIVES

• Prepare a comprehensive, project-level EIR that provides

operators with both certainty and flexibility for continued

operations and growth in Kern County

• Create a structure that will facilitate permitting by

DOGGR and other agencies (e.g., APCD, RWQCB, CDFW)

• Provide CEQA coverage for SB4 and supplement the

statewide EIR with technical studies and site specific

detail necessary for WST permitting

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PROJECT AREA

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• The amendment to the Kern County Oil and Gas Zoning

ordinance has been approved, and the EIR prepared in support

of the zoning amendment was certified

• The effective date of the new zoning ordinance is 12/9/2015

• All projects are now subject to the provisions of the zoning

ordinance, unless they were approved before 12/9/2015

• Example: if you received an approved NOI from DOGGR before

the effective date (12/8/15 or earlier), you do not need a permit

from the county to drill the well

EFFECTIVE DATE OF ORDINANCE

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• Tier Areas

• Multiple Permit Types (3)

• Surface Owner Notification Requirements

• Improved Certainty and Streamlined Permit

Process

• New Development Standards

• New Certification Requirements

NEW ORDINANCE HIGHLIGHTS

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• Tier Areas

Tier 1 – Primarily Oil & Gas

Tier 2 – Primarily Agriculture

Tier 3 – Zone Districts NR, RF, M-1, M-2, M-3, FPP, DI, PE

Tier 4 – Zone Districts E, R-1, R-2, R-3, CO, C-1, C-2, CH, OS, PL, MP

Tier 5 – Specific Plan Areas

Non-Jurisdictional

• Permit Types

Conformity Review – New wells, WST, new construction, well re-work

Minor Activity Review –New construction, access roads, geophysical surveys,

well pad preparation, pipelines etc.

CUP – Required for activities not covered, Tier 4 areas, certain Tier 5 areas

No Permit – Non-jurisdictional areas, well abandonment, restoration, fencing

TIERS AND PERMIT TYPES

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• Conformity Review

No land owner signature needed, OR signature obtained or waived 7 DAY

Land owner signature not obtained 30–120 DAYS

If at any point in the process, the required landowner signature is obtained,

application is approved

• Minor Activity Review

Notification completed or waiver obtained 7 DAYS

No signature required

• Conditional Use Permit (CUP)

Planning Commission/Board of Supervisors approval required

~ 8 months

PERMITTING TIMEFRAMES

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• Conformity Review or Conditional Use Permit (CUP)

Tiers 1-5 – Notification letter, county handout and copy of site plan 30

days before submittal to county (PRC 848)

Tiers 2, 3, 4, and 5 – Operator provides copy of application to surface

owner

(Operator MUST document this)

• Minor Activity Review

Tier 1 – No notification required

Tiers 2, 3, and 5 – Copy of application 30 days before submission to

county (PRC 848)

SURFACE OWNER NOTIFICATION

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COVERED ACTIVITIES

• Geophysical surveys

• Drilling operations

• Enhanced oil recovery

• Completion operations, including SB4 regulated activities

• Pipelines, storage facilities, distribution lines, access roads

• Water, Oil, and Gas treatment

• Shallow cyclic thermal production and well remedial operations

• Process water for steam generators and extraction activities

• Construction, operation, and maintenance

• Plugging and abandonment and decommissioning of facilities

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Environmental Impacts must be mitigated (and documented in

MMRP)

• Air quality

• Water supply and quality

• Setbacks from sensitive receptors

• Environmental pre-activity surveys

• Traffic fees

• Land disturbance mitigation

• Incorporation of existing or new compliance plans (i.e. worker

education program that covers all aspects of the EIR

requirements)

MITIGATION

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• Quick Reference

Project Area Map

Covered Activities Table

Major Fields and Tiers Table

• County Resources

County Website -

http://pcd.kerndsa.com/planning/oil-gas-zoning-

amendment

Kern Gateway Mapping System -

http://kcpcdd.databasin.org/

RESOURCES

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• Be aware of the new county process, and that there

are new requirements

• Communicate projects early and often to your

Regulatory experts

• IF YOU HAVE QUESTIONS, ASK!

• Participate in Kern Citizens for Energy!

EXPECTATIONS

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WHO WE ARE

• Kern Citizens for Energy is a local coalition established to support all of the

men and women working in the energy industry

• We are local citizens, small business owners, nonprofits, chambers of

commerce, energy companies and taxpayer advocates who support the

energy industry here in Kern County

• We applaud the enormous contributions that the energy industry makes in

Kern County, the state of California and throughout the nation in the form

of jobs, tax revenues and philanthropy

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FACTS…CONSIDER THESE

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At more than $6.6 billion dollars, the

oil industry is responsible for

nearly 20% of Kern County’s gross

domestic product (GDP).

California has abundant natural

resources yet we currently import

of our total energy needs. Taking

advantage of the rich resources right

beneath us will provide job opportunities

for those in our own state.

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• California’s petroleum industry offers employment opportunities to all educational backgrounds

• As a result, industry employees earn double the wages of all private industry in California

Source: http://kedc.com/petroleum-industry-continues-to-drive-california-economy-job-creation/

Petroleum Supports Education

Bachelor's~30%

Associate's~30%

High School Diploma or less

33%

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ChambersGreater Bakersfield Chamber of CommerceKern County Black Chamber of Commerce

Kern County Hispanic Chamber of CommerceGreater Lamont Chamber of Commerce

Mojave Chamber of CommerceNorth of the River Chamber of Commerce

Ridgecrest Chamber of CommerceShafter Chamber of Commerce

Taft Chamber of CommerceGreater Tehachapi Chamber of Commerce

Cities & School DistrictsCity of Bakersfield

City of California CityCity of Ridgecrest

City of TaftCity of Tehachapi

Kern High School District

Public SafetyKern County Firefighters Local 1301Kern Law Enforcement Association

Our Supporters...

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Curtis Electrical Construction Inc.Hislop PhotographyKern County Firefighters Local 1301Castle & CookeT.L. Maxwell’s Restaurant & BarSunbelt Business Brokers & AdvisorsPerformance ContractingArena PaintingWestside Waste Management Co. Inc.DeWalt CorporationGaines Recruiting & Consulting GroupAmerican Red Cross- Kern ChapterH-Force Kern Patriot PartnershipBakersfield Association of Realtors

American Kids Sports CenterSpectrum SystemsStudent Government Association of Bakersfield College First 5 KernTutoring ClubMendiburu Magic FoundationLighthouse Transport ServicesVarner Bros., Inc.AppleOneAll’s Well Healthcare ServicesMcKee Electric Company iNFocus ConsultingBugs Away Pest Control Lighting in Style

*Partial List– visit our website for full list of supporters

Businesses & Organizations

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Advertising Campaign

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QUESTIONS?

[email protected]

www.KernCitizensforEnergy.com

@KernEnergy


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