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O270ORDINANCE N0.270 AN ORDINANCE DECLARING A NINETY DAY (90) DAY MORATORIUM ON THE COMMENCEMENT OF DRILLING OR RE-ENTERING A WELL FOR THE PURPOSES OF EXPLORATION OR PRODUCTION OF OIL OR GAS WITHIN THE CITY OF KENNEDALE; DIRECTING CITY STAFF TO INITIATE IMMEDIATE STUDY OF APPROPRIATE REGULATIONS FOR THE DRILLING AND EXPLORATION OF OIL AND GAS; PROVIDING FOR A METHOD OF REPEAL OF THIS MORATORIUM; PROVIDING A VARIANCE PROCEDURE; AND PROVIDING THAT THIS ORDINANCE SHALL TAKE EFFECT IMMEDIATELY UPON PASSAGE. WHEREAS, the City of Kennedale is a home rule city acting under its charter adopted by the electorate pursuant to Article XI, Section 5 of the Texas Constitution and Chapter 9 of the Local Government Code; and WHEREAS, the City Council has directed staff to initiate an immediate study of appropriate regulations for the drilling and exploration of oil and gas and to make recommendations to the City Council on the possible adoption of such regulations; and WHEREAS, the City Council has concerns forthe public health, safety, and welfare based on the adequacy of regulations currently in place; and WHEREAS, City staff has prepared proposed regulations for review bythe Planning & Zoning Commission and the City Council; and WHEREAS, the City Council desires to maintain the status quo within the City until such time as the City Council has had a reasonable opportunity to review the recommended regulations and to take appropriate action as may be required to protect the public health, safety and welfare; and WHEREAS, a ninety (90) day moratorium placed on the drilling or re-entering of a well for the purposes of exploration or production of oil or gas is a minimally intrusive method of maintaining the status quo until such review can be completed. W:\Kennedale\ORDINANC\Oil&GasDrill.mor.wpd (02/20/04) Page 1 NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF KENNEDALE,TEXAS: SECTION 1. Effective immediately, for a period of ninety (90) days, the commencement of drilling or re-entering a well for the purposes of exploration or production of oil or gas shall not be permitted within the corporate limits of the City of Kennedale. SECTION 2. The purpose of this moratorium is to maintain the status quo until such time as the City Council has had an opportunity to review recommendations from the Planning & Zoning Commission and City staffconcerning appropriate regulations governing the drilling and exploration of oil and gas and adopt such regulations as necessary. SECTION 3. The term drilling as used in this ordinance shall mean the creation or commencement of the creation of a well. The term re-entering as used in this ordinance shall mean the commencement of drilling of any producing or abandoned well. The term well as used in this ordinance shall mean any hole or holes, bore or bores, to any sand, horizon, formation, strata or depth, for the purpose of producing oil, gas, geothermal, or other mineral resources. The term exploration as used in this ordinance shall mean drilling for the purpose of securing geological or geophysical information to be used in the exploration or development of oil, gas, geothermal, or other mineral resources. W:\Kennedale\ORDINANC\Oil&GasDrill.mor.wpd (02/20/04) Page 2 The term production shall mean the exploration or development of oil, gas, geothermal, or other mineral resources. The terms oil and gas as used in this ordinance shall have the meanings customarily attributable to them by prudent operators in the oil and gas industry, including such geothermal, or other mineral resources customarily attributed to them. SECTION 4. The Planning & Zoning Commission of the City of Kennedale is hereby directed to initiate proper procedures forthe consideration of regulations forthe drilling and exploration of oil and gas wells within the City and shall hold a public hearing and make recommendations tothe City Council as expeditiously as possible with regard to any such regulations. SECTION 5. This moratorium shall remain in effect until such time as the City Council has had a reasonable opportunity to consider and act upon appropriate regulations governing drilling and exploration of oil and gas wells within the City. Upon final adoption of an ordinance regulating drilling and exploration of oil and gas wells within the City, or upon a determination being made bythe City Council that such regulations are not appropriate, this moratorium shall expire. This moratorium shall automatically expire ninety (90) days from the date of adoption unless it is specifically extended by additional City Council action for an additional time period. SECTION 6. Any person that believes that the imposition of this moratorium causes a unique and unreasonable hardship upon his or her business shall have the right to request a variance W:\Kennedale\ORDINANC\Oil&GasDrill.mor.wpd (02/20/04) Page 3 to the provisions of this moratorium. A person seeking a variance shall submit a written request to the City Council through the City Secretary's office. The request must provide the following information: a. A description of the business to be covered by the variance. b. An explanation as to why the application of the moratorium is unreasonable as applied to the applicant's business. c. A description of any negative impacts created by the moratorium provision. The City Secretary's office shall place the request for a variance on the agenda of the City Council for consideration at a public meeting. The applicant shall receive written notice of the date of the proposed hearing on the variance request. The City staff shall not be required to provide written notice of the variance request to any other individual or entity. On the date that the item is set for hearing, the City Council shall conduct a public hearing on the variance request giving any individual who desires to present information or evidence to the City Council on the appropriateness or inappropriateness of the variance the opportunity to appear before the City Council and present such information. At the conclusion of the hearing, the City Council, by majority vote, may approve a variance to the provisions of this moratorium ordinance or may deny the request for variance. SECTION 7. This ordinance shall be in full force and effect from and after its passage and it is so ordained. PASSED AND APPROVED on this 12`h day of February, 2004. G~1-- 'tjl~ N AYOR W:\Kennedale\ORDINANC\Oil&GasDrill.mor.wpd (02/20/04) Page 4 ```~OF KEN~y~~~,. • '. Gs ;' .~ . *= *' ' ~ ' ~ v~ATTEST: • ~~ : ~ ~: 9 '. 9•~''••....•••'~ ''~~~,,, 11111111111\~\ CIT SECR ARY EFFECTIVE: a `o't -D¢ APPROVED AS TO FORM AND LEGALITY: GJI~ d~~_ CITY ATTORNEY W:\Kennedale\ORDINANC\Oil&GasDrill.mor.wpd (02/20/04) Page 5