EXHIBIT D TO ORDINANCE 22352266 (Underlined text indicates new material; strikethrough text indicates deletions.) Sec. 21-3216. Oil and Gas Permits 1. Description. An Oil and Gas Permit allows the permit holder to undertake construction of an oil and gas project. The review of such permit is intended to ensure compliance with this land development code. Oil and Gas Permits shall encompass, as part of its authorization, the right of the Operator, its agents, employees, subcontractors, independent contractors, or any other person to perform that work reasonably necessary to conduct the activities authorized by the Oil and Gas Permit, subject to all other applicable City permits, regulations requirements, and state and federal laws and regulations. 2. Requirement. No building permit shall be issued, and no development, excavation, site preparation, or construction activity, including tree/vegetation removal or grading, shall occur on any property in connection with a Well Site until an Oil and Gas Permit has been approved in accordance with this section. 3. Public Notification Process. The City shall follow the public notification procedures outlined in Article III and all costs of property owner notification shall be borne by the Operator. 4. Public Comment Procedures. During the Public Notification process, members of the public will have the opportunity to file written comments with the City. The deadline for providing these comments shall be contained in the public notification of the process as outlined in the public notification section. The comments received can be used by the Director to inform the decision based on the relevance to the Approval Criteria and accuracy of the comments. Any written objection or request must be directly related to the proposed Oil and Gas Permit. 5. Initial Assessment Process & Site Eligibility Determination. a. Mandatory meeting. Prior to submittal of any individual Oil and Gas Permit application, all potential Operators shall conduct a minimum of one meeting with City staff. The Operator shall provide to the City sufficient information and facts, in writing and prior to the meeting, to allow the City to make a determination as to the process for determining the eligibility of a site and the application process (i.e., whether an alternative site analysis will be required; whether an administrative or City Council review process will be required). If the City is unable to determine if an alternative site analysis will be required, the Operator shall be required to attend additional meetings and provide supplemental information. Full participation and cooperation in the Initial Assessment Process and site eligibility determination, followed by the issuance of an Eligibility Letter, shall Land Development Land development code Article III - 1 Commerce City, Colorado Article III – Development Review Sec. 21-3216. Oil and Gas Permits be a prerequisite to the submission of an application for an Oil and Gas Permit. b. Site Eligibility. Before submitting any application for an Oil and Gas Permit, the Operator shall obtain a determination on the eligibility of all proposed locations. Locations not deemed eligible pursuant to this subsection shall not be included in any application or permitted as Well Sites. i. Limited exemption. Proposed locations shall automatically be deemed eligible for the submission of an application and exempt from the requirement of an alternative location analysis if the site meets all of the following criteria: 1. Is located more than 2,000’ from the following: a. Any existing residential, platted residential, or property currently entitled for residential use, not including properties zoned Agricultural over 10 acres in size; b. Any facility classified as a High Occupancy Building Unit, as defined by the COGCC; c. Any Public Park or Public Recreation facility, not including trails or City designated open space; d. Outdoor venues, playgrounds, permanent sports fields, amphitheaters, or other similar places of outdoor public assembly; and e. Senior living or assisted living facilities; 2. Is located more than 500’ from the following: a. The centerline of all USGS perennial streams; b. Public Water Supply Wells; c. Reservoirs; and Land Development Code Article III - 2 Commerce City, Colorado Article III – Development Review Sec. 21-3216. Oil and Gas Permits d. Areas defined as land unsuitable for development in Section 21-7100. 3. Is outside of FEMA 100 Year Floodplain boundary and any surface water features; and 4. Meets at least one of the following criteria a. Is currently zoned I-2, I-3, or PUD with a use category of “general industrial;” or identifies Oil and Gas resource extraction (i.e. subsurface extraction) as an allowed use; or b. Has a future land use designation of Industrial / Distribution or General Industrial. Measurements shall be taken from the edge of the proposed Production Site to the parcel boundary. The edge of the proposed Production Site shall be defined as the maximum extent of the facility during the production phase. ii. Alternative Site Location Analysis. If the site is not automatically deemed eligible pursuant to the limited exception, the applicant shall prepare and submit an alternative site location analysis including, at a minimum, the following information: 1. All drilling and spacing units proposed by the applicant within the City and within 1 mile of the City’s municipal boundaries; 2. The location of all features listed in section 21- 3216(5)(b)(i)(1-3) within 1 mile of all drilling and spacing units proposed by the applicant; 3. A minimum of three potential sites that can reasonably access the mineral resources within the proposed drilling and spacing unit(s), including the following information for each site: a. General narrative description of theeach site; b. The applicant’s basis for proposing each site; Land Development Code Article III - 3 Commerce City, Colorado Article III – Development Review Sec. 21-3216. Oil and Gas Permits c. A summary of the off-site impacts that may be associated with each site; d. Any factors listed in section 21- 3216(5)(b)(i) that the particular site does not meet; e. Proposed truck traffic routes and access roads for each site; and f. Any information pertinent to the applicable review criteria that will assist the City in evaluating the sites. iii. Review Criteria. The Director may determine that a site identified in the alternative site location analysis is eligible to submit an application, based on the following: 1. A proposed site’s conformance with the City’s adopted Comprehensive Plan, and any other applicable adopted plans; 2. The absence of any significant impacts the proposed site location may have on adjacent properties; 3. Adequate surface acreage and suitable topography for safe and efficient operations; 4. The ability to access targeted minerals with technology available at the time of development; 5. The ability to reasonably implement the protections contained in the BMP Document from the proposed location; 6. The ability to consolidate facilities with other planned drilling and spacing units proposed within the City’s municipal boundaries; 7. The ability to reconfigure proposed drilling and spacing unit applications to provide more suitable surface use locations; 8. The existence of a surface use agreement between any landowner and a potential operator shall not be a Land Development Code Article III - 4 Commerce City, Colorado Article III – Development Review Sec. 21-3216. Oil and Gas Permits factor of consideration in the city’s review of an alternative location analysis; and 9. Any other relevant considerations impacting public health, welfare, safety, and the environment. iv. Disposition. The Director or designee shall provide the applicant a written assessment (“Eligibility Letter”) indicating which, if any, of the proposed locations qualify as eligible sites or whether the proposed location is automatically deemed eligible. The Eligibility Letter shall not be construed as an Oil and Gas Permit or an authorization to conduct any Oil and Gas Operations. c. Notwithstanding the eligibility of a site, an application for an Oil and Gas Permit shall not be accepted if the proposed location is not currently zoned for Oil and Gas Operations unless a complete zoning application is concurrently submitted, or is currently pending, that would allow Oil and Gas Operations at the proposed location if approved. d. Confidentiality. To the extent permitted by law, information submitted to the City by an applicant in support of the Initial Assessment Process and site eligibility determination may be deemed confidential by the applicant provided that the public release of such information has the potential to negatively impact the applicant’s business activities, including the applicant’s negotiating position with surface use owners. If the applicant designates any information as confidential, the information may not be released by the City unless required by law. The applicant shall be solely responsible for the protection of its information and shall indemnify the City for any attorneys’ fees and costs, and any award thereof, incurred in the defense of the applicant’s assertion of confidentiality. e. Materials submitted for review as part of the Initial Assessment Process and site eligibility determination shall not constitute an application for development for purposes of C.R.S. §24-68-101, et. seq. Any opinions expressed during the Initial Assessment Process and site eligibility determination are informational only and do not represent a commitment on behalf of the city regarding the acceptability or approval of the development proposal, except the eligibility of a site for application. 6. Extraction Agreement. No Extraction Agreement shall be approved by the City before the closure of the public comment period on any pending, related Oil and Gas Permit Applicationapplication to put forward site-specific conditions Land Development Code Article III - 5 Commerce City, Colorado Article III – Development Review Sec. 21-3216. Oil and Gas Permits necessary to protect health, safety, and general welfare.