Date: 04/25/2013

Final
BILL SUMMARY for HB13-1316

HOUSE COMMITTEE ON HEALTH, INSURANCE & ENVIRONMENT

Votes: View--> Action Taken:
Adopt amendment L.001 (Attachment G). The motion p
Refer House Bill 13-1316, as amended, to the Commi
PASS
PASS



01:40 PM -- House Bill 13-1316

Representative Salazar and Representative Hullinghorst presented House Bill 13-1316 concerning the Colorado Oil and Gas Conservation Commission's adoption of uniform statewide groundwater sampling rules. The bill requires the Colorado Oil and Gas Conservation Commission (COGCC) to adopt uniform groundwater sampling rules, applicable to any new oil and gas production well or any injection well subject to COGCC regulation in the state. Under the bill, the COGCC rules must:

Representative Salazar discussed the Greater Wattenberg Area's exemption from certain COGCC rules, specifically Rule 609. Representative Hullinghorst discussed data concerning oil and gas spills that have contaminated groundwater and the reasons why a robust water monitoring program is needed. Representative Joshi discussed the definition of cost-effect. Representative Hullinghorst responded to questions about the bill, whether groundwater sampling is occurring in the state, and whether there is scientific evidence to apply certain COGCC rules statewide. Representative Salazar responded to questions about whether scientific evidence was presented to the COGCC during the rule-making process, the cost-effectiveness of groundwater sampling, and the ability of citizens to request water testing. Representative Salazar discussed the oil and gas industry's response to the application of rule 609 to the Greater Wattenberg Area in response to a question. Representative Salazar and Representative Hullinghorst responded to questions about oil and gas revenues, taxes imposed on the oil and gas industry, oil and gas inspections, and the groundwater sampling that would occur if the bill is enacted.


02:09 PM --
Dan Grossman, Environmental Defense Fund, testified in support of the bill. He discussed surface spills, contamination of groundwater, and the COGCC rules concerning groundwater sampling. Mr. Grossman responded to questions about why the COGCC decided against applying rule 609 statewide in light of scientific evidence. The committee recessed.


03:04 PM

The committee came back to order.

Representative Salazar discussed the cost of the groundwater sampling and oil and gas revenues. He provided the committee maps of the Greater Wattenberg Area (Attachments A and B). In response to questions from the committee, Mr. Grossman discussed the practicality of applying the COGCC rules to the Greater Wattenberg Area, the flexibility for testing allowed for under the bill, and the ability of counties to engage in conversations and memorandums of understanding with the COGCC. Mr. Grossman continued to respond to questions about the number of wells that would be tested and the Weld County-led program for water well testing.

130425 AttachA.pdf130425 AttachA.pdf130425 AttachB .pdf130425 AttachB .pdf

03:21 PM --
Matt Lepore, COGCC, testified in opposition to the bill. He provided three handouts (Attachments C, D, and E) to the committee. He discussed the COGCC rules concerning groundwater monitoring, surface spills, and oil and gas site construction. Mr. Lepore discussed the handouts he provided to the committee. He responded to questions about how water wells are selected for testing, whether the current COGCC rules address public safety and environmental concerns related to oil and gas activities, and the consideration of scientific evidence by the COGCC during their rule-making process. Mr. Lepore responded to questions about groundwater testing requirements in other states, whether the Weld County-led water well testing program was a factor considered during the COGCC rule-making process, the stakeholder process that occurred during the drafting of the COGCC rules, and the information presented in his handouts. Mr. Lepore responded to questions about the authority of the COGCC to implement rules in the Greater Wattenberg Area and the strength of the COGCC rules concerning groundwater monitoring. Representative Salazar discussed the authority of the COGCC to adopt certain rules and radial sampling. Representative Hullinghorst responded to a question about what types of water sources could be tested under the bill.

130425 AttachC.pdf130425 AttachC.pdf130425 AttachD.pdf130425 AttachD.pdf130425 AttachE.pdf130425 AttachE.pdf

03:56 PM --
Stan Dempsey, Colorado Petroleum Association, testified in opposition to the bill. He discussed the COGCC's groundwater testing rules and the process for adopting those rules.


04:00 PM --
Christi Zeller, La Plata County Energy Council, testified in opposition to the bill. She discussed LaPlata County oil and gas production and the regulation of the oil and gas industry. She referenced the COGCC publication "How Well Do You Know Your Water Well?".


04:04 PM --
Jamie Jost, Colorado Oil and Gas Association, testified in opposition to the bill. She provided a copy of her testimony (Attachment F). She discussed COGCC Rule 207 and about whether the COGCC has the authority to adopt certain rules. Ms. Jost responded to questions about potable water testing requirements, how long it takes for the Department of Public Health and Environment or the COGCC to test water wells when requested, and whether testing data is shared between oil and gas operators.

130425 AttachF.pdf130425 AttachF.pdf

04:12 PM --
Commissioner Eva Henry, Adams County, testified in support of the bill. She discussed the oil and gas development in Adams County and the need to uniformly apply the COGCC groundwater testing rules. Commissioner Henry responded to questions about whether water contamination has occurred in Adams County, public safety concerns related to water quality, and whether the Adams County Commissioners have a relationship with the COGCC.


04:18 PM --
Joe Malinowski, Boulder County Public Health, testified in support of the bill. He discussed the ability of counties to petition the COGCC to change the water testing protocol and the need for a consistent approach to water well sampling.


04:21 PM --
Matt Sura, Conservation Colation, testified in support of the bill. He discussed the history of groundwater testing in the Greater Wattenberg Area and the stakeholder process that occurred prior to the adoption of the COGCC groundwater rules. Mr. Sura responded to questions about thermogenic methane and whether the proposed testing requirements would be complicated for the oil and gas industry.



04:30 PM

Representative Hullinghorst discussed amendment L.001 (Attachment G). Representative Hullinghorst responded to a question about whether the amendment would address the concerns expressed by Commissioner Henry about the uniform application of groundwater testing rules. Representative Stephens discussed allowing exemptions from the groundwater rules.

130425 AttachG.pdf130425 AttachG.pdf
BILL:HB13-1316
TIME: 04:32:24 PM
MOVED:McCann
MOTION:Adopt amendment L.001 (Attachment G). The motion passed on a vote of 6-5.
SECONDED:Ginal
VOTE
Conti
No
Fields
Yes
Ginal
Yes
Humphrey
No
Joshi
No
Primavera
Yes
Stephens
No
Swalm
No
Young
Yes
Schafer
Yes
McCann
Yes
YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS



04:33 PM

Representative Hullinghorst discussed water monitoring programs in other states. Representative Salazar made concluding remarks about the bill. The committee members commented on the bill.

BILL:HB13-1316
TIME: 04:39:13 PM
MOVED:Primavera
MOTION:Refer House Bill 13-1316, as amended, to the Committee on Appropriations. The motion passed on a vote of 6-5.
SECONDED:Fields
VOTE
Conti
No
Fields
Yes
Ginal
Yes
Humphrey
No
Joshi
No
Primavera
Yes
Stephens
No
Swalm
No
Young
Yes
Schafer
Yes
McCann
Yes
Final YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS