HomeMy WebLinkAboutOrdinance No. 3082-2019CITY OF KENAI
ORDINANCE NO. 3082-2019
Sponsored by: City Clerk
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KENAI
MUNICIPAL CODE CHAPTER 5.35, OIL AND GAS WELLS, TO PROVIDE THAT
APPLICATIONS AND SUPPLEMENTAL APPLICATIONS BE FILED WITH THE CITY
MANAGER.
WHEREAS, the City of Kenai enacted regulations for permitting the drilling of oil and gas in 1967;
and,
WHEREAS, at that time, the ordinances provided for the City Council to determine compliance
and issue permits; and,
WHEREAS, because the City Council was the permitting authority, applications were required to
be submitted to the City Clerk; and,
WHEREAS, in 1982, it was determined that permitting oil and gas drilling was more appropriately
a managerial function, exercised by the City Manager, in accordance with policies set by the City
Council; and,
WHEREAS, it remains today that the applications and supplemental applications be filed with the
City Clerk; and,
WHEREAS, because the City Clerk is not involved in the processing of the drilling permits, it is in
the best interest of the City to require that drilling permit applications and supplemental
applications be filed with the City Manager.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 5.35.050 — Application and filing fees, is hereby amended as follows:
(a) Every application for a permit to drill and operate a well shall be in writing, signed by the
applicant or by some person duly authorized to sign same on his or her behalf, and it shall
be filed with the City [CLERK] Manager or designee and be accompanied with a filing fee as
set forth in the City's schedule of fees adopted by the City Council. No application shall
request a permit to drill and operate more than one (1) well. The said application shall include
full information, including the following:
(1) The date of said application;
(2) Name of the applicant;
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Ordinance 3082-2019
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(3) Address of the applicant;
(4) Proposed site of the well, including name of the mineral owner and surface owner
name of the lease owner, and brief description of the land;
(5) Type of derrick to be used;
(6) The proposed depth of the well.
Section 2. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 5.35.110 — Deeper drilling, is hereby amended as follows:
(a) Once any well has either been completed as a producer or abandoned as a dry hole, it
shall be unlawful and an offense for any person to drill such well to a deeper depth than that
reached in the prior drilling operations without the permittee as to such well obtaining a
supplemental permit after filing a supplemental application with the City [CLERK) Manager or
designee specifying:
(1) The then condition of the well and the casing therein;
(2) The depth to which it is proposed such well be deepened;
(3) The proposed casing program to be used in connection with proposed deepening
operations;
(4) An evidence of adequate current tests showing that the casing strings in said well
currently passed the same tests as are in this ordinance provided for in case of the drilling
of the original well.
(b) In the event the City Manager is satisfied that said well maybe deepened with the same
degree of safety as existed in the original well, a supplemental permit may be issued without
an additional filing fee to the permittee authorizing the deepening and operation of the well to
such specified depth as applied for.
(c) In any deeper drilling or any deeper completion of any deeper production operations, the
permittee shall comply with all other provisions contained in this ordinance and applicable to
the drilling, completion, and operation of a well or wells.
Section 3. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction, such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision, or application.
Section 4. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after enactment.
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Ordinance 3082-2019
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ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 41" day of September,
2019.
ATTEST:
Heinz, CMC, City Cle�{C x".00
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Introduced: August 21, 2019
Enacted: September 4, 2019
Effective: October 4, 2019
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210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 1 Fax: (907) 283-3014
www.kenai.city
TO:
Mayor Brian Gabriel and Kenai City Council
FROM:
Jamie Heinz, CMC, City Clerk
DATE:
August 12, 2019
SUBJECT:
Ordinance No. 3082-2019
The purpose of this memo is to recommend adoption of Ordinance No. 3082-2019. It was brought to
my attention this year that Kenai Municipal Code requires applications and supplemental applications
for oil and gas well permits be submitted to the City Clerk. The remainder of the permitting process is
conducted by the City Manager.
When reviewing the history, I found that the City began permitting oil and gas drilling in 1967 at which
time the City Council acted on whether or not the permits should be issued and, as such, the
applications and supplemental applications were submitted to the City Clerk. In 1982, it was
determined that permitting oil and gas drilling was mon: appropriately a managerial function and the
code was amended to replace "City Council' with "City Manager." At that time, submission of the
applications and supplemental applications to the City Clerk remained.
Because the Oil and Gas Permitting records are kept by the City Manager and the City Clerk is not
involved in processing the permits, it makes sense that the code be amended to require the
applications and supplemental applications be submitted to the City Manager.
Thank you for your consideration.