COGCC asserts it still has well site authority over Weld County

Editor’s note: this story was updated Monday, July 22 at 5:37 p.m. with a statement from the Weld County Commissioners.

GREELEY — The Colorado Oil and Gas Conservation Commission is warning Weld County that it still has regulatory powers in the state’s drilling powerhouse despite it declaring local control over mineral resources.

The Weld County Board of Commissioners finalized the creation of its own oil and gas energy department in its Monday meeting, months after it asserted that it had the sole purview over oil and gas drilling. The 10-person department is set to begin operating Aug. 5.

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The Colorado Legislature granted local governments more authority over gas and oil site permitting upon the passage of SB 181, a sweeping reform of how the industry is regulated in the state. Opponents of the bill, including the Weld County commissioners, previously argued that the bill would cripple the oil and gas industry in Colorado.

Weld County created the office despite a pending legal question over whether SB 181’s expansion of local control gives Weld County the sole authority to grant operator permits in its borders instead of gas and oil companies needing approval from both the county and the COGCC.

The Colorado Attorney General’s Office issued a letter on behalf of the COGCC to the Weld County Attorney’s Office Monday, arguing that SB 181 lets municipalities write tougher restrictions on oil and gas permits, not the ability to undermine statewide regulatory levels.

The letter says the COGCC doesn’t plan to interfere with Weld County’s enforcement of the rule and hopes to work with the county on enforcement, but asserted it still has authority to approve or deny permits.

“The COGCC recognizes its obligation to regulate the oil and gas development to ensure the protection of health, safety, welfare, the environment and wildlife resources,” the letter reads.

The COGCC also sent a copy of the letter to oil and gas operators, effectively warning against following Weld County’s interpretation of the law.

It’s not clear if either the COGCC or Weld County would sue to have the courts decide how to interpret the law.

In a statement, the Weld County commissioners said SB 181 ceded land use authority to governments, and the letter is an attempt to take that authority away.

“For the COGCC, through the State Attorney’s Office, to now not only attempt to assume local control from local governments but also require a duplicative process for the oil and gas industry is both disappointing and irresponsible,” the statement said.

The COGCC did not respond to a further request for comment other than the letter.

Kevin Lynch, an environmental law professor at the University of Denver, said Weld County’s arguments are “borderline frivolous” and directly violates case law that allows state law to supercede local rules in matters that aren’t specifically local matters, such as public health.

“The state regulations still exist as a backdrop and a minimum floor, and that’s what Weld County can’t do, they can’t say state regulations don’t apply to them,” he said.

Lynch said the state would have ample ground to sue operators that build sites without COGCC approval to enforce its regulations.