Santa Fe County released a revised version of its proposed oil and gas ordinance late Friday reflecting changes requested by both members and opponents of the oil and gas industry.

The 53-page document includes changes sought both by hundreds of area residents who found deficiencies in the measure's first draft and by Tecton Energy, which sparked the new regulations last fall by announcing it has bought 65,000 acres of mineral rights in Santa Fe County and wants to drill here.

In the new draft of the proposed ordinance:

•  None of the "setbacks" that govern the distance between oil and gas development and homes and roads has been reduced. The setbacks from water wells and cultural and archaeological resources has been changed from 200 to 500 feet. A new setback regulation requiring oil and gas development to stay at least 200 feet from designated county trails and open spaces has been added.

•  Variances from the setback rules still are allowed in the latest version of the ordinance. But the language that defines their availability has been tightened. According to the new language, variances shall be "granted sparingly," particularly when drillers want to locate wells on the land of people who don't own the mineral rights under their property. The measure does not specify the grounds on which a variance would be granted.

•  Only sand and water can be used during "fracturing," a procedure that involves injecting pressurized fluid into rock formations to prop them open to allow oil or gas to flow out more easily. Residents have expressed fears about potential harmful chemicals contained in fracturing fluids.

•  The definition of a "gas well" has been amended. The new definition says an oil well "with a gas-oil ratio in excess of 100,000 cubic feet of gas per barrel" now will be classified as a gas well. This change could prove pivotal in light of growing suspicions that developers may be using the premise of oil development to divert attention from the fact that natural gas, whose production has a larger impact on the land, is the true target of exploration in Santa Fe County.

•  The requirement that developers secure a $5,000 performance bond for each well has been removed. A new requirement that such bonds represent the "actual cost to remediate the site ... after abandonment" takes its place.

•  The new version of the ordinance mandates the use of drilling islands, which consolidate drilling equipment for numerous wells in one spot. This change should lessen the number of wells and roads created.

•  The county has specifically exempted the surface of Cerrillos Hills Historic Park and the Ortiz Mountains Educational Preserve from oil and gas development. This change, which does not prohibit developers from accessing minerals under those sites by drilling to them from adjacent land, is in direct opposition to a request by Tecton that the ordinance not "redline" any areas.

•  The "purpose" statement that prefaced the ordinance before is no more. This may be viewed as a mixed blessing. The phrase that referred to mineral rights as "dominate" over surface rights, which opponents called objectionable and antiquated, is gone. But the sweeping statement about the ordinance's serving to "protect the health, safety, morals, convenience, order, prosperity and general welfare of present and future residents" also is gone. Now, it can't be counted on as the all-purpose basis for permit denials that some opponents had hoped it could.

•  A requirement that oil and gas developers submit a timetable for reclamation was removed, though reclamation still is required. In written statements submitted to the county, Tecton stated: "If production is achieved, reclamation may not occur for twenty years or more."

County attorney Steve Ross will present a more detailed overview of the new regulations Monday during the first of two official public hearings. The county passed a three-month moratorium on new drilling applications Nov. 27 to give itself time to complete this ordinance before any applications are submitted to the county.

Tecton has three drilling applications pending before the state Oil Conservation Division. A public hearing on those applications will be held next month.

Contact Phaedra Haywood at 986-3068 or phaywood@sfnewmexican.com.



IF YOU GO

What: First of two public hearings concerning Santa Fe County's proposed new oil and gas regulations.

When: 3 p.m. Monday

Where: Santa Fe Community College gymnasium, 6401 S. Richards Ave.