ENERGY & RESOURCES AD HOC COMMITTEE
April 26, 2010
** NOT APPROVED
Committee Members Present
K. LaForge and F. Sinclair
Committee Members Excused
G. Benson
Guest Speaker
Robin Inwood, Sr., Long Consulting
Others Present
C. Crandall, J.
Margeson, M. Alger, D. Fanton, T. Hopkins, M. Healy, P. Curren, J. Foels, K.
Dirlam, S. Grugel, M. Burke, B. Rigby-Riehle, T. Warner, J. Lucey, T. Barber
and S. Collins.
The Energy &
Resources Ad Hoc Committee was chaired by Planning & Economic Development
Chairman Fred Sinclair who called the meeting to order at 11:03 a.m. K. LaForge recused himself from chairing the
committee and from any discussion of Marcellus waste disposal.
Approval of Minutes
Acting Chairman
Sinclair entertained a motion to approve the meeting minutes for February 22,
2010 and March 22, 2010. Motioned by K.
LaForge and seconded by F. Sinclair.
Motion carried 2-0; 1 absent.
Guest Speaker
Mr. Robin Inwood,
Consultant for Long Consulting, was introduced to speak on behalf of the oil
and gas industry. Mr. Inwood thanked the
committee for the input to date regarding the Marcellus issue. He remarked that “not knowing the time scale
for the Marcellus project in Allegany County, his concern and issue is his
disappointment in the NYSDEC and the time it is taking for them to put forth
rules and procedures. These issues must
be addressed in a timely fashion and time is running out for these rules and
procedures to be put in place. Marcellus
is an economic windfall for counties and states involved. NYSDEC states it will be mid-2011 for
drilling to begin in NYS and we are facing a situation where industry is
getting frustrated and will take a position based on that frustration.” Mr. Inwood hopes for continued support for
the DEC, general public and any companies who might come to the area to be
involved with the project. The
Independent Gas Association is very active in supporting the agenda that allows
industry to come here and benefit from the opportunities that are presented,
included Marcellus. Mr. Inwood ended
saying he was here today to answer any technical questions and/or comment on
the political process underway and thanked the committee for allowing him the
opportunity to present their viewpoint.
Legislator Sinclair
addressed the guests in attendance that this committee has been meeting for
four months and looking at the issues and concerns with the oil and gas
industry. The main priority at this time
is the Marcellus Shale and growing issues surrounding that. He gave an overview of the packet disbursed
regarding the following items and referred to it as the outline for our
Local Agenda.
3.
Environmental Concerns
a)
Hydro fracturing safety and protecting water resources -
There are potential pollutants present in Hydrofracing fluids which can include
solvents, VOC’s and proprietary blends of additives utilized in the process of
fracturing the formations. Additional
particulates and salts from the formation also are present in the fluids
extracted from the fractured formation. The fluids and tailings from the
cutting and drilling process are in some instances contaminated with
radionuclides such as various isotopes of Radium. Broken pipes, poor handling
and migration of these pollutants can and has occurred in the recent
development of the Marcellus Shale formation in
Legislator Sinclair noted the bold sections in the
agenda are the results of what this committee has addressed in previous
meetings and proposing to explore with Marcellus.
Mr. James Lucey, spoke regarding the following concerns:
Ø
Who will
actually be performing the work
Ø
Radioactivity in
the bores and black shale carrying the radon to a higher level
Ø
Questions the
current levels of radon in borings
Ø
Slip water
hydrofracing involves; 5.5 million gallons per well of fresh water in addition
to hydrofracing fluids and will
Ø
Horizontal
drilling versus vertical drilling and percentages of recovery waste water
Mr. Inwood
responded that percentages vary 20-80%.
Thomas Barber,
Citizen, had the following question:
Ø
Is
Legislator Sinclair
responded that the “Allegany County Landfill” is not accepting any radioactive
waste and he was not 100% sure regarding any other landfill. No testing is in place as of now, and this
has not been researched. With regards to
radioactivity concerns, he can’t specifically say testing is not being done,
but stressed it should be going on and this committee will alert our
municipalities with this concern.
Sherry Collins,
Citizen, questioned Mr. Inwood on how
Legislator Sinclair
reiterated that this committee was not delving into these issues as this
time. We have flagged our concerns, but
we are not a regulatory arm of the NYSDEC which is able to investigate. As representatives and individuals, we are,
however, concerned.
James Lucey
commented that he didn’t feel hydrofracing was a viable solution and if the DEC
rushes forward without caution, it is shortsighted and dangerous. This process needs to be thought about long
and hard.
b)
Wastewater Disposal
- The
technology for treatment and disposal of hydro fracturing wastewater is under
development and centralized treatment sites as well as mobile chemical and
mechanical units are presently under evaluation. Large Municipal Sewage
Treatment Plants are also under evaluation for disposal of the wastewater.
c)
Radioactivity
Concerns -
Various radioactive particulates at varying levels of radioactivity can be
present in the Marcellus Shale and brought to the surface in the tailings and hydro
fracturing fluids. These have been labeled NORM (Naturally Occurring
Radioactive Materials by DEC and Landfills require special permits to dispose
of such materials along with Municipal Solid Waste. Recent independent analysis
as well as the DEC Draft Environmental Impact Statement has identified the
presence of radionuclides, in the wastes generated by the drilling operations,
as an important issue which has to be resolved. (Attachment: Radioactive Waste
Management Associates) The NORM materials (tailings)can be hazardous and the
leachate from land disposal of the tailings in a NORM permitted facility can
pose threats to the Municipal Sewage Treatment Plants treating such leachate.
It is
recommended by the Energy Committee that all local sewage treatment plants,
receiving leachate from NORM permitted landfills, research and closely monitor the
radioactive characteristics of the leachate they are receiving and the treated
waters they are discharging.
4.
The need has
been identified to provide landowners information regarding finding out the
status of their properties, regarding mineral rights, and fully understanding
their opportunities during negotiation of the sale or leasing of mineral
rights.
It is the
Energy Committee recommendation that a public education campaign be initiated
utilizing all available local methods for getting the word and good information
out to the public so they can make informed decisions.
5.
Workforce Education
Curriculums,
programs and specialized training is underway in
It is the Energy Committee recommendation that our local
colleges and employment and training efforts research what is happening in
other locations and begin the development of local workforce development and
educational opportunities.
6.
Local Government Role and Issues
a)
Infrastructure
Protection - The
pressure from traffic and heavy equipment being transported on local secondary
roads can result in a degradation of the infrastructure/roads.
James Lucey
commented about his concern for the amount of large trucks hauling water on the
roadways. Legislator Sinclair commented
that the building of large ponds could help offset this problem.
It is the recommendation of the Energy Committee that local
Municipalities examine the creation of ordinances which will mitigate the
effects of Oil and gas development on local infrastructure.
b)
Population
Influx and Related Issues - Some areas anticipate large influxes of workers and
associated business which supports the Oil and gas industry. This involves
lodging and restaurant machinery sales and service industries. This represents
a substantial and sustainable revenue opportunity.
The Energy
Committee recommends that the County Wide and local Chambers of Commerce as
well as the Small Business Development Center begin examination of the
businesses and opportunities which traditionally are associated with boom
development and prepare to advise small business owners and start ups
transitioning into these opportunities.
Summary
In summary,
the Oil and Gas industry is and has been an important part of the local economy
and provided careers and income to hundreds of local families. Regardless of
the outcome and or the strict regulation of activities associated with the
Marcellus and other Black Shales, recent improvements in geologic investigation
and extraction technology has uncovered untouched energy reserves beneath us in
several locations and in various strata.
It is the
recommendation of the Energy and Resource Committee that
To facilitate development of the energy related natural
resources of
Currently the primary focus of this committee will be the
Marcellus Gas Field as a generational bridge to renewable energy. We shall also pay due diligence to renewable
technologies such as wind and wood bio-mass to encourage further gains in
economic viability.
This Committee will be continuously vigilant to identify
emerging technologies that, the encouragement of, would be beneficial to our
county residents.
In summary, we will work with stakeholders to identify
issues, good and bad. We will attempt
solutions to mitigate the bad and maximize the good.
Legislator Sinclair
thanked
Mr. Tom Barber
suggested adding the educational section to the Mission Statement defining NORM
and what it really means. There was also
a suggestion the Allegany County Department of Health tender an opinion. Legislator Sinclair commented that any referrals
to the Board of Health would have to go through the Human Services Legislative
Committee. This committee will forward a
written request to that committee.
Mr. Inwood remarked
there are great websites for landowner education that will also direct you to
other affiliated sites and he will make himself available to anyone who wants
websites. He also noted that
Senator Young Letter
A letter from the
Senator’s office in support of NYSDEC expediting the Marcellus Shale drilling
was received by the Committee, referencing Resolution # 76-10 which was
approved by the
Adjournment
The next meeting
will be Wednesday, May 19th at 9:00 a.m. There being no further business to come
before the committee, a motion was made by K. LaForge, seconded by P. Curren and
carried to adjourn the meeting at 12:03 p.m.
Respectfully
submitted,
Cathleen L.
Whitfield, Recording Secretary
Confidential Secretary to the Director of Development