ENERGY & RESOURCES AD HOC COMMITTEE

MEETING MINUTES

May 9, 2011

 

** APPROVED **

Members:     Kevin LaForge, Fred Sinclair, Glen Benson, Curt Crandall

Others           Mitch Alger, Lynn Bliven, Sheri Dewey Collins, Marv Covent, Kier Dirlam,

Present:        Dwight Fanton, John Foels, Karl Graves, Mike Healy, Jeff Luckey, John Margeson, Tom Miner, Sandra Sheldon, Douglas Turner

 

1.            CALL TO ORDER: 

The meeting was called to order by Chairman Kevin LaForge at 11:08 a.m.

 

2.            APPROVAL OF MINUTES

The minutes from March 28, 2011 were reviewed. On a motion by G. Benson, and seconded by F. Sinclair the minutes were approved.

 

3.            LANDOWNER’S INFORMATION SESSION

  • A presentation was held on April 27th at 7PM.  Unfortunately, it was a horrible weather night with tornado and flash flood warnings so attendance was very low.  If there is interest shown they may re-run the event later in the year. 
  • The effort was to make landowners aware of how lease’s can effect and impact on their properties.  The future interest in gas may be different around Allegany County from counties to the east as our Marcellus Shale is not as robust as that around Broome and Tioga Counties.  However, there are other layers of gas bearing shale that may be useful in the future.  Many of the old leases are coming due and people need to get knowledge of modern concerns including what are reasonable monies to expect for a lease.  The most effective method of getting a payout is through the royalties rather than signing bonuses as they can keep paying for many years as gas is extracted.  The methods of paying the landowners for royalties and the distribution of monies were discussed.
  • The DEC is scheduled to complete their review of rules this summer and that will help determine what additional items need to be considered at the local level for regulation.
  • Coalitions of landowners are effective to cover the needs of the group in some areas.  Coalitions are different from Cooperatives. A consultant should be involved so that you have good oversight through the coalition.  Make sure you put all the details in writing.  Be specific as to what will happen at the end/close of the lease if they are not active. 
  • The workshop also discussed the need for growth controls.
  • Websites of interest to people from the South Central New York Agriculture Team flyer:

 

 

4.            ROAD USE AND REPAIR AGREEMENTS

  • Review Steuben County Model –
    • Chairman K. LaForge noted that the Legislature is considering adopting something at the County level and this would be useable by local Towns and Villages. With that in mind, the group went through the document submitted from Steuben County.
    • Exhibit A – Terms & Conditions – is self explanatory – no comments
    • Exhibit B – ID Class of roads – Question of if there are any areas that should be considered for exclusion?  This has not been determined as of yet but would likely fall into Article II – Haul Routes.
    • Article II – Haul Routes designated - The citizens in attendance noted their support for controlling which roads are used and which ones should not be used for these purposes.
    • Article III – IX – no comments.
    • Article X – Bonding – typically for other types of industry these rates cost the business .8% - 3%.  A PE would likely have to be called in to review roads before and after to assure that they are graded on a scientifically and legally valid method.
    • It is expected that each Town and Village will be adopting this law to cover their roads.  The law cannot be specific to one industry and must cover all industries equally.  This law must be defensible in order to be implemented properly.
    • Question was raised if this type of law has been tried in the courts.  Tom Miner felt that similar laws have been through the courts.

 

5.            GOOD OF THE ORDER:

  • Sherry Collins – has there been any though about revising the position of the county and issuing a revised Resolution from the one that was passed a number of years ago?  The Committee indicated that they would look at the original resolution to see if it is in line with the present position of Neutrality on the part of the County.  It was noted that perhaps we should note that we are concerned with this issue and that we have to be able to encourage this type of activity in a safe manner with regard to health concerns as well as getting jobs for our people.
  • A letter from Gary Abraham was discussed.  The issues will be referred to the Health Department.  It was noted that the referral should include the Board of Health and request from them a result of a review of the issues.  The Committee will work on the proper language for this referral for the next meeting.  Discussed the transmission via water of radioactive materials at the Hyland Landfill.  Presently the leachate from that facility is thought to be transported to the Wellsville Waste Water Treatment Plant.
  • Next meeting is scheduled for May 23, 2011 at 11 AM.
     

6.            ADJOURN:

On a motion by F. Sinclair, seconded by G. Benson is carried to adjourn the meeting at 12:02 a.m.

 

Notes as taken by K. Dirlam