Gas Facts
Surface Use

• Gas Taps
• Lease Roads

Both surface and mineral owners have property rights associated with the ownership of their respective estates. Owners of mineral rights are entitled to exercise their property rights and develop the resource. Well-established Colorado law recognizes that access to the mineral estate from the surface estate is necessary in order to develop natural resources. The law provides for access to the mineral estate by allowing them "reasonable use" of the surface.

To protect the health, safety and welfare of the public, as well as the environment, the Colorado Oil and Gas Conservation Commission (COGCC) has been given legislative authority by the state to regulate certain aspects of surface use and reclamation. The COGCC's rules require surface owner consultation and strongly recommend that a surface agreement be negotiated, in good faith, with a surface owner prior to granting a drilling permit. However, COGCC rules are not allowed to interfere with private contractual negotiations between surface owners and gas companies.

Over 99% of all wells permitted in La Plata county have utilized surface owner agreements and negotiations to settle issues such as well location, road use, road and pipeline construction, fencing, crop reclamation, etc. If a surface agreement cannot be successfully negotiated with a surface owner, COGCC rules allow for a surface bond to be posted with the state. The bond is intended to protect surface owners from "unreasonable crop losses or land damage from the use of the premises" -- not for perceived economic loss associated with mineral owner access. In practice, companies generally pay surface owners for access despite the fact that the law permits reasonable access without compensation.

Gas Taps

Some landowners in the county have agreements with the gas and oil industry that allow for a direct supply of natural gas. This is commonly referred to as a "gas tap." Most often gas taps are only allowed for landowners that own both surface and mineral interests. These rights are typically limited to only the primary dwelling on the property. While there are national, state and county codes requiring landowners to properly install piping and connections for natural gas use, those codes are sometimes overlooked and safety becomes a critical issue.

The La Plata County Building Department has a brochure titled, "Gas Tap Safety" which provides information about gas tap installation and safety recommendations. Copies of the brochure are available at the county courthouse at 1060 East Second Avenue, Durango, CO or by contacting the Energy Council, PO Box 3908, Durango, CO 81302.

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Lease Roads

There are hundreds of miles of roads built by the gas and oil industry to access various production facilities in La Plata County. These roads were constructed as part of an oil and gas lease, and/or after companies negotiated and paid for easements with landowners, if required. Known as "lease road," they are maintained by the industry but often may be utilized by residents living in the area. Road construction and maintenance is one of the most expensive ongoing costs associated with natural gas operations.

Natural gas companies use the roads for routine facility checks or when required to bring in heavy equipment for construction or maintenance activities. Most companies use four-wheel-drive, one-ton trucks for their fleet vehicles so that they can access the roads during bad weather or construction periods. Companies do not routinely remove snow if access to facilities is not necessary. Generally, companies do repair road damage caused by construction as soon as weather and equipment availability allow, but they will wait to make repairs after all construction activity is completed.

Prior to the rapid pace of residential development in La Plata County, most residents understood that lease roads provided cost-free access to undeveloped areas of the county. As more and more residents have moved into the area, they have spread into many areas accessible only by lease roads. Some residents are demanding higher levels or road maintenance without contributing financially to lease road upkeep. Most companies are willing to work with residents to make lease road conditions acceptable, however, there is no guarantee that a lease road will be accessible to passenger vehicles.

Many residents in La Plata County must build and maintain their own subdivision roads with significant monthly homeowner association dues assessed to cover maintenance expenses. State, county and municipal road planners typically estimate that for every residence along a road, eight trips daily should be used as a basis for maintenance budgeting. In contrast, a natural gas facility averages less than two trips daily. If there is one natural gas facility and one residence on a shared lease road, the residence creates close to four times the amount of normal road damage.

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