AA Learn more about in-home care options for your loved ones

On the edge of Longmont there is an alfalfa field destined to be filled with homes. A school and the city recreation center and museum are close by. Houses flank one side of the parcel. Costco is just to the north. There is just one problem — the black oil bubbling up in the middle of the plot.

The oil and its pungent odor come from an old well plugged and abandoned almost 27 years ago and now buried beneath the surface. Its existence was unknown to the property owner, the Longmont-based Diamond G Concrete Co.

There are nearly 22,000 plugged and abandoned oil and gas wells across nine Front Range counties. Three-quarters are in Weld County, but every county from Douglas to Larimer has some.

“Some wells leak immediately, some are good for 50 or 60 years,” said Anthony Ingraffea, a Cornell University engineering professor emeritus, who has studied well integrity. “All plugged wells face the risks of corrosion, degrading cement.”

“They are all ticking time bombs,” Ingraffea said.

Houses platted, but regulators say plugging isn’t a priority

The state Energy and Carbon Management Commission, formerly the Colorado Oil and Gas Conservation Commission, allows the public to refer potential orphan wells to the commission’s Orphan Well Program for plugging and remediation.

That option had, however, never been exercised until Aug. 24, when Diamond G Concrete asked the commission to plug the well in its alfalfa field.

“This is something we’ve not heard before,” ECMC Chairman Jeff Robbins said.

Diamond G’s attorney David Neslin called it a “unique situation” and a case involving “exceptional circumstances.”

The commission voted unanimously to add Diamond G’s well, Tanaka 1-11, to the approximately 458 wells and 1,147 sites on the state’s orphan well list, but it hardly looks like it is unique or exceptional.

In September, Oakwood Homes, which has housing developments in six Colorado towns and cities, is slated to go before the ECMC to ask it to take over and plug an old well underneath a parcel in Erie it is planning to develop.

It appears that methane has seeped out of an old well on the site and into the soil. The well, William H. Peltier #1 was plugged in 1996 by the now defunct Vessels Oil and Gas Co.

The story of the Tanaka 1-11 and William H. Peltier #1 wells is one of how Colorado’s oil and gas past can weigh on its home building future and a reminder of what may be lurking beneath the surface of the Front Range.

Tanaka 1-11 was drilled to a depth of 6,800 feet by Noarko Resources in 1985. The alfalfa field back then was in unincorporated Boulder County. The well was transferred to the Apex Operating Co. and then to the Longmont-based Meyer Oil Co. in 1990.

Meyer Oil, however, racked up a string of notices of violation and in May 1995, the oil and gas commission revoked the company’s certification to do business.

That December the Tanaka well was plugged and abandoned, with a cast iron bridge plug set at 6,250 feet, and cement plugs set at 580 feet and at the surface. About 6,250 feet of steel casing was pulled out of the well for reuse.

In 1996, Meyer Oil filed for bankruptcy liquidation and in 2011, the ECMC released a $30,000 blanket plugging bond for Tanaka 1-11 and some other wells.

“Meyer Oil Company no longer has well operations in Colorado,” the ECMC said, adding “any fines imposed have been discharged by the U.S. Bankruptcy Court of Colorado.”

In 1997, a Diamond G affiliate bought the land with no knowledge of the existence of Tanaka 1-11. The field is zoned for residential-mixed use and has already been platted for development.

It was when one of the developers was doing an assessment this past April that they discovered the bubbling oil and informed Diamond G.

By this point Noarko, Apex Operating, and Meyer Oil were all long gone and so Diamond G turned to the ECMC.

While adding the Tanaka 1-11 well to the Orphan Well Program, the commission balked at designating it for priority plugging, leaving it to staff to determine where it ranks on the program’s risk assessment protocol.

“The state’s orphan well program has significant experience associated with orphan wells around the state and determining the necessary prioritization to ensure protection of public health,” Commissioner John Messner said.

Diamond G’s application was supported by the City of Longmont, the Town of Erie, and Boulder and Adams counties.

“The plugging of the well failed for some reason and the operator who completed that plugging no longer exists, but the state agency that approved that plugging and deemed the site adequately completed does,” Boulder County said in its letter of support. “Only the ECMC has the expertise and a defined funding stream for managing facilities like the well.”

Housing developers don’t have expertise to deal with orphan wells

Colorado began its orphan well program in 1990. It has been financed by fees, fines and bonds levied on the oil and gas industry.

In 2021, the program received a $5 million appropriation to speed its work and in fiscal year 2021, the last year for which figures are available, the program spent nearly $5.4 million on plugging and remediation, according to the program’s annual report.

Rules adopted in 2022 requiring operators to demonstrate they have the financial resources to plug and abandon all their wells, includes a fee on each company to raise $10 million a year for the Orphan Well Program.

The state is also in line to receive $25 million in federal funds from a $1.4 billion U.S. Department of Interior program to deal with orphan wells.

“Our orphan well program is phenomenal,” Robbins said during last week’s ECMC hearing. “It is best in the nation, if not best in the world.”

In September, Oakwood Homes will also be seeking relief from the program.

The leak from the William H. Peltier #1 well was discovered when, at the direction of the town, Oakwood had the soil tested for contaminants before construction.

Trace levels of methane were detected in the ground in August 2020, according to an Oakwood filing with the ECMC.

“The well was either not plugged properly by Vessels or the plugging work has failed, and the well now requires remediation,” Oakwood said in its commission application.

The Vessels Oil Company had been dissolved, although the ECMC still has two company plugging bonds of $25,000 and $30,000.

Last April Oakwood had the soil tested again and the methane was still there. The levels were small and no methane was detected in the air, according to David Frank, Erie’s energy and environmental program specialist.

“Oakwood is not an oil and gas operator, it has no experience with oil and gas operations, and it is unable to perform the work necessary to remediate the well,” the developer said in its ECMC application. “Oakwood efforts to retain the services of a registered operator to remediate the well have been unsuccessful.”

?? OUR RECOMMENDATIONS

4:59 AM MST on Mar 2, 2022

6:11 AM MST on Jan 21, 2022

5:45 AM MST on Jan 19, 2022

Oakwood has offered to pay for the plugging and abandonment costs above the Vessels bonds if the ECMC Orphan Well Program will do the work.

Development plans are on hold while the leaking well is addressed. The well “if left unremediated, may pose a risk to the environment or other resources,” the application said.

“Plugged wells need to be monitored in perpetuity to locate those that are leaking and repair them,” said Heidi Leathwood, a climate policy analyst for the environmental group 350 Colorado. “This should fall on operators where possible or the ECMC if there is no responsible operator. There should be specific rules and a portion of the orphaned well program that is devoted to this.”

The older the well the greater the risk, and not only because of age. In 2007 and again in 2013 Colorado upgraded the plugging requirements for wells with the aim of making them less prone to failure.

“In the best-case scenario if everything was done right, a plugging job lasts decades or more, but you are working against chemistry, shrinkage, ground motion,” Cornell’s Ingraffea said. “Once you break the bond between cement and steel you have a highway for oil and gas.”

“They are like me,” he said, “a 76-year-old grandfather where everything is breaking down.”

Hot air balloons in the sky is a common sight for Erie, and the view of hot air balloons will be abundant Friday and through the weekend.

The 27th annual Erie Hot Air Balloon Festival is scheduled for 6-9 a.m. Friday through Sunday. The balloons will be launched in the northeast corner of County Road 5 and Colliers Parkway, west of Soaring Heights PK-8, 3280 County Road 5. Free parking is available at Soaring Heights. There will also be a variety of food trucks to provide attendees with coffee and breakfast as they watch the hot air balloon launch.

The view of hot air balloons in the sky will not be exclusive to early birds. Erie Chamber of Commerce Executive Director Pat Vero said there will also be a balloon glow event from 7:30-9:30 p.m. Saturday in the northeast corner of Erie Parkway and County Line Road. Parking is available at the Erie Community Center, 450 Powers St.

“For people who miss the morning launch, they can come and enjoy a spectacular night of glowing,” Vero said.

The evening launch will have seven to eight hot air balloons tethered with burners on. There will also be dessert food trucks for attendees to enjoy.

The first Erie Town Fair and Hot Air Balloon Festival was held in May 1996 by Burton Moquist with 12 balloons, but is now a regular part of summer days according to Vero. She said that since the first launch, the festival has attracted thousands of attendees, with an average of 3,000 spectators each day.

Event organizer Colleen Johnson said that Fair Winds Balloons Flights has been partnering with the Chamber for this event for more than 10 years. There will be 25 hot air balloons for the festival. Vero said the three-day event is sponsored by Premier Members Credit Union.

Vero noted that Colorado weather is unpredictable and changes quickly, and delays and cancellations can happen last minute. Full updates on the launch of the hot air balloons will be available at eriechamber.org. She noted that since the beginning of the hot air balloon festival, the event has been canceled seven times. Johnson said that there are a variety of weather conditions that could cancel the launch, such as heavy rain the evening before the launch that causes the launch ground to become too wet, rain during the launch window, fog and any winds over 8 mph.

“It’s really fun to watch, and it’s totally magical,” Vero said.

Varo noted that the Hot Air Balloon Festival has become an Erie tradition and is part of Erie summers. The launch has traditionally been a part of the Erie Town Fair. However, the event was rescheduled to July due to the high amounts of rain in June. Vero said that the Chamber is planning to hold the Hot Air Balloon Festival in July, as a separate event from the Erie Town Fair to create a new town tradition and for better weather.

No dogs, smoking or drones will be allowed in the launch area for the safety of the hot air balloon pilots. Volunteers for the launch are welcome to join from 5:30-9 a.m. to help pilots. More information about volunteering is available eriechamber.org/volunteer-opportunities or by calling 303-828-3440.

The event does not sell tickets to ride the hot air balloons. People interested in riding should contact Fair Winds Hot Air Balloons at hotairballoonridescolorado.com or calling 303-939-9323.

BUFFALO, N.Y. (WIVB) — The Erie County Comptroller’s Office says tax dollars are being misused within some local cultural organizations.

Cultural funding grants are funded by Erie County taxpayers and are intended to be used on operating expenses such as salaries and programs. But, the Comptroller’s Office says it found some organizations are using your money to keep the party going.

“I think we have found some, some problems with some of the organizations in the way they spend their money,” Erie County Comptroller Kevin Hardwick said.

The Comptroller’s Office conducted reviews on a batch of cultural organizations to see how they were spending county taxpayer dollars and found that some organizations in recent years spent big on alcohol at hosted events.

“We find that some organizations, not all, but some of them spend a disproportionate amount of money on alcohol and food and beverages for their board for instance. There’s nothing necessarily illegal about any of this, it’s just that you might want to question what do you want to spend your county taxpayer dollars on?” Hardwick said.

Auditors say, for example, the General Pulaski Association, which hosts the Pulaski Parade and Festival, used at times 20 to 25 percent or maybe more of the money they were given by the county just on alcohol. Auditors also allege that, in recent years, alcohol has been purchased in violation of State Liquor Authority regulations, which requires alcohol be purchased from a licensed brewer, wholesaler or winery, not from a liquor store.

County auditors also say they found expenses for purchases at retail, department stores, Highmark Stadium, restaurants and gas stations, but couldn’t explain what those purchases were for.

The Comptroller’s Office says as a best practice, “alcohol should not be purchased” with cultural grant funds.

“I think the standard with taxpayer money going to cultural organizations should be the standard we have for county employees which is, county employees do not get reimbursed for alcohol,” Hardwick said.

The General Pulaski Association says they haven’t done anything wrong and they’re just serving the community. They also question how the Comptroller’s Office came up with their figures.

Here’s their full statement:

“The General Pulaski Association is one of the most active non profit organizations in all of New York State. We have 25 people on our board that are all unpaid volunteers that work hard throughout the year to provide culturally related events and programming for our community. In 2022, our organization had an operating budget of approximately $90,000. Our festival alone had approximately $62,000 in expenses. Any cultural funding we received went to pay for the following expenses: tents almost $12,000, Food and supplies about $9,000. Entertainment over $7,000. Electric $6,500. Advertising over $6,000. Security almost $4,000, Barricades and stage almost $3,000. Permits $2,300, Portable toilets over $2,000. Any cultural funding we received went to cover those expenses. We pride ourselves in doing good for the community and doing things the right way.”

Regarding another organization called Buffalo Inner City Ballet, county auditors found that “the executive director pays himself in the form of draws from the organization’s bank account at irregular intervals” — apparently to save the organization money on payroll taxes — and that checks were made out to the executive director himself as cash for reimbursements, but there were no invoices to verify the expenses. A call from Buffalo Inner City Ballet was not returned.

It would be up to the Legislature or the County Executive’s Office to determine whether to tighten the rules following the comptroller’s review of cultural organizations.

The Comptroller’s Office has already done initial reviews on five organizations, and county auditors are in the process of reviewing spending with 75 other organizations.

Latest Local News

New on WIVB.com

Construction has pushed fans to find parking further away from Highmark Stadium, and the Erie Co. Sheriff's Office urges fans to use caution.

BUFFALO, N.Y. — After two pedestrian accidents on Monday night, one of them being deadly, the Erie County Sheriff's Office is urging fans to use caution when heading to Highmark Stadium.

"Safety is obviously paramount to us at the stadium," said Erie Co. Sherriff's Office Sgt. Jeremy Lehning.

Lehning says there were a lot of contributing factors that led to the incidents Monday.

"Driver awareness, pedestrian awareness, intoxication, poor lighting, lack of sidewalk space, essentially, pedestrians just doing what they want," Lehning said. "They're not following directions."

Stadium construction has pushed fans further away from Highmark to find parking, and the Sheriff's Office believes fans aren't being safe.

"It literally comes down to you need to be more aware, as a pedestrian, as an operator for the vehicle," Lehning said.

"Don't be constantly crossing back and forth on the streets because the more times you do it, the more likely you are to be struck by a vehicle that just doesn't see you," Lehning said.

The Sheriff's Office is suggesting fans wear reflective clothing to the game, mainly because all but one home game for the remainder of the season are happening at night.

The Erie County Sheriff's Office doesn't feel there is much more they can do to improve safety near the stadium, they are relying on the public to make sure they're being safe.

"Use the crosswalks at your major, major intersections where everything is lit," Lehning said.

The Erie County Dept. of Public Works assists ECSO with traffic control and lighting equipment for events at Highmark Stadium, but a spokesperson for the county said there isn't any significant equipment that could be added on gameday to further improve safety.

While the Erie County Sheriff's Office did not rule out expanding road closures on gameday while the new stadium is being constructed, no decision has been made as of yet.

An expansion of street lights, crosswalks and sidewalks in the neighborhoods near the stadium however, will be discussed amongst county departments, according to ECSO.

"Those will definitely the discussions that will be had, especially the closer you get to the opening of the new stadium," Lehning said.

Project to Feature 206 Apartment Units on a 4.5-Acre Site Located within Erie Town Center Master Plan

DENVER, May 31, 2023 /PRNewswire/ -- Forum Investment Group LLC ("Forum"), a Denver-based real estate development and investment firm, along with co-general partner, Mass Equities Inc. ("MEQ"), announced the purchase of a 4.5-acre site with plans to develop a six-building, 206-unit, multifamily community, named Antelo, in the Denver submarket of Erie, Colorado.

"Forum is excited to partner with MEQ on this development opportunity," said Rich Wilson, Forum's Senior Managing Director of Development. "We believe the Erie submarket is currently underserved, with projected population growth of approximately 17% over the next five years¹. The site is close to large employment hubs, nearby markets of Denver, Broomfield, and Boulder, and is part of a larger master-planned community for the Erie Town Center. We look forward to contributing to the growth of this market with a thoughtfully designed residential community across from a future public park and adjacent to future walkable retail."

"We too are excited to partner with Forum on this unique development." Said Brian Bair, Principal at Mass Equities, Inc. "We believe Antelo will bring attractive, higher-end apartments to the larger community of townhomes and single-family residences being built at Erie Corner. The mix of housing types, pocket parks, and new commercial buildings built at Erie Corner intend to create a vibrant, walkable community that connects the neighborhoods to the west and the existing commercial and recreation facilities along Erie Parkway."

Once complete (projected for 2026), Antelo is intended to consist of 206 market-rate rental units ranging from studios to two-bedrooms. The community will feature indoor and outdoor amenities such as an outdoor pool and spa with firepit lounges, outdoor grilling and entertainment areas, as well as a fully-equipped fitness studio, clubroom lounge, pet spa, and ample shared meeting and work-from-home pods for residents.

About Forum Forum Investment Group LLC is primarily comprised of Forum Capital Advisors LLC and FCA Capital Markets LLC, and is affiliated with Forum Real Estate Group, LLC, and FDG Project Management Services, LLC (collectively, "Forum"). Forum is an innovative asset management firm that provides access and expertise to multifamily investments up and down the capital stack and throughout economic cycles. The firm specializes in multifamily acquisitions, developments, real estate debt, and structured finance solutions for owners, operators and developers across the U.S.

¹ Source: Town of Erie, Economic Development, 3.3% projected annual population growth by 2028, as of May 2023. https://www.erieco.gov/ArchiveCenter/ViewFile/Item/4154

About MEQ MEQ is a boutique private-equity real estate investment firm that develops projects across a broad spectrum of real estate asset classes and markets. MEQ's strategic approach is guided by decades of successful real estate investing via both private and public companies and throughout many real estate cycles. The company is headquartered in Southern California with offices in Las Vegas, Nevada and Niwot, Colorado.

Contact: Siobhan Sargent Forum Investment Group LLC 303.501.8850

SOURCE Forum Investment Group