City of Southlake

There are numerous lines in Southlake that distribute gas which is suitable for home use.

In addition to those lines, which are maintained by local energy providers such at Atmos Energy, there are also a natural gas pipeline and refined petroleum product lines located in the City of Southlake. Here is a map showing the location of all current transportation pipelines in the City of Southlake.

A Specific Use Permit (SUP) is required to be issued by the City Council following a recommendation by the Planning and Zoning Commission prior to drilling operations occurring within Southlake's city limits. Public hearings for the SUP to permit drilling are required at both the Planning and Zoning Commission and City Council meetings. At these public hearings, citizens may provide comment to the City on the gas drilling proposal.

If the SUP is granted, the gas company then must obtain a gas permit from the City. Obtaining a gas permit requires meeting the regulations of City Code (see Chapter 9.5) and SUP which regulate gas and oil drilling. The Oil & Gas Ordinance is also available here.

In the case of gas wells, it has been determined that one plan is not a viable alternative and that if a situation should arise, it should be handled based on the type of incident and the information available.

The ordinance states: “Prior to the commencement of oil and/or gas drilling, or any other hydrocarbons production activities, the operator shall submit to the inspector and fire marshal an emergency response plan to the city, and no drilling or other production activity shall commence until such plan has been approved by the city. The emergency response plan shall be kept current with any additions, modifications, and/or amendments concerning all construction related activities, oil and/or natural gas operations and production. Updated plans shall be submitted to the inspector and fire marshal within two business days after any additions, modifications and/or amendments to said plan(s). A copy of the emergency response plan shall be kept on site. The emergency response plan shall at a minimum provide for prompt and effective response to emergencies."

All ambient noise levels will have to be set before a gas drilling permit is issued and those levels will be established with the Building Official present at those tests. The Building Official, by definition in the ordinance, can also include his designee which can be a certified gas well inspector. Gas well inspectors have training and knowledge on the reading and determination of noise levels.

The ordinance states that “No well shall be drilled, re-drilled or any equipment operated at any location within the city in such a manner so as to create any noise which causes the exterior noise level, when measured at either the property line of the tract upon which the nearest habitable structures located, or 100 feet from the nearest habitable structure as measured to the closest exterior point of the habitable structure), whichever is closer to the well, to exceed the ambient noise level:  (a.) By more than ten decibels during fracturing operations; and (b.) By more than five decibels during nighttime hours during backflow operations; and (c.) By more than five decibels during daytime hours or more than three decibels during nighttime hours for all activities not addressed in paragraphs (a.) and (b.) above.

The Railroad Commission website states, “The Railroad Commission does not regulate how close a gas well can be drilled to a residential property. However, for a well within the city limits, the city may enact ordinances regarding the proximity to dwellings or other structures. In addition, there is an old law in the Municipal Code, Section 253.005(c), which provides: A well may not be drilled in the thickly settled part of the municipality or within 200 feet of a private residence."

Commission Rule, 16 Texas Administrative Code (TAC) §3.76 provides that in counties with a population over 400,000 or a population over 140,000 adjacent to a county with a population over 400,000, a developer of the property may obtain Commission approval of a subdivision plan that limits drilling activity to designated drill sites of at least two acres for every 80 acres in the subdivision."

The Railroad Commission regulates the exploration and production of oil and natural gas in Texas.  The Commission’s primary responsibilities include: preventing waste of oil and gas resources; protection of surface and subsurface water; and, ensuring all mineral interest owners have an opportunity to develop their fair share of the minerals underlying their property.

The Railroad Commission does not have jurisdiction over roads, traffic, noise, odors, leases, pipeline easements, or royalty payments.

• Check out the company presenting you with a lease to sign:
• You may be contacted by a landman. A landman is the gas company's contact person. A landman researches the deed records to determine mineral ownership, locates the owners and negotiates the leases with mineral owners.
• Ask if the company that is leasing the land is the company that will be drilling and operating the drilling site.
• Inquire about the experience of the company in the area.
• Ask neighbors or other mineral owners and landowners about the company, who is your potential business partner. It is important to know who you are dealing with before entering into a lease.
• Ask for and contact references of other property owners who have dealt or are currently dealing with the particular company.
• To report any complaints related to the actions of a landman, you may contact the American Association of Professional Landmen, 4200 Fossil Creek Blvd., Fort Worth, Texas 76137. The phone number is 817-847-7700.

• All the lease terms are negotiable, except the owner's name and the legal description of the property.
• Until you understand the terms of the lease agreement or get professional advice, do not sign or agree to anything.
• Review the lease carefully and ask questions about anything in the lease you do not understand.
• A lease may be a long term commitment, so be sure the forms are in language you understand.
• Read pre-printed lease forms very carefully.

• A legal description of the area and number of acres involved.
• An effective date of the lease agreement and the anniversary date for the lease. Lease rental payments must be paid on or before this date in order to keep the lease in force.
• A statement of the primary term of the lease. The term may be any period of time, but it is commonly between 1 and 10 years. Standard lease provisions may allow for the renewal of the lease or hold it in force without your permission.
• Lease rentals. These rentals are paid to maintain the lease during the primary term and vary from lease to lease.
• Signing bonus. This is a guaranteed up front payment of money that is usually paid upon the signing of the lease.
• A royalty clause. The royalty is the share of the gas production that is reserved to the mineral rights owner. It is usually indicated as a fraction or percentage of the proceeds received from the gas that is produced. Royalty may be received in-kind, which means that the lessor may take physical possession of the oil or gas. However, the gas is sold to a refinery and the lessor receives payment for his or her share.
• Payment of royalties. Often, it is stipulated that payment must be received within 30 days of production, and each 30 days thereafter. Payment of royalties directly to the landowner by the gas purchasing company is desirable, so that there is no delay while the oil or gas company does its accounting.
• Landowner approval before a lease can be sold to another company. This prevents the lease from being sold to an undesirable company.
• Payment of damages for property and crops destroyed by the operations. Many leases contain an indemnification provision, which makes the operator liable for any and all damage and liability resulting from gas operations.