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Town oil‑and‑gas liaison reports 220 wells inspected; flags compliance problems and remediation backlog
Summary
Robert Arnoff, Frederick's oil and gas liaison, reported inspection of 220 active wells in 2025, cited rising spill and remediation activity, flagged operator compliance issues (notably KPK), and recommended expanding inspections to include tank batteries and acquiring infrared detection equipment.
Robert Arnoff, the town’s inaugural oil and gas liaison, presented a year‑one inspection report and program update to the Board of Trustees, saying the program inspected all 220 active wells in Frederick in 2025 and worked closely with state regulators and regional municipal partners.
Arnoff called the program "successful" but warned of several emerging compliance and remediation issues. He said the town recorded more spills and remediation projects in 2025 than in prior years—partly because of heightened inspection and plugging activity—and that some operators have fallen short on documentation. Arnoff specifically flagged a failed mechanical integrity test (MIT) on a KPK well that showed intermittent holes in the drill string at depths that could pose risks to protected aquifers; he said he is pursuing a Notice of Alleged Violation with state regulators.
Arnoff also said the town unexpectedly received substantial royalty payments in late 2025—checks totaling about $950,000—apparently tied to drilling activity located in unincorporated Weld County that produces at the surface inside Frederick’s corporate limits. He said the funds doubled the town’s royalty fund and are being processed in finance.
Recommendations included adding tank battery inspections to the town’s program (to begin charging inspection fees if the board approves), acquiring a forward‑looking infrared (FLIR) camera for methane detection, strengthening regional coordination with the state Environmental Commission (ECMC) and county partners, and initiating a targeted review of stalled remediation projects (Arnoff estimated at least 25 such KPK remediation sites that have not been fully closed out).
Trustees asked for quarterly updates and directed staff to make the report publicly available; they expressed support for expanding inspections and continuing to pursue coordination with ECMC to resolve compliance gaps.
What’s next: Staff plans follow‑up work on tank battery inventories, outreach to ECMC and operators on outstanding plugging and remediation documentation, and a public release of the inspection report.
