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STATUS OF SOME OF THE RECENT OIL & GAS REGULATORY ACTIVITY BY CITY OR COUNTY CITY OR COUNTY Recent Adoption of Regulations Recent Adoption of MOUs Temporary Moratorium Lifted Temporary Moratorium in Place Bans Longmont City adopted regulations on July 17, 2012 that included a ban in of drilling in residential zones, rules on use of multi well sites, directional & horizontal drilling, chemical reporting & setback requirements; these regulations are the subject of a legal challenge by the Colorado Oil and Gas Conservation Commission City entered into an MOU with TOP Operating Company on July 17, 2012 City imposed a 120 day moratorium on accepting applications for oil & gas permits, which was extended to June 16, 2012 and then again through the adoption of regulations Citizen adopted an amendment to the City’s charter on November 6, 2012 that banned hydraulic fracturing and the storage of open pits or disposal of solid or liquid wastes created in connection with hydraulic fracturing that is currently subject of legal challenge by the Colorado Oil and Gas Association Fort Collins Adopted MOU with Prospect Energy on May 8, 2013 Temporary 7 month Moratorium lifted with adoption of MOU Boulder County Adopted New regulations on December 20, 2012; currently commissioners are considering a proposal to phase in new regulations allowing each operator to have one application processed at a time Temporary Moratorium in place until June 10, 2013; Commissioners recently voted against extending the moratorium for a third time Erie Erie adopted MOUs with Encana & Anadarko on August 28, 2012 Colorado Springs Regulations adopted December 5, 2012 Temporary Moratorium lifted December 5, 2012 with the adoption of regulations Commerce City Adopted new regulations in July, 2012 New regulations include the use of an Extraction Agreement with operators to include Best Management Practices Loveland Adopted New Regulations on March 19, 2013 Gunnison County IGA with Colorado Oil and Gas Conservation Commission (COGCC) for county to conducted inspections and COGCC retaining enforcement authority, adopted May 11, 2012 Arapahoe County Adopted administrative review process for oil & gas applications on April 31 Administrative review process includes the use of MOUs with operators