The Star-Telegram published an extensive report Nov. 11 detailing efforts by Tarrant County neighborhoods and associations to organize to deal with natural gas leasing. For a copy of the story, click this link: Download neighborhoods_organize.doc
The Fort Worth League of Neighborhoods has posted a royalty calculator on its gas resource drilling page, modeled after one the Mistletoe Heights Neighborhood Association recently built for its members. You'll need some basic information on your offer to get started.
-- Scott
-- Mike
This meeting is Tuesday night:
The Fort Worth League of Neighborhood Associations has scheduled an "educational event" for neighborhood association leaders to learn more about the leasing process.
Time: 6:30 p.m. Oct. 23
Place: University Christian Church, 2720 S. University Drive, Fort Worth
Web site: www.fwlna.org
(Update on this post: Click here for the full version of this Star-Telegram story:)
Residents in an East Fort Worth neighborhood said they were ticketed by the police when they tried to hand out fliers at a gas drilling companies lease-signing meeting.
The company wants to drill a high-impact well at New Beginnings International Church, 2000 E. Loop 820. The site, if it gets city approval, would affect dozens of surrounding homes and an apartment complex -- more than any other drill site so far, according to the president of the Brentwood-Oak Hills neighborhood association.
Check out Star-Telegram.com for more details, as they become available.
-- Mike
Blogging the Barnett Shale has received a number of emails from homeowners who've received lease offers, and live in neighborhoods that have little or no organization. What to do next? We posed these questions to Matthew Hudson, president of the Fort Worth League of Neighborhoods, and he obliged us with some answers. These pertain largely to homeowners who live in Fort Worth, but his answers are broadly relevant:
Q: My neighborhood has been receiving offers, but we don’t have much of a neighborhood association. I’m not sure there is a ringleader. How can I find out if we have one?
A: The best system is to use the database tool on the city's website. When a neighborhood association forms, it must become "recognized" by the city of Fort Worth through the Community Relations Department. This process helps establish legitimacy to the organization and is a requirement to be a member of the Fort Worth League of Neighborhoods. Click here to visit the city's site and see a list of Fort Worth neighborhoods and association contacts. One note: this information is not 100 percent accurate. It is up to the NA to keep the city informed of changes in contact information, and this does not always happen. However, you usually can meet with success.
Q: We aren’t organized. How do we get organized?
A: First, there are two types of "organized." 1) Establish a Neighborhood Association. 2) Organize your neighborhood on this topic. Obviously, we recommend the first option. Unfortunately, it takes a controversial issue to get people to know their neighbors on the next street, but the most livable neighborhoods in our city all have active neighborhood associations who spend more time on "being neighbors" than they do on issues. So, if it's gas wells that bring us together, at least make it a lasting, sustainable organization that can improve the quality of life within the neighborhood on the long term. Contact the Fort Worth League of Neighborhoods via their web site at www.fwlna.org or contact the city's Community Relations Department at (817) 392-7525. We are both resources that will guide you in establishing a neighborhood association in your area.
Q: Our neighborhood started getting offers a couple of months ago. Is it too late to organize?
A: Never. In fact, the common tactic of energy companies is to say that the offer is "one time only" and you must act now. The faster they can convince people to sign, the lower the deal they have to make for the rights. Even if you the last 20 homes, it is still better to work as a group.
Q: Why organize?
A: There are many reasons to organize, but the main one is to get "economies of scale." We recommend that all NAs hire a land attorney. Leases are tricky and you want to be sure that you get the best deal and that you do not get tripped with issues like subordination. By banding together, the group can hire one attorney and split the costs -- sometimes as little as $25 a person. This is a small investment that can save you hundreds of dollars! In addition, the NA can negotiate a higher royalty and bonus and even get money for the NA to use for parks or the school.
Q: Any more resources for what to look for in a lease?
A: For more information on: "what to look for on a lease:" see the Fort Worth League of Neighborhoods site and view a presentation for our recommended land attorney. Here's the link.
The Fort Worth League of Neighborhoods is sponsoring a "gas drilling education event," 6:30 p.m. Oct. 23 at the University Christian Church, 2720 S. University Drive in Fort Worth. Here's the organization's pitch:
"Now that urban gas drilling has been a reality in our city for some time, what are the people saying who agreed to be in the first phases and currently have drilling underway in their neighborhood?
- Are they happy?
- Would they have made the same decision?
- Have the lease payments been worth it?
This event is designed to give you a balanced view of this issue and even provide you with a PowerPoint presentation you can take back to your neighborhood meetings...We will have industry experts, neighborhood leaders, City Council members presenting...So don't sign that lease just yet. You may want to know the rest of the story first!"
-- Scott
CURIOUS ABOUT THE BARNETT SHALE? HERE ARE SOME USEFUL LINKS:
CORPORATE
www.askchesapeake.com (Chesapeake Energy site)
DRILLING ORDINANCES
Arlington (includes city gas drilling resource page)
Bedford (city's gas drilling page, including ordinance and property owner Q&A)
Bedford (city's comparison of provisions in several area drilling ordinances)
Colleyville (city web site)
Fort Worth (includes city gas drilling resource page)
Grapevine (Type "gas drilling" in the search bar to find the ordinance)
ECONOMIC IMPACT/ENVIRONMENTAL IMPACT
Barnett Shale Economic Impact Study, Ray Perryman, 2007
The Economic and Fiscal Impacts of Devon Energy in Denton, Tarrant and Wise Counties, Bernard Weinstein and Terry Clower, University of North Texas, 2004
Public Perception of the Natural Gas Industry: Insights from Two Barnett Shale Counties, Sam Houston State University, 2007 (Johnson County results, Wise County results)
Credit FAQ: Why the Barnett Shale Gas Basin Could Benefit Texas Municipalities, Standard & Poor's, 2008
LEASE FORMS
NEIGHBORHOODS
Arlington Neighborhood Network, City of Arlington site. Includes updated contact info.
Arlington neighborhoods, neighborhoodlink.com. Spotty, but includes some info, such as neighborhood association email addresses, that isn't on the city site.
Bedford neighborhood associations, City of Bedford site, includes updated contact info.
Benbrook neighborhood associations, City of Benbrook site. Includes updated contact info.
Colleyville neighborhood associations, City of Colleyville site, includes updated contact info.
Fort Worth neighborhood database, City of Fort Worth site. Includes updated contact info.
Grapevine homeowner associations. City of Grapevine site. Includes contact info.
ORGANIZATIONS
Barnett Shale Energy Education Council
Fort Worth League of Neighborhoods Gas Drilling Resource Page, including "Tips for Neighborhoods Negotiating Gas Leases."
FWCanDo (Fort Worth Citizens Against Gas Drilling Ordinance)
Texas Land and Mineral Association (represents mineral rights owner)
PUBLICATIONS
Powell Barnett Shale Newsletter (paid subscription)
Real Estate Center at Texas A&M University (oil and gas publications)
GOVERNMENT
Railroad Commission of Texas, includes Barnett Shale resource page, information on regulations.
Tarrant County public records site (Includes lease/lease memo lookup so you can check out how many leases energy companies are filing in Tarrant County, and where.)
ROYALTY CALCULATOR
Fort Worth League of Neighborhoods gas resource drilling page
CONTINUING EDUCATION
TCU Energy Institute's Petroleum Land Practices Program
KNOW OF A GREAT LINK THAT'S NOT LISTED HERE? Let us know about it! snishimura@star-telegram.com
