Best Practices for Good Relationships with Landowners

1. Best Practices for Good Relationships with Landowners

2. Energy – Land – People - Future • What we do today impacts not only tomorrow but the next generation. • We together only have so much land to live and operate on, as we in agriculture focus on feeding the world in 2050 , you in energy development also understand the need for even more energy development in this world to produce this needed food and fiber for our growing population.

3. Topics Landowner working relations County government working relations • Landsman • Company and Contracts • Landowners • Neighbors • Community • Planning and Zoning • County commission • County departments

4. Time to understand Land owners have more than one hundred things on their mind when the landsman shows up to talk about the right-away easement needed, well pad site lease agreement or a pipeline easement. More often than you think we are thinking about? A: Should we be seeding? B: Is their enough operating funds in the account to by these parts? C: What does this salesman want today? D: Did I check the oil in the tractor this morning? E: My cows are in who’s Pasture? .

5. Handy working tools Maps Offer Pictures • Organized maps which demonstrate the appearance of the well pad site plan. • Distance and location of the pipeline which is to be placed in landowners property. • Road design and how it is to appear upon completion. • Present well pad locations site. • Finished roads from another project • Finished pipelines even if they are in another location. • Finished gathering tank battery plan.

6. Advice to landsman • Notify landowner of intent before you show up at the door. ( letter, call or e-mail works for most land owners) • We heard you even though you think we may not of! • Remember no answer is like saying (NO at the time). • Always leave a set of documents with the landowner. • Give them time to read and review the agreement. This could take seven to ten days –set up another meeting with the landowner to discuss the agreement offered.

7. Landsman continued • Offer a contact number or e-mail address to the landowner. • If possible offer another name in the community you are having a great working relationship with. • Positive attitudes build strong public perception. • Try to understand when a landowner, rancher, farmer is having a bad day. Get out of his hair and come back another day.

9. Are we as Landowners always listening • Yes, we are but often not with both ears. • Some of us have a hard time reading and listening to you at the same time. • Did you explain it well enough to make it simple enough for the land owner so he/she/they understanding your message. • If they have a spouse or other family member available encourage them to invite them into the discussion. • Ask them if they would like to have a neighbor present during the discussion and offering. • Do not say this is the only chance you have for most landowners understand other companies are offering different options.

10. Working with Property Owners • Remember many of these operating surface owners are split estate owners. (No minerals attached to the surface acres.) • Earth people as I call them (farmers/ranchers who produce the grains and livestock we enjoy daily have very watchful eyes for they observe everything your company and/or the contractor you hire does, did, our we even think you possibly could do it)! • Your company or contractors attitudes, performance, quality of work and work ethics have great influence on how well you will do in the community.

11. Can it look like this ?

12. Continued land owner relations • Money today is not as attractive as it was before energy development had started. It is important but does not carry the punch it did a few years ago. • Surface owners are more concerned about the impacts placed on the surrounding land and community caused by today's energy development. • Many of us are saying to ourselves what about the next generation of agriculture producers> My son , the neighbor gal who wants to farm or even the city child who has not been offered the opportunity to realize what production agriculture is about.

13. County Government Relation • Get to know who makes decisions. • Offer in-kind working type of relationship to the county. • Become active in the communities. (support at schools, public activities and to EMS organization is always welcome.) • Helping hands add confidence to relationships. • Energy companies as well as construction companies need to become an informant attending meetings to provide information about why, how come and when you plan to do certain operational things. • Help the counties prepare for the next steps. (advice is often needed more than financial help from the start) • Hire the best possible labor force help you can.

14. “Stress is definitely an issue.” • “We’re experiencing frustration, overload, and burnout.” • Retaining current employees and hiring new ones is a challenge because we can’t compete with oilfield salaries. • Communities are seeing a lack of contractors for housing needs and fixing streets and roads. • There is a shortage of city/county workers, teachers, and daycare employees. • “The skilled labor force is inadequate.” • Demand for law enforcement, emergency response, public health, social services, public works, and medical services is growing. Current employees are working longer hours and feeling the stress of doing so. County Work Force Issues

15. Clerk of Court Department

16. EMS Services Stressed • Travel concerns right now are when we are responding to a rural address; the speed at which we wish to be traveling is impeded by road conditions and traffic. • Volunteers are stressed by the number of calls. • Challenges with new types of accidents our volunteers are not accustomed to. • Cost of purchasing new equipment to handle the work load. • County operates with a total volunteer staff for ambulance, fire and rescue teams. They are risking their lives for our community.

17. Social Services • Elderly and handicap are scared to travel and move around because of the influx of new people to the community. • Waiting lines for food, gas and personal items. • More applications coming in monthly from individuals who come here looking for jobs and cannot find one right away. They need assistance for a few days to weeks to find a job and get a place to live. They arrive with little or no funds to work with.. • Many local residents are scared and say let’s go back to what it was like before oil development.

18. County Road Departments • Road use policies have been developed • Haul road agreements are used • Speed limits reduced on many county roads • Weight restrictions for certain roads • New road designs are now being used • Different approach to general road maintenance is used on impacted roads • Road surfacing materials are becoming depleted in the area • Dust control has become a major issue

19. Bakken Shale Development Impacts Positives: • Created many new job opportunities. • Increased salary levels in western North Dakota. • Brought additional money to the farm and ranch communities. • Creation of many new businesses in the area. • Financial health of North Dakota ‘s economy is what many other state’s wished they had. Negative: • Estimated out side worker force is way greater than we vision. • Overload of patrons at restaurants, gas stations, and stores of all kinds. • Lack of employees. • Detrition of roads because of heavy traffic loads. • Traffic everywhere. • Total stress on all county departments is greater than we expected. This stress has now cared into many of our state departments as well.

20. Lack of funds to Local Government • Additional funding for these infrastructure needs is limited as of now. • A: Water (Many residents and businesses need safe reliable rural water yet, cites are in short supply for housing developments, holding capacity are maxed out in many areas, line sizes installed five years ago are not able to supply enough water because of the population and business growth) • B: Sewage Developments (line repairs, line expansion, lagoons) • C: Electrical (not enough transmission lines to deliver the power, need of large substance to distribute the power) • D: Housing needs continue to be one of the top list infrastructure needs. • E: Road maintenance budgets in counties , cities and our state are in great need of additional funding.

21. Together we can • Together we can keep production agriculture as the main stay of our communities and our state. • Together we can have and hold on to even greater energy development with great cooperation between property owners, local government, state government, energy development companies and our environment. • Together we can!

22. THANK YOU Daryl Dukart 470 96th Ave SW Dunn Center, North Dakota 58626 e-mail address: daryldukart@ndsupernet.com