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At a Motion Term of the Supreme Court of the State of New York, held in and for the County of Tompkins, at the Tompkins County Court House, 320 N. Tioga Street, Ithaca, New York, on the 4th day of November, 2011. PRESENT: Hon. Phillip R. Rumsey, Justice SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF TOMPKINS ---------------------------------------------------------------------------x ANSCHUTZ EXPLORATION CORPORATION., Petitioner-Plaintiff, -against- TOWN OF DRYDEN and TOWN OF DRYDEN TOWN BOARD, Respondents-Defendants, Index No. 2011-0902 ORDER TO SHOW CAUSE for Judgment Pursuant to Article 78 of the New York Civil Practice Law and Rules, Declaratory Judgment, and Injunctive Relief. ---------------------------------------------------------------------------x Upon the annexed Affirmation of Deborah Goldberg, dated October 31, 2011; the accompanying Memorandum of Law Amici Curiae of Natural Resources Defense Council, Inc.; Brewery Ommegang; Theodore Gordon Flyfishers, Inc.; Riverkeeper, Inc.; and Catskill Mountainkeeper (collectively, Proposed Amici ) in Support of Respondents-Defendants, dated October 31, 2011: and the pleadings herein, LET Petitioner-Plaintiff Anschutz Exploration Corporation show cause before the Supreme Court of the State of New York, Tompkins County, in the Tompkins County Court House, 320 N. Tioga Street, Ithaca, New York, on November 4, 2011, at 10:30 A.M., or as soon thereafter as counsel may be heard, why an Order should not be entered pursuant to Rule 2214(d)

of the New York Civil Practice Law and Rules granting Proposed Amici s Motion for Leave to File Memorandum of Law Amici Curiae. GOOD CAUSE having been shown therefor, it is hereby ORDERED that the Motion for Leave to File Memorandum of Law Amici Curiae is GRANTED; and it is further ORDERED that electronic service of copies of the papers upon which this Order has been granted, which was effected upon counsel for all parties on October 31, 2011, be deemed sufficient service; and it is further ORDERED that the parties to this matter may serve and file a written response to the arguments set forth in Proposed Amici s Memorandum of Law on or before Nov., 2011. Enter, Justice of the Supreme Court 2

SUPREME COURT OF THE STATE OF NEW YORK ::î:l::i,".y.::t: ---x ANSCHUTZ EXPLORATION CORPORATION.. -against- Petitioner-Plaintiff, Index No. 2011-0902 Phillip R. Rumsey, Jusrice TOWN OF DRYDEN and TOWN OF DRYDEN TOWN BOARD, Respondents-Defendants, MOTION F'OR LEAVE TO F'ILE MEMORANDUMOF' LAW AMICI CARIAE for Judgment Pursuant to Article 78 of the New york Civil Practice Law and Rules, Declaratory Judgment, and Injunctive Relief. -------------------x Natural Resources Defense council, Inc.; Brewery ommegang; Theodo e Gordon Flyfishers, Inc.; Riverkeeper, Inc.; and catskill Mo'ntainkeeper, by their undersigned counsel, hereby move this Court pursuant to Rule 2214(d) ofthe New York Civil practice Law and Rules for an order granting them leave to hle the accompanying Memorandum of Law Amici curiae. Dated: New York, New York October 3 l, 201 I EARTHJUSTICE By: Deborah Goldberg Bridget Lee 156 William Sr., Suite 800 New York, NY 10038-5326 212-791-1881 Attorneys for Proposed lzn ici Curiae Natural Resources Defense Council, Inc Brewery Ommegalg; Theodore Gordon Flyfishers, Inc.; Riverkeeper, Inc.; and Câtskill Mountainkeeper

SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF TOMPKINS ---------------------------------------------------------------------------x ANSCHUTZ EXPLORATION CORPORATION., -against- Petitioner-Plaintiff, TOWN OF DRYDEN and TOWN OF DRYDEN TOWN BOARD, Respondents-Defendants, for Judgment Pursuant to Article 78 of the New York Civil Practice Law and Rules, Declaratory Judgment, and Injunctive Relief. Index No. 2011-0902 Phillip R. Rumsey, Justice AFFIRMATION OF DEBORAH GOLDBERG IN SUPPORT OF MOTION FOR LEAVE TO FILE MEMORANDUM OF LAW AMICI CURIAE ---------------------------------------------------------------------------x Deborah Goldberg, Esq., hereby affirms under penalties of perjury pursuant to Rule 2106 of the New York Civil Practice Law and Rules ( CPLR ) that the following is true to the best of her knowledge: 1. I am an attorney admitted to practice in the State of New York and the Managing Attorney of the Northeast regional office of Earthjustice, counsel for Natural Resources Defense Council, Inc.; Brewery Ommegang; Theodore Gordon Flyfishers, Inc.; Riverkeeper, Inc.; and Catskill Mountainkeeper (collectively, Proposed Amici ) in this matter. I submit this Affirmation in support of the motion of Proposed Amici for leave to file the accompanying Memorandum of Law Amici Curiae of Natural Resources Defense Council, Inc.; Brewery Ommegang; Theodore Gordon Flyfishers, Inc.; Riverkeeper, Inc.; and Catskill Mountainkeeper in Support of Respondents-Defendants ( Amici Mem. ). As is explained below, this Court should grant Proposed Amici s motion because they fully satisfy the conditions set forth in Rule 2214(d) of the CPLR and Kruger v. Bloomberg, 1 Misc. 3d 192 (Sup. Ct. N.Y. County 2003).

INTERESTS OF PROPOSED AMICI 2. The individual statements of interest of Proposed Amici are annexed to this Affirmation as Exhibit A. Collectively, Proposed Amici represent a diverse array of interests business, sporting, and environmental; national, regional, and local; for-profit and non-profit. Notwithstanding their very different missions and varying positions on gas development in New York State, Amici are united in their concern for local communities that wish to protect their rural character and unsullied natural resources from the adverse impacts of heavy industry, including oil and gas development. 3. Proposed Amici share an interest in this case because they know that municipalities cannot protect the health, safety, and welfare of their citizens including the clean water needed for drinking, award-winning ales, or fly-fishing if they cannot exercise their State-delegated zoning powers to define the permissible uses of land within their borders. Proposed Amici urge this Court to recognize that the zoning provisions challenged by Petitioner- Plaintiff Anschutz Exploration Corporation ( Petitioner ) are consistent not only with the State of New York s approach to extractive mining but also with the current practice in many other states actively promoting oil and gas development. Because state regulation of industrial operations, activities, and processes obviously can, and already does, coexist with local regulation of land use, Proposed Amici urge this Court to reject Petitioner s challenge and to uphold the Town of Dryden s Zoning Provisions. PROPOSED AMICI SATISFY THE KRUGER STANDARD FOR PARTICIPATION 4. The courts of this State repeatedly have recognized that the function of an amicus curiae is to call the court s attention to law or facts or circumstances in a matter... - 2 -

that might otherwise escape its consideration. Kruger, 1 Misc. 3d at 195 96 (quoting Kemp v. Rubin, 187 Misc. 707, 709 (Sup Ct. Queens County 1946)). 5. In their accompanying Memorandum of Law, Proposed Amici discuss relevant facts and law that have not been called to this Court s attention by either party. Specifically, Proposed Amici refute Petitioner s claim that upholding the Town of Dryden s delegated zoning authority will create a patchwork of laws unworkable for the oil and gas industry. See Petitioner-Plaintiff s Memorandum of Law in Support of Verified Petition and Complaint at 2. Proposed Amici do so by demonstrating that local regulation of land use already coexists with state regulation of industrial operations in many states that support oil and gas development, including Petitioner s own home state of Colorado. See Amici Mem. at 16 20 (noting the coexistence of local and state regulation in California, Colorado, Kansas, New Mexico, Oklahoma, Pennsylvania, Texas, and Wyoming). 6. Proposed Amici also invite this Court s attention to reported decisions of the high courts of Colorado and Pennsylvania, both of which have affirmed the distinction between regulation of land use and regulation of industrial operations and activities. See id. at 16 18. As Proposed Amici show, the New York Court of Appeals has adopted the very same distinction in rejecting claims that state law preempts local zoning of extractive mining. See id. at 4 13. Although the Colorado and Pennsylvania high court decisions are not precedents binding on this Court, they show that upholding zoning provisions, such as those adopted by the Town of Dryden, will not defeat the purposes of New York s Oil, Gas and Solution Mining Law ( OGSML ). 7. In addition to calling this Court s attention to the law of other states, Proposed Amici provide a more detailed analysis of the reasoning and application of the leading New York - 3 -

precedents than does either of the parties in this case. See id. The decision in Kruger thus militates in favor of accepting the accompanying Memorandum of Law Amici Curiae. See 1 Misc. 3d at 198 (granting amicus status after considering whether the movant would invite the court s attention to the law or arguments which might otherwise escape its consideration ). 8. In deciding motions for amicus participation, the Kruger court also considered whether the case concerns questions of important public interest. 132 Misc. 3d at 198. This case raises an issue of first impression in New York, and the decision here may influence other courts considering preemption claims under the OGSML. One such claim against the Town of Middlefield already is pending in the Supreme Court, Otsego County. Other municipalities that have adopted or are considering adopting provisions designed to regulate the use of land for oil and gas development and infrastructure are closely watching this case as are many businesses, organizations, and individuals, whether they support or oppose oil and gas development in quiet rural towns. For this reason, too, this Court should grant Proposed Amici s motion for leave to file the accompanying memorandum. 9. Finally, before filing Proposed Amici s motion, I consulted with counsel for both parties to this case. Counsel for the Town of Dryden has consented to the filing of Proposed Amici s Memorandum of Law. Counsel for Petitioner has not consented to the filing of the Memorandum. 10. Because counsel for Petitioner has not consented to the filing of Proposed Amici s Memorandum of Law, Proposed Amici have moved this Court by order to show cause for leave to file their Memorandum. See CPLR 2214(d) ( The court in a proper case may grant an order to show cause, to be served in lieu of a notice of motion, at a time and in a manner specified therein. ); see also Kruger, 1 Misc.3d at 194 (considering two requests for amicus curiae status - 4 -

and signing "orders to show cause setting forth a retum date and a schedule for any opposition papers"). The Order to Show Cause filed by Propose d Amici sets forth a retum date and invites the Court to set an appropriate schedule for any opposition papers. 1 1. Counsel for both parties have agreed to accept electronic sewice ofproposed Amici's papers. Because they will have received service on octob er 3l,20ll,1fey will have had several days to review the papers before the hearing on this matter. Even if Petitioner is grarted additional time to prepare a written response to thê facts and law first called to this court's attention in Proposed Amici's Memorandum of Law, the conside ation of this matter - which is being heard on the merits only seven weeks after commencement - will not be delayed to the substantial prejudice of the parties. WHEREFORE Proposed Amicí respectfully request that this Court grant their Motion to File Memora dum of Law Amici Curiae. Dated: New York; New York October 31, 201 1 þ *'L/. l.a- Deborah Goldberg I

Exhibit A

STATEMENTS OF INTEREST OF PROPOSED AMICI CURIAE Natural Resources Defense Council, Inc. ( NRDC ) is a national, not-for-profit membership organization headquartered in New York committed to the preservation, protection, and defense of the environment, public health, and natural resources. With over 30,000 members in New York State, NRDC long been active for more than four decades on environmental and land use issues affecting New York s local communities including watershed protection, brownfields redevelopment, smart growth and zoning. NRDC is currently a central stakeholder in addressing New York s most visible and controversial environmental challenge in recent years: the issuance of state permits to undertake industrial, hydraulic fracturing for natural gas ( fracking ). Two senior attorneys at NRDC were recently appointed as members of the New York State Department of Environmental Conservation s High-Volume Hydraulic Fracturing Advisory Panel, which is charged with, among key tasks, developing recommendations to avoid and mitigate impacts to local governments and communities. NRDC is also taking a leading role in preparing detailed legal and technical comments on the State s newly released 1,500-page Draft Supplemental Generic Environmental Impact Statement, proposed rules, and draft water permits relating to fracking. The final EIS, regulations, and water permits will directly impact the legal rights of the Town of Dryden and other localities around the State where gas drilling is proposed. Additionally, NRDC is working to advance new bills in the New York State Legislature governing regulation of wastewater and other aspects of the fracking process. NRDC strongly believes that upholding New York s jurisprudential tradition of recognizing robust municipal authority to zone or exclude harmful industrial uses is essential to giving localities the right to protect themselves, to the extent

deemed necessary by each community, from the potential adverse land use, community character and other environmental impacts of natural gas fracking. Brewery Ommegang is a $30,000,000+ annual business that has operated in the Town of Middlefield for 14 years. The internationally-recognized quality of its award-winning ales utterly depends on a reliable source of clean water, untainted by industrial pollutants. Brewery Ommegang located in Middlefield in 1997 for several reasons, with the primary reason being readily available and plentiful amounts of clean water. The Brewery s water, taken from multiple wells on its 140-acre property, is clean and unfiltered. The wells tap into the primary aquifer underlying Middlefield, and the Brewery uses more than 1,000,000 gallons per year. If its water were to be contaminated, the Brewery could be forced to move its business elsewhere. Its Master Brewer and Quality Control chemist agree that even if Brewery Ommegang wished to do so, it could not remove many of the toxic chemicals commonly used in hydro-fracking, should they were to be released into the Brewery s water supply. Brewery Ommegang s highly stable workforce has chosen employment with it in part because of the quiet, rural character of its location. The Brewery has invested significantly in the Town as well as in training its people and developing its own infrastructure. Brewery Ommegang is in the middle of a carefully planned long-range growth program and is investing heavily in both infrastructure and personnel. The Town in which the Brewery is located has a productive economy based on sustainable businesses, including agriculture, tourism, and recreation, as well as limited light manufacturing, such as the Brewery. As a community, Middlefield has long maintained its clean 2 -

and quiet ambience by strictly limiting industrial development within the Town borders through careful land use planning. Brewery Ommegang has an interest in this case because the preemption challenge filed against local bans on gas development and infrastructure threatens to undermine the longstanding power of towns to use zoning to protect community character. We strongly support the zoning provisions adopted by Dryden and Middlefield as essential to the Towns abilities to regulate land use generally and to protect the health, safety, and welfare of local residents and sustainable businesses. Theodore Gordon Flyfishers, Inc. ( TGF ) is a not-for-profit angling organization, founded on American fly fishing traditions, promoting stream and river protection and selfsustainable salmonid populations through conservation, environmental oversight, activism, catch-and-release practices and education. TGF has been assisting communities throughout the Catskill region for decades handling various issues, including without limitation, environmental conservation. In response to the proliferation of Marcellus Shale development, TGF has become an active voice in the sportsmen/sportswomen community working to identify and propose solutions which mitigate the potential impacts caused by natural gas development on angling, hunting, trapping and other outdoor sporting activities. TGF supports and recognizes the authority for local municipalities to regulate the land use within their borders to protect the character and environmental integrity of their communities. Riverkeeper, Inc. ( Riverkeeper ) is a member-supported not-for-profit environmental organization existing under the laws of the state of New York, headquartered in Ossining, New York. Riverkeeper s mission includes safeguarding the environmental, recreational and commercial integrity of the watershed that provides New York City its drinking water. Since 3 -

2008, Riverkeeper has been actively involved in advocacy and public education surrounding the issue of shale gas development, and in particular, has fought against any gas drilling that would compromise New York s clean water. Given the significant threat that shale gas development poses to New York s clean water, Riverkeeper has expanded its geographic focus beyond the New York City watershed with regard to this issue and has been working to prevent irresponsible gas development in the entire state, particularly in rural communities. Moreover, Riverkeeper is now working, in cooperation with other environmental organizations, including fellow Amici Curiae NRDC and Catskill Mountainkeeper, on the preparation of detailed technical comments on DEC s recently released 1,500-page Draft Supplemental Generic Environmental Impact Statement, proposed regulations, and draft general stormwater permit relating to fracking. Riverkeeper strongly supports the rights of all local communities to utilize their municipal zoning powers to protect their clean water resources from potentially harmful industrial activities including shale gas extraction. The Catskill Mountainkeeper ( CMK ) is a leading non-profit, membership-based organization in New York State dedicated to the protection of the environment and quality of life of local communities throughout the six-county Catskills region. CMK has two offices in the Catskills one in Youngsville and one in Woodstock and employs a full-time professional staff working on environmental and sustainable economic development issues. Over the last several years, CMK has played a key role in the regional and statewide policy debates surrounding proposed natural gas drilling, including the likely significant adverse environmental, health, and infrastructure impacts on localities if New York State s proposed hydraulic fracturing plan moves forward as planned. Among other activities, CMK has organized public meetings, educated public officials, and published detailed newsletters on the 4 -

natural gas drilling controversy in towns across the Catskills region. And in cooperation with with other non-profit organizations, including Amici Curiae NRDC and Riverkeeper, CMK is currently preparing comments on the State s newly released 1,500-page Draft Supplemental Generic Environmental Impact Statement and draft regulations regarding fracking. CMK also works on other issues directly affecting towns and municipalities in the Catskills, including protection of drinking water, lakes, and streams; traffic congestion; farmland preservation; air quality; and the safeguarding of the overall rural character of the region. Consistent with long-standing New York State law, CMK is strong supporter of the rights of municipalities to pass zoning ordinances to limit heavy industry including oil and gas extraction within their borders. 5 -

AFF'IDAVIT OX'SERVICE STATE OF NEW YORK COTINTY OFNEW YORK ) ss: ) AVI ALLISON, being duly swom, deposes and says: On the 3lst day of Octobe, 201 1, I served a true and correct copy ofthe foregoing proposed Order to Show Cause; Motion for Leave to File Memo andum of Law Amici Curiae; and Affirmation of Deborah Goldberg, with Exhibit A, upon Anschutz Exploration corporation, the Town ofdryden, and the Town of Dryden Town Board by elecíonic mail, upon consent of the parties, to each ofthe add essees listed below. Mahlon R. Perkins. Esq. Mahlon R. Perkins, P.C. 11 South Street P.O. Box 27 Dryden, NY 13053 mperkin3@twcny.rr.com Afi orney for Respondenrs -Defendants Thomas S. West, Esq. Yvonne E. Hennessey, Esq. The West Firm 677 Broadway, Sth Floor Albany, NY 11207-2996 twest@westfirmlaw.com Att or ney s þr P e t itione r - P I antiff q-, Swom to before me this 31 sl day of October, 201 1. : ()J-a- Avi Allison 0ú,*,4_.rfud./..,^a_ Nolary Public (,rrsøop,ar{ GoLùtEqc tþøty pu6k, Søu ol {auvorft,'le. 31-4951i79 Qfaûfal n Nflr yotftcourrtu C orø,ißion F4iras lr{ay A, 20lg_