The City of Longmont can regulate, to a limited extent, gas & oil drilling through its a municipal code. It recently declared a 120 day moratorium commencing December 20, 2011, on accepting or processing land use applications, permit applications, or other applications seeking approval to conduct oil and gas extraction, or related operations within the city limits. During this time the city will be revising its code.
The Colorado Oil & Gas Conservation Commission (COGCC) governs the permitting and regulation of oil and gas wells throughout the state according to the Oil and Gas Conservation Act. According to this, the City of Longmont has limited authority when it comes to the oversight of oil and gas operations within its boundaries. A 2002 Colorado State Court of Appeals decision affirmed an earlier judgment which defines to what extent a local jurisdiction may regulate drilling operations within its boundaries. Please select this link: State Court of Appeals Decision to review the court’s ruling.
A recent state supreme court ruling may change how municipalities view their limitations on regulations within their city. Read an opinion of the ramifications of this ruling here.