WEBVTT 00:00:00.260 --> 00:00:02.322 The meeting of the Railroad Commission 00:00:02.334 --> 00:00:04.050 of Texas will come to order to consider matters 00:00:04.050 --> 00:00:07.464 which have been duly posted with the Secretary 00:00:07.476 --> 00:00:10.901 of State for December 17, 2019. The Commission 00:00:10.901 --> 00:00:13.483 will consider the items on the agenda is posted 00:00:13.495 --> 00:00:15.980 on the agenda. Under our public participation 00:00:15.980 --> 00:00:22.570 policy, anyone desiring to offer public testimony on any items that are not 00:00:22.570 --> 00:00:25.029 noticed on today's agenda will need to fill 00:00:25.041 --> 00:00:27.400 out a testimony form found in the back of 00:00:27.400 --> 00:00:29.883 the room and submit it to Deputy Commission 00:00:29.895 --> 00:00:32.390 Secretary Sharon Walter. Please silence all 00:00:32.390 --> 00:00:38.839 cell phones before we begin. Let's start with Item Number one. Mr Bryant? 00:00:38.864 --> 00:00:40.989 Thank you, Chairman, Commissioners. 00:00:40.989 --> 00:00:43.512 Good morning and a Merry Christmas. This first 00:00:43.524 --> 00:00:46.059 item this morning is going to be Gas Utilities 00:00:46.059 --> 00:00:48.668 Docket number 10887, the application of AMP 00:00:48.680 --> 00:00:51.420 Interstate Pipeline LLC, for review of a rate 00:00:51.420 --> 00:00:53.628 charged under Section 311 of the Natural 00:00:53.640 --> 00:00:55.969 Gas Policy Act. This is an existing tariff 00:00:55.969 --> 00:00:57.886 rate with the Commission, and AMP has provided 00:00:57.898 --> 00:00:59.869 testimony, supporting data as well as responses 00:00:59.869 --> 00:01:02.020 to staff's information requests indemonstrating 00:01:02.032 --> 00:01:03.969 that the requested right does not exceed a 00:01:03.969 --> 00:01:06.551 cost based rate. On this basis, staff is recommending 00:01:06.563 --> 00:01:08.580 approval, and I can address any questions 00:01:08.580 --> 00:01:09.908 at this time. 00:01:09.933 --> 00:01:11.308 Are there any questions? 00:01:11.333 --> 00:01:11.766 No. 00:01:12.341 --> 00:01:13.891 I move we approve the examiners' recommendation. 00:01:13.891 --> 00:01:15.048 Is there a second? 00:01:15.073 --> 00:01:15.562 Second. 00:01:15.588 --> 00:01:18.190 Second by Commissioner Sitton. 00:01:18.202 --> 00:01:20.450 All in favor, say aye. Any opposed? Motion 00:01:20.450 --> 00:01:24.836 passes. Item is approved. Item number two. 00:01:24.861 --> 00:01:29.120 Good Morning, Chairman and Commissioners. 00:01:29.120 --> 00:01:31.519 I'm DeMarlowe Chico, Administrative Law Judge 00:01:31.531 --> 00:01:34.100 with the Hearings division, I will be presenting 00:01:34.100 --> 00:01:38.329 items two and three today. Item two is a consolidated 00:01:38.341 --> 00:01:41.640 case of an appeal of municipal action and 00:01:41.640 --> 00:01:44.468 associated rate case expenses. Atmos Energy 00:01:44.480 --> 00:01:47.450 Corporation, Mid Tex Division, petitioned for 00:01:47.450 --> 00:01:50.724 de Novo Review of the City of Dallas's denial 00:01:50.736 --> 00:01:53.950 of the Dallas Annual Rate Review Tarrif. The 00:01:53.950 --> 00:01:56.652 parties ultimately settled and weighed the issuance 00:01:56.664 --> 00:01:58.909 of a proposal for decision. The settlement 00:01:58.909 --> 00:02:01.973 includes an increase in current annual revenue 00:02:01.985 --> 00:02:05.060 of $8.5 million and the recovery of reasonable 00:02:05.060 --> 00:02:08.403 rate case expenses in Atmos is 2020 Dar filing. 00:02:08.415 --> 00:02:11.700 The Examiner's recommend approval of the terms 00:02:11.700 --> 00:02:13.883 of the settlement agreement as reflected in 00:02:13.895 --> 00:02:16.090 the proposed final order. I'm available for 00:02:16.090 --> 00:02:17.355 questions. 00:02:17.380 --> 00:02:19.646 Are they any questions? I move we 00:02:19.658 --> 00:02:22.109 approve the examiners recommendation. Is there a second? 00:02:22.134 --> 00:02:22.620 Second. 00:02:22.645 --> 00:02:25.033 Second by Commissioner Craddick. 00:02:25.045 --> 00:02:27.030 All in favor, say aye. Any opposed? Motion 00:02:27.030 --> 00:02:30.673 passes. That item's approved. Item number three. 00:02:30.698 --> 00:02:34.540 Yes, sir. Item number three is a 150 day suspension 00:02:34.540 --> 00:02:37.356 order for a rate case filed by CenterPoint 00:02:37.368 --> 00:02:40.459 Energy Resources Corporation, DBA, CenterPoint 00:02:40.459 --> 00:02:43.108 Energy EnTex, and CenterPoint Energy Texas 00:02:43.120 --> 00:02:45.780 Gas to increase rates in the Beaumont East 00:02:45.780 --> 00:02:48.789 Texas division. The Examiner's recommend issuance 00:02:48.801 --> 00:02:51.459 of the suspension order to allow for proper 00:02:51.459 --> 00:02:55.735 evaluation of CenterPoint's filing. I'm available for questions. 00:02:55.760 --> 00:02:57.511 Are there any questions? I 00:02:57.511 --> 00:03:00.560 move we approve the examiners recommendation. Is there a second? 00:03:00.585 --> 00:03:01.036 Second. 00:03:01.061 --> 00:03:02.389 Second by Commissioner Sitton. 00:03:02.389 --> 00:03:06.313 All in favor? Say aye. Any opposed? Motion 00:03:06.325 --> 00:03:10.719 passes. That item's approved. Item number four. 00:03:10.719 --> 00:03:14.295 Good Morning, Chairman, Commissioners. Kyle 00:03:14.307 --> 00:03:18.200 Lubbey, Administrative Law Judge. I'll be presenting items four 00:03:18.200 --> 00:03:20.435 and five on today's agenda. Item four is 00:03:20.447 --> 00:03:22.749 an application by Luminant Mining Company 00:03:22.749 --> 00:03:27.134 LLC requesting the release of Phase 1, 2, and 3 reclamation 00:03:27.146 --> 00:03:30.590 obligations for 8.5 acres, Phase two and three 00:03:30.590 --> 00:03:34.351 release of 920.9 acres within the Monticello 00:03:34.363 --> 00:03:37.969 Winfield mine, permit number 34 F, located 00:03:37.969 --> 00:03:41.463 in Titus and Franklin counties. Subject acres 00:03:41.475 --> 00:03:44.980 is comprised of 12 parcels located throughout 00:03:44.980 --> 00:03:47.163 the permit area. The approved postmine land 00:03:47.175 --> 00:03:49.569 uses for the acreage are comprised of forestry, 00:03:49.569 --> 00:03:54.341 pasture land, fish and wildlife habitat, developed 00:03:54.353 --> 00:03:58.480 water resources, and industrial commercial. 00:03:58.480 --> 00:04:00.237 Evidence in the record supports Luminant has 00:04:00.249 --> 00:04:01.940 satisfied our requirements for the various 00:04:01.940 --> 00:04:09.090 phases of release requested on the aggregate 929.4 years. After noticed, no 00:04:09.090 --> 00:04:11.794 comments or request for hearing were received. Luminant 00:04:11.806 --> 00:04:14.279 and staff were the only parties to the proceeding. 00:04:14.279 --> 00:04:16.913 No exceptions were filed. No changes to the 00:04:16.925 --> 00:04:19.450 current bond instrument requested in this 00:04:19.450 --> 00:04:22.601 docket. As a result, the proposed order prescribes 00:04:22.613 --> 00:04:25.280 Luminant is eligible to reduce the bond by 00:04:25.280 --> 00:04:28.098 the amount that is attributable to the subject 00:04:28.110 --> 00:04:31.000 acreage in future bond adjustment. Full release 00:04:31.000 --> 00:04:33.021 of the aggregate 929.4 acres is 00:04:33.033 --> 00:04:35.853 recommended. I'm available for questions. 00:04:35.878 --> 00:04:37.471 Any questions? 00:04:37.470 --> 00:04:41.402 I move we approve the examiners recommendation. Is there a second? 00:04:41.427 --> 00:04:41.876 Second. 00:04:41.900 --> 00:04:43.221 Second by Commissioner 00:04:43.221 --> 00:04:46.993 Craddick. All in favor, say aye. Any opposed? 00:04:47.005 --> 00:04:50.130 Motion passes. That item is approved. 00:04:50.130 --> 00:04:51.800 Item five. 00:04:51.825 --> 00:04:54.431 Item five is a request by the Sabine 00:04:54.443 --> 00:04:56.810 Mining Company for acceptance of a reclamation 00:04:56.810 --> 00:05:00.535 performance bond for permit number 55A, the Rusk 00:05:00.547 --> 00:05:04.590 Mine located in Rusk, Harrison, and Panola counties. 00:05:04.590 --> 00:05:06.650 Sabine submitted supplemental self bond with 00:05:06.662 --> 00:05:08.780 third party guarantee and indemnity agreement 00:05:08.780 --> 00:05:11.768 by Southwestern Electric Power Company, or 00:05:11.780 --> 00:05:14.920 SWEPCO, in the amount of $15 million. Permit 00:05:14.920 --> 00:05:18.029 55A's currently bounded by three separate 00:05:18.041 --> 00:05:21.310 self bonds with third party guarantees also 00:05:21.310 --> 00:05:27.610 by SWEPCO. They provide a total of $65 million worth of bonding for the permit. 00:05:27.610 --> 00:05:32.187 An updated estimate of reclamation costs in the 00:05:32.199 --> 00:05:37.170 amount of $76,617,125 was approved administratively 00:05:37.170 --> 00:05:40.452 by the Surface Mining and Reclamation division in 00:05:40.464 --> 00:05:43.560 July of 2019. Upon acceptance of the proffered 00:05:43.560 --> 00:05:46.096 bond, with the existing bonds remaining in place, 00:05:46.108 --> 00:05:48.300 the total bond amount will be $80 million, 00:05:48.300 --> 00:05:51.415 an amount that exceeds the approved reclamation 00:05:51.427 --> 00:05:54.620 cost estimates. Evidence has been submitted that 00:05:54.620 --> 00:05:56.971 SWEPCO and Sabine meet requirements for self 00:05:56.983 --> 00:05:59.240 bonding with third party guaranteer, based 00:05:59.240 --> 00:06:02.364 on criteria set out in the regulations. Authorization 00:06:02.376 --> 00:06:05.280 documents have been submitted as well as required 00:06:05.280 --> 00:06:07.751 financial statements. Both staff counsel and 00:06:07.763 --> 00:06:10.190 staff financial reviews indicate the Sabine 00:06:10.190 --> 00:06:16.620 and SWEPCO have demonstrated they meet the financial criteria for acceptance, 00:06:16.620 --> 00:06:18.615 including subject bond, the total amount of 00:06:18.627 --> 00:06:20.770 self bond's first of being that are guaranteed 00:06:20.770 --> 00:06:28.530 by SWEPCO is $155 million. This amount is approximately 10.94% of SWEPCO 00:06:28.530 --> 00:06:31.503 tangible net worth in United States. Staff and 00:06:31.515 --> 00:06:34.880 Sabine are the only parties through the proceeding. 00:06:34.880 --> 00:06:37.033 Neither filed exceptions. It is recommended 00:06:37.045 --> 00:06:39.210 the Commission except the supplemental self 00:06:39.210 --> 00:06:42.063 bond with third party guarantee and indemnity 00:06:42.075 --> 00:06:44.940 agreement to provide bounding for Permit 55A. 00:06:44.940 --> 00:06:47.108 I'm available for questions. 00:06:47.133 --> 00:06:48.566 Are there any questions? 00:06:48.591 --> 00:06:49.044 No. 00:06:52.427 --> 00:06:57.400 All right. If not, I move 00:06:57.400 --> 00:07:00.661 we approve the examiners recommendation. Is there a second? 00:07:00.686 --> 00:07:01.210 Second. 00:07:01.234 --> 00:07:02.780 Second by Commissioner Sitton. 00:07:02.780 --> 00:07:06.246 All in favor, say aye. Any opposed? Motion 00:07:06.258 --> 00:07:09.250 passes. That item is approved. Items 00:07:09.250 --> 00:07:11.880 number six and seven. John. 00:07:11.905 --> 00:07:14.329 Morning, Chairman, 00:07:14.341 --> 00:07:17.920 Commissioners. John Moore, Technical Hearings 00:07:17.920 --> 00:07:20.784 Examiner. I'll bring presenting item six and 00:07:20.796 --> 00:07:23.800 seven, as these dockets were consolidated into 00:07:23.800 --> 00:07:26.895 a single hearing. Item six and seven is a 00:07:26.907 --> 00:07:29.941 consideration of Boykin Energies LLC two 00:07:29.941 --> 00:07:36.650 applications for permits to inject fluid into a non productive horizon in Central 00:07:36.650 --> 00:07:43.120 Reeves County. Boykin proposes to drill and complete to saltwater disposal wells 00:07:43.120 --> 00:07:45.617 and in each well inject up to 15,000 barrels 00:07:45.629 --> 00:07:48.250 per day of liquids into the two lower sections 00:07:48.250 --> 00:07:51.678 of the Delaware Mountain Group, namely the 00:07:51.690 --> 00:07:55.210 Cherry Canyon and Brushy Canyon formations. 00:07:55.210 --> 00:07:58.488 The to propose salt water disposal wells are 00:07:58.500 --> 00:08:01.790 cited about 670 feet apart. The applications 00:08:01.790 --> 00:08:04.742 are protested by Apache Corp, which asserts 00:08:04.754 --> 00:08:07.650 that it is an affected person as that term 00:08:07.650 --> 00:08:10.714 is defined in Statewide Rule 9, excuse me, 00:08:10.726 --> 00:08:13.730 and therefore has standing to protest the 00:08:13.730 --> 00:08:16.523 proposed saltwater disposal wells. Apache 00:08:16.535 --> 00:08:19.340 also contends that there is a fault about 00:08:19.340 --> 00:08:21.983 900 feet from the proposed injection wells, 00:08:21.995 --> 00:08:24.710 which extends from the base of the injection 00:08:24.710 --> 00:08:28.487 interval up into the Rustler Aquifer. Apache also 00:08:28.499 --> 00:08:31.910 contends that the operations of the proposed 00:08:31.910 --> 00:08:34.310 salt water wells would make the fault 00:08:34.322 --> 00:08:37.450 transmissive of injection fluids, and the fault 00:08:37.450 --> 00:08:40.413 will act as a conduit for the injected fluids to 00:08:40.425 --> 00:08:43.460 migrate out of the injection zone and contaminate 00:08:43.460 --> 00:08:46.340 the Rustler Aquifer. Apache has an offset 00:08:46.352 --> 00:08:49.450 mineral interest approximately two miles and 00:08:49.450 --> 00:08:51.880 productive wells in the Alpine high field, 00:08:51.892 --> 00:08:54.390 approximately three miles from the proposed 00:08:54.390 --> 00:08:57.265 saltwater disposal wells. Apache is a consumer 00:08:57.277 --> 00:08:59.980 of ground water from the Rustler Aquifer in 00:08:59.980 --> 00:09:03.268 the area and uses water from the Rustler Aquifer 00:09:03.280 --> 00:09:06.580 for construction drilling, completion operations 00:09:06.580 --> 00:09:10.542 in the Alpine High field and its waste 00:09:10.554 --> 00:09:15.260 water piping and recycling infrastructure. 00:09:15.260 --> 00:09:17.375 Boykin contends that there is no fault or faulting 00:09:17.387 --> 00:09:19.180 in the vicinity of the proposed salt water 00:09:19.180 --> 00:09:23.039 wells and that the injected fluid will be contained 00:09:23.051 --> 00:09:26.550 in the injection interval. Boykin also asserts 00:09:26.550 --> 00:09:28.839 that Apache is not an affeced person and 00:09:28.851 --> 00:09:31.320 therefore does not have standing to protest 00:09:31.320 --> 00:09:35.536 the proposed salt water disposal wells. The examiners 00:09:35.548 --> 00:09:39.150 find that Apache meets the threshold required 00:09:39.150 --> 00:09:42.901 in Statewide Rule 9 to be classified as an affected 00:09:42.913 --> 00:09:46.170 person. Apache is not merely a member of the 00:09:46.170 --> 00:09:49.501 general public and it could suffer harm if the 00:09:49.513 --> 00:09:52.500 proposal water disposal wells are drilled 00:09:52.500 --> 00:09:55.425 and there is contamination. Boykin failed to 00:09:55.437 --> 00:09:58.440 provide sufficient evidence that the injected 00:09:58.440 --> 00:10:00.679 fFluids will not migrate from the proposed 00:10:00.691 --> 00:10:02.890 injection interval into strata containing 00:10:02.890 --> 00:10:06.104 usable groundwater. Boykin did not establish that 00:10:06.116 --> 00:10:09.020 the ground surface water could be adequately 00:10:09.020 --> 00:10:12.348 protected from pollution. There is insufficient 00:10:12.360 --> 00:10:15.840 evidence of a confining barrier for the injection 00:10:15.840 --> 00:10:19.346 interval. There is insufficient evidence that 00:10:19.358 --> 00:10:22.800 the geologic sections overlying the proposed 00:10:22.800 --> 00:10:26.042 injection zone in the vicinity of the proposed salt 00:10:26.054 --> 00:10:29.120 water disposal wells are continuous and unbroken. 00:10:29.120 --> 00:10:37.550 The examiner's recommend deny the motion to dismiss protests for lack of standing 00:10:37.550 --> 00:10:41.285 and deny the two saltwater disposal applications. 00:10:41.297 --> 00:10:44.820 Exceptions and replies were filed. Judge Cooke 00:10:44.820 --> 00:10:47.277 and I are available for questions. 00:10:47.302 --> 00:10:51.180 Okay? We also have also some witnesses available. Randy 00:10:51.180 --> 00:10:56.951 Early with Apache. Brian Sanchez with Apache. 00:10:56.963 --> 00:11:01.740 Brian Bolan with Apache. Bill Hayenga 00:11:01.740 --> 00:11:06.549 with Apache. And George Neighbor with Boykin 00:11:06.561 --> 00:11:11.490 Energy. Are there any questions? Okay, I move 00:11:11.490 --> 00:11:14.235 to grant Boykin's motion to dismiss Apache for 00:11:14.247 --> 00:11:16.710 lack of standing and remand Boykin's Rule 00:11:16.710 --> 00:11:19.567 9 application to the underground injection control 00:11:19.579 --> 00:11:22.110 department for administrating administration 00:11:22.110 --> 00:11:24.327 processing. Is there a second? 00:11:24.352 --> 00:11:25.547 Second. 00:11:25.572 --> 00:11:27.553 Second by Commissioner 00:11:27.565 --> 00:11:29.131 Craddick. All in favor, say aye. 00:11:29.130 --> 00:11:31.530 Any opposed? 00:11:31.555 --> 00:11:35.401 That happened really fast. 00:11:35.413 --> 00:11:38.730 I'd like to ask a question on this motion. 00:11:38.730 --> 00:11:45.600 Part of the discussion here about about Apache being affected party was 00:11:45.600 --> 00:11:49.543 interesting, and in fact, some of the basis 00:11:49.555 --> 00:11:53.060 for them being included as an affected 00:11:53.060 --> 00:11:56.202 party, frankly, I found uncompelling how much 00:11:56.214 --> 00:11:59.230 time they spent in the region. That sort of 00:11:59.230 --> 00:12:02.100 thing, I didn't, I felt like that was, that was not, 00:12:02.112 --> 00:12:04.940 when I look at Rule nine, a person who has suffered 00:12:04.940 --> 00:12:06.915 or will suffer actual injury or economic damage 00:12:06.927 --> 00:12:08.790 other than as a member of the general public 00:12:08.790 --> 00:12:11.690 or competitors. Those things didn't seem to 00:12:11.702 --> 00:12:14.680 relate. Now there's one specific pocket that 00:12:14.680 --> 00:12:18.729 I did think, okay, if there, if there's a potential 00:12:18.741 --> 00:12:22.100 for them because of how they use the water 00:12:22.100 --> 00:12:24.034 to be affected by water that's migrating up 00:12:24.046 --> 00:12:26.080 through the fault. And that was the only area 00:12:26.080 --> 00:12:41.029 that I thought kind of came into play here. And so I guess my question is 00:12:41.029 --> 00:12:42.849 the method in which we are evalu, if I 00:12:42.861 --> 00:12:45.030 take that one area because I said, I think 00:12:45.030 --> 00:12:47.928 that's the only area that really, really could 00:12:47.940 --> 00:12:50.540 potentially make Apache an affected party 00:12:50.540 --> 00:12:54.455 is how do we understand water migrating through 00:12:54.467 --> 00:12:57.740 a fault and the potential of that water 00:12:57.740 --> 00:13:00.466 to be a problem. And I didn't get a strong 00:13:00.478 --> 00:13:03.279 sense of the conclusions here. I understand 00:13:03.279 --> 00:13:05.811 that the cases that were presented, but I 00:13:05.823 --> 00:13:08.670 struggled with that. So now that this motion's 00:13:08.670 --> 00:13:19.660 been made, I guess my my question is, maybe it 00:13:19.672 --> 00:13:30.440 is more of a statement. My concern is that we 00:13:30.440 --> 00:13:33.602 need to understand if we're gonna, because 00:13:33.614 --> 00:13:36.640 as a read our requirements in Rule nine. 00:13:36.640 --> 00:13:40.059 If we're going to include people outside of 00:13:40.071 --> 00:13:43.580 the half mile designated radius, that's fine 00:13:43.580 --> 00:13:45.586 because I think our rules incorporate the 00:13:45.598 --> 00:13:47.520 ability to do that, but then we've got, 00:13:47.520 --> 00:13:50.327 we've got to be very specific on what that 00:13:50.339 --> 00:13:52.830 damage looks like. And I struggled to 00:13:52.830 --> 00:13:55.369 get that out the record. I'm not saying it was 00:13:55.381 --> 00:13:57.660 wrong, but it was tough for me to extract 00:13:57.660 --> 00:13:59.806 that from reading what I read. And so if I'm 00:13:59.818 --> 00:14:01.880 gonna, if we're going to say someone is an 00:14:01.880 --> 00:14:05.117 affected party because they use this water and 00:14:05.129 --> 00:14:08.240 it could be contaminated through this fault, 00:14:08.240 --> 00:14:12.063 then I struggled to find the sort of quantitative 00:14:12.075 --> 00:14:15.910 impacts from that, even though I thought Apache's 00:14:15.910 --> 00:14:18.168 case was good, and I thought, especially, well, 00:14:18.180 --> 00:14:20.450 then, frankly, the fault concerns me. I see the 00:14:20.450 --> 00:14:22.716 merit of that concern. In fact, I started 00:14:22.728 --> 00:14:25.060 wondering myself, could we use radioactive 00:14:25.060 --> 00:14:27.318 tracer oor something else to to? But I don't 00:14:27.330 --> 00:14:29.500 know how he would do that in a freshwater, 00:14:29.500 --> 00:14:33.570 or in a a zone they're pulling out of. So 00:14:33.582 --> 00:14:37.470 anyway, as I said before, before I vote 00:14:37.470 --> 00:14:40.113 on, this is more to say, I don't take issue with 00:14:40.125 --> 00:14:42.779 the idea of including them as an affected party. 00:14:42.779 --> 00:14:45.266 But I'm looking for something substantial to 00:14:45.278 --> 00:14:47.610 really demonstrate what this is, not just 00:14:47.610 --> 00:14:52.350 the concern. Apologize for that, I rambled a bit there, but anyway well. 00:14:52.375 --> 00:14:53.930 And actually, I want 00:14:53.930 --> 00:14:55.824 to say, I agree with you. I had a hard time 00:14:55.836 --> 00:14:57.741 with this case because of that. Look, three 00:14:57.741 --> 00:15:00.416 miles is a long way way. We don't historically 00:15:00.428 --> 00:15:03.230 do that, but, and I thought that Apache had some 00:15:03.230 --> 00:15:05.576 interesting science. But the, quote, social 00:15:05.588 --> 00:15:08.000 license to operate, I think, is not our role 00:15:08.000 --> 00:15:13.029 as a regulator. I think we've got a look at the science of it, and I couldn't 00:15:13.029 --> 00:15:15.808 get there with it. And that's why I didn't 00:15:15.820 --> 00:15:18.870 feel like Apache proven their case. And that's 00:15:18.870 --> 00:15:21.062 the reason I'm voting the other way. 00:15:21.087 --> 00:15:24.350 And the reason I am is, I just understood, if I understand 00:15:24.350 --> 00:15:27.046 correctly, under Rule nine, you must be an 00:15:27.058 --> 00:15:29.640 affected person. You can't be an affected 00:15:29.640 --> 00:15:32.616 person, you cannot be a competitor, and I can't 00:15:32.628 --> 00:15:35.180 see a competition here. So I just think, 00:15:35.180 --> 00:15:38.490 according to rules, that I just think it 00:15:38.502 --> 00:15:42.149 just doesn't qualify. So anyhow, any further 00:15:42.149 --> 00:15:43.599 testimony? 00:15:43.624 --> 00:15:44.778 So we have a motion. 00:15:44.803 --> 00:15:47.950 We have a motion before us and again, I'll repeat that. 00:15:47.950 --> 00:15:50.596 Just, I moved to grant Boykin's motion to dismiss 00:15:50.608 --> 00:15:53.160 Apache for lack of standing and remand Boykin's 00:15:53.160 --> 00:15:55.910 Rule nine application to the Underground Injection 00:15:55.922 --> 00:15:58.630 Control Department for administration processing. 00:15:58.630 --> 00:15:59.614 Is there a second. 00:15:59.639 --> 00:16:00.161 I second. 00:16:00.186 --> 00:16:02.104 Second by Commissioner 00:16:02.116 --> 00:16:03.771 Craddick. All in favor say aye. Any 00:16:03.771 --> 00:16:12.199 opposed? Motion passes. Those items are approved. Item number eight. 00:16:12.224 --> 00:16:16.230 And we will provide a conforming 00:16:16.230 --> 00:16:18.760 order later today. 00:16:18.785 --> 00:16:20.676 Okay, thank you. 00:16:20.701 --> 00:16:26.350 Good morning Chairman, Commissioners. Jennifer Cooke from 00:16:26.350 --> 00:16:29.742 the Hearings division. I'll be presenting 00:16:29.754 --> 00:16:33.240 items 8 to 11. Item eight, Ridge Petroleum 00:16:33.240 --> 00:16:35.799 Inc filed a complaint claiming Energy Ops LLC 00:16:35.811 --> 00:16:38.270 does not have a good faith claim to operate 00:16:38.270 --> 00:16:41.197 three wells on the Arco Cummins D lease in the 00:16:41.209 --> 00:16:44.210 Henderson Field in Winkler County, Texas. Ridge 00:16:44.210 --> 00:16:46.857 Petroleum is an operator of disposal well in 00:16:46.869 --> 00:16:49.410 the same section as the three wells. Ridge 00:16:49.410 --> 00:16:54.740 Petroleum claims EnergyOps has no good faith claim to operate the well, so the 00:16:54.740 --> 00:16:57.175 well should be ordered plugged. EnergyOps 00:16:57.187 --> 00:16:59.750 claims it has a good faith claim to operate 00:16:59.750 --> 00:17:02.217 the wells. Ridge Petroleum operates a disposal 00:17:02.229 --> 00:17:04.550 well in the area that recently was approved 00:17:04.550 --> 00:17:07.352 for increased disposal activity. Ridge Petroleum 00:17:07.364 --> 00:17:09.890 seeks to have the wells plug to prevent the 00:17:09.890 --> 00:17:12.623 wells from becoming a conduit for fluids from 00:17:12.635 --> 00:17:15.439 the disposal zone and causing pollution. Ridge 00:17:15.439 --> 00:17:18.393 Petroleum asserts the underlying contractual 00:17:18.405 --> 00:17:21.370 lease relied on by EnergyOps has terminated. 00:17:21.370 --> 00:17:24.165 The wells have been shut in for years, and Ridge 00:17:24.177 --> 00:17:26.640 Petroleum provided an executed termination 00:17:26.640 --> 00:17:28.837 of the underlying contractual lease, 00:17:28.849 --> 00:17:31.549 signed by both the lessor and EnergyOps as 00:17:31.549 --> 00:17:38.370 lessee. The examiner's recommend the Commission find EnergyOps failed 00:17:38.370 --> 00:17:40.853 to provide a reasonably satisfactory showing 00:17:40.865 --> 00:17:43.250 of a good faith claim to operate the wells 00:17:43.250 --> 00:17:45.937 and order EnergyOps to plug the wells. No 00:17:45.949 --> 00:17:48.840 exceptions were filed, and I'm available for 00:17:48.840 --> 00:17:50.082 questions 00:17:50.107 --> 00:17:52.496 There any questions? I move we approve 00:17:52.508 --> 00:17:54.537 the examiners recommendation. Is there a Second? 00:17:54.562 --> 00:17:55.369 Second. 00:17:55.394 --> 00:17:57.710 Second by Commissioner Sitton. 00:17:57.722 --> 00:18:00.049 All in favor, say aye. Any opposed? Motion passes 00:18:00.049 --> 00:18:03.597 That item is approved. Item number nine. 00:18:03.622 --> 00:18:07.750 Item nine is a motion for rehearing. On October 00:18:07.750 --> 00:18:11.168 22, 2019, the Commission issued an order denying 00:18:11.180 --> 00:18:14.260 the renewal of applicants form P5, ordering 00:18:14.260 --> 00:18:17.093 applicant to place noncompliant wells into 00:18:17.105 --> 00:18:19.620 compliance with Statewide Rule 15 and 00:18:19.620 --> 00:18:22.809 denying applicants request for payment plan 00:18:22.821 --> 00:18:25.950 and extensions for form H5 and H15 filings 00:18:25.950 --> 00:18:29.108 and requirements. A timely motion for rehearing 00:18:29.120 --> 00:18:31.960 was received from applicant. Staff about a 00:18:31.960 --> 00:18:34.367 reply in opposition to the motion. None of the 00:18:34.379 --> 00:18:36.540 issues raised in the motion for rehearing 00:18:36.540 --> 00:18:39.081 are new. All issues raised in the motion were 00:18:39.093 --> 00:18:41.480 already raised by applicant and considered 00:18:41.480 --> 00:18:44.210 by the Commission prior to the Commission issuing 00:18:44.222 --> 00:18:46.580 the order in the case. Applicant continues 00:18:46.580 --> 00:18:49.385 to maintain that it is a working, it is working 00:18:49.397 --> 00:18:51.980 towards compliance. The examiners recommend 00:18:51.980 --> 00:18:54.809 denying the motion. The motion will be overruled 00:18:54.821 --> 00:18:57.430 by Operation of Law on January 30, 2020. And 00:18:57.430 --> 00:18:59.253 I'm available for questions. 00:18:59.278 --> 00:19:00.900 Are there any 00:19:00.912 --> 00:19:03.160 questions? I move we approve the examiners 00:19:03.160 --> 00:19:04.775 recommendation. Is there a second? 00:19:04.800 --> 00:19:05.313 Second. 00:19:05.339 --> 00:19:07.056 Second by Commissioner 00:19:07.068 --> 00:19:08.920 Craddick. All in favor say aye. Any opposed? 00:19:08.920 --> 00:19:12.706 Motion passes. That item is approved. Item number 10. 00:19:12.731 --> 00:19:15.160 Item 10 is a motion for rehearing. 00:19:15.160 --> 00:19:17.779 On October 22, 2019, the Commission issued an 00:19:17.791 --> 00:19:20.480 order granting applicant's requested exception 00:19:20.480 --> 00:19:23.147 to Statewide Rule 32. A timely motion for 00:19:23.159 --> 00:19:26.030 rehearing was received from the protestants. 00:19:26.030 --> 00:19:27.976 The applicant filed a reply in opposition 00:19:27.988 --> 00:19:30.040 to the motion. None of the issues raised in 00:19:30.040 --> 00:19:31.909 the motion for rehearing are new. All issues 00:19:31.921 --> 00:19:33.760 raised to the motion were already raised by 00:19:33.760 --> 00:19:35.974 the protestants and considered by the Commission 00:19:35.986 --> 00:19:38.030 prior to the Commission issuing the order in 00:19:38.030 --> 00:19:40.214 the case. The examiners recommend denying 00:19:40.226 --> 00:19:42.370 the motion. The motion will be overruled 00:19:42.370 --> 00:19:48.130 by operation of law on January 30, 2020. I'm available for questions. 00:19:48.155 --> 00:19:50.050 Are there any 00:19:50.050 --> 00:19:53.795 questions? Mr. Glenn E. Johnson is available for any 00:19:53.807 --> 00:19:57.990 questions. Does anybody have any questions for Mr Johnson? 00:19:57.990 --> 00:20:01.399 Okay, I move we approve the examiners recommendation. Is there a second? 00:20:01.424 --> 00:20:01.873 Second. 00:20:01.898 --> 00:20:03.220 Second by Commissioner Sitton. 00:20:03.220 --> 00:20:06.305 All in favor, say aye. Any opposed? Motion 00:20:06.317 --> 00:20:09.630 passes. That item is approved. Item number 11 00:20:09.630 --> 00:20:12.246 Item 11 is also a motion for 00:20:12.258 --> 00:20:15.390 rehearing. On October 1, 2019, the Commission issued an 00:20:15.390 --> 00:20:18.022 order denying complainants' requests that the 00:20:18.034 --> 00:20:20.390 permit for the subject wells be revoked. 00:20:20.390 --> 00:20:22.699 A timely motion for hearing was received from 00:20:22.711 --> 00:20:24.830 the complaintants. The respondent filed a 00:20:24.830 --> 00:20:26.841 reply in opposition to the motion. None of the 00:20:26.853 --> 00:20:28.660 issues raised in the motion for rehearing 00:20:28.660 --> 00:20:33.100 are new. All issues raised in the motion were already raised by the complainants 00:20:33.100 --> 00:20:35.367 and considered by the Commission prior to the 00:20:35.379 --> 00:20:37.460 Commission issuing the order in the case. 00:20:37.460 --> 00:20:39.479 The examiners recommend denying the motion. 00:20:39.491 --> 00:20:41.429 The motion will be overruled by Operation 00:20:41.429 --> 00:20:46.899 of Law on January 9, 2020, and I'm available for questions. 00:20:46.924 --> 00:20:49.361 Are there any questions? I 00:20:49.361 --> 00:20:52.191 move we approve the examiners recommendation. Is there a second? 00:20:52.216 --> 00:20:52.547 Second. 00:20:52.572 --> 00:20:53.540 Second by Commissioner 00:20:53.540 --> 00:20:57.942 Craddick. All in favor say, aye. Any opposed? 00:20:57.954 --> 00:21:01.600 Motion passes. That item is approved. 00:21:01.600 --> 00:21:03.858 Items 12 through 17. 00:21:03.883 --> 00:21:07.409 Good morning, Chairman and 00:21:07.421 --> 00:21:10.631 Commissioners. For the record, my name 00:21:10.630 --> 00:21:13.481 is Ezra Johnson, Administrative Law Judge 00:21:13.493 --> 00:21:16.560 with the Hearings division. Items 12 through 00:21:16.560 --> 00:21:18.688 17 concern a motion to extend time to file 00:21:18.700 --> 00:21:20.840 a motion for rehearing of the Commission's 00:21:20.840 --> 00:21:24.222 final order of October 1, 2019. Finding that 00:21:24.234 --> 00:21:27.250 front Street Operating LLC did not have 00:21:27.250 --> 00:21:29.776 a good faith claim right to operate various 00:21:29.788 --> 00:21:32.500 leases and wells in the Rock Penn Canyon field 00:21:32.500 --> 00:21:35.331 of Irian County, Texas, and ordering that the 00:21:35.343 --> 00:21:38.000 wells be plugged. The final order followed 00:21:38.000 --> 00:21:40.179 Front Street's failure to respond to the notice 00:21:40.191 --> 00:21:42.200 of opportunity for hearing that was sent to 00:21:42.200 --> 00:21:45.401 Front Street at the organizational address 00:21:45.413 --> 00:21:48.700 on file on August 8th, 2019. Correspondence 00:21:48.700 --> 00:21:52.482 mailed to Front Street prior to October 15 2019 00:21:52.494 --> 00:21:56.130 was returned as not deliverable as addressed, 00:21:56.130 --> 00:21:58.738 unable to forward. Front Street's motion seeks 00:21:58.750 --> 00:22:01.370 additional time to file a motion for rehearing 00:22:01.370 --> 00:22:04.354 pursuant to the Texas Government Code. The 00:22:04.366 --> 00:22:07.919 complaintants filed a response opposing the motion 00:22:07.919 --> 00:22:09.892 to be entitled to additional time to file a 00:22:09.904 --> 00:22:12.070 motion for rehearing under the Texas Government 00:22:12.070 --> 00:22:14.648 Code, the complaining party must show that 00:22:14.660 --> 00:22:17.370 he did not obtain notice or actual knowledge 00:22:17.370 --> 00:22:20.254 of the Commission's final order within 14 days 00:22:20.266 --> 00:22:23.100 of its execution, that he exercised diligence 00:22:23.100 --> 00:22:25.505 in keeping the Commission informed of his 00:22:25.517 --> 00:22:28.049 current address, and that he took no action 00:22:28.049 --> 00:22:31.064 to impede or prevent the receipt of the notice. 00:22:31.076 --> 00:22:34.040 Front Street failed to comply with the express 00:22:34.040 --> 00:22:39.380 requirements of Statewide Rule 1A7 on at least two occasions prior to the entry 00:22:39.380 --> 00:22:42.764 of the final order by failing to timely provide 00:22:42.776 --> 00:22:45.960 an updated organizational address. Had Front 00:22:45.960 --> 00:22:48.966 Street done so it would have received notice of 00:22:48.978 --> 00:22:52.059 the final order within 14 days of its execution. 00:22:52.059 --> 00:22:54.053 Front Street argues that its failure to follow 00:22:54.065 --> 00:22:55.900 Commission rules should be excused because 00:22:55.900 --> 00:22:58.265 there was no contemporaneous awareness of the 00:22:58.277 --> 00:23:00.809 final order. Under Front Street's interpretation 00:23:00.809 --> 00:23:03.514 of the government code, the duty under Statewide 00:23:03.526 --> 00:23:05.800 Rule 1 to diligently keep the Commission 00:23:05.800 --> 00:23:08.394 informed of the current organizational address 00:23:08.406 --> 00:23:10.790 arose only after Front Street became aware 00:23:10.790 --> 00:23:13.320 of the final order. Nothing in the language 00:23:13.332 --> 00:23:15.990 of the government code excuses Front Street's 00:23:15.990 --> 00:23:18.601 failure to follow Commission rules, and Front 00:23:18.613 --> 00:23:21.350 Street does not provide any case law in support 00:23:21.350 --> 00:23:24.315 of this interpretation of the statute. Accordingly, 00:23:24.327 --> 00:23:26.960 Front Street failed to show that it exercised 00:23:26.960 --> 00:23:29.065 diligence in keeping the Commission informed 00:23:29.077 --> 00:23:31.100 of its current address, or that it took no 00:23:31.100 --> 00:23:33.712 action to impede or prevent receipt of the 00:23:33.724 --> 00:23:36.470 notice. In addition, Front Street's separate 00:23:36.470 --> 00:23:38.631 motion to supersede the final order in these 00:23:38.643 --> 00:23:41.010 dockets is set for consideration by the hearings 00:23:41.010 --> 00:23:44.153 division on March 3, 2020. It is recommended 00:23:44.165 --> 00:23:47.180 that the Commission deny the motion. If no 00:23:47.180 --> 00:23:49.758 action is taken, the motion to extend will 00:23:49.770 --> 00:23:52.360 be granted by Operation of Law on December 00:23:52.360 --> 00:23:56.115 18, 2019, and I am available for questions. 00:23:56.140 --> 00:23:59.700 We also have Rob Hargrove for, 00:23:59.700 --> 00:24:06.209 AA Sag Jr is here for testimony if necessary, and 00:24:06.221 --> 00:24:12.220 Doug Daschle here for Front Street Operating. 00:24:12.220 --> 00:24:15.308 Any questions for any of these? Okay, I move we 00:24:15.320 --> 00:24:18.419 approve the examiners recommendations. Is there 00:24:18.419 --> 00:24:20.677 a second. 00:24:20.702 --> 00:24:22.389 Second. 00:24:22.414 --> 00:24:25.144 All in favor, say aye. Any opposed? 00:24:25.156 --> 00:24:27.450 Motion passes. Those items are approved. Item 00:24:27.450 --> 00:24:29.537 number 18. 00:24:29.562 --> 00:24:33.029 Good morning, Chairman Commissioners. 00:24:33.041 --> 00:24:35.799 For the record, Joe Menifee, paralegal in 00:24:35.799 --> 00:24:39.076 the Hearings division, I'll be presenting 00:24:39.088 --> 00:24:42.220 items 18 through 20 all of which are P5 00:24:42.220 --> 00:24:45.273 motions for rehearing filed as a result of a 00:24:45.285 --> 00:24:48.419 final order denying renewal of the operators' 00:24:48.419 --> 00:24:53.696 P5 because of wells non compliant with Statewide 00:24:53.708 --> 00:24:57.809 Rule 15. Item number 18 is good news. 00:24:57.809 --> 00:25:01.498 Subsequent to filing its motion for rehearing 00:25:01.510 --> 00:25:05.130 AK&K Enterprises LLC has come into compliance 00:25:05.130 --> 00:25:08.270 with Statewide Rule 15. Therefore is recommended 00:25:08.282 --> 00:25:11.370 the motion be granted and the underlying docket 00:25:11.370 --> 00:25:14.777 dismissed as moot. I'm available for questions. 00:25:14.802 --> 00:25:17.900 Are there any questions? I move we approve the 00:25:17.900 --> 00:25:20.065 examiners recommendation. Is there a second? 00:25:20.090 --> 00:25:20.745 Second. 00:25:20.770 --> 00:25:22.710 Second by Commissioner Craddick. All in favor, 00:25:22.710 --> 00:25:29.018 say aye. Any opposed? Motion passes. That item is approved. Item 19. 00:25:29.043 --> 00:25:31.121 Item number 19 00:25:31.120 --> 00:25:34.116 In its motion Cibilo Energy Operating Inc 00:25:34.128 --> 00:25:37.350 states the operator is currently filing the 00:25:37.350 --> 00:25:40.853 proper forms to come into compliance but gives 00:25:40.865 --> 00:25:44.080 no basis for failure to request a hearing. 00:25:44.080 --> 00:25:47.007 Staff opposes the motion. Six wells remain 00:25:47.019 --> 00:25:50.299 noncompliant with Statewide Rule 15. Therefore, 00:25:50.299 --> 00:25:53.122 it's recommended the motion be denied. The 00:25:53.134 --> 00:25:56.100 motion will be overruled by operation of law 00:25:56.100 --> 00:25:59.894 on January 9, 2020. I'm available for questions. 00:25:59.919 --> 00:26:03.300 Are there any questions? I move we approve 00:26:03.300 --> 00:26:05.500 the examiners recommendations. Is there a second? 00:26:05.525 --> 00:26:06.091 Second. 00:26:06.116 --> 00:26:07.789 Second by Commissioner Sitton. All in favor, 00:26:07.789 --> 00:26:11.505 say aye. Any opposed? Motion passes. That 00:26:11.517 --> 00:26:15.600 item is approved. Item number 20 is also good 00:26:15.600 --> 00:26:19.112 news. Subsequent to filing its motion for 00:26:19.124 --> 00:26:22.900 rehearing, PetraMax Oil and Gas LLC has come 00:26:22.900 --> 00:26:25.797 into compliance. Therefore, it's recommended the 00:26:25.809 --> 00:26:28.480 motion be granted and the underlying docket 00:26:28.480 --> 00:26:31.771 dismissed as moot. I'm available for questions. 00:26:31.796 --> 00:26:34.651 Are there any questions? I move we approve 00:26:34.651 --> 00:26:37.133 the examiners recommendation. Is there a second? 00:26:37.158 --> 00:26:37.848 Second. 00:26:37.873 --> 00:26:39.919 Second by Commissioner Craddick. All in favor, 00:26:39.919 --> 00:26:44.194 say aye. Any opposed? Motion passes. That item 00:26:44.206 --> 00:26:48.220 is approved. Items 21 through 60. 40 Items. 00:26:48.220 --> 00:26:52.828 Let's move to that Oil and Gas consent agenda. 00:26:52.840 --> 00:26:57.460 Okay, there are 40 items on the agenda. I move 00:26:57.460 --> 00:27:00.463 we approve Items 21 through 60. Is there a second? 00:27:00.488 --> 00:27:01.056 Second. 00:27:01.081 --> 00:27:02.760 Second by Commissioner Sitton. 00:27:02.760 --> 00:27:07.034 All in favor, say aye. Any opposed? Motion 00:27:07.046 --> 00:27:11.630 passes. Those items are approved. Items, move 00:27:11.630 --> 00:27:14.617 to the Rule 15, Inactive Wells items. There are 00:27:14.629 --> 00:27:17.440 24 items on the Rule 15 inactive wells list. 00:27:17.440 --> 00:27:22.540 I move we approve items 61 through 85. Except for 61. Is there a second? 00:27:22.565 --> 00:27:23.255 Second. 00:27:23.280 --> 00:27:26.299 Second by Commissioner Craddick. All 00:27:26.311 --> 00:27:29.450 in favor say aye. Any opposed? Motion passes. Those items 00:27:29.450 --> 00:27:32.234 are approved. Move to the Master Default 00:27:32.246 --> 00:27:35.179 orders. There are 24 Master Default orders. 00:27:35.179 --> 00:27:39.092 I move we approve items 86 through 109. Is there a second? 00:27:39.117 --> 00:27:39.757 Second. 00:27:39.783 --> 00:27:41.679 Second by Commissioner Sitton. 00:27:41.679 --> 00:27:44.667 All in favor, say aye. Any opposed? Motion 00:27:44.679 --> 00:27:47.610 passes. Those items are approved. Move to 00:27:47.610 --> 00:27:50.860 Agreed Enforcement orders. There are 324 Agreed 00:27:50.872 --> 00:27:54.270 Enforcement orders. I move we approve those items 00:27:54.270 --> 00:27:56.679 110 through 433. Is there a second? 00:27:56.704 --> 00:27:57.730 Second. 00:27:57.755 --> 00:28:00.809 Second by Commissioner Craddick. All in favor say, 00:28:00.809 --> 00:28:03.676 aye. Any opposed? Motion passes. Those items are 00:28:03.688 --> 00:28:06.860 approved. That concludes the Hearing section. We will 00:28:06.860 --> 00:28:09.267 now take up the administrative agendas. 00:28:09.292 --> 00:28:11.727 Good Morning, Chairman and Commissioners. 00:28:11.752 --> 00:28:12.539 Good morning, Wei. 00:28:12.539 --> 00:28:15.277 For the record, Wei Wang, Executive 00:28:15.289 --> 00:28:18.090 Director. I'm glad to report today that our two major 00:28:18.090 --> 00:28:21.286 IT projects are on track, that we're making good 00:28:21.298 --> 00:28:24.309 progress in terms of milestones and projected 00:28:24.309 --> 00:28:28.819 timeline. On the well plugging program and site 00:28:28.831 --> 00:28:33.070 remediation front we have plugged 442 wells 00:28:33.070 --> 00:28:35.929 as of last Friday, and 95 site cleanup or 00:28:35.941 --> 00:28:38.880 assessment as a last Friday so that's more 00:28:38.880 --> 00:28:42.285 than 30%. Also making progress there. As of 00:28:42.297 --> 00:28:45.870 last Friday, actually, as of Monday, our head 00:28:45.870 --> 00:28:49.322 count is at 819 which is the highest number 00:28:49.334 --> 00:28:52.640 so far. We're also have multiple postings 00:28:52.640 --> 00:28:56.253 up, so trying to get all the vacancies filled. 00:28:56.265 --> 00:28:59.659 And Chairman, last conference, you asked us 00:28:59.659 --> 00:29:06.710 to look into our procedure with regards to a protestant participation in the 00:29:06.710 --> 00:29:09.106 surface mining case. Our Office of General 00:29:09.118 --> 00:29:11.750 Counsel looked in to the case files. Have Alex 00:29:11.750 --> 00:29:14.866 with me today to brief you on the results. 00:29:14.891 --> 00:29:15.863 Okay, Alex. 00:29:15.889 --> 00:29:18.780 Good Morning, Chairman Commissioners. For 00:29:18.780 --> 00:29:21.621 the record, my name is Alex Schott, General Counsel of 00:29:21.633 --> 00:29:24.330 the Railroad Commission of Texas. At the conference 00:29:24.330 --> 00:29:27.345 on November 19, 2019, the Commissioners approved 00:29:27.357 --> 00:29:30.260 the application of Luminant Mining Company for 00:29:30.260 --> 00:29:33.748 renewal, revision, and expansion of permit number 00:29:33.760 --> 00:29:37.190 50, the KosseMine in Docket Number C180015SC50C. 00:29:37.190 --> 00:29:40.696 Immediately after the vote was taken, Mr Ray 00:29:40.708 --> 00:29:44.070 Fields, a protestant in that matter, stood 00:29:44.070 --> 00:29:46.973 and addressed several comments to the Commissioners. 00:29:46.985 --> 00:29:49.240 After Mister Field's spoke, the Chairman 00:29:49.240 --> 00:29:51.668 asked that the executive director review 00:29:51.680 --> 00:29:54.179 the matter together with with the general 00:29:54.179 --> 00:29:56.562 counsel and provide a report back at the next conference 00:29:56.574 --> 00:29:58.549 which we we're doing and this is our report on 00:29:58.549 --> 00:30:00.879 that review. In connection with the review, 00:30:00.891 --> 00:30:03.340 we reviewed the entire procedural history and 00:30:03.340 --> 00:30:07.971 record of the subject application for renewal, 00:30:07.983 --> 00:30:12.230 so the Luminant docket. We also considered 00:30:12.230 --> 00:30:15.137 the applicable statutes, laws, regulations 00:30:15.149 --> 00:30:18.000 that are applicable to this situation. As 00:30:18.000 --> 00:30:20.409 a result of the review, we have reached four 00:30:20.421 --> 00:30:22.950 conclusions which I'll read to you now. First, 00:30:22.950 --> 00:30:25.651 we conclude the Commission's regulations guarantee 00:30:25.663 --> 00:30:28.270 the public a right to participate in all surface 00:30:28.270 --> 00:30:31.763 mining permit applications. Number 2, the applicant 00:30:31.775 --> 00:30:35.549 permitee, Luminant, complied with all of the applicable 00:30:35.549 --> 00:30:38.113 Commission public participation regulations 00:30:38.125 --> 00:30:40.760 and their conduct of the hearing and in this 00:30:40.760 --> 00:30:44.227 particular docket. We found two that the Commission 00:30:44.239 --> 00:30:47.049 staff complied with the applicable public 00:30:47.049 --> 00:30:49.763 participation regulations in the Luminant 00:30:49.775 --> 00:30:52.630 docket. And finally, we believe that Mr Ray 00:30:52.630 --> 00:30:55.538 Fields, as a result of our investigation, was 00:30:55.550 --> 00:30:58.279 afforded every opportunity required by the 00:30:58.279 --> 00:31:01.093 Commission's public participation regulations 00:31:01.105 --> 00:31:03.809 in the Luminant docket. So we feel that the 00:31:03.809 --> 00:31:06.494 applicant, the staff, the Hearings division 00:31:06.506 --> 00:31:09.080 and Mr Fields all had full opportunity to 00:31:09.080 --> 00:31:12.172 take advantage of all the relevant laws regulations 00:31:12.184 --> 00:31:14.750 allowing public participation. So, in sum, 00:31:14.750 --> 00:31:21.220 the conduct of the docket C180015SC50C complied with the applicable laws, 00:31:21.220 --> 00:31:23.541 and Mr Fields had the opportunity to fully 00:31:23.553 --> 00:31:25.940 participate in this docket to the extent of 00:31:25.940 --> 00:31:28.665 his desires. We also reviewed Mr Fields comments 00:31:28.677 --> 00:31:31.190 about, the comments allegations made at that 00:31:31.190 --> 00:31:34.522 same time November 19th conference, about the 00:31:34.534 --> 00:31:37.659 presiding ALJ. We found those allegations, 00:31:37.659 --> 00:31:40.159 comments made at that point in time to be 00:31:40.171 --> 00:31:42.981 unsubstantiated, wholly without merit and feel 00:31:42.981 --> 00:31:45.607 that the ALJ conducted the hearing in accordance 00:31:45.619 --> 00:31:47.880 with applicable rules and regulations. So 00:31:47.880 --> 00:31:49.505 I'm available to answer any questions. 00:31:49.530 --> 00:31:51.900 I thank you for the work, both of you, and your staff's, 00:31:51.900 --> 00:31:54.582 for taking care of this. I think is very important 00:31:54.594 --> 00:31:56.919 to reassure public and all the parties that 00:31:56.919 --> 00:31:59.385 we're open for business here at the Railroad 00:31:59.397 --> 00:32:01.710 Commission and are open for testimony and 00:32:01.710 --> 00:32:05.025 input from our entire citizenry. Any questions? 00:32:05.050 --> 00:32:08.270 Alex, I do have one question and I appreciate 00:32:08.270 --> 00:32:12.282 your assessment. As you said, Mr Fields made 00:32:12.294 --> 00:32:16.050 some fairly bold accusations, one of them 00:32:16.050 --> 00:32:18.313 in particular, and I don't remember the exact 00:32:18.325 --> 00:32:20.650 wording, but something implying that our staff 00:32:20.650 --> 00:32:25.818 was somehow formally or informally connected 00:32:25.830 --> 00:32:30.320 to the mining company, and that I took 00:32:30.320 --> 00:32:33.022 real exception to, and so you just alluded 00:32:33.034 --> 00:32:35.559 the fact that hey, we looked, these are 00:32:35.559 --> 00:32:39.496 unsubstantiated. Can you elaborate on that at all? 00:32:39.508 --> 00:32:43.070 I mean, get more specific on unsubstantiated. 00:32:43.070 --> 00:32:44.414 Was it just complete bull? 00:32:44.439 --> 00:32:46.053 There were several allegations 00:32:46.065 --> 00:32:47.620 and rather than go through it all, I give a 00:32:47.620 --> 00:32:49.758 summary but anticipating questions. We did 00:32:49.770 --> 00:32:52.020 look at them and the one of the, I think the 00:32:52.020 --> 00:32:54.579 allegation question, I believe precisely, Mr 00:32:54.591 --> 00:32:56.990 Field said, was he attributed to the ALJ, 00:32:56.990 --> 00:32:59.808 Mr. Lubbey, a quote that, I work for the mine. 00:32:59.820 --> 00:33:02.529 I think that's what you're referring to. And 00:33:02.529 --> 00:33:04.726 what the ALJ's recollection was that that 00:33:04.738 --> 00:33:06.790 occurred during a conference call. And 00:33:06.790 --> 00:33:09.634 so not a Skype, a true conference call. So there 00:33:09.646 --> 00:33:12.210 were a number of voices, a number of people 00:33:12.210 --> 00:33:14.615 on the phone talking. And Kyle believes that 00:33:14.627 --> 00:33:16.990 when that comment was made, it was actually 00:33:16.990 --> 00:33:19.683 one of the attorneys who works for Luminant. A guy 00:33:19.695 --> 00:33:22.400 named Ted Banky, who is, I think with Baker. Baker 00:33:22.400 --> 00:33:25.164 Botts. Was actually speaking at that time and 00:33:25.176 --> 00:33:27.770 said, and Mr Fields interrupted, said, Who 00:33:27.770 --> 00:33:30.255 do you work for? And he said, I work for the mine. 00:33:30.267 --> 00:33:32.520 So that's the reasonable conclusion, I think, 00:33:32.520 --> 00:33:36.021 that we drew from it. Was Mr Fields heard somebody say 00:33:36.033 --> 00:33:39.290 that, he just misinterpreted who made the comment. 00:33:39.290 --> 00:33:42.781 Thank you, Alex. Appreciate that. 00:33:42.806 --> 00:33:46.150 Typical. Have an attorney get you in trouble, right? 00:33:46.150 --> 00:33:48.295 Thank you. 00:33:48.320 --> 00:33:51.881 No, no, no offense. None taken. 00:33:51.906 --> 00:33:54.730 You know, I think you know, there's lessons 00:33:54.730 --> 00:33:56.580 to learn every time, every incident. And I 00:33:56.592 --> 00:33:58.410 think that we all learn from lessons from 00:33:58.410 --> 00:34:00.489 this in terms of clarity and identification 00:34:00.501 --> 00:34:02.450 on phone calls and such. But in the end, 00:34:02.450 --> 00:34:04.969 I think, you know, Mr Fields had good opportunity to 00:34:04.981 --> 00:34:07.799 participate. I think everything was done right and proper. 00:34:07.799 --> 00:34:10.033 And its good, again, just reassure 00:34:10.045 --> 00:34:12.540 everybody out there that we're very much, our ears are open 00:34:12.540 --> 00:34:15.116 for, and want to do what's, the public, we work 00:34:15.128 --> 00:34:17.609 for them. It is not us telling everybody that 00:34:17.609 --> 00:34:20.332 we follow the rules and we have the best interest 00:34:20.344 --> 00:34:22.750 as best we can. And when we need corrected, 00:34:22.750 --> 00:34:25.117 we need corrected. But I appreciate your good 00:34:25.129 --> 00:34:27.560 job in making sure we stay on track. I commend 00:34:27.560 --> 00:34:29.277 you for it. 00:34:29.302 --> 00:34:31.775 Thanks for your diligence on that, Alex. 00:34:31.800 --> 00:34:32.840 That concludes my report 00:34:32.852 --> 00:34:33.753 today. I'm available for questions. 00:34:33.778 --> 00:34:34.429 Okay. Any other questions? 00:34:34.429 --> 00:34:37.448 Now, I have a couple comments on 00:34:37.460 --> 00:34:40.490 something else. Totally. Do you mind if I change subjects 00:34:40.490 --> 00:34:42.673 while we're here? Thank you. So I have, was 00:34:42.685 --> 00:34:45.280 appointed several years ago, the National Petroleum 00:34:45.280 --> 00:34:48.717 Council so I thought that I'd give an update about 00:34:48.729 --> 00:34:52.110 where we are. We have, we're tasked by the former, 00:34:52.110 --> 00:34:54.786 now former as of two weeks ago, Secretary 00:34:54.798 --> 00:34:57.550 of Energy, to study two things and whether 00:34:57.550 --> 00:34:59.888 it's good or bad, I know him, and also because 00:34:59.900 --> 00:35:01.950 being Texas, as a regulator, they wanted 00:35:01.950 --> 00:35:04.555 our input on both studies. So I learned my 00:35:04.567 --> 00:35:07.550 lesson, and I think my staff were still speaking 00:35:07.550 --> 00:35:09.392 to us and our staff are still speaking to me 00:35:09.404 --> 00:35:11.300 because these were big project. So the first 00:35:11.300 --> 00:35:13.872 one has to do with infrastructure, which is 00:35:13.884 --> 00:35:16.350 a huge issue for this entire country. And 00:35:16.350 --> 00:35:20.080 we participated. And I say we generically 00:35:20.092 --> 00:35:24.369 because it was not just me, it was Khari French 00:35:24.369 --> 00:35:26.451 really took a big piece of that, and I want 00:35:26.463 --> 00:35:28.510 to tell her thank you for all the work she 00:35:28.510 --> 00:35:31.145 did. So we, that study as well as the second 00:35:31.157 --> 00:35:33.510 one I'll mention, were given to the new 00:35:33.510 --> 00:35:36.172 secretary last week. The infrastructure study 00:35:36.184 --> 00:35:38.800 will be rolled out completely next week, and 00:35:38.800 --> 00:35:41.318 it has some good recommendations across, for across 00:35:41.330 --> 00:35:43.520 the country about how we continue to develop 00:35:43.520 --> 00:35:46.713 infrastructure and and how we as a regulatory 00:35:46.725 --> 00:35:49.930 world, how we continue to deal with that and, 00:35:49.930 --> 00:35:55.770 frankly, how people ought to be working within that infrastructure, and working 00:35:55.770 --> 00:35:58.369 within communities. So I want to thank Khari 00:35:58.381 --> 00:36:01.050 for the time and the effort and the expertise 00:36:01.050 --> 00:36:04.054 because a lot of people have said some really 00:36:04.066 --> 00:36:07.410 lovely things about our staff. The second one that 00:36:07.410 --> 00:36:10.338 was, has been an interesting study, and I 00:36:10.350 --> 00:36:13.430 think will bring us really as a road map to 00:36:13.430 --> 00:36:15.976 the next level is carbon capture, and we happen 00:36:15.988 --> 00:36:18.440 to be one of the only states that have carbon 00:36:18.440 --> 00:36:20.286 capture rules. In fact, the expert sitting 00:36:20.298 --> 00:36:22.200 in the entire country, probably, is sitting 00:36:22.200 --> 00:36:25.173 in this agency with Leslie Savage. And Leslie 00:36:25.185 --> 00:36:27.910 not only was a good voice, but wrote part 00:36:27.910 --> 00:36:30.289 of this report. So I want to think both those 00:36:30.301 --> 00:36:32.640 ladies for participating and frankly, making 00:36:32.640 --> 00:36:35.484 this agency look good, but also having a a big 00:36:35.496 --> 00:36:38.170 voice as we went forward. And so the carbon 00:36:38.170 --> 00:36:40.772 capture studies out as we speak and can be 00:36:40.784 --> 00:36:43.520 found on both on National Petroleum Council, 00:36:43.520 --> 00:36:45.401 I think these are both good road maps for 00:36:45.413 --> 00:36:47.351 what we do going forward, and I appreciate 00:36:47.351 --> 00:36:51.273 that the time and the effort the staff put into it as well. Thank you. 00:36:51.298 --> 00:36:52.580 Thank you. And 00:36:52.580 --> 00:36:55.206 we do appreciate you Commissioner in some of 00:36:55.218 --> 00:36:57.680 the extra work that's done off the clock, 00:36:57.680 --> 00:37:00.359 really, by you as volunteering to take national 00:37:00.371 --> 00:37:03.230 positions and also your staff, the extra work they 00:37:03.230 --> 00:37:05.259 have to do to keep all of it up so that you 00:37:05.271 --> 00:37:07.080 look good, right? That's how it works. 00:37:07.080 --> 00:37:08.988 and Commissioner Sitton of course, a lot 00:37:09.000 --> 00:37:11.060 of times, we don't get to visit because of 00:37:11.060 --> 00:37:13.410 the laws. And I just commend my other two Commissioners 00:37:13.422 --> 00:37:15.530 for the good work that's done and the good report 00:37:15.530 --> 00:37:18.627 comes back. All of us. All three of us are 00:37:18.639 --> 00:37:21.820 honored and proud of the work that Wei, you 00:37:21.820 --> 00:37:24.196 do, and our legal, our legal team and just 00:37:24.208 --> 00:37:26.540 all the staff. You just make the Railroad 00:37:26.540 --> 00:37:29.654 Commission of Texas look good. And we appreciate 00:37:29.666 --> 00:37:32.410 you very much. Thank you. That's it. Let's 00:37:32.410 --> 00:37:34.758 move to Item 436 00:37:34.783 --> 00:37:41.801 Mr. chairman, for item 435. We don't have anything to report on 00:37:41.800 --> 00:37:45.325 that one, but on 436, 7 and 8, Haley will 00:37:45.337 --> 00:37:48.790 be presenting some real world proposals. 00:37:48.790 --> 00:37:50.927 Morning, Chairman, Commissioners. Haley 00:37:50.939 --> 00:37:53.050 Cochran with the Office of General Counsel. Item Number 00:37:53.050 --> 00:37:55.153 436 is staff's recommendation to adopt 00:37:55.165 --> 00:37:57.670 amendments to 16 Texas Administrative Code, 00:37:57.670 --> 00:38:00.214 Chapter 8 and Section 3.70 relating to 00:38:00.226 --> 00:38:03.119 pipeline safety and pipeline permits. The 00:38:03.119 --> 00:38:05.064 amendments to Chapter 8 were proposed to 00:38:05.076 --> 00:38:07.080 ensure consistency with federal standards 00:38:07.080 --> 00:38:09.592 and incorporate state statutory changes, including 00:38:09.604 --> 00:38:11.930 changes to Commission authority over gathering 00:38:11.930 --> 00:38:14.477 lines pursuant to HB 2982 from the 83rd 00:38:14.489 --> 00:38:17.770 Legislature, and requirements related a pipeline 00:38:17.770 --> 00:38:20.744 safety pursuant to HB 864 and 866 of the 00:38:20.756 --> 00:38:23.960 86th Legislature. The amendments to Section 00:38:23.960 --> 00:38:26.174 3.70 were proposed to reduce confusion regarding 00:38:26.186 --> 00:38:28.140 when production or flow lines do not leave 00:38:28.140 --> 00:38:30.848 a lease, clarify fee requirements for gathering 00:38:30.860 --> 00:38:33.580 pipelines regulated under new 8.110, and create 00:38:33.580 --> 00:38:36.858 a new annual permit renewal timeline, which 00:38:36.870 --> 00:38:40.460 will start in September 1st of 2020. On October 00:38:40.460 --> 00:38:42.496 1st 2019 the Commission approved publication 00:38:42.508 --> 00:38:44.510 of both proposals in the Texas Register for 00:38:44.510 --> 00:38:46.618 a comment period, which ended on November 00:38:46.630 --> 00:38:48.800 18th. The Commission received six comments 00:38:48.800 --> 00:38:51.114 on Chapter 8 and one comment on Section 00:38:51.126 --> 00:38:53.810 3.70. Staff recommends the Commission adopt 00:38:53.810 --> 00:38:55.868 the amendments with changes to the Chapter 00:38:55.880 --> 00:38:57.710 8 proposal and without changes to the 00:38:57.710 --> 00:39:00.045 3.70 proposal. The recommended changes to 00:39:00.057 --> 00:39:02.460 Chapter 8 are made in response to comments 00:39:02.460 --> 00:39:08.044 on sections 8.110 8.115 and 8.301. May I answer any questions? 00:39:08.069 --> 00:39:10.260 Are there any questions? 00:39:10.260 --> 00:39:11.628 No 00:39:11.653 --> 00:39:12.968 I move we approve the 00:39:12.980 --> 00:39:14.436 examiners recommendation. Is there a second? 00:39:14.461 --> 00:39:14.778 Second. 00:39:14.803 --> 00:39:19.080 Second by Commissioner Craddick. All in favor 00:39:19.092 --> 00:39:23.380 say aye. Any opposed? Motion passes. That item is approved. 437. 00:39:23.380 --> 00:39:26.095 Item 437 is staff's recommendation to adopt 00:39:26.107 --> 00:39:28.700 amendments to 16 Texas Administrative Code, Chapter nine. 00:39:28.700 --> 00:39:30.964 The amendments were proposed to update and 00:39:30.976 --> 00:39:33.200 clarify the Commission's LP gas rules and 00:39:33.200 --> 00:39:35.493 to implement changes from the 86th Legislative 00:39:35.505 --> 00:39:37.760 session. Amendments also reflect changes made 00:39:37.760 --> 00:39:40.248 to the National Fire Protection Association 00:39:40.260 --> 00:39:42.760 Standards since Chapter 9 was last amended. 00:39:42.760 --> 00:39:44.987 On October 1st, the Commission approved publication 00:39:44.999 --> 00:39:47.109 of the proposed amendments in the Texas Register 00:39:47.109 --> 00:39:49.794 for a 30 day comment period, which ended on 00:39:49.806 --> 00:39:52.380 November 18th. The Commission received 27 00:39:52.380 --> 00:39:54.309 comments on the proposal. Staff recommend the 00:39:54.321 --> 00:39:56.220 Commission adopt the amendments with changes 00:39:56.220 --> 00:39:58.534 to the proposed text as published in October 00:39:58.546 --> 00:40:00.820 25th issue of the Register. The recommended 00:40:00.820 --> 00:40:03.594 changes are addressed in the adoption preamble, and 00:40:03.606 --> 00:40:06.445 your notebook materials. May I answer any questions. 00:40:06.470 --> 00:40:08.723 Are there any questions? Okay, I 00:40:08.735 --> 00:40:10.869 move we approve the examiners recommendation. Is 00:40:10.869 --> 00:40:11.852 there a second? 00:40:11.877 --> 00:40:12.376 Second. 00:40:12.402 --> 00:40:14.812 Second by Commissioner Sitton 00:40:14.824 --> 00:40:16.900 All in favor say aye. Any opposed? Motion 00:40:16.900 --> 00:40:19.545 passes. That item's approved. Item 438. 00:40:19.570 --> 00:40:22.800 Item number 438 is staff's recommendation to 00:40:22.800 --> 00:40:25.609 adopt amendments to 16 Texas Administrative Code, 00:40:25.621 --> 00:40:28.160 Section 12.108. The amendments were proposed 00:40:28.160 --> 00:40:31.022 to increase annual permit fees for Fiscal Years 00:40:31.034 --> 00:40:33.609 2020 and 2021. On August 6, the Commission 00:40:33.609 --> 00:40:35.789 approved a publication of the proposed amendments 00:40:35.801 --> 00:40:37.730 in the Texas Register for a comment period, 00:40:37.730 --> 00:40:39.950 which ended on September 23rd. Staff recommends 00:40:39.962 --> 00:40:42.240 the Commission adopt the amendments with changes 00:40:42.240 --> 00:40:44.257 to the proposed text. As published in the 00:40:44.269 --> 00:40:46.540 August 23rd issue of the Register. The revised 00:40:46.540 --> 00:40:48.649 language retains the current fee amounts and 00:40:48.661 --> 00:40:50.640 removes references to calendar years 2017 00:40:50.640 --> 00:40:53.492 and 2018. May I answer any questions? 00:40:53.517 --> 00:40:57.270 Any questions? I move we approve the examiners 00:40:57.270 --> 00:40:58.777 recommendation. Is there a second? 00:40:58.802 --> 00:40:59.494 Second. 00:40:59.519 --> 00:41:01.570 Second by Commissioner Craddick. All in favor say aye. 00:41:01.570 --> 00:41:10.538 Any opposed? Motion passes. That item is approved. Item 439. 00:41:10.563 --> 00:41:13.920 Good morning, Chairman 00:41:13.920 --> 00:41:16.928 Commissioners. For the record, I'm Clay Wittle with 00:41:16.940 --> 00:41:19.670 the Oil and Gas division. I will be presenting 00:41:19.670 --> 00:41:23.811 items 439 and 440. Item 439 is the oilfield 00:41:23.823 --> 00:41:28.070 cleanup program fourth quarter status report 00:41:28.070 --> 00:41:31.428 for fiscal year 2019. During the fourth quarter 00:41:31.440 --> 00:41:34.670 of fiscal year 2019, plugging operations were 00:41:34.670 --> 00:41:40.273 completed and files were closed on 561 wells 00:41:40.285 --> 00:41:45.900 at a cost of $12,159,266. This includes only 00:41:45.900 --> 00:41:48.216 those wells that were plugged invoiced by 00:41:48.228 --> 00:41:50.500 the plugging contractor and approved for 00:41:50.500 --> 00:41:53.413 payment by field operations. During the same 00:41:53.425 --> 00:41:56.610 period, 365 new wells were approved for plugging 00:41:56.610 --> 00:41:59.868 with state funds. A total of 1717 wells 00:41:59.880 --> 00:42:03.570 were physically plugged during fiscal year 00:42:03.570 --> 00:42:09.941 2019 of which 1710 were closed at a cost of 00:42:09.953 --> 00:42:16.190 $34,942,911. Site remediations performance 00:42:16.190 --> 00:42:19.540 during the fourth quarter included 270 cleanup 00:42:19.552 --> 00:42:22.770 activities completed and closed at a cost of 00:42:22.770 --> 00:42:27.276 $9,139,175. 267 of these activities 00:42:27.288 --> 00:42:32.839 utilized oil and gas regulation and clean 00:42:32.839 --> 00:42:36.326 up funds while three activities used grant 00:42:36.338 --> 00:42:40.000 funds. An additional 109 new activities were 00:42:40.000 --> 00:42:43.031 approved during this same period. The fiscal 00:42:43.043 --> 00:42:45.950 year 2019 performance for site remediation 00:42:45.950 --> 00:42:51.238 included a total of 415 completed cleanup 00:42:51.250 --> 00:42:57.560 activities at a cost of $26,053,314. May I answer 00:42:57.560 --> 00:42:59.433 any questions? 00:42:59.458 --> 00:43:01.847 Are there any questions? 00:43:01.872 --> 00:43:02.667 No, 00:43:02.692 --> 00:43:04.343 No, thank you for that report. 00:43:04.368 --> 00:43:08.677 Thank you. Commissioners, Item 440 is the Oilfield 00:43:08.689 --> 00:43:13.010 Cleanup Program Annual report for fiscal year 2019. Texas Natural 00:43:13.010 --> 00:43:17.502 Resources code 81.069C requires the Commission 00:43:17.514 --> 00:43:21.730 to file an annual report to the Legislature 00:43:21.730 --> 00:43:24.766 for the oil and gas regulation and cleanup fund. 00:43:24.778 --> 00:43:27.640 This report covers the period from September 00:43:27.640 --> 00:43:31.166 1st 2018 through August 31st 2019 and 00:43:31.178 --> 00:43:35.290 contains information on the state managed 00:43:35.290 --> 00:43:38.449 plugging and cleanup programs, enforcement 00:43:38.461 --> 00:43:41.190 activities and financial information 00:43:41.190 --> 00:43:43.768 related to the programs. We recommend your 00:43:43.780 --> 00:43:46.310 approval of this report for submission to 00:43:46.310 --> 00:43:49.439 the Legislature. May I answer any questions? 00:43:49.464 --> 00:43:52.359 Are there any questions? Now you recommend, 00:43:52.359 --> 00:43:55.892 you ask for approval? Do we need to have a motion for an approval for this. 00:43:55.917 --> 00:43:57.070 Yes, sir. 00:43:57.070 --> 00:44:02.139 Okay. Okay, I move we approve the 00:44:02.151 --> 00:44:07.711 report as presented to the Legislature. Do I hear second? 00:44:07.736 --> 00:44:08.592 Second. 00:44:08.618 --> 00:44:10.960 Second by Commissioner 00:44:10.972 --> 00:44:13.551 Craddick. All in favor, say aye. Any opposed? 00:44:13.550 --> 00:44:24.800 Motion is approved. Thank you. Item 441. Oh, this appointment, this is, I'm 00:44:24.800 --> 00:44:28.258 sorry. This is appointment of a Commission 00:44:28.270 --> 00:44:31.740 secretary, and I'll recognize Commissioner 00:44:31.740 --> 00:44:33.345 Craddick on this. 00:44:33.370 --> 00:44:34.568 Me? 00:44:34.593 --> 00:44:37.269 Okay? It's the appointment of a Commission Secretary. 00:44:37.293 --> 00:44:38.160 That's you. 00:44:38.160 --> 00:44:42.103 That's me. 00:44:42.128 --> 00:44:45.079 I got nothing. 00:44:45.103 --> 00:44:49.758 You got nothing. Okay. Let 00:44:49.770 --> 00:44:53.930 me check my notes where we are. (mumbles) 00:44:53.930 --> 00:44:55.589 441, Commissioner Craddick. 00:44:55.614 --> 00:44:57.101 Yeah, but I did my part. 00:44:57.125 --> 00:44:59.950 You've already done that. You commended everybody. 00:44:59.950 --> 00:45:01.550 We put you out of order. 00:45:01.575 --> 00:45:06.349 Scratch that. My fault. Out of order. Okay, 00:45:06.349 --> 00:45:09.829 Item 442 is our public participation item. No one has turned. 00:45:09.854 --> 00:45:11.120 No, no, you gotta back 00:45:11.120 --> 00:45:11.604 to 441. 00:45:11.629 --> 00:45:12.642 We gotta make. 00:45:12.667 --> 00:45:17.070 So you've already made the motion to appoint a Commission secretary? 00:45:17.070 --> 00:45:19.144 no, I'll make the 00:45:19.156 --> 00:45:21.533 motion. I didn't know I was supposed to thyough. 00:45:21.558 --> 00:45:23.021 Yes, it's on my notes that you're supposed to. 00:45:23.020 --> 00:45:26.117 It's on my 00:45:26.129 --> 00:45:29.948 notes, see. Somebody screwed up on notes. 00:45:29.973 --> 00:45:35.700 When y'all get this figured out, wake me up. 00:45:35.700 --> 00:45:37.692 Okay. You make the motion. 00:45:37.717 --> 00:45:38.958 Okay, I move we appoint 00:45:38.970 --> 00:45:39.990 the Commission secretary. Is there 00:45:39.990 --> 00:45:41.495 a second? 00:45:41.520 --> 00:45:44.499 A second? Would you like to say her name? 00:45:44.524 --> 00:45:46.010 Is it me? Am I Commission Secretary? 00:45:46.010 --> 00:45:48.915 A promotion! 00:45:48.940 --> 00:45:55.458 But it's not all here. Okay, and the name is Callie? 00:45:55.483 --> 00:45:57.631 Okay. So Callie will be 00:45:57.630 --> 00:45:59.038 our new secretary. 00:45:59.063 --> 00:46:01.093 Is she here? Will you please 00:46:01.105 --> 00:46:03.261 stand up wherever you are? Thank you. Come to the front. 00:46:03.260 --> 00:46:08.453 We didn't, like, try to 00:46:08.465 --> 00:46:13.670 butcher that badly. That was a total accident. 00:46:13.670 --> 00:46:15.640 My fault. 00:46:15.665 --> 00:46:18.596 If we had a Commission 00:46:18.608 --> 00:46:21.550 secretary, we would have totally nailed that. 00:46:21.550 --> 00:46:23.885 You'll reroute every call I ever 00:46:23.897 --> 00:46:26.380 to somebody else, I know. I've screwed it up royally. 00:46:26.380 --> 00:46:29.498 Job Security. Isn't that awesome? 00:46:29.523 --> 00:46:31.947 I'm just glad to hear my name called. 00:46:31.972 --> 00:46:33.109 Christie's Commission secretary? 00:46:33.109 --> 00:46:35.199 Oh, I'm Commissioned secretary 00:46:35.224 --> 00:46:37.744 We're glad to have you. 00:46:37.769 --> 00:46:39.030 And I'm glad to be here. 00:46:39.030 --> 00:46:41.822 I'm very excited for the promotion, and I thoroughly 00:46:41.834 --> 00:46:44.109 enjoyed where I've been so far working for 00:46:44.109 --> 00:46:47.207 Danny Swells. And I'm very excited to be promoted 00:46:47.219 --> 00:46:49.770 to this position. So thank you very much 00:46:49.770 --> 00:46:52.035 for the opportunity. 00:46:52.060 --> 00:46:56.896 Thank you. 00:46:56.921 --> 00:46:58.830 No guarantee 00:46:58.830 --> 00:47:02.063 by precedent that you get a room named after you when you go. But you might. 00:47:02.088 --> 00:47:03.141 Thank you, Danny. 00:47:03.140 --> 00:47:05.990 for giving her to us. We appreciate it. Okay, 00:47:06.002 --> 00:47:08.740 so we've got a motion. And a second. Now we 00:47:08.740 --> 00:47:10.250 have to vote 00:47:10.275 --> 00:47:12.645 all in favor, say aye. Any 00:47:12.657 --> 00:47:14.780 opposed? Motion passes. Item is approved 00:47:14.780 --> 00:47:18.208 and congratulations. Thank you. All right, 00:47:18.220 --> 00:47:21.420 now it's item 442, I hope. Okay. No one 00:47:21.420 --> 00:47:25.143 has turned in cards indicating they wish to 00:47:25.155 --> 00:47:29.060 speaking any non posted items. So item 443 is 00:47:29.060 --> 00:47:31.341 our executive session item, which we will 00:47:31.353 --> 00:47:33.700 not be going into today, or we're going in 00:47:33.700 --> 00:47:35.821 there to approve the secretary? Do we need to do that today? 00:47:35.846 --> 00:47:36.830 No, we're done. We did it. 00:47:36.830 --> 00:47:41.930 Are there any other duly posted matters to be brought before the Commission 00:47:41.930 --> 00:47:45.418 this time? Okay. Hearing none. It's a Merry 00:47:45.430 --> 00:47:49.089 Christmas to all. And the Railroad Commission 00:47:49.089 --> 00:47:54.990 is adjourned.