WEBVTT

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<v ->Okay, good morning.</v>

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Welcome back.

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Nice to see everybody's shining faces in person, actually.

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All right, this meeting of the Railroad Commission of Texas

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will come to order to consider matters

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which have been duly posted

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with the Secretary of State for August 3rd, 2021,

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and our public participation policy,

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anyone desiring to offer public testimony on any items

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that are not noticed on today's agenda

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was required to register in advance

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and we didn't have anybody.

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So, the Commission will now consider items on the agenda

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that were posted.

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Item number one.

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And we've got some online, right?

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<v Woman>I believe the first four are by video.</v>

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<v ->Okay.</v>

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<v ->Yes, good morning, chairman and Commissioners.</v>

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For the record my name is Sarah Montoya Fogelsong

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and I'm representing the market oversight section

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of the Oversight and Safety Division.

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Item number one is case number 5921.

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The application filed by Atmos Energy Corporation

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for test year 2020 annual interim rate adjustment

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for the unincorporated areas of the Mid-Tex division.

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This case represents the third interim rate adjustment

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since the company's most recent rate case,

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GUD number 10742.

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The adjustment represents

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an incremental increase of $111,211,960

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of which $4,632,119 is recoverable from customers

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subject to the order in this case.

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The recommended adjustment does not include recovery

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of any costs associated with the winter weather event

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of February, 2021.

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Staff recommends approval of the interim rate adjustment,

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and I'm available to answer any questions.

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<v ->Thank you, Sarah, are there any questions?</v>

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All right, I move we approve the examiners recommendation.

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Is there a second?

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<v ->Second.</v>

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<v ->Second by Commissioner Christian,</v>

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all those in favor, say aye.

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<v ->Aye.</v>
<v ->Aye.</v>

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<v ->Motion passes, that item's approved.</v>

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Thank you.
<v ->Thank you.</v>

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And you've got number two.

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<v ->Agenda item number two</v>

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is gas utilities docket number 10980.

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The application filed by Border Pipeline, LLC,

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pursuant to Natural Gas Policy Act, Section 311

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for review of the reasonableness of the transportation rate.

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The applicant provided testimony and supporting data

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demonstrating that the requested rate

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does not exceed a cost-based rate.

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Staff recommends approval of the request of rate,

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and I'm available to answer any questions.

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<v ->Thank you, Sarah, are there any questions?</v>

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All right, I move we approve the examiner recommendation.

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Is there a second?
<v ->Second.</v>

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<v ->Second by Commissioner-</v>

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<v ->Wright.</v>

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(everyone laughing)

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<v ->Second by Commissioner Bright. (laughing)</v>

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I know, it's confusing.

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It's making me think this morning.

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All in favor, say aye.

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<v ->Aye.</v>
<v ->Aye.</v>

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<v ->Motion passes, that item's approved.</v>

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I do know your name.

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Thank you, Sarah.

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<v ->You're reaching the-</v>

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I'm sorry, you're no longer young.

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This happens to me as an old guy.

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<v ->It just happens to me.
(everyone laughing)</v>

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<v ->It could've been worse.</v>

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I didn't call you anything bad, that's a first.

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<v ->Almost, almost.</v>

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<v ->No.
(everyone laughing)</v>

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But you managed to switch sides, so the Wright on the right.

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All right, Sarah, you're number three, thanks.

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<v ->Okay. (chuckling)</v>

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Agenda item number three is case number 6942.

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The petition for review of municipal rate action

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at the city of El Paso regarding Texas Gas Services

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2020 interim rate adjustment.

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TGS filed their calendar year 2020 interim rate adjustment

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for the West Texas service area with both the Commission

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and the city of El Paso on March 12th, 2021.

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TGS's IRA at the Commission was assigned case number 6161.

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On June 22nd, the Commission approved case number 6161,

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which was the revised version

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of the company's 2020 interim rate adjustment.

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On June 21st, the city of El Paso issued a motion

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finding that rates identified

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in the company's revised application

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complied with Texas utilities code,

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but also denying TGS's request to implement those rates.

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Based on Commission staff's previous review,

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the Commission approval of case number 6161,

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it is reasonable that the Commission approved TGS's appeal

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and order TGS to institute the same calendar year

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2020 IRA rates in the incorporated areas

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of the city of El Paso.

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Staff recommends approval of this petition for review

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and I'm available to answer any questions.

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<v ->Thank you, are there any questions?</v>

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We also have, Mrs. Norman is preregistered

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if there's any questions of her.

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All right?

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I move we approve the examiners recommendation,

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is there a second?
<v ->Second.</v>

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<v ->Second by Commissioner Christian.</v>

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All those in favor, say aye.

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<v ->Aye.</v>
<v ->Aye.</v>

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Motion passes, that item's approved.

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All right, number four, Sarah.

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<v ->Agenda item number four is case number 5306.</v>

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The application filed by Permian Highway Pipeline, LLC

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pursuant to Natural Gas Policy Act, Section 311,

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for the review of the reasonableness

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of a transportation rate.

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The applicant provided testimony and supporting data

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demonstrating that the requested rate

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does not exceed a cost-based rate.

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Staff recommends approval of the requested rate.

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I'm available to answer any questions you may have.

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<v ->Thank you, are there any questions?</v>

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All right, I move we approve the examiner's recommendation.

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Is there a second?

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<v Wright>Second.</v>

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<v ->Second by Commissioner Wright.</v>

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All in favor, say aye.

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<v ->Aye.</v>
<v ->Aye.</v>

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Motion passes, that items are approved.

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Thank you, Sarah.

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<v Sarah>Thank you.</v>

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All right, item number five.

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John, good morning.

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That looks fancy.

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<v ->It is.</v>

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I've got one over here.

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<v ->Yeah, did you not notice?</v>

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<v ->No, I was sitting right, I was looking at you.</v>

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Didn't see the thing,

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I didn't know they gave me one over here.

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<v ->See, you gotta get back in the groove, right?</v>

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<v ->In stereo.</v>
<v ->That's right.</v>

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Good morning.
<v ->Good morning.</v>

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<v John>Good morning, chairman and Commissioners.</v>

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I'm Administrative Law Judge, John Dotson,

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with the Hearings division.

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Item 5, 5136 consolidated.

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It is a gas utility rate case

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that resulted in a settlement by the parties.

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Applicant CoServ seeks a rate increase

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for the utility service it provides it's Texas customers

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based on the cost of providing service.

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Commission staff intervened as well as

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the steering committee of city served by CoServ.

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Ultimately, the parties reached a settlement,

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resolving all issues and agreeing to a reduced,

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settled annual revenue amount for CoServ

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totaling $6.25 million.

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On July 7th, the proposal for decision was issued by the ALJ

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formally assigned to this case with no exceptions filed.

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Consistent with the PFD,

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the recommendation is to approve the settlement,

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and today is the last scheduled conference

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prior to the deadline for Commission action.

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I'm available for questions.

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<v Chairman>Thank you, John.</v>

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Are there any questions at John?

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<v Wright>No.</v>

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<v Chairman>We also have someone from CoServ here</v>

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that's preregistered and ready for questions

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if there are any questions of him.

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All right, I move we approve the examiner's recommendation.

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Is there a second?

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<v ->Second.</v>

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<v ->Second by Commissioner Christian,</v>

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all those in favor, say aye.

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<v ->Aye.</v>
<v ->Aye.</v>

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Motion passes, that item's approved, and number six.

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<v John>Item six, GUD 10606 involves discrimination claims</v>

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by prospective shippers, SINOC, against Williams,

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a gas gathering utility pipeline.

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The original PFD was issued last year

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and found multiple acts

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of unlawful discrimination by Williams.

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At the March 4th conference last year,

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the Commission remanded this case for further consideration

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and to reopen the hearing to give the parties

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the opportunity to further develop the record

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with respect to certain shipper comparisons

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specified in the remand order.

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Consistent with the remand order,

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the hearing was reopened in September,

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and SINOC and Williams both did offer

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a considerable volume of new evidence,

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including additional expert witness testimony.

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On June 29th, a supplemental PFD was issued

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that provided the analysis requested in the remand order.

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There was no change of the recommendation for final action.

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The discrimination found pertains to approximately

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$1.6 billion in capital expenditures made by Williams

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and the performance of it's gathering contract

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with its anchor shipper, Chesapeake,

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before SINOC was a customer.

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For the attempted recovery by Williams

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of these past expenses,

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the findings of the supplemental PFD are

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SINOC is not similarly situated to Chesapeake,

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Ex-Co is not similarly situated to Chesapeake,

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SINOC is not similarly situated to Ex-Co,

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and SINOC and Ex-Co both are similarly situated

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to comparison shippers 14, 15, 27 and 33.

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Williams timely filed exceptions to the supplemental PFD

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and SINOC timely filed a reply.

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All filings were reviewed and carefully considered.

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The findings, conclusions, and analysis

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in both the original PFD

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and supplemental PFD are maintained.

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I'm available for questions.

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<v ->Thank you, are there any questions?</v>

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And we do have some people that are pre-registered as well.

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Will we hear from anybody?

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<v ->No.</v>

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<v ->Madam chairman, if it's appropriate,</v>

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I believe this, as the judge is present,

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is a very complex case and quite frankly,

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my staff and I would like a little more time

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to look into this, so I'd like to request

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that we pass this item to the August 24th calendar.

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<v ->I think that that's appropriate,</v>

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I would like to continue reviewing it too.

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Thank you, John.

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<v John>Thank you</v>

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<v ->All right, we've got item number seven.</v>

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Good morning, Veronica.

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<v ->Good morning, chairman, Commissioner.</v>

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Veronica Roberto, Administrative Law Judge

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with the Hearings division.

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Item number seven is the application

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by Luminant Mining Company requesting release

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of phase two and three reclamation obligations

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on 497.38 acres within CACI mine, permit number 50 C

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located in Limestone and Robertson county.

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The approved post-mine land use for the subject area

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is pasture land and developed water resources.

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Evidence in the record supports that Luminant has satisfied

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all requirements for the various phases of release.

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After notice, no comments or requests

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for a hearing were received.

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Luminant staff are the only parties to the proceeding.

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No exceptions were filed, no changes to the current bond

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are requested in this docket.

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It is recommended that the request for release be approved

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and that Luminant be eligible to reduce

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the amount of bond for this permit.

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I'm available for questions.

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<v ->Thank you, are there any questions?</v>

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Right, I move we approve the examiner's recommendations.

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Is there are second?
<v ->Second.</v>

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Second by Commissioner Wright.

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All those in favor, say aye.

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<v ->Aye.</v>
<v ->Aye.</v>

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<v ->Let's see, motion passes, that item's approved</v>

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and you've got the next one.

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<v ->Item number eight is the application</v>

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by the Sabinee Mining Company

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for release of phase one reclamation obligations

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on 269.3 acres within Russ mine,

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permit number 55 A, located in Harrison,

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Rusk, and Panola counties.

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Evidence in the record supports that Sabinee has satisfied

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all the requirements for phase one release.

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After notice, no comments or requests

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for a hearing were received.

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Sabine and staff are the only parties to the proceeding.

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No exceptions were filed,

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no changes to the current bond are requested,

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it is recommended that the request for a release be approved

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and that Sabine be eligible

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to reduce the amount of bond for this permit.

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I'm available for questions.

00:11:18.946 --> 00:11:21.090
<v ->Thank you, Veronica, are there any questions?</v>

00:11:21.090 --> 00:11:23.280
Right, I move we approve the examiner's recommendations.

00:11:23.280 --> 00:11:25.120
Is there are second?
<v ->Second.</v>

00:11:25.120 --> 00:11:26.420
Second by Commissioner Christian.

00:11:26.420 --> 00:11:27.636
All those in favor, say aye.

00:11:27.636 --> 00:11:28.830
<v ->Aye.</v>
<v ->Aye.</v>

00:11:28.830 --> 00:11:30.290
Motion passes, that item's approved.

00:11:30.290 --> 00:11:31.647
Thank you very much.

00:11:31.647 --> 00:11:33.543
All right, item number nine.

00:11:38.340 --> 00:11:40.120
<v ->Good morning, chairman and Commissioners.</v>

00:11:40.120 --> 00:11:41.350
My name is Austin Gascamp,

00:11:41.350 --> 00:11:44.010
Technical Examiner for the Hearings division.

00:11:44.010 --> 00:11:45.520
Item number nine is the application

00:11:45.520 --> 00:11:47.490
of Abraxis Petroleum Corporation

00:11:47.490 --> 00:11:51.260
pursuant to Statewide rule 46 for a permit to inject fluid

00:11:51.260 --> 00:11:53.550
into a reservoir productive of oil gas

00:11:53.550 --> 00:11:58.100
for the 9406 JVP Taurus Leads well number one

00:11:58.100 --> 00:12:01.720
in the Taurus Devonian Field in Ward County, Texas.

00:12:01.720 --> 00:12:03.750
This non-commercial well will be used to dispose

00:12:03.750 --> 00:12:06.790
of Abraxis' produced water and reduce its disposal

00:12:06.790 --> 00:12:09.740
and transport costs, thereby reducing operating costs

00:12:09.740 --> 00:12:12.340
and extending the life of producing wells it serves.

00:12:13.470 --> 00:12:14.850
Protestant, Leon Greenblatt,

00:12:14.850 --> 00:12:17.310
contends the proposed injection wells surface casing

00:12:17.310 --> 00:12:19.080
does not extend to the depths

00:12:19.080 --> 00:12:22.380
where the Capitan Reef is stratographically located,

00:12:22.380 --> 00:12:24.930
and therefore the proposed injection well will not be

00:12:24.930 --> 00:12:27.980
protective of the Capitan Reef aquifer.

00:12:27.980 --> 00:12:30.510
Abraxis presented evidence that the fluids injected

00:12:30.510 --> 00:12:33.680
into the Devonian formation would be confined

00:12:33.680 --> 00:12:37.120
by the Woodford shale located above and the Cilirian shale

00:12:37.120 --> 00:12:39.510
located beneath the proposed injection interval.

00:12:39.510 --> 00:12:41.240
Abraxis maintained in the hearing

00:12:41.240 --> 00:12:43.500
that the proposed well casing has met

00:12:44.470 --> 00:12:46.540
Statewide rule 13 requirements

00:12:46.540 --> 00:12:49.010
to protect usable quality water with surface

00:12:49.010 --> 00:12:50.980
and intermediate casing and cement

00:12:50.980 --> 00:12:54.630
from the surface to a depth at 12,569 feet.

00:12:54.630 --> 00:12:56.260
The examiners recommend approval

00:12:56.260 --> 00:12:59.020
of Abraxis Petroleum Corporation's application,

00:12:59.020 --> 00:13:00.620
and I'm available for questions.

00:13:02.060 --> 00:13:03.540
<v Chairman>Thank you, are there any questions?</v>

00:13:03.540 --> 00:13:06.703
<v ->Chairman, I need to recuse myself from this one.</v>

00:13:06.703 --> 00:13:09.540
This is a case that my general counsel worked on,

00:13:09.540 --> 00:13:10.858
Christopher Hotchkiss,

00:13:10.858 --> 00:13:13.640
and just don't feel good about voting on that,

00:13:13.640 --> 00:13:17.530
so although I'd be impartial, I'm asked to be recused.

00:13:17.530 --> 00:13:19.770
<v ->Okay, I appreciate that, thank you.</v>

00:13:19.770 --> 00:13:20.603
Are there any other questions?

00:13:20.603 --> 00:13:21.436
<v ->No.</v>

00:13:21.436 --> 00:13:22.767
<v ->All right.</v>

00:13:22.767 --> 00:13:24.270
I move we approve the examiners recommendation.

00:13:24.270 --> 00:13:25.600
Is there a second?
<v ->Second.</v>

00:13:25.600 --> 00:13:27.140
<v ->Second by Commissioner Christian.</v>

00:13:27.140 --> 00:13:28.260
All those in favor, say aye.

00:13:28.260 --> 00:13:29.330
<v ->Aye.</v>
<v ->Aye.</v>

00:13:29.330 --> 00:13:33.070
Motion passes with one extension, that items approved.

00:13:33.070 --> 00:13:34.470
Thank you very much, Austin.

00:13:41.123 --> 00:13:42.030
Good morning, Christie.

00:13:42.030 --> 00:13:43.390
<v ->Good morning.</v>

00:13:43.390 --> 00:13:44.980
Chairman, Commissioners, Christy Reeve,

00:13:44.980 --> 00:13:47.330
Administrative Law Judge with the Hearings division.

00:13:47.330 --> 00:13:51.250
I'll be presenting items number 10 through 12.

00:13:51.250 --> 00:13:54.530
Item number 10 is the results of an application for a waiver

00:13:54.530 --> 00:13:56.350
or as is allowed by the rule,

00:13:56.350 --> 00:14:00.440
an exception to Statewide rule 86-G6,

00:14:00.440 --> 00:14:04.490
which requires drilled plats or astral plats to be certified

00:14:04.490 --> 00:14:07.150
by a registered professional land surveyor

00:14:07.150 --> 00:14:09.163
or registered professional engineer.

00:14:10.050 --> 00:14:11.930
Rocking Horse requested to be able to use

00:14:11.930 --> 00:14:14.900
the same land surveyor who provided the plats

00:14:14.900 --> 00:14:16.060
for the drilling permits,

00:14:16.060 --> 00:14:19.530
who is not a registered professional land surveyor.

00:14:19.530 --> 00:14:22.960
Statewide rule 86-H allows for an exception

00:14:22.960 --> 00:14:26.150
to prevent waste, prevent confiscation,

00:14:26.150 --> 00:14:28.320
or protect corelative rights.

00:14:28.320 --> 00:14:31.050
Rocking Horse failed to provide any evidence to support

00:14:31.050 --> 00:14:33.410
that it qualified for an exception.

00:14:33.410 --> 00:14:37.060
It is recommended the Commission deny Rocking Horse request.

00:14:37.060 --> 00:14:39.840
No exceptions were filed to the proposal for decision

00:14:39.840 --> 00:14:41.977
and I'm available for questions.

00:14:41.977 --> 00:14:44.414
<v ->Thank you, are there any questions?</v>

00:14:44.414 --> 00:14:46.540
All right, I move we approve the examiner's recommendations.

00:14:46.540 --> 00:14:47.876
Is there are second?

00:14:47.876 --> 00:14:48.709
<v ->Second.</v>

00:14:48.709 --> 00:14:49.860
<v ->Second by Commissioner Wright.</v>

00:14:49.860 --> 00:14:51.250
All those in favor, say aye.

00:14:51.250 --> 00:14:52.610
<v ->Aye.</v>
<v ->Aye.</v>

00:14:52.610 --> 00:14:54.123
Motion passed, that item's approved.

00:14:54.123 --> 00:14:56.920
And 11 and 12 you're doing together.

00:14:56.920 --> 00:14:57.753
<v ->Yes ma'am, I am</v>

00:14:57.753 --> 00:14:58.586
<v Chairman>Great.</v>

00:14:58.586 --> 00:15:00.760
<v ->And they will only require one vote as it's one order.</v>

00:15:00.760 --> 00:15:01.660
<v Chairman>Okay.</v>

00:15:02.900 --> 00:15:06.320
<v ->Tisuki Oil and Gas filed two single signature P4s</v>

00:15:06.320 --> 00:15:07.940
seeking to be designated the operator

00:15:07.940 --> 00:15:09.490
of the subject leases.

00:15:09.490 --> 00:15:11.080
The current operator of record,

00:15:11.080 --> 00:15:14.180
True Star Operating Company, filed a protest.

00:15:14.180 --> 00:15:15.530
True Star failed to provide

00:15:15.530 --> 00:15:19.210
a reasonably satisfactory showing of a good faith claim.

00:15:19.210 --> 00:15:21.940
Additionally, True Star's P5 organization report

00:15:21.940 --> 00:15:24.873
is delinquent, prohibiting True Star from operating.

00:15:25.757 --> 00:15:28.400
Tisuki provided a reasonably satisfactory showing

00:15:28.400 --> 00:15:31.170
of a good faith claim, sufficient to be named the operator

00:15:31.170 --> 00:15:33.630
of record of the leases and wells.

00:15:33.630 --> 00:15:36.020
It is recommended the Commission find Tisuki

00:15:36.020 --> 00:15:38.360
has provided a reasonably satisfactory showing

00:15:38.360 --> 00:15:40.090
of a good faith claim

00:15:40.090 --> 00:15:42.460
and approve to suit these applications.

00:15:42.460 --> 00:15:45.560
No exceptions were filed, I'm available for questions.

00:15:45.560 --> 00:15:47.770
<v Chairman>Thank you, are there any questions?</v>

00:15:47.770 --> 00:15:50.160
Right, I move we approve the examiner's recommendations

00:15:50.160 --> 00:15:51.810
for items 11 and 12.

00:15:51.810 --> 00:15:53.210
Is there are second?
<v ->Second.</v>

00:15:53.210 --> 00:15:54.730
Second by Commissioner Christian.

00:15:54.730 --> 00:15:55.810
All those in favor, say aye.

00:15:55.810 --> 00:15:56.930
<v ->Aye.</v>
<v ->Aye.</v>

00:15:56.930 --> 00:15:58.780
Motion passes, those items are approved.

00:15:58.780 --> 00:15:59.819
Thank you.

00:15:59.819 --> 00:16:01.652
<v Chritie>Thank you.</v>

00:16:04.020 --> 00:16:05.227
<v ->13, 14.</v>

00:16:05.227 --> 00:16:06.120
Good morning, Jennifer.

00:16:06.120 --> 00:16:07.480
<v Jennifer>Good morning, chairman and Commissioners.</v>

00:16:07.480 --> 00:16:08.313
<v ->Good morning.</v>

00:16:08.313 --> 00:16:10.160
<v ->I am Jennifer Cook, Administrative Law Judge,</v>

00:16:10.160 --> 00:16:12.150
with the Hearings division.

00:16:12.150 --> 00:16:14.290
I am presenting items 13 and 14 together

00:16:14.290 --> 00:16:17.393
and both are in one order and require one vote.

00:16:18.250 --> 00:16:22.300
In items 13 and 14 Lonestar Mineral Development, LLC

00:16:22.300 --> 00:16:24.930
filed single signature form P4s request

00:16:24.930 --> 00:16:28.223
to get the designated operator for the subject wells.

00:16:29.070 --> 00:16:32.910
Dallas Petroleum Group, LLC, the current operator of record

00:16:32.910 --> 00:16:35.773
protests the requested transfers to Lonestar.

00:16:36.780 --> 00:16:39.700
Lonestar maintained it has oil and gas leases

00:16:39.700 --> 00:16:43.280
covering the mineral interest where the wells are located.

00:16:43.280 --> 00:16:47.270
It also asserts Dallas Petroleum has no mineral rights,

00:16:47.270 --> 00:16:48.630
does not end the surface track

00:16:48.630 --> 00:16:50.730
and thus does not have a good faith claim.

00:16:51.890 --> 00:16:54.760
Dallas Petroleum acknowledges the contractual leases

00:16:54.760 --> 00:16:59.760
relied upon in the past to operate the wells has terminated

00:16:59.760 --> 00:17:02.753
and there has been no production since 2015.

00:17:03.650 --> 00:17:07.460
Instead, Dallas Petroleum claims it owns the surface tract

00:17:07.460 --> 00:17:10.350
where the wells are located and owns the well bores

00:17:10.350 --> 00:17:11.620
and plans to use the wells

00:17:11.620 --> 00:17:14.373
for commercial disposal or water wells,

00:17:15.370 --> 00:17:18.100
however, the documentation relied on by Dallas Petroleum

00:17:18.100 --> 00:17:22.050
does not identify or describe any surface tract

00:17:22.050 --> 00:17:24.000
on the list of assets conveyed,

00:17:24.000 --> 00:17:26.820
it does not describe the surface tract issue.

00:17:26.820 --> 00:17:30.513
It is also not signed by the owner of the tract, Sanchez.

00:17:31.701 --> 00:17:33.350
Sanchez denies it conveyed

00:17:33.350 --> 00:17:35.740
the surface tract to Dallas Petroleum.

00:17:35.740 --> 00:17:38.226
Sanchez continued to pay the property taxes

00:17:38.226 --> 00:17:43.226
on the surface tract after the alleged conveyance in 2017

00:17:43.480 --> 00:17:45.650
and through 2020.

00:17:45.650 --> 00:17:48.890
Dallas Petroleum did not attempt to pay property tax

00:17:48.890 --> 00:17:51.740
on the surface until the month of the hearing of this case,

00:17:51.740 --> 00:17:53.543
which was January, 2021.

00:17:54.670 --> 00:17:56.120
It is recommended that the Commission

00:17:56.120 --> 00:17:58.520
find Dallas Petroleum did not provide

00:17:58.520 --> 00:18:01.144
a reasonably satisfactory showing it has a good faith claim

00:18:01.144 --> 00:18:03.140
to operate the wells.

00:18:03.140 --> 00:18:05.750
Lonestar did establish a good faith claim

00:18:05.750 --> 00:18:09.190
to operate the wells and approve Lonestar's applications

00:18:09.190 --> 00:18:11.320
to transfer the wells to Lonestar

00:18:11.320 --> 00:18:13.683
as the Commission operator of record.

00:18:13.683 --> 00:18:17.380
(indistinct) were filed and I'm available for questions.

00:18:17.380 --> 00:18:19.830
<v ->Thank you. Are there any questions at Jennifer?</v>

00:18:20.670 --> 00:18:22.170
Right, and we also have some people

00:18:22.170 --> 00:18:24.743
from Dallas Petroleum that are preregistered,

00:18:24.743 --> 00:18:26.613
does anybody have any questions at them?

00:18:27.470 --> 00:18:29.880
Right, I move we approve the examiner's recommendation

00:18:29.880 --> 00:18:31.849
for items 13 and 14.

00:18:31.849 --> 00:18:33.320
Is there are second?
<v ->Second.</v>

00:18:33.320 --> 00:18:34.710
<v ->Second by Commissioner Wright.</v>

00:18:34.710 --> 00:18:36.003
All those in favor, say aye.

00:18:36.003 --> 00:18:37.170
<v ->Aye.</v>
<v ->Aye.</v>

00:18:37.170 --> 00:18:38.830
Motion passes, those items are approved.

00:18:38.830 --> 00:18:40.085
Thank you, Jennifer.

00:18:40.085 --> 00:18:40.918
Item 15.

00:18:43.414 --> 00:18:45.870
Good morning, Joe.

00:18:45.870 --> 00:18:47.797
<v Joe>Good morning, chairman, Commissioners,</v>

00:18:47.797 --> 00:18:49.740
and for the record, Joe Minafee,

00:18:49.740 --> 00:18:51.920
paralegal with the Hearings division.

00:18:51.920 --> 00:18:55.560
I'll be presenting items 15 through 17,

00:18:55.560 --> 00:18:58.833
all of which are P5 motions for rehearing

00:18:58.833 --> 00:19:01.500
filed as a result of a final order,

00:19:01.500 --> 00:19:04.720
denying renewal of the operators P5

00:19:04.720 --> 00:19:09.000
because of wells noncompliant with Statewide rule 15.

00:19:09.000 --> 00:19:12.540
Item number 15, in its motion for rehearing,

00:19:12.540 --> 00:19:16.140
Womack Operating, LLC states its failure

00:19:16.140 --> 00:19:19.770
to request a hearing was due to its inability

00:19:19.770 --> 00:19:22.920
to maintain at full-time staff,

00:19:22.920 --> 00:19:26.510
that compliance is eminent, and that granting the rehearing

00:19:26.510 --> 00:19:29.040
will not delay or injure their Commission.

00:19:29.040 --> 00:19:33.640
Staff opposes the motion, one well remains noncompliant

00:19:33.640 --> 00:19:38.640
with Statewide rule 15 due to an H-15 related issue.

00:19:39.000 --> 00:19:41.390
It is recommended the motion be denied.

00:19:41.390 --> 00:19:44.270
The motion will be overruled by operation of law

00:19:44.270 --> 00:19:46.140
on September 16th.

00:19:46.140 --> 00:19:47.870
I'm available for questions.

00:19:47.870 --> 00:19:50.020
<v ->Thank you, are there any questions?</v>

00:19:50.020 --> 00:19:52.410
I move we approve the examiner's recommendation.

00:19:52.410 --> 00:19:53.617
Is there a second?

00:19:53.617 --> 00:19:54.450
<v ->Second.</v>

00:19:54.450 --> 00:19:55.780
<v ->Second by Commissioner Christian.</v>

00:19:55.780 --> 00:19:57.176
All in favor, say aye.

00:19:57.176 --> 00:19:58.180
<v ->Aye.</v>
<v ->Aye.</v>

00:19:58.180 --> 00:19:59.787
Motion passes, that item's approved.

00:19:59.787 --> 00:20:01.530
Number 16

00:20:01.530 --> 00:20:02.900
<v ->Item number 16.</v>

00:20:02.900 --> 00:20:07.900
In it's motion for rehearing, Amen Oil, LLC states

00:20:07.990 --> 00:20:11.980
that it is almost compliant and that they should have

00:20:11.980 --> 00:20:16.370
all documentation and payments made very shortly.

00:20:16.370 --> 00:20:18.630
Staff opposes the motion,

00:20:18.630 --> 00:20:23.180
25 Wells remain noncompliant with Statewide rule 15.

00:20:23.180 --> 00:20:25.730
It is recommended the motion be denied.

00:20:25.730 --> 00:20:27.050
The motion will be overruled

00:20:27.050 --> 00:20:30.350
by operation of law on September 16th.

00:20:30.350 --> 00:20:31.750
I'm available for questions.

00:20:32.800 --> 00:20:33.633
<v Chairman>Thank you, Joe.</v>

00:20:33.633 --> 00:20:36.690
Originally it had 47, so they've gotten some done?

00:20:36.690 --> 00:20:37.523
<v ->They did.</v>

00:20:37.523 --> 00:20:38.356
<v Chairman>Okay.</v>

00:20:38.356 --> 00:20:40.820
All right, thank you are there any other questions?

00:20:40.820 --> 00:20:43.260
Right, I move we approve the examiner's recommendations.

00:20:43.260 --> 00:20:45.453
Is there are second?
<v ->Second.</v>

00:20:45.453 --> 00:20:46.450
<v ->Second by Commissioner Wright.</v>

00:20:46.450 --> 00:20:47.809
All those in favor, say aye.

00:20:47.809 --> 00:20:50.080
<v ->Aye.</v>
<v ->Aye.</v>

00:20:50.080 --> 00:20:51.503
Motion passes, that item's approved.

00:20:51.503 --> 00:20:53.360
Item number 17.

00:20:53.360 --> 00:20:54.653
<v ->Item number 17.</v>

00:20:54.653 --> 00:20:58.920
In it's motion for rehearing, Bacon Energy states

00:20:58.920 --> 00:21:01.470
it has gathered all the paperwork,

00:21:01.470 --> 00:21:06.030
but neglected to complete all required obligations.

00:21:06.030 --> 00:21:08.310
Staff opposes the motion,

00:21:08.310 --> 00:21:12.730
43 Wells remain noncompliant with Statewide rule 15.

00:21:12.730 --> 00:21:15.090
It is recommended the motion be denied.

00:21:15.090 --> 00:21:16.440
The motion will be overruled

00:21:16.440 --> 00:21:19.830
by operation of law on September 16th.

00:21:19.830 --> 00:21:21.550
I'm available for questions.

00:21:21.550 --> 00:21:23.500
<v ->Thank you, are there any questions?</v>

00:21:23.500 --> 00:21:25.810
Right, I move we approve the examiner's recommendations.

00:21:25.810 --> 00:21:27.180
Is there are second?
<v ->Second.</v>

00:21:27.180 --> 00:21:28.730
<v ->Second by Commissioner Christian.</v>

00:21:28.730 --> 00:21:29.993
All those in favor, say aye.

00:21:29.993 --> 00:21:30.826
<v ->Aye.</v>
<v ->Aye.</v>

00:21:30.826 --> 00:21:32.510
<v ->Motion passes that item through.</v>

00:21:32.510 --> 00:21:33.343
Thank you.

00:21:34.590 --> 00:21:39.160
All right, let's move to the oil and gas Consent Agenda.

00:21:39.160 --> 00:21:44.071
Those are items 18 through 150 and we've got

00:21:44.071 --> 00:21:46.880
before we get down on these items,

00:21:46.880 --> 00:21:50.460
we've got somebody here to testify if we need

00:21:50.460 --> 00:21:53.621
on items 48 through 52,

00:21:53.621 --> 00:21:56.190
is there gonna be any questions on those?

00:21:56.190 --> 00:22:01.190
All right, so we've got items 18 through 150.

00:22:01.922 --> 00:22:03.083
Are there any questions or comments?

00:22:04.190 --> 00:22:06.890
<v ->I have some comments on these, chairman,</v>

00:22:06.890 --> 00:22:08.890
I know that comes as a shock to you, but

00:22:11.059 --> 00:22:12.960
I just want to say first the good news,

00:22:12.960 --> 00:22:14.950
there were multiple operators who have reduced

00:22:14.950 --> 00:22:18.110
their flaring volumes by upwards of 98%.

00:22:18.110 --> 00:22:20.380
In addition, the examiners are doing a great job

00:22:20.380 --> 00:22:22.980
of reducing the exception terms.

00:22:22.980 --> 00:22:25.020
From a commonly requested two year term

00:22:25.020 --> 00:22:28.460
down to an 18 month term or even a 12 month term.

00:22:28.460 --> 00:22:30.700
Shorter terms allow the Commission to better understand

00:22:30.700 --> 00:22:33.914
the direction the operator's heading with regard to flaring.

00:22:33.914 --> 00:22:36.360
Next, the potentially good news,

00:22:36.360 --> 00:22:39.900
several operators specifically in items number 23,

00:22:39.900 --> 00:22:43.240
32 through 34, 48 through 52,

00:22:43.240 --> 00:22:45.980
all specifically include the intention of connecting

00:22:45.980 --> 00:22:49.460
with a midstream takeaway operator in the near future.

00:22:49.460 --> 00:22:52.120
While this is potentially very promising,

00:22:52.120 --> 00:22:55.320
we need to ensure these connections actually happen.

00:22:55.320 --> 00:22:58.290
Therefore, I'm asking the respective examiners

00:22:58.290 --> 00:23:01.610
for those items to follow up with these particular operators

00:23:01.610 --> 00:23:04.380
and let me know when the connections are made.

00:23:04.380 --> 00:23:06.360
What happens in this querying exception term

00:23:06.360 --> 00:23:08.980
may affect whether future exceptions are granted,

00:23:08.980 --> 00:23:11.510
at least as far as I'm concerned.

00:23:11.510 --> 00:23:13.500
Finally, the less than good news,

00:23:13.500 --> 00:23:15.900
there was at least one instance in item number 90

00:23:15.900 --> 00:23:17.700
in which the operator is not connected

00:23:17.700 --> 00:23:20.240
to a takeaway provider, at least in part

00:23:20.240 --> 00:23:24.420
because there are contaminants in it's natural gas.

00:23:24.420 --> 00:23:26.590
According to the materials in our binder,

00:23:26.590 --> 00:23:29.080
the operator has clearly investigated options

00:23:29.080 --> 00:23:30.940
for the marketing of it's gas,

00:23:30.940 --> 00:23:35.070
but has not as of yet found any solutions.

00:23:35.070 --> 00:23:39.790
I would strongly suggest that if this operator

00:23:39.790 --> 00:23:42.280
cannot fully utilize it's gas for lease use,

00:23:42.280 --> 00:23:47.130
that it contact a third vendor to help utilize its gas

00:23:47.130 --> 00:23:49.330
for useful purposes,

00:23:49.330 --> 00:23:52.080
otherwise the gas is simply being wasted.

00:23:52.080 --> 00:23:54.420
I'm not inclined to vote to consistently approve

00:23:54.420 --> 00:23:57.720
a flaring exception where no improvement is noted.

00:23:57.720 --> 00:23:59.050
That's my comments.

00:23:59.050 --> 00:24:00.060
<v Chairman>Thank you.</v>

00:24:00.060 --> 00:24:01.273
<v Christian>Madam chairman.</v>

00:24:02.589 --> 00:24:04.560
<v ->I want Commissioner Wright,</v>

00:24:04.560 --> 00:24:06.165
you might want to meet him before the day's out.

00:24:06.165 --> 00:24:07.480
I know, I know,
(everyone laughing)

00:24:07.480 --> 00:24:08.870
<v ->But he's on the left side.</v>

00:24:08.870 --> 00:24:11.610
<v ->That's true, we hadn't met in person I think in forever,</v>

00:24:11.610 --> 00:24:12.880
so if you see him,

00:24:12.880 --> 00:24:13.713
<v ->18 months.</v>
<v ->That's right.</v>

00:24:13.713 --> 00:24:15.910
Anyhow, I appreciate the work he's doing

00:24:15.910 --> 00:24:19.300
in the monitoring over this and flaring has been an issue,

00:24:19.300 --> 00:24:24.300
but I want to express my appreciation to the industry,

00:24:24.353 --> 00:24:25.730
to the work they're doing

00:24:25.730 --> 00:24:27.690
and to the railroad Commission staff

00:24:27.690 --> 00:24:30.040
and point out that over the last three years,

00:24:30.040 --> 00:24:32.190
we have reduced flaring in the state of Texas,

00:24:32.190 --> 00:24:35.320
the entire state, by over 1% a year.

00:24:35.320 --> 00:24:38.260
And the last I was reported to about a month or so ago,

00:24:38.260 --> 00:24:40.450
right now, flaring allowed in the state of Texas

00:24:40.450 --> 00:24:42.270
of all of the natural gas being produced

00:24:42.270 --> 00:24:45.220
is seven hundredths of 1%.

00:24:45.220 --> 00:24:50.220
And I wanted to make that a issue is that they have invented

00:24:51.410 --> 00:24:53.720
on Wall Street called environmentally social

00:24:53.720 --> 00:24:56.990
and governance funds that have withdrawn at last count,

00:24:56.990 --> 00:24:59.430
over 17 trillion with a tenant,

00:24:59.430 --> 00:25:01.701
one third of them cash available from banks

00:25:01.701 --> 00:25:04.600
and from financial companies have been removed

00:25:04.600 --> 00:25:06.774
from access by the oil and gas industry

00:25:06.774 --> 00:25:09.170
over largely the argument

00:25:09.170 --> 00:25:12.970
that we are polluting the environment through flaring.

00:25:12.970 --> 00:25:15.020
And when you sit back and look at the facts of this,

00:25:15.020 --> 00:25:17.140
that seven hundredths of 1%,

00:25:17.140 --> 00:25:19.280
the railroad Commissioner, right?

00:25:19.280 --> 00:25:21.680
All of us are doing the right thing for flaring

00:25:21.680 --> 00:25:25.380
by decreasing it and while there is definitely something

00:25:25.380 --> 00:25:27.060
we will continue to control,

00:25:27.060 --> 00:25:29.790
the evidence is that industry is controlling

00:25:29.790 --> 00:25:32.400
and decreasing flaring as we speak.

00:25:32.400 --> 00:25:34.360
So we're headed in the right direction

00:25:34.360 --> 00:25:35.690
and I just want point out,

00:25:35.690 --> 00:25:40.690
when the extremists have to use seven hundredths of 1%

00:25:42.080 --> 00:25:44.560
as a reason to condemn the oil and gas industry,

00:25:44.560 --> 00:25:48.900
it shows how empty their scalberts are for any true guns

00:25:48.900 --> 00:25:51.220
or weapons against us at this point,

00:25:51.220 --> 00:25:55.347
and there is reason to question all of the quote,

00:25:55.347 --> 00:25:58.880
"settled science" that our constituents are hearing.

00:25:58.880 --> 00:26:01.830
And I would encourage our industry, our companies,

00:26:01.830 --> 00:26:04.460
to put on their big boy and girl witches,

00:26:04.460 --> 00:26:06.190
and let's stand up and fight this thing,

00:26:06.190 --> 00:26:10.180
and stand up for what we know the truth is,

00:26:10.180 --> 00:26:15.180
not the myths that have been created by such extremists.

00:26:15.860 --> 00:26:16.693
Thank you.

00:26:16.693 --> 00:26:17.760
<v Wright>Thank you.</v>

00:26:17.760 --> 00:26:18.902
<v Chairman>Thank you.</v>

00:26:18.902 --> 00:26:21.270
<v ->You know, again, I want to say, and thank our examiners.</v>

00:26:21.270 --> 00:26:22.950
I think you guys have done a wonderful job.

00:26:22.950 --> 00:26:25.830
I want to thank our producers for the progress we've made

00:26:25.830 --> 00:26:28.430
in getting our flaring down.

00:26:28.430 --> 00:26:30.870
I think that it is important though,

00:26:30.870 --> 00:26:34.080
to recognize that we continue to try to find

00:26:34.080 --> 00:26:35.770
more of a market for our natural gas

00:26:35.770 --> 00:26:39.280
so that it helps improve our economy even better,

00:26:39.280 --> 00:26:40.810
and I couldn't agree with you more,

00:26:40.810 --> 00:26:43.830
I think that the industry is showing

00:26:43.830 --> 00:26:46.910
the investment community a lot this year,

00:26:46.910 --> 00:26:48.930
as far as return on the dollar

00:26:48.930 --> 00:26:51.630
and I'm very proud of the direction that it's heading.

00:26:53.300 --> 00:26:54.470
<v ->Thank you both for your comments,</v>

00:26:54.470 --> 00:26:55.630
I think we've come a long way

00:26:55.630 --> 00:26:58.230
and are continuing to go the right direction,

00:26:58.230 --> 00:27:01.739
without a lot of unnecessary regulation some days, right?

00:27:01.739 --> 00:27:03.153
<v ->Very true.</v>

00:27:03.153 --> 00:27:08.153
<v ->All right, so I move that we approve items 18 through 150.</v>

00:27:09.130 --> 00:27:10.357
Is there a second?

00:27:12.423 --> 00:27:13.256
<v ->Second.</v>

00:27:13.256 --> 00:27:14.498
<v ->Second by Commissioner Wright.</v>

00:27:14.498 --> 00:27:16.713
All in favor, say aye.

00:27:16.713 --> 00:27:17.546
<v ->Aye.</v>
<v ->Aye.</v>

00:27:17.546 --> 00:27:19.670
Motion passes, those items are approved.

00:27:19.670 --> 00:27:23.393
We're going to rule 15, inactive wells.

00:27:24.770 --> 00:27:28.315
Let's see, we've got item number 158

00:27:28.315 --> 00:27:30.640
is now in compliance, correct?

00:27:30.640 --> 00:27:35.640
Okay, so we have 24 items on this part of the docket.

00:27:36.200 --> 00:27:41.200
Items 151 through 175, except for item 158,

00:27:42.160 --> 00:27:43.920
I move we approve those items.

00:27:43.920 --> 00:27:45.370
Is there a second?

00:27:45.370 --> 00:27:46.203
<v ->Second.</v>

00:27:46.203 --> 00:27:47.240
<v ->Second by Commissioner Christian.</v>

00:27:47.240 --> 00:27:48.400
All those in favor, say aye.

00:27:48.400 --> 00:27:49.852
<v ->Aye.</v>
<v ->Aye.</v>

00:27:49.852 --> 00:27:52.650
Motion passes, those items are approved.

00:27:52.650 --> 00:27:54.577
We'll go into master default orders.

00:27:56.328 --> 00:28:00.110
Items 176 through 183, there are eight of those.

00:28:00.110 --> 00:28:03.550
I move we approve items 176 through 183.

00:28:03.550 --> 00:28:04.980
Is there a second?
<v ->Second.</v>

00:28:04.980 --> 00:28:06.490
<v ->Second by Commissioner Wright.</v>

00:28:06.490 --> 00:28:07.530
All in favor say aye.

00:28:07.530 --> 00:28:09.030
<v ->Aye.</v>
<v ->Aye.</v>

00:28:09.030 --> 00:28:10.814
Motion passes, those items are approved.

00:28:10.814 --> 00:28:15.507
Agreed enforcement orders, items 184 through 326.

00:28:16.510 --> 00:28:20.040
There are 143 agreed enforcement orders.

00:28:20.040 --> 00:28:23.640
I move we approve items 184 through 326.

00:28:23.640 --> 00:28:25.477
Is there a second?

00:28:25.477 --> 00:28:26.310
<v ->Second.</v>

00:28:26.310 --> 00:28:27.390
<v ->Second by Commissioner Christian,</v>

00:28:27.390 --> 00:28:28.570
All those in favor, say aye.

00:28:28.570 --> 00:28:29.580
<v ->Aye.</v>
<v ->Aye.</v>

00:28:29.580 --> 00:28:31.780
Motion passes, those items are approved.

00:28:31.780 --> 00:28:34.330
That concludes the hearing section matters

00:28:34.330 --> 00:28:36.880
and we'll now take up our administrative agenda,

00:28:36.880 --> 00:28:39.640
which is 327.

00:28:39.640 --> 00:28:40.776
Wang, good morning.

00:28:40.776 --> 00:28:41.609
<v ->Good morning.</v>

00:28:41.609 --> 00:28:42.450
<v ->Good morning, chairman Commissioner.</v>

00:28:42.450 --> 00:28:45.190
For the record, Wey Wang, executive director.

00:28:45.190 --> 00:28:49.580
I'm here to provide a report on the agency's operation

00:28:49.580 --> 00:28:53.600
and I'm glad to let you know that as of last week,

00:28:53.600 --> 00:28:56.180
we have met or seated at least 10

00:28:56.180 --> 00:28:58.140
of the performance measures already

00:28:58.140 --> 00:29:01.280
a month ahead of the year end, and there are a couple

00:29:01.280 --> 00:29:04.210
I just want to highlight on gas inspections.

00:29:04.210 --> 00:29:07.203
Our target for the year is 189,000.

00:29:08.100 --> 00:29:11.560
Right around their inspections and as of last Friday,

00:29:11.560 --> 00:29:15.210
we have conducted 274,000.

00:29:15.210 --> 00:29:20.210
So, exceeding the target by about 80,000 inspections,

00:29:20.720 --> 00:29:25.720
and for well plugging, we had plugged so far 1,455 wells,

00:29:26.140 --> 00:29:30.530
exceeding the target by 50 wells for the year already.

00:29:30.530 --> 00:29:32.675
And also for pipeline inspections,

00:29:32.675 --> 00:29:36.660
for specialized inspections, we also already exceeded

00:29:36.660 --> 00:29:38.800
the performance measure for the year

00:29:38.800 --> 00:29:41.630
and we have done several press releases

00:29:41.630 --> 00:29:44.160
to let people know that the agency

00:29:44.160 --> 00:29:47.713
has been performing very well despite the pandemic.

00:29:48.670 --> 00:29:50.870
And also, I'm glad to report that the staff

00:29:50.870 --> 00:29:54.060
has been aggressively working on implementation of the bill

00:29:54.060 --> 00:29:57.520
that passed all of the 86 regular session.

00:29:57.520 --> 00:29:58.740
There are several important bills

00:29:58.740 --> 00:30:00.560
that directly impact our agency,

00:30:00.560 --> 00:30:04.530
so we're busy drafting rules, meeting with the operators,

00:30:04.530 --> 00:30:06.940
and so we'll continue the good work on that

00:30:06.940 --> 00:30:10.730
and make sure we adopt the rules and meet the requirements

00:30:10.730 --> 00:30:13.480
and the deadlines in these bills,

00:30:13.480 --> 00:30:15.370
so there's more to come on those.

00:30:15.370 --> 00:30:19.170
And also, in terms of our head count,

00:30:19.170 --> 00:30:21.510
we have been able to maintain our head count

00:30:21.510 --> 00:30:23.720
at around 830 employees,

00:30:23.720 --> 00:30:26.670
so there are a lot of retirements

00:30:26.670 --> 00:30:27.640
towards the end of the year,

00:30:27.640 --> 00:30:32.280
but so far we're able to backfill those agency

00:30:32.280 --> 00:30:34.200
and be able to maintain our staffing level

00:30:34.200 --> 00:30:37.040
around 830 and 840.

00:30:37.040 --> 00:30:39.260
So with that, I can close my report today

00:30:39.260 --> 00:30:40.950
and am available for questions.

00:30:40.950 --> 00:30:41.783
<v Chairman>Thank you.</v>

00:30:41.783 --> 00:30:44.730
<v Wright>I have one, when you said 1,455 plug wells,</v>

00:30:44.730 --> 00:30:47.122
is that based on our budget year or calendar year?

00:30:47.122 --> 00:30:48.337
<v Wey>That's the budget year.</v>

00:30:48.337 --> 00:30:49.980
<v ->Budget year, thank you.</v>

00:30:49.980 --> 00:30:50.813
Perfect.

00:30:50.813 --> 00:30:52.008
Good job, Wey thanks.

00:30:52.008 --> 00:30:52.841
<v Wey>Thank you.</v>

00:30:52.841 --> 00:30:54.320
<v ->Thank you, Wey thank you all for the staff</v>

00:30:54.320 --> 00:30:57.630
for continuing to do a good job and be ahead.

00:30:57.630 --> 00:30:59.910
See, we can all just go home and work on it.

00:30:59.910 --> 00:31:01.880
Just kidding, we're going back to work.

00:31:01.880 --> 00:31:04.084
All right, 328, good morning, Dave.

00:31:04.084 --> 00:31:05.170
<v ->Good morning, chairman, Commissioners,</v>

00:31:05.170 --> 00:31:07.630
David Cooney here sitting in for Alec Shock.

00:31:07.630 --> 00:31:09.500
I just have two items to report,

00:31:09.500 --> 00:31:13.770
staff recently, our Friday, thanks to Commissioner Wright

00:31:13.770 --> 00:31:16.400
and Commissioner Christian, and on a little prodding

00:31:16.400 --> 00:31:21.400
from the IOGCC filed pre rule comments on Friday, July 30th

00:31:22.930 --> 00:31:26.030
on oil and gas methane emission rules

00:31:26.030 --> 00:31:28.050
that EPA will be proposing,

00:31:28.050 --> 00:31:30.963
we expect at the end of September.

00:31:33.290 --> 00:31:35.900
I want to thank also Leslie Savage,

00:31:35.900 --> 00:31:40.150
who was a rock as usual, helping get this together,

00:31:40.150 --> 00:31:45.150
and TCEQ kind of toward helped us out quite a bit too.

00:31:46.640 --> 00:31:48.700
And for the September 30th rules,

00:31:48.700 --> 00:31:52.320
we plan to work closely with TCEQ

00:31:52.320 --> 00:31:53.630
to formulate our state comments.

00:31:53.630 --> 00:31:56.900
And then yesterday, per the item at last conference,

00:31:56.900 --> 00:32:00.440
we filed comments on the proposal,

00:32:00.440 --> 00:32:02.690
the fish and wildlife services proposal to list

00:32:02.690 --> 00:32:06.320
the lesser prairie chicken under the endangered species act.

00:32:06.320 --> 00:32:09.441
Our primary points were that we oppose the listing.

00:32:09.441 --> 00:32:12.490
We urge fish and wildlife service not to turn their back

00:32:12.490 --> 00:32:14.880
on stakeholders who have been working hard

00:32:14.880 --> 00:32:18.040
to try on conservation efforts for the chicken

00:32:18.040 --> 00:32:22.360
and that if it is listed that it be allowed

00:32:22.360 --> 00:32:24.462
that these conservation efforts be allowed to continue

00:32:24.462 --> 00:32:26.465
and that the fish and wildlife service

00:32:26.465 --> 00:32:30.333
address the economic impacts of their action.

00:32:31.170 --> 00:32:34.560
That concludes general council's general report.

00:32:34.560 --> 00:32:36.157
<v Chairman>Thank you, any questions or comments?</v>

00:32:36.157 --> 00:32:38.730
You know, I would like to say, David, you and Leslie,

00:32:38.730 --> 00:32:40.850
the work y'all done on the methane emission side,

00:32:40.850 --> 00:32:42.770
I very much appreciate that hard work

00:32:42.770 --> 00:32:46.500
and I'm very proud that we got TCEQ to go in

00:32:46.500 --> 00:32:50.130
with our comments and share those comments back to the EPA,

00:32:50.130 --> 00:32:50.963
so great job.

00:32:50.963 --> 00:32:52.330
<v Dave>Thank you very much.</v>

00:32:52.330 --> 00:32:54.490
<v ->And may I say, I appreciate also the work</v>

00:32:54.490 --> 00:32:55.880
that everyone has done on this

00:32:55.880 --> 00:33:00.260
and just to point out to people the concern that I have

00:33:00.260 --> 00:33:05.260
that we have some in our industry, the retail industry,

00:33:05.800 --> 00:33:08.610
that are actively working to move methane regulation

00:33:08.610 --> 00:33:11.430
back to the federal government rather than have the states

00:33:11.430 --> 00:33:13.180
and that's why I'm glad that IOGCC,

00:33:14.150 --> 00:33:18.030
the 31 states that are involved in this have come out

00:33:18.030 --> 00:33:20.090
and supported and that you and Leslie and others

00:33:20.090 --> 00:33:21.630
have supported here the staff,

00:33:21.630 --> 00:33:24.126
their work to make sure the states keep

00:33:24.126 --> 00:33:26.560
the regulatory power over that

00:33:26.560 --> 00:33:29.457
rather than a federal big brother government doing it to us.

00:33:29.457 --> 00:33:30.330
<v ->So, thank you.</v>

00:33:30.330 --> 00:33:31.163
<v Dave>Yes, sir.</v>

00:33:31.163 --> 00:33:32.540
<v ->Thank you. Thank you, Dave.</v>

00:33:34.577 --> 00:33:36.813
All right, item 329.

00:33:38.600 --> 00:33:39.600
Jason, good morning.

00:33:41.233 --> 00:33:43.360
<v ->Good morning, chairman, Commissioners.</v>

00:33:43.360 --> 00:33:44.770
For the record, my name is Jason Clark,

00:33:44.770 --> 00:33:46.730
director of agency projects.

00:33:46.730 --> 00:33:49.210
As part of the agency's ongoing oil fuel relief initiative

00:33:49.210 --> 00:33:50.490
and to find opportunities

00:33:50.490 --> 00:33:52.620
where operating efficiencies are possible,

00:33:52.620 --> 00:33:55.600
staff is requesting your approval on the following item.

00:33:55.600 --> 00:33:58.520
Item 329 is for the oversight and safety division.

00:33:58.520 --> 00:34:01.240
Staff is requesting approval to post proposed changes

00:34:01.240 --> 00:34:04.450
to the pop's CL form on the Commission's website

00:34:04.450 --> 00:34:06.410
for a 30 day comment period.

00:34:06.410 --> 00:34:08.380
The proposed changes to the pop CL form

00:34:08.380 --> 00:34:10.750
will replace approximately 12 templates

00:34:10.750 --> 00:34:14.320
that an operator must download, interpret, and customize

00:34:14.320 --> 00:34:17.960
to create their own version of an application cover letter.

00:34:17.960 --> 00:34:19.190
Each application type

00:34:19.190 --> 00:34:21.670
in the pipeline online permitting system

00:34:21.670 --> 00:34:24.270
requires a cover letter with different information

00:34:24.270 --> 00:34:26.740
based on the type of application submitted.

00:34:26.740 --> 00:34:28.810
Their proposed changes to the pop CL form

00:34:28.810 --> 00:34:30.700
will prompt the user to fill out

00:34:30.700 --> 00:34:32.220
only the required information

00:34:32.220 --> 00:34:34.800
based on the type of application selected.

00:34:34.800 --> 00:34:37.890
With your approval today, staff add the pop CL form

00:34:37.890 --> 00:34:41.130
to the Commission's website for a comment period of 30 days,

00:34:41.130 --> 00:34:44.470
track all submitted comments and report back the results.

00:34:44.470 --> 00:34:46.260
I'm available for questions.

00:34:46.260 --> 00:34:47.659
<v Chairman>Thank you, are there any questions?</v>

00:34:47.659 --> 00:34:49.910
Always nice to figure out how to streamline some more stuff,

00:34:49.910 --> 00:34:51.320
we appreciate it.
<v ->Absolutely.</v>

00:34:51.320 --> 00:34:52.480
<v Chairman>All right, I move we approve</v>

00:34:52.480 --> 00:34:53.963
the staff's recommendations.

00:34:53.963 --> 00:34:54.962
Is there a second?

00:34:54.962 --> 00:34:55.795
<v ->Second.</v>

00:34:55.795 --> 00:34:56.860
Second by Commissioner Wright.

00:34:56.860 --> 00:34:57.963
All in favor, say aye.

00:34:57.963 --> 00:34:58.796
<v ->Aye.</v>
<v ->Aye.</v>

00:34:58.796 --> 00:35:00.450
Motion passes, that item's approved.

00:35:00.450 --> 00:35:01.920
Thank you.

00:35:01.920 --> 00:35:05.420
All right, item 330 is our public participation item

00:35:05.420 --> 00:35:07.560
and we didn't have anybody else register.

00:35:07.560 --> 00:35:09.960
Item 331 is executive session,

00:35:09.960 --> 00:35:12.550
which we won't be going into today.

00:35:12.550 --> 00:35:14.700
Are there any other things

00:35:14.700 --> 00:35:16.151
that we need to consider at this time?

00:35:16.151 --> 00:35:18.187
<v ->Madam Chairman, I think Commissioner Wright</v>

00:35:18.187 --> 00:35:19.910
has a special guest in the audience today,

00:35:19.910 --> 00:35:21.270
I think it's appropriate for him

00:35:21.270 --> 00:35:22.825
to welcome and introduce them.

00:35:22.825 --> 00:35:23.658
<v ->Yes.</v>

00:35:23.658 --> 00:35:25.634
<v ->Yeah, you know, I'm so proud that my wife and my son</v>

00:35:25.634 --> 00:35:27.150
are both sitting right here,

00:35:27.150 --> 00:35:29.290
came to my first live session today

00:35:29.290 --> 00:35:31.820
and made the Trek all the way up here to Austin to do that.

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Thank you both so much, love you.

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<v Chairman>We're glad to see you in person finally.</v>

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All right, anything else this morning?

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All right, hearing none,

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this meeting of the Railroad Commission is adjourned.

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Thank you all.