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ANNUAL REPORT SNAPSHOT FY 2010 OUR MISSION To regulate, enforce laws and supervise activities associated with the exploration and production of oil and gas, the storage and dispensing of petroleum-based fuels, the establishment of rates and services of public utilities, and the operation of intrastate transportation to best serve the economic needs of the public. In the interests of the public, the Commission will oversee the conservation of natural resources to avoid waste, abate pollution of the environment, and balance the rights and needs of the people with those of the regulated entities which provide essential and desirable services for the benefit of Oklahoma and its citizens. Want to Know More? Join us on the Internet for news, meeting and docket postings, rules, forms, well records, program updates and useful consumer information. www.occeweb.com Office of Public Information PO Box 52000, Oklahoma City, OK 73152 Phone: (405)521-4180 E-Mail: m.skinner@occemail.com This publication, printed by the Oklahoma Corporation Commission, is issued by the Corporation Commission of Oklahoma as authorized by Article XI, Sections 18, 25 and 29 of the Oklahoma State Constitution; Title 65, Section 3-114 of the Oklahoma Statutes, and in accordance with SSJR20, 1974, passed by the 2nd Session of the 34th Oklahoma Legislature. 100 copies (70 black&white, 30 color) have been prepared and distributed at an approximate cost of $92.60. Copies have been deposited with the Publications Clearinghouse of the Oklahoma Department of Libraries. The Oklahoma Corporation Commission History and Responsibilities T he Corporation Commission was established in 1907 by Article 9 of the Oklahoma Constitution, and the First Legislature gave the Commission authority to regulate public service corporations; those businesses whose services are considered essential to the public welfare. The legal principle for such regulation had been established in 1877 when the United States Supreme Court ruled in Munn v. Illinois that when a private company’s business affects the community at large, it becomes a public entity subject to state regulation. Initially, the Corporation Commission regulated transportation and transmission companies, mostly railroads and telephone and telegraph companies. The Commission also was directed to collect and maintain records of the stockholders, officers and directors of all corporations chartered or licensed to do business in Oklahoma (about 12,500 at statehood). As the state grew, the records collection task became larger than one agency could handle. The Commission kept authority for public service companies, and responsibility for other corporations was allocated to the Secretary of State and other state commissions and agencies according to business type. Pipelines and telephone service were placed under Commission jurisdiction in 1908. Regulation of water, heat, light and power rates began in 1913. The Commission began regulating oil and gas in 1914 when it restricted oil drilling and production in the Cushing and Healdton fields to prevent waste when production exceeded pipeline transport capacity. In 1915, the Legislature passed the Oil and Gas Conservation Act. This expanded oil and gas regulation to include the protection of the rights of all parties entitled to share in the benefits of oil and gas production. Also in 1915, the Legislature declared cotton gins to be public utilities and extended Corporation Commission authority over utility companies to include practices as well as rates. While the basic regulatory responsibility of the Corporation Commission has remained intact, many changes in state and federal laws have changed what is regulated. The Commission presently regulates public utilities, except those under municipal or federal jurisdiction or exempt from regulation; oil and gas drilling, production and environmental protection; aspects of motor carrier, rail and pipeline transportation, cotton gins, private water companies, and the environmental integrity of petroleum storage tank systems. It also has responsibility for the proper operation of fuel dispensing units (“gas pumps”) at retail filling stations. The Corporation Commission also enforces federal regulations for underground disposal of certain oil and gas waste fluids and remediation of soil and groundwater pollution caused by leaking petroleum product storage tanks. The Corporation Commission is comprised of three commissioners who are elected by statewide vote to serve six-year terms. The terms are staggered so one commissioner vacancy occurs every two years. The election pattern was established when the Commission was created by the state constitution. The first three elected commissioners drew lots for two-year, four-year and six-year terms. The Corporation Commission has judicial, legislative and administrative authority. The three Commissioners rule on all regulatory matters within Corporation Commission jurisdiction. Commission orders are appealable only to the Oklahoma Supreme Court. In-term vacancies are filled by gubernatorial appointment. Fourteen commissioners have been seated by appointment. The Commissioners Commissioner Bob Anthony is a member of the Board of Directors of the National Association of Regulatory Utility Commissioners and a board member and immediate past chairman of the National Regulatory Research Institute. The U.S. Secretary of Energy recently appointed Anthony to the National Petroleum Council. Anthony is past president of the Mid-America Regulatory Conference, a member and past president of the Economic Club of Oklahoma and is a delegate to the worldwide General Conference of the United Methodist Church. Anthony holds a B.S. from the Wharton School of Finance at the University of Pennsylvania. He also earned an M.Sc. from the London School of Economics, an M.A. from Yale University and an M.P.A. from Harvard University. He rose to the rank of captain in the U.S. Army Reserve. In 1972 he was staff economist for the Interior Committee of the U.S. House of Representatives. From 1979 to 1980 Anthony served on the City Council of Oklahoma City as Ward 2 Councilman and as vice mayor. In 1988 he was Chairman of the Trust Committee of Oklahoma’s largest bank trust department. In 1995 the FBI honored Anthony with its highest award given to a citizen who, “at great personal sacrifice, has unselfishly served his community and the nation.” Among other recognitions, the AARP of Oklahoma presented Anthony with an award “in appreciation of his tireless efforts on behalf of Oklahoma consumers.” Bob Anthony has been a statewide elected official longer than any current Oklahoma office holder, winning his fourth consecutive six-year term on the Oklahoma Corporation Commission in November 2006. He initially ran for the Corporation Commission in 1988, becoming the first Republican elected to that body in 60 years, and receiving more votes than any Republican since statehood. In 1994 Anthony became the first Republican incumbent in Oklahoma history to win statewide reelection to a state office. In 2000 he was reelected, receiving more votes at that time than any candidate for state office in Oklahoma history. In 1980, at age 32, Anthony became president of C.R. Anthony Company retail stores, then the largest privately-owned firm headquartered in Oklahoma. During his seven-year term as president, annual sales for the retail chain increased from $256 million to $411 million and payroll, employment and dollar profits reached all-time record levels. Prior to joining the Corporation Commission Anthony served on the boards of the Oklahoma State, Oklahoma City and South Oklahoma City chambers of commerce, the Oklahoma Historical Society, the Oklahoma Science and Arts Museum, Liberty National Bank, Banks of Mid-America, Inc., the Dale Rogers School for Retarded Citizens, and the Kirkpatrick Center. He also held positions with Oklahoma City University, Leadership Oklahoma, Leadership Oklahoma City, O.I.C., the YMCA, Contact, Children’s Medical Research and Hospital Hospitality House. All four of Anthony’s grandparents came to Oklahoma before statehood. His father was born in Cleveland, Oklahoma, and his mother grew up in Enid, Oklahoma. He and his wife Nancy were married in 1975 and are the parents of four daughters. Bob Anthony, Chairman Term: January 2007 — January 2013 The Commissioners Jeff Cloud, Vice-Chairman Term: January 2009 — January 2015 Jeff Cloud was elected statewide to a six-year term on the Oklahoma Corporation Commission on November 5, 2002, and was overwhelmingly reelected November 4, 2008 to another six-year term. Additionally, Cloud assumed the chairmanship of the Commission in June of 2005 and served as Chairman through December 2008. Cloud is a member of the Electricity Committee for the National Association of Regulatory Utility Commissioners (NARUC) and the Advisory Boards for the Center for Public Utilities at New Mexico State University. Cloud is also a member of the Legal and Regulatory Committee of the Interstate Oil and Gas Compact Commission (IOGCC), the Regional State Committee of the Southwest Power Pool, and serves on Oklahoma Employees Retirement System Board of Trustees. The Aspen Institute honored Cloud as one of the top young elected officials by naming him as a fellow for the Aspen Institute-Rodel Fellowship which brings together “the nation’s emerging leaders” to discuss broad issues of democratic governance and effective public service. Born in Tulsa and raised in Oklahoma City, Cloud earned a degree in Petroleum Land Management from the University of Oklahoma and a juris doctor from the Oklahoma City University School of Law. He is married to the former Trish Caldwell. They reside in Oklahoma City where they are raising their three children. Commissioner Dana Murphy serves as Chair of the Oklahoma Corporation Commission (OCC). Born in Woodward, Oklahoma, Commissioner Murphy is a fifth-generation Oklahoman deeply committed to her home state. After attending Central State University in Edmond, Oklahoma, where she received the Best All-Around Freshman Athlete award, she attended Oklahoma State University (OSU) and graduated in the top 10 percent of her class with a bachelor’s degree in geology. After practicing as a geologist for ten years, she obtained her law degree cum laude while working and attending night school at Oklahoma City University. On November 4, 2008, she was first elected to the statewide office of Oklahoma Corporation Commissioner for a partial two-year term. On July 27, 2010, she was re-elected to a full six-year term. On January 3, 2011, Commissioner Murphy became Chair of the Corporation Commission following election by her fellow Commissioners. Commissioner Murphy's prior experience includes serving for almost six years as an administrative law judge at the Commission, where she was named co-employee of the year for 1997 and received the Commissioners’ Public Servant Award in 2001. She has more than 22 years experience in the petroleum industry including owning and operating a private law firm focused on oil and gas title, regulatory practice and transactional work and working as a geologist. Commissioner Murphy is a member of the National Association of Regulatory Utility Commissioners (NARUC), where she serves on the Energy Resources and the Environment Committee. She is a member of the OSU Water Research Advisory Board, the Oklahoma Bar Association, American Association of Petroleum Geologists and Oklahoma City Geological Society. She also serves as the OCC representative on the Board of Trustees of the Oklahoma Public Employees Retirement System and is a member of the Salvation Army’s Central Oklahoma Area Command Advisory Board. Commissioner Murphy is a member of Energy Advocates and in March 2007 was recognized as an outstanding woman in energy. She previously served as a trustee and is currently a care chaplain for the Church of the Servant United Methodist Church in Oklahoma City. Prior to joining the Commission, she was a member of the board of directors of Farmers Royalty Company and is a member of the Edmond Chamber of Commerce. She is also a part-time personal fitness trainer. Commissioner Murphy lives in Edmond, Oklahoma, but continues to be actively involved with her family’s farm and ranch in Ellis County, Oklahoma. The Commissioners Dana Murphy, Commissioner Term: January 2009 — January 2011 OKLAHOMA CORPORATION COMMISSION June 30, 2010 Chairman Bob Anthony Vice Chairman Jeff Cloud Commissioner Dana Murphy Administrative Aide Larry Lago Executive Assistant Jackie Hollinhead Administrative Aide Bob Vandewater Executive Assistant Lisa Roberts Administrative Aide Teryl Williams Executive Assistant Billie Rodely Appointing Authority Brooks Mitchell Information Technology Director Michelle Smith Petroleum Storage Tank Division Director Gary Walker Office of Administrative Proceedings Director Michael Decker Director of Administration Brooks Mitchell Consumer Services Director (acting) Brooks Mitchell Office of General Counsel Director Andrew Tevington Oil and Gas Division Director Lori Wrotenbery Transportation Division Director Marchi McCartney Public Utility Division Director David Dykeman Five Year Summary Revenue Sources and Applications OKLAHOMA CORPORATION COMMISSION Statement of Sources and Applications (CASH BASIS) For the Fiscal Year Ending June 30 SOURCES 2009 2008 2007 2006 2010 General Revenue Fund $13,590,865 $13,519,647 $14,225,498 $12,638,013 11,544,803 Oil & Gas Conservation Fund Revolving Funds 15,096,017 12,546,019 11,867,920 12,224,852 13,473,613 Public Utility Assessment Fund 6,039,513 5,284,491 5,265,332 4,886,949 5,889,096 Transportation One-Stop Shop Fund 7,699,441 4,951,576 7,083,370 Indemnity Fund 3,376,171 4,504,441 4,146,254 3,416,016 4,043,530 Well Plugging Fund 3,210,984 3,388,005 3,382,214 2,844,227 2,541,440 Federal Funds 2,275,780 2,609,485 1,453,723 1,644,664 2,873,215 Other Funds 327,902 3,100,000 3,300,000 1,562,409 514,647 TOTAL AVAILABLE $51,616,673 $49,903,664 $43,640,941 $39,217,130 47,963,714 APPLICATIONS Administration $3,087,175 $ 2,986,903 3,014,174 $2,628,825 3,082,054 Consumer Services Division 1,033,252 946,519 1,069,065 892,788 1,040,012 Petroleum Storage Tank 5,050,074 4,695,275 4,205,043 3,804,634 4,790,514 Oil & Gas Division 8,290,474 8,596,470 7,900,020 6,606,331 8,009,238 Well Plugging/Storage Pits 2,033,266 2,025,322 1,785,059 1,182,485 1,291,445 UIC Federal 495,883 593,302 420,338 560,953 448,271 Office of Administrative Proceedings 2,538,266 2,370,955 2,343,078 2,058,891 2,286,574 Public Utilities 2,634,406 2,361,863 2,350,052 2,218,768 2,622,932 Office of General Counsel 2,166,053 2,050,020 2,020,644 1,895,953 1,864,410 Transportation 10,142,852 9,492,331 8,301,813 7,774,155 9,528,493 Pipeline Safety 1,114,450 1,139,251 1,047,040 997,845 1,056,397 Data Processing 2,805,223 2,416,235 2,135,682 2,157,773 2,474,138 Expenditures $41,391,374 $39,674,446 $36,592,008 $32,779,401 $38,494,478 Reserve for Obligations 4,906,495 4,938,190 5,109,334 3,723,616 4,281,362 Lapsed Funds Transferred Funds Cash Balance Available 5,318,804 5,291,028 1,939,599 2,714,113 5,187,874 TOTAL APPLIED $51,616,673 $49,903,664 $43,640,941 $39,217,130 $47,963,714 FY10 Financial Statement—Revenue Sources and Applications Revenue Sources The operations of the Corporation Commis-sion are funded by the following fund types: General Revenue: Funds appropriated by the Legislature each year. These funds are fiscal year specific. Revolving Funds: Payments received from regulated companies for licenses, permits, fees and fines. Public Utility Assessment: Annual assessments to regulated utilities for the funding of the Public Utility Division and related support costs. Well Plugging: Funds from oil and gas excise tax on gross production dedi-cated for plugging abandoned oil and gas wells. Federal Funds: Grants for federal pro-grams administered by the Oklahoma Corporation Commission. Revenue Applications The FY10 total available funds applied re-flects the following distribution as a percent of total. Funding and Staffing ***Included in following fiscal year budget. SOURCES AMOUNTS % OF TOTAL General Revenue Fund: FY09 Cash Balance $809,537 1.7% General Revenue Appropriations 10,735,266 22.4% Oil & Gas Revolving Fund: FY09 Cash Balance 692,061 1.4% Intent to Drill Fees $728,150 Other 485,641 1,213,791 2.5% OCC Revolving Fund: FY09 Cash Balance 2,741,440 5.7% Unified Carrier Registration $622,720 Pipeline Safety Fees 1,229,376 Filing Fees 485,040 Other 5,368,786 7,705,922 16.1% Petroleum Storage Tank FY09 Cash Balance 659,250 1.4% Permits $296,223 Other 164,926 461,149 1.0% Public Utility Assessment Fund: FY09 Cash Balance 617,504 1.3% Assessments $5,271,592 11.2% Transportation One-Stop Shop Fund FY09 Cash Balance 2,570,465 5.4% Transportation Fees & Fines 4,512,905 9.4% Indemnity Fund: FY09 Cash Balance 62,646 0.1% Fund Receipts 3,980,884 8.3% Well Plugging Fund: FY09 Cash Balance 1,177,719 2.5% Oil & Gas Excise Tax Receipts 1,363,721 2.8% Federal Funds: FY09 Cash Balance 35,028 0.1% Federal Funds Received 2,838,187 5.9% Other Funds: FY09 Cash Balance 327,045 0.7% L.U.S.T. Revolving Fund 187,602 0.4% TOTAL AVAILABLE $47,963,714 100.0% APPLICATIONS AMOUNTS % OF TOTAL Administration $3,082,054 6.4% Consumer Services Division 1,040,012 2.2% Petroleum Storage Tank Administration 433,125 .9% Claims Processing 824,961 1.7% Regulatory 3,532,428 7.4% Oil & Gas Division 8,009,238 16.7% Well Plugging/Storage Pits 1,291,445 2.7% UIC Federal 448,271 .9% Office of Administrative Proceedings 2,286,574 4.8% Public Utilities 2,622,932 5.5% Office of General Counsel 1,864,410 3.9% Transportation 9,528,493 19.9% Pipeline Safety 1,056,397 2.2% Data Processing 2,474,138 5.2% FY10 EXPENDITURES $38,494,478 80.3% Reserve for Obligations 4,281,362 8.9% Lapsed Funds Fund Balance $5,187,873 10.8% TOTAL APPLIED $47,963,714 100.0% Fiscal Year Funding Auth. FTE* 2000 $29,293,711 453 2001 $31,156,648 453 2002 $29,635,653 453 2003 $30,261,108 453 2004 $28,679,330 453 2005 $34,972,742 453 2006 $39,217,130 535** 2007 $43,640,941 547 2008 $49,903,664 547 2009 $51,616,673 547 2010 $47,963,714 478 Expenditure Total Salaries & Benefits 64.2% Professional Services 7.6% Travel 0.3% Equipment 1.1% Other Operating Expenses 7.1% Funds reserved for obligations 8.9% Transferred/Lapsed Funds 0.0% Cash Balance Available 10.8% Total 100.00% *Denotes maximum authorized Full Time Employee (FTE) positions, not the actual number of FET’s - (actual average number of FTE’s in FY10 was 378). **Increase the result of legislatively-mandated transfer of Oklahoma Tax Commission sections to the Oklahoma Corporation Commission. Administration6%Consumer Services2%Petroleum Storage Tank10%Oil & Gas20%Administrative Proceedings5%Public Utilities6%General Counsel4%Transportation20%Pipeline2%Data Processing5%Other20%APPLICATIONSGeneral Revenue24%Transportation1%Pipeline3%Other Revolving18%Indemnity9%Petroleum Storage Tank2%Well Plugging 5%Utility Assessment12%Oil & Gas Revolving4%Transportation One-Stop Shop15%Federal6%Other1%SOURCES12A OKLAHOMA CORPORATION COMMISSION FISCAL YEARS - 1988-2010 YEAR CD PD GD GG MC MCC EN FD FDC TD PUD RM SF CS OGC TOTAL ORDERS 1988 9,559 1,162 10 4,025 150 141 163 13 15,223 13,474 1989 7,670 1,116 6 4,745 159 138 172 7 14,013 12,226 1990 4,413 1,085 7 4,054 181 140 196 11 10,087 8,492 1991 4,957 1,139 3 3,828 279 2 176 188 10 10,582 9,875 1992 4,226 936 5 4,151 160 2 138 220 11 9,849 8,441 1993 3,834 1,099 12 6,540 274 4 123 186 19 12,091 8,258 1994 4,543 868 5 7,159 297 4 121 203 18 52 13,270 9,566 1995 4,760 818 1 6,653 457 272 79 237 19 81 13,377 9,168 1996 4,893 898 0 7,801 398 154 59 512 23 86 29 14,853 9,395 *1997 5,645 614 0 4,604 4,404 308 24 21 120 516 22 99 3 91 16,471 10,697 1998 5,324 574 0 5,421 5,149 432 60 163 92 675 26 111 13 140 18,180 10,949 1999 4,789 456 0 5,937 5,968 254 43 56 64 727 23 85 12 43 18,457 9,081 2000 5,489 414 0 3 6,220 6,032 145 111 39 68 736 16 106 18 31 19,428 9,087 2001 6,594 409 0 3 6,128 6,754 259 9 37 42 683 19 131 15 63 21,146 11,220 2002 6,152 491 0 0 5,999 7,340 185 2 0 54 662 18 118 23 71 21,115 11,447 2003 7,536 486 0 1 6,489 10,496 316 2 1 95 844 9 75 26 84 26,460 12,494 2004 9,002 502 0 1 6,796 9,832 322 36 2 61 698 12 94 17 46 27,441 14,239 2005 9,891 547 3 3 6,504 22,750 349 21 1 78 582 13 120 9 83 40,954 15,903 2006 12,365 576 0 7 2,330 26,823 384 45 1 57 480 22 135 3 59 43,287 18,954 2007 8,728 619 0 0 89 21,009 445 46 7 60 520 6 128 6 20 31,683 14,560 2008 8,714 606 0 2 17 17,606 326 47 0 61 428 11 126 8 11 27,963 15,092 2009 6,086 521 0 0 14 23,463 251 76 0 63 343 12 103 15 17 30,966 12,712 2010 4,683 187 0 2 14 19,301 160 59 0 36 210 7 72 19 8 24,758 7,945 CALENDAR YEARS - 1977-2009 YEAR CD PD GD GG MC MCC EN FD FDC TD PUD RM SF CS OGC TOTAL ORDERS 1977 5,456 522 350 3,843 10,171 10,673 1978 6,285 477 272 4,156 11,190 11,357 1979 7,362 486 271 5,107 13,226 13,617 1980 13,008 742 382 6,983 21,115 19,940 1981 14,483 1,025 593 7,606 23,707 23,739 1982 12,978 1,332 513 5,858 20,681 25,216 1983 10,589 1,605 657 4,395 17,246 20,686 1984 13,456 1,731 649 3,732 19,568 19,722 1985 13,002 1,155 401 4,004 90 53 84 0 18,789 20,149 1986 8,320 1,157 1 4,057 224 114 217 9 14,099 16,293 1987 9,560 1,136 11 4,116 184 121 179 8 15,315 13,268 1988 8,545 1,143 8 4,290 122 131 173 13 14,425 13,514 1989 6,517 1,076 7 4,744 157 155 184 7 12,847 9,826 1990 6,005 1,155 2 3,948 216 141 195 14 11,676 9,150 1991 4,605 1,062 5 4,002 248 3 180 180 8 10,293 9,349 1992 4,084 1,035 13 4,152 215 1 112 248 16 9,876 8,511 1993 4,181 990 4 9,439 276 6 129 181 17 15 15,238 8,097 1994 4,691 810 11 5,432 418 203 103 225 14 78 11,985 10,109 1995 4,686 806 0 6,119 438 217 62 435 24 68 12,855 8,426 1996 5,445 823 0 7,849 336 97 88 441 18 100 0 61 15,258 9,961 1997 5,457 663 0 5,278 4,802 397 17 35 104 616 29 114 11 115 17,638 11,447 1998 5,190 503 0 5,423 5,377 342 82 172 84 693 36 96 10 127 18,135 9,964 1999 4,650 380 0 6,194 6,142 133 15 32 80 770 12 91 16 9 18,524 8,414 2000 6,069 447 0 5 6,342 5,732 222 111 52 44 712 15 118 10 57 19,936 10,232 2001 6,606 446 0 0 5,911 7,084 218 6 17 42 661 13 134 28 77 21,243 11,539 2002 6,347 492 0 1 6,374 9,462 277 2 0 87 779 17 94 21 87 24,040 11,840 2003 8,510 515 0 1 6,533 9,561 340 2 2 74 792 10 81 21 36 26,478 13,443 2004 9,427 526 2 4 6,408 14,187 312 43 1 60 636 15 95 20 66 31,802 14,724 2005 11,977 584 1 4 5,230 24,747 344 30 0 66 540 18 71 4 54 43,670 17,901 2006 9,915 601 0 3 97 28,561 478 41 1 63 448 13 147 4 38 40,410 16,562 2007 8,533 606 0 1 25 17,701 363 56 7 49 466 12 108 10 17 27,954 14,952 2008 8704 626 0 1 15 20,256 282 67 0 72 417 12 123 11 12 30,598 15,567 2009 4,060 321 0 0 14 21,763 217 62 0 45 276 6 107 16 13 26,900 8,821 DIVISIONS CONSUMER SERVICES DIVISION The Public Utilities Complaints Department’s 7 member staff handled 9,345 inquiries and investigated 4,466 complaints. Intervention resulted in a savings of $134,491.61 for utility customers. A total of 28,442 customers were assisted due to the direct action of the depart-ment. The 2 person staff of the Technical Evaluation Department conducted a total of 326 field investigations, meter tests, and compliance audits in FY 10. The 3 person staff of the Oil and Gas Complaints and Information Department handled a total of 6,450 inquiries and complaints. The 2 person Miner Owners Escrow Account Department performed collections and depos-its of $14,447,309 and reimbursements of $2,845,190, and handled 2,064 inquiries. OIL AND GAS DIVISION The Division’s 46 field inspectors investigated and resolved 926 pollution-related citizen complaints and 588 industry-reported incidents, as well as 661 non-pollution-related citizen complaints. Most involved overseeing remediation of the site. 439 violations were discov-ered through on-site inspections. Inspectors oversaw 3,011 well mechanical integrity tests. The field inspectors are responsible for locating and recommending all potential sites to the OERB. In addition, OERB cannot remediate the surface area of the site unless all environ-mental hazards (open well bores, water table pollution, etc.) have first been addressed by the OCC. In FY10, OCC field inspectors located and turned in to the OERB 435 abandoned sites. The 24 person Technical, Compliance, and Document section processed 3,655 requests for reviews of surface casing requirements to ensure that the state’s groundwater resources are properly protected. In addition, the section handled 2,942 applications to drill, recomplete and re-enter wells; processed the reporting of production for more than 43,000 gas wells and more than 83,000 oil wells, and processed 3,303 completion reports, 1,086 certificates of records search, 2,873 well logs, 5,425 transfers of operatorship, 966 spacing applications, 2,052 location exception applications, and 520 increased density applications. The 9 person Underground Injection Control section oversaw 10,681 active wells, 8,847 inactive, unplugged wells with terminated orders, and 6,659 plugged and abandoned wells for a total of 26,187 past and present injection and disposal wells in FY2010. DIVISIONS (Cont.) OFFICE OF ADMINISTRATIVE PROCEEDINGS 12 administrative law judges and one appellate referee conducted 26,981 hearings related to oil and gas production and development, petroleum storage tanks, rail crossings, motor carriers, and public utilities. The Court Clerk's Office, staffed by 7 (1 temporary) docket clerks and one office manager, processed 24,774 applications and filed 7,830 Commission orders. PUBLIC UTILITIES DIVISION (PUD) The PUD staff of 32 (including support staff) handled 211 new utility cases, 184 active cases, and closed 189 cases. PUD had regulatory responsibility for 491 companies. These included electric utilities, natural gas utilities, water companies, cotton gins, and telecommunication companies. PETROLEUM STORAGE TANK DIVISION (PST) In FY 2010, PST’s 23 fuel specialists: Performed 8,372 service station inspections. Checked 97,326 pump calibrations, finding 595 pumps out of calibration. Conducted 5,490 annual inspections of motor fuel facilities. Investigated 526 complaints regarding gasoline purchased by consumers. The Indemnity Fund is used for cleanup of sites contaminated by leaking underground petroleum storage tanks. In FY 2010 the Indemnity Fund: Paid out $18,427,405 in reimbursements on 1,541 claims. Had an average time for payment of an initial claim of 8.43 days (the law requires no more than 90 days) while the average time for settling supplemental claims was 10.36 days (the law requires no more than 30 days). Had a claims processing cost for FY10 of 5.35 cents per dollar paid out. DIVISIONS (Cont.) TRANSPORTATION DIVISION In FY10, 54 Motor Carrier Enforcement Officers and 6 supervisors: Performed 179,049 vehicle checks, issuing 19,100 citations and 3,502 warnings. The Motor Carrier Requirements section is responsible for more than 7,094 for-hire and private motor carriers licensed to operate in interstate and intrastate commerce. In FY10, the Section: Processed 16,196 applications for authorization or changes in authorization to operate in or through Oklahoma. Reviewed and approved 10,856 insurance filings. Issued 393 permits for the transportation of deleterious substances, such as saltwater and other oilfield wastes. Processed 3,461 applications from Oklahoma-based interstate carriers, interstate private carriers, brokers, freight forwarders, and leasing companies for registration under the Unified Carrier Registration (UCR) program. The 10-person Pipeline Section is responsible for 237 intrastate natural gas pipeline operators and 20 hazardous liquid pipeline operators, operating over 38,000 miles of line. 145 safety violations in natural gas pipelines were found in FY 2010, and 3 hazardous liquid pipeline violations.
Object Description
Description
Title | Annual report snapshot 2010 |
OkDocs Class# | C5600.3 A615 2009/10 |
Digital Format | PDF, Adobe Reader required |
ODL electronic copy | Downloaded from agency website: http://www.occeweb.com/ad/SNAPSHOT2010-a.pdf |
Rights and Permissions | This Oklahoma state government publication is provided for educational purposes under U.S. copyright law. Other usage requires permission of copyright holders. |
Language | English |
Full text | ANNUAL REPORT SNAPSHOT FY 2010 OUR MISSION To regulate, enforce laws and supervise activities associated with the exploration and production of oil and gas, the storage and dispensing of petroleum-based fuels, the establishment of rates and services of public utilities, and the operation of intrastate transportation to best serve the economic needs of the public. In the interests of the public, the Commission will oversee the conservation of natural resources to avoid waste, abate pollution of the environment, and balance the rights and needs of the people with those of the regulated entities which provide essential and desirable services for the benefit of Oklahoma and its citizens. Want to Know More? Join us on the Internet for news, meeting and docket postings, rules, forms, well records, program updates and useful consumer information. www.occeweb.com Office of Public Information PO Box 52000, Oklahoma City, OK 73152 Phone: (405)521-4180 E-Mail: m.skinner@occemail.com This publication, printed by the Oklahoma Corporation Commission, is issued by the Corporation Commission of Oklahoma as authorized by Article XI, Sections 18, 25 and 29 of the Oklahoma State Constitution; Title 65, Section 3-114 of the Oklahoma Statutes, and in accordance with SSJR20, 1974, passed by the 2nd Session of the 34th Oklahoma Legislature. 100 copies (70 black&white, 30 color) have been prepared and distributed at an approximate cost of $92.60. Copies have been deposited with the Publications Clearinghouse of the Oklahoma Department of Libraries. The Oklahoma Corporation Commission History and Responsibilities T he Corporation Commission was established in 1907 by Article 9 of the Oklahoma Constitution, and the First Legislature gave the Commission authority to regulate public service corporations; those businesses whose services are considered essential to the public welfare. The legal principle for such regulation had been established in 1877 when the United States Supreme Court ruled in Munn v. Illinois that when a private company’s business affects the community at large, it becomes a public entity subject to state regulation. Initially, the Corporation Commission regulated transportation and transmission companies, mostly railroads and telephone and telegraph companies. The Commission also was directed to collect and maintain records of the stockholders, officers and directors of all corporations chartered or licensed to do business in Oklahoma (about 12,500 at statehood). As the state grew, the records collection task became larger than one agency could handle. The Commission kept authority for public service companies, and responsibility for other corporations was allocated to the Secretary of State and other state commissions and agencies according to business type. Pipelines and telephone service were placed under Commission jurisdiction in 1908. Regulation of water, heat, light and power rates began in 1913. The Commission began regulating oil and gas in 1914 when it restricted oil drilling and production in the Cushing and Healdton fields to prevent waste when production exceeded pipeline transport capacity. In 1915, the Legislature passed the Oil and Gas Conservation Act. This expanded oil and gas regulation to include the protection of the rights of all parties entitled to share in the benefits of oil and gas production. Also in 1915, the Legislature declared cotton gins to be public utilities and extended Corporation Commission authority over utility companies to include practices as well as rates. While the basic regulatory responsibility of the Corporation Commission has remained intact, many changes in state and federal laws have changed what is regulated. The Commission presently regulates public utilities, except those under municipal or federal jurisdiction or exempt from regulation; oil and gas drilling, production and environmental protection; aspects of motor carrier, rail and pipeline transportation, cotton gins, private water companies, and the environmental integrity of petroleum storage tank systems. It also has responsibility for the proper operation of fuel dispensing units (“gas pumps”) at retail filling stations. The Corporation Commission also enforces federal regulations for underground disposal of certain oil and gas waste fluids and remediation of soil and groundwater pollution caused by leaking petroleum product storage tanks. The Corporation Commission is comprised of three commissioners who are elected by statewide vote to serve six-year terms. The terms are staggered so one commissioner vacancy occurs every two years. The election pattern was established when the Commission was created by the state constitution. The first three elected commissioners drew lots for two-year, four-year and six-year terms. The Corporation Commission has judicial, legislative and administrative authority. The three Commissioners rule on all regulatory matters within Corporation Commission jurisdiction. Commission orders are appealable only to the Oklahoma Supreme Court. In-term vacancies are filled by gubernatorial appointment. Fourteen commissioners have been seated by appointment. The Commissioners Commissioner Bob Anthony is a member of the Board of Directors of the National Association of Regulatory Utility Commissioners and a board member and immediate past chairman of the National Regulatory Research Institute. The U.S. Secretary of Energy recently appointed Anthony to the National Petroleum Council. Anthony is past president of the Mid-America Regulatory Conference, a member and past president of the Economic Club of Oklahoma and is a delegate to the worldwide General Conference of the United Methodist Church. Anthony holds a B.S. from the Wharton School of Finance at the University of Pennsylvania. He also earned an M.Sc. from the London School of Economics, an M.A. from Yale University and an M.P.A. from Harvard University. He rose to the rank of captain in the U.S. Army Reserve. In 1972 he was staff economist for the Interior Committee of the U.S. House of Representatives. From 1979 to 1980 Anthony served on the City Council of Oklahoma City as Ward 2 Councilman and as vice mayor. In 1988 he was Chairman of the Trust Committee of Oklahoma’s largest bank trust department. In 1995 the FBI honored Anthony with its highest award given to a citizen who, “at great personal sacrifice, has unselfishly served his community and the nation.” Among other recognitions, the AARP of Oklahoma presented Anthony with an award “in appreciation of his tireless efforts on behalf of Oklahoma consumers.” Bob Anthony has been a statewide elected official longer than any current Oklahoma office holder, winning his fourth consecutive six-year term on the Oklahoma Corporation Commission in November 2006. He initially ran for the Corporation Commission in 1988, becoming the first Republican elected to that body in 60 years, and receiving more votes than any Republican since statehood. In 1994 Anthony became the first Republican incumbent in Oklahoma history to win statewide reelection to a state office. In 2000 he was reelected, receiving more votes at that time than any candidate for state office in Oklahoma history. In 1980, at age 32, Anthony became president of C.R. Anthony Company retail stores, then the largest privately-owned firm headquartered in Oklahoma. During his seven-year term as president, annual sales for the retail chain increased from $256 million to $411 million and payroll, employment and dollar profits reached all-time record levels. Prior to joining the Corporation Commission Anthony served on the boards of the Oklahoma State, Oklahoma City and South Oklahoma City chambers of commerce, the Oklahoma Historical Society, the Oklahoma Science and Arts Museum, Liberty National Bank, Banks of Mid-America, Inc., the Dale Rogers School for Retarded Citizens, and the Kirkpatrick Center. He also held positions with Oklahoma City University, Leadership Oklahoma, Leadership Oklahoma City, O.I.C., the YMCA, Contact, Children’s Medical Research and Hospital Hospitality House. All four of Anthony’s grandparents came to Oklahoma before statehood. His father was born in Cleveland, Oklahoma, and his mother grew up in Enid, Oklahoma. He and his wife Nancy were married in 1975 and are the parents of four daughters. Bob Anthony, Chairman Term: January 2007 — January 2013 The Commissioners Jeff Cloud, Vice-Chairman Term: January 2009 — January 2015 Jeff Cloud was elected statewide to a six-year term on the Oklahoma Corporation Commission on November 5, 2002, and was overwhelmingly reelected November 4, 2008 to another six-year term. Additionally, Cloud assumed the chairmanship of the Commission in June of 2005 and served as Chairman through December 2008. Cloud is a member of the Electricity Committee for the National Association of Regulatory Utility Commissioners (NARUC) and the Advisory Boards for the Center for Public Utilities at New Mexico State University. Cloud is also a member of the Legal and Regulatory Committee of the Interstate Oil and Gas Compact Commission (IOGCC), the Regional State Committee of the Southwest Power Pool, and serves on Oklahoma Employees Retirement System Board of Trustees. The Aspen Institute honored Cloud as one of the top young elected officials by naming him as a fellow for the Aspen Institute-Rodel Fellowship which brings together “the nation’s emerging leaders” to discuss broad issues of democratic governance and effective public service. Born in Tulsa and raised in Oklahoma City, Cloud earned a degree in Petroleum Land Management from the University of Oklahoma and a juris doctor from the Oklahoma City University School of Law. He is married to the former Trish Caldwell. They reside in Oklahoma City where they are raising their three children. Commissioner Dana Murphy serves as Chair of the Oklahoma Corporation Commission (OCC). Born in Woodward, Oklahoma, Commissioner Murphy is a fifth-generation Oklahoman deeply committed to her home state. After attending Central State University in Edmond, Oklahoma, where she received the Best All-Around Freshman Athlete award, she attended Oklahoma State University (OSU) and graduated in the top 10 percent of her class with a bachelor’s degree in geology. After practicing as a geologist for ten years, she obtained her law degree cum laude while working and attending night school at Oklahoma City University. On November 4, 2008, she was first elected to the statewide office of Oklahoma Corporation Commissioner for a partial two-year term. On July 27, 2010, she was re-elected to a full six-year term. On January 3, 2011, Commissioner Murphy became Chair of the Corporation Commission following election by her fellow Commissioners. Commissioner Murphy's prior experience includes serving for almost six years as an administrative law judge at the Commission, where she was named co-employee of the year for 1997 and received the Commissioners’ Public Servant Award in 2001. She has more than 22 years experience in the petroleum industry including owning and operating a private law firm focused on oil and gas title, regulatory practice and transactional work and working as a geologist. Commissioner Murphy is a member of the National Association of Regulatory Utility Commissioners (NARUC), where she serves on the Energy Resources and the Environment Committee. She is a member of the OSU Water Research Advisory Board, the Oklahoma Bar Association, American Association of Petroleum Geologists and Oklahoma City Geological Society. She also serves as the OCC representative on the Board of Trustees of the Oklahoma Public Employees Retirement System and is a member of the Salvation Army’s Central Oklahoma Area Command Advisory Board. Commissioner Murphy is a member of Energy Advocates and in March 2007 was recognized as an outstanding woman in energy. She previously served as a trustee and is currently a care chaplain for the Church of the Servant United Methodist Church in Oklahoma City. Prior to joining the Commission, she was a member of the board of directors of Farmers Royalty Company and is a member of the Edmond Chamber of Commerce. She is also a part-time personal fitness trainer. Commissioner Murphy lives in Edmond, Oklahoma, but continues to be actively involved with her family’s farm and ranch in Ellis County, Oklahoma. The Commissioners Dana Murphy, Commissioner Term: January 2009 — January 2011 OKLAHOMA CORPORATION COMMISSION June 30, 2010 Chairman Bob Anthony Vice Chairman Jeff Cloud Commissioner Dana Murphy Administrative Aide Larry Lago Executive Assistant Jackie Hollinhead Administrative Aide Bob Vandewater Executive Assistant Lisa Roberts Administrative Aide Teryl Williams Executive Assistant Billie Rodely Appointing Authority Brooks Mitchell Information Technology Director Michelle Smith Petroleum Storage Tank Division Director Gary Walker Office of Administrative Proceedings Director Michael Decker Director of Administration Brooks Mitchell Consumer Services Director (acting) Brooks Mitchell Office of General Counsel Director Andrew Tevington Oil and Gas Division Director Lori Wrotenbery Transportation Division Director Marchi McCartney Public Utility Division Director David Dykeman Five Year Summary Revenue Sources and Applications OKLAHOMA CORPORATION COMMISSION Statement of Sources and Applications (CASH BASIS) For the Fiscal Year Ending June 30 SOURCES 2009 2008 2007 2006 2010 General Revenue Fund $13,590,865 $13,519,647 $14,225,498 $12,638,013 11,544,803 Oil & Gas Conservation Fund Revolving Funds 15,096,017 12,546,019 11,867,920 12,224,852 13,473,613 Public Utility Assessment Fund 6,039,513 5,284,491 5,265,332 4,886,949 5,889,096 Transportation One-Stop Shop Fund 7,699,441 4,951,576 7,083,370 Indemnity Fund 3,376,171 4,504,441 4,146,254 3,416,016 4,043,530 Well Plugging Fund 3,210,984 3,388,005 3,382,214 2,844,227 2,541,440 Federal Funds 2,275,780 2,609,485 1,453,723 1,644,664 2,873,215 Other Funds 327,902 3,100,000 3,300,000 1,562,409 514,647 TOTAL AVAILABLE $51,616,673 $49,903,664 $43,640,941 $39,217,130 47,963,714 APPLICATIONS Administration $3,087,175 $ 2,986,903 3,014,174 $2,628,825 3,082,054 Consumer Services Division 1,033,252 946,519 1,069,065 892,788 1,040,012 Petroleum Storage Tank 5,050,074 4,695,275 4,205,043 3,804,634 4,790,514 Oil & Gas Division 8,290,474 8,596,470 7,900,020 6,606,331 8,009,238 Well Plugging/Storage Pits 2,033,266 2,025,322 1,785,059 1,182,485 1,291,445 UIC Federal 495,883 593,302 420,338 560,953 448,271 Office of Administrative Proceedings 2,538,266 2,370,955 2,343,078 2,058,891 2,286,574 Public Utilities 2,634,406 2,361,863 2,350,052 2,218,768 2,622,932 Office of General Counsel 2,166,053 2,050,020 2,020,644 1,895,953 1,864,410 Transportation 10,142,852 9,492,331 8,301,813 7,774,155 9,528,493 Pipeline Safety 1,114,450 1,139,251 1,047,040 997,845 1,056,397 Data Processing 2,805,223 2,416,235 2,135,682 2,157,773 2,474,138 Expenditures $41,391,374 $39,674,446 $36,592,008 $32,779,401 $38,494,478 Reserve for Obligations 4,906,495 4,938,190 5,109,334 3,723,616 4,281,362 Lapsed Funds Transferred Funds Cash Balance Available 5,318,804 5,291,028 1,939,599 2,714,113 5,187,874 TOTAL APPLIED $51,616,673 $49,903,664 $43,640,941 $39,217,130 $47,963,714 FY10 Financial Statement—Revenue Sources and Applications Revenue Sources The operations of the Corporation Commis-sion are funded by the following fund types: General Revenue: Funds appropriated by the Legislature each year. These funds are fiscal year specific. Revolving Funds: Payments received from regulated companies for licenses, permits, fees and fines. Public Utility Assessment: Annual assessments to regulated utilities for the funding of the Public Utility Division and related support costs. Well Plugging: Funds from oil and gas excise tax on gross production dedi-cated for plugging abandoned oil and gas wells. Federal Funds: Grants for federal pro-grams administered by the Oklahoma Corporation Commission. Revenue Applications The FY10 total available funds applied re-flects the following distribution as a percent of total. Funding and Staffing ***Included in following fiscal year budget. SOURCES AMOUNTS % OF TOTAL General Revenue Fund: FY09 Cash Balance $809,537 1.7% General Revenue Appropriations 10,735,266 22.4% Oil & Gas Revolving Fund: FY09 Cash Balance 692,061 1.4% Intent to Drill Fees $728,150 Other 485,641 1,213,791 2.5% OCC Revolving Fund: FY09 Cash Balance 2,741,440 5.7% Unified Carrier Registration $622,720 Pipeline Safety Fees 1,229,376 Filing Fees 485,040 Other 5,368,786 7,705,922 16.1% Petroleum Storage Tank FY09 Cash Balance 659,250 1.4% Permits $296,223 Other 164,926 461,149 1.0% Public Utility Assessment Fund: FY09 Cash Balance 617,504 1.3% Assessments $5,271,592 11.2% Transportation One-Stop Shop Fund FY09 Cash Balance 2,570,465 5.4% Transportation Fees & Fines 4,512,905 9.4% Indemnity Fund: FY09 Cash Balance 62,646 0.1% Fund Receipts 3,980,884 8.3% Well Plugging Fund: FY09 Cash Balance 1,177,719 2.5% Oil & Gas Excise Tax Receipts 1,363,721 2.8% Federal Funds: FY09 Cash Balance 35,028 0.1% Federal Funds Received 2,838,187 5.9% Other Funds: FY09 Cash Balance 327,045 0.7% L.U.S.T. Revolving Fund 187,602 0.4% TOTAL AVAILABLE $47,963,714 100.0% APPLICATIONS AMOUNTS % OF TOTAL Administration $3,082,054 6.4% Consumer Services Division 1,040,012 2.2% Petroleum Storage Tank Administration 433,125 .9% Claims Processing 824,961 1.7% Regulatory 3,532,428 7.4% Oil & Gas Division 8,009,238 16.7% Well Plugging/Storage Pits 1,291,445 2.7% UIC Federal 448,271 .9% Office of Administrative Proceedings 2,286,574 4.8% Public Utilities 2,622,932 5.5% Office of General Counsel 1,864,410 3.9% Transportation 9,528,493 19.9% Pipeline Safety 1,056,397 2.2% Data Processing 2,474,138 5.2% FY10 EXPENDITURES $38,494,478 80.3% Reserve for Obligations 4,281,362 8.9% Lapsed Funds Fund Balance $5,187,873 10.8% TOTAL APPLIED $47,963,714 100.0% Fiscal Year Funding Auth. FTE* 2000 $29,293,711 453 2001 $31,156,648 453 2002 $29,635,653 453 2003 $30,261,108 453 2004 $28,679,330 453 2005 $34,972,742 453 2006 $39,217,130 535** 2007 $43,640,941 547 2008 $49,903,664 547 2009 $51,616,673 547 2010 $47,963,714 478 Expenditure Total Salaries & Benefits 64.2% Professional Services 7.6% Travel 0.3% Equipment 1.1% Other Operating Expenses 7.1% Funds reserved for obligations 8.9% Transferred/Lapsed Funds 0.0% Cash Balance Available 10.8% Total 100.00% *Denotes maximum authorized Full Time Employee (FTE) positions, not the actual number of FET’s - (actual average number of FTE’s in FY10 was 378). **Increase the result of legislatively-mandated transfer of Oklahoma Tax Commission sections to the Oklahoma Corporation Commission. Administration6%Consumer Services2%Petroleum Storage Tank10%Oil & Gas20%Administrative Proceedings5%Public Utilities6%General Counsel4%Transportation20%Pipeline2%Data Processing5%Other20%APPLICATIONSGeneral Revenue24%Transportation1%Pipeline3%Other Revolving18%Indemnity9%Petroleum Storage Tank2%Well Plugging 5%Utility Assessment12%Oil & Gas Revolving4%Transportation One-Stop Shop15%Federal6%Other1%SOURCES12A OKLAHOMA CORPORATION COMMISSION FISCAL YEARS - 1988-2010 YEAR CD PD GD GG MC MCC EN FD FDC TD PUD RM SF CS OGC TOTAL ORDERS 1988 9,559 1,162 10 4,025 150 141 163 13 15,223 13,474 1989 7,670 1,116 6 4,745 159 138 172 7 14,013 12,226 1990 4,413 1,085 7 4,054 181 140 196 11 10,087 8,492 1991 4,957 1,139 3 3,828 279 2 176 188 10 10,582 9,875 1992 4,226 936 5 4,151 160 2 138 220 11 9,849 8,441 1993 3,834 1,099 12 6,540 274 4 123 186 19 12,091 8,258 1994 4,543 868 5 7,159 297 4 121 203 18 52 13,270 9,566 1995 4,760 818 1 6,653 457 272 79 237 19 81 13,377 9,168 1996 4,893 898 0 7,801 398 154 59 512 23 86 29 14,853 9,395 *1997 5,645 614 0 4,604 4,404 308 24 21 120 516 22 99 3 91 16,471 10,697 1998 5,324 574 0 5,421 5,149 432 60 163 92 675 26 111 13 140 18,180 10,949 1999 4,789 456 0 5,937 5,968 254 43 56 64 727 23 85 12 43 18,457 9,081 2000 5,489 414 0 3 6,220 6,032 145 111 39 68 736 16 106 18 31 19,428 9,087 2001 6,594 409 0 3 6,128 6,754 259 9 37 42 683 19 131 15 63 21,146 11,220 2002 6,152 491 0 0 5,999 7,340 185 2 0 54 662 18 118 23 71 21,115 11,447 2003 7,536 486 0 1 6,489 10,496 316 2 1 95 844 9 75 26 84 26,460 12,494 2004 9,002 502 0 1 6,796 9,832 322 36 2 61 698 12 94 17 46 27,441 14,239 2005 9,891 547 3 3 6,504 22,750 349 21 1 78 582 13 120 9 83 40,954 15,903 2006 12,365 576 0 7 2,330 26,823 384 45 1 57 480 22 135 3 59 43,287 18,954 2007 8,728 619 0 0 89 21,009 445 46 7 60 520 6 128 6 20 31,683 14,560 2008 8,714 606 0 2 17 17,606 326 47 0 61 428 11 126 8 11 27,963 15,092 2009 6,086 521 0 0 14 23,463 251 76 0 63 343 12 103 15 17 30,966 12,712 2010 4,683 187 0 2 14 19,301 160 59 0 36 210 7 72 19 8 24,758 7,945 CALENDAR YEARS - 1977-2009 YEAR CD PD GD GG MC MCC EN FD FDC TD PUD RM SF CS OGC TOTAL ORDERS 1977 5,456 522 350 3,843 10,171 10,673 1978 6,285 477 272 4,156 11,190 11,357 1979 7,362 486 271 5,107 13,226 13,617 1980 13,008 742 382 6,983 21,115 19,940 1981 14,483 1,025 593 7,606 23,707 23,739 1982 12,978 1,332 513 5,858 20,681 25,216 1983 10,589 1,605 657 4,395 17,246 20,686 1984 13,456 1,731 649 3,732 19,568 19,722 1985 13,002 1,155 401 4,004 90 53 84 0 18,789 20,149 1986 8,320 1,157 1 4,057 224 114 217 9 14,099 16,293 1987 9,560 1,136 11 4,116 184 121 179 8 15,315 13,268 1988 8,545 1,143 8 4,290 122 131 173 13 14,425 13,514 1989 6,517 1,076 7 4,744 157 155 184 7 12,847 9,826 1990 6,005 1,155 2 3,948 216 141 195 14 11,676 9,150 1991 4,605 1,062 5 4,002 248 3 180 180 8 10,293 9,349 1992 4,084 1,035 13 4,152 215 1 112 248 16 9,876 8,511 1993 4,181 990 4 9,439 276 6 129 181 17 15 15,238 8,097 1994 4,691 810 11 5,432 418 203 103 225 14 78 11,985 10,109 1995 4,686 806 0 6,119 438 217 62 435 24 68 12,855 8,426 1996 5,445 823 0 7,849 336 97 88 441 18 100 0 61 15,258 9,961 1997 5,457 663 0 5,278 4,802 397 17 35 104 616 29 114 11 115 17,638 11,447 1998 5,190 503 0 5,423 5,377 342 82 172 84 693 36 96 10 127 18,135 9,964 1999 4,650 380 0 6,194 6,142 133 15 32 80 770 12 91 16 9 18,524 8,414 2000 6,069 447 0 5 6,342 5,732 222 111 52 44 712 15 118 10 57 19,936 10,232 2001 6,606 446 0 0 5,911 7,084 218 6 17 42 661 13 134 28 77 21,243 11,539 2002 6,347 492 0 1 6,374 9,462 277 2 0 87 779 17 94 21 87 24,040 11,840 2003 8,510 515 0 1 6,533 9,561 340 2 2 74 792 10 81 21 36 26,478 13,443 2004 9,427 526 2 4 6,408 14,187 312 43 1 60 636 15 95 20 66 31,802 14,724 2005 11,977 584 1 4 5,230 24,747 344 30 0 66 540 18 71 4 54 43,670 17,901 2006 9,915 601 0 3 97 28,561 478 41 1 63 448 13 147 4 38 40,410 16,562 2007 8,533 606 0 1 25 17,701 363 56 7 49 466 12 108 10 17 27,954 14,952 2008 8704 626 0 1 15 20,256 282 67 0 72 417 12 123 11 12 30,598 15,567 2009 4,060 321 0 0 14 21,763 217 62 0 45 276 6 107 16 13 26,900 8,821 DIVISIONS CONSUMER SERVICES DIVISION The Public Utilities Complaints Department’s 7 member staff handled 9,345 inquiries and investigated 4,466 complaints. Intervention resulted in a savings of $134,491.61 for utility customers. A total of 28,442 customers were assisted due to the direct action of the depart-ment. The 2 person staff of the Technical Evaluation Department conducted a total of 326 field investigations, meter tests, and compliance audits in FY 10. The 3 person staff of the Oil and Gas Complaints and Information Department handled a total of 6,450 inquiries and complaints. The 2 person Miner Owners Escrow Account Department performed collections and depos-its of $14,447,309 and reimbursements of $2,845,190, and handled 2,064 inquiries. OIL AND GAS DIVISION The Division’s 46 field inspectors investigated and resolved 926 pollution-related citizen complaints and 588 industry-reported incidents, as well as 661 non-pollution-related citizen complaints. Most involved overseeing remediation of the site. 439 violations were discov-ered through on-site inspections. Inspectors oversaw 3,011 well mechanical integrity tests. The field inspectors are responsible for locating and recommending all potential sites to the OERB. In addition, OERB cannot remediate the surface area of the site unless all environ-mental hazards (open well bores, water table pollution, etc.) have first been addressed by the OCC. In FY10, OCC field inspectors located and turned in to the OERB 435 abandoned sites. The 24 person Technical, Compliance, and Document section processed 3,655 requests for reviews of surface casing requirements to ensure that the state’s groundwater resources are properly protected. In addition, the section handled 2,942 applications to drill, recomplete and re-enter wells; processed the reporting of production for more than 43,000 gas wells and more than 83,000 oil wells, and processed 3,303 completion reports, 1,086 certificates of records search, 2,873 well logs, 5,425 transfers of operatorship, 966 spacing applications, 2,052 location exception applications, and 520 increased density applications. The 9 person Underground Injection Control section oversaw 10,681 active wells, 8,847 inactive, unplugged wells with terminated orders, and 6,659 plugged and abandoned wells for a total of 26,187 past and present injection and disposal wells in FY2010. DIVISIONS (Cont.) OFFICE OF ADMINISTRATIVE PROCEEDINGS 12 administrative law judges and one appellate referee conducted 26,981 hearings related to oil and gas production and development, petroleum storage tanks, rail crossings, motor carriers, and public utilities. The Court Clerk's Office, staffed by 7 (1 temporary) docket clerks and one office manager, processed 24,774 applications and filed 7,830 Commission orders. PUBLIC UTILITIES DIVISION (PUD) The PUD staff of 32 (including support staff) handled 211 new utility cases, 184 active cases, and closed 189 cases. PUD had regulatory responsibility for 491 companies. These included electric utilities, natural gas utilities, water companies, cotton gins, and telecommunication companies. PETROLEUM STORAGE TANK DIVISION (PST) In FY 2010, PST’s 23 fuel specialists: Performed 8,372 service station inspections. Checked 97,326 pump calibrations, finding 595 pumps out of calibration. Conducted 5,490 annual inspections of motor fuel facilities. Investigated 526 complaints regarding gasoline purchased by consumers. The Indemnity Fund is used for cleanup of sites contaminated by leaking underground petroleum storage tanks. In FY 2010 the Indemnity Fund: Paid out $18,427,405 in reimbursements on 1,541 claims. Had an average time for payment of an initial claim of 8.43 days (the law requires no more than 90 days) while the average time for settling supplemental claims was 10.36 days (the law requires no more than 30 days). Had a claims processing cost for FY10 of 5.35 cents per dollar paid out. DIVISIONS (Cont.) TRANSPORTATION DIVISION In FY10, 54 Motor Carrier Enforcement Officers and 6 supervisors: Performed 179,049 vehicle checks, issuing 19,100 citations and 3,502 warnings. The Motor Carrier Requirements section is responsible for more than 7,094 for-hire and private motor carriers licensed to operate in interstate and intrastate commerce. In FY10, the Section: Processed 16,196 applications for authorization or changes in authorization to operate in or through Oklahoma. Reviewed and approved 10,856 insurance filings. Issued 393 permits for the transportation of deleterious substances, such as saltwater and other oilfield wastes. Processed 3,461 applications from Oklahoma-based interstate carriers, interstate private carriers, brokers, freight forwarders, and leasing companies for registration under the Unified Carrier Registration (UCR) program. The 10-person Pipeline Section is responsible for 237 intrastate natural gas pipeline operators and 20 hazardous liquid pipeline operators, operating over 38,000 miles of line. 145 safety violations in natural gas pipelines were found in FY 2010, and 3 hazardous liquid pipeline violations. |
Date created | 2011-07-11 |
Date modified | 2011-10-27 |