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JAC BUDGET
HEARINGS 12/15/2005
0 ~ 12/15/2005 8:05:42 AM ~ Start
Recording
9 ~ 12/15/2005 8:05:50 AM ~ Pause
9 ~ 12/15/2005 8:10:38 AM ~ Resume
9 ~ 12/15/2005 8:10:38 AM ~ 8:00 a.m
Wyoming Pipeline Authority - Bryan Hassler, Administrator
15 ~ 12/15/2005 8:10:45 AM ~ Wyoming
Pipeline Authority, Bryan Hassler, will continue to operate under last budget,
no request in Generl Budget. Have 2
employees in Casper, an open position in Gillette. Handout #17 production expected in Rockies, WY a major
participant. Transportation to other
markets, Denver and Salt Lake City are heaviest users. Transportation costs spread over 8-9 months
of year. Kern River major
expansion. On heels of this, Cheyenne
Plains project 36" pipeline from Cheyenne to KS to intersect with other
pipelines. Kern River operating at
close to capacity. We have added export
capacity, 2007-2008 we could be in construction capacity again. Support Kinder Morgan pipeline, single
largest pipeline built from Cheyenne to Ohio.
Hurricane Katrina necessitated infrastructure.
6:24 ~ 12/15/2005 8:16:54 AM ~ Hassler -
production rate, pg. 2 of handout 17 - graph shows impact pricing has on
production
7:43 ~ 12/15/2005 8:18:12 AM ~ Hassler -
chart shows impact of price on production levels, futures market today, @
$9-$10 = $2.7billion anticipated income for state. Growth in production in region, there will be a need over the
next 2 years to maintain price & parity of state. Pg. 22 of handout shows
NYMEX pricing, CREG estimates. Prices
could become depressed in coming years.
Eastern producers have received higher prices. We are interested in legislation to ensure pipeline.
12:30 ~ 12/15/2005 8:22:59 AM ~ Simpson - if
no additonal pripeline comes on line, what is your projection?
12:54 ~ 12/15/2005 8:23:23 AM ~ Hassler -
80-90% usage causes disruption and will see an expansion of basis
differential. If not by 2007-08
expansion, we could see low prices from 2002.
14:01 ~ 12/15/2005 8:24:30 AM ~ Simpson -
basis differential?
14:11 ~ 12/15/2005 8:24:40 AM ~ Hassler -
New handout average $1.25, other points are flatening out. East of Mississippi $1.70. Equalize prices, could lower prices in those
regions.
16:16 ~ 12/15/2005 8:26:45 AM ~ Simpson -
why get into positive differential?
16:29 ~ 12/15/2005 8:26:58 AM ~ Hassler -
when cold weather is across northern part of country and when front range is in
high usage.
17:04 ~ 12/15/2005 8:27:33 AM ~ Jorgensen -
comparison with Interstate to carrying capacity, someone has a preferential
use. Challenge we will have more cash
than know what to do with it.
18:23 ~ 12/15/2005 8:28:52 AM ~ Hassler -
tough issue to get subscription to service needed to get a pipeline like this
built. Demand pull function, project
may go into service just before price collapse might happen. Need to serve causes movement. US must look at the Rockies and what can be
provided. Shell can drill as many as 64
wells from one source, having less environmental impact.
21:33 ~ 12/15/2005 8:32:03 AM ~ Anderson -
challenges from AK, Canada, etc. How
affect?
22:08 ~ 12/15/2005 8:32:38 AM ~ Hassler -
off Baja CA could displace WY gas into CA and affect WY prices. Must develop markets into markets before
these. Canada has active oil/gas
community, but declines sharper. Canada
production needs will greatly increase over next years. We have strategic opportunity to get in
ahead of others.
24:53 ~ 12/15/2005 8:35:23 AM ~
26:00 ~ 12/15/2005 8:36:29 AM ~ Hassler -
27:16 ~ 12/15/2005 8:37:45 AM ~ Job - go
back to legislation - associated appropriation?
27:50 ~ 12/15/2005 8:38:19 AM ~ Hassler - 4
interests working on with Minerals Committee - 1st - coal gasification & additonal crude, etc. 2nd - Treasurer requested that she be able
to invest in more diverse bonds and raise bonding capacity from $1b to
$3b. Go to single financier
easier. If default occurs explains. 3rd
- name change to WPA from WNGPA. 4th -
Credit support and additonal $50m loan in process. Incorporation around transportation network. 4th request may or
may not show up this legislative session.
This capacity is critical, would talk with any of you. These projects take a lot of time. Wamsutter to Cheyenne will be operational in
2006. By 2009 entire project should be
in place.
37:01 ~ 12/15/2005 8:47:30 AM ~ Hines - When
session starts have a meeting with JAC to explain and prepare for questions on
the floor.
38:13 ~ 12/15/2005 8:48:43 AM ~ Hassler -
should be a Joint Minerals Committee bill, I am available at any time, also in
interim.
38:53 ~ 12/15/2005 8:49:23 AM ~ Case - is it
typical to use government funds to build pipelines?
39:14 ~ 12/15/2005 8:49:43 AM ~ Hassler -
atypical
39:22 ~ 12/15/2005 8:49:52 AM ~ Case -
explain bonding?
39:33 ~ 12/15/2005 8:50:02 AM ~ Hassler -
bonding authority is allowed by law.
40:31 ~ 12/15/2005 8:51:00 AM ~ Case -
provide revenue bond capability without being a quasi state agency?
40:58 ~ 12/15/2005 8:51:27 AM ~ Hassler - no
41:04 ~ 12/15/2005 8:51:34 AM ~ Case - lack
of market capital?
41:19 ~ 12/15/2005 8:51:48 AM ~ Hassler -
any company that is financially sound has the ability to get capital.
41:46 ~ 12/15/2005 8:52:15 AM ~ Case - one
of arguments for us to participate in this problem was need for liquid gas to
CA. Intention to stop flow?
42:33 ~ 12/15/2005 8:53:02 AM ~ Hassler -
no, under construction now.
42:49 ~ 12/15/2005 8:53:19 AM ~ Case -
irregardless of our actions, that terminal will be built? Enter into contracts to buy gas?
43:25 ~ 12/15/2005 8:53:54 AM ~ Hassler -
80% of natural gas committed already
43:42 ~ 12/15/2005 8:54:11 AM ~ Case -
prices for delivered for LNG?
44:08 ~ 12/15/2005 8:54:37 AM ~ Hassler -
Some countries with huge natural gas reserves - Canada is largest - may see
mergers with US firms.
44:57 ~ 12/15/2005 8:55:26 AM ~ Case -
price?
45:02 ~ 12/15/2005 8:55:31 AM ~ Hassler -
prices will be driven by world markets.
Spain in spring was an example.
Price for landing natural gas in US has dropped over last few years.
46:09 ~ 12/15/2005 8:56:38 AM ~ Case - can
we provide gas cheaper than that?
46:23 ~ 12/15/2005 8:56:53 AM ~ Hassler - are
areas in US that already lower, but some Jonah, e.g. are higher
47:00 ~ 12/15/2005 8:57:29 AM ~ Case -
cheaper than Baja price?
47:11 ~ 12/15/2005 8:57:41 AM ~ Hassler - do
have the ability to provide natural gas cheaper than that.
48:02 ~ 12/15/2005 8:58:32 AM ~ Case - would
that $4 price be attractive to a company to develop a project?
48:29 ~ 12/15/2005 8:58:58 AM ~ Hassler -
would depend on area and export price.
Demand will drive prices in future.
Demand will outstrip supplies for the near future.
49:35 ~ 12/15/2005 9:00:04 AM ~ Case - Don't
expect scenario of glut of foreign, private markets should be able to solve
this problem?
50:14 ~ 12/15/2005 9:00:43 AM ~ Hassler -
private markets have solved in past, 2001 - 02 summertime magnitude such that
only the large producers. If WPA didn't
exist, the market would take care of itself.
Our involvement is to stave off crisis.
51:53 ~ 12/15/2005 9:02:22 AM ~ Case-WPA
responds to areas private market cannot take care of?
52:23 ~ 12/15/2005 9:02:52 AM ~ Hassler -
producers appreciate that WPA gives one common source to work with and work
thru. Projects can work forward more
quickly than otherwise.
53:42 ~ 12/15/2005 9:04:11 AM ~ Case -
private companies benefitted financially by revenue guarantees?
54:10 ~ 12/15/2005 9:04:39 AM ~ Hassler -
none provided
54:16 ~ 12/15/2005 9:04:46 AM ~ Case -
revenue bonding authority, if haven't used it, why needed?
54:45 ~ 12/15/2005 9:05:14 AM ~ Hassler -
state dependent, pushing projects
55:06 ~ 12/15/2005 9:05:35 AM ~ Case - thank
chair for indulgence
55:16 ~ 12/15/2005 9:05:46 AM ~ Job -
bonding authority?
55:26 ~ 12/15/2005 9:05:55 AM ~ Hassler -
Kinder Morgan/Semper $4.5m project to construct. WPA could be competitive to finance all or in part, need for
Carbon Dioxide transmission, Carbon sequestration, in best interest of state to
have the WPA to help build
57:53 ~ 12/15/2005 9:08:22 AM ~ Job -
competition
58:18 ~ 12/15/2005 9:08:47 AM ~ Hassler -
presently operating under a loan from state, selling subscription to
propriatary data, State needs an organization to act as a common platform.
59:53 ~ 12/15/2005 9:10:22 AM ~ Nicholas -
tax free bonds?
1:00:20
~ 12/15/2005 9:10:49 AM ~ Hassler - some could be federally tax exempt. Much of the income to the state flows down
the pipelines, thus making it possible to make tax exempt. Draft presented for Washington D.C. to make
this possible.
1:01:49
~ 12/15/2005 9:12:18 AM ~ Nicholas - tax exempt bonds allows a tax advantage
over private firms, so they would want to use our bonds. Why?
1:02:47
~ 12/15/2005 9:13:16 AM ~ Hassler - don't know yet for sure. State Treasurer more interested in
investments, not tax free status.
1:03:30
~ 12/15/2005 9:13:59 AM ~ Nicholas - concern of capacity? Embarrassment factor if you cannot meet this
capacity.
1:04:05
~ 12/15/2005 9:14:34 AM ~ Hassler - no intent to put state in jeopary. Working
on capacity issues.
1:05:36
~ 12/15/2005 9:16:05 AM ~ Nicholas - you are a quasi organization created by
state. How do you bank $200m capacity.
1:06:15
~ 12/15/2005 9:16:45 AM ~ Hassler - timing issue, confident that we can use
other to bear expense if state funding thru legislation this session so project
will get built.
1:07:46
~ 12/15/2005 9:18:16 AM ~ Nicholas - budgeted your agency by loan. Repayment only available if not becoming a
bonding authority?
1:08:20
~ 12/15/2005 9:18:49 AM ~ Hassler - confident we can become self-sustaining and
could pay Legislature back in short time.
1:09:58
~ 12/15/2005 9:20:27 AM ~ Nicholas - Good pitch you have corpus regardless of
getting loan. Principal interest to
have you finance and repay loan or motivate private parties. Self interest? Could pay from GF and forget loan. We want you to build pipelines.
1:11:35
~ 12/15/2005 9:22:04 AM ~ Hassler - We provide good service to state of
WY. Conundrum - propriotory data shows
we can become self-sustaining. When I
came on to WPA 3 years ago, several projects were unable to get off
ground. We do want ability to
move. Steve Waddington will talk to
Infrastructure Authority in WY.
1:14:14
~ 12/15/2005 9:24:43 AM ~ Philp - have covered your standard budget request,
any further
1:14:36
~ 12/15/2005 9:25:05 AM ~ Hines - Staff, using money appropriated to continue. Are we appropriatin another $1.3m for next
biennium.
1:15:37
~ 12/15/2005 9:26:06 AM ~ Steve - loan WPA another $1.3m for this
biennium. Would be $2.5m for biennium.
1:16:18
~ 12/15/2005 9:26:48 AM ~ Hassler - Sufficient resources available, may be
unaware of proper request.
1:17:11
~ 12/15/2005 9:27:41 AM ~ Nicholas - how to finance, pay off old bond,
1:18:35
~ 12/15/2005 9:29:05 AM ~ Steve - can't appropriate money, can only loan money.
1:18:57
~ 12/15/2005 9:29:27 AM ~ Nicholas - loan $2.6 and to pay off $1.3 prior
loan. Do you loan, makes a difference
if there is financing.
1:20:05
~ 12/15/2005 9:30:35 AM ~ Hassler - have been working for less salary
personally. Can operate on last year's loan for this year. We anticipate
abiltity to pay back.
1:21:24
~ 12/15/2005 9:31:53 AM ~ Nicholas - why wouldn't we just appropriate funds and
not do a loan.
1:21:57
~ 12/15/2005 9:32:27 AM ~ Philp - data subscription service?
1:22:11
~ 12/15/2005 9:32:41 AM ~ Hassler - Yes, sold 7 subscriptions at $5,000/yr.
Have 3 applications in.
1:22:49
~ 12/15/2005 9:33:18 AM ~ Philp - authority with enabling legislation?
1:23:09
~ 12/15/2005 9:33:38 AM ~ Hassler - yes
1:23:16
~ 12/15/2005 9:33:45 AM ~ Simpson - where does this revenue show up, also what
subscriptions are you discussing?
1:23:45
~ 12/15/2005 9:34:14 AM ~ Hassler - A&I could disseminate globally.
1:24:11
~ 12/15/2005 9:34:41 AM ~ Simpson-where revenue show up?
1:24:21
~ 12/15/2005 9:34:50 AM ~ Hassler - anticipated 50 subscriptions at $5,000/yr.
1:25:23
~ 12/15/2005 9:35:53 AM ~ Simpson - AORG,
1:25:39
~ 12/15/2005 9:36:08 AM ~ Steve - if generate revenue, indicate payback of loan
from revenue. They are on track to
spend the entire $1.3m request.
1:27:03
~ 12/15/2005 9:37:32 AM ~ Nicholas - does A&I have item in budget for
subscription.
1:27:26
~ 12/15/2005 9:37:55 AM ~ McVey - Yes.
1:27:35
~ 12/15/2005 9:38:04 AM ~ Steve - different, we give money, they do accounting.
1:27:55
~ 12/15/2005 9:38:24 AM ~ McVey - They are on track to spend the initial
loan. In 2007-2008 if revenues allow,
they begin to pay back. Must be paid
off by 2010 by SLIB.
1:29:22
~ 12/15/2005 9:39:52 AM ~ Jorgensen - Iran production, how related to WY. Referred to as "Persian Gulf" of
Natural Gas
1:30:42
~ 12/15/2005 9:41:11 AM ~ Hassler - Front Range is "Persian Gulf" of
Natural Gas, in trillion cu. ft.
1:31:25
~ 12/15/2005 9:41:54 AM ~ Simpson - 21 trillion cu. ft. cited in budget
1:31:44
~ 12/15/2005 9:42:13 AM ~ Hassler - refers to proven reserves from 2003.
1:32:17
~ 12/15/2005 9:42:46 AM ~ Philp - thank you, take a short break. Then go to Wyoming Infrastructure Authority.
1:32:39
~ 12/15/2005 9:43:07 AM ~ Pause
1:32:39
~ 12/15/2005 9:43:09 AM ~ Resume
1:45:55
~ 12/15/2005 9:56:25 AM ~ Pause
1:45:55
~ 12/15/2005 9:59:38 AM ~ Resume
1:46:22
~ 12/15/2005 10:00:05 AM ~ Wyoming Infastructure Authority - Steve Waddington
and Mike Easley We are patterned after the pipeline authority, but we are a
couple of years behind. We have our
first financing behind us and we are getting our first revenue stream to get
back to the state.
1:49:07
~ 12/15/2005 10:02:50 AM ~ Waddington - Next week we will be announcing another
partner - spec. Salt Lake and Boise(called WY west) and we are working on the
Frontier line. Another 1 or 2 projects
will be forthcoming. W/ routing next
week we will be having sev. projects going.
Structure to create value. We
are in this to make money for the state.
Basic business model - to use loans that have been granted to us.
1:52:19
~ 12/15/2005 10:06:02 AM ~ Nicholas - investigate your bus. model - What is
rate of interest if state treas. grants
you money?
1:52:59
~ 12/15/2005 10:06:42 AM ~ Waddington - 4%
1:53:11
~ 12/15/2005 10:06:54 AM ~ Nicholas - what did you loan them out?
1:53:29
~ 12/15/2005 10:07:12 AM ~ Waddington - $43K for year total monies made on
that. Revenues that we anticipate will
be partially refunded to state.
1:54:30
~ 12/15/2005 10:08:13 AM ~ Nicholas - I thought that you were going to have
bonds that would loan to industry and get a greater rate of return.
1:55:42
~ 12/15/2005 10:09:25 AM ~ Waddington - When we worked w/ treasurer she thought
that this was a lucrative thing in her portfolio.
1:56:25
~ 12/15/2005 10:10:07 AM ~ Nicholas-w/PMT funds we thought that we would plan
on getting 8% back. We can't loan to
all of industry for that low % rate.
1:58:21
~ 12/15/2005 10:12:04 AM ~ Easley- Steve W. wasn't here at time this deal was
done.
1:59:11
~ 12/15/2005 10:12:54 AM ~ Nicholas - chg ranchers 8% & I don't think that
is where we should be.
1:59:45
~ 12/15/2005 10:13:27 AM ~ Waddington - Sen. makes a pt. I don't see our bonding capability being the
best in our quiver. We have better
capabilities that financing small projects.
We messed up our budget. We only
did it for one year, not the bien.
That's my fault. We'll work on
that. - first time doing this. We'll do
better. Need to submit to 5 elected
officials our projects. Board thinks
that need 10mil to participate in projects set out now. Since budget was put tog. has been sign. talk about coal gasification
and huge opportunity for this state.
Min. comm. is considering a bill to help us to be able to participate in
these advanced tech.
2:05:37
~ 12/15/2005 10:19:20 AM ~ Warren - process of how this happens - offering a
loan - What the checks and balances for this process?
2:06:19
~ 12/15/2005 10:20:02 AM ~ Waddington - will try - not a simple answer - in
case of loan that occured - for Treas. to be able to receive the bonds the AG
office had to approve. In larger,
major corridor- will depend on who partitipants are - may or may not be much we
can do to help.
2:08:32
~ 12/15/2005 10:22:15 AM ~ Warren - Are 5 elected officials involved before
bonding is done??
2:08:57
~ 12/15/2005 10:22:40 AM ~ Easley - I don't know exactly how the treas. office
operates.
2:10:33
~ 12/15/2005 10:24:16 AM ~ Nicholas- I would like for whatever loans are out
there reflected in your budget.
2:11:03
~ 12/15/2005 10:24:46 AM ~ Easley - $5mil one - how should we do this budget -
By statute we can do loans. If we have
gen. fund appropriation then we can have more leverage. On bigger picture, as involved in projects
if we give them loans then we can have stake in projects. We think that industry could buy us out and
those funds could then pay you back.
With business plan we would submit and show 5 elected officials. We want to show state return on their
investments. We want to show some
revenue to state.
2:15:41
~ 12/15/2005 10:29:24 AM ~ Nicholas- have been able to get any matching funds
from private sector?
2:16:17
~ 12/15/2005 10:30:00 AM ~ Waddington - yes, that we are working w/ Transect.
2:16:45
~ 12/15/2005 10:30:28 AM ~ Nicholas -That is just feasibility study - research.
2:17:05
~ 12/15/2005 10:30:48 AM ~ Waddington - they are more likely to finish up their
research if they have us as a partner.
2:18:21
~ 12/15/2005 10:32:04 AM ~ Nicholas- have you had any to help you pay off your
loans??
2:18:41
~ 12/15/2005 10:32:24 AM ~ Nicholas - interest rate isn't it lowered than you
borrowed it??
2:21:58
~ 12/15/2005 10:35:41 AM ~ Nicholas - we need to make a profit. That is lost revenue to the PMTF.
2:22:44
~ 12/15/2005 10:36:27 AM ~ Easley - I see you pt, but from our pt we weren't
privy to Treas to decide to do that.
I'm assuming that they have some investments that make more
interest. I don't know why Treas. did
that.
2:24:04
~ 12/15/2005 10:37:47 AM ~ Nicholas - I don't see how you can pay off your
loans unless you can get some interest free bonds and eventually you might get
it paid back. If these are operating budgets then we should treat them as
such. Let's go forward. How do we
show this ?
2:26:33
~ 12/15/2005 10:40:16 AM ~ Easley - as a board we need to do what the state
wants us to do. We need to work w/ the
legislature. We are in our fledgling
stage. I could answer you a little more
certainty as go forward. I understand
your pt and I will be sensitive to your concerns. The mechanism for our funding we just need to know.
2:28:49
~ 12/15/2005 10:42:32 AM ~ Nicholas - the 2 last agencies are asking us to
2:30:31
~ 12/15/2005 10:44:14 AM ~ Job- Have either of your agencies issued bonds to
finance the Haliburton building in Sweetwater county??
2:31:43
~ 12/15/2005 10:45:26 AM ~ Waddington & Brian - neither of us has issued
bonds.
2:32:04
~ 12/15/2005 10:45:46 AM ~ Hines - If we authorize this type of program - we
may need to do this - We were hoping at time of decision that we do this and
then later it would pay off. We may
need to restructure these budgets if this is what we are going to do.
2:34:05
~ 12/15/2005 10:47:48 AM ~ Nicholas - would like to have breakdown of their
budgets.
2:34:29
~ 12/15/2005 10:48:11 AM ~ Geological Survey -
Ronald Surdam - Mission to promote the use of WY research and to prevent
hazards. Surdam - Activities are
three-fold - Better understanding of better use of resources and prevent
geological hazards in state. Will
spend time time w/ first - Not too
concerned about the price of resources - we are working on ever inc. production
in the state. pg. 5- Our country has unquenceable thirst for
resources. By year 2010 China will be
at level we are now and India will be there 2015. Somewhere we are not going to have enough. Demand is going to exceed supply soon. China
is not just a flash in the pan. The
highways there will be much higher then.
2020 they will have a huge inc. in cars. In our nation there doesn't seem
to be much of a concern for this crisis coming. By 2mil barrels of crude oil increasing. W/respect to consumtion - world is just
about at its capacity in production. We need to be able to increase our
production dramatically. We need to be
able to produce much more. The survey can make significant contributions to
help these 6 problem areas. Basin Center Gas Accumulation - Tremendous
potential. Need to convince people to
drill more wildcat wells. Have to do
this to build new fields. We have dev.
ways to help them. WE can rich the
sandstone rich interval. Have tested
tech. and it has worked in every case.
See pg. 12- This technique grossly reduces the risk. Pg. 13 - pg. 14. Problem is that there will be more water produced and not as good
as water in east. between 1 & 5 barrels .
Looks as if water will have to be treated. We are making w/ other state agencies to try to work on these
treatments - critical elements - We need to convince people to drill in other
areas. How will survey deliver to the
state - a new series of exploration memoirs- will have them out by next spring. We also have to remember other mineral
resources in state. Iolite deposit in
Palmer Canyon - With the people moving
out of cities need to check out the geological features - showed pic. of homes
on landslide. Showed Exception Budget Priorities for 2007/2008. Want to upgrade
4 half-time positions - some of their pay comes from grants - want to make them
full-time state paid so they will be more attractive. Our travel is going up exponentially. Some of our travel we can cover w/ outside grants. Only part of these travel is to discover new
resources. We want to develop
techniques to drill uncertain. We want
to encourage by developing new techniques.
The Governor rec. approval of that activity. Pg. 33, windriver basin -
pg. 34 With the techniques now we are
able to pull out the gas in these. During the new bien we want to have a set of
gas logs for every area in the state.
Lost a lot of smaller items because I didn't have CIO to sign off on
those items. If you don't restore it
we'll have to take it from somewhere else.
We have beefed up our editorial dept. so now we can get info the we have
found more quickly. Added 9 people and
series of AWEC. Have recycled furniture
and scrounged others, but we need 2 more desks. We are trying to store as much data as we can in another server
not in our office. WY Geo. Survey has
made a lot of progress.
3:15:38
~ 12/15/2005 11:29:21 AM ~ Nicholas - talk about clean coal please
3:16:02
~ 12/15/2005 11:29:45 AM ~ Surdam - Very important that state of WY get coal
used for projects.
3:19:32
~ 12/15/2005 11:33:15 AM ~ Hines - have stated what hope to accomplish . Can
public use what you have found - data.
3:20:49
~ 12/15/2005 11:34:32 AM ~ Surdam - if we get it then we need to make sure it
is for Public Domain.
3:21:26
~ 12/15/2005 11:35:09 AM ~ Anderson - Intellectual interest - state has dev.
CIO - we are using more technology. You
are handling the tech. that you are using.
Can you interface with the other depts?
3:22:58
~ 12/15/2005 11:36:41 AM ~ Surdam - WE need to be able to let everyone be able
to use our info .
3:24:36
~ 12/15/2005 11:38:19 AM ~ Petersen - You talked about geo. challenges -
Yellowstone - do you monitor any up there???
3:25:21
~ 12/15/2005 11:39:04 AM ~ Surdam - before I came to agency we didn't have any
relationship w/ them. Now we are to be
notified immediately if there are any problems. We are doing anythin in the park now. Impressed w/ progrees they making. If they have any volconism they will let us know immediately. None now.
3:27:41
~ 12/15/2005 11:41:24 AM ~ Petersen - Is there any geothermal area that we
might use?
3:28:25
~ 12/15/2005 11:42:08 AM ~ Surdam - we have tremendous potential in state, but
all of them are off limits. -
Yellowstone - Thermopolis
3:29:30
~ 12/15/2005 11:43:13 AM ~ Warren - In budget - $750K is so that state can be
competive.
3:30:27
~ 12/15/2005 11:44:10 AM ~ Surdam - we can't stay out of competition. We have to be sure that we have at least
some of the budget that was denied. Most
of the energy and drive comes out of young people and I need to be able to keep
the ones that I have.
3:33:46
~ 12/15/2005 11:47:29 AM ~ Philp - Any other questions? Thank you very much. That brings us to the Oil & Gas
Commission, agency 55.
3:34:39
~ 12/15/2005 11:48:22 AM ~ Likwartz-
Don't get any money from gen. fund.
I do get some funds other places. Started draft in '96 - since we have
750% inc. We do issue permit for any
wells drilled. Are issuing about 1000
new permits / month. BLM can't keep up
the demand or there would be more. We
need more drilling inspectors with the work that is going on. I have added 2 more insp. since I turned in
my budget in June. Every area is area.
3000 new wells in Pinedale alone - is going to be a larger field than
Jonah. With everything booming I'm
going to need more and more. Our office
just keeps booming - Our website has been the only way we've been able to try
to keep up. Thanks to coal bed methane
we just keep increasing our work load.
In-state travel - our gov. has been attending our meetings and he has
requested that I pay his airplane ride.
We are have inc. in gasoline prices, more hardware, software, new
tires. Will need to purchase 11 new
pickups or trade in. Bldg is only 2 yrs
old, but we will need to have maintenance agreements. Aware of something we are purposing - orphan wells - we have
been using conservation money to use to do this - no more orphan wells, but
there will be some idle wells for bankrupt.
With cut of mil levy we can fund this orphan well w/ some transfer of
monies.
3:53:43
~ 12/15/2005 12:07:26 PM ~ Hines - 2 ques
What inc. your budget -
3:54:05
~ 12/15/2005 12:07:47 PM ~ Likwartz - the 3 drilling inspector - in the
final he approved them
3:55:01
~ 12/15/2005 12:08:44 PM ~ Hines - exp. the orphan wells thing
3:55:15
~ 12/15/2005 12:08:58 PM ~ Likwartz - Exp. of orphan wells- would like to
accumulate the cons. funds
3:56:26
~ 12/15/2005 12:10:09 PM ~ Petersen - How much does it cost to plug a well?
3:56:40
~ 12/15/2005 12:10:23 PM ~ Likwartz - depends on the well - 3-5$/ foot and how
much clean up we have to do
3:57:26
~ 12/15/2005 12:11:09 PM ~ Petersen - How many do you do per year?
3:57:47
~ 12/15/2005 12:11:30 PM ~ Likwartz - Don't know in future. Need to be prepared. about 7 people that do 10K permits
3:59:01
~ 12/15/2005 12:12:44 PM ~ Meuli - Do you have 3 indiv. that I want to make
into permanent?
3:59:20
~ 12/15/2005 12:13:02 PM ~ Likwartz - 5 total
4:00:01
~ 12/15/2005 12:13:44 PM ~ Philp - well fund??
Steve
4:00:24
~ 12/15/2005 12:14:07 PM ~ Steve - we are researching- don't see any problem
4:01:02
~ 12/15/2005 12:14:45 PM ~ Philp- back at one p.m.
4:01:32
~ 12/15/2005 12:15:13 PM ~ Pause
4:01:32
~ 12/15/2005 1:08:47 PM ~ Resume
4:01:42
~ 12/15/2005 1:08:57 PM ~ Philp - Miner's Hospital Bd., Ed Leake introduced
Mary Ellen Young, Board Chairman, 9 member board, 3 from Gillete, 3 from Rock
Springs. Been on Board since formed,
have been a miner for 26 years, We have 3 programs - Hearing Aid program,
wellness testing across state work with trailers and hospital, 6,000 miners now
in 6 year cycle. Companies are pushing
wellness. 3rd program payment for
health if in 4 categories to $1,000 if no insurance. If you have insurance, you can apply for up to $1,500 if you have
pd. your share.
4:06:26
~ 12/15/2005 1:13:41 PM ~ Leake - named 4 criteria, cardio pulmonary, 14,000 could be served - need
database. Rely on advertising to get
word out. Building on base of those
being served. Doing a year end media blitz.
People at mines are very supportive.
Need to get beyond words to do more.
Solicit groups of people who we need to contact.
4:11:08
~ 12/15/2005 1:18:24 PM ~ Nicholas - qualify if working in a gravel pit,
crushing
4:11:41
~ 12/15/2005 1:18:56 PM ~ Mary Ellen - contractors and tire handlers at mines
may also be eligible as they are exposed to same environment.
4:12:29
~ 12/15/2005 1:19:45 PM ~ Meuli - doing a great job. Family members are not eligible?
4:12:48
~ 12/15/2005 1:20:04 PM ~ Leake - That is correct.
4:13:05
~ 12/15/2005 1:20:21 PM ~ Meuli - how determine source of hearing loss
4:13:34
~ 12/15/2005 1:20:49 PM ~ Leake - How to decide if hearing loss came from mine
or elsewhere. If you have the onus, you
are covered.
4:14:18
~ 12/15/2005 1:21:33 PM ~ Meuli - diabetes?
4:14:35
~ 12/15/2005 1:21:50 PM ~ Young - no
4:14:42
~ 12/15/2005 1:21:58 PM ~ Petersen - If I worked 1 day in Soda Ash, I could
claim.
4:15:32
~ 12/15/2005 1:22:47 PM ~ Young - yes if you are employed by the Mines.
4:15:51
~ 12/15/2005 1:23:07 PM ~ Philp - lawyers?
4:16:09
~ 12/15/2005 1:23:25 PM ~ Young - perhaps if employed by mine.
4:16:24
~ 12/15/2005 1:23:40 PM ~ Philp - Livestock Bd. - Dwayne Oldham, Walt Cook, State Vet, Kathy Sherman-Boltz,
Lee Romsa, Board Commissioner - We have 2 funding sources - General Fund and an
Earmarked account for Brand Inspection & Recordings
4:19:25
~ 12/15/2005 1:26:41 PM ~ Dr. Oldham - walk thru budget, asking for AWEC
position to be converted to full-time
4:20:47
~ 12/15/2005 1:28:02 PM ~ Oldham - grants handled by individual groups,
Brucellosis, Homeland Security - Need a grant writer to help us get funding for
those areas. Public Information Officer
very important to help handle media to allow us to do our job. West Nile, Animal ID project also need this
coverage.
4:23:15
~ 12/15/2005 1:30:30 PM ~ Oldham - Admin. support - p. 23 some areas which the Gov. did support, asking to use some
of Homeland funds. Pg. 26 care of stockyards in Cheyenne. There are only 2 authorized sites to allow
for animals being transported on the RR.
Have been losing water thru leaking from old pipes, high costs. Need to replace and get water to pens.
4:26:44
~ 12/15/2005 1:33:59 PM ~ Anderson- how much is this utility actually used?
4:27:06
~ 12/15/2005 1:34:21 PM ~ Oldham - Used for livestock in need, horses there for
1 year. Used to board animals from Bd
of Entry where rules were not followed, etc.
Will provide figures.
4:28:39
~ 12/15/2005 1:35:55 PM ~ Anderson - can be somewhat anecdotal.
4:28:52
~ 12/15/2005 1:36:07 PM ~ Hines - a load of livestock from Mexico to Canada,
how inspected?
4:29:22
~ 12/15/2005 1:36:38 PM ~ Oldham - APHIS $ was used to put up a new fence, need
another section of fence. Is a
quarantine area and some useage for equipment storage.
4:30:40
~ 12/15/2005 1:37:56 PM ~ Philp - interrupt for a minute
4:31:12
~ 12/15/2005 1:38:28 PM ~ Governor created a plaque for Mike McVey's 30 years
employment. Created at no expense to GF
and to save money. Great humor!
4:34:22
~ 12/15/2005 1:41:37 PM ~ Oldham continued Livestock Board budget. Asking for AWEC to be converted
4:34:56
~ 12/15/2005 1:42:11 PM ~ Meuli - quarantine animals, how secure, how prevent
cross contamination of airborne illnesses.
4:35:35
~ 12/15/2005 1:42:51 PM ~ Oldham - just authorized for an offload, is a
separation of areas. Airborne for
serious conditions - security now has a high security fence. Does meet standards from APHIS
4:38:00
~ 12/15/2005 1:45:15 PM ~ Nicholas - questioned request for full salary whereas
AWEC has been being pd. from some funding.
Should be difference only.
4:38:41
~ 12/15/2005 1:45:56 PM ~ Sherman-Bolz - paying out of 100 series for
contracts, apologize for incorrectly inputting $.
4:41:10
~ 12/15/2005 1:48:26 PM ~ Nicholas - work with Budget Office to show more
correct numbers.
4:41:48
~ 12/15/2005 1:49:04 PM ~ Job - why do you need a law enforcement person.
4:42:13
~ 12/15/2005 1:49:29 PM ~ Oldham - responsible to enforce brand laws and
shipment of cattle, change of ownership, what is being done illegally from an
improper area, involved with animal abuse and health and neglect.
4:43:41
~ 12/15/2005 1:50:56 PM ~ Walter Cook - other
4:44:14
~ 12/15/2005 1:51:29 PM ~ Oldham - extreme amt. requests from public, is a
public health and food safety issue, had requested 3 additonal officers in 6
districts to more efficiently cover the state.
4:45:40
~ 12/15/2005 1:52:56 PM ~ Anderson - in my district investigated 2 equine
cases, how determinations are made, who determines that this is a legitimate
case.
4:46:42
~ 12/15/2005 1:53:58 PM ~ Oldham - APHIS with Dr. Cook and myself, then
quarantine.
4:48:10
~ 12/15/2005 1:55:25 PM ~ Hines -
4:48:22
~ 12/15/2005 1:55:38 PM ~ Oldham - Brucellosis case detailed on how APHIS
helped us, other states quarantine.
4:52:17
~ 12/15/2005 1:59:32 PM ~ Meuli - cross infection between animals and humans,
training? Disease clusters. Don't see law enforcement officers doing
that.
4:53:06
~ 12/15/2005 2:00:21 PM ~ Oldham - would consult with our office, local or
state vet used as necessary. Vets are
called as witnesses at times.
4:54:28
~ 12/15/2005 2:01:43 PM ~ Dr. Cook - 2 types of investigations, disease or for
law enforcement.
4:55:54
~ 12/15/2005 2:03:10 PM ~ Oldham - Animal Welfare Cases, high profile issue
with lots of media
4:57:27
~ 12/15/2005 2:04:42 PM ~ Meuli - pg. 33-35 request for computers were
denied? Comments?
4:58:09
~ 12/15/2005 2:05:25 PM ~ Oldham - didn't get to CIO by deadline, so they were
not approved. For upgrades.
4:58:48
~ 12/15/2005 2:06:03 PM ~ Nicholas - process, do talk with budget folks. If
important, we should try to get them for you.
4:59:22
~ 12/15/2005 2:06:37 PM ~ Oldham - how?
4:59:33
~ 12/15/2005 2:06:49 PM ~ Nicholas - Governor could send up a Gov. Letter after
the CIO looked at it.
4:59:57
~ 12/15/2005 2:07:13 PM ~ Oldham - want to go over Brucelloisis - Gov.
approved.
5:00:17
~ 12/15/2005 2:07:33 PM ~ Philp - go over.
5:00:30
~ 12/15/2005 2:07:46 PM ~ Oldham - WY State Veterinary Lab and travel,
Brucellosis testing pd. to local and sales barn vets. part of survelliance
program. At what level will we
continue?
5:02:29
~ 12/15/2005 2:09:44 PM ~ Jorgensen - discussion last time of newer testing
techniques? Now we pay for technician
and for Vet to bleed the animal, but not paying for testing costs.
5:03:23
~ 12/15/2005 2:10:38 PM ~ Dr. Cook - Are using newer techniques.
5:03:51
~ 12/15/2005 2:11:07 PM ~ Oldham - p. 49 additional use for survelliance, pd.
to slaughter house and for milk collection at dairies.
5:04:36
~ 12/15/2005 2:11:51 PM ~ Philp - cover p. 48?
5:04:44
~ 12/15/2005 2:11:59 PM ~ Oldham - money for vets @ $3.50 per head
5:05:33
~ 12/15/2005 2:12:48 PM ~ Philp - $1,650,000 - has it been all expended?
5:05:59
~ 12/15/2005 2:13:14 PM ~ Oldham - unused reverts back
5:06:11
~ 12/15/2005 2:13:26 PM ~ Boltz - $635,000 to revert back
5:06:30
~ 12/15/2005 2:13:46 PM ~ Oldham - could not be accurate depending on
Brucellosis free status and monitoring thereafter.
5:07:19
~ 12/15/2005 2:14:34 PM ~ Philp - get back to us about expectations.
5:07:33
~ 12/15/2005 2:14:48 PM ~ Oldham - individual herd plans in. Some of increased oversight.
5:08:35
~ 12/15/2005 2:15:51 PM ~ Anderson - while talking about diseases - knowing
that some contact undulant fever - in regards to milk.
5:09:22
~ 12/15/2005 2:16:37 PM ~ Cook - We survey herds to see if they brucellosis or
other diseases. Milk rink test is
tested from all of herd. If you find it
then you would have to test all animals in herd. They could still have positive test.
5:11:57
~ 12/15/2005 2:19:12 PM ~ Oldham - that is completion of reg. budget, but now
we need to go over ear marked acct. It covers brand insp. program and recording
program. Are trying to bring in more
income and to help cover some of our shortfalls. Livestock bd. dev. a task
force meeting monthly to help address some of our issues. Are coming to legis.
to give across board - Benefits and mileage are continuing to go up. Brand inspectors don't get full benefit
program. Do have statutory req. to take
care of these things.
5:16:53
~ 12/15/2005 2:24:09 PM ~ Nicholas - want to understand - look at pg. 59 of
budget- took 1.8 and doubled it. pg. 69
- does that accurately reflect monies from that program. Db that and then on other pg. you project
that you get 7.8mil. These #'s are
confusing me. Any likelihood that you
are going to get any close to this ??
5:20:01
~ 12/15/2005 2:27:17 PM ~ Oldham - can't get import to do higher fee than that.
5:20:25
~ 12/15/2005 2:27:40 PM ~ Nicholas - fundamentally -if you know you are going
to get that revenue -- I don't understand.
5:21:28
~ 12/15/2005 2:28:43 PM ~ McVey - ideally when they thought that they wouldn't
get that much revenue then they should have chg. their request.
5:22:33
~ 12/15/2005 2:29:49 PM ~ Boltz - When we got the budget back from them I
didn't know that we could change the standard budget. It's my fault.
5:23:23
~ 12/15/2005 2:30:38 PM ~ Nicholas - It should have been in the narrative.
5:23:41
~ 12/15/2005 2:30:57 PM ~ McVey-This is kind of a unique situation and we all
were struggling as to how to present this.
5:25:36
~ 12/15/2005 2:32:52 PM ~ Job - why aren't they willing to pay those kinds of
fees??
5:25:58
~ 12/15/2005 2:33:13 PM ~ Oldham - Historically we're trying to decide if
public should pay for or if industry should pay for this. That is where this comes from.
5:27:17
~ 12/15/2005 2:34:32 PM ~ Philp - there is bill coming from agriculture to
establish a task force to study some of this stuff.
5:28:17
~ 12/15/2005 2:35:33 PM ~ Job - Are they working on way Livestock Board and
Agriculture can mesh or not??
5:29:25
~ 12/15/2005 2:36:41 PM ~ Philp- We'll see about as time goes.
5:29:48
~ 12/15/2005 2:37:03 PM ~ Nicholas - are we going to add in budget or in the
bill that is coming?
5:30:06
~ 12/15/2005 2:37:22 PM ~ Philp - I wasn't going to think about adding for
brand inspectors in here.
5:30:33
~ 12/15/2005 2:37:49 PM ~ Hines - Brand inspectors are by contract - will be issues this session - in bill would
raise all fees 50%. It will also create
a Task Force.
5:34:06
~ 12/15/2005 2:41:21 PM ~ Nicholas - Mike is saying there is no limitations on
AWECs.
5:35:34
~ 12/15/2005 2:42:49 PM ~ Romsa - employee pays half of retirement and state
pays half. Renewal brought in quite bit of money. Now we have a staggered system.
We only brought in half of money we ordinarily do. With drought don't have as many livestock.
#'s have started to rebound, but we don't know if we are going to completely
recover. Maybe never , just don't know.
5:39:33
~ 12/15/2005 2:46:48 PM ~ Oldham - Even though we have seen decrease #'s of
livestock the #'s of inspections have not decreased. We have increased lots of 5 acre plots that have few livestock.
5:42:04
~ 12/15/2005 2:49:20 PM ~ Petersen - What is the cost of brand inspection.??
5:42:17
~ 12/15/2005 2:49:33 PM ~ Oldham - $1 per head, horse - $5-7 per head.
5:43:07
~ 12/15/2005 2:50:23 PM ~ Romsa - I have been here since 94 and fees haven't
changed . $12 head for show
stock(bucking horse, bull, etc)
5:44:55
~ 12/15/2005 2:52:11 PM ~ Oldham - we had mileage fees that have gone up and we
have had other inc. in costs also. How
do I go about raising income??
5:46:41
~ 12/15/2005 2:53:56 PM ~ Philp -
5:48:13
~ 12/15/2005 2:55:29 PM ~ Hines -We'll have to work together during session.
5:48:31
~ 12/15/2005 2:55:46 PM ~ Simpson - You're talking about 800K shortfall. How are we going to get more for that? Brand inspectors got benefits pkg.?? Did you
do that w/legis allowance??
5:51:33
~ 12/15/2005 2:58:48 PM ~ Romas - Legislature authorized us to give that to the
brand insp. We could change to
contract next time to not give them benefits, but I don't want to go there. They do a hard job.
5:53:50
~ 12/15/2005 3:01:06 PM ~ Nicholas - like for you to prepare a projected 2 yr
budget with actual expences without revenue.
You are not held to the AWEC account- on bill you could appropriate your
deficit . Please show exactly amounts.
5:57:25
~ 12/15/2005 3:04:41 PM ~ Oldham -
5:58:54
~ 12/15/2005 3:06:09 PM ~ Nicholas - From your sheets it doesn't reflect what
you're telling us.
6:00:39
~ 12/15/2005 3:07:54 PM ~ Boltz - I worked with the budget office and if you'll
look at the sheets I prepared.
6:04:00
~ 12/15/2005 3:11:15 PM ~ Philp - I guess we need to wait and see about the
bill, but we need to get a one page sheet showing revenues, costs, etc. We need to move on.
6:06:17
~ 12/15/2005 3:13:32 PM ~ Oldham - predator board - we retain 3% -
Have premise in place and are working hard on pilot projects also. We don't know exactly how these are going
be. Animal identification - 1 person
in each brand district ..It may be one more year and then it will be
mandatory. Animals must be identified before
they can be sold anywhere.
6:11:03
~ 12/15/2005 3:18:18 PM ~ Philp- We
will adjourn until tomorrow.
6:11:42
~ 12/15/2005 3:18:55 PM ~ Pause
6:11:42
~ 12/15/2005 3:19:50 PM ~ Resume
6:11:45
~ 12/15/2005 3:19:53 PM ~ Stop Recording