May 25, 2006
Wyoming Oil and Gas Conservation Commission Building
Casper, Wyoming
Senator Bill Hawks, Co-Chairman
Representative Thomas A. Lockhart, Co-Chairman
Senator Kit Jennings
Senator Charles Townsend
Senator Bill Vasey
Representative Bob Brechtel
Representative Floyd Esquibel
Representative Debbie Hammons
Representative Elaine Harvey
Representative Becket Hinckley
Representative Erin Mercer
Senator Hank Coe
Representative Lorraine Quarberg
Representative Doug Samuelson
Maxine Weaver, Staff Attorney
Please refer to
Appendix 1 to review the Committee Sign-in Sheet
for a list of other individuals who attended the meeting.
Co-Chairman Lockhart called the meeting to order at 8:00 a.m. The following sections summarize the Committee proceedings by topic. Please refer to Appendix 2 to review the Committee Meeting Agenda.
Bryan Hassler, Executive Director of the Wyoming
Pipeline Authority (WPA), updated the Committee on current prices, trends and
proposed pipelines, including tying Opal into the Kinder Morgan line [Appendix
3]. Mr. Hassler informed the Committee
he has been appointed by Governor Freudenthal to an interstate compact task
force to further investigate the supply issues and said he would keep this
Committee informed of the work from the task force.
Steve Waddington, Executive Director of the Wyoming
Infrastructure Authority (WIA), discussed various proposals, partnerships,
bonding capacities and advanced generation technology [Appendix 4]. He further stated the WIA will be seeking support
for a western demonstration plant and provided a copy of Colorado legislation
promoting an integrated gasification combined cycle generation facility
[Appendix 5].
Marion Loomis, Executive Director of the Wyoming
Mining Association, provided a summary on the coal plants in Wyoming [Appendices
6 and 7] and asked the Committee to expand the sales tax exemption, expand the
bonding authority to power plants, provide incentives for coal to liquid plants,
allow recovery costs for plants
using new clean coal technologies, use business ready community grants to help
infrastructure around new energy plants and train a workforce.
Rob
Hurless, Energy and Telecommunications Policy Advisor for Governor Freudenthal and on the Wyoming Clean
Coal Working Group, presented an update on generation facilities, enhanced oil
recovery and sequestration. He encouraged
the Committee to look at the Integrated Resource Plan (IRP) process.
Bruce Hinchey, President of the Petroleum
Association of Wyoming, addressed issues regarding surface ownership, mineral
ownership, federal decisions, permitting requirements, natural gas reserves and
restrictions, refining capacity in Wyoming, challenges in the industry,
sustainability, split estates and eminent domain [Appendix 8].
Rick Kaysen, President of Cheyenne Light, Fuel
and Power, a subsidiary of Black Hills Corporation, provided historical and
current information, including current capacity, at Wyoming power plants
[Appendix 9].
Bill Stafford with Basin Electric, discussed the
operations of the Laramie River Station, problems in getting coal delivered to
the plant and water shortage problems the plant is encountering due to the
drought.
Bob Tarantola with PacifiCorp, testified regarding
the coal fired power plants operated by PacifiCorp in Wyoming [Appendix 10] and
issues facing the plants in upgrading or retrofitting existing plants to meet
more stringent air-quality standards.
He recommended extending the sales and use tax exemption provided to renewable,
coal gasification and coal liquefaction to pollution-control equipment and
amending sales tax exemptions to include power plants as manufacturing
facilities.
Fred Parady with OCI Wyoming, presented concerns
regarding the soda ash industry to the Committee and discussed the need for
workforce training and recruitment [Appendix 11].
Marion Loomis provided an overview of Wyoming's
mining industry, including coal, uranium and gold [Appendix 12].
Tom Johnson, President of Big Horn Basin Ethanol,
discussed the development of the ethanol plant in the Big Horn Basin, including
preconstruction issues, employment, training and the impact on agriculture
[Appendix 13].
Tom Thorson, President of Black Hills Bentonite,
explained the current status of the bentonite industry and asked the Committee
to see if anything can be done to expedite the permitting amendment process
when expanding into areas next to existing permitted areas.
Dr. James McBride, State Superintendent of Public
Instruction, provided information on statewide vocational training and career
training [Appendix 14].
Dr. Jim Rose, Executive Director of Wyoming
Community College Commission, presented materials on activities the community
colleges are conducting to meet specific skills and workforce development needs
in Wyoming [Appendix 15].
Sandy Barton, Executive Director of the Fremont
County Board Of Cooperative Education Services (BOCES), addressed existing and
proposed training and education for Wyoming's workforce and discussed the
proposed Job Corps. Center being developed for Riverton [Appendices 16 through
19]. Howard Johnson with Inberg-Miller
Engineers, described the potential site for the jobs corps center.
Senator Jennings moved to draft a letter in
support of the Job Corps. Center.
Senator Vasey seconded the motion and the motion passed.
Mario
Ibarra, Director of Student Services at WyoTech, explained the training
facility and operations of WyoTech in Laramie, Wyoming, including tuition,
economic impact to Laramie and the State, programs, length of studies,
placement rates and challenges of the program.
Mr. Ibarra invited the Committee to visit the campus in Laramie [Appendix
20].
Chris
Corlis, Director of Rocky Mountain Oil and Gas Training Center, testified as to
the training program in Casper, Wyoming, including certification, drug testing,
site plan and operations. [Appendix
21].
Kathy
Emmons, Director of the Department of Workforce Services (DWS), explained the
impact of the DWS program, including reduction in workforce turnover rates, job
retention, wage progression, benefit of job seekers and assistance given to
disabled workers [Appendices 22 through 26].
She discussed some barriers including, sheer numbers of people, training
capacities, childcare, infrastructure and housing.
Kevin
Drumm, President of Sheridan Community College, testified regarding the intent
to make a formal community college request for a technical training center in
Gillette and listed some potential programs being considered at the training
center.
Rick
Tempest, discussed workforce housing issues in Wyoming and urged the Committee to
sponsor a bill similar to 2005 HB 128.
George
Axlund, Executive Director of the Wyoming Community Development Authority
(WCDA), presented information regarding growth of employment, real earnings,
WCDA loans, housing price index and funding level [Appendices 27 and 28].
Randall
Dancliff with Fannie Mae Statewide Advisory Committee, explained how Fannie Mae
deals with workforce housing and affordable housing issues, how incomes and
housing prices have changed and urged the Committee to deal with the infrastructure
issue in Wyoming.
George
Parks, Executive Director with the Wyoming Association of Municipalities, suggested
a working group would be helpful in working on this workforce infrastructure issue.
Pat
Robbins, Director of the Sweetwater Economic Development Association, addressed
how business recruitment to the state is difficult because of the housing issue
and urged the Committee to consider high density housing to accommodate growth
and to encourage builders to build in small communities.
Bob
Snowden with the Wyoming Association of Realtors, discussed house buying trends
and needs in certain communities [Appendices 29 and 30].
Co-chairman
Hawks moved to draft a bill for consideration at the next meeting. Representative Becket seconded the motion. Co-chairman Lockhart suggested using 2005 HB
128 as a start, to add from the ideas from this discussion, to consider using a
working group, to work on rules and to address the constitutional issue. Following this discussion, the motion
passed.
Steve Furtney, Chairman of the Wyoming Public
Service Commission (PSC), explained the steps Wyoming has been taking to
address concerns with integrated resource plans and presented a draft bill
[Appendix 31]. Mr. Furtney invited the
Committee to attend the western conference of public service commissions in
Jackson, Wyoming in June, 2006.
Bob Tarantola and Greg Duvall with PacifiCorp,
testified PacifiCorp has been involved in resource planning for over 20 years
and discussed various goals, components, standards and guidelines for
integrated resource plans [Appendix 32].
Dean Crist, Vice President of Regulation with
MidAmerican Energy Company, presented information to the Committee regarding
the Iowa regulatory process [Appendix 33].
Co-chairman
Hawks moved to draft a bill for consideration at the next meeting. Senator Vasey seconded the motion and the
motion passed.
John
Corra, Director, Wyoming Department of Environmental Quality and LeRoy Feusner, Solid and Hazardous Waste
Administrator presented information regarding DEQ's storage tank program and
discussed some options to speed up the tank clean-up program [Appendices 34
through 38].
Co-chairman
Hawks moved to draft a bill for consideration at the next meeting, which would
include page 2, paragraphs 2, 3 and 4 of the White Paper [Appendix 35] and
exclude paragraph 1. Representative
Hammons seconded the motion. Following
discussion, the motion passed.
Director
Corra, and Tom Schroeder Program Principal in the Industrial Siting Division, discussed the
Industrial Siting Act, potential energy generation facilities and potential
impacts to communities. [Appendices 39
and 40]. Representative Hastert presented
information to the Committee and asked for an interim study [Appendix 41].
Co-chairman
Hawks asked LSO staff to provide information to the Committee for the next
meeting what was done in the budget session and what is being done to help
small cities and towns without expertise get a fair hearing before the State
Loan and Investment Board.
A list of reports due to the Committee was provided [Appendix 42]. Co-chairman Lockhart discussed the
importance of full Committee review of Committee reports. It is the Legislature's and Management
Council's expectation that the Committee provide the legislative "check
and balance" compliance by reporting entities.
Report #233, Wyoming Partnership Challenge Loan Program from the Wyoming Business Council had been submitted to the Committee [Appendices 43 and 44] and Report #41, Voluntary Environmental Audits from the Department of Environmental Quality had been submitted to the Committee [Appendix 45].
Senator Jennings gave an update on the Coalbed Methane Water Task Force
and will continue to report to the Committee.
Co-chairman
Hawks suggested to ask Management Council to include an executive summary in
the report requirements. Co-chairman
Lockhart will carry that suggestion to Management Council.
Lisa Skiles Parady, Director for Community Development for Rock Springs and Lorie Latta, Assistant to the Town of Pinedale spoke about impacts to their communities and the need for affordable housing.
Ann MacKinnon spoke in favor of updating the Industrial Siting Act [Appendix 46].
Co-Chairman Lockhart handed out a letter from Representative Gerald Gay [Appendix 47].
There being no further business, Co-Chairman Lockhart adjourned the meeting at 5:15 p.m.
Respectfully submitted,
Representative Thomas A. Lockhart, Co-Chairman