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DENVER COLORADO 80202
October 29 , 1984
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County Commissioner
Weld County
Greeley, Colorado
RE: Proposed Deregulation
by Federal Energy Regulatory
Commission NGPA
107 (c) (5) "tight" gas and
108 stripper gas
Gentlemen:
It has been brought to light that the Federal Energy Regulatory
Commission (FERC) has read into the Congressional Record a plan to
"deregulate" the above captioned catagories of gas. I wish to offer
to you a discussion of the plan itself, a synopsis of the effect of
such a plan and thirdly to suggest a plan of action for you as
commissioner of my county.
The NGPA act of 1978 made provisions for the deregulation of
certain catagories of natural gas but specifically excluded 107 (c) (5)
"tight" gas, and 108 "stripper" gas. Now comes an administrative
agency (FERC) with plans to abrogate the 1978 legislation as passed by
congress and signed by President Carter.
The effect of this plan, if implemented, will be to lower by at
least 50% the value of the gas produced in our county. The further
effect will be to sharply reduce Ad Valorem Tax Collections.
Without debating the merits of preserving the integrety of
legislated regulation or the value of preserving stripper gas production
I strongly urge you to contact the Federal Energy Regulatory Commission,
Washington D.C. and our elected congressional representatives here in
Colorado asking them to turn away from this proposal which was
obviously drafted by Panhandle Eastern Pipeline Co.
Sincerely,
SANDLIN OIL CORPORATION
Gary Sanalin
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