Author Archives: Admin

Exxon-Mobil pleads guilty to killing birds

Tracy L. Crain

WASHINGTON–Exxon-Mobil Corporation, the world’s largest publicly traded oil and gas company, pleaded guilty in U.S. Court in Denver to violating the federal Migratory Bird Treaty Act (MBTA) in five states during the past five years, the Justice Department announced today.

The company has agreed to pay fines and community service payments totaling $600,000 and will implement an environmental compliance plan over the next three years aimed at preventing bird deaths on the company’s facilities in the affected states.

According to papers filed in court, the company has already spent over $2.5 million to begin implementation of the plan.

The charges stem from the deaths of approximately 85 protected birds, including waterfowl, hawks and owls, at Exxon-Mobil drilling and production facilities in Colorado, Wyoming, Oklahoma, Texas and Kansas between 2004 and 2009. According to the charges and other information presented in court, most of the birds died after exposure to hydrocarbons in uncovered natural gas well reserve pits and waste water storage facilities at Exxon-Mobil sites in Colorado, Wyoming, Kansas, Oklahoma and Texas. The company has entered into a plea agreement with the government, calling for guilty pleas to the five charges and a sentence of $400,000 in fines and $200,000 in community service payments.
The fines will be deposited into the federally-administered North American Wetlands Conservation Fund.

The community service payments will be made to a non-profit waterfowl rehabilitation foundation in Colorado and the congressionally-chartered National Fish and Wildlife Foundation, designated for waterfowl preservation work in each of the affected states.

During a three-year probationary period, Exxon-Mobil must also implement an "environmental compliance plan" designed to keep birds from coming into contact with oily waters at its facilities in the five affected states.

"The environmental compliance plan that Exxon-Mobil has agreed to in this multi-district plea agreement is an important step in protecting migratory birds in these five states," said John C. Cruden, Acting Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. "We are all responsible for protecting our wildlife, even the largest of corporations," said Colorado U.S. Attorney David M. Gaouette. "An important part of this case is the implementation of an environmental compliance plan that will help prevent future migratory bird deaths."The Migratory Bird Treaty Act, enacted in 1918, implements this country’s commitments under avian protection treaties with Great Britain (for Canada), Mexico, Japan and Russia.

The Act creates a misdemeanor criminal sanction for the unpermitted taking of listed species by any means and in any manner regardless of fault.

The maximum penalty for a corporate taking under the MBTA is $15,000, or twice the gross gain or loss resulting from the offense, and five years probation.

The birds killed in the five cases include ducks, grebes, ibis, passerines, shorebirds, owls, martin and a hawk. None of these species is listed as endangered or threatened under federal law.

Migratory birds often land on open wastewater ponds at oil and gas facilities and become coated with, or ingest, fatal amounts of hydrocarbons discharged into the water during drilling or production operations.

Such killings can be prevented by scrubbing the water of contaminants before discharge, removing the ponds, placing an obstruction such as netting or plastic "bird balls" over the water to prevent contact, or installing commercially-manufactured electronic hazing devices which detect incoming flights of migratory birds and deploy noise and lights to scare them away from the area.

Exxon-Mobil’s environmental compliance plan will employ these techniques, tailored to each facility, to prevent future mortality.

The cases were investigated by Special Agents of the U.S. Fish and Wildlife Service and are being prosecuted by Senior Trial Attorney Robert S. Anderson of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorney Michael Carey of the District of Colorado.

Rising gas prices cause vulnerability

Staff Report

WASHINGTON–Rising gas prices, combined with the economic downturn are making people more vulnerable to changes in oil prices, according to new analysis by the Natural Resources Defense Council.

The report also shows that many states are taking significant steps to reduce oil dependence through smart clean-transportation policies.

Especially with today’s economic challenges, Americans face a growing threat from our nation’s dangerous addiction to oil," said Deron Lovaas, NRDC’s transportation policy director.

"This report shows how important it is for states to promote clean energy policies that will reduce our dependence on oil, while also reducing global warming pollution.
The report, "Fighting Oil Addiction: Ranking States’ Oil Vulnerability and Solutions for Change," provides a detailed look at how oil prices impact consumers and ways in which smart policies can help break states’ addiction to oil.
According to the report, the top 10 states most vulnerable to oil price increases are: #1 Mississippi; #2 Montana; #3 South Carolina; #4 Oklahoma; #5 Louisiana; #6 Kentucky, #7 Texas; #8 New Mexico; #9 Georgia; and #10 Arkansas. The top 10 states that are doing the most to promote clean energy technologies and reduce their dependence on oil are: #1California; #2 Massachusetts; #3 Washington; #4 New Mexico; #5 Connecticut; #6 New York; #7 New Jersey; #8 Pennsylvania; #9 Oregon; and #10 Florida.

The report focuses on two important factors that relate to the nation’s addiction to oil. First, it calculates oil vulnerability– how heavily each state’s drivers are affected by increases in oil prices. Second, it ranks states on their adoption of solutions to reduce their oil dependence– measures they are taking to lessen their vulnerability and to bolster America’s security.

The report also shows that by promoting clean vehicle and fuel technologies as well as transportation alternatives states can reduce oil dependence. These measures can, in turn, create clean energy jobs, reduce vulnerability to fuel price hikes, and lessen air pollution and greenhouse gas emissions.

Lovaas added, "The Federal government can step in to help states break their addiction to oil by implementing comprehensive clean energy and climate policies and by reforming our national transportation system through an overhauled, performance-driven transportation policy.

The full report, with state-by-state rankings, can be accessed at: http://www.nrdc.org/energy/states/

 

Revenue shortfall declared, five percent budget cut results

Staff Report

Friday, 14 August 2009
OKLAHOMA CITY–Revenue collections for July, the first month of the new fiscal year, are well below prior year collections and the official estimate.

The shortfall is great enough that state officials have ordered an across-the-board budget cut in budget allocations to all state agencies this month, State Treasurer Scott Meacham announced today.

Preliminary reports for collections in the month of July show General Revenue Fund collections totaled $336.7 million. That amount is:

* $120.4 million or 26.3 percent below the prior year; and * $74.4 million or 18.1 percent below the estimate.

In response to the shortfall, State Finance Director Michael Clingman has ordered a five percent across-the-board reduction to each state agency’s allocation in the month of August. This amount represents a total cut in allocations of $21.9 million for the month of August.

"The less than anticipated collections for the month of July have caused us to reduce August allocations today by five percent," Clingman said. "The cuts would have been deeper, but we were able to minimize the impact by utilizing cash reserves."

Treasurer Meacham said he is meeting with Governor Henry and legislative leaders to discuss options for the coming months.

"We have several options. These include potential use of the Rainy Day Fund, tapping additional federal stimulus money and other responses," Meacham said. "However, I would warn state agencies that additional cuts may very well be coming."

The Rainy Day Fund currently contains $596.6 million. The state constitution allows up to three-eighths of the fund, or $223.7 million, to be used upon a revenue shortfall declaration by the State Board of Equalization.

Most state agencies have already been forced to cut budgets. During the last legislative session, many agencies received budget cuts of varying amounts.

Net income taxes, a combination of personal and corporate income taxes, produced $132.5 million in July, which is $23.5 million or 15.1 percent below the prior year and $4.9 million or 3.6 percent below the estimate.

Personal income tax collections for the month are $131.7 million. That is $21.4 million or 14.0 percent below the prior year and $1.4 million or 1.1 percent below the estimate.

Corporate income tax collections were $0.8 million. That is $2.1 million or 72.3 percent below the prior year and $3.5 million or 81.2 percent below the estimate.

Gross production taxes on natural gas yielded $22.2 million for the month, which is $67.9 million or 75.4 percent below the prior year and $42.2 million or 65.6 percent below the estimate.

The state sales tax produced $129.4 million in July, which is $12.2 million or 8.6 percent below the prior year and $21.4 million or 14.2 percent below the estimate.

Motor vehicle taxes produced $10.9 million, which is $8.7 million or 44.4 percent below the prior year and $6.8 million or 38.4 percent below the estimate.

Investments by the treasurer’s office yielded $12.3 million in July. That is $0.1 million or 1.1 percent below the prior year.

Other revenue, including investment earnings along with taxes on insurance, inheritance, alcoholic beverages and others, produced $41.8 million for the month. This is $8.2 million or 16.3 percent below the prior year but $0.9 million or 2.3 percent above the estimate.

photo credit: stock photo, web.
Last Updated ( Friday, 14 August 2009 )

Two finalists named for OSU-Tulsa presidency

Staff Report

Friday, 14 August 2009
TULSA, Okla.–Tulsa business executive Howard Barnett and University of Kansas leader Robert Clark have been named as finalists in the search for the new president at Oklahoma State University-Tulsa.

Barnett is the managing director of TSF Capital in Tulsa and Clark is vice chancellor and dean of the University of Kansas Edwards Campus in Overland Park, Kan.

A search committee chose the finalists from a pool of more than 80 applicants from across the nation, according to Larry Mocha, OSU-Tulsa Trustee and chair of the search committee.

Both candidates will visit OSU-Tulsa on Aug. 18 and OSU-Stillwater on Aug. 19 to meet with students, faculty, staff and community members.

"The exceptional caliber of our two finalists speaks to the overall quality of our entire pool of candidates," Mocha said. "Both are both highly experienced leaders and we’re excited to introduce two outstanding candidates for consideration."

Barnett earned a juris doctorate from Southern Methodist University and a bachelor’s degree in business administration from the University of Tulsa.

A life-long Tulsan, Barnett served as chief of staff for Gov. Frank Keating and as the Oklahoma secretary of commerce.

Earlier this year, Barnett was the chief negotiator for the OSU Medical Center Trust in its acquisition of the OSU Medical Center from Ardent Health Systems.

He is also a former chairman of the Tulsa Metro Chamber and president of Leadership Oklahoma.

Clark earned a Ph.D. in educational management with an emphasis in strategic planning from Syracuse University, a master’s degree in higher education from Colorado State University and a bachelor’s degree in sociology from Arizona State University.

He is also a graduate of Harvard University’s Institute for Educational Management.

During Clark’s leadership at the KU Edwards Campus, enrollment has increased 55 percent and the number of academic programs offered has doubled.

In addition, Clark has taught graduate and undergraduate courses in organizational strategy, leadership and organizational behavior since 1983.

The seven-member presidential search committee members began their search process in May.

The committee is comprised of two OSU/A&M Regents, two OSU-Tulsa Trustees and student, faculty and staff representatives.

Following campus visits, OSU President Burns Hargis will make a recommendation to the OSU-Tulsa Board of Trustees and then to the OSU/A&M Board for final approval.

The new president will replace Dr. Gary Trennepohl, who announced in March that he would be leaving his position of 10 years as president to return to a full-time OSU faculty position.

Last Updated ( Friday, 21 August 2009 )

Commission provides aviation education funding across state

Staff Report

Programs designed to get more kids interested in science, technology, engineering and math (STEM) have received a financial boost from the Oklahoma Aeronautics Commission for the upcoming year.

The Commission recently approved two aviation education contracts totaling $48,750 to STARBASE Oklahoma and the KISS Institute for Practical Robotics in Norman.

In addition, they also awarded three aviation education grants totaling $19,000 to the Ponca City Regional Airport, Rose State College in Midwest City, and Metro Technology Center and the FAA Mike Monroney Aeronautical Center in Oklahoma City.

"Getting our youth interested in aviation and aerospace is vital to Oklahoma’s economic future," said Director of Aeronautics Victor Bird.

"The aviation and aerospace industry is a pillar of the state’s economy.

We must do all that we can to grow and cultivate it, such as exposing our young people to areas in science, technology, engineering and math, and helping them develop the skills they will need to succeed in their careers.

These kinds of camps and academies serve as springboards for many boys and girls who may choose to pursue a career in the aviation and aerospace industry."

A $30,000 contract was approved for STARBASE Oklahoma to purchase a 3-D manufacturing machine for its Computer-Aided Design, Engineering and Manufacturing Program.

Designed for students in the fifth through eighth grades, the program teaches younger students how to design and manufacture a space module.

For older students, the program teaches them how to design and manufacture a visual signaling device. Program officials expect approximately 1,800 students to participate in the program during the next year.

STARBASE Oklahoma operates classrooms at the Tulsa Air National Guard Base, Will Rogers Air National Guard Base in Oklahoma City, Oklahoma Space Industry Development Authority in Burns Flat, Camp Gruber near Braggs, Whittaker Education Training Center in Pryor and the Anadarko Armory.

The contract with the KISS Institute will provide $18,750, or 50 percent of funding, for 15 teams comprised of students in the sixth through twelfth grades to participate in the institute’s Botball Educational Robotics Program in 2010.

Nearly 800 students are expected to participate in the botball program, which allows students the opportunity to design, build and program autonomous robots that compete against each other by performing various tasks.

Ponca City Regional Airport will receive a $10,000 grant for its annual Flight Academy.

The grant award will provide 60 scholarships for students in grades four through twelve from Ponca City and the surrounding area to attend the Flight Academy.

It will also help purchase much-needed supplies and curriculum materials.

Commissioners approved a grant in the amount of $4,500 for Rose State College’s first-ever Space Discovery Camp, which will expose middle school students to the various careers in aerospace.

Camp officials said the grant money would be used to provide personnel and supplies for the camp as well as transportation for field trips. The focus of the camp is to help students develop calculating skills that they will need in math and science. Students will also develop leadership skills and learn the importance of teambuilding.

A $4,500 grant was awarded to Metro Tech’s Career Aviation Campus and the FAA Mike Monroney Aeronautical Center for the Aviation Career Education (ACE) Camp. The grant will provide materials, including student kits, for more than two dozen students expected to attend the camp. ACE serves students in the eighth and ninth grades, many of whom come from low-income households and attend at-risk schools.

The camp provides students with an opportunity to experience various facets of the aerospace industry and encourages them to consider aerospace as a career choice.

Since 2000 the Aeronautics Commission has provided nearly $1 million in aviation education grants to various camps, flight academies and other worthwhile endeavors across the state.

In fiscal year 2009 the Commission provided more than $146,000 in aviation education funding.

Oklahoma’s aviation and aerospace industry is one of the state’s largest employers, resulting in approximately 150,000 jobs statewide.

The industry yields an annual industrial output of $12.5 billion and generates an annual payroll of $5 billion.

One in 10 Oklahomans derive their income from the aviation and aerospace industry with an average salary of nearly $55,000 compared to about $30,000 for the average Oklahoman.

Oklahoma is also one of seven centers in the world for the modification, maintenance, repair and overhaul of aircraft, boasting the world’s largest military aircraft repair facility, Tinker Air Force Base, and the world’s largest commercial aircraft repair facility, the American Airlines Engineering Maintenance and Engineering Center in Tulsa.

In addition, Oklahoma has 114 publicly owned airports, placing it fourth nationally for the number of public airports per capita.

A total of 41 of those airports are jet capable, meaning their runways are at least 5,000 feet long, the minimum distance needed by most jet aircraft to safely land or take off.

Approximately 93 percent of the state’s population lives within 25 miles of an airport with a jet-capable runway.
Last Updated ( Friday, 14 August 2009 )