[Federal Register: November 27, 1998 (Volume 63, Number 228)]
[Notices]               
[Page 65580]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr27no98-44]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission
[Docket No. SA99-2-000]

 
Suerte Oil Company; Notice of Petition for Staff Adjustment

November 20, 1998.
    Take notice that on November 2, 1998, Suerte Oil Company (Suerte), 
P.O. Box 725, Howard, Kansas 67349 filed in Docket No. SA99-2-000 a 
petition for adjustment pursuant to Section 502(c) of the Natural Gas 
Policy Act of 1978 (NGPA), requesting to be relieved of its obligation 
to make Kansas ad valorem tax refunds, as required by the Commission's 
September 10, 1997 order in Docket No. RP97-369-000 et al.\1\ Suerte's 
petition is on file with the Commission and open to public inspection.
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    \1\ See 80 FERC para. 61,264 (1997); order denying rehearing 
issued January 28, 1998, 82 FERC para. 61,058 (1998).
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    The Commission's September 10, 1997 order on remand from the D.C. 
Circuit Court of Appeals \2\ directed first sellers under the NGPA to 
make Kansas ad valorem tax refunds, with interest, for the period from 
1983 to 1988.
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    \2\ Public Service Company of Colorado v. FERC, 91 F.3d 1478 
(D.C. 1996) cert. denied, Nos. 96-954 and 96-1230 (65 U.S.L.W. 3751 
and 3754, May 12, 1997) (Public Service).
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    Suerte indicates that Colorado Interstate Gas Company (CIG) paid 
Suerte a total of $683.54 in Kansas ad valorem tax reimbursements on 
the Hines lease. Of this amount, Suerte's portion was $598.10. The 
remaining $85.44 was the royalty owners' portion. Suerte refunded the 
$598.10 to CIG, but not $1,438.80 now due in interest. Suerte states 
that 22 royalty owners are involved in this lease and it would be 
impossible to collect the money from all of them since some are 
deceased and others didn't pay their taxes before the law went into 
effect and Suerte had to deduct it from their royalty payments.
    Suerte states that this well has been shut-in since January, 1996 
and will be plugged later at an approximate cost of $5,000-$10,000, 
making it impossible to pay-off the interest payment through well 
revenues.
    Suerte requests the Commission to waive the payment of the 
$1,438.80 in interest and the royalty owners' portion ($85.44) on the 
basis that the payment of such refunds would prove to be an economic 
hardship for Suerte.
    Any person desiring to be heard or to make any protest with 
reference to said petition should on or before 15 days after the date 
of publication in the Federal Register of this notice, file with the 
Federal Energy Regulatory Commission, 888 First Street, N.E., 
Washington, DC 20426, a motion to intervene or a protest in accordance 
with the requirements of the Commission's Rules of Practice and 
Procedure (18 CFR 385.214, 385.211, 385.1105, and 385.1106). All 
protests filed with the Commission will be considered by it in 
determining the appropriate action to be taken but will not serve to 
make the protestants parties to the proceeding. Any person wishing to 
become a party to a proceeding or to participate as a party in any 
hearing must file a motion to intervene in accordance with the 
Commission's Rules.
Linwood A. Watson, Jr.,
Acting Secretary.
[FR Doc. 98-31595 Filed 11-25-98; 8:45 am]
BILLING CODE 6717-01-M