[Federal Register: March 24, 1998 (Volume 63, Number 56)] [Notices] [Page 14084-14085] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr24mr98-62] ----------------------------------------------------------------------- DEPARTMENT OF ENERGY Federal Energy Regulatory Commission [Docket No. SA98-14-000] Albert A. Thornbrough; Notice of Petition for Adjustment March 18, 1998. Take notice that on March 6, 1998, Albert A. Thornbrough (Thornbrough) filed a petition for adjustment under section 502(c) of the Natural Gas Policy Act of 1978 (NGPA),\1\ seeking Commission intervention to resolve a dispute between himself and Colorado Interstate Gas Company (CIG) concerning ad valorem taxes for years 1982 through 1986. Thornbrough requests that he be relieved of his obligation to pay Kansas ad valorem tax refunds, as required by the Commission's September 10, 1997 order, in Docket Nos. GP97-3-000, GP97- 4-000, GP97-5-000, and RP97-369-000.\2\ Thornbrough's petition is on file with the Commission and open to public inspection. --------------------------------------------------------------------------- \1\ 15 U.S.C. 3142(c) (1982). \2\ See 80 FERC para. 61,264 (1997); order denying reh'g issued January 28, 1998, 82 FERC para. 61,058 (1998). --------------------------------------------------------------------------- The Commission's September 10 order on remand from the D.C. Circuit Court of Appeals \3\ directed first sellers under the NGPA to make Kansas ad valorem tax refunds, with interest, for the period from 1983 to 1988. The Commission's September 10 order also provided that first sellers could, with the Commission's prior approval, amortize their Kansas ad valorem tax refunds over a 5-year period, although interest would continue to accrue on any outstanding balance. --------------------------------------------------------------------------- \3\ 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). --------------------------------------------------------------------------- As of March 9, 1998, CIG claims that Thornbrough owes CIG $108,883.73 in principal and $156,621.88 in interest. Thornbrough disputes CIG's claim entirely. If the Commission determines that Thornbrough is required to pay some or all of the disputed amount to CIG, Thornbrough seeks a staff adjustment pursuant to Section 502(c) of the NGPA, abating all of the disputed amount. If the Commission subsequently determines that Thornbrough is required to pay some or all of the disputed amount to CIG, Thornbrough seeks permission to amortize the required sum over a five-year period commencing on march 9, 1999 such that the first installment would be equal to one-fifth of the total principal and interest owing as of that date; the second installment equal to \1/4\ of the remaining total; the third installment equal to \1/3\ of the remaining balance; the fourth installment equal to \1/2\ of the remaining amount; and the fifth installment would be equal to the balance of all principal and interest owing as of March 9, 2003. Thornbrough, as operator, claims that the production and his working and revenue interests therein, as well as the royalty interest owners, of the following wells are the subject of this dispute: ------------------------------------------------------------------------ Gross work Net revenue Well name Location interest interest (percent) (percent) ------------------------------------------------------------------------ Lindsay #1.................. Section 25..... 100 76.56 McDonald #1................. Section 13..... 50 43.75 McDonald #2................. Section 13..... 31.25 27.31 Thornbrough #1.............. Section 24..... 100 82.31 Thornbrough #2.............. Section 24..... 62.5 51.26 ------------------------------------------------------------------------ All of these wells are located at T25S-R39W in Hamilton County, Kansas. Thornbrough also claims that its request for relief from its Kansas ad valorem taxes for the years 1982-1986 is based on a May 1, 1989 Settlement Agreement with CIG where the only mention of these types of taxes, to which Thornbrough may be liable for making a refund, is for the years 1987 and 1988. 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, D.C. 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 [[Page 14085]] 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 therein must file a motion to intervene in accordance with the Commission's Rules. David P. Boergers, Acting Secretary. [FR Doc. 98-7535 Filed 3-23-98; 8:45 am] BILLING CODE 6717-01-M