[Federal Register Volume 63, Number 56 (Tuesday, March 24, 1998)]
[Notices]
[Pages 14081-14082]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-7542]
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DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission
[Docket No. SA98-33-000]
Pioneer Natural Resources USA, Inc.; Notice of Petition for
Adjustment
March 18, 1998.
Take notice that on March 9, 1998, Pioneer Natural Resources USA,
Inc. (Pioneer) filed a petition for adjustment under section 502(c) of
the Natural Gas
[[Page 14082]]
Policy Act of 1978 (NGPA),\1\ requesting that the Commission grant a
procedural adjustment in connection with its potential refund liability
for reimbursement of Kansas ad valorem taxes otherwise 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\ Pioneer's petition is on file
with the Commission and open to public inspection.
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\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).
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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 interests, for the period from 1983
to 1988. The Commission clarified the refund procedures in its ``Order
Clarifying Procedures'' in Northern Natural Gas Company, et al.,\4\
stating therein that it would grant extension of the refund due date
for royalty refunds if a producer requests such an extension. In
addition, the Commission indicated in the January 28 order that it
would consider adjustment requests as to the refund amounts and the
refund procedures.
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\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).
\4\ 82 FERC para. 61,059 (1998).
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Pioneer requests authorization to defer payment to Northern Natural
Gas Company, Panhandle Eastern Pipe Line Company, ANR Pipeline Company,
Williams Natural Gas Company, KN Interstate Gas Transmission Co., and
Colorado Interstate Gas Company (Pipelines) of principal and interest
refunds attributable to royalties for one year until March 9, 1999. In
addition, Pioneer requests that it be allowed to place into an escrow
account certain portions of the remaining refunds allegedly due to
Pipelines. Pioneer argues that it seeks to establish these procedures
to ensure: (a) that it pays only that which is legitimately owed; and
(b) that if it is subsequently determined that its refund liability was
less than that originally claimed by Pipelines, it can recover the
overpayment.
Pioneer states that a one-year deferral in the obligation to make
royalty refunds is necessary in order to allow it to confirm the
appropriate refund amounts due, to attempt to locate the prior royalty
owners, and to seek recovery of such amounts from the proper royalty
owners. On or before March 9, 1999, Pioneer proposes to file with the
Commission documentation of those royalties which were not collectible
and disburse to Pipelines those royalty refunds which were recovered
(principal only), except for refunds attributable to pre-October 3,
1983, production (which is covered below). At that time, Pioneer
proposes to place the interest from royalty refunds which was recovered
in its escrow account to protect the royalty owners. In addition,
Pioneer argues that its proposal for an escrow account is necessary to
protect its property and that of its royalty owners. Pioneer also
proposes to place the following amounts into that escrow account: (a)
the principal amount of refunds and interest thereon attributable to
royalty refunds [during the one-year deferral period]; (b) the
principal and interest amount of refunds attributable to production
prior to October 3, 1983 (excluding royalties attributable thereto
during the one-year deferral period); and (c) the interest due on
principal refunds other than royalty refunds (during the one-year
deferral period) and pre-October 3, 1983, production refunds. Pioneer
requests the one-year deferral and the authorization to place such
monies into an escrow account pursuant to the Commission's January 28,
1998, Order Clarifying Procedures.
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 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. 98-7542 Filed 3-23-98; 8:45 am]
BILLING CODE 6717-01-M
