[Federal Register Volume 63, Number 57 (Wednesday, March 25, 1998)] [Notices] [Pages 14455-14456] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 98-7775] ----------------------------------------------------------------------- DEPARTMENT OF ENERGY Federal Energy Regulatory Commission [Docket No. SA98-23-000] Raymond Oil Company, Inc.; Notice of Petition for Adjustment March 19, 1998. Take notice that on March 9, 1998, Raymond Oil Company, Inc. (Raymond) filed a petition for adjustment under section 502(c) of the Natural Gas Policy Act of 1978 (NGPA),\1\ requesting to be relieved of its obligation to make Kansas ad valorem tax refunds to The Williams Companies, Inc. (Williams), 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\ Raymond'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 [[Page 14456]] 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). --------------------------------------------------------------------------- Raymond states that Williams in its November 10, 1997 statement has sought to collect a refund obligation of $376,134.78, including interest through December 31, 1997 for the Carr Lease, the Carr ``A'' Lease, the Mills ``A'' Lease, the Mills ``R'' Lease, and the Cline ``A'' Lease. Raymond was the operator of the subject leases and no portion of the ad valoram tax attributable to the royalty interest in these leases was ever collected by Raymond and the same is not pertinent to this proceeding. The working interest owners in varying interests in the varying leases are John Alexander, R.L. Rooke, Francis Raymond, Western Ventures, Inc., Patrick Raymond, William M. Raymond, Shirley Stark and Raymond Oil Company, Inc. Raymond has remitted under protest, with all rights reserved, $203,935.24 to Williams on behalf of Patrick Raymond, William M. Raymond, Shirley Stark and Raymond Oil Company, Inc. Raymond States that John Alexander, R.L. Rooke and Francis Raymond are deceased and that the alleged refunds should be deemed uncollectible. Their respective estates are now closed and the Kansas non-claims statute (K.S.A. 59-2239) has since run out thus leaving no legal way for Raymond, as operator, from taking legal action for recovering any of the monies. Raymond was never the owner of the gas attributable to these deceased working interest owners and as a contract operator of the subject oil and gas leases, Raymond did not purchase this gas from them and does not have an ongoing contractual relationship permitting it to collect the subject refunds through the use of billing adjustments. Raymond reports the monies to be $11,284.04 from John Alexander, $37, 613.48 from R.L. Rooke and $48,075.07 from Francis Raymond. Raymond states that the alleged refunds due from Western Ventures, Inc. (Western) should be determined as uncollectible. Western was liquidated on December 4, 1986 and the Kansas statutes relating to the liabilities of a dissolved corporation provide that successors in interest now have no obligation for making reimbursement for monies received by the corporation. Raymond requests that the Commission recognize that the applicable three year Kansas statute of limitation and the laws of the State of Kansas prohibit Raymond, as operator, from taking legal action against Western and its stockholders in an attempt to obtain a refund of the tax and interest. Raymond reports that Western owes a refund of $75,226.96. Raymond requests that the Commission grant Raymond staff adjustment in the amount of $172,199.55 for taxes and interest as of December 31, 1997, in connection with the Statement of Refunds Due submitted to it on November 10, 1997, by Williams. 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 must file a motion to intervene in accordance with the Commission's Rules David P. Boergers, Acting Secretary. [FR Doc. 98-7775 Filed 3-24-98; 8:45 am] BILLING CODE 6717-01-M