News
Oklahoma Corporation Commission candidate Jim Roth praised in editorial
Wed, Dec 5th 2007, 16:35State's newest commissioner arrives ready for the job
By Jack Money
Business Writer
Jim Roth, the newest member of the Oklahoma Corporation Commission, knew pretty much what average Oklahomans know about the regulation of oil and gas and utilities as he started 2007 and his fifth year as a member of Oklahoma County's board of commissioners.
Given that, you might think Roth started his job as Commissioner Denise Bode's replacement June 1 sort of wide-eyed.
Anything but. Roth hit the books.
He started learning about the commission and about the job soon after hearing Bode's seat on the Oklahoma Corporation Commission was about to be available and after friends told him he should consider offering to replace her.
He researched the commission's past work, compared it to the work of similar boards in other states and learned about the industries Oklahoma's commission regulates.
By the time he contacted Gov. Henry to ask for a meeting about the vacancy, Roth had visited with a fellow county commissioner and with family to be sure they approved of his decision to seek the post. He knew he wanted the job. Ultimately, Henry decided to hire him.
June 1, when Roth showed up for his first day, he wasn't feeling uptight or nervous.
Instead, an excited Roth came ready to work that first day.
He remained just as excited this week as he talked about his on-the-job learning curve during the past five-plus months.
"In a practical sense, yes, it (the job) was new to me,” Roth said from inside his office on the third floor of the Jim Thorpe Office Building, the commission's headquarters.
"Obviously, you and I are equal consumers, and we realize that petroleum, oil and gas and other petroleum products and other hydrocarbon fossil fuels are intersecting our lives almost every minute, and so there is a level of understanding that comes from that awareness,” Roth said.
"But in terms of regulation — in terms of being an industry insider — that's not me. The governor actually saw my lack of bias as a plus, and I do too.”
In case you didn't know
According to a history outline on the agency's Web site, Article 9 of Oklahoma's constitution established the Corporation Commission in 1907. The state's first Legislature gave the Commission authority to regulate businesses whose services are considered essential to the public welfare.
Initially, the commission regulated transportation and transmission companies, mostly railroads and telephone and telegraph companies. The task to regulate oil pipelines was added by Oklahoma's second Legislature. Telephone call price regulation was added in 1908, and telegram price regulation in 1912.
The commission began regulating water, heat, light and power rates in 1913, and began regulating the oil and gas industry in 1914 when it restricted oil drilling and production in the Cushing and Healdton fields to prevent waste when production exceeded pipeline transport capacity.
In 1915, the Legislature passed the Oil and Gas Conservation Act, which expanded oil and gas regulation to include protecting the rights of all parties entitled to share in the benefits of oil and gas production.
Also in 1915, the Legislature declared cotton gins to be public utilities and extended the commission's authority over utility companies to include practices as well as rates.
Today, the corporation commission regulates public utilities, except those under municipal or federal jurisdiction or exempt from regulation; oil and gas drilling, production and environmental protection; the safety aspects of motor carrier, rail and pipeline transportation and the environmental integrity of petroleum storage tank systems.
While the federal Motor Carrier Act of 1995 ended state authority to regulate rates and routes of intrastate transport of most commodities, the corporation commission continues to enforce requirements for operating authority and insurance.
It also enforces federal regulations for underground injection of water and chemicals, underground disposal of certain oil and gas waste fluids and remediation of soil and groundwater pollution caused by leaking petroleum products storage tanks.
The commission has judicial, legislative and administrative authority. Its three commissioners, including Roth, are elected by statewide vote. The commissioners rule on all regulatory matters within the agency's jurisdiction. Commission orders are appealable only to the Oklahoma Supreme Court.
Power to touch us all
Roth commented outside his office that the corporation commission's rules and orders impact about two-thirds of Oklahoma's $106 billion economy.
His research showed him what Oklahoma's corporation commission could accomplish, he said.
Yes, oil and gas remain an integral part of the state's economy, and the commission needs to pay attention to the industry, he agreed. But the agency must become proactive to help grow the Sooner State's renewable energy resources, including wind power and bio fuels, he added.
The need to do so is greater than ever because of tensions in Central America and the Middle East, Roth noted.
"That's what I call the trifecta, and I'm trying to get the commission to think that way. Oklahoma's future could be incredibly bright, not just in one energy sense, but in every energy sense,” Roth said.
"So by the time June 1 came, I felt rested and ready to tackle where I thought the Corporation Commission needed to go.”
