February 18, 2021
The last part of this series wasn't all that developed, but I'm starting a new one. The reason is, once again, the problem of eating the seed corn.
Not all of the economic news out there is bad for the state right now. Oil, for example, is now at $60.00/bbl, above the profitability rate for the state's production. We can't tell if that will hold, of course, and part of that is due to a refinery shutting down temporarily due to weather in Port Arthur, Texas. Once the refineries get back on line, who knows.
Not all of the news is great either. A coal mine, for example, is being shut down, making it one of two Powder River Basin coal mines closing forever, with the other in Montana.
Perhaps its the overall gloom caused by the Pandemic that is making things seem so bleak. We're now in year two of it and only now do we seem to be getting ahead of it. But even the news there isn't great. The latest news is that the British strain of COVID 19 is both more infectious and somewhat more deadly than the original variant. A South African cannot be prevented by vaccination with the current vaccines, although receiving them lessens the impact of the infection. SARS-CoV-2 may be with us forever.
And the political news has been simply crazy. From the election up through the inauguration we had a President who insisted he'd won when he had not, the first time in American history that this has occurred. On January 6 his supporters attempted a coup, although they may have believed that they were defending democracy. Some of them might not care either, as it seems that a section of the GOP no longer believes in democracy in the broad sense of accepting that opposing votes, no matter how cast, for whom, and by whom, are legitimate.
A section of that party, which is by far the most dominant in the state, had signed full on board for what Republican Senator Ben Sasse has called the "weird worship of one dude" and has been busy censuring Liz Cheney for her vote for democracy over that devotion. A host of extreme right candidates has announced to run against her in 2022 and now a perennial far fight candidate has come out for another run at the Governor's office. In normal times all of these candidates could be dismissed, and perhaps they should be now, but the times are so odd, a person must be leery. Should this drift continue the state will be so out of sync with where the nation is now at, its voice will be unable to be heard at all.
Added to that the state government faces a budget crisis, as its relied on the fossil fuel industry so long, and it can't seem to find a way out of that, other than cutting. And the things its cutting, more than ironically, are the very things that might lead us out of this rinse and repeat cycle.
The University of Wyoming announced its program cuts yesterday.
The University is cutting its Bachelor of Science in Business Administration, minors in the College of Business, Psychology Master of Arts, Chemistry Master of Science in teaching, Bachelor of Science in journalism, History Master of Arts in teaching, a joint program between veterinary sciences and zoology, Community Development Focus in Agricultural and Applied Economics, and Bachelor of Arts programs in secondary French, German and Spanish education.
A person could, I suppose, argue on any one of these but none of these look expendable to me. I've sometimes been a critic of university programs here and I'll be frank that ones that end in "studies" are particularly suspect, as they tend to generate employment and application only within themselves, and on a very limited basis. An academic purist would tell you that the purpose of education isn't to find employment, but unless you are a member of something like the late 19th and early 20th Century British noble class, that's pretty much thin sliced baloney.
All of these programs look to have utility to me. Quite a few of them are devoted to teaching in some fashion and if recent events prove anything, we need some solid teaching in American society. The joint programs appear well suited for unity. The cutting of programs in language will serve to further dilute American grasp on other cultures. Language programs and requirements should be expanded, not relaxed.
Some programs have reportedly survived so far, but aren't save yet. These include the Master of Fine Arts Creative Writing program and the bachelor’s and master’s programs in American Studies. American Studies is about the only one of these programs I'm skeptical of. Its related, of course, to history, and if a person is studying in that field, they'd be better off with the broader degree in history for multiple reasons.
While all of this is going on we're still funding a quixotic suit over the transportation of rail to the Pacific Northwest, which at least is now as the Supreme Court stage so the added expenses shouldn't be massive. A bill is pending down in the legislature to make the Attorney General's Office independent of the Governor's and an elective office. This is likely due in part to dissatisfaction in some quarters with the Governor's declination to join Texas in a doomed form the onset and probably sanctionable suit over the recent election.
February 19, 2021
Governor Gordon sent a letter to the Department of the Interior complaining about a Biden Administration order requiring to Interior officials to approve all Federal oil and gas leases. The Governor's letter complains about the added layer of red tape and asserts that this may cause the oil and gas industry to leave the state.
March 22, 2021
Governor Gordon and the governors of three other petroleum producing states joined together to urge Congress to pass Liz Cheney's SCALES Act, an act which would provide grants and low interest loans to carbon capture projects.
March 24, 2021
Governor
Gordon Proclaims March 20 Hearty Meat Day
CHEYENNE, Wyo. – Governor Mark Gordon has
signed a proclamation declaring Saturday, March 20 Hearty Meat Day in Wyoming.
The Governor encourages Wyomingites to purchase and eat beef, lamb and other
meat products on this day.
“Our Wyoming farmers and ranchers are amazing stewards of our environment. The
meat they ethically produce is the best, and part of a healthy, balanced diet.
It’s just downright good to eat,” Governor Gordon said. “Folks here know how
important our ranching heritage is."
Governor Gordon’s proclamation invites the citizens of Colorado to join Wyoming
in its celebration of Hearty Meat Day.
“I don’t know what those folks are doing down south, but a good barbecue is a
great way to enjoy a Saturday,” the Governor added.
The Governor’s proclamation is attached and can be found here.
--END--
Wyoming
Launches Lawsuit Challenging Biden Administration’s Federal Leasing Ban
CHEYENNE, Wyo. – The state of Wyoming
filed a lawsuit today challenging the de-facto moratorium on oil and gas
leasing on federal land issued by President Biden and Secretary of the Interior
Deb Haaland. The suit asserts that Haaland’s implementation of the leasing
moratorium contained in Executive Order 14008 is invalid under federal law.
“Following a careful review of not only the President's Executive Order, but
its practical effect, it is necessary for Wyoming to protect its citizens and
challenge the Secretary’s action,” Governor Gordon said. “Not only is this
federal action overreaching, it was implemented without public input as
required under federal law.”
The lawsuit was filed in Federal District Court of Wyoming and states that the
Administration’s action violates the National Environmental Policy Act, the
Administrative Procedure Act, the Mineral Leasing Act and the Federal Land
Policy Management Act. The lawsuit asks the court to set aside the Secretary’s
action and require the Bureau of Land Management to resume quarterly oil and
gas lease sales, which have been suspended since the order was signed.
Governor Gordon emphasized that the President’s de-facto ban on oil and gas
leasing will not meet the climate goals of the Administration, as production
will simply shift to other countries with less stringent emissions standards.
“The world will continue to need and use oil and gas for the foreseeable
future,” Governor Gordon said. “The question is whether it will be produced
under the environmental safeguards in place on federal lands in Wyoming, or
overseas without equally stringent regulations.”
In addition, the economic effects to Wyoming are devastating. A recent economic
study indicated that thousands of jobs and millions of dollars of state revenue
will be lost to the State of Wyoming.
Governor Gordon anticipates that other states will consider intervening after
Wyoming’s action is filed. A copy of the suit may be found here.
March 29, 2021
Oil and gas industry representatives have endorsed a Federal price on Carbon Dioxide emissions, something that has been sought by environmentalists.
Oil prices dropped to just over $63.00/bbl as the stuck Ever Given was partially freed.
April 6, 2021
State unemployment rates rose in February, but are still generally just somewhat over 5% except in some counties which are heavily oil and gas industry dependent, such as Natrona and Sweetwater Counties, where they are over 8%. Counties with no connection to oil and gas are doing the best.
Added to that, the state last 15,000 workers in the last downturn, so the unemployment rate is somewhat artificially low.
April 8, 2021
Governor Gordon signed Senate File 03, a resolution on President Biden's oil and gas exploration hiatus on Federal lands. It reads:
ORIGINAL SENATE ENGROSSED
JOINT RESOLUTION. SJ0003
ENROLLED JOINT RESOLUTION NO. 1, SENATE
SIXTY-SIXTH LEGISLATURE OF THE STATE OF WYOMING
2021 GENERAL SESSION
A JOINT RESOLUTION requesting Congress and the federal government to reverse federal orders and actions that inhibit the safe development of oil and gas in Wyoming and that negatively and disproportionately impact Wyoming citizens and industries.
WHEREAS, the state of Wyoming contains abundant and vast natural resources that are and can be used for the production of energy throughout the United States and world; and
WHEREAS, Wyoming produces energy that benefits consumers and industries throughout the United States; and
WHEREAS, the energy industry in Wyoming provides millions of dollars in taxes and other revenues annually to the state of Wyoming; and
WHEREAS, the state of Wyoming and the energy industry have worked together for years to develop Wyoming's energy resources in a safe and environmentally responsible manner, including the development of technologies to promote the responsible development and use of Wyoming energy; and
WHEREAS, the federal government owns almost one-half (1/2) of the surface acreage within the state of Wyoming and more than forty-two million (42,000,000) acres of mineral estate in Wyoming; and
WHEREAS, federal decisions and actions banning, pausing or significantly reducing the production of energy negatively impact the economy of Wyoming and the livelihoods and well-being of Wyoming's residents; and
WHEREAS, President Joseph R. Biden, Jr. signed Executive Order No. 13,990 on January 20, 2021, which requires the federal Secretary of the Interior to unilaterally stop all federal leasing of oil and gas resources in Wyoming; and
WHEREAS, President Biden signed Executive Order No. 14,008 on January 27, 2021, which indefinitely pauses oil and natural gas leasing and calls for a comprehensive review of federal oil and gas permitting and leasing practices to evaluate potential climate impacts; and
WHEREAS, the President and various federal agencies have, since January 20, 2021, taken actions and issued orders to limit actions, permits and leases for oil and gas production, including a Department of the Interior order that revoked authority for issuing fossil-fuel authorizations, leases, permits to drill and the affirmative extension of leases and contracts; and
WHEREAS, these executive actions will lead companies to pursue energy development in other parts of the world where energy resources are not as environmentally responsible and where responsible energy regulations are lacking to where a net negative impact on climate emissions may likely result; and
WHEREAS, these executive actions severely and negatively affect the value of property held by the state and citizens of Wyoming in areas affected by these orders due to the fact that federal property is intermingled with private and state lands and oil and gas development often involves lateral drilling techniques which cross several classes of property; and
WHEREAS, these executive actions will adversely impact and jeopardize the employment of at least twenty thousand (20,000) Wyoming citizens who directly or indirectly work in oil, gas and related industries representing over seven percent (7%) of the total employment in Wyoming; and
WHEREAS, these executive actions may result in negative impacts to Wyoming's diverse wildlife and habitat, including a decreased ability to mitigate wildlife impacts, increased development on currently undisturbed lands and a decrease in quality habitat reclamation work; and
WHEREAS, these executive actions are causing immediate, disproportionate and extensive harm to the state of Wyoming and will inflict lasting damage on Wyoming residents, industries and the critical services upon which Wyoming residents depend.
NOW, THEREFORE, BE IT RESOLVED BY THE MEMBERS OF THE LEGISLATURE OF THE STATE OF WYOMING:
Section 1. That the President of the United States rescind, reverse or repeal the executive orders that were issued in January 2021 that suspend or pause leasing, permitting, extensions and authorizations of oil and gas development in Wyoming and that will have an adverse impact on climate change and Wyoming's wildlife and habitat resources while inflicting irreparable and disproportionate harm on the state of Wyoming.
Section 2. That the President of the United States direct all federal agencies to rescind, reverse or repeal any secretarial orders or actions that negatively impact responsible energy and energy technology development in Wyoming, including Department of the Interior Secretarial Order No. 3395.
Section 3. That the Wyoming Legislature strongly opposes actions by or that direct federal agencies, including the federal Environmental Protection Agency, to unilaterally increase the burden on existing oil and gas companies in Wyoming and to increase the burden on those companies' facilities in Wyoming in an attempt to achieve climate-related goals that are unrealistic and that disproportionately impact the people of Wyoming.
Section 4. That the Wyoming Legislature strongly supports the efforts of the Wyoming congressional delegation to prevent the President and the federal executive branch from unilaterally issuing suspensions and moratoriums on energy development in Wyoming, including the Protecting Our Wealth of Energy Resources (POWER) Act of 2021 and the Safeguarding Oil and Gas Leasing and Permitting Act.
Section 5. That the Wyoming Legislature strongly encourages further congressional action to protect responsible leasing and permitting of oil and gas in Wyoming and to protect Wyoming's residents, energy industry and other industries that are negatively impacted by these executive actions.
Section 6. That the Secretary of State of Wyoming transmit copies of this resolution to the President of the United States, to the Acting Secretary of the Department of the Interior, to the Acting Administrator of the federal Environmental Protection Agency, to the President of the Senate and the Speaker of the House of Representatives of the United States Congress and to the Wyoming Congressional Delegation.
(END)
| | | |
Speaker of the House | | | President of the Senate |
| | |
| Governor | |
| | |
| TIME APPROVED: _________ | |
| | |
| DATE APPROVED: _________ | |
I hereby certify that this act originated in the Senate.
April 13, 2021
Natrona County School District No. 1 opted to retain an on line option for next semester. 7%, or 900, of the students opted for the same.
April 16, 2021
Governor Gordon Pushes Back on Biden Ban on Oil and Gas Leases
Governor stresses that cancellation of Federal oil and gas
leasing sales was unnecessary in letter to Secretary of Interior
CHEYENNE, Wyo. – Governor Mark Gordon is standing up for
Wyoming’s oil and gas industry in a letter to the Secretary of the Interior Deb
Haaland. He stated that the cancellation of Federal oil and gas lease sales
during a “review” of the program was unnecessary and discriminatory to the
people of Wyoming.
Among other concerns, the Governor highlighted the lack of
consultation with Western governors before the lease sale moratorium was put in
effect. In addition, the Governor stated “Western states such as Wyoming are
disproportionately affected by the freeze because of the amount of federal land
and leases within our borders.” He pointed out that “the eight Western
states with federal oil and gas leasing programs will have investment losses of
$2.3 billion, production value losses of $882 million and tax revenue losses of
$345 million in the first year of the moratorium.”
The letter was issued in response to the Department of
Interior’s call for informal public comment on the Biden administration’s
federal fossil fuel program review, which included a virtual public forum on
March 24.
The Governor also stressed that the assertion that oil and gas
companies have more leases than they can develop is not accurate for
Wyoming. Wyoming’s unique mix of federal, state and private surface and
mineral rights requires oil and gas companies to make long-range plans for
sensible and efficient development of oil and gas and prevent waste. It often
takes many years for a company to successfully put together a drilling spacing
unit for development.
In addition, the Governor noted that federal lands are not
over-leased. Approximately 66 percent of the federal mineral acreage considered
leasable (not including national parks, national monuments, Wind River
Reservation or geographically unsuitable areas) is currently unleased.
The Governor also pointed out that Wyoming is a leader in the
ability for oil and gas development to coincide with protection of
wildlife. Examples of that ability include the State’s extensive
experience setting policies to conserveGreater sage-grouse and wildlife migration
corridors. He also highlighted the State’s effective program of plugging
abandoned or orphan wells. Over 1,000 wells were successfully plugged in
2020.
Finally, Governor Gordon asked the Secretary to allow State
Bureau of Land Management Directors to “dedicate time for deliberate and
thoughtful consultation with Wyoming and other states that have effective
regulation of development, solid environmental protections, and whose
economies, livelihoods and way of life are dependent upon the federal energy
programs that this administration proposes to reform. Policy changes to our
bedrock program should not be based on a predetermined outcome without
meaningful input from all stakeholders.”
A copy of the Governor’s letter is attached and may be found here.
-END-
April 22, 2021
The Federal Government has cancelled oil and gas lease issuing through June.
April 23, 2021
Wyoming
Joins 10-State Lawsuit Against Biden Over His Social Cost of Carbon Executive
Order
CHEYENNE, Wyo. – Wyoming has joined
Louisiana and 8 other states in a lawsuit to prevent the Biden Administration
from implementing an act of job-killing executive overreach that threatens to
impose more burdens and harms on the American people.
Carbon dioxide, methane, and nitrous oxide are
by-products of everyday activities in America today, including the production
of electricity, natural gas, farming operations, a wide variety of industrial
activities, the production of cement and other construction materials, and waste
disposal. They are among the most common and prevalent byproducts of human
economic activity.
In a recent Executive Order, President Biden established a “working
group” made up of federal appointees required to establish a damages value
based upon global environmental damages from climate changes. These values are
referred to as the “social cost of carbon,” the “social cost of methane” and
the “social cost of nitrous oxide.” The methods used to calculate these values
are deeply flawed, dramatically inflate the alleged costs associated with these
gases, and ignore the corresponding benefits of the underlying economic
activity. Nevertheless, the President is requiring federal agencies to
immediately begin quantifying the “global damage” of releasing carbon dioxide,
methane, and nitrous oxide using these flawed numbers.
“This Executive Order improperly changes how
decisions are made by applying a selective and highly biased feel-good
rationale that has the potential to significantly harm industries critical to
the nation’s and my state’s livelihood,” Governor Gordon said. “Arbitrarily
justifying any decision to fit political circumstances, including decisions
that could be devastating to Wyoming’s energy sector, is not only bad policy,
but is unwise.”
The executive order has wide-ranging impacts on
decisions made by virtually every federal agency, including the Departments of
Interior, Commerce, Energy, Agriculture, Transportation, Environmental
Protection, Defense, Homeland Security, Health and Human Services and the U.S.
Treasury. It is a very real thumb on the scale against the activities that make
Wyoming and the nation’s economy successful. Through this suit Wyoming and its
sister states seek to prevent President Biden and the federal government from
using these inflated values in their decisions.
In addition to Louisiana and Wyoming, the
following states joined in the lawsuit filed this morning in the United States
District Court for the Western District of Louisiana: Alabama, Florida,
Georgia, Kentucky, Mississippi, South Dakota, Texas and West Virginia.
A copy of the lawsuit may be found here.
--END--
April 25, 2021
The Biden Administration has nominated Tracey Stone-Manning to head the BLM.
The move will be controversial as Stone-Manning is an established conservationist who was recently at the National Wildlife Federation where she focused on preserving public lands for non industrial uses, including wildlife conservation, hunting, and hiking. She'll prove popular with Western conservationist but is unlikely to have support from the extractive industries and probably won't have support from agriculture.
Stone-Manning replaces William Perry Pendley who was a bizarre Trump Administration choice given his record of hostility to Federal land ownership itself.
Honda has announced that all of its vehicles shall be electric by 2040.
May 5, 2021
Wyoming
Continues Fight Against Biden’s Oil and Gas Leasing Ban
CHEYENNE, Wyo. – Governor Mark Gordon
worked with the Attorney General to file a lawsuit against the Federal de-facto
moratorium on oil and gas leasing. This week, the State of Wyoming filed a
motion for a preliminary injunction in its lawsuit.
In the filing, Wyoming asks the Federal District
Court of Wyoming for an injunction that orders the Secretary to hold quarterly
oil and gas lease sales in Wyoming while the case is being considered, and
orders the Secretary to hold the March and June 2021 Wyoming federal oil and
gas lease sales as soon as reasonably possible.
“The current de facto leasing moratorium is bad
policy for Wyoming and contrary to law,” Governor Gordon said. “This is a key
action to protect the interests of Wyoming and her people.”
Filed March 24, Wyoming’s lawsuit states that
the Biden Administration’s Executive Order “pausing” oil and gas leasing on
Federal lands violates the National Environmental Policy Act, the
Administrative Procedure Act, the Mineral Leasing Act and the Federal Land
Policy Management Act.
The Federal government has until June 1, 2021 to
file a response brief. A copy of the motion
may be found on the Wyoming Attorney General’s website.
-END-
May 18, 2021
Woodworkers Supply is closing in Casper.
June 2, 2021
OPEC announced that its boosting oil production. This is likely to reduce prices, which is to Wyoming's disadvantage as the price need to be up above $60.00 bbl to be stable. West Texas Crude, the American bench mark, is at $68.00 bbl at the time I'm writing this.
While the rise in prices is not attributable really to anyone political act, and instead is attributable to the roaring developments in the economy as the globe emerges from the Coronavirus pandemic, this hasn't kept some politicians from trying to blame the cost of gasoline at the pumps on President Biden, as this post from Jim Jordan, coatless Congressman from Ohio implicitly does.
Seriously?
Wyoming's Senator Barrasso, it should be noted, has made the same accusation.
President Biden suspended recently issued leases in the Artic National Wildlife Refuge. As no wells had yet been drilled on the leases, which date back to January, this will have no immediate impact on the price of oil and gas, but probably signals what long term trends are likely to be, something the state should take note of.
Another thing that should be taken note of is the recent ransomware attack on an East Coat pipeline, something that definitely had a short term impact on the price of oil. Attributed to Eastern European criminal elements at first, one of the weekend shows was pointing towards the Russian government over the weekend, in which case this is a species of act of war. This was speculation, of course.
JBS SA, the Brazilian meat processing company that provides 25% of the meat supply to the US, suffered a ransomware attack itself.
This points out how vulnerable the industry is globally, having come down to a handful of producers, something that really should be addressed in the trust busting fashion.
Related threads:
