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Kevin Ellis IOGAWV President
IOGAWV Continues to Be a Considerable Value Proposition As we close out another fiscal year at IOGAWV, it is always instructive to look back at the collective accomplishments of the organization, as well as to identify opportunities going into the new fiscal year. And to be sure, FY20 was full of both. Let us start with a look at key successes. Unquestionably, due in major part to IOGAWV’s leadership and policy advocacy at the Capitol, the upstream oil and gas industry is the beneficiary of great new enactments. We have, of course, reported on these matters many times since, but they are worth repeating. HB 4090, which changed the definition of marginal wells, reduced the taxes due on such wells and, importantly, directed that those monies paid by the industry will capitalize the state’s orphaned and abandoned well plugging fund. This bill will undoubtedly impact every producer in West Virginia and provides the state Office of Oil and Gas a dedicated revenue stream to do the important work of plugging abandoned wells. Equally important is SB 802, which deals with the ability of a producer of natural gas in WV to enter into direct agreements for the delivery to and consumption by end users. The creation of new, in-state demand opportunities for natural gas produced in West Virginia is both an important accomplishment and an opportunity for future efforts. Additional and significant legislation that IOGAWV worked on in collaboration with other stakeholders included HB 4091 (creating an administrative process for produc-
ers to obtain expedited well work permits for horizontal wells), HB 4311 (modifying spacing rules for “deep” horizontal wells to accommodate modern drilling practices) and a pair of bills (HB 4421 and 4019) dealing with tax incentives for downstream investment in facilities utilizing West Virginia produced natural gas liquids and derivatives. Taken together, this year’s legislative session was a resounding success and a strong reminder to our members that the investments you make in IOGAWV are impactful and outcome-oriented. IOGAWV also intervened in several matters at the WV PSC and FERC dealing with gathering line dispositions and abandonment petitions, general investigations and related matters. IOGAWV’s investment into these activities in FY20 through the procurement of legal services, expert witnesses and related expenses also resulted in important outcomes that will carry over into similar matters in the future – all to the benefit of IOGAWV members. For those members who are regular participants in Commerce Committee meetings, you know the value and importance of this key part of IOGAWV’s work on behalf of producers. Finally, IOGAWV leadership responded immediately and aggressively to the COVID-19 pandemic by establishing a work group to deliver key information to members. As part of this effort, we have shared a number of Action Alerts on critical and timely topics related to the pandemic. In addition, we have delivered web-based
video conferences on the SBA Paycheck Protection Program and CARES program opportunities and with the WV Secretary of State, the WV Attorney General and the Chief of the WV DEP Office of Oil and Gas. And, plans are in the works now for other, similar virtual meetings to bring to you the most current and up to date information about how the pandemic may IOGAWV Value Continued on page 12
2019-2020 OFFICERS BOARD MEMBERS J. Kevin Ellis President Ben Sullivan Vice President/Program Chair Maribeth Anderson Secretary-Treasurer/Investment Comm. Chair Brett Loflin Immediate Past President James W. Crews Director/Commerce Comm. Co-Chair Jon Farmer Director/Producers Issues Comm. Co-chair David Haney Director/ Producers Issues Comm. Co-chair Jon Hildreth Director Jeff Isner Director/Commerce Comm. Co-Chair Bob Radabaugh Director/Evironmental Committee Chair Sarah Smith Director/Govt. Affairs Comm. Chair Todd Tetrick Director/Saefety Committee Chair Chris Weikle Director/Comm. & Educ. Comm. Chair