PIPELINE
the newsletter of Panhandle Producers & Royalty Owners Association • Vol. LXXXIX • No. 4
Agency name change would benefit Texans
Ryan Sitton, March 13, 2015
Having served on the commission charged with overseeing energy production in Texas for only two months, I recognize that I'm
the "new kid on the block." But people, including legislators, continually ask my opinion about an important topic: Should the
name of the Texas Railroad Commission be changed? After spending months visiting with people from across the state ranging
from grass-roots groups to local elected officials to industry leaders, I'm more convinced than ever that we need to rename the
agency that regulates energy production in Texas.
The railroad commission has nothing to do with trains! Did you know that? If not, you aren't alone. There's a
woefully inadequate level of understanding regarding what the railroad commission does. When we
researched the issue during my campaign, we found only 3 percent to 5 percent of voters were aware of the critical role the railroad commission plays in making sure energy in Texas is produced safely, responsibly and
efficiently. After seeing this data, I spent a large part of my campaign budget and my only radio ad in the runoff informing voters that most railroad commission activities are focused on regulating oil and gas production
in Texas. That means that while Texas energy production has tripled in size over the past six years, contributed over $15 billion to state coffers last year and supported 41 percent of the state's economy, a fraction of
Texans know that there's a state agency ensuring operators follow the law and best practices.
A name change may sound unimportant, but at a time when Texans should be confident in the growth in the industry and excited
about the opportunities, I am concerned that some are skeptical due to a lack of awareness and understanding about what our
agency does. That's unacceptable.
How should this change be done? We need a constitutional amendment to rename the railroad commission. This would ensure that
our citizens are a part of the change, have a voice in the process and are made aware of the agency's primary functions. The agency
was provided for in the Constitution and any name change needs to be constitutional, not statutory. State Rep. Larry Phillips,
R-Sherman, has proposed a House Joint Resolution to do this, and I support his constitutional amendment. I firmly believe that in
the interest of transparency and good government that a state agency's name should provide a good indication of what it does.
The Texas Railroad Commission has a long and storied history that all Texans should be proud of. Changing its name won't change
that history. It will simply eliminate confusion regarding the commission's purpose, which is to oversee energy production by
protecting the public, preventing waste and protecting correlative rights.
In my first couple of months on the job, I have already worked with dozens of legislators. I am continually impressed with their
diligence; I respect their perspective a great deal, and I appreciate the hard work they do every day. I'm anxious to visit with them
and anyone else who wants to discuss the urgent need for this change. I'll continue to work with anyone who is interested in how
Texas can continue to advance and improve how we produce and regulate energy in our great state. After all, we have the
opportunity in front of us to retake the position of global energy leader.
But to achieve that, we need the people of Texas to confidently support the industry's growth and understand that there is a state
agency regulating how our energy is produced. The name change can be one of many ways we make that happen.
Sitton is a Texas Railroad commissioner.
Agency name change. ............................ ...1
From the Wellhead ..................................... 2
Events......................................................... 2
From the EVP ............................................. 3
Crude oil exports ........................................ 4
Case note.................................................... 6
Markets ....................................................... 8
In Memoriam ............................................... 8
Priority Bills ............................................... 10
Tax issues ................................................. 12
Thank you! ................................................ 13
Membership & Advertising ....................... 13
Locations .................................................. 14
Permits ..................................................... 15
Monthly stats ............................................ 16