Hall Previously Claimed Valero Told Him His Wife's Position With The Firm Constituted No Conflict Of Interest
Vince Leibowitz - February 28, 2008
AUSTIN--Former San Antonio City Councilman Art Hall has accepted more than $5,000 in contributions from Valero Energy's political action committee and several of its employees, according to records from the Texas Ethics Commission.
On February 8, Hall received a $5,000 contribution from the Valero Political Action Committee, a PAC notorious for giving thousands of dollars to Texas' most conservative Republicans-- and Railroad Commissioner Michael L. Williams, the man Hall and Dale Henry (D-Lampasas) seek to replace in the November general election.
In addition to the $5,000 from Valero's PAC, Hall also took more than $2,000 from Valero employees and attorneys in late January and February. According to Hall's most recent filing with the Texas Ethics Commission, he received the following contributions from Valero employees and attorneys:
Robert Bower, Valero Attorney, $500 2/23
Theodore Guidry, Valero employee, $500, 1/26
Diane Hirsch, Valero Attorney, $300, 2/23
Martin Loeber, Valero Attorney, $500, 2/23
Rich Walsh, Valero Attorney, $1,500, 2/23
Parker Wilson, Valero Attorney, $500, 2/23
"The money that Art Hall has accepted from Valero's PAC and its employees is especially troubling given the fact that he is very connected to Valero through the fact that his wife is an attorney for Valero," said Vince Leibowitz, campaign director for Dale Henry, Hall's principal opponent.
According to Hall's Personal Financial Statement on file with the Texas Ethics Commission, Hall's wife owns between 5,000 and 9,999 shares of stock in Valero which, if sold, would represent a net gain of $10,000 to $24,999.
"All of this is especially disturbing given the fact that Art Hall is actually getting advice from Valero on what constitutes a conflict of interest for his campaign," said Leibowitz.
At a forum in Decatur on January 29, Hall was asked if he believed it constituted a conflict of interest that his wife, Stephanie Hall, is an attorney for Valero considering the Railroad Commission regulates the oil and gas industry. Hall told the audience that he had contacted Valero and that he was advised by the company that her work would not constitute a conflict of interest for him.
"Art Hall is getting ethics advice and money from Valero energy. What else is he getting from them? Are they advising him on energy policy as well? Art Hall represents no departure from the current rubber-stamp culture at the Texas Railroad Commission where Commissioners take thousands of dollars from oil company PACs and their employees and then give them whatever they want without regard for the best interest of Texas consumers or the environment," Leibowitz said.
"Valero's PAC is notorious for giving large sums of money to Republicans and pet conservative causes," Leibowitz said. "Valero has given Railroad Commissioner Michael L. Williams $20,000. Now Art Hall is taking Valero's money and telling Texans that he will bring 'balance' to the Texas Railroad Commission. What kind of 'balance' is that, exactly? The kind of 'balance' where Hall will simply be another hand out taking money from the oil industry? That's not 'balance,' that is merely more of the same," Leibowitz continued.
Valero has given incumbent Railroad Commissioner Michael L. Williams $10,000 on two occasions: once less than a year ago on June 28, 2007, and once on June 7, 2002. Valero has also contributed to some of Texans most anti-consumer, counter-progressive Republicans and Republican causes.
The company's PAC gave $15,000 to Tom Craddick's "Stars Over Texas" Leadership PAC ($10,000 on 10/11/06 and $5,000 on 10/25/04), and $30,000 to Speaker Craddick's personal campaign account since 2004 ($10,000 on 11/08/05 and $10,000 on 11/5/07, and $10,000 on 11/10/04). A small sampling of Valero's contributions to Republicans include:
Texas Conservative Coalition ($2,500 on 9/10/07)
Former State Rep. Joe Nixon ($1,000 on 3/5/04)
Lt. Governor David Dewhurst ($10,000 on 11/6/03)
Attorney General Greg Abbott ($10,000 on 7/11/03)
Railroad Commissioner Victor Carrillo ($5,000 on 1/29/04)
U.S. Senator John Cornyn ($2,500 while Cornyn was Texas' AG on 11/7/2000)
State Rep. Phil King ($2,500 on 10/23/07)
Texas Agriculture Commissioner Todd Staples ($5,000 on 11/27/07)
Former State Rep. Talmadge Heflin ($1,000 on 11/9/04)
The Valero-tied contributions aren't the only suspect contributions Hall has received as a candidate. While on the San Antonio City Council, Hall accepted money from executives and employees of the HB Zachry company, a San Antonio-based company which has paired with Spanish company Cintra and, in March 2005, signed a comprehensive development agreement authorizing $3.5 million in planning for the first phase of the controversial Trans-Texas Corridor. Hall accepted a $500 contribution from HB Zachry on April 26, 2005 and a $250 contribution from J.P. Zachry on August 8, 2005. As a San Antonio City Councilman, Hall also took money from Valero's PAC on May 3, 2005 ($500).
At the January 29 forum in Decatur, Hall also failed to state a position on a question that asked whether or not he favored continued development of the Trans-Texas Corridor, which will include "designated utility zones" which will facilitate the transport of oil and natural gas and could have a significant negative impact on Texas' environment and groundwater.
Henry faces Art Hall of San Antonio and Mark Thompson of Hamilton in the March 4 Democratic Primary. The winner of the March 4 Democratic Primary will face Commissioner Michael L. Williams in the general election.
Showing posts with label Art Hall. Show all posts
Showing posts with label Art Hall. Show all posts
Thursday, February 28, 2008
Monday, February 11, 2008
Consumer issues likely to play large role in Texas Railroad Commission race
By R.A. DYER - Star-Telegram Staff Writer - Mon, Feb. 11, 2008
AUSTIN -- With North Texas residents feeling the economic pinch -- and home energy prices on the rise -- consumer issues could take center stage in the race for the Texas Railroad Commission.
Agency Chairman Michael Williams, 54, a Republican, is seeking re-election. Three Democrats are also running in their party's March 4 primary: former San Antonio Councilman Art Hall, 37; retired chemical engineer Dale Henry, 76; and Mark Thompson, 48, a mobility specialist for the blind. Thompson lives in Hamilton.
Set against the backdrop of the race are several home heating rate increases authorized by the commission. In at least two major North Texas cases, Williams joined with other commissioners in setting rates higher than the agency's own panel of experts had recommended.
Williams said that while he sometimes disagrees with those experts -- they're administrative law judges, and they conduct hearings and consider evidence in rate proceedings -- he nonetheless strives to reject unwarranted requests by utilities.
"But we can have a difference of opinion with regards to policy questions," he said.
The three Democratic candidates say the commission and Williams are too close to the industry they regulate. Each Democrat lambasted the panel for not doing enough to protect consumers.
"Citizens need to get upset -- they need to write the Texas Railroad Commission and talk to them," Thompson said.
The Texas Railroad Commission, an agency little-understood by the public, regulates the oil and gas industry and is charged with ensuring pipeline safety. It also makes environmental decisions regarding oil wells and authorizes cost-of-service rates for natural gas utilities.
Each of the Democrats gave the commission poor marks when it came to protecting ratepayers.
But it's also clear that not all the Democrats are well-versed on commission responsibilities.
For instance, Thompson has claimed that the agency lacks authority to set municipal rates. "When you think about it, they don't control rates in the cities," he said.
Actually, the commission has great authority over cost-of-service rates charged within cities.
Likewise, Hall stated at one time on his Web site that he would make railroad safety an issue in the race. Despite its name, the Texas Railroad Commission has no authority over railroads.
But Hall also said he has received an earful of complaints from North Texas residents about high utility rates. He described the commission as a "rubber stamp" for industry.
"I think it'll definitely be an issue during the general election," he said.
Henry, the retired petroleum engineer, said, "The Railroad Commission of Texas should not sit idly by as energy companies stick bills for hotel rooms and cases of wine to their ratepayers through cost-of-service rate increases" -- a reference to various luxury items put in a recent rate case by Atmos Energy.
The North Texas utility removed the items after reports appeared in the Star-Telegram.
Henry also said the commissioner has not done enough to ensure that Texans pay only the appropriate commodity price of natural gas and has "not done a credible job in reviewing and approving cost-of-service rate increases for natural gas companies."
A recent analysis by the Star-Telegram found that annual home heating bills are about the same now as they were in 2005, even though the commodity price of natural gas has come down dramatically since two hurricanes disrupted supplies that year.
The reason that bills remain high is related, in part, to repeated cost-of-service increases authorized by the commission.
"They need to keep down rates so that they're more reasonable," Thompson said.
Read more in the Fort Worth Star-Telegram
AUSTIN -- With North Texas residents feeling the economic pinch -- and home energy prices on the rise -- consumer issues could take center stage in the race for the Texas Railroad Commission.
Agency Chairman Michael Williams, 54, a Republican, is seeking re-election. Three Democrats are also running in their party's March 4 primary: former San Antonio Councilman Art Hall, 37; retired chemical engineer Dale Henry, 76; and Mark Thompson, 48, a mobility specialist for the blind. Thompson lives in Hamilton.
Set against the backdrop of the race are several home heating rate increases authorized by the commission. In at least two major North Texas cases, Williams joined with other commissioners in setting rates higher than the agency's own panel of experts had recommended.
Williams said that while he sometimes disagrees with those experts -- they're administrative law judges, and they conduct hearings and consider evidence in rate proceedings -- he nonetheless strives to reject unwarranted requests by utilities.
"But we can have a difference of opinion with regards to policy questions," he said.
The three Democratic candidates say the commission and Williams are too close to the industry they regulate. Each Democrat lambasted the panel for not doing enough to protect consumers.
"Citizens need to get upset -- they need to write the Texas Railroad Commission and talk to them," Thompson said.
The Texas Railroad Commission, an agency little-understood by the public, regulates the oil and gas industry and is charged with ensuring pipeline safety. It also makes environmental decisions regarding oil wells and authorizes cost-of-service rates for natural gas utilities.
Each of the Democrats gave the commission poor marks when it came to protecting ratepayers.
But it's also clear that not all the Democrats are well-versed on commission responsibilities.
For instance, Thompson has claimed that the agency lacks authority to set municipal rates. "When you think about it, they don't control rates in the cities," he said.
Actually, the commission has great authority over cost-of-service rates charged within cities.
Likewise, Hall stated at one time on his Web site that he would make railroad safety an issue in the race. Despite its name, the Texas Railroad Commission has no authority over railroads.
But Hall also said he has received an earful of complaints from North Texas residents about high utility rates. He described the commission as a "rubber stamp" for industry.
"I think it'll definitely be an issue during the general election," he said.
Henry, the retired petroleum engineer, said, "The Railroad Commission of Texas should not sit idly by as energy companies stick bills for hotel rooms and cases of wine to their ratepayers through cost-of-service rate increases" -- a reference to various luxury items put in a recent rate case by Atmos Energy.
The North Texas utility removed the items after reports appeared in the Star-Telegram.
Henry also said the commissioner has not done enough to ensure that Texans pay only the appropriate commodity price of natural gas and has "not done a credible job in reviewing and approving cost-of-service rate increases for natural gas companies."
A recent analysis by the Star-Telegram found that annual home heating bills are about the same now as they were in 2005, even though the commodity price of natural gas has come down dramatically since two hurricanes disrupted supplies that year.
The reason that bills remain high is related, in part, to repeated cost-of-service increases authorized by the commission.
"They need to keep down rates so that they're more reasonable," Thompson said.
Read more in the Fort Worth Star-Telegram
Saturday, October 27, 2007
Railroad Commission maintains some key turf
By CLAY ROBISON - Copyright 2007 Houston Chronicle - Oct. 14, 2007
AUSTIN — Although the last train chugged out of the Texas Railroad Commission's regulatory station long ago, the panel still occupies some prominent turf on the state's political landscape.
Its main function, of course, is to provide oversight of the oil and natural gas industry, but it also can be a staging and money-raising arena for restless politicians waiting for a shot at higher office.
Quite naturally in the money-driven world of Texas politics, the three commissioners (the regulators) get much of their campaign funding from oil and gas interests (the regulated), a long-standing tradition that the Republicans in power inherited from their Democratic predecessors.
In preparation for his re-election race, Michael Williams, the only commissioner and one of only a handful of state officials on the ballot next year, raised $322,045 during the last 11 days in June, his first opportunity following the ban on raising money during last spring's legislative session.
More than 70 percent of the money came from oil and gas executives, employees or political action committees or from law firms representing oil and gas interests.
And you can bet that in the upcoming 12 months before the 2008 general election, the foxes will shower Williams' share of the regulatory henhouse with much more moola.
"I make my decisions based on the record (of each case)," Williams said.
That may be, but the perception of a monied, insider coziness at the commission will remain as long as the industry's generosity continues and there aren't any legal limits on donations.
The last commissioner to spring into a higher, elected office was Carole Keeton Strayhorn (she was known as Rylander then), who was elected comptroller in the middle of a Railroad Commission term in 1998.
Williams, who succeeded Strayhorn in 1999, already is eyeing 2010. That's when Gov. Rick Perry's anticipated departure — depending on who runs to succeed him — could open up a U.S. Senate seat, the lieutenant governor's office or the attorney general's post.
Williams could run for any of the above without having to resign his commission seat, if he wins a new six-year term next year.
A Texas rarity
The Republican lock on statewide offices and his strong financial support from the oil and gas industry favor Williams' re-election, although his race could be affected by the presidential and U.S. Senate races at the top of the ballot.
Two Democrats — former San Antonio City Councilman Art Hall and retired petroleum engineer Dale Henry of Lampasas — already are running for the post.
Henry has lost two previous, underfunded Railroad Commission races.
Hall has enlisted former San Antonio Mayor Henry Cisneros and former Land Commissioner Garry Mauro as honorary campaign co-chairmen and apparently has some ambitious fundraising plans.
It will be his first statewide campaign.
Although not unprecedented, a Williams-Hall race would be a rarity in Texas politics — a statewide race between two black candidates.
"I am heartened by the fact that a young brother is interested in presenting himself to the people of Texas. If he wins the nomination, it could make for an interesting conversation among Texans," said Williams, 54. Hall is 36.
Potential conflict?
Hall's wife, Stephanie, is a lawyer for Valero Energy Corp.
Hall said that wouldn't pose a conflict because she doesn't practice before the Railroad Commission. But it's a small world.
The Valero political action committee has given Williams $21,000 during his tenure on the commission, including $10,000 in June. And guess who is among the hundreds of Valero employees contributing to the PAC?
Stephanie Hall.
Preserving the name
Since the Texas Railroad Commission no longer regulates railroads — the Legislature transferred the last of its rail safety oversight to the Texas Department of Transportation two years ago — commissioners have lobbied for a name change.
So far, the Legislature has resisted, perhaps out of nostalgia.
But there is another way to preserve the name, and, in the eyes of criminal defense lawyers, a worthy candidate.
Given the continuing controversy over Texas' record in death penalty cases, some lawyers believe "railroad" belongs on the letterhead of the Court of Criminal Appeals.
Read more in the Houston Chronicle
AUSTIN — Although the last train chugged out of the Texas Railroad Commission's regulatory station long ago, the panel still occupies some prominent turf on the state's political landscape.
Its main function, of course, is to provide oversight of the oil and natural gas industry, but it also can be a staging and money-raising arena for restless politicians waiting for a shot at higher office.
Quite naturally in the money-driven world of Texas politics, the three commissioners (the regulators) get much of their campaign funding from oil and gas interests (the regulated), a long-standing tradition that the Republicans in power inherited from their Democratic predecessors.
In preparation for his re-election race, Michael Williams, the only commissioner and one of only a handful of state officials on the ballot next year, raised $322,045 during the last 11 days in June, his first opportunity following the ban on raising money during last spring's legislative session.
More than 70 percent of the money came from oil and gas executives, employees or political action committees or from law firms representing oil and gas interests.
And you can bet that in the upcoming 12 months before the 2008 general election, the foxes will shower Williams' share of the regulatory henhouse with much more moola.
"I make my decisions based on the record (of each case)," Williams said.
That may be, but the perception of a monied, insider coziness at the commission will remain as long as the industry's generosity continues and there aren't any legal limits on donations.
The last commissioner to spring into a higher, elected office was Carole Keeton Strayhorn (she was known as Rylander then), who was elected comptroller in the middle of a Railroad Commission term in 1998.
Williams, who succeeded Strayhorn in 1999, already is eyeing 2010. That's when Gov. Rick Perry's anticipated departure — depending on who runs to succeed him — could open up a U.S. Senate seat, the lieutenant governor's office or the attorney general's post.
Williams could run for any of the above without having to resign his commission seat, if he wins a new six-year term next year.
A Texas rarity
The Republican lock on statewide offices and his strong financial support from the oil and gas industry favor Williams' re-election, although his race could be affected by the presidential and U.S. Senate races at the top of the ballot.
Two Democrats — former San Antonio City Councilman Art Hall and retired petroleum engineer Dale Henry of Lampasas — already are running for the post.
Henry has lost two previous, underfunded Railroad Commission races.
Hall has enlisted former San Antonio Mayor Henry Cisneros and former Land Commissioner Garry Mauro as honorary campaign co-chairmen and apparently has some ambitious fundraising plans.
It will be his first statewide campaign.
Although not unprecedented, a Williams-Hall race would be a rarity in Texas politics — a statewide race between two black candidates.
"I am heartened by the fact that a young brother is interested in presenting himself to the people of Texas. If he wins the nomination, it could make for an interesting conversation among Texans," said Williams, 54. Hall is 36.
Potential conflict?
Hall's wife, Stephanie, is a lawyer for Valero Energy Corp.
Hall said that wouldn't pose a conflict because she doesn't practice before the Railroad Commission. But it's a small world.
The Valero political action committee has given Williams $21,000 during his tenure on the commission, including $10,000 in June. And guess who is among the hundreds of Valero employees contributing to the PAC?
Stephanie Hall.
Preserving the name
Since the Texas Railroad Commission no longer regulates railroads — the Legislature transferred the last of its rail safety oversight to the Texas Department of Transportation two years ago — commissioners have lobbied for a name change.
So far, the Legislature has resisted, perhaps out of nostalgia.
But there is another way to preserve the name, and, in the eyes of criminal defense lawyers, a worthy candidate.
Given the continuing controversy over Texas' record in death penalty cases, some lawyers believe "railroad" belongs on the letterhead of the Court of Criminal Appeals.
Read more in the Houston Chronicle
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