COGCC’s largest enforcement penalty would fund projects to help to increase public protections
Denver, CO (Mar. 12, 2020) - The Colorado Oil and Gas Conservation Commission (COGCC) today announced it is seeking an $18.25 million penalty, against Kerr McGee, a subsidiary of Occidental Petroleum. The penalty for the Firestone tragedy, which occurred April 17, 2017, is the largest enforcement penalty ever sought by the COGCC. The majority of these funds are proposed to be used to help to increase public safety by funding projects relevant to oil and gas flowline monitoring and air emissions.
“On April 17, 2017, an unthinkable tragedy happened in Firestone that forever changed the lives of the Martinez family. Our hearts still grieve for Erin Martinez’s family members who lost their lives,” said COGCC Director Jeff Robbins.
“It is my duty, along with the entire COGCC staff, to ensure that the state of Colorado’s oil and gas operations are conducted in a manner that is protective of the public’s health, safety, welfare, wildlife and the environment as directed by SB 19-181. The COGCC will continue to work to protect every person’s safety in oil and gas operations using our rulemaking process and our enforcement tools.
“Today, COGCC is seeking its largest penalty ever by more than 11 times and due to the violations, and with the loss of lives, it is fair and appropriate.”
The Commission alleges violations of four of COGCC’s in its Notice of Alleged Violation (NOAV). The $18.25 million penalty is the maximum dollar amount possible and, for the first time, the ‘aggravating factor of death,’ which increased one of the penalties from $3.6 million to $5.4 million.
The next steps in COGCC’s enforcement process is for Kerr McGee (Occidental Petroleum) to answer to the Commission for these violations. The Commission will consider this at its Special Hearing at 1 p.m., April 6, 2020, to be held at the Ralph L. Carr Colorado Judicial Center.
In November 2019, the COGCC increased the protections to the public through stronger and more transparent flowline rulemaking. To learn more about the COGCC, visit the ECMC website.