Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1938-04-16
GOVERNOR AYERS

/ A(tAA1&A NUN AAG OaaF
The board in a 4-to-l decision de-
eision determined that proration is
unnecessary In Montana at this
time. Although the governor has no
right OF review, counsel for the
/ proponents OF proration appealed
to the governor on the grounds that
the board was prejudiced. The gov
ernor Is reply was as follows:
Mr.. r. P. Jackson, Secretary,
Montana OH Conservation Board,
Great Falls, Montana.
Ny dear Mr.. Jackson:
On November II, 1897. / wrote
you and the Montana oil Conserva-
ton Board. OF which you are Sec
rotary. advising that many COM
plants had come TO me and 10 nv
office with reference to crude oil
oil production and market condi-
tiOns in the Kevin-Sunburst and
Cut Bank fields in particular. and
that such complaints were extended
to. the Pondera field referred the
complaints to your Board, the place
where they belonged. and requested
that the Board completely investi-
gate all charges of discriminatory
practices on the part of crude pc
troleum producers and crude pc
t'oleUm transporters, and that II
the complaints be determined to be
correct that the Board remedy
such unfair and discriminatory con-
ditions as IL found to exist. I ex-
pressed at that time to the Board
that it was my opinion that a pub
lie hearing by the Board be had
at the earliest possible time and at
the most convenient and accessible
place; and l requested that the
proceedings of the hearing be taken
down by a competent stenographer
and that a copy thereof be trans
mitted TO me in order that !
might be kept posted in the prem
Uses. also requested the Board to /
make findings upon the proposition \
OF proration in these fields and also
upon the proposition of transpor-
tation of crude by common carriers
and the proposition Of storage of
crude by common carriers or other
storage agencies.
The Board proceeded with hear
ing and from the transcript sub
'nitted to me it appears that the
hearing was free. open and public
and that all persons concerned in.
any way whatsoever we're invited
10 appear and give testimony and
hat quite large number did appear
md testify.
After the hearing had concluded 4
he Board made its findings and !
or my information as requested
n my letter of November 18th. the
Board furnished me a copy of the 7
and of its findingss
hereafter, Exceptions" were trans =
litted to my office by those fay- 4
ring proration: and subsequently.
hose in opposition to prOrationSl
to my office "Excepl
ions to Exceptions. -
Chapter 305 of the Revised Code51
{ Montana. on the subject of the
over and authority of the Mon F
ma Oil Conservation Board. says: 3
The conservation board shall havs1C :.
eneral power and it shall be it's -
utv. ~ To have general contrOI.d q
equation and supervision of thes IL
transportation and stor- q,
&c of crude petroleum within the 81
ate of Montana.
This plain wording of the law -
,ems conclusive upon the subject Al
who has Jurisdiction OF the sub Isl
cts complained of. and since theref
no authority, whatsoever for
ese Exceptions and Exceptions on
Exceptions" which have been
ansmitted to my office, and since n,
2 law imposes upon your Board
risdiction over all these matters, In
am herewith transmitting to you II.
2 above mentioned Exceptions
ID Exceptions to Exceptions
1ich have no place in my office ~
r such consideration as your
,ard may deem fit and proper in Co
e premises. =.
Respectfully yours. 90.
ROY E. AYERS. (Signed) 81