Opinion ID: 184925
Heading Depth: 2
Heading Rank: 3

Heading: Procedural Questions

Text: 53 Tesoro next argues that FERC arbitrarily and capriciously failed to provide for adequate procedures to ensure a reliable record. Specifically, Tesoro argues that FERC should have ordered discovery and hearings with cross-examination to resolve contested issues because of the vastly differing positions of the experts. Live hearings would have permitted the ALJ to make credibility determinations, and cross examination would have permitted Tesoro to challenge specific portions of the experts' testimony. For instance, Tesoro objects that the PIMS computer model is not in the record, and thus the assumptions underlying the coker feedstock valuations could not be tested, 5 and argues that some of the Nine Parties advocated higher payments into the Quality Bank earlier in the litigation. Tesoro cites Astroline Communications Co. Ltd., Partnership v. FCC, 857 F.2d 1556, 1571 (D.C. Cir. 1988); Porter v. Califano, 592 F.2d 770, 783 (5th Cir. 1979); and Xerox Corp. v. Genmoora Corp., 888 F.2d 345, 355 (5th Cir. 1989), as establishing the principle that review of a contested settlement on the merits requires discovery and cross-examination. 54 FERC responds that the procedures employed by the ALJ provided ample opportunity for the parties to advance all supporting evidence for their proposals and to illuminate defects in the counter proposals. Specifically, the ALJ permitted the parties to file affidavits and other materials in support of the proposals; the ALJ heard oral arguments from all parties in support of the proposals; the ALJ further permitted the parties to file post-argument briefs. FERC contends that these opportunities were adequate to fulfill all due process requirements and allowed the parties to adequately present their positions to the ALJ and the Commission. We agree. 55 While it is true that live testimony and cross-examination can facilitate a fact-finder's attempts to sort out the truth, we have not held that such procedures are necessary in all cases.In fact, we have held that FERC may resolve factual issues on a written record unless motive, intent, or credibility are at issue or there is a dispute over a past event. Union Pac. Fuels, Inc. v. FERC, 129 F.3d 153, 164 (D.C. Cir. 1997); see also Louisiana Ass'n of Indep. Producers & Royalty Owners v. FERC, 958 F.2d 1101, 1113 (D.C. Cir. 1992) (party may not complain that it was deprived of a fair hearing after receiving notice of expert testimony on which opposing party relied, an opportunity to review it, a chance to submit briefs criticizing it and evidence opposing it, and the opportunity to argue before the Commission). In this case, there is a dispute among experts over the proper method for valuing petroleum streams. This type of technical dispute is amenable to resolution by resort to the written record, particularly where Tesoro had significant opportunities to submit evidence of its own and criticize the evidence submitted by the Nine Parties. We decline to overturn FERC's decision. 56