Governor Gordon assures Gillette City Hall that legal action against “regulatory flood” is being prepared

Wyoming Governor Mark Gordon at a town hall event in Gillette on Tuesday, June 25, 2024. (Julianna Landis, County 17)

GILLETTE, Wyoming – Dozens of people gathered at the Gillette College Technical Center Tuesday afternoon for a town hall meeting with Gov. Mark Gordon to discuss federal actions that could directly affect Campbell County.

Several other lawmakers and industry representatives also traveled to Gillette, including Brian Nesvik, director of Wyoming Game and Fish, and James Young, director of government and political affairs for the National Mining Association.

On paper, the discussion was about a number of changing rules, including protection of sage grouse, but concerns about changing regulations in the energy industry dominated the two-hour conversation. The panelists themselves also spoke for most of the allotted time, leaving the audience with only the last 30 minutes of the allotted time for questions, which frustrated some in the audience.

However, in his opening remarks, Gordon assured those in attendance that he was working closely with the Wyoming Attorney General to prepare litigation over recent rule changes related to coal and oil, and that bringing a successful lawsuit would require precision.

“We work really carefully with our agents to make sure we can make the most effective and best arguments,” Gordon said, also stressing the importance of getting cases heard in a sympathetic district court. “We are now trying to get a different ruling in the Tenth Circuit that will allow us to go to the Supreme Court,” Gordon said.

The rule changes issued by the Bureau of Land Management (BLM) this spring could have a direct impact on Wyoming’s oil industry and, in particular, coal production in the Powder River Basin. First, the BLM announced plans to phase out coal mining in the Powder River Basin by ceasing to issue new coal leases on public lands in the region.

Because supply from current leases can still be phased out, the agency predicted that continuous production would continue until 2041.

The decision was sharply criticized by state and local authorities, who announced they would challenge the ruling in court. Wyoming has already joined a lawsuit with Utah to challenge a similar rule change by the BLM regarding public lands.

Despite pledging that he was working on legal plans to protect the coal industry, Gordon also stressed his support for a wide range of energy sources, including nuclear power, as part of his “anything goes” approach to energy policy.

When asked by an audience member about his support of carbon capture, Gordon made it clear that he would fight to keep Wyoming’s coal industry alive, calling it an essential part of his policy. Wyoming coal would also play a role in powering new power plants and increasing energy demand across the country.

“I am convinced that carbon capture will play a role in the future of coal mining and coal-fired power generation, and I think it is important that we at least look at the possibilities… I am not interested in turning my back on coal one iota,” Gordon said.

He further explained that while CO2 capture may not yet be as efficient as it could be, it is an important contribution to reducing the costs of building new power plants or further integrating renewable energy sources.

“If we as a nation decide that carbon is not that big of a problem, that’s fine. There will still be people investing in power plants in Campbell County that burn Powder River coal,” Gordon said.

In addition to coal, viewers were particularly concerned about the changes to oil lease bonds.

The changes would drive up current federal lease rates and effectively lock out small oil producers in the state. Vicki Kissack, a local oil producer, expressed concerns to Gordon about pursuing independent litigation over the rule changes.

In his response, Gordon said that cooperation with other energy-producing countries was a better long-term strategy than taking legal action alone.

“It’s important that we work with other energy states like West Virginia, North Dakota and Louisiana and some others to make sure we can present the best case, the case that can go all the way to the Supreme Court and hopefully stop some of what I call ‘regulation with impunity,'” Gordon said.

By making their policies through the “rule change process,” the BLM and other federal agencies no longer have to do the thorough upfront work with affected communities that would be required for new environmental laws. The National Environmental Prolicity Act (NEPA) is designed to give local citizens, the government, and other stakeholders the opportunity to learn about changes in environmental law that could put their community at risk.

In a press conference following the meeting, Gordon noted that legal challenges to the changes in federal regulations are one of the few tools available to counter the Biden administration’s “flood” of regulations. The state, he said, also recently hired a major law firm with close ties to Washington, D.C., to better prepare for legal challenges.

Gordon also said he would try to return to Gillette that evening to hear from other Gillette community shareholders, many of whom were at work during the afternoon town hall meeting.