Message-ID: <10687612.1075844245047.JavaMail.evans@thyme> Date: Tue, 29 May 2001 01:59:00 -0700 (PDT) From: lisa.yoho@enron.com To: richard.shapiro@enron.com Subject: STB Chair Cc: steven.kean@enron.com, chris.long@enron.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: steven.kean@enron.com, chris.long@enron.com X-From: Lisa Yoho X-To: Richard Shapiro X-cc: Steven J Kean, Chris Long X-bcc: X-Folder: \Richard_Shapiro_June2001\Notes Folders\Discussion threads X-Origin: SHAPIRO-R X-FileName: rshapiro.nsf Rick: As Chris mentioned, we spoke to Oliver last week about the STB position. I had also talked to him a few weeks ago about the same. In addition, I've had several conversations with Joe Bill Watkins, an attorney in Austin who is working with the Greater Houston Community to find an "independent thinker" for this job. I recommend that we support Oliver Pennington. It's clear from our conversations that he doesn't know much about the rail industry (he was inquiring about the difference between the STB's and the FRA's role in regulating the industry), but he appears to be -- and from all accounts, would be-- a fair-minded regulator. He said he wants to "make a difference", and would not be afraid to shake things up to make that happen. As Chris suggests, we should not support the names being floated in the industry. Bratten is a railroad sympathizer in shippers' clothing. While Alice Turnquist is a good friend of Susan Lent (our lobbyist from Akin Gump), she is very close to Union Pacific. Of all the rails, UP is the most resistant to change, and has a very well organized, very effective government affairs team in Washington. Besides Linda Morgan's spot, there is a second spot that will be open when Clyburn departs (his term has already expired). I would also recommend that we interview Mark Palmer's friend (I cannot recall her name) for this position. She has excellent transportation experience, lives in Washington, and may be willing to step out to make much-needed changes to the industry. We tried to reach her last week, but she was out of town for the holiday weekend. I will follow up with Mark on this. Best regards, Lisa ----- Forwarded by Lisa Yoho/NA/Enron on 05/29/2001 08:39 AM ----- Chris Long 05/29/2001 08:34 AM To: Steven J Kean/NA/Enron@Enron, Richard Shapiro/NA/Enron@Enron, Lisa Yoho/NA/Enron@Enron, Linda Robertson/NA/Enron@ENRON cc: Maureen McVicker/NA/Enron@Enron, Ginger Dernehl/NA/Enron@Enron Subject: STB Chair Linda Morgan is the current Chair of the Surface Transportation Board and the Administration asked to her to stay during the transition, however it is highly unlikely that this will be made permanent. The three names most often mentioned for the new Surface Transportation Board Chairman are Dwayne Ackerly (trucking company executive from Nebraska), John Bratten (National Grain and Feed Association Rail Committee Chair, also from Nebraska), and Alice Turnquist (former House Transportation and Infrastructure Committee Chair). The railroads are not interested in the structural changes we would like to implement in the market and they have had a difficult time understanding the benefits of a secondary market in rail. While the persons named above would be better than the current Chair, we are reluctant to support their nominations because of their close ties with the railroads (Union Pacific especially). We think the ideal candidate for the job would be a fresh thinker that understands rail issues, but is not beholden to the railroads. One name that has been mentioned is Texas attorney Oliver Pennington. Lisa and I spoke to Mr. Pennington about the job and he is more interested in an SEC position, but is willing to examine the STB Chair. We have confirmed that Mr. Pennington would be open to our rail proposal and would manage the STB as a consensus builder with all interested parties. Mr. Pennington has his resume and other supporting documentation at the White House for both the SEC and STB positions. Attached is Mr. Pennington's resume. It is my understanding that Ken Lay has written a letter in support of Mr. Pennington's SEC nomination. - RESUME-O.P. 5_7_97 517757 (2).WPD Mark Palmer has another name of a Washington attorney who he thought might be interested. Please let me know if you need additional information.