NY Senators Schumer, Clinton and Rep. Tim Bishop Call on FERC Chairman Kelliher's Recusal from all Broadwater Business

NY Senators Schumer, Clinton and Rep. Tim Bishop Call on FERC Chairman Kelliher's Recusal from all Broadwater Business

Washington, DC - New York Senators Charles Schumer and Hillary Clinton, and Long Island Representative Tim Bishop, called on Federal Energy Regulatory Chairman Joseph Kelliher to recuse himself from all matters related to Broadwater Energy, a controversial liquefied natural gas (LNG) proposal to be sited in the Long Island Sound, on the basis of Kelliher's past employment with LeBoeuf, Lamb, Greene & MacRae. Broadwater Energy has retained LeBoeuf, Lamb, Greene & MacRae as Counsel for Broadwater's application before the FERC. Although Senators Schumer, Clinton and Represenative Bishop make no claim of impropriety, they request the Chairman's recusal to avoid the appearance of any possible conflict of interest.

"The significance of the impact that Broadwater would have on the safety and environment of the Long Island Sound cannot be understated and the people of Long Island need to know that there is not even a chance that other considerations may be involved in FERC's decision-making process," Schumer said. "To avoid even the appearance of a conflict on this important decision, I think recusing himself from any decisions related to Broadwater is the wisest course of action for Chairman Kelliher. It is vital that the public have confidence in the decisions rendered by federal agencies."

"The Broadwater project has enormous implications for the future of Long Island Sound, and the FERC review should be free of any appearance of a conflict of interest. I hope that the Chairman will recuse himself from this decision," stated Clinton.

""It is imperative that we ensure that the process of siting a nearly quarter-mile long floating terminal in an environmentally sensitive area be as free as possible of any potential conflict," Bishop stated. "Although I commend Mr. Kelliher's service to the FERC, I want to make sure that the public's interest is served, not the special interests."

Chairman Kelliher was appointed by President George W. Bush to a Republican seat on the FERC in November 2003. He was designated Chairman of the FERC in July 2005. According to his FERC biography, Kelliher was Of Counsel with the law firm of LeBoeuf, Lamb, Greene & MacRae after five years as Majority Counsel to the House Committee on Commerce ending in 2000 and before his serving on the Bush/Cheney Presidential Transition Team.

The FERC is comprised of five members appointed by the President and confirmed by the Senate of who no more than three may be of the same political party. Currently, there are only three seated members of the FERC, including Chairman Joseph T. Kelliher (R), Commissioner Nora Mead Brownell (R) and Commissioner Suedeen G. Kelly (D). Commissioner Nora Mead Brownell's term expires June 2006. There is no established timeframe to replace vacancies.

Broadwater Energy, a joint-venture between TransCanada Pipeline and Shell, propose to site a floating LNG terminal approximately nine miles off of the north shore of Long Island, and eleven miles from the south shore of Connecticut. Broadwater states that the floating barge will be approximately the size of the Queen Mary 2.

Letter to FERC Chairman below:

March 9, 2006

Honorable Joseph T. Kelliher, Chairman
Federal Energy Regulatory Commission
888 First Street, NE
Washington, DC 20426

Dear Chairman Kelliher:

On January 30, 2006, Broadwater Energy, LLC (Broadwater Energy) and Broadwater Pipeline, LLC (Broadwater Pipeline) filed concurrent applications with the Federal Energy Regulatory Commission seeking approval to site a floating liquefied natural gas terminal in the Long Island Sound, and construct a 25-mile connecting pipeline, respectively.

The law office of LeBoeuf, Lamb, Greene & MacRae, LLP, which you have been previously employed, has been retained as Counsel by Broadwater Energy and Broadwater Pipeline. In order to avoid even the appearance of any conflict of interest we respectfully request that you recuse yourself from all matters pending before the FERC pertaining to the Broadwater Energy and Broadwater Pipeline applications.

As public servants, we are held to a far greater ethical standard and accountability by the citizens whom we serve. While we respect your role and responsibilities as Chairman, in order to meet this standard we believe it is imperative that you recuse yourself from this matter so that the public may have faith in the FERC application process and that no part of this particular application process is open to scrutiny in the end. Should you have any further comments or questions, please do not hesitate to contact us directly, or Ryan McConaghy in Senator Schumer's office at (202) 224-4652, Dan Utech of Senator Clinton's office at (202) 224-4451, or Brian Farber of Representative Bishop's office at (202) 225-3826.

Sincerely,

Charles Schumer
Tim Bishop
Hillary Rodham Clinton

http://wwwc.house.gov/timbishop/r109-085.htm