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An Organizational Assessment of the Oklahoma Corporation Commission

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An Organizational Assessment of the Oklahoma Corporation Commission A Report by a Panel of the for the Second Century Corporation Commission Task Force An Organizational Assessment of the Oklahoma Corporation Commission THIS PAGE IS INTENTIONALLY BLANK ABOUT THE ACADEMY The National Academy of Public Administration (the Academy) is an independent non-profit, non-partisan organization established in 1967. Chartered by Congress in 1984, the Academy provides expert advice to government leaders in building more effective, efficient, accountable, and transparent organizations. To carry out this mission, the Academy draws on the knowledge and expertise of its over 850 Fellows—including former cabinet officers, Members of Congress, governors, mayors, and state legislators, as well as prominent scholars, business executives, and public administrators. The Academy assists public institutions address their most critical governance and management challenges through in-depth studies and analyses, advisory services and technical assistance, congressional testimony, forums and conferences, and online stakeholder engagement. Learn more about the Academy and its work at www.NAPAwash.org. THIS PAGE IS INTENTIONALLY BLANK A Report by a Panel of the NATIONAL ACADEMY OF PUBLIC ADMINISTRATION November 8, 2018 An Organizational Assessment of the Oklahoma Corporation Commission PANEL Dan Crippen Chair George Cunningham Barry Rabe Barry Van Lare Judith Youngman Officers of the Academy Anne Khademian, Chair of the Board Jeffrey Neal, Vice Chair Teresa W. Gerton, President and Chief Executive Officer Myra Howze Shiplett, Secretary Jonathan Fiechter, Treasurer Study Team Brenna Isman, Director of Academy Studies Roger Kodat, Senior Project Director Chloe Yang, Research Analyst Elijah Evans, Senior Research Associate Hailey Ellsworth, Research Associate Luke Lockwood, Intern The views expressed in this report are those of the Panel. They do not necessarily reflect the views of the Academy as an institution. National Academy of Public Administration 1600 K Street, N.W. Suite 400 Washington, DC 20006 www.napawash.org November 8, 2018 Printed in the United States of America Academy Project Number: 10221 Foreword In 1907, the Oklahoma State Constitution established the Oklahoma Corporation Commission (OCC) to enforce laws, regulate, and supervise activities associated with the exploration and production of oil and gas; the storage and dispensing of petroleum-based fuels; the establishment of rates and services of public utilities; and the operation of intrastate transportation to best serve the economic needs of the public. Three elected commissioners, one of whom serves as Chair, lead the OCC. In 2017, the Governor of Oklahoma created a five-member Second Century Task Force (the Task Force) and charged it with performing an organizational assessment in order to improve the operations of the OCC. The Task Force Chair contracted with the National Academy of Public Administration (the Academy) to conduct an independent, comprehensive assessment, which examined the mission, performance, staffing, funding, and structure of the OCC. This report provides the findings of that organizational assessment and offers recommendations to improve OCC’s mission performance and organizational culture. These recommendations are the result of comprehensive research and data collection from such diverse sources as OCC commissioners and staff, stakeholders, other state regulatory commissions, and other researchers and associations. As a congressionally chartered non-partisan and non-profit organization with over 850 distinguished Fellows, the Academy has the unique ability to bring nationally recognized public administration experts together to help state and federal agencies address their challenges. We are pleased to have had the opportunity to assist the Task Force by conducting this study; and we appreciate the constructive engagement of Task Force members, OCC commissioners and employees, and many others who provided important observations and context to inform this report. I am deeply appreciative of the work of the Panel of five Academy Fellows and the Study Team who provided their valuable insights and expertise throughout this project. I expect that the Academy Panel’s report will guide Task Force Members and OCC commissioners to further strengthen the OCC’s mission performance and contribute positively to the industries and citizens of Oklahoma. Teresa W. Gerton President and Chief Executive Officer National Academy of Public Administration i THIS PAGE IS INTENTIONALLY BLANK Table of Contents Foreword ...................................................................................................................................................................................... i Acronyms and Abbreviations ............................................................................................................................................. ii Executive Summary ................................................................................................................................................................ 1 Chapter 1: Background and Overview ............................................................................................................................ 3 1.1 Origin and Scope of this Study ............................................................................................................................... 3 1.2 OCC History, Roles, and Responsibilities .......................................................................................................... 4 1.3 Methodology ................................................................................................................................................................. 5 Chapter 2: Creating a More Future-Oriented, Efficient, and Effective OCC ..................................................... 7 2.1 Background ................................................................................................................................................................... 7 2.2 Findings .......................................................................................................................................................................... 8 2.2.1 Performance Management ........................................................................................................................... 11 2.2.2 Strategic Planning ............................................................................................................................................ 17 2.2.3 Change Management Processes ................................................................................................................. 24 Chapter 3: Mission ................................................................................................................................................................ 26 3.1 OCC’s Mission Statement ....................................................................................................................................... 26 3.1.1 Background ........................................................................................................................................................ 26 3.1.2 Findings ................................................................................................................................................................ 27 3.2 Commissioner Oath of Office ................................................................................................................................ 27 3.2.1 Background ........................................................................................................................................................ 27 3.2.2 Findings ................................................................................................................................................................ 28 3.2.3 Recommendation ............................................................................................................................................. 29 3.3 OCC’s Range of Responsibilities: Operating Divisions .............................................................................. 29 3.3.1 Background ........................................................................................................................................................ 29 3.3.2 Findings ................................................................................................................................................................ 30 3.4 Moving Certain Functions to Other Agencies ................................................................................................ 33 3.4.1 Recommendation ............................................................................................................................................. 33 Chapter 4: Performance ...................................................................................................................................................... 34 4.1 Workload and Staffing Levels .............................................................................................................................. 34 4.1.1 Background ........................................................................................................................................................ 34 4.1.2 Findings...............................................................................................................................................................
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