what do you think?
----- Forwarded by Steven J Kean/NA/Enron on 02/13/2001 02:55 PM -----

	Richard Shapiro
	02/12/2001 09:49 AM
		 
		 To: Steven J Kean/NA/Enron@Enron
		 cc: 
		 Subject: CFTC Chair

Let's discuss.
---------------------- Forwarded by Richard Shapiro/NA/Enron on 02/12/2001 
09:48 AM ---------------------------
From: Lisa Yoho on 02/12/2001 07:37 AM PST
To: Richard Shapiro/NA/Enron@Enron
cc:  

Subject: CFTC Chair

Rick -- Let's discuss when you have a minute.  Thanks, Lisa
----- Forwarded by Lisa Yoho/NA/Enron on 02/12/2001 07:36 AM -----

	Chris Long
	02/12/2001 07:23 AM
		 
		 To: Linda Robertson/NA/Enron@ENRON, Lora Sullivan/Corp/Enron@ENRON, Allison 
Navin/Corp/Enron@ENRON
		 cc: Lisa Yoho/NA/Enron@Enron
		 Subject: CFTC Chair

Jim Newsome is currently the Interim Chair of the Commodities Futures Trading 
Commission (CFTC).  He was appointed in 1998 to term which expires in June 
2001.  Commissioner Newsome visited Enron in 1999 and will again visit Enron 
to meet with Jeff Skilling (also EnronOnLine executives) on March 6, 2001.

The CFTC has 5 Commissioners.  Commissioners Newsome and Spears are 
Republicans and Commissioners Erickson and Holum are Democrats, with one 
opening.  If Newsome becomes Chair, then there will be two open seats.  If 
Newsome if passed over, there will only be open seat. 

Commissioner Newsome has the support of Majority Trent Lott.  He is well 
liked in industry because of his free market philosophy and belief in 
competition and deregulation.  While not a technical expert, he is a "known 
quantity" at the Commission.  Newsome played a major role in the Commodities 
Futures Modernization Act (CFMA) which became law last Congress.  This law 
brought legal certainty and modernization to the commodity trading 
community.  With Newsome, industry is consulted before regulations are 
issued.  Industry generally believes that Commission Newsome is the right 
candidate to oversee the CFMA rulekmaking which is currently underway.

The other candidate for the position was former North Carolina Senator Lauch 
Faircloth whose nomination was being championed by Senator Phil Gramm 
(R-TX).  We have learned that Faircloth has lost interest, because he would 
have to divest sizeable interest in agriculture holdings.  The concern now is 
that because this is a third tier appointment,  unknown candidates will 
suddenly appear without industry input.  A quick nomination and confirmation 
of Commissioner Newsome as Chairman is recommended by many in the industry.

Do you think it appropriate to have Ken Lay raise this nomination with the 
transition team?


Commisioner Newsome's bio:

http://www.cftc.gov/opa/newsome.htm

For more information on the CFTC:

 http://www.cftc.gov/