AP IMPACT: Gulf oil industry-gov’t ties persist (AP)

WASHINGTON – Ties between offshore oil and gas companies and the agency that regulates them are so pervasive that a year after new ethics rules took effect, as many as a third of inspectors in some Gulf of Mexico offices have been disqualified to avoid potential conflicts of interest.

That makes it difficult to hire knowledgeable and independent regulators in a region where oil and gas interests are deeply intertwined in the economy and culture, and where expertise and training needed to do the job often is found in the private sector.

Documents obtained by The Associated Press show that about 1 of every 5 employees of 109 involved in inspections in the Gulf has been recused from some duties because of the risk of coming into contact with a family member or friend working for a company the inspector regulates. Ten people hired since mid-August 2008 were barred for two years from performing work where they could be in a position of policing their previous employer — a company or contractor operating offshore.

In the Lafayette, La., office of the Bureau of Ocean Energy Management, Enforcement and Regulation nearly 35 percent of inspectors have been disqualified because a friend or relative works

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