BILL ANALYSIS
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| SENATE COMMITTEE ON NATURAL RESOURCES AND WATER |
| Senator Fran Pavley, Chair |
| 2009-2010 Regular Session |
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BILL NO: AJR 3 HEARING DATE: July 6, 2009
AUTHOR: Nava URGENCY: No
VERSION: April 20, 2009 CONSULTANT: Bill Craven
DUAL REFERRAL: No FISCAL: No
SUBJECT: Offshore oil drilling.
BACKGROUND AND EXISTING LAW
The California Coastal Sanctuary Act of 1994 imposed a
moratorium on any new lease for the extraction of oil or gas in
state waters unless the President of the United States has found
a severe energy supply interruption and has ordered a release
from the Strategic Petroleum Reserve, or unless the Governor
finds that new oil and gas production will significantly
contribute to the alleviation of that interruption.
A similar moratorium, the Offshore Leasing Moratorium, existed
in federal law for 27 years, but was repealed in 2008 during a
period of high oil prices.
On the very last day of the Bush administration, the Interior
Department proposed a new five-year plan for oil and gas leasing
on the Outer Continental Shelf (OCS). In 31 lease sales, the
plan proposes to lease as much as 300 million acres of the OCS
to drilling, including about six million acres off the coast of
Humboldt, Mendocino, San Luis Obispo, Santa Barbara, Ventura,
Los Angeles, and San Diego Counties.
On February 10, 2009, Ken Salazar, the present Secretary of
Interior, announced a four-part strategy "for developing a new,
comprehensive approach to energy resources of the OCS." Among
other things, it extends the public comment period for the
proposed five-year oil and gas leasing program 180 days until
September 21, 2009, hosting four public meetings nationwide to
solicit input on whether, where, and how the federal government
develops its conventional and renewable energy resources of the
OCS. These meetings occurred in May, 2009. Neither Secretary
Salazar nor President Obama have indicated whether the current
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administration is opposed to, or open to, additional drilling
off the California coast.
PROPOSED LAW
This resolution would request that Congress reinstate the
federal offshore oil and gas leasing moratorium and communicates
the Legislature's opposition to the proposed expansion of oil
and gas drilling off the Pacific Coast. It also expresses
opposition to any federal energy policies and legislation that
would weaken California's legitimate state role in siting energy
facilities on state lands.
ARGUMENTS IN SUPPORT
According to the author, new offshore oil drilling off the coast
of California will pose a significant risk to California's coast
and the coastal-dependent tourist economy. The author also
contends that new off shore oil drilling will not lower gas
prices for consumers. Given the apparent consideration to new
off shore oil drilling that now exists at the federal level, the
author believes that a strong statement from the California
Legislature in opposition to lifting the moratorium on offshore
oil drilling is necessary.
At least 187 large oil spills have occurred between 1981-2005 on
the Outer Continental Shelf, according to the author. The author
and other supporters contend that oil spills create numerous
risks to wildlife, and discharge many toxics into the marine
environment in the normal course of these activities. The
supporters contend that, on average, 180,000 gallons of
substances such as benzene, arsenic, mercury, and lead, per
well, are released from each well.
ARGUMENTS IN OPPOSITION
None received. Assembly analysis notes opposition of California
Independent Petroleum Association.
SUPPORT
Environmental California (sponsor)
Bay Keepers
California League of Conservation Voters
Defenders of Wildlife
Heal the Bay
Natural Resources Defense Council
Ocean Conservancy
Oceana
Sierra Club California
Surfrider Foundation
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OPPOSITION
None Received
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