BILL ANALYSIS
AJR 3
SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator S. Joseph Simitian, Chairman
2009-2010 Regular Session
BILL NO: AJR 3
AUTHOR: Nava
AMENDED: May 26, 2010
FISCAL: No HEARING DATE: June 28, 2010
URGENCY: No CONSULTANT: Amber Hartman
SUBJECT : OFFSHORE OIL DRILLING
SUMMARY :
Existing law , under the California Coastal Sanctuary Act of
1994, sets 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.
This bill :
1) Requests that Congress pass pending legislation to protect
the Pacific Coast from any new offshore oil drilling, and
communicates the Legislature's opposition to the proposed
expansion of oil and gas drilling off the Pacific Coast.
2) Expresses opposition to any federal energy policies and
legislation that would weaken California's legitimate state
role in siting energy facilities on state lands.
COMMENTS :
1) Purpose of Bill . According to the author, "In 1982
Congress instituted an offshore drilling moratorium for
California and beyond. Congress had voted to reauthorize
this moratorium as part of the Interior Appropriations Bill
every year since then. However during the summer of 2008,
oil companies used the high cost of oil to pressure
Congress into repealing the 27-year old moratorium. The
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ongoing spill in the Gulf of Mexico had demonstrated that,
notwithstanding industry claims to the contrary, there are
substantial risks inherent in offshore oil drilling that
cannot be fully mitigated. Allowing new offshore oil
development and exploration would pose a significant risk
to our state's coastal environments and will not lower gas
prices for consumers. It is extremely important that the
State of California express our strong support for efforts
to protect the California Coast from expanded offshore
drilling."
2) Deepwater Horizon . On April 20, 2010, the Deepwater
Horizon drilling rig exploded, and subsequently sank due to
a well-head blowout at a depth of approximately 5,000 feet
in the Gulf of Mexico with the loss of 11 crewmembers.
Although estimates of the exact amount of oil released
already to the environment vary, the on-going spill is
considered to be the largest in American history - easily
exceeding the 250,000 barrels spilled by the Exxon Valdez
in 1989 - and among the largest ever world-wide. The oil
slick currently covers approximately 2,500 square miles of
ocean surface and substantial sub-surface plumes of oil
have been identified. The impacts of the oil spill on the
Gulf ecosystem are severe, with significant and on-going
damage to and loss of habitat and wildlife. Economic
disruption to the coastal states and their tourism and
fishing industries is expected to be on the order of
billions of dollars.
3) Pending federal legislation . The West Coast Ocean
Protection Act of 2010 (HR-5213) has been introduced in the
U.S. House of Representatives by Congressman Garamendi.
This bill would amend the Outer Continental Shelf Lands Act
to prohibit the Secretary of the Interior from issuing a
lease for the exploration, development, or production of
oil or natural gas in any area of the outer Continental
Shelf off the coast of California, Oregon, or Washington.
4) Federal back-and-forth . The Offshore Leasing Moratorium
existed in federal law for 27 years, but was repealed in
2008, under the President G.W. Bush administration, during
a period of high oil prices and leasing was expected to
re-start in July 2010. Congress subsequently blocked this
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plan in 2009. President Obama announced his
Administration's commitment to continue the ban on offshore
oil drilling along the entire Pacific Coast in early April
2010. At the same time, President Obama announced that
other selected territorial waters of the United States
would be opened to offshore oil development to meet the
twin policy goals of developing new economic growth and
improving energy security by reducing the dependence on
imported oil.
5) Related legislation . Similar resolutions have been
introduced in previous sessions: AJR 51 (Nava) Chapter
146, Statutes of 2008, and AJR 55 (Nava) Chapter 137,
Statutes of 2006.
SOURCE : Environment California
SUPPORT : Oceana
OPPOSITION : None on file