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SR 03-06-2018 3H City Council Report City Council Meeting: March 6, 2018 Agenda Item: 3.H 1 of 3 To: Mayor and City Council From: Susan Cline, Director, Public Works, Office of Sustainability & the Environment Subject: Resolution Regarding Offshore Oil Drilling, Exploration and Fracking Recommended Action Staff recommends that City Council adopt the attached resolution reaffirming the City’s position against offshore oil and gas drilling, seismic oil exploration, oil and gas leasing, hydraulic fracturing (fracking) and other well stimulation in federal and state waters off the Pacific coast. Executive Summary In response to a U.S. Department of the Interior proposal to open U.S. offshore coastal waters, including the waters off California, to oil and gas exploration, Council directed staff to draft a resolution opposing this proposal at its February 27 meeting. Staff recommends Council adopt the attached resolution, which reaffirms the City’s past policy actions opposing fracking and oil drilling, and calls for a ban on new offshore oil and gas drilling, seismic oil exploration, fracking, and other well stimulation in federal and state waters off the Pacific coast and opposes new federal oil and gas leasing in all U.S. waters. The City’s lobbyist will advance the City’s position in Washington, D.C. as necessary and appropriate based on Council’s policy direction. Background Council has adopted similar resolutions in recent years. On November 12, 2012, Council adopted a resolution in support of a moratorium on fracking in California. On December 9, 2014, Council adopted a resolution opposing oil drilling in Hermosa Beach which could negatively impact Santa Monica Bay. In its 2016 State of California Legislative Platform, Council noted its support for State bonds, funding and legislation aimed at both reducing existing, and banning new oil and gas extraction. 2 of 3 Offshore oil drilling and production have been shown to put environmental and public health at risk from oil spills, increased air and water pollution, intense ocean noise and other potential damage. These environmental and public health impacts c an also negatively affect local and regional economies in coastal areas. The 1969 Santa Barbara oil spill, which to date is the third largest oil spill in U.S. waters, impacted over 40 miles of coastline from Goleta to Ventura, and resulted in the death of over 3,600 sea birds and hundreds of marine mammals including dolphins, elephant seals and sea lions. The economic impacts from the oil spill to Santa Barbara County were severe, as all commercial fishing was suspended in the affected area, and tourism to the County suffered a precipitous drop. More recently, in 2015 a pipeline servicing offshore oil platforms off Santa Barbara County burst and impacted the same area of coast, killing more wildlife and negatively impacting recreational and commercial activities in the Santa Barbara area. Hydraulic fracturing (commonly known as “fracking”) is a technique that is used to increase oil and gas production by injecting water and chemicals at high pressures into the ground to create fractures in subsurface rock t o release petroleum or natural gas for extraction. Negative impacts related to fracking include impacts to air quality, generation of polluted wastewater and excessive water use required by the fracking process. Discussion In January, the U.S. Department of the Interior Bureau of Ocean Energy Management released a Draft Proposed Plan (DPP) for the 2019-2024 Offshore Oil and Gas Leasing Program, which would make 90 percent of the U.S. offshore continental shelf, including coastal waters off of the coast of Southern California, open to oil and gas exploration. The DPP includes 47 potential offshore lease sales including six new lease sales off the California coast. There have been no new lease sales in the Pacific region (which includes all of the coastal waters off of California, Oregon and Washington) since 1984. The comment period for the DPP is open through March 9, 2018. The attached resolution reaffirms the City’s position against offshore oil drilling and fracking. Specifically, the resolution calls for a ban on new offshore oil and gas drilling, 3 of 3 seismic oil exploration, fracking, and other well stimulation in federal and state waters off the Pacific coast and opposes new federal oil and gas leasing in all U.S. waters. To date the Governors of California, Oregon and Washington as well as 33 California cities and counties, including the City and County of San Francisco, Santa Barbara County, Ventura County, and the cities of Santa Barbara, Goleta, Malibu, Manhattan Beach, and Los Angeles have formally opposed the DPP proposal for new federal offshore oil and gas leases in the Pacific Ocean, and many have also called for a ban in offshore hydraulic fracturing or “fracking.” Financial Impacts and Budget Actions There is no immediate financial impact or budget action necessary as a result of the recommended action. Prepared By: Dean Kubani, Assistant Director Approved Forwarded to Council Attachments: A. Resolution REFERENCE: Resolution No. 11100 (CCS)