HOUSE BILL REPORT

HB 733

BYRepresentatives Jacobsen, Allen, Grimm, Sayan, Vekich, Basich, Appelwick, Lux, Rust, Unsoeld, S. Wilson, Fisch, Wang, Valle, Locke, Pruitt and Todd

Directing that a study of the Washington coast and shorelands be conducted.

House Committe on Natural Resources

Majority Report:     The substitute bill be substituted therefor and the substitute bill do pass.  (14)

     Signed by Representatives Sutherland, Chair; K. Wilson, Vice Chair; Basich, Belcher, Cole, Fuhrman, Hargrove, Haugen, R. King, Meyers, Sayan, C. Smith, Spanel and S. Wilson.

Minority Report:     Do not pass.  (4)

     Signed by Representatives Amondson, Beck, Bumgarner and Schmidt.

House Staff:Bill Koss (786-7129)

AS REPORTED BY COMMITTEE ON NATURAL RESOURCES FEBRUARY 24, 1987

BACKGROUND:

The outer continental shelf is the submerged land that lies beyond the state's three mile jurisdiction along the Washington coast.  The continental shelf extends seaward approximately 40 miles.  The area provides a productive commercial and sports fishery as well as marine mammal and marine bird populations.  The Department of the Interior estimates that approximately 180 million barrels of oil and 3.2 trillion cubic feet of gas remain in undiscovered but economic developmental reserves along the continental shelf adjacent to Oregon and Washington.

Industry interest has increased in the Northwest's offshore petroleum and gas reserves.  The recent surveys place the Oregon and Washington region among the Department of Interior's top 15 planning areas.  Washington is included in the Department of Interior's proposed leasing schedule, and if the schedule were to be maintained, a lease sale could take place as early as 1991.

The state is given the opportunity to respond to the federal government regarding the economic benefits, environmental considerations and social impacts of such leasing.  Data is needed by the state to provide an adequate response to the Department of Interior's Minerals Management Service which issues the permits for offshore oil and gas leasing.

SUMMARY:

SUBSTITUTE BILL:  The Legislature recognizes that the marine waters off Washington's coast contain human, environmental, and natural resource values which are important to Washington's citizens and that these resources should be given full consideration prior to any decision to lease portions of the outer continental shelf for oil and gas exploration and development.  Resources include those related to recreational development, commercial fisheries, sports fisheries, and the effective use of coastal communities and Washington ports and harbors.

The Legislature states that the United States Department of the Interior's Mineral Management Service will sponsor studies beginning in 1989 to gather information in preparation for the leasing process.  In other offshore regions, the United State's lack of scientific information has impaired the ability of coastal states to direct oil and gas activity to those areas where the potential benefits are the greatest and the environmental risks are the least significant.  The State of Washington must begin in 1987 to conduct a review of existing data in anticipation of the leasing process.

The Director of the Washington State's Sea Grant Program shall administer the ocean resource assessment for the State of Washington and will conduct a comprehensive analysis of existing data and studies.  The Director of the Sea Grant Program shall select investigators to perform the assessment through submission of proposals and a peer review selection that will be open to any qualified individual.

The tasks to be undertaken will be determined by the Sea Grant Program in consultation with an advisory group consisting of the tribal nations and the State Departments of Ecology, Agriculture, Parks and Recreation, Trade and Economic Development, Natural Resources, Fisheries, Game, and Community Development, along with interested citizen groups.  The Director of the Sea Grant Program shall submit the assessment to the 1989 Legislature on the results of information gathered by the investigation.  The study will include analysis of potential environmental impacts and will include socio-economic studies, water column studies, and biological studies.

SUBSTITUTE BILL COMPARED TO ORIGINAL:  An advisory group is established to assist the Director of the Sea Grant Program.  The advisory group consists of state agencies, Indian tribes, citizen groups, and representatives from the House and Senate.

Appropriation:  $800,000 is appropriated from the General Fund.

Fiscal Note:    Not Requested.

House Committee ‑ Testified For:     Representative Jacobsen; Dave Fluharty, University of Washington's Institute for Marine Studies; Rod Mack, DOE; Steve Arbaugh, Puget Sound Gillnetters.

House Committee - Testified Against: None Presented.

House Committee - Testimony For:     Federal leasing on Washington's outer continental shelf can begin in 1991.  The state needs to begin collecting information now to protect its resources.  If the state does not act now, it may end up suing the federal government at a cost far in excess of the bill's $800,000 appropriation.  Ecology cannot perform these studies within their existing appropriation.

House Committee - Testimony Against: None Presented.