SENATE BILL REPORT

 

 

                                   ESHB 1190

 

 

BYHouse Committee on Natural Resources & Parks (originally sponsored by Representatives Sayan, R. King, S. Wilson, Basich, Jacobsen, P. King, Valle, Haugen, Heavey and Ebersole; by request of Joint Select Committee on Marine and Ocean Resources)

 

 

Enacting the ocean natural resources management act.

 

 

House Committe on Natural Resources & Parks

 

 

Rereferred House Committee on Appropriations

 

 

Senate Committee on Environment & Natural Resources

 

      Senate Hearing Date(s):March 30, 1989

 

Majority Report:  Do pass as amended and be referred to Committee on Ways & Means.

      Signed by Senators Amondson, Vice Chairman; Bauer, Benitz, Owen, Patterson, Sutherland.

 

      Senate Staff:Vic Moon (786-7469)

                  March 31, 1989

 

 

Senate Committee on Ways & Means

 

      Senate Hearing Date(s):April 3, 1989; April 13, 1989

 

Majority Report:  Do pass as recommended by Committee on Environment & Natural Resources.

      Signed by Senators McDonald, Chairman; Bailey, Bauer, Fleming, Lee, Moore, Niemi, Owen, Talmadge, Warnke, Williams, Wojahn.

 

      Senate Staff:Charles Langen (786-7715)

                  April 13, 1989

 

 

           AS REPORTED BY COMMITTEE ON WAYS & MEANS, APRIL 13, 1989

 

BACKGROUND:

 

The ocean seafloor and resources off Washington's coast are owned by the state from extreme low tide seaward three miles, and by the federal government seaward from three miles to 200 miles.  There are few statewide regulations, guidelines or policies for the use or development of coastal resources.  While the Shoreline Management Act of 1971 (SMA) and various other laws could be used to regulate coastal resources, local coastal governments have done little to address coastal resource management.

 

The federally owned waters off Washington's coast are governed by many federal laws and agencies.  The Mineral Management Service (MMS) is responsible for the development of mineral and other resources within federally owned ocean waters.  The MMS is authorized to lease ocean areas for purposes of exploration, development, and extraction of mineral resources.  MMS is required under the Outer Continental Shelf Lands Act (OCSLA) to develop five-year oil and gas lease plans.

 

The MMS's current five-year lease plan provides for a lease sale of ocean areas off the coasts of Washington and Oregon in April of 1992.  As preliminary steps to the sale, MMS will request statements of interest from the oil industry in 1989 and will identify the sale area in 1990.

 

Under the OCSLA, the Secretary of the Interior must consider recommendations from an adjacent state's governor concerning the size, location, and timing of a proposed lease sale.  The federal Coastal Zone Management Act (CZMA) and current case law do not provide for any state input in deciding when or whether a lease sale should be held, nor in deciding what areas will be included in the lease sale.  The CZMA does, however, provide for some state input after the lease sale.  The CZMA directs that federal agencies conduct and support activities directly affecting the coastal zone to the extent practicable, consistent with approved state management programs.  It also provides that any applicant for a federal license to conduct an activity affecting land or water uses in the coastal zone of a state must provide a state-approved certification of consistency with that state's management program.  This requirement of certification also applies to any plans for exploration or development of, or production from, any area which has been leased under the OCSLA.

 

The approved state management program consists of the adjacent state's "coastal authorities," laws and regulations that have been approved by the Secretary of Commerce.  At present, the approved coastal authorities for Washington include the SMA and county and city master programs, certain environmental laws, and the energy facilities-site locations act.

 

Because of this system, any exploration, development, or production activities conducted or permitted by MMS must be consistent with Washington law.  There is, however, dispute as to what is meant by "consistent" and as to the extent to which actions must be consistent.

 

In 1987, due to concern over the upcoming lease sale, the Legislature and the Governor took several actions.  The Governor wrote to the Department of Interior suggesting that the lease sale may need to be delayed, and that he does not support leasing north of the 47th parallel or within 12 miles of Gray's Harbor, Willapa Bay, and Columbia River estuaries.  Further, several committees and task forces were formed and/or asked to conduct studies on aspects of the proposed lease sale.  These groups included the Joint Select Committee on Marine and Ocean Resources, the University of Washington Sea Grant program.  The Joint Select Committee on Marine and Ocean Resources developed proposed legislation.

 

Finally, if the 1992 lease sale is held, oil is found, and production takes place, the oil could be shipped from the production platforms to locations within the state by pipeline.  Under Washington's current system, pipeline of different diameters and lengths are regulated under different statutes and by different agencies.

 

SUMMARY:

 

At least until July 1, 1995, a moratorium is placed on oil and gas tract leasing of Washington marine waters.  These waters are defined as tidal and submerged lands, as well as the waters of Grays Harbor, Willapa Bay, and those downstream from the Columbia River's Longview bridge.  Agencies and committees described in this act will investigate uses of Washington marine resources and update shoreline master plans accordingly.  Based upon the information, the 1995 Legislature will determine whether or not to continue the moratorium.

 

Underlying the studies, master plan updates, and future lease decisions are criteria giving renewable resources priority over nonrenewable ones.  The criteria are:  proof of significant national and state need for the resource; there is no reasonable alternative; the use has no long term adverse impact on marine resources; all reasonable steps are taken to avoid adverse environmental impacts; steps are taken to avoid and minimize adverse economic impacts to all types of fishing, tourism, and navigation; the use complies with all state, community and federal regulations; sufficient performance bonding is available for site rehabilitation after use; and compensation is available to mitigate adverse impacts of coastal resources.  Unless information suggests otherwise, these criteria will not apply to fishing or current commercial marine resource practices.

 

By April 1990, with the assistance of the Department of Ecology, state and coastal governments will finalize ocean use guidelines and policy.  Revised shoreline master plans must be submitted to the department by the end of June 1991.

 

The joint select committee will continue until September 1994.  It will complete its original task and undertake new ones including analyzing the use of the Energy Facilities Site Locations Act for making decisions on onshore energy facilities.

 

By September 1994, with direction from the joint select committee, the Departments of Natural Resources and Ecology will conduct a legislative study on all aspects of state aquatic land oil and gas leases. 

 

Up to $180,000 is appropriated to the Department of Ecology, of which up to $120,000 will go to the coastal governments for shoreline master plan updates.  The joint select committee will receive up to a $100,000 appropriation for its continuing role in meeting the 1994 deadlines.  Appropriations will be minimized by any available federal grants.

 

It is the state's policy to conserve liquid fossil fuels and to seek alternate methods of encouraging such conservation.  By September 1994, the State Energy Office will prepare a legislative report on the state's liquid fossil fuel supply, demand and conservation strategies. 

 

The University of Washington sea grant program will develop and implement educational programs informing the public on new and beneficial uses of the state's ocean resources.

 

Recognizing the states's role in federally-managed offshore marine resource use, the Department of Ecology will fully consult with state agencies, coastal governments, the public and tribes prior to responding to federal coastal zone management consistency certificates.

 

Appropriation:    $280,000

 

Revenue:    none

 

Fiscal Note:      available

 

 

SUMMARY OF PROPOSED SENATE STRIKING AMENDMENT:

 

Legislative policies regarding coastal water off Washington are adopted.  These policies will guide the decision-making process for the management, conservation, use, or development of natural resources.  Among these policies are:  promotion and enhancement of Washington's resources while protecting coastal and ocean ecosystems; acting state participation in federal ocean resource decisions; participation in governmental decision making by ocean users.

 

Planning and project review criteria are established.  The minimum standards must be met before the state may support any activities that are likely to have an adverse impact on marine life, fishing, aquaculture, recreation, navigation, air or water quality, or other existing ocean or coastal uses.  The criteria include:  a demonstrated significant need for the activity; no feasible or prudent alternative to the activity; no likely long-term irreparable impacts to coastal or ocean resources or uses; compensation for short-term, irreparable adverse impacts; plans and performance bonding to ensure site rehabilitation; compliance with all applicable local, state, and federal laws and regulations.

 

An ocean resources task force headed by the Department of Ecology and composed of people from state and local governments, Indian tribes, and industry is established.  The task force will prepare recommendations for:  local governments to amend shoreline master programs; and to local, state, and federal governments regarding use, conservation, and management matters.  The task force will develop and implement an educational program and recommend further studies and actions.  $255,000 is appropriated for the task force activities.

 

Local governments are directed to review and amend their shoreline master programs to ensure conformance with the policies and intent of this bill.  $100,000 is appropriated for this process.

 

The Shoreline Management Act is amended to direct the Department of Ecology to consult with affected state agencies, local governments, Indian tribes, and the public prior to responding to federal coastal zone management consistency certifications.

 

The Joint Select Committee on Marine and Ocean Resources is extended until June 30, 1992.

 

Appropriation:  $135,000 from the general fund to the Department of Ecology; $60,000 from the general fund to the Departments of Fisheries, Wildlife, Community Development, Revenue, and Trade and Economic Development; $60,000 from the resources management cost account to the Department of Natural Resources; $100,000 from the general fund to the Department of Ecology for local governments

 

Senate Committee - Testified: ENVIRONMENT & NATURAL RESOURCES: No one

 

Senate Committee - Testified: WAYS & MEANS:  Jeff Parsons, National Audubon Society; Jim King, Washington State Sportsmen's Council