SENATE BILL REPORT

SB 5533

BYSenators DeJarnatt, Bluechel, Owen, Zimmerman, Bottiger, Kiskaddon, Conner, Nelson, Tanner, Moore, Rinehart, Williams and Garrett

Directing the preparation of an ocean resources assessment for Washington.

Senate Committee on Natural Resources

Senate Hearing Date(s):February 9, 1987; March 4, 1987

Majority Report:  That Substitute Senate Bill No. 5533 be substituted therefor, and the substitute bill do pass and be referred to Committee on Ways & Means.

      Signed by Senators Owen, Chairman; DeJarnatt, Vice Chairman; Barr, McDonald, Metcalf, Patterson, Stratton.

Senate Staff:Vic Moon (786-7469)

                  March 4, 1987

Senate Committee on Ways & Means

Senate Hearing Date(s):March 6, 1987

Majority Report:  That Substitute Senate Bill No. 5533 as recommended by Committee on Natural Resources be substituted therefor, and the substitute bill do pass.

      Signed by Senators McDermott, Chairman; Gaspard, Vice Chairman; Bauer, Bluechel, Fleming, Kreidler, McDonald, Moore, Owen, Rinehart, Talmadge, Williams, Wojahn, Zimmerman.

Senate Staff:Charles Langen (786-7715)

                  March 6, 1987

AS REPORTED BY COMMITTEE ON WAYS & MEANS, MARCH 6, 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 United States Department of the Interior estimates that approximately 180 million barrels of oil and 3.2 trillion cubic feet of gas exist in undiscovered but potentially economically developable 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 Department of the Interior mineral management surveys place the Oregon and Washington region among the Department's top 15 planning areas.  Washington is included in the Department'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 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 exploration and development.

SUMMARY:

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, recreational and commercial 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 Services 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 to conduct a review of existing data in anticipation of the leasing process in 1987.

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 process that will be open to any qualified individual.

The tasks to be undertaken will be determined by the Sea Grant program in consultation with the tribal nations and the State Departments of Ecology, Agriculture, Parks and Recreation, Trade and Economic Development, Natural Resources, Fishery, Game and Community Development.  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 and biological studies, and environmental quality studies.

Appropriation:    $800,000 from the general fund.

Fiscal Note:      available

EFFECT OF PROPOSED SUBSTITUTE:

The appropriation from the general fund is reduced to $400,000.

Senate Committee - Testified: NATURAL RESOURCES: David Fluharty; Mark Hershmann; Russ Cahill, University of Washington; Robert Lander, National Marine Fisheries Service; Rod Mack, Department of Ecology; Curt Smitch, Department of Fisheries; John Haydon, former chair, Oceanographic Commission; Stan Cecil, Washington Environmental Council; Chris Platt, Sierra Club

Senate Committee - Testified: WAYS & MEANS: No one