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HomeMy WebLinkAbout09-03-2019 Item 15 - Oppose new Oil and Gas Drilling and Fracking Department Name: City Administration Cost Center: 1005 For Agenda of: September 3, 2019 Placement: Consent Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Robert Hill, Interim Deputy Director Dylan Stafforini, Sustainability and Natural Resources Intern III SUBJECT: OPPOSE PROPOSED NEW OIL & GAS DRILLING AND HYDRAULIC FRACTURING LEASE SALES IN THE VICINITY OF THE CITY OF SAN LUIS OBISPO RECOMMENDATION Adopt a resolution (Attachment A) opposing new oil & gas drilling and hydraulic fracturing lease sales on Bureau of Land Management (BLM) lands in the vicinity of the City of San Luis Obispo. DISCUSSION On August 20, 2019, City Council requested that a Resolution opposing item be placed on the agenda for further Council deliberation. Background The BLM is expected to release its final Supplemental Environmental Impact Statement (SEIS) on fracking as part of its Resource Management Plan for the Bakersfield Region this fall. The BLM will then open these lands and mineral estate to leasing for new oil drilling and fracking, including 123,000 acres in San Luis Obispo County, specifically parcels in or near Lake Nacimiento, Whale Rock Reservoir, Reservoir Canyon Natural Reserve, Irish Hills Natural Reserve, Lopez Lake County Park, and Montaña de Oro State Park, as well as others. The BLM either owns or holds the sub-surface mineral estate in the above locations. Over 90,000 public comments were submitted to the BLM during two public comment periods with concerns over threats to water, air, and climate; proximity to schools, military installations, and environmentally sensitive areas; the City of San Luis Obispo is on record with two prior letters submitted during the scoping period and during the preparation of the SEIS. The BLM has made no indication that it will remove any parcels from its lease plan. Parcels will be made available for lease throughout the 10-year term of the Resource Management Plan. Packet Pg. 145 Item 15 Previous Council Action The City has a recent history of supporting efforts related to banning fracking and limiting oil drilling expansion due to health and safety, environmental, and climate concerns: 1. On August 21, 2018 the City Council approved the adoption of a resolution supporting the County-wide Measure G-18: Protect Our Water, Air and Land: Ban Fracking and Oil Expansion. 2. On March 5, 2019 the City Council approved the City’s Legislative Action Platform for 2019 (Resolution No. 10991), including the support of legislation to improve and enhance the safety of transport volatile crude oil (#10; Public Safety), supporting the expansion of National Marine Sanctuary off the coast of San Luis Obispo County to limit offshore oil and gas development (#2; Parks and Recreation and Natural Resources), and opposing any development under existing or new oil and gas leases in San Luis Obispo County. (#6; Parks and Recreation and Natural Resources). 3. On October 3, 2017, the City Council adopted Resolution 10836, which opposes new or expanded offshore oil and gas leases off the coast of San Luis Obispo County and supporting measures to prohibit discharge of pollutants into the ocean. 4. On June 23, 2015, the City Council committed to fossil fuel divestment through the adoption of the City of San Luis Obispo Investment Management Plan, which includes the following restriction, “No investments are to be made to support the direct production of drilling of fossil fuels.” 5. In February 2015, City Council directed staff to write a letter to the County of San Luis Obispo opposing the Phillips 66 oil train project due to health, safety, and environmental issues. Policy Context The attached Resolution (Attachment A) opposes the leasing off of BLM land within the vicinity of the City of San Luis Obispo for oil & gas drilling and hydraulic fracturing. The resolution recognizes the critical importance of making decisions that supports the state movement toward carbon neutrality, the protection of groundwater as a fundamental resource, recognizes that expanded or intensified oil extraction would significantly increase the demands on the County’s limited water supplies and that the protection of this resource is the primary responsibility of all levels of government. The City’s legislative platform authorizes legislative advocacy opposing the expansion an d continuation of oil and gas operations in San Luis Obispo County. The SEIS is considered a part of the rule making process and therefore a legislative action. Packet Pg. 146 Item 15 Public Engagement This item is on the agenda for the September 3, 2019 City Council meeting and will follow all required postings and notifications. The public may comment on this item at or before the meeting. CONCURRENCE The City’s Utilities Department concurs with the recommendation due to the possibility of impacts to municipal water supply. ENVIRONMENTAL REVIEW Passing a Resolution that opposes new oil & gas drilling and hydraulic fracturing leases is not subject to the provisions of the California Environmental Quality Act (CEQA) because it is not a project as defined in CEQA Guidelines Section 15378 (Definitions – Project). FISCAL IMPACT Budgeted: No Budget Year: 2019-20 Funding Identified: No Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund N/A State Federal Fees Other: Total There is no direct fiscal impact associated with the recommended action as it requires only minimal resources from the City Administration Department and City Attorney’s Office. ALTERNATIVES The City Council could direct staff to alter the draft Resolution or decide not to adopt a Resolution. Staff does not recommend this alternative because the Resolution is consistent with the City’s 2019 Legislative Action Platform, recent actions to restrict new fossil fuel extraction, and the City’s commitment to climate action. Attachments: a - Draft Resolution Opposing BLM Oil & Gas Leases Packet Pg. 147 Item 15 R ______ RESOLUTION NO. _____ (2019 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, OPPOSING NEW OIL AND GAS DRILLING AND HYDRAULIC FRACTURING LEASE SALES IN THE VICINITY OF THE CITY OF SAN LUIS OBISPO THAT ARE INCONSISTENT WITH CURRENT USE AND JEOPARDIZE WATER RESOURCES, AIR QUALITY AND SAN LUIS OBISPO CLIMATE ACTION PLAN GOALS WHEREAS, the U.S. Department of Interior, Bureau of Land Management, manages federal lands and mineral estate in California, including within and in the vicinity of the City of San Luis Obispo, for leasing for oil and gas production; and WHEREAS, the U.S. Department of Interior, Bureau of Land Management, has not held a lease sale of federal public lands and mineral estate for oil and gas production in California for more than five years; and WHEREAS, the U.S. Bureau of Land Management has commenced the process to reopen federal lands and mineral estate in the Central Coast/ Bakersfield Planning region, including lands within and in the vicinity of the City of San Luis Obispo, for oil and gas drilling; and WHEREAS, the U.S. is a net oil exporter; and WHEREAS, oil and gas development and fracking do not represent a sustainable energy future for the City of San Luis Obispo, the County of San Luis Obispo, California, or the U.S.; and WHEREAS, oil and gas development produce significant amounts of greenhouse gas emissions and is a leading contributor to climate change; and WHEREAS, it is a major city goal for the City of San Luis Obispo to become a net -zero carbon city; and WHEREAS, it is a major city goal for the City of San Luis Obispo to implement its Climate Action Plan; and WHEREAS, the City of San Luis Obispo’s Climate Action Plan includes the goal of carbon neutrality by 2035; and WHEREAS, expanding production on federal land and mineral estate in the vicinity of the City of San Luis Obispo blocks the city’s ability to meet its climate goals; and WHEREAS, oil drilling, production and transport presents a clear and ever-present danger to the health and safety of residents, businesses and economies, with the threat of an oil spill potentially damaging ecosystems, water, human health, and economic activities; and WHEREAS, oil and gas development results in the release of air pollutants known to cause harm to human health; and Packet Pg. 148 Item 15 Resolution No. _____ (2019 Series) Page 2 R ______ WHEREAS, studies have linked fracking and other drilling techniques to health concerns, air and water pollution, and harm to wildlife; and WHEREAS, the U.S. Bureau of Land Management has commenced the process to reopen federal lands and mineral estate to for oil and gas drilling, including lands under and beside Lake Nacimiento, directly adjacent to Santa Margarita Lake, and less than ½ mile from Old Creek, which feeds Whale Rock Reservoir; and WHEREAS, the City of San Luis Obispo depends on Lake Nacimiento, Santa Margarita Lake, and Whale Rock Reservoir for water for municipal uses; and WHEREAS, fracking requires pumping large amounts of water (1 million to 8 million gallons for each well) into the ground; and WHEREAS, the Central Coast, including the City of San Luis Obispo, recently experienced eight years of extreme drought which climate scientists now predict will be the “new normal’ for the Central Coast; and WHEREAS, the City of San Luis Obispo’s water resources are fragile, limited and drought prone and cannot be used for fracking or oil and gas development; and WHEREAS, ground and surface water supplies in San Luis Obispo are historically stressed and fully appropriated; and WHEREAS, freshwater resources from other California communities cannot be purchased for fracking and oil and gas development on the Central Coast without depriving these communities of needed and precious fresh water supplies; and WHEREAS, the U.S. Bureau of Land Management has commenced the process to reopen federal lands and mineral estate that include significant portions of City-owned Reservoir Canyon Natural Reserve and BLM land that is adjacent to the City’s Irish Hills Natural Reserve, as well as Lopez Lake County Park and Montaña de Oro State Park; and WHEREAS, these areas, as well as Los Padres National Forest and Carrizo Plain National Monument, are mountains and wild places the BLM plans to open to oil and gas drilling that are important to the City of San Luis Obispo’s residents and visitors for recreation, exploration, and relaxation; and WHEREAS, and tourism and recreation comprise a large part of the City of San Luis Obispo's economy; and WHEREAS, the City of San Luis Obispo values California’s federal lands, which provide habitat to a vast array of wildlife that depend on a healthy and clean environment; and Packet Pg. 149 Item 15 Resolution No. _____ (2019 Series) Page 3 R ______ WHEREAS, oil and gas development would threaten the recovery of the endangered condor, reintroduced tule elk, and pronghorn antelope in San Luis Obispo County; and WHEREAS, continued expansion of oil and gas development would have detrimental impacts on the essential habitat connectivity corridors that connect neighboring protected areas; and WHEREAS, oil and gas development would threaten previously protected National Forest lands and Carrizo Plain National Monument in the County of San Luis Obispo. NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. The City hereby opposes new federal oil drilling and fracking leases within, or in the vicinity of, the City of San Luis Obispo and on or adjacent to any publicly held natural spaces. SECTION 2. Action. The City Council of the City of San Luis Obispo hereby requests that the portion of the City’s Reservoir Canyon Natural Reserve with split mineral estate be removed from consideration by BLM and opposes new oil and gas drilling and hydraulic fracturing leases on neighboring BLM land. Packet Pg. 150 Item 15 Resolution No. _____ (2019 Series) Page 4 R ______ SECTION 3. Environmental Determination. The City Council has determined that the above actions do not constitute a project, as defined by the California Environmental Quality Act and is not subject to environmental review. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2019. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, 2019. ____________________________________ Teresa Purrington City Clerk Packet Pg. 151 Item 15 Page intentionally left blank. Packet Pg. 152 Item 15