HomeMy WebLinkAboutResolution No. 2012-15c,yo(
KENAI, ALASKA
Suggested by: Councilor Gabriel
Councilor Navarre
CITY OF KENAI
RESOLUTION NO. 2012 -15
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, URGING THE
UNITED STATES CONGRESS TO PASS LEGISLATION TO OPEN THE COASTAL PLAIN
OF THE ARCTIC NATIONAL WILDLIFE REFUGE (ANWR) TO OIL AND GAS
EXPLORATION, DEVELOPMENT AND PRODUCTION.
WHEREAS, in 16 U.S.C. 3142 (sec.1002 of the Alaska National Interest Lands
Conservation Act (ANILCA)), the United States Congress reserved the right to permit
further oil and gas exploration, development and production within the coastal
plain of the Arctic National Wildlife Refuge; and
WHEREAS, the oil industry, the State of Alaska, and the United States Department of
the Interior consider the coastal plain to have the highest potential for discovery of
very large oil and gas accumulations on the continent of North America, estimated to
be as much as ten billion four hundred million (10,400,000,000) barrels of
recoverable oil; and,
WHEREAS, oil and gas exploration and development of the coastal plain of the refuge
and adjacent land could result in major discoveries that would reduce our nation's
future need for imported oil, help balance the nation's trade deficit and significantly
increase the nation's security; and,
WHEREAS, the nation's future energy independence would be enhanced with
additional natural gas production from the North Slope of Alaska, including what is
expected to be significant gas reserves in the Arctic National Wildlife Refuge, and the
development of those reserves would enhance the economic viability of the
proposed Alaska Natural Gas Pipeline; and,
WHEREAS, demand for domestic oil continues to rise while domestic crude production
continues to fall, with the result that the United States imports additional oil from
foreign sources; and,
WHEREAS, development of oil at Prudhoe Bay, Kuparuk, Endicott, Lisburne,
Ooguruk, Alpine and Milne Point has resulted in thousands of jobs throughout
the United States, and projected job creation as a result of coastal plain oil
development will have a positive effect in all fifty (50) states; and
WHEREAS, Prudhoe Bay production is declining, and the Trans - Alaska Pipeline
System is operating at only one -third (1/3) of its 1988 peak throughput; and,
WHEREAS, the Trans - Alaska Pipeline System, a transportation facility that is a
national asset and that would cost billions of dollars to replace, would have its useful
physical life extended for a substantial period if the additional reserves of recoverable
oil from the coastal plain were produced; and,
WHEREAS, while new oil field developments on the North Slope of Alaska, such as
Alpine, Northstar, Lisburne, Ooguruk and West Sak, may temporarily slow the
decline in production, only giant coastal plain fields have the theoretical capability
of increasing the production volume of Alaska oil to a significant degree; and,
WHEREAS, opening the coastal plain of the Arctic National Wildlife Refuge now
allows sufficient time for planning environmental safeguards, development and
national security review; and,
WHEREAS, the one million five hundred thousand (1,500,000) acre coastal plain of
the refuge makes up only eight percent (8 %) of the nineteen million (19,000,000) acre
refuge, and the development of the oil and gas reserves in the refuge's coastal plain
would affect an area of two thousand (2,000) acres or less, which is less than one -
half of one percent (0.5 %) of the area of the coastal plain, or one one - hundreth of one
percent (0.01 %) of the refuge; and,
WHEREAS, eight million nine hundred thousand (8,900,000) of the nineteen million
(19,000,000) acres of the refuge have already been set aside as wilderness; and,
WHEREAS, the oil industry has shown at Prudhoe Bay, as well as at other locations
along the Arctic coastal plain, that it is capable of conducting oil and gas activity
without adversely affecting the environment or wildlife populations; and,
WHEREAS, the Central Arctic Caribou herd has increased from five thousand (5,000)
animals in 1975 to over sixty-six thousand (66,000) animals in recent years, during oil
exploration, development and production at Prudhoe Bay and Kuparuk; and,
WHEREAS, the State of Alaska is committed to ensuring the continued health
and productivity of the Porcupine Caribou herd and the Central Arctic Caribou herd,
and the protection of land, water and other wildlife resources during the exploration
and development of the coastal plain of the Arctic National Wildlife Refuge; and
WHEREAS, the oil and gas industry has developed directional drilling technology
that will allow horizontal drilling in a responsible manner thereby minimizing the
development footprint within the Arctic National Wildlife Refuge, and this
directional drilling technology may be capable of drilling from outside of the
boundaries of the 1002 study area; and,
WHEREAS, the oil industry is using innovative technology and environmental
practices in the new field developments at Alpine and Northstar, and those
techniques are directly applicable to operating on the coastal plain and would
enhance environmental protection beyond traditionally high standards; and,
WHEREAS, the City of Kenai will benefit both directly and indirectly from oil and gas
development on the coastal plain through a potential increase in revenues to the
Alaska Permanent Fund, Community Revenue Sharing, and increased State revenues
to support capital projects; and,
WHEREAS, many City of Kenai residents already employed in the oil and gas industry
in the Cook Inlet Basin and on the North Slope will enjoy enhanced and new
employment opportunities as will future generations of citizens in our community;
and,
WHEREAS, the Kenai Peninsula College has ongoing educational programs in oil and
gas instrumentation, process engineering and related fields to prepare Alaskans for
employment in the oil and gas industries, and who will benefit from development in
the coastal plain, and,
WHEREAS, the Speaker of the Alaska House of Representatives, Mike Chenault and
other Alaska legislators have recently testified before Congressional Committees urging
that Congress enact legislation to open the coastal plain of the Arctic National Wildlife
Refuge to oil and gas exploration, development, and production; and,
WHEREAS, the United States House of Representatives has voted twelve times to open
the coastal plain of the Arctic National Wildlife Refuge to oil and gas exploration,
development, and production, most recently passing H.R. 3048 by a bipartisan vote of
237 -187.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, that:
Section 1. That the Kenai City Council supports the State of Alaska in urging
the United States Congress to pass legislation to open the coastal plain of the Arctic
National Wildlife Refuge to oil and gas exploration, development and production, and
that the Kenai City Council is opposed to further wilderness or other restrictive
designation in the area of the coastal plain of the Arctic National Wildlife Refuge.
Section 2. That the Kenai City Council supports the State of Alaska in urging that
energy exploration and production activities be conducted in a manner that protects
the environment and the naturally occurring population levels of the Porcupine
Caribou herd and the Central Arctic Caribou herd on which the Gwich'in and
other local residents depend, that uses directional drilling and other advances in
technology to minimize the development footprint in the 1002 study area.
Section 3. That the Kenai City Council supports the State of Alaska in opposing any
unilateral reduction in royalty revenue from exploration and development of the
coastal plain of the Arctic National Wildlife Refuge and any attempt to coerce the State
of Alaska into accepting less than the ninety percent (90 %) of the oil, gas and
mineral royalties from the federal land in Alaska that was promised to the State of
Alaska at statehood.
Section 4. That the Kenai City Clerk transmit copies of this resolution to the
President of the UnitedStates, to the President of the Senate and the Speaker of the
House of Representatives of the United States Congress, to the Governor of the State of
Alaska, and to the Senate President and to the Speaker of the House of the Alaska
State Legislature.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of March,
2012.
SandraWlodigh, Ci \y Clerk
PAT PORTER, MAYOR