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SCS HJR 4(RES): Urging the United States Congress to provide a means for consistently and equitably sharing with all oil and gas producing states adjacent to federal outer continental shelf areas a portion of revenue generated from oil and gas development on the outer continental shelf to ensure that those states develop necessary infrastructure to support outer continental shelf development and preserve environmental integrity; urging the United States Congress to reject any proposal to divert or otherwise reduce revenue sharing to the coastal states and their political subdivisions under the Gulf of Mexico Energy Security Act of 2006; and urging the President of the United States to direct, to the maximum extent possible, federal funds received from outer continental shelf development, and not dedicated to states or other federal programs, to federal infrastructure in the affected states.

00 SENATE CS FOR HOUSE JOINT RESOLUTION NO. 4(RES) 01 Urging the United States Congress to provide a means for consistently and equitably 02 sharing with all oil and gas producing states adjacent to federal outer continental shelf 03 areas a portion of revenue generated from oil and gas development on the outer 04 continental shelf to ensure that those states develop necessary infrastructure to support 05 outer continental shelf development and preserve environmental integrity; urging the 06 United States Congress to reject any proposal to divert or otherwise reduce revenue 07 sharing to the coastal states and their political subdivisions under the Gulf of Mexico 08 Energy Security Act of 2006; and urging the President of the United States to direct, to 09 the maximum extent possible, federal funds received from outer continental shelf 10 development, and not dedicated to states or other federal programs, to federal 11 infrastructure in the affected states. 12 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA: 13 WHEREAS the state, which has more coastline than the rest of the United States

01 combined, requests that the United States Congress pass legislation that allows the state to 02 equitably share revenue generated on the outer continental shelf of the state; and 03 WHEREAS, under the Outer Continental Shelf Lands Act, the federal government 04 recognizes the effect oil and gas development in federal near-shore areas has on states by 05 sharing with those states 27 percent of revenue collected from federal oil and gas leases 06 within three miles of the states' coastlines; and 07 WHEREAS, under the Gulf of Mexico Energy Security Act of 2006, the federal 08 government recognizes the effect that oil and gas development in federal offshore areas has 09 on the states of Alabama, Louisiana, Mississippi, and Texas, and recognizes the contributions 10 to national energy, security, and economic interests made by sharing with those states 37.5 11 percent of revenue from leases covered under phase one of the Gulf of Mexico Energy 12 Security Act of 2006; phase two of the Gulf of Mexico Energy Security Act of 2006 expands 13 the definition of "qualified outer continental shelf revenue" and continues to share revenue on 14 an adjacency factor but includes an annual revenue-sharing cap of $500,000,000 that applies 15 through 2055; and 16 WHEREAS the federal government fails to recognize the same effects on and 17 contributions made by other oil and gas producing states adjacent to federal outer continental 18 shelf areas, including this state and California; and 19 WHEREAS the Alaska outer continental shelf region encompasses the Beaufort, 20 Chukchi, and Bering seas, Cook Inlet, and the Gulf of Alaska, includes over 1,000,000,000 21 acres, and contains more than 6,000 miles of coastline, which is more coastline than the rest 22 of the United States combined; and 23 WHEREAS there are presently 607 active oil and gas leases and more than 3,300,000 24 acres of leased land in the Alaska outer shelf continental region; and 25 WHEREAS federal government grants do not adequately address the need for 26 additional investment in state infrastructure or the increased demands on state and local 27 government resources resulting from outer continental shelf development, especially in this 28 state, which has more coastline, more rural communities, and less infrastructure than any 29 other state; and 30 WHEREAS outer continental shelf revenue sharing would allow states to build 31 infrastructure such as marine ports, airports, utilities, and housing, and increase state services,

01 such as oil spill and emergency response and environmental monitoring and mitigation, which 02 would likely lead to expanded, safer exploration and development activity and increase 03 overall revenue to the federal government; and 04 WHEREAS additional state infrastructure and increased availability of state and local 05 government resources would likely increase interest in and bids during future federal outer 06 continental shelf oil and gas lease sales, which have generated over $2,750,000,000 in 07 revenue for the federal government in the Alaska outer continental shelf region alone since 08 2005; and 09 WHEREAS outer continental shelf revenue sharing could provide a stable funding 10 source for and help fulfill the mission of the Land and Water Conservation Fund, a national 11 fund created to safeguard natural areas, water resources, and cultural heritage and to provide 12 recreation opportunities or, alternatively, could be used for deficit reduction; 13 BE IT RESOLVED that the Alaska State Legislature urges the United States 14 Congress to provide a means for consistently and equitably sharing with all oil and gas 15 producing states adjacent to federal outer continental shelf areas a portion of revenue 16 generated from outer continental shelf oil and gas production to ensure the states develop 17 necessary infrastructure to support outer continental shelf development and preserve 18 environmental integrity; and be it 19 FURTHER RESOLVED that the Alaska State Legislature urges the United States 20 Congress to reject any proposal to divert or otherwise reduce revenue sharing to the coastal 21 states and their political subdivisions under the Gulf of Mexico Energy Security Act of 2006; 22 and be it 23 FURTHER RESOLVED that the Alaska State Legislature urges the President of the 24 United States to direct, to the maximum extent possible, federal funds received from outer 25 continental shelf development, and not dedicated to states or other federal programs, to 26 federal infrastructure in affected states. 27 COPIES of this resolution shall be sent to the Honorable Barack Obama, President of 28 the United States; the Honorable Joseph R. Biden, Jr., Vice-President of the United States and 29 President of the U.S. Senate; the Honorable Sally Jewell, United States Secretary of the 30 Interior; the Honorable John Boehner, Speaker of the U.S. House of Representatives; the 31 Honorable Kevin McCarthy, Majority Leader of the U.S. House of Representatives; the

01 Honorable Nancy Pelosi, Minority Leader of the U.S. House of Representatives; the 02 Honorable Mitch McConnell, Majority Leader of the U.S. Senate; the Honorable Harry Reid, 03 Minority Leader of the U.S. Senate; the Honorable Lisa Murkowski, Chair of the U.S. Senate 04 Committee on Energy and Natural Resources; the Honorable Dan Sullivan, U.S. Senator, and 05 the Honorable Don Young, U.S. Representative, members of the Alaska delegation in 06 Congress; and all other members of the 114th United States Congress.