HM 1357

1
House Memorial
2A memorial to the Congress of the United States, urging
3Congress to support the expiration and removal of
4moratoria prohibiting exploration and production of
5domestic supplies of oil and natural gas in federal waters
6surrounding Florida and to include Florida in revenue
7sharing resulting from the production of oil and natural
8gas in federal waters surrounding Florida.
9
10     WHEREAS, Florida's economy is suffering and the
11unemployment rate in the state has remained around 12 percent
12since 2009, and
13     WHEREAS, Florida's industries, including tourism,
14agriculture, fertilizer, agrochemical, plastic, manufacturing,
15bakeries, juice and food processing, pulp and paper, road
16construction, metals, restaurants, hotels, grocery stores, and
17research institutions, among many others, are heavily dependent
18on access to reliable and affordable natural gas, and
19     WHEREAS, according to the Department of Revenue, Florida
20consumes approximately 28.5 million gallons of gasoline and
21diesel fuel per day and approximately 10.4 billion gallons of
22gasoline and diesel fuel annually, and
23     WHEREAS, the Public Service Commission expects Florida to
24increase total utility generation capacity derived from natural
25gas from 30 percent in 2005 to over 44 percent in 2014 to meet
26increasing electricity demand in the state, and
27     WHEREAS, the United States has recently experienced record
28high prices for gasoline, diesel fuel, and natural gas, and
29     WHEREAS, the Energy Information Administration reports that
30global demand for oil has risen from 77 million barrels per day
31in 2001 to 85 million barrels per day in 2007, and
32     WHEREAS, the Energy Information Administration predicts
33that global demand for energy will increase 44 percent by 2030,
34requiring an additional 16 million barrels of oil per day and a
3546-percent increase in the production of natural gas, and
36     WHEREAS, according to the Energy Information
37Administration, the United States produces just 41 percent of
38the oil its citizens and residents consume and consumes 25
39percent of the oil produced globally, and
40     WHEREAS, the United States Department of the Interior
41conservatively estimates that approximately 116 billion barrels
42of oil, enough to power 65 million cars for 60 years, and
43approximately 651 trillion cubic feet of natural gas, enough to
44power 60 million homes for 160 years, is recoverable from
45domestic sources, and
46     WHEREAS, the United States Department of the Interior
47conservatively estimates that around 233 trillion cubic feet of
48natural gas is recoverable from federal waters in the Gulf of
49Mexico, and
50     WHEREAS, development and production plans filed with the
51United States Department of the Interior in 1997 confirm
52potential resources for the daily production of up to 450
53million cubic feet of natural gas in a small portion of the
54Eastern Gulf of Mexico off the Florida Panhandle known as Destin
55Dome, but the project has been placed under a moratorium, and
56     WHEREAS, the oil and natural gas industry supports 9.2
57million jobs in the United States and 7.5 percent of the United
58States economy, and has invested nearly $2 trillion in capital
59projects in the United States, and
60     WHEREAS, many of Florida's businesses will likely benefit
61from the oil and natural gas industry if the industry is allowed
62to move eastward toward Florida in the Gulf of Mexico, and
63     WHEREAS, the oil and natural gas industry has not requested
64tax subsidies or government grants to expand exploration and
65production in the Eastern Gulf of Mexico, and
66     WHEREAS, in exchange for a 125-mile drilling buffer in the
67Gulf of Mexico, Florida declined to participate in the 2006 Gulf
68of Mexico Energy Security Act that provides 37.5 percent of all
69federal oil and natural gas revenues, including lease sales and
70production royalties, to Gulf Coast states, and
71     WHEREAS, the initial Eastern Gulf of Mexico Sale 224 in the
722006 Gulf of Mexico Energy Security Act generated in excess of
73$64 million, 37.5 percent of which went directly to Texas,
74Louisiana, Mississippi, and Alabama, and
75     WHEREAS, revenue sharing prescribed in the 2006 Gulf of
76Mexico Energy Security Act will extend to all new production in
77the Gulf of Mexico in 2017, and, as a result, Louisiana
78estimates it will generate more than $650 million per year, and
79     WHEREAS, without a change in policy, Florida will continue
80to be excluded from sharing additional revenues and royalties
81related to lease sales and production royalties associated with
82the development of oil and natural gas resources in the Gulf of
83Mexico and secure domestic energy resources will remain
84undeveloped, NOW, THEREFORE,
85
86Be It Resolved by the Legislature of the State of Florida:
87
88     That the Congress of the United States is urged to continue
89its support of the expiration of the Congressional moratoria and
90the removal of the Presidential withdrawal prohibiting oil and
91natural gas leasing on certain lands of the Outer Continental
92Shelf, including federal waters surrounding Florida, and to
93support modification of the Gulf of Mexico Energy Security Act
94of 2006 for the following purposes:
95     (1)  To remove the moratorium on oil and gas leasing in
96federal Outer Continental Shelf waters of the Gulf of Mexico.
97     (2)  To add Florida to the term "Gulf producing State" so
98that Florida will be included in sharing qualified Outer
99Continental Shelf revenues resulting from the production of oil
100and natural gas.
101     BE IT FURTHER RESOLVED that copies of this memorial be
102dispatched to the President of the United States, to the
103President of the United States Senate, to the Speaker of the
104United States House of Representatives, and to each member of
105the Florida delegation to the United States Congress.


CODING: Words stricken are deletions; words underlined are additions.