| 1 | House Memorial |
| 2 | A memorial to the Congress of the United States, urging |
| 3 | Congress to support the expiration and removal of |
| 4 | moratoria prohibiting exploration and production of |
| 5 | domestic supplies of oil and natural gas in federal waters |
| 6 | surrounding Florida and to include Florida in revenue |
| 7 | sharing resulting from the production of oil and natural |
| 8 | gas in federal waters surrounding Florida. |
| 9 |
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| 10 | WHEREAS, Florida's economy is suffering and the |
| 11 | unemployment rate in the state has remained around 12 percent |
| 12 | since 2009, and |
| 13 | WHEREAS, Florida's industries, including tourism, |
| 14 | agriculture, fertilizer, agrochemical, plastic, manufacturing, |
| 15 | bakeries, juice and food processing, pulp and paper, road |
| 16 | construction, metals, restaurants, hotels, grocery stores, and |
| 17 | research institutions, among many others, are heavily dependent |
| 18 | on access to reliable and affordable natural gas, and |
| 19 | WHEREAS, according to the Department of Revenue, Florida |
| 20 | consumes approximately 28.5 million gallons of gasoline and |
| 21 | diesel fuel per day and approximately 10.4 billion gallons of |
| 22 | gasoline and diesel fuel annually, and |
| 23 | WHEREAS, the Public Service Commission expects Florida to |
| 24 | increase total utility generation capacity derived from natural |
| 25 | gas from 30 percent in 2005 to over 44 percent in 2014 to meet |
| 26 | increasing electricity demand in the state, and |
| 27 | WHEREAS, the United States has recently experienced record |
| 28 | high prices for gasoline, diesel fuel, and natural gas, and |
| 29 | WHEREAS, the Energy Information Administration reports that |
| 30 | global demand for oil has risen from 77 million barrels per day |
| 31 | in 2001 to 85 million barrels per day in 2007, and |
| 32 | WHEREAS, the Energy Information Administration predicts |
| 33 | that global demand for energy will increase 44 percent by 2030, |
| 34 | requiring an additional 16 million barrels of oil per day and a |
| 35 | 46-percent increase in the production of natural gas, and |
| 36 | WHEREAS, according to the Energy Information |
| 37 | Administration, the United States produces just 41 percent of |
| 38 | the oil its citizens and residents consume and consumes 25 |
| 39 | percent of the oil produced globally, and |
| 40 | WHEREAS, the United States Department of the Interior |
| 41 | conservatively estimates that approximately 116 billion barrels |
| 42 | of oil, enough to power 65 million cars for 60 years, and |
| 43 | approximately 651 trillion cubic feet of natural gas, enough to |
| 44 | power 60 million homes for 160 years, is recoverable from |
| 45 | domestic sources, and |
| 46 | WHEREAS, the United States Department of the Interior |
| 47 | conservatively estimates that around 233 trillion cubic feet of |
| 48 | natural gas is recoverable from federal waters in the Gulf of |
| 49 | Mexico, and |
| 50 | WHEREAS, development and production plans filed with the |
| 51 | United States Department of the Interior in 1997 confirm |
| 52 | potential resources for the daily production of up to 450 |
| 53 | million cubic feet of natural gas in a small portion of the |
| 54 | Eastern Gulf of Mexico off the Florida Panhandle known as Destin |
| 55 | Dome, but the project has been placed under a moratorium, and |
| 56 | WHEREAS, the oil and natural gas industry supports 9.2 |
| 57 | million jobs in the United States and 7.5 percent of the United |
| 58 | States economy, and has invested nearly $2 trillion in capital |
| 59 | projects in the United States, and |
| 60 | WHEREAS, many of Florida's businesses will likely benefit |
| 61 | from the oil and natural gas industry if the industry is allowed |
| 62 | to move eastward toward Florida in the Gulf of Mexico, and |
| 63 | WHEREAS, the oil and natural gas industry has not requested |
| 64 | tax subsidies or government grants to expand exploration and |
| 65 | production in the Eastern Gulf of Mexico, and |
| 66 | WHEREAS, in exchange for a 125-mile drilling buffer in the |
| 67 | Gulf of Mexico, Florida declined to participate in the 2006 Gulf |
| 68 | of Mexico Energy Security Act that provides 37.5 percent of all |
| 69 | federal oil and natural gas revenues, including lease sales and |
| 70 | production royalties, to Gulf Coast states, and |
| 71 | WHEREAS, the initial Eastern Gulf of Mexico Sale 224 in the |
| 72 | 2006 Gulf of Mexico Energy Security Act generated in excess of |
| 73 | $64 million, 37.5 percent of which went directly to Texas, |
| 74 | Louisiana, Mississippi, and Alabama, and |
| 75 | WHEREAS, revenue sharing prescribed in the 2006 Gulf of |
| 76 | Mexico Energy Security Act will extend to all new production in |
| 77 | the Gulf of Mexico in 2017, and, as a result, Louisiana |
| 78 | estimates it will generate more than $650 million per year, and |
| 79 | WHEREAS, without a change in policy, Florida will continue |
| 80 | to be excluded from sharing additional revenues and royalties |
| 81 | related to lease sales and production royalties associated with |
| 82 | the development of oil and natural gas resources in the Gulf of |
| 83 | Mexico and secure domestic energy resources will remain |
| 84 | undeveloped, NOW, THEREFORE, |
| 85 |
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| 86 | Be It Resolved by the Legislature of the State of Florida: |
| 87 |
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| 88 | That the Congress of the United States is urged to continue |
| 89 | its support of the expiration of the Congressional moratoria and |
| 90 | the removal of the Presidential withdrawal prohibiting oil and |
| 91 | natural gas leasing on certain lands of the Outer Continental |
| 92 | Shelf, including federal waters surrounding Florida, and to |
| 93 | support modification of the Gulf of Mexico Energy Security Act |
| 94 | of 2006 for the following purposes: |
| 95 | (1) To remove the moratorium on oil and gas leasing in |
| 96 | federal Outer Continental Shelf waters of the Gulf of Mexico. |
| 97 | (2) To add Florida to the term "Gulf producing State" so |
| 98 | that Florida will be included in sharing qualified Outer |
| 99 | Continental Shelf revenues resulting from the production of oil |
| 100 | and natural gas. |
| 101 | BE IT FURTHER RESOLVED that copies of this memorial be |
| 102 | dispatched to the President of the United States, to the |
| 103 | President of the United States Senate, to the Speaker of the |
| 104 | United States House of Representatives, and to each member of |
| 105 | the Florida delegation to the United States Congress. |