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1991-50 Commenting on the Proposed Federal OCS Natural Gas and Oil Resource Management Comprehensive Plan 1992-1997.Introduced by: Mayor Selby Requested by:.. KIB Assembly Drafted by: .... CDD Director Introduced: 10/03/91 Adopted: 10/03/91 KODIAK ISLAND BOROUGH RESOLUTION NO. 91-50 A RESOLUTION COMMENTING ON THE PROPOSED FEDERAL OCS NATURAL GAS AND OIL RESOURCE MANAGEMENT COMPREHENSIVE PLAN 1992-1997 WHEREAS, the Minerals Management Service (MMS) of the United States Department of Interior has released the OCS Natural Gas and Oil Resource Management Comprehensive Plan 1992-1997; and WHEREAS, representatives of the MMS presented the Proposed 5 -year Program to the Kodiak Island Borough Assembly at the work session on September 12, 1991; and WHEREAS, the draft Proposed 5 -year Program includes consideration of leasing in the Cool Inlet Planning Area in 1994; and WHEREAS, the Cook Inlet Planning Area extends from federal waters in Cook Inlet along the entire length of Shelikof Strait; and WHEREAS, the two areas in the Cook Inlet Planning Area considered for leasing in 1994 include Cook Inlet and Northern Shelikof Strait; and WHEREAS, the first federal oil and gas lease sale was held in Cook Inlet on October 27, 1977, only after litigation over jurisdictional issues and the adequacy of EIS was settled; and WHEREAS, of the 135 tracts offered for sale, bids were received for only 91 tracts, with only 87 of the bids being accepted; and WHEREAS, Lease Sale (LS) 60 was held on September 29, 1981, after objections were raised by the Borough over the inclusion of Shelikof Strait tracts in the sale (Resolution No. 79-9-R); and Kodiak Island Borough, Alaska Resolution No. 91-50 Page 1 of 3 WHEREAS, of the 153 LS 60 tracts offered for sale, only 13 tracts received bids, nine in Shelikof Strait and four off of Anchor Point in Cook Inlet; and WHEREAS, in July of 1982, LS RS -2 was held, re -offering for sale all of the tracts not previously sold at LS 60; no bids were received for any of the tracts; and WHEREAS, on November 14, 1984, a drilling rig moved on to one of the Shelikof Strait tracts, and drilling operations commenced on behalf of Chevron on November 21, 1984; and WHEREAS, Chevron announced no commercial find, and as of January 15, 1986, there were no active leases remaining in Shelikof Strait from LS 60; and WHEREAS, LS 88 was scheduled for sale in October 1984, but the proposed notice of sale was issued with a scheduled sale date of December 1984; and WHEREAS, the Kodiak Island Borough responded to LS 88 with Resolution No. 84-18-R supporting sale alternatives that included the deferral of both Shelikof Strait and wildlife buffer tracts; and WHEREAS, ultimately an announcement was made on May 2, 1986, canceling LS 88 citing "low current industry interest and a lack of commercial discovery announcements" in the planning area as the basis for the decision; and WHEREAS, LS 114 was progressing through the lease sale process when the Exxon Valdez oil spill occurred; and WHEREAS, the Kodiak Island Borough responded to LS 114 with the passage of Resolution 89-28-R requesting delay of the sale until the long term impacts of the oil spill could be assessed; and WHEREAS, on May 17, 1989, it was announced that LS 114 would be delayed indefinitely until assessment of the Exxon Valdez oil spill could be completed; and WHEREAS, the history of federal OCS oil and gas leasing in the area, now identified by the MMS as the Cook Inlet Planning Area, shows a decreasing interest by the oil industry; and WHEREAS, the same area has become increasingly important to regional and statewide fishing interests; and Kodiak Island Borough, Alaska Resolution No. 91-50 Page 2 of 3 WHEREAS, the Kodiak Island Borough Assembly adopted Resolution 91-16 in April of 1991 requesting that the MMS delete any consideration of leasing in the Cook Inlet Planning Area from the Proposed Five Year Program; and WHEREAS, for the past twelve years the Kodiak Island Borough has opposed oil and gas exploration in Shelikof Strait. NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH THAT: The MMS delete consideration of leasing in the Cook Inlet Planning Area from the Proposed OCS Natural Gas and Oil Resource Management Comprehensive Program 1992-1997, since the continuing fisheries and habitat resource values of the area are very high and the projected oil and gas resources in the area are very low. PASSED AND APPROVED THIS 3rd DAY OF OCTOBER, 1991. ATTEST: KODIAK ISLAND BOROUGH Born.Agh Mayor Kodiak Island Borough, Alaska Resolution No. 91-50 Page 3 of 3