PART 2 -- OUTER CONTINENTAL SHELF Oil AND GAS. 



In the early 1950's the Congress resolved a running court battle 

 over ownership of OCS lands between the states and the Federal government. 

 Congress declared the Outer Continental Shelf to be Federal land in the 

 Outer Continental Shelf Lands Act of 1953. The legislation was confirmed 

 in the U.S. Supreme Court and the Federal government has since managed 

 resource development on the Outer Continental Shelf [29]. The rules for 

 development are spelled out in the Bureau of Land Management and USGS 

 regulations, based on the Outer Continental Shelf Lands Act [30]. 



The Outer Continental Shelf leasing program differs from other 

 coastal development management programs in which the FWS participates 

 because the areas offered for leasing are under the exclusive jurisdiction 

 of the Federal government. The program goals are orderly and timely 

 development of oil and gas resources, environmental protection, and 

 receipt of fair market value by the government. Only the Congress may 

 set the rules that control these activities [30]. 



The negotiations for the sale of oil and gas resources and the pro- 

 cedures for bidding are open to public scrutiny, but the government, as 

 owner, has substantial latitude in setting conditions for specific leases. 

 It is through selection and evaluation of specific tracts and associated 

 lease stipulations and operating conditions, that major environmental 

 protection objectives are served. 



The principal interested parties in the leasing, exploration and 

 production process include the U.S. Department of the Interior agencies 

 and industry representatives. Site-specific onshore impacts are difficult 

 to predict at the leasing stage of the OCS development process, and though 

 concerned public interest groups may represent particular towns or com- 

 munities, they more often focus on broadened state-wide or regional 

 environmental issues. State governments have asserted a strong interest 

 in the methods, timing and procedures and environmental assessment for 

 leasing, as well as the revenues that accrue to the government [321. 

 Federal agencies such as the U.S. Coast Guard and the U.S. Army Corps of 

 Engineers also become involved in aspects of the process. 



The following discussion provides the basic structure for this 

 decision making process established by BLM and USGS. This structure, 

 from the" FWS prerjpective, re'^ts upon the BLM-US€S regulationjBnd 

 Secretarial Order 2974. The elements to be reviewed are: 



-- Federal program responsibilities 

 -- Lease tract selection 



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