Posted on 03/18/2010 8:08:53 AM PDT by SmithL
Running for Congress, Assemblyman Chuck DeVore pushed a proposal Wednesday to pump billions into California's budget this year, largely curing its deficit, without raising taxes.
DeVore's legislation, Assembly Bill 2719, would allow new oil drilling but not new rigs off California's coast by requiring firms to use directional or slant drilling from existing platforms.
The Irvine Republican, meeting with The Bee's Capitol Bureau, said participating firms could receive a price break if they prepay future royalties and taxes, which would boost state coffers this year.
"If you run the counts on both of those, I can put about $16 billion into the budget this year, without raising taxes, and it would create 7,000 direct jobs in the oil fields," he said.
Democrats opposed additional coastline drilling last year. DeVore expects his proposal to be killed in legislative committee but perhaps resurrected in budget talks.
"It almost wipes out the $20 billion deficit" projected through June 2011, he said.
(Excerpt) Read more at sacbee.com ...
exercise your 10th amendment rights CA and take your oil.
What a novel idea?!!! Who would have ever thought about this?
It's a lot like the ANWAR business. You could opening it up, but there's no likelihood of any company immediately starting to drill, just because its so much cheaper to drill other places. Of course, if oil skyrockets again, the math changes, substantially.
It’s a start ...
Seems to me I’ve heard that the Iranian do their budgeting on the basis of oil at $55-60 a barrel because that’s what it costs to pull oil out of the gulf of Mexico.
so you would think that if they can pull oil from the gulf of Mexico at $55-60 a barrel — that they could do the same off the coast of California.
Use existing platforms and well holes.
Think about the oil infrastructure throughout the Gulf Coast. None of that exists off the coast of California. It would all have to be replicated, before drilling could begin.
CA people would never support drilling even if it could be shown productive to their budget deficit. They have lived with debt for so long now it is all that they know. They have enslaved themselves.
Yep. Doing anything productive will actually generate revenue. That is true.
“Seems to me I’ve heard that the Iranian do their budgeting on the basis of oil at $55-60 a barrel because that’s what it costs to pull oil out of the gulf of Mexico.”
Think about the oil infrastructure throughout the Gulf Coast. None of that exists off the coast of California. It would all have to be replicated, before drilling could begin.
You might be right but they’re calling for more slant wells from existing platforms. As well, the oil deposits in the Santa Barbara channel are within reach of horizontal wells drilled from shore. (the horizontal wells can drill a considerable distance.) seems to me I’ve heard of one such well trying to get approvals from the state.
Gosh, hate to think what opening up oil/gas exploration might do for the coffers of the other 49 states as well as their unemployment rates?
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