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HomeMy WebLinkAbout2012-05-22 - AGENDA REPORTS - FED LEGISLATION CEMEX (2)NEW BUSINESS DATE: SUBJECT: 174' : RIUVICl►al[l; Agenda Item• 21 CITY OF SANTA CLARITA AGENDA REPORT City Manager Approval: Item to be presented by: May 22, 2012 Michael Murphy FEDERAL LEGISLATION: PROPOSED CEMEX SOLEDAD CANYON MINE City Manager's Office RECOMMENDED ACTION City Council adopt resolution relating to federal legislation and CEMEX's proposed Soledad Canyon mine. Copies of the resolution shall be transmitted to Senator Barbara Boxer, Senator Dianne Feinstein and Representative Howard P. "Buck" McKeon. BACKGROUND Since 1999, the City of Santa Clarita has been aggressively opposing the siting of a 56,000,000 net ton sand and gravel mine in Soledad Canyon, immediately east of the City of Santa Clarita. The large scale mining project is being proposed by CEMEX on surface estate that is owned by the City of Santa Clarita, while the underlying mining rights are retained by the United States Bureau of Land Management (BLM). In the Record of Decision issued in August 2000, BLM approved the mining project, subject to the proponent obtaining state, regional and local permits. In May 2004, the United States Ninth Circuit Court of Appeals validated a Consent Decree between CEMEX and the County of Los Angeles, which authorizes the project to move forward based upon the federal government's approval of the project, as the only authorization necessary. During the 108th Congress, Senator Barbara Boxer and Representative Howard P. "Buck" McKeon introduced legislation to resolve the mining dispute. While not enacted into law, those bills served as a catalyst for CEMEX and the City to begin working together in finding a mutually agreeable resolution to their dispute. In January 2007, CEMEX and the City entered into a formal agreement to work together in finding a solution to the mining dispute, primarily focusing on a legislative remedy. For the past five and one-half years, the City and CEMEX Adopted: a-39 have worked closely in developing, refining, and advocating for federal legislation that will resolve the issue in a manner satisfactory to the City, CEMEX, and community residents. Since January 2007, the formal agreement between the City and CEMEX has been extended eight times, with the current agreement scheduled to expire on May 31, 2012. In order for CEMEX to extend the agreement, their representatives have expressed the need to see evidence that a legislative solution has a reasonable chance of being enacted by Congress this year. Senator Barbara Boxer and Representative Howard P. "Buck" McKeon both introduced legislation during the two-year 1 I Ith Congress that ended at the end of calendar year 2010. Senator Boxer reintroduced the bill into the 112th Congress, on April 7, 2011, as S. 759. Congressman McKeon, citing a decision from House Natural Resources Committee Chairman Doc Hastings (R -WA) identifying the legislative language as a violation of the earmark moratorium adopted by the House of Representatives for the 112th Congress, has not introduced legislation. Chairman Hastings, in a November 4, 2011, letter, has identified the language in last session's H.R. 4332, authored by Mr. McKeon, as an earmark, in violation of House Rule XXI, clause 9, and subject to the moratorium if reintroduced during this session of Congress. The City and CEMEX have identified three key goals to be realized through federal legislation: 1) cancellation of the two contracts between the United States Bureau of Land Management and CEMEX; 2) withdrawal from further mineral entry the areas that were the subject of the contracts; and 3) fairly compensate CEMEX for the value of the two valid contracts that the company holds with the United States. The City and CEMEX continue to work with Senator Boxer, Senator Feinstein, and Congressman McKeon to identify potential legislative avenues leading to resolution of the dispute this year. However, with an increasingly widening partisan divide in Washington, D.C. during an election year, there is concern that, once again, an opportunity to enact federal legislation to resolve the mining issue may be missed in the absence of an aggressive effort by all parties. Therefore, in an effort to explore every legislative opportunity that may exist during the current session of Congress, the Council wishes to express its appreciation for all of the legislative efforts to date and applaud the continuing discussions with City's federal legislators. Furthermore, on the theory that legislation introduced in both houses of Congress increases the chances for a final resolution of the issue, the Council formally requests that Representative McKeon work with the City of Santa Clarita, CEMEX, and Chairman Hastings and his staff in developing, introducing, and securing enactment into law of bi-partisan legislation that captures the three key goals of the City and CEMEX, does not violate the House rules relating to earmarks, and leads to resolution of the mining dispute between the City and CEMEX. ALTERNATIVE ACTIONS Other action as determined by the City Council. 10 FISCAL IMPACT No fiscal impact by this action. ATTACHMENTS Resolution F RESOLUTION 12- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, REGARDING FEDERAL LEGISLATION RELATED TO THE PROPOSED SOLEDAD CANYON MINE WHEREAS, CEMEX USA has proposed a 56,000,000 net ton sand and gravel mine in Soledad Canyon; and WHEREAS, the proposed mine, as currently authorized, will occur on surface estate owned by the City of Santa Clarita, California; and WHEREAS, the proposed mine may result in 1164 truck trips per day, contribute to the deterioration of local air quality, and potentially eliminate the opportunity to create important linkages of the northern and southern sections of the Angeles National Forest, as outlined in the East Santa Clarita Land Conservation Concept Plan and Implementation Strategy; and WHEREAS, since 1999, the Santa Clarita City Council, on behalf of the residents of Santa Clarita, has aggressively opposed the mining project and sought solutions to end the threat to the community; and WHEREAS, on January 8, 2007, the City of Santa Clarita and CEMEX, USA entered into an agreement to "jointly develop solutions to the existing dispute," with the agreement having been extended eight times, and the current agreement due to expire on May 31, 2012; and WHEREAS, the City Council has worked with Senator Barbara Boxer, Senator Dianne Feinstein, and Representative Howard P. "Buck" McKeon on various legislative resolutions to the issue over the past five and one-half years; and WHEREAS, the City of Santa Clarita and CEMEX have identified three key goals for inclusion in any federal legislation to resolve the dispute between the two parties; 1) cancellation of contracts between CEMEX and the United States Bureau of Land Management, numbered CA -20139 and CA -22901; 2) withdrawal from further mineral entry the areas that are the subject of the two contracts; and 3) fairly compensating CEMEX for the value of the two valid contracts that the company holds with the United States; and WHEREAS, Representative McKeon has introduced legislation during the 108th, 109th, 1 I Oth, and 111th Congresses, and Senator Boxer has introduced companion legislation during the 108th and 11 Ith Congresses, and WHEREAS, Senator Barbara Boxer has introduced S. 759, which was developed jointly between CEMEX and the City of Santa Clarita, in the 112th Congress; and y WHEREAS, in a November 4, 2011, letter from House of Representatives Committee on Natural Resources Chairman Doc Hastings to Representative McKeon, Chairman Hastings has determined that the language contained within H.R. 4332, introduced by Mr. McKeon during the 111th Congress, is in violation of House of Representatives Rule XXI, clause 9, and therefore, subject to the moratorium on legislation containing earmarks; and WHEREAS, Representative McKeon is unable to introduce the same language into legislation during the 112th Congress without violating rules of the House of Representatives and has not introduced any other legislation on the subject; and WHEREAS, the language contained within Senator Boxer's current legislation, S. 759, has not been determined to be an earmark in the Senate, and WHEREAS, City staff continues to work with representatives of CEMEX, Senator Boxer's staff, Senator Feinstein's staff, and Representative McKeon's staff in pursuing available legislative avenues for resolving the dispute. NOW, THEREFORE, the City Council of the City of Santa Clarita does hereby resolve as follows: SECTION 1. That the City Council reiterates its continued opposition to CEMEX's proposed Soledad Canyon mining project and reaffirms its commitment to securing a resolution to the issue in partnership with CEMEX on behalf of the residents of Santa Clarita. SECTION 2. That the City Council reaffirms its strong support for S. 759, as previously adopted on May 10, 2011, and reiterates its appreciation to Senator Boxer for introducing S. 759 during the 112th Congress, and for continuing to publically state her strong commitment to the resolution of the issue. SECTION 3. That the City Council expresses its appreciation to Senator Feinstein for her ongoing support of the community regarding this issue, and for continuing to work toward a resolution of the issue. SECTION 4. That the City Council express its appreciation to Representative McKeon for his past legislative efforts during the 108th, 109th, 110th, and 111th Congresses. SECTION 5. That the City Council formally requests that Representative Howard P. "Buck" McKeon work with Chairman Hastings, CEMEX, and the City of Santa Clarita in developing, introducing, and having enacted into law during the 112th Congress, bi-partisan legislation that accomplishes the three key goals of the City of Santa Clarita and CEMEX, and does not violate the House of Representatives rule relating to earmarks. SECTION 6. The City Clerk shall certify to the adoption of this Resolution. 2 5 PASSED, APPROVED, AND ADOPTED this day of 2012. MAYOR ATTEST: CITY CLERK DATE: I STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA) I, Sarah P. Gorman, City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Resolution was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof, held on the day of 2012, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: 4 CITY CLERK STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) CERTIFICATION OF CITY COUNCIL RESOLUTION I, , City Clerk of the City of Santa Clarita, do hereby certify that this is a true and correct copy of the original Resolution 12- adopted by the City Council of the City of Santa Clarita, California on 2012, which is now on file in my office. Witness my hand and seal of the City of Santa Clarita, California, this day of 20 City Clerk By Deputy City Clerk