Socioeconomic Research Issues: Gulf of Mexico OCS Region

OCS Study MMS 2005-016 Workshop on Socioeconomic Research Issues for the Gulf of Mexico OCS Region February 2004 U.S. Department of the Interior Minerals Management Service Gulf of Mexico OCS Region OCS Study MMS 2005-016 Workshop on Socioeconomic Research Issues for the Gulf of Mexico OCS Region February 2004 Editors Melanie McKay Copy Editor Judith Nides Production Editor Prepared under MMS Contract 1435-00-01-CA-31060 by University of New Orleans Office of Conference Services New Orleans, Louisiana 70814 Published by U.S. Department of the Interior Minerals Management Service New Orleans Gulf of Mexico OCS Region March 2005 DISCLAIMER This report was prepared under contract between the Minerals Management Service (MMS) and the University of New Orleans, Office of Conference Services. This report has been technically reviewed by the MMS and approved for publication. Approval does not signify that contents necessarily reflect the views and policies of the Service, nor does mention of trade names or commercial products constitute endorsement or recommendation for use. It is, however, exempt from review and compliance with MMS editorial standards. REPORT AVAILABILITY Extra copies of this report may be obtained from the Public Information Office (Mail Stop 5034) at the following address: U.S. Department of the Interior Minerals Management Service Gulf of Mexico OCS Region Public Information Office (MS 5034) 1201 Elmwood Park Boulevard New Orleans, Louisiana 70123-2394 Telephone Numbers: (504) 736-2519 1-800-200-GULF CITATION This study should be cited as: McKay, M. and J. Nides, eds. 2005. Workshop on Socioeconomic Research Issues for the Gulf of Mexico OCS Region, February 2004. U.S. Dept. of the Interior, Minerals Management Service, Gulf of Mexico OCS Region, New Orleans, LA. OCS Study MMS 2005-016. 153 pp. iii TABLE OF CONTENTS PAGE List of Figures............................................................................................................................... vii List of Tables ................................................................................................................................. ix Acknowledgments.......................................................................................................................... xi Chapter 1, Workshop on Socioeconomic Research Issues for the Gulf of Mexico OCS Region........................................................................................................... 1 Chapter 2, Session on Industry Trends and Dynamics .................................................................. 5 Chapter 3, Community-level Impacts of Oil and Gas Activity in the Gulf of Mexico Region.................................................................................................................. 13 Chapter 4, Cultural Impacts of Oil and Gas Activity in the Gulf of Mexico Region .................. 19 Chapter 5, Crosscutting Issues and Questions ............................................................................. 27 Appendix A, Participants............................................................................................................. 33 Appendix B, Agenda.................................................................................................................... 41 Appendix C, Proposed Studies and Study Topics ....................................................................... 43 Appendix D1, Legal Framework for Minerals Management Service Socioeconomic Studies in the Gulf of Mexico, Richard G. Hildreth......................................................... 69 Appendix D2, The History of the Offshore Industry in the Gulf of Mexico, Tyler Priest .......... 77 Appendix D3, Planning Challenges at the Bureau of Land Management, Rob Winthrop .......... 85 Appendix D4, Social Impact Assessment and Offshore Oil and Gas in the Gulf of Mexico, Harry Luton and Rodney E. Cluck ................................................................... 101 Appendix D5, The Cultural Context of Oil Development in California’s Coastal Region: Contrasting Community Responses during the Exuberant Era, Michael R. Adamson ...................................................................................................... 139 v LIST OF FIGURES FIGURE PAGE Figure 1: Gulf of Mexico Region............................................................................................... 102 Figure 2: General model. ........................................................................................................... 119 Figure 3: Gulf model.................................................................................................................. 120 Figure 4: County oil and gas fields by group............................................................................. 140 Figure 5: Crude Oil Production: Santa Barbara and Ventura Groups, 1876–1965. .................. 141 Figure 6: Crude Oil Production: Cuyama Valley and Santa Maria Groups, 1876–1965. .......... 142 Figure 7: Building Permits Issued, City of Ventura, California, 1921–1931. ........................... 145 vii LIST OF TABLES TABLE PAGE Table 1: Differences between the SIA paradigm and Gulf realities. ......................................... 125 ix ACKNOWLEDGMENTS The Minerals Management Service (MMS) thanks all participants in this workshop. Their active participation and enthusiasm were crucial in the success of this endeavor. In addition we would like to thank the following people who were unable to attend for their assistance in the preparation for the workshop: Dr. Shana Walton, Associate Director at the Deep South Regional Humanities Center, Tulane University; Mr. Joey Brackner M.A., Folklorist for the Alabama State Council on the Arts; and Dr. Tina Bucuvalas, Director of the Florida Folklife Program, Division of Historical Resources, Bureau of Historical Preservation, Department of the State. Each of them shared their knowledge and expertise on cultures and populations in the Gulf of Mexico Region and provided valuable contact information for other participants. The MMS thanks the following for their written and editorial contributions to this workshop report: Diane Austin, Kimberley Cook, Asha Luthra, Harry Luton, Diana Olien, Kristen Strellec, and Barbara Wallace. The University of New Orleans, Office of Conference Services, was the contractor responsible for the meeting coordination. We would especially acknowledge the patience and assistance of Patricia Arteaga and the students that assisted in each session. The staff of the Monteleone Hotel were accommodating to our requests. Support funding is provided through the MMS Environmental Studies Program. xi CHAPTER 1 WORKSHOP ON SOCIOECONOMIC RESEARCH ISSUES FOR THE GULF OF MEXICO OCS REGION A workshop on social and economic topics related to the oil and gas industry was hosted by the Minerals Management Service (MMS), Gulf of Mexico OCS Region (GOMR), February 3–5, 2004, at the Monteleone Hotel in New Orleans, Louisiana. Workshop Objective The objective was to provide guidance for studies planning for the next five years. The workshop began with the premise that much has been accomplished during the last decade of MMS socioeconomic research and that it is time to assess future directions for the program. The workshop sought advice, rather than consensus, on key questions, useful analytical approaches, and critical information needs. While the workshop was intended to identify specific information needs, MMS was seeking “strategic thinking” about issue selection, methodologies, and assessment goals. Issues related to specific socioeconomic modeling techniques were not addressed by this workshop. Workshop Structure and Schedule The two-and-a-half-day workshop was divided into three parts (see Appendix B, Agenda). The first half-day plenary session included all workshop attendees and consisted of introductions, presented papers and discussions designed to acquaint participants with the goals and procedures of the workshop. The paper, “Social Impact Assessment and Offshore Oil and Gas in the Gulf of Mexico” by Harry Luton and Rodney Cluck shows that standard approaches to social impact assessment that focus on individual projects and demographic effects are inappropriate for the Gulf’s oil industry. Richard Hildreth’s paper, “Legal Requirements for Social Impact Assessments under NEPA,” reviews court decisions regarding the adequacy of impact assessments and concludes that a great deal of flexibility in approach and content exists, particularly in the assessment of the “no action alternative.” Tyler Priest’s “The History of the Offshore Industry in the Gulf of Mexico” describes evolutionary changes within the offshore industry in the context of their onshore social and economic effects (see Appendix D, Presented Materials). The plenary session concluded with an organizational meeting for the breakout groups. The second half of the first day and the following day consisted of three concurrent breakout groups, of approximately 20 members each, organized around broad assessment categories: 1 • Industry Trends and Dynamics in the Gulf of Mexico Region, chaired by Kristen Strellec and co-chaired by Diana Olien, Ph.D. • Community-level Impacts of Oil and Gas in the Gulf of Mexico Region, chaired by Asha Luthra and co-chaired by Barbara Wallace • Cultural Impacts of Oil and Gas Activity in the Gulf of Mexico Region, chaired by H. B. Kimberley Cook, Ph.D. and co-chaired by Diane Austin, Ph.D. Each breakout group conducted

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