This report has been prepared in compliance with the Legislative Analyst Office Supplemental Report of the 2018-19 California State Budget, which contains statements of legislative intent adopted during budget deliberations. Item 3560-001-0001, an update on abandoned oil and gas wells, requires the State Lands Commission to submit a report to the budget committees of the Legislature and the Legislative Analyst’s Office by January 10, 2019. This report provides an update on (1) the status of negotiations with and amount of funding received for the Platform Holly project and the amount received from the Rincon Island Limited Partnership performance bond; (2) the project status and work accomplished, timelines for completion, and latest cost estimates for the Commission’s work at Platform Holly and Rincon Island; and (3) the status of lease renegotiations with existing offshore platform and island lessees and the protections to limit future State liability.
