Why I Strongly Support Measure A For La Habra Heights

By Alex Villanueva

This paper is an analysis of impacts that may come about if an initiative to ban the drilling of new wells, the reactivation of idle wells, and the use of high intensity petroleum development were to be adopted by the voters on March 3, 2015.

The Matrix proposal was so out of character and a direct threat to the community, that over 500 residents signed the petition to place it directly on the ballot in less than a week. Make no mistake, the primary business of La Habra Heights is real estate, not oil. Real estate accounts for 68% of the city's general funds, while oil extraction taxes and fees account for 13% at best, when oil is trading high. As of right now, with oil at under $50 a barrel, most oil production in the city has come to a halt.

Oil extraction and industrialization do not mix well with high end real estate, and negatively affects property values and the income that funds the city's operations. This report is an analysis of impacts that may come about if an initiative to ban the drilling of new wells, the reactivation of idle wells, and the use of high intensity petroleum development were to be adopted by the voters on March 3, 2015.

The following is a brief summary of some of those impacts:

Measure A would effectively ban new oil developments, including the Matrix proposal and any other new unconventional petroleum development in La Habra Heights.

The measure would protect residential home values, which accounts for 57% of the cityˇ¦s general fund, and encourages real estate investment with the attendant increase in building permits and fees to fund city operations.

The measure would have a positive impact in La Habra Heights by reducing industrial traffic impacts, noise and light pollution, and manmade hazards such as catastrophic explosions, fires, and chemical or oil spills.

Measure A bridges the gap between the vision statement of the General plan and the municipal code, by permitting the continued operation of Occidental Petroleum and CRC using existing practices.

Measure A provides for the continuation of current oil production operations and creates an administrative remedy to adjudicate claims from Oxy and CRC, which provides for legal cost avoidance of unnecessary lawsuits.

The passage of Measure A protects the city of La Habra Heights against a challenge from the city of La Habra and Brea for potential damages to their water supply.

The initiative does not impact royalty payments from current oil operations, however they would not be increased from oil operations prohibited by the measure.

Like most initiatives, this measure is subject to legal challenges from affected parties, to include current oil operators CRC, prospective operators, Matrix, and energy industry consortiums, with the losing party responsible for the legal costs of the prevailing party.

The measure may require additional amendments to the General Plan and Development Code to address implementation issues as they arise.

If the 70 acre Sempra property were converted to other uses, the city would then be able to rezone it for purposes consisted with the General Plan and its Vision Statement.

As a ten year Heights resident I understand the value of preserving current oil operations, of which I receive royalties like many residents, while at the same time banning the expansion of oil operations that will not only threaten the safety and health of the community, but destroy the very nature of what attracted everyone here in the first place.

I encourage everyone to vote Yes on Measure A!