CWAG ENERGY SUMMIT Attorney General Wayne Stenehjem February 2012
The Oil Boom T HE IMPACT OF BOOM DEVELOPMENT ON PUBLIC SAFETY - PLANNING FOR THE FUTURE -
Black Gold Rush
Boom Times ND is the fourth largest oil-producing state in the nation; ND has the lowest unemployment rate in the nation (3.3%) and the highest number of employers who are hiring. In 2010, the oil and gas industry reported $1.49 Billion in taxable sales & purchases. The State Land Department received $85.2 million in oil royalties and $295 million in lease bonuses to trust funds managed by the department; In 2009, the petroleum industry paid $822 million in state and local taxes. December ,008 wells. Each new well has an estimated $3 million annual impact.
The Boom Population increase – –Williams county population increased by approximately 34% since 2006 City of Williston 2006 population approximately 12,000; estimated to grow to 40,000+ by –Watford City population grew from 1,744 to 7,500. –Dickinson population up from 15,000 to 22,000 in 2011 predicted to increase to 35,000 by –Disproportionate number of single males,
“We’re going to have to basically pick up the city of Mandan [pop. 18,000] and drop it into the city of Dickinson and do it in four to five years. That means adding all the roads, all the fire, all the police, and everything else.” Shawn Kessel, Dickinson City Administrator (Jan 27, 2012, Williston Herald)
Housing shortages –Man Camps –Wal-Mart parking lot –Hotel rooms scarce Oil companies lease entire hotel by the quarter Housing costs increased –Loss of low income and single family rental units Senior Citizen housing - rent increased from $700 to $2,000/month for 2-bed apartment; vacated apartments then rented to oil companies. (Williston Herald, ) Infrastructure –Sewage –Schools –Construction –Traffic –Law enforcement
“Almost 1,000 longtime [Williston] residents have left in the last two years, fed up with the city’s newly acquired crowding and traffic problems. ‘Those are the people that built our churches, went to our PTAs. They built our community. It’s tough to lose those people. We’re getting more back in, but we’re losing our core.’” Brad Bekkedahl, Williston City Commissioner (Jan 27, 2012, Williston Herald).
It’s good that it’s been a mild winter, or we’d have been picking up dead bodies everywhere.” Scott Busching, Williams County Sheriff
Law Enforcement Influx of transient population –Traffic –Accidents Out of state registered sex offenders –Address verification Crime increase –Crime reports Public safety fears –Concealed weapons
Law Enforcement Stretched Thin 2008Williams County DUI/APC Inmates booked in jail Warrants received Accidents Traffic Citations ,857Vehicle mileage453,687
1 st Time Concealed Weapon License Applications
NEXT STEPS Land Board –Energy & Infrastructure Oil royalty rate increase Emergency Services & Response grants Industrial Commission –Housing Incentive Fund –Low Income Housing programs Mortgage foreclosure settlement