An amendment to the 1911 Tidelands Grant is passed, authorizing use of half the tidelands oil revenues on non-harbor projects.
The U.S. Supreme Court determines that half the oil and all gas revenues freed from the terms of the 1911 state grant should go to the State of California and not to Long Beach.
State and City officials reach agreement over the tidelands revenues. Long Beach turns over $120 million to the state and promises to pay all gas revenues and 50% of all future tidelands oil revenues to California.
Subsidence worsens as a 16 square-mile area in the north harbor sinks between two and 24 feet.