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SCS CSHJR 12(RES) am S: Urging the United States Department of the Interior, Bureau of Land Management, to honor the recent lease sales and proceed with permitting in the Arctic National Wildlife Refuge; urging the President of the United States to defend the 2020 Record of Decision approving the Coastal Plain Oil and Gas Leasing Program in the Arctic National Wildlife Refuge; opposing designation of the Arctic National Wildlife Refuge as a National Monument; urging the Alaska delegation in Congress to work to repeal sec. 20001(b)(5) of the Tax Cuts and Jobs Act of 2017 to honor the Alaska Statehood Act with respect to the state's share of bonuses, royalties, and rentals from exploration and development in the coastal plain of the Arctic National Wildlife Refuge; and requesting that the Alaska delegation in Congress defeat any effort to alter or repeal other provisions of sec. 20001 of the Tax Cuts and Jobs Act of 2017 if the result would adversely affect oil and gas development efforts in the Arctic National Wildlife Refuge.

00 SENATE CS FOR CS FOR HOUSE JOINT RESOLUTION NO. 12(RES) am S 01 Urging the United States Department of the Interior, Bureau of Land Management, to 02 honor the recent lease sales and proceed with permitting in the Arctic National Wildlife 03 Refuge; urging the President of the United States to defend the 2020 Record of Decision 04 approving the Coastal Plain Oil and Gas Leasing Program in the Arctic National 05 Wildlife Refuge; opposing designation of the Arctic National Wildlife Refuge as a 06 National Monument; urging the Alaska delegation in Congress to work to repeal sec. 07 20001(b)(5) of the Tax Cuts and Jobs Act of 2017 to honor the Alaska Statehood Act 08 with respect to the state's share of bonuses, royalties, and rentals from exploration and 09 development in the coastal plain of the Arctic National Wildlife Refuge; and requesting 10 that the Alaska delegation in Congress defeat any effort to alter or repeal other 11 provisions of sec. 20001 of the Tax Cuts and Jobs Act of 2017 if the result would 12 adversely affect oil and gas development efforts in the Arctic National Wildlife Refuge. 13 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA:

01 WHEREAS, in 16 U.S.C. 3143 (sec. 1003 of the Alaska National Interest Lands 02 Conservation Act), the United States Congress reserved the right to permit oil and gas 03 development and production in the coastal plain of the Arctic National Wildlife Refuge; and 04 WHEREAS, in 16 U.S.C. 3142 (sec. 1002 of the Alaska National Interest Lands 05 Conservation Act), the United States Congress authorized nondrilling exploratory activity in 06 the coastal plain of the Arctic National Wildlife Refuge; and 07 WHEREAS sec. 20001 of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) requires 08 the United States Secretary of the Interior to establish and administer a competitive oil and 09 gas program for the leasing, development, and production of oil and gas in and the 10 transportation of oil and gas from the coastal plain of the Arctic National Wildlife Refuge; 11 and 12 WHEREAS sec. 20001 of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) requires 13 that at least two lease sales be held by December 22, 2024, and that each sale offer for lease at 14 least 400,000 acres of land with the highest hydrocarbon potential in the coastal plain of the 15 Arctic National Wildlife Refuge, allowing for up to 2,000 acres of federal land, equivalent to 16 .01 percent of the 19,000,000-acre refuge, to be covered by production and support facilities; 17 and 18 WHEREAS the 1,500,000-acre 1002 study area of the coastal plain of the Arctic 19 National Wildlife Refuge makes up less than eight percent of the 19,000,000-acre refuge, and 20 development of the oil and gas reserves in the coastal plain of the refuge would affect a 21 limited area, as defined by the United States Congress; and 22 WHEREAS 8,900,000 acres of the 19,000,000-acre Arctic National Wildlife Refuge 23 have already been set aside as wilderness; and 24 WHEREAS the coastal plain of the Arctic National Wildlife Refuge contains an 25 estimated 7,687,000,000 barrels of recoverable oil and 7,000,000,000,000 cubic feet of 26 natural gas; and 27 WHEREAS the exploration, development, and production of oil and gas in the coastal 28 plain of the Arctic National Wildlife Refuge is predicted to generate 1,430 direct jobs and 29 6,350 indirect jobs annually and 2,480 direct jobs and 10,100 indirect jobs at peak 30 employment; and 31 WHEREAS the 1002 study area is part of the coastal plain of the Arctic National

01 Wildlife Refuge located within the North Slope Borough, and many of the residents of the 02 North Slope Borough, who are predominantly Inupiat, are supportive of development in the 03 1002 study area; and 04 WHEREAS oil and gas exploration and development in the coastal plain of the Arctic 05 National Wildlife Refuge and adjacent land could result in major discoveries that would 06 reduce our nation's dependency on oil produced by hostile foreign nations, help balance the 07 nation's trade deficit, and significantly increase the nation's security; and 08 WHEREAS additional natural gas production from the North Slope of Alaska, 09 including the significant gas reserves expected to be found in the Arctic National Wildlife 10 Refuge, would enhance the energy independence of the state and the nation in the future; and 11 WHEREAS natural gas production from the North Slope of Alaska would enhance 12 the economic viability of the proposed liquefied natural gas project; and 13 WHEREAS development of oil at Prudhoe Bay, Kuparuk, Endicott, Lisburne, and 14 Milne Point has resulted in the creation of thousands of jobs throughout the United States, and 15 projected job creation as a result of oil development in the coastal plain of the Arctic National 16 Wildlife Refuge would have a positive effect in all 50 states; and 17 WHEREAS support for development of the coastal plain of the Arctic National 18 Wildlife Refuge by many state residents is predicated on the maximum employment of the in- 19 state workforce during all phases of development and operation; and 20 WHEREAS, at Prudhoe Bay and other locations along the coastal plain of the Arctic 21 National Wildlife Refuge, the oil industry has demonstrated that it can conduct oil and gas 22 activity without adversely affecting the environment or wildlife populations; and 23 WHEREAS the state will continue to strive to ensure the ongoing health and 24 productivity of the Porcupine and Central Arctic caribou herds and the protection of land, 25 water, and wildlife resources during the exploration and development of the coastal plain of 26 the Arctic National Wildlife Refuge; and 27 WHEREAS the Bureau of Land Management's 2020 Coastal Plain Oil and Gas 28 Leasing Program Record of Decision was developed after extensive outreach and consultation 29 with residents of local communities, including residents of Kaktovik, the only Alaska Native 30 community in the Coastal Plain; and 31 WHEREAS the Alaska Native community of Kaktovik received ownership of 92,000

01 acres of private land within the Coastal Plain as settlement of their aboriginal land claims 02 under the Alaska Native Claims Settlement Act of 1971 (ANCSA); and 03 WHEREAS the United States Congress intended the shareholders of ANCSA 04 corporations, rather than the federal government, to have direct control over the development 05 of the corporations' land and resources for the long-term economic benefit of the Alaska 06 Native shareholders; and 07 WHEREAS the residents of Kaktovik recognized in ANCSA have been unable to 08 develop their land in the Coastal Plain because of restrictions in the Alaska National Interest 09 Lands Conservation Act; and 10 WHEREAS the North Slope Borough, representing the residents of the North Slope, 11 including the Alaska Native residents of the Coastal Plain and the larger North Slope area, 12 fully participated in the public process conducted by the Bureau of Land Management in the 13 course of developing the 2020 Coastal Plain Oil and Gas Leasing Program Record of 14 Decision and supports the decision; and 15 WHEREAS the oil and gas industry has developed directional drilling technology that 16 would allow horizontal drilling within the Arctic National Wildlife Refuge, responsibly 17 minimizing the impact area of development and offering a possibility of using directional 18 drilling to access oil from outside of the boundaries of the 1002 study area; and 19 WHEREAS the oil and gas industry is using innovative technology and 20 environmental practices in new oilfield developments, and those techniques are directly 21 applicable to operating on the coastal plain of the Arctic National Wildlife Refuge and would 22 further enhance the already high standards for environmental protection in the industry; and 23 WHEREAS the economic prosperity of the state depends on the availability of 24 reliable and affordable energy; and 25 WHEREAS the state promotes the development of renewable and alternative energy 26 resources; and 27 WHEREAS the Alaska State Legislature has previously encouraged the use of 28 revenue from development in the Arctic National Wildlife Refuge for the development of 29 renewable and alternative energy resources in the state; and 30 WHEREAS the legislative findings and intent in sec. 1, ch. 10, SLA 2015, which 31 declares the Arctic policy of the state, states that "the continuing development of the state's

01 natural resources in an environmentally and socially responsible manner is essential to the 02 development of the state's economy and to the well-being of the residents of the state"; and 03 WHEREAS the Arctic policy of the state, codified as AS 44.99.105, states "It is the 04 policy of the state, as it relates to the Arctic, to uphold the state's commitment to economically 05 vibrant communities sustained by development activities consistent with the state's 06 responsibility for a healthy environment"; and 07 WHEREAS oil and gas development in the coastal plain of the Arctic National 08 Wildlife Refuge has the potential to extend the life of the Trans Alaska Pipeline System and 09 increase throughput, which has declined significantly since the peak of 2,033,000 average 10 barrels of oil a day in 1988; and 11 WHEREAS the decline in oil prices and in Trans Alaska Pipeline System throughput 12 has significantly reduced the revenue available to fund state government, depleted state 13 savings reserves, and increased pressure on lawmakers to reduce permanent fund dividend 14 payments to fund constitutionally mandated government services; and 15 WHEREAS development of oil and gas resources directly supports access to essential 16 public services and enables local economic and community development projects in rural and 17 underserved communities across the state; and 18 WHEREAS, in sec. 28 of the Alaska Statehood Act of 1958 (P.L. 85-508), the United 19 States Congress established the right of the state to receive 90 percent of the income derived 20 from mineral leasing collected from the development of federal land in the state; and 21 WHEREAS the Mineral Leasing Act of 1920 (30 U.S.C. 191), as amended, which is 22 referenced in sec. 28 of the Alaska Statehood Act of 1958 (P.L. 85-508), provides that "[a]ll 23 money received from the sales, bonuses, royalties . . . and rentals of [certain federal] public 24 lands . . . shall be paid into the Treasury of the United States; and . . . 90 per centum thereof 25 shall be paid to the State of Alaska for disposition by the legislature thereof," which is 26 consistent with the provisions of the Alaska Statehood Act with respect to the share of profits 27 obtained from leasing, exploration, and development of federal land within the state's borders 28 to which the State of Alaska is entitled; and 29 WHEREAS sec. 20001(b)(5) of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) 30 provides for the state to receive a 50 percent share of the adjusted bonus, rental, and royalty 31 receipts derived from leasing, exploration, and development of federal land in the state, in

01 contravention of the percentage shares required under the Alaska Statehood Act; and 02 WHEREAS the Congressional Budget Office has estimated that gross receipts from 03 the Arctic National Wildlife Refuge lease bonus bids alone could generate proceeds of up to 04 $2,200,000,000 over a decade; 05 BE IT RESOLVED that the Alaska State Legislature urges the United States 06 Department of the Interior, Bureau of Land Management, to honor the recent lease sales in the 07 Arctic National Wildlife Refuge; and be it 08 FURTHER RESOLVED that the Alaska State Legislature requests that the United 09 States Department of the Interior, Bureau of Land Management, in considering the 10 adjudication of the exploration and development permitting process, take into account the 11 long history of safe and responsible oil and gas development on the North Slope of Alaska, 12 the enormous benefits development of oil and gas resources in the coastal plain of the Arctic 13 National Wildlife Refuge would bring to the state and the nation, the advances in oilfield 14 technology that continue to shrink the impact area of oil and gas activities, and the support of 15 residents from the North Slope Borough and across the North Slope of Alaska for oil and gas 16 development in a portion of the coastal plain; and be it 17 FURTHER RESOLVED that the Alaska State Legislature requests that President 18 Biden's administration defend, in the public sphere and in court, the 2020 Record of Decision 19 issued by the Bureau of Land Management that approves the Coastal Plain Oil and Gas 20 Leasing Program in the Arctic National Wildlife Refuge; and be it 21 FURTHER RESOLVED that the Alaska State Legislature requests that President 22 Biden and the Department of the Interior move forward with the permitting process in good 23 faith with leaseholders in the Arctic National Wildlife Refuge; and be it 24 FURTHER RESOLVED that the Alaska State Legislature urges President Biden to 25 immediately rescind the provisions of Executive Order 13990, pertaining to the Arctic 26 National Wildlife Refuge, to faithfully implement the law and the final agency actions of the 27 Department of the Interior and the Bureau of Land Management, and to respectfully listen to 28 the state, the North Slope Borough, and the residents of the Alaska Native communities of the 29 North Slope, including Kaktovik, before taking actions that affect those residents; and be it 30 FURTHER RESOLVED that the Alaska State Legislature urges President Biden to 31 take an approach of consultation and engagement on all decisions affecting the state, local

01 communities, Alaska Native tribes and entities, and individual residents; and be it 02 FURTHER RESOLVED that the Alaska State Legislature opposes the designation of 03 the Arctic National Wildlife Refuge as a National Monument by employing the Antiquities 04 Act; and be it 05 FURTHER RESOLVED that the Alaska State Legislature urges the Alaska 06 delegation in Congress to work to repeal sec. 20001(b)(5) of the Tax Cuts and Jobs Act of 07 2017 (P.L. 115-97) to honor the Alaska Statehood Act, which provides that the State of 08 Alaska receive a 90 percent share of all bonuses, royalties, and rentals under leases received 09 by the federal government for exploration and development in the coastal plain of the Arctic 10 National Wildlife Refuge; and be it 11 FURTHER RESOLVED that the Alaska State Legislature requests that the Alaska 12 delegation in Congress work to defeat any effort to alter or repeal other provisions of sec. 13 20001 of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) if the result would adversely affect 14 oil and gas development efforts in the Arctic National Wildlife Refuge. 15 COPIES of this resolution shall be sent to the Honorable Joseph R. Biden, President 16 of the United States; the Honorable Kamala D. Harris, Vice President of the United States and 17 President of the U.S. Senate; the Honorable Deb Haaland, United States Secretary of the 18 Interior; the Deputy Director for Policy and Programs, Bureau of Land Management, U.S. 19 Department of the Interior; the Coastal Plain Project Manager, Bureau of Land Management 20 Alaska State Office, U.S. Department of the Interior; and the Honorable Lisa Murkowski and 21 the Honorable Dan Sullivan, U.S. Senators, and the Honorable Don Young, U.S. 22 Representative, members of the Alaska delegation in Congress.