Legislature(2017 - 2018)BARNES 124

01/26/2017 11:30 AM ARCTIC POLICY, ECONOMIC DEV., & TOURISM

Note: the audio and video recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.

Download Mp3. <- Right click and save file as
Download Video part 1. <- Right click and save file as

Audio Topic
11:33:18 AM Start
11:33:56 AM HJR5
01:04:50 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HJR 5 ENDORSING ANWR LEASING; RELATED ISSUES TELECONFERENCED
Moved CSHJR 5(AET) Out of Committee
-- Public Testimony --
         HJR  5-ENDORSING ANWR LEASING; RELATED ISSUES                                                                      
                                                                                                                                
11:33:56 AM                                                                                                                   
                                                                                                                                
CHAIR WESTLAKE  announced that the  only order of  business would                                                               
be  HOUSE  JOINT  RESOLUTION  NO. 5,  Urging  the  United  States                                                               
Congress to  pass legislation  to open the  coastal plain  of the                                                               
Arctic  National  Wildlife Refuge  to  oil  and gas  development;                                                               
urging the United States Department  of the Interior to recognize                                                               
the private property rights of owners  of land in and adjacent to                                                               
the  Arctic National  Wildlife Refuge;  relating to  oil and  gas                                                               
exploration,   development,   production,  and   royalties;   and                                                               
relating to renewable and alternative energy technologies.                                                                      
                                                                                                                                
11:34:17 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE TALERICO moved to  adopt Amendment 1, [labeled 30-                                                               
LS0314\D.2, Nauman, 1/23/17], which read as follows:                                                                            
                                                                                                                                
     Page 3, following line 26:                                                                                                 
     Insert new material to read:                                                                                               
          "WHEREAS, in December 2016, President Barack                                                                        
     Obama,  through  executive action,  closed  125,000,000                                                                    
     acres  of the  Arctic  Ocean, a  vast  majority of  the                                                                    
     United  States  Arctic   offshore  water,  from  future                                                                    
     leasing  consideration, thus  preventing extraction  of                                                                    
     an estimated 27,000,000,000 barrels of oil; and                                                                            
          WHEREAS the Alaska Congressional delegation                                                                         
     decried the executive action; and"                                                                                         
                                                                                                                                
     Page 3, lines 27 - 28:                                                                                                     
          Delete "President Barack Obama's recent action to                                                                     
     withdraw millions of acres of land in the Arctic from                                                                      
     new offshore oil and gas drilling"                                                                                         
          Insert "the executive action"                                                                                         
                                                                                                                                
REPRESENTATIVE EDGMON objected for the purpose of discussion.                                                                   
                                                                                                                                
REPRESENTATIVE TALERICO stated that  Amendment 1 provided clarity                                                               
as to  the actual resource  that would  be available in  the area                                                               
addressed in  HJR 5.  He  referred to the U.S.  Geological Survey                                                               
(USGS) map in the committee  packet, which shows estimates of the                                                               
resource  that would  be  available in  the  central North  Slope                                                               
area, area 1002,  the Beaufort Sea, and the Chukchi  Sea, if they                                                               
were  open  to exploration  and  development.   He  asserted  the                                                               
information on  the map gives  a clear indication of  what Alaska                                                               
would be pursuing with HJR 5.                                                                                                   
                                                                                                                                
REPRESENTATIVE  EDGMON  removed  his objection  to  Amendment  1.                                                               
There being no further objection, Amendment 1 was adopted.                                                                      
                                                                                                                                
11:36:47 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE TALERICO moved to  adopt Amendment 2, [labeled 30-                                                               
LS0314\D.3, Nauman, 1/24/17], which read as follows:                                                                            
                                                                                                                                
     Page 2, following line 4:                                                                                                  
     Insert new material to read:                                                                                               
          "WHEREAS, in 1998, the United States Geological                                                                     
       Survey estimated the central North Slope and 1002                                                                        
    study    area   combined    could    contain   up    to                                                                     
     46,000,000,000,000 cubic feet of natural gas; and"                                                                         
                                                                                                                                
REPRESENTATIVE EDGMON objected for the purpose of discussion.                                                                   
                                                                                                                                
REPRESENTATIVE TALERICO  said Amendment 2 provides  the committee                                                               
with  a  very  clear  estimate  of the  resource  that  would  be                                                               
available.    He mentioned  that  the  legislature has  had  many                                                               
discussions  about the  resources  available "up  north" and  the                                                               
development of  new infrastructure  to move gas  for Alaska.   He                                                               
stated that  he was  surprised to see  the combined  estimate for                                                               
the central  North Slope area  and the 1002  study area to  be 46                                                               
trillion cubic feet  of natural gas.  He  stressed the importance                                                               
of  the estimates  "for the  people  we're going  to provide  the                                                               
resolution to, so  they have very good information  to base their                                                               
decisions on."                                                                                                                  
                                                                                                                                
REPRESENTATIVE EDGMON removed his objection to Amendment 2.                                                                     
There being no further objection, Amendment 2 was adopted.                                                                      
                                                                                                                                
11:39:48 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE TUCK moved to report HJR 5, as amended, out of                                                                   
committee with individual recommendations and the accompanying                                                                  
fiscal notes.                                                                                                                   
                                                                                                                                
11:40:18 AM                                                                                                                   
                                                                                                                                
The committee took an at-ease from 11:40 a.m. to 11:41 a.m.                                                                     
                                                                                                                                
11:41:02 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE TUCK withdrew his motion to report HJR 5, as                                                                     
amended, out of committee with individual recommendations and                                                                   
the accompanying fiscal notes.                                                                                                  
                                                                                                                                
11:41:34 AM                                                                                                                   
                                                                                                                                
The committee took a brief at-ease at 11:41 a.m.                                                                                
                                                                                                                                
11:41:47 AM                                                                                                                   
                                                                                                                                
CHAIR WESTLAKE opened public testimony on HJR 5.                                                                                
                                                                                                                                
11:42:38 AM                                                                                                                   
                                                                                                                                
LOIS EPSTEIN, Arctic Program Director, The Wilderness Society,                                                                  
paraphrased from the following written testimony [original                                                                      
punctuation provided]:                                                                                                          
                                                                                                                                
     Thank  you  to  Chairman   Westlake  and  to  committee                                                                    
     members for  this opportunity to  testify today  on HJR                                                                    
     5.  My  name  is  Lois  Epstein and  I  am  a  licensed                                                                    
     engineer and have lived in  Alaska since 2001. I am the                                                                    
     Arctic Program Director for The Wilderness Society.                                                                        
                                                                                                                                
     When  I  have  given  talks  that  include  the  Arctic                                                                    
     Refuge, I emphasize that the  Refuge's coastal plain is                                                                    
     the "top  of the  pyramid" when  it comes  to sensitive                                                                    
     ecological areas. The coastal  plain, also known as the                                                                    
     1002 area,  is a  national treasure  and home  to polar                                                                    
     bears,  wolves,  migratory   birds  and  the  Porcupine                                                                    
     Caribou  Herd,   which  consists  of   nearly  200,000,                                                                    
     currently-healthy  animals.   I  say  currently-healthy                                                                    
     because  Arctic  conditions  are changing  with  global                                                                    
     warming, and it  is difficult to know if  the herd will                                                                    
     remain  as  healthy  in upcoming  years.  Notably,  the                                                                    
     Alaska  Dispatch News  reported  in  November that  the                                                                    
     Central Arctic Herd near Prudhoe  Bay is down to 22,000                                                                    
     individuals from  70,000, however the reasons  for that                                                                    
     decline are unclear. According to  the ADN, the size of                                                                    
     the  herd  has   "plummeted,  leaving  biologists  with                                                                    
     Alaska Department  of Fish and  Game concerned    and a                                                                    
     bit  flummoxed.  Since  it peaked  in  2010  at  70,000                                                                    
     animals,  the  size  of the  Central  Arctic  herd  has                                                                    
     fallen 69 percent    to 50,000 in 2013  and 22,000 this                                                                    
     year.  The  herd often  calves  in  and around  Prudhoe                                                                    
     Bay.                                                                                                                       
                                                                                                                                
     My organization focuses on balance  which means that we                                                                    
     strive to  prevent oil and  gas operations in  the most                                                                    
     sensitive  areas but  we are  comfortable with  oil and                                                                    
     gas development  if it is  done well in  less sensitive                                                                    
     areas  such as  on state  lands. To  allow a  "free for                                                                    
     all" by opening  all areas   no matter  how sensitive                                                                      
     to oil  and gas  development, which  appears to  be the                                                                    
     new Trump  administration approach, does  not represent                                                                    
     balance.                                                                                                                   
                                                                                                                                
     As  an engineer  and a  member of  an Alyeska  Pipeline                                                                    
     advisory  committee,  I  am   very  familiar  with  the                                                                    
     [Trans-Alaska   Pipeline  System]   (TAPS).  Based   on                                                                    
     engineering  and   economic  studies  that   have  been                                                                    
     presented to  state courts  during litigation,  TAPS is                                                                    
     able to  continue operating  for the  next half-century                                                                    
     just   with  known   reserves,   i.e.,  not   including                                                                    
     additional  oil from  the Arctic  Refuge. Recent  major                                                                    
     oil finds  by Armstrong at Nanushuk  and ConocoPhillips                                                                    
     at Willow in the Greater  Mooses Tooth Unit will extend                                                                    
     TAPS'  lifetime even  longer. These  finds each  may be                                                                    
     more than 100,000 barrels per day.                                                                                         
                                                                                                                                
     One difference between HJR  5 from previous resolutions                                                                    
     passed  by  the state  legislature  is  that, with  the                                                                    
     Trump  administration, we  might have  an Environmental                                                                    
     Protection  Agency   which  is  greatly   scaled  back.                                                                    
     Currently EPA provides grants  to Alaska [Department of                                                                    
     Environmental Conservation] (DEC),  including for spill                                                                    
     prevention  and response,  and those  grants have  been                                                                    
     halted as of this week.  I don't believe anyone in this                                                                    
     room supports  moving forward  with development  in the                                                                    
     Arctic Refuge without  environmental controls, but that                                                                    
     is what we  may have with the  Trump administration and                                                                    
     a state  without sufficient revenues.  As we  all know,                                                                    
     responding  to  spills  on  the  North  Slope  is  very                                                                    
     expensive.                                                                                                                 
                                                                                                                                
     Because of  the sensitivity  of the coastal  plain, the                                                                    
     lack of need for this  oil to maintain TAPS operations,                                                                    
     the Trump  administration's hostility  to environmental                                                                    
     concerns  which could  result in  serious impacts  from                                                                    
     major  spills including  for subsistence,  I ask  those                                                                    
     legislators  who  have   previously  supported  similar                                                                    
     resolutions  to  reconsider  their support.  For  those                                                                    
     legislators voting  on such a resolution  for the first                                                                    
     time, I urge you not to support HJR 5.                                                                                     
                                                                                                                                
                                                                                                                                
11:47:07 AM                                                                                                                   
                                                                                                                                
KATIE LLOYD said  she understands the need  for job opportunities                                                               
in Alaska but  also believes that "we have to  be balanced."  She                                                               
asserted that  with unrenewable resources come  unrenewable jobs,                                                               
and  renewable  jobs  and  renewable energy  are  the  future  of                                                               
Alaska.   She stated her  family enjoys hunting and  fishing, and                                                               
offered that  caribou, not  just oil,  is an  important resource.                                                               
She  opined that  the  coastal wildlife  refuge  is precious  and                                                               
fragile, and urged the committee not to support HJR 5.                                                                          
                                                                                                                                
11:49:23 AM                                                                                                                   
                                                                                                                                
RONALD YARNELL, All  About Adventure, said he  has led wilderness                                                               
trips in the  Arctic National Wildlife Refuge  (ANWR) since 1976,                                                               
taking  hundreds of  people from  all over  the world  across the                                                               
ANWR coastal plain.  He attested  that ANWR is a unique, national                                                               
treasure and  questioned the  wisdom of opening  the area  to oil                                                               
development with today's  glut of oil on the market.   He alleged                                                               
that there  are other far  less controversial areas,  which offer                                                               
excellent prospects  for oil development,  such as the  Smith Bay                                                               
area west of  Prudhoe Bay.  He mentioned the  variety of wildlife                                                               
in ANWR:   tens of thousands  of caribou crossing the  Hula Hula,                                                               
Okpilik, Jago,  and Aichilik Rivers; bands  of muskoxen wintering                                                               
on  the plains;  wolves; grizzly  bears; polar  bears; and  other                                                               
predators that follow  the caribou herds.  He  claimed that float                                                               
trips  across  the  coastal  plain will  be  bisected  by  roads,                                                               
pipelines,  ports, and  other industrial  development.   He urged                                                               
the committee not to support HJR 5.                                                                                             
                                                                                                                                
11:52:09 AM                                                                                                                   
                                                                                                                                
MR. YARNELL,  in response to Representative  Josephson, confirmed                                                               
that he was based out of  Fairbanks and has been leading trips in                                                               
ANWR since 1976.   He said the name of his  company is "All About                                                               
Adventure."   He  added  that  he sold  the  Alaska  part of  his                                                               
business to Arctic  Wild in 1999 but continues to  lead trips for                                                               
Arctic Wild.                                                                                                                    
                                                                                                                                
11:53:06 AM                                                                                                                   
                                                                                                                                
LYNN LARSON  said she is  a retired secondary school  teacher and                                                               
an artist whose subject matter is  ANWR.  She asked the committee                                                               
not to  support any legislation that  opens the 1002 area  to oil                                                               
and gas  development.  She  related that  in 1989 she  rafted the                                                               
Hula Hula River in  ANWR and the 1002 area.   Although she had no                                                               
preconceived  notions  beforehand  about  the  area,  whether  it                                                               
should  be protected  or developed,  her experience  made her  "a                                                               
passionate  protector of  the Arctic  Refuge,  in particular  the                                                               
coastal  plain."   She  claimed that  the image  she  had of  the                                                               
coastal  plain  from  the  [Atlantic  Richfield  Company]  (ARCO)                                                               
brochures was  of a gray,  ugly, barren wasteland when,  in fact,                                                               
"it  is stunningly  beautiful."   She stated  that she  has spent                                                               
over 140  days in ANWR,  including 30  in the 1002  area, hiking,                                                               
rafting,  painting, and  experiencing "one  of the  planet's last                                                               
great  wildernesses."   She  lamented  that  many of  the  people                                                               
making  decisions regarding  the 1002  area have  not spent  time                                                               
there and, from her experience,  most people who spend time there                                                               
want the  area protected.   She  added that the  1002 area  is an                                                               
important calving area for the Porcupine Caribou Herd.                                                                          
                                                                                                                                
REPRESENTATIVE JOSEPHSON asked if  there has been any discussion,                                                               
among  those opposing  the development  of  ANWR, about  allowing                                                               
exploration to  define "what's  there."   He asked,  secondly, if                                                               
the testifier  was aware  of any  discussion of  compromise, that                                                               
is, after the  resource is developed, the area  might become part                                                               
of the wilderness south of ANWR.                                                                                                
                                                                                                                                
MS.  LARSON responded  that  in her  opinion,  "a compromise  has                                                               
already been  made."  She reiterated  that she would like  to see                                                               
the 1002 area remain wilderness.                                                                                                
                                                                                                                                
11:57:50 AM                                                                                                                   
                                                                                                                                
MIKE  STERLING testified  to ask  the committee  to oppose  HJR 5                                                               
because  of the  value of  ANWR  as wilderness,  which should  be                                                               
protected for future generations.                                                                                               
                                                                                                                                
11:58:28 AM                                                                                                                   
                                                                                                                                
HEATHER MIRCZAK  said she is  a high  school teacher who  came to                                                               
Alaska in 2014.  She claimed  that the Arctic is what brought her                                                               
to Alaska  and keeps  her coming  back.   She maintained  she was                                                               
"absolutely blown away" to experience  a place so wild, open, and                                                               
untouched.   She  offered that  the Arctic,  as wilderness,  is a                                                               
unique and amazing resource that is  as valuable as oil; can't be                                                               
replaced; and brings people and jobs to the state.                                                                              
                                                                                                                                
12:00:50 PM                                                                                                                   
                                                                                                                                
BERNADETTE  DEMIENTIEFF,  Executive Director,  Gwich'in  Steering                                                               
Committee, said she represents 8,000-plus  Gwich'in and asked the                                                               
committee to  protect ANWR  and the  Gwich'in way  of life.   She                                                               
stated that the  ANWR coastal plain is a special  place and asked                                                               
the committee to  "protect the heart of Alaska."   She maintained                                                               
the Porcupine  Caribou Herd is the  last known wild herd  that is                                                               
still  healthy in  numbers;  all the  other  herds are  declining                                                               
rapidly.   She alleged that  drilling in the Arctic  refuge would                                                               
harm  the Gwich'in,  and "we  deserve  to protect  what keeps  us                                                               
alive and well."                                                                                                                
                                                                                                                                
12:02:38 PM                                                                                                                   
                                                                                                                                
PRINCESS LUCAJ testified that the  [Gwich'in] name for ANWR means                                                               
"the  sacred  place where  life  begins."     She  described  the                                                               
"balance of  life" in ANWR  and charged the committee  members to                                                               
"make decisions  that are  sound, that are  going to  ensure that                                                               
these  critical,   last  remaining,  intact  ecosystems   on  our                                                               
beautiful  mother  earth  remain  protected."   She  opined  that                                                               
people are going to have to  return to simpler ways of living and                                                               
being.    She  maintained  that  as  we  use  resources  for  our                                                               
survival,  we  have a  responsibility  to  ensure clean  air  and                                                               
water.                                                                                                                          
                                                                                                                                
12:04:54 PM                                                                                                                   
                                                                                                                                
JESSICA  GIRARD,  Northern  Alaska Environmental  Center  (NAEC),                                                               
proclaimed that NAEC  stands in solidarity with  the Gwich'in and                                                               
their  request  for  protection  of  "this  sacred  area."    She                                                               
reminded the committee  of the damages that are  occurring to the                                                               
Arctic at  a dramatic rate as  a result of climate  change, which                                                               
she contended is  caused by oil and  gas production, development,                                                               
and use.   She asserted that by the time  a pipeline is competed,                                                               
connected to  the TAPS, and moving  oil to market, "we  should be                                                               
off fossil fuels."   She added, "We need to  justly transition to                                                               
renewable energy."  She opined, "We,  as a state and as a nation,                                                               
have taken enough  away from indigenous cultures, and  it is time                                                               
that we leave things so that  they can remain intact."  She added                                                               
her belief  that the Porcupine  Caribou Herd keep the  culture of                                                               
the Gwich'in people alive.                                                                                                      
                                                                                                                                
12:06:42 PM                                                                                                                   
                                                                                                                                
SHERRY LEWIS,  President, Arctic Audubon Society,  said that ANWR                                                               
has been  of special interest  to the Arctic Audubon  Society for                                                               
many  years  because of  the  large  migration  of birds  to  the                                                               
coastal  plain to  have their  young.   She stated  that ANWR  is                                                               
special and unique.  She  mentioned the diminishing wilderness in                                                               
the  Lower  48  and  offered  that ANWR  is  a  complete,  intact                                                               
ecosystem, which needs to be preserved.                                                                                         
                                                                                                                                
12:08:21 PM                                                                                                                   
                                                                                                                                
ANNE DAERPINGHAUS testified  that she is a nurse,  who is married                                                               
to a geologist,  and she has lived in Fairbanks  since 1993.  She                                                               
stated she is looking to  the committee for vision and leadership                                                               
in  moving   away  from   a  fossil   fuel-based  economy   to  a                                                               
sustainable,  diversified economy  for Alaska.   She  opined that                                                               
ANWR is  a huge draw for  tourism and a treasure  "for all people                                                               
of all times."   She urged the committee to  "take the long view"                                                               
and act  now to value,  protect, and preserve  this irreplaceable                                                               
resource.                                                                                                                       
                                                                                                                                
12:09:18 PM                                                                                                                   
                                                                                                                                
MIKE MUSICK said  that he has been a resident  of Interior Alaska                                                               
since  before  statehood.    He   offered  his  concern  for  his                                                               
grandchildren and their children, and  stated his belief that "it                                                               
is not  possible to  continue to  burn fossil  fuels and  leave a                                                               
habitable  planet."   He  emphasized the  need  to transition  to                                                               
renewables,  conservation,   and  efficiency,  and   cited  other                                                               
countries  that have  done  so  successfully.   He  said that  in                                                               
regard to the  two amendments brought to committee,  there was no                                                               
mention of the  Kaktovik Inupiat Corporation (KIC)  data that has                                                               
already been  gathered on oil  resources in ANWR, and  he opined,                                                               
"I don't think we need to drill more."                                                                                          
                                                                                                                                
12:11:14 PM                                                                                                                   
                                                                                                                                
PAMELA MILLER  identified herself as  a former biologist  who has                                                               
spent time  in ANWR, both  as a  wilderness guide and  as someone                                                               
who has evaluated  the impacts of oil development  at Prudhoe Bay                                                               
and  monitored seismic  exploration  in the  ANWR coastal  plain.                                                               
She said she  is concerned about the impacts  of oil development,                                                               
especially seismic impacts.   She expressed a need  for Alaska to                                                               
diversify away  from fossil fuels  and emphasized  the importance                                                               
of preserving  the wilderness, Alaska  Native cultural  ties, and                                                               
Native subsistence.   She  said there would  be great  impacts to                                                               
the tundra  of the  refuge and unknown  impacts to  its wildlife,                                                               
"without any great results."  She  added that she would provide a                                                               
2,000-acre map  that shows more  realistically the extent  of the                                                               
oil and gas development areas.                                                                                                  
                                                                                                                                
12:13:43 PM                                                                                                                   
                                                                                                                                
NADIA BACON  testified that she  has lived in Fairbanks  for over                                                               
18 years.   She compared Alaska to Central  Europe, her homeland,                                                               
and stated that although tourism  and the beauty of landscape are                                                               
important in Central Europe, there  is no wilderness area left in                                                               
Central Europe like northern Alaska.   She claimed that ANWR is a                                                               
valuable resource.   She urged the committee to  take a long-term                                                               
outlook, not just for the next  five years but the next 20 years,                                                               
and  consider what  the destruction  of  open, natural  landscape                                                               
would mean.                                                                                                                     
                                                                                                                                
12:16:42 PM                                                                                                                   
                                                                                                                                
ELLEN  MITCHELL  identified herself  as  a  University of  Alaska                                                               
Fairbanks  (UAF)  student,  born  and  raised  in  Alaska.    She                                                               
declared  her appreciation  of trees,  which provide  her oxygen,                                                               
and  the  state  of  Alaska,  which  provides  her  food,  water,                                                               
shelter,  and entertainment.    She claimed  that  her desire  to                                                               
preserve ANWR  was a  selfish interest,  but also  a conservative                                                               
interest.   She  defined conservative  as conserving  the current                                                               
values, laws,  and environment, and maintained  that closing ANWR                                                               
to  drilling is  in keeping  with conserving  those values.   She                                                               
conceded  the importance  of  maintaining  Alaska's economy,  but                                                               
contended that oil  and gas are non-renewable  resources and will                                                               
be depleted  eventually.  She  offered her support  of developing                                                               
sustainable resources, which would provide  just as many jobs and                                                               
energy as oil and gas.   She expressed her concern for the impact                                                               
of climate change and of oil and gas depletion on Alaskans.                                                                     
                                                                                                                                
12:18:45 PM                                                                                                                   
                                                                                                                                
ENEI  BEGAYE PETER,  Native Movement,  said that  she is  Navajo,                                                               
married  into  the  Gwich'in  Nation, and  the  mother  of  three                                                               
daughters.   She urged the committee  to oppose HJR 5  to protect                                                               
ANWR, because  it is  a sacred  place; it  is calving  ground for                                                               
caribou that  sustains the Gwich'in;  and climate  change demands                                                               
transition away  from fossil fuel  extraction.  She  claimed that                                                               
oil  and gas  drilling impacts  not  only the  climate, but  "our                                                               
land, our  water, and  our future."   She  added that  the fiscal                                                               
budget for the  state demands that Alaska transition  away from a                                                               
fossil fuel  economy, and  she emphasized  the need  to diversify                                                               
for the good of all Alaskans.                                                                                                   
                                                                                                                                
12:21:20 PM                                                                                                                   
                                                                                                                                
MISTY  NICKOLI maintained  that [TAPS]  does not  employ as  many                                                               
Alaskans as it  does out-of-state workers, so it  is not bringing                                                               
as much money back to Alaska's  economy as it should.  She stated                                                               
that  oil [extraction]  is not  a sustainable  industry but  is a                                                               
shorted-sighted  solution to  the  current budget  deficit.   She                                                               
opined  it would  lead to  long-term budget  hardships caused  by                                                               
adverse environmental impacts and  the potential reduction of the                                                               
sustainable industry - tourism - when oil spills occur.                                                                         
                                                                                                                                
12:23:20 PM                                                                                                                   
                                                                                                                                
ODIN  MILLER testified  that  he  is a  graduate  student at  UAF                                                               
studying  cultural  anthropology.    He urged  the  committee  to                                                               
consider the impact  of oil development on  the Porcupine Caribou                                                               
Herd.    He  claimed  that  reindeer and  caribou  have  been  an                                                               
invaluable  subsistence  and  cultural  resource  throughout  the                                                               
history of  human habitation  of the  Arctic and  subarctic; many                                                               
northern Alaska  communities still  rely on them.   He  said that                                                               
caribou are  already experiencing  stress due to  climate change,                                                               
and many  herds are  declining.  He  also mentioned  reports from                                                               
the Northwest  Arctic Borough  (NAB) residents  regarding impacts                                                               
of the road to  the Red Dog Mine on the  migration pattern of the                                                               
Western Arctic Herd.   He asked the committee to  "please look at                                                               
our  state's long-term  economic picture  and not  just the  next                                                               
decade  or two."    He  went on  to  say,  if protected,  caribou                                                               
provide primary wealth  for Alaska in perpetuity.   He speculated                                                               
that the oil  will be depleted, and he offered  his hope that the                                                               
state's recent economic troubles  "have taught us something about                                                               
the  long-term  shortcomings  of pursuing  a  boom-bust  economic                                                               
strategy."                                                                                                                      
                                                                                                                                
12:26:04 PM                                                                                                                   
                                                                                                                                
ROSE  OHARA stated  that she  is a  special education  elementary                                                               
school teacher.   She offered  her opposition to opening  ANWR to                                                               
development  in  solidarity with  the  Native  population of  the                                                               
region because  of the effects  it would have on  their cultural,                                                               
spiritual, and  sustainable resources.   She added that  she also                                                               
opposes HJR  5 because of the  potential impact it would  have on                                                               
an  irreplaceable, wild  place -  one that  is important  for all                                                               
Alaskans and the health of the entire planet.                                                                                   
                                                                                                                                
12:26:52 PM                                                                                                                   
                                                                                                                                
LOIS  BARGER, Northern  Alaska  Environmental  Center, said  that                                                               
becoming a parent  has "magnified" her opposition  to drilling in                                                               
the 1002 area.   She urged the committee to  "take the long-range                                                               
view"  and consider  what Alaska's  environment and  economy will                                                               
look like  in 40  years.   She opined  that "continuing  with gas                                                               
development, especially  in [the] 1002 area,  is looking backward                                                               
and not forward."                                                                                                               
                                                                                                                                
12:28:15 PM                                                                                                                   
                                                                                                                                
MARTHA   RAYNOLDS  identified   herself   as   a  biologist   who                                                               
specializes  in Arctic  ecosystems.   She  said  she studied  the                                                               
seismic exploration  in ANWR in  the mid-'80s and  contended that                                                               
seismic  exploration today,  which is  more intense  than in  the                                                               
'80s, would  definitely have  impacts on  the vegetation  of ANWR                                                               
and specifically  on the coastal  plain where the  caribou calve.                                                               
She  maintained that  HJR  5  would be  symbolic,  since the  oil                                                               
industry is currently focused on a  new find west of the Colville                                                               
River  in the  National Petroleum  Reserve, Alaska  (NPRA).   She                                                               
added that  the attempt to open  ANWR gives a poor  impression of                                                               
Alaska in  light of new  finds and the  lack of support  from the                                                               
Lower 48.                                                                                                                       
                                                                                                                                
12:30:37 PM                                                                                                                   
                                                                                                                                
ALEXANDER  GUDSCHINSKY  expressed  his  concerns:   it  would  be                                                               
difficult to  limit oil drilling in  ANWR to the very  small area                                                               
proposed; there  are large  oil finds  in uncontested  lands; and                                                               
Alaska  natural gas  is not  competitive in  today's market.   He                                                               
claimed oil should  be extracted from land that  is available and                                                               
not "in conflict" and ANWR is irreplaceable.                                                                                    
                                                                                                                                
12:32:08 PM                                                                                                                   
                                                                                                                                
BARBARA JACKSON  said that as  a resident  of Alaska for  over 35                                                               
years, her experience  kayaking in ANWR has "helped  to define me                                                               
as the  Alaskan that I  am."   She maintained that  regardless of                                                               
the wealth and jobs provided  by resource development, wilderness                                                               
is "another  type of  wealth" that sustains  Alaskans.   For that                                                               
reason, she concluded, ANWR must be protected, not developed.                                                                   
                                                                                                                                
12:33:44 PM                                                                                                                   
                                                                                                                                
BERNIE HOFFMAN  reported that she  does not  support HJR 5.   She                                                               
maintained  that  climate  change  is  "real"  and  Alaskans  are                                                               
experiencing its impact.   She offered her  support of developing                                                               
renewable  energy  resources  and  not continuing  "on  the  path                                                               
toward the precipice."   She stated Alaskans value  clean air and                                                               
water and "places to go for spirituality."                                                                                      
                                                                                                                                
12:35:32 PM                                                                                                                   
                                                                                                                                
EDMUND  GEINS  testified  that he  worked  in  the  environmental                                                               
consulting business and is familiar  with oil and gas development                                                               
on the  North Slope.   He  offered his belief  that with  the new                                                               
[federal]   administration    and   the   threat    of   weakened                                                               
environmental  regulations, there  is no  guarantee that  oil and                                                               
gas can  be developed environmentally  responsibly.   He declared                                                               
the  ANWR  1002  area  to  be one  of  unparalleled  natural  and                                                               
cultural resources.  He characterized  Alaska's dependency on oil                                                               
and gas development as "an  addiction," which needs to be changed                                                               
through diversification.   He said  the cyclical "boom  and bust"                                                               
that Alaska  experiences is untenable  for the future  of Alaska.                                                               
He urged  the legislature to  oppose any oil and  gas development                                                               
in ANWR  as, in his opinion,  the risks and costs  are too great.                                                               
He added that "change" is going  to come to Alaska and the world,                                                               
and the  state now has an  opportunity to make those  changes the                                                               
easy way, through actions like opposing HJR 5.                                                                                  
                                                                                                                                
12:37:31 PM                                                                                                                   
                                                                                                                                
JENNIFER NU  related that a  15-day kayak trip through  ANWR gave                                                               
her the opportunity  to experience one of the  world's last great                                                               
wilderness areas.   She claimed that no other  area is comparable                                                               
for diversity, clean  water, and wildlife.  She  said that ANWR's                                                               
intact  ecosystems  provide  clean water,  vegetation,  and  food                                                               
security  to local  communities,  as well  as  help mitigate  the                                                               
effects of a  changing climate.  She added that  the land in ANWR                                                               
is meant to  be a resource for future generations,  and the value                                                               
and economic potential of the  above-ground resources is unknown.                                                               
She mentioned  ANWR lands  are indigenous  sacred places  and are                                                               
important  for the  long-term well-being  of the  Gwich'in.   She                                                               
advocated for Alaska to pursue  new, innovative ways to invest in                                                               
the  economy and  touted the  protection of  ANWR as  a long-term                                                               
investment in Alaska's future.                                                                                                  
                                                                                                                                
12:39:42 PM                                                                                                                   
                                                                                                                                
ROBERT THOMPSON mentioned that Kaktovik  borders ANWR.  He stated                                                               
that  the  area  being  discussed for  oil  and  gas  development                                                               
represents 5  percent or less  of the  land available to  the oil                                                               
industry in the North Slope,  and there are other more productive                                                               
areas to  consider.  He  maintained that he does  his subsistence                                                               
hunting in ANWR and does not know  if he will be able to continue                                                               
if it is  opened to development.  He relayed  his concern for the                                                               
loss of muskox due to climate  change.  He reminded the committee                                                               
that  ANWR is  a  wildlife refuge  and opined  that  this last  5                                                               
percent of North Slope land should be protected.                                                                                
                                                                                                                                
REPRESENTATIVE  JOSEPHSON asked  if residents  of Arctic  Village                                                               
generally  oppose  Arctic  drilling  and  residents  of  Kaktovik                                                               
generally support it.                                                                                                           
                                                                                                                                
MR.  THOMPSON  responded  there  have been  several  polls.    He                                                               
mentioned  a  petition with  70  signatures  against drilling  in                                                               
ANWR; a  poll which Senator  Lisa Murkowski cited in  Congress to                                                               
support  drilling,  but  Mr.  Thompson   didn't  feel  people  in                                                               
opposition had  been consulted; a  poll by Arctic  Slope Regional                                                               
Corporation  (ASRC),  a   for-profit  corporation  with  business                                                               
affiliations with the oil industry;  and a poll by Arctic Voices,                                                               
a nonprofit human rights/environmental organization.                                                                            
                                                                                                                                
12:45:13 PM                                                                                                                   
                                                                                                                                
RUTH  WOOD   asked  the  committee   to  introduce   a  committee                                                               
substitute that  opposes drilling  in the 1002  area.   She asked                                                               
that the  amendments to HJR 5,  citing 46 trillion cubic  feet of                                                               
natural gas  and 27 billion  barrels of  oil, not be  released to                                                               
the public  unless the source  of the information  is identified.                                                               
She referred  to language  in HJR  5, page  2, lines  8-11, which                                                               
states  the  U.S. depends  on  oil  produced by  hostile  foreign                                                               
nations,  and reminded  the  committee  that the  U.S.  is a  net                                                               
exporter  of oil  and is  not dependent  on any  foreign nations.                                                               
She referred  to language in  HJR 5, page  3, line 6,  which says                                                               
the coastal  plain makes  up less  than 8 percent  of ANWR.   She                                                               
conceded  that  was true,  since  the  area includes  the  Brooks                                                               
Range, but offered  her belief that this is the  last area of the                                                               
coast of Alaska that is not  open for drilling and asked that HJR                                                               
5 reflect that information.   She said HJR 5 references President                                                               
Barak Obama withdrawing  land from offshore oil  and gas drilling                                                               
but  makes no  mention of  the additional  leases that  have been                                                               
provided in  NPRA.  She  stated that she suspects  HJR 5 to  be a                                                               
"retread" of  a previous resolution  and asserted that  it should                                                               
not  be passed  with  incorrect or  unsubstantiated  facts.   She                                                               
recommended HJR 5  and the amendments be  withdrawn, updated with                                                               
the correct information and supporting  evidence, or "better yet"                                                               
withdrawn in favor  of a resolution stating the  people of Alaska                                                               
do not want oil and gas development in the refuge.                                                                              
                                                                                                                                
REPRESENTATIVE JOSEPHSON  confirmed that President Obama  did set                                                               
aside parts  of the area  near Teshekpuk  Lake and NPRA,  and the                                                               
implication  that  President  Obama  was  anti-oil  was,  in  his                                                               
opinion,  dubious.    He  also   confirmed  President  Obama  was                                                               
concerned with off-shore drilling.   He stated that he shared Ms.                                                               
Wood's concerns  regarding off-shore  drilling and  reported that                                                               
he has  raised that  concern in previous  resolutions and  on the                                                               
House floor  multiple times.   He confirmed  that HJR 5  is about                                                               
Arctic drilling and offered that  he respects Ms. Wood's position                                                               
on that.                                                                                                                        
                                                                                                                                
MS. WOOD opined,  "If you give one statement that  ... there's no                                                               
oil available, you  need to include statements that  there is oil                                                               
available."                                                                                                                     
                                                                                                                                
12:50:00 PM                                                                                                                   
                                                                                                                                
JOHN STRASENBURGH  said he has  recreated in ANWR many  times and                                                               
the  experiences  have  been  some  of  the  most  memorable  and                                                               
inspirational  of his  life.   He declared  it was  a magnificent                                                               
wilderness and the coastal plain,  particularly the 1002 area, is                                                               
integral to ANWR.   He reported that  the biological significance                                                               
of  the  1002  area  for  caribou and  other  wildlife  is  well-                                                               
documented  and readily  apparent.   He opined  that oil  and gas                                                               
exploration would  widely and significantly alter  the biological                                                               
and  ecological  processes  of  the  area  and  would  alter  the                                                               
wilderness experience  through helicopter noise and  scars on the                                                               
land.   He claimed that  the notion of development  being limited                                                               
to 2,000 acres  is a political ploy, since the  2,000 acres would                                                               
not  be   contiguous.    He   emphasized  that  the   impacts  of                                                               
development would  be significant, widespread,  and unacceptable,                                                               
and  he agreed  with Ms.  Wood's assessment  that the  resolution                                                               
should be accurate for legitimacy.                                                                                              
                                                                                                                                
12:53:11 PM                                                                                                                   
                                                                                                                                
RICHIE MUSICK, a  retired biology teacher, claimed  the 1002 land                                                               
to  be  a  special  and  unique intact  tundra  ecosystem.    She                                                               
mentioned that Canada has established  a national park across the                                                               
border from  ANWR to protect  its tundra ecosystem.   She advised                                                               
against  "selling"  the  area  for  short-term  profit,  as  most                                                               
countries  are trying  to  move away  from oil.    She urged  the                                                               
committee members to consider the  special properties of the 1002                                                               
land and to preserve it for the future.                                                                                         
                                                                                                                                
12:54:56 PM                                                                                                                   
                                                                                                                                
BYRON  CHARLES  testified  that  he  helped  build  the  original                                                               
pipeline in  Alaska.   He added that  the job  opportunities were                                                               
good for  him and many  others.   He relayed his  work experience                                                               
with  the veneer  plant in  Ketchikan  and said  that building  a                                                               
pipeline would create employment  opportunities for Alaskan youth                                                               
in skilled trade  jobs.  He added that he  only asks that federal                                                               
regulations, guidelines, and policies be respected.                                                                             
                                                                                                                                
12:58:11 PM                                                                                                                   
                                                                                                                                
SARAH   ERKMANN,  Alaska   Oil   and   Gas  Association   (AOGA),                                                               
paraphrased  from  the   following  written  testimony  [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
     My name is Sarah Erkmann, and I am the external                                                                            
     affairs manager for the Alaska Oil and Gas                                                                                 
     Association, commonly referred to as AOGA. AOGA is a                                                                       
     professional trade association whose mission is to                                                                         
     foster the long-term viability of the oil and gas                                                                          
     industry for the benefit of all Alaskans. Our members                                                                      
     have been exploring, developing, producing,                                                                                
     transporting, and refining Alaska's abundant natural                                                                       
     resources in the arctic for more than 40 years. AOGA                                                                       
     is proud of the industry's partnership with the people                                                                     
     of Alaska, providing revenue to the state, economic                                                                        
     opportunities, and infrastructure to the arctic                                                                            
     region.                                                                                                                    
                                                                                                                                
     AOGA supports HJR5 for the opportunity it brings for                                                                       
     all Alaskans, including economic opportunities.                                                                            
     Responsible development in the 1002 area would provide                                                                     
     an invaluable boost to America's energy security and                                                                       
     bring much-needed economic growth to Alaska, at a time                                                                     
     when we need it most. Our pipeline also desperately                                                                        
     needs the new oil ANWR could provide.                                                                                      
                                                                                                                                
     ANWR has incredible potential for oil and gas, more                                                                        
     than 10 billion barrels by some government estimates.                                                                      
     For reference, The Trans Alaska Pipeline has moved                                                                         
     just more than 17 billion barrels of oil since start                                                                       
     up, so the resource is truly massive.                                                                                      
                                                                                                                                
     A project the size and scope of ANWR would create                                                                          
     thousands of high-paying jobs for Alaskans. With an                                                                        
     industry-wide Alaska hire rate of about 70 percent,                                                                        
     these family-sustaining job[s] would go mostly to                                                                          
     Alaska residents, who would spend their wages in our                                                                       
     local communities, boosting both the State and local                                                                       
     economies.                                                                                                                 
                                                                                                                                
     In addition, with the recent development of the Point                                                                      
     Thomson field just to the west of ANWR, ANWR is closer                                                                     
     than ever to existing infrastructure, and could feed                                                                       
     into TAPS with a much smaller footprint than in years                                                                      
     past.                                                                                                                      
                                                                                                                                
     Last but not least,  polls of Alaskans' attitudes about                                                                    
     ANWR  continually show  the vast  majority of  Alaskans                                                                    
     support opening a small portion  of ANWR to oil and gas                                                                    
     development:  70 percent  of Alaskans  support it,  and                                                                    
     have  for  decades.  We thank  you  for  introducing  a                                                                    
     resolution  that reflects  most Alaskans'  desires, and                                                                    
     offer our whole-hearted support.                                                                                           
                                                                                                                                
1:01:01 PM                                                                                                                    
                                                                                                                                
MARY SHIELDS  testified that Alaskans  are the caretakers  of the                                                               
valuable northeast corner of the  state, and she opined that even                                                               
though the area is valuable for  the oil, it is more valuable for                                                               
the integrity  of ANWR.   She cited the  unrest in the  world and                                                               
offered  the  importance  of  a  quiet  place.    She  asked  the                                                               
committee members  to protect  ANWR by  not allowing  drilling in                                                               
the  1002 area  and  to  preserve ANWR  as  a  refuge for  future                                                               
generations.                                                                                                                    
                                                                                                                                
1:02:37 PM                                                                                                                    
                                                                                                                                
CHAIR WESTLAKE closed public testimony on HJR 5.                                                                                
                                                                                                                                
1:03:37 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  TUCK moved  to report  HJR5, as  amended, out  of                                                               
committee  with individual  recommendations and  the accompanying                                                               
fiscal notes.                                                                                                                   
                                                                                                                                
1:03:59 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 1:03 p.m. to 1:04 p.m.                                                                       
                                                                                                                                
1:04:10 PM                                                                                                                    
                                                                                                                                
There being no objection, CSHJR 5(AET) was reported out of the                                                                  
House Special Committee on Arctic Policy, Economic Development,                                                                 
and Tourism.                                                                                                                    

Document Name Date/Time Subjects
HJR 5 Amendment D.2 Talerico.pdf HAET 1/26/2017 11:30:00 AM
HJR 5
HJR 5 Amendment D.3 Talerico.pdf HAET 1/26/2017 11:30:00 AM
HJR 5