Legislature(1993 - 1994)

05/08/1994 10:35 AM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
  SENATE BILL NO. 310                                                          
                                                                               
       "An Act relating  to the management  and sale of  state                 
       timber; relating  to the  classification of state  land                 
       that  would  preclude  harvesting  of  timber or  would                 
       designate harvesting of timber  as an incompatible use;                 
                                                                               
                                1                                              
                                                                               
                                                                               
       relating  to   the  administration   of  forest   land,                 
       proposals  for state forest,  and the  determination of                 
       sustained yield; and providing for an effective date."                  
                                                                               
  Representative Brown  questioned whether the 24  hour public                 
  notice had been met on SB 310.                                               
                                                                               
  Representative Brown  provided  members  with  AMENDMENT  47                 
  (copy  on file).   She  explained  that the  amendment would                 
  insert "multiple" on page 10, line 29.                                       
                                                                               
  RICK Solie, STAFF,  SENATOR FRANK stated that  Senator Frank                 
  did not object to Amendment 47.                                              
                                                                               
  Representative Brown  MOVED to  ADOPT AMENDMENT  47.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative  Brown  provided  members with  AMENDMENT  48                 
  (copy on file).  She explained  that the amendment would add                 
  a new  requirement that  "provisions guaranteeing  necessary                 
  public access for uses described in (d)(1)  of this section"                 
  would  have  to be  included  in a  Forestry  Management Act                 
  agreement (FMA).                                                             
                                                                               
  Mr. Solie emphasized that page 7,  line 29 contains language                 
  that  covers  provisions  for existing  public  access.   He                 
  suggested that language on page 7, line 29 be deleted if the                 
  amendment is adopted, to prevent redundancy.                                 
                                                                               
  Representative Brown MOVED  to AMEND Amendment 48  to delete                 
  subsection (n) page 7,  line 29.  There being  NO OBJECTION,                 
  it was so ordered.                                                           
                                                                               
  Representative Brown MOVED to ADOPT AMENDMENT 48 as amended.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Representative  Brown  provided  members  with AMENDMENT  49                 
  (copy  on file).   She  explained that  the amendment  would                 
  delete "at  the  discretion of  the state."   She  expressed                 
  concern that the language would not provide for fair  market                 
  value of the dispositions of FMA's.                                          
                                                                               
  Mr. Solie pointed  out that the  amendment was added by  the                 
  subcommittee at the request of Co-Chair MacLean.                             
                                                                               
  TOM  BOUTIN, DIVISION  OF  FORESTRY, DEPARTMENT  OF  NATURAL                 
  RESOURCES  described  possible  discretionary  uses  by  the                 
  state.                                                                       
                                                                               
  Representative  Brown   MOVED   to   ADOPT   AMENDMENT   49.                 
  Representative Therriault OBJECTED.   A  roll call vote  was                 
  taken on the MOTION.                                                         
                                                                               
                                2                                              
                                                                               
                                                                               
  IN FAVOR: Hoffman, Brown,                                                    
  OPPOSED:  Grussendorf,  Navarre,  Foster,   Hanley,  Martin,                 
                 Parnell, Therriault, MacLean, Larson                          
                                                                               
  The MOTION FAILED (2-9).                                                     
                                                                               
  Representative Brown  provided  members  with  AMENDMENT  50                 
  (copy on  file).   She  explained  that amendment  50  would                 
  delete "or  another provision  of this  chapter" on page  3,                 
  line 19.  She MOVED to  AMEND Amendment 50, delete "section"                 
  and insert "chapter" on page 3, line 20.  She explained that                 
  the purpose of the  amendment is to clarify that  the Forest                 
  Practices  Act is  not  removed from  the  provisions of  AS                 
  38.05.  This  statute addresses  best interest findings  and                 
  public  notice  requirements  for  land  disposal and  other                 
  management actions.                                                          
                                                                               
  Mr. Solie spoke in opposition to  the amendment.  Mr. Boutin                 
  expressed concern that the amendment would create confusion.                 
  He  maintained  that  the  amendment  was unnecessary.    He                 
  explained that AS 38.05.112 substantiates AS 38.05.945 which                 
  provides for  public notice.   He emphasized that  section 3                 
  (d)(1) contains  language provided  for under  AS 38.05.112.                 
  He asserted that section 3 (d)(1)  has been strengthened and                 
  is  better,  in regards  to  timber, than  current statutory                 
  language.                                                                    
                                                                               
  There being NO OBJECTION, AMENDMENT 50 was amended to delete                 
  "section" and insert "chapter" on page 3, line 20.                           
                                                                               
  Representative Brown MOVED to ADOPT AMENDMENT 50 as amended.                 
  A roll call vote was taken on the MOTION.                                    
                                                                               
  IN FAVOR: Brown, Hoffman, Navarre, MacLean                                   
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Grussendorf, Larson                                           
                                                                               
  The MOTION FAILED (4-7).                                                     
                                                                               
  Representative Navarre MOVED to ADOPT  AMENDMENT 51 (copy on                 
  file).  Representative  Therriault OBJECTED.   He  explained                 
  that Amendment 51 would insert, "(4) determine the allowable                 
  harvest of the forest unit to  be managed under an agreement                 
  authorized  by  AS  38.05.122  which  shall  not  exceed  70                 
  percent."   He  stressed that  30 percent  of  the allowable                 
  harvest would be reserved for other multiple uses or smaller                 
  operators.                                                                   
                                                                               
  Mr. Boutin  noted that  allowable harvest  is calculated  by                 
  resource.    He  stated that  there  might  be  a FMA  which                 
  utilizes the entire allowable harvest.                                       
                                                                               
                                3                                              
                                                                               
                                                                               
  Mr. Solie spoke  in opposition  to the amendment.   He  felt                 
  that the amendment would restrict  the practice of sustained                 
  yield  as the  criteria.    He noted  that  page 6,  line  3                 
  requires that land or timber necessary to sustain a saw mill                 
  or wood processing facility is not taken.                                    
                                                                               
  Co-Chair  MacLean   spoke  in   support  of  amendment   51.                 
  Representative Navarre stated  that the  language on page  6                 
  did not adequately address his concerns.                                     
                                                                               
  A roll call vote was taken on  the MOTION to adopt AMENDMENT                 
  51.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Grussendorf, Navarre, MacLean                      
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Larson                                                        
                                                                               
  The MOTION FAILED (5-6).                                                     
                                                                               
  Representative Navarre MOVED to ADOPT  AMENDMENT 52 (copy on                 
  file).     He  noted   that  the   amendment  would   insert                 
  "economically  viable" after "encouraging"  on page  10 line                 
  24.  He clarified that for the purpose of AS 41  there would                 
  be "economically  viable" development  of commercial  forest                 
  lands.  Representative Therriault OBJECTED.                                  
                                                                               
  Representative  Therriault  maintained that  the legislation                 
  only  highlights  commercial  use.    He stressed  that  the                 
  amendment would tip the balance that has been maintained.                    
                                                                               
  Representative Navarre  suggested that it  makes sense  that                 
  the FMA be economically viable.                                              
                                                                               
  A roll call vote was taken on the MOTION  to adopt AMENDMENT                 
  52.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Navarre, MacLean, Larson                           
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Grussendorf                                                   
                                                                               
  The MOTION FAILED (5-6).                                                     
                                                                               
  Representative Navarre MOVED to ADOPT  AMENDMENT 53 (copy on                 
  file).  He  explained that amendment  53 would add a  sunset                 
  clause to allow  the legislature to  come back and  exercise                 
  its oversight authority, to make sure  that FMA's are in the                 
  best interest of the state.                                                  
                                                                               
  Co-Chair MacLean spoke in support of amendment 53.                           
  Representative Therriault  spoke in opposition  to amendment                 
  53.                                                                          
                                                                               
                                4                                              
                                                                               
                                                                               
  Representative   Navarre   clarified   that   the   contract                 
  provisions  in effect would  be valid  and enforceable.   He                 
  stressed that  the amendment  would  allow the  issue to  be                 
  revisited  in  order   to  determine  if  FMA's   should  be                 
  continued.                                                                   
                                                                               
  Mr.  Solie  relayed  that  legal  counsel advised  that  the                 
  amendment would "muddy the waters" since it is unclear if an                 
  existing contract would be impaired.  He emphasized that the                 
  legislature can  always revisit the  issue.   Representative                 
  Navarre  disagreed that  existing FMA's  would be  effected.                 
  Representative  Therriault  reiterated that  the legislature                 
  can revisit the issue at its discretion.                                     
                                                                               
  Representative  Brown noted that  if the  annual requirement                 
  for solicitation resulted  in one FMA  a year, that by  1999                 
  the  state will have exhausted the amount of available land.                 
                                                                               
                                                                               
  SENATOR STEVE FRANK  spoke in  opposition to the  amendment.                 
  He emphasized that the commissioner is not required to enter                 
  into a FMA.                                                                  
                                                                               
  Representative Therriault referred to page 3, section 3 (b).                 
  He noted that the commissioner may provide a written finding                 
  to the governor that the market  or other conditions make it                 
  unlikely that such a solicitation will be accepted.                          
                                                                               
  Representative  Navarre pointed  out  that the  commissioner                 
  would still maintain discretion without legislative approval                 
  or disapproval.                                                              
                                                                               
  A roll call vote was taken on  the MOTION to adopt AMENDMENT                 
  53.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Grussendorf, Navarre, MacLean                      
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Larson                                                        
                                                                               
  The MOTION FAILED (5-6).                                                     
                                                                               
  Representative Brown MOVED  to ADOPT  AMENDMENT 54 (copy  on                 
  file).   She explained that  the amendment would  remove all                 
  changes   to  the   Forest   Practices   Act.     Provisions                 
  establishing FMA's would be retained.   She provided members                 
  with a letter  from the Board  of Forestry stating that  the                 
  Forest Practices Act  is accomplishing its  intended purpose                 
  of perpetuating  and protecting  Alaska's forest  resources.                 
  The  Board  did  not recommend  any  changes  to  the Forest                 
  Practices Act.   She stressed that the  Forest Practices Act                 
  was  the  result  of years  of  negotiations  among affected                 
                                                                               
                                5                                              
                                                                               
                                                                               
  groups.    She  maintained that  a  delicate  balance exists                 
  between different competing uses that  are trying to coexist                 
  and  make  multiple  use  of  the  state's   forests.    She                 
  maintained  that a  comprehensive  public process  is needed                 
  before  changes should  be  made.   She  contended that  the                 
  amendment would allay some of the public's concerns.                         
                                                                               
  Mr. Boutin pointed  out that the  Board of Forestry did  not                 
  discuss the impact  of SB 310  on the Forest Practices  Act.                 
  He maintained that  the bulk of SB  310 does not  modify the                 
  Forest Practices Act.                                                        
                                                                               
  Representative  Grussendorf  noted  that   his  concerns  in                 
  regards to the Forest Practices Act have been addressed.                     
                                                                               
  Representative Brown  referred  to testimony  by the  United                 
  Fishermen of  Alaska (UFA).   She noted  that UFA  testified                 
  that the legislation's  changes to the Forest  Practices Act                 
  reduces the intent  to manage state and municipal forest for                 
  multiple  uses,  weakens  the  forest  planning  and  review                 
  process,  and  alters the  requirement for  reforestation on                 
  private land.                                                                
                                                                               
  (Tape Change, HFC 94-166, Side 1)                                            
                                                                               
  Mr.  Boutin acknowledged that the Board  of Forestry has not                 
  specifically addressed the ramifications of SB 310.                          
                                                                               
  A roll call vote was taken on the  MOTION to adopt AMENDMENT                 
  54.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Navarre, MacLean                                   
  OPPOSED:  Grussendorf,  Foster,  Hanley,   Martin,  Parnell,                 
                 Therriault, Larson                                            
                                                                               
  The MOTION FAILED (4-7).                                                     
                                                                               
  Representative Brown MOVED  to ADOPT  AMENDMENT 55 (copy  on                 
  file).    She  explained  that  the amendment  would  delete                 
  changes made  in subsection (d).  She  noted that subsection                 
  (d) limits  requirements only  to  designated state  forest.                 
  She  recommended  that  the changes  in  subsection  (d) are                 
  unnecessary and not be adopted.                                              
                                                                               
  Mr.  Boutin noted that  subsection (d) has  been modified to                 
  contain language supplied by the Department of Fish and Game                 
  and  the Department  of Natural  Resources.   Representative                 
  Brown  agreed  that  subsection  (d)   was  improved.    She                 
  questioned  why  subsection   (d)  should   be  limited   to                 
  designated state forests.                                                    
                                                                               
  Mr. Boutin did not interpret subsection (d) to be limited to                 
                                                                               
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  timber.                                                                      
                                                                               
  A roll call vote was taken on the MOTION to adopt  AMENDMENT                 
  55.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Navarre                                            
  OPPOSED:  Grussendorf,  Foster,  Hanley,   Martin,  Parnell,                 
                 Therriault, MacLean, Larson                                   
                                                                               
  The MOTION FAILED (3-8).                                                     
                                                                               
  Representative Brown MOVED  to ADOPT  AMENDMENT 56 (copy  on                 
  file).  She explained that the amendment would clarify  that                 
  standards only apply to state and municipal forest lands, by                 
  the  insertion of  new language  on page  9,  line 30.   She                 
  observed that  the  legislation deletes  the requirement  to                 
  look at immediate  and long  term individual and  collective                 
  effects.                                                                     
                                                                               
  Mr. Boutin stressed that the Department of Natural Resources                 
  has  to meet the  requirements of the  Forest Practices Act.                 
  He  observed  that the  amendment  would impact  the coastal                 
  consistency review of the Tongass National Forest.                           
                                                                               
  A roll call vote was taken on the MOTION to adopt  AMENDMENT                 
  56.                                                                          
                                                                               
  IN FAVOR: Brown, Grussendorf, Hoffman                                        
  OPPOSED:  Navarre,   Foster,   Hanley,    Martin,   Parnell,                 
                 Therriault, MacLean, Larson                                   
                                                                               
  The MOTION FAILED (3-7).                                                     
                                                                               
  Representative Brown MOVED  to ADOPT  AMENDMENT 57 (copy  on                 
  file).  She observed that the  amendment was proposed at the                 
  request of  the Boreal  Forest Association.   She  explained                 
  that  the amendment would  assure that  acceptable seedlings                 
  would  be of a variety native to  Alaska.  She observed that                 
  the amendment would discourage "tree  farms" and provide for                 
  variety of habitat.                                                          
                                                                               
  Representative Grussendorf spoke  in opposition to amendment                 
  56.                                                                          
                                                                               
  A roll call vote was taken on the MOTION to AMENDMENT 57.                    
                                                                               
  IN FAVOR: Brown, Navarre                                                     
  OPPOSED:  Hoffman,  Grussendorf,  Foster,   Hanley,  Martin,                 
                 Parnell, Therriault, MacLean, Larson                          
                                                                               
  The MOTION FAILED (2-9).                                                     
                                                                               
                                                                               
                                7                                              
                                                                               
                                                                               
  Representative Brown WITHDREW AMENDMENT 58.                                  
                                                                               
  Representative  Navarre MOVED,  on behalf  of Representative                 
  Davies, to ADOPT AMENDMENT 59 (copy  on file).  Amendment 59                 
  would delete  "sales of  less than  50,000  board feet"  and                 
  insert  "personal use  timber harvest"  on page  1, line  8.                 
  Representative Davies spoke in support of amendment 59.                      
                                                                               
  A roll call vote was taken on the MOTION to adopt  AMENDMENT                 
  59.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Grussendorf, Navarre, MacLean                      
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Larson                                                        
                                                                               
  The MOTION FAILED (5-6).                                                     
                                                                               
  Representative Navarre MOVED to ADOPT  AMENDMENT 60 (copy on                 
  file).  He  explained that the  amendment would make sure  a                 
  proposed agreement  is consistent  with  municipal land  use                 
  plans.                                                                       
                                                                               
  REPRESENTATIVE JOHN DAVIES spoke in support of amendment 60.                 
  He emphasized the  need for municipal consultation  early in                 
  the process of adopting a FMA.                                               
                                                                               
  Representative Therriault OBJECTED.   A  roll call vote  was                 
  taken on the MOTION to adopt AMENDMENT 60.                                   
                                                                               
  IN FAVOR: Brown,  Hoffman,  Grussendorf,  Navarre,  MacLean,                 
                 Larson                                                        
  OPPOSED:  Foster, Hanley, Martin, Parnell, Therriault                        
                                                                               
  The MOTION PASSED (6-5).                                                     
                                                                               
  Representative Brown MOVED  to ADOPT  AMENDMENT 61 (copy  on                 
  file).                                                                       
                                                                               
  Representative  Davies  noted   that  his  constituents  are                 
  concerned with the  size of potential  FMA's.  He  explained                 
  that the  amendment would  limit the  size of  FMA's in  the                 
  Tanana Valley.  The amendment would limit timber harvests to                 
  no more  than 6,000  acres of land  or 1,000 acres  of white                 
  spruce in the Tanana Valley drainage area.                                   
                                                                               
  Mr. Solie spoke against adoption of  amendment 61.  He noted                 
  that the subcommittee held open amendment 5.  He recommended                 
  that  amendment  5   would  be  less  constraining   to  the                 
  Department of Natural Resources.  Amendment 5 would insert a                 
  new  paragraph  to read:    "(2) the  tentatively successful                 
  proposed agreement  covers no  more land  or timber  than is                 
  necessary  to  make  the   proposed  agreement  economically                 
                                                                               
                                8                                              
                                                                               
                                                                               
  sustainable over the life of the proposed agreement."                        
                                                                               
  Representative Davies expressed  concern with the discretion                 
  given  to   the  commissioner  of   Department  of   Natural                 
  Resources.                                                                   
                                                                               
  Mr. Boutin maintained that limits on acreage would encourage                 
  clear cutting.                                                               
                                                                               
  A roll call  vote was taken on the MOTION to adopt AMENDMENT                 
  61.                                                                          
                                                                               
  IN FAVOR: Brown, Hoffman, Grussendorf, Navarre, MacLean                      
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Larson                                                        
                                                                               
  The MOTION FAILED (5-6).                                                     
                                                                               
  Representative Therriault MOVED to ADOPT AMENDMENT 5.  There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative  Therriault  discussed  section  8, page  11,                 
  lines  4  -  7.   He  discussed  sections  granting separate                 
  severability. He  noted that by highlighting  these sections                 
  for  severability  the  courts  could  construe  that  other                 
  sections are not severable.   He MOVED to delete  section 8.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Representative Brown  questioned the assumptions used by the                 
  Department  of Natural Resources  in determining  that there                 
  will be no  fiscal impact  associated with the  legislation.                 
  Mr. Boutin maintained that  FMA's will only be entered  into                 
  if they are cost effective.                                                  
                                                                               
  Representative Brown  noted that  page 9  requires that  the                 
  commissioner strictly  enforce the  provisions of the  final                 
  agreement  and  review  operator's   performance  under  the                 
  agreement.                                                                   
                                                                               
  MCKIE CAMPBELL, DEPUTY COMMISSIONER,  DEPARTMENT OF FISH AND                 
  GAME estimated that  the Department's  fiscal note would  be                 
  zero for  the first two years.  For  any FMA that occurs the                 
  Department would expect a financial  cost of $102.9 thousand                 
  dollars.                                                                     
                                                                               
  Representative   Navarre   asked   if   there  are   current                 
  negotiations for a  FMA.  Mr.  Boutin replied that FMA's  in                 
  the Interior,  Delta Junction,  Tok and  Fairbanks has  been                 
  discussed.  He stressed that the timber would be offered for                 
  sale  through   long  term   negotiated  contracts  if   FMA                 
  legislation is not enacted.                                                  
                                                                               
                                                                               
                                9                                              
                                                                               
                                                                               
  Representative  Brown  further  questioned the  Department's                 
  assertion that there would  be no fiscal impact as  a result                 
  of the legislation.                                                          
                                                                               
  Representative Therriault MOVED to report HCS CSSB 310 (FIN)                 
  out  of Committee  with individual recommendations  and with                 
  the  accompanying  fiscal   notes.    Representative   Brown                 
  OBJECTED.  A roll call vote was taken on the MOTION.                         
                                                                               
  IN FAVOR: Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 Grussendorf, Larson                                           
  OPPOSED:  Brown                                                              
                                                                               
  Representatives Hoffman, and  Navarre were  not present  for                 
  the vote.                                                                    
                                                                               
  The MOTION PASSED (7-1).                                                     
                                                                               
  HCS CSSB 310  (FIN) was reported  out of Committee with  "no                 
  recommendation"  and  with  a  fiscal  impact  note  by  the                 
  Department of Fish and Game and  with a zero fiscal note  by                 
  the Department of Natural Resources, dated 3/30/94.                          

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