Legislature(1999 - 2000)

02/16/1999 10:04 AM House O&G

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
Number 0094                                                                                                                     
                                                                                                                                
CHAIRMAN WHITAKER announced that the only order of business before                                                              
the committee is HOUSE JOINT RESOLUTION NO. 11, Urging the United                                                               
States Congress to pass legislation to open the coastal plain of                                                                
the Arctic National Wildlife Refuge, Alaska, to oil and gas                                                                     
exploration, development, and production.                                                                                       
                                                                                                                                
CHAIRMAN WHITAKER believed that opening ANWR has overwhelming                                                                   
support in the legislature, but due to the importance of this to                                                                
the future of Alaska discussion is warranted.  Chairman Whitaker                                                                
noted his intention to pass HJR 11 from committee.  The next                                                                    
committee of referral for HJR 11 is the House Resources Committee.                                                              
                                                                                                                                
Number 0158                                                                                                                     
                                                                                                                                
REPRESENTATIVE PHILLIPS, Alaska State Legislature, testified as the                                                             
sponsor of HJR 11.  She noted that the details of ANWR have been                                                                
discussed for many years.  Representative Phillips believed that                                                                
this resolution has been before the legislature  every session she                                                              
has been in the legislature.  The new members of Congress need to                                                               
have this resolution before them in order to illustrate the support                                                             
of the people of Alaska.  Representative Phillips offered the                                                                   
following technical amendment:  Page 2, line 4; delete "imported",                                                              
insert "imports".                                                                                                               
                                                                                                                                
CHAIRMAN WHITAKER noted that the technical amendment would not                                                                  
require committee action.                                                                                                       
                                                                                                                                
REPRESENTATIVE PHILLIPS urged the committee's support of HJR 11.                                                                
                                                                                                                                
Number 0277                                                                                                                     
                                                                                                                                
REPRESENTATIVE KEMPLEN referred to page 3, lines 1-4 of HJR 11 when                                                             
inquiring as to, "how would these new innovations push the                                                                      
environmental protection beyond these high standards that Alaska                                                                
has adopted?"                                                                                                                   
                                                                                                                                
REPRESENTATIVE PHILLIPS explained that every year the pipeline has                                                              
operated in Prudhoe Bay, technological advancements have occurred                                                               
due to Alaska's high environmental protection standards.                                                                        
Representative Phillips believed that everything done by the                                                                    
pipeline attempts to not only make the operation more efficient,                                                                
but also to make the operation more environmentally safe.                                                                       
Representative Phillips pointed out that Bev Ward (ph) from ARCO                                                                
was present and could also speak to Representative Kemplen's                                                                    
question.                                                                                                                       
                                                                                                                                
Number 0409                                                                                                                     
                                                                                                                                
REPRESENTATIVE KEMPLEN said that Representative Phillips answer was                                                             
sufficient.  Representative Kemplen wanted to be sure that the                                                                  
language, "traditionally high standards" referred to environmental                                                              
protection.  He expressed the importance of proceeding with the                                                                 
development of Alaska's natural resources while maintaining high                                                                
environmental standards.                                                                                                        
                                                                                                                                
CHAIRMAN WHITAKER informed the committee that he had spent many                                                                 
years on the North Slope as well as around the world observing oil                                                              
development.  Chairman Whitaker said, "There's no comparison                                                                    
between what is done on the North Slope and in Alaska in general                                                                
and other parts of the world.  There is indeed a high standard and                                                              
it's, it is an improving standard as is indicated by the paragraph                                                              
in question."                                                                                                                   
                                                                                                                                
REPRESENTATIVE SMALLEY said that he felt comfortable with the                                                                   
language, page 3, lines 1-4, being discussed.                                                                                   
                                                                                                                                
REPRESENTATIVE BRICE mentioned the available technologies such as                                                               
directional drilling, multi-well hulls, and the industry having                                                                 
smaller footprints for the drilling pads.  Representative Brice                                                                 
indicated that the industry is leaving less of a disturbance.                                                                   
Number 0649                                                                                                                     
                                                                                                                                
REPRESENTATIVE BRICE moved to adopt Amendment 1.                                                                                
                                                                                                                                
                          AMENDMENT 1                                                                                           
                                                                                                                                
     Page 3, line 7, following "and be it":                                                                                     
          Insert a new paragraph to read:                                                                                       
          "FURTHER RESOLVED that the Alaska State Legislature                                                                   
     opposes any unilateral reduction in royalty revenue from                                                                   
     exploration and development of the coastal plain of the                                                                    
     Arctic National Wildlife Refuge and any attempt to coerce                                                                  
     the State of Alaska into accepting less than the 90 percent                                                                
     of the oil, gas, and mineral royalties from the federal land                                                               
     in Alaska that was promised to the state at statehood; and                                                                 
     be it".                                                                                                                    
There being no objection, Amendment 1 was adopted.                                                                              
                                                                                                                                
Number 0692                                                                                                                     
                                                                                                                                
REPRESENTATIVE OGAN moved to report CSHJR 11(O&G) out of                                                                        
committee with individual recommendations and the accompanying                                                                  
zero fiscal notes.  Representative Ogan asked for unanimous                                                                     
consent.  There being no objection, it was so ordered.                                                                          
                                                                                                                                
Number 0750                                                                                                                     
                                                                                                                                
CHAIRMAN WHITAKER said, in closing, "As important as ANWR is to                                                                 
the future of Alaska, we have another development, a potential                                                                  
development with regard to the North Slope that is equally as                                                                   
important.  And as was stated in the opening comments of this                                                                   
committee, it is one of our goals, one of my goals to ensure that                                                               
North Slope gas is given every opportunity to be taken to market.                                                               
It is my intention within the relatively near future, this                                                                      
session, to bring forward legislation that will assist in that                                                                  
end.  The plan is coalescing and as soon as those details become                                                                
available I will share them, certainly with the committee first.                                                                
And I hope that with your additions and helpful suggestions we                                                                  
can put forward a piece of legislation that will move through the                                                               
legislature and help us move this very, very important commodity                                                                
to market."                                                                                                                     
                                                                                                                                
REPRESENTATIVE PHILLIPS mentioned that she was working on a                                                                     
resolution on the National Petroleum Reserve-Alaska (NPRA) in                                                                   
order to obtain the additional acreage.                                                                                         
                                                                                                                                
CHAIRMAN WHITAKER said that the committee is aggressive and                                                                     
pro-active and actions such as Representative Phillips are                                                                      
appreciated.                                                                                                                    
                                                                                                                                
Number 0870                                                                                                                     
                                                                                                                                
REPRESENTATIVE KEMPLEN asked if any progress had been made in                                                                   
scheduling a meeting to address the status of pipelines in Alaska                                                               
which is of concern to some of the committee members.                                                                           
                                                                                                                                
CHAIRMAN WHITAKER said nothing specific has been scheduled, but                                                                 
discussions with Bob Malone indicate his willingness to provide                                                                 
the committee with a presentation.  Chairman Whitaker stated that                                                               
there will be a presentation from Alyeska as well as any other                                                                  
pipeline entity.                                                                                                                

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