Legislature(2001 - 2002)

04/08/2002 09:04 AM House O&G

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
SB 308-COASTAL ZONE MGMT PROGRAM/COUNCIL                                                                                      
                                                                                                                                
[Contains discussion of HB 439]                                                                                                 
                                                                                                                                
Number 0065                                                                                                                     
                                                                                                                                
VICE CHAIR  FATE announced  the first order  of business,  CS FOR                                                               
SENATE BILL NO. 308(FIN), "An  Act relating to the Alaska coastal                                                               
management  program  and  the   responsibilities  of  the  Alaska                                                               
Coastal Policy Council; and providing for an effective date."                                                                   
                                                                                                                                
Number 0089                                                                                                                     
                                                                                                                                
SENATOR  GENE  THERRIAULT,  Alaska  State  Legislature,  sponsor,                                                               
explained that in  its current form, SB 308  encompasses two main                                                               
ideas.  First, coastal resource  areas no longer may [incorporate                                                               
by reference] the  state statutes and regulations.   A problem in                                                               
the past has  been that coastal resource areas  or districts have                                                               
interpreted  statutes and  regulations differently  from the  way                                                               
state  agencies do  in  arriving  at consistency  determinations.                                                               
Therefore, the  Division of  Governmental Coordination  (DGC) has                                                               
indicated to  coastal resource districts  that they are  to adopt                                                               
their  own programs,  rather  than just  adopt  by reference  the                                                               
statutes and regulations; this occurred  some time ago.  What the                                                               
bill does [in Section 1] is enshrine DGC's directive in statute.                                                                
                                                                                                                                
SENATOR THERRIAULT  explained that  Section 2 deals  with phasing                                                               
of a  gas pipeline  project in  Alaska.   The language  is route-                                                               
specific and  project-neutral.  "We  have some definite  ideas of                                                               
where we would like the line  to be built," he told members, "but                                                               
we  don't much  care who  builds it."   Therefore,  he said,  the                                                               
language is structured  to allow anyone to take  advantage of the                                                               
routes that are suggested.                                                                                                      
                                                                                                                                
Number 0240                                                                                                                     
                                                                                                                                
SENATOR THERRIAULT noted  that this committee had  dealt with the                                                               
petition process  in [HB  439], sponsored  by [the  House Special                                                               
Committee on  Oil and  Gas, which  is chaired  by] Representative                                                               
Ogan.  Because that bill is  in the Senate currently, and because                                                               
it  came to  the  Senate  first, the  petition  process has  been                                                               
removed  from this  version of  SB 308.   However,  the title  is                                                               
relatively broad.  He explained that  SB 308 had been sent to the                                                               
House with  a broad title on  purpose, so that if  there were any                                                               
problems  dealing with  the petition  process  through [HB  439],                                                               
then [SB 308]  would be available as a vehicle  to make sure that                                                               
petition-process change is taken care of.                                                                                       
                                                                                                                                
SENATOR THERRIAULT reported that  Representative Ogan's staff had                                                               
been  dealing  with  "the  Senate committees"  to  come  up  with                                                               
language that fixes the problem.   Unfortunately, it will trigger                                                               
a  title change,  which  would  require a  two-thirds  vote on  a                                                               
title-change resolution  when it  comes back to  the House.   The                                                               
desire is  to keep  SB 308  as a possible  vehicle, in  case that                                                               
title change isn't possible.                                                                                                    
                                                                                                                                
Number 0365                                                                                                                     
                                                                                                                                
SENATOR  THERRIAULT returned  attention to  phasing [Section  2].                                                               
He explained:                                                                                                                   
                                                                                                                                
     In  order to  get a  consistency determination,  before                                                                    
     you can  actually get your permits,  you're supposed to                                                                    
     submit  your entire  project,  because  a gas  pipeline                                                                    
     project is  so large that it's  virtually impossible to                                                                    
     anticipate  every permit,  every  stream crossing  that                                                                    
     you're going  to need  for the project.   So  what this                                                                    
     language  does  is  it  allows  that  that  consistency                                                                    
     determination  would be  able to  be phased  in over  a                                                                    
     length of time.                                                                                                            
                                                                                                                                
[There was  a partial  motion to move  the bill,  but Legislative                                                               
Information  Office  (LIO)  personnel interjected  because  there                                                               
were testifiers.]                                                                                                               
                                                                                                                                
Number 0480                                                                                                                     
                                                                                                                                
DANA  OLSON  testified  via teleconference  on  her  own  behalf,                                                               
noting that she lives in an  affected coastal district.  She told                                                               
members  she  is  very concerned  about  the  coastal  management                                                               
program.   She asked that a  legal and factual basis  be provided                                                               
for the bill,  adding that Thomas Dewey once said  that a problem                                                               
well defined is  half solved.  She expressed concern  that SB 308                                                               
"has been primarily a reactionary type of situation."                                                                           
                                                                                                                                
MS. OLSON requested changes.  She  asked that the committee add a                                                               
fiscal  note to  SB 308  in order  to implement  AS 46.03.040,  a                                                               
state  requirement for  an environmental  plan.   She added,  "If                                                               
implementation of  this plan is  not desired by  the legislature,                                                               
then I ask that  you put a provision on this  bill and repeal it.                                                               
Having  this provision  sit here  on this  bill is  meaningless."                                                               
She  further requested  compliance  with "the  amendments to  the                                                               
coastal management  Act, which are  stated 'not  complied with.'"                                                               
She said  amendments to the  coastal management Act  require that                                                               
consideration  of  the entire  coastal  zone  -  and not  just  a                                                               
coastal  district -  be looked  at.   She noted  that one  of the                                                               
particular problems she  is addressing is "the  legal and factual                                                               
basis for construction permits."                                                                                                
                                                                                                                                
Number 0645                                                                                                                     
                                                                                                                                
JOHN  T.  SHIVELY,  Lobbyist  for   Foothills  Pipe  Lines  Ltd.,                                                               
testified   via   teleconference   in  support   of   [SB   308],                                                               
particularly the phasing section.  He explained:                                                                                
                                                                                                                                
     This  is [an]  issue  we've worked  with, with  Senator                                                                    
     Therriault  and  with  the   administration.    As  the                                                                    
     Senator said, generally, in order  to get a consistency                                                                    
     determination, which  is required for a  project in the                                                                    
     coastal zone, you  have to have all  your permits ready                                                                    
     to go.   This  project is way  too big  and complicated                                                                    
     for that, and ... the language  in the bill in front of                                                                    
     you  allows the  administration to  phase and  actually                                                                    
     make  what would  be,  I  believe, several  consistency                                                                    
     determinations, if  they were  necessary.  So  we think                                                                    
     it's a  good piece of  legislation, and we  support its                                                                    
     adoption.                                                                                                                  
                                                                                                                                
Number 0720                                                                                                                     
                                                                                                                                
VICE CHAIR FATE  asked whether there were questions  or if anyone                                                               
else  wished to  testify; there  was no  response.   He announced                                                               
that public testimony was closed.                                                                                               
                                                                                                                                
Number 0773                                                                                                                     
                                                                                                                                
REPRESENTATIVE KOHRING requested  that Senator Therriault address                                                               
the concerns expressed by Ms. Olson.                                                                                            
                                                                                                                                
SENATOR  THERRIAULT replied  by saying  he has  been involved  in                                                               
legislation dealing with the coastal  zone [program] for a number                                                               
of  years,  and  has  proposed  bills in  the  past  that  either                                                               
eliminated the program or made sweeping changes.  He then said:                                                                 
                                                                                                                                
     This  bill   doesn't  do  it.     It's  very  specific,                                                                    
     noncontroversial  things as  far  as  dealing with  the                                                                    
     administration  - people  that run  the program.   With                                                                    
     [regard]  to the  first section  that  talks about  the                                                                    
     nonadoption   through   reference,   that's   currently                                                                    
     basically in  place through  the directive  of Division                                                                    
     of  Governmental  Coordination; we're  just  enshrining                                                                    
     that in statutes.                                                                                                          
                                                                                                                                
SENATOR THERRIAULT addressed phasing:                                                                                           
                                                                                                                                
     As  the former  commissioner  [Mr. Shively]  indicated,                                                                    
     the gas pipeline project is  such a level of complexity                                                                    
     that having  all your permits ready  to go - so  that a                                                                    
     complete  consistency determination  can be  granted at                                                                    
     once  -  is  virtually  impossible.    And  the  people                                                                    
     running   the   program   ...    on   behalf   of   the                                                                    
     administration agree with that.                                                                                            
                                                                                                                                
SENATOR THERRIAULT  concluded by saying  he wasn't sure  what the                                                               
other  concerns were  about  the way  the  program operates,  but                                                               
didn't  believe  they  specifically concerned  the  two  sections                                                               
being asked for in this legislation.                                                                                            
                                                                                                                                
Number 0885                                                                                                                     
                                                                                                                                
REPRESENTATIVE KOHRING, with the  concurrence of Vice Chair Fate,                                                               
asked  Ms.   Olson  whether   Senator  Therriault's   answer  had                                                               
addressed her concerns adequately.                                                                                              
                                                                                                                                
MS. OLSON said  no.  She said  the bill is rather  broad, and she                                                               
emphasized  the need  to look  at the  whole problem,  instead of                                                               
"piecemealing"  it.   Ms. Olson  added, "It's  causing people  to                                                               
react to every little, particular  problem, where it really needs                                                               
to be looked at in a larger scope."                                                                                             
                                                                                                                                
REPRESENTATIVE KOHRING  requested that Ms. Olson  call his office                                                               
or e-mail or fax her concerns to him for a further look.                                                                        
                                                                                                                                
Number 0955                                                                                                                     
                                                                                                                                
SENATOR THERRIAULT remarked that  the statutory reference used by                                                               
Ms.   Olson   deals   with  the   Department   of   Environmental                                                               
Conservation,  not  DGC.   He  suggested  someone might  want  to                                                               
introduce  a  bill  to  address  that, but  said  it  wasn't  his                                                               
intention with SB 308.                                                                                                          
                                                                                                                                
Number 0990                                                                                                                     
                                                                                                                                
VICE CHAIR FATE asked whether  there were further questions; none                                                               
were offered.   He thanked participants and  again announced that                                                               
public testimony was closed.                                                                                                    
                                                                                                                                
Number 1013                                                                                                                     
                                                                                                                                
REPRESENTATIVE  DYSON   moved  to   report  CSSB   308(FIN)  from                                                               
committee  with  individual   recommendations  and  the  attached                                                               
[zero] fiscal note.  There  being no objection, CSSB 308(FIN) was                                                               
moved out of the House Special Committee on Oil and Gas.                                                                        

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