Legislature(2011 - 2012)BELTZ 105 (TSBldg)
03/01/2012 03:30 PM Senate COMMUNITY & REGIONAL AFFAIRS
Audio | Topic |
---|---|
Start | |
SB148 | |
SB204 | |
SB152 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
*+ | SB 204 | TELECONFERENCED | |
+ | TELECONFERENCED | ||
+ | TELECONFERENCED | ||
= | SB 148 | ||
= | SB 152 | ||
SB 152-LEG. APPROVAL OF BRISTOL BAY SULFIDE MINE 4:23:03 PM CHAIR OLSON announced the consideration of SB 152 and asked Ms. Peterson to remind the committee about the bill. 4:23:44 PM KRISTEN PETERSON, Staff, Senator Hollis French, Alaska State Legislature, read the first paragraph of the sponsor statement for SB 152 as follows: Senate Bill 152 is designed to engage the legislature in development issues in the Bristol Bay Fisheries Reserve. The bill would require the legislature to enact a law that includes a finding that any proposed large-scale metallic sulfide mine operation constitutes no danger to the fishery within the reserve. This would have to be completed before the issuance of an authorization, license, permit, or approval of a plan of operation that could affect water in or flowing into or over the reserve. CHAIR OLSON opened public testimony. 4:24:38 PM RICK ROGERS, Executive Director, Resource Development Council (RDC) for Alaska, Inc., said RDC was strongly opposed to SB 152. He relayed that RDC was a nonprofit organization whose purpose was to link its diverse membership interests to encourage a strong, diversified, private sector in Alaska, and expand the state's economic base through responsible resource development. He said that one of RDC's top legislative priorities was to encourage the state to promote and defend the integrity of Alaska's permitting process and to advocate for predictable, timely, and efficient permitting processes that are based on sound science and economic feasibility. RDC's perspective was that SB 152 did the opposite. The bill was not about just the Pebble mine; it was a legislative referendum on the state's permitting process for projects across all industries. It effectively usurps the permitting authority of the executive branch and creates uncertainty for companies that are investing or contemplating investment in Alaska. He urged the committee to hold the bill. CHAIR OLSON asked how to protect the fisheries and maintain the maximum sustainable yield. MR. ROGERS answered that there are processes and systems in place to do that. Any suggested improvements should be vetted, but the legislature should not adjudicate whether a project should get permits. Many people will review a project the magnitude of Pebble before it gets a permit; that process has worked for Alaska for years. It's been possible to develop large-scale projects responsibly while maintaining a robust fishery. 4:29:08 PM CHAIR OLSON commented that what the Murkowski administration did to the coastal zone management program was devastating to the people of Alaska, particularly those on the coast who no longer have a seat at the table to voice concerns. That's why there is grave reservation about this particular mine, he said. MR. ROGERS said he recognized the concern about the magnitude of the project, its location, and the other resources in the Bristol Bay region, but he did not believe that SB 152 was an appropriate approach for dealing with those issues. 4:30:23 PM ANDERS GUSTAFSON, Executive Director, Renewable Resources Coalition (RRC), said he was speaking on behalf of the more than 6,000 Alaskan members in support of SB 152. The membership consists of individuals, businesses, and organizations that historically have fought over allocation of the Bristol Bay fishery resource, but have since joined forces to protect the habitat and water that is the building block of this resource. In the early 1970s when Alaska was first developing its oil and gas resources, the legislature recognized the incredible, renewable resource that is the Bristol Bay fishery and realized it was appropriate to designate a boundary for this watershed. The legislature also realized there should be a process for Alaskans to have a say in whether massive industrial developments should be allowed. By supporting SB 152, the coalition is asking the legislature to give that same level of oversight to a large-scale mining development in the same region. The bill does not affect mining development across the state; it is about protecting the Bristol Bay fishery. The members of RRC also believe that SB 152 will create a level of certainty in the marketplace that this fishery will continue to be strong. This will create a friendlier environment for those dependent on the fishery to reinvest in their businesses. MR. GUSTAFSON reiterated that SB 152 does not prohibit mining. It ensures a process by which the people of Alaska, through their representatives, can protect the incredibly significant Bristol Bay fisheries resource. 4:33:29 PM JIMMY R. HURLEY, representing himself, said he had lived in Ekwok for the past 50 years and he strongly opposed SB 152. He said that the people who live in this area don't want to live on food stamps; they want jobs. 4:35:52 PM SUE ANELON, Member, Iliamna Village Council, Iliamna Natives Limited (INL), stated that the council and corporation were strongly opposed to SB 152, because a rigorous science-based permitting system was already in place. The legislature should instead be dealing with the more important issues of oil taxes, helping companies create jobs, and economic development in rural communities. She also stated that the bill could affect other landowners and development projects within the state. CHAIR OLSON said he should have pointed out earlier that Senator French had visited Southwest Alaska a number of times to survey the situation. 4:37:59 PM VERNER WILSON III, Member, Curyung Tribal Council and shareholder, Bristol Bay Native Corporation (BBNC), testified in support of SB 152. He said he was a Bristol Bay commercial fisherman who also did subsistence fishing. He stated that the legislation gives a voice to Alaskans on the very important issue of a large-scale mine in the Bristol Bay region. Proponents say the development could create 2,000 jobs, but they don't say how many jobs may be impacted. He said his father paid thousands of dollars for a permit to fish in Bristol Bay and the family depends on the fishery. This issue is important to this and future generations. The Bristol Bay fishery has been there for thousands of years and it can continue for thousands more if it is managed sustainably and the habitat is protected. He reiterated that the legislation gives voice to Alaskans on an issue about which they really care. CHAIR OLSON asked why he was interested in protecting a fishery that he didn't depend on any longer. MR. WILSON clarified that he did depend on the Bristol Bay fishery; his parents still live in the area and he returns to fish every summer. He imagined that he would move back permanently after he finished graduate school. He began fishing when he was about age four and looked forward eventually to getting his own boat and permit. If fishing and mining are to coexist, it's necessary to ask the tough questions, he said. CHAIR OLSON asked if after he finished graduate school he can imagine putting on boots and rain gear and working in the fish slime. MR. WILSON answered yes. He added that he looked forward to being a part of further developing the seafood industry and a sustainable economy. 4:44:23 PM FRED T. ANGASAN, Chair, Land Committee, Alaska Peninsula Corporation (APC), stated that as one of the largest private landowners within the Bristol Bay Salmon Reserve, APC was opposed to SB 152. Matters currently committed to the sound discretion of executive agencies based on science and the concept of due process would instead be considered in the political arena. He said APC was convinced that the legislation violated state law. APC's primary mission is to manage its land for the benefit of the villages and Congress has charged the corporation with economic development of those lands. SB 152 directly interferes with that by creating uncertainty about the effect of a metallic sulfide deposit on their land, which has tremendous potential for mineral development. It would place at risk the surface exploration agreements that APC has entered into. APC has confidence in the current process, he stated. 4:51:29 PM MIKE SATRE, Executive Director, Council of Alaska Producers (CAP), said CAP was a nonprofit trade association representing the producing large metal mines and large mine development projects in the state. He said he was testifying to voice opposition to SB 152. The bill uses existing statutory language that places limitations on surface entry permits to develop oil and gas leases or exploration licenses within the Bristol Bay Fisheries Reserve, but it goes much farther. SB 152 attempts to restrict mining throughout the region regardless of land status or whether the activities are in the fisheries reserve. It could strip the rights of individuals who already hold valid mineral claims and exploration permits in the area. This could possibly constitute a taking, which would violate both the Alaska and U.S. constitutions. The existing statute for oil and gas does not assume that the development will adversely affect water; it only requires a finding that the development will not harm the fishery. SB 152 assumes that mining activity will adversely affect water quality and the proponents have stated their belief that it will potentially stop one project. This, too, raises constitutional issues, he said. MR. SATRE said CAP strongly supports the existing large mine permitting processes in the state and all efforts to fully fund, strengthen, and improve the permitting functions of the resource agencies. If SB 152 were to pass, state permitting agencies would be forced to follow the directives of the legislature, rather than basing decisions on the existing science-based, transparent, and predictable permitting processes. 4:54:11 PM ED FOGLES, Deputy Commissioner, Department Natural Resources, said he was not taking a position on the bill. He wanted to discuss the state's regulatory process and present issues for the committee to consider. He opined that the state's mine permitting process was solid. The seven operating mines in the state were all operating within environmental compliance, with no significant impact to the downstream fisheries. He emphasized that the permitting process for a large mine was complex. It involves a number of agencies and dozens of experts with advanced degrees in addition to the federal environmental impact statement (EIS). He cautioned that the legislature would have to figure out how to parse through that in order to make a decision, but it wouldn't be an easy task. SENATOR MENARD asked how many people would be dedicated to a project like the Pebble Mine. MR. FOGLES said that approximately 20 agency experts would be involved, although the number would vary throughout the life of the mine. SENATOR MENARD observed that a tremendous number of people were already dedicated to the process, which was why she was uncomfortable. 4:58:35 PM MR. FOGLES said that DNR's reading of the bill is that it would cover any hard rock metal mine on both state and private lands. Thus, any significant hard rock mining project within the Bristol Bay area would have to come before the legislature. Because each mine project has dozens and dozens of state and federal permits that come out at different times, DNR is not clear on how that would work for the legislature. Time lags will also be an issue to evaluate because the legislature isn't in session all the time. 5:00:33 PM CHAIR OLSON commented that he anticipates more bills like this because there was no coastal zone program where people from the local area have a seat at the table to voice their concerns. MR. FOGLES said he had been involved in permitting a number of mines, three of which were not in the coastal zone, and community concerns were always taken into account. Regardless of what is in place, DNR will always address community concerns, he said. CHAIR OLSON said public testimony would continue at the next meeting. He asked the sponsor to provide closing comments. 5:02:13 PM SENATOR HOLLIS FRENCH, sponsor of SB 152, said the bill was based on the 1972 law that was passed to protect the Bristol Bay Fisheries Reserve from oil and gas development. The legislature at the time considered including mining but oil and gas was the immediate threat to the fisheries and that became the topic of the bill. SB 152 is designed to put large-scale mining on the same footing as oil and gas. If it can be done safely and with no threat to the fishery, then go ahead. If it can't be done safely, then it should stop. The legislature deserves input given the far-reaching nature of the impact on fishermen across all of Alaska. CHAIR OLSON asked the sponsor before the bill moved from committee to address the constitutional questions that the bill potentially raised. CHAIR OLSON held SB 152 in committee.
Document Name | Date/Time | Subjects |
---|