Legislature(2005 - 2006)SENATE FINANCE 532

05/03/2006 09:00 AM Senate FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 441 THERAPEUTIC COURT FOR DUI TELECONFERENCED
Moved SCS CSHB 441(FIN) Out of Committee
+ HB 307 KNIK RIVER PUBLIC USE AREA TELECONFERENCED
Heard & Held
+ HB 420 FOREST RESOURCES & PRACTICES STANDARDS TELECONFERENCED
Moved CSHB 420(FSH) Out of Committee
= HB 218 PRIVATE HATCHERY COST RECOVERY FISHERIES
Moved SCS CSHB 218(FIN) Out of Committee
+ HB 484 FISHERY ASSOCIATION REIMBURSEMENT TELECONFERENCED
Heard & Held
+ HCR 30 AK CLIMATE IMPACT ASSESSMENT COMMISSION TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
10:47:53 AM                                                                                                                   
                                                                                                                                
                                                                                                                                
     CS FOR HOUSE CONCURRENT RESOLUTION NO. 30(FIN) am                                                                          
    Creating an Alaska Climate Impact Assessment Commission.                                                                    
                                                                                                                                
                                                                                                                                
This was  the first hearing for  this bill in the  Senate Finance                                                               
Committee.                                                                                                                      
                                                                                                                                
REPRESENTATIVE REGGIE JOULE, sponsor  of the resolution posed the                                                               
question of  why an Alaska  Climate Impact  Assessment Commission                                                               
should be  formed to  consider the issue  of climate  changes. He                                                               
remarked on the  reports of the changing  weather patterns around                                                               
the  globe  and  within  the   state.  These  changes  have  been                                                               
exemplified  in   changing  ice  conditions,  melting   sea  ice,                                                               
permafrost reductions  and glacial movements. Spruce  bark beetle                                                               
infestations  and other  vegetation changes,  lengthened wildfire                                                               
seasons,  eroding shorelines  that  threaten villages,  potential                                                               
impacts  on wildlife  and fish,  as well  as economic  impacts on                                                               
existing infrastructure,  including highways, oil and  gas, and a                                                               
potential natural  gas pipeline, are  evidence of the  impacts of                                                               
the changing climate.                                                                                                           
                                                                                                                                
Representative  Joule  stated  that  new  technologies  would  be                                                               
required to construct infrastructure  in the changing conditions,                                                               
which would  impact resource  development. Revisions  of forestry                                                               
management  practices  could  be  necessary.  Fish  and  wildlife                                                               
management may need to take into account changing habitat.                                                                      
                                                                                                                                
Representative  Joule  remarked,  "We  may need  a  blueprint  of                                                               
possible changes to  be able to adequately plan  for the future."                                                               
Additionally,  the  costs  must  be understood  to  allow  for  a                                                               
proactive approach.                                                                                                             
                                                                                                                                
Representative  Joule  answered  his  earlier  question,  that  a                                                               
commission is necessary for the aforementioned reasons.                                                                         
                                                                                                                                
Representative  Joule noted  the  11-member  commission would  be                                                               
comprised  of Alaskan  residents with  four seats  designated for                                                               
legislators.                                                                                                                    
                                                                                                                                
10:51:17 AM                                                                                                                   
                                                                                                                                
GLEN JUDAY,  Professor of Forestry, School  of Natural Resources,                                                               
University  of Alaska,  Fairbanks,  testified via  teleconference                                                               
from  an  offnet  location  on  his  own  behalf.  Using  30-year                                                               
averages as a standard, the temperature  in Alaska is 2.5 to four                                                               
degrees warmer  than the  previous decade.  The reasons  for this                                                               
are being  studied, although results  to date support  the theory                                                               
that  global  warming  is  the cause.  Clear  evidence  of  human                                                               
influences has been  found; pattern changes of the  last 50 years                                                               
could not be explained as natural processes alone.                                                                              
                                                                                                                                
Mr. Juday  told of  efforts underway to  identify the  impacts of                                                               
the  global warming  patterns.  The ultimate  result  of all  the                                                               
glaciers  located in  Alaska would  be a  change in  mass of  ice                                                               
equivalent to 50 feet of water  moving from land to sea. The rate                                                               
of melting arctic sea ice set  records each month during the past                                                               
winter. Lakes in Interior Alaska  have been drying and permafrost                                                               
is warming  and beginning to  thaw in some areas.  Several forest                                                               
fire records have been set.                                                                                                     
                                                                                                                                
Mr. Juday relayed that the  scientific community is interested in                                                               
collaborating with  policy makers  and professional  engineers in                                                               
Alaska  to  determine how  the  State  should prepare  for  these                                                               
conditions.                                                                                                                     
                                                                                                                                
10:56:00 AM                                                                                                                   
                                                                                                                                
BOB  SWENSON,   Acting  Director,  Division  of   Geological  and                                                               
Geophysical Surveys,  Department of Natural  Resources, testified                                                               
via teleconference  from an offnet location  that this resolution                                                               
is timely.  Data shows a change  in climate. The creation  of the                                                               
proposed  commission would  allow Alaska  to be  proactive rather                                                               
than reactive to the impacts.                                                                                                   
                                                                                                                                
Mr.  Swenson  noted the  resolution  does  not currently  specify                                                               
participation of the Department.  However, any recommendations of                                                               
the  proposed   commission  could  involve  the   Department  and                                                               
therefore,  a fiscal  note in  an indeterminate  amount has  been                                                               
submitted.                                                                                                                      
                                                                                                                                
10:57:39 AM                                                                                                                   
                                                                                                                                
MARK  FOSTER,  Registered  Professional Engineer,  testified  via                                                               
teleconference from an  offnet location in support  of passage of                                                               
the  resolution.  As  a business  consultant,  he  is  witnessing                                                               
impacts of the changing climate  on the foundations of pipelines,                                                               
water  and   wastewater  facilities.   These  issues   should  be                                                               
addressed and prepared for the future.                                                                                          
                                                                                                                                
10:59:11 AM                                                                                                                   
                                                                                                                                
Co-Chair  Green  indicated  surprise   at  the  interest  in  the                                                               
formation of this commission.                                                                                                   
                                                                                                                                
10:59:20 AM                                                                                                                   
                                                                                                                                
LINDA  HALL,  Director,  Division  of  Insurance,  Department  of                                                               
Commerce,  Community  and   Economic  Development,  testified  in                                                               
Juneau, that  she has  received feedback on  the issue  of global                                                               
warming from the regulatory insurance  industry. A number of task                                                               
forces  have  been formed  within  the  industry to  address  the                                                               
affects of  climate change.  Insurance companies  are withdrawing                                                               
coverage in  some areas  because of  the increased  risk. Climate                                                               
change is impacting the availability of insurance.                                                                              
                                                                                                                                
11:01:02 AM                                                                                                                   
                                                                                                                                
Co-Chair Green  pointed out  that the  fiscal note  estimates the                                                               
cost of implementing  this legislation based on  membership of 15                                                               
seats on the  proposed task force. She understood  that the House                                                               
Resources Committee  would staff  the meetings  and asked  if the                                                               
fiscal note could  be reduced from $80,000 to  $65,000 to reflect                                                               
an 11-member committee.                                                                                                         
                                                                                                                                
Representative Joule  agreed to the  reduction, as he  was unsure                                                               
the exact amount  that would be required. The  initial amount was                                                               
calculated to fund at least four meetings.                                                                                      
                                                                                                                                
11:02:07 AM                                                                                                                   
                                                                                                                                
Amendment  #1:  This  amendment   inserts  language  on  page  3,                                                               
following line 7 of the committee substitute to read as follows.                                                                
                                                                                                                                
          FURTHER RESOLVED that the task force shall select a                                                                   
     chairperson from among members of the legislature.                                                                         
                                                                                                                                
Senator Olson moved for adoption.                                                                                               
                                                                                                                                
Co-Chair Green objected for an explanation.                                                                                     
                                                                                                                                
Senator Olson stated  this amendment would provide  that a member                                                               
of the legislature serving on  the proposed task force would hold                                                               
the chair position. Legislators would hold four seats.                                                                          
                                                                                                                                
Co-Chair  Green  withdrew her  objection  and  the amendment  was                                                               
ADOPTED without further objection.                                                                                              
                                                                                                                                
11:03:01 AM                                                                                                                   
                                                                                                                                
Co-Chair  Green referenced  language on  page  3, lines  8 -  11,                                                               
which reads as follows.                                                                                                         
                                                                                                                                
          FURTHER RESOLVED that the public members of the                                                                       
     commission  may   receive  compensation  for  per   diem  or                                                               
     reimbursement  for travel  and  other  expenses incurred  in                                                               
     serving on the commission; …                                                                                               
                                                                                                                                
Co-Chair Green asked  if this is standard  language pertaining to                                                               
compensation of public members  serving on State-sponsored boards                                                               
and commissions.                                                                                                                
                                                                                                                                
Co-Chair Wilken indicated it was.                                                                                               
                                                                                                                                
11:03:37 AM                                                                                                                   
                                                                                                                                
Co-Chair  Wilken characterized  this  resolution  as "feel  good"                                                               
legislation. The legislature does not  play a role in this issue.                                                               
The  State already  operates many  boards  and commissions.  This                                                               
task  force  would  incur considerable  expense  just  to  gather                                                               
parties  together to  reach an  "obvious conclusion."  Others are                                                               
already  undertaking  this  effort, including  universities.  The                                                               
funds should be appropriated to those activities.                                                                               
                                                                                                                                
11:05:48 AM                                                                                                                   
                                                                                                                                
Senator Bunde  shared opposition to  this resolution. He  told of                                                               
his past  servitude on a  commission, which issued a  report that                                                               
"sat on  the Governor's  shelf" and was  never consulted  and the                                                               
recommendations never  implemented. Therefore, he  questioned the                                                               
positive effectiveness of this task  force. Instead results could                                                               
include restrictions  against the  construction of a  natural gas                                                               
pipeline,  use of  automobiles,  and  increased insurance  rates.                                                               
Support for those efforts should not be provided in this manner.                                                                
                                                                                                                                
11:07:18 AM                                                                                                                   
                                                                                                                                
Senator  Stedman  suggested  Co-Chair Wilken  and  Representative                                                               
Joule work on an alternative.                                                                                                   
                                                                                                                                
11:07:40 AM                                                                                                                   
                                                                                                                                
Representative  Joule appreciated  the comments.  Co-Chair Wilken                                                               
was  correct that  many experts  and  organizations are  studying                                                               
this  issue and  the impacts  to the  state. These  professionals                                                               
could  provide recommendations  to guide  the legislature  in the                                                               
future.  The  intent  is  not  to assign  blame,  but  rather  to                                                               
determine potential  impacts for consideration by  policy makers.                                                               
Compiled data would be more  beneficial than sporadic independent                                                               
information.                                                                                                                    
                                                                                                                                
11:09:36 AM                                                                                                                   
                                                                                                                                
Senator  Dyson had  followed  the debate  on  global warming  and                                                               
climate  changes.   Although  the  long-term   consequences  were                                                               
debatable,  the  impact  to  the  state is  not.  Tree  lines  on                                                               
mountains are higher and farther  north than before. Temperatures                                                               
in  the  Bering Sea  are  two  to  four  times warmer  than  ever                                                               
recorded previously.  Structural failures  are occurring  in high                                                               
temperature permafrost areas.                                                                                                   
                                                                                                                                
Senator Dyson expressed he would support this resolution.                                                                       
                                                                                                                                
11:10:42 AM                                                                                                                   
                                                                                                                                
Co-Chair Green ordered the resolution  HELD in Committee to allow                                                               
an agreement to be reached.                                                                                                     
                                                                                                                                

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