Legislature(2005 - 2006)CAPITOL 124

02/13/2006 01:00 PM House RESOURCES


Download Mp3. <- Right click and save file as

Audio Topic
01:11:19 PM Start
01:15:07 PM HCR29
03:03:49 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HCR 29 PEBBLE COPPER DEPOSIT MANAGEMENT PLAN TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
               HOUSE RESOURCES STANDING COMMITTEE                                                                             
                       February 13, 2006                                                                                        
                           1:11 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Jay Ramras, Co-Chair                                                                                             
Representative Ralph Samuels, Co-Chair                                                                                          
Representative Jim Elkins                                                                                                       
Representative Carl Gatto                                                                                                       
Representative Gabrielle LeDoux                                                                                                 
Representative Kurt Olson                                                                                                       
Representative Paul Seaton                                                                                                      
Representative Harry Crawford                                                                                                   
Representative Mary Kapsner                                                                                                     
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE CONCURRENT RESOLUTION NO. 29                                                                                              
Requesting the commissioner of natural resources to complete a                                                                  
management plan for the area encompassing the Pebble copper                                                                     
deposit and requesting a report to the legislature.                                                                             
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HCR 29                                                                                                                  
SHORT TITLE: PEBBLE COPPER DEPOSIT MANAGEMENT PLAN                                                                              
SPONSOR(s): REPRESENTATIVE(s) HAWKER                                                                                            
                                                                                                                                
02/01/06       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/01/06       (H)       RES                                                                                                    
02/10/06       (H)       RES AT 1:00 PM CAPITOL 124                                                                             
02/10/06       (H)       Heard & Held                                                                                           
02/10/06       (H)       MINUTE(RES)                                                                                            
02/13/06       (H)       RES AT 1:00 PM CAPITOL 124                                                                             
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
ED FOGELS, Deputy Commissioner                                                                                                  
Department of Natural Resources (DNR)                                                                                           
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Answered questions regarding HCR 29.                                                                        
                                                                                                                                
DICK MYLIUS, Acting Director                                                                                                    
Division of Mining, Land and Water                                                                                              
Department of Natural Resources                                                                                                 
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Answered questions regarding HCR 29.                                                                        
                                                                                                                                
GLEN ALSWORTH, Mayor                                                                                                            
Lake and Peninsula Borough                                                                                                      
Port Alsworth, Alaska                                                                                                           
POSITION STATEMENT: Testified in opposition to HCR 29.                                                                          
                                                                                                                                
TREFON ANGASON, Contractor                                                                                                      
Northern Dynasty                                                                                                                
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in favor of the process of                                                                        
assessing the potential mining operations of Northern Dynasty.                                                                  
                                                                                                                                
GREG O'CLARAY, Commissioner                                                                                                     
Department of Labor and Workforce Development                                                                                   
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Testified in opposition to HCR 29.                                                                          
                                                                                                                                
RALPH ANGASON, President                                                                                                        
Alaska Peninsula Corporation                                                                                                    
POSITION STATEMENT: Testified in opposition to HCR 29.                                                                          
                                                                                                                                
MR. SCOTT BRENNAN, Director                                                                                                     
Alaskans for Responsible Mining                                                                                                 
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in support of HCR 29.                                                                             
                                                                                                                                
WASSILLIE ITUKSIK, President                                                                                                    
Aleknagik Tribal Counsel                                                                                                        
Aleknagik, Alaska                                                                                                               
POSITION STATEMENT: Testified in opposition to HCR 29.                                                                          
                                                                                                                                
LISA REIMERS                                                                                                                    
Iliamna, Alaska                                                                                                                 
POSITION STATEMENT: Testified in opposition to HCR 29.                                                                          
                                                                                                                                
EILEEN ZAISER                                                                                                                   
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HCR 29.                                                                            
                                                                                                                                
ELEANOR JOHNSON, Teacher                                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in opposition to HCR 29.                                                                         
                                                                                                                                
MARTHA ANELON                                                                                                                   
Iliamna, Alaska                                                                                                                 
Iliamna Pebble Development                                                                                                      
POSITION STATEMENT: Testified in opposition to HCR 29.                                                                          
                                                                                                                                
REPRESENTATIVE CARL MOSES                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION  STATEMENT:  Answered  a  question  about  a  bridge  in                                                               
Nondalton, Alaska.                                                                                                              
                                                                                                                                
DAN OBERLATZ, Owner                                                                                                             
Alaska Alpine Adventures                                                                                                        
Lake Clark, Alaska                                                                                                              
POSITION STATEMENT: Testified in support of HCR 29.                                                                             
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
CO-CHAIR  JAY   RAMRAS  called   the  House   Resources  Standing                                                             
Committee  meeting  to  order at  1:11:19  PM.    Representatives                                                             
Crawford, LeDoux,  Ramras, Seaton and  Olson were present  at the                                                               
call  to  order.   Representatives  Gatto,  Samuels  and  Kapsner                                                               
arrived as  the meeting  was in  progress.   Representatives Mike                                                               
Hawker and Carl Moses were also present.                                                                                        
                                                                                                                                
HCR 29-PEBBLE COPPER DEPOSIT MANAGEMENT PLAN                                                                                  
                                                                                                                                
CO-CHAIR RAMRAS announced  that the only order  of business would                                                               
be   HOUSE  CONCURRENT   RESOLUTION   NO.   29,  Requesting   the                                                               
commissioner of  natural resources to complete  a management plan                                                               
for  the   area  encompassing  the  Pebble   copper  deposit  and                                                               
requesting a report to the legislature.                                                                                         
                                                                                                                                
CO-CHAIR RAMRAS questioned  the fiscal note for HCR  29 and asked                                                               
for clarification from the Department of Natural Resources.                                                                     
                                                                                                                                
ED FOGELS,  Deputy Commissioner, Department of  Natural Resources                                                               
(DNR), said he did not have it.                                                                                                 
                                                                                                                                
CO-CHAIR RAMRAS  said he was  embarrassed because he  had clearly                                                               
asked for it.                                                                                                                   
                                                                                                                                
1:15:07 PM                                                                                                                    
                                                                                                                                
MR. FOGELS  said DNR  is mandated to  be the  coordinating agency                                                               
for large mine projects.  There  is a large projects group within                                                               
DNR  that coordinates  all state  agencies that  are involved  in                                                               
permitting  large  mine  projects.    The  agencies  include  the                                                               
Department of Environmental  Conservation, DNR, Alaska Department                                                               
of   Fish  &   Game,  Department   of  Transportation   &  Public                                                               
Facilities,  Department   of  Commerce,  Community,   &  Economic                                                               
Development, and  Department of  Law.   He said  there is  a core                                                               
group of  state officials  that have been  working on  large mine                                                               
projects for  many years.  He  spoke of mines that  the group has                                                               
worked on.   He said the group  is a huge body  of expertise with                                                               
advanced degrees and  experience.  A typical  large mine project,                                                               
such as Pogo,  will take about 50 state and  federal permits, and                                                               
it is a huge job to coordinate  the permits.  The permits cover a                                                               
range  of issues,  including ensuring  that reclamation  money is                                                               
set  aside,  structures are  technically  sound,  air quality  is                                                               
maintained,  waste  is disposed  properly,  and  much more.    An                                                               
application for such a project may take up several bookshelves.                                                                 
                                                                                                                                
1:18:19 PM                                                                                                                    
                                                                                                                                
MR.  FOGELS said  the mining  team  is in  charge of  permitting,                                                               
enforcement, monitoring  and compliance.   He added  that federal                                                               
permits  typically  require  an  Environmental  Impact  Statement                                                               
(EIS),  and the  state  has  learned how  to  dovetail with  that                                                               
process.   There are at least  two rounds of public  meetings and                                                               
three  rounds of  public involvement  in a  typical EIS  process,                                                               
including  data  gathering  and  alternative  suggestions.    The                                                               
public  is  noticed  after the  alternatives  are  presented  and                                                               
analyzed.   A  draft  EIS  is produced  and  put  out for  public                                                               
notice.   It is often  thousands of  pages long, and  permits are                                                               
not usually written until that phase  is over.  He envisions that                                                               
this process would be followed for  the Pebble mine, and it would                                                               
be a multiple-year process.                                                                                                     
                                                                                                                                
1:21:24 PM                                                                                                                    
                                                                                                                                
DICK  MYLIUS,  Acting  Director,  Division of  Mining,  Land  and                                                               
Water,  Department  of  Natural   Resources,  said  the  planning                                                               
process begins  with public meetings  for identifying  issues and                                                               
concerns,  which is  similar to  the scoping  process of  an EIS.                                                               
The  second step  is collecting  data based  on issues  that were                                                               
uncovered.  He  said he envisions using the  data collection that                                                               
will be used as part of both  the large mine and EIS process, "so                                                               
we don't  envision a  major data collection  effort just  for the                                                               
land  use plan."    He  said the  next  step  is developing  plan                                                               
alternatives with some  sort of public involvement,  which is not                                                               
always  public  meetings.   The  preferred  alternative  is  then                                                               
chosen, the draft  plan is formulated, and  public review begins.                                                               
Public meetings  may be held,  and then  a final plan  is adopted                                                               
that reflects changes  from the public comment period.   The plan                                                               
can be  appealed to the commissioner  and finally to court.   One                                                               
land use plan has been appealed to the court level, he said.                                                                    
                                                                                                                                
1:23:51 PM                                                                                                                    
                                                                                                                                
CO-CHAIR RAMRAS asked about the $400,000 fiscal note.                                                                           
                                                                                                                                
MR.  MYLIUS said  the process  would  be run  concurrently and  a                                                               
separate document would  be produced.  He said DNR  does not do a                                                               
land use  plan as part of  the large mine process.   The National                                                               
Environmental  Policy  Act  of  1969  process  "is  a  very  long                                                               
detailed document,  and this would  more summarize a lot  of that                                                               
information, or compile  into kind of one  planning document, and                                                               
we'd have to  give separate public-the process  would be combined                                                               
with this but  we would have to address  public comments separate                                                               
from this-or maybe  not necessarily separate, but  there would be                                                               
different issues the  public would raise.  For  example, we might                                                               
get into-the plan might address more  of some of the uses on some                                                               
of the adjacent  land that may not actually get  addressed in the                                                               
EIS in  as great a  detail...It's going  to be a  separate public                                                               
commenting process.   It will  occur concurrently but  we'll have                                                               
to respond  to all  those comments coming  specific to  the plan,                                                               
and one of the reasons for  the fiscal note, is that we envision,                                                               
with  this process  in  particular,  that it  would  be a  fairly                                                               
contentious process and we'd get  an awful lot of public comments                                                               
we would need to address through the whole process."                                                                            
                                                                                                                                
1:25:42 PM                                                                                                                    
                                                                                                                                
CO-CHAIR RAMRAS  said, "This is where  you've lost me."   He said                                                               
he wants to understand the fiscal  note, and he asked for a side-                                                               
by-side  comparison of  the  two  processes to  be  faxed to  his                                                               
office in the next hour.                                                                                                        
                                                                                                                                
REPRESENTATIVE  SEATON  asked about  the  last  lines of  HCR  29                                                               
regarding  the commissioner's  conclusion on  the appropriateness                                                               
of classifying the  area for mineral development.   He asked what                                                               
the alternative classifications may be.   "If we would go through                                                               
a  land  use  planning  process  that  reclassifies  this  mining                                                               
district  for   something  else,   and  we  have   permitted  and                                                               
encouraged  mining  claims  and expenditures  to  delineate  that                                                               
amount, are  we looking at  a takings  claim?"  He  mentioned the                                                               
coal bed  methane leases in the  Homer area, where the  state had                                                               
to pay money based on potential, recoverable resources.                                                                         
                                                                                                                                
MR.  MYLIUS  said  generally  management  plans  do  not  end  in                                                               
wholesale reclassifications.   Area plans are the  broad level of                                                               
planning, he  said, and they  deal with  lands of one  to fifteen                                                               
million acres,  and lay  out the general  management intent.   He                                                               
said  the Bristol  Bay Area  Plan was  revised last  year, and  a                                                               
large  part of  the claims  area is  in designated  minerals.   A                                                               
management plan is a step-down that  is more focused on a smaller                                                               
area and  gets into greater detail.   He noted that  as a general                                                               
rule, a  management plan  will not change  the overall  intent of                                                               
the area plan, so "we  don't envision, through a management plan,                                                               
that we would do a wholesale  reclassification."  He said even if                                                               
DNR does do a wholesale  reclassification, all state land is open                                                               
to minerals under  state law unless it is  specifically closed by                                                               
the  legislature.   He said  even if  the area  is classified  as                                                               
recreation, it  is still, under  statute, open to  mineral entry.                                                               
He added that the commissioner can  only close up to 640 acres of                                                               
land  from mineral  entry, "and  this is  obviously a  lot larger                                                               
than  640 acres."   He  said reclassification  might create  more                                                               
restrictions on how  the area is mined, but there  could not be a                                                               
prohibition on mining.   Regarding the takings  issue, "there are                                                               
valid mining claims  out there, so no matter what  we did through                                                               
land use  planning, or even  no matter what the  legislature did,                                                               
there are still  valid existing mining claims there,  and even if                                                               
we closed  the area to  mineral entry, any mineral  closing order                                                               
done by either  DNR or even by the legislature  is always subject                                                               
to  valid existing  rights,  and so  the  existing mining  claims                                                               
would  be considered  a valid  existing  right."   DNR could  not                                                               
prohibit any development of the  mining claims, but it could make                                                               
administrative restrictions.  He  said the legislature would have                                                               
the authority to take away the  mining rights, but there might be                                                               
a takings  claim against it.   He  added that the  state actually                                                               
leased an oil  and gas area in Kachemak Bay,  and the legislature                                                               
closed it and a takings claim was "advanced".                                                                                   
                                                                                                                                
1:31:43 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  RAMRAS  reminded  DNR  that  he  wants  a  side-by-side                                                               
explanation.                                                                                                                    
                                                                                                                                
1:32:44 PM                                                                                                                    
                                                                                                                                
GLEN  ALSWORTH,  Mayor,  Lake and  Peninsula  Borough,  said  the                                                               
people in  his borough depend  on clean  water and good  fish and                                                               
are not  willing to sacrifice  that, "but I come  personally from                                                               
the stance that  development and environment can  coexist if it's                                                               
done right."  He said he  does not "buy into no-net-loss," and he                                                               
wants to "buy into net gain."   He said, "We can enhance and come                                                               
out ahead  whenever we do  projects."  He  said he has  been very                                                               
pleased to  experience "the largest  public process" that  he has                                                               
ever been  involved in, regarding  the Pebble mine proposal.   He                                                               
added that  he has never  seen any agency  or any entity  come in                                                               
with such an  incredible process of public involvement.   He said                                                               
his  community on  Lake Clark  has had  several meetings,  and he                                                               
really appreciates that.   He said his villages  are either going                                                               
to  go to  work or  die.   The  long-term effect  of no  economic                                                               
opportunity  creates hopelessness,  helplessness and  depression.                                                               
He noted  that people  aren't worried about  where to  spend next                                                               
year's vacation,  they are trying  to figure  out how to  pay the                                                               
sewer bill.  He said he is  not saying that mining is the answer,                                                               
"I am  saying that we need  to allow the state  to allow economic                                                               
development in  some form or another  in our area."   "If we deny                                                               
this,  our  villages will  continue  to  die."   He  said  school                                                               
enrollment has declined due to an out migration.                                                                                
                                                                                                                                
1:36:20 PM                                                                                                                    
                                                                                                                                
MR. ALSWORTH  said not to  change operating rules  midstream when                                                               
projects  come along.    He  flies to  Russia  often,  and it  is                                                               
difficult to do business there  because there is no set standard.                                                               
The process is  important no matter what the outcome.   There are                                                               
safeguards and  foresight so when  the facts are  there residents                                                               
can make decisions on supporting or not supporting the project.                                                                 
                                                                                                                                
1:37:49 PM                                                                                                                    
                                                                                                                                
MR. ALSWORTH said  he grew up in Port Alsworth  and the community                                                               
has grown  from 13  people to over  100 people in  50 years.   He                                                               
said  there are  7 people  on the  borough assembly  representing                                                               
1,600 to  1,700 people.  He  said the next meeting  with the full                                                               
assembly  will be  on February  21,  and HCR  29 will  be on  the                                                               
agenda  for discussion  and public  testimony.   He said  he will                                                               
report back to the committee after that.                                                                                        
                                                                                                                                
CO-CHAIR  RAMRAS asked  if the  members of  the borough  assembly                                                               
have any economic relationship with Northern Dynasty.                                                                           
                                                                                                                                
MR. ALSWORTH said  he does not know about others,  but he himself                                                               
has an air service that has flown Northern Dynasty and others.                                                                  
                                                                                                                                
REPRESENTATIVE GATTO asked  if he is representing  the borough or                                                               
just speaking as an individual.                                                                                                 
                                                                                                                                
MR. ALSWORTH said he is representing the borough today.                                                                         
                                                                                                                                
1:40:36 PM                                                                                                                    
                                                                                                                                
TREFON ANGASON,  Contractor, Northern Dynasty, said  he serves on                                                               
several  boards  in the  Bristol  Bay  region,  and he  has  been                                                               
involved in Native issues.  He  noted that he came from a funeral                                                               
and borrowed  a four-wheeler,  which took him  to the  local fuel                                                               
depot  where he  needed  money.   He  said  communities are  cash                                                               
dependent,  "and it  could be because we are a  victim of our own                                                               
success."   He said,  "We have  fought for  years to  improve the                                                               
quality of  life, and...quality of life  has come in."   The need                                                               
for cash came with  it.  He said it was too  cold to gather wood,                                                               
so people are dependent on oil.   He has a contract with Northern                                                               
Dynasty who  hired him to connect  the company to the  people and                                                               
to  perform outreach  to the  communities.   He  said he  doesn't                                                               
promote the  mine "or anything else."   He said he  will withhold                                                               
his  judgment  until  it  can  be shown  that  the  mine  can  be                                                               
developed safely.   He left his job as the  vice president of the                                                               
Bristol  Bay  Native Corporation  to  work  for Northern  Dynasty                                                               
because  the  Kvichak   River  in  the  area  has   not  had  any                                                               
escapement.  The Alaska Department  of Fish & Game has designated                                                               
it  as a  river of  concern, he  said.   Now Northern  Dynasty is                                                               
doing studies and  spending millions of dollars to  find out what                                                               
happened  to that  fishery, because  it  will be  blamed for  the                                                               
problems.   He  said when  he was  on the  Board of  Fisheries he                                                               
tried  to  get  the  board  "to at  least  examine  [the  Kvichak                                                               
River]," and  there was just a  cameo fly-over, but there  was no                                                               
research-"no  white-collared jackets  running around  the streams                                                               
in the dead  of winter checking out the quality  of the water and                                                               
the quality of  the smolt the way that Northern  Dynasty is doing                                                               
today."   He  said  he  thinks that  Northern  Dynasty should  go                                                               
through the process, and the  federal government has done well to                                                               
protect his interests.  He  added that the National Environmental                                                               
Policy Act of 1969 has prohibited poor mining operations.                                                                       
                                                                                                                                
1:46:10 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GATTO said  the  information is  powerful and  he                                                               
understands the  negative consequences of either  doing something                                                               
or nothing.  He said he was  aware that the Kvichak River did not                                                               
have a  proper escapement,  and that river  needs to  be assessed                                                               
instead of the "whole process."                                                                                                 
                                                                                                                                
1:48:19 PM                                                                                                                    
                                                                                                                                
GREG O'CLARAY,  Commissioner, Department  of Labor  and Workforce                                                               
Development, said he has been  to a meeting with Northern Dynasty                                                               
officials  and   addressed  the   governor's  desire   to  employ                                                               
Alaskans.  He said the company  was receptive and has gone out of                                                               
their way  to hire Alaskans.   He  said there were  609 employees                                                               
and 75 percent  were Alaska residents, many from  the Bristol Bay                                                               
area.  He said it is  evident why his department is interested in                                                               
the mining  project.  People  in the  villages need to  have some                                                               
hope.     He  noted   that  everyone   is  cash   dependent,  and                                                               
Representative   Elkins  operated   a   bar   in  Ketchikan   and                                                               
understands  cash.   "Any employer  that comes  through the  door                                                               
that's willing  to invest in  the local hire...is someone  that I                                                               
think we  owe, at least, a  mutual trust to assist  them in their                                                               
process," he  said.  He  said he is not  here for or  against the                                                               
resolution.  He  stated that the resolution  requires more delay,                                                               
and "any  delay in  bringing prosperity to  that region  to those                                                               
villagers, in  my opinion,  is not worth  your time  and effort."                                                               
This resolution  has caused the  creation of jobs  for lobbyists.                                                               
He said not to put up a barrier to this company for the project.                                                                
                                                                                                                                
1:52:41 PM                                                                                                                    
                                                                                                                                
RALPH ANGASON, President, Alaska  Peninsula Corporation, said the                                                               
Alaska Peninsula  Corporation is  the largest  adjacent landowner                                                               
to  the Pebble  deposit and  is  made up  of five  villages.   He                                                               
warned  that there  is a  new threat  to "our  survival" and  the                                                               
survival of  the Bristol Bay region,  and "that threat is  in the                                                               
form  of  HCR  29.    This resolution  is  nothing  more  than  a                                                               
pandering  to special  interests that  are rich  and famous,  and                                                               
powerful  outside interests  that  do  not have  a  stake in  the                                                               
economic future  and potential of  the Pebble deposit."   He said                                                               
the deposit  is the richest  in the  world.  Millions  of dollars                                                               
have been spent by private  interests in studying the deposit and                                                               
the mine  feasibility, which  includes studies  of the  biota and                                                               
culture of  the area.  "The  private interests will use  the land                                                               
only as a  playground, proposed to re-study, re-plan,  to lock up                                                               
all of it for their own  personal pleasures," he stated.  He said                                                               
that if  HCR 29 is passed,  the Bristol Bay Management  Plan will                                                               
be  meaningless.   The millions  of  dollars in  studies will  be                                                               
wasted, and  DNR will have  to "carve Pebble from  its foundation                                                               
as part  of the  Bristol Bay  Plan's fabric  to spend  still more                                                               
money,  which this  time will  be the  state's money,"  he added.                                                               
The research for  new sources of power will come  to a screeching                                                               
halt, he said,  and the very real  potential economic development                                                               
to the  region will  become a  pipedream.   The state  will waste                                                               
millions more on  studies that could be used for  roads and power                                                               
in the region,  "so that the rich and powerful  can come and play                                                               
for a  few weeks  a year,  and leave, and  leave nothing  for our                                                               
shareholders to purchase  fuel at over $5.00 a gallon."   He said                                                               
youth  will continue  to leave  the  region because  there is  no                                                               
opportunity.  "The problem, we are  told, is that the Bristol Bay                                                               
Management Plan  contemplates only  25 percent  of the  riches at                                                               
Pebble  and are  now believed  to exist.   To  me that  is not  a                                                               
problem, it is  an opportunity."  He asked the  committee to wait                                                               
and  see if  the mine  is even  possible under  existing law  and                                                               
technology.  He  said the Alaska Peninsula  Corporation has taken                                                               
a wait and see  approach.  "We do not tear up  its plan and carve                                                               
out a new regime for the purpose  of locking up the riches DNR do                                                               
not think existed.  Please give us a chance," he concluded.                                                                     
                                                                                                                                
1:56:50 PM                                                                                                                    
                                                                                                                                
MR.  SCOTT BRENNAN,  Director, Alaskans  for Responsible  Mining,                                                               
said  he has  taught environmental  science and  resource policy.                                                               
He  also wrote  a  textbook on  the topic,  giving  him a  unique                                                               
opportunity  to study  resource development  proposals, projects,                                                               
and  impacts-both positive  and  negative-all  around the  world.                                                               
Alaskans  for  Responsible Mining  is  a  coalition of  nonprofit                                                               
organizations,  and its  mission  is to  ensure  that the  mining                                                               
industry in  Alaska meets the  four criteria set forth  by former                                                               
Governor  Jay Hammond  for responsible  resource development.   A                                                               
profitable, job-creating project may  not necessarily benefit the                                                               
state, according  the Governor  Hammond, he  said, and  a project                                                               
must meet  four criteria:  it must  be environmentally  sound; it                                                               
must pay its own way; it  must be supported by most Alaskans; and                                                               
it must provide the constitutionally  mandated maximum benefit to                                                               
all Alaskans,  not just  to a  select few.   Mr. Brennan  said he                                                               
supports HCR 29 because it  exemplifies the oversight role of the                                                               
legislature and  its role  of providing the  citizen voice.   The                                                               
proposed Pebble mine is unparalleled  in size, type and location,                                                               
he said,  and it is  only 10 percent of  the total claims  in the                                                               
area.  The geochemistry poses a higher risk, he added.                                                                          
                                                                                                                                
2:01:06 PM                                                                                                                    
                                                                                                                                
MR. BRENNAN  said the Bristol  Bay plan  was updated a  few years                                                               
ago, and, since then, there has  been a huge increase in the size                                                               
of Pebble itself  and the same increase in  the surrounding area.                                                               
There are  risks associated with  open pit cyanide  leach sulfide                                                               
mines, he warned.   He read a quote written  by Northern Dynasty:                                                               
"Unexpected  environmental  damage  from spills,  accidents,  and                                                               
severe acts of  nature, such as earthquakes, are  risks which may                                                               
not  be fully  insurable  and, if  catastrophic,  could mean  the                                                               
total  loss of  shareholder equity."   The  state of  Montana has                                                               
banned  open pit  cyanide leach  mining  of gold  and silver,  he                                                               
said,  and in  1997, Wisconsin  put a  temporary hold  on sulfide                                                               
mines  until  one  had  operated for  10  years  without  adverse                                                               
effects.   He noted that the  ban still stands because  the state                                                               
has  not  been able  to  document  a  mine that  fulfilled  those                                                               
requirements.  Mr.  Brennan read from a  Northern Dynasty report:                                                               
"Northern Dynasty's management  may not be subject  to U.S. legal                                                               
process.    As  Canadian  citizens   and  residents,  certain  of                                                               
Northern  Dynasty's  directors  and   officers  may  not  subject                                                               
themselves  to U.S.  legal proceedings."   Recovery  on judgments                                                               
issued by courts may be difficult  or impossible, he said.  Based                                                               
on  those  statements,  he  asked the  legislature  to  play  the                                                               
oversight role  and ensure that  the closest scrutiny  is applied                                                               
to the Pebble project.                                                                                                          
                                                                                                                                
2:04:06 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SAMUELS asked who made up the membership of the group.                                                                 
                                                                                                                                
MR. BRENNAN  said membership is public  record and is made  up of                                                               
19 organizations,  including the  Bristol Bay  Alliance, Kachemak                                                               
Bay  Conservation  Society,   Alaska  Wilderness  Recreation  and                                                               
Tourism   Association,   Northern    Center,   Southeast   Alaska                                                               
Conservation  Council, Indigenous  Environmental Network,  Center                                                               
for Science and Public Participation, and others.                                                                               
                                                                                                                                
CO-CHAIR SAMUELS asked if the group supported any mines.                                                                        
                                                                                                                                
MR.  BRENNAN said,  "Absolutely."   He  said there  are mines  in                                                               
Alaska that are  doing things well.  He said  his group points to                                                               
best  practices, and  it uses  those  as examples  that could  be                                                               
applied more broadly.  He said the  Red Dog mine does a great job                                                               
with  Native hire;  Greens Creek  has  an innovative  reclamation                                                               
plan; and  Fort Knox has  an outstanding record of  water quality                                                               
control.   He  noted that  the group  actively monitors  mines by                                                               
pointing  out  best  practices and  areas  where  improvement  is                                                               
called for.                                                                                                                     
                                                                                                                                
CO-CHAIR SAMUELS  asked Mr. Brennan if  he would have sat  in the                                                               
same chair  and said  we need  more permitting  when the  Red Dog                                                               
mine was being developed, or any  individual mine.  "Do you think                                                               
the process in Alaska for permitting mines is broken?"                                                                          
                                                                                                                                
MR. BRENNAN said  he thinks there could  be statewide improvement                                                               
to enhance  the benefit of the  mining industry to the  state and                                                               
reduce the risk to other businesses and downstream users.                                                                       
                                                                                                                                
2:06:28 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SAMUELS  said he doesn't  know if open-pit mining  is an                                                               
abomination or if Northern Dynasty  will ever build the mine, "or                                                               
if I  want them  to build  this mine," but  if the  process needs                                                               
fixing, it should be done for  the entire state, and not pick and                                                               
choose.                                                                                                                         
                                                                                                                                
CO-CHAIR   RAMRAS  asked   if  Mr.   Brennan   has  an   economic                                                               
relationship with Bob Gillam or Northern Dynasty.                                                                               
                                                                                                                                
MR.  BRENNAN said  that Mr.  Gillam has  contributed, but  it has                                                               
been less than 5 percent of the group's annual budget.                                                                          
                                                                                                                                
REPRESENTATIVE  LEDOUX  asked it  the  group  existed when  other                                                               
Alaska mines were permitted.                                                                                                    
                                                                                                                                
MR. BRENNAN  said the  group is only  four-years old  and staffed                                                               
even more recently.                                                                                                             
                                                                                                                                
REPRESENTATIVE GATTO  said nearly  everything has a  side effect,                                                               
so what does responsible mining mean?                                                                                           
                                                                                                                                
MR.  BRENNAN said  the group  adopted  former Governor  Hammond's                                                               
work  on what  is environmentally  sound.   He  said both  former                                                               
governors Hickel and  Hammond have said that  the mining industry                                                               
is  not paying  fair market  value, especially  today when  metal                                                               
prices are at record  highs.  He said he wouldn't  want to be the                                                               
arbitrator of what  is responsible, but have  the legislature and                                                               
DNR use  Governor Hammond criteria  instead of the blunt  tool of                                                               
jobs.   He  said this  issue should  become the  foundation of  a                                                               
broader, statewide dialogue on that question.                                                                                   
                                                                                                                                
2:09:27 PM                                                                                                                    
                                                                                                                                
CO-CHAIR RAMRAS said Governor's  Hammond's legacy will remain for                                                               
generations.                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON  said   he  appreciates  citizens  working                                                               
together  for  best practices  in  mining;  it is  admirable  and                                                               
necessary.   He asked how  requiring a detailed  management plan,                                                               
separate from the permitting process,  gets to the advancement of                                                               
best practices.                                                                                                                 
                                                                                                                                
2:10:34 PM                                                                                                                    
                                                                                                                                
MR.  BRENNAN  answered  that this  committee  hearing  enables  a                                                               
conversation of best practice.  He  said there is a precedent for                                                               
management  plans being  conducted  prior  to permitting,  within                                                               
existing management plans, for much  lesser projects.  He said if                                                               
Hatcher Pass  deserves that treatment, the  Pebble mine certainly                                                               
does.   It  sounded like  DNR would  be able  to run  the process                                                               
concurrently with the permitting process.                                                                                       
                                                                                                                                
REPRESENTATIVE SEATON  asked how best practices  get incorporated                                                               
into a  land use  plan that  are not  incorporated in  the mining                                                               
permitting process.                                                                                                             
                                                                                                                                
2:13:25 PM                                                                                                                    
                                                                                                                                
MR. BRENNAN said there is a  potential for a conflict of interest                                                               
during  the permitting  process,  and he  noted  a memorandum  of                                                               
understanding  between  DNR  and  Northern  Dynasty  to  expedite                                                               
completion  of   the  permit  process.     Perhaps  there   is  a                                                               
predetermined conclusion,  he said, and the  concern is amplified                                                               
because Northern  Dynasty pays  DNR to  expedite permitting.   He                                                               
stated that DNR  can't conduct the oversight for  itself, and the                                                               
legislature should pay closer attention.                                                                                        
                                                                                                                                
REPRESENTATIVE  LEDOUX  asked  how  much  time  the  organization                                                               
spends on the Pebble project.                                                                                                   
                                                                                                                                
2:15:18 PM                                                                                                                    
                                                                                                                                
MR. BRENNAN said he is the  one full-time employee, and about 20-                                                               
25 percent of his time is spent on the Pebble mine.                                                                             
                                                                                                                                
REPRESENTATIVE  LEDOUX  asked  what Mr.  Brennan  does  regarding                                                               
other mines.                                                                                                                    
                                                                                                                                
MR.  BRENNAN said  that  all  work is  done  by  invitation of  a                                                               
community  group.   He  noted  that  the Association  of  Village                                                               
Council  Presidents invited  him to  come to  Akiak for  a public                                                               
forum.   He said he  provided information and gave  the community                                                               
tools for protecting other resources.                                                                                           
                                                                                                                                
2:16:38 PM                                                                                                                    
                                                                                                                                
WASSILLIE ITUKSIK,  President, Aleknagik Tribal Counsel,  said he                                                               
is also  on the city  council and the village  corporation board.                                                               
He is from the village of  Aleknagik, which is a gateway to Wood-                                                               
Tikchik Park-the largest  state park in the country.   He said he                                                               
was  the  first chair  of  the  Wood-Tikchik management  council.                                                               
There are  48 lodges  in the  park and  all employees  are white.                                                               
There are young  men with six-pack boat licenses  in the village,                                                               
"but they don't get hired," he said.   He said there are 14 young                                                               
men  sitting in  the village  without jobs  who are  certified as                                                               
heavy  equipment  operators.    He said  they  have  taken  state                                                               
training programs,  but they are  sitting in the village  with no                                                               
jobs.   Lodges don't hire Natives,  he stated, and he  has called                                                               
the department of  labor and was told that they  can hire anybody                                                               
they  want.    He  said  [employees] at  Lake  Clark  and  Katmai                                                               
National  Parks are  all white.   "We  desperately need  economic                                                               
development  in the  Bristol Bay  region," he  opined.   He added                                                               
that he is a drift net troller  in Bristol Bay, and in the recent                                                               
years, every time the fish hit,  the American processors put on a                                                               
pound limit.   "They let you watch  the fish go by at  60 cents a                                                               
pound.  You  can't hardly make a living," he  said.  He mentioned                                                               
flying  over what  was  once  a village  with  an  airport and  a                                                               
school, and it  was completely dark.  The people  have moved away                                                               
because there  are no jobs.   He noted that gas  is $6.60 gallon,                                                               
making  it  difficult   to  make  a  living  by   fishing.    "We                                                               
desperately  need some  kind of  economic development  in Bristol                                                               
Bay," he concluded.                                                                                                             
                                                                                                                                
2:20:31 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GATTO  asked why  lodge owners  are discriminating                                                               
or if Natives Alaskans are not willing to do the work.                                                                          
                                                                                                                                
MR. ITUKSIK said  the lodges hire people from out  of state, "and                                                               
they don't need the Natives."                                                                                                   
                                                                                                                                
2:21:16 PM                                                                                                                    
                                                                                                                                
LISA REIMERS,  Iliamna, said she  doesn't have a  master's degree                                                               
and is  not employed  by Northern  Dynasty.   She noted  that she                                                               
lives 15 miles  away from the mine and that  the proposed road is                                                               
on her  land, "so  we are  major stakeholders."   "As  leaders of                                                               
Iliamna Natives Limited, we were  skeptical when Northern Dynasty                                                               
first  came  in."   She  said  "we"  would  like to  protect  the                                                               
environment  but  need  to   be  open-minded  because  commercial                                                               
fishing has  declined due to  farmed fish.   She said  every year                                                               
hopes  are high  for commercial  fishing, but  it costs  money to                                                               
fish and  most people cannot  afford to "go down  there anymore".                                                               
She said  her mother owns  a lodge  but can't compete  with other                                                               
lodges because  she cannot afford  a $1 million airplane  for the                                                               
fishermen.   She said her  mother is competing with  the high-end                                                               
market but is trying to reach the lower-end market.                                                                             
                                                                                                                                
MS.  REIMERS expressed  concern about  the survey  that was  done                                                               
because  only  communities  that  were 70  miles  away  from  the                                                               
proposed mine  were included.   Iliamna was  not included  in the                                                               
survey, and she asked who paid  for a previous presentation.  She                                                               
reported that she  doesn't have "a lot of money,  we don't have a                                                               
billionaire backing us  up."  She said everyone  is worried about                                                               
paying $5.00  per gallon for  fuel and  are worried about  how to                                                               
sustain themselves.  She asked  about how to diversify the area's                                                               
economy.  She said the state will  do a good job making sure this                                                               
mine is  safe, and  if it  can be  safe, "we  are looking  at it,                                                               
because  what  other options  do  we  have?"   She  said  certain                                                               
parties  stopped a  bridge connecting  Iliamna to  Nondalton, and                                                               
lives have  been lost trying  to cross the  river.  She  said the                                                               
process for Northern Dynasty should  continue.  She said Northern                                                               
Dynasty  has   hired  locals,   used  local   businesses,  shared                                                               
information from studies, and has been a good neighbor.                                                                         
                                                                                                                                
2:25:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GATTO asked if the road  from the mine all the way                                                               
to Pedro Bay exists.                                                                                                            
                                                                                                                                
MS. REIMERS  said it is  only proposed.   She said she  has flown                                                               
with Northern  Dynasty so she  can be part  of the process.   She                                                               
said the company has done studies on fish and plants.                                                                           
                                                                                                                                
2:27:00 PM                                                                                                                    
                                                                                                                                
EILEEN ZAISER,  Anchorage, Alaska,  said she supports  the mining                                                               
industry and  grew up  placer mining.   She  noted that  when she                                                               
first heard  about the Pebble mine  she was excited, but  now she                                                               
is skeptical.   She said Northern Dynasty doesn't seem  to have a                                                               
track record, and  she urged the committee to err  on the side of                                                               
caution.   She said  often the concern  comes after  the problem.                                                               
She said  she does  not have  a direct  economic interest  in the                                                               
project but would be affected if a catastrophe occurred.                                                                        
                                                                                                                                
2:29:43 PM                                                                                                                    
                                                                                                                                
ELEANOR JOHNSON, Teacher, said she  is originally from Nondalton,                                                               
and there  are 16  siblings in  her family and  all but  two left                                                               
Nondalton for employment  opportunities.  There are  a handful of                                                               
jobs  but they  are already  filled, and  many are  seasonal, she                                                               
noted.   She said she left  at age 12  to go to school,  and that                                                               
"shouldn't have to  be."  She said she has  still managed to hang                                                               
on  to  her  subsistence  lifestyle,  never  missing  a  year  of                                                               
subsistence activities.   She asked if the  resolution means that                                                               
the current  process is not  adequate and  why not just  make the                                                               
process better.   She also asked who is going  to pay for "this."                                                               
She  said the  legislature is  not supposed  to look  at specific                                                               
projects.  "Your  job is to take  care of all of  the citizens of                                                               
the State  of Alaska."   She  said she didn't  think she  nor her                                                               
children should have to leave home to pursue a living.                                                                          
                                                                                                                                
2:33:04 PM                                                                                                                    
                                                                                                                                
MS. JOHNSON said two of her  siblings have jobs in Nondalton, but                                                               
there weren't  jobs for  "the rest  of us."   She noted  that she                                                               
left to go to high school.                                                                                                      
                                                                                                                                
REPRESENTATIVE  GATTO asked  if she  went back  to Nondalton  and                                                               
then couldn't find work there, so had to leave.                                                                                 
                                                                                                                                
MS. JOHNSON  said she taught  elementary school in  Nondalton for                                                               
ten years without  a teaching degree, and then she  left again to                                                               
go  back to  school  and  got a  job  with  the Anchorage  school                                                               
district after  getting a degree.   She said she got  married and                                                               
raised three daughters  in Anchorage.  She said  she continued to                                                               
be  involved  in   the  village  corporation,  but   she  is  not                                                               
representing it  today.   Something disturbing  is going  on, she                                                               
said, and  she doesn't like  it.  She  said people should  not be                                                               
governed by the person with the largest bank account.                                                                           
                                                                                                                                
2:35:15 PM                                                                                                                    
                                                                                                                                
MARTHA ANELON  said she  lives in  Iliamna and  is employed  by a                                                               
joint  venture  of  the  Calista   Corporation  and  the  Iliamna                                                               
Development Corporation  called Iliamna Pebble  Development whose                                                               
client is Northern  Dynasty.  She is the  local hire coordinator,                                                               
and she  has seen all  the studies  Northern Dynasty has  done on                                                               
the environment.   She noted that Northern Dynasty  asks for help                                                               
from  local people,  and working  with Northern  Dynasty provides                                                               
people with skills.   It is unique  for a company to  come in and                                                               
hire people from villages like Togiak,  she said, and fly them in                                                               
to  Iliamna and  provide food  and housing  during their  shifts.                                                               
They go back to Togiak on their  time off, she said.  "Where else                                                               
do you  get that in  rural Alaska?"  She  said as the  local hire                                                               
coordinator she pushes for local hire.   She said last season she                                                               
had two  local people in the  office and this season,  there will                                                               
be three local positions and one position is a bookkeeper.                                                                      
                                                                                                                                
REPRESENTATIVE CARL  MOSES, Alaska  State Legislature,  said five                                                               
or  six years  ago the  legislature appropriated  a large  sum of                                                               
money  for the  Nondalton bridge,  which has  been held  up by  a                                                               
billionaire, and  he has been  told that the people  of Nondalton                                                               
don't want the bridge, and that is hard to believe.                                                                             
                                                                                                                                
MS. ANELON said  she doesn't know, but she think  people want the                                                               
bridge to lower the price of  gas, "and you would not believe the                                                               
number of people who have  died...crossing over in the spring and                                                               
even in winter."                                                                                                                
                                                                                                                                
2:39:44 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX said two people died there last year.                                                                     
                                                                                                                                
REPRESENTATIVE GATTO asked if people are divided on the bridge.                                                                 
                                                                                                                                
MS. ANELON said she does not know.                                                                                              
                                                                                                                                
2:40:24 PM                                                                                                                    
                                                                                                                                
MS.  JOHNSON said  she didn't  think the  notion of  people being                                                               
against the  bridge was "a  true picture."   She said  it doesn't                                                               
take much  to change someone's  mind.   At some point  the tribal                                                               
council  was told  that Northern  Dynasty  was going  to use  the                                                               
bridge, but that is not true as  far as she knows, but some vocal                                                               
people spread  that rumor.   She said six  years ago there  was a                                                               
unanimous  show   of  hands  for   the  bridge  when   the  three                                                               
communities   were   all   together  with   the   Department   of                                                               
Transportation  & Public  Facilities.   Her nephew  died in  that                                                               
river, and many lives have been  lost.  Mr. Gillam files lawsuits                                                               
against the bridge because it interferes with his scenic view.                                                                  
                                                                                                                                
2:42:49 PM                                                                                                                    
                                                                                                                                
DAN OBERLATZ,  Owner, Alaska Alpine Adventures,  said his company                                                               
is a  very small  adventure travel  company, and  that he  is the                                                               
blonde-hair, white guy  mentioned in previous testimony.   He has                                                               
live  on Lake  Clark for  11 years  and he  understands the  cash                                                               
economy.   He said he  owes Mr. Alsworth  $1,500 for oil  for his                                                               
oil tank.   He  said he  is passionate about  the Lake  Clark and                                                               
Katmai area;  it is  one of the  world's most  perfect ecosystems                                                               
and home  to the world's  largest sockeye salmon fishery  and the                                                               
Mulchatna caribou  herd.   It has  tremendous value  to Alaskans,                                                               
and  there is  a lot  at  stake.   He noted  the growing  tourism                                                               
economy  and  said local  hire  needs  to  be addressed,  but  he                                                               
opposes risking  the tourism  industry in favor  of a  large open                                                               
pit mine.   He  said of the  two competing  resources, ecological                                                               
diversity and the ore deposit, one  will go at the expense of the                                                               
other.   He said that is  why Northern Dynasty owes  Alaskans the                                                               
assurance that it is not going  to have an accident.  He supports                                                               
HCR 29 in order to scrutinize  a project that is unprecedented in                                                               
size and scope.                                                                                                                 
                                                                                                                                
2:45:42 PM                                                                                                                    
                                                                                                                                
CO-CHAIR RAMRAS said the committee now  has a flow chart from DNR                                                               
showing  the  large mine  permitting  process  next to  the  land                                                               
planning process that HCR 29 generates.                                                                                         
                                                                                                                                
2:48:00 PM                                                                                                                    
                                                                                                                                
MR. FOGELS said DNR first  reviews the mine application, and then                                                               
the  land  planning   process  would  start  with   the  step  of                                                               
identifying  issues and  holding public  meetings.   The meetings                                                               
would be combined,  he said, but DNR has never  done this process                                                               
before so  it is the  best guess on  how it would  be intertwined                                                               
with  the  large  mine  permit  process.   The  issues  would  be                                                               
different for  the large  mine permitting  process, which  may be                                                               
very specific  to the design  of the project, like  the soundness                                                               
of  tailings facilities.    The land  planning  process may  have                                                               
different issues,  but the  data collection  would be  done under                                                               
the   permitting   process.     Both   documents   will   develop                                                               
alternatives regarding where the mine  is or where access is, and                                                               
the land planning process would  consider broader issues like how                                                               
DNR would manage  the land surrounding the mine.   There would be                                                               
a series  of public  meetings, concurrently,  and then  DNR would                                                               
develop a  final plan or  a final EIS.   He said  sometimes there                                                               
are  public meetings  at that  point  depending on  the level  of                                                               
controversy.    He  said  the  next  step  includes  the  appeals                                                               
process, and  then the final  decision is made on  implementing a                                                               
permit and implementing a land use plan.                                                                                        
                                                                                                                                
2:52:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON asked  about  the  difference between  the                                                               
permitting issues and the land plan issues.                                                                                     
                                                                                                                                
MR. FOGELS said the land plan  could affect the mine plan, but it                                                               
would  be  broader  and  would  take into  account  some  of  the                                                               
surrounding land  uses.   He noted that  the land  plan typically                                                               
wouldn't  get into  the level  of  detail of  the mine's  tailing                                                               
pond, for example, but may  provide guidance for where a tailings                                                               
pond could be sited.                                                                                                            
                                                                                                                                
REPRESENTATIVE SEATON  asked if  those things, like  the location                                                               
of the tailings ponds, are  considered in the alternatives during                                                               
the permitting process.                                                                                                         
                                                                                                                                
MR. FOGELS said yes; that would be a clear duplication.                                                                         
                                                                                                                                
REPRESENTATIVE LEDOUX  asked if  the land planning  process would                                                               
oversee  the  construction of  the  mine  and worker  safety  and                                                               
whether the mine was structurally sound.                                                                                        
                                                                                                                                
MR.  FOGELS  said  that  process  would  be  strictly  under  the                                                               
permitting process.                                                                                                             
                                                                                                                                
2:55:38 PM                                                                                                                    
                                                                                                                                
CO-CHAIR RAMRAS said in California  there is a coastal commission                                                               
that considers view sheds and trails,  and he asked if the permit                                                               
process deals  with the mine  itself and  the land plan  looks at                                                               
the environmental impact  on the greater area and at  some of the                                                               
more intangible aspects.                                                                                                        
                                                                                                                                
MR. MYLIUS said that is a good  way to describe it.  Normally the                                                               
land planning  process would deal  with more specific  items like                                                               
where the mine, road, or tailing  pond could be, but those issues                                                               
will already  be dealt with  through the large mine  project, "so                                                               
the planning process  doesn't really add anything  to those kinds                                                               
of decisions, but  it could deal with some of  the more aesthetic                                                               
concerns or  impacts on  adjacent land uses,  or things  that are                                                               
not quite so tied to the  actual development of the mine site, or                                                               
are not so technical."                                                                                                          
                                                                                                                                
CO-CHAIR RAMRAS asked if the application has been submitted.                                                                    
                                                                                                                                
MR. MYLIUS said it will probably  be submitted a year from now at                                                               
the earliest.                                                                                                                   
                                                                                                                                
CO-CHAIR RAMRAS  asked if the  land planning process  would begin                                                               
concurrently with the EIS process, blending the meetings.                                                                       
                                                                                                                                
MR. MYLIUS said  that would be DNR's intention, but  it has never                                                               
done the two processes together.                                                                                                
                                                                                                                                
CO-CHAIR RAMRAS suggested that the  resolution action would begin                                                               
during scoping  and public meetings,  and at that time  DNR would                                                               
assess "softer  issues" affiliated  with the  greater use  of the                                                               
area.   "Presumably  more  people and  other  resources would  be                                                               
used, and although  a lot of the data would  be shared, you would                                                               
generate  two  reports."    He  asked if  the  reports  would  be                                                               
finalized at the same time.                                                                                                     
                                                                                                                                
3:00:29 PM                                                                                                                    
                                                                                                                                
MR. MYLIUS  said the intention would  be to wrap them  both up at                                                               
the same time.  He said  the large mine process would take longer                                                               
with its  detailed analysis, but the  goal would be to  keep them                                                               
together because the outcome of one may affect the other.                                                                       
                                                                                                                                
CO-CHAIR RAMRAS  said if  HCR 29  moved, it  would be  a $400,000                                                               
report on  the softer  issues surrounding  the mine  and possibly                                                               
satisfy some  of the concerns  that were expressed by  both sides                                                               
today.   It would be  an augmentation to the  permitting process,                                                               
he surmised.                                                                                                                    
                                                                                                                                
MR. MYLIUS said that is a fair assessment.                                                                                      
                                                                                                                                
3:02:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON  said the  mine permit process  would fully                                                               
include  the  impacts  on fisheries,  wildlife,  subsistence  and                                                               
such.                                                                                                                           
                                                                                                                                
MR. FOGELS  said the  large mine permit  would include  all those                                                               
and more, including socio-economic impacts and air quality.                                                                     
                                                                                                                                
3:03:10 PM                                                                                                                    
                                                                                                                                
[HCR 29 was held over.]                                                                                                         
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Resources Standing Committee meeting was adjourned at 3:03 PM.                                                                
                                                                                                                                

Document Name Date/Time Subjects