Legislature(2015 - 2016)BARNES 124

02/27/2015 01:00 PM RESOURCES


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 115 AK SOVEREIGNTY;US TRANSFER LAND TO ALASKA TELECONFERENCED
Moved CSHB 115(RES) Out of Committee
-- Public Testimony --
*+ HJR 4 OFFSHORE OIL & GAS REVENUE SHARING TELECONFERENCED
Moved HJR 4 Out of Committee
-- Public Testimony --
*+ HJR 6 FEDERAL CONTAMINATION OF ANCSA LANDS TELECONFERENCED
Moved HJR 6 Out of Committee
-- Public Testimony --
*+ HJR 7 OPPOSE ALEUTIAN NATIONAL MARINE SANCTUARY TELECONFERENCED
Moved CSHJR 7(FSH) Out of Committee
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
               HOUSE RESOURCES STANDING COMMITTEE                                                                             
                       February 27, 2015                                                                                        
                           1:03 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative David Talerico, Co-Chair                                                                                         
Representative Mike Hawker, Vice Chair                                                                                          
Representative Bob Herron                                                                                                       
Representative Kurt Olson                                                                                                       
Representative Paul Seaton                                                                                                      
Representative Andy Josephson                                                                                                   
Representative Geran Tarr                                                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Benjamin Nageak, Co-Chair                                                                                        
Representative Craig Johnson                                                                                                    
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE JOINT RESOLUTION NO. 4                                                                                                    
Urging  the  United  States  Congress  to  provide  a  means  for                                                               
consistently  and   equitably  sharing  with  all   oil  and  gas                                                               
producing  states adjacent  to  federal  outer continental  shelf                                                               
areas  a   portion  of  revenue   generated  from  oil   and  gas                                                               
development on the  outer continental shelf to  ensure that those                                                               
states   develop  necessary   infrastructure  to   support  outer                                                               
continental   shelf   development  and   preserve   environmental                                                               
integrity.                                                                                                                      
                                                                                                                                
     - MOVED HJR 4 OUT OF COMMITTEE                                                                                             
                                                                                                                                
HOUSE BILL NO. 115                                                                                                              
"An Act relating to the transfer  of public land from the federal                                                               
government to  the state and  to the  disposal of that  land; and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
     - MOVED CSHB 115(RES) OUT OF COMMITTEE                                                                                     
                                                                                                                                
HOUSE JOINT RESOLUTION NO. 6                                                                                                    
Supporting the introduction and  enactment of federal legislation                                                               
acknowledging   that  the   federal  government   is  financially                                                               
responsible  under the  Alaska Native  Claims Settlement  Act for                                                               
the remediation of contaminated  land subject to conveyance under                                                               
the Act; urging  the United States Department of  the Interior to                                                               
implement the  six recommendations to  identify and clean  up the                                                               
Alaska Native Claims  Settlement Act lands in its  1998 report to                                                               
the  United States  Congress;  and urging  the  President of  the                                                               
United States  and the  United States  Congress to  remediate and                                                               
make free from  pollutants lands in the state  conveyed under the                                                               
Alaska Native Claims Settlement Act.                                                                                            
                                                                                                                                
     - MOVED HJR 6 OUT OF COMMITTEE                                                                                             
                                                                                                                                
CS FOR HOUSE JOINT RESOLUTION NO. 7(FSH)                                                                                        
Opposing the proposed designation of an Aleutian Islands                                                                        
National Marine Sanctuary.                                                                                                      
                                                                                                                                
     - MOVED CSHJR 7(FSH) OUT OF COMMITTEE                                                                                      
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HJR 4                                                                                                                   
SHORT TITLE: OFFSHORE OIL & GAS REVENUE SHARING                                                                                 
SPONSOR(s): REPRESENTATIVE(s) SADDLER                                                                                           
                                                                                                                                
01/21/15       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/21/15       (H)       RES                                                                                                    
02/27/15       (H)       RES AT 1:00 PM BARNES 124                                                                              
                                                                                                                                
BILL: HB 115                                                                                                                  
SHORT TITLE: AK SOVEREIGNTY;US TRANSFER LAND TO ALASKA                                                                          
SPONSOR(s): REPRESENTATIVE(s) CHENAULT                                                                                          
                                                                                                                                
02/18/15       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/18/15       (H)       RES, FIN                                                                                               
02/27/15       (H)       RES AT 1:00 PM BARNES 124                                                                              
                                                                                                                                
BILL: HJR 6                                                                                                                   
SHORT TITLE: FEDERAL CONTAMINATION OF ANCSA LANDS                                                                               
SPONSOR(s): REPRESENTATIVE(s) MILLETT                                                                                           
                                                                                                                                
01/21/15       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/21/15       (H)       RES                                                                                                    
02/27/15       (H)       RES AT 1:00 PM BARNES 124                                                                              
                                                                                                                                
BILL: HJR 7                                                                                                                   
SHORT TITLE: OPPOSE ALEUTIAN NATIONAL MARINE SANCTUARY                                                                          
SPONSOR(s): REPRESENTATIVE(s) EDGMON                                                                                            
                                                                                                                                
01/21/15       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/21/15       (H)       FSH, RES                                                                                               
02/05/15       (H)       FSH AT 10:00 AM CAPITOL 120                                                                            
02/05/15       (H)       Moved  CSHJR 7(FSH) Out of Committee                                                                   
02/05/15       (H)       MINUTE(FSH)                                                                                            
02/06/15       (H)       FSH RPT CS(FSH) 7DP                                                                                    
02/06/15       (H)       DP: HERRON, FOSTER, MILLETT, JOHNSON,                                                                  
                         ORTIZ, KREISS-TOMKINS, STUTES                                                                          
02/27/15       (H)       RES AT 1:00 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
REPRESENTATIVE DAN SADDLER                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As the sponsor, introduced HJR 4.                                                                        
                                                                                                                                
REPRESENTATIVE MIKE CHENAULT                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As the sponsor, introduced HB 115.                                                                       
                                                                                                                                
TOM WRIGHT, Staff                                                                                                               
Representative Mike Chenault                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  On behalf of Representative Chenault,                                                                    
sponsor, answered questions regarding HB 115.                                                                                   
                                                                                                                                
ED FOGELS, Deputy Commissioner                                                                                                  
Office of the Commissioner                                                                                                      
Department of Natural Resources (DNR)                                                                                           
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  During the hearing on HB 115, answered                                                                   
questions.                                                                                                                      
                                                                                                                                
REPRESENTATIVE CHARISSE MILLETT                                                                                                 
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As the sponsor, introduced HJR 6.                                                                        
                                                                                                                                
KRISTIN RYAN, Director                                                                                                          
Division of Spill Prevention & Response                                                                                         
Department of Environmental Conservation (DEC)                                                                                  
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  During the hearing on HJR 6, answered                                                                    
questions.                                                                                                                      
                                                                                                                                
NICHOLA RUEDY, Acting Executive Director                                                                                        
Alaska Native Village CEO Association (ANVCA)                                                                                   
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HJR 6.                                                                           
                                                                                                                                
JULIANNA SHANE, Director                                                                                                        
Tanadgusix (TDX) Corporation                                                                                                    
St. Paul Island, Alaska                                                                                                         
POSITION STATEMENT:  Testified regarding HJR 6.                                                                               
                                                                                                                                
JIM ARNESEN, Corporate Lands & Regulatory Manager                                                                               
Eklutna Incorporated                                                                                                            
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HJR 6.                                                                           
                                                                                                                                
TIM CLARK, Staff                                                                                                                
Representative Bryce Edgmon                                                                                                     
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION  STATEMENT:     Introduced  HJR  7(FSH)   on  behalf  of                                                             
Representative Edgmon, sponsor.                                                                                                 
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
1:03:24 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  DAVID  TALERICO  called the  House  Resources  Standing                                                             
Committee meeting to  order at 1:03 p.m.   Representatives Olson,                                                               
Seaton,  Josephson, Tarr,  Hawker, and  Talerico were  present at                                                               
the call to order.   Representative Herron arrived as the meeting                                                               
was in progress.                                                                                                                
                                                                                                                                
           HJR  4-OFFSHORE OIL & GAS REVENUE SHARING                                                                        
                                                                                                                                
1:04:59 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO announced  that the first order  of business is                                                               
HOUSE JOINT RESOLUTION  NO. 4, Urging the  United States Congress                                                               
to provide  a means for  consistently and equitably  sharing with                                                               
all  oil  and gas  producing  states  adjacent to  federal  outer                                                               
continental shelf areas  a portion of revenue  generated from oil                                                               
and  gas development  on the  outer continental  shelf to  ensure                                                               
that  those states  develop necessary  infrastructure to  support                                                               
outer  continental shelf  development and  preserve environmental                                                               
integrity.                                                                                                                      
                                                                                                                                
1:05:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DAN SADDLER,  Alaska  State  Legislature, as  the                                                               
sponsor, introduced  HJR 4.  He  said HJR 4 calls  on the federal                                                               
government  to  enact  a  fair and  sensible  system  of  federal                                                               
revenue sharing from the outer  continental shelf (OCS).  Oil and                                                               
gas development  in federal areas can  be a boon for  the federal                                                               
government  in terms  of jobs,  revenue, and  a secure  source of                                                               
domestic  energy,  but it  also  creates  costly impacts  on  the                                                               
states  bordering that  development.   The government  recognizes                                                               
these strains and  in some states it shares the  proceeds to help                                                               
the  states offset  the costs  of the  improvements and  services                                                               
necessary for  safe, responsible  development.  In  onshore areas                                                               
the federal government shares 50  percent of the revenue with the                                                               
state in  which that production  occurs.  In states  within three                                                               
miles of near shore, the  federal government shares 27 percent of                                                               
the revenue.   In four  states bordering  the Gulf of  Mexico the                                                               
federal government  shares 37.5 percent.   However, under current                                                               
federal law,  the State of  Alaska would receive 0  percent share                                                               
of  any federal  revenues from  oil produced  in the  Chukchi and                                                               
Beaufort  seas  or  other  OCS  areas.    Industry,  the  federal                                                               
government, and the State of  Alaska know that the federal waters                                                               
off  the North  Slope hold  tremendous  amounts of  oil.   Recent                                                               
environmental impact  statements for Shell Oil's  efforts in that                                                               
region  indicate  that over  three  billion  barrels of  oil  are                                                               
likely to  be produced.  But  just as onshore development  in the                                                               
North Slope  required investments in  infrastructure, development                                                               
of Alaska's offshore  resources of oil and gas  will also require                                                               
investments.  Investments will need  to be made in infrastructure                                                               
like roads, ports,  airports, utilities, and housing,  as well as                                                               
in  services  including public  safety,  search  and rescue,  oil                                                               
spill  response,  and  environmental monitoring  and  mitigation.                                                               
The  $2.75  billion  generated  since 2006  by  the  Chukchi  and                                                               
Beaufort  seas federal  OCS  lease sales  would  have brought  $1                                                               
billion  to the  State of  Alaska  had the  same revenue  sharing                                                               
provisions  applied to  Alaska as  apply in  the Gulf  of Mexico.                                                               
Now is a good time to have  this kind of resolution passed and to                                                               
see  Alaska's best  chance of  OCS revenue  sharing in  Congress.                                                               
Alaska's senior  U.S. senator, Lisa  Murkowski, is now  the chair                                                               
of  the  U.S.  Senate  Energy and  Natural  Resources  Committee.                                                               
Senator  Murkowski sponsored  legislation  last year  to offer  a                                                               
37.5 percent share of OCS revenue,  but it didn't get through and                                                               
it's anticipated the senator will try  again.  He said HJR 4 will                                                               
send  a strong  message  from the  State of  Alaska  to the  U.S.                                                               
Congress  to support  legislation to  enact a  fair and  sensible                                                               
system of federal revenue sharing.                                                                                              
                                                                                                                                
1:08:14 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  TALERICO opened  public testimony  and closed  it after                                                               
ascertaining no one wished to testify.                                                                                          
                                                                                                                                
1:08:57 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON  said he  has supported  this in  the past.                                                               
Fair  and  equitable  distribution  needs  to  be  there,  so  he                                                               
appreciates the sponsor bringing this resolution forward.                                                                       
                                                                                                                                
1:09:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HAWKER moved  to report  HJR 4  out of  committee                                                               
with individual recommendations and  the accompanying zero fiscal                                                               
note.   There being  no objection,  HJR 4  was reported  from the                                                               
House Resources Standing Committee.                                                                                             
                                                                                                                                
The committee took an at-ease from 1:09 p.m. to 1:11 p.m.                                                                       
                                                                                                                                
        HB 115-AK SOVEREIGNTY;US TRANSFER LAND TO ALASKA                                                                    
                                                                                                                                
1:11:58 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO  announced that the  next order of  business is                                                               
HOUSE BILL  NO. 115, "An Act  relating to the transfer  of public                                                               
land  from  the  federal  government  to the  state  and  to  the                                                               
disposal of that land; and providing for an effective date."                                                                    
                                                                                                                                
1:12:11 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HAWKER  moved  to adopt  the  proposed  committee                                                               
substitute (CS),  labeled 29-LS0587\E,  Bullard, 2/26/15,  as the                                                               
working  document.   There  being  no  objection, Version  E  was                                                               
before the committee.                                                                                                           
                                                                                                                                
1:12:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MIKE  CHENAULT, Alaska  State Legislature,  as the                                                               
sponsor, introduced HB  115.  He read from  the following written                                                               
sponsor statement [original punctuation provided]:                                                                              
                                                                                                                                
     House  Bill 115  enacts  the Transfer  of Public  Lands                                                                    
     Act.  The  bill requires the United  States to transfer                                                                    
     title to  public lands to  Alaska on or  before January                                                                    
     1,  2017.   This bill  would also  provide that  if the                                                                    
     state  transfers  title to  public  lands  to which  it                                                                    
     received title  from the  federal government  under the                                                                    
     Transfer of  Public Lands Act,  the state  shall retain                                                                    
     50 [percent] of the net  proceeds received by the state                                                                    
     and  pay 50  [percent] of  the net  proceeds the  state                                                                    
     receives to the federal government.                                                                                        
                                                                                                                                
     Although  there  are  a number  of  state  and  federal                                                                    
     constitutional   issues    regarding   the   provisions                                                                    
     contained  within the  bill, this  bill was  introduced                                                                    
     since the  25 year  deadline from  the time  Alaska was                                                                    
     admitted  into   the  Union  as  provided   within  the                                                                    
     Statehood  Act. PL  85-508  is long  past.   I  believe                                                                    
     there is  a breach of contract  as well as a  breach of                                                                    
     good faith  since the  state is  still entitled  to and                                                                    
     awaiting  the transfer  of  the  remaining 5.5  million                                                                    
     acres.   Thus  far  the state  has  received patent  to                                                                    
     about 99.5 million acres.                                                                                                  
                                                                                                                                
     The  state has  10.9 million  acres of  selections from                                                                    
     which to  receive its 5.5 million  acres of entitlement                                                                    
     as well as  10.2 million acres of  top-filings that may                                                                    
     eventually   become    selections   should   applicable                                                                    
     withdrawals  be  lifted.   These  withdrawals  come  in                                                                    
     numerous  varieties of  federal  action and  processes.                                                                    
     Two  common  executive   branch  actions  that  created                                                                    
     withdrawals are Public Land Orders  (PLOs issued by the                                                                    
     Department of the Interior  and Executive Orders issued                                                                    
     by the President.                                                                                                          
                                                                                                                                
     At  this time  according to  the Department  of Natural                                                                    
     Resources,  there are  approximately 222  million acres                                                                    
     within Alaska under federal ownership.                                                                                     
                                                                                                                                
     This bill  is modeled after  a Utah house  bill, [House                                                                    
     Bill] 148.                                                                                                                 
                                                                                                                                
1:16:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON noted that according to a legal memo there                                                                
are several constitutional problems.  He inquired whether some                                                                  
of those are cured by the proposed committee substitute.                                                                        
                                                                                                                                
TOM  WRIGHT, Staff,  Representative Mike  Chenault, Alaska  State                                                               
Legislature, replied  not so  much according  to the  legal memo.                                                               
He said  he doesn't  think there  is anything  in the  legal memo                                                               
that  the sponsor  could  fix in  this  bill, but  a  lot of  the                                                               
adaptations within  the proposed  CS were recommendations  by the                                                               
Department of Natural Resources (DNR).   The sponsor hasn't tried                                                               
to hide the constitutional issues and  that is why the legal memo                                                               
was distributed.                                                                                                                
                                                                                                                                
1:17:19 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  TARR inquired  whether  anyone  from the  federal                                                               
government is available to answer questions.                                                                                    
                                                                                                                                
CO-CHAIR TALERICO responded there is not.                                                                                       
                                                                                                                                
REPRESENTATIVE TARR  understood that the process  is being worked                                                               
through  but that  the surveying  process for  the selected  land                                                               
takes a lengthy  amount of time and could be  the reason for some                                                               
delays.   She asked  whether the sponsor  has any  information in                                                               
this regard  and whether  there is anything  else outside  of the                                                               
bill that the state can do to speed up the process.                                                                             
                                                                                                                                
MR. WRIGHT deferred to DNR for an answer.                                                                                       
                                                                                                                                
ED  FOGELS,  Deputy  Commissioner, Office  of  the  Commissioner,                                                               
Department  of  Natural  Resources   (DNR),  concurred  that  the                                                               
surveying and transfer of the lands  does take some time, but the                                                               
key issue for DNR is that  so much of the potential federal lands                                                               
the  state would  like  to choose  from are  locked  up in  these                                                               
federal withdrawals and  Public Land Orders (PLOs).   To speed up                                                               
the process the state needs  the federal government to lift those                                                               
withdrawals so there  is a bigger pool of lands  for the state to                                                               
choose from.                                                                                                                    
                                                                                                                                
1:20:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON observed  that page 2, [line  2], of the                                                               
CS references  the Ninth  Amendment [to  the Constitution  of the                                                               
United States].   He inquired why this is included  given it is a                                                               
Bill  of Rights  amendment  related to  personal  liberties.   He                                                               
understood the  Ninth Amendment  essentially says  something like                                                               
"the  previous  eight  amendments  may  not  constitute  all  the                                                               
liberties of the American people."                                                                                              
                                                                                                                                
MR. WRIGHT  answered the Ninth  and Tenth amendments  are closely                                                               
aligned.   The  Ninth Amendment  goes to  the enumeration  in the                                                               
constitution of  certain rights  that shall  not be  construed to                                                               
deny  or discourage  others retained  by the  people.   The Tenth                                                               
Amendment deals with  more of state rights.   The sponsor thought                                                               
both were inclusive  into the state sovereignty  issue and didn't                                                               
want to miss anything.                                                                                                          
                                                                                                                                
REPRESENTATIVE JOSEPHSON recalled that the  first draft of HB 115                                                               
excluded  national parks,  but Version  E  doesn't do  that.   He                                                               
asked  whether  the Utah  measure  excluded  national parks  like                                                               
Zion, Bryce Canyon,  Arches and other famous  national parks that                                                               
he has yet to see.                                                                                                              
                                                                                                                                
MR. WRIGHT replied the Utah  bill did exclude the national parks.                                                               
He said  there are some national  park lands that DNR  would like                                                               
to  have access  to, according  to the  information he  received.                                                               
However, he  said, the sponsor  is having second thoughts  on the                                                               
national  park   inclusion,  especially   with  these   times  of                                                               
budgetary deficits about  whether the sponsor would  want to take                                                               
those  over.   Thus, the  sponsor is  further exploring  national                                                               
parks, but  that is  as far as  the sponsor is  willing to  go at                                                               
this point in time.                                                                                                             
                                                                                                                                
1:22:40 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HAWKER understood the  language in the legislation                                                               
doesn't mandate  that the State  of Alaska accept such  things as                                                               
national  parks, it  allows  the  state and  the  agency to  make                                                               
decisions whether it's  in the best interest to  accept land that                                                               
is made available to the state.                                                                                                 
                                                                                                                                
MR. WRIGHT responded correct.                                                                                                   
                                                                                                                                
1:23:10 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON drew  attention to  Version E,  Section 4,                                                               
page  2, lines  26-27, which  states:   "LIFTING  OF PUBLIC  LAND                                                               
ORDERS; PERIOD FOR MINERAL  EXPLORATION AND RESOURCE EVALUATION."                                                               
He inquired  whether that is  the federal  government withdrawing                                                               
its claim for  subsurface resources within the  areas the federal                                                               
government is  going to  continue to own  or is  just exploration                                                               
ability so  the state  can evaluate  the land  and say  which the                                                               
state would want to choose.                                                                                                     
                                                                                                                                
MR. WRIGHT  answered it is to  allow DNR to do  evaluations as to                                                               
what mineral resources  may be there and what  might be available                                                               
for development.  He deferred to DNR to answer further.                                                                         
                                                                                                                                
MR. FOGELS replied that those  withdrawals and Public Land Orders                                                               
keep the state's  selections from attaching.  If  they are lifted                                                               
and  then  the  state's  selections attach,  the  state  can  get                                                               
conveyance to the lands in fee simple subsurface and surface.                                                                   
                                                                                                                                
1:24:51 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  TARR  requested  examples of  these  areas  where                                                               
there is a Public Land Order  that the state would want withdrawn                                                               
so that that land would become available for state selection.                                                                   
                                                                                                                                
MR. FOGELS  responded one example  is PLO 5150, which  withdrew a                                                               
corridor along  the original Trans-Alaska Pipeline  System (TAPS)                                                               
right-of-way.   He said it is  a very big corridor  that does not                                                               
need to be withdrawn from  selections since the pipeline has been                                                               
constructed.  Recently,  as part of DNR's  strategic and critical                                                               
minerals initiative,  some work  was done in  that area  and some                                                               
information was found that leads  the department to believe there                                                               
is potential  for rare earth  elements along that corridor.   So,                                                               
that  is clearly  a place  that  DNR would  like to  see the  PLO                                                               
lifted so the  state's selections can attach and  the state could                                                               
get ownership of that land.                                                                                                     
                                                                                                                                
REPRESENTATIVE TARR asked what the  process would be without this                                                               
legislation for  communicating with the federal  government about                                                               
a situation like the aforementioned.                                                                                            
                                                                                                                                
MR.  FOGELS  answered  that  DNR's process,  which  it  has  been                                                               
undertaking,  is to  communicate with  the Secretary  of Interior                                                               
and asking  the Secretary to lift  these Public Land Orders.   At                                                               
an  Alaska regional  level  DNR  works with  the  Bureau of  Land                                                               
Management (BLM) as  BLM does its resource  management plans, and                                                               
in  those plans  DNR  will  ask BLM  to  recommend lifting  those                                                               
withdrawals  as  part  of  the  BLM plan.    But  ultimately  the                                                               
Secretary  of  Interior must  put  pen  to  paper to  lift  those                                                               
withdrawals.                                                                                                                    
                                                                                                                                
REPRESENTATIVE TARR  inquired whether there is  a process outside                                                               
of BLM's  land use plans  in which DNR  can ask for  a withdrawal                                                               
and, if so, whether that  process requires the federal government                                                               
to  respond to  the state  within a  certain amount  of time  and                                                               
issue a decision within a certain amount of time.                                                                               
                                                                                                                                
MR. FOGELS  replied DNR is not  aware of any formal  process with                                                               
any kind of  structure to it, so  it would be simply  a matter of                                                               
writing  letters.   He  said DNR  has asked  and  has not  gotten                                                               
anywhere.                                                                                                                       
                                                                                                                                
1:28:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HAWKER  observed the fiscal note  currently in the                                                               
committee packet  goes to the  original bill and is  not relevant                                                               
to Version  E.   He inquired  whether Mr.  Fogels can  assure him                                                               
that a  forthcoming fiscal  note for  Version E  will also  be an                                                               
indeterminate note.                                                                                                             
                                                                                                                                
MR. FOGELS responded  he does not see any change  in DNR's fiscal                                                               
note with Version E.                                                                                                            
                                                                                                                                
MR. WRIGHT added, "except for the analysis."                                                                                    
                                                                                                                                
MR. FOGELS  stated that except  for the analysis the  fiscal note                                                               
would be indeterminate.                                                                                                         
                                                                                                                                
1:29:12 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO  opened public testimony  on the bill.   No one                                                               
in the committee room or on line wished to testify.                                                                             
                                                                                                                                
1:29:48 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE TARR commented that it  would be helpful to have a                                                               
federal  government representative  respond to  questions at  the                                                               
next hearing on the bill.                                                                                                       
                                                                                                                                
CO-CHAIR TALERICO  understood Representative Tarr's  concern, but                                                               
said he hopes to move the bill today.   He said he has dealt with                                                               
this from  a municipal level  before and has typically  found the                                                               
federal government to be nonresponsive.                                                                                         
                                                                                                                                
REPRESENTATIVE  SEATON thanked  the sponsor  for considering  the                                                               
national park issue, saying that  that would be beneficial to the                                                               
bill because it would take off  the table something that could be                                                               
very  controversial and  draw a  number of  people to  oppose the                                                               
bill.   He encouraged the sponsor  to make the bill  cleaner.  He                                                               
added that  when the federal  government isn't  listening, action                                                               
needs to be taken to hopefully stimulate some listening.                                                                        
                                                                                                                                
CO-CHAIR  TALERICO confirmed  the bill  has another  committee of                                                               
referral.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  HERRON said  that  in his  recent  four years  of                                                               
experience on Arctic policy, federal  employees will talk as long                                                               
as it is not  being recorded in a committee hearing.   He said he                                                               
therefore thinks it  unlikely that the committee  would get their                                                               
comments on the record.                                                                                                         
                                                                                                                                
1:31:55 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO closed public testimony.                                                                                      
                                                                                                                                
1:32:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON said  this bill speaks to  some real and                                                               
perceived  frustration.   But, he  added, he  thinks he  wouldn't                                                               
recognize his  home state anymore if  the bill were to  pass.  He                                                               
related that the  legal opinion he has says  Article XII, Section                                                               
12, makes this unconstitutional and describes why.                                                                              
                                                                                                                                
REPRESENTATIVE TARR  expressed her  disappointment that  in under                                                               
10 minutes  the committee  is going  to work on  and move  a bill                                                               
that is substantial in nature  and that has far reaching impacts.                                                               
She offered  her hope that  the committee can be  more thoughtful                                                               
in the future.                                                                                                                  
                                                                                                                                
REPRESENTATIVE HAWKER  said he doesn't feel  at all uncomfortable                                                               
about  moving this  bill forward  as it  sends a  message to  the                                                               
federal  government  that  he  is  comfortable with.    It  is  a                                                               
statement  from the  House Resources  Standing Committee  that it                                                               
believes  that   Alaska's  statehood  entitlement  needs   to  be                                                               
fulfilled and fulfilled in a timely basis.                                                                                      
                                                                                                                                
1:33:58 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HAWKER moved  to  report  the proposed  committee                                                               
substitute  for HB  115, Version  29-LS0587\E, Bullard,  2/26/16,                                                               
out  of   committee  with  individual  recommendations   and  the                                                               
forthcoming indeterminate fiscal note.                                                                                          
                                                                                                                                
REPRESENTATIVE TARR objected, saying  she thinks more time should                                                               
be given  to deliberating  the bill  and hearing  from additional                                                               
people.   She  pointed out  that typically  when the  legislature                                                               
wants to  communicate with the  federal government it is  done by                                                               
resolution rather than statute.  So,  if that is truly the intent                                                               
of  this  legislation,  the committee  should  be  considering  a                                                               
resolution, not a far-reaching statutory change.                                                                                
                                                                                                                                
REPRESENTATIVE JOSEPHSON also objected,  stating he doesn't think                                                               
this needs  more attention and he  doesn't need to hear  from the                                                               
federal government.  He said he  doesn't think there would be any                                                               
point   in  having   Yosemite,  Yellowstone,   the  Great   Smoky                                                               
Mountains, all of it, and it is  for those reasons he will be not                                                               
recommending the bill's passage.                                                                                                
                                                                                                                                
REPRESENTATIVE HAWKER noted that  the bill places provisions into                                                               
uncodified  law,  so  it  doesn't   carry  the  full  weight  and                                                               
authority  of  a statute.    As  uncodified  law  it is  an  even                                                               
stronger statement than a simple resolution.                                                                                    
                                                                                                                                
1:35:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   TARR,   in   response  to   Co-Chair   Talerico,                                                               
maintained her objection by nodding yes.                                                                                        
                                                                                                                                
A  roll call  vote was  taken.   Representatives Herron,  Hawker,                                                               
Olson, Seaton,  and Talerico  voted in favor  of the  proposed CS                                                               
for HB  115.   Representatives Tarr  and Josephson  voted against                                                               
it.   Therefore,  CSHB 115(RES)  was  reported out  of the  House                                                               
Resources Standing Committee by a vote of 5-2.                                                                                  
                                                                                                                                
The committee took an at-ease from 1:36 p.m. to 1:39 p.m.                                                                       
                                                                                                                                
          HJR  6-FEDERAL CONTAMINATION OF ANCSA LANDS                                                                       
                                                                                                                                
1:39:34 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO  announced that the  next order of  business is                                                               
HOUSE  JOINT RESOLUTION  NO. 6,  Supporting the  introduction and                                                               
enactment of  federal legislation acknowledging that  the federal                                                               
government  is financially  responsible under  the Alaska  Native                                                               
Claims Settlement  Act for the  remediation of  contaminated land                                                               
subject to  conveyance under  the Act;  urging the  United States                                                               
Department of  the Interior to implement  the six recommendations                                                               
to identify and clean up  the Alaska Native Claims Settlement Act                                                               
lands  in its  1998 report  to  the United  States Congress;  and                                                               
urging the President  of the United States and  the United States                                                               
Congress to remediate and make  free from pollutants lands in the                                                               
state conveyed under the Alaska Native Claims Settlement Act.                                                                   
                                                                                                                                
1:39:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CHARISSE   MILLETT,  Alaska   State  Legislature,                                                               
sponsor, introduced HJR 6, noting it  is not new and is something                                                               
the  legislature  has  passed  every   session.    She  said  the                                                               
resolution  has  to  do  with   the  1971  Alaska  Native  Claims                                                               
Settlement Act (ANCSA), which was  to finish the land claims with                                                               
the tribal  communities in Alaska.   However, the tribes  did not                                                               
anticipate  that these  transferred lands  would be  contaminated                                                               
and the  tribes would be  unable to fulfill their  agreement with                                                               
the federal  government on  what those lands  would be  used for,                                                               
which  would  be  revenues  for each  one  of  the  corporations.                                                               
Contaminated  land doesn't  generate revenue,  it costs  revenue.                                                               
This is  being seen more  and more.   Places like  Unalakleet and                                                               
Tyonek  have had  severe problems  with  contaminated lands  that                                                               
were conveyed  to them.   Many corporations are currently  in the                                                               
process of having lands conveyed  and have stopped conveyance due                                                               
to finding out that the lands  have all sorts of waste from every                                                               
agency  within  the  federal  government.     A  1998  Government                                                               
Accountability Office  report for  the Bureau of  Land Management                                                               
(BLM) talked about over 600  contaminated land sites.  It offered                                                               
six recommendations for the BLM,  Department of Interior, and the                                                               
ANCSA corporations to work together  to find some solutions.  Not                                                               
one   of  those   six  recommendations   has  been   acted  upon.                                                               
Representative  Millett  said she  has  been  to Washington,  DC,                                                               
several  times on  this issue.    It is  a huge  problem for  the                                                               
Native  corporations;  they have  been  unable  to fulfill  their                                                               
promise   to  their   shareholders   because   their  lands   are                                                               
contaminated  and  it  is  costing  millions  of  dollars.    The                                                               
resolution  speaks to  that, to  the  1998 report,  to where  the                                                               
lands are,  to how  many sites  are contaminated,  and encourages                                                               
the BLM  and the  Department of Interior  to take  this seriously                                                               
and move  forward.  While they  have taken full ownership  of the                                                               
contamination,  it is  the  remediation part  that  they need  to                                                               
fulfill their promise to.                                                                                                       
                                                                                                                                
1:42:38 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HERRON asked  whether Representative  Millett has                                                               
met with Interior Secretary Sally Jewell on this issue.                                                                         
                                                                                                                                
REPRESENTATIVE  MILLETT replied  she has  not met  with Secretary                                                               
Jewell  on  this issue,  but  has  met  on  this issue  with  her                                                               
undersecretary,   the  Alaska   BLM,   and   with  Alaska's   BLM                                                               
representative in Washington,  DC, but, it has not  risen to that                                                               
level  with  Secretary  Jewell.   She  reported  that  the  ANCSA                                                               
corporations have  also not met personally  with Secretary Jewell                                                               
on this  issue, but have  met with  her undersecretary and  a few                                                               
other  people.     She  believed  this  issue  has   come  up  in                                                               
conversations with U.S.  Senator Lisa Murkowski on  the record in                                                               
one of  the energy  committees two weeks  ago.   Secretary Jewell                                                               
knows this is an issue and  that the federal government has taken                                                               
responsibility  for it.   The  problem  being run  into with  the                                                               
legacy wells  is that both  the State  of Alaska and  the federal                                                               
government  are in  deficit spending,  so it  another opportunity                                                               
for  the  federal  government  to   plead  poverty.    The  ANCSA                                                               
corporations have offered to go  back and renegotiate some of the                                                               
conveyances and  trade land  for clean land,  which has  been met                                                               
with some skepticism within the  BLM.  Solutions are being worked                                                               
on, but  it is an  arduous process that is  going to take  a long                                                               
time  and she  doesn't want  to  stop the  pressure for  Alaska's                                                               
first people who should have  the opportunity to prosper from the                                                               
land that they were promised.                                                                                                   
                                                                                                                                
1:44:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HERRON related  that both  he and  Representative                                                               
Millett had  the opportunity  to meet  with Secretary  Jewell and                                                               
the  Northwest [Arctic]  Leadership Team  (NWALT).   He requested                                                               
Representative Millett to share  what Secretary Jewell said about                                                               
travesty wells.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  MILLETT replied  she and  Secretary Jewell  had a                                                               
lengthy   discussion   about    travesty   wells,   the   federal                                                               
government's response to travesty  wells, and the opportunity for                                                               
working  together on  travesty wells.    Secretary Jewell  seemed                                                               
under the impression  that the $50 million received  by Alaska in                                                               
the  "Helium  bill"  was  enough to  clean  up  approximately  87                                                               
travesty wells,  some of  which are buried  under lakes  or under                                                               
landslides.   There was  a spirited  discussion that  $50 million                                                               
was a good start, she said, but  is not anywhere near the cost of                                                               
the remediation of the wells.   Secretary Jewell also pointed out                                                               
that as  part of  mitigation efforts  in leases  for oil  and gas                                                               
companies  on federal  lands on  the North  Slope, the  producers                                                               
will now have  incorporated into their lease  agreement and their                                                               
plan of production  that the mitigation cost will  be absorbed by                                                               
the producers.  Representative Millett  said she found this to be                                                               
very hypocritical because  it will add an incredible  cost to the                                                               
production of oil  and gas from federal lands.   It is known that                                                               
the oil  producers partnering  with the State  of Alaska  did not                                                               
create  the problem  on  the  land.   She  further reported  that                                                               
Secretary Jewell  seemed to think  there was some value  with the                                                               
legacy wells  that were drilled  from 1941-1988.   Representative                                                               
Millett  said she  is unsure  what type  of well  data is  had on                                                               
those  wells.     When  the  Alaska  Oil   and  Gas  Conservation                                                               
Commission (AOGCC) looked  at a list of the  most dangerous wells                                                               
to  the least  dangerous  wells,  it had  a  very difficult  time                                                               
getting information  from the  BLM on those  wells and  there are                                                               
still  some wells  on which  AOGCC  has no  data.   She said  she                                                               
therefore found it  unusual that Secretary Jewell  would say that                                                               
there was  a benefit cost savings  for the oil producers  to have                                                               
the information on  legacy wells when a lot of  that well data is                                                               
missing  and is  from  1941.   Some of  those  wells are  uncased                                                               
surfaced wells that  went down 100 feet and some  went down 1,000                                                               
feet.  Some  were very lightly drilled  permafrost testing wells.                                                               
Secretary Jewell  has a  different view  than Alaskans  who think                                                               
that  someone making  a mess  should take  the responsibility  of                                                               
cleaning up that mess.                                                                                                          
                                                                                                                                
1:48:39 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HERRON asked Representative  Millett to relate why                                                               
Secretary Jewell is so rigid on legacy wells.                                                                                   
                                                                                                                                
REPRESENTATIVE  MILLETT responded  she pointed  out to  Secretary                                                               
Jewell the  hypocrisy of the  federal government and  the mission                                                               
of the  Department of Interior, which  is to be the  caretaker of                                                               
the  land.     However,  Secretary   Jewell  wouldn't   take  the                                                               
opportunity to be the advocate for cleaning up the legacy wells.                                                                
                                                                                                                                
REPRESENTATIVE HERRON stated  he and his colleagues  did not hear                                                               
an apology from Secretary Jewell.                                                                                               
                                                                                                                                
1:50:38 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  asked how  many of  the 650  sites were                                                               
contaminated before about 1965.                                                                                                 
                                                                                                                                
REPRESENTATIVE  MILLETT answered  she is  unsure as  it has  been                                                               
difficult  to inventory  the actual  contamination dates  and the                                                               
agency that did  the contamination.  Alaska has been  a test site                                                               
for  nuclear tests,  oil and  gas drilling,  permafrost, pipeline                                                               
stabilization,  and  for  every   scientist  who  wanted  to  try                                                               
something detrimental  to the environment.   While there  is some                                                               
inventory, it was long before 1971 and the ANCSA settlement.                                                                    
                                                                                                                                
REPRESENTATIVE  JOSEPHSON inquired  whether Ms.  Kristin Ryan  of                                                               
DEC knows the chronology of  these sites and whether they predate                                                               
approximately 1965.                                                                                                             
                                                                                                                                
KRISTIN RYAN, Director, Division  of Spill Prevention & Response,                                                               
Department  of  Environmental  Conservation  (DEC),  replied  she                                                               
doesn't know; the information on a  lot of these sites is patchy.                                                               
Of the over  2,000 contaminated sites that the  division is aware                                                               
of, over  half are on  federal land.   Monitoring the  cleanup of                                                               
contamination of federal  lands is a huge portion  of DEC's work.                                                               
Many of those  sites are not in active remediation,  DEC is aware                                                               
that they are  there and is working with  the appropriate federal                                                               
agency to start remediation.                                                                                                    
                                                                                                                                
REPRESENTATIVE   JOSEPHSON   asked   whether  the   other   1,350                                                               
contaminated sites predate the mid-1960s.                                                                                       
                                                                                                                                
MS. RYAN responded she does not know.                                                                                           
                                                                                                                                
1:53:47 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO opened public testimony on HJR 6.                                                                             
                                                                                                                                
1:54:20 PM                                                                                                                    
                                                                                                                                
NICHOLA RUEDY,  Acting Executive Director, Alaska  Native Village                                                               
CEO   Association   (ANVCA),   stated  ANVCA   is   a   nonprofit                                                               
organization  with the  mission  to advocate  for policies  which                                                               
will benefit and  protect the interests of  Alaska Native village                                                               
corporations with local,  state, and federal government.   Of the                                                               
more than  200 Alaska village  corporations, more than  80 belong                                                               
to  ANVCA.    The  millions  of acres  conveyed  by  the  federal                                                               
government  to Native  corporations  included  land with  various                                                               
types  of   hazardous  waste  and   toxic  materials   that  pose                                                               
significant   health   risks   to  humans,   animals,   and   the                                                               
environment,   such   as   arsenic,   asbestos,   polychlorinated                                                               
biphenyls (PCBs), mining waste chemicals,  and petroleum.  During                                                               
the 1990s  the Alaska Native  community raised concerns  that the                                                               
department  was conveying  contaminated  lands  to Alaska  Native                                                               
corporations.    In  1995  Congress  directed  the  Secretary  of                                                               
Interior to prepare  a report of the extent  of the contamination                                                               
on  lands conveyed  pursuant  to  ANCSA.   In  December 1998  the                                                               
department  submitted a  report to  Congress entitled  "Hazardous                                                               
Substance Contamination  of Alaska  Native Claims  Settlement Act                                                               
Lands in  Alaska."   In that  report the  department acknowledged                                                               
conveying  more  than 650  contaminated  sites  to Alaska  Native                                                               
corporations.  The report identified  numerous types of hazardous                                                               
wastes,   including  known   carcinogens,   on  conveyed   lands.                                                               
Recognizing the  unjustness of conveying the  contaminated lands,                                                               
the department  recommended an approach to  identify contaminated                                                               
sites  and  the  cleanup  needs on  ANCSA  lands,  including  six                                                               
recommendations.   Research indicates the department  has made no                                                               
effort to  implement any of  those six recommendations.   Through                                                               
correspondence  on  July 31,  2013,  the  department's office  in                                                               
Alaska  acknowledged  that "the  department  has  had no  further                                                               
involvement after the report was  submitted."  In a September 18,                                                               
2013,  letter to  Secretary Jewell  the Alaska  Delegation stated                                                               
that after  15 years  the department has  had sufficient  time to                                                               
act on  its six  recommendations and said  it is  imperative that                                                               
progress be  made now to  clean these  lands so they  can fulfill                                                               
the goal of the aboriginal lands  claims settlement.  On July 10,                                                               
2014, Secretary  Jewell responded  to the Alaska  Delegation that                                                               
the  department  is  committed to  determining  which  sites  are                                                               
identified in  the 1998 report  conveyed under ANCSA in  order to                                                               
continue follow-up on the six  recommendations.  There has yet to                                                               
be  any major  cleanup.   The ANVCA  stands behind  HJR 6,  which                                                               
supports enactment of federal  legislation acknowledging that the                                                               
federal  government is  financially responsible  under ANCSA  for                                                               
the remediation of contaminated land.                                                                                           
                                                                                                                                
1:58:14 PM                                                                                                                    
                                                                                                                                
JULIANNA SHANE,  Director, Tanadgusix (TDX)  Corporation, related                                                               
that in the 1870s the  federal government started commercial seal                                                               
harvest.   In 1984 the  federal government finally phased  out of                                                               
the  Pribilof  Islands.   The  TDX  Corporation then  went  after                                                               
cleaning the contaminated sites that  were located on the island.                                                               
It took $76 million and 11  years to clean up the property before                                                               
the corporation  allowed conveyance  to it.   But it  is possible                                                               
and TDX  trained its people  to do  it.  The  property conveyance                                                               
will hopefully  be finished  within the  year.   She said  she is                                                               
here to  say that it can  be done by the  local corporations, the                                                               
village  corporations,  to  train  their own  people.    This  is                                                               
something the elders  fought for and the rest of  the people have                                                               
continued the fight.  The  cleaning funds were received through a                                                               
special act, so  it can be done.   To hear it is  being said that                                                               
certain  areas cannot  be cleaned  or different  lands should  be                                                               
selected does  bring an  issue to those  leaders who  are charged                                                               
for the health and welfare of their  people.  If it is within the                                                               
vicinity of  a village these items  and areas need to  be cleaned                                                               
and not buried.                                                                                                                 
                                                                                                                                
2:00:50 PM                                                                                                                    
                                                                                                                                
JIM  ARNESEN,  Corporate  Lands  &  Regulatory  Manager,  Eklutna                                                               
Incorporated,  shared that  Eklutna Incorporated  has received  a                                                               
number of  contaminated properties through the  ANCSA provisions.                                                               
One of the  more prominent contaminated areas is in  the heart of                                                               
the Native  village of Eklutna.   This  was the former  U.S. Army                                                               
site of  Camp Mohawk and the  BIA Eklutna boarding school.   Over                                                               
the last  few years  the Native village  of Eklutna  has obtained                                                               
Native  American Lands  Environmental Mitigation  (NALEM) program                                                               
funds, which  are available for  tribes.  Some  investigation and                                                               
remediation has been done with  those funds, but more remediation                                                               
is needed.  Eklutna Incorporated  worked with the U.S. Army Corps                                                               
of  Engineers  through the  Formerly  Used  Defense Sites  (FUDS)                                                               
program to investigate and  attempt petroleum product remediation                                                               
in the former Camp Mohawk area  within the existing gravel pit at                                                               
Eklutna.   Contaminated  gravel that  smells like  diesel is  not                                                               
saleable.   That  effort is  continuing and  Eklutna is  awaiting                                                               
further  results from  testing done  this last  year and  further                                                               
remediation activity in that area is expected.                                                                                  
                                                                                                                                
2:02:29 PM                                                                                                                    
                                                                                                                                
MR. ARNESEN  said another contaminated site  inherited by Eklutna                                                               
Incorporated is the  original Matanuska town site.   The area was                                                               
used by  a former  polluter from Anchorage  who is  now deceased.                                                               
The polluter had placed a  large number of contaminated materials                                                               
of various  kinds and  quantities all  around the  properties and                                                               
migration of the  liquids is believed to have occurred.   The old                                                               
Donnelly Homestead  was also inherited through  ANCSA and Eklutna                                                               
Incorporated spent substantial funds about  15 years ago to clean                                                               
up  the  surface.   The  cleanup  operation consisted  mostly  of                                                               
surface debris from Donnelly who  operated an illegal junkyard on                                                               
the  property; the  property  is impaired  and  may require  more                                                               
remediation  in the  future.   Eklutna Incorporated  has property                                                               
next to  the Birchwood  Recreation and  Shooting Park  where over                                                               
the  years  trespass shooters  have  polluted  the property  with                                                               
lead.  Eklutna Incorporated is  in the process of determining the                                                               
levels of contamination which will  guide the remediation effort.                                                               
More   recently   Eklutna   Incorporated   discovered   potential                                                               
contamination believed to be emanating  from the old Peters Creek                                                               
landfill,  which  has  been  closed   for  some  time.    Eklutna                                                               
Incorporated  is in  the  process of  determining  the extent  of                                                               
potential  contamination and  type  of  remediation needed  there                                                               
under testing protocol.  Eklutna  Incorporated has received other                                                               
properties that have been used  by various governmental units and                                                               
as  the corporation  goes to  develop its  properties it  has run                                                               
into contamination and/or  bury pits where debris of  one kind or                                                               
another have  been disposed  of.  The  cost of  remediating these                                                               
impaired  properties has  been a  financial  burden upon  Eklutna                                                               
Incorporated and  has at times  prevented, stopped, or  delayed a                                                               
project.    Eklutna   Incorporated  believes  that  contamination                                                               
issues on its lands due to  past use by former governmental units                                                               
have not been addressed fully  or satisfactorily.  Impacted lands                                                               
are  a burden  and a  big  hurdle for  many economic  development                                                               
opportunities upon  Native lands.  Eklutna  Incorporated supports                                                               
HJR 6, which  asks the U.S. Congress to pass  legislation to hold                                                               
the   federal   government   responsible   for   remediation   of                                                               
contaminated lands  received under  ANCSA.   Eklutna Incorporated                                                               
believes  the  federal  government  has  a  financial  and  moral                                                               
obligation  to remediate  the  contaminated  sites and  reimburse                                                               
funds spent by Native corporations on the contaminated sites.                                                                   
                                                                                                                                
2:05:12 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO closed public testimony on HJR 6.                                                                             
                                                                                                                                
2:05:21 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  related that in a  subcommittee meeting                                                               
with the  Department of  Environmental Conservation  (DEC), there                                                               
was some  recognition by DEC  officials that many of  these sites                                                               
date to  World War  II and the  Cold War when  everyone was  in a                                                               
hurry to  win what  they were  striving for.   It  is interesting                                                               
that a  lot of the  national environmental laws came  into effect                                                               
in  the  mid-1960s.     The  one  that  some   people  find  most                                                               
troublesome is the 1969 National  Environmental Policy Act (NEPA)                                                               
where federal agencies cannot start  any project without doing at                                                               
least an  environmental assessment  and perhaps  an environmental                                                               
impact  statement (EIS).    Many  of these  acts  were signed  by                                                               
President Richard Nixon.   He said he only notes  this because he                                                               
commends Representative  Millett for  her actions,  but it  is an                                                               
interesting thought that these statutes  have made things better.                                                               
What  hasn't   gotten  better,   and  he   shares  Representative                                                               
Millett's  concern,  is  the  delay  in  all  of  this.    It  is                                                               
unconscionable, he said, and something needs to be done.                                                                        
                                                                                                                                
2:06:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON  appreciated  the sponsor  bringing  forth                                                               
this resolution,  saying this  needs to  be looked  at throughout                                                               
the lands of  Alaska and the responsible party should  be the one                                                               
in charge of ensuring that remediation takes place.                                                                             
                                                                                                                                
CO-CHAIR TALERICO concurred.                                                                                                    
                                                                                                                                
2:07:31 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HAWKER moved  to report  HJR 6  out of  committee                                                               
with  individual  recommendations   [and  the  accompanying  zero                                                               
fiscal note].  There being no  objection, HJR 6 was reported from                                                               
the House Resources Standing Committee.                                                                                         
                                                                                                                                
The committee took an at-ease from 2:07 p.m. to 2:11 p.m.                                                                       
                                                                                                                                
        HJR  7-OPPOSE ALEUTIAN NATIONAL MARINE SANCTUARY                                                                    
                                                                                                                                
2:11:29 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO announced  that the final order  of business is                                                               
HOUSE JOINT  RESOLUTION NO. 7, Opposing  the proposed designation                                                               
of  an Aleutian  Islands National  Marine Sanctuary.  [Before the                                                               
committee was CSHJR 7(FSH).]                                                                                                    
                                                                                                                                
2:11:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HAWKER moved to adopt  CSHJR 7(FSH) as the working                                                               
document.  There being no  objection, CSHJR 7(FSH) was before the                                                               
committee.                                                                                                                      
                                                                                                                                
2:12:13 PM                                                                                                                    
                                                                                                                                
TIM  CLARK,  Staff,  Representative Bryce  Edgmon,  Alaska  State                                                               
Legislature, explained the  resolution declares the legislature's                                                               
opposition  to a  nomination  made by  the  Public Employees  for                                                               
Environmental   Responsibility   (PEER),   a   group   based   in                                                               
Washington, DC, although  the group does have  some membership in                                                               
Alaska.    The  nomination  was   to  the  National  Oceanic  and                                                               
Atmospheric Administration (NOAA) for  the creation of what would                                                               
be called the Aleutian Islands  National Marine Sanctuary.  Since                                                               
introduction  of  the original  resolution  PEER  has received  a                                                               
rejection from NOAA.  However,  because NOAA also invited PEER to                                                               
revise  and  perhaps   resubmit  its  nomination,  Representative                                                               
Edgmon, in  consultation with  many of  the communities  that are                                                               
upset  about  this   issue,  decided  to  go   forward  with  the                                                               
resolution.   He  said CSHJR  7(FSH)  includes acknowledgment  of                                                               
this recent development.                                                                                                        
                                                                                                                                
MR. CLARK noted  that many of the communities  located within the                                                               
proposed sanctuary  boundary are  in large  part upset  that they                                                               
were never consulted by any of  the groups that brought forth the                                                               
nomination to  NOAA.  The  communities are perhaps more  upset by                                                               
the contents  of the nomination  itself, which would have  put an                                                               
area of  554,000 square  nautical miles into  a sanctuary.   That                                                               
area is  nearly equal  to the  entire land mass  of the  state of                                                               
Alaska.   It  would have  locked in  all current  restrictions on                                                               
fishing and  other commerce in  that whole  vast area.   Also, it                                                               
would have sought significant new  restrictions that likely would                                                               
obstruct present and future economic  activity.  Those additional                                                               
restrictions  are   enumerated  pretty  specifically   in  PEER's                                                               
nomination document.                                                                                                            
                                                                                                                                
2:15:28 PM                                                                                                                    
                                                                                                                                
MR. CLARK  continued, stating the  nomination also  disregards an                                                               
extraordinary    amount    of   conscientious    and    effective                                                               
environmental  stewardship that  already  exists  in the  region.                                                               
More  than 227,000  square nautical  miles of  the Aleutians  are                                                               
already  designated  critical  habitat conservation  area.    The                                                               
Aleutians  are subject  to the  North Pacific  Fishery Management                                                               
Council's Aleutian  Islands Fishery  Ecosystem Plan  which brings                                                               
heightened  scientific  scrutiny  to  assess the  health  of  the                                                               
ecosystem to  ensure fisheries sustainability and  the well-being                                                               
of the  communities there.   Also,  the fisheries  and ecosystems                                                               
are  rigorously managed  under the  Alaska Department  of Fish  &                                                               
Game (ADF&G),  the North Pacific Fishery  Management Council, and                                                               
Alaska's Board of  Fisheries, as well as  research and management                                                               
through  the National  Marines Fisheries  Service.   For shipping                                                               
there  is  an ongoing  Aleutian  Islands  Risk Assessment,  which                                                               
includes development  of the Optimal Response  System for towing,                                                               
salvage,  and [spill]  response capabilities.   Offshore  oil and                                                               
gas  development risk  is very  low  following President  Obama's                                                               
December [2014] withdrawal  of more than 32 million  acres in the                                                               
North Aleutian Basin from exploration leasing.                                                                                  
                                                                                                                                
MR. CLARK reiterated that there  was almost no local consultation                                                               
to Representative Edgmon's knowledge.   He said there is no local                                                               
support  for the  proposed marine  sanctuary that  Representative                                                               
Edgmon  is  aware   of  from  having  talked   with  many  people                                                               
throughout his district.  On  the contrary, Representative Edgmon                                                               
has  received   either  resolutions   or  official   letters  [of                                                               
opposition]  from  the  Aleutians   East  Borough  Assembly,  the                                                               
federally recognized  [Agdaagux Tribe]  of King Cove,  the Akutan                                                               
Traditional  Council, the  City of  Sand Point,  and the  City of                                                               
Adak,  among others.   The  City  of Unalaska  recently voted  to                                                               
oppose this and any such similar nomination.                                                                                    
                                                                                                                                
2:18:42 PM                                                                                                                    
                                                                                                                                
MR.  CLARK,  in  response  to  Co-Chair  Talerico,  reviewed  the                                                               
sectional analysis regarding the changes  between HJR 7 and CSHJR                                                               
7(FSH).  He  said the substantive revisions  include inserting an                                                               
additional "whereas"  clause on  page 3,  lines 3-7,  which notes                                                               
NOAA's response  to PEER, as well  as addition of the  phrase "or                                                               
any similar  nomination" in the "resolve  on page 3, line  10, in                                                               
order to address  the possibility of the submission  of a revised                                                               
nomination by PEER or other entities.                                                                                           
                                                                                                                                
2:19:37 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HAWKER remarked that  basically the legislature is                                                               
sending a  very strongly worded  letter from the State  of Alaska                                                               
expressing its opinion to decision  makers in Washington, DC.  He                                                               
observed that  the distribution list for  the resolution includes                                                               
the U.S. Secretary  of Commerce, the Under  Secretary of Commerce                                                               
for  NOAA,  along with  Alaska's  congressional  delegation.   He                                                               
asked  whether  the   sponsor  thinks  this  is   a  wide  enough                                                               
distribution.                                                                                                                   
                                                                                                                                
MR.  CLARK replied  that  the nominating  process  in the  marine                                                               
sanctuary  program  exists  in   NOAA  and  the  distribution  is                                                               
addressed specifically  to the people overseeing  the nominations                                                               
program.  He said the  sponsor would welcome suggestions from the                                                               
committee if there are any.                                                                                                     
                                                                                                                                
REPRESENTATIVE HAWKER suggested the  sponsor may want to consider                                                               
whether the net is cast wide enough.                                                                                            
                                                                                                                                
MR. CLARK thanked Representative Hawker.                                                                                        
                                                                                                                                
2:21:32 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TALERICO opened public testimony  on HJR 7 and closed it                                                               
after ascertaining that no one wished to testify.                                                                               
                                                                                                                                
2:22:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HERRON  brought attention  to the  map delineating                                                               
the boundary  of the proposed  marine sanctuary.   He said  it is                                                               
incredulous that the group did  not consult any local people, the                                                               
indigenous  people,  or  the  State  of Alaska.    He  noted  the                                                               
proposed boundary completely  surrounds Nunivak Island, Kuskokwim                                                               
Bay, and Bristol  Bay, and therefore it is not  only the Aleutian                                                               
Islands.   Given that the  federal government is to  consult with                                                               
the State of Alaska and  Alaska's indigenous groups in its Arctic                                                               
strategies,  he commended  the U.S.  Department  of Commerce  for                                                               
doing this  correctly.  It is  important for the state  to always                                                               
insist on  being consulted when  decisions are being made  so far                                                               
away from Alaska, he added.                                                                                                     
                                                                                                                                
REPRESENTATIVE JOSEPHSON  said he echoes  Representative Herron's                                                               
comments.     Drawing  attention   to  the  U.S.   Department  of                                                               
Commerce's letter of  January 23, 2015, he noted it  came 31 days                                                               
after the submittal.  In  its letter, he observed, the department                                                               
highlights  the  lack  of  local  participation  as  well  as  no                                                               
clarification  of support  from  the federal  and state  agencies                                                               
listed as potential  management partners.  He  commended the U.S.                                                               
Department of Commerce.                                                                                                         
                                                                                                                                
REPRESENTATIVE  SEATON  noted  that  management  of  the  [Alaska                                                               
Maritime  National  Wildlife  Refuge]   would  overlay  into  the                                                               
proposed sanctuary  designation.   He said  he hasn't  heard from                                                               
anyone that the refuge designation  is problematic in any way and                                                               
he thinks  there has been  broad general support for  the refuge.                                                               
The visitor center  for the refuge is located in  Homer and gives                                                               
a picture  of those kinds of  ecosystems.  He suggested  that the                                                               
sponsor may  want to include  that overlapping  responsibility as                                                               
the resolution moves along.                                                                                                     
                                                                                                                                
CO-CHAIR  TALERICO related  that  he had  a  discussion with  the                                                               
sponsor this afternoon and the  sponsor is quite passionate about                                                               
this.  He offered his  appreciation to the sponsor for contacting                                                               
him to explain this issue.                                                                                                      
                                                                                                                                
2:26:50 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HAWKER  moved  to  report  CSHJR  7(FSH)  out  of                                                               
committee with  individual recommendations [and  the accompanying                                                               
fiscal  zero  fiscal note].    There  being no  objection,  CSHJR                                                               
7(FSH) was reported from the House Resources Standing Committee.                                                                
                                                                                                                                
The committee took an at-ease from 2:27 p.m. to 2:30 p.m.                                                                       
                                                                                                                                
2:29:57 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Resources Standing Committee meeting was adjourned at 2:30 p.m.                                                                 

Document Name Date/Time Subjects
HJR004A.pdf HRES 2/27/2015 1:00:00 PM
SRES 3/20/2015 3:30:00 PM
HJR 4
HJR 4 Sponsor Statement.pdf HRES 2/27/2015 1:00:00 PM
SRES 3/20/2015 3:30:00 PM
HJR 4
HB0115A.pdf HRES 2/27/2015 1:00:00 PM
HB 115
HB 115 Sponsor Statement.pdf HRES 2/27/2015 1:00:00 PM
HB 115
HB 115 FiscalNote.pdf HRES 2/27/2015 1:00:00 PM
HB 115
Draft A Legal Memo-HB 115.pdf HRES 2/27/2015 1:00:00 PM
HB 115
DNR Land Entitlement Brief 2 19 15 (2).docx HRES 2/27/2015 1:00:00 PM
HB 115
AS 38.05.125.docx HRES 2/27/2015 1:00:00 PM
HB 115
Leg Research-State Lands.pdf HRES 2/27/2015 1:00:00 PM
HB 115
PL85-508.pdf HRES 2/27/2015 1:00:00 PM
HB 115
South Carolina Resolution.pdf HRES 2/27/2015 1:00:00 PM
State asks feds for transfer of 19,322 disputed acres on North Slope.pdf HRES 2/27/2015 1:00:00 PM
HB 115
HJR6 ver A.PDF HRES 2/27/2015 1:00:00 PM
HJR 6
HJR 6 Sponsor Statement.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-Unalakleet PCB.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-Report to Congress. Hazardous Substance Contamination.pdf.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-Pribilof Islands TDX.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-Letter ANCVA.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-ANCVA Resolution.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-ANCSA Resolution.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR6 Supporting Documents-AFN Resolution.pdf HRES 2/27/2015 1:00:00 PM
HJR 6
HJR 7 CSHJR7 Sponsor Statement.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 CSHJR7(FSH) Version E.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Explanation of Changes in CSHJR7(FSH).pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Fiscal Note LEG-SESS-02-04-2015.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 NOAA 1.23.2015 Response to PEER.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 NOAA--The Sanctuary Nomination Process.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 PEER 12_22-14_Aleutian_Islands_NMS_Nomination.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Proposed Boundaries--Aleutian Islands National Marine Sanctuary.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Document--City of Adak Opposing ANIMS Nomination.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--Agdaagux Tribe of King Cove Resolution.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--Akutan Corporation--Letter of Opposition to an Aleutian Island National Sanctuary.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--Akutan Traditional Council--Letter of Opposition to an Aleutian Island National Marine Sanctuary.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--Aleutians East Borough Resolution.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--Aleutians East Borough Resolution.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--King Cove Corporation Opposition to AINMS.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Supporting Documents--SWAMC Board Resolution FY15-04 AINMS Nomination.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
HJR 7 Version W.pdf HRES 2/27/2015 1:00:00 PM
HJR 7
CS HB 115 Draft E-RES.pdf HRES 2/27/2015 1:00:00 PM
HB 115
HB 115 Differences Between A and E Versions.pdf HRES 2/27/2015 1:00:00 PM
HB 115
HB 115 Utah HB148.pdf HRES 2/27/2015 1:00:00 PM
HB 115