02/26/2018 01:00 PM House RESOURCES
| Audio | Topic |
|---|---|
| Start | |
| HB305 | |
| Confirmation Hearing(s):|| Big Game Commercial Services Board | |
| HB367 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| *+ | HB 367 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 305 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
HOUSE RESOURCES STANDING COMMITTEE
February 26, 2018
1:05 p.m.
MEMBERS PRESENT
Representative Andy Josephson, Co-Chair
Representative Geran Tarr, Co-Chair
Representative John Lincoln, Vice Chair
Representative Harriet Drummond
Representative Justin Parish
Representative Chris Birch
Representative DeLena Johnson
Representative George Rauscher
Representative David Talerico
MEMBERS ABSENT
Representative Mike Chenault (alternate)
Representative Chris Tuck (alternate)
COMMITTEE CALENDAR
HOUSE BILL NO. 305
"An Act relating to oil and hazardous substances and waiver of
cost recovery for containment and cleanup of certain releases;
and providing for an effective date."
- MOVED CSHB 305(RES) OUT OF COMMITTEE
CONFIRMATION HEARING(S):
Big Game Commercial Services Board
Michelle Heun - Palmer
Robert Beans - Palmer
Cash Joyce - Wasilla
Adam Trombley - Anchorage
- CONFIRMATION(S) ADVANCED
HOUSE BILL NO. 367
"An Act relating to the liability of a Native corporation for
the release or threatened release of hazardous substances
present on certain lands."
- HEARD & HELD
PREVIOUS COMMITTEE ACTION
BILL: HB 305
SHORT TITLE: OIL/HAZARDOUS SUB.:CLEANUP/REIMBURSEMENT
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR
01/24/18 (H) READ THE FIRST TIME - REFERRALS
01/24/18 (H) RES, FIN
02/09/18 (H) RES AT 1:00 PM BARNES 124
02/09/18 (H) Heard & Held
02/09/18 (H) MINUTE(RES)
02/23/18 (H) RES AT 1:00 PM BARNES 124
02/23/18 (H) Heard & Held
02/23/18 (H) MINUTE(RES)
02/26/18 (H) RES AT 1:00 PM BARNES 124
BILL: HB 367
SHORT TITLE: NATIVE CORP. LIABILITY FOR CONTAMINATION
SPONSOR(s): MILLETT
02/21/18 (H) READ THE FIRST TIME - REFERRALS
02/21/18 (H) RES, JUD
02/26/18 (H) RES AT 1:00 PM BARNES 124
WITNESS REGISTER
KRISTIN RYAN, Director
Division of Spill Prevention and Response
Department of Environmental Conservation
Anchorage, Alaska
POSITION STATEMENT: Answered a question during the hearing of
HB 305.
MICHELLE HEUN, Appointee
Big Game Commercial Services Board
Palmer, Alaska
POSITION STATEMENT: Testified as appointee to the Big Game
Commercial Services Board, Division of Corporations, Business
and Professional Licensing, Department of Commerce, Community &
Economic Development.
ROBERT BEANS, Appointee
Big Game Commercial Services Board
Palmer, Alaska
POSITION STATEMENT: Testified as appointee to the Big Game
Commercial Services Board, Division of Corporations, Business
and Professional Licensing, Department of Commerce, Community &
Economic Development.
CASH JOYCE, Appointee
Big Game Commercial Services Board
Palmer, Alaska
POSITION STATEMENT: Testified as appointee to the Big Game
Commercial Services Board, Division of Corporations, Business
and Professional Licensing, Department of Commerce, Community &
Economic Development.
ADAM TROMBLEY, Appointee
Big Game Commercial Services Board
Anchorage, Alaska
POSITION STATEMENT: Testified as appointee to the Big Game
Commercial Services Board (BGCSB), Division of Corporations,
Business and Professional Licensing, Department of Commerce,
Community & Economic Development.
SAM ROHRER, President
Alaska Professional Hunters Association
Kodiak, Alaska
POSITION STATEMENT: Testified in support of the appointment of
Mr. Joyce and the reappointment of Mr. Trombley as appointees to
the Big Game Commercial Services Board.
REPRESENTATIVE CHARISSE MILLETT
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Speaking as the sponsor, introduced HB 367.
HANS RODVIK, Staff
Representative Charisse Millett
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: On behalf of Representative Millett,
sponsor, presented the sectional analysis of HB 367.
CURTIS MCQUEEN, Chief Executive Officer
Eklutna Inc.
Anchorage, Alaska
POSITION STATEMENT: Testified in support during the hearing of
HB 367.
HALLIE BISSETT, Executive Director
Alaska Native Village Corporation Association
Anchorage, Alaska
POSITION STATEMENT: Testified in support during the hearing of
HB 367.
ACTION NARRATIVE
1:05:49 PM
CO-CHAIR ANDY JOSEPHSON called the House Resources Standing
Committee meeting to order at [1:05] p.m. Representatives
Josephson, Birch, Parish, Talerico, Johnson, Lincoln,
[Drummond], and Tarr were present at the call to order.
Representative Rauscher arrived as the meeting was in progress.
HB 305-OIL/HAZARDOUS SUB.:CLEANUP/REIMBURSEMENT
1:06:59 PM
CO-CHAIR JOSEPHSON announced that the first order of business
would be HOUSE BILL NO. 305, "An Act relating to oil and
hazardous substances and waiver of cost recovery for containment
and cleanup of certain releases; and providing for an effective
date."
CO-CHAIR JOSEPHSON reviewed the discussion of HB 305 [at the
previous hearing on 2/23/18].
1:07:56 PM
REPRESENTATIVE LINCOLN moved to adopt Amendment 1, labeled 30-
GH2583\A.1, Nauman, 2/26/18, which read:
Page 2, lines 5 - 7:
Delete all material and insert:
"(1) the release was from piping, tankage,
or other equipment used solely to provide space heat
or electrical power generation for a building used
primarily for residential purposes and that does not
consist of more than four dwelling units;"
REPRESENTATIVE TARR objected for discussion purposes.
1:08:21 PM
REPRESENTATIVE LINCOLN moved to adopt Conceptual Amendment 1 to
Amendment 1, to delete the word "space" [on line 4]. He
explained - as discussed at the previous hearing - the purpose
of Conceptual Amendment 1 is to allow [mixed sources of fuel] to
provide heat to other systems, such as heating water. There
being no objection, Conceptual Amendment 1 to Amendment 1 was
adopted.
REPRESENTATIVE LINCOLN explained the purpose of Amendment 1, as
amended, is to allow the Department of Environmental
Conservation (DEC) discretion to choose not to seek cost
recovery from residents who also have small commercial
operations within their homes, such as a wood-splitting business
in the garage, or a small store in the home.
REPRESENTATIVE DRUMMOND expressed support for Amendment 1.
REPRESENTATIVE LINCOLN recognized Representative Talerico, DEC,
and Legislative Legal Services for their work on the bill.
1:10:48 PM
KRISTIN RYAN, Director, Division of Spill Prevention and
Response, DEC, informed the committee DEC has no objection to
Amendment 1, [as amended], which is consistent with how DEC
seeks to implement the proposed legislation.
1:11:03 PM
The committee took a brief at-ease.
CO-CHAIR JOSEPHSON asked if Co-Chair Tarr maintained her
objection.
1:11:09 PM
CO-CHAIR TARR removed her objection. There being no further
objection, Amendment 1, as amended, was adopted.
1:12:50 PM
CO-CHAIR TARR moved to rescind the committee's action in
adopting [Conceptual Amendment 1 to HB 305 at the hearing of
2/23/18]. There being no objection, it was so ordered.
REPRESENTATIVE PARISH spoke in support of the bill, and said HB
305 would aid individual homeowners who are dealing with an oil
spill and remove their apprehension about reporting a spill to
DEC.
CO-CHAIR TARR spoke in support of the bill; she pointed out
Fiscal Note Identifier: DEC-SPAR-01-22-18 indicated a loss of
$60,000 per year in revenue to DEC, which would "have to be paid
for in another way."
1:14:59 PM
The committee took an at-ease from 1:14 p.m. to 1:16 p.m.
1:16:26 PM
CO-CHAIR TARR moved to report HB 305, as amended, out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, CSHB 305(RES) was
reported from the House Resources Standing Committee.
1:16:51 PM
The committee took an at-ease from 1:16 p.m. to 1:20 p.m.
^CONFIRMATION HEARING(S):
^Big Game Commercial Services Board
CONFIRMATION HEARING(S):
Big Game Commercial Services Board
1:20:05 PM
CO-CHAIR JOSEPHSON announced that the next order of business
would be confirmation hearings of appointees to the Big Game
Commercial Services Board (BGCSB).
1:21:09 PM
MICHELLE HEUN, appointee, informed the committee she has been
newly appointed to fill a transporter vacancy on the BGCSB. She
said she is retired from state employment and owns and operates
a small family lodge in the Talkeetna Mountains.
CO-CHAIR TARR asked whether lodge activities qualify Ms. Heun
for the transporter vacancy on BGCSB.
MS. HEUN said yes, she has been a licensed transporter since
June 2014, and thus is very interested in the rules and
regulations affecting her business.
CO-CHAIR TARR asked Ms. Heun to comment on the reported tensions
between transporters and guides related to sheep hunting.
MS. HEUN said her personal experience is that transporter
guidelines are very clear to follow, even though there has been
a change in fees.
CO-CHAIR JOSEPHSON asked for her background related to big game
laws and regulations.
MS. HEUN explained her family business began in December 1995,
and big game regulations require her - as a lodge owner who
rents cabins to hunting clients - to become a licensed
transporter; her lodge also provides commercial food services
and is licensed by the Matanuska-Susitna Borough; she said she
is diligent and believes problems between guides and
transporters can be worked out.
CO-CHAIR JOSEPHSON, as an aside, stated the committee would not
be voting for or against confirmation of any of the appointees
during today's hearing.
1:25:35 PM
REPRESENTATIVE PARISH surmised [BGCSB] may make decisions that
might benefit Ms. Heun's business financially; however, he
pointed out on her [Board/Commission] application, she indicated
she has no conflict of interest.
MS. HEUN said she has no conflict of interest because her lodge
is "weather driven," and is not dependent upon clients for
revenue; her interest in state resources is in the preservation
of wild game and on ethical hunting. Ms. Heun said she is a
proponent of reserving land for future use, and restated she has
no conflict.
REPRESENTATIVE PARISH observed a transporter has a professional
connection to big game hunters, and an issue before BGCSB may
have a bearing on Ms. Heun's business.
MS. HEUN agreed for an issue pertaining to [Game Management]
Unit 13, where her lodge is located, she would recuse herself
from voting; however, she stressed hunting is not her primary
source of revenue.
REPRESENTATIVE BIRCH noted the position must be filled by a
licensed transporter - so, clearly - there would not be a
conflict.
REPRESENTATIVE JOHNSON recalled her personal experience at a
lodge and expressed her confidence in the appointee in all
matters.
1:30:30 PM
ROBERT BEANS, appointee, informed the committee he is a lifelong
Alaskan who brings to the board vast expertise serving on boards
and commissions at local, regional, state, and national levels.
Mr. Beans said he understands the workings of boards and seeks
to serve on the BGCSB to represent private landowners. He
currently is a member of the board of directors of both Calista
Corporation and the Alaska Village Electric Cooperative, and has
many years of past service to other organizations.
CO-CHAIR JOSEPHSON questioned whether there is a specific seat
on BGCSB for landowners.
MR. BEANS said yes. In further response to Co-Chair Josephson,
he explained the appointee to the landowner seat would ensure
the land is protected when there is hunting and fishing
activity.
REPRESENTATIVE DRUMMOND advised Mr. Beans is known to her and is
well-suited for the appointment.
REPRESENTATIVE PARISH recognized Mr. Beans' military service.
MR. BEANS, in response to Co-Chair Josephson, said he lives in
Palmer.
CO-CHAIR TARR informed the committee the regulated professions
represented on BGCSB are: assistant guide; class-A assistant
guide; master guide-outfitter; registered guide-outfitter;
retired guide-outfitter and transporter; in addition, the
membership includes two licensed registered guide outfitters,
two licensed transporters, two private landholders, two public
members, and one member from the Alaska Board of Game.
1:36:28 PM
CASH JOYCE, appointee, said he is a lifelong Alaskan who owns
several businesses. Mr. Joyce stated he is suited to represent
Alaskans in an unbiased manner. In response to Co-Chair
Josephson, he confirmed he is a licensed transporter and was
appointed to a transporter seat.
CO-CHAIR TARR restated her question related to reported tensions
between transporters and guides.
MR. JOYCE said he does not have a private campaign; his multiple
businesses are based upon transporting and guiding residents and
nonresidents.
REPRESENTATIVE LINCOLN asked whether Mr. Joyce is also a
licensed and registered guide and outfitter.
MR. JOYCE said correct. In further response to Representative
Lincoln, he opined all have the right to use the land, residents
and nonresidents. It is in the best interest of transporters or
tour operators to be unbiased as to whether they are serving
residents or nonresidents. He restated his intention to
represent the people.
REPRESENTATIVE LINCOLN asked for a further description of the
competing interests between transporters and guides.
MR. JOYCE explained the conflict is that transporters transport
residents and nonresidents, depending on species; for example,
[to hunt certain] species, nonresidents must be guided.
Conversely, the business of a registered guide is founded on
nonresidents, thus a guide "might be a little bit biased. "
1:42:10 PM
REPRESENTATIVE PARISH, after confirming Mr. Joyce owns several
businesses affiliated with big game industries, directed
attention to the Board/Commission application under Conflict of
Interest and read:
Is it possible that you or any member of your family
will benefit financially by decisions made by the
board or commission ...?
MR. JOYCE expressed his belief it is inherent he may or may not
benefit and said, "... I'm just a liaison, I don't make the
regulations."
CO-CHAIR JOSEPHSON surmised from Mr. Joyce's testimony a
transporter serves clients from in- or out-of-state, and a big
game guide might give more attention to out-of-state interests.
MR. JOYCE said correct.
REPRESENTATIVE RAUSCHER asked how long Mr. Joyce worked in
construction.
MR. JOYCE said he is not bound by one occupation, but works in
different occupations, and has no conflicts of interest. In
further response to Representative Rauscher, he said he works
every day at one business or another.
REPRESENTATIVE TALERICO questioned whether Mr. Joyce's
experience with licensed guide and licensed transporter
examinations would be beneficial, should BGCSB make
recommendations for changes to improve the examination and
licensing system.
MR. JOYCE indicated yes.
REPRESENTATIVE JOHNSON inquired as to the different viewpoints
held by a transporter and a licensed-registered guide.
1:47:03 PM
MR. JOYCE said his wife and he have an air service that serves
not only hunters, but other air taxi clients; although he wants
all three of his businesses to thrive, he would separate his
interest to prevent any bias of one over the other.
REPRESENTATIVE JOHNSON asked how many clients are provided only
transport compared with those who are also provided guiding
services.
MR. JOYCE estimated transporting is a smaller portion [of his
businesses], and the air taxi business is growing; in the
future, he expects the air taxi and transporting percentages to
remain higher than that of guiding.
CO-CHAIR JOSEPHSON opined the [Board/Commission application]
conflict of interest questions are difficult to answer - under
some circumstances, a conflict of interest would occur - and the
questions may be misread.
REPRESENTATIVE PARISH asked Mr. Joyce whether the right to
harvest game should be dependent upon residency status.
MR. JOYCE said no; he stated ADFG is the governing body in this
matter.
1:52:25 PM
ADAM TROMBLEY, appointee, informed the committee he is seeking
reappointment to BGCSB and is a lifelong Alaskan. Mr. Trombley
said he has been involved in public service for the last 10
years, and is now vice chair of BGCSB.
REPRESENTATIVE PARISH direction attention to Mr. Trombley's
professional experience with [Nalco Champion].
MR. TROMBLEY explained Nalco Champion is a specialty chemical
provider to the oil industry.
REPRESENTATIVE DRUMMOND inquired as to what seat Mr. Trombley
seeks.
MR. TROMBLEY said a public member seat.
1:54:28 PM
REPRESENTATIVE PARISH asked for Mr. Trombley's personal
experience related to big game, and as a member of the board.
MR. TROMBLEY said he is a hunter with no experience as a guide.
During the past year, BGCSB has reviewed proposed legislation
and he has enjoyed interacting with the industry. He related
when people violate rules, the industry intervenes appropriately
and BGCSB validates consent agreements to ensure the industry is
viewed as impartial by the public.
1:56:22 PM
CO-CHAIR JOSEPHSON opened public testimony.
1:56:51 PM
SAM ROHRER, President, Alaska Professional Hunters Association,
informed the committee Mr. Joyce is respected in the hunting
industry and is knowledgeable and experienced. The Alaska
Professional Hunters Association also supports the reappointment
of Mr. Trombley, because Mr. Trombley previously served as a
public member and understands the issues affecting the guiding
and transporting industries. Mr. Rohrer urged for their names
to be forwarded for confirmation by the legislature.
1:58:36 PM
CO-CHAIR JOSEPHSON, after ascertaining no one else wished to
testify, closed public testimony.
1:59:07 PM
CO-CHAIR TARR said the House Resources Standing Committee has
reviewed the qualifications of the governor's appointees to the
Big Game Commercial Services Board and recommends their names be
forwarded to a joint session of the House and Senate for
consideration. She reminded members that signing the reports
regarding appointments to boards and commissions in no way
reflects individual members' approval or disapproval of the
appointee, and that the nominations are merely forwarded to the
full legislature for confirmation or rejection.
[CO-CHAIR TARR moved to advance the confirmations of Michelle
Heun, Cash Joyce, Robert Beans, and Adam Trombley, appointees to
the Big Game Commercial Services Board, to a joint session of
the House and Senate for consideration. There being no
objection, the confirmations were advanced.]
[Objection by Representative Parish was ruled out of order by
Co-Chair Josephson.]
REPRESENTATIVE PARISH questioned the appointees' responses to
the conflict of interest section of the application, as there
inevitably could be some conflicts of interest that should have
been acknowledged and explained by the appointees.
CO-CHAIR JOSEPHSON suggested the fault is in the application
form.
REPRESENTATIVE PARISH urged the appointees to provide corrected
applications.
2:02:52 PM
REPRESENTATIVE BIRCH opined the fact is boards and commissions
are filled by those who make a living - and have expertise - in
the businesses at hand. He spoke in support of advancing the
appointees' names for consideration.
2:04:05 PM
CO-CHAIR JOSEPHSON announced the names were advanced.
The committee took an at-ease from 2:04 p.m. to 2:08 p.m.
HB 367-NATIVE CORP. LIABILITY FOR CONTAMINATION
2:08:37 PM
CO-CHAIR JOSEPHSON announced that the final order of business
would be HOUSE BILL NO. 367, "An Act relating to the liability
of a Native corporation for the release or threatened release of
hazardous substances present on certain lands."
2:08:40 PM
REPRESENTATIVE CHARISSE MILLETT, sponsor, explained HB 367 would
remove from Alaska Native corporations the liability for land
conveyed to them under the provisions of the Alaska Native
Claims Settlement Act (ANCSA). In 1971, nearly 44 million acres
of land began being conveyed to 12 Native corporations; much of
the selected lands were in proximity to Tribal and village land.
As an aside, Representative Millett disclosed she is a Doyon
Limited shareholder. She returned to the bill and explained
subsequent to conveyance, it was found some of the land had been
contaminated, much of it during the '50s, '60s, and '70s when
military scientific research and government nuclear testing were
conducted in Alaska. Further, radar installations were
established throughout the state prior to regulation by the U.S.
Environmental Protection Agency (EPA) and the Department of
Environmental Conservation (DEC). As the Native corporations
sought to develop their lands, the contamination was identified.
Representative Millett said HB 367 directs if the conveyed
(contaminated) land was not contaminated by the present
landowner, but by the federal government, the Native corporation
would be held harmless. She reminded the committee the same
issue was raised by previous legislation [HJR 29, passed in the
Twenty-Seventh Alaska State Legislature and HJR 6, passed in the
Twenty-Eight Alaska State Legislature] related to 137 legacy
wells, which were contaminated by military and\or private
testing; in the case of the legacy wells, "the federal
government now has been, taken ownership of the contamination
and now has cleaned them up ... [except] for 23." Although all
seek to clean up the lands, she said the Alaska Native
corporations should not suffer; in fact, a small corporation
would be depleted if held liable for the cost of complying with
state and federal regulations. She concluded ANCSA was a
wonderful idea, however, now that the lands are conveyed, Native
corporations are not able to assume the ownership of the land
and the liability for its restoration.
2:14:01 PM
HANS RODVIK, Staff, Representative Charisse Millett, Alaska
State Legislature, on behalf of Representative Millett, sponsor
of HB 367, paraphrased from the sectional analysis as follows
[original punctuation provided]:
Section 1: Amends AS 46.03.822(a) to reference
creation of new subsection N
Section 2: Amends AS 46.03.822(m), by including a new
definition of Native corporation, as given in Unites
States federal law
Section 3: Adds a new subsection (subsection N) to AS
46.03.822, which removes Alaska Native corporations
from liability from damages or costs related to
release or threatened release of hazardous substances
on their land, if that land was already contaminated
when it was transferred to them under the Alaska
Native Claims Settlement Act (ANSCA)
Section 4: Repeals AS 46.03.822(c)(3), which was an
insufficient attempt at properly absolving Alaska
Native corporations from liability to damages or costs
concerning contaminated lands they were transferred
under ANSCA
CO-CHAIR JOSEPHSON asked whether there is a legal distinction if
a Native corporation selected lands after December 1971, knowing
the land was contaminated.
REPRESENTATIVE MILLETT advised at the time of conveyance, many
Native corporations relied on Bureau of Land Management (BLM),
U.S. Department of the Interior (DOI), surveys that did not
reveal contamination. The contamination of lands yet to be
conveyed was discovered in the '90s, thus some of the
conveyances are "on hold," pending an understanding of the
liability issues.
CO-CHAIR JOSEPHSON questioned whether HB 367 would apply to
spills not by the federal government, such as those by a
contractor.
REPRESENTATIVE MILLETT said the bill relates to any
contamination of the land, and provided examples of contaminants
found.
MR. RODVIK added the [former] landowner responsible for the
largest number of sites - over 162 sites - is the U.S.
Department of Defense (DoD), a fact which was confirmed by DEC
in 2015.
CO-CHAIR JOSEPHSON asked for the role of Congress in this
matter.
REPRESENTATIVE MILLETT reminded the committee through the
aforementioned legacy well legislation, Alaska asked Congress
for recognition of the issue and for restoration funding, which
was partially accomplished by U.S. Senator Lisa Murkowski by a
$50 million rider attached to the [Fiscal year 2017 Interior and
Environment Appropriations Bill]. Although more funds are
needed, Native corporations continue to petition federal
agencies for [remediation funding].
2:20:03 PM
REPRESENTATIVE BIRCH asked whether there is a potential for
Native corporations to return or exchange lands that have a high
level of contamination, through the "over-selection" provision
of ANCSA.
REPRESENTATIVE MILLETT advised some transfers have been stopped;
she acknowledged there was a large amount of over-selection
[land] for some of these same reasons. She deferred to Mr.
Rodvik.
MR. RODVIK was unsure whether corporations could return
contaminated land; federal "land swaps" with the state do occur,
although he did not know what terms would be acceptable to
Native corporations.
REPRESENTATIVE JOHNSON recalled this issue has been discussed
around the state; in fact, near Nome there is radioactive waste.
She encouraged Representative Millett to add support from local
governments to the bill.
REPRESENTATIVE MILLETT agreed to continue seeking letters of
support; she stated the potential financial impact to the
Kuskokwim Corporation - if it were forced to assume
responsibility for cleaning up contamination - after it
"received the land in good faith."
2:24:17 PM
CO-CHAIR JOSEPHSON directed attention to a document, included in
the committee packet, provided by the Alaska Native Village
Corporation Association entitled, "ANCSA CONTAMINATED LAND"
dated September 2016, and a document provided by DEC entitled,
"Brownfields Resources for ANCSA Contaminated Lands," dated
10/16/16.
REPRESENTATIVE JOHNSON expressed her support for the bill.
2:25:06 PM
REPRESENTATIVE LINCOLN said the ultimate remedy is to correct a
historical injustice against - not just Alaska Native
corporations (ANCs) - but against everyone in the state. He
urged for a unified approach from all Alaskans, state
government, ANCs, and village corporations to advocate for the
bill in one voice. He restated liability is an existential
threat to ANCs and prevents accurate reporting of known sites to
DEC. Representative Lincoln directed attention to DEC's first
three recommendations for action: establish an exchange of
information between ANCSA landowners and federal, state, local,
and Tribal agencies; compile a coordinated and comprehensive
inventory of contaminated sites, as directed by HB 367; work at
the federal level.
REPRESENTATIVE MILLETT acknowledged not all the contaminated
land in Alaska is owned by Native corporations; her research
revealed beginning in the '30s, '40s, and '50s military and
scientific testing occurred on what was considered inhabitable
land, especially from the Alaska Peninsula to the Aleutian
Islands. Further, discussion of the situation in Alaska has
raised awareness of testing in other Western states, although
not to be compared to the testing that was done in Alaska prior
to statehood. She further agreed that a unified voice is
important and that in order for Native corporations to be
successful, they must be able to develop their assets.
REPRESENTATIVE RAUSCHER asked whether the lands in question have
to be "preidentified."
REPRESENTATIVE MILLETT explained HB 367 affects conveyed and
selected lands which are proven to have been contaminated prior
to their transfer to a Native corporation. However, due to the
fear of liability, some lands have not been completely surveyed
and some lands are very remote. In fact, oil and gas
exploration in remote areas has uncovered barrels of
contaminated waste.
REPRESENTATIVE JOHNSON inquired as to how many ANCs have
attempted to address environmental assessments of their lands.
REPRESENTATIVE MILLETT said land is owned by 12 Native
Corporations, Tribal corporations, and village corporations, and
over 1,000 sites have been identified, with varying degrees of
contamination. Cleanup costs could range from hundreds of
thousands of dollars to many millions of dollars; for example,
remediation of one legacy well has cost over tens of millions of
dollars.
2:32:59 PM
MR. RODVIK advised more information on environmental assessments
is forthcoming at a later hearing.
REPRESENTATIVE MILLETT pointed out DOI is aware of the problem
and commissioned a report in 1998 that contained action items,
and which was updated in 2016; however, although DOI has
accepted responsibility, work is needed to obtain federal
funding and begin restoration.
REPRESENTATIVE JOHNSON asked - subsequent to the passage of HB
367 - what the procedure to approach the federal government
would be.
REPRESENTATIVE MILLETT explained, in a manner similar to the
legacy well legislation, she would work in partnership with the
Alaska congressional delegation and with likeminded states.
Unlike ANCSA lands, responsible parties for some of the legacy
wells were unknown.
2:36:43 PM
CURTIS MCQUEEN, Chief Executive Officer, Eklutna Inc., informed
the committee Eklutna Inc. represents the first aboriginal
people of Anchorage and the Eklutna Dena'ina of the Matanuska-
Susitna Borough (Mat-Su Borough). He expressed his appreciation
of lawmakers' support. Mr. McQueen said Eklutna relied on
information it received prior to 1971 when it made its land
selections; in fact, because many of Eklutna's aboriginal lands
were already developed, Eklutna is still in the process of
receiving its land. In the village of Eklutna, the corporation
is in the process of removing a hydroelectric dam from the
Eklutna River and restoring salmon habitat. He said Eklutna is
very pro-development and is supportive of the military, although
one of its contaminated sites is Camp Mohawk, which was a mobile
[military] camp behind the Eklutna school between Cook Inlet and
the village. The Tribal government of Eklutna has worked to
clean up surface contamination from Camp Mohawk; however,
polychlorinated biphenyl (PCB) and diesel fuel have leached into
the silt bed and are reaching the mouth of the Eklutna River and
Cook Inlet. He said this threatens previous work that has been
done to restore king salmon in north Cook Inlet. Eklutna seeks
balance, and partners with the Alaska military; part of its
ANCSA land selection includes 17,000 acres of Joint Base
Elmendorf-Richardson (JBER). In response to an earlier
question, he said the lead agency seeking to identify and
address the cleanup of contaminated lands in Alaska is the U.S.
Army Corps of Engineers (USACE), which successfully cleans up
sites when funded. As a Formerly Used Defense Site (FUD site),
Eklutna is now five years into research of the site, and a plan
for cleanup should be complete within two more years. He said
the cleanup cost predictions are "well into the millions, maybe
tens of millions, just to clean up our site, alone." He noted
the Alaska congressional delegation continues to search for
future funding for USACE, and he urged for a joint resolution in
support of all of the federal agencies that are responsible for
restoration. Further, he advised Eklutna has sites that were
not contaminated by the military, such as land in the Mat-Su
Borough that was contaminated by railroad construction in the
'30s and '40s, and was cleaned up by the joint efforts of
Eklutna, the borough, and the state. From Eklutna's
perspective, DEC has not forced village corporations to restore
their land, which would bankrupt many of the 179 small village
corporations; however, he cautioned this policy could be altered
after a change of administration, and HB 367 would protect ANCSA
landowners as they search for funding. Mr. McQueen concluded
the current federal administration, the state administration,
village corporations, and ANCs are pro-development, but at the
same time need to address contaminated lands.
2:43:53 PM
REPRESENTATIVE BIRCH directed attention to a document provided
in the committee packet entitled, "Alaska Native Village
Corporation Association House Resources Committee," on the page
entitled, "2018 State Priorities," and praised priority "4.
Support the Stand For Alaska [campaign]." He then directed
attention to the page entitled, "2018 Federal Legislative
Priorities," priority "5. Swap ANCSA contaminated lands with
federal government," and asked whether swapping contaminated
land with the federal government is a realistic option.
MR. MCQUEEN expressed his belief ANCs and village corporations
do not have the aforementioned option; he pointed out Eklutna
has been waiting for 45 years for its 67,000 acres in the Knik
River watershed - although some land may be conveyed by 2019 -
that is clean and beautiful land. He explained the conveyance
process is slowed by many interest groups, bureaucracy, and the
lack of land; however, Eklutna would be interested in swapping
land.
REPRESENTATIVE PARISH asked whether the aforementioned land in
JBER has been granted to Eklutna.
MR. MCQUEEN explained Eklutna is part of the North Anchorage
Land Agreement and is owed approximately 17,000 acres within
JBER, and the Municipality of Anchorage is owed approximately
15,000 acres. In the '80s, parties agreed not to pursue legal
action; recently, he recalled, "part of JBER might have shrunk,
by the army shrinking the base," thus the shareholders of
Eklutna view the JBER land as a future conveyance, and do not
seek JBER land at this time due to its importance to the
military.
REPRESENTATIVE PARISH directed attention to the bill beginning
on page 2, line 27, and continuing to page 3, line 1 which read:
(n) In an action to recover damages or costs, a
Native corporation otherwise liable under this section
is relieved from liability under this section if the
Native corporation proves that the release or
threatened release of the hazardous substance to which
the damages relate occurred on land granted to the
Native corporation under 43 30 U.S.C. 1601 et seq.
(Alaska Native Claims Settlement Act) and the
hazardous substance was present on the land at the
time the land was granted.
REPRESENTATIVE PARISH gave an example of a serious spill
occurring tomorrow on Eklutna's acreage at JBER and asked
whether Eklutna would be held liable.
MR. MCQUEEN said the North Anchorage Land Agreement identifies
Eklutna land as a section located near Eagle River and the
Anchorage landfill, which may be received by Eklutna
incrementally, - as the base shrinks - and was conveyed in 1971.
Eklutna is not aware of any present contamination, thus Eklutna
will not know the condition of the land "until we get it."
2:50:50 PM
HALLIE BISSETT, Executive Director, Alaska Native Village
Corporation Association (ANVCA), informed the committee ANVCA
members represent about 176 village corporations that reside
within 12 land-based regional Native corporations created by
ANCSA. Since 2012, ANVCA has been working on the issue of
contaminated lands, and she acknowledged the support of
Representative Millett and others. She pointed out HB 367 is a
real solution that would shield village corporations from
liability, so they may continue to gather the inventory of
contaminated sites in Alaska, which has heretofore been
prevented due to the state's ability to assign liability when
contaminated sites are reported by villages. In addition, HB
367 would allow village corporations - once they are free from
legal designation as the responsible party - to apply for
additional funds at the federal level for cleanup, such as those
from the Brownsfields Grant Program. In response to an earlier
question, she said ANVCA seeks to return land to productive use,
and to provide technical training to villagers for jobs related
to environmental restoration work: HB 367 would provide many
benefits to rural Alaska. In response to Representative Birch,
she noted one of ANVCA's priorities is to swap land with the
federal government in the future, which is not currently an
option. Further, ANVCA will continue to seek appropriations
from the federal government, and guidance from the legislature
and DEC. She acknowledged past state support for related joint
resolutions, and legislators' present swift response to HB 367.
2:55:28 PM
CO-CHAIR JOSEPHSON questioned whether Congress needs to pass an
amendment to the Comprehensive Environmental Response
Compensation, and Liability Act (CERCLA).
MS. BISSETT said yes. U.S. Senator Dan Sullivan's amendment to
CERCLA was adopted in the U.S. Senate version; the U.S. House
bill passed without the desired language that provides a shield
from liability.
REPRESENTATIVE LINCOLN asked whether ANVCA would be eligible for
additional funding subsequent to the passage of HB 367, or if
federal action is needed.
MS. BISSETT said both the state and federal shields from
liability are needed.
[HB 367 was held over.]
2:58:32 PM
ADJOURNMENT
There being no further business before the committee, the House
Resources Standing Committee meeting was adjourned at 2:58 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Robert Beans 2018_Redacted.pdf |
HRES 2/26/2018 1:00:00 PM |
Big Game Commercial Services Board Confirmations |
| Michelle Heun 2017_Redacted.pdf |
HRES 2/26/2018 1:00:00 PM |
Big Game Commercial Services Board Confirmations |
| Cash Joyce_Redacted.pdf |
HRES 2/26/2018 1:00:00 PM |
Big Game Commercial Services Board Confirmations |
| Adam Trombley 2017_Redacted.pdf |
HRES 2/26/2018 1:00:00 PM |
Big Game Commercial Services Board Confirmations |
| HB305 Transmittal Letter 1.25.2018.pdf |
HRES 2/9/2018 1:00:00 PM HRES 2/23/2018 1:00:00 PM HRES 2/26/2018 1:00:00 PM |
HB 305 |
| HB305 ver A 1.25.2018.pdf |
HRES 2/9/2018 1:00:00 PM HRES 2/23/2018 1:00:00 PM HRES 2/26/2018 1:00:00 PM |
HB 305 |
| HB305 Sectional Analysis ver A 1.25.2018.pdf |
HRES 2/9/2018 1:00:00 PM HRES 2/23/2018 1:00:00 PM HRES 2/26/2018 1:00:00 PM |
HB 305 |
| HB305 Fiscal Note DEC-SPAR 1.25.2018.pdf |
HRES 2/9/2018 1:00:00 PM HRES 2/23/2018 1:00:00 PM HRES 2/26/2018 1:00:00 PM |
HB 305 |
| HB305 Supporting Document - Fact Sheet 1.25.2018.pdf |
HRES 2/9/2018 1:00:00 PM HRES 2/23/2018 1:00:00 PM HRES 2/26/2018 1:00:00 PM |
HB 305 |
| HB 367 Fiscal Note.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| HRES ANVCA Contaminated Lands Presentation 2.12.18.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 Sectional Analysis.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 Sponsor Statement.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 Supporting Docs 2016 Report to Congress ANSCA Contaminated Lands.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 Supporting Docs ANCSA-CONTAMINATED-LAND_Congress.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 Supporting Docs October 2016 ATCEM ANCSA.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 V. A.PDF |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| House Bill 367 Supporting Docs 1998 Report to Congress ANSCA Contaminated Lands.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| HB367 Supporting Documents - Contaminated_Lands_Inventory_of_ANCSA_Conveyed_Lands.pdf |
HRES 2/26/2018 1:00:00 PM HRES 2/28/2018 6:00:00 PM |
HB 367 |
| Amendment 1, Rep. Lincoln.pdf |
HRES 2/26/2018 1:00:00 PM |