Legislature(2019 - 2020)BARNES 124
04/26/2019 01:00 PM House RESOURCES
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| Audio | Topic |
|---|---|
| Start | |
| Presentation(s):|| Alaska Commercial Fishing Industry Update | |
| Arctic Strategic Transportation and Resources | |
| HR8 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HR 8 | TELECONFERENCED | |
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
HOUSE RESOURCES STANDING COMMITTEE
April 26, 2019
1:03 p.m.
MEMBERS PRESENT
Representative John Lincoln, Co-Chair
Representative Geran Tarr, Co-Chair
Representative Grier Hopkins, Vice Chair
Representative Sara Hannan
Representative Ivy Spohnholz
Representative Chris Tuck
Representative Dave Talerico
Representative George Rauscher
Representative Sara Rasmussen
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
PRESENTATION(S):
ALASKA COMMERCIAL FISHING INDUSTRY UPDATE
- HEARD
ARCTIC STRATEGIC TRANSPORTATION AND RESOURCES
- HEARD
HOUSE RESOLUTION NO. 8
Recognizing 2019 as the International Year of the Salmon and
supporting an associated global initiative identifying the importance
of wild salmon.
- MOVED CSHR 8(RES) OUT OF COMMITTEE
PREVIOUS COMMITTEE ACTION
BILL: HR 8
SHORT TITLE: 2019: INT'L YEAR OF THE SALMON
SPONSOR(s): REPRESENTATIVE(s) TARR
04/10/19 (H) READ THE FIRST TIME - REFERRALS
04/10/19 (H) FSH, RES
04/16/19 (H) FSH AT 10:00 AM GRUENBERG 120
04/16/19 (H) -- MEETING CANCELED --
04/23/19 (H) FSH AT 10:00 AM GRUENBERG 120
04/23/19 (H) Moved HR 8 Out of Committee
04/23/19 (H) MINUTE(FSH)
04/24/19 (H) FSH RPT 2DP 1NR 1AM
04/24/19 (H) DP: TARR, STUTES
04/24/19 (H) NR: VANCE
04/24/19 (H) AM: NEUMAN
04/24/19 (H) RES AT 1:00 PM BARNES 124
04/24/19 (H) Heard & Held
04/24/19 (H) MINUTE(RES)
04/26/19 (H) RES AT 1:00 PM BARNES 124
WITNESS REGISTER
FRANCES LEACH, Executive Director
United Fishermen of Alaska
Juneau, Alaska
POSITION STATEMENT: Provided a PowerPoint presentation entitled,
"Commercial Fishing Industry Update," and answered questions.
JEFF BRUNO, ASTAR Large Project Coordinator
Office of Project Management and Permitting
Department of Natural Resources
Anchorage, Alaska
POSITION STATEMENT: Co-provided a PowerPoint presentation entitled,
"2019 Arctic Strategic Transportation and Resources (ASTAR) Update,"
dated 4/26/19, and answered questions.
STEVEN MASTERMAN, Director
Division of Geological and Geophysical Surveys
Department of Natural Resources
Fairbanks, Alaska
POSITION STATEMENT: Co-provided a PowerPoint presentation entitled,
"2019 Arctic Strategic Transportation and Resources (ASTAR) Update,"
dated 4/26/19, and answered questions.
GORDON BROWER, Director
Planning and Community Services Department
North Slope Borough
Utqiagvik, Alaska
POSITION STATEMENT: Provided comments related to the Arctic Strategic
Transportation and Resources (ASTAR) project.
ACTION NARRATIVE
1:03:01 PM
CO-CHAIR JOHN LINCOLN called the House Resources Standing Committee
meeting to order at 1:03 p.m. Representatives Hannan, Rauscher,
Hopkins, Tarr, and Lincoln were present at the call to order.
Representatives Rasmussen, Spohnholz, Talerico, and Tuck arrived as
the meeting was in progress.
^PRESENTATION(S):
^ALASKA COMMERCIAL FISHING INDUSTRY UPDATE
PRESENTATION(S):
Alaska Commercial Fishing Industry Update
1:03:31 PM
CO-CHAIR LINCOLN announced the first order of business would be a
presentation by United Fishermen of Alaska.
1:04:07 PM
REPRESENTATIVE HANNAN referred to the Fish Group, Tax Division,
Department of Revenue, presentation on 4/24/19, as related to the
common property fishery assessment. She said the zero allocation for
fiscal year 2018 (FY 18) raised the question of what caused the
assessment to drop from over $1 million in FY 14 to zero in FY 18.
Representative Hannan explained the assessment allows a hatchery to
pay for its operating overhead; state hatcheries hire fishers to catch
their fish and use a portion for their allocation. Hidden Falls
Hatchery is located in a terminal area and the hatchery gets 20
percent from all of the fish caught; in FY 14, Hidden Falls Hatchery's
20 percent was over $1 million. Douglas Island Pink and Chum, Inc.,
(DIPAC) hatchery is very successful and in FY 18, DIPAC covered Hidden
Falls Hatchery's cost recovery so that the fishers at Hidden Falls
Hatchery did not have to share their profits. She explained the
common property fishery assessment was zero because DIPAC paid its
fishery enhancement loan and is now paying for other hatcheries to
continue to operate.
1:06:49 PM
FRANCES LEACH, Executive Director, United Fishermen of Alaska (UFA),
informed the committee UFA was founded in 1974 by a group of
commercial fishers who sought a unified voice for the commercial
fishing industry. Its objectives are: promote positive relations
between industry sectors; support all commercial gear types and remain
neutral on allocative issues between commercial gear groups; protect
industry from attack through initiatives and legislation; promote
industry safety; promote healthy fishery resources by supporting
research and habitat protection; support adequate funding for fishery
research, management and enforcement; oppose fish farming for finfish;
support the development of new fisheries; educate industry, the public
and the government; support efforts to increase consumption of Alaska
seafood; promote quality standards from harvesters; promote consumer
access to seafood by maintaining a stable supply of product to
processors (slide 1). Slide 2 listed UFA's 36 member groups and areas
of operation across the state representing Alaska commercial fishers
and crewmembers, individual permitholder members, and others (slide
2).
1:09:35 PM
CO-CHAIR TARR asked whether the UFA member groups have staff.
MS. LEACH said all have at least an executive director and a board of
directors of which members serve on the UFA board. She continued to
note the Alaska State Constitution includes a sustainability mandate
and Alaska has one of best managed fisheries in the world, which she
attributed to state, federal, and international agencies and a
science-based public process. She stressed the importance of seasonal
and dynamic fisheries that are maintained by funding for their
effective management. The seafood industry is a heavily regulated
industry: there are closures due to low returns and also due to a
lack of data, which cause a loss of revenue for participants and for
the state. Ms. Leach listed major fishery management bodies and
organizations (slide 3).
REPRESENTATIVE HOPKINS asked whether fisheries management programs
were impacted by the federal government shutdown.
MS. LEACH said there were significant impacts on the work by the
National Oceanic and Atmospheric Administration (NOAA), and seiners in
Southeast were awaiting permit renewals. In further response to
Representative Hopkins, she said she did not believe openings were
delayed, but if the [shutdown] had continued, area management
biologists would not have been available at the start of the salmon
season.
1:13:19 PM
MS. LEACH continued to slide 4, entitled, "Who and What is Alaska
Seafood?":
• the seafood industry is Alaska's largest private sector employer
creating over 60,000 direct jobs including fishers, tenders,
processors, and fishery managers
• 320 commercial fisheries species/gear/area combinations permitted
in Alaska; 80 are limited entry, and 197 of which had fishing
activity and deliveries in 2018
• commercial fisheries employed over 27,000 fishers and crew
including 15,000 Alaska residents
• over 21,000 Alaska rural residents employed by the seafood
industry comprising 15 percent of rural jobs
• commercial fishing permitholders live in over 200 communities
• of over 20,000 commercial fishing crewmembers, more than one-half
are Alaska residents
MS. LEACH continued to slide 5, entitled, "Value of Alaska Seafood":
• seafood is a diverse industry ranging from large corporations to
family businesses and sole proprietors
• 80 different seafood species fished in Alaska
• five to six billion pounds of seafood are harvested per year -
worth approximately $4 billion to $5 billion in first wholesale
value - in Alaska state waters and in the federal exclusive
economic zone (EEZ)
• Alaska fishers and processors contributed over $146 million in
federal, state, and local taxes and fees.
• ex-vessel revenues amounted to $1.99 billion [sic] in 2017
• processing companies employed nearly 25,000 workers in 2015,
approximately 7,400 were Alaska residents
• seafood processing is the largest manufacturing sector in Alaska,
representing 72 percent
• seafood is Alaska's top export representing over $3.4 billion in
2017, of which nearly one-third was exported to China
REPRESENTATIVE TALERICO asked whether first wholesale value refers to
the first sale from the fisher to the processor.
MS. LEACH said correct, and added first wholesale value is also
referred to as ex-vessel value.
CO-CHAIR LINCOLN surmised approximately 50 percent of those who are
commercial fishing in Alaska are not residents.
1:16:57 PM
MS. LEACH noted a further breakdown on commercial fishing to indicate
[the residents] who are processors and plant workers would follow.
Slide 6, provided by the Alaska Seafood Marketing Institute. compared
the harvest volume and value by species. A chart of harvest volume
indicated Alaska pollock was 57 percent of seafood harvest; a chart of
ex-vessel value indicated Alaska pollock was 22 percent of value;
salmon makes up only 14 percent of volume but is the most valuable at
34 percent; crab represented 1 percent of volume and 12 percent of
value. She pointed out landing taxes are based on ex-vessel value and
not by pound. Continuing to slide 7, entitled, "Markets for Alaska
Seafood" she said:
• seafood is Alaska's number 1 export
• 75 percent of seafood production is exported annually to 100
countries
• U.S. is the largest market, ranging from 25 percent to 40 percent
• China/South Korea are the largest trading partners primarily for
reprocessing
• Japan/Europe are the largest direct foreign markets
• most Alaskans access seafood through the commercial fishing
sector
CO-CHAIR LINCOLN asked for a description of overseas processing.
MS. LEACH said a large amount of pollock is reprocessed into fish
sticks and returned to the U.S., which would be affected by trade
tariffs. Continuing to slide 8 entitled, "Fishing in Alaska-A Way of
Life for Generations" she said:
• Alaska has many small-boat, family-style fishing operations
• countless fishing businesses are family based
• families have harvested fish for generations
• fisheries support local economies
• fisheries provide a valuable source of protein and nutrients
• fisheries provide food security
MS. LEACH continued to slide 10 entitled, "Independent
fishermen=small businesses=investment" and said each fishing and
processing operation represents significant long-term investment in
vessels and/or facilities, permits, equipment, safety, and food
safety compliance; for example, a Southeast seine permit costs
$250,000. Slide 11 listed national impacts of the Alaska seafood
industry for 2015 and 2016, as reported by the [McDowell Group,
Marketing and Management Consultants], related to employment and
income by sectors of the seafood fishing industry.
1:21:39 PM
REPRESENTATIVE TUCK asked whether the "restaurants" sector reported on
only the number of workers in seafood.
MS. LEACH said correct.
REPRESENTATIVE HANNAN pointed out the restaurants reported they were
selling Alaska-caught seafood.
REPRESENTATIVE TUCK asked whether restaurants such as McDonald's are
included.
MS. LEACH said yes.
REPRESENTATIVE TUCK recalled 70 percent of the fish served by
McDonald's is caught in Alaska.
MS. LEACH continued to slide 12, entitled, "Nationwide Impacts":
• people from every U.S. state are permitholders in Alaska
fisheries; over 69 percent of active permitholders and over 50
percent of crewmembers are Alaska residents
• the Alaska seafood industry creates 99,000 jobs, $5.2 billion in
annual labor income, and $12.8 billion in economic output
• catches and processes enough seafood each year to feed everyone
in the world one serving of Alaska seafood (12.9 billion
servings)
MS. LEACH continued to slide 13 which listed the top U.S. seafood
ports by volume: 1). Dutch Harbor, 2.) Aleutian Islands, 3.) Kodiak.
1:24:42 PM
REPRESENTATIVE TUCK recalled Dutch Harbor and Boston are the highest
ports in the U.S. for exports.
MS. LEACH continued to slide 14 entitled, "Lowering the cost of living
in Alaska - ":
• shipping seafood on southbound routes provides backhaul revenue
for shippers, which allows for more competitive rates on
northbound freight
• the seafood industry ships approximately 1 billion pounds of
finished product southbound
REPRESENTATIVE HOPKINS asked where to find information on individual
fisheries such as pounds caught by commercial, sportfishing, or
subsistence users.
MS. LEACH said to contact ADFG and offered to provide UFA's
publication "Fish Facts Sheet."
REPRESENTATIVE TUCK returned attention to slide 13 and asked Ms. Leach
to explain the difference between the fisheries of Anchorage and
Yakutat.
MS. LEACH suggested Yakutat exports salmon, crab, and halibut, which
are not as prevalent in Anchorage.
REPRESENTATIVE HANNAN advised Yakutat exports king salmon which has a
higher value than coho. She related a personal story of Captain
Leach.
1:29:17 PM
REPRESENTATIVE SPOHNHOLZ questioned whether the processing industry
needs to recruit employees from overseas.
MS. LEACH was unsure, although communities in rural areas do not have
enough local workers to support the industry. She suggested there are
other options for youth who have traditionally held processing jobs.
REPRESENTATIVE SPOHNHOLZ expressed interest in an opinion from the
Department of Labor & Workforce Development in this regard.
REPRESENTATIVE RAUSCHER related his experience working in a cannery.
REPRESENTATIVE HANNAN opined Alaska's growth in other industries
provides more choices for employment that do not involve housing in a
bunkhouse or an uncertain income. For example, tourism is a more
reliable choice. She said processers do not successfully recruit
college-age workers, but hire groups from overseas communities. She
described working conditions in processing facilities.
1:35:52 PM
REPRESENTATIVE HOPKINS recalled pirate fishing vessels were illegally
harvesting Alaska fish.
MS. LEACH said it is still an issue. In further response to
Representative Hopkins, she advised enforcement is by the Division of
Alaska Wildlife Troopers, Department of Public Safety, and the U.S.
Coast Guard. Also, the [Marine Exchange of Alaska] tracks vessels.
1:38:01 PM
The committee took an at-ease from 1:38 p.m. to 1:39 p.m.
^ARCTIC STRATEGIC TRANSPORTATION AND RESOURCES
Arctic Strategic Transportation and Resources
1:39:00 PM
CO-CHAIR LINCOLN announced the next order of business would be a
presentation by the Department of Natural Resources on the Arctic
Strategic Transportation and Resources plan.
1:39:13 PM
JEFF BRUNO, ASTAR Large Project Coordinator, Office of Project
Management and Permitting (OPMP), Department of Natural Resources
(DNR), informed the committee the Arctic Strategic Transportation and
Resource (ASTAR) plan began in 2017 in conjunction with the North
Slope Borough (NSB). At that time, there was renewed interest in the
National Petroleum Reserve-Alaska (NPR-A), related to its integrated
activity plan, and the Department of Transportation and Public
Facilities (DOTPF) was working on transportation plans in the area.
In response, leadership at DNR and DOTPF re-appropriated approximately
$7.3 million to develop ASTAR. Mr. Bruno said the foundation of ASTAR
is found in its mission: identify, evaluate, and advance
opportunities to enhance the quality of life and economic
opportunities in North Slope communities through responsible
infrastructure development. He advised the presentation would inform
the committee on ASTAR's mission and how ASTAR projects are chosen,
the creation of a database, and how projects are advanced. He said
DNR seeks to identify gaps in data throughout the region by conducting
gravel surveys, light detection and ranging (LIDAR) surveys, and lake
surveys. To do so the ASTAR goal is to prioritize community needs and
identify projects that have the most cumulative benefit and best
enhance the quality of life and economic opportunity. Mr. Bruno read
the criteria for cumulative benefit [listed on slide 2] that were
developed by NSB. Assessing how each project impacts the criteria
will lead to a conclusion on the cumulative benefit to a community or
region. He said DNR is currently in contact with each community to
evaluate community support and to collect local information. The
[ASTAR] project is a collaboration between NSB and DNR, state and
federal agencies, and communities within NSB: Point Hope, Point Lay,
Utqiagvik, Kaktovik, Nuiqsut Wainwright, Atqasuk, and Anaktuvik Pass.
The boundary of the plan follows that of NSB while crossing political
boundaries over state land, NPR-A, private land, and the Arctic
National Wildlife Refuge (ANWR), to the Canadian border. Core
partners include the Division of Geological and Geophysical Surveys
(DGGS), the Division of Mining, Land and Water, the Division of Oil
and Gas, and OPMP. Additional partners are the Department of Health
and Social Services (DHSS) and the Department of Commerce, Community
and Economic Development (DCCED). He stressed all of the ASTAR
partners are essential to creating a database with which to analyze
the projects (slide 3).
1:46:08 PM
REPRESENTATIVE HANNAN asked for clarification as to the role of DHSS.
MR. BRUNO explained DHSS compiled relevant regional health statistics
to ensure accurate and current information. He returned to the
presentation, noting ASTAR's first task is to develop a process built
on community values and influence by visiting each community and
gleaning information from residents, which he characterized as a
robust stakeholder engagement process. Further, the plan will make
detailed digital mapping of North Slope terrain by a geospatial
information system (GIS) in order to analyze the projects. After
completing the stakeholder engagement to create a project library, DNR
will continue detailed mapping, and will develop a database to house
mapping, community projects, and future resource development in order
to help communities make informed decisions. For the purposes of
ASTAR, projects that have the greatest positive impacts on communities
will have the greatest potential benefit to the region. Further,
ASTAR seeks to identify gaps in data; for example, gravel is scarce in
NPR-A, so surveys will be conducted to locate sources of gravel. He
observed this type of data will be useful to communities in the future
(slide 4).
CO-CHAIR LINCOLN asked how the infrastructure required to make
resources more accessible is factored into the benefit analysis for
affected communities.
MR. BRUNO said, on a regional scale, resource development projects
"factor in more." The ASTAR plan will identify opportunities for
community infrastructure and resource development infrastructure to
benefit communities. He continued:
... we're not having the communities score and rate those
projects, but we are assessing, you know, do they enable
other community projects and trying to make connections
that allow us to see where projects can potentially add to
regional infrastructure for communities and other things.
1:51:00 PM
REPRESENTATIVE HANNAN asked for a history and sources of ASTAR
funding.
MR. BRUNO recalled the original funds were re-appropriated in 2017 and
in 2018, DNR closed out some capital projects to move funds; funding
ends in June of fiscal year 2020 (FY 20).
REPRESENTATIVE HANNAN restated her question.
MR. BRUNO added ASTAR state funding is in the amount of $7.3 million;
in addition, the Bureau of Land Management (BLM), Department of the
Interior, contributed funds for field studies.
REPRESENTATIVE SPOHNHOLZ asked for the original source of the re-
appropriation.
MR. BRUNO clarified the funds were re-appropriated from the Division
of Oil and Gas, DNR, and DOTPF. He returned attention to the project
library. The project library locates in a database information about
community and regional projects for analysis; ASTAR has identified
over 250 community specific and regional projects - including resource
development projects - through review of literature such as NSB
comprehensive plans or NPR-A impact applications, to see what
communities have proposed. Another method is through surveys obtained
by community outreach during Round 1 of ASTAR's stakeholder engagement
meetings. After information is collected in the database, DNR will
return to communities to discuss, analyze, and prioritize specific
projects (slides 5 and 6).
REPRESENTATIVE HANNAN questioned whether NSB contributes money to
ASTAR.
1:55:43 PM
MR. BRUNO said yes; NSB also participates in community engagement.
REPRESENTATIVE HANNAN asked if, after the data library is completed,
NSB would have rights to use the data or if the state and NSB would
share ownership of the intellectual property.
MR. BRUNO stated the intent is for the information to be publicly
available in perpetuity. He stressed ASTAR will assure each
individual community's perspective is represented on specific projects
as benefits to communities vary. Currently, ASTAR is in Round 2 of
stakeholder engagement which includes a Pairwise Survey to determine
the importance of projects. After the Round 2 data is compiled, Round
3 will be conducted to verify information and present the data to
communities. Mr. Bruno advised ASTAR and the affected communities
interpret cumulative benefits to be the basis of the analysis. The
department and its contractors are now working on how to use the
cumulative benefits tool to incorporate the project library,
stakeholder values and benefits, and connections between communities
and projects, and to develop an analytic hierarchy process model in
coordination with the Pairwise Survey. He read information from
slides 5 and 6.
2:01:09 PM
STEVEN MASTERMAN, Director, Division of Geological and Geophysical
Surveys (DGGS), DNR, informed the committee DGGS is working to support
ASTAR by collecting and compiling data for a sand and gravel
inventory. Sand and gravel resources on the western North Slope are
sparse are and are needed for communities, as has been identified by
ASTAR and BLM. Therefore, DGGS has compiled existing information to
understand the geology of the area; in addition, a contractor has
conducted terrain unit mapping on the surface of the coastal plain.
Field work this summer will complete the mapping. Further, DGGS is
reviewing shot hole samples at the Geologic Materials Center that were
collected from the region, and he described the process. The review
of samples has revealed 5 percent to 10 percent of the samples show
sand and gravel. After further review of the mapping, DGGS will begin
field exploration which will include drilling in NPR-A. Mr. Masterman
said DGGS will compile all of the data and will provide the
information to ASTAR and will also publish the information for public
access (slide 7).
2:06:04 PM
REPRESENTATIVE HANNAN asked for a description of shot hole mapping.
MR. MASTERMAN explained at the time two-dimensional seismic data was
taken a drill rig set off explosives that created the seismic
recordings and provided physical samples that are now at the Geologic
Materials Center in Anchorage. Slide 8 illustrated terrain mapping
that divided the coastal plain into three geologic units and that will
support DGGS and others' field studies. He pointed out units 1 and 2
are complete.
MR. BRUNO directed attention to the ASTAR budget. He said ASTAR has
spent approximately $1.4 million for community stakeholder outreach,
identifying 250 community projects, capturing and mapping projects,
creating a database, terrain unit mapping, logging data, creating a
transportation plan, and coordinating with NSB and federal agencies.
Funds obligated in the amount of $5.5 million are related to
contractual services for data analysis and field work, terrain unit
mapping, Rounds 2 and 3 stakeholder engagement, and the ASTAR
Strategic Plan final document (slide 9). The next steps for ASTAR
are: complete Round 2 stakeholder engagement; finish the "cumulative
benefit tool"; terrain unit mapping; finish database; continue field
work; conduct final round of community outreach; deliver the final
product (slide 10).
2:12:06 PM
CO-CHAIR LINCOLN asked when the final product is expected.
MR. BRUNO said June 2020.
REPRESENTATIVE HOPKINS asked whether the projects considered by ASTAR
include how to provide broadband and internet access to the region.
MR. BRUNO said ASTAR looks at all projects and [broadband and internet
access] projects have community value and benefit across the region.
REPRESENTATIVE HANNAN returned attention to the budget and asked for
more information on the money that is obligated.
MR. BRUNO clarified most of the funds are obligated for upcoming field
work; he added, "... there were some delays in moving the money around
too, so, we had to kind of back load some of that."
2:14:28 PM
GORDON BROWER, Director, Planning and Community Services Department,
NSB, said he has 28 years of experience in the planning department
related to infrastructure, large projects, and oil and gas
development. He informed the committee NSB is responsible for
providing community services to all of the villages on the North
Slope. The region has no connectivity and it is important to realize
the needs and concerns of the villages, such as the high cost of
living and an economy based solely upon oil and gas. There have been
projects to demonstrate that other economies could flourish except for
the lack of infrastructure. In addition, NSB is responsible for
infrastructure needs and seeks to address the high cost of living in
many communities and he provided examples. Mr. Brower said 80 percent
of the regional activities are subsistence and the schools and public
works contribute to the economy.
2:19:31 PM
MR. BROWER referred to a community project, the Community Winter
Access Trail, which originated with ASTAR and other planning
initiatives. He said many large-scale resource development projects
require infrastructure like roads, and roads cannot be built
independently but need foundation projects. In the region, NSB
subsidizes approximately $20 million in energy needs for the
communities, which is unsustainable. He urged entities to work
together to accomplish large projects such as connectivity. Ongoing
planning initiatives in the region include the DOTPF Northwest area
Transportation Plan, of which NSB's comprehensive plan is a component.
He pointed out there have been large oil discoveries, such as the
oilfield discovered at Smith Bay in nearshore state water, that cannot
be reached. However, entities working together can provide
communities a path forward and improve the climate for resource
development with infrastructure projects based on the oil, gas, coal
and minerals industries. He stressed the importance of finding common
ground in responsible development and expressed confidence development
can be balanced with subsistence activities, as has been shown by 40
years of oil and gas development. Lastly, Mr. Brower pointed out
Congress passed the Barrow Gas Transfer Act of 1984, which required
NSB work with industry and BLM to make natural gas accessible to
communities, and he surmised the state should use all of the tools at
hand to facilitate energy security in the Arctic and expand in-state
use of resources. He mentioned failed initiatives and noted ASTAR
makes a concerted effort to plan for communities and energy resources.
2:25:13 PM
CO-CHAIR TARR asked if there are small-scale energy projects underway
in the region that may have been funded by the federal government in
2008-2009.
MR. BROWER said there are smaller independent operators who are
developing more cost-efficient projects such as the Mustang project
through the Alaska Industrial Development and Export Authority
(AIDEA), Department of Commerce, Community & Economic Development. In
addition, there is a [DGGS] coalbed methane demonstration project near
Wainwright that seeks ways to generate energy from local resources
other than oil and gas. He noted NSB has directed funds to evaluate
alternative ways to develop energy and benefit the region. Mr. Brower
restated NSB's support for ASTAR and for joint planning exercises.
2:28:53 PM
The committee took an at-ease from 2:28 p.m. to 2:29 p.m.
HR 8-2019: INT'L YEAR OF THE SALMON
2:29:54 PM
CO-CHAIR LINCOLN announced that the final order of business would be
HOUSE RESOLUTION NO. 8, Recognizing 2019 as the International Year of
the Salmon and supporting an associated global initiative identifying
the importance of wild salmon.
2:30:16 PM
CO-CHAIR TARR moved to adopt Amendment 1, labeled 31-LS0667\U.3,
Bullard, 4/25/19 which read:
Page 2, following line 24:
Insert new material to read:
"WHEREAS resource managers have identified watersheds
across the state in which the salmon stocks are "stocks of
concern," and these managers recognize the need for more
research to better understand the measures necessary to
improve the health of the salmon runs; and"
Page 3, line 27, following "Alaska;":
Insert "the Honorable Jay Inslee, Governor of
Washington; the Honorable Kate Brown, Governor of Oregon;"
2:30:36 PM
REPRESENTATIVE RASMUSSEN objected for discussion purposes.
CO-CHAIR TARR explained Amendment 1 adds a WHEREAS clause to integrate
"stocks of concern" into HR 8. In addition, the amendment directs
that copies of the resolution would be sent to the governors of
Washington and Oregon.
REPRESENTATIVE RASMUSSEN removed her objection.
REPRESENTATIVE RAUSCHER objected for discussion purposes, noting his
understanding that in the amendment stocks of concern were to be
identified as a priority.
CO-CHAIR TARR said the first version of the amendment may have been
interpreted as a policy statement, and so the amendment was changed.
2:34:01 PM
REPRESENTATIVE RAUSCHER removed his objection, and without further
objection, Amendment 1 was adopted.
2:34:17 PM
REPRESENTATIVE RAUSCHER moved to adopt Amendment 2, labeled 31-
LS0667\U.2, Bullard, 4/25/19, which read:
Page 3, line 25, following "States":
Insert "and the international community"
CO-CHAIR TARR objected for discussion purposes.
REPRESENTATIVE RAUSCHER said Amendment 2 seeks to denote the
international significance of Alaska's fishery.
CO-CHAIR TARR removed her objection, and without further objection,
Amendment 2 was adopted.
2:35:33 PM
CO-CHAIR TARR moved to report HR 8, as amended, out of committee with
individual recommendations and the accompanying fiscal notes. There
being no objection, CSHR 8(RES) was reported from the House Resources
Standing Committee.
2:36:40 PM
ADJOURNMENT
There being no further business before the committee, the House
Resources Standing Committee meeting was adjourned at 2:36 p.m.