Legislature(2019 - 2020)BUTROVICH 205

04/15/2019 03:30 PM Senate RESOURCES

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03:31:42 PM Start
03:32:13 PM SB91
04:19:00 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ SB 91 NUYAKUK RIVER: HYDROELECTRIC SITE TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
              SENATE RESOURCES STANDING COMMITTEE                                                                             
                         April 15, 2019                                                                                         
                           3:31 p.m.                                                                                            
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Chris Birch, Chair                                                                                                      
Senator John Coghill, Vice Chair                                                                                                
Senator Cathy Giessel                                                                                                           
Senator Lora Reinbold                                                                                                           
Senator Click Bishop                                                                                                            
Senator Scott Kawasaki                                                                                                          
Senator Jesse Kiehl                                                                                                             
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
SENATE BILL NO. 91                                                                                                              
"An  Act  relating   to  the  development  and   operation  of  a                                                               
hydroelectric site at the Nuyakuk  River Falls; providing for the                                                               
amendment  of  the management  plan  for  the Wood-Tikchik  State                                                               
Park; and providing for an effective date."                                                                                     
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: SB 91                                                                                                                   
SHORT TITLE: NUYAKUK RIVER: HYDROELECTRIC SITE                                                                                  
SPONSOR(s): SENATOR(s) HOFFMAN                                                                                                  
                                                                                                                                
03/15/19       (S)       READ THE FIRST TIME - REFERRALS                                                                        
03/15/19       (S)       RES, FIN                                                                                               
04/05/19       (S)       RES AT 3:30 PM BUTROVICH 205                                                                           
04/05/19       (S)       <Bill Hearing Canceled>                                                                                
04/15/19       (S)       RES AT 3:30 PM BUTROVICH 205                                                                           
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
TIM GRUSSENDORF, Staff                                                                                                          
Senator Lyman Hoffman                                                                                                           
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Provided a sectional analysis of SB 91.                                                                   
                                                                                                                                
BOB ARMSTRONG, Electric Operations Manager                                                                                      
Nushagak Cooperative                                                                                                            
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: During the hearing on SB 91, provided an                                                                  
overview of the Nuyakuk River Falls hydroelectric project for                                                                   
the Bristol Bay region.                                                                                                         
                                                                                                                                
CHRISTINE O'CONNOR, Executive Director                                                                                          
Alaska Telecom Association                                                                                                      
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
ROBERT HIMSCHOOT, CEO                                                                                                           
Nushagak Cooperative                                                                                                            
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
CORY WARNOCK, Senior Regulatory and Natural Resources Consultant                                                                
McMillen Jacobs Associates                                                                                                      
Ferndale, Washington                                                                                                            
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
MARK LISAC, representing self                                                                                                   
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
PAUL LIEDBERG, representing self                                                                                                
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
GARY CLINE, representing self                                                                                                   
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
WANDA WAHL, representing self                                                                                                   
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: Testified in support of SB 91.                                                                            
                                                                                                                                
ALANNAH HURLEY, Executive Director                                                                                              
United Tribes of Bristol Bay                                                                                                    
Dillingham, Alaska                                                                                                              
POSITION STATEMENT: Testified in opposition of SB 91.                                                                         
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
                                                                                                                                
3:31:42 PM                                                                                                                    
CHAIR CHRIS BIRCH called the  Senate Resources Standing Committee                                                             
meeting to order  at 3:31 p.m. Present at the  call to order were                                                               
Senators  Kiehl, Coghill,  Bishop, Kawasaki,  Giessel, and  Chair                                                               
Birch.                                                                                                                          
                                                                                                                                
            SB 91-NUYAKUK RIVER: HYDROELECTRIC SITE                                                                         
                                                                                                                                
3:32:13 PM                                                                                                                    
CHAIR BIRCH  announced the  consideration of  Senate Bill  91 (SB
91).                                                                                                                            
                                                                                                                                
3:32:45 PM                                                                                                                    
TIM   GRUSSENDORF,   Staff,   Senator   Hoffman,   Alaska   State                                                               
Legislature,  Juneau, Alaska,  explained that  SB 91  is straight                                                               
forward  and detailed  the intent  with a  sectional analysis  as                                                               
follows:                                                                                                                        
                                                                                                                                
   • Section 1:                                                                                                               
     Adds "or the Nuyakuk River Falls" to AS 41.21.167(c) to                                                                    
     include it on a list of sites that are not considered an                                                                   
     incompatible use of the Wood-Tikchik State Park.                                                                           
   • Section 2:                                                                                                               
     Instructs  the Wood-Tikchik  State Management  Council along                                                               
     with the Department of Natural  Resources to amend the Wood-                                                               
     Tikchik Management Plan  to conform with the  change made in                                                               
     Section 1.                                                                                                                 
                                                                                                                                
He  noted that  the  Wood-Tikchik State  Park  currently has  two                                                               
areas that  are on the statute  list and the Nuyakuk  River Falls                                                               
will be the third listing.                                                                                                      
                                                                                                                                
3:34:16 PM                                                                                                                    
BOB    ARMSTRONG,   Electric    Operations   Manager,    Nushagak                                                               
Cooperative,  Dillingham, Alaska,  provided  an  overview of  the                                                               
Nuyakuk River Falls Hydroelectric  Project and addressed "Logical                                                               
Natural Location" from his presentation as follows:                                                                             
                                                                                                                                
   • Glacial moraine defines Wood-Tikchik lake system:                                                                          
        o The glacial moraine creates a natural dam.                                                                            
        o The lake acts as a natural sediment deposition site.                                                                  
        o Nuyakuk Falls acts as a natural spillway.                                                                             
                                                                                                                                
He addressed  "Power Production Location and  Potential" from his                                                               
presentation as follows:                                                                                                        
                                                                                                                                
   • Location: Nuyakuk Falls:                                                                                                   
        o 2.5 miles inside Wood-Tikchik State Park.                                                                             
   • Flow monitored by U.S. Geological Survey since 1953.                                                                       
   • Initial modeling diverts less than 25 percent flow at 4.5                                                                  
     to greater than 10 megawatts.                                                                                              
   • Enough production for regional distribution.                                                                               
   • Production potential matches seasonal demand.                                                                              
                                                                                                                                
3:36:21 PM                                                                                                                    
SENATOR REINBOLD joined the committee meeting.                                                                                  
                                                                                                                                
CHAIR  BIRCH   asked  Mr.  Armstrong  to   explain  why  Nushagak                                                               
Cooperatives electricity  usage is  lower in  the winter  than in                                                               
the summer.                                                                                                                     
                                                                                                                                
MR. ARMSTRONG answered that fish  processing is the main industry                                                               
in Dillingham and that makes  electricity loads extremely high in                                                               
the summer.                                                                                                                     
                                                                                                                                
He  addressed  "Power  Plant"  from   his  presentation  for  the                                                               
initial design as follows:                                                                                                      
                                                                                                                                
   • Nuyakuk Falls occurs at an oxbow in the river.                                                                             
   • An intake will be located above the falls.                                                                                 
   • Short forebay, approximately 2,500 feet.                                                                                   
   • Short power channel, approximately 1,500 feet.                                                                             
   • Affected water flow 3,000 feet from the top of the falls to                                                                
     the bottom.                                                                                                                
                                                                                                                                
He  detailed  that final  engineering  will  occur after  project                                                               
studies  are done.  He summarized  the  hydroelectric concept  as                                                               
follows:                                                                                                                        
                                                                                                                                
   • River is tapped on the upriver side of the falls.                                                                          
   • Diverted water runs through a pipeline called a penstock.                                                                  
   • Penstock leads down to the turbines.                                                                                       
   • Water runs through the turbines and dumps back into the                                                                    
     river.                                                                                                                     
   • Water diversion is approximately 1,500 feet:                                                                               
        o Water temperatures are not going to change much in                                                                    
          1,500 feet.                                                                                                           
        o Nitrogen levels typically increase when water runs                                                                    
          through turbines, but the nitrogen levels are already                                                                 
          up due to the natural turbulence caused by the falls                                                                  
          so the water will match up.                                                                                           
                                                                                                                                
3:38:52 PM                                                                                                                    
CHAIR  BIRCH   asked  Mr.   Armstrong  if   Nushagak  Cooperative                                                               
anticipates any fish being impacted.                                                                                            
                                                                                                                                
MR. ARMSTRONG said no; they  think that the hydroelectric project                                                               
can be  done without significant impact  on fish. He said  not to                                                               
impact  fish is  the  reason that  Nushagak  Cooperative is  just                                                               
tapping the river  instead of putting up a dam.  The natural flow                                                               
of the  river will  still be the  same as it  always was  and the                                                               
natural pathway  for the  smolt going down  and adults  coming up                                                               
will be the same as it has always been.                                                                                         
                                                                                                                                
SENATOR BISHOP asked what the  diameter of penstock pipeline will                                                               
be.                                                                                                                             
                                                                                                                                
MR. ARMSTRONG  answered that  it will have  to be  determined. He                                                               
opined that  the diameter will  have to be approximately  25 feet                                                               
to get the amount of  water needed for the hydroelectric project.                                                               
He  added  that because  there  is  not a  lot  of  drop for  the                                                               
penstock, then a lot of water is required.                                                                                      
                                                                                                                                
SENATOR BISHOP  surmised that the  penstock will  require greater                                                               
volume.                                                                                                                         
                                                                                                                                
MR.  ARMSTRONG answered  correct.  He reiterated  that volume  is                                                               
necessary if you don't have drop.  He noted that the added volume                                                               
also  helps with  the fish.  The proposed  project is  a low-head                                                               
turbine with  lower pressures in  front and behind  the turbines.                                                               
Higher pressure  turbines generally  cause greater harm  to fish.                                                               
The  pressure difference  has the  greatest effect  on fish.  The                                                               
fish survivability rate  for a fish that happens to  go through a                                                               
system with a low-head turbine is approximately 98 percent.                                                                     
                                                                                                                                
SENATOR  BISHOP observed  that a  fish going  through the  system                                                               
would be inadvertent.                                                                                                           
                                                                                                                                
MR. ARMSTRONG  agreed and explained  that the intake will  have a                                                               
guard with  its placement based on  a study to pull  in the least                                                               
amount of fish if  there are any at all. He  added that there are                                                               
a  lot of  different things  that can  be done  to mitigate  fish                                                               
intake by guiding them, especially  with the smolt coming out. He                                                               
said adults coming  up will not be a big  issue because they will                                                               
swim by the intake and keep going.                                                                                              
                                                                                                                                
3:42:08 PM                                                                                                                    
SENATOR  KAWASAKI asked  if the  Wood-Tikchik State  Park current                                                               
management plan prevents hydroelectric power.                                                                                   
                                                                                                                                
MR. ARMSTRONG  answered that  the management  plan has  two sites                                                               
designated for  hydroelectric development, but Nuyakuk  Falls was                                                               
not included in the initial plan.                                                                                               
                                                                                                                                
SENATOR   KAWASAKI  asked   what  would   prevent  studies   from                                                               
continuing if SB 91 is not passed.                                                                                              
                                                                                                                                
MR. ARMSTRONG  replied that Nushagak Cooperative  currently has a                                                               
Federal  Energy Regulatory  Commission (FERC)  permit that  locks                                                               
the project  up for  only Nushagak  Cooperative. They  have three                                                               
years to get studies done to  show progress on the project. There                                                               
is a possibility of a  two-year extension through FERC. June 2019                                                               
will  be  the  first-year anniversary  for  Nushagak  Cooperative                                                               
putting   in  for   the  FERC   preliminary  permit,   which  was                                                               
significant because  the permit  locked the project  for Nushagak                                                               
Cooperative.                                                                                                                    
                                                                                                                                
He said if SB 91 passes,  Nushagak Cooperative will still have to                                                               
get a  permit from the  Wood-Tikchik State Park, which  will have                                                               
to be  put up  for comment and  that will add  two months  to the                                                               
project. He said  the hope is to get work  started in August 2019                                                               
before winter  sets in. He pointed  out that passing the  bill in                                                               
2020 would mean  there are three years of studies  to get done in                                                               
one season and two months without getting an extension.                                                                         
                                                                                                                                
3:44:23 PM                                                                                                                    
SENATOR KAWASAKI  asked if  the 21  studies being  undertaken for                                                               
the  project can  happen concurrently  without SB  91, or  if the                                                               
bill needs to pass to proceed to the next step.                                                                                 
                                                                                                                                
MR.  ARMSTRONG  answered that  due  to  the current  Wood-Tikchik                                                               
State Park  management plan, the  only way to finish  the studies                                                               
is with the passage of SB 91.                                                                                                   
                                                                                                                                
SENATOR KAWASAKI  asked at what  point the cooperative  would say                                                               
that  the project  does  not  work due  to  information from  the                                                               
studies.                                                                                                                        
                                                                                                                                
MR.  ARMSTRONG replied  they  will  pull out  of  the project  if                                                               
studies show  that it is  not viable.  He noted that  they pulled                                                               
out  of two  other projects  when the  sites were  determined not                                                               
viable.  He added  that  $4  million was  returned  to the  grant                                                               
agency as well.                                                                                                                 
                                                                                                                                
SENATOR KAWASAKI  asked him to  confirm that Grant Lake  and Lake                                                               
Elva are not in operation but were studied.                                                                                     
                                                                                                                                
MR. ARMSTRONG answered correct. He  reiterated that the two sites                                                               
were studied and found not to be viable.                                                                                        
                                                                                                                                
3:46:49 PM                                                                                                                    
SENATOR KIEHL  asked if the  power line to Aleknagik  will travel                                                               
through the park.                                                                                                               
                                                                                                                                
MR. ARMSTRONG  answered no; the top  of the ridge of  the glacial                                                               
moraine is  outside the park  and that  is where the  power lines                                                               
will travel.  He pointed out  that power  lines on top  of ridges                                                               
are  more  conducive  because  there are  less  creek  and  river                                                               
crossings,  more  stable soils,  and  a  better place  for  power                                                               
infrastructure.                                                                                                                 
                                                                                                                                
SENATOR KIEHL asked  if the project will be able  to supply power                                                               
to Levelock.                                                                                                                    
                                                                                                                                
MR. ARMSTRONG answered yes; the  power loads are small, less than                                                               
a megawatt  between the four  upriver villages. He  said Levelock                                                               
is  considering  putting  in  a  fish  processing  operation  and                                                               
supplying additional power will not be a problem.                                                                               
                                                                                                                                
3:48:22 PM                                                                                                                    
SENATOR KIEHL referenced  a letter from United  Tribes of Bristol                                                               
Bay that asks  for more consultation. He asked what  the state of                                                               
consultation  is with  the  tribes and  what  the expectation  is                                                               
going forward.                                                                                                                  
                                                                                                                                
MR.  ARMSTRONG replied  that Nushagak  Cooperative does  not have                                                               
any news  regarding United Tribes  of Bristol Bay. He  noted that                                                               
the United  Tribes of  Bristol Bay  required a  year to  think if                                                               
there was a different way to  get into the park. He said Nushagak                                                               
Cooperative  has been  working  with the  Division  of Parks  and                                                               
Outdoor Recreation  and the Department  of Natural  Resources for                                                               
over a year  and they were told  that the only way  forward to do                                                               
the studies is to pass the legislation.                                                                                         
                                                                                                                                
SENATOR REINBOLD noted  that she has worked with  the Division of                                                               
Parks  and Outdoor  Recreation for  five years  and was  on eight                                                               
boards and  committees dealing with  access plans,  trails plans,                                                               
and management plans.  She remarked that it  was frustrating. She                                                               
opined that  park plans are  just general  plans that need  to be                                                               
modified  as needs  develop. She  pointed  out that  "categorical                                                               
exclusion" is  a key  word in  government lingo  that is  used to                                                               
evade   the   process.  She   extended   good   wishes  for   the                                                               
hydroelectric project.                                                                                                          
                                                                                                                                
3:50:36 PM                                                                                                                    
SENATOR BISHOP  asked how many  tons of carbon  the hydroelectric                                                               
project will take out of the atmosphere.                                                                                        
                                                                                                                                
MR. ARMSTRONG  answered that he  does not have the  statistics on                                                               
the  upriver  villages,  but it  will  be  significant.  Nushagak                                                               
Cooperative is looking  at about 1.5 million gallons  of diesel a                                                               
year coming out.                                                                                                                
                                                                                                                                
SENATOR BISHOP asked him to follow up with the information.                                                                     
                                                                                                                                
MR. ARMSTRONG agreed to do so.                                                                                                  
                                                                                                                                
SENATOR COGHILL asked what the drop  is from one end of the river                                                               
to the other.                                                                                                                   
                                                                                                                                
MR.  ARMSTRONG replied  they have  not  completed the  underwater                                                               
survey but they guess the drop will be between 30 and 40 feet.                                                                  
                                                                                                                                
SENATOR COGHILL  asked what type  of soil  and bedrock is  in the                                                               
project area.                                                                                                                   
                                                                                                                                
MR.  ARMSTRONG  answered that  it  looks  like solid  rock.  Core                                                               
samples need to be taken to identify the type of rock.                                                                          
                                                                                                                                
3:52:35 PM                                                                                                                    
CHAIR BIRCH opened public testimony.                                                                                            
                                                                                                                                
3:52:51 PM                                                                                                                    
CHRISTINE   O'CONNOR,   Executive    Director,   Alaska   Telecom                                                               
Association, Anchorage,  Alaska, testified  in support of  SB 91.                                                               
She  noted  that  she  is  a  former  board  member  of  Nushagak                                                               
Cooperative and  lived in Dillingham  for 24 years. She  said the                                                               
hydroelectric  project is  exciting  to her  both personally  and                                                               
professionally.                                                                                                                 
                                                                                                                                
MS.  O'CONNOR said  the  cost  of energy  in  rural  Alaska is  a                                                               
continual  drag  on  the    economy  and  quality  of  life.  The                                                               
potential   for   this  project   to   lower   energy  costs   is                                                               
transformational.                                                                                                               
                                                                                                                                
She added that another struggle  in rural Alaska is connectivity.                                                               
She opined that by placing  the proposed infrastructure, Nushagak                                                               
Cooperative, which is also a  telephone cooperative, will be able                                                               
to place fiber  broadband service in the region which  will be as                                                               
transformational as lower energy costs.                                                                                         
                                                                                                                                
3:54:25 PM                                                                                                                    
ROBERT HIMSCHOOT, CEO,  Nushagak Cooperative, Dillingham, Alaska,                                                               
testified in  support of SB 91.  He emphasized that the  board is                                                               
committed  to approach  the hydroelectric  project with  the same                                                               
diligence taken  to assess  the Grant Lake  and Lake  Elva sites.                                                               
Nushagak  Cooperative  knew  going  into  the  project  that  the                                                               
location was  critical. He added  that the  hydroelectric project                                                               
will  have  both  regional  potential  and  regional  impact.  He                                                               
emphasized  that  the  cooperative  knew that  a  social  license                                                               
within  the  region  would  be critical  in  moving  the  project                                                               
forward.                                                                                                                        
                                                                                                                                
He  remarked  that  the recent  quasi-opposition  by  the  United                                                               
Tribes of Bristol  Bay is misguided. He said  their recent letter                                                               
favors continued  study of the  project but opposes the  bill. He                                                               
disclosed that the  cooperative has reached out  to United Tribes                                                               
of Bristol  Bay several times but  has not been able  to sit down                                                               
and meet  with them.  He opined  that the  misunderstanding comes                                                               
from a belief that the cooperative  has other options to get into                                                               
the  park. However,  a statutory  change in  the park  management                                                               
plan is needed to advance the studies for the project.                                                                          
                                                                                                                                
He said with the necessary  social licensing for the project, the                                                               
board  passed a  "fish first"  policy to  safeguard the  region's                                                               
industry heartbeat.                                                                                                             
                                                                                                                                
3:57:25 PM                                                                                                                    
SENATOR  REINBOLD asked  for an  invitation in  June to  possibly                                                               
view the project site.                                                                                                          
                                                                                                                                
MR.  HIMSCHOOT replied  that the  cooperative would  be happy  to                                                               
take her to the remote site.                                                                                                    
                                                                                                                                
CHAIR BIRCH  asked if the  cooperative has plans for  funding the                                                               
hydroelectric project.                                                                                                          
                                                                                                                                
MR. HIMSCHOOT answered that they  have a couple of potentials. He                                                               
noted  that the  cooperative put  in a  capital request  with the                                                               
state  understanding the  current budget  situation. He  said the                                                               
cooperative  has  received  support  on the  federal  level  from                                                               
various  departments. He  concluded that  for the  cooperative to                                                               
find money, it needs access to the park.                                                                                        
                                                                                                                                
3:59:57 PM                                                                                                                    
CORY   WARNOCK,   Senior   Regulatory   and   Natural   Resources                                                               
Consultant,  McMillen  Jacobs Associates,  Ferndale,  Washington,                                                               
testified in  support of  SB 91.  He disclosed  that he  has been                                                               
working  for  Nushagak  Cooperative  for the  past  year  on  the                                                               
licensing  process.  He  detailed  that  he  provides  additional                                                               
context  to the  regulatory process  as well  as clearing  up any                                                               
misconceptions on what SB 91 will or will not allow.                                                                            
                                                                                                                                
He opined  that there is a  bit of concern among  the public that                                                               
SB  91 might  exempt  the  project from  going  through the  more                                                               
expansive   FERC    regulatory   process   where    the   design,                                                               
construction,  and  operational  process  will  be  expedited  in                                                               
advance of  what is normally  dictated. He emphasized that  is by                                                               
no means the case. The  hydroelectric project will be required to                                                               
go through a  very rigorous and onerous  regulatory process which                                                               
will involve feasibility studies for a number of years.                                                                         
                                                                                                                                
He referenced  a previous question  about ceasing if  the project                                                               
didn't appear to be feasible and  explained that if at some point                                                               
during  the regulatory  process  the feasibility  of the  project                                                               
appears  in  question,  they  would be  required  to  cease.  The                                                               
project could not move forward.                                                                                                 
                                                                                                                                
4:02:17 PM                                                                                                                    
MARK LISAC,  representing self, Dillingham, Alaska,  testified in                                                               
support of  SB 91. He  said he did  not support the  previous two                                                               
sites  that  were considered  because  they  required a  dam.  He                                                               
supports the Nuyakuk  Falls location because no  dam is required.                                                               
He  highlighted that  the   modern  penstock  design reduces  the                                                               
impact on fish.                                                                                                                 
                                                                                                                                
MR. LISAC summarized that the  bill will allow the cooperative to                                                               
get  the DNR  permits  to  operate within  the  park  to get  the                                                               
baseline data  necessary to assess the  hydroelectric project for                                                               
viability and allow for the FERC process to proceed.                                                                            
                                                                                                                                
SENATOR KAWASAKI  asked why  consideration of  the Lake  Elva and                                                               
Grant Lake locations was discontinued.                                                                                          
                                                                                                                                
MR.  LISAC answered  that  they  did not  have  the potential  to                                                               
produce enough power.                                                                                                           
                                                                                                                                
4:06:49 PM                                                                                                                    
PAUL LIEDBERG,  representing self, Dillingham,  Alaska, testified                                                               
in support  of SB  91. He  said the proposed  change to  the park                                                               
designation  should   not  be  taken  lightly.   He  opined  that                                                               
consideration  should   be  given  to  whether   the  impacts  in                                                               
developing the  project within  the park is  a fair  exchange for                                                               
the expected  impacts. He  said he  believes that  conducting the                                                               
necessary  baseline  studies  to  assess the  project  would  not                                                               
materially conflict with the intent  of the enabling legislation.                                                               
He stated  that his ultimate  support of the project  will depend                                                               
on the results of the studies.                                                                                                  
                                                                                                                                
4:09:20 PM                                                                                                                    
GARY CLINE,  representing self, Dillingham, Alaska,  testified in                                                               
support of  SB 91. He  disclosed that  he is an  Aleknagik tribal                                                               
member. He  said he  is a commercial  fisherman and  is concerned                                                               
about the  impact the hydroelectric  project can have  on salmon,                                                               
but   he  is   also   concerned  about   the  area   communities'                                                               
sustainability which includes the  concerns about energy security                                                               
and climate  change. He said  he views the  hydroelectric project                                                               
as  part  of  the  climate   change  solution  to  reduce  carbon                                                               
emissions. He  said his  support for the  project will  depend on                                                               
the  results of  the studies. He noted that he  had spoken to the                                                               
Aleknagik Traditional  Council and they  have not taken  a stance                                                               
on the project until more information is available.                                                                             
                                                                                                                                
4:11:40 PM                                                                                                                    
WANDA WAHL,  representing self, Dillingham, Alaska,  testified in                                                               
support of SB  91. She noted that she volunteers  on the Nushagak                                                               
Cooperative Board of Directors.                                                                                                 
                                                                                                                                
She said she would like  the management plan for the Wood-Tikchik                                                               
State Park to  add the Nuyakuk River  Falls as a site.  It is not                                                               
incompatible with the Wood-Tikchik State Park management plan.                                                                  
                                                                                                                                
MS.  WAHL  stated that  she  is  in  favor  of the  bill  because                                                               
Nushagak Cooperative has  the best interest of the   residents of                                                               
the  region at  heart.  The  plan has  a  fish-first policy,  the                                                               
project  is  not a  dam,  a  feasible  project will  bring  power                                                               
stability to  the region, reduced  air pollution, and there  is a                                                               
lot of local support to explore the  possibilities.                                                                             
                                                                                                                                
4:14:04 PM                                                                                                                    
ALANNAH HURLEY, Executive Director,  United Tribes of Bristol Bay                                                               
(UTBB),  Dillingham, Alaska,  testified in  opposition of  SB 91.                                                               
She explained  that UTBB is  a tribal consortium  representing 15                                                               
tribal  governments in  Bristol Bay  and over  80 percent  of the                                                               
population of the region.                                                                                                       
                                                                                                                                
She explained  that their opposition to  SB 91 is not  due to the                                                               
feasibility studies being conducted  by Nushagak Cooperative. She                                                               
noted  that UTBB  has not  taken  a position  on the  feasibility                                                               
studies  and neither  have  many of  the  individual tribes.  She                                                               
pointed out that  many of the support resolutions  and letters on                                                               
the record  are in  support of the  feasibility studies,  not the                                                               
bill. It is an important distinction.                                                                                           
                                                                                                                                
She   said  Mr.   Himschoot's  earlier   statement  that   UTBB's                                                               
opposition is a  misunderstanding of the options  is not correct.                                                               
She  pointed out  that  Nushagak  Cooperative presentations  have                                                               
been broad and  lacking in specific details, and  there never has                                                               
been  an outline  of the  bill. UTBB  communities and  leadership                                                               
have viewed the  project exploration as extremely problematic.                                                                  
                                                                                                                                
She  specified that  UTBB's tribal  leadership has  concerns with                                                               
the  unnecessarily  broad language in the bill  which changes the                                                               
overall designation of  appropriate uses of the  falls within the                                                               
state park,  language that will  permanently open the  falls. The                                                               
UTBB board's responsibility  is to its communities  and the board                                                               
feels  that a  more cautious  and specific  approach to  removing                                                               
more protective designations to any  area in the park is critical                                                               
when considering any  type of development. UTBB does  not know if                                                               
the Nushagak Cooperative project will  move forward or not and SB
91 does not take that fact into account.                                                                                        
                                                                                                                                
She  said UTBB  feels that  any language  changes that  would put                                                               
appropriate  parameters or  sunset language  for a  more cautious                                                               
and deliberate approach to predesignating  acceptable uses of the                                                               
falls  would make  SB 91  much more  palatable to  a region  that                                                               
continuously  strives  to  be very  thorough  and  deliberate  in                                                               
considerations  of any  types of  development. For  those reasons                                                               
UTBB's  letter  of  opposition  outlines  the  need  for  further                                                               
discussion and local consultation with local stakeholders.                                                                      
                                                                                                                                
MS. HURLEY said  she also wanted to correct the  record about the                                                               
statement that  the tribe  needed a  year to  think it  over. She                                                               
said  there has  been no  direct effort  to facilitate  dialog or                                                               
solutions to  UTBB's concerns. She  reiterated that  a deliberate                                                               
and  cautious  approach is  in  the  best  interest of  the  UTBB                                                               
people.                                                                                                                         
                                                                                                                                
CHAIR BIRCH asked  Ms. Hurley to confirm that  UTBB's last letter                                                               
of record is dated: March 28, 2019.                                                                                             
                                                                                                                                
MS. HURLEY answered correct. She reiterated that UTBB asks for a                                                                
withdraw of support for SB 91 at this time.                                                                                     
                                                                                                                                
4:18:15 PM                                                                                                                    
CHAIR BIRCH closed public testimony.                                                                                            
                                                                                                                                
4:18:26 PM                                                                                                                    
CHAIR BIRCH held SB 91 in committee.                                                                                            
                                                                                                                                
4:19:00 PM                                                                                                                    
There being no further business to come before the committee,                                                                   
Chair Birch adjourned the Senate Resources Standing Committee                                                                   
meeting at 4:19 p.m.                                                                                                            

Document Name Date/Time Subjects
SB91 Version A.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 Sponsor Statement 3.21.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 Sectional Analysis 3.21.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 Fiscal Note DNR-PKS 3.29.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 NETC Presentation 4.15.19.pdf SRES 4/15/2019 3:30:00 PM
SB 91
SB91 Nuyakuk Hydroelectric Update 2019.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 Nuyakuk Studies Cost Estimate.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 NETC Resolution 11.15.17.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 CTC Resolution 3.12.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 City of Dillingham Resolution 3.7.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 BBNC Letter 3.19.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 City of Aleknagik Resolution 3.19.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 BBNA Resolution 3.21.19.pdf HRES 5/8/2019 1:00:00 PM
HRES 5/10/2019 1:00:00 PM
SRES 4/15/2019 3:30:00 PM
SB 91
SB91 UTBB Letter 3.28.19.pdf SRES 4/15/2019 3:30:00 PM
SB 91