Legislature(2021 - 2022)BUTROVICH 205

03/24/2021 03:30 PM Senate RESOURCES

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Audio Topic
03:33:34 PM Start
03:34:32 PM Presentation: Energy 101 - Alaska Energy Authority
04:25:25 PM HJR12
05:30:17 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Teleconference Listen Only --
Presentation 101 by Curtis Thayer - Executive
Director Alaska Energy Authority
*+ HJR 12 ENDORSING ANWR LEASING; RELATED ISSUES TELECONFERENCED
Moved SCS CSHJR 12(RES) Out of Committee
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
              SENATE RESOURCES STANDING COMMITTEE                                                                             
                         March 24, 2021                                                                                         
                           3:33 p.m.                                                                                            
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Joshua Revak, Chair                                                                                                     
Senator Peter Micciche, Vice Chair                                                                                              
Senator Gary Stevens                                                                                                            
Senator Jesse Kiehl                                                                                                             
Senator Scott Kawasaki                                                                                                          
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Click Bishop                                                                                                            
Senator Natasha von Imhof                                                                                                       
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION: ENERGY 101 - ALASKA ENERGY AUTHORITY                                                                              
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
HJR 12-ENDORSING ANWR LEASING; RELATED ISSUES                                                                                   
                                                                                                                                
     - MOVED SCS CSHJR 12(RES) OUT OF COMMITTEE                                                                                 
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HJR 12                                                                                                                  
SHORT TITLE: ENDORSING ANWR LEASING; RELATED ISSUES                                                                             
SPONSOR(s): REPRESENTATIVE(s) RAUSCHER                                                                                          
                                                                                                                                
02/18/21       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/18/21       (H)       RES, STA                                                                                               
02/19/21       (H)       STA REFERRAL REMOVED                                                                                   
02/19/21       (H)       BILL REPRINTED                                                                                         
03/01/21       (H)       RES AT 1:00 PM BARNES 124                                                                              
03/01/21       (H)       -- MEETING CANCELED --                                                                                 
03/03/21       (H)       RES AT 1:00 PM BARNES 124                                                                              
03/03/21       (H)       -- MEETING CANCELED --                                                                                 
03/08/21       (H)       RES AT 1:00 PM BARNES 124                                                                              
03/08/21       (H)       Heard & Held                                                                                           
03/08/21       (H)       MINUTE(RES)                                                                                            
03/10/21       (H)       RES AT 1:00 PM BARNES 124                                                                              
03/10/21       (H)       Moved CSHJR 12(RES) Out of Committee                                                                   
03/10/21       (H)       MINUTE(RES)                                                                                            
03/12/21       (H)       RES RPT CS(RES) 6DP 1DNP 2NR                                                                           
03/12/21       (H)       DP: MCKAY, CRONK, RAUSCHER, GILLHAM,                                                                   
                         SCHRAGE, PATKOTAK                                                                                      
03/12/21       (H)       DNP: HANNAN                                                                                            
03/12/21       (H)       NR: FIELDS, HOPKINS                                                                                    
03/15/21       (H)       TRANSMITTED TO (S)                                                                                     
03/15/21       (H)       VERSION: CSHJR 12(RES)                                                                                 
03/17/21       (S)       READ THE FIRST TIME - REFERRALS                                                                        
03/17/21       (S)       RES                                                                                                    
03/24/21       (S)       RES AT 3:30 PM BUTROVICH 205                                                                           
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
CURTIS THAYER, Executive Director                                                                                               
Alaska Energy Authority                                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Delivered a presentation titled "Energy                                                                   
101."                                                                                                                           
                                                                                                                                
KIRK WARREN, Director of Engineering and Energy Development                                                                     
Alaska Energy Authority                                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Provided information during the Energy 101                                                                
presentation.                                                                                                                   
                                                                                                                                
REPRESENTATIVE GEORGE RAUSCHER                                                                                                  
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Sponsor of HJR 12.                                                                                        
                                                                                                                                
JESSE LOGAN, Staff                                                                                                              
Representative George Rauscher                                                                                                  
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Answered questions and provided information                                                               
during the hearing on HJR 12.                                                                                                   
                                                                                                                                
KARA MORIARTY, President and CEO                                                                                                
Alaska Oil and Gas Association (AOGA)                                                                                           
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified on HJR 12 by invitation.                                                                        
                                                                                                                                
REBECCA LOGAN, CEO                                                                                                              
The Alaska Support Industry Alliance                                                                                            
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified on HJR 12 by invitation.                                                                        
                                                                                                                                
KATIE CAPOZZI, President and CEO                                                                                                
Alaska Chamber of Commerce                                                                                                      
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified on HJR 12 by invitation.                                                                        
                                                                                                                                
MARLEANNA HALL, Executive Director                                                                                              
Resource Development Council for Alaska                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified on HJR 12 by invitation.                                                                        
                                                                                                                                
MATTHEW REXFORD, President                                                                                                      
Kaktovik Inupiat Corporation; and                                                                                               
Tribal Administrator, Native Village of Kaktovik                                                                                
Kaktovik, Alaska                                                                                                                
POSITION STATEMENT: Testified on HJR 12 by invitation.                                                                        
                                                                                                                                
BERNADETTE DEMIENTIEFF, Executive Director                                                                                      
Gwich'in Steering Committee                                                                                                     
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT: Testified in opposition to HJR 12.                                                                        
                                                                                                                                
DR. CHARLENE APOK, representing self                                                                                            
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in opposition to HJR 12.                                                                        
                                                                                                                                
BARBARA HUFF TUCKNESS, representing self                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in support of HJR 12.                                                                           
                                                                                                                                
MARGI DASHEVSKY, representing self                                                                                              
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in opposition to HJR 12.                                                                        
                                                                                                                                
JULIE SMYTH, representing self                                                                                                  
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT: Testified in opposition to HJR 12.                                                                        
                                                                                                                                
NAURI TOLER, representing self                                                                                                  
Eagle River, Alaska                                                                                                             
POSITION STATEMENT: Testified in opposition to HJR 12.                                                                        
                                                                                                                                
MAX PLICHTA, representing self                                                                                                  
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT: Testified in opposition to HJR 12.                                                                        
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:33:34 PM                                                                                                                    
CHAIR  JOSHUA   REVAK  called   the  Senate   Resources  Standing                                                             
Committee meeting  to order at 3:33  p.m. Present at the  call to                                                               
order were  Senators Stevens, Kawasaki,  Kiehl, and  Chair Revak.                                                               
Senator Micciche arrived during the course of the meeting.                                                                      
                                                                                                                                
^PRESENTATION: ENERGY 101 - ALASKA ENERGY AUTHORITY                                                                             
       PRESENTATION: ENERGY 101 - ALASKA ENERGY AUTHORITY                                                                   
                                                                                                                                
3:34:32 PM                                                                                                                    
CHAIR REVAK  announced the  first order of  business would  be an                                                               
Energy  101  presentation  from Curtis  Thayer  with  the  Alaska                                                               
Energy Authority.                                                                                                               
                                                                                                                                
3:34:56 PM                                                                                                                    
CURTIS  THAYER,  Executive   Director,  Alaska  Energy  Authority                                                               
(AEA),  Anchorage, Alaska,  began the  presentation by  providing                                                               
background on AEA  and what it does. He paraphrased  slides 2 and                                                               
3 that read as follows:                                                                                                         
                                                                                                                                
     WHO WE ARE                                                                                                                 
                                                                                                                                
          Created  in 1976  by the  Alaska Legislature,  the                                                                    
          Alaska   Energy  Authority   (AEA)  is   a  public                                                                    
          corporation of  the State of Alaska  governed by a                                                                    
          board  of directors  with the  mission to  "reduce                                                                    
          the cost of energy in  Alaska." AEA is the state's                                                                    
          energy  office  and   lead  agency  for  statewide                                                                    
          energy policy and program development.                                                                                
                                                                                                                                
     WHAT WE DO                                                                                                                 
                                                                                                                                
          Railbelt  Energy     AEA  owns  the  Bradley  Lake                                                                  
          Hydroelectric  Project  and the  Alaska  Intertie.                                                                    
          These   assets  benefit   Railbelt  consumers   by                                                                    
          reducing the cost of power                                                                                            
                                                                                                                                
          Power   Cost  Equalization       The  Power   Cost                                                                  
          Equalization   Program   reduces   the   cost   of                                                                    
          electricity  in   rural  Alaska   for  residential                                                                    
          customers and community facilities.                                                                                   
                                                                                                                                
MR.  THAYER  clarified that  PCE  does  not apply  to  government                                                               
buildings.                                                                                                                      
                                                                                                                                
          Rural  Energy     AEA constructs  bulk  fuel  tank                                                                  
          farms,   diesel    powerhouses,   and   electrical                                                                    
          distribution   grids   in  rural   villages.   AEA                                                                    
          supports   the  operation   of  these   facilities                                                                    
          through  circuit  rider   and  emergency  response                                                                    
          programs.                                                                                                             
                                                                                                                                
MR.  THAYER added  that while  AEA and  the state  do not  have a                                                               
statutory  responsibility   to  support  the  operation   of  the                                                               
facilities  in  these  170  communities,  they  assumed  a  moral                                                               
obligation to do so many years ago.                                                                                             
                                                                                                                                
          Renewable Energy    AEA provides  renewable energy                                                                  
          and  energy   efficiency  grants,   analysis,  and                                                                    
          expertise  to  benefit   Alaskans.  These  include                                                                    
          hydro, biomass, wind, solar, and others.                                                                              
                                                                                                                                
          Grants  and Loans    AEA  provides loans  to local                                                                  
          utilities,  local   governments,  and  independent                                                                    
          power  producers for  the construction  or upgrade                                                                    
          of power generation and other energy facilities.                                                                      
                                                                                                                                
MR.  THAYER added  that AEA  is offering  more loans  through its                                                               
power project loan fund as money from grants diminishes.                                                                        
                                                                                                                                
          Energy Planning   In  collaboration with local and                                                                  
          regional partners, AEA  provides critical economic                                                                    
          and engineering  analysis to plan  the development                                                                    
          of cost effective energy infrastructure.                                                                              
                                                                                                                                
MR. THAYER  highlighted that AEA  applied for and received  a $21                                                               
million bill  grant through the Department  of Transportation and                                                               
Public Facilities  (DOTPF) to support  the Alaska Cargo  and Port                                                               
Storage project  at the  [Anchorage International  Airport]. This                                                               
is a $210 million project, $21  million of which is federal funds                                                               
that  will  pass  through  AEA. He  described  this  as  thinking                                                               
outside the  box to help create  2,000 jobs in Anchorage,  200 of                                                               
which  will be  full-time. He  noted  this was  the largest  bill                                                               
grant awarded on the West Coast.                                                                                                
                                                                                                                                
3:38:30 PM                                                                                                                    
MR. THAYER  directed attention to the  map on slide 4  that shows                                                               
that AEA  has ongoing projects  spread throughout the  state from                                                               
Southeast to  the North Slope to  the end of the  Aleutian chain.                                                               
Among  others,  he  specifically listed  PCE  communities,  rural                                                               
technical assistance,  training, bulk fuel upgrades,  heat pumps,                                                               
heat recovery,  solar, transmission, and hydroelectric.  He noted                                                               
that AEA is  in communication with close to 200  communities on a                                                               
daily basis through either powerhouse bulk fuel or PCE.                                                                         
                                                                                                                                
3:39:07 PM                                                                                                                    
SENATOR  STEVENS   offered  his   belief  that   Kodiak  Electric                                                               
Association  (KEA) started  under AEA  during the  Four Dam  Pool                                                               
era. He asked  if there were other electric  energy programs like                                                               
KEA that are no longer under AEA.                                                                                               
                                                                                                                                
MR. THAYER answered that Kodiak does  not fall under AEA. He said                                                               
you are probably  thinking about the grant  funding that filtered                                                               
through  AEA from  the legislature  when Kodiak  was shifting  to                                                               
renewable energy.                                                                                                               
                                                                                                                                
SENATOR STEVENS summarized his  understanding that as communities                                                               
grow and develop they can leave AEA.                                                                                            
                                                                                                                                
MR. THAYER  clarified that communities  are never  actually under                                                               
AEA  control.  Rather,   AEA  serves  as  a   conduit  to  assist                                                               
communities; they are always treated as a partner.                                                                              
                                                                                                                                
3:41:01 PM                                                                                                                    
SENATOR  KIEHL asked  if he  would follow  up with  a slide  that                                                               
shows the facilities and projects  that AEA is actively pursuing.                                                               
He referenced the key on slide 4  and said he is a huge supporter                                                               
of PCE  but he does not  think of it  as a project, and  he knows                                                               
some of the biomass projects have been on hold for years.                                                                       
                                                                                                                                
MR. THAYER  answered that PCE could  be removed from the  key but                                                               
other than that, the slide  reflects current projects and the 194                                                               
communities AEA engages with monthly on PCE.                                                                                    
                                                                                                                                
CHAIR  REVAK offered  that  Senator Kiehl  was  referring to  the                                                               
construction-type projects.                                                                                                     
                                                                                                                                
MR. THAYER  committed to  work with Senator  Kiehl to  answer his                                                               
questions.                                                                                                                      
                                                                                                                                
MR.  THAYER  returned to  the  presentation  and paraphrased  the                                                               
definition and  examples of "energy," "energy  units," and "power                                                               
and energy" provided  on slides 5-8. He cited Bradley  Lake as an                                                               
example of  a supply of  energy. He explained that  the diversion                                                               
project AEA  recently completed to  put more water into  the lake                                                               
does  not  increase the  120  megawatts  of generation,  but  the                                                               
increased capacity of  the lake allows the power  to be generated                                                               
over more months of the year.                                                                                                   
                                                                                                                                
3:44:11 PM                                                                                                                    
MR. THAYER directed  attention to the pie graphs on  slide 9 that                                                               
compare the U.S. energy profile  to the energy profile in Alaska.                                                               
In the U.S., 70  percent of the power comes from  oil and gas and                                                               
in Alaska  that is  65 percent.  In the U.S.,  11 percent  of the                                                               
energy comes from  coal, whereas it is just 6  percent in Alaska.                                                               
In the  U.S., 9 percent of  the energy comes from  renewables and                                                               
that is just 2  percent in Alaska. In the U.S.,  2 percent of the                                                               
energy  comes  from  hydroelectric,  whereas 27  percent  of  the                                                               
energy in Alaska  comes from hydroelectric. He  noted that Kodiak                                                               
generates  nearly 100  percent of  its energy  from hydroelectric                                                               
and  nearly 95  percent of  the  energy in  Southeast comes  from                                                               
hydroelectric. In  the U.S., 8  percent of the energy  comes from                                                               
nuclear, but it plays no role at all in Alaska.                                                                                 
                                                                                                                                
MR. THAYER mentioned the interest  in the proposed Susitna-Watana                                                               
dam and  advised that if  it were operational today,  that single                                                               
project would more than double the states renewable portfolio.                                                                  
                                                                                                                                
3:45:44 PM                                                                                                                    
SENATOR  STEVENS  asked  why   hydroelectric  is  not  considered                                                               
renewable.                                                                                                                      
                                                                                                                                
MR. THAYER deferred the question to Mr. Warren.                                                                                 
                                                                                                                                
3:46:07 PM                                                                                                                    
KIRK  WARREN, Director  of  Engineering  and Energy  Development,                                                               
Alaska Energy  Authority, Anchorage,  Alaska, explained  that the                                                               
impetus for the division is  that hydroelectric projects are very                                                               
capital intensive  and thus  would be at  a disadvantage  if they                                                               
had  to compete  for funding  on  a national  basis with  smaller                                                               
renewable energy projects.                                                                                                      
                                                                                                                                
SENATOR STEVENS asked if that is a disadvantage for Alaska.                                                                     
                                                                                                                                
MR. THAYER replied  it has not been a concern  when AEA worked to                                                               
get a FERC license for hydroelectric projects in Alaska.                                                                        
                                                                                                                                
3:47:27 PM                                                                                                                    
MR.  THAYER displayed  a map  of the  lower Kenai  Peninsula that                                                               
shows the  multiple utilities  all of which  are in  the Railbelt                                                               
market.  He pointed  to the  Bradley  Lake Hydroelectric  Project                                                               
transmission line that runs through  Homer Electric territory and                                                               
the  Soldotna to  Quartz  Creek line  into  the Chugach  Electric                                                               
system to  Anchorage where  the NEA  transmission lines  take the                                                               
power  to Willow  and  Healy  then into  Golden  Valley lines  in                                                               
Fairbanks.  AEA meets  with these  utilities regularly  and as  a                                                               
neutral  party was  able to  resolve an  issue all  the utilities                                                               
shared  with  the  [Sterling  Substation  and  the  Quartz  Creek                                                               
Substation] SSQ Line.                                                                                                           
                                                                                                                                
3:49:09 PM                                                                                                                    
MR. THAYER paraphrased the bulleted points on slide 12 about the                                                                
Bradley Lake Hydroelectric Project. The slide read as follows:                                                                  
                                                                                                                                
        • Benefits 500,000+ members  of  Chugach  Electric                                                                      
          Association, City of Seward, Golden Valley                                                                            
          Electric Association, Homer Electric Association,                                                                     
          and Matanuska Electric Association                                                                                    
        • Produces ~10% of  Railbelt  electricity  at  4.5                                                                      
          cents/kWh or ~54,400 homes/year                                                                                       
                                                                                                                                
He  advised that  the cost  of Bradley  Lake power  is about                                                                    
half  that  of natural  gas  generation,  which is  why  AEA                                                                    
continues to look  at ways to monetize that  and benefit the                                                                    
consumer.                                                                                                                       
                                                                                                                                
        • Over $20 million in savings per year to Railbelt                                                                      
          utilities Bradley Lake versus natural gas                                                                             
                                                                                                                                
MR. THAYER paraphrased the bulleted points on slide 13 about the                                                                
West Fork Upper Battle Creek Diversion. The slide read as                                                                       
follows:                                                                                                                        
                                                                                                                                
        • Project cost $47 million, will add ~10% energy or                                                                     
          ~5,100 homes in a year                                                                                                
        • Substantial completion on July 2020                                                                                   
        • Project diverts runoff  from Battle  Creek  into                                                                      
          Bradley Lake expanding the state's largest                                                                            
          hydroelectric facility                                                                                                
        • Includes three miles of road, concrete diversion                                                                      
          dam, and a five-foot diameter pipeline under the                                                                      
          road to carry water from its source to Bradley                                                                        
          Lake                                                                                                                  
                                                                                                                                
He highlighted that the engineering  on this project has won                                                                    
national awards and is a real  feather in the cap to AEA and                                                                    
the  utilities. He  commented on  the potential  for another                                                                    
diversion to further increase the energy into Bradley Lake.                                                                     
                                                                                                                                
        • More energy at lower  cost can  be produced  and                                                                      
          delivered to ratepayers                                                                                               
                                                                                                                                
3:51:44 PM                                                                                                                    
MR.  THAYER  reminded the  committee  that  the SSQ  transmission                                                               
line, which is in the  Homer Electric service area, burned during                                                               
the Swan Lake  Fire and lay dormant for four  months. He said the                                                               
estimated cost  to create additional generation  from natural gas                                                               
cost  ratepayers  north  of  Homer  more  than  $12  million.  In                                                               
addition,  there was  ongoing litigation  among all  five of  the                                                               
utilities  that amounted  to  $4-5 million.  AEA  stepped in  and                                                               
resolved the issue  by purchasing the line for  about $17 million                                                               
as  required  project work  from  the  power sales  agreement  of                                                               
Bradley  Lake. AEA  is currently  working with  the utilities  to                                                               
reduce  line loss  and upgrade  the 75  megawatt line  from Homer                                                               
into  Southcentral  so  both Homer  Electric  and  Golden  Valley                                                               
consumers benefit from the 4.5 cent power.                                                                                      
                                                                                                                                
3:53:34 PM                                                                                                                    
MR.  THAYER turned  to slide  17  and explained  that the  Alaska                                                               
Intertie is  a 170 mile  transmission line from Willow  to Healy.                                                               
It allows  Golden Valley Electric  Association (GVEA)  to connect                                                               
to and benefit  from lower cost power in  the Railbelt, primarily                                                               
from natural gas and hydro  power from Bradley Lake. Between 2008                                                               
and  2018, the  intertie saved  GVEA customers  approximately $40                                                               
million per  year. He also  commented on the  widespread benefits                                                               
of the PCE endowment.                                                                                                           
                                                                                                                                
MR. THAYER  discussed the benefits  that Power  Cost Equalization                                                               
provides to rural Alaska.                                                                                                       
                                                                                                                                
        • Power Cost Equalization (PCE) provides electric                                                                       
          power   to   rural   residential   customers   and                                                                    
          community facilities at costs similar those in                                                                        
          Anchorage, Fairbanks, and Juneau                                                                                      
                                                                                                                                
He noted that the first 550 kilowatts of power is 21-22                                                                         
cents per kilowatt as opposed to more than $1 per kilowatt                                                                      
without PCE.                                                                                                                    
                                                                                                                                
        • 194-eligible communities see the benefits of PCE                                                                      
          credits                                                                                                               
        • In Fiscal Year 2020, $29.6 million was disbursed                                                                      
        • PCE Endowment Fund created [and] capitalized in                                                                       
          Fiscal Year 2001  now ~$1.1 billion                                                                                   
                                                                                                                                
MR. THAYER  advised that  the PCE statute  is designed  such that                                                               
the first tranche  of earnings, which is about  $30 million, goes                                                               
to  the   PCE  endowment  and   the  second  goes   to  community                                                               
assistance.  Should  there  be  additional  funding,  up  to  $25                                                               
million can go  back into AEA for renewable  energy or powerhouse                                                               
upgrades  or  the Division  of  Community  and Regional  Affairs'                                                               
(DCRA) bulk fuel  program. He acknowledged that only  once in the                                                               
last  five  years  were  earnings   such  that  renewable  energy                                                               
programs and powerhouse upgrades could be funded.                                                                               
                                                                                                                                
3:56:44 PM                                                                                                                    
CHAIR REVAK welcomed Senator Micciche to the meeting.                                                                           
                                                                                                                                
SENATOR STEVENS  asked for a short  history of the Four  Dam Pool                                                               
and creation of Power Cost Equalization.                                                                                        
                                                                                                                                
MR. THAYER offered to follow up with the information.                                                                           
                                                                                                                                
SENATOR  STEVENS said  many of  the communities  in his  district                                                               
depend on PCE  and he was looking for information  to support his                                                               
argument that  the growing  PCE fund serves  a valid  purpose and                                                               
should not be raided.                                                                                                           
                                                                                                                                
MR. THAYER  restated his commitment  to provide  the information.                                                               
He then highlighted  that the state's investment  in the Intertie                                                               
saves Golden  Valley in Fairbanks $40  million a year and  PCE is                                                               
$30 million  per year. He  opined that  people should look  at it                                                               
from  both perspectives;  the benefit  of the  PCE endowment  and                                                               
that the investment in infrastructure  has led to ongoing savings                                                               
to people in urban areas.                                                                                                       
                                                                                                                                
3:59:51 PM                                                                                                                    
SENATOR KIEHL  asked him  to add  information about  the Railbelt                                                               
Electric Fund.                                                                                                                  
                                                                                                                                
MR. THAYER agreed and said he  would also include the report that                                                               
AEA  prepared several  years ago  in response  to a  request from                                                               
Senator Coghill.                                                                                                                
                                                                                                                                
4:00:38 PM                                                                                                                    
SENATOR  MICCICHE commented  that to  understand the  equity that                                                               
came about with PCE it  is important to include information about                                                               
the Cook Inlet Recovery Act.  It led to significant investment in                                                               
natural gas supplies for Southcentral  Alaska and provided energy                                                               
opportunities from Fairbanks up the Railbelt.                                                                                   
                                                                                                                                
MR. THAYER replied it was a good point.                                                                                         
                                                                                                                                
4:01:31 PM                                                                                                                    
MR. THAYER directed attention to  the Digital Twin 3D model video                                                               
on slide  21 and explained that  over the last 12  months AEA has                                                               
used this  technology to  do an inventory  and assessment  of all                                                               
the powerhouses  in PCE  communities in  rural Alaska.  A utility                                                               
worker in Anchorage  can zoom in and work with  the operator in a                                                               
rural  community to  diagnose and  resolve any  issues. He  noted                                                               
that  the powerhouse  on display  is one  of the  larger ones  in                                                               
rural Alaska. The majority are 14  by 46 foot structures built in                                                               
Anchorage  by  private  contractors  and  shipped  to  the  rural                                                               
location.                                                                                                                       
                                                                                                                                
4:02:44 PM                                                                                                                    
MR. THAYER  paraphrased the bulleted  information on slide  22 to                                                               
describe the Rural Power System Upgrades.                                                                                       
                                                                                                                                
        • ~197 communities eligible for Rural Power System                                                                      
          Upgrade (RPSU)                                                                                                        
        • Goal  improve power system efficiency, safety,                                                                        
          and reliability                                                                                                       
        • Aging  infrastructure    and    Operation    and                                                                      
          Maintenance                                                                                                           
                                                                                                                                
He described  the picture on  the upper  left as what  a new                                                                    
powerhouse ought  to look  like. The  picture below  shows a                                                                    
powerhouse   in   the   process   of   getting   replacement                                                                    
generators.                                                                                                                     
                                                                                                                                
        • Active projects  7 full and 16 Maintenance and                                                                        
          Improvement/Diesel Emissions Reduction Act                                                                            
        • Deferred maintenance $327 million                                                                                     
                                                                                                                                
4:05:13 PM                                                                                                                    
MR. THAYER  displayed the  roster of  RPSU projects  that require                                                               
funding and explained  that AEA has requested $5  million to fund                                                               
the  projects   in  [Napaskiak,   Nelson  Lagoon,   Nikolai,  and                                                               
Rampart].  The  communities   of  [Beaver,  Buckland,  Chefornak,                                                               
Chenega  Bay,   Chuathbaluk,  Crooked  Creek,  Elfin   Cove,  and                                                               
Golovin]  are  next  on  the  priority  list  and  all  need  new                                                               
powerhouses. He noted  the potential for a  $12.5 million federal                                                               
match and advised that in the  last five years the state has left                                                               
close to $50  million in federal funding on the  table because it                                                               
was not able to come up with the match.                                                                                         
                                                                                                                                
MR. THAYER turned to slide 24  and reported that the goal for the                                                               
more than  400 bulk fuel  facilities in  rural Alaska is  to make                                                               
them code  compliant and prevent spills  and contamination. These                                                               
facilities  have aging  infrastructure  and many  are subject  to                                                               
erosion. He  compared the pictures  of new  bulk fuel tanks  to a                                                               
group  of older  rusted tanks  and highlighted  that some  of the                                                               
containment barriers are made of  plywood that now is rotten. AEA                                                               
is working with the Coast Guard  in a regulatory effort to assess                                                               
and prioritize  projects. Currently  there are 8  active projects                                                               
and  18 ongoing  maintenance  and improvement  projects, but  the                                                               
state has not  funded any of these for the  last three years. The                                                               
deferred maintenance on  bulk fuel facilities in  rural Alaska is                                                               
$800 million.                                                                                                                   
                                                                                                                                
4:07:23 PM                                                                                                                    
MR. THAYER stated that AEA  has requested $5.5 million for FY2022                                                               
to  leverage $7.5  million for  bulk fuel  facility upgrades  for                                                               
Ekwok, Marshall, and  Shageluk. He reiterated that  for the third                                                               
year  this  program  has  not been  funded  and  the  maintenance                                                               
backlog is  getting worse. The  Denali Commission and  others are                                                               
willing to  pay the 50  percent match, and  in some cases  the 80                                                               
percent match,  but the state  has to participate, he  said. Next                                                               
in line  for bulk  fuel upgrades  are [Minto,  Noatak, Nondalton,                                                               
Shungnak, Togiak,  and Tuluskak] and  the intention is  that they                                                               
will look like the picture on slide 24.                                                                                         
                                                                                                                                
4:08:12 PM                                                                                                                    
CHAIR REVAK asked  him to provide further explanation  of the $50                                                               
million the state has left on the table in the last five years.                                                                 
                                                                                                                                
MR.  THAYER responded  that over  the last  five years  different                                                               
agencies have  requested state funding  to provide the  match for                                                               
federal funding,  but for one reason  or the other the  state has                                                               
not done so. He  said the match for AEA was  close to $20 million                                                               
to leverage  the $47 million.  He offered to  provide information                                                               
about  AEA over  the  past five  years that  shows  the years  it                                                               
received funding  and what the  budget requests were. He  said he                                                               
does not know  why but one year  AEA had money for  the state yet                                                               
the legislature  did not authorize  receiving the  federal match.                                                               
He said  his interest is to  maximize the federal portion  of the                                                               
work.                                                                                                                           
                                                                                                                                
MR. THAYER conveyed  that the Renewable Energy  Fund (REF), which                                                               
helps  Alaskans reduce  and  stabilize the  cost  of energy,  has                                                               
funded nearly  $270 million in  projects statewide. There  are 99                                                               
operational  projects and  27 are  in development.  The Round  13                                                               
recommendations  from   11  applicants  were  submitted   to  the                                                               
legislature in  January 2021.  This program  will sunset  on June                                                               
30, 2023 and  AEA is asking for  the $6.5 million that  is in the                                                               
fund  to be  reappropriated for  use by  the applicants  from the                                                               
past two years.                                                                                                                 
                                                                                                                                
MR. THAYER directed  attention to the picture on slide  28 of the                                                               
state's largest  solar farm in  Willow that was  primarily funded                                                               
with the Power Project Fund (PPF).  He noted that AEA also funded                                                               
the largest wind  project in the state outside  of Fairbanks, and                                                               
one of the largest hydroelectric  projects in the state on Prince                                                               
of Wales Island. Today, AEA  awarded $2 million to Galina leaving                                                               
$8.7  in  uncommitted  cash  that  may be  used  on  3-4  pending                                                               
applications. AEA also  recently made a cogeneration  loan to the                                                               
independent power producer Baxter  Senior Living in Anchorage. He                                                               
said the  PPF offers low  interest loans to  encourage innovative                                                               
power projects, which is what the legislature intended.                                                                         
                                                                                                                                
4:12:16 PM                                                                                                                    
MR. THAYER advised  that he would conclude  the presentation with                                                               
a discussion  about Susitna-Watana.  He began  with a  1.5 minute                                                               
video that simulates  the project that has been in  the works for                                                               
40  years.  He  reviewed  the following  specifications  for  the                                                               
Susitna-Watana Hydroelectric Project:                                                                                           
                                                                                                                                
        • Dam Height  705 feet                                                                                                  
        • Dam Elevation  2,065 Feet MSL                                                                                         
        • Reservoir Length  ~42 miles                                                                                           
        • Reservoir Width  ~1.25 miles                                                                                          
        • Maximum Installed Capacity  618 MW                                                                                    
       • Annual Energy  2,800,000 MWh or ~389,000 homes                                                                         
        • Cost  ~$5.655 billion (2014$)                                                                                         
                                                                                                                                
He noted  that this one  project would change the  state's energy                                                               
production to  60 percent  renewable. He  further noted  that the                                                               
cost estimate does not include  upgrading transmission lines from                                                               
Susitna north into Fairbanks and south into Anchorage.                                                                          
                                                                                                                                
MR.  THAYER  reviewed the  2014-2015  economics  of the  Susitna-                                                               
Watana project:                                                                                                                 
                                                                                                                                
        • Benefit-Cost and    Economic   Impact   Analyses                                                                      
          completed in 2015                                                                                                     
          • Based on 2014 projection of natural gas prices:                                                                     
             • Benefit-cost ratio of 2.39 from energy                                                                           
               savings alone                                                                                                    
             • $11.2 billion (2014$) in energy savings over                                                                     
               first 50 years                                                                                                   
             • $4.7 billion (2014$) in capital and O&M                                                                          
               costs over first 50 years                                                                                        
                                                                                                                                
MR. THAYER  reminded the committee  that Governor Walker  put the                                                               
project  in  abeyance  and  Governor  Dunleavy  took  it  out  of                                                               
suspension. He reviewed the status  of Susitna-Watana outlined on                                                               
slide 33, which read as follows:                                                                                                
                                                                                                                                
        • Integrated Licensing Process                                                                                          
        • 2/3 of the way done; $193 Million invested                                                                            
        • Cost to complete ~$100 million for license                                                                            
        • 58 FERC-approved studies:                                                                                             
             • Implemented 2012-2017                                                                                            
             • 19 studies completed                                                                                             
             • 39 significant progress made                                                                                     
        • Initial Study Report filed with FERC                                                                                  
                                                                                                                                
4:17:15 PM                                                                                                                    
MR. THAYER  concluded the presentation  saying that  the capacity                                                               
of Bradley Lake must be  increased to accommodate the Soldotna to                                                               
Quartz Creek  line; AEA is  looking at upgrading  and stabilizing                                                               
the  grid with  batteries; and  raising the  spillway at  Bradley                                                               
Lake about 7 feet will level the seasonal peaks and valleys.                                                                    
                                                                                                                                
CHAIR REVAK  asked him to return  sometime in the future  to talk                                                               
exclusively about the Susitna-Watana project.                                                                                   
                                                                                                                                
MR. THAYER replied  he would be happy to do  that and bring Bryan                                                               
Carey, the hydro expert and a manager on the project.                                                                           
                                                                                                                                
4:19:03 PM                                                                                                                    
SENATOR  STEVENS  asked how  Bradley  Lake  compares to  Susitna-                                                               
Watana.                                                                                                                         
                                                                                                                                
MR. THAYER answered Bradley Lake  has a capacity of 120 megawatts                                                               
and Susitna-Watana has a capacity  of about 620 megawatts or five                                                               
times larger.                                                                                                                   
                                                                                                                                
4:19:40 PM                                                                                                                    
SENATOR MICCICHE  asked if he  agrees that Bradley  Lake provides                                                               
about  10 percent  of  the  energy for  the  Railbelt and  adding                                                               
Susitna-Watana   would   bring   the   energy   production   from                                                               
hydroelectric to 75-80 percent.                                                                                                 
                                                                                                                                
MR. THAYER answered yes.                                                                                                        
                                                                                                                                
SENATOR  MICCICHE asked,  in  the interest  of  moving away  from                                                               
diesel power,  if the state  has looked at using  local resources                                                               
to  develop small  local utilities  that  could be  run by  local                                                               
Alaskans and  provide electricity for  a village, small  mine, or                                                               
fishing enterprise. He cited the  example of a village sitting on                                                               
a  small coal  seam that  is not  commercially viable,  but could                                                               
meet local needs.                                                                                                               
                                                                                                                                
4:21:06 PM                                                                                                                    
MR. THAYER answered not coal seams,  but AEA is always looking at                                                               
ways to introduce  renewables into a power grid  in rural Alaska.                                                               
He added  that quite a  few communities in Southeast  are looking                                                               
at the  possibility of hydropower from  either run of river  or a                                                               
dam. This  has been more  successful than solar, wind,  and tidal                                                               
but all such efforts are subject to the budget situation.                                                                       
                                                                                                                                
SENATOR  MICCICHE offered  his view  that local  opportunities to                                                               
develop conventional  gas has been  bypassed even though it  is a                                                               
viable option in  many communities. "A small  sputtering gas well                                                               
in  a community  of 3-or  400 is  a reality,  and I  think it  is                                                               
something  we need  to think  about." He  also asked  if AEA  was                                                               
looking  at  the potential  to  use  ISO  tanks to  supply  small                                                               
villages, fish processing facilities,  and mines with natural gas                                                               
at an affordable price.                                                                                                         
                                                                                                                                
MR. THAYER replied AEA has  looked at such opportunities when the                                                               
capital budgets were larger. Currently  they have an engineer who                                                               
is researching  small nuclear and  they are ready to  provide the                                                               
technical  expertise  if somebody  were  to  ask  for help  on  a                                                               
project.                                                                                                                        
                                                                                                                                
SENATOR MICCICHE suggested he consider  the potential for natural                                                               
gas in rural Alaska.                                                                                                            
                                                                                                                                
4:24:47 PM                                                                                                                    
CHAIR REVAK thanked the presenters  and AEA generally for what it                                                               
does to help bring the cost  of energy down in Alaska. He offered                                                               
his belief  that the economies of  scale Alaska will need  in the                                                               
future will rely on cheaper commercial and residential energy.                                                                  
                                                                                                                                
         HJR 12-ENDORSING ANWR LEASING; RELATED ISSUES                                                                      
                                                                                                                                
4:25:25 PM                                                                                                                    
CHAIR REVAK  announced the  consideration of  CS FOR  HOUSE JOINT                                                               
RESOLUTION NO.  12(RES), urging the  United States  Department of                                                               
the  Interior, Bureau  of Land  Management, to  honor the  recent                                                               
lease sales  and proceed with  permitting in the  Arctic National                                                               
Wildlife Refuge;  urging the  President of  the United  States to                                                               
defend the  2020 Record of  Decision approving the  Coastal Plain                                                               
Oil  and Gas  Leasing  Program in  the  Arctic National  Wildlife                                                               
Refuge;  opposing designation  of  the  Arctic National  Wildlife                                                               
Refuge as a  National Monument; and urging  the Alaska delegation                                                               
in Congress to uphold sec. 20001 of  the Tax Cuts and Jobs Act of                                                               
2017.                                                                                                                           
                                                                                                                                
4:26:09 PM                                                                                                                    
REPRESENTATIVE   GEORGE  RAUSCHER,   Alaska  State  Legislature,                                                                
Juneau,  Alaska,  sponsor  of  HJR  12, stated  this  resolution                                                                
requests  the  continuation   of  the oil  and  gas  development                                                                
program  in the  Arctic  National  Wildlife  Refuge  (ANWR)  that                                                               
was   recently   put  on   hold.   When   the  Alaska   National                                                                
Interests   Lands  Conservation   Act  (ANILCA)  became   law  in                                                               
1980,  Congress  reserved   the  right  to  permit  oil  and  gas                                                               
development  in  the [1002  area]  of the  Coastal  Plain of  the                                                               
refuge.  Withing   days  of the  first  lease   sale  in January                                                                
2021,  he said  President Biden  placed  the entire  leasing  and                                                               
development  program  on hold.  HJR 12  urges this  action to  be                                                               
reversed.                                                                                                                       
                                                                                                                                
REPRESENTATIVE   RAUSCHER  relayed   that  the  resolution   asks                                                               
the  Bureau  of  Land  Management   (BLM)  to honor   the recent                                                                
lease  sales and  proceed with  permitting  in the  1002 area  of                                                               
ANWR.  It  requests  the  agency  take  into  account   the  long                                                               
history  of safe  and  responsible  oil and  gas  development  on                                                               
the North  Slope  as well  as the enormous  benefit  development                                                                
in  ANWR  could  bring  to North  Slope  residents,   the  state,                                                               
and the  nation.                                                                                                                
                                                                                                                                
REPRESENTATIVE  RAUSCHER  said  HJR 12  further states  that  the                                                               
Alaska  State  Legislature  opposes  any  effort  to  employ  the                                                               
Antiquities  Act  to  designate  ANWR  as  a national  monument.                                                                
It beseeches  President  Biden  to consult  and  engage in  these                                                               
important  decisions  and  immediately  rescind  the  provisions                                                                
of Executive  Order  13990 pertaining  to ANWR.                                                                                 
                                                                                                                                
REPRESENTATIVE   RAUSCHER   offered  his  belief  that   this  is                                                               
both  a states'  rights issue  as well  as a jobs  issue because                                                                
development    within   the   refuge   could   create   tens   of                                                               
thousands  of  jobs across  the  country  and thousands  of  jobs                                                               
within  Alaska.                                                                                                                 
                                                                                                                                
4:29:15 PM                                                                                                                    
SENATOR  STEVENS  asked  how the  Antiquities  Act  factors  into                                                               
lease  sales in ANWR.                                                                                                           
                                                                                                                                
4:29:31 PM                                                                                                                    
JESSE  LOGAN,  Staff,  Representative  George  Rauscher,   Alaska                                                               
State   Legislature,   Juneau,   Alaska,   explained   that   the                                                               
portion   of  the  Antiquities   Act  that   the  resolution   is                                                               
questioning   allows  national  monuments  and  protected   lands                                                               
to be  established  by executive  order,  without  congressional                                                                
action.                                                                                                                         
                                                                                                                                
4:29:54 PM                                                                                                                    
SENATOR  KIEHL  asked:  1) for  the source  of  the  data in  the                                                               
WHEREAS  clause  on page  2  that predicts   the number  of  jobs                                                               
at peak  employment,  and 2) when  the numbers  were collected.                                                                 
                                                                                                                                
MR.  LOGAN  answered  it is  2018  data from  the  International                                                                
Energy  Agency  (IEA) and  the  Alaska Oil  and Gas  Association                                                                
(AOGA).                                                                                                                         
                                                                                                                                
SENATOR  KIEHL asked  if the  data reflects  the  scale and  pace                                                               
of  development  that  is  likely  from  the  entities  that  won                                                               
the bids  in the recent  lease sales.                                                                                           
                                                                                                                                
MR.   LOGAN   answered   not   necessarily;   the   numbers   are                                                               
estimates  based  on a  4:1 multiplier  effect  that  is assumed                                                                
for each  oil and  gas industry  job  both in Alaska  and  across                                                               
the  nation.  The  base  was  the assumed  development   in  ANWR                                                               
for the  next 20 years.                                                                                                         
                                                                                                                                
4:31:19 PM                                                                                                                    
SENATOR  KAWASAKI  asked  what  additional  provisions  are  part                                                               
of  Executive    Order  13990   and   what  the   final  FURTHER                                                                
RESOLVED  clause seeks  to accomplish.                                                                                          
                                                                                                                                
MR. LOGAN  replied  he believes  it was  Section  1003 of the  EO                                                               
that  placed  a  temporary  moratorium   on the  development   of                                                               
oil and  gas leases  that  had been issued  in ANWR.  He offered                                                                
to provide  a copy  of the EO to  the committee.                                                                                
                                                                                                                                
SENATOR  KAWASAKI   asked  if  the  moratorium   on the  current                                                                
lease  sales had an  end date or  was open ended.                                                                               
                                                                                                                                
4:32:17 PM                                                                                                                    
MR.  LOGAN answered  there  was  no end  date on  the moratorium                                                                
that  applied  to lease  sales  and  permitting.  He  noted  that                                                               
another   section   of  the  EO   directed  the   Department   of                                                               
Interior   to  review   all  Environmental    Impact  Statements                                                                
(EIS)  from the previous  administration.                                                                                       
                                                                                                                                
SENATOR  KAWASAKI  asked if  there was  an estimate  of how  long                                                               
the  review  of the  existing  Environmental  Impact  Statements                                                                
would  take.                                                                                                                    
                                                                                                                                
MR. LOGAN  answered  he was not  aware of any  such estimate.                                                                   
                                                                                                                                
SENATOR  KAWASAKI   suggested  that  if  the  resolutions   moves                                                               
forward  the  COPIES  section  should  be  conceptually  amended                                                                
to  reflect   that   Deb  Haaland   is  the   Secretary  of   the                                                               
Interior.                                                                                                                       
                                                                                                                                
4:33:19 PM                                                                                                                    
SENATOR  KIEHL  questioned  the last  WHEREAS  clause  on page  2                                                               
that  says,  "the exploration   and extraction   of oil  and  gas                                                               
has not  been shown  to  contribute  significantly  to increased                                                                
greenhouse   gas   emissions;".    He  pointed   out   that   the                                                               
transportation   sector  accounts  for  more  than  one-third  of                                                               
greenhouse  gas emissions  and it  is all oil.                                                                                  
                                                                                                                                
MR.  LOGAN  answered   that  the  clause  is  referring   to  the                                                               
extraction   of  the  hydrocarbon,   not   the  consumption.   He                                                               
added,  "By  sector,  the  extraction   of hydrocarbon   oil  and                                                               
gas  in  Alaska  contributes  0.7  percent  of  the  U.S.  global                                                               
greenhouse    gas   emissions.    So   one-half   of    that   is                                                               
contributed   to   the   sector   of  extraction,    so  [0.035]                                                                
percent."                                                                                                                       
                                                                                                                                
4:34:32 PM                                                                                                                    
CHAIR  REVAK   asked  if   he  was  specifically   referring   to                                                               
extraction.                                                                                                                     
                                                                                                                                
MR. LOGAN  answered  yes.                                                                                                       
                                                                                                                                
REPRESENTATIVE   RAUSCHER  pointed  to  the  words  "exploration                                                                
and extraction"  on  page 2, line  31.                                                                                          
                                                                                                                                
SENATOR  KIEHL  commented   that  he  would  need  to  check  his                                                               
Econ  107 textbook  to understand  what  an increased  supply  of                                                               
a marginally  fungible  commodity  does to consumption.                                                                         
                                                                                                                                
4:35:12 PM                                                                                                                    
SENATOR  MICCICHE  commented  that the  last he  checked, Alaska                                                                
produced  fewer   greenhouse  emissions   from  exploration   and                                                               
production  of hydrocarbons   than any  other state,  so this  is                                                               
the  best  it gets.  He  suggested  the  resolution   could  have                                                               
mentioned   that  because   making   it  difficult   to  produce                                                                
hydrocarbons   in the  most  tightly  regulated   regime  on  the                                                               
planet  pushes   production  off  to  places  like  Russia   that                                                               
does  not  compare  environmentally   regardless  of  the  metric                                                               
used in  the calculation.                                                                                                       
                                                                                                                                
REPRESENTATIVE   RAUSCHER   agreed  and   thanked  him  for   the                                                               
comment.                                                                                                                        
                                                                                                                                
4:37:23 PM                                                                                                                    
SENATOR  STEVENS  asked  what  happens  if the  leases  are  made                                                               
unavailable.                                                                                                                    
                                                                                                                                
MR.  LOGAN replied  he  does not  know, but  on March  21  Alaska                                                               
joined  12   other  states  in  a  lawsuit   against  the   Biden                                                               
Administration   for  canceling   leases   in  NPRA,  ANWR,   and                                                               
coastal  areas in the  Lower 48.                                                                                                
                                                                                                                                
SENATOR  MICCICHE  said he  believes there  is a  fairness  issue                                                               
when  companies   work  for  decades   and  invest  hundreds   of                                                               
millions   of  dollars   to  get   a  lease   only  to  have   an                                                               
executive   order  suddenly  stop  the  process   at  the  finish                                                               
line.  He expressed  hope that  the matter  would  end up at  the                                                               
U.S.  Supreme  Court with  a finding  that  once a  company  gets                                                               
the lease,  the game  is over.                                                                                                  
                                                                                                                                
4:40:36 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
4:41:20 PM                                                                                                                    
CHAIR   REVAK  reconvened    the  meeting.   He   opened   public                                                               
testimony  on  HJR 12  and stated  he would  start  with invited                                                                
testimony.                                                                                                                      
                                                                                                                                
4:41:41 PM                                                                                                                    
KARA   MORIARTY,  President   and   CEO,  Alaska   Oil  and   Gas                                                               
Association   (AOGA),  Anchorage,   Alaska,   stated  that   with                                                               
passage  of  ANILCA   in 1980,   the  Arctic  National  Wildlife                                                                
Refuge  was   expanded  to  19  million   acres,  with   over  90                                                               
percent  of  the region  permanently  protected   as wilderness.                                                                
However,   Section  1002  of  ANILCA   specifically  states   the                                                               
intent  for  future  oil  and  gas development   on  the Coastal                                                                
Plain.                                                                                                                          
                                                                                                                                
MS.  MORIARTY  stressed that  the  oil and  gas industry  has  an                                                               
excellent   decades-long   record   of   safe,   effective,   and                                                               
environmentally     responsible     development    in    Alaska,                                                                
particularly   in  the   Arctic.  She  also   pointed  out   that                                                               
development   does  not occur  the  way  it  did  years  ago  and                                                               
technology    continues   to   decrease   the   footprint.    For                                                               
example,  a typical  oil pad  on the North  Slope  used to be  65                                                               
to  70 acres  compared  to  the newest  drilling  pads  that  are                                                               
12 to  14 acres.                                                                                                                
                                                                                                                                
MS.  MORIARTY  described  development  of  the Coastal  Plain  as                                                               
a long-term  process  that  will  be good  for the  country.  She                                                               
predicted  that the  demand  for oil and  gas will  continue  for                                                               
the  next 30  to 40  years,  and will  build  upon the  jobs  and                                                               
revenues   the  industry  has  contributed   to  the  state   for                                                               
decades.                                                                                                                        
                                                                                                                                
4:43:50 PM                                                                                                                    
SENATOR  STEVENS  asked  what  interest   industry  has  in  this                                                               
area,  who bid  on the  leases,  how much,  and what  happens  if                                                               
the leases  cannot  be used.                                                                                                    
                                                                                                                                
MS.  MORIARTY  replied  AOGA  members   did not  participate   in                                                               
the  January  lease   sale;  it  was  dominated  by  the   Alaska                                                               
Industrial   Development  and  Export   Authority  (AIDEA),   the                                                               
State  of Alaska,   and small  entities  interested  in  oil  and                                                               
gas.   However,   she  said   this  does   not   mean  that   the                                                               
traditional   industry  players  in  the  state  do  not  have  a                                                               
long-term   interest   in  the   Coastal  Plain.   Negative   oil                                                               
prices,  supply,  and  cash  flow  contributed  to  make  2020  a                                                               
very  challenging  year and  that continues  for  both small  and                                                               
large  companies.  Furthermore,  there  is  a lot  of regulatory                                                                
uncertainty  with  the  new administration.   Responding  to  the                                                               
question   about   what   happens   if   the   leases   are   not                                                               
developed,  she said  she would  need  to discuss  this with  the                                                               
Department  of  Interior.  She  concluded   that development   of                                                               
an  exploratory   field  like  the  Coastal  Plain  will   easily                                                               
take  10 to 12  years, and  ANWR may  come back  into industry's                                                                
purview  in 15 years  when the demand  is still  there.                                                                         
                                                                                                                                
4:47:16 PM                                                                                                                    
SENATOR  KAWASAKI  asked  exactly  what  Executive   Order  13990                                                               
did.                                                                                                                            
                                                                                                                                
MS.  MORIARTY  answered  that the  Biden  Administration  issued                                                                
three   EOs   within   a   week.   One  placed   an   indefinite                                                                
moratorium   on  ANWR,   one  placed  a  60-day   moratorium   on                                                               
leases,  and  she  did  not  recall  what   the  third  did.  She                                                               
offered  to follow  up with the  information.                                                                                   
                                                                                                                                
SENATOR  KAWASAKI summarized  her  response.                                                                                    
                                                                                                                                
MS.   MORIARTY    restated   her    answer   and   offered    her                                                               
perspective    that   it   was   not   clear   how    the   Biden                                                               
Administration    plans   to   do  business    on   leasing   and                                                               
permitting   on  federal  lands,  but  there  have  been   strong                                                               
statements  about ensuring  that  ANWR does not  move forward.                                                                  
                                                                                                                                
4:49:46 PM                                                                                                                    
SENATOR   MICCICHE  asked   for  a  brief   description   of  the                                                               
public  process  over  the  past  four  decades  before  the  oil                                                               
lease  sale was approved.                                                                                                       
                                                                                                                                
MS. MORIARTY  explained  that  after the  Tax Cuts  and Jobs  Act                                                               
of  2017,  an  EIS  process  started   in 2018,   the  record  of                                                               
decision  came  out  at the  end  of 2020,  and  the  lease  sale                                                               
was  in January  2021.  The process  included  a draft  EIS,  two                                                               
rounds  of  public  comment,  a  final  EIS  and  the  record  of                                                               
decision.                                                                                                                       
                                                                                                                                
SENATOR    MICCICHE   said    he   understands    and   respects                                                                
environmental  challenges  on  the use  of public  lands, but  he                                                               
sees  the   recent  challenges   as  philosophically   motivated                                                                
rather  than environmental.  He  asked if she  would agree.                                                                     
                                                                                                                                
MS.  MORIARTY  replied  she believes  there  are  challenges  and                                                               
opposition  in  both  camps.  Some  are  based on  care  for  the                                                               
environment,   but  there   is  also  a  growing   philosophical                                                                
difference  about  where  energy  the  country's  energy   should                                                               
come  from   and  how  fast   it  should   come  from  different                                                                
sources.                                                                                                                        
                                                                                                                                
CHAIR  REVAK invited  Rebecca Logan  to provide  her testimony.                                                                 
                                                                                                                                
4:54:00 PM                                                                                                                    
REBECCA  LOGAN,  CEO,   The Alaska   Support  Industry  Alliance                                                                
("Alliance"),  Anchorage,   Alaska,  stated  the mission  of  the                                                               
Alliance     is    to    promote    responsible     exploration,                                                                
development,  and  production   of oil,  gas,  and  minerals  for                                                               
the  benefit  of  all  Alaskans.  She  advised   that  she  would                                                               
highlight   two   aspects   of   the   written   testimony    she                                                               
submitted.  The  first  is that  the  energy  sector  has yet  to                                                               
see  evidence   that  the  dire  job   situation  in  Alaska   is                                                               
recovering.   Alliance  member  companies   have  been  severely                                                                
affected  since  2015.  She  reported   that  there  were  15,000                                                               
jobs  in the  industry  11 years  ago and  today there  are  just                                                               
7,000.  She  emphasized  that  more  resource  development   jobs                                                               
are  needed  for  Alaska  to  return  to  a  healthy  employment                                                                
environment.                                                                                                                    
                                                                                                                                
MS.  LOGAN  stated  that the  Alliance  strongly   believes  that                                                               
Alaska  can explore  for, develop,  and  produce  oil and gas  in                                                               
a more  careful,  safe,  and  environmentally  sensitive   manner                                                               
than   anyone  in   the  world.   In  fact,   the  industry   has                                                               
recognized  Alaska  as  a  training  ground  for minimizing   the                                                               
impact  and  footprint  associated  with  oilfield  development.                                                                
She  cited  previous  development   across  the  North  Slope  as                                                               
proof  that  it is  possible  to  develop  and  produce  oil  and                                                               
gas  from the  Coastal  Plain of  ANWR with  minimal  impact  and                                                               
a small  footprint.                                                                                                             
                                                                                                                                
4:56:19 PM                                                                                                                    
KATIE   CAPOZZI,   President   and   CEO,   Alaska   Chamber   of                                                               
Commerce  ("Alaska  Chamber"),  Anchorage,  Alaska,  thanked  the                                                               
committee  for inviting  the  Alaska Chamber  to  testify on  HJR
12.  She  reported  their  mission   is to  promote   a positive                                                                
business    environment   in    Alaska,   and   as   such    they                                                               
enthusiastically    endorse  HJR   12.  For   years  the   Alaska                                                               
Chamber's   top   federal   priority    has   been   to  support                                                                
exploration   and  development   of  oil  and  gas  in  Alaska's                                                                
federal  areas  and to  encourage  the  legislature  to strongly                                                                
advocate  for  the  same.  Developing   the  1002  area  in  ANWR                                                               
would  provide  great   economic  opportunity   for Alaska.   She                                                               
reported  that  the Alaska  Chamber's  statewide   polling  shows                                                               
that  a majority  of  Alaskans  have supported  opening  a  small                                                               
portion  of ANWR to  oil and gas  development  for decades.                                                                     
                                                                                                                                
4:57:40 PM                                                                                                                    
MARLEANNA   HALL,  Executive   Director,  Resource   Development                                                                
Council  for  Alaska  (RDC), Anchorage,   Alaska,  stated strong                                                                
support  for  HJR  12  as it  supports  the  oil  and  gas  lease                                                               
program  that  will  allow  limited  activity   within  the  non-                                                               
wilderness   portion  of   the  Coastal   Plain  of  ANWR.   This                                                               
resolution   describes  measures   to  address  ANILCA   and  the                                                               
intent  to preserve   areas in  the  Coastal  Plain for  oil  and                                                               
gas  development.   She  said  this  will  create  thousands   of                                                               
jobs  nationwide,  generate  billions  of dollars  in government                                                                
revenue  for  public  services,   and  promote  energy  security                                                                
for decades.  Alaskans  and  the rest  of the U.S.  will benefit                                                                
from  this development.  She  concluded  her testimony  assuring                                                                
the  committee  that  the  RDC  membership  has  long  supported                                                                
exploration  and  development  of  oil  and gas  in  the Coastal                                                                
Plain  of ANWR.                                                                                                                 
                                                                                                                                
4:59:10 PM                                                                                                                    
MATTHEW  REXFORD,   President,  Kaktovik   Inupiat  Corporation;                                                                
and   Tribal  Administrator,    Native   Village   of  Kaktovik,                                                                
Kaktovik,  Alaska,   stated  support  for  HJR  12 that  opposes                                                                
the  designation  of  ANWR as  a  national  wildlife  refuge.  He                                                               
said  Kaktovik   is  the  only  community   inside  the  Coastal                                                                
Plain  area of ANWR  and his  testimony  will reflect  the  anger                                                               
he and  his community  are  feeling.  They want  the legislature                                                                
and  people elsewhere  in  the state  to be  angry  too. He  said                                                               
the Inupiat  People  work  to resolve  conflict,  work together,                                                                
and value  humility,  so to  become angry  is extraordinary.   He                                                               
continued  to state  the following:                                                                                             
                                                                                                                                
     Last  week the  Washington  Post published  an opinion                                                                     
     article  that  is  a  continuation   of the  onslaught                                                                     
     that  my  community  has  been  subjected   to  by  the                                                                    
     Gwich'in  Steering   Committee  who  have  been  trying                                                                    
     to erase  the  Inupiat  from the  lands we  have  lived                                                                    
     on  for thousands   of years  in  the  name  of  racial                                                                    
     justice   and  human   rights.  The   article  titled,                                                                     
     "Indigenous   Advocacy  Transformed   the  Fight   over                                                                    
     Oil  Drilling  in  the Arctic   Refuge"  is a  slap  in                                                                    
     the  face  to  my people.  Nowhere   does  the article                                                                     
     mention  the  Inupiat People  or  Kaktovik,  not  once.                                                                    
     This  is the  same  experience  we  had  with Congress                                                                     
     in  2019 and  the  introduction  of  the bill  HR  1146                                                                    
     titled,    "Arctic   Cultural    and   Coastal    Plain                                                                    
     Protection  Act"  which  was  characterized   as  human                                                                    
     rights  legislation,  but failed  to even  mention  our                                                                    
     people.  It is appalling  that  our own  U.S. Congress                                                                     
     tried  to eliminate  us through  legislation.                                                                              
                                                                                                                                
     In  September   2020   we  found   that  the  Gwich'in                                                                     
     Steering  Committee   approached  the  United  Nations                                                                     
     Committee     on    the    Elimination    of     Racial                                                                    
     Discrimination,    claiming    they    were   racially                                                                     
     discriminated    against   by  the   U.S.   government                                                                     
     during   the  Coastal   Plain   Environmental    Impact                                                                    
     Statement  (EIS).  Like  the Washington   Post article                                                                     
     of  last  week,  neither  HR  1146  nor  the  Gwich'in                                                                     
     Steering    Committee's    complaint   to   the    U.N.                                                                    
     mentioned  the Inupiat  or Kaktovik.                                                                                       
                                                                                                                                
     Can you  imagine  what this  feels like  to my people?                                                                     
     And  where  do we  get  help  fighting  this?  We're  a                                                                    
     small  community   of  700   people  on  the  northern                                                                     
     shore  of Alaska.  We do not  have the  same resources                                                                     
     supporting   us.  We  do  not  have  the  millions   of                                                                    
     dollars  that  the  environmental   groups  provide  to                                                                    
     the  Gwich'in   in  a   clear  effort   to  erase   our                                                                    
     existence.  We are  mad.                                                                                                   
                                                                                                                                
     We  have  endured  being  removed  from  our  homeland                                                                     
     many  times since  the  1940s when  the  U.S. Airforce                                                                     
     bulldozed  and forcibly  moved  our village,  not  once                                                                    
     but two  times over  a time  period of  ten years,  for                                                                    
     a  distance  early  warning  site  on  Barter  Island.                                                                     
     The Kaktovik  People  specifically  chose  the current                                                                     
     site   of   Kaktovik   for   the   third    and   final                                                                    
     relocation.                                                                                                                
                                                                                                                                
     My  forefathers  were  subjected  to iodine  radiation                                                                     
     and  cold  weather  studies   by  the  military  in  an                                                                    
     effort  to understand  how  we could  withstand living                                                                     
     in the  harsh Arctic  climate  we call  home. We  never                                                                    
     received   an  apology,  reparation,   or  restitution                                                                     
     for  all   the  hardships   we  faced   with  our   new                                                                    
     neighbors.                                                                                                                 
                                                                                                                                
     The Alaska  Native  Claims  Settlement  Act of 1971  as                                                                    
     amended,  known as  ANCSA,  was supposed  to allow  our                                                                    
     Kaktovik  Inupiat  Corporation  or (KIC)  the economic                                                                     
     freedom   to   develop   its  land   to   benefit   our                                                                    
     community.   While   our  leadership    was  the   only                                                                    
     Native  group  to speak  out  against  ANCSA  when  the                                                                    
     Act  passed,   we  again   tried   to  make  it   work,                                                                    
     inviting   the   oil  and   gas   industry   into   our                                                                    
     community   and  establishing   an  economy  that   has                                                                    
     allowed  our  people   to  flourish  for  decades.   In                                                                    
     fact,   the  only   well  drilled   inside   ANWR   was                                                                    
     drilled  on  KIC  land.  Unfortunately,   our economic                                                                     
     freedoms   were   short-lived   and   we   lost   those                                                                    
     freedoms    under   the   next    piece   of   federal                                                                     
     legislation,   the  Alaska  National   Interest   Lands                                                                    
     Conservation   Act  of  1980,  as  amended,   known  as                                                                    
     ANILCA.                                                                                                                    
                                                                                                                                
     This  Act  compromises  KIC's  ability  to  access  and                                                                    
     develop  its lands.  Kaktovik  did  not want  to be  an                                                                    
     island  in the  middle  of a refuge,  but  it happened                                                                     
     anyway.   Having  lived   in  the   refuge  since   the                                                                    
     passage  of ANILCA,  I'm  here to  tell  you that  life                                                                    
     has  been  difficult.   And  the   federal  management                                                                     
     agency  has not  performed  its duty to  our community                                                                     
     as  required  by  law. We  would  not  expect  that  to                                                                    
     change  if ANWR  was designated  a national  monument.                                                                     
     In fact,  we would  expect  to see our  rights further                                                                     
     restricted.                                                                                                                
                                                                                                                                
     I  want  to  be clear  to  the  committee   today  that                                                                    
     passage  of this  resolution  is  not going  to affect                                                                     
     or  change  the national  opinion  of  ANWR.  Not  only                                                                    
     if  you  start   fighting  the   falsehoods  that   the                                                                    
     Gwich'in  Steering  Committee  has been  so successful                                                                     
     in presenting.                                                                                                             
                                                                                                                                
     My  community   of  Kaktovik   does  what  it   can  to                                                                    
     counter  the  perception  that  the  Coastal  Plain  is                                                                    
     only  sacred   for  caribou.   The  Coastal  Plain   is                                                                    
     sacred   to  the  Kaktovikmiut.    Our  ancestors   are                                                                    
     buried  here  and our  children  grow  up here.  To  be                                                                    
     clear,  the  Gwich'in  Steering   Committee  is  not  a                                                                    
     tribe.   They   are  an   advocacy   group   based   in                                                                    
     Fairbanks,   Alaska,  which  is  over  400  miles  away                                                                    
     from  our village.  It is the  Inupiat  who hold  these                                                                    
     lands   as   sacred.   See   the   attached   map   for                                                                    
     reference  of distances  to this  testimony.                                                                               
                                                                                                                                
     This  fight has  been relentless  and I  am here  today                                                                    
     at  your  invitation  to  support  your  opposition  in                                                                    
     turning  ANWR  into a  national  monument.  By passing                                                                     
     HJR  12, you  are  supporting  Kaktovik,  and  for  our                                                                    
     community  that  is  important.   You  will  have  many                                                                    
     speak  on  the  importance   of  oil  and  gas  to  our                                                                    
     national  security   and  economy  and   that  we  need                                                                    
     jobs.  While all  of that is  true, until  you help  us                                                                    
     fight   the  rhetoric   that  the   Gwich'in  Steering                                                                     
     Committee      is      sowing      nationally       and                                                                    
     internationally,   then  this joint  resolution   won't                                                                    
     mean much.                                                                                                                 
                                                                                                                                
     I  implore  this  committee  to  officially  recognize                                                                     
     Kaktovik   as  the  only  community   in  the  Coastal                                                                     
     Plain  and  the Inupiat  as  those  who  have occupied                                                                     
     it  for thousands  of  years.  But just  acknowledging                                                                     
     us  is not  enough.  Today  I  ask  this  committee  to                                                                    
     take  action  to  prevent  further  discrimination   of                                                                    
     the  Kakovikmiut.  I'm asking  for  a bill  that  makes                                                                    
     it  illegal   for  a  tribe   to  assert  false   lands                                                                    
     claims  over  another tribe's  lands.  I'm  asking  for                                                                    
     a bill  that makes  it illegal  for a  tribe to  assert                                                                    
     false  lands   claims  over  another   tribe's   lands.                                                                    
     Please   provide  us   with  some   relief  from   this                                                                    
     assault.  This is  our homeland  and we  are not  going                                                                    
     anywhere.                                                                                                                  
                                                                                                                                
     The  Kaktovik  Inupiat  strongly  support  responsible                                                                     
     development  to  secure  an  economic  future  for  our                                                                    
     people.  Simply pretending   the Inupiat  do not  exist                                                                    
     is  alarming   and   offensive.   Claiming   our   land                                                                    
     belongs  to  another  tribe  should   be illegal,   and                                                                    
     this committee  can  help.                                                                                                 
                                                                                                                                
     We  are  angry  and I  hope  that  you  are  now  angry                                                                    
     along  with us.  I request  that  you support  HJR  12.                                                                    
     I ask  that  you consider  legislation   that prevents                                                                     
     other  tribes  from suffering  at  the hands  of  their                                                                    
     neighbors  by  addressing  false  land  claims.  And  I                                                                    
     ask  that you  fight and  then  fight with  the  people                                                                    
     of  Kaktovik  for the  rights  we  were  guaranteed  so                                                                    
     many decades  ago.                                                                                                         
                                                                                                                                
CHAIR   REVAK  thanked   him  for   the  moving   testimony   and                                                               
requested  he submit  it in writing.                                                                                            
                                                                                                                                
5:07:19 PM                                                                                                                    
SENATOR  MICCICHE  thanked  him  and said  his moving  testimony                                                                
was very  well received.                                                                                                        
                                                                                                                                
5:07:53 PM                                                                                                                    
CHAIR  REVAK turned  to public testimony  on  HJR 12.                                                                           
                                                                                                                                
5:08:32 PM                                                                                                                    
BERNADETTE    DEMIENTIEFF,    Executive    Director,    Gwich'in                                                                
Steering  Committee,  Fairbanks,  Alaska,  stated  that there  is                                                               
no  intention   to  insult   the  Inupiat   as  they  have   been                                                               
partners,  brothers,  and  sisters  on this  land  for thousands                                                                
of   years.   She   explained   that   the   Gwich'in   Steering                                                                
Committee  does  not  mention  the  Inupiaq   because  they  only                                                               
speak  for  themselves,   not  other  tribes.  She  said  we  all                                                               
migrated  to  this land  at  one time  and  the Creator  blessed                                                                
the  people with  the land  to  caretake,  not to  see what  they                                                               
could  get  out  of  it.  She  said  the  animals  that  migrate                                                                
through  the Coastal  Plains  directly  affect our  way of  life.                                                               
They  have  had  a cultural   and spiritual   connection  to  the                                                               
Porcupine  caribou  herd since time  immemorial.                                                                                
                                                                                                                                
She  pointed  out  that  people  who  really  believe   that  the                                                               
refuge  is  sacred  would   not  drill  for  oil  on  it because                                                                
there  is no  safe  way to  drill.  Prudhoe  Bay is  evidence  of                                                               
this.  She  said   we  are  worried  about  the  future   of  our                                                               
children   and  their  survival.   She  concluded  her  comments                                                                
stating  that  "We  are  not  going  anywhere   and  we  are  not                                                               
going  to allow anybody  into our  sacred land  for money."                                                                     
                                                                                                                                
5:11:36 PM                                                                                                                    
DR.  CHARLENE   APOK,  representing   self,  Anchorage,  Alaska,                                                                
identified   herself   as  Inupiaq.   She   stated   she  has   a                                                               
masters'   degree   in   rural   development   and   a  PhD.   in                                                               
indigenous  studies  focused  on  circumpolar  health.  She  said                                                               
she   was  calling   to   oppose   the  lease   sales   and   oil                                                               
development  in  the  Arctic National  Wildlife   Refuge (ANWR).                                                                
The  environmental   impact  statements   have  been  inadequate                                                                
and  government-to-government   consultation  has  been lacking.                                                                
She  said  corporations  are  not  people  and  the  people  from                                                               
Kaktovik   have   not  and   will   not   benefit   if  ANWR   is                                                               
developed.   Money   and  profits   have   left   the  state   or                                                               
benefited   people   who   are   not   in   the  Alaska    Native                                                               
community.                                                                                                                      
                                                                                                                                
DR. APOK  said  the poverty  rates and  health  disparities  that                                                               
Alaska   Natives   face   are  a   direct   reflection   of   the                                                               
inequitable   development   in  Alaska.   She  agreed  with   the                                                               
earlier  statement   that  this  is  a  fairness  issue  because                                                                
proper  stakeholders   have  not  been  heard  or  engaged.   She                                                               
said  the  health   of  the  people  is  directly   tied  to  the                                                               
health   of  the   land,   and  the   health  disparities    will                                                               
continue  if  HJR  12  goes forward.   To the  earlier  question                                                                
about  whether   this  was  a  philosophical   or  environmental                                                                
issue,  she said they  are the same.                                                                                            
                                                                                                                                
5:14:02 PM                                                                                                                    
BARBARA   HUFF    TUCKNESS,   representing    self,   Anchorage,                                                                
Alaska,  stated  support  for  HJR 12.  She  maintained  that  it                                                               
is  a fairness   issue  for  everyone  who  lives  and  works  in                                                               
Alaska.   She  thanked   the   sponsor   for  highlighting    the                                                               
important   parts   of  the   issue   that  should   be  debated                                                                
throughout  this  process.  She  shared  that  she is  a retired                                                                
Teamster  who worked  directly  and indirectly  for  the oil  and                                                               
gas  industry  for many  years.  She  wants  to see  the economy                                                                
continue  to  grow  in a  safe  and environmentally   productive                                                                
way  and  she  believes   that  honoring  the  lease   sales  and                                                               
proceeding  with  permitting  in the  non-wilderness  portion  of                                                               
ANWR is  the right  thing to do.                                                                                                
                                                                                                                                
5:16:06 PM                                                                                                                    
MARGI   DASHEVSKY,   representing   self,   Anchorage,   Alaska,                                                                
stated  she  was  calling  to  oppose  HJR  12.  She  opined  the                                                               
resolution  contains   factual  inaccuracies  that  misrepresent                                                                
the  anthropogenic  climate   change  in her  home  state.  As  a                                                               
lifelong  Alaska  she  is  deeply  committed   to diversify   the                                                               
economy  from extractive  industries.   She said  the calls  from                                                               
indigenous   people  has  elevated   the  importance  of   tribal                                                               
consultation.                                                                                                                   
                                                                                                                                
MS  DASHEVSKY   described  the  Alaska  Industrial   Development                                                                
and  Export Authority   (AIDEA)  investment  in state  leases  in                                                               
ANWR  as  a reckless  use  of  state  funds  and encouraged   the                                                               
legislature   to  develop  a  long  term  fiscal   plan  for  the                                                               
state  that   recognizes  that   oil  is  not  the  future.   She                                                               
concluded  that  transitioning   from  fossil   fuel  will  bring                                                               
innovation  and  talent  to Alaska.  She  said  HJR 12  does  not                                                               
speak  for   me,  and  it  is  not   in  the  best  interest   of                                                               
Alaskans.                                                                                                                       
                                                                                                                                
5:18:36 PM                                                                                                                    
JULIE  SMYTH,  representing   self,  Fairbanks,  Alaska,   stated                                                               
that  she  is Inupiaq  and  she  is calling  to  oppose  HJR  12.                                                               
First,  she  believes   the  resolution   is  a waste   of  state                                                               
resources  because  everyone  who  receives  a  copy can  set  it                                                               
aside  and ignore  it. The  legislature's  time  would be  better                                                               
spent  tending to  things it  does control.  Second,  there  have                                                               
been  many claims  that  the residents  of  the North  Slope  had                                                               
ample  opportunity  to  participate  in the  public  process  and                                                               
they  supported  these   projects,  but  that  is  not  what  she                                                               
found  when she  went over  the BLM  testimony with  people  from                                                               
Kaktovik  and  Arctic  Circle.  In fact,  just  one  person  from                                                               
each  village  supported   any  kind  of  change  and  more  were                                                               
opposed.  Most  people were  present  to  make claims  about  how                                                               
dishonest   the  government   and  oil  companies  are   to  make                                                               
comments  about  the  caribou and  indigenous  relationships   as                                                               
well  as  relationships  with  other  animals   such  as whales,                                                                
fish,   birds,   moose,   musk   ox,  and   polar   bears.   They                                                               
questioned   why   there  was   not   more  research   on   these                                                               
animals.  There  were also  several comments  on  preserving  the                                                               
indigenous   way  of  life.  She   pointed  out  that   when  the                                                               
traditional  way  of  life is  not  preserved,  people  like  her                                                               
grandparents   will have  to  move  into  urban  areas  and  they                                                               
will need  financial  support from  the government.                                                                             
                                                                                                                                
5:21:08 PM                                                                                                                    
NAURI   TOLER,   representing    self,  Eagle   River,   Alaska,                                                                
identified   herself  as  Inupiaq.  She  paraphrased   the  third                                                               
WHEREAS  on page 4  that read as  follows:                                                                                      
                                                                                                                                
     WHEREAS  the  North  Slope  Borough,  representing  the                                                                  
     residents  of the  North  Slope,  including the  Alaska                                                                    
     Native residents  of the Coastal  Plain and  the larger                                                                    
     North  Slope area,  fully  participated  in the  public                                                                    
     process conducted  by the Bureau of  Land Management in                                                                    
     the  course of  developing the  2020 Coastal  Plain Oil                                                                    
     and  Gas   Leasing  Program  Record  of   Decision  and                                                                    
     supports the decision; and                                                                                                 
                                                                                                                                
MS.  TOLER referenced   the testimony  during  the  2/5/2019  BLM                                                               
draft  EIS  public  meeting  in Kaktovik   and highlighted   that                                                               
more  than just  a few  testifiers  talked  about  promises  that                                                               
hunting  would  be available  in  the Arctic  refuge  but it  was                                                               
not.  She referenced  a map  with areas  shaded  in purple  where                                                               
lease  sales would  not occur  and asked  why the  areas down  to                                                               
the  coastline  weren't  excluded  to accommodate   calving.  She                                                               
said  she wants  it a  matter of  record  that she  believes  the                                                               
EIS  process  was  fast-tracked  and  given  insufficient   time.                                                               
She only  heard  about the  public meeting  in Kaktovik  the  day                                                               
before  it  happened  and  information   was not  available   for                                                               
review   until  the  meeting   was  underway.   She  noted   that                                                               
Kaktovik   residents   signed  petitions   opposing   the   lease                                                               
sales.  One petition  was  signed  by 61  residents.  She stated                                                                
for  the  record  that  she  opposes  oil  development   and  she                                                               
opposes  HJR  12.  She  said  the  invited  testimony   was  very                                                               
one-sided  and  she hopes  the  committee  understands  that  Mr.                                                               
Rexford  represents  a corporation  and not the  community.                                                                     
                                                                                                                                
5:23:26 PM                                                                                                                    
MAX  PLICHTA,  representing   self,  Fairbanks,  Alaska,   stated                                                               
he is  an ecologist  who  lives  and works  in the  Interior  and                                                               
the  North  Slope.  He urged  the  committee  to  oppose  HJR  12                                                               
regarding   the  Coastal   Plain   lease  sale   in  the   Arctic                                                               
National   Wildlife   Refuge  (ANWR)   and  the   opposition   to                                                               
designating  the  refuge  as  a national  monument.  He  said  it                                                               
has  been  well documented   that  the 1002  area  has  a  unique                                                               
and  large  degree   of  ecological   diversity  as  opposed   to                                                               
other  similarly  sized  areas in  the region.  He  also pointed                                                                
out  that it  is well  documented  that the  Arctic  is and  will                                                               
continue   to   be  disproportionately    affected   by  climate                                                                
change.  He  offered  his  belief  that  since  the  majority  of                                                               
the  North Slope  is  already  open  to current  and  future  oil                                                               
and  gas exploration,  it  is appropriate   to protect  the  1002                                                               
area for  wildlife,  climate change,  and future  generations.                                                                  
                                                                                                                                
5:24:41 PM                                                                                                                    
CHAIR  REVAK closed  public  testimony  on HJR 12.  He urged  any                                                               
interested  parties  to submit  their  written testimony  to  the                                                               
committee  at sres@akleg.gov.                                                                                                   
                                                                                                                                
5:25:15 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
5:26:36 PM                                                                                                                    
CHAIR  REVAK   reconvened  the   meeting  and  stated   he  would                                                               
entertain  amendments.                                                                                                          
                                                                                                                                
5:26:54 PM                                                                                                                    
SENATOR  KIEHL moved  Conceptual  Amendment 1.                                                                                  
                                                                                                                                
     Page 2,  line 29 through  page 3,  line 1:                                                                                 
        Delete all material                                                                                                     
                                                                                                                                
CHAIR  REVAK asked  if there was  objection.                                                                                    
                                                                                                                                
SENATOR  MICCICHE  commented  that  he was  not going  to  object                                                               
because  that WHEREAS  clause has  no value.                                                                                    
                                                                                                                                
5:28:08 PM                                                                                                                    
CHAIR  REVAK   echoed  the  sentiment.   Finding  no  objection,                                                                
Conceptual  Amendment  1 passed.                                                                                                
                                                                                                                                
5:28:15 PM                                                                                                                    
SENATOR  MICCICHE moved  Conceptual  Amendment  2.                                                                              
                                                                                                                                
     Page 6,  line 22:                                                                                                          
        Delete "Scott de la Vega, Acting"                                                                                       
        Insert "Deborah Haaland,"                                                                                               
                                                                                                                                
5:28:24 PM                                                                                                                    
CHAIR  REVAK objected  for discussion  purposes.                                                                                
                                                                                                                                
SENATOR  MICCICHE  explained   that  this reflects   the current                                                                
U.S. Secretary  of  the Interior.                                                                                               
                                                                                                                                
5:28:57 PM                                                                                                                    
CHAIR   REVAK  removed   his  objection.   Finding   no  further                                                                
objection,  Amendment  2 passed.                                                                                                
                                                                                                                                
5:29:16 PM                                                                                                                    
SENATOR MICCICHE  moved to report  the {Senate} CS for  CSHJR 12,                                                               
work order  32-LS0413\I as  conceptually amended,  from committee                                                               
with  individual recommendations,  attached  fiscal note(s),  and                                                               
the  authority for  Legislative Legal  Services to  make drafting                                                               
changes as needed.                                                                                                              
                                                                                                                                
5:29:39 PM                                                                                                                    
CHAIR REVAK  announced that without objection,  SCS CSHJR 12(RES)                                                               
moved from the Senate Resources Standing Committee.                                                                             
                                                                                                                                
5:30:17 PM                                                                                                                    
There   being   no  further   business   to   come   before   the                                                               
committee,   Chair   Revak   adjourned    the   Senate  Resources                                                               
Standing Committee meeting at 5:30 p.m.                                                                                         

Document Name Date/Time Subjects
SRES Energy 101 AEA Presentation 3.23.21.pdf SRES 3/24/2021 3:30:00 PM
SRES Energy 101 Presentation by AEA Curtis Thayer
SRES HJR 12 Summary of Changes Version B to I.pdf SRES 3/24/2021 3:30:00 PM
HJR 12
SRES HJR 12 Supporting Document submitted by M Rexford NVK – ANWR Map 1-sheet v1.pdf SRES 3/24/2021 3:30:00 PM
HJR 12
SRES HJR 12 Testimony 3.24.21.pdf SRES 3/24/2021 3:30:00 PM
HJR 12
SRES HJR 12 Letter of Support Khadjinova 3.24.21.pdf SRES 3/24/2021 3:30:00 PM
HJR 12
SRES HJR 12 Letters of Opposition after 3.24.21.pdf SRES 3/24/2021 3:30:00 PM
HJR 12
SRES HJR12 AOGA Letter of Support 3.24.21.pdf SRES 3/24/2021 3:30:00 PM
HJR 12