Legislature(2015 - 2016)BUTROVICH 205
02/23/2015 03:30 PM Senate RESOURCES
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| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearings: Board of Game | |
| SJR13 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | SJR 13 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
SENATE RESOURCES STANDING COMMITTEE
February 23, 2015
3:32 p.m.
MEMBERS PRESENT
Senator Cathy Giessel, Chair
Senator Mia Costello, Vice Chair
Senator John Coghill
Senator Peter Micciche
Senator Bert Stedman
Senator Bill Stoltze
MEMBERS ABSENT
Senator Bill Wielechowski
COMMITTEE CALENDAR
CONFIRMATION HEARING
Board of Game
Teresa Sager Albaugh - Tok
Kip Fanning - Yakutat
- CONFIRMATIONS ADVANCED
SENATE JOINT RESOLUTION NO. 13
Supporting oil and gas exploration and development on the outer
continental shelf offshore of the state; opposing attempts to
prohibit oil and gas development in the Chukchi Sea Planning
Area and the Beaufort Sea Planning Area; and requesting that the
federal Administration cease and desist from all future
restrictions in the Chukchi and Beaufort Seas.
- MOVED CSSJR 13(RES) OUT OF COMMITTEE
PREVIOUS COMMITTEE ACTION
BILL: SJR 13
SHORT TITLE: OCS OIL & GAS EXPLORATION/DEVELOPMENT
SPONSOR(s): SENATOR(s) COGHILL
02/09/15 (S) READ THE FIRST TIME - REFERRALS
02/09/15 (S) RES
02/20/15 (S) RES AT 3:30 PM BUTROVICH 205
02/20/15 (S) -- MEETING CANCELED --
02/23/15 (S) RES AT 3:30 PM BUTROVICH 205
WITNESS REGISTER
TERESA SAGER-ALBAUGH
Fairbanks, Alaska
POSITION STATEMENT: Board of Game nominee.
KIP FANNING
Yakutat, Alaska
POSITION STATEMENT: Board of Game nominee.
THOR STACEY, lobbyist
Alaska Professional Hunters Association
Juneau, Alaska
POSITION STATEMENT: Supported Ms. Albaugh's reappointment and
Mr. Fanning's first appointment to the BOG.
ROD ARNO, Executive Director
Alaska Outdoor Council
Mat-Su, Alaska
POSITION STATEMENT: Supported Ms. Albaugh's reappointment and
Mr. Fanning's appointment to the BOG.
MIKE TINKER, Alaska Wildlife Conservation Association
Ester, Alaska
POSITION STATEMENT: Supported Mr. Fanning's appointment to the
Board of Game and Ms. Albaugh's reappointment.
AL BARRETTE, representing himself
Fairbanks, Alaska
POSITION STATEMENT: Supported Ms. Albaugh's reappointment and
Mr. Fanning's appointment to the Board of Game.
CHAD HUTCHISON, staff to Senator Coghill, Alaska State
Legislature
Juneau, Alaska
POSITION STATEMENT: Explained the changes in the proposed
committee substitute (CS) to SJR 13.
KARA MORIARTY, President and CEO
Alaska Oil and Gas Association (AOGA)
POSITION STATEMENT: Supported SJR 13.
ACTION NARRATIVE
3:32:14 PM
CHAIR CATHY GIESSEL called the Senate Resources Standing
Committee meeting to order at 3:32 p.m. Present at the call to
order were Senators Micciche, Coghill, Stoltze, Costello and
Chair Giessel.
3:32:35 PM
^Confirmation Hearings: Board of Game
Confirmation Hearings: Board of Game
3:32:40 PM
CHAIR GIESSEL announced that they would start out today with the
Governor's appointees to the Board of Game and invited Teresa
Sager-Albaugh to review her resume and tell the committee why
she wanted to serve on the Board of Game (BOG).
3:34:00 PM
TERESA SAGER-ALBAUGH, nominee for the Board of Game, Fairbanks,
Alaska, said she was born and raised in Fairbanks and had lived
in a 24X24 dry log cabin on the Tok cutoff near Mentasta Pass
since 1984. She was raised in a hunting and fishing family and
this remains a very important part of her life. Her family has a
garden and two small green houses.
From 1983-1995 she worked for the Alaska State Legislature and
since then she worked for an engineering and construction
management company called Summit Consulting Services. She has
volunteered with organizations that help protect and enhance
hunting, fishing, trapping, second amendment rights, and the
public's right to enjoy outdoor experiences.
MS. ALBAUGH said her "average outdoor Alaskan's background" has
been a positive contribution to her service on the BOG and to
people who value wildlife in their own lives. She is grateful
for the opportunity to have been able to serve in this position
for the past six years and appreciates the committee's
consideration of her re-appointment.
3:35:50 PM
SENATOR STOLTZE noted that he had served as officer on the
Alaska Outdoor Council and has had a long association with Ms.
Albaugh, and she is an outstanding candidate.
SENATOR COSTELLO asked the major challenges confronting the
Board of Game.
3:37:03 PM
MS. ALBAUGH replied that the BOG is continuing to review a
number of proposals with regard to intensive management to help
put more moose and caribou on the tables of Alaskans, and those
proposals always have controversy. But because of their success
in recent years, a lot of the initial opposition has waned. The
BOG will suspend or end the ones that have not shown a great
deal of success.
She said Dall sheep management is an ongoing contentious issue
as well as the annual antlerless moose reauthorizations.
However, she said there is also a lot of public satisfaction and
support for them.
CHAIR GIESSEL asked if the BOG ever deals with the United States
Fish and Wildlife Service (USFWS) landscape conservation
cooperatives that coordinate science on a landscape scale in
terms of changing climate.
MS. ALBAUGH answered that she hadn't heard of that particular
one, but the board "pays attention" when the USFWS is looking at
or developing plans that will affect wildlife harvest, and they
are presently in the process of a rule-making issue that is
similar to what the National Park Service proposed. The public
comment period for that closed in February. The BOG issued a
very strong letter to the Park Service on it and they will
issues a subsequent letter to the USFWS on its rule-making. The
details of their rule-making are a bit different, but they both
take significant issue with the federal agencies' basically
failing to honor the provisions of Alaska National Interest Land
Claim Act (ANILCA).
SENATOR STOLTZE asked how the BOG might help the congressional
delegation with increased hunting opportunities on federal
lands.
MS. ALBAUGH answered that the BOG could provide some valuable
information to the legislature and to the congressional
delegation with regard to access challenges.
3:42:16 PM
CHAIR GIESSEL, finding no further questions for Ms. Albaugh,
welcomed Mr. Fanning to review his qualifications and tell the
committee why he is interested in the position.
3:42:43 PM
KIP FANNING, Board of Game nominee, Yakutat, Alaska, said he had
been in Yakutat since middle school. Prior to that, his family
lived in Fairbanks with the exception of a couple short stints
in Juneau while his father was in the legislature. He was raised
by a big game guide, but grew up in a subsistence village. That
background helps him keep an open mind to all sides of an issue.
He is interested in this position so that his kids could have
access to the same resources. He felt honored to be considered
for this position
SENATOR COSTELLO asked him what major challenges the BOF faces
in the near future.
MR. FANNING replied that he didn't know a lot of the issues at
hand, but thought the biggest one will just be management of the
resource and keeping an open mind to all parties.
SENATOR COSTELLO commented that they hoped to have open minds on
all the boards.
CHAIR GIESSEL asked if he had followed the proposed federal
hunting regulations.
MR. FANNING answered that growing up in Yakutat he did a lot of
hunting on federal land, so he is familiar with dealing with the
Park Service and Forest Service, but he wasn't familiar with
current issues.
3:46:20 PM
THOR STACEY, lobbyist, Alaska Professional Hunters Association,
Juneau, Alaska, supported Ms. Albaugh's reappointment and Mr.
Fanning's first appointment to the BOG. Ms. Albaugh has a strong
work ethic and is fair and honest. She is open to dissenting
views.
The reason for supporting Mr. Fanning is because he is a small
business owner and being able to value the resource from that
perspective is valuable to the board.
3:48:39 PM
ROD ARNO, Executive Director, Alaska Outdoor Council (AOC), Mat-
Su, Alaska, supported Ms. Albaugh's reappointment and Mr.
Fanning's appointment to the BOG. Ms. Albaugh is the most
prepared of all of the board members he has worked with. She
does her own background work outside of what the department
provides and finds out what the conflicts are among the users.
Above all, she is willing to follow the rule of law, which isn't
the case with all members.
He knew Mr. Fanning's father who was an outdoor person and he
hoped that his son would also use the statutes as a foundation
for building regulation through a constructive board process.
MIKE TINKER, Alaska Wildlife Conservation Association, Ester,
Alaska, supported Mr. Fanning's appointment to the Board of Game
and Ms. Albaugh's reappointment. He said the people who drafted
the sideboards for board members did not intend for them to be
made up of hunting and fishing experts or professionals. The
language clearly says the applicants should have knowledge and
experience with hunting, habitats, environment and issues that
provide a base for making informed decisions on these regulatory
matters. The term of appointment is three years, which implies
there would be an opportunity for new members who are not
experts in all these issues to bring new questions and ideas
into service. Mr. Fanning has exactly those qualifications; his
life and professional experience give him the background and the
detail he needs to understand the issues once he gets there so
he can make good conservation decisions. He recognizes the steep
learning curve and has taken up the challenge.
3:51:50 PM
SENATOR STEDMAN joined the committee.
MR. TINKER said throughout her service on the board, Ms. Albaugh
has been a caretaker of the constitutional and statutory
obligations the board should, but does not always, follow. She
always comes prepared for every issue, usually having several
meetings with the public and community advisory committees, as
well as having read the hundreds of pages of information that
are required by each meeting. Having lived in the more urban
environment of Fairbanks for many years and now living many
years in the Bush, she has a unique perspective. Her attention
to detail, especially during the emotion and turmoil that
accompanies some issues before the board, is not matched by any
other member. She always makes herself available to the public
for discussion regardless of the issue. Her background as a
hunter/fisher and living in a subsistence environment give her
the experience to understand and appreciate the passion of those
coming before the board. She is one who is looking out for
compliance to process and contradictions in the discussions
before the board.
3:54:48 PM
AL BARRETTE, representing himself, Fairbanks, Alaska, supported
Ms. Albaugh's reappointment and Mr. Fanning's appointment to the
Board of Game. Ms. Albaugh is very knowledgeable and well
prepared for the meetings. She attends advisory committees
around the state and gets involved with the local issues, so she
can be better prepared to vote on a proposal. She understands
the importance of subsistence to Alaskans and diligently
protects subsistence opportunities. She always thinks of the
resource first.
He also supported Mr. Fanning's appointment and thought Ms.
Albaugh would be an excellent mentor for him, as a new board
member.
CHAIR GIESSEL, finding no further questions, closed public
testimony. She said in accordance with AS 39.05.080, the
Resources Committee reviewed the following and recommends the
appointments be forwarded to a joint session for consideration:
Board of Game: Kip Fanning - Yakutat, and Teresa Sager Albaugh -
Tok. This does not reflect an intent by any of the members to
vote for or against the confirmation of the individuals during
any further sessions. There were no objections and it was so
ordered.
3:57:42 PM
At ease from 3:57 to 3:58 p.m.
SJR 13-OCS OIL & GAS EXPLORATION/DEVELOPMENT
3:58:52 PM
CHAIR GIESSEL announced SJR 13 to be up for consideration
[version 29-LS047\H was before the committee].
SENATOR COGHILL, prime sponsor of SJR 13, Alaska State
Legislature, Juneau, Alaska, said he used the strongest language
he could to direct the Bureau of Ocean Energy Management to
"cease and desist" from taking the oil-rich Chukchi Sea leases
off the market, because it is mismanagement of the energy
potential of America and Alaska.
4:01:40 PM
SENATOR COGHILL moved to adopt CSSJR 13(RES), version 20-
LS0471\E, as the working document. There were no objections and
it was so ordered.
CHAD HUTCHISON, staff to Senator Coghill, Alaska State
Legislature, Juneau, Alaska, explained that the changes in the
proposed committee substitute (CS) to SJR 13 came after further
conversations with Mike Pawlowski in Senator Murkowski's Office.
The resolution was designed to oppose recent federal
restrictions relating to the Chukchi and Beaufort Seas. There
are three big action points that distinguish this resolution:
1. They are concerned about future leases in the Chukchi and
Beaufort Seas.
2. They are concerned about active leases and whether oil
companies will have the ability to renew those active leases.
3. They are concerned about mitigation as it relates
specifically to the Hanna Shoal section of the Chukchi Sea that
will make it cost prohibitive for exploration, production and
development.
He showed maps depicting historic and active oil leases and
where activity is being restricted in 2017-2022.
4:06:30 PM
He explained that the Chukchi Sea is the important area that has
a lot of petroleum-related activity going on, particularly in
the Hanna Shoal area, because at least half of it is a high
petroleum area with active historical leases, Shell and Repsol
being the most important ones. Shell has three adjacent leases
and Repsol has seven; another five are immediately adjacent to
that restricted area. All of the leases cover similar prospects
and the concern is that the active leases could be affected,
because of the uncertainty of their renewal. Another concern is
that the cost of mitigation efforts that will be imposed in the
Hanna Shoal area will be so high that the federal agency will
manage it as wilderness, even though it would be in violation of
ANILCA.
SENATOR MICCICHE asked why Hanna Shoal was restricted.
MR. HUTCHISON answered because it is a high value area for
marine life.
SENATOR COSTELLO asked what the president is using as a basis
for his alleged authority.
MR. HUTCHSON answered that he does have the ability under the 43
USC 13.41(a) of the Outer Continental Shelf (OCS) Lands Act that
says the President of the United States may from time to time
withdraw from disposition any of the unleased lands of the OCS.
4:13:13 PM
CHAIR GIESSEL said it seems like the excluded area is almost an
ocean zoning step.
MR. HUTCHISON said that many would agree with that analysis.
SENATOR STEDMAN commented that they should consider combining
the timing of this resolution with the March report coming out
from the National Petroleum Council.
SENATOR COGHILL said that was an excellent idea. It's important
to make a live communication, because silence is acquiescence,
and "the shoes are dropping fast."
SENATOR STEDMAN suggested deleting "without adequate public
process" on page 3, line 30, to make the statement stronger.
4:18:30 PM
SENATOR COGHILL agreed with the goal, but said there is no way
this will get done without public process.
MR. HUTCHISON responded that the initial draft of the resolution
did not have "without adequate public process." That was a
recommendation from Senator Murkowski's Office.
SENATOR STOLTZE said he thought it reads much better without
that language.
SENATOR COGHILL responded that a resolution should be as direct
as possible and he would like to take it out.
4:21:28 PM
SENATOR COGHILL moved to delete ", without adequate public
process," on page 3, line 30. There were no objections and the
amendment was adopted.
4:22:04 PM
KARA MORIARTY, President and CEO, Alaska Oil and Gas Association
(AOGA), said they support SJR 13. She said the Arctic OCS is the
largest undeveloped energy basin in the United States and the
next generation of energy security for the country and the
state. She said the Arctic OCS is a mega-resource, with an
estimated 27 billion barrels of oil and 132 tcf/natural gas. In
comparison, the TransAlaska pipeline System (TAPS) has carried
just 17 billion barrels of oil in 30-plus years. So, truly, oil
and gas development in the Beaufort and Chukchi Seas could feed
into TAPS and maintain viability for years to come.
Oil and gas development in the OCS means more jobs for Alaskans.
It's predicted to create an annual average of 35,000 direct and
indirect jobs over the next 50 years in Alaska, alone, and those
jobs would likely represent a total payroll over that time span
of $70 billion.
Since 1971, Ms. Moriarty said 84 wells have been drilled in the
Arctic OCS, all without incident. Industry has worked with
communities to incorporate traditional knowledge with decision
making, establish conflict avoidance agreements, and impose
seasonal drilling limitations. New regulations and research can
further ensure that development and environmental protection can
co-exist.
She said Mr. Hutchison did a great job of summarizing their
concern with the restrictions in the current five-year leasing
plan and the unknowns they bring up.
MS. MORIARTY said that as the sea-ice stays open longer and
other countries move forward with exploration and development in
their waters, and transportation through the ice-free Northwest
Passage increases, Alaska's Arctic seas will be left largely
unattended. With little infrastructure in place, communities
along Alaska's northern coast will be at the greatest risk with
no ability to respond. So, development of the Arctic OCS for
exploration and development would bring that needed
infrastructure to a very rural on-shore area. The industry's
continued presence would provide security and response
capabilities, should they be needed.
CHAIR GIESSEL, finding no further comments, closed public
testimony.
SENATOR COGHILL recapped that it is time to speak up. A small
village near Wainwright was anticipating how it could support
that industry and was happy that regulations were structured to
around their best hunting and fishing times. The resolution
doesn't say don't do anything, just that those leases in an oil
rich area should not come under the cloud that this president
just put them under.
CHAIR GIESSEL said people at Pt. Lay were also looking forward
to the opportunities industry would bring.
SENATOR COSTELLO moved to report CSSJR 13(RES), version E, as
amended, from committee with individual recommendations and
attached fiscal note(s). There were no objections and CSSJR
13(RES) was reported from the Senate Resources Standing
Committee.
4:28:13 PM
At ease from 4:28 to 4:29 pm.
4:29:11 PM
CHAIR GIESSEL, finding no further business to come before the
committee, adjourned the Senate Resources Committee meeting at
4:28 p.m.