00 HOUSE BILL NO. 115 01 "An Act relating to aquatic farming and hatchery site leases; and requiring the director 02 of the division of lands to provide the legislature with an annual report relating to 03 aquatic farming and hatchery site leases." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 38.05.035(a) is amended to read: 06 (a) The director shall 07 (1) have general charge and supervision of the division and may 08 exercise the powers specifically delegated to the director; the director may employ and 09 fix the compensation of assistants and employees necessary for the operations of the 10 division; the director is the certifying officer of the division, with the consent of the 11 commissioner, and may approve vouchers for disbursements of money appropriated to 12 the division; 13 (2) manage, inspect, and control state land and improvements on it 14 belonging to the state and under the jurisdiction of the division; 01 (3) execute laws, rules, regulations, and orders adopted by the 02 commissioner; 03 (4) prescribe application procedures and practices for the sale, lease, or 04 other disposition of available land, resources, property, or interest in them; 05 (5) prescribe fees or service charges, with the consent of the 06 commissioner, for any public service rendered; 07 (6) under the conditions and limitations imposed by law and the 08 commissioner, issue deeds, leases, or other conveyances disposing of available land, 09 resources, property, or any interests in them; 10 (7) have jurisdiction over state land, except that land acquired by the 11 Alaska World War II Veterans Board and the Agricultural Loan Board or the 12 departments or agencies succeeding to their respective functions through foreclosure 13 or default; to this end, the director possesses the powers and, with the approval of the 14 commissioner, shall perform the duties necessary to protect the state's rights and 15 interest in state land, including the taking of all necessary action to protect and enforce 16 the state's contractual or other property rights; 17 (8) maintain the records the commissioner considers necessary, 18 administer oaths, and do all things incidental to the authority imposed; the following 19 records and files shall be kept confidential upon request of the person supplying the 20 information: 21 (A) the name of the person nominating or applying for the sale, 22 lease, or other disposal of land by competitive bidding; 23 (B) before the announced time of opening, the names of the 24 bidders and the amounts of the bids; 25 (C) all geological, geophysical, and engineering data supplied, 26 whether or not concerned with the extraction or development of natural 27 resources; 28 (D) except as provided in AS 38.05.036, cost data and financial 29 information submitted in support of applications, bonds, leases, and similar 30 items; 31 (E) applications for rights-of-way or easements; 01 (F) requests for information or applications by public agencies 02 for land that is being considered for use for a public purpose; 03 (9) account for the fees, licenses, taxes, or other money received in the 04 administration of this chapter including the sale or leasing of land, identify their 05 source, and promptly transmit them to the proper fiscal department after crediting 06 them to the proper fund; receipts from land application filing fees and charges for 07 copies of maps and records shall be deposited immediately in the general fund of the 08 state by the director; 09 (10) select and employ or obtain at reasonable compensation cadastral, 10 appraisal, or other professional personnel the director considers necessary for the 11 proper operation of the division; 12 (11) be the certifying agent of the state to select, accept, and secure by 13 whatever action is necessary in the name of the state, by deed, sale, gift, devise, 14 judgment, operation of law, or other means any land, of whatever nature or interest, 15 available to the state; and be the certifying agent of the state, to select, accept, or 16 secure by whatever action is necessary in the name of the state any land, or title or 17 interest to land available, granted, or subject to being transferred to the state for any 18 purpose; 19 (12) on request, furnish records, files, and other information related to 20 the administration of AS 38.05.180 to the Department of Revenue for use in 21 forecasting state revenue under or administering AS 43.55, whether or not those 22 records, files, and other information are required to be kept confidential under (8) of 23 this subsection; in the case of records, files, or other information required to be kept 24 confidential under (8) of this subsection, the Department of Revenue shall maintain 25 the confidentiality that the Department of Natural Resources is required to extend to 26 records, files, and other information under (8) of this subsection; 27 (13) when reasonably possible, give priority to and expedite the 28 processing of an application for a lease or assignment of a lease of state land for 29 development and operation of a gas storage facility, for a right-of-way to a gas storage 30 facility, for a change to the allocation of production within a unit, and for a permit 31 necessary for the operation of a gas storage facility; in this paragraph, "gas storage 01 facility" has the meaning given in AS 31.05.032; 02 (14) prepare and submit to the senate secretary and chief clerk of 03 the house of representatives on or before the first day of each regular session of 04 the legislature an annual report concerning site lease applications submitted 05 under AS 38.05.083; in preparing and submitting the report, the director shall 06 (A) include in the report 07 (i) a list of all applications pending with the 08 department, including applications for a new lease and applications 09 for renewal, amendment, and assignment of a lease, and the length 10 of time each application has been pending with the department; 11 (ii) for an application that has not been granted, the 12 reason the application has not been granted; and 13 (iii) the number of leases that the director elected 14 not to renew under AS 38.05.070; 15 (B) notify the legislature that the report is available. 16 * Sec. 2. AS 38.05.070(e) is amended to read: 17 (e) The director may renew a lease issued under this section, AS 38.05.075, 18 38.05.083, or 38.05.810 upon its expiration if the lease is in good standing and the 19 lease renewal is determined to be in the best interests of the state. A renewal issued 20 under this subsection is not subject to AS 38.05.035(e). A lease under this section, 21 AS 38.05.075, 38.05.083, or 38.05.810 may be renewed only once for a term not 22 longer than the initial term of the lease. The director shall provide notice of the lease 23 renewal decision. 24 * Sec. 3. AS 38.05.083(a) is amended to read: 25 (a) The commissioner may offer to the public for lease at public auction or by 26 sealed bid under AS 38.05.075 or by negotiation under AS 38.05.070 a site for aquatic 27 farming or related hatchery operations. Before a final decision to issue [OR RENEW] 28 a lease under this section, the commissioner shall give notice and allow opportunity 29 for comment in accordance with AS 38.05.945 and may hold a hearing to take 30 testimony. Before a final decision to issue [OR RENEW] a lease under this section, 31 the commissioner shall consider all relevant comment or testimony submitted under 01 this section, AS 38.05.945, or 38.05.946. 02 * Sec. 4. AS 38.05.083(b) is amended to read: 03 (b) The commissioner, for good cause, may deny an application for issuance 04 [OR RENEWAL] of a lease under this section but shall provide the applicant with 05 written findings that explain the reasons for the denial. 06 * Sec. 5. AS 38.05.083 is amended by adding new subsections to read: 07 (g) The commissioner may, under AS 38.05.070(e) - (g), renew or extend a 08 lease issued under this section. 09 (h) Nothing in this section prohibits a lessee under this section using a site for 10 aquatic farming and related hatchery operations from also using that site for 11 ecotourism or educational purposes. 12 (i) Except for the amount charged to a lessee for the lease of a site, the 13 commissioner may not charge an additional fee to a lessee, an assignee of a lessee, or 14 another person for the use of, or for passage across, land leased under this section. 15 * Sec. 6. The uncodified law of the State of Alaska is amended by adding a new section to 16 read: 17 REPORT TO LEGISLATURE. (a) The Department of Natural Resources, in 18 cooperation with the Department of Fish and Game, shall prepare a written report that 19 includes 20 (1) the number of aquatic farming and hatchery site lease applications under 21 AS 38.05.083 that are pending review with the Department of Natural Resources, including 22 applications for a new lease and applications for renewal, amendment, and assignment of a 23 lease, the date each application was submitted to the department, the length of time each 24 application has been pending with the department, and the reason for which each application 25 has not been granted; 26 (2) an estimate of the monetary investments and jobs that might be made or 27 created if all pending applications relating to aquatic farming and hatchery site leases under 28 AS 38.05.083 were approved; and 29 (3) recommendations from the Department of Natural Resources, the 30 Department of Fish and Game, and other state agencies for the streamlining and improvement 31 of the leasing arrangements, including assignment of leases, for aquatic farm and hatchery 01 sites. 02 (b) The commissioner of natural resources shall deliver the report prepared under (a) 03 of this section to the senate secretary and the chief clerk of the house of representatives not 04 later than January 20, 2022, and notify the legislature that the report is available.