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Enrolled HJR 12: 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; urging the Alaska delegation in Congress to work to repeal sec. 20001(b)(5) of the Tax Cuts and Jobs Act of 2017 to honor the Alaska Statehood Act with respect to the state's share of bonuses, royalties, and rentals from exploration and development in the coastal plain of the Arctic National Wildlife Refuge; and requesting that the Alaska delegation in Congress defeat any effort to alter or repeal other provisions of sec. 20001 of the Tax Cuts and Jobs Act of 2017 if the result would adversely affect oil and gas development efforts in the Arctic National Wildlife Refuge.

00Enrolled HJR 12 01 Urging the United States Department of the Interior, Bureau of Land Management, to honor 02 the recent lease sales and proceed with permitting in the Arctic National Wildlife Refuge; 03 urging the President of the United States to defend the 2020 Record of Decision approving the 04 Coastal Plain Oil and Gas Leasing Program in the Arctic National Wildlife Refuge; opposing 05 designation of the Arctic National Wildlife Refuge as a National Monument; urging the 06 Alaska delegation in Congress to work to repeal sec. 20001(b)(5) of the Tax Cuts and Jobs 07 Act of 2017 to honor the Alaska Statehood Act with respect to the state's share of bonuses, 08 royalties, and rentals from exploration and development in the coastal plain of the Arctic 09 National Wildlife Refuge; and requesting that the Alaska delegation in Congress defeat any 10 effort to alter or repeal other provisions of sec. 20001 of the Tax Cuts and Jobs Act of 2017 if 11 the result would adversely affect oil and gas development efforts in the Arctic National 12 Wildlife Refuge. 13 _______________ 14 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA:

01 WHEREAS, in 16 U.S.C. 3143 (sec. 1003 of the Alaska National Interest Lands 02 Conservation Act), the United States Congress reserved the right to permit oil and gas 03 development and production in the coastal plain of the Arctic National Wildlife Refuge; and 04 WHEREAS, in 16 U.S.C. 3142 (sec. 1002 of the Alaska National Interest Lands 05 Conservation Act), the United States Congress authorized nondrilling exploratory activity in 06 the coastal plain of the Arctic National Wildlife Refuge; and 07 WHEREAS sec. 20001 of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) requires 08 the United States Secretary of the Interior to establish and administer a competitive oil and 09 gas program for the leasing, development, and production of oil and gas in and the 10 transportation of oil and gas from the coastal plain of the Arctic National Wildlife Refuge; 11 and 12 WHEREAS sec. 20001 of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) requires 13 that at least two lease sales be held by December 22, 2024, and that each sale offer for lease at 14 least 400,000 acres of land with the highest hydrocarbon potential in the coastal plain of the 15 Arctic National Wildlife Refuge, allowing for up to 2,000 acres of federal land, equivalent to 16 .01 percent of the 19,000,000-acre refuge, to be covered by production and support facilities; 17 and 18 WHEREAS the 1,500,000-acre 1002 study area of the coastal plain of the Arctic 19 National Wildlife Refuge makes up less than eight percent of the 19,000,000-acre refuge, and 20 development of the oil and gas reserves in the coastal plain of the refuge would affect a 21 limited area, as defined by the United States Congress; and 22 WHEREAS 8,900,000 acres of the 19,000,000-acre Arctic National Wildlife Refuge 23 have already been set aside as wilderness; and 24 WHEREAS the coastal plain of the Arctic National Wildlife Refuge contains an 25 estimated 7,687,000,000 barrels of recoverable oil and 7,000,000,000,000 cubic feet of 26 natural gas; and 27 WHEREAS the exploration, development, and production of oil and gas in the coastal 28 plain of the Arctic National Wildlife Refuge is predicted to generate 1,430 direct jobs and 29 6,350 indirect jobs annually and 2,480 direct jobs and 10,100 indirect jobs at peak 30 employment; and 31 WHEREAS the 1002 study area is part of the coastal plain of the Arctic National

01 Wildlife Refuge located within the North Slope Borough, and many of the residents of the 02 North Slope Borough, who are predominantly Inupiat, are supportive of development in the 03 study area; and 04 WHEREAS oil and gas exploration and development in the coastal plain of the Arctic 05 National Wildlife Refuge and adjacent land could result in major discoveries that would 06 reduce our nation's dependency on oil produced by hostile foreign nations, help balance the 07 nation's trade deficit, and significantly increase the nation's security; and 08 WHEREAS additional natural gas production from the North Slope of Alaska, 09 including the significant gas reserves expected to be found in the Arctic National Wildlife 10 Refuge, would enhance the energy independence of the state and the nation in the future; and 11 WHEREAS natural gas production from the North Slope of Alaska would enhance 12 the economic viability of the proposed liquefied natural gas project; and 13 WHEREAS development of oil at Prudhoe Bay, Kuparuk, Endicott, Lisburne, and 14 Milne Point has resulted in the creation of thousands of jobs throughout the United States, and 15 projected job creation as a result of oil development in the coastal plain of the Arctic National 16 Wildlife Refuge would have a positive effect in all 50 states; and 17 WHEREAS support for development of the coastal plain of the Arctic National 18 Wildlife Refuge by many state residents is predicated on the maximum employment of the in- 19 state workforce during all phases of development and operation; and 20 WHEREAS, at Prudhoe Bay and other locations along the coastal plain of the Arctic 21 National Wildlife Refuge, the oil industry has demonstrated that it can conduct oil and gas 22 activity without adversely affecting the environment or wildlife populations; and 23 WHEREAS the state will continue to strive to ensure the ongoing health and 24 productivity of the Porcupine and Central Arctic caribou herds and the protection of land, 25 water, and wildlife resources during the exploration and development of the coastal plain of 26 the Arctic National Wildlife Refuge; and 27 WHEREAS the Bureau of Land Management's 2020 Coastal Plain Oil and Gas 28 Leasing Program Record of Decision was developed after extensive outreach and consultation 29 with residents of local communities, including residents of Kaktovik, the only Alaska Native 30 community in the coastal plain of the Arctic National Wildlife Refuge; and 31 WHEREAS the Alaska Native community of Kaktovik received ownership of 92,000

01 acres of private land within the coastal plain of the Arctic National Wildlife Refuge as 02 settlement of their aboriginal land claims under the Alaska Native Claims Settlement Act of 03 (ANCSA); and 04 WHEREAS the United States Congress intended the shareholders of ANCSA 05 corporations, rather than the federal government, to have direct control over the development 06 of the corporations' land and resources for the long-term economic benefit of the Alaska 07 Native shareholders; and 08 WHEREAS the residents of Kaktovik recognized in ANCSA have been unable to 09 develop their land in the coastal plain of the Arctic National Wildlife Refuge because of 10 restrictions in the Alaska National Interest Lands Conservation Act; and 11 WHEREAS the North Slope Borough, representing the residents of the North Slope, 12 including the Alaska Native residents of the coastal plain of the Arctic National Wildlife 13 Refuge and the larger North Slope area, fully participated in the public process conducted by 14 the Bureau of Land Management in the course of developing the 2020 Coastal Plain Oil and 15 Gas Leasing Program Record of Decision and supports the decision; and 16 WHEREAS the oil and gas industry has developed directional drilling technology that 17 would allow horizontal drilling within the Arctic National Wildlife Refuge, responsibly 18 minimizing the impact area of development and offering a possibility of using directional 19 drilling to access oil from outside of the boundaries of the 1002 study area; and 20 WHEREAS the oil and gas industry is using innovative technology and 21 environmental practices in new oilfield developments, and those techniques are directly 22 applicable to operating on the coastal plain of the Arctic National Wildlife Refuge and would 23 further enhance the already high standards for environmental protection in the industry; and 24 WHEREAS the economic prosperity of the state depends on the availability of 25 reliable and affordable energy; and 26 WHEREAS the state promotes the development of renewable and alternative energy 27 resources; and 28 WHEREAS the Alaska State Legislature has previously encouraged the use of 29 revenue from development in the Arctic National Wildlife Refuge for the development of 30 renewable and alternative energy resources in the state; and 31 WHEREAS the legislative findings and intent in sec. 1, ch. 10, SLA 2015, which

01 declares the Arctic policy of the state, states that "the continuing development of the state's 02 natural resources in an environmentally and socially responsible manner is essential to the 03 development of the state's economy and to the well-being of the residents of the state"; and 04 WHEREAS the Arctic policy of the state, codified as AS 44.99.105, states "It is the 05 policy of the state, as it relates to the Arctic, to uphold the state's commitment to economically 06 vibrant communities sustained by development activities consistent with the state's 07 responsibility for a healthy environment"; and 08 WHEREAS oil and gas development in the coastal plain of the Arctic National 09 Wildlife Refuge has the potential to extend the life of the Trans Alaska Pipeline System and 10 increase throughput, which has declined significantly since the peak of 2,033,000 average 11 barrels of oil a day in 1988; and 12 WHEREAS the decline in oil prices and in Trans Alaska Pipeline System throughput 13 has significantly reduced the revenue available to fund state government, depleted state 14 savings reserves, and increased pressure on lawmakers to reduce permanent fund dividend 15 payments to fund constitutionally mandated government services; and 16 WHEREAS development of oil and gas resources directly supports access to essential 17 public services and enables local economic and community development projects in rural and 18 underserved communities across the state; and 19 WHEREAS, in sec. 28 of the Alaska Statehood Act of 1958 (P.L. 85-508), the United 20 States Congress established the right of the state to receive 90 percent of the income derived 21 from mineral leasing collected from the development of federal land in the state; and 22 WHEREAS the Mineral Leasing Act of 1920 (30 U.S.C. 191), as amended, which is 23 referenced in sec. 28 of the Alaska Statehood Act of 1958 (P.L. 85-508), provides that "[a]ll 24 money received from the sales, bonuses, royalties . . . and rentals of [certain federal] public 25 lands . . . shall be paid into the Treasury of the United States; and . . . 90 per centum thereof 26 shall be paid to the State of Alaska for disposition by the legislature thereof," which is 27 consistent with the provisions of the Alaska Statehood Act with respect to the share of profits 28 obtained from leasing, exploration, and development of federal land within the state's borders 29 to which the state is entitled; and 30 WHEREAS sec. 20001(b)(5) of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) 31 provides for the state to receive a 50 percent share of the adjusted bonus, rental, and royalty

01 receipts derived from leasing, exploration, and development of federal land in the state, in 02 contravention of the percentage shares required under the Alaska Statehood Act; and 03 WHEREAS the Congressional Budget Office has estimated that gross receipts from 04 the Arctic National Wildlife Refuge lease bonus bids alone could generate proceeds of up to 05 $2,200,000,000 over a decade; 06 BE IT RESOLVED that the Alaska State Legislature urges the United States 07 Department of the Interior, Bureau of Land Management, to honor the recent lease sales in the 08 Arctic National Wildlife Refuge; and be it 09 FURTHER RESOLVED that the Alaska State Legislature requests that the United 10 States Department of the Interior, Bureau of Land Management, in considering the 11 adjudication of the exploration and development permitting process, take into account the 12 long history of safe and responsible oil and gas development on the North Slope of Alaska, 13 the enormous benefits development of oil and gas resources in the coastal plain of the Arctic 14 National Wildlife Refuge would bring to the state and the nation, the advances in oilfield 15 technology that continue to shrink the impact area of oil and gas activities, and the support of 16 residents from the North Slope Borough and across the North Slope of Alaska for oil and gas 17 development in a portion of the coastal plain; and be it 18 FURTHER RESOLVED that the Alaska State Legislature requests that President 19 Biden's administration defend, in the public sphere and in court, the 2020 Record of Decision 20 issued by the Bureau of Land Management that approves the Coastal Plain Oil and Gas 21 Leasing Program in the Arctic National Wildlife Refuge; and be it 22 FURTHER RESOLVED that the Alaska State Legislature requests that President 23 Biden and the Department of the Interior move forward with the permitting process in good 24 faith with leaseholders in the Arctic National Wildlife Refuge; and be it 25 FURTHER RESOLVED that the Alaska State Legislature urges President Biden to 26 immediately rescind the provisions of Executive Order 13990, pertaining to the Arctic 27 National Wildlife Refuge, to faithfully implement the law and the final agency actions of the 28 Department of the Interior and the Bureau of Land Management, and to respectfully listen to 29 the state, the North Slope Borough, and the residents of the Alaska Native communities of the 30 North Slope, including Kaktovik, before taking actions that affect those residents; and be it 31 FURTHER RESOLVED that the Alaska State Legislature urges President Biden to

01 take an approach of consultation and engagement on all decisions affecting the state, local 02 communities, Alaska Native tribes and entities, and individual residents; and be it 03 FURTHER RESOLVED that the Alaska State Legislature opposes the designation of 04 the Arctic National Wildlife Refuge as a National Monument by employing the Antiquities 05 Act; and be it 06 FURTHER RESOLVED that the Alaska State Legislature urges the Alaska 07 delegation in Congress to work to repeal sec. 20001(b)(5) of the Tax Cuts and Jobs Act of 08 (P.L. 115-97) to honor the Alaska Statehood Act, which provides that the state receive a 09 percent share of all bonuses, royalties, and rentals under leases received by the federal 10 government for exploration and development in the coastal plain of the Arctic National 11 Wildlife Refuge; and be it 12 FURTHER RESOLVED that the Alaska State Legislature requests that the Alaska 13 delegation in Congress work to defeat any effort to alter or repeal other provisions of sec. 14 of the Tax Cuts and Jobs Act of 2017 (P.L. 115-97) if the result would adversely affect 15 oil and gas development efforts in the Arctic National Wildlife Refuge. 16 COPIES of this resolution shall be sent to the Honorable Joseph R. Biden, President 17 of the United States; the Honorable Kamala D. Harris, Vice President of the United States and 18 President of the U.S. Senate; the Honorable Deb Haaland, United States Secretary of the 19 Interior; Nada Wolff Culver, Deputy Director for Policy and Programs, Bureau of Land 20 Management, U.S. Department of the Interior; the Coastal Plain Project Manager, Bureau of 21 Land Management Alaska State Office, U.S. Department of the Interior; and the Honorable 22 Lisa Murkowski and the Honorable Dan Sullivan, U.S. Senators, and the Honorable Don 23 Young, U.S. Representative, members of the Alaska delegation in Congress.