2000-02-09                     House Journal                      Page 2148
HB 359                                                                       
HOUSE BILL NO. 359 by the House Rules Committee by request of                  
the Governor, entitled:                                                        
                                                                               
"An Act relating to notice requirements for certain final findings            
concerning the disposal of an interest in state land or resources for          
oil and gas; relating to administrative appeals and petitions for              
reconsideration of decisions of the Department of Natural                      
Resources; and providing for an effective date."                               
                                                                               
was read the first time and referred to the Resources, Judiciary, and          
Finance Committees.                                                            
                                                                               
The following fiscal note applies:                                             
                                                                               
Zero fiscal note, Dept. of Natural Resources, 2/9/00                           
                                                                               
The Governor's transmittal letter dated February 8, 2000, appears              
below:                                                                         
                                                                               
"Dear Speaker Porter:                                                          
                                                                               
The Department of Natural Resources appeal process is overly                   
complex, confusing, and even frustrating to the public and department          
staff.  Seemingly similar decisions have different appeal tracks with          
different requirements and timelines.  Appellants are sometimes                
required to make multiple appeals on the same issue.  This bill I              
transmit today simplifies and makes consistent the department's appeal         
process to better serve the public.                                            
                                                                               
The bill eliminates the redundant process for non-disposal decisions in        
which a person now must appeal to the director, then the                       
commissioner, then, through reconsideration, to the commissioner               
again.  Instead, appellants would be allowed only one opportunity to           
make their case to the commissioner.  The next step is to go to court.         
This process was implemented in 1994 disposal legislation and should           
be extended to all department decisions.                                       
                                                                               
The bill corrects another confusing result of the 1994 law, which set          
different appeal deadlines based on whether the case was a disposal or         
non-disposal decision, or a reconsideration request (as opposed to an          

2000-02-09                     House Journal                      Page 2149
HB 359                                                                       
appeal).  The public cannot figure out in which category an action             
belongs and, therefore, by which deadline to abide.  This bill                 
eliminates the confusion by setting a 20-day deadline on all appeals           
and reconsideration requests.  Decisions rendered under the Alaska             
Right-of-Way Leasing Act and the Alaska Stranded Gas Development               
Act are specifically exempt from this new provision.                           
                                                                               
Finally, the bill makes it clear that department decisions may be              
challenged in court, despite the fact most department decisions are            
exempt from portions of the Administrative Procedure Act.                      
                                                                               
This bill will correct many aspects of the Department of Natural               
Resources appeal process that are confusing and cumbersome for the             
public.  I urge your support.                                                  
                                                                               
							Sincerely,                                                              
							/s/                                                                     
							Tony Knowles                                                            
							Governor"