Legislature(2015 - 2016)BARNES 124
04/07/2015 09:00 AM House ECON. DEV., TOURISM, & ARCTIC POLICY
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| Audio | Topic |
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| Start | |
| SJR16 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SJR 16 | TELECONFERENCED | |
SJR 16-ARCTIC ECONOMIC COUNCIL
9:32:29 AM
CHAIR HERRON announced that the only order of business would be
CS FOR SENATE JOINT RESOLUTION NO. 16(ARC), Expressing support
for the Arctic Economic Council and the United States Arctic
Economic Council delegation; requesting that the United States
Congress express support for the Arctic Economic Council, for
the chair of the Arctic Economic Council to be a resident of
this state, and for the structure of the Arctic Economic Council
leadership to mirror the rotation of the chair of the Arctic
Council; and urging the United States Congress to empower
residents of the state as partners in the Arctic Economic
Council.
9:32:43 AM
TREVOR GUTIERREZ, Intern, Senator Lesil McGuire, Alaska State
Legislature, paraphrased from the sponsor statement as follows
[original punctuation provided]:
The Arctic Council was established by the Ottawa
Declaration of 1996 to function as a high level
intergovernmental forum to promote cooperation,
coordination, and interaction across the Arctic. The
Arctic Economic Council was established in 2012 by the
Arctic Council. The Arctic Economic Council is in
charge of fostering business development in the
Arctic, engaging in deeper circumpolar cooperation,
and providing a business perspective to the work of
the Arctic Council. SJR 16 asks the Alaskan State
Legislature to express its confidence in, and support
for, the Arctic Economic Council. The United States
will become chair of the Arctic Council in 2015. This
resolution states that it is the intent of this
legislature to have the chairmanship to the Arctic
Economic Council parallel the chairmanship of the
Arctic Council. I urge you to support this resolution
emphasizing the importance of the Arctic, and the role
that Alaskans will play in shaping its future.
9:34:10 AM
CHAIR HERRON opened public testimony on CSSJR 16(ARC).
9:34:36 AM
TARA SWEENEY, Vice-Chair, Arctic Economic Council, informed the
committee the Arctic Economic Council (AEC) was created by the
Arctic Council during Canada's chairmanship. The Arctic
Economic Council consists of 42 members from the U.S., Canada,
United Kingdom of Denmark, Iceland, Norway, Sweden, Finland, and
Russia, in addition to six permanent participant organizations.
The strategic location of Alaska makes the U.S. an Arctic nation
and its business representatives are Crowley Maritime
Corporation, Fairweather L.L.C., and the Bering Straits Native
Corporation. The U.S. also has representation in four of the
six permanent participant organizations including the Arctic
Athabascan Council, Gwich'in Council International, Aleut
International Association, and the Inuit Circumpolar Council.
All of the U.S. AEC members are Alaskans. Ms. Sweeney stated
the resolution is important at this time when the U.S. is
beginning to help shape guiding principles for doing business in
the Arctic. She said the U.S. delegation has proposed that the
chairmanship of AEC mirror the rotation structure of that of the
Arctic Council, and the resolution would demonstrate to the
other circumpolar nations the support in the U.S. for AEC. In
addition, support from the legislature strengthens the position
of the Alaskans representing the U.S. on the council.
CHAIR HERRON asked for Ms. Sweeney's travel schedule.
MS. SWEENEY said her travels begin tonight to attend a series of
meetings in Washington, D.C., and then to Canada for the annual
AEC meeting. Following that she will make a presentation at a
meeting of the Arctic Council in Iqaluit, Nunavut, Canada. In
further response to Chair Herron, she said the incoming chair of
AEC has not yet been determined; however, the desire is for the
chair to rotate to the U.S.
CHAIR HERRON suggested that the governor sign the resolution in
Barrow.
9:40:02 AM
DRUE PEARCE informed the committee she is a former member of the
Alaska State Legislature and has been working on Arctic issues
in Alaska for many years. Ms. Pearce acknowledged the work of
Senator McGuire and the Alaska State Senate. She said she
participated in the initiation of the Arctic Economic Council,
which seeks to provide advice and council from the private
business sector to their federal counterparts. The work of a
taskforce led to the formation of AEC in order to provide an
opportunity for indigenous-owned and nonindigenous-owned
businesses in the Arctic to showcase their products, and to
establish contacts with their governments. Ms. Pearce traveled
to St. Petersburg as a member of the circumpolar business forum
which became the Arctic Economic Council. Of the eight founding
nations, the U.S. is the "most reluctant" participant, so co-
chairs of the Arctic Policy Commission sent her and business
representatives to the AEC organizational meeting. At a second
meeting in Ottawa, Canada, Ms. Sweeney was elected as a member
of AEC's executive committee. She pointed out the Arctic
Council differs from AEC in that the permanent participants do
not vote, although "their voices are very persuasive ...."
Conversely, AEC permanent participants will hold positions on
the executive committee and will have voting rights, although no
determination has been made as to whether a decision by
consensus will be required. In the near future, the AEC
executive committee will brief the ministers from the eight
countries to inform them of its agenda. Ms. Pearce expressed
her excitement over these developments and welcomed support from
the legislature, the Alaska Congressional delegation, and the
U.S. Senate.
9:45:02 AM
REPRESENTATIVE ORTIZ asked Ms. Pearce to elaborate on why the
U.S. was a reluctant participant.
MS. PEARCE responded that even through the U.S. Secretary of
State John Kerry signed the administrative documents, she was
advised that there is reluctance to providing a private sector
group direct access to interact with senior Arctic officials.
However, she said the organization is making progress.
REPRESENTATIVE STUTES agreed these are exciting times in the
Arctic and for Alaska.
MS. PEARCE noted that AEC will meet every year and the first
meeting during the U.S. chairmanship will be in Alaska.
CHAIR HERRON surmised the reluctance by the state department
toward AEC is because it represents the private sector whereas
in other Arctic Council governments, Norway, for example, there
is little difference between a state-owned business and a
privately-owned business. He mentioned likely locations for
meetings in Alaska over the next two years.
9:49:40 AM
MS. PEARCE relayed that the governor has expressed great
interest in the Arctic and has named Craig Fleener as his Arctic
specialist, and she reviewed Mr. Fleener's international
background and experience.
REPRESENTATIVE ORTIZ inquired as to whether members of the
Arctic Council and the AEC overlap.
MS. PEARCE was unsure, although that is possible.
9:52:12 AM
CHAIR HERRON closed public testimony on CSSJR 16(ARC).
9:52:45 AM
REPRESENTATIVE STUTES moved to report [CSSJR 16(ARC)] out of
committee with individual recommendations and the accompanying
zero fiscal note. There being no objection, CSSJR 16(ARC) was
reported from the House Special Committee on Economic
Development, Tourism, and Arctic Policy.
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