Legislature(2025 - 2026)BARNES 124
05/14/2025 01:00 PM House RESOURCES
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| Audio | Topic |
|---|---|
| Start | |
| SB29 | |
| SJR19 | |
| SJR17 | |
| SJR8 | |
| HB206 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 206 | TELECONFERENCED | |
| + | SJR 17 | TELECONFERENCED | |
| + | SJR 8 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | SB 29 | TELECONFERENCED | |
| += | SJR 19 | TELECONFERENCED | |
SJR 19-ANWR & NAT'L PETRO RESERVE: STATE SHARE
2:04:51 PM
CO-CHAIR BURKE announced that the next order of business would
be SENATE JOINT RESOLUTION NO. 19, Urging the United States
Congress to honor the terms of the Mineral Leasing Act and the
Alaska Statehood Act and provide the state with a 90 percent
share of all bonuses, royalties, and rentals received by the
federal government from the Arctic National Wildlife Refuge and
the National Petroleum Reserve in Alaska.
2:05:05 PM
CO-CHAIR DIBERT moved that Resources committee adopt the draft
committee substitute for SJR 19, work order 34-LS0840\O, as the
working document.
2:05:20 PM
REPRESENTATIVE RAUSCHER objected for the sake of discussion.
2:05:35 PM
CALVIN ZUELOW, Staff, Representative Burke, Alaska State
Legislature, explained the proposed committee substitute (CS)
for SJR 19,. He drew the committee's attention to version H,
page 4, line 2, it deletes language that read, "small number
of," referring to communities that received impact grants. In
version H, page 4, line 22, the CS adds language reading, "while
maintaining the original local impact grant program."
2:06:35 PM
SENATOR JESSE BJORKMAN, Alaska State Legislature, responded to a
question from Representative Rauscher, by explaining that the
issue of impact grants will need to addressed. As more fields
are developed on federal land, and the size of those impacts
increase, more attention will be paid to the amount of money
delivered through the impact grants as well as what the impacts
of development are on those communities. Also, there will be
more focus on what the impact money is used for. He explained
that he didn't necessarily take issue with mentioning the impact
grants in the resolution. However, he suggested that everyone
would need a clear understanding of what the program is, what it
does, its intention, and the impact that it will have on those
five or six affected communities in the North Slope district.
There will alco be interest in that will mean to the rest of
Alaska. He explained he had hoped to avoid this conversation in
this resolution, but the conversation is one that would
eventually become unavoidable.
2:08:13 PM
CO-CHAIR BURKE responded to a question by Representative
Rauscher by explaining that having the discussion is unavoidable
and it is important to address.
2:08:27 PM
REPRESENTATIVE RAUSCHER removed his objection.
2:08:30 PM
There being no objection, the House Resources Committee
Substitute for Senate Joint Resolution 19 was adopted.
2:09:00 PM
CO-CHAIR DIBERT moved Senate Joint Resolution 19, work order 34-
LS0840\O from committee with attached zero fiscal note and
individual recommendations.
REPRESENTATIVE RAUSCHER objected.
2:09:40 PM
The committee took a brief at-ease at 2:09 p.m.
2:10:42 PM
REPRESENTATIVE RAUSCHER spoke to his objection, explaining that
there needed to be a discussion regarding the affected
communities.
2:11:05 PM
CO-CHAIR BURKE addressed Representative Rauscher's objection.
She described discussions with her constituents and with North
Slope Borough Mayor Patkotak. She emphasized the importance of
mitigation funding to the state as well as impacted communities.
She pointed out that in current law, Congress required that 50
percent of all federal lease revenues, including bonuses,
rentals, and royalties, must go to the state of Alaska, and that
those funds must go to support the most directly impacted
communities. There was discussion happening on a federal level
regarding the 90/10. [The 90/10 referred to the statehood
promise that 90 percent of royalties from production on federal
lands would go to Alaska, and the remaining 10 percent would go
to the federal government.] She explained that she supported
the resolution, including the additional 40 percent for all
Alaskans. But as previously stated, for communities such as
Atqasuk, Nuiqsut, Wainwright, and Utqiagvik the impact grants
are essential. The grants support the infrastructure and public
services needed to live safely and sustainably in a region
heavily affected by industrial activity. Absent that support,
the communities are left to bear the impacts of oil and gas
development without the resources to respond. In the 1980's
when the state diverted these funds elsewhere, the North Slope
communities took that matter to court and won. The ruling
affirmed the state must fund the impacted communities first.
2:13:12 PM
CO-CHAIR BURKE, in response to a question from Representative
Rauscher, explained that she had worked with Mayor Patkotak and
his office on drafting the changes.
REPRESENTATIVE RAUSCHER removed his objection.
2:13:24 PM
REPRESENTATIVE ELAM objected for the purpose of discussion. He
asked about the level of impact.
CO-CHAIR BURKE explained that the intent of the resolution is to
urge the additional 40 percent from the federal government for
the full 90/10 and honor the mineral leasing act in the Alaska
Statehood Act. She commented that the industry will continue to
grow, particularly in the National Petroleum Reserve-Alaska
(NPR-A) regions and will continue to impact the communities that
are in NPR-A.
2:14:45 PM
SENATOR BJORKMAN acknowledged the importance of the conversation
and said it would need additional time to discuss. He pointed
out that both the resolution as written as well as the amended
CS don't affect the grant program. He stated that the amount of
money is around the $30 million per year mark, and the Revenue
Sources book posits that amount of money will increase by
approximately eight to ten times over the course of the years as
a result of increased production. Though it will be an
important discussion to have as a state, it would not need to
appear within the context of the resolution. His original
intent had been to be silent on impact grants, but he clearly
understood why those were important considerations. The primary
thrust remained that the 90 percent share needs to come to the
state of Alaska. Once the money gets here, what happens to that
90 percent would be a different conversation.
2:16:22 PM
CO-CHAIR BURKE answered "yes" to Representative Raucher's
question regarding whether Congressman Begich had included the
90/10 in the reconciliation package.
2:17:19 PM
SENATOR BJORKMAN addressed a series of questions posed by
Representative Saddler regarding the projected distribution of
the 90 percent. He explained that if the impact grant is
preserved as is, the impacted communities would get 50 percent
of the state's share of 90 percent, and the state would get 40.
There are conversations that could happen as to what communities
are impacted, what is considered an impact, and what the impact
money can be used for. He stated that communities should have
compensation when they are impacted. He clarified the
percentages and the split regarding the total amount of the
royalties that would be generated,
2:19:04 PM
REPRESENTATIVE ELAM removed his objection.
2:19:12 PM
CO-CHAIR BURKE, in response to a question by Representative
Coulombe, explained why the change was in the form of a CS
rather than a resolution.
REPRESENTATIVE COULOMBE maintained her objection. She spoke to
her objection.
2:20:02 PM
SENATOR BJORKMAN clarified his position and said he respected
the will of the committee. He pointed out that in order for the
state to secure its birthright, the 90 percent share of the
royalties, it is important to move this resolution forward.
CO-CHAIR BURKE explained that she had worked with Senator
Bjorkman as well as having extensive conversations with
constituents prior to offering the CS.
2:21:11 PM
REPRESENTATIVE COULOMBE removed her objection.
2:21:15 PM
The committee took a brief at-ease at 2:21 p.m.
2:22:02 PM
Seeing no further objections, Senate Joint Resolution 19 was
reported out of the House Resources Standing Committee.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 206 Presentation.pdf |
HRES 5/14/2025 1:00:00 PM |
HB 206 |
| HB 206 Sponsor Statement.pdf |
HRES 5/14/2025 1:00:00 PM |
HB 206 |
| HB 206 Sectional Analysis.pdf |
HRES 5/14/2025 1:00:00 PM |
HB 206 |
| SJR 8 Sponsor Statement .pdf |
HRES 5/14/2025 1:00:00 PM |
SJR 8 |
| SJR 8 supporting doc - Office Rent Subsidy for Offices of Foreign State Govts.pdf |
HRES 5/14/2025 1:00:00 PM |
SJR 8 |
| Draft HCSSJR 19 (RES) ver O.pdf |
HRES 5/14/2025 1:00:00 PM |
SJR 19 |
| SJR 19 summary of changes ver H to O.pdf |
HRES 5/14/2025 1:00:00 PM |
SJR 19 |
| SJR 17 Sponsor Statement version A 5.13.25.pdf |
HRES 5/14/2025 1:00:00 PM |
SJR 17 |