Legislature(2011 - 2012)BARNES 124

04/10/2012 09:00 AM House COMMUNITY & REGIONAL AFFAIRS


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09:09:21 AM Start
09:09:39 AM SB159
10:27:15 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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+ SB 159 SUSITNA STATE FOREST/TONGASS FOREST TELECONFERENCED
Heard & Held
           SB 159-SUSITNA STATE FOREST/TONGASS FOREST                                                                       
                                                                                                                                
9:09:39 AM                                                                                                                    
                                                                                                                                
VICE  CHAIR FOSTER  announced  that the  only  order of  business                                                               
would be  CS FOR SENATE  BILL NO. 159(RES), "An  Act establishing                                                               
the Susitna State  Forest; urging the Governor  to acquire forest                                                               
land  that  is currently  in  the  Tongass National  Forest;  and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
9:10:02 AM                                                                                                                    
                                                                                                                                
SENATOR LINDA  MENARD, Alaska State Legislature,  speaking as the                                                               
sponsor  of SB  159, reminded  the committee  that Article  VIII,                                                               
Section 4 of the Alaska  Constitution addresses sustainable yield                                                               
as follows:                                                                                                                     
                                                                                                                                
     Section 4.  Sustained Yield.                                                                                               
     Fish,  forests,  wildlife,  grasslands, and  all  other                                                                    
     replenishable  resources belonging  to the  State shall                                                                    
     be   utilized,  developed,   and   maintained  on   the                                                                    
     sustained  yield  principle,   subject  to  preferences                                                                    
     among beneficial uses.                                                                                                     
                                                                                                                                
SENATOR MENARD explained that SB  159 seeks to further accomplish                                                               
the  aforementioned   constitutional  mandate  by   creating  the                                                               
Susitna State Forest.  Per SB  159 the Division of Forestry would                                                               
manage state  forests for a  long-term supply of timber  to local                                                               
processors and  retain the land  in state ownership  for multiple                                                               
users.  As can be gleaned  from the maps in the committee packet,                                                               
the   proposed  state   forest  includes   33  parcels   totaling                                                               
approximately  763,200 acres.   These  Forestry classified  lands                                                               
are  located  in  14  large  management  blocks.    Legislatively                                                               
designating a state forest would  ensure that some land, a little                                                               
less than 5  percent of over nine million acres  of state land in                                                               
the Mat-Su  Borough, would remain available  for long-term forest                                                               
management.   Furthermore,  the  region would  retain large  open                                                               
spaces  of  public  land  for the  range  of  benefits  residents                                                               
currently  enjoy.    A  state  forest  designation  provides  the                                                               
Division  of  Forestry  the  assurance  that  the  lands  they're                                                               
managing will be there in  perpetuity.  Moreover, the Division of                                                               
Forestry  is  more apt  to  invest  resources for  better  roads.                                                               
There  is  also  a  need  for more  actively  managed  lands  and                                                               
vegetation  in order  to provide  for a  variety of  forest ages,                                                               
which provide for  diverse and healthy habitat for  wildlife.  At                                                               
the same time,  active management will help reduce  wild land and                                                               
the extreme  fire risk by  breaking up  the large fuel  types and                                                               
encouraging   regeneration   of   hard  wood   species.      This                                                               
legislation,  she opined,  will set  the groundwork  necessary to                                                               
accomplish the  aforementioned.  She informed  the committee that                                                               
besides the  professional mills, the state  forest would maintain                                                               
a supply of hard wood for  personal use.  Round wood, wood chips,                                                               
and wood pellets have become more  common in the world and sought                                                               
for  residential space  heating.   Therefore, it's  important for                                                               
Alaskans  to  have  a  place  managed for  them  to  obtain  such                                                               
materials.     In  fact,  the   Mat-Su  Valley  High   School  is                                                               
considering woody  biomass to heat  the high school.   By passing                                                               
SB 159,  the Susitna  State Forest will  become the  fourth state                                                               
forest in Alaska.                                                                                                               
                                                                                                                                
9:14:19 AM                                                                                                                    
                                                                                                                                
Due  to technical  difficulties the  committee took  a brief  at-                                                               
ease.                                                                                                                           
                                                                                                                                
9:14:52 AM                                                                                                                    
                                                                                                                                
SENATOR MENARD,  continuing her presentation, specified  that the                                                               
Division  of Forestry  will manage  the Susitna  State Forest  as                                                               
part of  the state  forest system under  AS 41.17.200-.230.   The                                                               
division will  be required  to prepare  a management  plan within                                                               
three years of  the creation of the forest.   Senator Menard told                                                               
the committee  that the Susitna Forest  is a long time  coming as                                                               
the Division  of Forestry has  put many  years of work  into this                                                               
plan.                                                                                                                           
                                                                                                                                
SENATOR  MENARD  then  explained   that  CSSB  159(RES)  includes                                                               
exclusions for private  lands after working with  the Division of                                                               
Forestry and  the Division  of Mining, Land  and Water  to locate                                                               
and  designate  those exclusions  within  the  boundaries of  the                                                               
proposed Susitna  State Forest.   The CSB 159(RES)  also includes                                                               
intent   language  on   page   31  to   urge   the  governor   to                                                               
purchase/acquire  land  from  the   Tongass  National  Forest  in                                                               
Southeast  Alaska.   From a  fiscal standpoint,  the Division  of                                                               
Forestry  won't  require new  positions  to  administer this  new                                                               
state forest as  is indicated in the division's  fiscal note that                                                               
relates no negative  fiscal impact to the state.   In conclusion,                                                               
Senator Menard  said that SB 159  has been well vetted  and would                                                               
be a positive addition to the state.                                                                                            
                                                                                                                                
9:17:20 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE AUSTERMAN  related his  initial hesitation  to set                                                               
aside more state  lands that have the potential  to be developed.                                                               
However,  discussions with  the  sponsor's  staff clarified  that                                                               
there  are many  things that  will  be allowed  in this  proposed                                                               
state forest that  aren't allowed in other designated  areas.  He                                                               
then  inquired  as   to  how  the  parcels   were  designated  as                                                               
appropriate for inclusion in a state forest.                                                                                    
                                                                                                                                
SENATOR MENARD  deferred to the  Division of Forestry,  but noted                                                               
that there were inholdings that she  didn't want to disrupt.  She                                                               
identified  the area  of  the proposed  Susitna  State Forest  as                                                               
being  from Houston  on  the west  side up  through  a bit  above                                                               
Talkeetna.                                                                                                                      
                                                                                                                                
9:18:33 AM                                                                                                                    
                                                                                                                                
VICE CHAIR  FOSTER inquired as  to whether access  was considered                                                               
for those that have private lands within the proposed forest.                                                                   
                                                                                                                                
SENATOR  MENARD replied  yes.   She then  informed the  committee                                                               
that now that the other  state forests are complete, the Division                                                               
of Forestry  can use its  revenue for the proposed  Susitna State                                                               
Forest to  construct roads and  trails while keeping in  mind all                                                               
users.  Senator  Menard told the committee that  she has observed                                                               
the  timber industry  falter  [from the  top  five industries  of                                                               
Alaska]  because   of  the  inability  of   small  processors  to                                                               
participate.                                                                                                                    
                                                                                                                                
9:20:18 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA  related her  belief that with  logging and                                                               
multiple users there  will be the need for trails  and roads, and                                                               
therefore  the proposed  Susitna  State Forest  seems  to be  the                                                               
perfect  marriage  if done  appropriately.    She then  asked  if                                                               
there's  an  organization that  is  working  on ideas  to  create                                                               
support of the various activities.                                                                                              
                                                                                                                                
9:21:58 AM                                                                                                                    
                                                                                                                                
MICAHEL  ROVITO,  Staff,  Senator   Linda  Menard,  Alaska  State                                                               
Legislature,  informed  the committee  that  he  has spoken  with                                                               
various user  groups, including  mushers, trappers,  and hunters,                                                               
who are  excited about  the possible benefits  of a  state forest                                                               
designation.   For instance, the  hunters were excited  about the                                                               
increased management of  the timber and the clearing  out of some                                                               
of the old growth to promote  better habitat for moose.  A musher                                                               
group  from Willow  was excited  about the  possibility of  roads                                                               
that allow them to run their dog teams into the forest.                                                                         
                                                                                                                                
9:22:55 AM                                                                                                                    
                                                                                                                                
SENATOR MENARD emphasized  that the land in  the proposed Susitna                                                               
State Forest  is state  land and  will remain  as such;  the only                                                               
change is the proposal to designate it as a state forest.                                                                       
                                                                                                                                
9:23:38 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   AUSTERMAN  informed   the  committee   that  the                                                               
National Wildlife  Refuge on Kodiak  Island has a lot  of private                                                               
inholding lands.   The  owners of  private inholdings  are fairly                                                               
limited  in  terms  of  what  they can  do  outside  the  private                                                               
inholdings.    Therefore,  he  asked whether  there  has  been  a                                                               
discussion regarding the impact of  a state forest designation on                                                               
the owners  of the private  inholdings within the  proposed state                                                               
forest.                                                                                                                         
                                                                                                                                
SENATOR MENARD  acknowledged that although  she has done  a great                                                               
deal  of  due  diligence,  there won't  be  100  percent  buy-in.                                                               
However,  private inholdings  within  a state  forest are  almost                                                               
ensured there won't  be subdivisions.  She  characterized a state                                                               
forest designation as a protection to the private landholders.                                                                  
                                                                                                                                
9:25:18 AM                                                                                                                    
                                                                                                                                
CHRIS  MAISCH,  Director/State  Forester, Division  of  Forestry,                                                               
Department of  Natural Resources,  clarified that a  state forest                                                               
designation is a  broader land use designation than  a state park                                                               
and  allows for  multiple use,  use of  renewable resources,  and                                                               
access.    He  then  explained that  currently  the  Division  of                                                               
Forestry manages the lands proposed  for the Susitna State Forest                                                               
for  forestry purposes  because they  are classified  as forestry                                                               
lands per the area planning  process.  The Susitna Matanuska Area                                                               
Plan and the  Southeast Susitna Area Plan both govern  the use of                                                               
the  proposed state  forest.   Both  plans have  gone through  an                                                               
extensive public  process, which  zones various portions  of land                                                               
for  different uses.   The  state-owned land  could be  zoned for                                                               
purposes  of settlement,  forestry, and  recreation.   Mr. Maisch                                                               
explained  that the  lands on  the proposed  Susitna forest  were                                                               
chosen because they  are highly productive forest  lands that are                                                               
good  locations   to  practice   forestry  and   were  previously                                                               
identified during  the public process  as potential  state forest                                                               
land.     This  legislation  proposes  to   designate  the  lands                                                               
identified  in  the [area  plans]  as  state  forest lands.    He                                                               
informed the committee  that the division has  performed a forest                                                               
inventory of these lands, which  provides the sustained yield and                                                               
amount of timber  available on these lands so  that the sustained                                                               
yield and  renewable yield practices  could be followed  on these                                                               
lands.   One of the  key points [with SB  159] is to  promote the                                                               
concept of an anchor forest as  it will retain many of the values                                                               
in  the Mat-Su  Valley and  allow the  development of  the timber                                                               
industry in a sustainable manner.   The development of the timber                                                               
industry  provides local  jobs for  local  businesses, which  are                                                               
often small and  locally owned.  Furthermore,  the development of                                                               
the timber industry  offers resources to help  address the energy                                                               
problems many communities  face.  Where there  are state forests,                                                               
one can be assured of a  long-term sustainable supply of fuel for                                                               
these  energy projects.   For  instance, both  the Tok  and Delta                                                               
schools recently installed biomass boilers  that are fired by the                                                               
wood from  the state forest.   There are many  other communities,                                                               
including Talkeetna,  that are considering  wood biomass  for its                                                               
school  system.   Mr. Maisch  then turned  to the  public process                                                               
that began in  2008 when the first area plans  were being revised                                                               
for  the areas.   Starting  in  2009 there  were seven  different                                                               
public meetings organized  as part of the  area planning process.                                                               
Furthermore,  each  winter the  division  meets  with the  winter                                                               
trails users  group in  the Mat-Su Valley  during which  there is                                                               
discussion  regarding  the  state   forests.    There  were  nine                                                               
meetings as  part of  the area planning  process for  the Susitna                                                               
Matanuska  Area Plan;  these meetings  were  held throughout  the                                                               
Mat-Su Valley and  110 people attended these meetings.   In 2009,                                                               
there  were six  other additional  meetings to  discuss just  the                                                               
forest management  portion of  the area plans.   Over  22 scoping                                                               
comments  particular  to forestry  topics  were  received and  88                                                               
people attended those meetings.                                                                                                 
                                                                                                                                
9:30:11 AM                                                                                                                    
                                                                                                                                
Due to technical difficulties the  committee took an at-ease from                                                               
9:30 a.m. to 9:34 a.m.                                                                                                          
                                                                                                                                
9:34:14 AM                                                                                                                    
                                                                                                                                
MR. MAISCH,  continuing his review  of the  community involvement                                                               
that occurred as part of  the area planning process, informed the                                                               
committee  that  once  SB 159  was  introduced  seven  additional                                                               
meetings were  held in  the local  communities, including  a town                                                               
hall meeting at  the Matanuska-Susitna Borough.   There have also                                                               
been numerous newspaper articles and  radio stories as SB 159 has                                                               
moved through the process.  Mr.  Maisch characterized it all as a                                                               
good and  aggressive outreach effort to  communicate the proposal                                                               
to the public and the various local government units in the Mat-                                                                
Su Valley.                                                                                                                      
                                                                                                                                
9:35:03 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA  opined  that this  opportunity  is  great                                                               
because  it  focuses  on  sustainability.    However,  she  asked                                                               
whether  there have  been any  discussions  regarding the  value-                                                               
added aspect of forestry.                                                                                                       
                                                                                                                                
MR.  MAISCH  replied  yes,  adding  that  the  division  and  the                                                               
department  have been  very involved  and  helped facilitate  the                                                               
value-added topic.   For instance, the bowl  factory in Fairbanks                                                               
uses birch  wood from the Mat-Su  Valley to make its  bowls.  The                                                               
aforementioned  is  a  good   example  of  the  interconnectivity                                                               
between areas.  He highlighted  the Birch Works company that taps                                                               
birch  trees for  sap to  make syrup,  which could  occur in  the                                                               
state forest.  There are  also traditional mills that are cutting                                                               
wood  for value-added  projects.   Energy  is  also an  important                                                               
aspect  of timber.   Traditionally  wood has  been thought  of as                                                               
boards, chips,  and perhaps firewood  not a replacement  for fuel                                                               
oil, which occurs in larger  applications in which the wood chips                                                               
or wood  pellets in boilers are  used for space heating  of large                                                               
public facilities.   The aforementioned  is very  cost effective,                                                               
renewable, and local.                                                                                                           
                                                                                                                                
9:37:55 AM                                                                                                                    
                                                                                                                                
THOR  STACEY,  Alaska  Professional Hunters  Association  (APHA),                                                               
related support for  SB 159.  He informed the  committee that the                                                               
Alaska Professional  Hunters Association currently has  about 129                                                               
professional members  who have  active guiding  businesses across                                                               
the  state while  there are  about  2,000 general  members.   The                                                               
[hunting/guiding]  industry  relies  on  wise,  foresighted  land                                                               
management   practices   in   regard  to   renewable   resources,                                                               
specifically game.   The APHA considers the  principle benefit of                                                               
SB 159 as  maintaining in the public domain large  tracts of land                                                               
close  to  population  centers  in  south  Central  Alaska.    In                                                               
general, public  land favors the [hunting/guiding]  industry over                                                               
private land.   He mentioned  the benefits development  of timber                                                               
in  the  region has  for  habitat,  specifically with  regard  to                                                               
moose.   Having a good  sustainable timber harvest in  areas with                                                               
intensive  fire  suppression  policies encourages  a  variety  of                                                               
second  growth   and  first  growth  habitat   from  which  large                                                               
undulates benefit.  Mr. Stacey opined  that the results of SB 159                                                               
are predictable as guiding has  continued to thrive in the Haines                                                               
State Forest  and the  Tanana State Forest.   In  general, forest                                                               
designations  haven't  impacted  guiding.    In  conclusion,  Mr.                                                               
Stacey  reiterated   support  for  SB  159   and  encouraged  the                                                               
committee to move the legislation  forward to the House Resources                                                               
Standing  Committee where  it's a  better forum  for vetting  the                                                               
legislation,  particularly in  terms of  remaining length  of the                                                               
session.     Furthermore,   the  amount   of  public   input  the                                                               
legislation  has received  over the  last few  years warrants  it                                                               
moving [through the legislative process] quickly.                                                                               
                                                                                                                                
9:41:16 AM                                                                                                                    
                                                                                                                                
JOHN SANDOR,  relating his support  for SB 159,  paraphrased from                                                               
the following written statement [original punctuation provided]:                                                                
                                                                                                                                
     I served  in the  U.S. Army  during 1945-1946  of World                                                                    
     War II, and later earned  a Bachelor's Degree in Forest                                                                    
     Management   and   a    Master's   Degree   in   Public                                                                    
     Administration.                                                                                                            
                                                                                                                                
     I first  came to  Alaska in March,  1953 to  survey the                                                                    
     forest of  Southeast Alaska that year.   I subsequently                                                                    
     served in  various forestry assignments  throughout the                                                                    
     U.S.  and served  as Regional  Forester for  the Alaska                                                                    
     Region   of  the   Forest  Service   from  1976   until                                                                    
     retirement from the Forest Service in 1984.                                                                                
                                                                                                                                
     During  Governor  Walter  Hickel's  1990-1994  term  of                                                                    
     office,  I also  served as  Commissioner of  the Alaska                                                                    
     Department of Environmental Conservation.                                                                                  
                                                                                                                                
     I  support Senate  Bill 159  which will  designate over                                                                    
     760,000  acres  of  state land  as  the  Susitna  State                                                                    
     Forest  in   South  Central   Alaska.     State  Forest                                                                    
     designation  helps assure  the professional  management                                                                    
     of Alaska's  forest lands  for the  sustainable benefit                                                                    
     of present and future generations of Alaskans.                                                                             
                                                                                                                                
     I also  support the SB  159 provisions which  urges the                                                                    
     Governor  to acquire  additional forest  land currently                                                                    
     in the  Tongass National  Forest.  This  provision will                                                                    
     enable the State of Alaska  to manage a State Forest in                                                                    
     Southeast Alaska.                                                                                                          
                                                                                                                                
MR. SANDOR  related that the  [provisions urging the  governor to                                                               
acquire additional forest land]  is especially critical since the                                                               
Obama Administration  has designated  all of Southeast  Alaska as                                                               
roadless areas.   He  recalled 1953 through  the years  he served                                                               
[in  various  forestry  assignments]  when there  were  two  pulp                                                               
mills, a  dozen sawmills, and  over 3,500 jobs  directly [related                                                               
to forestry],  and an additional 3,500  jobs supporting forestry.                                                               
He lamented  that the [Tongass  National] Forest  has essentially                                                               
been closed  down to multiple  use management.  Mr.  Sandor urged                                                               
the committee to  move SB 159 forward quickly to  restore the use                                                               
and access of the forest around the state.                                                                                      
                                                                                                                                
9:44:11 AM                                                                                                                    
                                                                                                                                
BRIAN   KLEINHENZ,   Forester,   Sealaska   Native   Corporation;                                                               
Chairman, Alaska Society of American  Foresters - Juneau Chapter,                                                               
related his  background, including  serving as the  Alaska Native                                                               
seat alternate on the Board  of Forestry.  Mr. Kleinhenz provided                                                               
the following testimony:                                                                                                        
                                                                                                                                
     The designation  of a state forest  allows our Division                                                                    
     of Natural  Resource land managers  to invest  time and                                                                    
     effort and  money in forest planning  and on-the-ground                                                                    
     stewardship practices.   The creation of  state forests                                                                    
     is an important  way to guarantee the  health of Alaska                                                                    
     working  forests for  future  generations of  Alaskans.                                                                    
     The Susitna  State Forest bill is  sound legislation; I                                                                    
     support its passage  and I would like  to advocate that                                                                    
     this  bill  move as  far  as  possible in  the  current                                                                    
     session.                                                                                                                   
                                                                                                                                
9:45:28 AM                                                                                                                    
                                                                                                                                
TOM  BOUTIN  informed  the  committee  that  he  is  a  certified                                                               
forester and  a past  Alaska state forester.   He  requested that                                                               
the committee move  SB 159 forward today,  particularly given the                                                               
short time left  in session.  The state owns  22 million acres of                                                               
commercial forest  land, most of  which isn't located in  a state                                                               
forest.    Most of  the  timber  harvested  on state  land  since                                                               
statehood has been from state land  that isn't located in a state                                                               
forest.  Placing state land in  a state forest doesn't negate any                                                               
use, although it  allows the state forester  to make investments,                                                               
usually out of  timber sale receipts, to say build  a bridge that                                                               
lasts  rather than  a  lower quality  log  bridge.   Furthermore,                                                               
forest   management   increases   access   and   moose   habitat,                                                               
particularly  in   the  Mat-Su   Valley,  and  it   reduces  fire                                                               
suppression  costs.   He  again  reiterated  the desire  for  the                                                               
committee to forward SB 159 from committee.                                                                                     
                                                                                                                                
9:48:09 AM                                                                                                                    
                                                                                                                                
ROD  ARNO,  Executive  Director, Alaska  Outdoor  Council  (AOC),                                                               
informed  the committee  that  AOC  is a  group  of about  10,000                                                               
Alaskans  who   hunt,  fish,  trap,   and  enjoy   the  outdoors.                                                               
Thousands of  AOC's members live  in Southcentral Alaska  and use                                                               
the land described in SB 159.   Generally, AOC doesn't oppose the                                                               
designation of public lands as  state forests, but it does oppose                                                               
SB 159  as written as  well as the  process through which  it has                                                               
been.   He emphasized  the need for  the committee  to understand                                                               
that  it is  legislatively designating  a specific  use of  state                                                               
land.   Upon review of the  state and the country,  one discovers                                                               
that the  land that can't  be used is  land that's closed  to the                                                               
public  and  has been  legislatively  designated  land by  either                                                               
Congress  or  the Alaska  State  Legislature.   This  legislation                                                               
needs to have  a specific provision to guarantee  access to these                                                               
lands after the  lands are designated as a forest.   He urged the                                                               
committee not  to trust DNR  will do so.   If the  legislature is                                                               
going  to designate  the  land, it  should  establish the  policy                                                               
regarding who gets  to use the land.  The  proposed Susitna State                                                               
Forest is  the largest parcel  of land near the  populated center                                                               
of Alaska;  9 million  acres that's  close to  75 percent  of the                                                               
state's population.   The  proposed Susitna  State Forest  is the                                                               
most affordable and  accessible place for people to  go when they                                                               
head  out  after  work  from  Anchorage,  Chugiak,  Eagle  River,                                                               
Palmer, and Wasilla.                                                                                                            
                                                                                                                                
MR. ARNO then  opined that SB 159  is moving way too  fast.  When                                                               
the legislature created  the Tanana State Forest  in 1982/1983 it                                                               
allowed   the   public   to   participate   over   the   interim.                                                               
Furthermore,  when the  legislature created  the Southeast  State                                                               
Forest, it was introduced in the  first session and passed in the                                                               
second session.   This legislation, however,  was just introduced                                                               
a few  weeks ago.   He expressed the  need to have  a substantive                                                               
hearing in the area after work  hours.  He then recalled the late                                                               
1980s when  the Susitna Forest guidelines  process first started,                                                               
there was massive  public opposition to creating the  forest.  In                                                               
2008  and 2009  the Susitna  Forestry Guideline  Citizen Advisory                                                               
Committee,  of which  he was  a  member, had  meetings, but  they                                                               
resulted  in  no conclusion  because  more  input was  necessary.                                                               
With regard to  the zero fiscal note for SB  159, Mr. Arno opined                                                               
that  DNR can't  perform this  work for  free.   He reminded  the                                                               
committee that  just a few  years ago  the Knik Public  Use Area,                                                               
small in comparison to the  Susitna State Forest, was created and                                                               
DNR  told the  legislature it  would  cost tens  of thousands  of                                                               
dollars to plan  how to use that area.   Therefore, he questioned                                                               
how DNR would now plan an  entire state forest for free, and thus                                                               
he emphasized the need to nail down the true cost.                                                                              
                                                                                                                                
9:51:57 AM                                                                                                                    
                                                                                                                                
NICK STEEN, Ruffed Grouse Society  - Alaska Chapter, informed the                                                               
committee that he  has worked with the legislators  from the Mat-                                                               
Su  Valley, particularly  Senator Menard's  office, for  the past                                                               
two  years  to  obtain  a  Susitna  State  Forest  [designation].                                                               
However, Mr. Steen said he couldn't  support SB 159 at this time.                                                               
Although  the society  wholeheartedly supports  the concept  of a                                                               
Susitna  State  Forest,  the  legislation  doesn't  do  what  the                                                               
society believes should  be done.  He specified the  need for all                                                               
encumbered state lands  located between the Beluga  River and the                                                               
Denali  National  Park and  Preserve  draining  into the  Susitna                                                               
River to be included  in a Susitna State Forest.   The goal is to                                                               
hold all of  the aforementioned land in trust for  public use and                                                               
a  forest   designation,  which  is  the   broadest  spectrum  of                                                               
management and would provide the greatest  use of those lands.  A                                                               
state  forest  designation would  allow  the  forest industry  to                                                               
coexist with  the wildlife  habitat, hunting,  trapping, fishing,                                                               
public  recreation,  mining, et  cetera.    The only  restriction                                                               
would  be  against  the  transfer of  those  lands  into  private                                                               
ownership,  which  the  Ruffed  Grouse  Society  opposes.    This                                                               
legislation  attempts  to  establish   a  state  forest  with  14                                                               
noncontiguous parcels  of land, which  he likened to  calling the                                                               
roads  of  King Salmon,  Bethel,  McGrath,  and Barrow  areas  an                                                               
interstate  highway system.   Mr.  Steen urged  the committee  to                                                               
rewrite SB 159 to encompass  all unencumbered state lands between                                                               
Beluga River  and Lake to  the Denali National Park  and Preserve                                                               
draining  into the  Susitna River  as a  state forest.   Although                                                               
some  of the  aforementioned  land isn't  prime timber  producing                                                               
areas,  including it  would enable  reasonable management  of the                                                               
resources without the  restriction of NIMBY [not  in my backyard]                                                               
that strangles active  land and forest management  in the state's                                                               
more developed  areas.  The  legislation is written  to implement                                                               
the  Susitna-Matanuska Area  Plan  (SMAP), which  is a  planner's                                                               
idea of what could or should  be done with state lands.  However,                                                               
the Ruffed Grouse Society believes  the legislature should direct                                                               
the  use and  [designation]  of  lands, not  DNR.    The DNR,  he                                                               
opined, appears to  be attempting to satisfy  everyone's needs by                                                               
subdividing the  land into many small  designations of restricted                                                               
use, such  as for agriculture,  forest, wildlife  habitat, public                                                               
recreation, mining, and  public ownership.  However,  no one wins                                                               
in the  aforementioned approach.   The DNR planners,  he charged,                                                               
selected only  the prime  timber areas for  inclusion in  a state                                                               
forest  without consideration  of the  myriad of  other uses  the                                                               
forest offers.  Mr. Steen specified  that a state forest needs to                                                               
be  a contiguous,  all-encompassing land  mass that  will protect                                                               
its potential for resource development  and management and public                                                               
use.   If  it  isn't possible  to  alter SB  159  under the  time                                                               
constraints of  this session,  Mr. Steen  urged the  committee to                                                               
reject SB  159 and reconsider  a state forest  designation during                                                               
the next legislative session.   Passing the legislation this year                                                               
and  coming back  next  year  to amend  and  correct  it, as  was                                                               
suggested to  him by several  legislators and  bureaucrats, isn't                                                               
the correct approach.   Mr. Steen urged the  committee to address                                                               
the matter correctly the first time and fix the legislation now.                                                                
                                                                                                                                
9:55:39 AM                                                                                                                    
                                                                                                                                
VICE CHAIR FOSTER,  referring to a February 9,  2012, letter from                                                               
the  Ruffed Grouse  Society, related  his understanding  that the                                                               
society is requesting an expansion of SB 159.                                                                                   
                                                                                                                                
MR. STEEN reiterated that the  Ruffed Grouse Society supports the                                                               
concept of SB  159, but believes the entire area  needs to be set                                                               
aside as a state forest  rather than just small designated timber                                                               
areas.   The SMAP, as developed  by DNR, wants to  establish many                                                               
small   designated   areas,   which  creates   difficulties   for                                                               
management.   Furthermore,  the SMAP  makes it  almost impossible                                                               
for  the general  public  to  utilize the  land  because [of  the                                                               
patchwork of land ownership].                                                                                                   
                                                                                                                                
9:57:05 AM                                                                                                                    
                                                                                                                                
CARL  PORTMAN,  Deputy  Director,  Resource  Development  Council                                                               
(RDC), related  support for  CSSB 159(RES).   He  further related                                                               
that RDC  believes the proposed  state forest will  be beneficial                                                               
to the local economy by  creating and sustaining much needed jobs                                                               
for  the  forest products  industry  while  providing many  other                                                               
opportunities.  The RDC also  supports Section 2, which was added                                                               
to the legislation  in order to help address  the critical timber                                                               
supply issues in Southeast Alaska.   The communities in Southeast                                                               
were  limited   to  community  development  land   selections  in                                                               
Southeast since  statehood because Congress assumed  that federal                                                               
national  forest  lands  in the  Tongass  National  Forest  would                                                               
continue  to  be managed  to  provide  for an  integrated  timber                                                               
industry in  the region.   Therefore, Congress assumed  there was                                                               
little need in Southeast for  a substantial state land base since                                                               
the natural resources  on the federal lands  including timber and                                                               
minerals  would   serve  as  the  foundation   for  the  economy.                                                               
However, since  statehood the federal land  management regime has                                                               
evolved  from  true multiple  uses  to  one of  very  restrictive                                                               
management  plans  that have  closed  the  vast majority  of  the                                                               
nation's  largest  national  forests  timber harvesting.    As  a                                                               
result, the Southeast region's forest  product industry is a mere                                                               
shadow of itself and is struggling  to survive.  Section 2 of the                                                               
legislation encourages  the administration to pursue  a remedy to                                                               
the inequity by encouraging the  governor to negotiate amendments                                                               
to the  Statehood Act or  failing that to purchase  federal lands                                                               
that  aren't  contributing in  a  meaningful  way to  a  balanced                                                               
economy  in  Southeast  Alaska.   Mr.  Portman  stated  that  RDC                                                               
supports  this  amendment  and  views it  as  a  forward  looking                                                               
approach to  breaking the otherwise gridlocked  timber issues for                                                               
Southeast  Alaska.     In  conclusion,  Mr.   Portman  urged  the                                                               
committee's support  for CSSB 159(RES)  to help grow  a renewable                                                               
forest products  industry in  Southcentral and  Southeast Alaska,                                                               
which will be a win-win for both regions.                                                                                       
                                                                                                                                
10:00:02 AM                                                                                                                   
                                                                                                                                
MELVIN GROVE,  President, Alaska Outdoor Access  Alliance, stated                                                               
that SB 159 makes wholesale changes  to the status of hundreds of                                                               
thousands of acres  of land in the Mat-Su Valley  area, yet there                                                               
hasn't been a single hearing  in any of the communities affected.                                                               
Although DNR  hasn't had  any public meetings  on this  issue, it                                                               
did  have hearings  on the  recently updated  Susitna Area  Plan.                                                               
Many  people  turned out  for  those  meetings because  they  are                                                               
interested in  how the state wants  to use the land.   When [area                                                               
residents] inquired  about the forestry and  timber cutting, they                                                               
were told "Trust us, it'll be in  the next plan."  "At some point                                                               
you'd think the  state would tell us what they're  planning to do                                                               
with  our land,"  he opined.   Mr.  Grove reminded  the committee                                                               
that in 2010, the legislature  created the Southeast Alaska State                                                               
Forest  and  that process  took  over  two  years, yet  it's  the                                                               
smallest  state forest  and located  in an  area with  a forestry                                                               
culture.   However, SB 159 has  only been around for  a few weeks                                                               
and in the  Susitna Valley there is no forestry  culture and very                                                               
few  hearings and  articles  from which  the  public can  educate                                                               
itself  and  participate  in  the   process.    He  reminded  the                                                               
committee, "Please  remember that you  are there to  represent us                                                               
not impose  things on us."   He  then expressed concern  with the                                                               
lack  of  language  in  SB  159  guaranteeing  public  access  to                                                               
reclassified  lands,  although  virtually every  legislator  says                                                               
he/she supports  public access to  public lands.   Therefore, the                                                               
ability for  local residents to  have access to these  areas must                                                               
be written  into SB  159 otherwise  he predicted  that eventually                                                               
the Board  of Game through  the Board of Fisheries  will restrict                                                               
motorized  access of  the area.   The  Alaska Professional  Guide                                                               
Association,  located  in many  areas  of  the state,  has  [been                                                               
successful] in  restricting motorized access to  support only the                                                               
guide industry,  he opined.   He reminded the committee  that the                                                               
POGO mine created a road system  for the mining area, but hunters                                                               
are restricted from that public  access because of the commercial                                                               
use.   He expressed  the need  to avoid  similar situations.   In                                                               
conclusion,  Mr. Grove  urged the  committee not  to pass  SB 159                                                               
until ready, which it is not at this point.                                                                                     
                                                                                                                                
10:03:46 AM                                                                                                                   
                                                                                                                                
GEORGE   WOODBURY,  Alaska   Forest  Association,   informed  the                                                               
committee that  he has been  in the timber industry  in Southeast                                                               
Alaska since  1965.  He  echoed earlier testimony  regarding that                                                               
management of the forest has  evolved to very restricted uses and                                                               
no longer contributes  to the economy to the level  it did in the                                                               
past.   He encouraged  the committee  to pass SB  159 as  soon as                                                               
possible because  the timber  industry is in  the last  throws of                                                               
the  timber  supply  for  the  last  medium-sized  sawmill.    He                                                               
characterized  classifying these  lands as  a state  forest as  a                                                               
great move.   Furthermore,  the Division  of Forestry  has proven                                                               
that when  it has lands  it can  manage they produce  a reliable,                                                               
economic timber supply to keep  mills open.  Mr. Woodbury related                                                               
his support  for SB 159 and  reiterated the need to  move it from                                                               
committee  in order  to realize  some timber  and keep  the mills                                                               
operating.                                                                                                                      
                                                                                                                                
10:06:07 AM                                                                                                                   
                                                                                                                                
MARK  STAHL, Owner/Operator,  Denali  Log &  Lumber, related  his                                                               
support of  SB 159 and urged  the committee to take  action on it                                                               
quickly.  He reviewed the last  four years of his business during                                                               
which there  hasn't been  a borough or  state timber  sale within                                                               
his working  circle.   Therefore, he  has had  to rely  solely on                                                               
private timber  jobs, which  makes it difficult  to plan  for the                                                               
future because  those supplies go  up and  down.  Having  a state                                                               
forest designation  would help  his business  as well  as others.                                                               
Just  knowing he  has  a few  years of  timber  contracts in  the                                                               
future would allow his business  to expand three-fold.  Mr. Stahl                                                               
emphasized  the   importance  and   surety  of   a  well-managed,                                                               
sustainable resource  base.  He  then urged [the  legislature] to                                                               
provide  full  funding  to  the   Division  of  Forestry  and  to                                                               
establish a field  office in the Upper Susitna  Valley area where                                                               
the vast majority of the resource is located.                                                                                   
                                                                                                                                
10:09:22 AM                                                                                                                   
                                                                                                                                
ERIN MCLARNON  began by telling the  committee that she is  a 16-                                                               
year Matanuska-Susitna  Valley resident  who lives in  Willow and                                                               
who is a  dog musher, snowmachiner, hiker, founder  of the Willow                                                               
Dog Musher's Association, and  recreational representative on the                                                               
Board  of Forestry.   Ms.  McLarnon  related support  for SB  159                                                               
because  the legislation  provides for  economic gain,  a diverse                                                               
and  healthy habitat  for wildlife,  and protected  and increased                                                               
recreational opportunities.  She  reminded the committee that the                                                               
demand for  state timber sales  is steadily growing  and personal                                                               
use sales  for fuel use  have also  increased.  Local  mills that                                                               
employ  or could  employ family,  friends,  and neighbors  depend                                                               
heavily on  state timber  for their raw  material supplies.   The                                                               
creation  of  the  proposed  Susitna   State  Forest  would  help                                                               
guarantee those  needs.  Furthermore,  an actively  managed state                                                               
forest such  as that proposed  would promote a variety  of forest                                                               
ages to  provide for  diverse and  healthy habitat  for wildlife.                                                               
Simultaneously,  active management  would help  reduce wild  land                                                               
fire  risk.   Moreover,  state forests  protect the  recreational                                                               
uses  on  these  lands  and can  even  create  more  recreational                                                               
activities  by turning  the logging  roads and  other areas  into                                                               
recreational  corridors.   The Mat-Su  Valley  is a  recreational                                                               
haven for its  residents as well as those who  visit from outside                                                               
of the  area and the state.   Guaranteed places to  recreate, she                                                               
opined, can be  turned into dollars for the Mat-Su  Valley.  With                                                               
regard  to the  charge that  there hasn't  be an  adequate public                                                               
process  in  the Mat-Su  Valley  regarding  the creation  of  the                                                               
Susitna  State  Forest,  Ms. McLarnon  disagreed.    This  public                                                               
process,  she  said, began  in  1985  with  mention in  the  1985                                                               
Susitna area plan  and addressed again the revised  plans in 2008                                                               
and  2011.   In fact,  the  2008 adopted  Southeast Susitna  Area                                                               
Plan, which included the Susitna  State Forest, had two rounds of                                                               
public meetings.  Again, during  the 2009 revision of the Susitna                                                               
Forestry guidelines  there were  numerous public meetings.   Town                                                               
hall meetings  have been  conducted by  Senator Menard,  the most                                                               
recent of which  was February 2012, during which  the Division of                                                               
Forestry discussed this issue.   Therefore, she opined that there                                                               
has been adequate  public process and she  encouraged the passage                                                               
of SB 159 from committee.                                                                                                       
                                                                                                                                
10:12:18 AM                                                                                                                   
                                                                                                                                
LELANI  KNIGHT-MCQUEEN,  Tlingit-Haida  Central  Tribal  Council,                                                               
informed the committee that  Tlingit-Haida Central Council, which                                                               
represents  20,000  tribal members  that  are  indigenous to  the                                                               
Tongass  National  Forest,  opposes   SB  159.    Throughout  the                                                               
hearings   and  floor   sessions  [on   SB  159]   the  following                                                               
terms/phrases    have   been    used:       "management    plan",                                                               
"traditionally",  "doing it  the right  way", and  "development",                                                               
all of which have meanings to  the indigenous people of the area.                                                               
However, the hearings  and the language of  the legislation don't                                                               
reflect the  aforementioned terms.  Ms.  Knight-McQueen expressed                                                               
hope that  SB 159 goes  away until  there is discussion  with the                                                               
tribes and  there is consideration of  a government-to-government                                                               
relationship similar to that of  government and federal agencies.                                                               
With the federal government assisting  with the management of the                                                               
land, tribes have the ability to  continue to protect the land or                                                               
provide input  to practices that  will protect it and  the people                                                               
who depend  upon it.  She  reiterated earlier points that  SB 159                                                               
was  brought   forward  quickly,  which  she   opined  isn't  the                                                               
appropriate  way.   Ms. Knight-McQueen  reiterated the  Council's                                                               
opposition to  SB 159 and  requested that the Senate  require the                                                               
governor to  mandate the commissioners  to establish  a mechanism                                                               
for  developing a  government-to-government relationship  process                                                               
and  direct  the commissioners  to  ensure  tribal input  on  any                                                               
policy  that  impacts   the  air,  land,  and  sea.     She  then                                                               
highlighted the  policies being created for  the anti-degradation                                                               
group as a current example of  neglecting to involve tribes.  The                                                               
anti-degradation  group  is  currently  developing  language  and                                                               
policy  regarding  water  quality; however,  the  workgroup  only                                                               
includes the  attorney of one Native  organization.  Consultation                                                               
with one  Native Corporation  shouldn't be  considered meaningful                                                               
input to any policy workgroup.                                                                                                  
                                                                                                                                
10:15:50 AM                                                                                                                   
                                                                                                                                
DANE   CROWLEY,   Forester/Executive,  Superior   Pellet   Fuels,                                                               
informed the  committee that  Superior Pellet  Fuels manufactures                                                               
wood  pellets in  the Fairbanks  area.   He  noted that  he is  a                                                               
former resource manager and forester  for NPI, which was involved                                                               
in timber operations in the Mat-Su  Valley for a number of years.                                                               
Mr.  Crowley said  he is  generally  in support  of SB  159.   As                                                               
someone who has been involved in  timber and forestry in the Mat-                                                               
Su  Valley for  the last  20 years  and who  wrote his  thesis on                                                               
logging as a  management tool in the Mat-Su Forest,  he has spent                                                               
a significant  amount of time  focusing on the  opportunities and                                                               
aspects of  the Susitna area.   He  then thanked the  sponsor for                                                               
introduction of the legislation as it  has been many years in the                                                               
making.   However,  the current  Susitna  Forest guidelines  have                                                               
gone far  in prohibiting any  opportunity on state lands.   Those                                                               
guidelines were supposed to expire  in 2001 as they were replaced                                                               
by the Forest  Practices Act, but the continued  adherence to the                                                               
Susitna  Forest  guidelines  is problematic.    Furthermore,  the                                                               
state  lands aren't  designated for  any particular  activity and                                                               
thus the  Division of  Forestry has  no management  authority for                                                               
those lands  and the land sits  idle. Mr. Crowley then  turned to                                                               
the opportunities  lost in the  Mat-Su Valley in  comparison with                                                               
the Tanana  Valley State Forest model.   In 2005 NPI  operated in                                                               
export  wood  chips and  it  directly  employed 125  individuals.                                                               
Through  work  with  the  State of  Alaska's  economist,  it  was                                                               
determined that  the aforementioned  was a $3.5  million economic                                                               
impact directly to the local  area.  The aforementioned, which is                                                               
an  example with  one company,  is what  was lost  by not  having                                                               
[similar]  forestry  opportunities in  the  Mat-Su  Valley.   The                                                               
Tanana  Valley  State  Forest is  a  fantastic  opportunity  that                                                               
provides a guaranteed annual allowable  cut and hundreds of miles                                                               
of road  access.  He opined  that the Tanana Valley  State Forest                                                               
also provides  a good  model for multiple  user groups  and their                                                               
input via a citizen's advisory  committee.  However, he cautioned                                                               
the  committee  with regard  to  the  lack of  designated  access                                                               
because ultimately  it will exclude  and disenfranchise  some and                                                               
fail.     Mr.  Crowley  urged   the  committee  to   forward  the                                                               
legislation and include amendments  guaranteeing access.  He also                                                               
noted his agreement with regard  to the continuity of [the forest                                                               
land]  comments.   Still,  he  opined  that the  [Susitna]  state                                                               
forest needs to happen and soon if  there is going to be any type                                                               
of  habitat renewal,  fire suppression,  and other  opportunities                                                               
that arise from a managed state forest.                                                                                         
                                                                                                                                
10:21:18 AM                                                                                                                   
                                                                                                                                
VICE CHAIR  FOSTER questioned whether intent  language to address                                                               
the government-to-government relation concerns  could be added in                                                               
the next  committee of referral.   He then invited  comments from                                                               
the sponsor.                                                                                                                    
                                                                                                                                
10:22:02 AM                                                                                                                   
                                                                                                                                
SENATOR MENARD opined that SB 159  is good legislation.  She then                                                               
requested that Mr.  Maisch address the access  concerns.  Senator                                                               
Menard mentioned  that her  husband tried  to push  this proposal                                                               
forward  in  the  early  1990s   and  she  only  wants  something                                                               
available for all Alaskans in perpetuity.                                                                                       
                                                                                                                                
10:23:12 AM                                                                                                                   
                                                                                                                                
MR. MAISCH,  regarding access,  explained that  if SB  159 passes                                                               
the Division  of Forestry  has to do  a forestry  management plan                                                               
within three  years.  That plan  would detail many of  the things                                                               
discussed  today, including  access  and  development, and  would                                                               
replace the Susitna forest guidelines.   Therefore, even with the                                                               
passage of SB 159 there would still  be quite a bit of a process.                                                               
Mr.  Maisch  assured everyone  that  the  issues that  have  been                                                               
raised will be addressed.                                                                                                       
                                                                                                                                
10:24:03 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  MUNOZ  asked  if  the  Southern  Southeast  State                                                               
Forest  legislation   that  passed  last  year   included  intent                                                               
language regarding  access.  She  also asked whether it  would be                                                               
acceptable to include intent language with SB 159.                                                                              
                                                                                                                                
MR.  MAISCH answered  that the  Southern  Southeast State  Forest                                                               
legislation  didn't  include  specific  language  that  addressed                                                               
access as  that was left  to the  actual management plan  that is                                                               
currently being  written for  that state forest.   He  noted that                                                               
there  is a  management  plan in  place for  the  Haines and  the                                                               
Tanana  Valley State  forests which  include sections  devoted to                                                               
the topic of access.                                                                                                            
                                                                                                                                
10:24:42 AM                                                                                                                   
                                                                                                                                
CHAIR MUNOZ inquired as to  why certain areas weren't included in                                                               
the proposal.                                                                                                                   
                                                                                                                                
MR. MAISCH responded that certain  areas weren't included because                                                               
of the planning  process and because these  areas were determined                                                               
to be more  appropriate for other uses.  The  better forest lands                                                               
were identified  and those  are the lands  that are  proposed for                                                               
this state forest.                                                                                                              
                                                                                                                                
10:25:38 AM                                                                                                                   
                                                                                                                                
CHAIR  MUNOZ  announced  that she  is  uncomfortable  moving  the                                                               
legislation today, but deferred to the vice chair.                                                                              
                                                                                                                                
REPRESENTATIVE  AUSTERMAN stated  his agreement,  adding that  he                                                               
would like to  have something from the  department regarding what                                                               
the management plan would be in  terms of access.  In response to                                                               
Chair Munoz, Representative Austerman said  that he would like to                                                               
see what  the department  would propose  for the  management plan                                                               
rather than intent language on the access issue.                                                                                
                                                                                                                                
CHAIR  MUNOZ asked  if the  aforementioned  information could  be                                                               
provided  to  the  committee and  the  legislation  brought  back                                                               
before the committee on Thursday.                                                                                               
                                                                                                                                
VICE CHAIR FOSTER agreed to do so.                                                                                              
                                                                                                                                
[SB 159 was held over.]                                                                                                         

Document Name Date/Time Subjects