03/14/1994 01:35 PM Senate JUD

 SENATOR TAYLOR introduced HCR 24 (SUPPORT SUIT AGAINST FEDERAL                
 GOVERNMENT) and invited MEL KROGSENG, Staff Assistant to the                  
 sponsor, REPRESENTATIVE RAMONA BARNES to review the bill.  SENATOR            
 TAYLOR noted the bill before the committee was CS FOR HOUSE                   
 CONCURRENT RESOLUTION NO. 24(JUD) am.                                         
                                                                               
 MS. KROGSENG explained HCR 24 supports the governor's decision to             
 authorize a suit against the United States government for violating           
 the Alaska Statehood Act and the Alaska Statehood Compact.  She               
 read the Sponsor Statement: "When the Alaska Statehood Act was                
 crafted, Congress guaranteed all attributes of sovereignty that               
 were granted to all other states under the Constitution to Alaska.            
 However, over the past few years, the terms of the Alaska Statehood           
 Act have been violated by the Congress.  These violations include             
 withdrawal from development nearly 80% of federal land from which             
 Alaska was to derive mineral royalties.  Alaska is also the only              
 state not allowed to sell her oil resources abroad.  We are a                 
 sovereign state and we must not let our sovereignty be violated.              
 The Statehood Act was an agreement between Congress and the People            
 of Alaska and it cannot unilaterally be changed.  We must stand up            
 for our rights now and in the future."                                        
                                                                               
 MS. KROGSENG indicated the pamphlet provided by the governor's                
 office entitled DEFENDING ALASKA'S STATEHOOD COMPACT goes into                
 greater detail with some of the violations of the Act.  She                   
 deferred the remainder of the testimony to CHERI JACOBUS, Chief,              
 Attorney General for the Department of Law who is handling the case           
 for the State of Alaska.                                                      
                                                                               
 Number 049                                                                    
                                                                               
 SENATOR DONLEY asked why PRESIDENT GEORGE BUSH did an Executive               
 Order allowing the export of 250 thousand barrels a day of                    
 California crude, but did not do a similar act for the State of               
 Alaska.                                                                       
                                                                               
 MS. JACOBUS thought the only answer could come from PRESIDENT BUSH,           
 but she thought SENATOR DONLEY had hit upon an important factor,              
 that Alaska has been singled out for unique treatment.  She claimed           
 no other state, or court, has had a case such as the oil export               
 ban, where one state has so clearly been discriminated against.               
 She had no knowledge of PRESIDENT BUSH'S reason.                              
                                                                               
 SENATOR DONLEY asked MS. JACOBUS if she had consulted with MR. JOHN           
 KATZ, Special Counsel for State/Federal Relations, as to the timing           
 of the filing of the lawsuit, in relation to the potential of                 
 PRESIDENT BUSH considering an Executive Order during the period of            
 time before the export act was reauthorized by Congress.                      
                                                                               
 MS. JACOBUS explained the decision to file the lawsuit, and the               
 timing, was actually made by the governor's office in consultation            
 with ATTORNEY GENERAL COLE.  She said it was not filed without the            
 concurrence and the support of the governor's office in discussion            
 with MR. KATZ.                                                                
                                                                               
 SENATOR DONLEY asked MS. JACOBUS if MR. KATZ had given any                    
 information on PRESIDENT BUSH'S position on potential executive               
 orders during the gap when the export act was in place.                       
                                                                               
 MS. JACOBUS said MR. KATZ had not given her any specific                      
 information as to exactly what he was hearing from PRESIDENT BUSH,            
 bus she indicated discussions with the governor's office as well as           
 ATTORNEY GENERAL COLE.                                                        
                                                                               
 SENATOR DONLEY asked if she had ever inquired of people in the                
 Department of Energy, the Department of Justice, or the BUSH                  
 Whitehouse why they didn't do an executive order such as was done             
 in California for Alaska.                                                     
                                                                               
 Number 100                                                                    
                                                                               
 MS. JACOBUS explained there had been many conversations with the              
 Department of Energy, and she said the department was currently               
 doing a study on the impact of the oil export ban of areas such as            
 California and Washington State.  She claimed the Department of               
 Energy has long been in support of allowing Alaska to export its              
 oil.                                                                          
                                                                               
 MS. JACOBUS said she has not had conversations with the Department            
 of Justice other than with respect to the case itself, but she                
 assured SENATOR DONLEY everyone was negotiating with the BUSH                 
 Administration, and has continued with the current administration.            
                                                                               
 SENATOR DONLEY didn't think he had received an answer to his                  
 question, so he reiterated his question as to whether MS. JACOBUS             
 ever asked anyone in the Department of Energy, the Department of              
 Justice, or the BUSH Administration why they did it for California            
 but didn't do it for Alaska.  She said she did not ask.                       
                                                                               
 SENATOR DONLEY said this was a very important question.  He                   
 explained, while he supports the lawsuit, he didn't support the               
 timing of the lawsuit.  In a dialogue among the committee members             
 and MS. JACOBUS, they discussed statute of limitations as to what             
 kind, the litigation of the statutes, and the relevance of when the           
 statute of limitations were filed.  She concluded by explaining she           
 was not a party to the negotiations between the governor's office             
 and the Congressional Delegation.                                             
                                                                               
 Number 150                                                                    
                                                                               
 SENATOR DONLEY thought it was a mistake to not have her involved              
 fully with those doing the legal process.  MS. JACOBUS clarified              
 the timing of the lawsuit was arranged by the Congressional                   
 Delegation and MR. KATZ, and she understood the negotiations were             
 ongoing.  SENATOR DONLEY was not satisfied with the reasoning as              
 presented by MS. JACOBUS, and she maintained she did not know why             
 the Bush Administration made their decision when it was made.                 
                                                                               
 MS. JACOBUS said she did not understand the significance of the               
 questions by SENATOR DONLEY on the timing of the lawsuit.  SENATOR            
 DONLEY said there needed to be testimony by MR. KATZ, but MS.                 
 JACOBUS didn't see how this would be related to the support of the            
 two lawsuits.  SENATOR DONLEY said his concern had to do with the             
 timing of the lawsuits, not with the content of the lawsuits.                 
                                                                               
 SENATOR DONLEY said he would appreciate the opportunity to talk to            
 MR. KATZ, because he thought all routes in the discussion led to              
 him.  SENATOR DONLEY indicated he had some serious doubts about the           
 timing of one of the lawsuits, that the State would have gotten an            
 Executive Order out of PRESIDENT BUSH if we hadn't sued him on the            
 subject.                                                                      
                                                                               
 Number 205                                                                    
                                                                               
 In answer to a question from SENATOR TAYLOR, SENATOR DONLEY                   
 explained there was a recommendation from the Department of Energy            
 to lift the ban, but the Department of Justice said "no," because             
 there was on going litigation.                                                
                                                                               
 MS. JACOBUS objected to this line of judgment and said she did not            
 understand the thrust of his question about whether the lawsuit was           
 brought before the decision had been made by the Whitehouse.  She             
 reviewed her discussion with the governor's office and JOHN KATZ              
 that the decision had already been made to not lift the ban, which            
 was the impetus for the lawsuit.  She continued to confront some of           
 the arguments about the lawsuits with her understanding and                   
 apologized for her misunderstanding of the earlier questions.                 
                                                                               
 SENATOR DONLEY said he still wanted to talk to MR. KATZ about the             
 timing of the lawsuit, and he thought it was an important question            
 to the Judiciary Committee, since questions will be asked.                    
                                                                               
 SENATOR TAYLOR was not sure of the extent MR. KATZ would be willing           
 to reply or disclose confidential discussions with his "boss."  He            
 said he would contact MR. KATZ for the information and announced              
 the bill would be held over until next week.                                  
                                                                               
 SENATOR DONLEY reiterated his support for the substance of the                
 lawsuits, and he only wanted to know about the timing of the                  
 specific suit.  SENATOR TAYLOR directed his aide to find out when             
 MR. KATZ was available for teleconference.