Legislature(2013 - 2014)BUTROVICH 205

03/12/2014 03:30 PM Senate RESOURCES


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03:31:26 PM Start
03:32:05 PM HB77
05:04:04 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 77 LAND USE/DISP/EXCHANGES; WATER RIGHTS TELECONFERENCED
Heard & Held
-- Public Testimony <Time Limit May Be Set> --
+ Bills Previously Heard/Scheduled TELECONFERENCED
          HB  77-LAND USE/DISP/EXCHANGES; WATER RIGHTS                                                                      
                                                                                                                                
3:32:05 PM                                                                                                                    
CHAIR GIESSEL announced HB 77 to  be up for consideration [2d SCS                                                               
CSHB  77(RES), version  28-GH1524\H, was  before the  committee].                                                               
She said  the committee had  received many emails and  letters of                                                               
both support and  opposition and noted a written  letter from the                                                               
Department  of Natural  Resources  (DNR) in  answer to  questions                                                               
Senator  Donny Olson  had posed,  which she  thought it  would be                                                               
beneficial  for  committee  members  to see.  She  opened  public                                                               
testimony on  the H version of  HB 77 and explained  that some of                                                               
the major changes include:                                                                                                      
-  Individual person  and federally  recognized tribes  can apply                                                               
for water reservations (page 24)                                                                                                
- General  permits are now  limited to activities  the department                                                               
can already  authorize through  statute or  regulations (examples                                                               
are private docks or mooring buoys in a river or offshore)                                                                      
- Large resource  development projects would need  much more than                                                               
a general permit for their activities.                                                                                          
- The requirement for public  notice and public comment are found                                                               
throughout the bill                                                                                                             
- DNR  is also required  to consider seven points  in determining                                                               
whether to grant  a water reservation and whether that  is in the                                                               
public's best interest (found on page 22 of the bill).                                                                          
                                                                                                                                
3:33:57 PM                                                                                                                    
These criteria include:                                                                                                         
1. Benefit to the applicant                                                                                                     
2. Effect of the economic activity                                                                                              
3. Effect  on fish  and game resources  and on  public recreation                                                               
opportunities                                                                                                                   
4. Effect on public health                                                                                                      
5. Effect of loss or alternate use of water                                                                                     
6. Harm to other persons                                                                                                        
7. Effect on access to navigable or public waters                                                                               
                                                                                                                                
3:35:46 PM                                                                                                                    
CHAIR GIESSEL said  she would take names in the  order of signing                                                               
up and  from all  the LIOs  to get  a geographic  distribution of                                                               
public  testimony.  She  said  people  could  also  e-mail  their                                                               
testimony to her office.                                                                                                        
                                                                                                                                
BOBBY ANDREW, Nunamta Aulukestai,  Dillingham, Alaska, said he is                                                               
president of  Aleknagik Natives  Limited, and  opposed HB  77. He                                                               
said  Monday's  changes do  not  go  far  enough to  warrant  its                                                               
passage.  The  general permit  provisions  still  grant too  much                                                               
authority  to  the  commissioner.  The extensive  nature  of  the                                                               
general  permit still  allows too  many  important decisions  and                                                               
activities to take  place without the public  eye, without public                                                               
notice, and  without the  public's right to  appeal a  decision -                                                               
and also  without consulting with  the current  water reservation                                                               
applicants, which he thought should be grandfathered in.                                                                        
                                                                                                                                
He  said the  short  general  permit comment  period  of 30  days                                                               
almost ensures that  an application won't get the  type of review                                                               
that it  should before  its approval.  Automatic approval  of all                                                               
legal activities  within the general  permit area  without public                                                               
review denies the public the  opportunity to address the decision                                                               
that might have  the greatest effect on it;  for instance, stream                                                               
crossings and water rights.                                                                                                     
                                                                                                                                
3:38:53 PM                                                                                                                    
LUKI AKELKOK, JR., Mayor, City  of Ekwok, and Chair, Ekwok Tribal                                                               
Council and Ekwok Natives Ltd.,  Ekwok, Alaska, opposed HB 77. He                                                               
said the  committee needs  to define  "significant," "irreparable                                                               
harm," and  "substantial and adversely impact."  The entire newly                                                               
written  section  on water  reservations  for  persons or  tribes                                                               
seems like water  lock-up, but those who live in  rural Alaska on                                                               
a  river must  do  everything they  can to  make  sure they  have                                                               
adequate water in it for fish and wildlife.                                                                                     
                                                                                                                                
3:39:34 PM                                                                                                                    
SENATOR DYSON and SENATOR FAIRCLOUGH joined the committee.                                                                      
                                                                                                                                
MR.  AKELKOK said  in a  letter dated  on February  28, 2014,  to                                                               
Senator Hoffman, that the Chikuminuk  dam project and feasibility                                                               
project will  be dropped. He  also asked that the  entire Section                                                               
47 (lines 16-23) be deleted.                                                                                                    
                                                                                                                                
3:41:02 PM                                                                                                                    
VICTORIA  MCDONALD,  representing   herself,  Ketchikan,  Alaska,                                                               
opposed HB  77 for many  reasons. First, the  Alaska Constitution                                                               
states  that out  of  stream  uses are  subject  to "the  general                                                               
reservation of fish  and wildlife" in recognition  that access to                                                               
fish and wildlife is for all residents.                                                                                         
                                                                                                                                
Secondly,  this version  allows  foreign  corporations to  obtain                                                               
rights to  a water  body. Alaskans cannot  allow water  rights to                                                               
fall into  private hands. Next,  the DNR commissioner  is granted                                                               
the authority  to issue general  permits on state  land, allowing                                                               
an  override  of  DNR's  own laws  and  statutes.  These  general                                                               
permits allow  a range  of activities over  large areas  of land,                                                               
possibly prior to a specific  activity. Activities that relate to                                                               
this  permit will  be authorized  under  this permit  and do  not                                                               
require public notice.                                                                                                          
                                                                                                                                
Finally,  HB   77  fails  to  define   "likely,  significant,  or                                                               
irreparable  harm."  This is  a  subjective  phrase and  needs  a                                                               
specific definition. Also,  in order to appeal a  DNR decision, a                                                               
citizen has  to be "substantially  and adversely  impacted." Once                                                               
again, there is no objective definition.                                                                                        
                                                                                                                                
3:43:04 PM                                                                                                                    
HAL  SHEPHERD,  Director,  Center  for  Water  Advocacy,  Seward,                                                               
Alaska, opposed  HB 77. He  said 41 tribal resolutions,  a record                                                               
number,  opposing HB  77 were  passed  last year  and there  were                                                               
three or  four hearings all  over the  state in which  700 people                                                               
appeared on  record against HB  77; one person favored  the bill.                                                               
He said he  had submitted written testimony from  two Elim tribal                                                               
members who could  not attend the meeting and  that mostly people                                                               
don't  favor  this  bill  not   because  of  its  impact  on  the                                                               
environment  or  water  resources,  but  mostly  because  of  its                                                               
impacts on the  state's civil rights and  democracy. The cosmetic                                                               
amendments pretty  much amount to  nothing more  than rearranging                                                               
the deck chairs on the Titanic.                                                                                                 
                                                                                                                                
3:45:36 PM                                                                                                                    
MIKE FRICCERO,  representing himself, Kodiak, Alaska,  opposed HB
77. He said the recent amendments  didn't help resolve any of the                                                               
major  issues.   They  represent   expanded  power  to   the  DNR                                                               
commissioner   and  diminished   public  participation   and  due                                                               
process. The CS  endows radical changes to  existing water rights                                                               
regulations and limits  his legal right to challenge  the DNR. It                                                               
only  represents   the  interests  of  extractors   and  resource                                                               
developers, not the general public,  and diminishes the rights of                                                               
tribal  organizations.  It cancels  and  avoids  due process  and                                                               
protections  and reduces  the state's  ability  to protect  water                                                               
sources;  it eliminates  public oversight  of DNR  activities and                                                               
removes protections for fish and wildlife habitat.                                                                              
                                                                                                                                
He  said  we  are  on  the  eve  of  a  resource  extraction  and                                                               
exploratory  boom  and   the  DNR  will  be   inundated  with  an                                                               
unprecedented volume  of permitting applications and  this is not                                                               
the time to streamline the  permitting process and making it less                                                               
rigorous. It  is time  to increase  funding and  staff at  DNR to                                                               
make  sure there  is adequate  oversight. It  is time  to require                                                               
mandatory baseline water volumes in all fish bearing waterways.                                                                 
                                                                                                                                
3:48:00 PM                                                                                                                    
LAURIE DANIEL,  representing herself,  Homer, Alaska,  opposed HB
77 saying it was also known  as the "Silencing Alaskans Act." The                                                               
amendments  in  the revised  version  do  not address  the  major                                                               
problems  with  this  legislation;  the  administration  took  10                                                               
months to develop it behind closed  doors and is "allowing a bare                                                               
two days for public review."                                                                                                    
                                                                                                                                
She said  the revised version still  eliminates opportunities for                                                               
the  Alaska public  to weigh  in  on statewide  land, water,  and                                                               
natural  resource development  decisions; it  impacts almost  any                                                               
activity or  use on state land  that requires a permit.  It takes                                                               
away the power from the people and  puts it in the hands of state                                                               
government  by granting  broad powers  to  the DNR  and makes  it                                                               
difficult  to  challenge  its decisions.  It  still  takes  water                                                               
reservation rights  away from  tribes, Native  corporations, non-                                                               
profit  organizations   and  individuals,   and  the   text  uses                                                               
ambiguous   undefined  terminology   like   "unlikely  to   cause                                                               
significant or  irreparable harm" and "substantial  and adversely                                                               
affected."                                                                                                                      
                                                                                                                                
3:50:16 PM                                                                                                                    
GABRIEL  SCOTT,   Alaska  Legal  Director,   Cascadia  Wildlands,                                                               
Cordova, Alaska,  opposed HB  77. He said  they are  a non-profit                                                               
conservation  organization and  don't see  any problem  to solve;                                                               
legitimate   development  is   not   being   blocked  by   public                                                               
participation. He  couldn't think  of one  project that  had been                                                               
stopped through  a state appeal. In  fact, he said the  only time                                                               
development  is slowed  down  is when  an  agency has  flagrantly                                                               
broken the  law; so, therefore  the interests this  bill protects                                                               
are agencies getting away with flagrantly breaking the law.                                                                     
                                                                                                                                
Secondly, this  bill doesn't streamline development;  it codifies                                                               
the  idea  that rather  than  having  a democracy  where  regular                                                               
citizens   participate   through   the   process   into   forcing                                                               
confrontation and  litigation for  every appeal or  public notice                                                               
right.                                                                                                                          
                                                                                                                                
3:52:39 PM                                                                                                                    
DANIEL LUM, representing himself,  Barrow, Alaska, opposed HB 77.                                                               
He said they should hear by  now that an overwhelming majority of                                                               
Alaskans  are against  HB 77.  Industry is  pressuring them  into                                                               
pushing  this bad  bill  into law.  If  this legislation  passes,                                                               
people's right  will be silenced.  The commissioner has  too much                                                               
power and there is no appeal process.                                                                                           
                                                                                                                                
3:53:56 PM                                                                                                                    
MATTHEW DONOHOE, representing himself,  Sitka, Alaska, opposed HB
77. He  is on the  board of  the Alaska Trollers  Association and                                                               
was  concerned about  the protection  of habitat  in some  of the                                                               
language in  the bill;  for instance, the  lack of  definition of                                                               
"irreparable harm." It was also  worrisome that the arbitrator of                                                               
that is the DNR commissioner who isn't an elected official.                                                                     
                                                                                                                                
He said  the language for  this bill came  out only two  days ago                                                               
and that is not enough time for  his group to discuss it and they                                                               
opposed it  as originally written.  He mentioned that  there were                                                               
20 other people  in the room, a  lot of whom wouldn't  be able to                                                               
testify  because  there is  only  an  hour  and  a half  for  the                                                               
hearing.                                                                                                                        
                                                                                                                                
3:56:23 PM                                                                                                                    
GERALD BROOKMAN, representing himself,  Kenai, Alaska, opposed HB
77. The only way  it can be improved is to  deep-six it even with                                                               
the changes. It  gives too much power to the  DNR commissioner to                                                               
the detriment of the state's people, fish and wildlife.                                                                         
                                                                                                                                
3:57:34 PM                                                                                                                    
ALBERT JUDSON,  representing himself, Juneau, Alaska,  opposed HB
77. He  was testifying  to ask  one question:  "When and  how the                                                               
mission  statement for  the Department  of Natural  Resources was                                                               
changed and whether anybody on the committee knows."                                                                            
                                                                                                                                
3:58:50 PM                                                                                                                    
DAN  DUNAWAY, representing  himself, Dillingham,  Alaska, opposed                                                               
HB 77.  He said he  would like to  see the Chikuminuk  Lake study                                                               
language purged  if they  don't just throw  away the  whole bill.                                                               
The one  privately-owned piece  of land in  that area  belongs to                                                               
the  Bristol Bay  Area Heritage  Land Trust  and it  is the  only                                                               
likely site  for any hydro-electric  development. The  Land Trust                                                               
selected that  site to make  sure development didn't  occur there                                                               
and KDLG Radio just said that Nuvista had shelved that project.                                                                 
                                                                                                                                
He  also  shared  Senator  French's  concern  that  DNR  had  not                                                               
processed any completed applications and  that they should not be                                                               
allowed  to  sit on  them  for  22  years  without some  sort  of                                                               
response  from the  applicant.  And like  others  said, a  30-day                                                               
public comment  period for people  in the Bush subsisting  is not                                                               
enough  time for  them  to respond.  It's  inevitable that  these                                                               
things show up  in the middle of June or  salmon season when they                                                               
are all spread out and subsisting.                                                                                              
                                                                                                                                
4:01:25 PM                                                                                                                    
HERMAN NELSON  SR., Tribal  President, Koliganek  Tribal Council,                                                               
Koliganek,  Alaska,  opposed  HB  77.   It  would  make  it  more                                                               
difficult for an individual Alaskan  to challenge DNR's decision,                                                               
especially  in the  200-300 small  tribal  communities. It  would                                                               
give too much power to the  DNR commissioner to disregard its own                                                               
laws  and  statutes that  have  taken  years to  develop  through                                                               
public  participation.   He  said they  applied  for their  water                                                               
reservations to  protect the  water needed  for salmon  and other                                                               
wildlife resources. The Woodtikchik  Lakes are part of Chikuminuk                                                               
area and  it's one of the  most beautiful places you  can go; you                                                               
wouldn't want to build a dam there.                                                                                             
                                                                                                                                
4:03:46 PM                                                                                                                    
PETER   CHRISTOPHER,  Vice   President,  Stuyahok   Limited,  New                                                               
Stuyahok,  Alaska, opposed  HB  77. He  supported  the folks  who                                                               
spoke on the Chikuminuk Lake  issue. They live within the natural                                                               
resources and that is why they are concerned.                                                                                   
                                                                                                                                
4:06:38 PM                                                                                                                    
ALEXUS  KWACHKA,  commercial   fisherman,  representing  himself,                                                               
Kodiak, Alaska, opposed both HB 77 and the amendments.                                                                          
                                                                                                                                
4:07:18 PM                                                                                                                    
MARY  SADLER, Donlin  Gold, Bethel,  Alaska, read  a letter  from                                                               
Stan Foo, General  Manager for Donlin Gold that  supported HB 77,                                                               
because it improved efficiency in permitting.                                                                                   
                                                                                                                                
4:08:58 PM                                                                                                                    
PHIL GORDON, representing himself,  Homer, Alaska, opposed HB 77.                                                               
He said  an entire roomful of  people there would not  be able to                                                               
testify in the limited time  allowed. That represents the kind of                                                               
anti-democracy  they are  getting from  their administration  and                                                               
government.  Public  opinion  is  not something  that  should  be                                                               
avoided; rather it  should be emphasized. The  streamlining in HB
77 is  short-sighted and  ignores the  need to  protect resources                                                               
for future generations of Alaskans.                                                                                             
                                                                                                                                
4:10:37 PM                                                                                                                    
ROSEMARY MCGUIRE, representing  herself, Cordova, Alaska, opposed                                                               
HB  77. She  said it's  absolutely  ludicrous that  they are  not                                                               
getting  enough time  to comment  on  a bill  that removes  their                                                               
ability  to  comment.   It  gives  too  much   authority  to  the                                                               
commissioner. She  is a commercial  fisherman and  her livelihood                                                               
depends  on a  healthy watershed  and this  does not  necessarily                                                               
make it possible.                                                                                                               
                                                                                                                                
4:11:49 PM                                                                                                                    
CALLEN  CHRISTENSEN,  representing  Fairbanks  Youth,  Fairbanks,                                                               
Alaska,  opposed HB  77.  He said  a number  from  his group  had                                                               
traveled  to  Juneau  to testify  that  the  Alaska  Constitution                                                               
explicitly  reserves natural  resources to  the people  of Alaska                                                               
for  common  use  and  offers  safeguards  to  protect  them.  He                                                               
implored them to not pass this bill in any form.                                                                                
                                                                                                                                
4:13:08 PM                                                                                                                    
ERIC JORDAN, representing himself,  Sitka, Alaska, opposed HB 77.                                                               
He  said he  was a  64-year  old Southeast  Alaska fisherman  and                                                               
thanked  them  for  taking  the  time to  hear  his  comments  on                                                               
rewritten HB 77, which it's  clear the governor and sponsors have                                                               
made  clear they  don't  want to  hear or  be  considered in  the                                                               
future.                                                                                                                         
                                                                                                                                
4:14:44 PM                                                                                                                    
ROBERT  RUFFNER,  Executive   Director,  Kenai  Watershed  Forum,                                                               
Soldotna,  Alaska,  opposed  HB  77. He  said  they  have  worked                                                               
extensively with  the resource  agency since  their incorporation                                                               
in 1997  and had budgets in  excess of $3 million,  much of which                                                               
has been  spent on stream restoration-type  work. The restoration                                                               
work they focus on is mostly  culverts and fish passage, but they                                                               
have  also  tackled  much  more  complex  projects  that  involve                                                               
diverting sections  of the Anchor  River for more than  a quarter                                                               
of a  mile. Anyhow,  they are very  familiar with  the regulatory                                                               
requirements   for    permitting   in    a   multi-jurisdictional                                                               
environment and they have maintained  a stellar relationship with                                                               
the permitting  staff that oversee  those permits. So,  he didn't                                                               
see the problem that needs to be fixed by this bill.                                                                            
                                                                                                                                
They applaud Senator Micciche's efforts  to gather more input and                                                               
address  the concerns,  and he  wanted to  focus his  comments on                                                               
Section  42(h)  in  the  CS,  page  23,  line  18.  This  section                                                               
consolidates  discretionary  authority  in the  DNR  commissioner                                                               
with  no transparency  or certainty  of fair  consideration. They                                                               
don't think every  water right or reservation  should be granted,                                                               
but there  needs to  be a  fair process  for consideration  and a                                                               
clear pathway to reach a decision.                                                                                              
                                                                                                                                
4:17:22 PM                                                                                                                    
MELANIE BROWN, representing herself,  Juneau, Alaska, wanted them                                                               
to  include customary  users in  the  language. She  goes to  the                                                               
Naknek River district  in Bristol Bay every  summer to commercial                                                               
fish and gather  subsistence foods for her family.  Others in her                                                               
family  help her  fill  her  freezer with  game  and fish,  which                                                               
offsets the  cost of feeding  her family. The reason  she brought                                                               
this  up   is  because   she  was   really  concerned   with  how                                                               
"traditional and  customary use" fits  in with the  definition of                                                               
"standing." In more than seven  sections she noted "substantially                                                               
and adversely  affected" is used to  define who has the  right to                                                               
appeal  a  DNR land  use  decision.  It's  only defined  once  in                                                               
Section  39 and  she fears  that definition  excludes traditional                                                               
and customary users  (commonly known as subsistence  users).  The                                                               
language  states  that physical  or  financial  detriment to  the                                                               
person's interest  is what defines  whether or not they  have the                                                               
right to  stand in  front of  DNR to appeal  a decision  and it's                                                               
really  difficult  to  quantify   the  value  of  subsistence  or                                                               
traditional and  customary food for  a family who  relies heavily                                                               
on those activities  into dollars and cents. If that  was not the                                                               
original intent, she  asked them to please  revisit this language                                                               
to make sure that they include traditional and customary users.                                                                 
                                                                                                                                
4:19:39 PM                                                                                                                    
LAURA COMER,  representing herself, Anchorage, Alaska,  asked why                                                               
they hadn't  heard from  the Matsu  LIO and  then passed  off her                                                               
time to Stuart Grenier.                                                                                                         
                                                                                                                                
STUART GRENIER, representing  himself, Anchorage, Alaska, opposed                                                               
HB  77.   He  said   at  a   Muldoon  Constituent   meeting  with                                                               
Representative  Gruenberg,  Representative  LaDoux,  and  Senator                                                               
Wielechowski,  Representative Gruenberg  pointed out  that across                                                               
the board  the public was  being cut out  of the process  on very                                                               
important decisions  involving resources. This is  something they                                                               
really need to be concerned about.                                                                                              
                                                                                                                                
He  also  mentioned  that some  changes  in  technological  allow                                                               
corporations unbelievable  abilities to police their  areas. They                                                               
might be seeing the "third-worlding" of Alaska.                                                                                 
                                                                                                                                
4:21:32 PM                                                                                                                    
DENNIS ANDREW, SR.,  Member, New Stuyahok Tribal  Council and New                                                               
Stuyahok Ltd. Board of Directors,  Dillingham, Alaska, opposed HB
77 and  version H. He was  opposed to any limiting  of any public                                                               
participation  or  notice  and  said   more  should  be  done  to                                                               
encourage  sharing of  information and  working together  for the                                                               
benefit  of Alaskans  who seem  to be  aligning along  two sides:                                                               
resource development  versus environmental protection.  This bill                                                               
further divides  them. Rural Alaskans  can't just go to  Carrs or                                                               
Safeway; they rely on the waters  for their fish and the land for                                                               
their game, but they use the  water to gain access in the harvest                                                               
of the game. "The water is our dinner table," he said.                                                                          
                                                                                                                                
The latest version of HB 77  still gives the DNR commissioner too                                                               
much authority  to decide what  is good  for the state,  and that                                                               
adds politics  into the  decision making  which is  influenced by                                                               
who has  the money  to pay that  high-priced lobbyist.  This bill                                                               
uses terms  such as "sustainability"  and "harmed" and  those are                                                               
not defined. Based on Nuvista's  letter, dated February 28, 2014,                                                               
to Senator  Hoffman, the Chikuminuk  dam project will  be dropped                                                               
and Section 47, lines 16-23, should be deleted.                                                                                 
                                                                                                                                
4:24:32 PM                                                                                                                    
WARREN KEOGH,  representing himself, Chickaloon,  Alaska, private                                                               
land owner and water right  holder of both surface and subsurface                                                               
water  and  former water  rights  coordinator  for the  Fish  and                                                               
Wildlife Service in Alaska, opposed HB  77. He said he was one of                                                               
20 people  in the  Matsu LIO who  were glad to  have the  time to                                                               
speak.                                                                                                                          
                                                                                                                                
MR. KEOGH said  he has a stream running through  his property and                                                               
that HB 77 is a  "Medusa-like" bill that is fundamentally flawed.                                                               
He had hoped the public outcry  in several meetings over the past                                                               
few months would  result in significant changes to  the bill, but                                                               
unfortunately the  meager DNR changes  are more  superficial than                                                               
substantive.                                                                                                                    
                                                                                                                                
He said  he would  address two  aspects of  the many  problems in                                                               
this bill regarding changes to Alaska's Water Use Act:                                                                          
                                                                                                                                
First, in  regard to  temporary water  use permits,  the language                                                               
added to Section 43 explicitly  allows repeated issuance of five-                                                               
year long temporary  use permits for projects that may  go on for                                                               
decades while  the DNR commissioner  avoids adjudicating  a water                                                               
reservation application for the same water body.                                                                                
                                                                                                                                
Second, the  term "person"  has been  rightfully returned  to the                                                               
bill's language in  terms of water reservations.  However, he had                                                               
a  problem with  not  allowing  an applicant  to  hold the  water                                                               
reservation but instead mandating  transfer of the reservation to                                                               
a public agency.                                                                                                                
                                                                                                                                
He said  the amended  language is an  exercise in  semantic smoke                                                               
that disenfranchises the applicant  and disincentives anyone from                                                               
applying for  an in-stream flow  reservation in the  first place.                                                               
For instance,  what is his  incentive for expending  time, effort                                                               
and money to  reserve a small amount of water  in the stream that                                                               
flows through  his property for  the purposes of  protecting fish                                                               
passage, spawning, and rearing habitat  in perpetuity if he can't                                                               
hold that water  reservation? Transferring that right  to a state                                                               
agency makes no sense.                                                                                                          
                                                                                                                                
4:27:05 PM                                                                                                                    
MARTHA  ITTA, Vice  President, Nuiqsut  Tribal Council,  Nuiqsut,                                                               
Alaska, opposed HB  77 for a lot of reasons.  They heavily depend                                                               
on their  subsistence food  and silencing their  voices is  a big                                                               
concern,  because they  are heavily  surrounding by  oil and  gas                                                               
development. Experiencing  a well  blow-out was really  bad; they                                                               
had  no help,  whatsoever. So,  it is  very important  that their                                                               
voices be heard.                                                                                                                
                                                                                                                                
Another  reason she  opposed HB  77 was  to protect  her children                                                               
from cancer and from any kind  of illness caused by the chemicals                                                               
they breathe  in. They have  already lost two babies.  Her family                                                               
and community  have the right to  live a healthy life;  this bill                                                               
will take that all away.                                                                                                        
                                                                                                                                
4:29:03 PM                                                                                                                    
SAM KUNKNANA,  Member, Nuiqsut  Tribal Council,  Nuiqsut, Alaska,                                                               
opposed HB 77  for reasons that give certain people  the right to                                                               
change the way they do their traditional way of life.                                                                           
                                                                                                                                
4:30:08 PM                                                                                                                    
ELI  NUKAPIGAK, representing  himself, Nuiqsut,  Alaska, strongly                                                               
opposed HB 77. He had the  same concerns over preservation of the                                                               
subsistence and rural lifestyle.                                                                                                
                                                                                                                                
4:31:36 PM                                                                                                                    
JOEL COOPER, representing himself,  Homer, Alaska, opposed HB 77.                                                               
He  was also  disappointed  in  the amount  of  time allowed  for                                                               
people to  testify, as there  were 18 more  people at the  LIO in                                                               
Homer who  all opposed the  bill. He said it  would substantially                                                               
and adversely impact him, the people  of Alaska, and the fish and                                                               
wildlife  of  Alaska.  It  would   likely  cause  significant  or                                                               
irreparable harm. He didn't support  giving more authority to the                                                               
DNR commissioner for large geographic  projects that could impact                                                               
people  who  would not  know  what  was  going  on. He  was  also                                                               
disappointed in  how the  filing for  in-stream water  rights was                                                               
revamped.                                                                                                                       
                                                                                                                                
4:33:24 PM                                                                                                                    
JACK  HOPKINS, representing  the  Native Village  of Eyak,  Eyak,                                                               
Alaska, opposed  HB 77. He said  Eyak has a tribal  membership of                                                               
536 members and  they oppose HB 77 in any  form. He said allowing                                                               
a  government agency  that much  power is  not a  benefit to  the                                                               
public or the tribes.                                                                                                           
                                                                                                                                
4:34:10 PM                                                                                                                    
SARAH   BARTHOLOW,  representing   herself,  Fairbanks,   Alaska,                                                               
opposed HB 77. She said  she is an environmentally-minded wife of                                                               
a North Slope  oil field worker and HB 77  excludes many Alaskans                                                               
regardless  of how  they choose  to interact  with the  landscape                                                               
from having  any say about it  at all. Regarding her  legal right                                                               
to  challenge  DNR permitting  and  decisions,  she deserves  the                                                               
right  to   argue  against  misalignment  of   priorities  and  a                                                               
dismissal  of regulations  if  DNR  unintentionally or  purposely                                                               
decides not to play by the rules.                                                                                               
                                                                                                                                
In  regards  to general  permitting,  the  ambiguous language  on                                                               
activities  and   end  games  versus  the   narrowing  of  public                                                               
engagement to those adversely affected  elevates the hostility of                                                               
citizens they  will deal  with and  only invites  negativity into                                                               
the  process.  This  is  not  how  she  wants  to  interact  with                                                               
lawmakers and she feels they don't want that either.                                                                            
                                                                                                                                
4:35:55 PM                                                                                                                    
JAMES  SWIFT,  fisherman,  representing himself,  Sitka,  Alaska,                                                               
opposed HB 77. He had always  been involved in politics in Alaska                                                               
and had  always felt he's  had a voice,  but this bill  will take                                                               
his  voice away.  He  had  met too  many  people  who didn't  get                                                               
involved in  politics, because  they felt  so powerless  and this                                                               
doesn't  help. The  reason Alaska  became a  state is  because it                                                               
didn't want large companies and  Outside people dictating what to                                                               
do with our resources.                                                                                                          
                                                                                                                                
4:37:24 PM                                                                                                                    
STEVE SHOONMAKER, representing  himself, Kasilof, Alaska, opposed                                                               
HB 77 as he  has before. He stated: "Listen up  to the tidal wave                                                               
of  opposition to  this bill."  The public  wants to  continue to                                                               
have  a say  in the  interests  of management  of its  collective                                                               
commons;  this  includes  their rights  and  responsibilities  as                                                               
citizens in the stewardship of our waterways and salmon runs.                                                                   
                                                                                                                                
4:38:31 PM                                                                                                                    
JAMES SULLIVAN,  lobbyist, Southeast Alaska  Conservation Council                                                               
(SEACC),  Juneau, Alaska,  opposed  HB 77.  He  thanked them  for                                                               
taking the  time to  reexamine it  saying it is  a poor  piece of                                                               
legislation even  though improvements  have been made  since last                                                               
year.  It still  empowers DNR  to  issue general  permits for  an                                                               
activity  over broad  geographic areas  of state  land; once  the                                                               
general permit is in place, the  public will never know about the                                                               
specific projects  authorized by  it, because  they would  not be                                                               
noticed to  the public. The  power is too broad  considering that                                                               
the threshold  for these general  permits is that they  not cause                                                               
"significant or irreparable harm;" the  bar should be higher here                                                               
in Alaska.                                                                                                                      
                                                                                                                                
Also, Mr.  Sullivan said,  the issue of  "standing" had  not been                                                               
fixed. DNR  says they need  this language to stop  outside groups                                                               
from   stopping  DNR's   permits,  but   the  solution   in  this                                                               
legislation will only  punish Alaskans. The length  that DNR will                                                               
go  to  not acknowledge  the  rights  of individuals  with  water                                                               
reservations is shameful.                                                                                                       
                                                                                                                                
4:40:47 PM                                                                                                                    
MONICA  MARSHALL,  representing  herself  and  100  other  Alaska                                                               
Pacific University (APU) students,  Anchorage, Alaska, opposed HB
77. As an Alaskan,  she believed it's her right to  have a say in                                                               
what happens to its resources. HB  77 removes public notice and a                                                               
comment  period,  leaving  Alaskans out  of  the  decision-making                                                               
process.                                                                                                                        
                                                                                                                                
4:41:51 PM                                                                                                                    
KIMBERLY  WILLIAMS,   Executive  Director,   Nunamta  Aulukestai,                                                               
Dillingham, Alaska, opposed HB 77.  Her organization is comprised                                                               
of 10 village  corporations and 10 tribal  governments in Bristol                                                               
Bay. Her  board opposes HB  77 even  with the changes  brought to                                                               
the committee from DNR.                                                                                                         
                                                                                                                                
She  said  their  organization   gets  criticized  because  their                                                               
funding for  advocacy specifically to  make sure there  is enough                                                               
water  in  their streams  and  rivers  for  fish and  to  support                                                               
wildlife  comes  from  outside  of   Alaska.  "How  is  that  any                                                               
different  that   the  resource   development  side,   which  our                                                               
developers from  outside Alaska  and many  of them  foreign owned                                                               
corporations?" she asked.                                                                                                       
                                                                                                                                
Furthermore,  to  say  the  duty to  protect  fish  and  wildlife                                                               
belongs  to the  ADF&G,  they agree,  however  they believe  that                                                               
since  2003,  the  agency's  voice   has  been  silenced  by  the                                                               
continued  development mandate  coming out  of DNR.  It is  their                                                               
duty to  listen to Alaskans and  to have an open  and transparent                                                               
process  to  ensure  that  all  voices  are  heard  for  resource                                                               
development. HB 77 eliminates this important right.                                                                             
                                                                                                                                
The current version  does nothing to address  standing, which was                                                               
one of the  main concerns with the original bill.  Define what it                                                               
means to  be "substantially and  adversely impacted" in  order to                                                               
appeal  a DNR  decision, as  there  is no  definition, she  said.                                                               
Define "likely  significant or irreparable harm."  Does this mean                                                               
the commissioner  of DNR can issue  a general permit if  they are                                                               
51 percent  certain that  the harm  can be  repaired and  in what                                                               
timeframe? They don't know and that needs to be defined.                                                                        
                                                                                                                                
Finally, DNR heard  the outcry from the tribes  and people across                                                               
Alaska and  added them back  into the water  reservation section,                                                               
but  it  is worse  now.  Section  42  needs major  revisions  and                                                               
section 47 needs  to be deleted given the  latest announcement by                                                               
Nuvista that they are moving away from Chikuminuk.                                                                              
                                                                                                                                
4:44:01 PM                                                                                                                    
DODD SHAY, representing himself,  Wasilla, Alaska, opposed HB 77.                                                               
He said there are about 30  people waiting to testify in Wasilla.                                                               
He said in  1983 he woke up incorporated into  an 850 square-mile                                                               
city  of Afognak  where all  his rights  had been  taken away  by                                                               
development. The  City Council was appointed  by Governor Hammond                                                               
from  a list  submitted by  the major  developer. He  had a  real                                                               
problem  with any  resource being  developed  without the  people                                                               
living  there having  their public  rights. If  all the  land and                                                               
commerce  is  owned  by  multi-national  corporations,  they  are                                                               
privileged and the residents have no voice.                                                                                     
                                                                                                                                
He  felt  that  any  development  should be  mapped  out  with  a                                                               
tremendous amount of  land set aside for  public housing, cities,                                                               
and public development.                                                                                                         
                                                                                                                                
4:46:02 PM                                                                                                                    
MAKO  HAGGERTY, representing  himself,  Homer, Alaska,  adamantly                                                               
opposed to  HB 77 and  its new version. He  said it's just  a bad                                                               
idea and he  wondered where it came  from. No one is  in favor of                                                               
it except for the Donlin people.                                                                                                
                                                                                                                                
4:47:28 PM                                                                                                                    
ALEXIS   COOPER,  Cordova   District  Fishermen   United  (CDFU),                                                               
Cordova, Alaska,  opposed HB 77. She  appreciated the opportunity                                                               
to  testify on  the  new draft,  but the  48  hours provided  for                                                               
public  consideration  was too  little  to  fully comprehend  and                                                               
meaningfully testify on the issue.  Changes had been made, but in                                                               
her  initial  reading  the  primary areas  of  concern  with  the                                                               
original bill  persist: the  lack of  definition for  several key                                                               
terms and  phrases leaves far  too much interpretation  by future                                                               
administrations and commissioners; there  remain gaps between the                                                               
stated  intent and  the actual  language  of this  bill and  they                                                               
remain uncomfortable with the expansion  of the DNR power and the                                                               
erosion of  concerned and  affected Alaskan's  ability to  have a                                                               
voice in  the process. For  these reasons,  they ask to  slow the                                                               
process  and continue  the public  dialogue in  order to  provide                                                               
clarity before it moves further forward.                                                                                        
                                                                                                                                
4:49:04 PM                                                                                                                    
PAMELA MILLER,  representing herself, Fairbanks,  Alaska, opposed                                                               
HB 77. She said there are three  others in the room who wished to                                                               
testify  and one  who  had  to leave  early.  She reviewed  DNR's                                                               
changes to  HB 77 and  found the bill  is still not  balanced and                                                               
remains flawed. This 25 page  bill makes sweeping complex changes                                                               
to  the Alaska  Land Act  and Water  Use Act,  but its  effect is                                                               
simple: it silences  the voices of Alaskans and  their ability to                                                               
speak up  to protect  healthy fish runs,  animals, lands  and the                                                               
waters across the state.                                                                                                        
                                                                                                                                
General permits  allow agencies  to issue one  permit for  a wide                                                               
range of  activities over  broad geographic areas,  as much  as a                                                               
million acres  or more for  over 10 years, potentially  before an                                                               
application  is even  submitted. While  DNR removed  the sweeping                                                               
phrase "notwithstanding  any other  provision of law"  in Section                                                               
1, this  permitting authority still  has a  flaw in that  it lets                                                               
DNR preapprove many kinds of  activities from mining, exploration                                                               
and  mine development  to forest  timber, water  use, and  things                                                               
that  affect animals  and fish,  which could  be done  before the                                                               
public has any  idea exactly when or where the  activity might be                                                               
approved, who is  doing the activity, and so on.  The addition of                                                               
a public  notice provision  for general  permits doesn't  fix the                                                               
problem,  because there  is  no opportunity  for  comment once  a                                                               
specific project application is put in place.                                                                                   
                                                                                                                                
DNR's reliance on  ADF&G to protect fish doesn't  ensure that DNR                                                               
is carrying out its legal  responsibility to conserve the state's                                                               
resources. DNR  protects only a  fraction of the stream  flow for                                                               
fish and other wildlife and navigation reasons.                                                                                 
                                                                                                                                
4:51:27 PM                                                                                                                    
LINDA  BEHNKEN, Alaska  Longline Fishermen's  Association, Sitka,                                                               
Alaska, opposed HB  77. She said they  appreciate the committee's                                                               
work  on HB  77, but  was disappointed  with the  amendments that                                                               
fell far short  of expectations. She thanked  Senator McGuire for                                                               
her comments this week relative to the amendments.                                                                              
                                                                                                                                
She  said this  bill still  does not  define many  terms such  as                                                               
"adversely  affected  by  a DNR  decision,"  which  significantly                                                               
raises  the  bar  for  Alaskans  to  comment  or  object  to  DNR                                                               
permitting   decisions   that   affect  important   habitat   and                                                               
waterways. The bill still vests  DNR with expansive discretionary                                                               
powers to  evaluate water  use requests, both  in terms  of scope                                                               
with  general  permits  and  timing  with  renewal  of  temporary                                                               
permits, and  the elimination of assigned  application processing                                                               
priorities.                                                                                                                     
                                                                                                                                
It  also adds  seven  new  issues that  a  DNR commissioner  must                                                               
consider before  deciding if an  in-stream flow is in  the public                                                               
interest,  all couched  in a  tone suggesting  that water  simply                                                               
left in  a lake or river  is somehow being wasted.  This concerns                                                               
the association and  they hope the committee, too.  She hoped the                                                               
committee  would consider  alternative strategies  for addressing                                                               
the DNR permitting backlog.                                                                                                     
                                                                                                                                
4:53:39 PM                                                                                                                    
CLARK WHITNEY, JR., representing  his children, Soldotna, Alaska,                                                               
opposed HB  77, because  there is no  need to  further streamline                                                               
the permitting process  in Alaska. Over the last 20  years it had                                                               
already been  severely streamlined,  and there  were at  least 25                                                               
other people  in the Kenai LIO  most of whom also  opposed HB 77.                                                               
He said  the rewrite of  the bill was  rushed on Monday  and then                                                               
only 90  minutes were allotted  to hundreds of Alaskans  who care                                                               
deeply  about Alaska  to  testify.  He asked  for  more time  for                                                               
testimony.                                                                                                                      
                                                                                                                                
4:55:01 PM                                                                                                                    
MIKE  SATRE,  President,  Council of  Alaska  Producers,  Juneau,                                                               
Alaska,  supported HB  77 and  the CS.  He said  the Council  had                                                               
supported HB 77  since its introduction and passage  by the other                                                               
body.  However, they  understand  the public  concerns and  don't                                                               
object  to the  current CS.  They believe  this bill  strengthens                                                               
Alaskan's  ability to  participate in  the public  process during                                                               
permitting.  Section 4  encourages involvement  during the  early                                                               
stages  of   the  process  when   input  and  concern   can  most                                                               
practically be addressed.                                                                                                       
                                                                                                                                
He  said  general permits  are  used  throughout the  country  by                                                               
federal  and state  agencies to  regulate common  activities that                                                               
are  deemed   to  have  minimal   impact.  The   general  permits                                                               
envisioned in  section 1  will be subject  to public  review, but                                                               
once complete will  be of great benefit to  individuals and small                                                               
businesses who seek  to do business on state  land by simplifying                                                               
permitting  while   still  maintaining  rigorous   standards  for                                                               
protecting Alaskans.                                                                                                            
                                                                                                                                
Finally, he said, they wholeheartedly  support the state agencies                                                               
holding in-stream  water flow reservations, because  the state is                                                               
constitutionally  mandated to  manage the  water for  the maximum                                                               
benefit  of the  people.  Holding these  reservations allows  the                                                               
state to properly balance demands  for water while ensuring flows                                                               
remain  for the  reserved  purpose, including  fish and  wildlife                                                               
habitat.                                                                                                                        
                                                                                                                                
4:57:16 PM                                                                                                                    
CEEZAR  MARTINSON,   representing  himself,   Anchorage,  Alaska,                                                               
opposed HB 77.  He refers to it as "Let's  Shred Our Constitution                                                               
Act."  It is  completely unnecessary.  The permitting  process in                                                               
the state  already is good,  he said.  This bill houses  power in                                                               
the  executive   branch,  particularly   in  the  hands   of  the                                                               
commissioner of DNR  and takes away the ability of  the public to                                                               
be  engaged and  involved  in resource  development issues.  This                                                               
bill strengthens  the ability of Outside  foreign corporations in                                                               
terms  of making  decisions about  our resources.  We need  to be                                                               
doing  all that  we can  to  strengthen the  public process,  not                                                               
restrict  it. It's  unfortunate  they were  not  given more  time                                                               
today to testify on this legislation given what it does.                                                                        
                                                                                                                                
4:59:15 PM                                                                                                                    
DOROTHY  LARSON, Tribal  Administrator,  Curyung Tribal  Council,                                                               
Dillingham,  Alaska, opposed  HB 77.  She said  she was  born and                                                               
raised  there and  practiced hunting  and fishing  activities her                                                               
entire life and will continue  to work diligently to assure there                                                               
are  protections  for  this  way of  life  into  perpetuity.  The                                                               
Curyung  Tribal Council  and  over 40  Alaska  tribes and  Native                                                               
groups  passed  resolution opposing  HB  77,  and DNR's  proposed                                                               
changes revealed less  than 48 hours ago failed  to address their                                                               
concerns.  DNR  has  again worked  behind  closed  doors  without                                                               
public  consultation  and  process  to  revise  this  dangerously                                                               
flawed bill.                                                                                                                    
                                                                                                                                
5:01:34 PM                                                                                                                    
PENNY WESTING,  representing herself, Palmer, Alaska,  opposed HB
77 in any form. She is a  registered voter and a homeowner with a                                                               
small stream on  her property and a tribal  citizen of Chickaloon                                                               
Native Village.                                                                                                                 
                                                                                                                                
CHAIR  GIESSEL asked  LIO  staff  to count  the  hands of  people                                                               
opposed and  in support of  HB 77 who had  not yet spoken  to the                                                               
committee and send those numbers to her office.                                                                                 
                                                                                                                                
SENATOR FRENCH  said he thought  there were plenty of  people who                                                               
are in  favor of  the bill who  want to have  their chance  to be                                                               
heard, as well.                                                                                                                 
                                                                                                                                
CHAIR GIESSEL  said they would  get their chance and  closed oral                                                               
public testimony. She said anyone  could send public testimony in                                                               
at any  time to  her office  and those  written comments  will be                                                               
gladly taken  and entered  into the record.  She had  printed out                                                               
the ones from today and given them to all committee members.                                                                    
                                                                                                                                
[HB 77 was held in committee.]                                                                                                  

Document Name Date/Time Subjects
HB 77 vs H work draft CS (SRES).pdf SRES 3/12/2014 3:30:00 PM
HB 77
HB 77 Responses from DNR 20140312.pdf SRES 3/12/2014 3:30:00 PM
HB 77
HB 77 Comments and Resolutions from 2013 on Version Y.pdf SRES 3/12/2014 3:30:00 PM
HB 77
HB 77 Opposition Documents with Index 03-12-2014 Group #1.pdf SRES 3/12/2014 3:30:00 PM
HB 77
HB 77 Opposition Documents with Index 03-12-2014 Group #2.pdf SRES 3/12/2014 3:30:00 PM
HB 77
HB 77 Support Documents with Index 03-12-2014.pdf SRES 3/12/2014 3:30:00 PM
HB 77