Legislature(2021 - 2022)BUTROVICH 205

02/14/2022 03:30 PM Senate RESOURCES

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03:34:47 PM Start
03:35:22 PM SB180
04:38:29 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ SB 180 PASSENGER VESSEL ENVIRONMENTAL COMPLIANCE TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
        SB 180-PASSENGER VESSEL ENVIRONMENTAL COMPLIANCE                                                                    
                                                                                                                                
3:35:22 PM                                                                                                                    
CHAIR REVAK  announced the consideration  of SENATE BILL  NO. 180                                                               
"An  Act relating  to commercial  passenger vessel  environmental                                                               
compliance;  relating   to  commercial  passenger   vessel  fees;                                                               
establishing the wastewater  infrastructure grant fund; repealing                                                               
the  authority   for  citizens'  suits  relating   to  commercial                                                               
passenger   vessel   environmental  compliance;   repealing   the                                                               
commercial  passenger vessel  recognition program;  and providing                                                               
for an effective date."                                                                                                         
                                                                                                                                
This was  the first  hearing and  the intention  was to  hear the                                                               
introduction, take testimony,  and hold the bill  in committee to                                                               
allow members time to review it and prepare questions.                                                                          
                                                                                                                                
3:36:15 PM                                                                                                                    
EMMA  POKON,  Deputy  Commissioner, Department  of  Environmental                                                               
Conservation, Anchorage,  Alaska, presented  SB 180 on  behalf of                                                               
the   administration.  She   stated   that   the  Department   of                                                               
Environmental  Conservation (DEC)  participated  in  a couple  of                                                               
hearings  before COVID  disrupted the  legislative session  a few                                                               
years prior. As the original drafter  of an earlier bill, she was                                                               
pleased  to  present   SB  180,  DEC's  vision   for  the  future                                                               
regulatory program of  cruise ships. COVID was  difficult for the                                                               
industry and  port communities. The department  took advantage of                                                               
the downtime  to evaluate  the program,  talk to  communities and                                                               
stakeholders,  perform extra  water quality  research, and  think                                                               
through details.                                                                                                                
                                                                                                                                
MS.  POKON  explained that  DEC  regulates  many industries  that                                                               
discharge  water.  It   regulates  resource  extraction,  seafood                                                               
processors,  municipal wastewater  treatment facilities,  housing                                                               
construction, and  commercial passenger  vessels. DEC  takes this                                                               
work seriously  and expects the  industries it regulates  to make                                                               
protecting the environment a primary goal in their operations.                                                                  
                                                                                                                                
MS.  POKON   said  that  SB   180  proposes  to   amend  statutes                                                               
implemented as  a result of  the 2006 ballot  initiative relating                                                               
to the  cruise ship  industry. Alaskans sent  a clear  message to                                                               
take  the  environmental  initiative  seriously.  The  department                                                               
intends to set up a robust  regulatory program. The aim of SB 180                                                               
is  to  better  protect  water quality,  human  health,  and  the                                                               
environment  and to  do it  in a  way that  optimizes the  use of                                                               
available funds.                                                                                                                
                                                                                                                                
3:39:08 PM                                                                                                                    
RANDY  BATES,   Director,  Division   of  Water,   Department  of                                                               
Environmental   Conservation,   Juneau,   Alaska,   presented   a                                                               
slideshow   titled   SB    180,   Commercial   Passenger   Vessel                                                               
Environmental  Compliance.  He  advanced to  slide  2,  Operating                                                               
Expectations:                                                                                                                   
                                                                                                                                
     • All Industries operating in Alaska are subject to                                                                        
        discharge requirements                                                                                                  
                                                                                                                                
          • Oil and gas                                                                                                         
          • Hard rock and placer mining                                                                                         
          • Seafood processing                                                                                                  
          • Publicly owned wastewater treatment facilities                                                                      
          • Timber operations                                                                                                   
          • Housing and industrial developments                                                                                 
          • Commercial passenger vessels                                                                                        
                                                                                                                                
        • DEC takes protection of Alaska's environment                                                                          
        seriously, and we expect all industries and                                                                             
        operating   facilities   to   engage   and   perform                                                                    
        meaningfully in that protection                                                                                         
                                                                                                                                
MR.  BATES  said  DEC  takes  protecting  human  health  and  the                                                               
environment   seriously.   The   department   expects   industry,                                                               
operator, and  facility compliance  with all rules  and discharge                                                               
requirements.                                                                                                                   
                                                                                                                                
MR.  BATES advanced  to slide  3, 2021  Cruise Ship  Oversight to                                                               
explain  what the  department has  done over  the past  couple of                                                               
years:                                                                                                                          
                                                                                                                                
      • DEC led on-board inspections of small and large                                                                         
        discharging vessels operating in Alaska                                                                                 
                                                                                                                                
He  said  that currently  one  full-time  marine engineer  is  on                                                               
staff. Staff dedicated  to the oversight of  the cruise passenger                                                               
vessel  compliance  program  include  one  environmental  program                                                               
specialist and  two part-time environmental  program specialists.                                                               
The  division intends  to recruit  one marine  engineer, and  one                                                               
program  specialist  within the  next  few  months to  round  out                                                               
staffing for  a good, robust group  to carry out all  the planned                                                               
vessel visits this summer.                                                                                                      
                                                                                                                                
          • Respectful of COVID-19 protocols and safety                                                                         
             measures                                                                                                           
          • Inspections scheduled and unscheduled, in-port                                                                      
             and underway                                                                                                       
                                                                                                                                
     • Vessel sampling results                                                                                                  
                                                                                                                                
    • Port and common corridor transit area water quality                                                                       
        sampling                                                                                                                
                                                                                                                                
3:40:28 PM                                                                                                                    
SENATOR VON IMHOF  asked whether any cruise  ships visited Alaska                                                               
in 2020.                                                                                                                        
                                                                                                                                
MR. BATES answered  that no cruise ships visited  Alaska in 2020.                                                               
In  2021, 21  cruise vessels  visited  the state;  there were  13                                                               
small  vessels  and  eight   large  vessels.  The  distinguishing                                                               
characteristic between large  and small vessels is  the number of                                                               
berths onboard. Small vessels have  between 50 and 249 berths and                                                               
large  vessels  have  250 or  more  berths.  This  distinguishing                                                               
characteristic, based  on passenger capacity, determines  how the                                                               
division manages the vessel.                                                                                                    
                                                                                                                                
SENATOR VON IMHOF recalled that  the division continued to obtain                                                               
ocean water  samples even though passenger  vessels had cancelled                                                               
sailings  to  Alaska  due  to COVID.  She  questioned  why  water                                                               
samples continued to  be collected in the absence  of cruise ship                                                               
activity and what the division discovered from its research.                                                                    
                                                                                                                                
MR. BATES prefaced  his answer, reiterating that  no cruise ships                                                               
sailed to  Alaska in 2020 and  only a limited cruise  ship season                                                               
occurred late  in 2021. The  division continued to  collect water                                                               
samples, because the  absence of cruise ship  activity afforded a                                                               
unique   opportunity  to   establish   baseline   data  in   port                                                               
communities and  common corridor areas that  typically see cruise                                                               
ship  traffic  and  water  discharge.   From  its  research,  the                                                               
division discovered  high bacteria levels  in ports, even  in the                                                               
absence of  cruise ships.  The division  found no  exceedances in                                                               
the common corridor  areas. The division plans  to continue water                                                               
quality sampling  as the cruise  ship industry returns  to upward                                                               
of 60  vessels in 2022. The  division will sample the  same areas                                                               
that were  tested in previous  years to determine  whether either                                                               
large  or small  cruise ships  have affected  water quality,  and                                                               
manage the problem accordingly.                                                                                                 
                                                                                                                                
3:42:59 PM                                                                                                                    
SENATOR VON IMHOF sought confirmation  that high bacterial levels                                                               
detected in water samples collected  in 2020 resulted from normal                                                               
daily discharge from cities and towns in port communities.                                                                      
                                                                                                                                
MR. BATES answered that is correct.                                                                                             
                                                                                                                                
SENATOR VON IMHOF asked if it  was correct to infer that the high                                                               
bacteria  levels  were not  solely  due  to discharge  by  cruise                                                               
ships.                                                                                                                          
                                                                                                                                
MR. BATES replied  the division asked itself  this same question.                                                               
Some  of the  division's work  involves targeting  and evaluating                                                               
exceedances. The  division has DNA markers  to identify bacteria,                                                               
whether  it be  dogs, humans  or  other. He  reiterated that  the                                                               
division  took  advantage  of  the  opportunity  to  bolster  its                                                               
sampling plan  and collected data  while the cruise  vessels were                                                               
gone in 2020. The division learned  that in the absence of cruise                                                               
ships,  the port  communities, particularly  around boat  harbors                                                               
where there  are fishing fleets  or liveaboards, showed  a higher                                                               
incidence of human-traced bacterial concentrations.                                                                             
                                                                                                                                
SENATOR VON IMHOF commented she  would like the findings depicted                                                               
in a bar  graph, comparing data with and without  the presence of                                                               
cruise ships,  the year, and  the collection site. She  asked how                                                               
many years the division had been collecting water samples.                                                                      
                                                                                                                                
MR.  BATES  answered  that  an   improved  sampling  program  was                                                               
developed  and  implemented  when   the  department  received  an                                                               
infusion of  funding in  2020. The  pre-2020 sampling  program is                                                               
not necessarily  comparable to the current  program; however, the                                                               
division does  have port sampling  protocols dating  back several                                                               
years prior  to 2020.  This data  will be used  to produce  a bar                                                               
graph illustrating the findings.                                                                                                
                                                                                                                                
3:45:41 PM                                                                                                                    
SENATOR REVAK requested that the data be sent to the committee.                                                                 
                                                                                                                                
MS.  POKON commented  that the  division sees  seasonal discharge                                                               
variations  with heavier  use of  town and  community facilities.                                                               
The  increased  burden of  passenger  foot  traffic on  community                                                               
wastewater treatment  facilities is  a factor that  affects water                                                               
quality not  necessarily just discharge  from the  cruise vessels                                                               
themselves.                                                                                                                     
                                                                                                                                
CHAIR REVAK commented that he looked forward to seeing the data.                                                                
                                                                                                                                
3:46:30 PM                                                                                                                    
MR.  BATES  provided  information  about  the  department's  2021                                                               
oversight. He reiterated that the  equivalent of three staff, one                                                               
marine engineer  and two program  managers, implemented  DEC lead                                                               
inspections  on  13  small  vessels  and  8  large  vessels.  The                                                               
inspections were a  first and the division was  excited about the                                                               
opportunity  conduct them.  The  division was  pleased to  report                                                               
large vessels and  the Alaska Marine Highway  System ferries were                                                               
given a  clean bill  of health  and did  not incur  any discharge                                                               
violations this  past season. However,  the division  found ample                                                               
opportunity to  critique the  environmental performance  of small                                                               
vessels.  The division  worked with  small  vessel operators  and                                                               
owners,  articulating  the   state's  expectations  on  discharge                                                               
numbers,  environmental protocols,  and  practices. The  division                                                               
conducted follow-up meetings throughout  the summer. Small vessel                                                               
operators  reviewed  their  systems  and  made  improvements  and                                                               
corrections. The division has  conveyed the state's environmental                                                               
performance expectations  to small vessels for  the upcoming 2022                                                               
season.                                                                                                                         
                                                                                                                                
3:48:02 PM                                                                                                                    
MR.  BATES said  the hottest  news for  2022 is  that twenty-four                                                               
large  vessels are  registered  to cruise  the  state of  Alaska.                                                               
Right  now,  large and  small  fleets  are  prepping to  come  to                                                               
Alaska, figuring  out their registration protocols  and packages.                                                               
The state  is expecting  packed ships.  The department  will know                                                               
more  March 1  which is  the  registration  system deadline.  The                                                               
department will  continue its preseason  work through  the winter                                                               
and spring.                                                                                                                     
                                                                                                                                
MR. BATES advanced to slide 4, 2022 Season and Beyond:                                                                          
                                                                                                                                
     • DEC marine engineers and inspectors will                                                                                 
                                                                                                                                
          • perform initial and annual inspections on ships                                                                     
             operating in Alaska as early in the season as                                                                      
             possible                                                                                                           
                                                                                                                                
MR.  BATES  said that  the  division  anticipates getting  aboard                                                               
vessels  operating in  Alaska the  first couple  of weeks  of the                                                               
season.                                                                                                                         
                                                                                                                                
          • will perform both scheduled and unscheduled                                                                         
             inspections in-port and while vessel is                                                                            
             underway                                                                                                           
                                                                                                                                
MR. BATES said  that the majority of inspections will  be done in                                                               
port.  The  division  will  determine  whether  follow-up  vessel                                                               
visits are necessary and schedule  them accordingly. Some follow-                                                               
up visits will  be conducted while the vessel  is underway, going                                                               
port  to  port.  Division  staff will  be  onboard  watching  how                                                               
discharge  activities  occur,  typically  waste  water  discharge                                                               
activities are done in the evening.                                                                                             
                                                                                                                                
    • Small vessels will be subject to the same inspection                                                                      
        requirements                                                                                                            
                                                                                                                                
MR.  BATES said  that small  vessels  receive the  same level  of                                                               
inspection as  large vessels. This  has not necessarily  been the                                                               
case in the past.                                                                                                               
                                                                                                                                
3:49:59 PM                                                                                                                    
MR. BATES advanced to slide 5, Existing Challenges:                                                                             
                                                                                                                                
    • Commercial Passenger Vessel Environmental Compliance                                                                      
        Program statutes were passed in 2001                                                                                    
                                                                                                                                
MR.  BATES gave  a brief  overview of  the history  of commercial                                                               
passenger vessel (CPV) statutes. DEC  had the ability to regulate                                                               
and  oversee  CPVs  since the  department's  inception  in  1971.                                                               
Specific CPV  statutes were passed  in 2001 and amended  in 2003.                                                               
Statutes were further amended in  2006 with the passage of Ballot                                                               
Measure 2  and the  implementation of  the Ocean  Ranger Program.                                                               
Clearly,  the message  was that  Alaskans wanted  DEC to  improve                                                               
environmental compliance oversight for CPVs.                                                                                    
                                                                                                                                
MR. BATES reported that DEC  has improved its oversight over time                                                               
through  ongoing  compliance   evaluations.  The  department  has                                                               
gained  a significant  amount of  experience and  knowledge about                                                               
what  works,  what  is  effective,  whether  there  are  gaps  in                                                               
coverage, and what  could be improved in  the most cost-effective                                                               
manner.                                                                                                                         
                                                                                                                                
        • Statutes require outdated, inefficient reporting                                                                      
          methods                                                                                                               
                                                                                                                                
        • Statute-based standards are difficult to change                                                                       
          when waste treatment and monitoring technologies                                                                      
          improve                                                                                                               
                                                                                                                                
MR.  BATES laid  out  some of  the  existing challenges,  stating                                                               
current  statutes collectively  contain outdated  information and                                                               
inefficient  reporting methods.  CPV  statutes  are difficult  to                                                               
adjust and  adapt to  treatment and  monitoring programs  as they                                                               
are improved.                                                                                                                   
                                                                                                                                
    • 2006 ballot initiative put ocean ranger observers on                                                                      
        large vessels                                                                                                           
                                                                                                                                
        • DEC staff spent significant time going through                                                                        
          ocean ranger reports                                                                                                  
                                                                                                                                
        • Ocean ranger observations produced 6 notices of                                                                       
          violation over 12 years                                                                                               
                                                                                                                                
        • Small vessels did not get the same attention as                                                                       
          large vessels                                                                                                         
                                                                                                                                
MR. BATES  said that  Ocean Rangers  were observers  and provided                                                               
reports.  DEC staff  spent quite  a bit  of time  reviewing those                                                               
reports in office, not on the ships.                                                                                            
                                                                                                                                
      • Water quality in port communities is impacted by                                                                        
        cruise passengers using onshore facilities                                                                              
                                                                                                                                
MR. BATES said  that for several years fleet  and passenger loads                                                               
have increased in  Alaska and DEC hears numbers are  on the rise.                                                               
A  majority  of passengers  and  crew  disembark in  port,  visit                                                               
shops,  shoreside attractions  and  create  an economy.  However,                                                               
they also  leave waste that  communities must collect  and treat.                                                               
Port  communities   are  impacted  and  could   likely  use  some                                                               
assistance to upgrade treatment  facilities to improve wastewater                                                               
discharge, and most importantly water quality effluent.                                                                         
                                                                                                                                
3:52:38 PM                                                                                                                    
SENATOR KAWASAKI  asked whether  significant or  modified changes                                                               
have  occurred since  the 2006  ballot initiative  passed on  the                                                               
commercial passenger environmental compliance program.                                                                          
                                                                                                                                
MR.  BATES  answered  that,  to  the best  of  his  knowledge,  a                                                               
statutory revision had not occurred since 2006.                                                                                 
                                                                                                                                
SENATOR KAWASAKI asked whether  any noteworthy regulatory changes                                                               
had been made.                                                                                                                  
                                                                                                                                
MR.  BATES answered  that  he  was not  aware  of any  regulatory                                                               
changes,  particularly  substantive  changes that  addressed  CPV                                                               
groups.                                                                                                                         
                                                                                                                                
3:53:26 PM                                                                                                                    
SENATOR  KIEHL  recalled   that  work  had  been   done  on  pipe                                                               
standards, especially as they pertained  to metals, and the level                                                               
of plan small vessels were required  to submit. He made a special                                                               
request of  the director to  look back  a little bit  and provide                                                               
the committee with additional research.                                                                                         
                                                                                                                                
CHAIR  REVAK  asked whether  clarification  on  the question  was                                                               
needed.                                                                                                                         
                                                                                                                                
MR. BATES  understood the request  to be specific  to regulations                                                               
pertaining to CPVs.  The state has a chapter  of regulations that                                                               
apply  to CPVs.  The state  also  has chapters  of water  quality                                                               
regulations that  all industries  are subject  to, whether  it is                                                               
the cruise  industry, the  mining industry,  or a  publicly owned                                                               
treatment facility.                                                                                                             
                                                                                                                                
3:54:48 PM                                                                                                                    
SENATOR KAWASAKI recalled that effluent  quality changes came out                                                               
in 2008/2009, so he would like to have both.                                                                                    
                                                                                                                                
MR. BATES answered that he would provide that analysis.                                                                         
                                                                                                                                
3:55:16 PM                                                                                                                    
MR. BATES moved on to slide 6, Proposed Changes.                                                                                
                                                                                                                                
        • Move detailed statutes to regulation                                                                                  
                                                                                                                                
MR. BATES said this bill  simplifies statutory directives, so the                                                               
department has  greater flexibility to set  specific standards by                                                               
regulation.  DEC plans  to lift  a  number of  sections that  are                                                               
currently   embedded  in   the  statutes   and  move   them  into                                                               
regulation. This  will give the  department more  flexibility and                                                               
adaptability  to  manage  an industry  where  technology  changes                                                               
quicker  than statutory  programs.  It will  also strengthen  and                                                               
clarify DEC's authority to board and inspect CPVs in Alaska.                                                                    
                                                                                                                                
        • Clarify DEC authority to board vessels while in                                                                       
          port and underway                                                                                                     
                                                                                                                                
        • Allow DEC to set format requirements for reports                                                                      
          from vessels                                                                                                          
                                                                                                                                
MR.  BATES said  this bill  will  capture some  of the  statutory                                                               
cleanups  and  clarifying  edits   DEC  learned  were  necessary,                                                               
through   administering  the   compliance   program,  to   ensure                                                               
compliance with environmental laws.                                                                                             
                                                                                                                                
        • Simplify fee structure                                                                                                
                                                                                                                                
MR. BATES said that one major  component this bill proposes is to                                                               
replace the complex matrix of multiple  fees with a single $5 per                                                               
lower berth fee for each voyage for all CPVs, small or large.                                                                   
                                                                                                                                
        • Incorporate technology                                                                                                
                                                                                                                                
MR. BATES said that this  bill proposes to incorporate technology                                                               
through  the  development   of  electronic,  real-time  discharge                                                               
monitoring,  and timely,  formatted reporting  will allow  DEC to                                                               
spot and respond to areas of concern more quickly.                                                                              
                                                                                                                                
        • Repeal ocean ranger observers                                                                                         
                                                                                                                                
        • Establish grant    program   to    assist   port                                                                      
          municipalities to upgrade wastewater treatment                                                                        
          facilities serving vessel passengers                                                                                  
                                                                                                                                
MR.  BATES said  that this  bill  establishes a  program to  help                                                               
finance   wastewater   infrastructure   improvements   for   port                                                               
communities serving CPVs and their passengers.                                                                                  
                                                                                                                                
MR.  BATES said  SB 180  has  a zero  fiscal note  with a  slight                                                               
revenue increase  associated with  the application of  berth fees                                                               
specific to the small vessels.  The slight revenue increase would                                                               
be  about $100,000,  $80,000 of  which comes  from small  CPVs. A                                                               
delayed effective  date of  2024 was built  in, so  small vessels                                                               
could minimize the financial impact of the change.                                                                              
                                                                                                                                
3:58:12 PM                                                                                                                    
MR. BATES advanced to slide 7, What Will Not Change:                                                                            
                                                                                                                                
    • DEC's authority to conduct inspections at reasonable                                                                      
        times and ability to get a warrant if necessary                                                                         
                                                                                                                                
MR.  BATES  stated  that  DEC  absolutely  retains  authority  to                                                               
conduct onboard inspections.                                                                                                    
                                                                                                                                
    • DEC's vessel registration system, which is required                                                                       
        for all passenger vessels with over 50 overnight                                                                        
        berths                                                                                                                  
                                                                                                                                
MR.  BATES said  that the  registration system  used by  vessels,                                                               
which  notifies the  state of  intent  to travel  to Alaska,  the                                                               
number of voyages planned, and  the number of passengers onboard,                                                               
will not change.                                                                                                                
                                                                                                                                
     • Air emission monitoring program                                                                                          
                                                                                                                                
     • The large cruise ship wastewater discharge general                                                                       
        permit                                                                                                                  
                                                                                                                                
MR. BATES stated the large CPV  general permit is still in effect                                                               
and vessels  are required to  obtain this permit to  discharge in                                                               
Alaska waters.                                                                                                                  
                                                                                                                                
     • Separate discharge requirements for small vessels                                                                        
                                                                                                                                
     • Sampling and reporting requirements                                                                                      
                                                                                                                                
MR. BATES said that sampling  and reporting requirements will not                                                               
change. Vessels  are required to  collect samples within  10 days                                                               
of arrival  in Alaska. DEC looks  at the samples and  reviews the                                                               
results with vessels.                                                                                                           
                                                                                                                                
     • What may not be discharged to Alaska's environment                                                                       
                                                                                                                                
MR. BATES  said that vessels cannot  discharge wastewater without                                                               
a  permit  and   without  treatment;  what  can   and  cannot  be                                                               
discharged will not change.                                                                                                     
                                                                                                                                
     • Recognition program                                                                                                      
                                                                                                                                
MR. BATES said that the  recognition program currently in statute                                                               
remains in  effect, so outstanding companies  and individuals may                                                               
be   honored   and   acknowledged  by   the   commissioner.   The                                                               
commissioner acknowledged  Princess Cruises earlier this  year on                                                               
      th                                                                                                                        
the 20  anniversary  of shore power. In conjunction with the City                                                               
and  Borough of  Juneau, Princess  Cruises developed  shore power                                                               
hookup  which reduced  vessel dependency  on generators,  reduced                                                               
air emissions and was overall a very good product.                                                                              
                                                                                                                                
4:00:18 PM                                                                                                                    
SENATOR MICCICHE joined the meeting.                                                                                            
                                                                                                                                
4:00:28 PM                                                                                                                    
SENATOR KAWASAKI directed  attention to Section 3  where the word                                                               
"wastewater"  is substituted  for  "sewage,  graywater, or  other                                                               
wastewaters." He asked whether there  is a difference between the                                                               
terms and if "wastewater" encompasses all discharged water.                                                                     
                                                                                                                                
MR.  BATES   answered  yes,  this  bill   changes  and  clarifies                                                               
terminology. It proposes to use  the term "wastewater  throughout                                                               
existing  statute  to define  all  the  effluents for  which  the                                                               
department is  concerned. Wastewater  would be  the term  used to                                                               
define graywater, blackwater and other wastewater.                                                                              
                                                                                                                                
4:01:31 PM                                                                                                                    
MS. POKON added that Section  16 adds a definition for wastewater                                                               
that captures graywater and sewage,  so terminology is consistent                                                               
throughout the section.                                                                                                         
                                                                                                                                
4:01:50 PM                                                                                                                    
CHAIR  REVAK asked  whether  the Ocean  Ranger  Program has  been                                                               
successful  and to  elaborate on  why or  why not.  He asked  the                                                               
department's position on the program.                                                                                           
                                                                                                                                
MR. BATES answered  the Ocean Ranger Program was put  in place by                                                               
a ballot  initiative in  2006. The  vote indicated  that Alaskans                                                               
wanted  greater  ardor  in  the  examination  and  management  of                                                               
effluent  discharged from  ships. The  Ocean Ranger  Program went                                                               
into  effect in  2006 and  included  only large  CPVs, not  small                                                               
CPVs. Ocean  rangers observed activities on  vessels and followed                                                               
a chart  of duties  on a  daily basis. The  state paid  for berth                                                               
space  on vessels  for ocean  ranger lodging  which totaled  $3.5                                                               
million  per   year.  Ocean   rangers  provided   oversight,  not                                                               
inspection  or  enforcement.  Ocean  rangers  provided  DEC  with                                                               
reports  of what  was observed  onboard. The  department reviewed                                                               
the reports  and acted  immediately to  enforce laws  if anything                                                               
was  of concern.  Ocean rangers  did  not have  the authority  to                                                               
enforce laws, but they served  an important service at a critical                                                               
time.  DEC  evaluated the  $3.5  million  per year  Ocean  Ranger                                                               
Program.  Over the  past  12  years, the  cost  totaled over  $40                                                               
million. The department considered  whether the program continued                                                               
to provide  a meaningful, cost-effective  service that  could not                                                               
be  otherwise duplicated.  The  department  determined the  Ocean                                                               
Ranger Program served a purpose;  however, it was better that the                                                               
department move on from this program.                                                                                           
                                                                                                                                
MR.  BATES stated  at this  point, the  department has  a robust,                                                               
rigorous structure  in place consisting of  inspectors and marine                                                               
engineers  that  implement  a   solid  program  without  gaps  in                                                               
authority,  enforcement,  or  coverage. The  department  believes                                                               
this is  the most  effective way to  manage the  industry. Though                                                               
not  directly  equivalent because  of  fund  source changes,  DEC                                                               
believes  that communities  could  make better  use  of the  $3.5                                                               
million treating and improving community wastewater discharges.                                                                 
                                                                                                                                
4:05:09 PM                                                                                                                    
MR. BATES advanced to slide 8, Current Fee Structure:                                                                           
                                                                                                                                
    CPVEC Fee         Applies to        Fee                                                                                     
                      Large and small   $0.70 - $1.75                                                                           
                      Vessels           scaled per lower                                                                        
                                        berth fee based                                                                         
                                        on range of berths                                                                      
                                                                                                                                
    Ocean ranger Fee  Applies to        Fee                                                                                     
                      Large vessels     $4 per berth                                                                            
                                                                                                                                
    • Commercial Passenger Vessel Environmental Compliance                                                                      
     Fee (CPVEC) established in 2001 to fund DEC oversight                                                                      
     of cruise ships                                                                                                            
                                                                                                                                
    • Ocean ranger fees were created in 2006 to fund the                                                                        
     onboard observer program                                                                                                   
                                                                                                                                
MR. BATES stated  that slide 8 offers an idea  of what the subset                                                               
of the matrix looks like in  statute. A couple of different funds                                                               
are associated  with the  CPVEC fee established  in 2001  to fund                                                               
oversight. The Ocean  Ranger Program fee was  established in 2006                                                               
to fund the onboard observer  program. Large vessels were subject                                                               
to the ocean  ranger fee while all vessels were  subject to CPVEC                                                               
fees. DEC  proposes to  simplify the  fee structure  basically by                                                               
combining both the CPVEC and ocean ranger fees.                                                                                 
                                                                                                                                
4:06:06 PM                                                                                                                    
MR. BATES advanced to slide  9 to explain the simplified Proposed                                                               
Fee Structure:                                                                                                                  
                                                                                                                                
     • All vessels over 50 berths pay $5 per lower berth                                                                        
                                                                                                                                
MR. BATES  said that Section  9 of  SB 180 contains  the proposed                                                               
simplified fee structure and he  reiterated that all vessels will                                                               
pay the $5 fee.                                                                                                                 
                                                                                                                                
        • Large vessels pay roughly the same                                                                                    
                                                                                                                                
MR.  BATES  said that  large  vessels  currently pay  about  $6.8                                                               
million  in berth  fees. The  DEC fiscal  note is  zero, although                                                               
there will be a slight revenue increase of about $17,000.                                                                       
                                                                                                                                
        • Small vessels will pay increased fees in 2024                                                                         
                                                                                                                                
MR. BATES said  that the entire fleet of  small vessels currently                                                               
pay $18,000 per year. SB 180 will increase that by $80,000.                                                                     
                                                                                                                                
        • The fee would be reduced by $1 per lower berth                                                                        
          for any ship that maintains a DEC-approved                                                                            
          electronic wastewater monitoring system                                                                               
                                                                                                                                
MR. BATES stated that SB 180  offers a $1 berth fee reduction for                                                               
ships that maintain an electronic monitoring program that:                                                                      
- the department can work with, and                                                                                             
- has a clear connection to port discharges.                                                                                    
So, rather than $5, the vessel could pay a $4 berth fee.                                                                        
                                                                                                                                
MR.  BATES  indicated that  during  talks  with the  industry,  a                                                               
rebate  or true-up  at  the end  of the  year  was requested  for                                                               
unused  berths due  to  CDC  capacity restrictions,  particularly                                                               
related to  COVID. Suppose 1,000 berths  are paid for on  March 1                                                               
and later the  CDC restricts sailings to half  capacity. It would                                                               
not  be appropriate  to  hold the  industry  responsible for  the                                                               
unused berths.  This bill would allow  true-up at the end  of the                                                               
year, permitting the state to issue rebates accordingly.                                                                        
                                                                                                                                
4:07:47 PM                                                                                                                    
SENATOR KIEHL expressed his belief  that this was a per passenger                                                               
fee in the first place; he assumed there was a true-up.                                                                         
                                                                                                                                
SENATOR KIEHL stated that the  industry presumably has a sense of                                                               
the cost  for an electronic  monitoring system. He  asked whether                                                               
the  department has  had conversations  with  the industry  about                                                               
whether the  $1 rebate is  sufficient to install and  operate the                                                               
envisioned valve  monitoring system that would  make this program                                                               
work well.                                                                                                                      
                                                                                                                                
MR.  BATES  answered   that  he  has  not   had  that  particular                                                               
conversation with  the industry  in the  last year.  He expressed                                                               
his belief that the deputy  commissioner and the commissioner had                                                               
the  conversation  with  the  industry  previously.  This  is  an                                                               
incentive. It is not a solve-all.  It is a program the department                                                               
would love the industry to get  behind; it would be driven by the                                                               
industry. DEC can  take the data, but it  is critically important                                                               
the industry  is willing to provide  and structure the data  in a                                                               
format  the department  can use.  He expressed  his understanding                                                               
that it  would take a little  bit of effort and  money to install                                                               
open/closed  electronic  monitoring  on a  variety  of  different                                                               
ports, valves,  and openings.  He did not  know exactly  how much                                                               
effort and money  it would take to accomplish the  task. $1 is 20                                                               
percent of the berth fee which  could total $1.5 million per year                                                               
for  the  large  fleet.  The  offset  may  be  enough  to  be  an                                                               
incentive.                                                                                                                      
                                                                                                                                
4:10:03 PM                                                                                                                    
MS. POKON  expressed her  understanding that  the state  does not                                                               
have  the authority  under federal  law to  require this  type of                                                               
electronic  monitoring. She  clarified  that the  state wants  to                                                               
retain  and  fund  an  inspection program.  This  bill  does  not                                                               
propose  to waive  the  fee  entirely in  hopes  of offering  the                                                               
industry financial resources  for electronic monitoring. However,                                                               
given that  the state lacks  the authority to  require electronic                                                               
monitoring, offering an incentive is the next best thing.                                                                       
                                                                                                                                
MR. BATES added  that DEC currently gathers  information from the                                                               
vessel latitude/longitude  time-date stamps, where the  vessel is                                                               
and where  the vessel has been.  The CPV is obligated  to provide                                                               
that information;  it is accessible through  a server. Electronic                                                               
monitoring would  be a  not  so simple   add-on to this.  DEC met                                                               
with  the  Marine  Exchange  recently  and they  have  a  lot  of                                                               
technology. The department  has a bit of information  that can be                                                               
recreated,  but DEC  needs  to have  access  to information.  For                                                               
instance, after the pipe opens:                                                                                                 
- what was discharged;                                                                                                          
- what was the flow rate; and                                                                                                   
- which pipe was used for the discharge.                                                                                        
The  department  needs  a  lot  of additional  data,  this  is  a                                                               
science-based need, and the data matters.                                                                                       
                                                                                                                                
4:11:39 PM                                                                                                                    
SENATOR KIEHL  said that he did  not want to give  the impression                                                               
that  he  thought  that  this  sort of  automated  system  was  a                                                               
replacement  for inspections.  He  agreed with  the director  and                                                               
reiterated that it is necessary to know where the valve goes.                                                                   
                                                                                                                                
SENATOR KIEHL  said that if the  incentive is so small  as to not                                                               
make  a  difference,  the  state  will not  get  the  benefit  of                                                               
automation.  On the  other hand,  if it  is much  bigger than  it                                                               
needs to be, the state ends  up subsidizing. He asked how this is                                                               
pegged to  give the state  one piece  of a much  broader, overall                                                               
monitoring program, but that piece is on 24/7.                                                                                  
                                                                                                                                
MR. BATES replied that he understood.                                                                                           
                                                                                                                                
4:12:37 PM                                                                                                                    
CHAIR REVAK asked Senator Kiehl  whether he wanted follow-up data                                                               
or whether that was a comment.                                                                                                  
                                                                                                                                
SENATOR KIEHL  replied it  was a  comment. He  would be  happy to                                                               
work with the  department on the scope and scale  as well as talk                                                               
to the industry about incentives. If  it costs $37,000 a ship per                                                               
year  and the  system costs  $50,000 to  install, the  cost is  a                                                               
little rich.  If it  costs $1  million to install,  it is  not an                                                               
incentive at all.                                                                                                               
                                                                                                                                
                                                                                                                                
4:13:09 PM                                                                                                                    
SENATOR MICCICHE  surmised that the instrumentation  and the data                                                               
points  of large  and  small  vessels may  vary  little, but  the                                                               
incremental costs will be much  more for smaller vessels. He said                                                               
that a  fully automated  monitoring system  was far  superior and                                                               
his  belief is  that in  the long-term,  it would  save on  labor                                                               
costs  for  inspections  and  other  similar  matters.  He  asked                                                               
whether vessel operators had offered feedback on this issue.                                                                    
                                                                                                                                
4:14:06 PM                                                                                                                    
MR. BATES replied that the  incentive provision had been included                                                               
in  the bill  for a  couple of  years but  there was  very little                                                               
discussion on  whether the incentive  was enough or too  much. He                                                               
offered to contact the industry and follow-up.                                                                                  
                                                                                                                                
MR.  BATES informed  the committee  that  large vessel  treatment                                                               
facilities  are vastly  different  from small  vessels. On  small                                                               
vessels,  marine sanitation  devices are  operated in  accordance                                                               
with how the device was  manufactured. The devices treat effluent                                                               
to about  200 fecal colony  forming units per 100  milliliters of                                                               
water. That  is the device's  expected performance, and  the best                                                               
smaller vessels can  do. Tinier CPVs with  smaller marine devices                                                               
could probably provide information by writing it down, like:                                                                    
- when the pipes opened;                                                                                                        
- the duration the pipes were opened; and                                                                                       
- the latitude  longitude coordinate point of discharge.                                                                        
                                                                                                                                
MR. BATES  emphasized that this  bill proposes a  more meaningful                                                               
porting-in of  electronic data.  This will not  be an  easy setup                                                               
for the  department let alone  for vessels, especially  for large                                                               
vessels  which  may  require moving  apparatus  around  and  have                                                               
multiple ballast tanks, holding tanks  and treatment tanks. It is                                                               
critically  important to  the department  that the  pipes can  be                                                               
mapped and monitored  for opening/closing as well  as flow rates.                                                               
He  supports seeing  the  system come  online  though expects  an                                                               
incrementally challenging process. He  commented that he had just                                                               
been advised of  some of the challenges and  costs. He reiterated                                                               
that it  would be wonderful if  the industry could be  present to                                                               
comment.                                                                                                                        
                                                                                                                                
4:16:33 PM                                                                                                                    
SENATOR MICCICHE reiterated that the  cost of monetizing a system                                                               
serving  over 5,000  passengers will  be significantly  different                                                               
than a  system serving over a  couple hundred. It may  be worth a                                                               
discussion  on  whether  the  state may  need  to  offer  greater                                                               
incentives to  smaller vessels than  larger vessels.  He reviewed                                                               
the bill and was largely  supportive. He wants more details about                                                               
cost  structure and  industry feedback  regarding a  viable price                                                               
point.                                                                                                                          
                                                                                                                                
4:17:39 PM                                                                                                                    
MR. BATES  advanced to slide  10, Local Water  Quality Disparity,                                                               
which depicted one graph with  40 units (dots) in 100 milliliters                                                               
(ml) of  fluid and  another graph with  1.5 million  units (dots)                                                               
also in  100 ml of fluid.  The 40-dot fluid was  relatively light                                                               
and clear while the 1.5-million-dot  fluid was so thick with dots                                                               
that the fluid appeared dark and murky.                                                                                         
                                                                                                                                
       • Large cruise ship permit allows up to 40 fecal                                                                         
        colony forming units per 100 ml.                                                                                        
                                                                                                                                
MR. BATES  said that federal  and state law require  large cruise                                                               
ships to  treat their wastewater  through an  advanced wastewater                                                               
system to  a water discharge  quality of 40 fecal  colony forming                                                               
units per  100 ml.  Small vessels  treat, at  best, to  200 fecal                                                               
units.                                                                                                                          
                                                                                                                                
    • Local wastewater treatment facility permit allows up                                                                      
        to 1.5 million fecal colony forming units per 100                                                                       
        ml.                                                                                                                     
                                                                                                                                
MR.  BATES said  the  Environmental Protection  Agency (EPA)  has                                                               
authorized  communities  to discharge  at  the  higher level.  He                                                               
recognized  that water  quality has  its challenges.  A disparity                                                               
exists  between  the  state's  expectation  of  the  industry  it                                                               
manages  and the  expectation for  its  publicly owned  treatment                                                               
facilities.                                                                                                                     
                                                                                                                                
      • Many of the over one million yearly cruise ship                                                                         
        passengers will use onshore restrooms when visiting                                                                     
        Alaska ports.                                                                                                           
                                                                                                                                
MR.  BATES  reiterated that  in  the  absence  of CPVs,  DEC  had                                                               
observed  high concentrations  of  bacteria, particularly  human-                                                               
based  material  at  several ports.  DEC  recognized  that  local                                                               
treatment facility  exceedances directly correlate  with seasonal                                                               
visitor influx and the high traffic of CPV passengers.                                                                          
                                                                                                                                
4:19:48 PM                                                                                                                    
MR.  BATES  advanced   to  slide  11,  Local   Water  Quality  to                                                               
illustrate  the  significant  difference between  the  levels  of                                                               
fecal colony forming units discharged  in port communities verses                                                               
the maximum allowed the industry:                                                                                               
                                                                                                                                
                              Fecal Colony Forming Unit                                                                       
    Community 301(h) Waiver? Effluent Limit(s) per #/100 ml                                                             
                                                                                                                                
    Juneau     N              Juneau Douglas:                                                                                 
                              Average monthly: 200                                                                              
                              Average weekly: 400                                                                               
                              Daily Maximum: 800                                                                                
                              Mendenhall (varies seasonally):                                                                 
                              Average monthly: 112-200                                                                          
                              Average weekly: 168-400                                                                           
                              Daily Maximum: 224-800                                                                            
                                                                                                                                
                                                                                                                                
    City of    Y              Ward Cove:                                                                                      
    Ketchikan (Charcoal Point) Average monthly: 200                                                                             
                              Average weekly: 400                                                                               
                              Daily Maximum: 800                                                                                
                              Charcoal Point:                                                                                 
                              Average monthly: 1,000,000                                                                        
                              Daily Maximum: 1,250,000                                                                          
                                                                                                                                
MR. BATES stated  that Juneau and Ward Cove discharge  at a level                                                               
of 800 fecal  colony forming units daily compared  to the 40-unit                                                               
level allowed the industry.                                                                                                     
                                                                                                                                
    Sitka      Y              Average monthly: 1,000,000                                                                        
                              Maximum Daily: 1,500,000                                                                          
    Skagway    Y              Average monthly: 1,000,000                                                                        
                              Maximum Daily: 1,500,000                                                                          
                                                                                                                                
MR.  BATES  explained  that under  a  "301(h)  waiver  facility,"                                                               
Charcoal Point  and Ketchikan discharge at  1,250,000 fecal units                                                               
daily.  Sitka and  Skagway are  both authorized  to discharge  at                                                               
1,500,000 fecal units per day.                                                                                                  
                                                                                                                                
4:20:10 PM                                                                                                                    
SENATOR VON  IMHOF asked how  the cruise ships manage  to offload                                                               
at a  level of  40 colony  forming units as  compared to  the 1.5                                                               
million discharged in local ports.                                                                                              
                                                                                                                                
4:20:48 PM                                                                                                                    
MR.  BATES   answered  that  cruise   ships  have   a  wastewater                                                               
offloading  process; however,  treatment is  largely accomplished                                                               
onboard. The primary  level of treatment is  the simplest method,                                                               
disinfecting with  a chlorine compound or  ultraviolet light. The                                                               
primary  level   of  treatment  significantly   reduces  bacteria                                                               
levels.  The   secondary  level   of  treatment  cleans   up  and                                                               
eliminates bacteria to  about the 200 fecal  coliform units; this                                                               
baseline is the  standard used in Alaska.  Treatment systems must                                                               
produce  at the  secondary  level with  the  exception of  301(h)                                                               
waiver  facilities.  Large  vessels  have  a  tertiary  level  of                                                               
treatment,  an advanced  wastewater treatment  system that  kills                                                               
additional fecal coliform bacteria  using methods like filtration                                                               
and additional ultraviolet radiation.                                                                                           
                                                                                                                                
MR.  BATES  stated that  many  facilities  have a  "mixing  zone"                                                               
associated with some discharges  that span a hundred-mile radius.                                                               
He explained that  it is viably possible to  reduce the discharge                                                               
radius  down  to 100  yards  using  disinfection treatments  like                                                               
ultraviolet  light  or  a simple  treatment  of  chlorine.  These                                                               
treatments are massively effective.                                                                                             
                                                                                                                                
4:22:38 PM                                                                                                                    
MR. BATES  advanced to  slide 12,  Shore side  Facility Upgrades,                                                               
stating Section 13 was a critical piece of the bill:                                                                            
                                                                                                                                
        • A portion of the berth fees will be used to                                                                           
          support improvements to shore-based wastewater                                                                        
          treatment facilities in port communities                                                                              
                                                                                                                                
        • DEC will establish a grant program to provide                                                                         
          financial assistance                                                                                                  
                                                                                                                                
MR. BATES said  that DEC will establish  regulations to implement                                                               
a competitive award or grant primarily focused on:                                                                              
                                                                                                                                
- protecting or improving public health and water quality, or                                                                   
                                                                                                                                
-  mitigating environmental  impacts caused  commercial passenger                                                               
vessels or their passengers.                                                                                                    
                                                                                                                                
MR.  BATES  talked  about  the  costs  of  establishing  a  grant                                                               
program. Berth fees  will bring in between $6 and  $8 million. If                                                               
the  CPV  oversight budget  runs  $3.5  -  $4 million,  then  the                                                               
remaining $3.5    $4 million  per year  could be put  towards the                                                               
grant  program to  aid with  port community  wastewater treatment                                                               
facility improvements.  At the  end of the  day, the  grant would                                                               
mitigate the effects  of passenger traffic and  help to alleviate                                                               
the  challenges these  communities face  improving water  quality                                                               
and effluent.                                                                                                                   
                                                                                                                                
4:24:04 PM                                                                                                                    
SENATOR  MICCICHE said  that after  the  2006 initiative  passed,                                                               
fecal   coliform  discharges   were  supposed   to  incrementally                                                               
decrease to zero  over time with no mixing zones  at the point of                                                               
discharge.  This  statutory  requirement was  changed  about  ten                                                               
years after the  initiative was written into law.  One reason the                                                               
statute was  changed had to  do with  the 301(h) waiver  and that                                                               
the number of fecal colonies it allowed was inequitable.                                                                        
                                                                                                                                
SENATOR MICCICHE  expressed excitement about the  proposed use of                                                               
berth fees  to fund water treatment  improvements for communities                                                               
with 301(h)  waivers. Whether  or not  sufficient funds  would be                                                               
available for the number one  waived community in the state, this                                                               
is a unique approach. This  business model might prove useful for                                                               
the city  with essentially secondary water  treatment for 300,000                                                               
plus people.                                                                                                                    
                                                                                                                                
4:25:23 PM                                                                                                                    
SENATOR KAWASAKI  referred to Section  7 and asked  whether other                                                               
states   require   substantially   equivalent   CPV   information                                                               
gathering as Alaska.                                                                                                            
                                                                                                                                
4:26:01 PM                                                                                                                    
MS. POKON  expressed her understanding  that DEC will  accept the                                                               
format of  similar information  submitted to  the Coast  Guard or                                                               
other fellow regulatory entity.                                                                                                 
                                                                                                                                
4:26:24 PM                                                                                                                    
SENATOR   KAWASAKI   asked   whether  the   term   "substantially                                                               
equivalent" is a term  of art or if it is used  in other areas of                                                               
law. He harkened back to the  time of the big debates over mixing                                                               
zones and effluent, recalling Alaska  had the strictest rules. He                                                               
asked   whether   Alaska   continues  to   have   the   strictest                                                               
regulations.                                                                                                                    
                                                                                                                                
4:27:06 PM                                                                                                                    
MR.  BATES   answered  that  Section  7   is  specifically  about                                                               
information  that  Alaska  requests.  It  is  a  clarifying  edit                                                               
without  intention of  substantial or  substantive change.  It is                                                               
not about standards  applied to other state  or federal discharge                                                               
numbers. He  expressed his  belief that  Alaska is  equivalent to                                                               
federal oversight.  Alaska has the ability  to manage wastewater,                                                               
sewage/greywater, in  Alaska. Alaska sets those  standards as the                                                               
state  sees fit.  He mentioned  that  the International  Maritime                                                               
Organization and federal laws  that control additional discharges                                                               
from some vessels that are  international in nature. He mentioned                                                               
a  federal  law called  VIDA,  Vessel  Incidental Discharge  Act,                                                               
which is in the process  of being implemented. The state networks                                                               
with  VIDA  but  retains  discretion and  authority  over  cruise                                                               
vessel  management and  wastewater  discharge in  the state.  DEC                                                               
will continue to look at the issue if concerns remain.                                                                          
                                                                                                                                
4:28:35 PM                                                                                                                    
SENATOR KIEHL asked whether the  definition of  wastewater  wrote                                                               
out  ballast discharges.  He expressed  his  belief that  ballast                                                               
discharge was covered in previous bill language.                                                                                
                                                                                                                                
4:28:58 PM                                                                                                                    
MS.  POKON  expressed her  understanding  that  ballast water  is                                                               
outside  the scope  of the  state   authority  to regulate  under                                                               
federal law. The  idea is to prevent a  loophole. Wastewater that                                                               
is  put into  the ballast  cannot subsequently  be discharged  as                                                               
"ballast" water.  She expressed  her belief that,  generally, DEC                                                               
would not look directly at  ballast water. However, if wastewater                                                               
was rerouted into  the ballast, it would fall under  the scope of                                                               
state regulatory authority.                                                                                                     
                                                                                                                                
4:29:35 PM                                                                                                                    
SENATOR  KIEHL  asked what  the  current  permitting process  and                                                               
standard is for small ships.                                                                                                    
                                                                                                                                
MR. BATES  answered that state regulations  require small vessels                                                               
to operate under best management  practices and DEC reviews their                                                               
alternative plans. Alternative plans  are not permitted, but they                                                               
are  approved   by  DEC.  DEC   reviews  the   operational  plan,                                                               
treatment, and  discharge process. The expectation  is that small                                                               
vessels  treat to  the level  of their  marine sanitation  device                                                               
(MSD) that  is set  by Coast  Guard rules.  MSDs are  supposed to                                                               
treat to  200 fecal colony  units. This  is the target  level the                                                               
state expects,  but small vessels  have not  necessarily achieved                                                               
it.  Vessels were  put in  storage this  last year  due to  COVID                                                               
without  a lot  of clean  up, because  it was  difficult to  find                                                               
workers during the  pandemic. The small vessels came  back up and                                                               
their numbers  for fecal coliform  units were  particularly high.                                                               
All  vessels, large  and  small, were  expected  to sample  their                                                               
treatment facilities within ten days  of arrival in Alaska waters                                                               
and  share the  numbers  with the  department.  The numbers  were                                                               
unacceptably high, so  the department worked with  the vessels to                                                               
get  their numbers  down  closer  to the  required  MSD level  or                                                               
target.                                                                                                                         
                                                                                                                                
CHAIR REVAK asked whether Senator Kiehl had further questions.                                                                  
                                                                                                                                
SENATOR KIEHL replied that his question was answered.                                                                           
                                                                                                                                
4:32:22 PM                                                                                                                    
SENATOR BISHOP joined the meeting.                                                                                              
                                                                                                                                
4:33:00 PM                                                                                                                    
CHAIR REVAK  said he planned  to hold  the bill in  committee for                                                               
further review. He opened public testimony on SB 180.                                                                           
                                                                                                                                
4:33:36 PM                                                                                                                    
KARLA  HART,  Representing  Self, Juneau,  Alaska,  testified  in                                                               
opposition to  SB 180, stating  she has followed the  cruise ship                                                               
industry for  almost 40  years and supported  the passage  of the                                                               
2006 initiative to create the  Ocean Ranger Program. She was also                                                               
active  in Governor  Parnell's  administration  era rollbacks  of                                                               
components of  the cruise initiative.  She said that  two minutes                                                               
is insufficient  time to get  through everything, so  she pointed                                                               
out  that  the three  major  cruise  corporations represented  in                                                               
Alaska  have engaged  in illegal  processes  relating to  dumping                                                               
things into  waters, and  all three have  pled guilty  in federal                                                               
court to multiple violations. Two  of those companies used "magic                                                               
pipes" to  bypass regulation, a major  component, across multiple                                                               
vessels, showing a corporate culture.                                                                                           
                                                                                                                                
MS.  HART said  that Carnival  Corporation, which  owns Princess,                                                               
Holland America,  Carnival Cruise  Line and  others, is  still on                                                               
active probation  for violations, including violations  caught by                                                               
Alaska Ocean  Rangers. They continue to  violate their probation.                                                               
She said  she will  submit a  letter to  the committee  about the                                                               
latest  probation  hearing. They  have  a  culture of  violations                                                               
which remain unreformed during the  probation period. Judge Sykes                                                               
in Florida  requires corporate CEOs  to appear in person  at each                                                               
hearing; she  has threatened them individually  and the companies                                                               
collectively  with   arrest  if   they  don't   comply.  Carnival                                                               
Corporation brands  are recidivist  criminals, so it  is critical                                                               
that ocean  rangers are  on board  ships. DEC  talks a  lot about                                                               
fecal matter,  which is  important, but  the industry  dumps oily                                                               
and toxic waste  that should not be dumped  under any conditions.                                                               
Alaskans wanted eyes  onboard and that is why they  voted for the                                                               
Cruise Ship Initiative and to have ocean rangers onboard.                                                                       
                                                                                                                                
MS. HART  expressed concern  that the  Governor's Office  did not                                                               
issue a press release, though  there was two other press releases                                                               
the day  of introduction.  People are unaware  of this  bill. She                                                               
urged the committee to hold the  bill and notify the public about                                                               
the bill so Alaskan residents have a chance to testify.                                                                         
                                                                                                                                
MS.  HART said  the existing  program has  been revenue  neutral.                                                               
DEC's advocacy for cost effectiveness  is a little ironic because                                                               
money is collected from cruise  passengers, then buying berths at                                                               
full-rack rate  back from the  cruise industry. So,  the industry                                                               
is making  money on  this except  for the  fact that  the onboard                                                               
ocean  rangers  catch  their violations  and  cost  the  industry                                                               
millions  of  dollars  in  penalties.  She  intended  to  deliver                                                               
information to offices next week.  She requested the committee to                                                               
slow down and  give Alaskans a chance to comment.  It is not just                                                               
about fecal matter.                                                                                                             
                                                                                                                                
CHAIR REVAK  encouraged Ms. Hart  to submit written  testimony to                                                               
the committee if she had more to share.                                                                                         
                                                                                                                                
                                                                                                                                
4:37:48 PM                                                                                                                    
CHAIR REVAK closed public testimony on SB 180.                                                                                  
                                                                                                                                
[CHAIR REVAK held SB 180 in committee.]                                                                                         

Document Name Date/Time Subjects
SB 180 DEC Presentation 2.14.2022.pdf SRES 2/14/2022 3:30:00 PM
SB 180
SB 180 Fiscal Note DEC State Support Services 1.28.2022.pdf SRES 2/14/2022 3:30:00 PM
SB 180
SB 180 Letter of Transmittal 2.2.2022.pdf SRES 2/14/2022 3:30:00 PM
SB 180
SB 180 Fiscal Note DEC Water Quality, Infrastructure Support & Financing 1.28.2022.pdf SRES 2/14/2022 3:30:00 PM
SB 180
SB 180 Sectional Analysis 2.8.2022.pdf SRES 2/14/2022 3:30:00 PM
SB 180
SB 180 Fiscal Note DEC Administrative Services 1.28.2022.pdf SRES 2/14/2022 3:30:00 PM
SB 180