Legislature(2021 - 2022)BUTROVICH 205

03/30/2022 03:30 PM Senate RESOURCES

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 121 PFAS USE & REMEDIATION; FIRE/WATER SAFETY TELECONFERENCED
Moved CSSB 121(RES) Out of Committee
*+ HB 304 CHUGACH STATE PARK/EAGLE RIVER LIONS CLUB TELECONFERENCED
Moved HB 304 Out of Committee
-- Invited & Public Testimony --
*+ HB 209 EMERGENCY FIREFIGHTERS TELECONFERENCED
<Bill Hearing Canceled>
-- Invited & Public Testimony --
+ HB 148 ALASKA COORDINATE SYSTEM OF 2022 TELECONFERENCED
<Bill Hearing Canceled>
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled: TELECONFERENCED
**Streamed live on AKL.tv**
*+ HJR 34 NAT'L PETROLEUM RESERVE IN ALASKA TELECONFERENCED
Moved HJR 34 Out of Committee
-- Invited & Public Testimony --
+= SB 239 APPROVE PETRO STAR INC. ROYALTY OIL SALE TELECONFERENCED
Moved SB 239 Out of Committee
-- Invited & Public Testimony --
+= SB 240 APPROVE MARATHON PETRO ROYALTY OIL SALE TELECONFERENCED
Moved SB 240 Out of Committee
-- Invited & Public Testimony --
        HB 304-CHUGACH STATE PARK/EAGLE RIVER LIONS CLUB                                                                    
                                                                                                                                
3:58:06 PM                                                                                                                    
VICE  CHAIR MICCICHE  announced the  consideration of  HOUSE BILL                                                               
NO. 304  "An Act  modifying the boundary  of Chugach  State Park;                                                               
directing the  sale of land  to the  Eagle River Lions  Club; and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
3:58:43 PM                                                                                                                    
REPRESENTATIVE KELLY MERRICK, Alaska State Legislature, Juneau,                                                                 
Alaska, sponsor of HB 304, introduced the legislation. The                                                                      
sponsor statement read as follows:                                                                                              
                                                                                                                                
     In  1964, the  Eagle  River Lions  Club  was granted  a                                                                    
     special  land use  permit by  the Department  of Nature                                                                    
     Resources  for  lands  within the  future  boundary  of                                                                    
     Chugach  State Park.  The original  permit  was for  20                                                                    
     years and  has been  renewed twice; the  current permit                                                                    
     expires January 2, 2024.                                                                                                   
                                                                                                                                
     Lions  Club  Park  is a  very  popular  community  park                                                                    
     encompassing  40  acres,  centrally  located  in  Eagle                                                                    
     River at  the junction  of Eagle  River Road  and Eagle                                                                    
     River  Loop Road.  Since 1964  when this  agreement was                                                                    
     finalized,  the Eagle  River Lions  Club has  developed                                                                    
     the  park,  building  baseball  fields,  the  clubhouse                                                                    
     building, and  other facilities.  As the  community has                                                                    
     grown, Lions  Park has become a  recreational staple of                                                                    
     the  town.  Many public  events  are  held there,  from                                                                    
     sports like  little league to community  gatherings and                                                                    
     holiday fireworks.                                                                                                         
                                                                                                                                
     The Alaska Supreme Court's 2013  decision in SOP v. DNR                                                                    
     requires   that  permits   for  use   of  legislatively                                                                    
     designated state parks must be  revocable at will. This                                                                    
     decision means  that DNR cannot  issue a new  permit to                                                                    
     the  Eagle  River  Lions  Club,  since  the  facilities                                                                    
     cannot be readily removed.                                                                                                 
                                                                                                                                
     Both  the  Lions Club  and  the  Department of  Natural                                                                    
     Resources believe  that the Eagle River  community will                                                                    
     be better served by this  park if the Eagle River Lions                                                                    
     Club is allowed to operate  the park under their direct                                                                    
     ownership. This requires a  modification of the Chugach                                                                    
     State Park boundary and removes this land from it.                                                                         
                                                                                                                                
     A memorandum  of understanding  between the  Lions Club                                                                    
     and the  Department of Natural Resources  outlining the                                                                    
     terms has been signed by  both parties. Four parcels of                                                                    
     approximately 10,304  acres of general state  land will                                                                    
     replace the 40-acre parcel being  conveyed to the Lions                                                                    
     Club. There is no cost to  the State, as the Lions Club                                                                    
     will  cover   the  fees  to  the   department  and  any                                                                    
     appraisal costs associated with all five parcels.                                                                          
                                                                                                                                
     HB 304 ensures this treasured part of the Eagle River                                                                      
     community will be around for years to come.                                                                                
                                                                                                                                
REPRESENTATIVE MERRICK reported that HB 304 had a zero fiscal                                                                   
note.                                                                                                                           
                                                                                                                                
4:00:42 PM                                                                                                                    
DAN BEUTEL,  Natural Resources Specialist III,  Division of Parks                                                               
and Outdoor  Recreation, Department  of Natural  Resources (DNR),                                                               
Anchorage,  Alaska, presented  the  PowerPoint,  Lions Club  Park                                                               
Chugach State Park during the hearing on HB 304.                                                                                
                                                                                                                                
MR. BUETELL advanced to slide 3 Lions Club Park and Chugach                                                                     
State Park and paraphrased the following:                                                                                       
                                                                                                                                
        • The Eagle River Lions Club developed and operated                                                                     
          Lions  Club Park  under a  series of  permits from                                                                    
          DNR.  The current  20-year permit  expires January                                                                    
          2, 2024 and cannot be renewed as explained below.                                                                     
        • The organized sports fields, clubhouse with                                                                           
          alcohol  sales,   and  community  park   are  very                                                                    
          different  from the  rest of  Chugach State  Park.                                                                    
          DNR believes  that the Eagle River  community will                                                                    
          be better served  by Lions Club Park  if the Eagle                                                                    
          River Lions  Club are allowed to  operate the park                                                                    
          under  their   direct  ownership.   This  requires                                                                    
          modification of the Chugach State Park boundary.                                                                      
                                                                                                                                
MR. BUETELL advanced to slides 4 and 5 and reviewed the history                                                                 
of Lions Club Park and Chugach State Park:                                                                                      
                                                                                                                                
        • DNR acquired this 40-acre parcel in 1961 as a                                                                         
          Mental Health grant                                                                                                   
        • DNR permit issued to the Eagle River Lions Club                                                                       
          effective January 2, 1964, with a 20-year term.                                                                       
        • Eagle River Lions Club began developing the park                                                                      
          in the 1960's and  70's, building baseball fields,                                                                    
         the clubhouse building, and other facilities.                                                                          
        • Chugach State Park was designated by the                                                                              
          legislature  in  1970, including  all  state-owned                                                                    
          land in  this section,  subject to  valid existing                                                                    
          rights.  This  section   was  presumably  included                                                                    
          because  Eagle River  flows  through the  southern                                                                    
          portion (Section  13, Township  14 North,  Range 2                                                                    
          West, Seward Meridian).                                                                                               
        • Land and Water Conservation  Fund (LWCF)  grants                                                                      
          from  the federal  government were  first used  in                                                                    
          Chugach  State Park  in 1970,  shortly after  park                                                                    
          designation.  LWCF  grants  require the  state  to                                                                    
          preserve  the  park   for  outdoor  recreation  in                                                                    
          perpetuity. Any use  other than outdoor recreation                                                                    
          constitutes    a    "conversion"   and    requires                                                                    
          replacement land  of equal value  be added  to the                                                                    
          park.                                                                                                                 
        • Division of Parks and Outdoor  Recreation renews                                                                      
          the  Eagle   River  Lions  Club's  permit   for  2                                                                    
          additional  20-year  terms.   The  current  permit                                                                    
          expires January 2, 2024.                                                                                              
        • Alaska Supreme Court's 2013 decision  in SOP  v.                                                                      
          DNR   requires    that   permits   for    use   of                                                                    
          legislatively  designated  state   parks  must  be                                                                    
          revocable at  will. This  decision means  that DNR                                                                    
          cannot  issue  a new  permit  to  the Eagle  River                                                                    
          Lions  Club,   since  the  facilities   cannot  be                                                                    
          readily removed.                                                                                                      
                                                                                                                                
4:04:05 PM                                                                                                                    
MR. BUETELL  displayed slides 6-8  that show the  following Lions                                                               
Club  Park  activities  and  facilities:  baseball  and  softball                                                               
fields, areas  for football, tennis, basketball,  and horseshoes,                                                               
and the picnic shelter, playground, and clubhouse.                                                                              
                                                                                                                                
MR. BEUTEL advanced to slide 9 to show the contrast in Chugach                                                                  
State Park. He reviewed the following highlights:                                                                               
                                                                                                                                
        • Chugach State Park covers approximately  485,000                                                                      
          acres,  mostly  undeveloped mountains,  stretching                                                                    
          from Knik River Road to Turnagain Arm.                                                                                
        • Visitor activities include sightseeing,  hiking,                                                                      
          ATVing,  snowmobiling,  skiing, hunting,  fishing,                                                                    
          and more.                                                                                                             
        • Facilities are  primarily   trails,  trailheads,                                                                      
          campgrounds, and public use cabins.                                                                                   
        • Chugach State Park has no other  facilities like                                                                      
          Lions  Club Park  for  organized  team sports.  No                                                                    
          Alaska  State Park  has a  facility comparable  to                                                                    
          Lions  Club  Park.  The   Division  of  Parks  and                                                                    
          Outdoor Recreation lacks  the experience, funding,                                                                    
          or  authority  to  operate  facilities  for  these                                                                    
          types of sports.                                                                                                      
                                                                                                                                
                                                                                                                                
4:05:43 PM                                                                                                                    
MR.  BEUTEL advanced  to slide  10,  LWCF Conversion  Replacement                                                               
Land. He reviewed the following highlights:                                                                                     
                                                                                                                                
        • The Land and   Water  Conservation  Fund  (LWCF)                                                                      
          requires replacement land of  equal value be added                                                                    
          to Chugach State Park to  replace Lions Club Park.                                                                    
          There are  4 parcels of  general state land,  3 in                                                                    
          Eagle  River  Valley,  and one  on  Pioneer  Peak,                                                                    
          which are proposed replacement parcels.                                                                               
        • All 4 proposed  replacement  parcels  are  steep                                                                      
          mountains  adjacent  to  Chugach State  Park.  The                                                                    
          primary  current  use  is wildlife  habitat,  with                                                                    
          occasional use by hikers or  hunters. None of them                                                                    
          has  any   active  DNR  authorizations   or  known                                                                    
          development or mineral potential.                                                                                     
        • The inclusion of these parcels to  Chugach State                                                                      
          Park will  not change access for  hunters, hikers,                                                                    
          or others who currently use these parcels                                                                             
                                                                                                                                
MR.  BEUTEL displayed  the  table on  slide  11, LWCF  Conversion                                                               
Replacement land summary that shows  that the 40 acres that Lions                                                               
Club Park  occupies in  Chugach State Park  has an  estimated tax                                                               
assessment value of $1.4 million.  The four parcels that would be                                                               
added to  Chugach State Park  through the LWCF  conversion occupy                                                               
more  than 10,000  acres  and have  an  estimated tax  assessment                                                               
value of  just under $1.5 million.  He noted that as  part of the                                                               
LWCF  conversion  process,  the  parcels would  all  need  to  be                                                               
appraised.                                                                                                                      
                                                                                                                                
MR. BEUTEL displayed slides 12-15  that describe the four parcels                                                               
that  would be  added  to  Chugach State  Park:  He reviewed  the                                                               
following highlights:                                                                                                           
                                                                                                                                
     Eagle River Parcel 1                                                                                                     
        • Parcel 1 covers 60  acres  in  the Meadow  Creek                                                                      
          Valley. Estimated value of $150,000.                                                                                
        • Legal description T.  14  N.,  R.  1  W.,  S.M.,                                                                      
          Section 5, SE1/4 SW1/4, S1/2 SW1/4 SE1/4                                                                            
                                                                                                                                
     Eagle River Parcels 2 and 3                                                                                              
        • Parcel 2 covers 60 acres  on  steep slopes  near                                                                      
          Berryhill Rd. Estimated value of $135,900.                                                                            
        • Legal description T.  14  N.,  R.  1  W.,  S.M.,                                                                      
          Section 24 NE1/4 SW1/4, E1/2 NW1/4 SW1/4                                                                              
        • Picture from parcel 2 shows a steep hillside and                                                                      
          view across Eagle River                                                                                               
                                                                                                                                
        • Parcel 3 covers 24 acres on steep slopes above                                                                        
          Eagle River Road. Estimated value of $213,300.                                                                        
        • Legal description T. 14 N., R. 1 E., Section 30,                                                                      
          Lot 3                                                                                                                 
        • Picture depicting parcel 3 shows steep hillside                                                                       
          and Eagle River Road                                                                                                  
                                                                                                                                
     Parcel 4 - Pioneer Peak                                                                                                  
        • Parcel 4 covers 10,160 acres above Knik River                                                                         
          Road. Estimated value at least $1 million (no tax                                                                     
          assessed value)                                                                                                       
        • Legal description T. 16 N., R. 3 E., S.M.,                                                                            
          Section 7, Section 8, excluding N1/2 NE1/4,                                                                           
          Sections 17-21, Sections 27-35                                                                                        
                                                                                                                                
4:08:24 PM FIX                                                                                                                
MR. BEUTEL advanced to slide 16, Conclusion and highlighted the                                                                 
following points:                                                                                                               
                                                                                                                                
        • The proposed bill directs DNR to:                                                                                     
          • Complete the LWCF conversion                                                                                        
          • Retain road and utility rights-of-way                                                                               
          • Convey the Lions Club Park to the Eagle River                                                                       
             Lions Club                                                                                                         
        • Upon completion of these steps                                                                                        
          • Lions Club Park is secure as a community park                                                                       
         • Chugach State Park boundaries are updated                                                                            
          • Access to the Chugach State Park additions for                                                                      
             hunters, hikers, and other park visitors is                                                                        
             unchanged                                                                                                          
                                                                                                                                
4:09:11 PM                                                                                                                    
SENATOR BISHOP asked for the timelines to complete the appraisal                                                                
and finish the transaction.                                                                                                     
                                                                                                                                
MR. BEUTEL answered that appraisers  have been contacted and will                                                               
be hired once  the bill passes. He estimated  that the appraisals                                                               
will take  one field  season, after which  the paperwork  for the                                                               
conversion  will  be  completed.   The  entire  transaction  will                                                               
probably be finished in 12 months after the bill passes.                                                                        
                                                                                                                                
SENATOR  BISHOP  relayed  his  summary  that  in  12  months  the                                                               
transaction is  estimated to  be complete  and everybody  will be                                                               
happy.                                                                                                                          
                                                                                                                                
MR.  BEUTEL  replied  that  the  real push  is  to  complete  the                                                               
transaction before the current permit expire in January 2024.                                                                   
                                                                                                                                
4:10:27 PM                                                                                                                    
VICE  CHAIR MICCICHE  asked if  he  agreed that  the Eagle  River                                                               
Lions  Club would  be  required  to pay  $50,000  to cover  DNR's                                                               
costs.                                                                                                                          
                                                                                                                                
MR. BEUTEL responded that is correct.                                                                                           
                                                                                                                                
VICE CHAIR MICCICHE  observed that the reason for  no fiscal note                                                               
was that there would be no cost to the state.                                                                                   
                                                                                                                                
MR. BEUTEL  answered yes, DNR  has a memorandum  of understanding                                                               
with the Eagle River Lions Club  such that the club would pay for                                                               
the third-party appraiser and DNR's administrative costs.                                                                       
                                                                                                                                
4:11:25 PM                                                                                                                    
VICE CHAIR  MICCICHE said he  assumes that the Eagle  River Lions                                                               
Club paid  for the improvements over  the last 50 years  and that                                                               
there would be  no ongoing maintenance encumbrance  to the state.                                                               
Once the  land is conveyed,  the Eagle  River Lions Club  will be                                                               
responsible for all ongoing costs.                                                                                              
                                                                                                                                
MR. BEUTEL  responded that  is correct; the  state would  have no                                                               
ongoing costs.                                                                                                                  
                                                                                                                                
4:12:23 PM                                                                                                                    
VICE CHAIR MICCICHE turned to invited testimony on HB 304.                                                                      
                                                                                                                                
4:12:33 PM                                                                                                                    
RICHARD  FAGG, President,  Eagle River  Lions Club,  Eagle River,                                                               
Alaska, testified  by invitation on  HB 304. He stated  that this                                                               
park is  the only facility of  its kind in the  Chugiak area. The                                                               
park  is  very  important  for  summer  and  winter  recreational                                                               
activities and it would be  hard to imagine the community without                                                               
it. He relayed that the  refurbished tennis courts will host both                                                               
tennis and  pickleball tournaments and play.  The football fields                                                               
are used  by Pop Warner  teams, the  baseball fields are  used by                                                               
both  boys'  and  girls'  softball   teams.  In  the  summer  the                                                               
basketball  courts are  horseshoe pits  are used  constantly. The                                                               
park offers tremendous opportunities for recreational activity.                                                                 
                                                                                                                                
MR. FAGG  reported that  organizations that  use the  park aren't                                                               
charged anything,  but are asked  to help with  some maintenance.                                                               
He mentioned plans  for this summer to create a  new dog park and                                                               
renovate   the  playground,   including  the   addition  of   new                                                               
equipment. He urged the committee to support HB 304.                                                                            
                                                                                                                                
4:14:37 PM                                                                                                                    
VICE CHAIR MICCICHE opened public testimony on HB 304.                                                                          
                                                                                                                                
4:15:00 PM                                                                                                                    
RYAN JOHNSTON, Building Manager  and Second Vice President, Eagle                                                               
River Lions  Club, Eagle River,  Alaska, Testified in  support of                                                               
HB 304.  He spoke about his  connection to the park  relayed that                                                               
the  Eagle River  Lions  Club  would be  honored  to continue  to                                                               
continue to  manage and  continue to develop  it as  the valuable                                                               
resource  it is  to  the  community. He  asked  the committee  to                                                               
support  the property  transfer so  the club  could continue  its                                                               
stewardship of the park.                                                                                                        
                                                                                                                                
VICE  CHAIR MICCICHE  recognized  former Senator  Stoltze as  the                                                               
next testifier.                                                                                                                 
                                                                                                                                
4:16:02 PM                                                                                                                    
BILL  STOLTZE,  former  Senator representing  self,  Eagle  River                                                               
Lions Club, Chugiak,  Alaska, testified in support of  HB 304. He                                                               
stated that he was  a member of the Eagle River  Lions Club and a                                                               
half  dedicated  user   of  the  park.  He  said   this  is  good                                                               
legislation that  will allow his  fellow Lions to  continue their                                                               
good work on behalf of the community, particularly youths.                                                                      
                                                                                                                                
4:16:58 PM                                                                                                                    
VICE CHAIR MICCICHE closed public testimony HB 304.                                                                             
                                                                                                                                
SENATOR STEVENS  commented that  he was  still supportive  of the                                                               
bill.                                                                                                                           
                                                                                                                                
4:17:22 PM                                                                                                                    
VICE CHAIR  MICCICHE found no  further questions or  comments and                                                               
solicited a motion.                                                                                                             
                                                                                                                                
4:17:29 PM                                                                                                                    
SENATOR STEVENS moved  to report HB 304,  work order 32-LS0928\I,                                                               
from  committee  with  attached  [fiscal  notes]  and  individual                                                               
recommendations.                                                                                                                
                                                                                                                                
4:17:41 PM                                                                                                                    
VICE CHAIR  MICCICHE found no  objection and HB 304  was reported                                                               
from the Senate Resources Standing Committee.                                                                                   

Document Name Date/Time Subjects
SB 121 Explanation of Changes ver. G to ver. W.pdf SRES 3/30/2022 3:30:00 PM
SB 121
SB 121 Written Testimony 3.30.2022.pdf SRES 3/30/2022 3:30:00 PM
SB 121
W.pdf SRES 3/30/2022 3:30:00 PM
SB 121
HJR 34 Fiscal Note.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 2013 NPR-A IAP ROD Executive Summary.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 BLM Memo 1.7.22.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 Letter of Support ASRC-NSB-ICAS.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 Letter of Support DNR 3.9.2022.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 Letter of Support RDC.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 Petroleum News Article.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
HJR 34 Sponsor Statement 3.7.22.pdf SRES 3/30/2022 3:30:00 PM
HJR 34
#1 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#2 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#3 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#4 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#5 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#6 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#7 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#8 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#9 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#10 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#11 HB 304 letter of support.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#12 HB 304 letter of support CSPCAB.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#13 HB 304 letter of support -Chamber.pdf SRES 3/30/2022 3:30:00 PM
HB 304
#14 HB 304 letter of support - Elks.pdf SRES 3/30/2022 3:30:00 PM
HB 304
ER Lions Club Replacement Overview.pdf SRES 3/30/2022 3:30:00 PM
HB 304
HB 304 Sectional Analysis 3.8.2022.pdf SRES 3/30/2022 3:30:00 PM
HB 304
HB 304 Sponsor Statement 3.8.2022.pdf SRES 3/30/2022 3:30:00 PM
HB 304
Lions Club Park presentation.pdf SRES 3/30/2022 3:30:00 PM
HB 304
Memorandum of Understanding Lions Club.pdf SRES 3/30/2022 3:30:00 PM
HB 304
2022-03-24 SRES briefing on RIK (final).pdf SRES 3/30/2022 3:30:00 PM
SB 239
Final BIF Petro Star signed.pdf SRES 3/30/2022 3:30:00 PM
SB 239
Royalty_Board_report_Petro_Star_clean.pdf SRES 3/30/2022 3:30:00 PM
SB 239
Royalty_Board_resolution_Petro_Star_clean.pdf SRES 3/30/2022 3:30:00 PM
SB 239
Royalty_Board_report_Marathon_clean.pdf SRES 3/30/2022 3:30:00 PM
SB 240
Final BIF Marathon signed.pdf SRES 3/30/2022 3:30:00 PM
SB 240
2022-03-24 SRES briefing on RIK (final).pdf SRES 3/30/2022 3:30:00 PM
SB 240
Royalty_Board_resolution_Marathon_clean.pdf SRES 3/30/2022 3:30:00 PM
SB 240
SB240 Letter of Support Marathon Petroleum 2022.pdf SRES 3/30/2022 3:30:00 PM
SB 240