Legislature(2013 - 2014)BUTROVICH 205
02/12/2013 09:00 AM Senate STATE AFFAIRS
Audio | Topic |
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Start | |
SB1 | |
SB2 | |
SB4 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
*+ | SB 1 | TELECONFERENCED | |
*+ | SB 2 | TELECONFERENCED | |
*+ | SB 4 | TELECONFERENCED | |
SB 2-INTERSTATE MINING COMPACT & COMMISSION 9:23:33 AM SENATOR GIESSEL introduced SB 2, which authorizes the state to join and participate in the Interstate Mining Compact Commission. The purpose of the Compact is to create and maintain a creative and productive mining industry. The bill allows Alaska to contribute to this knowledge. The dues for Alaska would be about $35,000 per year for membership. She shared dues requirements. CHAIR DYSON asked for more information about the dues. SENATOR GIESSEL explained dues are based on how much each state produces. She referred to a chart of dues in members' packets. The highest paying dues member is West Virginia. She said there is a cap on the amount of dues paid. CHAIR DYSON inferred that the $35,000 amount Alaska would pay is based on Alaska's present level of mining activity. SENATOR GIESSEL said yes. 9:24:58 AM GREG CONRAD, Executive Director, Interstate Mining Compact Commission (IMCC), testified in support of SB 2. Alaska has been an associate member of IMCC since 2006 and is now moving forward to become a full member. MR. CONRAD explained that in today's legislative and regulatory climate in Washington, D.C. it is more important than ever for state governments to be heard. He said that IMCC is recognized by many in Washington for its experience and expertise on mining issues. As an example, IMCC has been asked to testify on behalf of the states at six Congressional hearings over the past couple years on topics, such as Good Samaritan Protections for Hard Rock Abandoned Mine Clean Ups, stream protection requirements for surface coal mining operations, hard rock financial assurance requirements under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA), legislation to enhance funding for states to reclaim abandoned coal and hard rock mines, and the impacts of the federal budget on state grant programs. He said that IMCC has been consulted by the General Accountability Office and the National Academy of Sciences on a range of issues affecting the states. Also, IMCC is active on several advisory bodies, steering committees, and state/federal teams on which member states generally serve in order to insure their direct input. MR. CONRAD referred to IMCC's annual report which was included in committee members' packets. He related that IMCC is regularly called upon to provide its recommendations on a plethora of issues on Capitol Hill and before the federal regulatory agencies. The recommendations are developed by the states at IMCC meetings and are communicated in the form of resolutions, testimonies, formal comments, and Congressional staff briefings. It is IMCC's ability to speak with one voice on common concerns that draws the states together and gives meaning to what IMCC does. He addressed why Alaska should become a full member of IMCC. He said that membership would allow Alaska to have a formal vote and to lead the Compact in the direction that is favorable to the state. Alaska would also be able to chair IMCC standing committees and have access to all communications, meetings, programs, and initiatives. Membership would also allow federal agencies and Congress to recognize Alaska as an important player in environmental concerns and regulatory issues. Since IMCC is focused on mining and related environmental protection issues with the federal government, it benefits Alaska to become a member. 9:30:03 AM SENATOR WIELECHOWSKI asked about Article 3 of the provision. He inquired if it currently meets Alaska's laws, or if it would need to be revised. MR. CONRAD understood that the state has robust policies and regulations in place for the mining industry. He said that IMCC would not interfere with regulations, but rather provide advice. CHAIR DYSON inquired how the Compact works regarding mining safety. MR. CONRAD said that subject is not reflected in specific Compact language, but rather in the general provisions of IMCC's authority to be involved in mining issues that impact state governments. He offered to provide that information, as it is one of the key issues that IMCC pursues on behalf of states. 9:33:09 AM SENATOR COGHILL pointed out that information is found in Article 1, subsection (b)(4). CHAIR DYSON agreed. He noted IMCC members have very large mineral zones that cross into Canada. He asked if IMCC has a working relationship with Canadian provinces. MR. CONRAD said no. 9:34:33 AM ED FOGELS, Deputy Commissioner, Department of Natural Resources (DNR), testified in support of SB 2. He said that DNR has a strong mining regulatory and permitting program, which is in line with IMCC's enabling legislation and its requirements. Under the Governor's direction, DNR is looking for ways to improve permitting and regulating of natural resource development projects. Part of this initiative is to improve collaboration with federal agencies and to dialogue with other state regulatory and permitting agencies. This is why IMCC is so important to Alaska. He recalled his work with IMCC the previous seven years when Alaska first became an Associate Member of IMCC. He shared the advantages of becoming a member of IMCC, such as the full weight it carries from its 25 member states during interactions with the federal government. He gave examples of federal issues of importance to Alaska: the U.S. Environmental Protection Agency's initiative to take over bonding for hard rock mining, numerous Endangered Species Act issues, federal budgets, and Mine Safety and Health Administration (MSHA) regulations. There is a serious concern in Alaska that MSHA is not taking into account the remoteness of some of the mine locations. He mentioned that some issues transcend the mining sector. He said he was the Governor's designee to represent Alaska at IMCC meetings. He stressed that full membership would give Alaska more power. He noted that IMCC is growing; Nevada is pursuing full membership, Montana is contemplating membership, and there is a movement to get more Western States to join. He concluded that IMCC is a valuable tool for Alaska. 9:39:05 AM SENATOR COGHILL asked what the current makeup of IMCC is. MR. FOGELS replied that IMCC consists of predominantly Eastern states, but there are some Midwestern states. There are several Western Associate Members, Wyoming, Nevada, Alaska, Colorado, and Utah. Idaho and Montana are considering membership. SENATOR COGHILL asked if water quality and small placer mines is an issue for other Compact states. MR. FOGELS noted that Alaska is unique in that respect. He opined that there were some smaller operators in other states. Also, other states have gravel and sand mines. SENATOR WIELECHOWSKI pointed out that currently there are no full-member Western states. He wondered if decisions are made on a consensus basis. MR. FOGELS deferred to Mr. Conrad to discuss voting methods. He agreed that Alaska would be the first Western state to join. SENATOR COGHILL said Article 5, subsection (b), refers to voting rights. The commissioner is entitled to a vote. Most voting is by majority. 9:42:57 AM MICHAEL SATRE, Executive Director, Council of Alaska Producers, testified in support of SB 2. He referred to written comments the Council submitted to the committee. He noted that the Council has always supported a permitting and regulatory process that is rigorous, science based, transparent, and predictable. He opined that Alaska is a leader in mine permitting and regulation, but must continue to improve on that process. One way to do that is to collaborate with other mining states by joining IMCC. 9:44:32 AM DEANTHA CROCKETT, Executive Director, Alaska Miners Association, testified in support of SB 2. She highlighted a letter of support. She testified that federal regulation has become more problematic and IMCC can be helpful in that area. She reported on the status of the Western States Mining Coalition. She stated it would be very beneficial for Alaska to join IMCC. 9:46:01 AM SENATOR COGHILL moved to report SB 2, labeled 28-LS0005\A, out of committee with individual recommendations and the attached fiscal notes. There being no objections, SB 2 was reported from the Senate State Affairs Standing Committee.