Legislature(2013 - 2014)BARNES 124

02/04/2014 11:15 AM House ECON. DEV., TRADE & TOURISM


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11:17:28 AM Start
11:18:27 AM Presentation: Alaska Arctic Policy Commission
12:07:43 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Joint with Senate WTR
+ Presentation: "Alaska Arctic Policy Commission" TELECONFERENCED
- Rep. Herron
- Sen. McGuire
                    ALASKA STATE LEGISLATURE                                                                                  
                         JOINT MEETING                                                                                        
   HOUSE SPECIAL COMMITTEE ON ECONOMIC DEVELOPMENT, TRADE AND                                                                 
                            TOURISM                                                                                           
            SENATE SPECIAL COMMITTEE ON WORLD TRADE                                                                           
                        February 4, 2014                                                                                        
                           11:17 a.m.                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
HOUSE SPECIAL COMMITTEE ON ECONOMIC DEVELOPMENT, TRADE AND                                                                      
TOURISM                                                                                                                         
                                                                                                                                
 Representative Shelley Hughes, Chair                                                                                           
 Representative Lynn Gattis                                                                                                     
 Representative Bob Herron                                                                                                      
 Representative Pete Higgins                                                                                                    
 Representative Lance Pruitt                                                                                                    
 Representative Harriet Drummond                                                                                                
 Representative Geran Tarr                                                                                                      
                                                                                                                                
SENATE SPECIAL COMMITTEE ON WORLD TRADE                                                                                         
                                                                                                                                
 Senator Gary Stevens, Chair                                                                                                    
 Senator Lesil McGuire, Vice Chair                                                                                              
 Senator Peter Micciche                                                                                                         
 Senator Berta Gardner                                                                                                          
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
HOUSE SPECIAL COMMITTEE ON ECONOMIC DEVELOPMENT, TRADE AND                                                                      
TOURISM                                                                                                                         
                                                                                                                                
 Representative Craig Johnson                                                                                                   
 Representative Kurt Olson                                                                                                      
                                                                                                                                
SENATE SPECIAL COMMITTEE ON WORLD TRADE                                                                                         
                                                                                                                                
 Senator Charlie Huggins                                                                                                        
 Senator Mike Dunleavy                                                                                                          
 Senator Lyman Hoffman                                                                                                          
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION:  ALASKA ARCTIC POLICY COMMISSION                                                                                  
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
No witnesses to record                                                                                                          
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
11:17:28 AM                                                                                                                   
                                                                                                                                
CHAIR GARY STEVENS called the  joint meeting of the House Special                                                             
Committee  on Economic  Development,  Trade and  Tourism and  the                                                               
Senate Special  Committee on World  Trade to order at  11:17 a.m.                                                               
Present at  the call to  order from the Senate  Special Committee                                                               
on  World Trade  were  Senators McGuire,  Micciche, Gardner,  and                                                               
Stevens.  Chair Stevens handed the gavel to Chair Hughes.                                                                       
                                                                                                                                
CHAIR SHELLEY HUGHES  noted those present from  the House Special                                                             
Committee on Economic Development, Trade  and Tourism at the call                                                               
to  order were  Representatives  Higgins,  Drummond, Herron,  and                                                               
Hughes.  Representatives  Pruitt, Gattis and Tarr  arrived as the                                                               
meeting was in progress.                                                                                                        
                                                                                                                                
^PRESENTATION:  ALASKA ARCTIC POLICY COMMISSION                                                                                 
         PRESENTATION:  ALASKA ARCTIC POLICY COMMISSION                                                                     
                                                                                                                              
11:18:27 AM                                                                                                                   
                                                                                                                                
CHAIR HUGHES announced  that the only order of  business would be                                                               
a  report from  Senator  McGuire and  Representative Herron,  co-                                                               
chairs of the Alaska Arctic Policy Commission.                                                                                  
                                                                                                                                
11:18:50 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  HERRON  said  he  was proud  to  deliver  to  the                                                               
legislature the  Preliminary Report  of the Alaska  Arctic Policy                                                               
Commission  (AAPC).     The  report  today   will  highlight  the                                                               
accomplishments of  AAPC since  its beginning  in March  of 2013.                                                               
He  displayed  AAPC's logo,  which  was  a map  showing  Alaska's                                                               
important location  in the Arctic  that makes the U.S.  an Arctic                                                               
nation, and ensures that Alaska will  continue to play a key role                                                               
in Arctic  policy.  He paraphrased  from page 3 of  the Executive                                                               
Summary  of  the AAPC  Preliminary  Report  to the  Alaska  State                                                               
Legislature as follows:                                                                                                         
                                                                                                                                
     As  fellow Alaskans,  we know  you recognize  that with                                                                    
     increasing activity  in the region comes  both risk and                                                                    
     opportunity.   But,  we cannot  let the  perceptions of                                                                    
     others determine our future, Alaska's future.                                                                              
                                                                                                                                
11:21:00 AM                                                                                                                   
                                                                                                                                
SENATOR MCGUIRE  appreciated today's  coverage of  this important                                                               
subject by Gavel  to Gavel public television.   She expressed the                                                               
hope of  AAPC co-chairs and  commissioners that 2014 will  be the                                                               
Year of  the Arctic in Alaska,  because the Arctic is  the future                                                               
for the  next two generations of  Alaskans.  In fact,  the Arctic                                                               
is  the  last  great  unexplored place  of  mystery,  magic,  and                                                               
opportunity  on Earth,  as were  the  moon and  space during  the                                                               
1960s.   At  this time  of  policy-making in  the Arctic  - in  a                                                               
manner  similar  to  the  race  to   the  moon  -  the  U.S.  has                                                               
competitors  and/or  partners  in   Russia,  China,  and  Canada.                                                               
Senator  McGuire  said the  public  is  asked  to join  with  the                                                               
legislature  "on  this journey,"  as  did  sixteen public  member                                                               
experts who  serve on AAPC  along with the following  ten members                                                               
of  the legislature:    Senator  McGuire, Representative  Herron,                                                               
Senator  Hoffman,  Senator   Stevens,  Senator  Giessel,  Senator                                                               
Olson, Representative Austerman,  former Representative Kerttula,                                                               
Representative  Neuman,  and  Representative Edgmon.    The  AAPC                                                               
preliminary  report contains  sixteen policy  recommendations and                                                               
four  vision  statements  which  can  be  reviewed  at  web  site                                                               
www.akarctic.com,  along with  the summary  and the  one-hundred-                                                               
thirty page report prepared by  subcommittees.   The final report                                                               
is  due 1/30/15,  and she  urged  the public  and legislators  to                                                               
comment on the preliminary report.   This is especially important                                                               
as  the U.S.  prepares to  take  the chairmanship  of the  Arctic                                                               
Council  that  is currently  held  by  Canada.   Senator  McGuire                                                               
pointed out that  in this case Alaska is "on  time" to define its                                                               
destiny  in the  Arctic; as  a matter  of fact,  this may  be the                                                               
first time the state has not  been in a negative position when it                                                               
comes to federal  policy affecting Alaska.   Moreover, Alaska can                                                               
talk  about  Arctic  policy  with   optimism,  because  AAPC  was                                                               
successful in its participation  with [the federal strategic team                                                               
from the  Administration of  the White  House, Office  of Science                                                               
and Technology  Policy (federal  team)].   When AAPC  learned the                                                               
federal team scheduled the release  of its implementation plan by                                                               
June, 2013,  AAPC immediately opened lines  of communication with                                                               
officials of the federal team by  meeting weekly by phone, and in                                                               
person in  Unalaska.  As a  result, the release of  the [National                                                               
Strategy  for  the  Arctic   Region  (NSAR)  Implementation  Plan                                                               
(implementation  plan)]  by the  White  House  was delayed  until                                                               
1/30/14, and  AAPC was  able to  issue its  Alaska policy  on the                                                               
same day.   She  acknowledged that NSAR  has gaps,  but explained                                                               
that  this  is  a  good   example  of  representatives  of  state                                                               
government  working with  the federal  government in  a role  not                                                               
originally envisioned by AAPC.                                                                                                  
                                                                                                                                
SENATOR  MCGUIRE  then  directed   attention  to  the  PowerPoint                                                               
presentation entitled,  "Alaska Arctic Policy  Commission," dated                                                               
2/4/14,  and  said of  the  four  million  people living  in  the                                                               
Arctic, 2,089,000 live  in the Russian Arctic,  1,280,000 live in                                                               
the  European Arctic,  and 827,000  live in  the American  Arctic                                                               
[slide 1].                                                                                                                      
                                                                                                                                
11:26:54 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  HERRON pointed  out  the U.S.  definition of  the                                                               
Arctic  follows   the  courses  of  the   Porcupine,  Yukon,  and                                                               
Kuskokwim Rivers  to the Bering Sea  [slide 2].  As  an aside, he                                                               
observed that  the area north  of this demarcation line  may have                                                               
been designated  a territory  at the time  of statehood,  were it                                                               
not for  the influence of  former Governor Walter  Hickel, Robert                                                               
Atwood [newspaper publisher] and  John Butrovich Jr. [territorial                                                               
legislator].  Returning to the  presentation, he noted the Bering                                                               
Strait and Bering  Sea are "a garden" to all  Alaskans because of                                                               
the  Yukon  and  Kuskokwim  Rivers  that  bisect  the  state  and                                                               
terminate at  the Bering Sea.   In 2013, several  federal reports                                                               
were released  pertinent to  Arctic strategy,  and AAPC  began to                                                               
participate in  policy discussions  with the federal  team [slide                                                               
3].  Although  there are gaps in the federal  strategy, AAPC will                                                               
continue  to  work with  the  federal  team  to maintain  a  good                                                               
relationship.   In  addition, a  major  focus will  be on  Arctic                                                               
Strategy  by the  U.S. Department  of  Defense (DoD)  and how  to                                                               
rewrite  how national  security  -  related to  the  Arctic -  is                                                               
important to Alaska, and how the  state and the U.S. military can                                                               
work together for  a good Arctic strategy.   Calling attention to                                                               
the  guiding principles  of the  implementation plan,  he pointed                                                               
out  three lines  of effort  as follows:   Advance  U.S. security                                                               
interest;   Pursue   responsible   Arctic   region   stewardship;                                                               
Strengthen  international cooperation  [slide  4].   However,  he                                                               
stressed that NSAR did not  specify an effort towards responsible                                                               
development  in  order  to sustain  Arctic  communities,  utilize                                                               
Alaskans' talents, and benefit its people.                                                                                      
                                                                                                                                
11:30:44 AM                                                                                                                   
                                                                                                                                
SENATOR  MCGUIRE agreed.   In  fact,  at the  first interface  in                                                               
Barrow with the  federal team from Washington,  D.C., she offered                                                               
for  comparison  ["A Northern  Vision:  A  Stronger North  and  a                                                               
Better Canada,"  a document issued  by the Governments  of Yukon,                                                               
Northwest Territories,  and Nunavut, Canada].   In stark contrast                                                               
to the  U.S. implementation plan,  the Canadian  document focused                                                               
on the people of the North,  their economy, their future, and how                                                               
they are affected  by the changing climate.   She reiterated that                                                               
the focus  of the  U.S. document was  on advancing  U.S. security                                                               
interests  and  stewardship of  the  land  and animals,  but  "no                                                               
interrelationship to  the people that  live off the land  and how                                                               
they will be  influenced in the future as a  result of that ...."                                                               
Also,  references to  international cooperation  did not  include                                                               
Alaska.   Senator McGuire  said pointing  out these  omissions to                                                               
the federal  team was received positively  and through continuing                                                               
dialogue with  the team, the  goal of  AAPC remains "to  have the                                                               
people considered throughout."                                                                                                  
                                                                                                                                
11:32:20 AM                                                                                                                   
                                                                                                                                
CHAIR HUGHES asked whether the  federal team has incorporated the                                                               
suggestions offered  by AAPC, or whether  the implementation plan                                                               
dated  1/30/14  was  issued  prior   to  the  suggestions.    She                                                               
remarked, "You  mentioned there  were gaps ...  I'd like  to know                                                               
what those gaps are."                                                                                                           
                                                                                                                                
REPRESENTATIVE HERRON  clarified that he and  Senator McGuire are                                                               
referring to  the Implementation  Plan for the  National Strategy                                                               
for  the Arctic  Region  [the National  Strategy  for the  Arctic                                                               
Region  (NSAR) was  released 5/10/13  by the  White House].   The                                                               
implementation plan that was released  1/30/14 by the White House                                                               
calls for  "listening sessions," beginning 2/13/14  in Anchorage.                                                               
At  the  listening  sessions  the federal  team  will  meet  with                                                               
Alaskans and  solicit topics for  the chairmanship of  the Arctic                                                               
Council.   This fall, the  federal team will review  its findings                                                               
and negotiate  with the other  seven nations that are  members of                                                               
the Arctic Council  on the proposed themes.  He  advised that the                                                               
time for  Alaskans to work  with the  federal team on  themes for                                                               
the  Arctic  Council  is  this  spring  and  summer.    In  fact,                                                               
Representative   Herron  seeks   to  encourage   legislators  and                                                               
Alaskans  from  all  over  the  state  to  attend  the  listening                                                               
sessions  and influence  the choice  of themes,  thus dovetailing                                                               
Alaska's interests with those of the federal government.                                                                        
                                                                                                                                
11:35:03 AM                                                                                                                   
                                                                                                                                
SENATOR  MCGUIRE  stated AAPC  will  provide  a schedule  of  the                                                               
aforementioned hearings  so legislators can testify  in person or                                                               
by  phone.   Also,  AAPC  will provide  legislators  copies of  a                                                               
current  draft of  the implementation  plan for  their review,  a                                                               
draft of gaps  in the strategy that have been  identified at this                                                               
point,  and  for  comparison,  copies  of  Canada's  "A  Northern                                                               
Vision," and Norway's statement of vision for the Arctic.                                                                       
                                                                                                                                
11:36:28 AM                                                                                                                   
                                                                                                                                
CHAIR  HUGHES asked  whether AAPC  will propose  a theme  for the                                                               
upcoming chairmanship or is in the process of collecting ideas.                                                                 
                                                                                                                                
REPRESENTATIVE HERRON  responded that the governor  has contacted                                                               
the  White  House and  outlined  his  priorities related  to  the                                                               
Arctic.   Although the legislative branch  supports the governor,                                                               
he  opined  the legislature  needs  to  share  "our view  of  the                                                               
world."   At  the listening  sessions, Alaskans  can provide  the                                                               
team  local  information  that   may  not  have  been  considered                                                               
previously.                                                                                                                     
                                                                                                                                
SENATOR  MCGUIRE added  that  the themes  emerging  thus far  are                                                               
reflected in  the four vision  statements and the  sixteen policy                                                               
statements  in the  AAPC preliminary  report.   She  acknowledged                                                               
that  the legislature  should not  issue statements  inconsistent                                                               
with those of  the executive branch, but the state  has a history                                                               
of communicating  policy on many  subjects from both  branches of                                                               
government.  She expressed her  belief that themes will come from                                                               
all  branches of  government and  from individual  legislators as                                                               
well.                                                                                                                           
                                                                                                                                
11:39:34 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  HERRON identified  four groups  of Alaskans  that                                                               
are permanent  participants of  the Arctic  Council and  that are                                                               
presently  advocating for  Alaska  at the  council  level and  in                                                               
working groups:  Inuit  Circumpolar Conference; Arctic Athabaskan                                                               
Council; Gwich'in Council  International; and Aleut International                                                               
Association.                                                                                                                    
                                                                                                                                
SENATOR  MCGUIRE recalled  that  AAPC first  met  in Juneau  with                                                               
twenty-six  members  who  proved  to  be  a  dedicated  group  of                                                               
hardworking Alaskans  from the public  and the  legislature: five                                                               
Senators, five Representatives, one  executive branch member, and                                                               
fifteen public members appointed jointly  by the President of the                                                               
Senate and the  Speaker of the House.  Members  were divided into                                                               
subject matter groups led by  lawmakers and those with expertise.                                                               
Initially, AAPC worked  for Alaskans by providing  a public forum                                                               
for  compiling Arctic  issues, and  it continues  to hold  public                                                               
meetings with  information posted  on its web  site.   Also, AAPC                                                               
sets  guiding Arctic  policy  principles  for possible  inclusion                                                               
into  state statute,  and will  create the  AAPC final  report to                                                               
inform the  public and future  policy-makers.   Another important                                                               
part  of  the AAPC  mission  is  how  to  work with  the  federal                                                               
government, as Alaskans need greater  influence on Arctic policy.                                                               
She  said it  is important  to work  positively to  influence the                                                               
federal government on Arctic policy  and to maintain awareness of                                                               
federal overreach;  Senator McGuire  acknowledged that  the Obama                                                               
Administration  has engaged  very proactively  with AAPC  on this                                                               
matter.  Prior  to the preliminary report, AAPC sent  a letter of                                                               
intent  that  included  the following  key  assumptions:    state                                                               
leadership   and   experience   are  valuable;   the   need   for                                                               
federal/state/local  collaboration;  the need  for  international                                                               
engagement  and  governance; and  the  following  eight areas  of                                                               
consideration:      indigenous   perspectives   and   priorities;                                                               
governance; oil,  gas, and  mineral exploration  and development;                                                               
science  and  research;   energy;  planning  and  infrastructure;                                                               
security and marine transportation; fisheries.                                                                                  
                                                                                                                                
11:42:06 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  HERRON  displayed   four  pictures,  saying  they                                                               
represent  values held  dear  by Alaskans:    salmon; a  thriving                                                               
culture; safety and security for  the state; economic development                                                               
and  a  healthy  environment;  transparency  and  inclusion  into                                                               
decision-making.    He  recalled   testimony  from  a  seven-hour                                                               
meeting  in  Barrow,  and  said  that  all  of  those  testifying                                                               
preferred opening  the Arctic National Wildlife  Refuge (ANWR) to                                                               
drilling before  exploring for  oil in  the Chukchi  and Beaufort                                                               
Seas.                                                                                                                           
                                                                                                                                
SENATOR  MCGUIRE relayed  the federal  team heard  the elders  in                                                               
Barrow express  their appreciation  for the opportunity  to speak                                                               
at  the beginning  of the  meeting, and  also heard  overwhelming                                                               
testimony  - not  in opposition  to drilling  in the  Chukchi and                                                               
Beaufort Seas -  but pointing out that exploration  in the Arctic                                                               
is unknown,  and drilling in  areas similar to the  coastal plain                                                               
in ANWR  has been done successfully  for 50 years.   These points                                                               
were made  "by the  local people  that live  there, and  have the                                                               
most at stake," she said.                                                                                                       
                                                                                                                                
REPRESENTATIVE   HERRON   referred    back   to   the   strategic                                                               
recommendations, and restated that members  of AAPC were assigned                                                               
to work  on specific teams  [slide 12].   The Barrow  meeting was                                                               
the  highest attended  of all  of the  statewide meetings  [slide                                                               
13].  In Unalaska, residents  demonstrated to all of the visitors                                                               
that the  Bering Sea is  of key importance  to the Arctic  and to                                                               
the well-being of the state [slide 14].                                                                                         
                                                                                                                                
11:45:43 AM                                                                                                                   
                                                                                                                                
SENATOR MCGUIRE  stressed that,  but for  Alaska, the  U.S. would                                                               
not be an Arctic nation, and  Alaska cannot be separated from its                                                               
Arctic  region;  thus  all   residents  are  mutually  dependent.                                                               
Although  there  have  been divisions  between  rural  and  urban                                                               
communities,  at the  meeting in  Unalaska, awareness  was raised                                                               
among AAPC members  when they saw that the opening  of the ice in                                                               
the Northwest Passage and the Arctic  is changing the face of all                                                               
of Alaska.   For example,  one exploratory well  required twenty-                                                               
two  support  vessels  in  a  port that  processes  709  tons  of                                                               
pollock; a  boon in development  will bring to the  community and                                                               
port  the impact  of additional  pressure on  housing and  living                                                               
costs.   As policy-makers, the benefit  to the people is  part of                                                               
the management of opportunities for development.                                                                                
                                                                                                                                
REPRESENTATIVE HERRON  stated Unalaska  and Dutch  Harbor process                                                               
nearly a  billion tons of  seafood.   Meetings were also  held in                                                               
Adak, a  former U.S. Navy base  that is of key  importance to the                                                               
futures  of  the  Arctic  and  Alaska,  and  in  Bethel,  because                                                               
"whatever happens  in the Bering Sea  is going to affect  most of                                                               
Alaska  through  [the  tributaries  of the  Yukon  and  Kuskokwim                                                               
Rivers]  [slides 15  and 16].   The  key element  of Nome  is its                                                               
location  near  Port  Clarence,  and  the  infrastructure  needed                                                               
related  to search  and rescue  and  oil pollution,  in order  to                                                               
ensure safe passage of ships through the Bering Strait.                                                                         
                                                                                                                                
SENATOR  MCGUIRE encouraged  legislators  to  consider that  Port                                                               
Clarence and  Nome are  the first  places the  federal government                                                               
has conducted  meaningful feasibility studies, and  made movement                                                               
toward investment in Arctic infrastructure.                                                                                     
                                                                                                                                
11:50:15 AM                                                                                                                   
                                                                                                                                
SENATOR  GARDNER  asked whether  there  is  concern that  federal                                                               
permits for deep  water ports cannot be  obtained after [Alaska's                                                               
withdrawal from  the National Coastal Zone  Management Program on                                                               
7/1/11].                                                                                                                        
                                                                                                                                
REPRESENTATIVE HERRON said yes.  He  opined that a part of AAPC's                                                               
message to  fellow legislators  is to  understand the  Arctic and                                                               
one component  is how it affects  coastal zone management.    The                                                               
program  probably   should  be  reexamined  internally   so  that                                                               
legislators  can  understand  how   coastal  zone  management  is                                                               
important  to  infrastructure,  and the  protection  of  Alaska's                                                               
shores.   In further response  to Senator Gardner's  question, he                                                               
offered to  research whether the  state must have a  coastal zone                                                               
management program  in order to  obtain permits for a  deep water                                                               
port.                                                                                                                           
                                                                                                                                
11:52:19 AM                                                                                                                   
                                                                                                                                
CHAIR  STEVENS recalled  this subject  was  a major  part of  the                                                               
discussion over  the withdrawal from the  coastal zone management                                                               
program,  and  those in  support  of  the program  clearly  lost;                                                               
however, residents of  the Arctic are the most  concerned, and he                                                               
agreed that the issue deserves to be revisited.                                                                                 
                                                                                                                                
REPRESENTATIVE HERRON expressed his  desire for clarification [on                                                               
whether the  state will  have to have  a coastal  zone management                                                               
program in place].  He  returned to the presentation and informed                                                               
the committee  the University  of Alaska  Fairbanks (UAF)  is the                                                               
leading university  in the world  in the amount of  research done                                                               
on the  Arctic.  Although  UAF obtains  grant funds, it  is clear                                                               
the legislature needs to continue to invest in the university.                                                                  
                                                                                                                                
11:54:11 AM                                                                                                                   
                                                                                                                                
SENATOR  MCGUIRE  further pointed  out  that  at the  meeting  in                                                               
Fairbanks,  residents  indicated  that  the  community  was  more                                                               
Arctic-aware after the meeting.   Also, discussion at the meeting                                                               
brought up the value of models  such as the DEC and Yukon-Koyukuk                                                               
Tribal Communications Protocol, which  was a collaborative effort                                                               
by Yukon-Koyukuk  Tribes of Alaska, the  Environmental Protection                                                               
Agency and  the Department of  Environmental Conservation.   This                                                               
model provides other  ways that - in the absence  of coastal zone                                                               
management  - government  agencies  can  communicate with  Tribal                                                               
governments and  local communities in culturally  sensitive ways,                                                               
to benefit  from local knowledge.   As  an aside, she  noted that                                                               
AAPC's focus is on Arctic  policy, like economic opportunity, but                                                               
it also  creates a  social opportunity  to understand  more about                                                               
residents who live  in northern climates and who  may suffer from                                                               
certain deficiencies  and afflictions at  disproportionate rates.                                                               
In partnership  with universities,  AAPC seeks  to make  Alaska a                                                               
better place for people to live.                                                                                                
                                                                                                                                
REPRESENTATIVE HERRON  agreed and observed  that one of  the gaps                                                               
in  the  implementation plan  that  was  identified in  the  AAPC                                                               
preliminary report is discussion of the aforementioned issues.                                                                  
                                                                                                                                
11:56:51 AM                                                                                                                   
                                                                                                                                
SENATOR MCGUIRE closed, saying the  12/9-10/14 AAPC meetings were                                                               
work sessions  striving to deliver a  thorough preliminary report                                                               
to  the  legislature  [slide  20].   Subject  matter  experts  of                                                               
opposite minds came  together and created a  report that reflects                                                               
the  cross-section of  the  state.   She  urged  for more  public                                                               
hearings  in  Anchorage  and  Seward   to  raise  awareness,  and                                                               
encouraged  dialogue  to  "bring  more  Alaskans  along  on  this                                                               
particular issue, to  make it the kind of subject  that gets more                                                               
attention."                                                                                                                     
                                                                                                                                
CHAIR HUGHES agreed  it is important for all  Alaskans to embrace                                                               
the Arctic region, and related  her personal experience living in                                                               
Fort Yukon  and Bethel.   The  entire state  must be  involved to                                                               
provide infrastructure  and resource  development in  the Arctic,                                                               
thus  the  public  education  provided by  AAPC  needs  to  reach                                                               
everyone.  Chair Hughes appreciated  the work that influenced the                                                               
federal team at a critical moment in time.                                                                                      
                                                                                                                                
12:00:11 PM                                                                                                                   
                                                                                                                                
REPRESENTATIVE DRUMMOND surmised that  the policy statements from                                                               
Canada and Norway are posted on the web site: www.akarctic.com.                                                                 
                                                                                                                                
REPRESENTATIVE  HERRON   said  yes.    In   further  response  to                                                               
Representative Drummond,  he advised Norway, Sweden,  and Finland                                                               
had six consecutive years working  together in the Arctic Council                                                               
chairmanship; now  the U.S.  has the  Canadian chairmanship  as a                                                               
model.     However,   some   of  the   criticism   of  the   NSAR                                                               
implementation  plan  is  that   it  is  not  specifically  about                                                               
sustainable governments.  During Canada's  term, the focus was on                                                               
the  north, responsible  development,  sustainable economies  and                                                               
communities, and  a healthy environment.   The  legislature seeks                                                               
to inform the federal government  that the people of the northern                                                               
latitudes have a  vision - that should work in  concert with that                                                               
of  the  federal   government  -  of  what   the  Arctic  Council                                                               
chairmanship would  bring to the  Arctic.   Representative Herron                                                               
reviewed the challenges of the  Arctic:  huge differences between                                                               
resource  wealth  and   community  prosperity;  isolated,  remote                                                               
communities; lack  of infrastructure; layers of  ownership of the                                                               
land and  resources; risk  of increasing activity.   The  role of                                                               
AAPC  is  to deliver  the  preliminary  report, including  policy                                                               
statements  that provide  framework for  the state's  strategy in                                                               
the  Arctic;  inform local,  state,  and  federal policy  makers;                                                               
continue  coordination  with   the  federal  government;  conduct                                                               
outreach and  education activities  to raise  the profile  of the                                                               
Arctic  both  within   Alaska,  nationally,  and  internationally                                                               
[slide 21].   He  then referred  to "Arctic  Package" legislation                                                               
based on AAPC's work:   SB 140 and HB 288,  creating a vehicle to                                                               
leverage   private   money   for  infrastructure;   HB   165,   a                                                               
conversation about  an Alaska Arctic port  development authority;                                                               
HJR  24, a  resolution that  urges  for the  state department  to                                                               
allow Alaska to  participate in the selection of  the chairman of                                                               
the Arctic  Council and to have  Alaska priorities to be  part of                                                               
the theme.                                                                                                                      
                                                                                                                                
12:05:48 PM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  TARR  asked   whether  the  relevant  legislation                                                               
introduced this year replaces legislation previously introduced.                                                                
                                                                                                                                
REPRESENTATIVE  HERRON said  no.   House  Bill 165  is the  House                                                               
vehicle and SB 140 is the Senate vehicle.                                                                                       
                                                                                                                                
CHAIR HUGHES offered  the help of the committee  and thanked AAPC                                                               
for its important work.                                                                                                         
                                                                                                                                
12:07:43 PM                                                                                                                   
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the joint                                                               
meeting of  the House Special Committee  on Economic Development,                                                               
Trade  and Tourism  and  the Senate  Special  Committee on  World                                                               
Trade was adjourned at 12:07 p.m.                                                                                               

Document Name Date/Time Subjects
Feb 4 -AAPC-World-Trade-EDTT-Presentation.pdf HEDT 2/4/2014 11:15:00 AM
Arctic Policy