HJR 19-ARCTIC MARINE SAFETY AGREEMENTS  11:33:11 AM CHAIR WESTLAKE announced that the first order of business would be HOUSE JOINT RESOLUTION NO. 19, Commending the Arctic Waterways Safety Committee; supporting the adoption of prevention measures into international agreements to ensure clear, universal, and enforceable marine safety measures in the Arctic; and urging the state's delegation in the United States Congress and the governor to promote the adoption of spill prevention measures into international agreements; urging the President of the United States and the United States Department of State to initiate negotiations to enter into international agreements to ensure safe and environmentally responsible marine operations in the Arctic. 11:33:28 AM The committee took an at-ease from 11:33 a.m. to 11:39 a.m. 11:39:12 AM JESSE LOGAN, Staff, Representative Dean Westlake, Alaska State Legislature, presented HJR 19 on behalf of Representative Westlake, prime sponsor, with the use of a PowerPoint presentation [hardcopy available in the committee packet]. He mentioned that formerly he was a policy advisor to the Alaska Arctic Policy Commission (AAPC). He relayed that HJR 19 deals primarily with marine safety prevention measures as they pertain to international traffic in the Bering Straits and bilateral agreements with Russia. MR. LOGAN relayed that Slide 2 cites the Alaska statute and the federal Act defining the "Arctic." He noted the yellow box on Slide 2 demonstrating the constriction point of the Bering Strait. He referred to Slide 3, entitled "Bering Strait Transits 2008-2016," which illustrates the vessel traffic in the Bering Strait during the last few years. He credited the Marine Exchange of Alaska (MXAK) for the graph. MR. LOGAN mentioned that the proposed resolution outlines some of the needs and challenges in ensuring that all vessels transiting the Bering Strait adhere to the same safety and prevention measures. He explained that beyond three miles from shore and up to the end of the Exclusive Economic Zone (EEZ), the strait is under federal jurisdiction; beyond that, it is in international and Russian waters. He asserted that the focus of the proposed resolution is the vessel traffic in the Bering Strait. MR. LOGAN stated that the proposed resolution commends the formation of the Arctic Waterway Safety [Committee] (AWSC), urges the governor and the state's congressional delegation to promote the adoption of the spill prevention measures and international agreements, and urges the President of the United States and the U.S. Department of State (DOS) to initiate negotiations with the state's coastal neighbors to enter into agreements to ensure safe and environmentally responsible marine operations in the Arctic. MR. LOGAN relayed that without the uniform safety and prevention measures for all vessels transiting Alaska waters, the state becomes increasingly vulnerable to adverse effects in the event of a mishap or a tragedy. He mentioned that later in the committee meeting, Paul Fuhs [President of the Board of Directors, MXAK] and Captain Ed Page [Executive Director, MXAK] will provide background on MXAK and offer more detail on how the proposed resolution would fit into international agreements. MR. LOGAN continued with Slides 4 and 5 to explain state policy and the function of AAPC, which has been in existence for just over two years. He stated that the goal of the commission was to develop an Arctic policy for the state and create an implementation plan for the policy. He said that for two years the commission convened public meetings around the state: the first was in Juneau; then meetings were held in Anchorage, Fairbanks, Barrow, Kotzebue, Nome, and Unalaska. He mentioned that each meeting began with a full day of listening sessions - gathering information from local leaders, community members, and stakeholders - to make the process as inclusive as possible. MR. LOGAN referred to Slide 6 and relayed that in 2015 the commission delivered its Final Report, the Implementation Plan [for Alaska's Arctic Policy], and the Executive Summary, provided in the committee packet and available electronically on the website, "akarctic.com." MR. LOGAN turned to Slide 7, entitled "Alaska's Arctic Policy," to highlight portions of the policy now codified in statute. He mentioned that the policy was a direct result of work by AAPC and former Representative Bob Herron, who introduced House Bill 1 in the Twenty-Ninth Alaska State Legislature, 2015-2016. He cited AS 44.99.105(a)(2)(A), which read, "strengthen and expand cross-border relationships and international cooperation, especially bilateral engagements with Canada and Russia." MR. LOGAN referred to Slide 8 and cited AS 44.99.105(a)(3)(A), shown on Slide 8, which read, "enhance disaster and emergency prevention and response, oil spill prevention and response, and search and rescue capabilities in the region." He cited subparagraph B, which read, "provide safe, secure, and reliable maritime transportation in areas of the state adjacent to the Arctic." He relayed that one of the most significant issues with maritime transportation in the Bering Strait is that the U.S. has jurisdiction over only a portion of it. He asserted that if all transiting vessels are not adhering to the same regulations, then it is possible that Alaska would see the adverse effects of the dangers mentioned in this statute. MR. LOGAN referred to AS 44.99.105(b), displayed on Slide 9. He said that the state has decided in policy to support the strategic recommendations of the implementation plan and to address the infrastructure and response capacity to support the Arctic region. 11:43:59 AM MR. LOGAN referred to Slide 10, entitled "Artic Policy Implementation Plan FOUR LINES OF EFFORT." He relayed that in the Implementation Plan, each of the four lines of effort are broken into multiple recommendations identifying the problem, the lead agency, and the plan for implementation. He stated that it was a "tool book" advising policy makers on a starting point, (indisc.--coughing) players, and how to move forward. MR. LOGAN referred to Slide 11, entitled "LINE OF EFFORT #2 ADDRESS RESPONSE CAPACITY." He stated that response capacity requires strong partnership and communication to prepare for incidents, respond, and develop best practices. MR. LOGAN referred to Recommendation 2A on Slide 12, which is to ensure strengthened capacity within the Administration to address Arctic maritime, science, climate, and security issues. He mentioned that the lead agency was the Governor's Office. He stated that HJR 19 specifically speaks to the governor working with other stakeholders and the [Alaska] U.S. congressional delegation to support bilateral agreements on marine safety standards within the Bering Strait and elsewhere. MR. LOGAN referred to Recommendation 2C on Slide 13, which is to expand the development of appropriately integrated systems to monitor and communicate Arctic maritime information. He stated that MXAK and the Alaska Ocean Observing System (AOOS) were identified as the lead agencies for this recommendation. He mentioned that a presentation from MXAK is scheduled later in the committee meeting. He noted the map on Slide 13 showing the major Arctic shipping routes; three of the routes converge in the Bering Strait. MR. LOGAN referred to Recommendation 2H on Slide 14, which is to foster and strengthen international partnerships with other Arctic nations and to establish bilateral partnerships with Canada and Russia to address emerging opportunities and challenges in the Arctic. He stated that the lead agencies for this recommendation are the Office of International Trade, Alaska's Congressional Delegation, U.S. DOS, and the President of the United States. He referred to the Northeast Passage, shown on the slide, and asserted that it is vitally important not only because it is open for increased vessel traffic, but because it reduces vessel transit by ten days and 10,000 kilometers. It represents savings for shipping to the Far East and is increasingly being utilized. MR. LOGAN referred to Slide 15, a repeat of Slide 3, to emphasize that increased vessel traffic positions Alaska uniquely. Vessels not calling on Alaska or U.S. ports are considered innocent passage and are not subject to U.S. safety prevention measures - increasingly a cause for concern. 11:47:34 AM REPRESENTATIVE TUCK mentioned that he viewed a digital video disc (DVD) on the Northwest Passage. He said that the route shown on the map on Slide 14 is one of the two routes that explorers tried to find for many years. He relayed that he learned from the DVD that 15-25 percent of the world's supply of oil and natural gas is in that region. 11:48:20 AM CHAIR WESTLAKE opened public testimony on HJR 19. 11:48:43 AM WILLIAM HARRINGTON offered his congratulations on the intent and timeliness of the proposed resolution. He offered that lines 9- 12, on page 2, of HJR 19, clearly state that Alaska's ability to control other nations' Arctic oil and gas ventures is nonexistent. He relayed that on April 19, 2017, British Broadcasting Corporation (BBC) Japan broadcasted a show featuring Russian-Japanese collaboration to deliver Arctic gas to Japan via huge Liquefied natural gas (LNG} tankers. He said a $200 million Japanese investment was mentioned. He claimed it was not possible to fully gauge the entire situation from this reputable news source. He concluded that LNG tankers will ply the Bering Strait and the Arctic if the Russian-Japanese consortium has its way. He added that his modeling shows this to be 12 to 15 years in the future. He urged that Alaska not pursue a gas pipeline to tide water. 11:50:26 AM CHAIR WESTLAKE closed public testimony on HJR 19. 11:50:40 AM REPRESENTATIVE NEUMAN relayed that when he worked with AAPC in its first year, his office worked on infrastructure and wildlife policies. He stated that regarding infrastructure, there was much discussion on location of entry ports to the Arctic; both Dutch Harbor and the Northwest region were considered. He asked for an update on that issue. 11:51:34 AM MR. LOGAN answered that the question is longstanding, especially as it relates to a deep-water port, which does not exist north of Dutch Harbor - 800 miles from the Arctic Circle. He said that [the possibility of] a dual port in Nome and Port Clarence was most recently identified by the federal government and the Army Corps of Engineers (ACE). He mentioned that an earlier HAET committee meeting provided an update on what Nome is doing to bring the port to fruition. He said that Cape Blossom near Kotzebue has also been considered. He opined that other communities would undoubtedly wish to have a port as well. MR. LOGAN stated that one of the final reviews of ACE concerning the deep-water port in Nome specifically stated that without an anchor tenant, such as oil and gas drilling in the Chukchi or Beaufort Sea, a port there may not be economically viable. He added that with the right kind of agreements with Russia for vessel transiting, there may be opportunities for transiting vessels to call on ports. He added that Adak has the capacity to be a storage and distribution center for vessels with ice navigation capabilities "to come down through the Northeast Passage, drop their cargo in Adak, and move back and stay within icy waters where other vessels can then distribute to either the U.S. or to Asia." REPRESENTATIVE NEUMAN asked for the locations of the U.S. Coast Guard (USCG) ports in Alaska besides Kodiak. MR. LOGAN responded that to the best of his knowledge Kodiak is the main station, and USCG has temporary stations north of Barrow and out of Kotzebue for Arctic exercises. REPRESENTATIVE NEUMAN shared that Alaska's congressional delegation has been working very hard to get a U.S. ice breaker, which he hopes would be stationed in Alaska. 11:53:59 AM CHAIR WESTLAKE announced that HJR 19 would be held over. HJR 19-ARCTIC MARINE SAFETY AGREEMENTS  12:26:48 PM CHAIR WESTLAKE announced that the final order of business would be the return to HOUSE JOINT RESOLUTION NO. 19, Commending the Arctic Waterways Safety Committee; supporting the adoption of prevention measures into international agreements to ensure clear, universal, and enforceable marine safety measures in the Arctic; and urging the state's delegation in the United States Congress and the governor to promote the adoption of spill prevention measures into international agreements; urging the President of the United States and the United States Department of State to initiate negotiations to enter into international agreements to ensure safe and environmentally responsible marine operations in the Arctic. 12:26:52 PM CHAIR WESTLAKE reopened public testimony on HJR 19. 12:27:05 PM RACHAEL KALLANDER, Founder and Executive Director, Arctic Encounter Symposium (AES), testified that AES is the largest annual Arctic policy and economics symposium in the U.S. She mentioned that AES just hosted the Fourth Annual Arctic Encounter in Seattle on April 13 and 14; AES also hosted a group of young Alaskans as part of its team. She relayed that AES hosted Arctic Encounter in Paris last year during the United Nations (UN) Convention on Climate Change, also referred to as COP 21. She shared that there were stimulating discussions at last week's symposium and expressed her belief that the proposed resolution is timely. She mentioned that many Alaskans participated in the conference. The conference speakers included Alaska Senator Lisa Murkowski, Alaska U.S. Representative Don Young, Ambassador [Geir H. Haarde] from Iceland, Ambassador [Kre R. Aas] from Norway, and the former Prime Minister of Greenland [Aleqa Hammond]. She said that all were enthusiastic and optimistic to work with the State of Alaska, the legislature, and Alaska's congressional delegation, to "push forward" on many issues impacting the Arctic and the people who live in the Arctic. She offered her support for HJR 19 and the efforts to raise awareness. MS. KALLANDER stated that she wished to share the AES mission, which is to gather together all the stakeholders to engage challenges and debate solutions for responsible development, sustainable environments, and healthy communities. She said that she learned at last week's symposium that the stakeholders have an opportunity and a responsibility to raise awareness together. She said that she feels compelled to point out that "we're in a time and place in history in which we really have to innovate and advocate for the best future possible results." She offered that there are many young Alaskans around the state who are engaged in these issues. She emphasized the importance of the committee's role in involving Alaskans in these issues that will impact the future of the state. She offered the assistance and support of AES for the committee's efforts. 12:30:30 PM CHAIR WESTLAKE, after ascertaining that no one else wished to testify, reclosed public testimony on HJR 19. [HJR 19 was held over.]