HJR 45-OPPOSE FEDERAL CAP AND TRADE LEGISLATION  3:10:27 PM CO-CHAIR MILLETT announced that the first order of business would be HOUSE JOINT RESOLUTION NO. 45, Urging the United States Congress not to enact Cap and Trade legislation. 3:10:36 PM REPRESENTATIVE BILL STOLTZ, Alaska State Legislature, informed the committee that a legislative resolution is a formal letter to Congress expressing concerns about issues outside of the legislature's political boundaries. He opined Congressional leaders and the White House are supporting a policy of cap and trade legislation which, if enacted, would have deleterious impacts on all levels of the national economy. Representative Stoltze, and the co-sponsors of HJR 45, respectively disagree with the supporters of cap and trade legislation and the resolution points out their concerns. He noted that Congressman Don Young and Senator Lisa Murkowski helped formulate the resolution. In the interest of efficiency, he said he would support the amendment to be offered by Representative Tuck. Representative Stoltze stressed that cap and trade legislation adds to the living expenses of the average American family and of individuals, and prevents opportunities in an inexhaustible list of industries. He urged the committee to bring forward the resolution. 3:15:34 PM REPRESENTATIVE JOHANSEN observed producer and user states differ on this issue. He offered his support. 3:15:57 PM REPRESENTATIVE STOLTZ advised that user states are unaware of how affected they are. 3:16:16 PM CO-CHAIR MILLETT opened public testimony. 3:16:29 PM MIKE MILLER, Vice Chairman, Northern Region, National Federation of Independent Business (NFIB), said his organization is in strong support of the resolution. As a business owner with businesses in North Pole and Ketchikan, he stated that 3,600 jobs in Alaska may be lost if cap and trade legislation is enacted. This would happen because when small businesses cut budgets, they cannot cut items like taxes, but must cut wages. As a result, jobs have been lost in the visitor and gift industries during the past two years. Furthermore, according to the Heritage Foundation, federal cap and trade legislation will increase the price of gasoline by $1.20 per gallon. Especially in the visitor industry, the more a visitor's cost of transportation to Alaska is raised, the less he or she has to spend. In addition, all of Alaska's residents are affected by the cost of transportation for goods. In fact, there was a 20 percent fuel surcharge added on to a recent shipment to one of his businesses. Mr. Miller concluded that for every dollar taken out of the economy by the loss of jobs, the economy is negatively affected. He re-stated his support for HJR 45. 3:21:07 PM MEERA KOHLER, President and CEO, Alaska Village Electric Cooperative (AVEC), informed the committee AVEC serves 53 small villages throughout the state. Ms. Kohler recalled that the issue of cap and trade and carbon taxes is not new. She agreed with the resolution's sponsor that potential carbon taxes would affect those who can least afford it. For example, in rural areas residents do not have opportunities to use renewable sources of energy that do not come from fossil fuels and they will "be hit very, very hard." She noted that a ton of carbon on the market for $50 equates to a cost of $0.04 per kWh in the villages, and to a 40 percent increase in rates for Anchorage Municipal Light and Power (ML&P). Ms. Kohler urged that Alaska send a message as quickly as possible that this is an unfair tax. 3:22:59 PM CO-CHAIR MILLETT closed public testimony. 3:23:09 PM REPRESENTATIVE TUCK moved to adopt Conceptual Amendment 1. REPRESENTATIVE JOHANSEN objected. 3:23:34 PM REPRESENTATIVE TUCK advised that on page 1, line 8, of the resolution, the conceptual amendment deletes "that has been backed by a partisan", and inserts "and is before Congress". 3:24:38 PM REPRESENTATIVE STOLTZ said this is a constructive amendment. REPRESENTATIVE EDGMON supported Conceptual Amendment 1. 3:25:11 PM REPRESENTATIVE JOHANSEN withdrew his objection. CO-CHAIR MILLETT announced Conceptual Amendment 1 was adopted. 3:25:29 PM REPRESENTATIVE EDGMON moved to report HJR 45, [as amended] out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, CSHJR 45(ENE) was reported from the House Special Committee on Energy.