HB 28 - REPEAL COASTAL ZONE MGMT PROGRAM CO-CHAIRMAN HUDSON announced the next order of business was House Bill No. 28, "An Act repealing the Alaska Coastal Management Program and the Alaska Coastal Policy Council, and making conforming amendments because of those repeals." REPRESENTATIVE GREEN explained the bill was assigned to a subcommittee last spring upon which the proposed committee substitute (version 0-LS0189\E) was reviewed and supported by the subcommittee. CO-CHAIRMAN HUDSON called for a motion to adopt the proposed committee substitute. Number 2314 CO-CHAIRMAN OGAN made a motion to adopt the proposed committee substitute for HB 28, version 0-LS0189\E, Chenoweth, 3/6/97, as a work draft. REPRESENTATIVE JOULE objected. The subcommittee met, but never gave the interested people an opportunity to testify. He asked for explanation as to the weight of a subcommittee. Number 2394 CO-CHAIRMAN HUDSON explained a subcommittee is a working committee. It meets informally and tries to come up with a version to be brought back to the committee as a whole for a regular hearing process. TAPE 98-14, SIDE A Number 0020 REPRESENTATIVE JOULE removed his objection. Number 0030 REPRESENTATIVE GREEN explained to Representative Joule, for edification, there was a significant change from the original bill to the committee substitute which, in effect, was what the subcommittee planned to do anyway. CO-CHAIRMAN HUDSON announced the proposed committee substitute is officially before the committee for consideration. Number 0097 REPRESENTATIVE GENE THERRIAULT, Alaska State Legislature, sponsor of HB 28, explained he introduced HB 28 last year. However, after receiving many comments from colleagues and the public, he determined that an outright repeal was not the appropriate action and decided to address specific concerns. The changes are reflected in the proposed committee substitute (version 0- LS0189\E). REPRESENTATIVE THERRIAULT stated the proposed Committee substitute would modify the Alaska Coastal Management Program (ACMP) by reducing the boundary to exclude the zone of indirect influence. There are currently three zones - direct interaction, direct influence, and indirect influence. The zone of direct interaction is shoreline and beach area. The zone of direct influence extends landward from the zone of direct interaction to areas affected and influenced by the proximity between land and sea such as wetlands, salt waters and tide lands. The zone of indirect influence extends landward and inland to areas that support anadromous fish such as watersheds. The proposed committee substitute would require the 11 districts to exclude the zone of indirect influence. There are 33 or 35 districts, and 11 would be impacted by the restriction. The state's initial inland coastal boundaries, which include only the zones of direct influence and direct interaction, are the appropriate boundaries for the ACMP, the Minerals Commissions, and the Alaska Oil and Gas Association. REPRESENTATIVE THERRIAULT further explained the proposed Committee substitute would prohibit coastal districts from incorporating, by simple reference, the statutes and regulations adopted by state agencies, a provision supported by the Administration because of inconsistencies in findings. REPRESENTATIVE THERRIAULT further explained the proposed Committee substitute would prevent a district or state agency from stipulating to a matter for which the agency or district does not have authority. The intent is to ensure that the program does not expand any state agency's authority beyond the statutory authority that has been extended to them by the legislature. There is an amendment to clarify that the agency must have authority outside of the ACMP statute. REPRESENTATIVE THERRIAULT further explained the proposed Committee substitute would eliminate the petition process, but it is not intended to preclude someone from filing a suit in a superior court. The petition process only allows the council to determine whether comments are fairly considered and an appeal to the superior court is the only avenue available to review the merits of a decision. It is an unnecessary step and seldom used. It has only been used 12 times since 1979, 6 of the 12 times are since 1994. He believes it is being used to slow down the permitting process and the state agencies are frustrated making the same decision over and over. Number 0704 REPRESENTATIVE THERRIAULT read Amendment 1 as follows: TO: CSHB 28( ), Draft Version "E" Page 4, Line 4: Delete "not" Insert "only" Page 4, Line 5: Delete "may not by law exercise authority" Insert "has authority under a statute outside of this chapter" REPRESENTATIVE THERRIAULT explained the regulations for the ACMP in a number of places refer to the Forest Practices Act, and the Department of Environmental Conservation's statutes. "We don't want ACMP under their broad authority, by regulation, to try and extend that broad authority to agencies where we have specifically not given them statutory authority to regulate things and thereby place stipulations on permits." REPRESENTATIVE BARNES made a motion to adopt Amendment 1. There being no objection, it was so adopted. Number 0777 MARGY JOHNSON, Mayor, city of Cordova, explained she is also a board member of the Prince William Sound Regional Citizens Council. The city of Cordova opposes HB 28 (version 0-LS0189\E). Cordova has used the petition process and believes in it. The bill would turn it over, with all due respect, to bureaucrats and take away the rights of citizens to petition. Number 0831 CO-CHAIRMAN HUDSON asked Ms. Johnson what would be the financial implications to the city of Cordova. Number 0841 MS. JOHNSON replied she does not have the dollar amount. She explained the city has used the petition process for tanker contingency plans. Twenty-five percent of the nation's supply of oil goes through Cordova's back yard so it tries to be very clear and precise, and the bill would take away the city's ability to do that. CO-CHAIRMAN HUDSON announced the bill will be held over for further consideration.