HB 177-CRITICAL NATURAL MINERALS PLAN AND REPORT                                                                    
                                                                                                                                
2:50:12 PM                                                                                                                    
                                                                                                                                
CHAIR MCKAY announced that the final order of business would be                                                                 
HOUSE BILL NO. 177, "An Act relating to critical and essential                                                                  
minerals and the global energy transition."                                                                                     
                                                                                                                                
                                                                                                                                
REPRESENTATIVE RAUSCHER moved to adopt the proposed committee                                                                   
substitute (CS) for HB 177, 33-LS0744\B, Dunmire, 2/21/24, as                                                                   
the working document.                                                                                                           
                                                                                                                                
CHAIR MCKAY objected for the purpose of discussion.                                                                             
                                                                                                                                
2:50:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE DAN  SADDLER, Alaska  State Legislature,  as prime                                                               
sponsor, presented and  explained the changes in HB  177 from the                                                               
original  bill version  to Version  B.   The  summary of  changes                                                               
[included  in the  committee packet]  read  as follows  [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
     Summary of Changes: Version A to Work Draft Version B                                                                      
     House Bill 177                                                                                                             
     "An  Act relating  to critical  and essential  minerals                                                                    
     and the global energy transition."                                                                                         
                                                                                                                                
     Page 1, Line 1                                                                                                             
                                                                                                                                
     Version  B removes  the words  "and  the global  energy                                                                    
     transition" from the bill title.                                                                                           
                                                                                                                                
     Section 1, Subsection (a)  Page 1, Lines 3-15                                                                              
                                                                                                                                
     Subsection (a) was revised  to convey the legislature's                                                                    
     intent  that the  State of  Alaska develop  a strategic                                                                    
     plan  to   increase  critical  and   essential  mineral                                                                    
     development  activity in  the state.  Version A  of the                                                                    
     bill limited this  task to the Office  of the Governor,                                                                    
     but  Version  B  expands  the scope  by  including  the                                                                    
     entire  state government  in  the  development of  this                                                                    
     strategic plan.                                                                                                            
                                                                                                                                
     Version B  also removes references to  the end products                                                                    
     that critical and essential minerals  can be used in to                                                                    
     avoid  the  implication  that  critical  and  essential                                                                    
     minerals only  have a limited  use, when in  fact there                                                                    
     are a wide array of uses for these minerals.                                                                               
                                                                                                                                
     Section 1, Subsection (b)  Page 2, Lines 1-16                                                                              
                                                                                                                                
     Subsection  (b) was  amended by  deleting  the list  of                                                                    
     specific minerals  found in Version A  and replacing it                                                                    
     with  language  directing  the  Department  of  Natural                                                                    
     Resources to rely on the  most recent critical minerals                                                                    
     lists  published by  the  United  States Department  of                                                                    
     Energy  and   the  United  States  Department   of  the                                                                    
     Interior, Geological Survey.                                                                                               
                                                                                                                                
     Subsection  (b)  was  further amended  to  add  "Native                                                                    
     corporations"  to the  list  of  stakeholders that  the                                                                    
     Department of  Natural Resources may consult  with when                                                                    
     developing the report. Language  was also added to this                                                                    
     subsection  requiring  the  commissioner  to  post  the                                                                    
     finalized report on the department's website.                                                                              
                                                                                                                                
     Section 2, AS 44.33.431(c)  Page 2, Lines 17-24                                                                            
                                                                                                                                
     Subsection  (c)  of  Version   A,  which  directed  the                                                                    
     Department   of  Commerce,   Community,  and   Economic                                                                    
     Development to  provide a report,  was deleted.  In its                                                                    
     place,  Section  2  of  Version  B  amends  the  Alaska                                                                    
     Minerals Commission  statute by adding  the requirement                                                                    
     that the  commission also make  recommendations related                                                                    
     to  strategies for  increasing  critical and  essential                                                                    
     mineral development in the state                                                                                           
                                                                                                                                
2:53:34 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MEARS  suggested that  specific energy  uses might                                                               
be identified under HB 177.                                                                                                     
                                                                                                                                
REPRESENTATIVE SADDLER explained his  preference to keep the bill                                                               
broad to  leave the option  open to incorporate future  uses such                                                               
as new energy.                                                                                                                  
                                                                                                                                
REPRESENTATIVE MEARS  clarified her  question but  commented that                                                               
it might be outside the scope of this bill.                                                                                     
                                                                                                                                
2:56:15 PM                                                                                                                    
                                                                                                                                
[The objection to adopting Version B was treated as withdrawn.]                                                                 
                                                                                                                                
REPRESENTATIVE RAUSCHER  moved to report CSHB  177 (RES), Version                                                               
33-LS0744\B, Dunmire,  2/21/24, out of committee  with individual                                                               
recommendations and the accompanying fiscal notes.                                                                              
                                                                                                                                
2:56:36 PM                                                                                                                    
                                                                                                                                
There being  no objection,  CSHB 177.,  as amended,  was reported                                                               
out of the House Resources Standing Committee.