HB 46  MINING CLAIMS ON PUBLIC LANDS                                    
                                                                               
       BRUCE CAMPBELL testified  on behalf of HB  46.  SENATOR                 
       PARNELL MOVED  Amendment #1.    SENATOR ADAMS  objected                 
       then   withdrew   his  objection.      Without  further                 
       objection, Amendment  #1 was  ADOPTED.  JULES  TILESTON                 
       testified in  support of  HB 46.   SENATOR  ADAMS MOVED                 
       SCSCSHB   46(FIN)   from   committee  with   individual                 
       recommendations.    Without objection,  SCSCSHB 46(FIN)                 
       was REPORTED OUT with a new  fiscal note (7.5) from the                 
                                                                               
                                                                               
       Department of Natural Resources.                                        
  CS FOR HOUSE BILL NO. 46(RES)                                                
  "An Act relating to mining;  and providing for an  effective                 
  date."                                                                       
                                                                               
  BRUCE CAMPBELL, Staff,  Representative Pete Kelly, explained                 
  the bill to the  committee.  It was developed as  part of an                 
  extensive   review  process   conducted   by  large   mining                 
  operations on state  land such as Fort Knox,  Illinois Creek                 
  and others.  It was found there  were areas in the code that                 
  could be  more consistent.   The  bill amends  the Title  27                 
  mining  code to allow  coal miners  wider access  to federal                 
  funds  for  permitting related  activities.   It  amends the                 
  Title 38 mining  code to correct inconsistencies  and reduce                 
  paperwork   and   establishes   a   520   acre   Petersville                 
  Recreational Mining Area.                                                    
                                                                               
  In response to  a question from SENATOR ADAMS,  MR. CAMPBELL                 
  referred  to  page  10,  line  28  and  explained  that  the                 
  calculation was rounded  to the  nearest five dollar  units.                 
  SENATOR  ADAMS  inquired how  HB  46 would  stimulate mining                 
  activities in Alaska.   MR. CAMPBELL  replied that the  bill                 
  did not have  that broad of  goal, it was  intended more  to                 
  provide  consistency  throughout the  code.    SENATOR ADAMS                 
  noted  an  amendment  in  committee   files  and  asked  for                 
  explanation.                                                                 
                                                                               
  MR. CAMPBELL  stated the  amendment was  a clarification  of                 
  wording  changes  related  to location,  lease  and  permit,                 
  adding  that there was  no intent  to revoke  anyone's prior                 
  existing rights acquired through location, lease or permit.                  
                                                                               
  SENATOR PARNELL MOVED Amendment #1.   SENATOR ADAMS objected                 
  and asked to hear from the department.                                       
                                                                               
  JULES  TILESTON,  Director,  Division   of  Mining  &  Water                 
                                                                               
                                                                               
  Management, Department  of Natural  Resources, testified  in                 
  support of  the amendment,  stating it  was a  clean way  to                 
  clarify the  intent. SENATOR  ADAMS withdrew  his objection.                 
  Without  further  objection,   Amendment  #1  was   ADOPTED.                 
  SENATOR ADAMS asked the department's  overall position on HB                 
  46.  MR. TILESTON stated support and urged its passage.                      
  SENATOR  ADAMS  MOVED SCSCSHB  46(FIN)  from  committee with                 
  individual  recommendations.    Without  objection,  SCSCSHB                 
  46(FIN) was REPORTED OUT  with a new fiscal note  (7.5) from                 
  the Department of Natural Resources.