CS FOR HOUSE BILL NO. 51(O&G) "An Act relating to the Department of Environmental Conservation." Representative Rokeberg, sponsor, introduced his bill. He referred to work draft O-LS0091\O dated 4/15/97. Senator Parnell moved work draft O-LS0091\O for discussion purposes. Senator Adams objected. Representative Rokeberg gave a brief overview of the bill. He clarified misinformation of the bill and said it would not lessen state water quality. In response to a question by Senator Adams he said the State had no privacy under federal statute. Co-chair Sharp thanked the sponsor for his time and explanation of the bill. At this point, Co-chair Sharp noted that the cities of Anchorage, Fairbanks, Cordova, Kenai, Homer and Haines were on teleconference line. He took testimony from the following individuals who testified either in support of or against the bill. Cherie Shaw, Cordova Fishermens' United, Cordova; Ron Yarnell, Fairbanks; Dale Anderson, Chena Hot Springs; Karl Hanneman, President Alaska Miners' Association; Joe Bridgeman, Regional Citizens' Advisory Commission, Prince of Wales Sound; Nancy Lethcoe, Valdez; Jeff Parker, Alaska Sport Fish, Anchorage; Martha Levensaler, U.S. National Wildlife, Anchorage; Dorothy Childers, Anchorage; Dennis Randa, Trout Unlimited, Kenai; Linda Wright, Kenai; Cheri Edwards, Kenai; Joel Cooper, Homer; Bob Shavelson, Cook Inlet Keeper Program, Homer; Marla McPherson, UAF student, Fairbanks; Mike McDougal, UAF fisheries student, Fairbanks; Chris Miller, Fairbanks; Tim June, commercial fisherman, Haines; Norman Blank, commercial fisherman, Haines; Vivian Manaker, Haines; Dale Bonddurant, Kenai; Peggy Mullen, Kenai; Cliff Eames, Alaska Center/Environment, Anchorage; Becky Gay, Resource Development Council, Anchorage; Suzanne Mills, UAF, Fairbanks; Kerynn Fisher, Fairbanks; Keith Nyitray, Talkeetna; Bob Benda, Valdez; Constance Griffith, Haines; Dwight Hales, Haines; Neil Plested, Fairbanks; Sylvia Ward, NAEC, Fairbanks; and Sara Callaghan, Fairbanks. The following individuals testified in Juneau either in support of or against the bill. Dick Myron, Fritz Cove; Kate Troll, Executive Director, United Fishermen; John Stedman, commercial fisherman; Susan Schrader, Alaska Environmental Conservation; and Irene Alexicos, Alaska Clean Water Lines. Following teleconference testimony and testimony taken from local Juneau residents Co-chair Sharp continued with testimony from Al Ewing, Deputy Commissioner, Department of Environmental Conservation. Mr. Ewing offered his comments to version "O" of the bill and explained its' intent. He referred to last year's bill HB 71. He said mixing zones were of unlimited size. It is now up to Alaskans to set the standards for water quality and he explained the definition of "drinking water". He said the national toxic rule (NTR) was being closely monitored and therefore in many places the discharge water was cleaner than the receiving water. There was a continuing problem with HB 51. Alaska quality standards are not as high as they could be. He referred briefly to EPA negotiations. Alaska has ben able to use site specific procedures. The department was committed to industry but also committed to "doing it right". He felt therefore, that the Department of Environmental Conservation was on the right track. Co-chair Sharp referred to the consensus group on mixing zone problems. Mr. Ewing responded that the effort was ongoing. There had been three public hearings and it was expected within one week to send the results to the Lt. Governor's office. Co-chair Sharp referred to glaciated intake streams. Mr. Ewing said they did issue site specific permits including the Red Dog Mine and the Kensington Mine. Senator Adams said the bill was to solve water problems. Mr. Ewing said he had tried to probe what the particular bill was trying to solve. He noted there were approximately twelve issues not addressed by HB 51. Senator Adams asked about drinking water and Mr. Ewing said there was no surface water that would qualify as drinking water. Senator Adams referred to an EPA report but Mr. Ewing said he could not speak for EPA. He did feel that HB 51 was headed in the wrong direction. Senator Adams asked Mr. Ewing to compare fish and food processing waste water to industrial waste water. Mr. Ewing responded by asking Senator Adams as an example if he would use industrial waste water for food processing intake water. Co-chair Sharp also commented on the fisc process waste water. Mr. Ewing said the food and fish processors are being regulated. Co-chair Sharp continued by saying that there were concerns in interior Alaska. The real bandits have been driven out and there were a few good operators left. Section 10, he said, had never done Alaska any favours. Mr. Ewing said the department was working in conjunction with the Alaska Miners' Association. Co-chair Sharp said Commissioner Brown's efforts were appreciated and referred to a letter from the Alaska Miners' Association. Senator Pearce asked the two definitions of "natural conditions" be explained. Representative Rokeberg referred to page 6, line 15. Bruce Campbell, staff to Representative Pete Kelly was also invited to join the committee and explained the referenced item. Representative Rokeberg further continued on to page 7, line 2. Senator Pearce posed a hypothetical question. Mr. Ewing responded saying that basically, the water being discharged was more clean than the water being discharged into. Senator Pearce asked specifically about the Usibelli Coal mine. Representative Rokeberg said the mine has been in existence since 1983. Senator Phillips inquired about the committee's schedule. Co-chair Sharp said there were eight bills on the calendar to be heard in the morning. Senator Adams removed his objection to the draft version "O". Co-chair Sharp referred to amendment #1 and asked Representative Rokeberg to explain the amendment. Mr. Campbell also gave a brief review of it. It contained a clarification of "background condition" and would remove the confusing language regarding the mixing zone. Representative Rokeberg continued, explaining page 6, noting that the definition of industrial use would be removed. The fish processing plants would benefit. Ne noted that the fishing industry in general was exempt from the Clean Water Act. He also said the requests made by the Miners' Association would be met under this amendment. Senator Adams cautioned that amendment #1 was not properly before the committee. Senator Pearce moved amendment #1. Co-chair Sharp said the amendment did not remove "industrial use", but in response, Representative Rokeberg referred to page 6, lines 27 - 29 and said that it did. Therefore, without objection, amendment #1 was adopted. Senator Adams asked HB 51 be held in committee. He needed to inquire further as to the needs of his constituents and he did not want it to be "industry vs. industry" in his district. Senator Torgerson also faced the same problems and requested the bill be held. He was not in favour of the bill at present and would like to read further into its' background. Co-chair Sharp voiced his same concerns. Senator Pearce felt there should be a new fiscal note from the department. At this point, Co-chair Sharp set the bill aside. He reviewed the schedule for tomorrow morning commencing at 9:00 a.m. ADJOURNMENT Co-chair Sharp recessed the meeting at 8:50 p.m. until 9:00 a.m. tomorrow morning.