SJR 7-NAT'L PETROLEUM RESERVE IN ALASKA  3:30:59 PM CO-CHAIR GIESSEL announced the consideration of SENATE JOINT RESOLUTION NO. 7 Supporting oil and gas leasing and development within the National Petroleum Reserve in Alaska; and urging President Biden and the United States Department of the Interior to approve the Willow Master Development Plan. She directed attention to the sponsor statement in member's bill packets and highlighted the fourth paragraph. It read: Revenue from the Willow project will produce positive results for the residents of the region for generations. This will come from the subsequent family-supporting jobs, expanded healthcare and education opportunities and overall prosperity. As happened over the past 40 years or more, this project will result in positive health and well-being impacts for Alaskans in every corner of our state. CO-CHAIR GIESSEL relayed that the foregoing statement was based on the substantive data from the Journal of American Medical Association Retrospective Study on Life Expectancy in the state of Alaska over the years when the Trans Alaska Pipeline System (TAPS) came online, Red Dog Mine started production, and the Magnuson Stevens Act passed. 3:32:12 PM JULIA O'CONNOR, Staff, Senator Cathy Giessel, Alaska State Legislature, Juneau, Alaska, introduced SJR 7 on behalf of the committee with the following statement: • The National Petroleum Reserve in Alaska (NPR-A) was established in 1923 by the federal government to provide oil for the United States Navy. • The 23.5 million acres of NPR-A falls entirely within the North Slope Borough. • The NPR-A has become a critical source of oil and gas production in Alaska, with great potential for future development. • The Willow Project, located in the Bear Tooth Unit of the NPR-A, is one of the largest oil development prospects in Alaska. The project would tap into reserves of an estimated 600 million barrels of oil and produce 180,000 barrels per day at peak production. If approved, the project could generate billions of dollars in revenue and create thousands of jobs. • The Willow Project has support from communities on the North Slope, Alaska Native leaders, labor unions, and stakeholders. In addition, Alaska's entire United States Congressional delegation stands together in support of the project. • The NPR-A's 2020 Integrated Activity Plan was developed in partnership with local communities and tribes. It included provisions to ensure responsible development and mitigation of impacts on the environment and cultural resources. • The Department of the Interior's recent reversal to the 2013 plan, which removes 7 million acres from potential oil and gas development, ignores the needs and input of local communities and violates Executive Order 13175. • Safe and responsible oil and gas development has been demonstrated by over 50 years of activity on the North Slope without adverse effects on the environment or wildlife populations. • Senate Joint Resolution 7 urges the Department of the Interior to support the responsible development of resources in the National Petroleum Reserve in Alaska and issue a positive final record of decision for the Willow Project. 3:34:22 PM CO-CHAIR GIESSEL found no questions and moved to invited testimony. 3:34:49 PM REPRESENTATIVE JOSIAH PATKOTAK, District 40, Alaska State Legislature, Juneau, Alaska, sponsor of the House companion resolution for SJR 7, confirmed that oil development had generational impact on the people living on the North Slope. He conveyed that his grandfather was born in 1932 just outside of Kaktovik, which is now known as ANWR, the Alaska National Wildlife Refuge. His grandmother, who was born in 1920 on the delta of the Prudhoe Bay area, told stories of getting crude oil on her boots when she played in the mud. Her grandfather migrated from Noatak to Colville to start whaling. Representative Patkotak said his family's history in this area is why he's compelled to speak to development in this region. REPRESENTATIVE PATKOTAK reviewed the history of the NPRA beginning in 1923 when it was established by President Warren Harding as a source of oil for commercial development. In 2017, US Geological Survey (USGS) research estimated the area had 8.7 billion barrels of recoverable oil. In 2020, the Bureau of Land Management (BLM) issued a record of decision for the Willow Project Master Plan and in 2021 the Ninth Circuit issued an injunction. As of February 1, 2023, the final environmental impact statement (EIS) with the preferred alternative E was issued. This started the 30-day period for the record of decision. REPRESENTATIVE PATKOTAK conveyed that the companion resolution for SJR 7 was amended to speak to the role that the Willow Project could play in furthering renewable energy where possible. He highlighted that the residents of Utqiagvik/Barrow were able to access natural gas starting in the '60s and the residents of Nuiqsut began using natural gas in 2008 from the Alpine facility. This has saved money and reduced dependence on diesel for these residents. He said his priority is to help more people in the region reduce their reliance on diesel for home heating and power generation. CO-CHAIR GIESSEL asked him to illuminate the fiscal impact of development in the NPRA for the North Slope Borough. 3:39:43 PM REPRESENTATIVE PATKOTAK replied that the property tax assessment over the 30-year estimated life of the Willow project is estimated to have a local impact of $1.2 billion. Over that timeframe the share of state and federal royalty that goes into the NPRA grant mitigation fund is expected to be about $2.3 billion. The aggregated total is $3.5 billion. Importantly, this allows affected municipalities, city governments, and tribal entities east of the Colville River to access these grant funds and better the lives of residents. CO-CHAIR GIESSEL relayed that she worked for the North Slope School District for nine years, so she knows first-hand the positive impact the Willow Project will have on the communities in the area. 3:43:45 PM SENATOR CLAMAN asked if he was requesting this committee amend SJR 7 to match the companion House resolution that was amended in the Resource Committee. CO-CHAIR GIESSEL said it was not necessary for the committee to address an amendment at this time. REPRESENTATIVE PATKOTAK agreed that action was not necessary at this time. 3:44:53 PM NAGREUK HARCHARIK, President, Voice of the Arctic Inupiaq, Anchorage, Alaska, provided invited testimony in support of SJR 7. He described the nonprofit organization and relayed that the board asked him to convey its unanimous support of the Willow Project and SJR 7. He said it represents a positive model of cultural, economic, and ecological interdependence. He highlighted the benefits to communities from projects like Willow, including food security through research and monitoring of marine mammals by state and federal agencies as well as direct and indirect jobs. Projects like Willow help the people in the area use modern technology and equipment to continue their customary and cultural traditions. MR. HARCHARIK stated that the Voice of the Arctic Inupiaq is asking the Biden administration to fulfil its promise and listen to the indigenous voice. Throughout the North Slope, the people value and believe in unity in the family and among and between communities. Legislative support of SJR 7 will send a clear message of unity to the Biden administration. 3:49:22 PM CO-CHAIR GIESSEL opened public testimony on SJR 7. 3:49:49 PM KARA MORIARTY, President and CEO, Alaska Oil and Gas Association (AOGA), Anchorage, Alaska, stated that SJR 7 represents a tremendous opportunity to meet the energy needs of Americans while also benefitting the people of the North Slope. The Willow Project will generate an estimated 2,500 union jobs and significantly boost throughput in TAPS by about 180,000 barrels/day at peak production. She noted that permitting began 70 months ago for three well sites. On behalf of AOGA, she urged the committee to support the resolution. 3:51:15 PM DR. MICHAEL TOBIN, MD, Board Member, 350Juneau - Climate Action for Alaska, Juneau, Alaska, stated that he was speaking in opposition to SJR 7. He noted the International Energy Agency statement that no new fossil fuel infrastructure can be developed if there is to be a chance of having a stable climate. Tremendous technological progress has been made in in the area of renewable energy since the oil fields in Prudhoe Bay were discovered and developed. He emphasized that Alaska must go in that direction for the future. A 30-year commitment to fossil- based energy is taking Alaska in the wrong direction. He urged the committee to vote against SJR 7. 3:52:26 PM ELAINE SCHROEDER, Co-Chair, 350Juneau Climate - Action for Alaska, Juneau, Alaska, stated opposition to SJR 7. She said climate scientists worldwide have called fossil fuel projects like Willow climate bombs. This is because the Arctic is warming at four times faster than the rest of the planet. This increases the risk worldwide of sea level rise and catastrophic flooding. She noted that UN Secretary Antonio Guterres sent a special message to fossil fuel producers during his annual report to set a credible course for net zero emissions. When asked, she restated opposition to SJR 7. 3:53:55 PM DOUG WOODBY, Co-Chair, 350Juneau - Climate Action for Alaska, Juneau, Alaska, advised that he submitted written testimony. He said he opposes SJR 7 even though another oil boom is tempting because of the economic opportunities for communities and jobs. He relayed his first-hand experience of paying for heating oil when he lived in the areas around Norton Sound and Kotzebue Sound. Nevertheless, he supports a sustainable energy plan that is not dependent on fossil fuels. That's what the state needs and it will take leadership to get there. 3:55:21 PM CO-CHAIR GIESSEL closed public testimony on SJR 7. She found no questions or comments and solicited a motion. 3:55:34 PM SENATOR BISHOP moved to report SJR 7, work order 33-LS0454\A, from committee with individual recommendations and no fiscal note(s). 3:55:55 PM CO-CHAIR GIESSEL stated that without objection SJR 7, is moved from the Senate Resources Standing Committee. [Subsequent to this bill action, SJR 7 was held in committee awaiting a fiscal note per Sec. 24.08.035. Fiscal notes on bills.]