SENATE RESOURCES COMMITTEE February 15, 1994 3:42 P.M. MEMBERS PRESENT Senator Mike Miller, Chairman Senator Loren Leman, Vice Chairman Senator Steve Frank Senator Drue Pearce Senator Dave Donley MEMBERS ABSENT Senator Al Adams Senator Fred Zharoff COMMITTEE CALENDAR SENATE BILL NO. 240 "An Act relating to an optional municipal tax credit for costs of certain river habitat protection improvements." SENATE CONCURRENT RESOLUTION NO. 13 Relating to the Gold Rush Centennial Decade. CS FOR SENATE BILL NO. 217(HES) "An Act relating to the University of Alaska and university land, authorizing the University of Alaska to select additional state public domain land, and defining net income from the University of Alaska's endowment trust fund as `university receipts' subject to prior legislative appropriation; and providing for an effective date." PREVIOUS ACTION SB 240 - See Resources minutes dated 2/4/94 and 2/14/94. SB 217 - See Health, Education & Social Services minutes dated 1/26/94 and 2/2/94. See Resources minutes dated 2/14/94. SCR 13 - See Resources minutes dated 2/14/94. WITNESS REGISTER Leo Oberts 1440 Chinook Ct. Kenai, Ak. 99611 POSITION STATEMENT: Commented on SB 210. Senator Sharp Capitol Building Juneau, Ak. 99801-1182 POSITION STATEMENT: Sponsor of SCR 13. Janet McCabe National Park Service 2525 Gambell Anchorage, Ak. 99501 POSITION STATEMENT: Supported SCR 13. Rick Solie c/o Senator Frank Capitol Building Juneau, Ak. 99801-1182 POSITION STATEMENT: Sponsor of SB 217. Brian Rogers University of Alaska, Fairbanks Fairbanks, Alaska POSITION STATEMENT: Supported SB 217. Gerald Gallagher Legislation Liaison Department of Natural Resources 400 Willoughby Juneau, Ak. 99801 POSITION STATEMENT: Supported SB 217 except for conveyance of oil l and gas to the University. ACTION NARRATIVE TAPE 94-8, SIDE A Number 001 CHAIRMAN MILLER called the Resources Committee meeting to order at 3:42 p.m. and announced SB 240 (MUNICIPAL TAX CREDIT/HABITAT PROTECTION) to be up for consideration. SENATOR PEARCE, sponsor, moved to adopt the CS for SB 240, Cook version J, dated 2/11/94. There were no objections and it was so ordered. She said Section 1 (a) was clarified to stipulate the tax credit is for restoring or protecting fish spawning habitat. On page 1, line 12 "along or" after "habitat". On page 2, line 10, after "law," "a condition of a permit" was deleted. On page 2, line 16, after "the" "the mean high tide line" was inserted. On page 2, line 23 language was added saying the ADF&G may establish procedures to be used for certification by regulation. She noted there are letters from the Kenai Borough and the Kenai River Special Management Area Advisory Board endorsing the changes. Number 86 SENATOR LEMAN moved to discharge CSSB 210 from Committee with individual recommendations and with the $0 fiscal note. There were no objections and it was so ordered. LEO OBERTS asked what "ordinary high water" meant on page 1, line 13. He thought it possibly should be deleted. He said he wasn't getting any consideration in this bill for keeping his property in its natural state. SENATOR PEARCE said the definition of "ordinary high water" is the one used in statutes to be consistent. The Kenai River is a special use area and has to be consistent. She said under present state law, he already has the right to receive conservation easements. Number 197 SENATOR MILLER announced SCR 13 (GOLD RUSH CENTENNIAL DECADE) to be be up for consideration. SENATOR SHARP, sponsor, said the intent of the resolution is to promote the importance of gold mining in the origin of our state. JANET MCCABE, National Park Service, supported SCR 13. SENATOR MILLER announced a recess from 4:00 p.m. to 4:03 p.m. Number 274 SENATOR LEMAN moved to discharge SCR 13 from Committee and accompanying fiscal note with individual recommendations. There were no objections and it was so ordered. SENATOR MILLER announced SB 217 (INCREASE LAND GRANT TO UNIV. OF ALASKA) to be up for consideration. RICK SOLIE, Aide to Senator Frank, said the two changes made in the proposed CS were the incorporation of an amendment that would not allow the University to select lands that are on the DNR's 5-year oil and gas leasing plan. The second changes the method of conveyance, because the survey would be costly. So they utilized the municipal selection process that is already in statute. Number 284 SENATOR FRANK moved to adopt the CS to SB 217 and asked for unanimous consent. There were no objections and it was so ordered. MR. SOLIE clarified that the University is allowed to take possession of a claim that is currently being held by a miner, but only after the lease has expired. SENATOR FRANK noted that there was no dedication of funds. This legislation would allow the University to be more equitable with other land grant universities in the United States. SENATOR PEARCE asked if their lands were in one place or spread out over the state. BRIAN ROGERS, University of Alaska, Fairbanks, said their land is spread throughout the state, although there is very little in the northern and western parts. He said the University had a much larger land grant, but due to lack of survey, lost that land grant with statehood. This bill redresses that old wrong. GERALD GALLAGHER, Department of Natural Resources, responded to the question of mining claims that they would remain under the management of the DNR. The income stream would continue to flow into the state treasury until the mining claim disappeared or was abandoned. The University could not come in and change the contract. He said their one concern with the bill is the conveyance of oil and gas to the University which is not in the best interest of the state. SENATOR FRANK said he appreciated that concern and reasoned if the University had a windfall, probably the state could step in and take it. He thought it was the legislature's call. Number 496 SENATOR FRANK moved to pass SB 217 with fiscal notes and asked for unanimous consent. There were no objections and it was so ordered. SENATOR MILLER thanked everyone for their participation and adjourned the meeting at 4:26 p.m.