ALASKA STATE LEGISLATURE
SENATE RESOURCES STANDING COMMITTEE
February 8, 2017
3:30 p.m.
MEMBERS PRESENT
Senator Cathy Giessel, Chair
Senator John Coghill, Vice Chair
Senator Natasha von Imhof
Senator Bert Stedman
Senator Shelley Hughes
Senator Kevin Meyer
Senator Bill Wielechowski
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
OVERVIEW: MAPPING THE STATE OF ALASKA
- HEARD
SENATE BILL NO. 6
"An Act relating to industrial hemp; and relating to controlled
substances."
- HEARD & HELD
PREVIOUS COMMITTEE ACTION
BILL: SB 6
SHORT TITLE: INDUSTRIAL HEMP PRODUCTION
SPONSOR(s): SENATOR(s) HUGHES
01/09/17 (S) PREFILE RELEASED 1/9/17
01/18/17 (S) READ THE FIRST TIME - REFERRALS
01/18/17 (S) RES, JUD
02/08/17 (S) RES AT 3:30 PM BUTROVICH 205
WITNESS REGISTER
ED FOGELS, Deputy Commissioner
Alaska Department of Natural Resources (DNR)
Juneau, Alaska
POSITION STATEMENT: Participated in the overview of "Mapping
the State Of Alaska."
NICHOLAS MASTRODICASA, Large Project Manager
Alaska Department of Transportation and Public Facilities
(DOTPF)
Anchorage, Alaska
POSITION STATEMENT: Participated in the overview of "Mapping the
State Of Alaska."
KEVIN GALLAGHER, Associate Director
Core Science Systems
United States Geological Survey (USGS)
POSITION STATEMENT: Participated in the overview of "Mapping
the State Of Alaska."
SENATOR HUGHES
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Sponsor of SB 6.
BUDDY WHITT, staff to Senator Hughes
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided an overview of SB 6.
ARTHUR KEYES, Director
Division of Agriculture
Department of Natural Resources (DNR)
Anchorage, Alaska
POSITION STATEMENT: Commented on SB 6.
ROB CARTER, Manager, Alaska Plant Materials Center
Division of Agriculture
Department of Natural Resources (DNR)
Anchorage, Alaska
POSITION STATEMENT: Commented on SB 6.
FRANK TURNEY, representing himself
Hempsters
Fairbanks Alaska
POSITION STATEMENT: Supported SB 6.
JOHN BRADING, representing himself
Hempsters
Fairbanks Alaska
POSITION STATEMENT: Supported SB 6.
EMBER HAYNES, representing herself
Denali Hemp Company
Talkeetna, Alaska
POSITION STATEMENT: Supported SB 6.
BRUCE SHULTE, representing himself
Anchorage Alaska
POSITION STATEMENT: Supported SB 6.
MICHAEL DRUCE, Owner
Summer Peonies
Sterling, Alaska
POSITION STATEMENT: Supported SB 6.
JACK BENNETT, representing himself
Homer, Alaska
POSITION STATEMENT: Supported SB 6.
ACTION NARRATIVE
3:30:07 PM
CHAIR CATHY GIESSEL called the Senate Resources Standing
Committee meeting to order at 3:30 p.m. Present at the call to
order were Senators Wielechowski, Coghill, Hughes, Meyer, von
Imhof, Stedman, and Chair Giessel.
^Overview: Mapping the State of Alaska
Overview: Mapping the State of Alaska
3:30:58 PM
CHAIR GIESSEL said Alaska is the most unmapped state in the
union. Virtually every resource is underestimated because of the
lack of good mapping. With new technologies, mapping is
transitioning from two-dimensional to three-dimensional
capabilities providing greater insight than ever before. Today
the committee would hear about the culmination of a two-year
program that leveraged significant federal funds as well as the
expertise of the U.S. Geological Survey (USGS) to develop a
mapping system that will serve the state and country for
generations to come. She welcomed Ed Fogels and Nick
Mastrodicasa to begin the presentation.
3:31:58 PM
ED FOGELS, Deputy Commissioner, Alaska Department of Natural
Resources (DNR), Juneau, Alaska, said this project is of utmost
importance to Alaska and he had been involved in it for over 10
years. Alaska is the most poorly mapped of all the states, he
said. This project has a number of phases with the ultimate goal
of creating a more accurate digital base map of Alaska. He
introduced members of the team in the audience and related that
in most recent years usually when they talk about federal
agencies it's about head-butting and conflicts, especially with
resource development projects, but this is one example of a
project that has had "tremendous collaboration with federal
agencies," outside of the USGS. Leading that charge is Kevin
Gallagher, Associate Director for the USGS, and Tracy Fuller,
the USGS Alaska Program lead.
3:33:58 PM
NICHOLAS MASTRODICASA, Large Project Manager, Alaska Department
of Transportation and Public Facilities (DOTPF), Anchorage,
Alaska, said they are not asking for anything; they are just
here to report. He presented a picture from the National
Elevation Dataset Source Information slide that illustrated why
Alaska is the most poorly mapped state (in terms of elevation
data) in the country; even Mexico is mapped better. In 2009,
Mars was better-mapped than the State of Alaska.
He said the National Oceanic and Atmospheric Administration
(NOAA) is mapping gravity in Alaska now and is about 78 percent
done. They prioritized Alaska over the Lower 48, because of its
comparatively poor mapping, and it is another example of a
state/federal partnership that is really working well.
He said they are very grateful for the Capital Improvement
Projects (CIP) appropriations some members had been involved in
getting and wanted to show them what they got for it. Several
federal partners contributed a total of $33 million - the
largest contributor being the USGS - and the state contributed
$13.3 million for the elevation component.
3:36:48 PM
MR. MASTRODICASA said this project began with the statewide
digital mapping initiative (SDMI) that became the Alaska
Geospatial Council in 2014. Its stated goal is to create a base
map from satellite imagery of the elevation data. He showed a
picture of new satellite imagery draped over old data that
looked like "trying to put a banana peel over a cauliflower and
make it fit seamlessly." In 2008, he said consensus was reached
on what kind of technology would be used and now the new
elevations are 77 percent complete.
3:38:31 PM
He pointed out "significant" inaccuracies in old data compared
to new data and illustrated some on slide 12 with old Yukon
Koyukuk legacy data overlaid with new data, called
interferometric synthetic aperture radar (IfSAR). He noted a
whole ridge line that was missing on the legacy data and
remarked, "That is kind of a tough thing for aviation safety."
3:40:11 PM
MR. FOGELS explained that this new information has two
fundamental layers: the satellite imagery that is 99 percent
complete and the digital terrain model imagery, which is 77
percent complete. However, a third layer that is of critical
importance to Alaska is called hydrography and is about all the
water bodies: the creeks, the rivers, the streams, and the
lakes. It is incredibly important to know where the wetlands and
water bodies are for resource development. An old USGS topo map
designates all of them with blue lines and because of the new
data; those are now all going to be in the wrong place. So,
someone has to go in and look at the imagery and fix it, a very
manually-intensive task.
3:42:10 PM
MR. FOGELS said using IfSAR data they can do a couple of other
things. The new digital elevation model being created for all of
Alaska is going to be at about a five-year accuracy level, which
is "infinitely better" than what exists now. Storm surge,
avalanche and slope analyses can be done and topographic base
maps can be created for tsunami inundation studies. To get
really detailed different technologies need to be used like
Light Detection and Ranging (LiDAR) data which can map
topography in much greater detail, but it's prohibitively
expensive to map the whole state with it. So, they have chosen
something a little cheaper with the IfSAR technology. He said
this data produces "these fantastic" new maps that are far more
accurate than the 50 or 60-year old ones. Alaska is behind the
curve, but now thankfully, it is being upgraded.
3:44:14 PM
SENATOR WIELECHOWSKI asked who uses these maps and what their
general uses are by industry.
MR. FOGELS answered that a lot of people use them for
recreation, hunting, and fishing. Prospectors use USGS maps as
well as explorers looking for minerals and oil and gas. A lot of
airline cockpits have a digital elevation model (DEM) piped in
based on the old inaccurate elevation model, and once the new
data gets piped in, pilots making navigation in bad weather
safer. His job is with the DNR and there isn't a single thing
they do that doesn't involve a map somewhere.
SENATOR WIELECHOWSKI asked if these maps get sold and if the
state gets any money back from them. Does the department sell
some and keep others for statistical purposes?
MR. FOGELS answered that they hadn't figured it out, yet. The
USGS sells its maps. The DNR produces its own maps and some get
sold in the public information centers for a minimal fee. The
goal is to get this data out to the public for consumption free
of charge. If the private sector wants to take it and create
nice shiny maps that they can sell at REI, so be it.
Huge amounts of data are being collected here, he emphasized,
and they still haven't figured out how to store and distribute
it properly, and revenue will be needed at some point to make it
more coordinated and readily available. Right now they are just
trying to keep the project alive and going.
SENATOR VON IMHOF said Alaska has many pilots that use the
Garmin GPS regularly and asked if any of their data is ready to
roll out now and if they contact people like Garmin so they can
update their products as it comes out.
MR. MASTRODICASA replied that the Federal Aviation
Administration (FAA) has to turn the data into aeronautical
charts first, but they won't do that until the state is
completely covered with IfSAR, which should be in a couple of
years.
CHAIR GIESSEL recognized Department of Transportation and Public
Facilities (DOTPF) Commissioner Marc Luiken in the audience.
3:49:19 PM
SENATOR HUGHES asked if this information will eventually make it
to Google Maps.
MR. MASTRODICASA answered yes.
3:49:49 PM
MR. FOGELS said the data layers - imagery, hydrography and
elevation - are referred to as framework datasets. But the
department wants to put the cadastral pieces, actual surveyed
governmental boundaries for all the communities, into a
statewide base map, just to make sure that every single
transportation infrastructure is correctly rectified. Geodetic
control is the layer that actually helps them position
everything on the ground, and Alaska is very lacking in it now.
He said the hydrography layer is only 15 percent done; some are
a little further along. Some haven't even been started yet.
He said the department does a lot of other mapping, for instance
the geology survey is out mapping the mineral potential and they
need the base maps to put that information on top of. Right now
they go out and map the geology on the old USGS topo maps.
3:52:32 PM
SENATOR STEDMAN said Alaska has a lot of submerged and tide
lands and noted that bathymetric mapping is listed "unknown."
MR. FOGELS answered that bathymetry of mapping the terrain model
underwater still needs to be done. Much of it was done maybe 100
years ago with chains and is very poorly understood in Alaska.
They are working with the National Oceanic and Atmospheric
Administration (NOAA) on that.
MR. MASTRODICASA added that NOAA did some of that work off of
Kodiak last summer.
CHAIR GIESSEL asked how the base map will appear compared to the
older maps.
MR. FOGELS replied that they envision a digital creation through
a web-based portal into the mapping world where one can access
all the framework datasets. The USGS is using it to produce maps
that can be printed. Others might use it to do the same thing.
3:54:42 PM
SENATOR COGHILL said he was pleased with moving in this
direction, because the tension between private and military use
in his district. Having good delineated values will help for
good game management, as well. He said because the state shares
patchwork ownership and management with the federal government
on a whole range of lands, Alaska probably has more face to face
boundaries than any other place in the world and asked if this
mapping will also help clearly delineate access points.
MR. FOGELS answered yes. The first step is to have an accurate
base map and to have governmental boundaries precisely
designated. The base maps will allow DNR, for example, to more
precisely locate 17(b) easements and RS2477s. The idea is to
have all of that more accessible to the public.
3:57:06 PM
MR. FOGELS wrapped up that this project was started under the
name of the Statewide Digital Mapping Initiative that was
reformed recently with Governor Walker signing the MOU that
created the Alaska Geospatial Council. It consists of
commissioners from six departments and three representatives
from federal agencies, a representative from a Native
corporation, a representative from the University, and a
representative from local government. It is charged with really
driving this project at the state level and providing input to
the governor and eventually the legislature on where they need
to go next. It collaborates with a group called the Alaska
Mapping Executive Committee that was formed by the federal
government. It was a very high level deputy secretary committee
with the goal of coordinating their funding for mapping in
Alaska. This has been a primary driver in Alaska getting federal
dollars to help leverage the project. Mr. Gallagher is leading
the charge on that.
CHAIR GIESSEL said clearly the mapping is impressive but she is
also thankful that two departments are sitting at the table -
DNR and the DOTPF together and collaborating, not working in
silos, but working together to move a project like this forward.
She noted the hard work that Mr. Mastrodicasa had done to
leverage the federal funds.
3:59:34 PM
KEVIN GALLAGHER, Associate Director, Core Science Systems,
United States Geological Survey (USGS), said he had two goals
today: one was to give them a federal perspective and the other
was to thank the legislature for assisting with funding from the
state as a key partner in this project. He also thanked his DNR
and DOTPF partners. His presentation was entitled "Past
Successes and Future Prospects for Alaska Mapping," and the
history really starts with the second director, John Wesley
Powell (quoted earlier), who in many ways founded the
topographic mapping program at USGS, which he didn't think would
include Alaska, but Alaska was not a state then. Even though
Alaska is a difficult place to map, USGS has wanted to map it
for a very long time, and this opportunity came up to work with
the state through the Alaska Statewide Digital Mapping
Initiative.
He said that much of Alaska data from 50-60 years ago is very
error-prone when the rest of the world had moved on with high-
resolution mapping. A couple of key things happened: a study was
by the state that led to the decision to make elevation a
priority and to use IfSAR technology. And secondly, the USGS did
a second assessment in 2012 looking at a national elevation
dataset. One of the important things it did was calculate a
return on investment (ROI) and it showed an over $19 million
annual ROI to the SOA for enhanced elevation data.
MR. GALLAGHER said the Alaska delegation got together and signed
a letter to the Office of Management and Budget in D.C. on the
importance of Alaskan mapping in 2011, and it gave him the
impetus to pull together a federal-based executive committee
(mentioned earlier). In June 2012, they had an Alaska Mapping
Round Table in Washington, D.C. that drew executives from some
20 federal agencies, interests from the government, and the
private sector. The most important outcome of that was the
creation of a Standing Executive Committee that has met at least
twice annually ever since. Each time they looked at key metrics
for status in mapping and that was a key feature in what drove
the success of this project.
MR. GALLAGHER said the Interferometric Synthetic Aperture Radar
(IfSAR) was chosen specifically because it penetrates clouds,
which is one of the big challenges in Alaska other than its
large size and extreme weather. Almost continuous cloud cover
makes it very difficult to do remote sensing. IfSAR provides 5-
meter horizontal spacing resolution data, which is in several
orders of magnitude greater than what the state had previously.
Three important products come out of it: the digital terrain
model (DTM) - imagine the bare earth with all of the forest
removed and the lowest level of elevation. This is a critical
piece of information when looking at topography. Elevation is a
major control for things like water flow as well as many other
aspects. Another important product is the digital surface model
- the treetops. The two can be used in conjunction with each
other to do things like calculate the volume of forests to
anticipate things like fuel load for fire management. The last
product is a radar intensity image (RII) that is a pseudo image
and supports some of the other work they are doing like the
development of the national hydrography dataset. These three key
products work in conjunction to really update the maps.
There are many applications for this data from emergency
response to aviation safety, minerals assessments, seismic risk
analysis, landslide analysis, and terrain mapping. He pointed
out that although people see it as an image it's just data.
He said the federal government has provided 71 percent of the
funding in Alaska and over $33 million in the last seven years.
That has ramped up recently under the leadership of the Alaskan
Mapping Executive Committee, which the Department of Interior
chairs. This investment not only stimulates the economy of
Alaska in the short term, but it is also creates a dataset that
can be used in a post-analysis way to generate more revenue.
4:07:10 PM
MR. GALLAGHER said the state has collected 77 percent of the
data and they will try to collect another 47,000 square miles in
2017 and maybe more if more federal funds come in. To capture
the remaining 23 percent of Alaska is about a $14 million
challenge, but with all the partners it might be done in the
next two to three years.
There are large challenges with the Aleutians, because of the
extreme weather and long distances. Mostly you're paying fuel
costs for the flights that collect the data. IfSAR will probably
cost twice as much in that area. So, they are actually
considering some alternative technologies like deriving data
from satellite imagery.
4:08:12 PM
SENATOR COGHILL asked if they fly a grid and if that is why the
Aleutians are so difficult.
MR. GALLAGHER answered yes. They call it "mowing the lawn." The
Aleutians are a long 1,500 to 1,800 miles of flight time;
operations are needed for refueling and ground control is needed
to get the data accurate. These are all big cost drivers.
4:08:48 PM
SENATOR HUGHES asked if IfSAR equipment can be used on a drone.
MR. GALLAGHER answered that some instruments have been
miniaturized for drones, but FAA policy for drones not flown by
the U.S. military have a 55-pounds or less limitation. So, the
challenge in the Aleutians is persistency, because at under 55
pounds you are limited to about an hour and a half of flight
time in a typical high-end drone. So, you wouldn't be able to
get much of the Aleutians with a drone today. He added that it
is an interesting question because the whole geo-spatial
community is looking at drones as a disruptive technology, in a
good way, that in the next 5-10 years will probably mean driving
the cost of data collection down and afford a lot more
opportunities. But at the moment the size of the drone limits
the distance it can fly.
4:10:08 PM
SENATOR HUGHES remarked that drones is the fastest evolving
technology, so his 5-10 years might be the 2-3 years they have
been hearing about.
MR. GALLAGHER said USGS' second priority is to pick up a
hydrography dataset for Alaska, which is about 15 percent
complete at the moment. Hydrography is important for a whole
other suite of applications from fishery management and water
quality to flood mitigation, contaminant distribution, and
hydrologic modeling.
He said a lot has been talked about with regards to topographic
mapping and replacing decades-old maps, and the USGS distributes
these maps as a geo-PDF today, so they are downloadable to a
mobile platform or other devices. They can be integrated with
GPS; your walks can be tracked, and that brings in all the
applications that the private sector might develop. USGS sells
about $2.5 million worth of paper maps per year. They are sold
very cheaply at about $7-8 per map, the purpose being to just
cover the cost of printing. They used to see about $12 million
but it seems to have leveled off at $2.5 million. So, there
still is a market for disconnected users. The steady converting
to digital distribution is being well-accepted in most
communities.
MR. GALLAGHER said 11,275 maps need to be produced that would
cover the whole state of Alaska at a scale of 1:25,000. They
have already produced 3,731, and this year production is being
ramped up to 3,038. The topographic maps should cover 60 percent
of the state then. He said they remain committed to this project
and will see it through. He had a lot of thanks and praise for
all the federal and state agencies involved.
CHAIR GIESSEL remarked that it's great to have such a positive
relationship with the federal government on this issue and noted
that Senator Stedman and Senator Meyer had some responsibility
for funding this project in years past as they led the Finance
Committee.
SB 6-INDUSTRIAL HEMP PRODUCTION
4:14:49 PM
CHAIR GIESSEL announced consideration of SB 6, sponsored by
Senator Hughes. It proposes to introduce industrial hemp back
into Alaska as an agricultural product allowing it to be
developed into value-added products.
4:15:35 PM
At ease
4:18:05 PM
SENATOR HUGHES, sponsor of SB 6, Alaska State Legislature,
Juneau, Alaska, said her district includes quite a bit of
agricultural land. So, last spring former Senator Ellis had a
bill on this topic. She got a call from a highly respected
farmer in her area and former Borough Mayor Larry DeVilbiss
expressing interest in taking hemp out of the criminal statutes
and putting it into the agricultural statutes. During the course
of summer and fall in town halls and other forums, she heard
various folks express interest in that, as well, and heard from
other farmers and innovative thinkers around the state.
The federal Farm Act was signed in August and guidelines are
being rolled out now. Today she is presenting the initial
version and as more is learned about the federal guidelines, it
will get updated.
SENATOR HUGHES said this is one more economic opportunity for
farmers and Alaskans. Interestingly, hemp was legally grown up
until 1937 in our state. It has 25,000 industrial applications.
Centuries ago it was used for canvas for ship sails and covered
wagons, and it was used for the paper on which the Declaration
of Independence was written.
Federal law has changed and a number of states have also changed
their laws to allow its growth. Europe was a little bit ahead of
us and prints bibles on hemp paper, because it doesn't yellow.
It's a good option for biofuels and construction materials. In
fact, a gentleman in Homer is building a model home using
multiple hemp products for drywall, insulation, and plywood.
Farmers are interested in it as a great feedstock for animals.
4:21:41 PM
BUDDY WHITT, staff to Senator Hughes, Alaska State Legislature,
Juneau, Alaska, provided an overview of SB 6. He explained that
the bill has three sections in its present form. The first
section under Title 11 adds a paragraph that defines industrial
hemp that matches the federal definition, which is: "All parts
and varieties of the plant, cannabis sativa L, containing no
more than .3 percent THC." Federal studies have shown that 1
percent THC is the threshold for it to actually be present
enough to cause hallucinogenic side effects. The .3 percent
threshold, well below that, is what the federal government used
as a definition for industrial hemp, therefore separating it
completely from the drug, marijuana.
4:23:32 PM
Section 2 was added so that under Title 11 it would be an
affirmative defense to keep one from being prosecuted under
Title 11, Sec. 71.33.060 (If you had industrial hemp and you
were caught and charged with manufacturing, delivering, or
possessing with intent to manufacture or deliver.)
Finally section 3 states that an individual manufacturing,
delivering or displaying industrial hemp is not required to
register.
4:24:28 PM
MR. WHITT said he would next cover what needs to be changed in
state statute in order to match the federal statutes. The
federal Farm Act of 2014, the Omnibus Appropriations Act of
2016, and the U.S.D.A Statement of Principles relating to the
Farm Act of 2014, which was enacted August 12, 2016 are the main
federal pieces that are referred to in looking at the changes
needed in this bill. They say basically that states may
participate in an industrial hemp pilot program that is designed
to study the growth, cultivation, and marketing of industrial
hemp within their state.
The state department responsible for agriculture is the one that
is responsible for oversight and regulatory authority over
industrial hemp. Registration is required by the Division of
Agriculture in Alaska's case and is recommended to include but
not limited to: the name of the authorized manufacturer, the
period of the license/registration that is being given, and the
GPS coordinates for the "grow" for identification by a DPS
officer flying over it, which avoids misidentification of hemp
as marijuana from the air.
The act also defines industrial hemp and it allows those who are
authorized under an industrial hemp pilot program, institutions
of higher education, or those who are employed under contract
through an institution of higher education to grow and cultivate
industrial hemp. Section 3 of the bill says that registration is
not required and would not meet the federal guidelines.
CHAIR GIESSEL said she will work with Senator Hughes to craft a
committee substitute for SB 6.
4:28:11 PM
SENATOR HUGHES commented that it has been a delight to work with
the Division of Agriculture Director, Arthur Keyes, and Rob
Carter at the Plant Materials Center on this issue.
SENATOR COGHILL said some of the questions he will be asking
along the way are because of what has been done with legalizing
marijuana in Alaska, and asked if SB 6 will have a fire wall
between the growing of industrial hemp and marijuana because one
has federal rules that are permissive and the other one has
federal rules that forbid such actions. He also asked what
amounts would be tested: batches or individual plants, and
remarked that the testing could be expensive if it isn't done
right.
SENATOR HUGHES said his second question was a good one for the
Division of Agriculture experts, and because SB 6 is going to
the Judiciary Committee, that would be a great place to look at
his other concern about posing as a hemp grower but actually
growing marijuana. However, her understanding is that it would
then fall under the criminal statutes as not being licensed. The
mapping coordinates will also provide a check.
ARTHUR KEYES, Director, Division of Agriculture, Department of
Natural Resources (DNR), Anchorage, Alaska, responded that Rob
Carter has some good information on this issue.
4:31:04 PM
ROB CARTER, Manager, Alaska Plant Materials Center, Division of
Agriculture, Department of Natural Resources (DNR), Anchorage,
Alaska, responded that truly testing to differentiate between
industrial hemp and recreational marijuana would require an
expensive machine, but luckily the commercial laboratories that
are now in place for the recreational marijuana industry could
very easily do the test for a nominal fee. But fronting
industrial hemp as recreational marijuana would be difficult
when you actually come down to the agronomic principles and
practices of growing each. The planting densities are much
different; industrial hemp is planted very similar to grain with
a grain drill, and the seed and row spacing are more similar to
corn. This would be very unproductive in the recreational
cannabis world.
Physiologically, the recreational marijuana growers are very
specific in growing strains that are high in THC, and those are
specifically females. On the industrial hemp side for seed
production you want both females and males. So, anyone who tried
to grow industrial hemp as a ruse for recreational marijuana
would end up with some pretty poor product. He just didn't think
it would be attempted.
SENATOR COGHILL said last year he heard that the growing season
for industrial hemp could actually suit Alaska very well and
asked if that is true.
MR. CARTER answered that since the real research on the
production of hemp stopped between 1932 and 1937, he didn't have
a lot of agronomic practices that bind non-production of
industrial hemp in Alaska. That is why the division believes it
is so important to give this crop an opportunity. Looking at
Alaska's dramatic day lengths and photo periods, this plant
should produce very well on a biomass basis. There are questions
involving the production of seed and the photo period required
by that genus and species, but that won't be known until it has
been trialed. However, they expect great results for the
production of fiber and plant products and the thousands of
other uses.
4:34:53 PM
SENATOR VON IMHOF said the plants look alike but they are
chemically different and one of the letters says they are
different in terms of stalks versus flower seeds, and asked if
that is another difference.
MR. CARTER answered yes. He explained that a lot of that is very
dependent on the plant density within the acreage that it's
planted. The tighter plants are planted together the more
upright they grow; they are phototropic so they try to grow
toward the sun. He said the recreational marijuana plants
planted outside in California are probably planted on six-foot
centers and six to ten feet between each row, where a hemp field
is going to look more like corn or an extremely tall cereal
grain.
4:36:10 PM
CHAIR GIESSEL opened public testimony on SB 6.
4:36:29 PM
FRANK TURNEY, representing himself, Hempsters, Fairbanks Alaska,
supported SB 6. He said their files should include copies of the
first and second resolutions passed in Fairbanks in support of
industrial hemp along with other related letters of support.
Creating a hemp industry would boost the economy and create
jobs. He mentioned meeting Jack Bennett at the Fairbanks Energy
Conference who started building a hemp house with mud in Homer.
"Nobody that I know is going to smoke industrial hemp. They
would be coughing themselves and choking, believe me," he said.
4:38:26 PM
JOHN BRADING, representing himself, Fairbanks Alaska, supported
SB 6. He said on November 14, 2011, Fairbanks Councilman Hilling
introduced Resolution 4497 urging the Alaska State Legislature
and executive branch to make expressly legal the cultivation of
industrial hemp in the State of Alaska. A second supporting
resolution was introduced in February 2, 2012.
MR. BRADING said hemp and marijuana are essentially different
varieties of the same plant. Hemp is used when the plant is
grown cane-like for its fiber, seed, oil, and herbs. Industrial
hemp's THC content is too low to produce a high. Today hemp is
used for thousands of different products ranging from textiles,
paper, building materials, food products, and cosmetics.
He said hemp is popular because it can be grown easily without
harmful pesticides and fertilizers; its deep root system
prevents soil erosion and retains soil fertility making it an
ideal rotation crop. Hemp fiber is one of the strongest and most
insulating and absorbent of all natural-occurring fibers. It is
used in the oil industry to absorb oil spills. Hemp produces
more pulp paper than timber on a sustainable basis and can be
used for every quality of paper. Hemp seeds are high in protein
and contain a polyunsaturated oil, which is rich in the
essential fatty acids.
CHAIR GIESSEL asked him to wrap up and to email the rest of his
comments to her office and she would distribute it to committee
members.
4:41:41 PM
EMBER HAYNES, representing herself, Denali Hemp Company,
Talkeetna, Alaska, supported SB 6. She and her husband have been
creating balms and lotions using hemp seed oil for about 10
years and have seen a change in the views of their customers
over the years. Alaska is prime right now; everyone is looking
for healthy alternatives. They are excited to have this
opportunity for Alaskans to be able to grow hemp. They would
love to feed hemp leaves to their livestock.
4:43:43 PM
BRUCE SHULTE, representing himself, Anchorage Alaska, supported
SB 6. He spends much of the summer flying over the MatSu Valley
and sees a lot of fallow land and making it more productive
would be fantastic.
He said Section 2's affirmative defense in the event of
prosecution harkens back to an earlier version of another type
of legislation a few years ago, and while the intent is noble,
his concern is that a farmer growing hemp could be raided, have
their crops destroyed, and their material seized and go a long
way down the road and stand a lot of legal fees before they
would be able to take advantage of an affirmative defense. So,
in rewriting this bill, he asked them to consider removing hemp
entirely from the list of classified materials to avoid that
particular legal stumbling block.
4:45:24 PM
MICHAEL DRUCE, Owner, Summer Peonies, Sterling, Alaska,
supported SB 6. He said that growing peonies is a labor of love,
require a large upfront investment, are labor intensive and take
several years before a profit is realized. On that note he is
looking for another way to profit from the land he has, but he
also believes our state must support new industries
aggressively.
4:46:49 PM
JACK BENNETT, representing himself, Homer, Alaska, supported SB
6. He is building a model home made with industrial hemp
insulation material that is made in just a handful of shops in
the United States. As a construction material, just one product
replaces formaldehyde-based OSB plywood, sheetrock, fiberglass
insulation, and house-wrap. It will lower heating costs by 70
percent, and the life cycle of these homes is hundreds of years.
He said data indicates that two and a half weeks in a 100-day
harvest produces enough of the woody core construction material
to build a 1,000-square foot shell in 8 days depending on how
many laborers worked on it. He presented a model home at the
World Energy Conference in Fairbanks and wants to do a pilot
home in rural Alaska that has a 6,000-home shortage.
MR. BENNETT said this may not be the solution for affordable
housing, but it is a solution. He represents a commercial
manufacturer that owns North America's largest piece of
machinery called a decorticator that separates the industrial
hemp fiber from the woody core. The fiber sold out to an
automotive partner. He said the State of Indiana is working on a
facility to design and manufacture automobiles with hemp
plastics, both interior and exterior. They are a formaldehyde-
replacement to carbon fiber. At the end of the car's lifecycle
the ingredients are 100 percent biodegradable. He had presented
it to petroleum companies as an oil spill cleanup method that is
five times more absorbent than polypropylene technology.
CHAIR GIESSEL held public testimony on SB 6 open and invited
everyone to submit their testimony in writing.
[SB 6 was held in committee.]
4:50:05 PM
CHAIR GIESSEL adjourned the Senate Resources Committee meeting
at 4:50 p.m.