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July 2001

Week of July 30, 2001

Knowles signs best interest findings, temporary water use legislation

Legislative intent, existing law clarified: only one best interest finding required per disposal; water fees established

Petroleum News Alaska

Gov. Tony Knowles signed two natural resource bills July 11: House Bill 185, which deals with temporary water use permits and fees, and Senate Bill 156, regarding best interest findings by the state.

House Bill 185 provides Alaska’s Department of Natural Resources the statutory tools to issue temporary water use authorizations in an efficient and timely fashion while protecting Alaska’s fish and wildlife resources and provides for the establishment of reasonable water fees necessary to support Alaska’s water rights program.

“The administration’s water program will ensure the allocation of this important resource for the maintenance of water quality and quantity, conservation of our fish and wildlife, public use and enjoyment of Alaska’s spectacular waterways, and environmentally sound economic development,” Knowles said.

Knowles noted that the legislative debate on this bill raised several related issues that still need to be addressed, such as in-stream flow reservations.

Language in the statute confirms the authority of DNR to issue authorizations for temporary use of water and affirms “the validity of existing temporary permits for the use of state water” that may have been called into question in a case brought by Greenpeace against DNR over North Slope water permits.

Single best interest finding covers disposals

Knowles also signed Senate Bill 156 which amends the Alaska Land Act to clarify that only a single written best interest finding is required for the sale, lease, or other disposal of state land or resources.

During hearings on the bill, the Legislature said it was responding to Alaska Supreme Court decisions on phasing of review of mining and oil and gas projects by specifying that, while public process is required in other phases of development, DNR is required to do only one best interest finding.

“This bill makes clear that multiple best interest findings are not needed for all subsequent phases of development beyond the initial lease or sale,” Knowles said.

“However, it adds explicit requirements that public notice and the opportunity to comment must be provided for subsequent phases of development, either directly through the Department of Natural Resources or under the Alaska Coastal Management Program consistency review.”

The Alaska Coastal Zone Management program provides for public comment during exploration and development phases of coastal development; the bill directs DNR to adopt regulations to provide for public notice and the opportunity to comment for projects not subject to coastal zone consistency review.






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