Alaska 2025-2026 Regular Session

Alaska Senate Bill SB75 Compare Versions

Only one version of the bill is available at this time.

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2	2	SB0075A -1- SB 75
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5	5	34-GS1450\A
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10	10
11	11	SENATE BILL NO. 75
12	12
13	13	IN THE LEGISLATURE OF THE STATE OF ALASKA
14	14
15	15	THIRTY-FOURTH LEGISLATURE - FIRST SESSION
16	16
17	17	BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR
18	18
19	19	Introduced: 1/27/25
20	20	Referred: Resources, Finance
21	21
22	22
23	23	A BILL
24	24
25	25	FOR AN ACT ENTITLED
26	26
27	27	"An Act relating to timber on state lands; relating to timber management leases; and 1
28	28	providing for an effective date." 2
29	29	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
30	30	* Section 1. AS 36.30.850(b) is amended by adding a new paragraph to read: 4
31	31	(52) timber management leases under AS 38.05.124. 5
32	32	* Sec. 2. AS 38.05.035(e) is amended to read: 6
33	33	(e) Upon a written finding that the interests of the state will be best served, the 7
34	34	director may, with the consent of the commissioner, approve contracts for the sale, 8
35	35	lease, or other disposal of available land, resources, property, or interests in them. In 9
36	36	approving a contract under this subsection, the director need only prepare a single 10
37	37	written finding. In addition to the conditions and limitations imposed by law, the 11
38	38	director may impose additional conditions or limitations in the contracts as the director 12
39	39	determines, with the consent of the commissioner, will best serve the interests of the 13
40	40	state. The preparation and issuance of the written finding by the director are subject to 14 34-GS1450\A
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44	44	the following: 1
45	45	(1) with the consent of the commissioner and subject to the director's 2
46	46	discretion, for a specific proposed disposal of available land, resources, or property, or 3
47	47	of an interest in them, the director, in the written finding, 4
48	48	(A) shall establish the scope of the administrative review on 5
49	49	which the director's determination is based, and the scope of the written 6
50	50	finding supporting that determination; the scope of the administrative review 7
51	51	and finding may address only reasonably foreseeable, significant effects of the 8
52	52	uses proposed to be authorized by the disposal; 9
53	53	(B) may limit the scope of an administrative review and finding 10
54	54	for a proposed disposal to 11
55	55	(i) applicable statutes and regulations; 12
56	56	(ii) the facts pertaining to the land, resources, or 13
57	57	property, or interest in them, that the director finds are material to the 14
58	58	determination and that are known to the director or knowledge of which 15
59	59	is made available to the director during the administrative review; and 16
60	60	(iii) issues that, based on the statutes and regulations 17
61	61	referred to in (i) of this subparagraph, on the facts as described in (ii) of 18
62	62	this subparagraph, and on the nature of the uses sought to be authorized 19
63	63	by the disposal, the director finds are material to the determination of 20
64	64	whether the proposed disposal will best serve the interests of the state; 21
65	65	and 22
66	66	(C) may, if the project for which the proposed disposal is 23
67	67	sought is a multiphased development, limit the scope of an administrative 24
68	68	review and finding for the proposed disposal to the applicable statutes and 25
69	69	regulations, facts, and issues identified in (B)(i) - (iii) of this paragraph that 26
70	70	pertain solely to the disposal phase of the project when 27
71	71	(i) the only uses to be authorized by the proposed 28
72	72	disposal are part of that phase; 29
73	73	(ii) the disposal is a disposal of oil and gas, or of gas 30
74	74	only, and, before the next phase of the project may proceed, public 31 34-GS1450\A
75	75	SB0075A -3- SB 75
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78	78	notice and the opportunity to comment are provided under regulations 1
79	79	adopted by the department; 2
80	80	(iii) the department's approval is required before the 3
81	81	next phase of the project may proceed; and 4
82	82	(iv) the department describes its reasons for a decision 5
83	83	to phase; 6
84	84	(2) the director shall discuss in the written finding prepared and issued 7
85	85	under this subsection the reasons that each of the following was not material to the 8
86	86	director's determination that the interests of the state will be best served: 9
87	87	(A) facts pertaining to the land, resources, or property, or an 10
88	88	interest in them other than those that the director finds material under (1)(B)(ii) 11
89	89	of this subsection; and 12
90	90	(B) issues based on the statutes and regulations referred to in 13
91	91	(1)(B)(i) of this subsection and on the facts described in (1)(B)(ii) of this 14
92	92	subsection; 15
93	93	(3) a written finding for an oil and gas lease sale or gas only lease sale 16
94	94	under AS 38.05.180 is subject to (g) of this section; 17
95	95	(4) a contract for the sale, lease, or other disposal of available land or 18
96	96	an interest in land is not legally binding on the state until the commissioner approves 19
97	97	the contract, but if the appraised value is not greater than $50,000 in the case of the 20
98	98	sale of land or an interest in land, or $5,000 in the case of the annual rental of land or 21
99	99	interest in land, the director may execute the contract without the approval of the 22
100	100	commissioner; 23
101	101	(5) public notice requirements relating to the sale, lease, or other 24
102	102	disposal of available land or an interest in land for oil and gas, or for gas only, 25
103	103	proposed to be scheduled in the five-year oil and gas leasing program under 26
104	104	AS 38.05.180(b), except for a sale under (6)(F) of this subsection, are as follows: 27
105	105	(A) before a public hearing, if held, or in any case not less than 28
106	106	180 days before the sale, lease, or other disposal of available land or an interest 29
107	107	in land, the director shall make available to the public a preliminary written 30
108	108	finding that states the scope of the review established under (1)(A) of this 31 34-GS1450\A
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112	112	subsection and includes the applicable statutes and regulations, the material 1
113	113	facts and issues in accordance with (1)(B) of this subsection, and information 2
114	114	required by (g) of this section, upon which the determination that the sale, 3
115	115	lease, or other disposal will serve the best interests of the state will be based; 4
116	116	the director shall provide opportunity for public comment on the preliminary 5
117	117	written finding for a period of not less than 60 days; 6
118	118	(B) after the public comment period for the preliminary written 7
119	119	finding and not less than 90 days before the sale, lease, or other disposal of 8
120	120	available land or an interest in land for oil and gas or for gas only, the director 9
121	121	shall make available to the public a final written finding that states the scope of 10
122	122	the review established under (1)(A) of this subsection and includes the 11
123	123	applicable statutes and regulations, the material facts and issues in accordance 12
124	124	with (1) of this subsection, and information required by (g) of this section, 13
125	125	upon which the determination that the sale, lease, or other disposal will serve 14
126	126	the best interests of the state is based; 15
127	127	(6) before a public hearing, if held, or in any case not less than 21 days 16
128	128	before the sale, lease, or other disposal of available land, property, resources, or 17
129	129	interests in them other than a sale, lease, or other disposal of available land or an 18
130	130	interest in land for oil and gas or for gas only under (5) of this subsection, the director 19
131	131	shall make available to the public a written finding that, in accordance with (1) of this 20
132	132	subsection, sets out the material facts and applicable statutes and regulations and any 21
133	133	other information required by statute or regulation to be considered upon which the 22
134	134	determination that the sale, lease, or other disposal will best serve the interests of the 23
135	135	state was based; however, a written finding is not required before the approval of 24
136	136	(A) a contract for a negotiated sale authorized under 25
137	137	AS 38.05.115; 26
138	138	(B) a lease of land for a shore fishery site under AS 38.05.082; 27
139	139	(C) a permit or other authorization revocable by the 28
140	140	commissioner; 29
141	141	(D) a mineral claim located under AS 38.05.195; 30
142	142	(E) a mineral lease issued under AS 38.05.205; 31 34-GS1450\A
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146	146	(F) an exempt oil and gas lease sale or gas only lease sale under 1
147	147	AS 38.05.180(d) of acreage subject to a best interest finding issued within the 2
148	148	previous 10 years or a reoffer oil and gas lease sale or gas only lease sale under 3
149	149	AS 38.05.180(w) of acreage subject to a best interest finding issued within the 4
150	150	previous 10 years, unless the commissioner determines that substantial new 5
151	151	information has become available that justifies a supplement to the most recent 6
152	152	best interest finding for the exempt oil and gas lease sale or gas only lease sale 7
153	153	acreage and for the reoffer oil and gas lease sale or gas only lease sale acreage; 8
154	154	however, for each oil and gas lease sale or gas only lease sale described in this 9
155	155	subparagraph, the director shall call for comments from the public; the 10
156	156	director's call for public comments must provide opportunity for public 11
157	157	comment for a period of not less than 30 days; if the director determines that a 12
158	158	supplement to the most recent best interest finding for the acreage is required 13
159	159	under this subparagraph, 14
160	160	(i) the director shall issue the supplement to the best 15
161	161	interest finding not later than 90 days before the sale; 16
162	162	(ii) not later than 45 days before the sale, the director 17
163	163	shall issue a notice describing the interests to be offered, the location 18
164	164	and time of the sale, and the terms and conditions of the sale; and 19
165	165	(iii) the supplement has the status of a final written best 20
166	166	interest finding for purposes of (i) and (l) of this section; 21
167	167	(G) a surface use lease under AS 38.05.255; 22
168	168	(H) a permit, right-of-way, or easement under AS 38.05.850; 23
169	169	(I) a timber management lease under AS 38.05.124; 24
170	170	(7) the director shall include in 25
171	171	(A) a preliminary written finding, if required, a summary of 26
172	172	agency and public comments, if any, obtained as a result of contacts with other 27
173	173	agencies concerning a proposed disposal or as a result of informal efforts 28
174	174	undertaken by the department to solicit public response to a proposed disposal, 29
175	175	and the department's preliminary responses to those comments; and 30
176	176	(B) the final written finding a summary of agency and public 31 34-GS1450\A
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180	180	comments received and the department's responses to those comments. 1
181	181	* Sec. 3. AS 38.05.075(a) is amended to read: 2
182	182	(a) Except as provided in AS 38.05.035, 38.05.070, 38.05.073, 38.05.081, 3
183	183	38.05.082, 38.05.083, 38.05.087, 38.05.102, 38.05.124, 38.05.565, 38.05.600, 4
184	184	38.05.810, and this section, when competitive interest has been demonstrated or the 5
185	185	commissioner determines that it is in the state's best interests, leasing shall be made at 6
186	186	public auction or by sealed bid, at the discretion of the director, to the highest qualified 7
187	187	bidder as determined by the commissioner. A bidder may be represented by an 8
188	188	attorney or agent at a public auction. In the public notice of a lease to be offered at 9
189	189	public auction or by sealed bid, the commissioner shall specify a minimum acceptable 10
190	190	bid and the lease compensation method. The lease compensation method shall be 11
191	191	designed to maximize the return on the lease to the state and shall be a form of 12
192	192	compensation set out in AS 38.05.073(m). An aggrieved bidder may appeal to the 13
193	193	commissioner within five days for a review of the determination. The leasing shall be 14
194	194	conducted by the commissioner, and the successful bidder shall deposit at the public 15
195	195	auction or with the sealed bid the first year's rental or other lease compensation as 16
196	196	specified by the commissioner, or that portion of it that the commissioner requires in 17
197	197	accordance with the bid. The commissioner shall require, under AS 38.05.860, 18
198	198	qualified bidders to deposit a sum equal to any survey or appraisal costs reasonably 19
199	199	incurred by another qualified bidder acting in accordance with the regulations of the 20
200	200	commissioner or incurred by the department under AS 38.04.045 and AS 38.05.840. If 21
201	201	a bidder making a deposit of survey or appraisal costs is determined by the 22
202	202	commissioner to be the highest qualified bidder under this subsection, the deposit shall 23
203	203	be paid to the unsuccessful bidder who incurred those costs or to the department if the 24
204	204	department incurred the costs. All costs for survey and appraisal shall be approved in 25
205	205	advance in writing by the commissioner. The commissioner shall immediately issue a 26
206	206	receipt containing a description of the land or interest leased, the price bid, and the 27
207	207	terms of the lease to the successful qualified bidder. If the receipt is not accepted in 28
208	208	writing by the bidder under this subsection, the commissioner may offer the land for 29
209	209	lease again under this subsection. A lease, on a form approved by the attorney general, 30
210	210	shall be signed by the successful bidder and by the commissioner. 31 34-GS1450\A
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214	214	* Sec. 4. AS 38.05 is amended by adding a new section to article 4 to read: 1
215	215	Sec. 38.05.124. Timber management leases. (a) If it is in the interest of the 2
216	216	state, the commissioner may issue a timber management lease to a person for the 3
217	217	harvest and management of timber on state forest land. So as to result in a sustained 4
218	218	yield of merchantable timber, a lessee shall manage timber on state forest land in 5
219	219	accordance with the standards of AS 41.17.060 and, at a minimum, provide for 6
220	220	(1) the harvest and sale of merchantable timber; 7
221	221	(2) afforestation and reforestation of state land; 8
222	222	(3) fire prevention and pest control; and 9
223	223	(4) construction and maintenance of roads and other facilities 10
224	224	necessary for the processing and removal of harvested timber. 11
225	225	(b) A timber management lessee shall manage timber located in the Haines 12
226	226	State Forest Resource Management Area described in AS 41.15.305(a) or in a state 13
227	227	forest established under AS 41.17.200 - 41.17.230 consistent with the applicable forest 14
228	228	management plan. 15
229	229	(c) A person may nominate state forest land for a timber management lease. 16
230	230	The commissioner shall consider whether state forest land nominated under this 17
231	231	subsection is suitable for timber management leasing under (a) of this section. If the 18
232	232	commissioner determines that the nominated land is suitable for timber management 19
233	233	leasing, the commissioner shall prepare a written request for proposals under (d) of 20
234	234	this section. 21
235	235	(d) If the commissioner identifies state forest land suitable for timber 22
236	236	management leasing under (a) or (c) of this section, the commissioner shall prepare a 23
237	237	written request for proposals that includes 24
238	238	(1) the specific location, description, and area of timber to be leased; 25
239	239	(2) the form of compensation that the commissioner intends to require 26
240	240	for the lease; and 27
241	241	(3) the selection criteria that the commissioner will use to determine 28
242	242	the eligibility of an applicant and the suitability of a proposal. 29
243	243	(e) After preparing a request for proposals under (d) of this section, the 30
244	244	commissioner shall issue the request to solicit proposals from persons who are 31 34-GS1450\A
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248	248	interested in leasing the land for forest management by issuing a public notice seeking 1
249	249	competitive interest in the manner prescribed under AS 38.05.945. 2
250	250	(f) After soliciting proposals under (e) of this section, if the commissioner 3
251	251	determines that only one proposal is acceptable, the commissioner may begin 4
252	252	negotiations with the applicant to develop the terms and conditions for the timber 5
253	253	management lease. If the commissioner determines that two or more applicants are 6
254	254	acceptable, the commissioner shall consider reasonable factors in awarding the lease, 7
255	255	including 8
256	256	(1) benefits to the public, including the surrounding community; 9
257	257	(2) forest improvements and investments; 10
258	258	(3) impact on growing the forest management and timber industry; 11
259	259	(4) qualifications of the applicant, including whether the applicant has 12
260	260	previous experience with forest management; 13
261	261	(5) revenue to the state; and 14
262	262	(6) any additional requirement established by the department in 15
263	263	regulation. 16
264	264	(g) After public notice, the commissioner may issue a timber management 17
265	265	lease for a period of up to 55 years. The commissioner may renew a lease only once 18
266	266	for a term not longer than the initial term of the lease. The commissioner may 19
267	267	terminate a lease at any time if the commissioner determines that the lessee has failed 20
268	268	to manage the timber in accordance with the terms of the lease or has otherwise failed 21
269	269	to comply with the lease after being provided a reasonable opportunity to comply. 22
270	270	(h) The commissioner shall charge compensation for a timber management 23
271	271	lease so as to ensure a fair return to the state, considering the benefits of the lessee's 24
272	272	activities to the state and the surrounding communities. 25
273	273	(i) Except as provided in this section or in a timber management lease, the 26
274	274	provisions of AS 41.17 and AS 38.05.110 - 38.05.120 do not apply to state forest land 27
275	275	subject to a timber management lease. A lease must include provisions regarding 28
276	276	(1) the lease term and compensation; 29
277	277	(2) a timber management plan; 30
278	278	(3) public access and multiple use; 31 34-GS1450\A
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282	282	(4) riparian management; 1
283	283	(5) easements and land use authorizations for improvements; 2
284	284	(6) compliance and department oversight; 3
285	285	(7) recordkeeping and auditing; 4
286	286	(8) notices of violation and termination; 5
287	287	(9) dispute resolution; 6
288	288	(10) insurance; and 7
289	289	(11) limitation of state liability. 8
290	290	(j) The commissioner shall adopt regulations under AS 44.62 (Administrative 9
291	291	Procedure Act) to implement this section. 10
292	292	(k) In this section, "forest land" has the meaning given in AS 41.17.950. 11
293	293	* Sec. 5. AS 41.15.300(b) is amended to read: 12
294	294	(b) The responsibility for the management, control, development, and 13
295	295	maintenance of the Haines State Forest Resource Management Area established under 14
296	296	AS 41.15.300 - 41.15.330 is assigned to the department. The department may 15
297	297	delegate the management of timber located in the Haines State Forest Resource 16
298	298	Management Area in a timber management lease under AS 38.05.124. 17
299	299	* Sec. 6. AS 41.15.315(a) is amended to read: 18
300	300	(a) The Haines State Forest Resource Management Area shall be managed 19
301	301	under the principles of multiple use and sustained yield and, except as applicable to a 20
302	302	lease under AS 38.05.124, under AS 41.17. 21
303	303	* Sec. 7. AS 41.15.315(d) is amended to read: 22
304	304	(d) The state land and water described in AS 41.15.305(a) are closed to sale 23
305	305	under state land disposal laws. The commissioner may lease the land described in 24
306	306	AS 41.15.305(a) under AS 38.05.070 - 38.05.105 for a purpose consistent with 25
307	307	AS 41.15.300(a) and a municipality may select land in the Haines State Forest 26
308	308	Resource Management Area under law. The commissioner may manage the land and 27
309	309	water described in AS 41.15.305(a) for purposes consistent with AS 38.95.400 - 28
310	310	38.95.499. The commissioner may issue a lease under AS 38.05.124 for the 29
311	311	management of timber located on land described in AS 41.15.305(a). 30
312	312	* Sec. 8. AS 41.15.315(e) is amended to read: 31 34-GS1450\A
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316	316	(e) A carbon offset project under AS 38.95.400 - 38.95.499 and a timber 1
317	317	management lease under AS 38.05.124 undertaken on land identified in 2
318	318	AS 41.15.305 must be consistent with the applicable management plan under 3
319	319	AS 41.15.320, and the management plan must identify the land appropriate for the 4
320	320	carbon offset project or timber management lease. The department may amend a 5
321	321	management plan under AS 41.15.320 to allow for a carbon offset project or timber 6
322	322	management lease. 7
323	323	* Sec. 9. AS 41.17.200(b) is amended to read: 8
324	324	(b) In managing a state forest, the commissioner shall, consistent with the 9
325	325	primary purpose of a state forest under (a) of this section, restrict the public use of the 10
326	326	land and its resources, including timber, fish and wildlife, and minerals, only when 11
327	327	necessary to carry out the purposes of this chapter. The commissioner may delegate 12
328	328	the management of timber located in a state forest through a timber management 13
329	329	lease under AS 38.05.124. 14
330	330	* Sec. 10. AS 41.17.220 is amended to read: 15
331	331	Sec. 41.17.220. Management of state forests. Land within a state forest or 16
332	332	within a unit of a state forest shall be managed under 17
333	333	(1) the sustained yield principle; 18
334	334	(2) this chapter, except as applicable to a lease under AS 38.05.124; 19
335	335	(3) a forest management plan prepared by the department; and 20
336	336	(4) if applicable, a carbon offset project undertaken by the department 21
337	337	under AS 38.95.400 - 38.95.499. 22
338	338	* Sec. 11. AS 41.17.230(a) is amended to read: 23
339	339	(a) The commissioner shall prepare a forest management plan consistent with 24
340	340	AS 38.04.005 and this chapter for each state forest and for each unit of a state forest to 25
341	341	assist in meeting the requirements of this chapter. An operational level forest 26
342	342	inventory shall be completed before a forest management plan for the state forest or 27
343	343	the unit of a state forest is adopted. The forest management plan shall be adopted, 28
344	344	implemented, and maintained within three years of the establishment of a state forest 29
345	345	by the legislature. To the extent they are found to be compatible with the primary 30
346	346	purpose of state forests under AS 41.17.200, the forest management plan must 31 34-GS1450\A
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350	350	consider and permit uses of forest land for other purposes, including a carbon offset 1
351	351	project under AS 38.95.400 - 38.95.499, timber management leasing under 2
352	352	AS 38.05.124, recreation, tourism, mining, mineral exploration, mineral leasing, 3
353	353	material extraction, consumptive and nonconsumptive uses of wildlife and fish, 4
354	354	grazing and other agricultural activities, and other traditional uses. If the commissioner 5
355	355	finds that a permitted use is incompatible with one or more other uses in a portion of a 6
356	356	state forest, the commissioner shall affirmatively state in the management plan that 7
357	357	finding of incompatibility for the specific area where the incompatibility is anticipated 8
358	358	to exist and the time period when the incompatibility is anticipated to exist together 9
359	359	with the reasons and benefits for each finding. 10
360	360	* Sec. 12. AS 41.17.230(g) is amended to read: 11
361	361	(g) A carbon offset project undertaken under AS 38.95.400 - 38.95.499 and a 12
362	362	timber management lease under AS 38.05.124 within a state forest must be 13
363	363	consistent with the applicable forest management plan, and the applicable forest 14
364	364	management plan must identify the land appropriate for the carbon offset project or 15
365	365	timber management lease. The department may amend a forest management plan to 16
366	366	allow for a carbon offset project or timber management lease. 17
367	367	* Sec. 13. AS 41.17.900(a) is amended to read: 18
368	368	(a) Except as provided in AS 38.05.124 or [UNLESS] otherwise specified, 19
369	369	this chapter applies to forest land under state, municipal, or private ownership. 20
370	370	* Sec. 14. This Act takes effect immediately under AS 01.10.070(c). 21