RDC Comment Letter:
Request to Governor Parnell to Veto Appropriation

May 5, 2010

The Honorable Sean Parnell
Governor, State of Alaska
PO Box 110001
Juneau, AK 99811-0001

Dear Governor Parnell:

In the final hours of the legislative session, a $750,000 appropriation was added to the capital budget for the Legislative Council to conduct an independent study of the potential large mine development in the Bristol Bay drainage. RDC writes to express its concern with this appropriation, and asks that you veto this unnecessary study.

Funding such a study will set a dangerous precedent for resource development projects across all industries in the state. Alaska’s permitting system is among the most stringent in the world and companies have invested millions of dollars in this state with the understanding that they will be afforded the opportunity to navigate the rigorous permitting process in a manner that is both fair and consistent for all. If the Legislative Council were to conduct such a study, it would likely lead to a politically motivated conclusion, and thus mislead the public into questioning the integrity of the exhaustive permitting process that is already in place. This wouldn’t be so bad if the study focused on the entire permitting process for all resource development projects in the state. However, this study appears to wrongfully target one industry and one specific project--Pebble.

Resource development projects in the state are all subject to strict permitting processes. In the future, will the Legislative Council conduct a special review on projects in the Tongass, rather than allowing the Board of Forestry to utilize its thorough process? Will it tailor a study of the crab fishery, rather than allow the North Pacific Fishery Management Council to continue its oversight of the industry? At what threshold will future studies like this be employed? If approved, this methodology will likely become a tactic used to oppose any project in the state faced with controversy.

With respect to the proposed study, the language is quite vague, leaving questions as to what exactly would be studied. There is no party designated to conduct the study, leaving an unknown entity accountable for the outcome. This lack of direction and accountability could subject the study to manipulation by parties with an agenda, either for, or against a project.

The use of capital budget funds for this study is inappropriate. RDC urges you to veto the Bristol Bay area study request section of the capital budget bill. Thank you for your consideration.

Sincerely,
Resource Development Council for Alaska, Inc.