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April Newsletter: end of session wrap up final.pdf (668.18 kb)

June Newsletter: June 2009_Legislative Update.pdf (1.52 mb)

Legislative Events

Juneau Delegation Urges Cooperation of Environmental Groups

In a letter to Tom Waldo of EarthJustice, Juneau’s legislative delegation, Senator Dennis Egan, and Representatives Cathy Muñoz and Beth Kerttula, express united support of the favorable decision of the U.S. Supreme Court on the Kensington Mine project and urged cooperation of environmental groups involved in the permitting process.　 The economic benefits of the Kensington Mine will have far reaching impacts and will help to diversify Juneau’s economic base with a projected 300 to 400 construction and mining jobs.

Senator Egan stated, "The Juneau delegation strongly supports the Kensington and its current permits. This mine will be a big step forward for our economy."

Representative Kerttula added, "The economic boost that the Kensington will bring to Southeast is a tremendously positive thing."　

Representative Muñoz, "The past months have been very stressful as we awaited the Supreme Court’s decision. Now that things look a lot more hopeful, we want the mine to move forward bringing needed jobs to Southeast Alaska."

Letter to Tom Waldo: Waldo_Tom_Kensington Gold Mine_6-24-09_Munoz.pdf (39.36 kb)

Rep. Muñoz applauds US Supreme Court Decision on Kensington Mine

The United States Supreme Court voted 6-3 in favor of Coeur Alaska Inc., affirming a previously issued permit for the tailings facility at Kensington Mine. This decision clears the way for the remaining construction and production to commence at the mine. "This is very exciting news for Juneau and Southeast Alaska with the prospect of an estimated 370 direct and indirect jobs. The mine will create economic stimulus and growth throughout Southeast Alaska."

"The emotional rollercoaster of waiting out the decision has been stressful on our community. Fortunately, people can get back to work, and a generation or more of employment opportunities await Juneauites eager to find professional employment in mining."

By June 2005, Kensington was fully permitted with more than 50 permits issued to operating subsidiary Coeur Alaska Inc. by the U.S. Forest Service, Army Corps of Engineers, Environmental Protection Agency, National Marine Fisheries, Alaska departments of Environmental Conservation and Natural Resources as well as the City and Borough of Juneau.

It took six years to obtain permits for the Lower Slate Lake tailings disposal option with the help of highly qualified engineers, biologists and water quality specialists.

The project was 50 percent constructed when the environmental groups filed their legal challenge, which was later thrown out by the Alaska District Court. Coeur continued to build and when the project was 80 percent complete, the 9th Circuit Appeals Court made its unfavorable ruling.

"The decision by the U.S. Supreme Court is the second major victory for Alaskan mining," Muñoz said. "Last fall, Ballot Measure 4 sought to add additional regulatory oversight on large mineral mines in Alaska which would have had serious adverse economic effects on the industry." In August 2008, the initiative was voted down in the statewide primary election.

Dennis Wheeler, Chairman, President and CEO of Coeur, was quoted in a press release today stating Kensington has targeted production to being in the later part of 2010.

Alaska Housing Finance Wins 48 More Vouchers  - The U.S. Department of Housing and Urban Development has awarded $296,881 for 48 additional vouchers to the Alaska Housing Finance Corporation.

Federal Stimulus Funds for Energy

There has been considerable interest in the news lately over Governor Palin’s rejection of the $28.56 million in federal stimulus funds for energy. Talk of a special session is brewing, and legislative leaders recently sent a letter to Secretary Chu to request clarification. The language in the original stimulus bill is clear as to state responsibilities and requirements to institute international energy code standards in communities that have building code authority. However, the state of Missouri has been granted some flexibility to these requirements leaving the door open for Alaskan leaders to seek additional clarification. For your information, I am attaching correspondence from Secretary Chu to the Governor; the official response from the Governor’s Chief of Staff, Mike Nizich, and a letter from legislative leaders on the same subject.

Federal Stimulus Energy_Nizich_Chu_Ltr_2009.pdf (2.69 mb)

DOE Secretary Letter.pdf (98.17 kb)

Legislative leaders examine veto override option.pdf (60.51 kb)

End of Session Wrap-Up

And don't forget to check out the End of Session Newsletter

end of session wrap up final.pdf (668.18 kb)

The 26th Alaska Legislature gaveled out on Sunday evening. As a first time legislator, I had braced myself for many 4:00 a.m. sessions, but luckily they never occurred. Speaker Mike Chenault kept morale high and supported caucus members with individual community priorities. My first priority is to protect Juneau’s economic interests. Keeping state jobs secure and protecting against capital move legislation is number one. Early on, I received the commitment from the Speaker that the capital move issue would not receive caucus attention.  This enabled me to focus on other critical issues without the emotional roller coaster of a capital move fight.

The subport building legislation, HB 161, was my top legislative priority. It passed the House unanimously and moved quickly through the process to Senate Finance. The timing of the legislation is critical since the construction schedule must continue to go forward to meet the 2012 lease expiration date on the Department of Labor building. Yesterday I met with our new Senator Dennis Egan and Department of Administration officials to discuss our options for keeping the project moving forward. The Mental Health Trust is considering alternative financing options, and a commitment to keep the permitting and the design build process underway. House leadership has committed to making HB 161 a top legislative priority when we reconvene next January. Senator Egan will play an instrumental role in the bill’s success.

The federal stimulus package helped to bolster an otherwise austere capital budget. Juneau came out pretty well with new funding for a transit center, Glacier highway reconstruction in two locations, Whittier to Main St. improvements, the Auke Bay seawalk, cruise ship dock repairs, the Glacier spur road and several water and sewer upgrades. In addition, the Marine Exchange will receive $450,000 for infrastructure improvements for commercial ship monitoring.

The relationship between the State and Tribal entities was another area where I focused my attention. Early in the session I met with Mr. Bob Loescher, a representative of Tlingit and Haida, to identity a strategy for better communication between the Department of Law and Tribal courts on matters pertaining to child custody. I also worked with officials of the Department of Transportation and Tribal road entities to find opportunities to maximize funding and cooperative work. This led to legislation clarifying liability so that a memorandum of understanding between the parties could be finalized.

Other key legislation that I supported and worked on included increasing funding for power cost equalization, the alternative energy fund, cruise ship wastewater discharge permitting, state employee retirement defined benefit legislation, and raising Alaska’s compulsory attendance age to help address Alaska’s high drop-out rate. I was also pleased to support the Kensington Mine with a resolution calling on the Governor to help reinstate any affected permits that were held up during the litigation phase on the mine’s tailings plan.

The Governor also brought forward legislation and funding requests that lay the groundwork for an in-state gas pipeline. A four-phase plan for the development of an in-state pipeline was presented by the administration on March 3. Work continues on the legislation that will form the initial statutory framework for the development of the project. The legislature approved $7.1 million to continue work on the in-state gas pipeline. Speaker Chenault introduced HB44, which I cosponsored, that would preauthorize the Alaska Housing Finance Corporation and the Alaska Natural Gas Development Authority to issue bonds for energy related programs and projects. HB44 passed the House on April 15 and was referred to Senate Resources.

During the interim, staff Shannon Fields, Kendra Kloster and I will work to get our small space better organized, and will delve into several upcoming legislative projects. We have been asked to carry legislation on the WICHE scholarship program which would allow funding opportunities for individuals interested in medical careers, improving rate reimbursement and equity for small business pharmacies and legislation that would make hazing on school property a class A misdemeanor.

Most importantly, we are here to help Juneau residents with their issues and concerns. If you need help getting through the maze of state government, please let me know. It is an honor to serve my hometown community. Thanks so much for your support during this hectic session. Sincerely, Cathy Munoz

House Passes Economic Stimulus Bill

The Alaska State House passed legislation authorizing the receipt of the full federal economic stimulus funding to help Alaska students, homeowners, job seekers, and communities statewide. House Bill 199 appropriates more than $170 million for school districts and education programs; $56 million for energy-efficiency and home weatherization programs; more than $17 million for job training, vocational rehabilitation assistance, and improvements to the states unemployment services; $7 million for public safety programs; and almost $21 million in additional revenue sharing in Alaska municipalities.

HB199 now moves to the Senate for consideration. The Governor has the final authority to determine how much of the federal stimulus will be accepted.  See the attached list for a breakdown of funds that can be used in Alaska.

House passes resolution to support Kensington Mine

The Alaska State House unanimously passed a resolution, HR12, sponsored by Rep. Cathy Muñoz which re-affirms the House’s long term commitment to the Kensington Gold Mine.

The Kensington Mine is a vital project to the community of Juneau. Couer Alaska has spent more than $30 million on studies to develop the mine in an environmentally responsible fashion, and $33 million on preliminary construction.

Due to the August 2006 injunction imposed by the 9 circuit court, some of the 70-plus permits authorizing the mine that were in place are now in jeopardy. Decision of the U.S. Supreme Court is imminent, and should the Court rule in favor of the mine, the federal and state agencies need to be ready to assist Couer in seeking continuations and reinstatement of these important operational permits.

See article in Juneau Empire and press release.

The Alaska State House unanimously passed House Joint Resolution 25 urging the United States Congress to classify hydroelectric power as a renewable energy source.

Currently, the federal government does not recognize hydroelectric power as renewable or alternative. Without the recognition of the federal government, federal funding options are closed to Alaska for hydroelectric projects. The passage of HJR 25 is an important step forward for Alaska in order to continue progressing our hydroelectric power infrastructure.

HJR 25 now moves to the Senate for consideration.

Juneau Access Update

Recently the State requested reconsideration of the Sedwick decision at the District Court level. The Sedwick decision threw out the previous EIS on the Lynn Canal highway project citing incomplete analysis of existing ferry infrastructure as a possible preferred alternative for improved access. The lower court has denied the State’s request.

Goldbelt Inc. is promoting completion of the first 3 mile section extending the old Glacier highway to Cascade Point. There is currently a pioneer road in this area.

The main things that I am working for are:

1. Protection of Lynn Canal highway revenues from reappropriation – currently there are $37 million in state general funds, $10 million in materials, and $64 million in federal funds.

2. Keep the project moving forward – the State needs to be proactive in completing the new EIS information or appealing the Sedwick decision. Despite tremendous setback, we have to keep on track.

3. Build support to start the first 3 miles

4. Ultimate goal of reaching Skagway by hardlink

I am communicating to the Governor and the Administration these important goals, and will keep you posted on progress as new developments come up.

HB35: Notice & Consent for Minor's Abortion

HB 35 recently passed the House of Representatives 22 to 14. The proposed law would require parental consent for an abortion for girls aged 16 and younger. There are flexible provisions to allow exemptions to the consent requirement in cases of violent home life, rape and incest by allowing for a notarized statement by another adult of the known abuse. This can be provided by a legal aged sibling, neighbor, grandparent or other involved adult.

I voted in favor of this legislation and am comfortable that the language in the bill provides important parental involvement while also protecting our most vulnerable citizens with straightforward provisions that allow a teenager to avoid involving abusive parents in the decision.

The bill is now on its’ way to the Senate where it is expected to face difficult passage. Already, there is an effort on the Senate side to amend the intent to parental notification with the hope that the less restrictive designation would build greater support for its’ ultimate passage.

UPDATE ON NEW SUBPORT BUILDING

It has been 25 years or more since Juneau has seen a new state office building erected in the capital city. Approximately 500 state employees are housed in space that needs immediate infrastructure investment – and in the case of the Department of Labor space –the current lease expires in 2012 and the state will need to vacate the building. This creates an opportunity to partner with The Alaska Mental Health Trust, the owner of some of the most desirable commercial space downtown – the old subport area.

One year ago, Trust officials and the Department of Administration began discussing the possibility of partnering on a project that would provide state office space while at the same time supporting the beneficiaries of the Alaska Mental Health Trust. A local architect was hired to draw up plans for a facility that could house the Departments of Labor, Fish and Game, Corrections and Public Safety.

The design envisions a well built, energy efficient facility consistent with the values of the Waterfront Plan. Covered pedestrian facilities on the Egan Drive side, and plaza like opportunities in part of the building will increase the community features of the site. The area which is now rarely used by pedestrians will be converted into a multi-use, urban hub. New green space and integration with the waterfront will not only attract use by the employees at the Trust building, but our residents and visitors alike will be able to enjoy this new waterfront space.

HB 161 and SB 157 are the vehicles to see this project happen. The legislation will enable the Trust to access $22.7 million in Trust Funds currently invested by the Permanent Fund, and allow the State to issue Certificates of Participation for an equal amount. Receipts from the state leases will be used to pay off the certificates on a 20 year cycle. It is important to note that the State will save approximately $13 million over the life of the lease in the proposed Trust facility, as compared to investing in the current infrastructure upgrades and required new leasing.

HB161 has passed the House and was referred to Senate Finance.  SB157 was heard in the Senate State Affairs committee on April 2 and moved to Senate Finance. This is an important project for Juneau and for the Southeast region. This is a bi-partisan effort unanimously supported by all southeast legislators, and many of our friends "up north."

Article in Juneau Empire: Subport building wins House approval

Defined Benefit Rally at Capitol on February 19th