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[Senate Report 107-29]
[From the U.S. Government Publishing Office]

                                                        Calendar No. 64
107th Congress                                                   Report
                                 SENATE
 1st Session                                                     107-29

======================================================================

 
                 KENAI MOUNTAINS-TURNAGAIN ARM NATIONAL

                       HERITAGE AREA ACT OF 2001

                                _______
                                

                  June 5, 2001.--Ordered to be printed

                                _______
                                

  Mr. Murkowski, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 509]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 509) to establish the Kenai Mountains-
Turnagain Arm National Heritage Area in the State of Alaska, 
and for other purposes, having considered the same, reports 
favorably thereon with an amendment and an amendment to the 
title and recommends that the bill, as amended, do pass.
    The amendments are as follows:
    1. Strike out all after the enacting clause and insert in 
lieu thereof the following:

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Kenai Mountains-Turnagain Arm 
National Heritage Corridor Act of 2001''.

SEC. 2. FINDINGS AND PURPOSES.

    (a) Findings.--Congress finds that--
          (1) The Kenai Mountains-Turnagain Arm transportation corridor 
        is a major gateway to Alaska and includes a range of 
        transportation routes used first by indigenous people who were 
        followed by pioneers who settled the nation's last frontier;
          (2) the natural history and scenic splendor of the region are 
        equally outstanding; vistas of nature's power include evidence 
        of earthquake subsidence, recent avalanches, retreating 
        glaciers and tidal action along Turnagain Arm, which has the 
        world's second greatest tidal range;
          (3) the cultural landscape formed by indigenous people and 
        then by settlement, transportation and modern resource 
        development in this rugged and often treacherous natural 
        setting stands as powerful testimony to the human fortitude, 
        perseverance, and resourcefulness that is America's proudest 
        heritage from the people who settled the frontier;
          (4) there is a national interest in recognizing, preserving, 
        promoting, and interpreting these resources;
          (5) the Kenai Mountains-Turnagain Arm region is 
        geographically and culturally cohesive because it is defined by 
        a corridor of historic routes--trail, water, railroad, and 
        roadways through a distinct landscape of mountains, lakes, and 
        fjords;
          (6) national significance of separate elements of the region 
        include, but are not limited to, the Iditarod National Historic 
        Trail, the Seward Highway National Scenic Byway, and the Alaska 
        Railroad National Scenic Railroad;
          (7) national Heritage Corridor designation provides for the 
        interpretation of these routes, as well as the national 
        historic districts and numerous historic routes in the region 
        as part of the whole picture of human history in the wider 
        transportation corridor including early Native trade routes, 
        connections by waterway, mining trail, and other routes;
          (8) national Heritage Corridor designation also provides 
        communities within the region with the motivation and means for 
        ``grass roots'' regional coordination and partnerships with 
        each other and with borough, State, and Federal agencies; and
          (9) national Heritage Corridor designation is supported by 
        the Kenai peninsula Historical Association, the Seward 
        Historical Commission, the Seward City Council, the Hope and 
        Sunrise Historical Society, the Hope Chamber of Commerce, the 
        Alaska Association for Historic Preservation, the Cooper 
        Landing Community Club, the Alaska Wilderness Recreation and 
        Tourism Association, Anchorage Historic Properties, the 
        Anchorage Convention and Visitors Bureau, the Cook Inlet 
        Historical Society, the Moose Pass Sportsman's Club, the Alaska 
        Historical Commission, the Girdwood Board of Supervisors, the 
        Kenai River Special Management Area Advisory Board, the Bird/
        Indian Community Council, the Kenai Peninsula Borough Trails 
        Commission, the Alaska Division of Parks and Recreation, the 
        Kenai Peninsula Borough, the Kenai Peninsula Tourism Marketing 
        Council, and the Anchorage Municipal Assembly.
    (b) Purposes.--The purposes of this Act are--
          (1) to recognize, preserve, and interpret the historic and 
        modern resource development and cultural landscapes of the 
        Kenai Mountains-Turnagain Arm historic transportation corridor, 
        and to promote and facilitate the public enjoyment of these 
        resources; and
          (2) to foster, through financial and technical assistance, 
        the development of cooperative planning and partnerships among 
        the communities and borough, State, and Federal Government 
        entities.

SEC. 3. DEFINITIONS.

    In this Act:
          (1) Heritage corridor.--The term ``Heritage Corridor'' means 
        the Kenai Mountains-Turnagain Arm National Heritage Corridor 
        established by section 4(a) of this Act.
          (2) Management entity.--The term ``management entity'' means 
        the 11 member Board of Directors of the Kenai Mountains-
        Turnagain Arm National Heritage Corridor Communities 
        Association, a non-profit corporation, established in 
        accordance with the laws of the State of Alaska.
          (3) Management plan.--The term ``management plan'' means the 
        management plan for the Heritage Corridor.
          (4) Secretary.--The term ``Secretary'' means the Secretary of 
        the Interior.

SEC. 4. KENAI MOUNTAINS.TURNAGAIN ARM NATIONAL HERITAGE CORRIDOR.

    (A) Establishment.--There is established the Kenai Mountains-
Turnagain Arm National Heritage Corridor.
    (b) Boundaries.--The Heritage Corridor shall comprise the lands in 
the Kenai Mountains and upper Turnagain Arm region generally depicted 
on the map entitled ``Kenai Peninsula/Turnagain Arm National Heritage 
Corridor'', numbered ``Map #KMTA--1, and dated ``August 1999''. The map 
shall be on file and available for public inspection in the offices of 
the Alaska Regional Office of the National Park Service and in the 
offices of the Alaska State Heritage Preservation Officer.

SEC. 5. MANAGEMENT ENTITY.

    (a) To carry out the purposes of this Act, the Secretary shall 
enter into a cooperative agreement with the management entity. The 
cooperative agreement shall be prepared with public participation and 
shall include information relating to the objectives and management of 
the Heritage Corridor, including the following:
          (1) A discussion of the goals and objectives of the Heritage 
        Corridor;
          (2) An explanation of the proposed approach to conservation 
        and interpretation of the Heritage Corridor;
          (3) A general outline of the protection measures, to which 
        the management entity commits.
    (b) Nothing in this Act authorizes the management entity to assume 
any management authorities or responsibilities on Federal lands.
    (c) Representatives of other organizations shall be invited and 
encouraged to participate with the management entity and in the 
development and implementation of the management plan, including but 
not limited to: The State Division of Parks and Outdoor Recreation; the 
State Division of Mining, Land and Water; the Forest Service; the State 
Historic Preservation Office, the Kenai Peninsula Borough; the 
Municipality of Anchorage; the Alaska Railroad; the Alaska Department 
of Transportation; and the National Park Service.

SEC. 6. AUTHORITIES AND DUTIES OF MANAGEMENT ENTITY.

    (a) Management Plan.--
          (1) In general.--Not later than 3 years after the Secretary 
        enters into a cooperative agreement with the management entity, 
        the management entity shall develop a management plan for the 
        Heritage Corridor, taking into consideration existing Federal, 
        State, borough, and local plans.
          (2) Contents.--The management plan shall include, but not be 
        limited to--
                  (A) comprehensive recommendations for conservation, 
                funding, management, and development of the Heritage 
                Corridor;
                  (B) a description of agreements on actions to be 
                carried out by public and private organizations to 
                protect the resources of the Heritage Corridor;
                  (C) a list of specific and potential sources of 
                funding to protect, manage, and develop the Heritage 
                Corridor;
                  (D) an inventory of the known cultural and historic 
                resources contained in the Heritage Corridor; and
                  (E) a description of the role and participation of 
                other Federal, State, and local agencies that have 
                jurisdiction on lands within the Heritage Corridor;
    (b) Priorities.--The management entity shall give priority to the 
implementation of actions, goals, and policies set forth in the 
cooperative agreement with the Secretary and the management plan, 
including assisting communities within the region in--
          (1) carrying out programs which recognize important resource 
        values in the Heritage Corridor;
          (2) encouraging economic viability in the affected 
        communities;
          (3) establishing and maintaining interpretive exhibits in the 
        Heritage Corridor;
          (4) improving and interpreting heritage trails;
          (5) increasing public awareness and appreciation for the 
        natural, historical, and cultural resources and modern resource 
        development of the Heritage Corridor;
          (6) restoring historic buildings and structures that are 
        located within the boundaries of the Heritage Corridor; and
          (7) ensuring that clear, consistent, and appropriate signs 
        identifying public access points and sites of interest are 
        placed throughout the Heritage corridor.
    (c) Public Meetings.--The management entity shall conduct 2 or more 
public meetings each year regarding the initiation and implementation 
of the management plan for the Heritage Corridor. The management entity 
shall place a notice of each such meeting in a newspaper of general 
circulation in the Heritage Corridor and shall make the minutes of the 
meeting available to the public.

SEC. 7. DUTIES OF THE SECRETARY.

    In accordance with the terms and conditions of the cooperative 
agreement and upon the request of the management entity, and subject to 
the availability of funds, the Secretary may provide administrative, 
technical, financial, design, development, and operations assistance to 
carry out the purposes of this Act.

SEC. 8. SAVINGS PROVISIONS.

    (a) Regulatory Authority.--Nothing in this Act shall be construed 
to grant powers of zoning or management of land use to the management 
entity of the Heritage Corridor.
    (b) Effect on Authority of Governments.--Nothing in this Act shall 
be construed to modify, enlarge, or diminish any authority of the 
Federal, State, or local governments to manage or regulate any use of 
land as provided for by law or regulation.
    (c) Effect on Business.--Nothing in this Act shall be construed to 
obstruct or limit business activity on private development or resource 
development activities.

SEC. 9. PROHIBITION ON THE ACQUISITION OR REAL PROPERTY.

    The management entity may not use funds appropriated to carry out 
the purposes of this Act to acquire real property or interest in real 
property.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

    (a) First Year.--For the first year $350,000 is authorized to be 
appropriated to carry out the purposes of this Act, and is made 
available upon the Secretary and the management entity entering into a 
cooperative agreement as authorized in section 3.
    (b) In General.--There is authorized to be appropriated not more 
than $1,000,000 to carry out the purposes of this Act for any fiscal 
year after the first year. Not more than $10,000,000, in the aggregate, 
may be appropriated for the Heritage Corridor.
    (c) Matching Funds.--Federal funding provided under this Act shall 
be matched at least 25 percent by other funds or in-kind services.
    (d) Sunset Provision.--The Secretary may not make any grant or 
provide any assistance under this Act beyond 15 years from the date 
that the Secretary and management entity complete a cooperative 
agreement.

    2. Amend the title so as to read: ``To establish the Kenai 
Mountains-Turnagain Arm National Heritage Corridor in the State 
of Alaska, and for other purposes.''.

                         purpose of the measure

    The purpose of S. 509 is to establish the Kenai Mountains-
Turnagain Arm National Heritage Corridor in the State of 
Alaska, and designate the Board of Directors of the Kenai 
Mountains-Turnagain Arm National Heritage Corridor Communities 
Association as the management entity to carry out the purposes 
of the Act.

                          background and need

    The Kenai Mountains-Turnagain Arm corridor in Alaska 
highlights the experience of the western frontier, and contains 
heritage resources that tell the story of transportation, 
settlement, the gold rush, and resource development in a 
difficult and remote landscape. Small communities, still very 
much as they were in the past, are dwarfed by the sweeping 
landscape. Turnagain Arm, once a critical transportation link, 
has the world's second greatest tidal range, and a traveler 
through the alpine valleys and mountain passes of the area can 
see evidence of retreating glaciers, earthquake subsidence, and 
avalanches. Wildlife is abundant.
    Through this rugged terrain, transportation routes were 
developed into south central and interior Alaska. Alaska 
Natives, Russians, gold rush ``stampeders,'' and other arrived 
seeking access to the resource-rich land. Historic trails and 
evidence of mining history are often embedded and nearly hidden 
in the landscape. The Iditarod Trail to Nome, used to haul mail 
in and gold out, started at Seward. Only in the last half of 
the 20th Century was the highway from Seward to Anchorage 
opened. Before then, the small communities of the corridor were 
linked to the rest of Alaska by wagon trail, rail, and by boat 
access across Turnagain Arm and the Kenai River.
    S. 509 creates the Kenai Mountains-Turnagain Arm National 
Heritage Corridor. The designation has the support of statewide 
tourism and historical preservation groups, and the city of 
Seward. Virtually every small community within the corridor has 
passed a resolution or submitted a letter in support of the 
designation. The Board of Directors of the Kenai Mountains-
Turnagain Arm National Heritage Corridor Communities 
Association would serve as the management entity, and would be 
comprised by citizens of the local communities and 
representatives of organizations such as Native associations, 
the Iditarod Trail Committee, historical societies, visitor 
associations, and private or business entities. S. 509 
authorizes the appropriation of $10 million and Secretary of 
the Interior's assistance for a period of 15 years.

                          legislative history

    S. 509 was introduced by Senator Mukowski on March 9, 2000. 
The bill is similar to legislation introduced by the 106th 
Congress, S. 2511. Although the Committee did not hold a 
hearing on S. 509, on May 25, 2000 the Subcommittee on National 
Parks, Historic Preservation, and Recreation held a hearing on 
S. 2511 and on June 7, 2000, the Committee on Energy and 
Natural Resources ordered S. 2511, as amended, favorably 
reported. The Senate passed S. 2511 as amended, on September 
22, 2000. No further action on S. 2511 was taken by the House 
of Representatives during the 106th Congress.

                        committee recommendation

    On May 16, 2001, the Committee on Energy and Natural 
Resources ordered S. 509 favorably reported, with an amendment 
in the nature of a substitute.

                          committee amendment

    At a Committee business meeting, an amendment in the nature 
of a substitute was offered. The amendment makes several 
technical and clarifying changes to S. 509.

                      section-by-section analysis

    Section 1 designates the bill's short title.
    Section 2(a) contains congressional findings.
    Subsection (b) describes the purposes of the Act, which are 
to: (1) recognize, preserve, and interpret the historic and 
modern resource development and cultural landscapes of the 
Kenai Mountains-Turnagain Arm historic transportation corridor, 
and to promote and facilitate the public enjoyment of these 
resources; and (2) foster, through financial and technical 
assistance, the development of cooperative planning and 
partnerships among the communities and borough, State, and 
Federal Government entities.
    Section 3 defines the term ``management entity'' as the 
management entity established by section 5, and provides 
definitions for several other key terms used in the Act.
    Section 4 established the Kenai Mountains-Turnagain Arm 
National Heritage Corridor, and provides a map reference that 
depicts its boundaries.
    Section 5 directs the Secretary to enter into a cooperative 
agreement with the management entity. This section also 
prescribes the contents of the cooperative agreement and 
directs that the cooperative agreement is to be prepared with 
public participation. The management entity is not authorized 
to assume any management authority on Federal lands. 
Representative of other organizations, including but not 
limited to those specified, must also be invited and encouraged 
to participate with the management entity in the development 
and implementation of the management plan.
    Section 6(a) requires the management entity to develop a 
management plan for the Heritage Corridor within 3 years of 
entering into a cooperative agreement with the Secretary of the 
Interior, and prescribes the contents of the plan.
    Subsection (b) establishes activities to which the 
management entity must give priority in assisting communities 
in the region, including: (1) carrying out programs which 
recognize the important resource values in the heritage area; 
(2) encouraging economic viability in the affected communities; 
(3) establishing and maintaining interpretive exhibits; (4) 
improving and interpreting heritage trails; (5) increasing 
public awareness and appreciation of resources within the 
heritage corridor; (6) restoring historical building and 
structures; and (7) ensuring that clear, consistent, and 
appropriate signs identifying public access points and sites of 
interest are placed throughout the heritage corridor.
    Subsection (c) requires the management entity to conduct at 
least two public meetings each year regarding initiation and 
implementation of the management plan.
    Section 7 allows the Secretary to provide administrative, 
technical, financial, design, development, and operations 
assistance, pursuant to the cooperative agreement.
    Section 8 clarifies that nothing in this Act grants powers 
of zoning or land use to the management entity, changes the 
authority of any unit of government to manage or regulate land 
use, or limits business activity on private development or 
resource development activities.
    Section 9 prohibits the management entity from acquiring 
real property or any interest in real property.
    Section 10 authorizes the appropriation of $10 million, 
with a limit of $350,000 for the first fiscal year, and $1 
million per fiscal year thereafter, conditioned upon the 
management entity completing a cooperative agreement, and 
subject to at least a 25 percent match of other funds or in-
kind services. The Secretary's authority to provide any 
assistance under this Act terminates 15 years after the date 
that the Secretary and the management entity complete a 
cooperative agreement.

                   cost and budgetary considerations

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office.

S. 509--Kenai Mountains-Turnagain Arm National Heritage Corridor Act of 
        2001

    S. 509 would establish the Kenai Mountains-Turnagain Arm 
National Heritage Corridor in Alaska. The heritage corridor 
would be managed by the Board of Directors of the Kenai 
Mountains-Turnagain Arm National Heritage Corridor Communities 
Association, a nonprofit corporation. The bill would direct the 
Secretary of the Interior to enter into a cooperative agreement 
with the association under which the government would provide 
technical, financial and other assistance. The association 
would develop a management plan for the heritage corridor 
designed to help local communities establish and maintain 
interpretive exhibits and signs, improve trails, and restore 
historic buildings. For these purposes, including projects 
implementing the management plan, the bill would authorize the 
appropriation of $350,000 for the first year after enactment 
and $1 million annually thereafter, up to a total of $10 
million.
    Assuming appropriation of the authorized amounts, CBO 
estimates that implementing S. 509 would cost $10 million over 
the next 10 to 15 years. The bill would not affect direct 
spending or receipts; therefore, pay-as-you-go procedures would 
not apply.
    S. 509 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act. The 
state of Alaska and local governments within the state might 
choose to participate in the planning for and management of the 
national heritage corridor, and would incur some costs as a 
result. Such costs would be voluntary. Participating 
governments would be eligible to receive grants to cover a 
portion of the costs associated with those activities. S. 509 
would impose no costs on other state, local, or tribal 
governments.
    The CBO staff contacts are Deborah Reis (for federal costs) 
and Marjorie Miller (for the state and local impact). This 
estimate was approved by Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                      regulatory impact evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 509. The bill is not a regulatory measure in 
the sense of imposing Government-established standards or 
significant economic responsibilities on private individuals 
and businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 509, as ordered reported.

                        executive communications

    A legislative report was not requested on S. 509. The 
testimony on S. 2511, an identical bill, provided by a 
representative of the National Park Service at the Park, 
Historic Resources, Recreation Subcommittee hearing during the 
105th Congress follows:

   Statement of Katherine H. Stevenson, Associate Director, Cultural 
    Resources Stewardship and Partnerships, National Park Service, 
                       Department of the Interior

    Thank you for the opportunity to present the position of 
the Department of Interior on S. 2511, a bill to establish the 
Kenai Mountains-Turnagain Arm National Heritage Corridor Area 
in the State of Alaska.
    The Administration believes that the designation of the 
Kenai Mountains-Turnagain Arm area of Alaska as a National 
Heritage Area (NHA) would recognize the nationally distinctive 
history of the region and, therefore, supports the purposes of 
S. 2511, as currently drafted, but would support the bill if 
amended to:
     Exclude National Forest lands from the proposed 
National Heritage Area. Typically, National Heritage Areas 
consist of non-federal lands, where federal lands are included 
in NHAs, they do not constitute the overwhelming majority of 
acreage in the NHA. NHAs are intended primarily to help 
communities take the initiative themselves to protect and 
interpret cultural and historic resources on non-federal lands. 
The appropriate vehicle for managing National Forest lands is 
the forest land management plan, which relies on public 
participation and incorporates the interests of the general 
community.
     Vest the responsibility for providing technical 
assistance to the management entity and approval of the 
management plan for the NHA with the Secretary of Agriculture. 
To the extent that the management entity may wish to draw upon 
the expertise of the National Park Service, we recommend that 
the bill be amended to authorize National Park Service, in 
consultation with the Secretary of Agriculture, to provide such 
assistance.
     Provide explicitly that, where the management 
entity's plan conflicts with the management plan for the 
National Forest lands, the latter document controls. To the 
extent that a non-federal management entity wishes to invest in 
projects on federal lands, the conditions for their 
participation should be consistent with the terms and 
conditions set forth in section 323 of the FY 1999 Interior and 
Related Agencies Appropriations Act.
    Consistent with the bottom-up approach common to NHA 
planning, the Administration believes that the affect local 
communities, not the Federal Government, should determine the 
membership of the management entity. Nonetheless, membership 
should reflect all the interests of the community--including 
environmental interests and, specifically, the interests of 
Native Alaskans. The Administration therefore, recommends 
deleting the provision regarding secretarial appointment of 
management entity representatives and replacing it with 
standard language requiring a locally-developed management 
entity to enter into a compact with the Secretary. Management 
entities are supposed to arise from broad-based community 
interest and not be top-down designations. It is expected, 
however, that any management entity would be representative of 
all local groups, including Native Alaskans.
    In addition, we recommend that section 7(b) be revised to 
make the provision of assistance discretionary, rather than 
mandatory, and to exclude assistance for administrative, 
financial, or operations. Although we recognize the need to 
provide assistance, and intend to do so to the extent possible, 
there are certain functions that should remain the 
responsibility of the management entity. Grants funds, rather 
than agency appropriations, should be available to address 
basic operational responsibilities.
    Finally, we recommend maintaining the 50 percent matching 
requirement, which is a common requirement in all other 
Heritage Areas. Keeping Heritage Areas as locally driven 
entities is a fundamental principle, but that would be 
difficult to maintain if the Federal Government provided a 
majority of funding.
    Congress has already acknowledged the significance of parts 
of this region by establishing the Iditarod National Historic 
Trail and the Seward Highway National Scenic Byway. The 
heritage area designation wraps these routes into the whole 
picture of human history in the wider transportation corridor. 
This heritage area features mountain passes leading into south 
central and interior Alaska, including early native trade 
routes, waterway connections across the treacherous Turnagain 
Arm, the Alaska Railroad and numerous mining trails. Heritage 
area designation under this bill will greatly enhance our 
understanding of travel and resource development in the last 
frontier.
    A National Heritage Area is defined as a place where 
natural, cultural, historic and recreational resources combine 
to form a nationally distinctive landscape arising from 
patterns of human activity. Heritage conservation efforts are 
grounded in a community's pride in its history and traditions, 
and its interest in seeing them retained. Preserving the 
integrity of the cultural landscape and local stories means 
that future generations in communities will be able to 
understand and define who they are, where they come from, and 
what ties them to their home. Heritage areas do not require 
federal ownership of property, but do rely on cooperation and 
technical assistance from the federal government.
    As we have testified before the Congress, there are several 
steps that should be completed prior to the designation of a 
heritage area. The four main steps are that the proposal should 
have a completed suitability/feasibility study; early and 
frequent public involvement; a demonstration of wide public 
support and feasibility to implement the project in 
communities; and commitments from potential partners to support 
the project.
    We believe S. 2511, if amended as the administration 
proposes, can meet a large portion of the intent and spirit of 
these steps.
    Although a technical suitability/feasibility study has not 
been done of this area, many of the themes and the areas within 
this corridor have been extensively studied. The Iditarod 
National Historic Trail and the Seward Highway National Scenic 
Byway are important parts of this Corridor, and both were the 
subject of recent studies that found that the Iditarod Trail 
and the Seward Highway were nationally significant. To satisfy 
the technical requirement of a study in this case, we suggest 
language be added to the bill that would require a suitability 
and feasibility analysis to take place in the planning process 
for this area.
    In Alaska, the energy and support this proposal has 
engendered bear witness to not only the fulfillment of the 
steps outlined above, but to the inspirational quality of the 
land and its history. More than 24 local and statewide 
organizations have written to express their support. The small 
communities within the proposed heritage area support the 
proposal. Local governments--including the Kenai Peninsula 
Borough and the Seward City Council--have supported the plan. 
Statewide visitor organizations, such as the Alaska visitors 
Association and the Alaska Wilderness Recreation and Tourism 
Association have supported the heritage area proposal, as have 
the Kenai Peninsula Historical Association and the State 
Historical Commission.
    By passage of this bill, Congress will respond to this 
grassroots support and will give the small communities on the 
Kenai Peninsula within the heritage area new motivation and 
means to work together to present the story of their historic 
region and to interpret and share this part of America's 
heritage. The heritage area model is working well in many areas 
in the East--in the Rivers of Steel Heritage Area in 
Pittsburgh, in the Black Stone River Valley, and in the Hudson 
Valley. The Kenai Mountains-Turnagain Arm National Heritage 
Area will be the first in this area, but will follow the model 
of success seen in other areas.
    In summary, the goals of this bill are compatible with the 
mission of National Heritage Areas elsewhere, there is the 
requisite local support and commitment of success, and the 
historic, cultural and natural resources of the area are of 
national significance. We urge the Committee to adopt the 
amendments proposed by the Administration and pass the bill at 
the earliest opportunity.
    This concludes my testimony. I would be happy to answer any 
of your questions.
                                ------                                

     Statement of Sandra Key, Associate Deputy Chief, Programs and 
                  Legislation, U.S.D.A. Forest Service

    Chairman Thomas and members of the subcommittee: Thank you 
for the opportunity to testify here today on S. 2511 which 
would establish the Kenai Mountains-Turnagain Arm National 
Heritage Area in the State of Alaska. The Administration 
believes that the designation of the Kenai Mountains-Turnagain 
Arm area of Alaska as a National Heritage Area (NHA) would 
recognize the nationally distinctive history of the region and, 
therefore, supports the purpose of S. 2511. The Administration, 
however, must oppose S. 2511, as currently drafted, but would 
support the bill if amended to:
     Exclude National Forest lands from the proposed 
NHA. Typically, NHAs consist of non-federal lands; where 
federal lands are included in an NHA, they do not constitute 
the overwhelming majority of acreage in the NHA. NHAs are 
intended primarily to help communities take the initiative 
themselves to protect and interpret cultural and historic 
resources on non-federal lands. The appropriate vehicle for 
managing National Forest lands is the forest land management 
plan, which relies on public participation and incorporate the 
interests of the general community.
     Vest the responsibility for providing technical 
assistance to the management entity and approval of the 
management plan for the NHA with the Secretary of Agriculture. 
To the extent that the management entity may wish to draw upon 
the expertise of the National Park Service, we recommend that 
the bill be amended to authorize National Park Service, in 
consultation with the Secretary of Agriculture, to provide such 
assistance.
     Provide explicitly that, where the management 
entity's plan conflicts with the management plan for the 
National Forest lands, the latter document controls. To the 
extent that a non-federal management entity wishes to invest in 
projects on federal lands, the conditions for their 
participation should be consistent with the terms and 
conditions set forth in section 323 of the FY 1999 Interior and 
Related Agencies Appropriations Act.
    Consistent with the bottom-up approach common to NHA 
planning the Administration believes that the affected local 
communities, not the Federal Government, should determine the 
membership of the management entity. Nonetheless, membership 
should reflect all the interests of the community--including 
environmental interests and, specifically, the interests of 
Native Alaskans. The Administration, therefore, recommends 
deleting the provisions regarding secretarial appointment of 
management entity representatives and replacing it with 
standard language requiring a locally-developed management 
entity to enter into a compact with the Secretary. Management 
entities are supposed to arise from broad-based community 
interest and not be top-down designations. It is 
expected,however, that any management entity would be representative of 
all local groups, including Native Alaskans.
    In addition, we recommend that section 7(b) be revised to 
make the provision of assistance discretionary, rather than 
mandatory, and to exclude assistance for administrative, 
financial, or operations. Although we recognize the need to 
provide assistance, and intend to do so to the extent possible, 
there are certain functions that should remain the 
responsibility of the management entity. Grants funds, rather 
than agency appropriations, should be available to address 
basic operational responsibilities.
    Finally, we recommend maintaining the 50 percent matching 
requirement, which is a common requirement in all other 
Heritage Areas. Keeping Heritage Areas as locally driven 
entities is a fundamental principle, but that would be 
difficult to maintain if the Federal Government provided a 
majority of funding.
    The Administration enthusiastically supports the concepts 
and goals of this bill:
         to interpret history and culture of the 
        corridor,
         to facilitate public enjoyment of these 
        resources,
         to foster cooperative planning and 
        partnerships among communities, state and federal 
        governments.
    We embrace the idea of a heritage area and believe that the 
rich history, spectacular natural resource values and community 
support merit recognition in a designation of a heritage area.
    The bill, as written, could be interpreted as putting 
federal land management decisions in the hands of a nonfederal 
board of directors, a board that does not represent the full 
spectrum of viewpoints on resource management.
    S. 2511 also brings into question the legal status of the 
lands involved in the Heritage Area. Under the bill, as 
written, it is unclear whether this land continues to be 
subject to the laws and regulations pertaining to the national 
forests. If this substantial area is effectively removed from 
the National Forest System, then rights established under a 
number of laws, including the National Forest Organic Act, the 
Alaska Statehood Act, ANCSA and ANILCA could be affected. If 
there is a change in national forest status, then payments to 
the State of Alaska and local government entities could be 
affected. If the bill results in a change in national forest 
status, then multiple use management and planning under the 
National Forest Management Act (NFMA) may no longer apply. 
Likewise, the public's use of the Chugach National Forest, 
under existing laws could be questioned.
    We concur with the eloquent description of the Kenai 
Mountains-Turnagain Arm area's history, heritage and natural 
resources in the testimony of the Department of the Interior.
Grassroots efforts
    The Kenai Peninsula Historical Society has worked 
tirelessly to bring the concept of a heritage corridor for this 
area into reality. When the staff of the Chugach National 
Forest became aware of the Kenai Peninsula Historical Society's 
efforts to designate the western third of the National Forest 
as National Heritage Corridor, we began to work with the group 
to incorporate their goals into our forest plan revision. 
Approximately 80% of the land within the proposed Corridor is 
Chugach National Forest. The Administration supports the Kenai 
Peninsula Historical Society's energy and enthusiasm as it 
dovetails with Forest Service emphasis to support and assist 
local communities on the Kenai. The Chugach National Forest 
planning team is strongly considering incorporating a goal and 
several objectives in the proposed plan that directly address 
the Kenai Peninsula Historical Society's interests. We 
encourage proponents to continue working with the planning 
team.
Predominant land management/local community commitment
    For a Heritage Area designation in the vicinity of the 
Chugach National Forest, we believe that the Secretary of 
Agriculture, would be the most effective and appropriate 
Secretary to be vested with responsibility for providing 
technical assistance to the management entity and approval of 
the management plan. The proposed Heritage Corridor of about 
1.3 million acres encompass about 1 million acres of the 
Chugach National Forest. The Heritage Corridor is surrounded by 
the remainder of the Chugach's over 5.3 million acres. The 
Forest Service, as the predominant local land manager, has well 
established community ties.
    The Forest Service shares many of the goals and objectives 
expressed by the proponents for the Heritage Corridor 
designation. We often work in partnership with a variety of 
organizations, such as our interpretative partnership with the 
Kenaitze Indian Tribe at Footprints, and our collaboration with 
the Alaska Department of Transportation and the Hope-Sunrise 
Historical Society to relocate mining cabins and a Forest 
Service guard station during reconstruction of the Seward 
Highway.
    Like the Park Service, the Forest Service has employees 
with the skills and experience needed to support and guide a 
Heritage Corridor effort. We also value heritage resources and 
consider it part of our mission to preserve them and interpret 
them to the public. Our Chugach Design Center is renowned for 
its design work on interpretive displays, maps and 
publications. Chugach National Forest employees at the ranger 
districts in Seward and Girdwood and Supervisor's Office 
employees in Anchorage work daily with local community groups 
in project and forest planning efforts. They support those 
communities' efforts with grants through the state and private 
forestry programs for economic development. The Chugach 
National Forest's commitment already exists.
In conclusion
    The Department of Agriculture opposes S. 2511 as it is 
written but would support the bill if amended to:
         exlude National Forest lands from the Heritage 
        Area,
         vest responsibility for providing technical 
        assistance and management plan approval with the 
        Secretary of Agriculture and allow the Park Service, in 
        consultation with the Secretary of Agriculture, to 
        provide technical assistance, and
         explicitly provide that if the management 
        entity's plan conflicts with the Chugach National 
        Forest Plan, the Forest Plan controls.
    I would be happy to answer any questions you may have.

                        CHANGES IN EXISTING LAW

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee notes that no 
changes in existing law are made by the bill S. 509, as ordered 
reported.

                                  
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