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[Senate Report 113-19]
[From the U.S. Government Publishing Office]

                                                        Calendar No. 50
113th Congress                                                   Report
                                 SENATE
 1st Session                                                     113-19

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                  DENALI NATIONAL PARK IMPROVEMENT ACT

                                _______
                                

                 April 22, 2013.--Ordered to be printed

                                _______
                                

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

                              R E P O R T

                         [To accompany S. 157]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 157) to provide for certain improvements 
to the Denali National Park and Preserve in the State of 
Alaska, and for other purposes, having considered the same, 
reports favorable thereon without amendment and recommends that 
the bill do pass.

                                PURPOSE

    The purposes of S. 157 are to authorize the Secretary of 
the Interior to issue right-of-way permits for a natural gas 
transmission pipeline in non-wilderness areas within the 
boundary of Denali National Park; to authorize the Secretary of 
the Interior to issue permits for a micro hydroelectric project 
in non-wilderness areas within the boundaries of Denali 
National Park and Preserve; to exchange land managed by Denali 
National Park and Preserve with land from Doyon Tourism, Inc., 
which is located within the park; and to rename the Talkeetna 
Ranger Station in Talkeetna, Alaska, in honor of Walter Harper.

                          BACKGROUND AND NEED

Gas pipeline right-of-way

    Currently, electricity in south-central Alaska is largely 
generated by burning natural gas produced from the gas fields 
in Cook Inlet, south of Anchorage, although production from 
Cook Inlet has been declining. There are concerns regarding the 
region's ability to produce sufficient gas to support the 
area's population. Plans for a large-volume natural gas 
pipeline to run from the Prudhoe Bay oil fields to the Lower 48 
States may not be finished in time to provide needed gas to 
south-central Alaska. Therefore, Alaska is considering 
investing in a smaller pipeline to meet medium-term demand.
    The in-state pipeline would run from Alaska's North Slope 
region, past Fairbanks, through the Nenana River Canyon and 
Denali National Park and Preserve following the existing 
highway, 7 miles of which pass through the park. The proposed 
pipeline makes use of the existing highway right-of-way, and 
comes near, but does not cross the wilderness boundary in the 
park.
    S. 157 authorizes the Secretary of the Interior to permit a 
pipeline to run through a small portion of the park, along an 
existing highway right-of-way, subject to appropriate analysis 
under the National Environmental Policy Act and National Park 
System laws. The Park Service has preliminarily indicated that 
running the pipeline along the existing highway right-of-way 
would be better for the park than constructing a new right-of-
way through a scenic vista just outside the park's boundary.

Micro hydroelectric projects

    The Kantishna Roadhouse (The Roadhouse) is owned by Doyon 
Tourism, Inc., which is a subsidiary of Alaska Native 
Corporation Doyon, Ltd. It is a full-service lodge located 92 
miles inside Denali National Park and Preserve at the end of 
the Denali Park Road. The original roadhouse at Kantishna was 
built in the early 1900s, serving as a private residence, a 
community center, post office, and an informal hotel 
accommodations for those who came visiting Kantishna in Denali 
Park.
    The Roadhouse, like many structures within Denali National 
Park, is entirely off the grid and generates all of its 
electricity needs with a diesel generator. As a result, diesel 
must be trucked using Denali Park Road. The construction of 
this micro hydroelectric project would allow the Roadhouse to 
reduce its diesel use and transport by approximately 50 
percent. This would result in less air and sound pollution in 
this remote area as well as reducing the risk of accident or 
spill, allowing for greater protection of visitors to the park, 
wildlife, and other resources in the park.
    The proposed microhydro generator would be supplied by 
Eureka Creek, a 4-mile-long stream. Some water from the creek 
would be diverted through an at-grade water intake with a 
conduit to carry water downhill to the generator housed in one 
of Doyon Tourism's buildings. The generator is capable of 
producing approximately 100 kilowatts of power. An electrical 
distribution line would carry the electricity to the lodge, 
about 600 feet from the microhydro generator. A battery bank 
would store surplus electricity to accommodate peak power 
demands and maintenance shut-downs of the generator. Water 
diverted from Eureka Creek through the microhydro generator 
would be piped to Moose Creek, less than 100 feet downstream 
from the mouth of Eureka Creek.
    Other lodge operators in the park and the Eielson Visitor 
Center have successfully used a microhydro generator system to 
power their respective structures. S. 157 will allow the 
National Park Service to issue permits to the Kantishna 
Roadhouse for a similar power generation arrangement. In 
addition, S. 157 would authorize the Secretary to issue permits 
for other microhydro projects for in the Kantishna Hills area 
subject to applicable National Park Service terms and 
conditions.

Land exchange

    S. 157 also authorizes a land exchange between Denali 
National Park and Doyon Tourism, Inc., for the purpose of 
consolidating land holdings for both the park and Doyon.

Walter Harper Talkeenta Ranger Station

    The Talkeetna Ranger Station is located in southcentral 
Alaska. The Ranger Station is approximately 100 miles from the 
south entrance to Denali National Park and Preserve and is the 
headquarters for the Park's mountaineering rangers. All 
climbing expeditions to Mt. McKinley and Mt. Foraker obtain 
permits and mountain orientation at this Ranger Station. Denali 
National Park and Preserve visitors can also obtain general 
park information at the Ranger Station.
    Renaming the Talkeetna Ranger Station will honor Walter 
Harper, an Alaskan Native of Athabascan Indian and Scottish 
descent. Nearly 100 years ago, Mr. Harper along with Hudson 
Stuck set out to reach the summit of Mount McKinley in the 
Alaskan Range. After an arduous three month trek from 
Fairbanks, Walter Harper became the first person to set foot on 
top of North America's tallest peak on June 7, 1913. The bill 
is needed to rename the Talkeetna Ranger Station to the Walter 
Harper Talkeetna Ranger Station in honor of Mr. Harper's 
achievements and the upcoming 100 year anniversary of the 
historic summit of Denali.

                          LEGISLATIVE HISTORY

    S. 157 was introduced by Senators Murkowski and Begich on 
January 28, 2013. At its business meeting on March 14, 2013, 
the Committee ordered S. 157 favorably reported.
    S. 157 combines elements from three bills considered by the 
Committee in the 112th Congress: S. 302, H.R. 441, and S. 2273. 
S. 302, also sponsored by Senators Murkowski and Begich, was 
introduced on February 8, 2011. The Subcommittee on National 
Parks held a hearing on the bill on May 11, 2011 (S. Hrg. 112-
124). The Committee ordered S. 302 favorably reported without 
amendment at its business meeting on January 13, 2012 (S. Rpt. 
112-107). S. 302 passed the Senate without amendment by 
unanimous consent on January 1, 2013.
    H.R. 441 was introduced by Representative Don Young on 
January 25, 2011. Senator Murkowski introduced identical 
legislation, S. 313, on February 10, 2011. H.R. 441 passed the 
House of Representatives by voice vote agreed to on October 24, 
2011. The ordered H.R. 441 reported without amendment on 
January 13, 2012 (S. Rpt. 112-129).
    S. 2273 was introduced by Senator Murkowski on March 29, 
2012. The Subcommittee on National Parks held a hearing on June 
27, 2012 (S. Hrg. 112-578).

                        COMMITTEE RECOMMENDATION

    The Committee on Energy and Natural Resources, in open 
business session on March 14, 2013, by voice vote of a quorum 
present, recommends that the Senate pass S. 157.

                      SECTION-BY-SECTION ANALYSIS

    Section 1 provides for the short title, the ``Denali 
National Park Improvement Act''.
    Section 2(a) defines key terms used in the bill.
    Section 2(b) authorizes the Secretary of the Interior 
(Secretary) to issue permits for microhydro projects in the 
Kantishna Hills area of Denali National Park and Preserve.
    Subsection (b)(2) directs that each permit be in accordance 
with terms and conditions generally applicable to units of the 
National Park System and subject to such other terms and 
conditions as the Secretary determines to be necessary.
    Subsection (b)(3) requires completion of any environmental 
analysis required by National Environment Policy Act within 180 
days of submission of the application for issuance of the 
permit.
    Subsection (c) authorizes an exchange of land managed by 
Denali National Park and Preserve that is near the microhydro 
projects to Doyon Tourism, Inc., in exchange for approximately 
18 acres owned by Doyon Tourism, Inc., within the Galena 
patented mining claim. The purpose of the land exchange is to 
consolidate lands managed by the park and those owned by Doyon 
Tourism, Inc.
    Subsection (c)(2) directs that the map be available for 
public inspection in the appropriate offices of the National 
Park Service.
    Subsection (c)(3) provides that the Secretary seek to 
complete the land exchange no later than February 15, 2015.
    Subsection (c)(4) requires the land exchange be subject to 
the laws and policies applicable to land managed by the 
National Park Service and to such terms and conditions as the 
Secretary deems necessary.
    Subsection (c)(5) authorizes an equalization of values of 
the lands to be exchanged by adjusting the acreage should the 
parcels being exchanged be determined to not be of equal value.
    Subsection (c)(6) requires the Secretary to manage the land 
acquired from Doyon Tourism, Inc., to be administered as part 
of Denali National Park and Preserve.
    Section 3(a) defines key terms used key terms in the bill.
    Subsection (b) authorizes the Secretary to issue right-of-
way permits for a high-pressure natural gas transmission 
pipeline and appurtenances within non-wilderness areas of 
Denali National Park, along the 7-mile segments of the George 
Parks highway that runs through the park. The Secretary would 
also be authorized to issue rights-of-way for distribution and 
transmission pipelines and appurtenances, if the Secretary 
determines they are necessary to provide a natural gas supply 
to the park.
    Subsection (c) provides that the Secretary may only issue a 
permit authorized under subsection (b): if the permit is 
consistent with the laws and regulations generally applicable 
to utility rights-of-way within units of the National Park 
System; if it is in accordance with section 1106 of the Alaska 
National Interest Lands Conservation Act (16 U.S.C. 3166(a)); 
and if, following appropriate analysis under the National 
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the 
Secretary finds that the route of the right-of-way is the route 
through the park with the least adverse environmental effects 
for the park. The permit shall be subject to any other terms 
and conditions the Secretary determines to be necessary.
    Section 4(a) designates the Talkeetna Ranger Station on 
Talkeetna, Alaska, as ``Walter Harper Talkeetna Ranger 
Station''.
    Subsection (b) dictates any references made in section (a) 
are references to the ``Walter Harper Talkeetna Ranger 
Station''.

                   COST AND BUDGETARY CONSIDERATIONS

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

S. 157--Denali National Park Improvement Act

    Based on information provided by the National Park Service 
(NPS), CBO estimates that implementing S. 157 would have no 
significant impact on the federal budget. The bill would:
           Authorize the Secretary of the Interior to 
        issue permits for microhydroelectric projects in the 
        Kantishna Hills area of the Denali National Park and 
        Preserve in Alaska;
           Authorize an exchange of land between the 
        Department of the Interior and Doyon Tourism, Inc.,
           Authorize the NPS to issue permits to 
        construct a natural gas pipeline in the Denali National 
        Park; and
           Redesignate the Talkeetna Ranger Station as 
        the Walter Harper Talkeetna Ranger Station.
    Enacting S. 157 could increase offsetting receipts (from 
permit fees) and associated direct spending; therefore, pay-as-
you-go procedures apply. If potential owners or operators of a 
pipeline seek permits from the NPS, the agency could collect a 
fee to recover any costs associated with issuing such permits. 
NPS would retain and spend those amounts to process the permit 
without further appropriation, and any excess receipts would be 
deposited in the Treasury. CBO estimates that the total 
collections under the bill would be insignificant over the 
2014-2023 period, and the net effect on direct spending would 
be negligible. Enacting the legislation would not affect 
revenues.
    S. 157 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would not affect the budgets of state, local, or tribal 
governments.
    The CBO staff contact for this estimate is Martin von 
Gnechten. The estimate was approved by Theresa Gullo, 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. 157.
    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. 157, as ordered reported.

                   CONGRESSIONALLY DIRECTED SPENDING

    S. 157, as ordered reported, does not contain any 
congressionally directed spending items, limited tax benefits, 
or limited tariff benefits as defined in rule XLIV of the 
Standing Rules of the Senate.

                        EXECUTIVE COMMUNICATIONS

    Executive Communications were not requested by the Senate 
Committee on Energy and Natural Resources in the 113th 
Congress. The following Administration testimony references 
similar legislation introduced in the 112th Congress:
    The testimony provided by the National Park Service at the 
May 11, 2011, Subcommittee on National Parks hearing on S. 302 
and S. 313; and
    The testimony provided by the National Park Service at the 
June 27, 2012, Subcommittee on National Parks hearing on S. 
2273 follows.

 Statement of Stephen E. Whitesell, Associate Director, Park Planning, 
 Facilities and Lands, National Park Service Department of the Interior

                                 s. 302

    Mr. Chairman, thank you for the opportunity to testify and 
provide the views of the National Park Service (NPS) on S. 302, 
a bill to authorize the Secretary of the Interior to issue 
right-of-way permits for a natural gas transmission pipeline in 
nonwildemess areas within the boundary of Denali National Park, 
and for other purposes.
    The Department has no objection to the bill as written.
    The potential owners and operators of such a pipeline have 
not, at this time, determined whether such a line carrying 
natural gas to south-central Alaska is financially feasible, 
nor have they determined the best route for a pipeline. This 
legislation provides flexibility for the backers of a proposed 
pipeline, and provides assurance to the NPS that the National 
Environmental Policy Act analysis will be completed before any 
permit for work in the park would be issued by the Secretary.
    The legislation also provides authority for the Secretary 
to permit distribution lines and related equipment within the 
park for the purpose of providing a natural gas supply to the 
park. We support this provision, but remind the committee that 
at this time no decisions have been made about the financial or 
engineering feasibility, nor the exact configuration of 
equipment needed to facilitate tapping the larger line to allow 
local use of natural gas in or near Denali National Park.
    Thank you for the opportunity to testify and we would 
welcome any questions you or other members may have.

                                 s. 313

    Mr. Chairman, thank you for the opportunity to present the 
views of the Department of the Interior on S.313, a bill to 
authorize the Secretary of the Interior to issue permits for a 
micro-hydro project in non-wilderness areas within the 
boundaries of Denali National Park and Preserve, and for other 
purposes.
    The Department supports this legislation with amendments 
and recognizes improvements made from the similar bill 
introduced in the previous Congress. S. 313 would authorize the 
Secretary of the Interior to issue permits for micro-hydro 
projects in a limited area of the Kantishna Hills in Denali 
National Park. The legislation would also authorize a land 
exchange between the National Park Service (NPS) and Doyon 
Tourism, Inc. (Doyon) involving lands near the historic mining 
community of Kantishna that would be mutually beneficial to the 
NPS and Doyon.
    This legislation will reduce the use of fossil fuels in the 
park, and thus lessen the chance of fuel spills along the park 
road and at the Kantishna lodges. It will lower the number of 
non-visitor vehicle trips over the park road, lessen the noise 
and emissions from diesel generators in the Moose Creek valley, 
and support clean energy projects and sustainable practices 
while ensuring that appropriate review and environmental 
compliance protects all park resources.
    Doyon Tourism, Inc., a subsidiary of Alaska Native 
Corporation Doyon, Ltd., has requested permits from the NPS to 
install a micro-hydroelectric project on Eureka Creek, near 
their Kantishna Roadhouse. The NPS supports the intent of this 
project, however, neither the Secretary nor the Federal Energy 
Regulatory Commission (FERC) has the statutory authority to 
issue permits for portions of hydroelectric projects within 
national parks or monuments. We believe that the authorization 
contained in this legislation is necessary to enable the NPS to 
allow this micro-hydroelectric project within the park.
    The Kantishna Roadhouse, at the end of the 92-mile-long 
Denali park road, has been in business for 28 years, hosts 
approximately 10,000 guests per summer, and currently uses an 
on-site 100 kilowatt (KW) diesel generator to provide power for 
the facility. The proposed hydroelectric installation would 
reduce use of the diesel generator at the lodge. Currently, 
delivery of diesel fuel to the lodge requires a tanker truck 
and trailer to be driven the entire length of the Denali park 
road. Noted for its undeveloped character, the road is unpaved 
for 77 miles of its 92-mile length, crosses high mountain 
passes without guardrails, and is just one to 1\1/2\ lanes wide 
with pullouts. The road is justly famous for wildlife viewing 
opportunities and in order to protect wildlife as well as the 
road's scenic wilderness character, vehicle traffic is limited. 
Reducing the amount of diesel fuel hauled over this road in 
tanker trucks protects park resources by reducing the risk of 
accident or spill, and simultaneously reduces overall vehicle 
use of the road.
    Eureka Creek is a 4-mile-long stream that drains a 5-
square-mile watershed and discharges about 15 cubic feet per 
second (cfs) during the summer. Most of the floodplain has been 
disturbed by past placer mining, but no mining claims exist on 
the creek now and no other landowners besides Doyon and the NPS 
own any property near this floodplain. The project would 
include an at-grade water intake, with no impoundment, about 
one mile upstream of where Eureka Creek crosses the park road.
    Camp Denali, another lodge in the Kantishna Hills, is 
within the area addressed by this legislation. Camp Denali 
opened in 1952 and the owners installed a micro-hydro generator 
system prior to the 1978 Presidential proclamation that 
included Kantishna as a part of what is now Denali National 
Park. After 1978, Camp Denali became a private in-holding 
surrounded by the park, and found that parts of its micro-hydro 
power system were within the park, a situation that the NPS 
lacks the authority to permit or retain. This legislation, if 
amended, would allow the NPS and the owners of Camp Denali to 
work out permit conditions for those parts of the existing 
hydro project that are now on park land. Besides the Kantishna 
Roadhouse and Camp Denali, two other lodges in Kantishna may 
pursue similar projects in the future and thus would benefit 
from the authority granted in this legislation.
    Doyon owns 18 acres on the patented Galena mining claim in 
the Kantishna Hills and would like to exchange that acreage for 
park land in Kantishna of equal value near its other 
properties. The NPS would also like to pursue this exchange to 
consolidate land holdings in the area. Existing land exchange 
authority under the Alaska National Interest Lands Conservation 
Act (ANILCA) and other legislation is sufficient to affect this 
exchange. Thus, while we believe that this provision is 
unnecessary, we support its intent.
    Our concerns with the bill are as follows:
    (1) The bill as introduced requires the Secretary to 
complete National Environmental Policy Act compliance within 
180 days of enactment. While the Department supports a speedy 
response to the applicant, we suggest the 180-day clock start 
upon submission of a complete application to the NPS.
    (2) The permitting authority provided by this bill would 
apply to several micro-hydroelectric projects in the Kantishna 
area, yet various elements of the bill as introduced appear to 
apply solely to a project by Doyon. Technical corrections to 
address this are identified in an attachment to this testimony.
    We believe that the permitting authority granted in S. 313 
would provide a tool that the Secretary could use to lower 
fossil fuel use in Denali National Park, while protecting park 
resources, and that a land exchange would be hastened through 
passage of this legislation. We would welcome the opportunity 
to work with the sponsor and this committee to address our 
concerns and recommendations.
    Mr. Chairman, this concludes my statement. I would be happy 
to answer any questions that you may have.

                               attachment

    The NPS suggests the following technical corrections to 
H.R. 313.
    (1) On p. 1, line 2 of the long title, strike ``for a 
microhydro project in nonwilderness'' and insert ``for 
microhydro projects in nonwilderness''.
    (2) On p. 3, line 1, strike ``(i) the intake pipeline 
located on Eureka Creek, approximately \1/2\ mile upstream from 
the Park Road, as depicted on the map;'' and insert ``(i) 
intake pipelines;''
    (3) On p. 3, line 8, strike ``line'' and insert ``lines''.
    (4) On p. 3, line 14, strike ``PROJECT'' and insert 
``PROJECTS''.
                              ----------                              

   Statement of Herbert Frost, Associate Director, Natural Resource 
   Stewardship and Science, National Park Service, Department of the 
                                Interior

    Mr. Chairman, thank you for the opportunity to testify on 
S. 2273, which would designate the Talkeetna Ranger Station in 
Talkeetna, Alaska, as the Walter Harper Talkeetna Ranger 
Station.
    As the 100th anniversary of the 1913 summit climb of Walter 
Harper approaches, the National Park Service has no objection 
to S. 2273, which would name the Denali National Park and 
Preserve's South District Ranger Station in Talkeetna, Alaska, 
as the Walter Harper Talkeetna Ranger Station.
    Mr. Harper grew up in Alaska, a child of Arthur Harper, a 
Scottish trader and prospector, and Jennie Harper, an 
Athabascan Indian from the Koyukuk region. As a young man, he 
served as an interpreter and guide for the far-flung ministry 
of Hudson Stuck, an Episcopal archdeacon.
    He joined Stuck on an arduous trip in 1913 to reach the 
summit of North America's highest peak. For nearly three 
months, the group moved slowly south from Fairbanks and into 
the high mountains of the Alaska Range. On June 7, 1913, Walter 
Harper, 21, became the first man to set foot on the summit of 
Denali, the Athabascan name for the peak, meaning the High One. 
The archdeacon's journal described their approach: ``With keen 
excitement we pushed on. Walter, who had been in the lead all 
day, was the first to scramble up; a Native Alaskan, he is the 
first human being to set foot upon the top of Alaska's greatest 
mountain, and he had well earned the honor.''
    Since 1913, thousands of climbers have aimed for the 
summit. Unlike Mr. Harper, today the vast majority begin their 
expeditions with an airplane ride out of Talkeetna on the south 
side of the Alaska Range. The National Park Service ranger 
station there serves as an orientation center for climbers and 
other visitors to the Denali region. The community is proud of 
its varied history as a railroad town, a jumping off point for 
miners, and in the past several decades as the take-off point 
for climbing expeditions.
    Mr. Chairman, this concludes my testimony, and I would be 
happy to answer any questions you or other members 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. 157 as ordered 
reported.

                                  
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