Date: 1998-09-15
Speaker: DAN SGHAEFER (republican)
Chamber: H
State: Colorado

Mr. Speaker. I rise in support of H.R. 3903. the "Glacier Bay National Park Boundary Adjustment Act of 1998." This bill provides for a land exchange in Alaskain anticipation of future development of a hydroelectric project in a remote area of the State. Development of this project will sharply lower the cost of electricity paid by customers in this rural area. which currently relies on highcost diesel generation. H.R. 3903 provides a role for the Federal Energy Regulatory Commission in the land exchange. Under the bill. the Commission determines the minimum amount of land necessary for the construction and operation of a hydroelectric project. In addition. the land exchange may occur only if the Commission has conducted economic and environmental analyses that conclude the construction and operation of a hydroelectric project on the exchanged land will not adversely impact the Glacier Bay National Park and Preserve. will comply with the National Historic Preservation Act. and can be accomplished in an economically feasible manner. Significantly. the bill does not circumscribe the Commissions hydroelectric licensing process. Any hydroelectric project on the exchanged lands must be licensed by the Commission. and the Commission retains jurisdiction over the operation of any such facility. H.R. 3903 does not limit the application of the Federal Power act to the licensing of a hydroelectric project on the exchanged lands. The bill does impose additional conditions beyond those in the Act. For example. the Commission is directed to determine the minimum amount of lands necessary for construction and operation of a hydroelectric project. H.R. 3903 also conditions the license on Commission approval of a finance plan submitted by the applicant. the Gustavus Electric Company. In addition. the bill bars the Commission from licensing or relicensing the hydroelectric project unless it determines the project will not adversely impact the purposes and values of Glacier Bay National Park and Preserve. Finally. H.R. 3903 requires that the licensee mitigate any adverse effects of the project on the purposes and values of Glacier Bay National Park and Preserve as a condition of the license. The Committee on Commerce has jurisdiction over all functions of the Federal Energy Regulatory Commission. including its hydroelectric licensing process. The Committee was pleased to work with the Committee on Resources on this legislation. As indicated in the exchange of correspondence in the report filed by the Committee on Resources. the Committee on Commerce waived referral of H.R. 3903 in order to expedite floor consideration. However. that does not constitute a waiver of jurisdiction. As reflected in the exchange of letters between- the Committee on Commerce and the Committee on Resources. the Committee on Resources has agreed to an amendment to strke section 4(d) from the bill. This amendment clarifies that the licensee must pay all Federal land use fees required under section 10(e) of the Federal Power Act. This exchange of letters also commemorates that the Committee on Resources would support a request by the Committee on Commerce in the event there is a conference on H.R. 3903. I urge support for the legislation.