The Senate Committee on Natural Resources was called to order by Chairman Dean A. Rhoads, at 1:45 p.m., on Monday, March 8, 1999, in Room 2144 of the Legislative Building, Carson City, Nevada. Exhibit A is the Agenda. Exhibit B is the Attendance Roster. All exhibits are available and on file at the Research Library of the Legislative Counsel Bureau.

COMMITTEE MEMBERS PRESENT:

Senator Dean A. Rhoads, Chairman

Senator Lawrence E. Jacobsen, Vice Chairman

Senator Mike McGinness

Senator Mark A. James

Senator Raymond C. Shaffer

Senator Bob Coffin

Senator Maggie Carlton

STAFF MEMBERS PRESENT:

Fred Welden, Committee Policy Analyst

Scott Corbett, Committee Secretary

OTHERS PRESENT:

Chairman Rhoads opened the hearing by asking for committee introduction on Bill Draft Request (BDR) 43-435, Bill Draft Request 26-429, and Bill Draft Request R-1663.

Chairman Rhoads opened the hearing on Senate Bill (S.B.) 269.

Jolaine Johnson, Chief, Bureau of Air Quality, Division of Environmental Protection, State Department of Conservation and Natural Resources, spoke from prepared comments (Exhibit C) in opposition of S.B. 269. Ms. Johnson testified that even though vehicles 30 years and older, which would be exempt from emission controls in S.B. 269, only make a small percentage of the overall vehicle fleet they impede efforts to maintain air quality and health standards.

Senator James mentioned an elderly constituent of his wrote him a letter complaining about how difficult it is for her to have her older car pass an emission inspection. Senator James’ constituent explained her problems stemmed from the inspection stations usually trying to charge her for undue repairs that her car did not need, and Senator James asked Ms. Johnson if there is an exemption for someone in her position. Ms. Johnson responded by saying there is an exemption for cars 20 years and older that meet certain criteria as a classic car and these cars are not subject to an annual inspection. Ms. Johnson added that S.B. 269 would not require these older cars to go through an emissions inspection or be subject to any pollution controlled regulations.

Senator McGinness asked Ms. Johnson if S.B. 269 would only affect Washoe and Clark counties because they are the only counties in the state that require an emission inspection and maintenance program. Ms. Johnson said Washoe and Clark counties are the only counties that would be affected and even parts of these counties are still exempt from emission regulations.

Senator McGinness pointed out people who own classic or old-timer type cars are concerned with the continued emission regulations keeping them from driving their cars at all.

Joseph L. Johnson, Lobbyist, Sierra Club, expressed opposition to S.B. 269 and addressed Senator McGinness’ comment on classic or old-timer type cars. Mr. Johnson stated that restored classic cars or hobby cars are not their concern as these cars are usually maintained very well and do not pose any real problem because they are usually not frequently driven. Mr. Johnson went on to explain they are concerned with inclusion of all cars 30 years and older not being subject to emissions controls because these older cars are heavy polluters and this would defeat all of the progress in reducing air pollutants that has been made to date.

Chairman Rhoads closed the hearing on S.B. 269 and opened the hearing on Senate Joint Resolution (S.J.R.) 12.

Michelle M. Gamble, Lobbyist, Nevada Association of Counties, testified in favor of S.J.R. 12 and commented S.J.R. 12 with Assembly Bill (A.B.) 291 would allow Nevada to see how, ". . . grazing trends affect the economic viability of many of our rural communities that are dependent on agriculture."

Ms. Gamble pointed out it may be more appropriate, because of A.B. 291, to change page 2, line 14 of S.J.R. 12 from "Nevada Association of Counties" to "Nevada Division of Agriculture."

Don Henderson, Deputy Administrator, Division of Agriculture, Department of Business and Industry, spoke in support of S.J.R. 12 and used a handout of a power point presentation on grazing trends in Nevada (Exhibit D) given in support of A.B. 291.

Chairman Rhoads mentioned he has heard people questioning the accuracy of the grazing trend studies outlined in Mr. Henderson’s presentation and asked Mr. Henderson if he has double-checked the results. Mr. Henderson said the results given in his presentation came directly from the agency file and do not illustrate the reason for the reductions, but the study outlined in A.B. 291 would attempt to formulate the reasons for the reductions in Animal Units per Month (AUM) and economic growth.

Senator Coffin commented land-based protein sources should be increasing because of the reduction of fish stocks and increased regulation of the fishing industry. Mr. Henderson concurred with Senator Coffin’s remark and added beef protein is a good and cheap source of protein for the country’s population.

Stephanie D. Licht, Lobbyist, Elko County Commissioners, and Nevada Woolgrowers Association, spoke in support of S.J.R. 12 because it supports the economic diversification of rural counties and communication between the local and federal government regarding the livestock industries.

C. Joseph Guild, Lobbyist, Nevada Cattlemen’s Association, said legislation like S.J.R. 12 which raises awareness for the need of local and federal government agencies to cooperate is needed, and that is why they support S.J.R. 12.

Doug Busselman, Lobbyist, Nevada Farm Bureau, spoke in support of S.J.R. 12 and mentioned there has been a strong emphasis over the past few years for local and federal agencies to cooperate. Mr. Busselman said S.J.R. 12 encourages and recognizes the current cooperation.

Rey Flake, Chairman, Board of Commissioners, Lincoln County, agreed with Mr. Busselman’s comments and added how important it is for the rural counties to maintain cooperation with federal agencies since they have to work with them on many issues.

Douglas N. Bierman, Lobbyist, Eureka County, used a handout (Exhibit E) to outline the AUM and economic reductions that have affected Eureka County. Mr. Bierman went on record for the people of Eureka County in support Senate Joint Resolution 12.

Chairman Rhoads closed the hearing on S.J.R. 12 and opened the work session on S.B. 108.

Senator McGinness, Chairman of the subcommittee on S.B. 108, went over the two proposed amendments (Exhibit F) to S.B. 108. The first amendment was proposed by the subcommittee on S.B. 108 which was derived from language found in the State Water Plan, and the other proposed amendment by the Humboldt River Basin Water Authority which was found to be acceptable by the subcommittee members but not specifically voted on by the subcommittee. Senator McGinness added that Barrick Goldstrike Mines Inc. would like an additional amendment regarding mine dewatering activities.

Amy Halley Hill, Lobbyist, Barrick Goldstrike Mines Incorporated, said they had spoken with the State Water Engineer, R. Michael Turnipseed, in regards to the proposed amendment (Exhibit G) for mine dewatering activities not to be considered an interbasin transfer, and Mr. Turnipseed has found it to be acceptable.

R. Michael Turnipseed, State Engineer, Division of Water Resources, Department of Conservation and Natural Resources, said he has no problems with the three aforementioned proposed amendments to S.B. 108, but still is concerned with the part of the subcommittee’s proposed amendment regarding the environment and his responsibilities to guarding it. Mr. Turnipseed stated:

Senator James stated he thinks Mr. Turnipseed is saying the state water engineer should be responsible for the hydrologic environmental impact in the export of water in the basin of origin but should not be responsible for the environmental effects in the basin importing this water.

Fred Welden, Committee Policy Analyst, Research Division, Legislative Counsel Bureau, commented he needs clarification on the proposed amendment dealing with mine dewatering, in regards to it being drafted specific to the public interest discussed in Nevada Revised Statutes (NRS) 533.370 or to be inclusive of all portions of the statutes dealing with interbasin transfers of water. Mr. Turnipseed stated that the proposed amendment would address interbasin transfers of water as used in NRS 533.370 and would state that mine-dewatering activities that ultimately flow out of the basin of origin shall not be treated as interbasin transfers. Ms. Hill commented that her understanding was this proposed amendment was to address NRS 533.370.

Senator James questioned if all mine-dewatering projects should be exempt per the proposed amendment from the Barrick Goldstrike Mine or should all mine dewatering projects be subject to the criteria outlined in the subcommittee’s proposed amendment regarding environmental impact like any other interbasin transfer of water. Ms. Hill stated they are not asking that mine-dewatering projects be exempted from permits with respect to water, but mine-dewatering not be considered an interbasin transfer of water. Senator James responded by saying any amendment to NRS 533.370 (water permit requirements) needs to meet three requirements. One of these requirements involves public interest; i.e., an environmental impact study, and exempting mine dewatering from being subject to an environmental impact study could result in possible litigation. Ms. Hill stated that this is not their intention and they would like to address Senator James’ concerns.

Chairman Rhoads stated the committee will take no action on S.B. 108 for other concerns to be addressed and asked if anyone else would like to testify on S.B. 108.

Steve Bradhurst, Lobbyist, Planning Consultant, Nye, Lincoln and White Pine counties, commented that the mine-dewatering issue may be solved by adding another part to the subcommittee’s proposed amendment defining an interbasin transfer of water to be permanent and a mine-dewatering project as temporary. Since mines are temporary this might address the concerns of Senator James and allow for a differentiation of a mine-dewatering project (temporary) and an interbasin transfer of water (permanent). Mr. Bradhurst added he understands Senator James’ point of the importance of an environmental impact analysis as related to mine dewatering, whether or not the permit is considered temporary or permanent.

Chairman Rhoads closed the work session on S.B. 108 and opened the work session on Senate Concurrent Resolution (S.C.R.) 15.

Senator Jacobsen talked in favor of S.C.R. 15 and referred to a report (Exhibit H) showing the amount of money saved in using inmate work crews.

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There being no further business before the committee, the meeting was adjourned at 2:45 p.m.

RESPECTFULLY SUBMITTED:

Scott Corbett,

Committee Secretary

APPROVED BY:

Senator Dean A. Rhoads, Chairman

DATE: