MINUTES OF THE
SENATE Committee on Natural Resources
Seventy-First Session
February 7, 2001
The Senate Committee on Natural Resourceswas called to order by Chairman Dean A. Rhoads, at 1:30 p.m., on Wednesday, February 7, 2001, 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 Maggie Carlton
COMMITTEE MEMBERS ABSENT:
Senator Bob Coffin (Excused)
STAFF MEMBERS PRESENT:
Fred Welden, Committee Policy Analyst
Billie Brinkman, Personal Secretary
Beverly LaMotte, Committee Secretary
OTHERS PRESENT:
Robert V. Abbey, State of Nevada Director, Bureau of Land Management, United States Department of the Interior
Alan R. Coyner, Administrator, Division of Minerals, Department of Business and Industry
Stephanie Licht, Lobbyist, Nevada Wool Growers Association
C. Joseph Guild, Lobbyist, President, Nevada Cattlemen’s Association
Chairman Rhoads requested a motion for the adoption of the committee’s standing rules (Exhibit C).
SENATOR MCGINNESS MOVED TO ADOPT THE COMMITTEE STANDING RULES.
SENATOR SHAFFER SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR COFFIN WAS ABSENT FOR THE VOTE.)
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Chairman Rhoads then presented several bill draft requests (BDRs) for committee introduction.
BILL DRAFT REQUEST R-1039: Expresses support of Nevada Legislature for amendment to Federal Land Policy and Management Act of 1976 to require identification, mapping and recognition of certain rights of way across land administered by Federal Government. (Later introduced as Senate Joint Resolution 1.)
SENATOR MCGINNESS MOVED FOR COMMITTEE INTRODUCTION OF BDR R-1039.
SENATOR JAMES SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR COFFIN WAS ABSENT FOR THE VOTE.)
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Chairman Rhoads then presented BDR 35-1040.
BILL DRAFT REQUEST 35-1040: Requires division of minerals of commission on mineral resources to identify and map certain roads. (Later introduced as Senate Bill 106.)
Chairman Rhoads noted this BDR would go to the finance committee; however, it was his plan to speak to Senator Raggio to see if the Senate Committee on Natural Resources could act initially, and then would be re-referred to the finance committee.
SENATOR MCGINNESS MOVED FOR COMMITTEE INTRODUCTION OF BDR 35-1040.
SENATOR JACOBSEN SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR COFFIN WAS ABSENT FOR THE VOTE.)
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The final BDR introduced at today’s meeting was BDR 40-883.
BILL DRAFT REQUEST 40-883: Exempts certain persons who hold operating permits for certain sources of emissions of air contaminants from imposition of certain penalties under certain circumstances. (Later introduced as Senate Bill 90.)
SENATOR MCGINNESS MOVED FOR COMMITTEE INTRODUCTION OF BDR 40-883.
SENATOR JAMES SECONDED THE MOTION.
THE MOTION CARRIED. (SENATOR COFFIN WAS ABSENT FOR THE VOTE.)
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At the request of Chairman Rhoads, Fred Welden, Committee Policy Analyst, Research Division, Legislative Counsel Bureau, presented several items for perusal by members of the committee. First was a Committee Brief (Exhibit D) outlining types of issues presented in the Seventieth Legislative Session. He noted there had been significant agricultural and ranching issues, as well as a number of issues dealing with water. Mr. Welden said, in his estimation, issues dealing with air quality would hold a high priority. He pointed out the availability of a calendar noting deadlines for the upcoming session along with agency phone numbers. Mr. Welden then presented a report from the Legislative Committee on Public Lands (Exhibit E. Original is on file in the Research Library.). He explained this report was by topic and might be very helpful in gathering information in the upcoming session. Next, Mr. Welden presented Public Lands Planning and Policy Development Activities of the Nevada Division of State Lands (Exhibit F. Original is on file in the Research Library.). He noted the table of contents would provide an insight into various issues that might be of interest.
Chairman Rhoads introduced Robert V. Abbey, State of Nevada Director, Bureau of Land Management, United States Department of the Interior, who offered prepared remarks (Exhibit G). At this time, Mr. Abbey offered information concerning the Bureau of Land Management (BLM) (Exhibit H. Original is on file in the Research Library.). Mr. Abbey pointed out several specific items of interest, the first being the U.S. Department of the Interior’s new hard rock mining regulation. He noted these regulations are currently being challenged in court, including a lawsuit brought against the BLM by the State of Nevada. Mr. Abbey claimed a major point of contention included in the provision would allow the BLM to deny plans of operation because of a new standard of “substantial irreparable harm to scientific, cultural, environmental resource values of the public lands that cannot be effectively mitigated.” In answer to questions posed by Chairman Rhoads concerning time frames for implementation of these new regulations, Mr. Abbey said it would depend on the court system.
Mr. Abbey touched on other salient points, including concern about electrical power and construction of energy plants. He suggested the committee track these energy issues closely. Referring to Exhibit G and Exhibit H, he mentioned several acts of Congress that have affected and will continue to affect the citizens of Nevada. Mr. Abbey complimented those involved with firefighting in Nevada. He noted the positive impact of the BLM on Nevada, i.e., revenue generated from land sales and pointed out the availability of land for sale by the BLM in the future.
Chairman Rhoads and Mr. Abbey discussed federal funds allocated to Nevada to provide for the needs of the wild horse population. It was determined that although Nevada has over 50 percent of the wild horse population in the nation, the distribution of funds to Nevada is approximately 10 percent of the national allocation to cover wild horse issues. Mr. Abbey stated it was his hope that this year around 6,500 wild horses could be removed from public lands in Nevada.
Senator Jacobsen thanked Mr. Abbey for his remarks and suggested the possibility of a committee visit to a BLM facility with further clarification on the wild horse problems, along with information concerning problems associated with the fire season. Senator Jacobsen noted a better understanding of these problems would enable all to utilize forces for mutual benefit. Mr. Abbey concurred by noting the federal government plans to implement the provisions of a national fire plan aimed primarily to reducing the spread of wildland fires and claimed there is provision for rural fire-fighting organizations. He indicated his concern over the possibility of not receiving future funding for these programs. Chairman Rhoads indicated his willingness to contact the appropriate agency by letter to see what further information and help could be obtained.
Senator James commended Mr. Abbey for his splendid presentation and overview of the demands made upon the BLM. Senator James pointed out the efficient manner various lands are exchanged between local governments and the BLM. Mr. Abbey declared there were approximately 1,000,000 acres of land identified as available for disposal through existing land use plans. He noted some properties would be put up for sale using a fair-market value as a starting point, and then opened up to competition. Senator James and Mr. Abbey continued their discussion concerning various methods of the sale of BLM lands.
Senator James and Mr. Abbey reviewed the possibility of receiving more equitable funding from the federal government as it would relate to all programs, i.e., funding for wild horses, and road building across public lands. Mr. Abbey declared, in his opinion, when it came to public lands, some states were better funded than others. He noted some previous requests for funding had not been met. Mr. Abbey continued:
. . . I think the fault rests with me to make sure the information is shared with the right people, so that we not only work internally to compete better for those allocations, but that also the people in Nevada understand what budgets we do have, where those monies are being spent and then hold us accountable for us doing what we are going to do with those dollars. I think we are positioning ourselves to be better competitors for those allocations by demonstrating what it is that we can accomplish with the limited resources we are receiving today and what we could accomplish with some additional resources.
Mr. Abbey and Senator James resumed their discussion on the deficiency in funds allocated for the needs of Nevada.
Chairman Rhoads commented on the fact that Nevada has the smallest BLM budget of any western state, yet there are more public lands. He noted in the last 8 years, the focus has been on protection instead of production; however, the next 4 years should lean toward production instead of protection. Chairman Rhoads requested comments on transmission lines, as they would pertain to public lands and the difficulty in obtaining a permit.
Mr. Abbey noted the requested transmission lines cross various BLM district boundaries and in some cases, other states. These applications might be assigned to a lead office that would have the responsibility for the environmental impact statement, as well as coordinating information with other offices that would be affected by that proposed transmission / power line; with these expenses usually being paid for by the proponent. He noted after this there is a period for public comment, a protest period, after which a final decision would be made. After a final decision is made, there is time for an appeal process if necessary. As this is a lengthy process, the timeline could be anywhere from 18 months to 3 years; however, usually it takes from 14 – 18 months.
Chairman Rhoads and Mr. Abbey discussed the heavy workloads in the BLM offices often causing delays in processing applications presented for various items. Chairman Rhoads asked if a letter from the committee covering the issues of fire suppression along with the request for more funds for the wild horse problem would be helpful. Mr. Abbey complimented Chairman Rhoads on the committee’s support relative to money and personnel issues. Chairman Rhoads suggested that if there were no objections from the committee, perhaps Mr. Welden could work with personnel from Mr. Abbey’s office to draft such a letter.
At this time, Alan R. Coyner, Administrator, Division of Minerals, Department of Business and Industry, made a presentation focusing on an Update on Nevada Mining and Energy Issues (Exhibit I). Mr. Coyner offered remarks coupled with slides. His presentation covered mining and exploration, focusing on gold mining, as well as oil, gas and geothermal energy. Mr. Coyner and Chairman Rhoads touched on issues relating to silver and gold mining and sale projections for the year 2001. Mr. Coyner’s presentation covered other issues relating to mining and exploration such as toxic release inventory and bankrupt and inactive mines. He touched on problems associated with expansion in the Las Vegas area, possibly in an area where abandoned mines might be a predicament. Again referring to Exhibit I, he noted funding from the U.S. Army Corps of Engineers for help with protection from abandoned mines.
Senator James, Chairman Rhoads, and Mr. Coyner conferred on various ways to regulate these mining items on a local basis, as opposed to regulation on the federal level. It was generally agreed that a close eye must be kept on mining issues in Nevada. Mr. Coyner then pointed out oil and gas issues along with geothermal energy capacity. A general discussion was held on factors associated with permits of any sort, state and federal. Mr. Coyner claimed a close watch would need to be kept on the cumulative action of all the federal legislation pertaining to access to Nevada’s natural resources on public lands. Further discussion was held between Chairman Rhoads, Senator McGinness, Senator Jacobsen, and Mr. Coyner concerning other sources and the economics of energy and power, specifically wind and geothermal.
Stephanie Licht, Lobbyist, Nevada Wool Growers Association, indicated the sheep industry has had declining numbers, partly because of many regulations. She noted a ranch is the same as a small business and the decline of the number of animals will perhaps make that business no longer profitable. Ms. Licht went on to point out the benefits derived from sheep and cattle grazing as a management tool.
C. Joseph Guild, Lobbyist, President, Nevada Cattlemen’s Association, commented on economic factors associated with the beef industry. He claimed, as a whole, the state of the beef industry is excellent. He declared beef demand is up after a decline over the past 20 years.
As there was no further business, the meeting was adjourned at 3:35 p.m.
RESPECTFULLY SUBMITTED:
Beverly LaMotte,
Committee Secretary
APPROVED BY:
Senator Dean A. Rhoads, Chairman
DATE: