FY2017-38 Identifying Federal Program Priorities For Federal Fiscal Year 20181
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Introduced by: Manager Powers
Drafted by: Special Projects Support
Introduced on: 05/04/2017
Adopted In: 05/04/2017
KODIAK ISLAND BOROUGH
RESOLUTION NO. FY2017-38
A RESOLUTION OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH IDENTIFYING
FEDERAL PROGRAM PRIORITIES FOR FEDERAL FISCAL YEAR 2018
WHEREAS, the Alaska Congressional Delegation has requested the views of the Kodiak
Island Borough on which federal programs should be considered priorities for rural Alaskan
communities and their residents.; and
NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH that the Kodiak Island Borough's views and recommendations on priority federal
programs are as follows:
1. Groundfish Surveys: The North Pacific Fishery Management Council has raised
concerns with the National Oceanic and Atmospheric Administration about what appears to be a
reduction in the number, the spatial extent and the consistency of the winter and summer
groundfish surveys occurring in the Gulf of Alaska. The diminution in these surveys will
eventually negatively affect Kodiak fishermen and processors should the North Pacific Fisheries
Management Council add additional precautionary buffers to what already exists in the
establishment of annual groundfish quotas due to insufficient stock assessment data. A
reduction in federal groundfish quotas for pollock, cod, and rockfish would result in lost
economic opportunities for Kodiak residents and lower raw fish tax receipts over time. The
Kodiak Island Borough recommends that the Alaska Delegation support the Surveys &
Monitoring activity at the Fiscal Year 2016 appropriated level.
2. Homeporting Coast Guard Vessels: The Kodiak Island Borough would like to
emphasize that Kodiak remains the ideal location for the deployment of National Response
Cutters and Offshore Patrol Cutters, and the clustering of Fast Response Cutters. Kodiak sits at
the crossroads of one of the largest fisheries in the world as well as some of the busiest
shipping lanes in U.S. waters. Kodiak offers unmatched geographic advantage for timely
mission response and deployment to the myriad of marine incidents in the Alaska area of
operation. The Borough recognizes that Kodiak Island also presents unique mission support
challenges such as a constraint on housing and mooring facilities. The Borough stands ready to
work with the Coast Guard in whatever way possible to keep this location ideal for capital asset
placement. The Borough supports the President's Budget Request for Coast Guard vessel
construction. We request that the Delegation actively monitor the Coast Guard's planning
process for future deployment of new assets in the Arctic and promote Kodiak as a homeport for
these new vessel classes.
Kodiak Island Borough, Alaska
Resolution No. FY2017-38
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3. Payment -In -Lieu -of -Taxes: There are over 2.8 million acres removed by the Federal
Government from taxation within the boundaries of the Kodiak Island Borough. This is land that
would otherwise be available to the private sector to develop, creating jobs for the residents of
Kodiak and the rural Kodiak Island communities. This in turn would create tax revenues for the
Kodiak Island Borough. PILT was enacted by Congress to help offset the loss of revenues to
municipal entities caused by federal land withdrawals within local government boundaries. The
KIB uses these funds to provide basic social services, including medical facilities, emergency
fire and rescue services, roads, and schools. The Kodiak Island Borough supports full funding of
PILT at $452 million.
4. Refuge Revenue Sharing: The National Wildlife Refuge Fund is a critical source of
replacement revenue to communities like ours that have the presence of a large Federal wildlife
refuge within their boundaries. That presence removes substantial amounts of property from the
local property tax base. The share we receive from the Fund is based on a formula that partially
compensates us for our tax losses due to the existence of the Kodiak National Wildlife Refuge.
The Refuge is over 1.9 million acres in size and therefore has permanently removed from
private ownership, development and taxation over half the property on the island. The Kodiak
Island Borough is seeking the Alaska Delegation's assistance in providing level funding for this
program.
5. EPA's Fishing Vessel Discharge Rule: EPA has promulgated two rules to require
commercial fishermen to obtain Clean Water Act incidental discharge permits as a condition for
operating both small and large fishing vessels. The permits would cover ballast water, fish hold
water, anchor chain mud, deck wash/runoff, bilge pump discharge, gray or "stick" water,
laundry, shower, and galley sink water. The permits require burdensome reporting, monitoring,
inspections and compliance activities — all subject to heavy fines and citizen lawsuits under the
Clean Water Act for what seems to be minimal environmental protection. The Congress has
imposed a three year moratorium preventing EPA from implementing the Small Vessel General
Permit Rule and the Vessel General Permit Rule. Efforts are underway within the Congress to
make the moratorium permanent. The Kodiak Island Borough is requesting that the Alaska
Delegation actively support a permanent moratorium.
6. Karluk Lake Enrichment Project: The Karluk Lake system, on the west side of Kodiak
Island, is the largest producer of sockeye salmon in the Kodiak area, and supports a large
portion of the area's commercial and subsistence sockeye fisheries. Since 2007, returns of adult
sockeye to the Karluk system were extremely poor for a number of years. In order to bring the
Karluk Lake ecosystem back to its earlier, higher level of production, the Kodiak Regional
Aquaculture Association (KRAA) proposed to apply nutrients over the course of up to five years.
This lake enrichment project follows established protocols for rehabilitating sockeye salmon
rearing environments. Since Karluk Lake is within the Kodiak National Wildlife Refuge and a
pre -statehood withdrawal, however, the Fish and Wildlife Service decided to perform a
compatibility review and an environmental assessment. This process took over three years.
Despite strong support from the Alaska Congressional Delegation and local residents and
groups, the FWS completed its environmental assessment in January and selected the No
Action alternative. The agency did not issue a compatibility decision, stating that sockeye
salmon stocks within the Karluk system are within their historic levels.
Kodiak Island Borough, Alaska
Resolution No. FY2017-38
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While the Karluk Lake sockeye returns have improved since 2007, there remains a possibility
that run trends can reverse and create hardship for local fisheries. The KRAA has been
informed by FWS that the Environmental Assessment action alternative could be reconsidered if
lake conditions deteriorate and the sockeye returns collapse again. The agency decided,
however, not to make a compatibility determination. This is the key policy decision surrounding
the proposal to add nutrients to Karluk Lake in the event of a collapse. Revisiting the issue
could take two or more years if FWS has to engage in both an EA and compatibility review,
thereby hampering KRAA's ability to respond quickly to changes in the productivity of the lake
system. The Kodiak Island Borough therefore is requesting support from the Alaska
Congressional Delegation to advocate for a compatibility decision to resolve the policy question
in advance of any sudden change in circumstances.
7. Rural Air Service & FAA Reauthorization Legislation — The Borough is strongly
opposed to provisions in House legislation -- H.R. 4441, the Aviation Innovation, Reform, and
Reauthorization Act — that would seek to cut funding and "reform" the Essential Air Service
(EAS) Program as well as privatize the Federal government's air traffic control operations. H.R.
4441 would cut EAS funding by 1/3rd and give the Secretary of Transportation unilateral
authority to waive designation of EAS to a community if he/she determines it to be in the "public
interest." EAS is critical to maintaining rural air service to the Borough's communities.
Reductions in funding or waivers threaten the continuation of such service to those communities
or would substantially raise its cost. Privatization of air traffic control operations through the
creation of a new corporate entity would subject rural airport NAVAIDs, personnel, and safety
equipment to a business model, cost -benefit test which is unlikely to fare well compared to
busier, more urban or major hub airports. Furthermore, the new corporate entity has the
flexibility to raise air carrier and cargo user fees and could price rural air service providers out of
the market which it might choose to do if those airports are determined to be "not profitable."
The Borough urges the Delegation to oppose these provisions and the legislation in its current
form.
BE IT FURTHER RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
that the Kodiak Island Borough administration is hereby instructed to advise Congress and the
appropriate agencies of the United States Federal Government of these priorities adopted by
the Kodiak Island Borough Assembly.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS FOURTH DAY OF MAY, 2017.
KODIAK- SLAND BOROUGH
4A KZ4::::�-
Daniel A. Rohrer, Mayor
ATTEST:
ova M. Javier, MMC, Clerl
VOTES:
Ayes: Crow, Skinner, Smiley, Symmons, Townsend, Van Daele
Absent: LeDoux
Kodiak Island Borough, Alaska Resolution No. FY2017-38
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