Nonwilderness portion. Important tot is put this in context, in terms of the areas where talking about. War, itself, is 9 million acres, approximately the size of south carolina. The nonwilderness area, this 1002 area, is 1. 5 million acres, approximately the size of delaware. The area here is designated as wilderness, federal wilderness, 8 million acres there. So, when we are talking about an important tot is recognize that there are parts r that are designated wilderness, parts are designated refuge, and parts have specifically been designated for consideration for oil and Gas Exploration. I want to be clear. The 1002 area is not federal wilderness. Congress recognized the value of anwar when it recognize more than 70 million acres as the wilderness. That is protected and cannot, and will not be touched. The coastal plain, again, is separate from the wilderness in anwar. It is about the size of delaware, in a refuge about the size of south carolina. Talkingareas we are about our significant greed what alaskans are asking for is to develop just 2000 federal 10,000thsthin about1 of anwar. , the open the 1002 area economic benefits will be substantial, our National Security will be strengthened and the environmental index will be minimal. We will create thousands of new jobs and those jobs will pay the types of wages that support families and put kids through college. We will also generate substantial revenue for every level of government, tens of billions of dollars over the life of the fields. There has been some discussion out there as to whether or not we can meet our 1 billion instruction. A simple, to that is yes. I would remind the committee that the first 10 years are just the start. This is the smallest part, of a 40 year. Where responsible production raises means of dollars in revenues for our country every year. The Congressional Research service has estimated the federal treasury could, depending on oil prices and the amount of resources that are ultimately produced, and well put that in a caveat, but he could raise anywhere from 48. 3 billion, on the low end, to 296. 8 billion, over 30 years. Bear in mind, that is new wealth and prosperity. New wealth. It will not be created, redirected, or repurposed, alexa much of what we deal with. Those revenues will directly reduce our debt while simultaneously creating growth conditions needed to reduce it on a greater scale. Opening the 1002 area with help to keep energy affordable. Here in the lower 48 we have somewhat forgotten what it feels like to pay four dollars for a gallon of gasoline. Prices are moderate right now. We recognize that, but we also dont necessarily stay that way. So we need to be taking steps for the longterm, and we need to be doing that now, not in 10 years, to keep Energy Prices affordable. A number of experts are already pointing to the warning signs. You have the International Energy agency that found Global Oil Supplies could struggle to keep these with demand after 2020, risking a sharp increase less new project are approved soon. Some are to argue that we are doing just fine. We are producing more, we are even exporting some, so we can turn our attention to other matters. I think that is a mistake. We are projected to remain a significant net importer, willing to the future. And setting aside some of the shorterterm concerns that ive just mentioned, even the more from eia,orecasts Energy Information administration, projects well prices will be back above 100 a barrel by 2040. I think it is also misleading to suggest that all of the benefits of opening the 1002 area will happen all at once, or all in the near term. We know that that is not true. We will see the benefit for decades, not just over the 10your budget window. We talk a lot about where we were back in 1995, when the ar, ands had passed anw president clinton at that time vetoed the effort to open the 1002 area. 1995. Think about where we would have been if that action had not taken place. We would not have seen a dramatic runup of oil prices in the midto thousands. States like california would not be important so much of their oil from abroad. That is exactly what has happened as the supply from alaska has declined. There is no question, opening the 1002 area is important for our state and national economy. As confident just that the new technologies that are in place, and are still coming online, will ensure that responsible development does not harm the environment. Today,en the 1970s and the surface footprint of Arctic Development has decreased by about 80 . Several of our witnesses this morning will speak directly to that. What, put it in context. Pad now once a 65 acre takes 12 acres or less. And below ground, the extended drilling from a single pad will grow to an area of 125 square miles by 2020. Thanis an increase of more began oilce we exploration and production in the 1970s. Development in the arctic has always raise concerns about wildlife and the environment, and appropriately so. But i would remind everyone here this morning, because alaskans have been so careful with of impact tofears our wildlife and our land have repeatedly proven wrong most of our roads are now built from ice and melt in the summertime, leaving no impact on the tundra. Developers follow thousands of regulatory requirements, best practices, and mitigation measures. We inventory and assess wildlife and study their habitats so we avoid any sensitive places. We always talk about the caribou. Central arctic caribou herds, provedive in and around obey your ground, increased from 3000 animals in 1969, prior to development, two 5000 when Development Began in earnest in 1974, and with about 22,000 animals just this past year. It is now more than seven times larger, then when Development Began. It may surprise some to learn that we are developing energy just outside of anwar, at Point Thompson, a point my colleague knows very well. This is on state land, just two miles from the border of the 1002 area. That project a Point Thompson is carried out responsibly. It is not harming wildlife that crossed the invisible western boundary of that refuge. Over 40 years now, alaskans have repeatedly proven that we can develop safely and responsibly. 1002 areapment in the will be no different. We will not harm the caribou moved through the area. We will not harm the polar bears, who stands can be protected. The snow geese, whose nesting areas can be safeguarded, or any of the other birds are wildlife that visit the coastal lane in the summer. We are sensitive to the habitats in the region, and care for. And alaskans understand this. And this is why more than 70 of us have supported opening the 1002 area to responsible development. Ourre also acutely aware state needs this, and we will your this from our governor. We have the highest Unemployment Rate in the country. We have massive budget deficits that are projected to last for a while. And our transatlantic pipeline system, the economic backbone of our state, is just one quarter full. Well, know, we know full that opening the 1002 area is not an immediate cure. But we also know that it is something we have to do today, because the benefits of development will take time to fully realize. Saying, thehe old best time to plant a tree was 20 years ago. St time is blessee now. We need to take that first step today so we can realize the benefits, Going Forward. I was born in alaska. My husband and i have raised our boys there, and i hope that they long and healthy lives in a place that is so beautiful and gorgeous that it sometimes takes your breath away. What i know is, no one cares more for alaska, then those of us who live and work and raise our families there. We love our state. We respect the land. We would never risk its future for the sake of development, but we also realize that that is not the case here. The 1002 area was created by a congressional compromise. We always knew its future would require another one. And today, alaskans are offering just that. We are not asking to develop all of the 1002 area. Instead, we are asking 2000 10,000th ofout 1 the refuge. And we have reading years for the right technologies to come along so that the footprint of development is small enough to ensure that the environment continues to be respected and will not be harmed. This is not a choice between energy and the environment. We are past that. And what we have today is a great lineup of witnesses to help our committee understand that. We have our entire alaska , ouration with us governor, our congressmen, our senators, our Lieutenant Governor, a number of alaskans who actually live up on the north slope. I think all are witnesses for being here this morning. I look forward to an excellent and informative hearing. Senator cantwell, i turn to you and welcome your remarks. Thank you and i welcome our colleagues to todays discussion. This hearing is a great departure from the strong working relationship that senator murkowski and i have sent, to Work Together on an Energy Agenda that will move our country forward. Its too bad we are not using our resources this morning to force our House College to reconsider the very important overall, 100luded, different priorities to move our country forward on everything from Cyber Security to Energy Efficiency. Theso dont support of makeup of todays panels. The fact that our two colleagues who do not support opening the arctic wildlife refuge, who have carried the bill this legislative session and last late of sessions, senator markey and senator benefit senator markey and senator bennett were not allowed to be part of this panel. And i think we need to have more representatives from the indian communities. Corporations are charged with Economic Development but individual tribal members are charged, as we have seen throughout alaska and the United States of america, dont support of this kind of development because they believe in the wildlife nature that god has given us, and that we are stewards of mother earth. So, i think them for that. I think them for their Strong Spiritual beliefs. Thank you. Today because someone has come up with a ludicrous idea that we can pass tax reform bills that pass a tax reform bill that raises the deficit and increases our taxes sliver out of our wildlife refuge to do it. This caribou for millionaires because it is the most ridiculous idea i have heard in meeting the tax reform agenda. So, now i dont like the setup of these panels. Im always glad to hear from the governor and our colleagues but our other colleagues should have had their voices heard and Indian Country should have been better represented. We have no bill before us today. We have no bill and there is a proposed markup for next wednesday. . When will we see that language . When will we have any idea about this process . So, i am disturbed. And i could go in the direction of saying, we dont have to worry because some of the press reports are that, from Bloomberg News and others that the coastal Arctic Refuge does not have any promising, oilbearing rock formations. And there is no great interest in developing the arctic wildlife refuge, and there are safer bets. So what could have the attitude that there are, particularly with the Trump Administrations desire. Im not sure where in the United States of america they dont want to drill, but with the one point 7 billion acres they want on the outer Continental Shelf and many other places in america, i find it hard to believe that there will be the economic incentive to drill in the arctic wildlife refuge. On top oft a big x something that has been so unique to the United States of america . When i recently researched why we got to this point, and heard some of the first people who made the case to the Eisenhower Administration, we all knew that it must be preserved as an original fragment of our past, the last opportunity to protect the heart of this continent as it once was. Why . Because other people said it was a spiritual place, and arctic wildlife refuge, and they also said, it was an area that was left undisturbed by man that was the last laboratory in which plants and animals, and where they live, as they have always lived, is preserved thisis is why we got to point and this is what is unique about it, and this is why, from the Eisenhower Administration to today, we have fought to protect it. Economy of great concern to us as a nation . Yes. We in the Pacific Northwest i will think one of the first things i said to the charwoman when we started the discussion is, lets talk about why the natural gas pipeline alaska hasnt been built, because it has a bigger Economic Impact than this. This idea, there is no new science that says we dont have to worry about this wildlife. And there is no new science that says the Oil Development will take up a smaller footprint. This map that we will get to everyone basically shows that the development will take up a significant portion of the refuge. The 800 milelong transatlantic type line transalaska pipeline, 200 miles of transmission lines, and so on and so forth. So, the notion that wildlife can exist in this unique environment , in the same weight with this development, is just wrong. I look forward to hearing from secretary perry on this because i wrote him a letter yesterday, asking him how they can exist together. We will look forward to seeing how he answers that. I also point out, the uniqueness anthis area has entered into international agreement. The caribou population is so unique, so specific and so special, that we have entered into an agreement with canada on it. That is because they want to protect this population of caribou, as well. So the notion that we should move forward on a wrongheaded idea because all of a sudden people want some revenue for a and move forward today on something that we dont even know what we are moving forward on, and language, is just not the way i think we should be proceeding. I hope we will have a chance to ask our witnesses questions on this but be assured, even though we dont agree with this process, or the process of votes to get 51 change in the arctic wildlife refuge, we are never stopping. We are never stopping in trying to protect the arctic wildlife refuge, and the uniqueness, and to work with the Indigenous People who also support that idea. Thank you. Thank you, senator cantwell. We have several panels this morning. And i appreciate not only our delegation being here, on the alaskans and visitors that have joined us this morning, a very distinguished panel. We will be led by our colleague, senator sullivan. He will be followed by the all alaska,for congressman young, who has represented us in the house of representatives for 45 years. 45 years, going on 46. Ill be roundedw up by our governor. Governor walker has been in office for three years and is a lifelong resident and has great, great leadership. I appreciate you being here as well, governor. Independent. That is true. He is an independent. We dont talk about the political affiliations here, of anybody, but that is noted. Senator, if you would like to read off if you would like to lead off with the introduction. Thank you. Have claimedroom to be protectors of alaskas environment, but with all due respect to my colleagues are today there are three people in more abouts who care alaskas environment than anyone else in the entire body. Senator murkowski, congressman young, and myself. The fundamental disconnect in the discussion of the 1002 area, is that the debate has not kept up with alaskas high standards, the highest in the world, and i will talk about that, and advancements in technology. To with all due respect to the Ranking Member, a lot has changed. Allies changed. A lot has changed. 1002nsibly developing the area is a winwin for our country. It will create jobs, growth the economy, and increase Energy Security for americans. And importantly, it will protect the Global Environment and strengthen our National Security , and its these last 2. 7 like to emphasize in my remarks this morning. Alaska has the highest Environmental Standards regarding responsible arctic Resource Development, they place in the world. In charge of these standards as alaskas commissioner of the department of Natural Resources and i can tell you, whether it is what we or mandating the best available technology, we have a 50 year record of responsible Resource Development. No impact inspiration. Exploration. We only a level exploration activities during the winter months. Companies are required to build pads. Ads, i spence they have to leave before the winter and. Have zero impact on this hundred. The only other thing is a cap well. That is alaskas very high mandated standards. We used to do standards very recently on the coastal plain in the same ecosystem of the 1002 area that is being debated right now with the development of the Point Thompson project. You can see how close that is to be 1002 area. There was minimal impact, no impact on the environment and wildlife. The footprint is very small and it is producing energy right now. Big issue that those in congress who want to shut down Resource Development never acknowl