[Congressional Record Volume 149, Number 110 (Wednesday, July 23, 2003)]
[Senate]
[Pages S9798-S9799]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. MURKOWSKI:
  S. 1448. A bill to provide for the construction of the Yupik Alaskan/
Central Kuskokwim Energy Project, and for other purposes; to the 
Committee on Energy and Natural Resources.
  Ms. MURKOWSKI. Mr. President today I introduce a very important piece 
of legislation, the Calista Energy and Economic Revitalization Act. 
This legislation will create a profound and positive effect on one of 
the most impoverished parts of my State, the Upper Kuskokwim region by 
providing major boost to the economy of this area. It will also provide 
affordable energy to this region, which pays some of the highest energy 
costs in the country.
  My legislation will authorize a grant and loan guarantee program to 
permit the construction of a vitally important intertie from the Upper 
Kuskokwim region to Bethel, Alaska. This project will provide low cost 
energy to revitalize this region much as the Tennessee Valley and 
Bonneville Power projects revitalized the South and Northwest, 
respectively.
  Alaska was just a territory when these visionary projects were 
conceived and constructed. It is now time for the State of Alaska to 
join in the national commitment and partnership for economic vitality.
  The Upper Kuskokwim region has been inhabited by the Yupik Eskimo for 
thousands of years and they have developed a unique lifestyle which 
allows them to thrive in a harsh and formidable climate.
  On December 18, 1971, Congress enacted the Alaska Native Claims 
Settlement Act, ANCSA, in recognition and settlement of the aboriginal 
claims of the Yupik Eskimo people in the Upper Kuskokwim regions. 
Pursuant to ANCSA the Calista Corporation was formed by the Yupik 
Eskimo people to represent their needs and interests in implementation 
of ANCSA.
  The Calista Corporation has selected as port of its land entitlement 
under ANCSA the Donlin Creek area of the Upper Kuskokwim region. As 
owner of the Donlin Creek area, Calista has made a discovery of 
international significance of gold and other minerals which will aid 
the country and the Yupik Eskimo people if that area is developed. I 
can assure you, that there is

[[Page S9799]]

wide spread support among the local Yupik population that their lands 
be developed.
  The Donlin Creek area is currently isolated and unconnected by road 
or utility services to the rest of the State of Alaska and the Nation. 
It is fair and equitable that the Congress enacts legislation to aid 
and assist the Yupik Eskimo people, through the Calista Corporation, in 
developing this energy project referenced in my bill. The goal of this 
project is to provide reasonable and adequate utility service to the 
local people and to serve to the development of the minerals in the 
Donlin Creek area.
  The Upper Kuskokwim region contains numerous Yupik Eskimo villages 
which are also isolated from the rest of the State and the Nation. 
According to government reports, the unemployment rate in the region is 
about 25 percent but the actual joblessness rate is much higher. The 
government reports stop counting people as unemployed after that have 
not had a job after several years. There is currently little or no 
opportunity for year round nongovernmental employment in this region.
  For example, one of the few opportunities to participate in the cash 
economy available in the region comes from fishing, but fishing income 
has plunged by about 50 percent from nearly $12,000 to about $5,000 
annually. Because of this drastic decline in fishing income and a 
general lack of available private sector jobs, Federal and State 
transfer payments make up 33 percent of income in the Bethel U.S. 
Census District area and nearly 45 percent of the Wade Hampton U.S. 
Census District in the Upper Kuskokwim region near the Donlin Creek 
site.
  Passage of this legislation will provide a sound economic opportunity 
for the Yupik Eskimo and other residents of the region and give them an 
opportunity to enjoy a better quality of life. Calista is committed to 
turning this project into the private sector engine for this part of 
Alaska. If successful, Federal transfer payments will be reduced and 
local residents will have the ability to support themselves and their 
families with solid, well paying private sector jobs.
  Utility costs are now more than 10 times the national average. By 
providing a year round employment base and more equitable and 
affordable access to utility services, this project will improve the 
lives of all residents of the region.
  I am excited about this bill and will work hard to achieve its 
passage. It is my hope to have a hearing on this bill very soon and 
seek its passage in the Energy and Natural Resources Committee and the 
full Senate before the end of the year. I urge my colleagues to support 
this legislation.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1448

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Calista Energy and Economic 
     Revitalization Act''.

     SEC. 2. FINDINGS.

       Congress finds that--
       (1) the Yupik Eskimo people have--
       (A) inhabited the Upper Kuskokwim region for thousands of 
     years; and
       (B) developed a unique lifestyle that allows the people to 
     thrive in a harsh and formidable climate;
       (2) on December 18, 1971, Congress enacted the Alaska 
     Native Claims Settlement Act (43 U.S.C. 1601 et seq.) in 
     recognition and settlement of the aboriginal claims of the 
     Yupik Eskimo people in the Upper Kuskokwim regions;
       (3) under that Act--
       (A) the Calista Regional Corporation was formed by the 
     Yupik Eskimo people to represent the needs and interests of 
     the Yupik Eskimo people in implementing the Act; and
       (B) the Corporation has selected as part of the land 
     entitlement the Donlin Creek area of the Upper Kuskokwim 
     region;
       (4) as owner of the Donlin Creek area, Calista Regional 
     Corporation has made a discovery of international 
     significance of gold and other minerals that would aid the 
     Yupik Eskimo people if developed;
       (5) there is widespread support among the local Yupik 
     population for development of the Donlin Creek area;
       (6) the Donlin Creek area is currently isolated and 
     unconnected by road or utility services to the rest of the 
     State of Alaska;
       (7) the Upper Kuskokwim region contains many Yupik Eskimo 
     villages that are not connected to the rest of the State of 
     Alaska;
       (8) the unemployment rate in the region is almost 25 
     percent, and there is currently little or no opportunity for 
     year-round nongovernmental employment;
       (9) it is fair and equitable that Congress enact 
     legislation to aid and assist the Yupik Eskimo people, 
     through the Calista Regional Corporation, in providing 
     reasonable and adequate utility services to the area; and
       (10) Congress should act to provide a sound economic 
     opportunity for the Yupik Eskimo and other residents of the 
     region to enjoy an improved quality of life by providing a 
     year round employment base.

     SEC. 3. CALISTA ENERGY PROJECT AUTHORIZATION.

       (a) Financial Assistance.--The Secretary of Energy shall, 
     subject to any terms and conditions that the Secretary 
     determines to be appropriate, provide the Calista Regional 
     Corporation grants and loan guarantees to assist in the 
     construction of the Calista Energy Project as generally 
     identified in the document entitled ``Calista Region Energy 
     Needs Study'' and dated July 1, 2002.
       (b) Federal Share.--The Federal share of the cost of 
     construction of the Calista Energy Project shall be not more 
     than 80 percent.
       (c) Limitation.--The total amount of financial assistance 
     that the Secretary may provide under subsection (a) is--
       (1) $100,000,000 for grants; and
       (2) $50,000,000 for loan guarantees.

     SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as are 
     necessary to carry out this Act.
                                 ______