THE SUPREME COURT OF THE STATE OF ALASKA Pebble Limited…

       THE SUPREME COURT OF THE STATE OF ALASKA

Pebble Limited Partnership,                )
                                           )      Supreme Court No. S-13059
                     Appellant,            )
                                           )                Order
       v.                                  )      Affirming Superior Court
                                           )
Sean Parnell, Lt. Governor, et al.,        )
                                           )
                     Appellees.            )
                                           )

Council of Alaska Producers,        )
                                    )             Supreme Court No. S-13060
                    Appellant,      )                  (Consolidated)
                                    )
       v.                           )
                                    )
Sean Parnell, Lt. Governor, et al., )
                                    )             Order No. 62 - July 3, 2008
                    Appellees.      )
_______________________________ )
Trial Court Case # 4FA-07-2696 CI

              Before: Matthews, Eastaugh, Carpeneti, and Winfree,
              Justices. [Fabe, Chief Justice, not participating.]


              In October 2007 an application for an initiative with the title "An Act to
protect Alaska's clean water" was filed with the lieutenant governor ("07WTR3"). This
was the third attempt to place an initiative on the ballot that would restrict or regulate the
discharge of toxic materials from large scale metallic mineral mines in Alaska. The
Department of Law reviewed 07WTR3 and advised the lieutenant governor to certify the
initiative application. Relying on the Department of Law's advice, the lieutenant
governor certified initiative 07WTR3. The lieutenant governor then prepared a summary
and cost statement for the initiative that incorporated the Department of Law's
interpretation. In January 2008 the sponsors of the initiative submitted to the lieutenant
governor a petition with over 30,000 signatures in support of 07WTR3.
              In November and December 2007 the Council of Alaska Producers, the
Pebble Limited Partnership, and the Association of ANCSA Regional Corporation
Presidents/CEO's, Inc. and the Alaska Federation of Natives, Inc., filed suit in the
superior court seeking a declaration that 07WTR3 violated constitutional and statutory
restrictions on legislation by initiative, and an injunction that would prevent placement
of the initiative on the ballot. The sponsors of the initiative intervened in the action.
              In February 2008 Superior Court Judge Douglas L. Blankenship issued a
decision concluding that 07WTR3 was a permissible regulatory measure and not an
appropriation and was therefore appropriate for the ballot. In concluding that 07WTR3
was not an appropriation, Judge Blankenship adopted the approach of the sponsors and
the state and construed the references to "effects" in section two as meaning "adversely
affects." Judge Blankenship found in his final judgment that (1) "07WTR3 is not an
improper appropriation;" (2) "07WTR3 [is] not local or special legislation;" (3) "[t]he
subject matter of 07WTR3 is proper for an initiative;" (4) "07WTR3 does not constitute
an unlawful amendment of the Alaska Constitution; and" (5) "[t]he bill summary and cost
statement appearing on the 07WTR3 initiative petitions are not defective."
              The Council of Alaska Producers and the Pebble Limited Partnership
appealed those portions of Judge Blankenship's decision construing 07WTR3 and
concluding that 07WTR3 would not make a constitutionally impermissible appropriation,
would not enact constitutionally impermissible special legislation, and that the summary
and cost statement are impartial and accurate. The Association of ANCSA Regional
Corporation Presidents/CEO's, Inc. and the Alaska Federation of Natives, Inc. did not


                                            -2-                                   ORD 62
appeal any portion of Judge Blankenship's decision. We heard oral argument on June
16, 2008.
       IT IS ORDERED:
       1.     Judge Blankenship did not err in construing the initiative broadly and
reading the initiative's use of "effects" in section two to mean "adversely affects."
       2.     Judge Blankenship did not err in concluding that 07WTR3 would not make
a constitutionally impermissible appropriation.
       3.     Judge Blankenship did not err in concluding that 07WTR3 would not enact
constitutionally impermissible special legislation.
       4.     Judge Blankenship did not err in concluding that the summary and cost
statements are not defective.
       5.     Accordingly, the decision of the superior court declining to enjoin the
placement of initiative 07WTR3 on the ballot is AFFIRMED.
       6.     This court will issue a written opinion at a future date explaining the
reasons for this result.
       7.     Preparation of the ballots including initiative 07WTR3 need not await
publication of this court's opinion.


       Entered by direction of the court.
                                                  Clerk of the Appellate Courts



                                                  Marilyn May
cc:    Supreme Court Justices
       Judge Douglas L. Blankenship
       Fairbanks Appeals Division
       Publishers


                                            -3-                                   ORD 62
Distribution:
      Howard S Trickey                         George R. Lyle
      Jermain Dunnagan & Owens                 Guess & Rudd
      3000 A Street Suite 300                  510 L Street, Suite 700
      Anchorage AK 99503                       Anchorage AK 99501

      Matthew Singer                           Michael Stephen McLaughlin
      Jermain Dunnagan & Owens                 Guess & Rudd
      3000 A Street Suite 300                  510 L Street, Suite 700
      Anchorage AK 99503                       Anchorage AK 99501

      Michael A Barnhill                       Thomas P Amodio
      Assistant Attorney General               Amodio Stanley & Reeves LLC
      P O Box 110300                           500 L Street Suite 300
      Juneau AK 998110300                      Anchorage AK 99501

      Susan Orlansky                           James E Fosler
      Feldman Orlansky & Sanders               Fosler Law Group, Inc.
      500 L Street Suite 400                   737 West Fifth Avenue Suite 205
      Anchorage AK 99501                       Anchorage AK 995011954

      Jeffrey M Feldman
      Feldman Orlansky & Sanders
      500 L Street Suite 400
      Anchorage AK 99501

      Scott Kendall
      Holmes, Weddle & Barcott, PC
      701 West 8th Ave Suite 700
      Anchorage AK 99501

      Timothy A McKeever
      Holmes Weddle & Barcott
      701 West Eighth Avenue Suite 700
      Anchorage AK 995013408

      James D. Linxwiler
      Guess & Rudd
      510 L Street #700
      Anchorage AK 99501




                                         -4-                                 ORD 62