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Military Affirmative (3)

Military Affirmative (3)

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10/16/2011

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1.Despite past atrocities, Native Americans support alternative energy and
believe Congress should create a tax incentive to aid in developing these
technologies for tribes.

National Congress of American Indians, 2008, 2008 Political Platform, http://nativevote.org/documents/NCAI%20Politi
cal%20Platform%202008.doc.

WE BELIEVE in the importance of balancing natural resource and economic development with sustainable
conservation principles.
To help combat climate change and simultaneously develop new economic opportunities, renewable
energy sources should be a priority for future energy development
. Indian Nations across the country have a vast
renewable energy potential, and many of them are leading the way in developing wind, solar, biomass, and geothermal energy
sources. Indian tribes have a great capacity to assist in the national energy agenda, and work as partners in developing
progressive energy policies. We call upon Congress to adopt legislation that will create a Production Tax Incentive that
will allow Indian tribes to develop alternative energy sources in an economically feasible manner.
WE BELEVE that the United States
, as legal trustee of Indian lands, has a special obligation to assist tribes in the
protection, management, and environmentally sound development of their natural resources, including reserved water
rights and mineral resources, toward the end of utilizing them to promote the development of sustainable, diversified, self
governing economies on Indian reservations. The history of the government’s efforts to make these decisions and to manage
these properties unilaterally is replete with scandalous failures, resulting in enormous liabilities for the government,
unmitigated environmental disasters, and incalculable financial losses for Indian tribes and resources owners. In its fiduciary
capacity, and in accordance with the federal Indian policy of tribal self-determination, the federal government must
make available appropriate private sector expertise
, where requested, that will be responsive to tribal objectives and
cultural values in making decisions regarding resource development on Indian lands.

2.The tax status of Native Americans removes them from the two criteria necessary for successful wind
power business.
Mark Shahinian, third year law student, Univ. of Mich., 2007, Special Feature: The Tax Man Cometh Not:
How The Non-Transferability Of Tax Credits Harms Indian Tribes, American Indian Law Review

The project owners: Project ownership is the key to the issues discussed in this paper. Only certain owners will find profit in
wind farms. These owners must, for financial reasons, meet two criteria. First, they must have easy access to the capital
markets.
Wind farms are extremely capital intensive. A 30MW n33

wind farm (enough to power, on average, 12,000 homes)

such as one proposed for the Rosebud Reservation can cost $ 48 million to build. n34

Modern wind farms are generally in the

100-200MW range, and can represent capital investments of half a billion dollars. n35

Second, the owner must have a large,
steady tax liability from non-wind operations that they can offset with the PTC credits.
A 30MW wind farm throws off
more than $ 1.6 million per year in tax credits for the first ten years of its operation. n36
[*275]

The two requirements above - access to capital markets and large tax liability - mean wind farm owners tend to be some
of the largest corporations in the world, and that the owners and financiers of projects tend to be one in the same.

American investment bank Goldman Sachs, financial giant General Electric and Australian investment bank Babcock & Brown
all own or have owned significant wind properties. n37
III. Tax Credits and Tribes

However, the two requirements - access to capital markets and large tax liability - also work to wreck the hopes for
tribal ownership of wind projects. Tribes, as discussed infra, are non-taxable entities. As such, they cannot use tax
credits, and are at a competitive disadvantage compared to taxable owners of wind projects.

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Observation 5: Solvency

Tradable tax credits for wind farms are a financial incentive from Congress to Native Americans to
increase alternative energy.
Mark Shahinian, third year law student, Univ. of Mich., 2007, Special Feature: The Tax Man Cometh Not:
How The Non-Transferability Of Tax Credits Harms Indian Tribes, American Indian Law Review

Making tax credits tradable by tribes - and thereby aligning the financial incentives of tribes with the rest of the U.S. business
community - promotes the federal goal of guiding economic activity, whether in the wind power industry or in other industries
with substantial tax credits.

Congress is bent on fostering renewable energy production in the United States. Congress is also bent on fostering tribal
energy development. If Congress made the PTC tradable, tribes would face the same tax incentives as the rest of the
business community, renewable energy development on tribal lands would increase, and Congress would take a step
forward in achieving its goals of tribal and renewable energy development.

Tax credits are economic incentives the government provides to promote certain activities. n76

With these incentives, the
government is trying to encourage economic activity (such as
charitable giving or pollution-free energy production) that
the government considers socially beneficial. n77

The government has an interest in promoting those activities targeted for

promotion to the fullest extent possible, including in Indian Country.

Tradable tax credits promote lasting business and encourage nation-state
building.

Mark Shahinian, third year law student, Univ. of Mich., 2007, Special Feature: The Tax Man Cometh Not:
How The Non-Transferability of Tax Credits Harms Indian Tribes, American Indian Law Review

Making the PTC tradable for tribes, as part of a program to make all tax credits tradable for tribes, would have a positive
economic impact on tribes.
But to fulfill its potential, a tradable tax credit must be enacted as part of broader legislation to
bolster tribal economic development. Or, as one scholar put it, "A federal Indian policy that focuses on the exploitation of tribal
natural resources, and not on the development of tribal economies, is doomed to resistance and failure." n98
Much research has been done over the past decade on the factors that make tribal economies prosper, notably by Stephen
Cornell, Joseph Kalt, Jonathan [*290] Taylor and their colleagues at the Harvard Project on American Indian Economic
Development. n99

The main points of the research stress tribal governance, the importance of tribal sovereignty, tribal corporate
governance and the need to think broadly about economic development in order for tribal enterprises to succeed.
Cornell and Kalt, in particular, stress a nation-building approach:

A nation-building approach to development doesn't say, "let's start a business." Instead, it says, "let's build an
environment that encourages investors to invest, that helps businesses last, and that allows investments to flourish and
pay off." A nation-building approach requires new ways of thinking about and pursuing economic development. Telling
the planning office to go get some businesses going doesn't begin to crack the problem. The solutions lie elsewhere: in
the design and construction of nations that work.
n100
New ideas in tax credits and other tax incentives for tribes can be a part of this nation-building approach, by laying the
fiscal framework for tribal business to prosper.
But tax credits will only be a part of the solution - moving toward tribal
economic development will require much broader effort than tax credits alone, and Congress should be cautioned against
thinking that solving the PTC transferability problem will prove a magic bullet for tribes.

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Observation 5: Solvency

Anti-nuclear movements pass over Native American reservations as being important battle grounds in the fight
against nuclear energy. We must fight the way in which uranium is exploited from reservations, and allow for a
new beginning of our relationship to reservations.

Ward Churchill, Coordinator of the Colorado chapter of the American Indian Movement, former professor of professor
of ethnic studies at the University of Colorado at Boulder. 1993, Struggle for the Land (Indigenous Resistance to
Genocide Ecocide and exportation in contemporary North America. p. 306-308

There is a long-standing crucial defect in the U.S. anti-nuclear movement-and the broader environmental movement of
which it was/is mostly a part.
From the Clamshell and Abalone Alliances of the 1970s to the Freeze Movement of the 1980s, non-
Indian activists have focused all but exclusively on the very final stages of the nuclear cycle.'" In other words, they have inevitably
concentrated on the reactors and weapons composed of byproducts eventually refined from the yellowcake uranium mined and milled
at the front end of the cycle, on Indian land. Hence, their victories, however satisfying in an immediate sense, have always been
tactical, never strategic. Put another-way, whenever they've been successful in closing or preventing a reactor in one place, their oppo-
nents have simply built another (or two) somewhere else; whenever they've caused weaponry to be removed from one location, it's
merely been shifted to another. If the specter of rampant nuclearism is ever to be truly abolished, such approaches must be changed,
and drastically so. The key to a strategic vision for anti-nuclear activism is and has always been in finding ways to sever nuclear
weapons and reactors from their roots. This means, first and foremost, that non-Indians cast off the blinders which
have led them to the sort of narrow "not in my back yard" sensibility
voiced by Barry Commoner and his erstwhile vice
presidential running mate, LaDonna Harris (a Comanche and founding member of CERT).'" Rather than endlessly combating
the end-products of the nuclear industry, the movement as a whole must shift its emphasis to preventing uranium from being
taken out of the ground in the first place. This, in turn, means focusing everyone’s primary energy and attention, not on
places like Seabrook and Diablo Canyon, inhabited though they may be by “important" population sectors (i.e., Eu -
roAmericans), but upon places peopled by "mere Indians”: Key Lake and Clear lake in Canada, for example, or
Navajo, Laguna, and a number of other reservations in the united states
. Ultimately, stopping the processes of uranium ex-
traction in Indian Country, and consequent nuclear proliferation elsewhere, will be impossible so long as the structure of
colonial domination on the reservations is maintained. This means that coordinative and brokering organization like CERT, and
the prevailing system of ‘tribal governance,” must be opposed right along with the non-Indian governments and corporations
which invented and sustains them. the first priority-for the anti-nuclear movement, the broader environmental
movement, and for North American pro gressivism in general, must be the decolonization of Na tive North America.
To
accomplish this, indigenous liberation groups like the American Indian Movement must be accorded a central role in setting the
agenda for and defining the priorities of radical social change on this continent. In the alternative (if it may be called that),
there is at best only the prospect of what the French commentator Andre Gorz, in examining his own country's nuclear industry,
once termed 'electric fascism..,B7 More likely, in North America, the radioactive colonization of Indian Country will go on
and on, until-like some proverbial miner's canary sent first into shafts to detect with their lungs the presence of lethal
gas-Indians die of the con· taminates to which their "betters" have forcibly subjected them.'"
Unlike the canary, however,
Indians by their deaths provide no early warning of the fate about to befall those who sacrifice them in this fashion. This is true
because, unlike miners who rely upon canaries, those who sacrifice Indians have no place to turn for safe haven once their
victims have died The ecological effects of radioactive colonization know no boundaries. Radon gas and windblown
radioac tive particulates do not know they are intended to stop when they reach non-Indian territory. Contaminated
water does not know it is supposed to pool itself only under Indian wells. Irradiated flora and fauna are unaware they
are meant only for consumption by indigenous "expend ables."
The effects of such contaminants are just as fatal to non-
Indians as they are to Indians; the longevity of radionuclides is still just as "forever" now as it was twenty years ago;
nothing has really changed in these respects since John Gofman and Arthur Tamplin first published Poisoned Power in
1971.'" Neither genocide nor ecocide can be "contained" when accomplished by nuclear mean
s. The radioactive
colonization of Native North America therefore threatens not only Indians, but the survival of the human species itself
.
The tools for fighting back against any threat begin, it is said, with a precise understanding of the danger and, from there, the
best means by which to counter it. In this instance, the situation is simple enough: we are all-In dian and non-Indian alike-
finally in the same boat. At last there is no more room for non-Indians to maneuver, to evade, to find more "significant"
issues with which to preoccupy themselves. Either the saving of indigenous lives becomes a matter of preeminent
concern, or no lives will be saved.
Either Native North

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Observation 5: Solvency

America will be liberated, or liberation will be foreclosed for everyone, once and for all. The fight will either be waged on
Indian land, for Indian lives, or it will be lost before it really begins. We I must take our stand, together. And we are all
running out of time in which to finally come to grips with this fact.

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Tribes use non-Native developers to obtain wind energy projects, but are still
unable to obtain the tax incentive.

Rob Capriccioso, staff writer for Indian Country, 4-11-08, Indian Country, Tribes Looking for Federal Wind Energy Incentive,
http://www.indiancountry.com/content.cfm?id=1096417026
Few, if any, tribes have been able to take advantage of the production tax credits offered to date because many tribes
that have been able to create wind energy projects have relied on non-Native developers
to help them get projects off the
ground.
Under current law, tribes are not entitled to the tax credits provided to non-Native developers for renewable energy
production because tribes have a tax-exempt status.
Tribal energy experts say it's important for tribes to be reaching out to Congress regarding the tax-exempt issue, since it
likely discourages non-Native developers from wanting to work with tribes.

Federal incentives leave out Native Americans.

Rob Capriccioso, staff writer for Indian Country, 4-11-08, Indian Country, Tribes Looking for Federal Wind Energy Incentive,
http://www.indiancountry.com/content.cfm?id=1096417026

Recent legislative developments have also made it challenging for tribes to obtain federal wind energy seed funding. In
2007, Thune proposed the Wind Energy Development Act, which included $2.25 billion in funding for Clean Renewable
Energy Bonds that tribes could have used to fund pilot wind energy programs.
Under Thune's plan, 20 percent of this
bonding would have been specifically set aside for tribes; however, the set-aside did not make it into the current version
of the wind energy tax credit legislation
, and it was not in the energy bill that passed last December.
Some tribal energy advocates believe supporting new legislation that promotes Clean Renewable Energy Bonds may be the
best hope for tribes that want to receive federal funding to begin wind energy development. Thune's
current legislation
proposes $400 million in funding for the bonds, which
energy experts say tribes should be eligible to apply for via the
IRS.

Despite the US’ trust responsibility to tribes, no federal incentive exists that
specifically assists Native Americans. In fact, status quo policies are harmful.

Rob Capriccioso, staff writer for Indian Country, 4-11-08, Indian Country, Tribes Looking for Federal Wind Energy Incentive,
http://www.indiancountry.com/content.cfm?id=1096417026
As the Senate and House consider extensions of the renewable energy tax credit, the Intertribal Council on Utility Policy,
which represents 10 tribes, is pushing for legislation that would support tribal wind projects
. Officials with the group
note that none of the federal incentives currently in place involving wind energy were designed expressly for tribes,
which they say is ironic since tribes are the only group that the federal government has an explicit trust responsibility to
assist in economic development.
''The federal renewable energy incentives
, as designed, are problematic for tribes, in that they are both insufficient and
inappropriate as drivers of tribal development as presently configured,'' the group noted in a recent policy paper. ''The
presently formulated federal incentives have actually worked as disincentives in the unique context of tribal renewable
energy development.''

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Tribes have the right to independence away from the exploitative state-
corporate apparatus, energy development is the first step.

The Center for Resource Management Task Force for Developing Renewable Energy in Indian Country,
national non-profit organization for business executives, environmental leaders, citizens and government
officials concerned with the environment and , January 1997, Indian Tribes: Their Unique Role in Developing
The Nation’s Renewable Energy Resources, A White Paper, p. 10

Sovereignty is a critical feature of the status and power of federally recognized Indian tribes in the United States.

Sovereignty is a complex concept and can be defined as "the supreme power from which all specific political powers are
derived."24 Sovereignty is inherent; it comes from within a people or culture. Ideally, sovereignty is the unrestricted right
of groups of people to establish themselves in the political, social and cultural fashions that meet their needs. It is the right of a
people to freely define ways in which to use land, resources and manpower for their common good. Finally, sovereignty is the
right of people to exist without external exploitation or interference. 2S Indian tribal governments, as representatives of Indian
reservations (which are technically considered nations) possess all the inherent power of any sovereign government (e.g., of a
state), except as those powers may have been qualified or limited by treaties, agreements, or specific acts of Congress.

Included among these inherent powers of Indian governments are the following: 26
1. The power to determine the form of government.
2. The power to define conditions for membership in the nation.
3. The power to administer justice and enforce laws.
4. The power to tax.
5. The power to regulate domestic relations of its members.
6. The power to regulate property use.
Sovereignty is the foundation upon which tribal relationships with other government and private organizations are
built.
In this context tribes interact with federal, state, and local governments in a "government-to-government" relationship.
Similarly, interactions between private industry and tribal governments should acknowledge the legal authority of the tribe.
Tribal sovereignty has not always been respected, however, particularly in the use and management of natural resources
on tribal lands.
Early episodes in the management of tribes' natural resource base for the ostensible economic well-being of
reservation residents were characterized. by inexperience on the part of tribal representatives and by blatant opportunism and
exploitation on the part of industry and state and federal government agencies. This practice continued until well into the
1970s, and resulted in unfavorable (to tribes) energy mineral leases, many of which are still in place currently. While many
tribes have made Significant progress in rectifying the unfavorable leases and business deals of the past and in improving the
management of natural resources on their reservations, further progress needs to be made.

Most tribes are seeking both greater levels of self governance and self sufficiency which requires a careful balance of
political and economic aims in order to foster overall tribal welfare.
Indian tribal leadership has become much more
informed, educated and pro-active with respect to the conduct of business matters and the management of energy-related
industries on tribal lands. Many tribes now recognize that their natural resource base, including both conventional and
renewable energy resources, represents something far more valuable than has been traditionally reflected. in royalties and lease
payments to non-Indian businesses. Tribes view the energy resource supply and electric utility industry as presenting
lucrative economic development opportunities that can be pursued. in a way that is reconcilable with self-
determination, sovereignty and environmental protection.
The increased capabilities of tribal leadership and the exercise of tribal sovereignty gives tribes a powerful political tool
in managing the entire spectrum of energy development on their lands.
With the opportunity for energy resource
development on their lands, tribes will have greater political strength to control and define their participation in development,
production, transmission, marketing, and distribution. The combination of resource development opportunities and tribal
political powers will assist tribes in negotiating energy resource agreements and increase their capabilities to supply energy
products and services to expanded markets through such pursuits as inter-tribal compacts, contacts with power marketers, and
arrangements with national laboratories, and agencies.

As energy policy and the deregulation of various energy industries - specifically the electric utility industry continue to
demand the attention of state and federal lawmakers, Indian tribal governments committed to

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Inherency

pursuing energy development have the opportunity to cultivate a powerful voice in the political debate about national
energy strategies.

Tribes have legal power, but need the money.

The Center for Resource Management Task Force for Developing Renewable Energy in Indian Country,
national non-profit organization for business executives, environmental leaders, citizens and government
officials concerned with the environment and , January 1997, Indian Tribes: Their Unique Role in Developing
The Nation’s Renewable Energy Resources, A White Paper, p. 11

Tribal governments also have the ability to exercise the power of eminent domain, whereby the tribal government can
purchase the assets of a utility that already exists on tribal lands, and then operate the utility for the benefit of
reservation electric consumers. A tribe pursuing this course of action would have the power to set rates for power sales,
control the operation of the utility, and choose methods for delivering electricity to consumers in its service territory,
including reservation consumers. This means that a tribe interested in renewable energy and energy efficiency could use
its utility to provide renewable power plants for its unserved
(e.g., remote, off-grid) customers and could purchase power
for its grid-connected customers from tribal or non-tribal renewable power providers.

Tribes also have the power to regulate energy projects on their lands. This power includes, but is not limited to, the
ability to control utility rights-of-way, to enforce environmental regulations, and to enforce labor, building, business,
and health codes.
Any conventional energy, renewable energy or energy efficiency project on Indian lands is subject to the
regulatory power of the tribal government. This power includes both the power to enforce federal regulations, and to enact and
enforce tribal regulations. For instance, tribal environmental protection agencies have, on some reservations, begun
enforcement of the Clean Air Act Amendments and the Clean Water Act and a host of other federal environmental laws.

Tribes have some economic resources to develop alternative energy.

The Center for Resource Management Task Force for Developing Renewable Energy in Indian Country,
national non-profit organization for business executives, environmental leaders, citizens and government
officials concerned with the environment and , January 1997, Indian Tribes: Their Unique Role in Developing
The Nation’s Renewable Energy Resources, A White Paper, p. 11

Few tribes have independent sources of revenue and many have historically relied to a great extent on federal support,
both for economic development and for day-today financing of tribal governmental functions and services.
Unlike in
non-Indian communities, a vigorous private sector is largely absent on many reservations, and changing this situation
will require substantial investment, training and improvement of both physical and institutional infrastructure
}1 Some
tribes have been successful at establishing business ventures, arranging joint tax agreements with states, or adopting their own
limited tax systems to raise revenues required for tribal government functions. The advent of casino gambling on certain
reservations has provided a source of revenues for some tribes, which has been reinvested in reservations. 32

Because of tribal sovereignty and the unique legal and political standing of tribes, there are several financial resources
and mechanisms which can be leveraged. for economic development and energy project development.
Equity financing
options are more available to tribes now than they have been in the past because many tribes now have financial resources
available for project development. Tribes have also been more successful at attracting equity investment from non-Indian firms.
Tribes can also now take full advantage of various debt financing options. These mechanisms are described in detail in this
section.

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Tribes need money.

The Center for Resource Management Task Force for Developing Renewable Energy in Indian Country,
national non-profit organization for business executives, environmental leaders, citizens and government
officials concerned with the environment and , January 1997, Indian Tribes: Their Unique Role in Developing
The Nation’s Renewable Energy Resources, A White Paper, p. 15-16

As a result of the growing movement among tribes for self-determination, many tribes are now seeking more active roles in
owning, developing and regulating energy and natural resource enterprises on their reservations.
However, tribes still
lack predictable and diversified revenue sources with which to capitalize the development and regulation of industries
on their reservations, including renewable energy projects. Access to capital is a pre· requisite to any economic
development initiative, and financial resources are needed for investment in infrastructure, services and businesses.
44
Indian communities in general have not experienced advanced development of their financial systems or institutions. Banks.
mortgage companies, venture capital firms and other finance institutions are almost nonexistent on Indian reservations,
and off-reservation institutions frequently do not adequately serve Indian communities
.4S
In order to improve their opportunities for generating revenue and creating a climate favorable to financial investment, tribes
need to address several important prerequisites to development and long-term sustainability of economic activities. These
include:
1. Policies that delineate the roles and responsibilities of the public and private sectors and are supportive of economic
activities;
2. Access to capital financing on terms and conditions that are appropriate for a range of investment needs;
3. Development of economic and financial institutions that can identify investment opportunities and mobilize and target
resources effectively;
4. A legal system that facilitates investment and protects the interests of all parties engaged in financial
or commercial transactions.46
Tribes interested in pursuing the development of renewable energy projects need to examine a diverse range of financing
options; many of these options can actually be considered to be financial resources of tribes and are discussed in Section III.C.,
Financial Resources. Tribes need to explore in depth the various advantages their unique legal, sovereign status can have
in packaging financing options and in structuring economic development institutions and projects on the reservation.

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Native American tribes are awesome for alternative energy . Alternative
energy is awesome for Native Americans.

The Center for Resource Management Task Force for Developing Renewable Energy in Indian Country,
national non-profit organization for business executives, environmental leaders, citizens and government
officials concerned with the environment and , January 1997, Indian Tribes: Their Unique Role in Developing
The Nation’s Renewable Energy Resources, A White Paper, p. 16-17

The role of Indian tribes in energy development is changing. No longer interested in passively leasing their natural
resources, tribes are becoming more aggressive in managing their own resources and more active participants in
regional markets and national policy development.
The circumstances and characteristics of renewable energy development are consistent with tribal goals of becoming
more self-reliant and expanding economic opportunities that are compatible with cultural and environmental values.
Many tribes have extensive renewable resources which,
if developed, may serve the needs of rural electrification on the
reservation or provide a possible revenue stream in the event that power is sold to markets off the reservations.
In the
past, energy development that has occurred on reservations has been initiated by private sector companies and federal agencies.
Renewable energy development on reservations is now being initiated by tribes, to meet tribal goals. This new approach to
energy development may require new relationships with outsiders, as tribes interact with private sector entities and
various government agencies, and new structures on the reservation, such as tribal utility authorities.

There are over 500 different tribes in the US. Their needs and aspirations vary greatly, as do their resources. Not all tribes have
the capabilities or desire to aggressively develop renewable energy resources. However, all tribes do share a common
philosophy of preserving their culture and the natural environment, and share a desire to become more self-sufficient.
Renewable energy technologies can play an important role in this common philosophy.
Although this new role for tribes in energy development may be emerging as a result of their own initiative, the vast
opportunities cannot be fulfilled without the support and positive actions of government and the private sector. Tribes
have needs and limitations which, if not addressed through a cooperative partnership with private and public sector
entities, may prevent tribes from realizing their goals of developing renewable energy. The realization of tribal goals to
become independent players in the energy industry will require significant knowledge-sharing from those private sector
entities that have already negotiated the process.

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