HB 234: "An Act relating to the grant of certain state land to the University of Alaska; relating to the duties of the Board of Regents of the University of Alaska; and relating to the university research forest."
00 HOUSE BILL NO. 234 01 "An Act relating to the grant of certain state land to the University of Alaska; relating to 02 the duties of the Board of Regents of the University of Alaska; and relating to the 03 university research forest." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 06 to read: 07 FINDINGS AND PURPOSE. The legislature finds that 08 (1) as the beneficiary under the provisions of the Acts of August 30, 1890, and 09 March 4, 1907, designating the Alaska Agricultural College and School of Mines as 10 beneficiary, and of March 4, 1915, 38 Stat. 1214, transferring certain land for its location and 11 support, the University of Alaska is a land grant university; 12 (2) under the Acts of March 4, 1915, 38 Stat. 1214, and January 21, 1929, 45 13 Stat. 1091, the Congress of the United States granted to the Territory of Alaska certain federal 14 land to be held in trust for the benefit of the predecessor of the University of Alaska;
01 (3) the Territory was unable to receive most of the land conveyed by the Act 02 of March 4, 1915, before repeal of that Act by sec. 6(k) of the Alaska Statehood Act (P.L. 85- 03 508, 72 Stat. 339) because the land was only conveyed upon survey, and surveys were not 04 common in Alaska; the repeal of the Act of March 4, 1915, by sec. 6(k) of the Statehood Act 05 prevented the University from receiving conveyance of more than 259,000 acres of land; 06 (4) the Congress of the United States granted the State of Alaska the right to 07 select 102,500,000 acres of federal land under sec. 6(b) of the Alaska Statehood Act; 08 (5) the land selection rights embodied in the Alaska Statehood Act reflect, in 09 part, congressional recognition that the state would need the land to support its government 10 and programs, and the Congress assumed that the State of Alaska would in turn use some of 11 the land or the income from it for the use and benefit of the University of Alaska; 12 (6) most land grant colleges in the United States have obtained a larger land 13 grant from the federal government than the University of Alaska has received; the University 14 of Alaska received a smaller land grant than any land grant college in the United States except 15 Delaware and Hawaii; 16 (7) an academically strong and financially secure state university system is a 17 cornerstone to the long-term development of a stable population and to a healthy, diverse 18 economy in the state; 19 (8) it is in the best interests of the state and the University of Alaska that the 20 university take ownership of a significant and substantial portfolio of land in order to further 21 the interests of public higher education in the state; 22 (9) renewable resources should be managed on a sustained yield basis, taking 23 into account the total land grant; 24 (10) transferring to the university a substantial land portfolio furthers the 25 interests of public higher education by allowing campus development and expansion, 26 facilitating academic research, and fostering economic development for the well-being of the 27 university and the state; 28 (11) the Alaska Supreme Court's ruling in Southeast Alaska Conservation 29 Council and Tongass Conservation Society v. State of Alaska and University of Alaska, 30 Supreme Court Opinion No. 6344 dated March 13, 2009, invalidated the provisions of ch. 31 136, SLA 2000, and ch. 8, FSSLA 2005, relating to the deposit of revenue from land in the
01 endowment trust fund; the legislature wishes to comply with the Supreme Court's directive 02 and finds that revenue generated from the land conveyed to the university may not be placed 03 in the endowment trust fund but will be subject to appropriation each year by the legislature; 04 to further this intent, the legislature finds it to be in the best interests of the state and the 05 university to reenact the provisions conveying a limited number of parcels of the land to the 06 university but to remove those provisions from the legislation pertaining to the endowment 07 trust fund; 08 (12) this legislation amends AS 14.40.491 to explicitly define as "university 09 receipts" the receipts received by the University of Alaska from land conveyed to the 10 university under AS 14.40.365; the legislature retains the discretion to appropriate university 11 receipts as it sees fit, on an annual basis; the legislature finds that preserving its discretion to 12 appropriate receipts on an annual basis is in the best interests of the state and the university; 13 (13) the state and the University of Alaska have expended substantial effort 14 and money in connection with conveying land to the university under ch. 136, SLA 2000, and 15 ch. 8, FSSLA 2005, before the Alaska Supreme Court's ruling in Southeast Alaska 16 Conservation Council and Tongass Conservation Society v. State of Alaska and University of 17 Alaska, Supreme Court Opinion No. 6344 dated March 13, 2009, and the legislature further 18 finds that it is in the best interests of the state and the university to preserve that effort and 19 money by providing for prompt reconveyance of limited parcels of land to the university 20 under the terms of this Act. 21 * Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section to 22 read: 23 LEGISLATIVE INTENT. It is the intent of the legislature 24 (1) that the university receive land under this Act in an expeditious fashion; 25 (2) that the university receive prompt reconveyance of title to limited parcels 26 of that land conveyed to it under ch. 136, SLA 2000, and ch. 8, FSSLA 2005; 27 (3) that the university receive title to that land, even though proceeds from that 28 land are not deposited into the endowment trust fund and are instead subject to appropriation 29 by the legislature each year in its discretion, without prior limitation on the legislature's use 30 and appropriation of those funds; and 31 (4) to have a stable land-grant university system that provides a wide range of
01 land-related curricula and extracurricular activities, including those activities that enhance 02 civic partnerships through community-based land management, expansion of campuses and 03 training sites, and land management for economic development and benefit to the university 04 and the state. 05 * Sec. 3. AS 14.40.170(a) is amended to read: 06 (a) The Board of Regents shall 07 (1) appoint the president of the university by a majority vote of the 08 whole board, and the president may attend meetings of the board; 09 (2) fix the compensation of the president of the university, all heads of 10 departments, professors, teachers, instructors, and other officers; 11 (3) confer such appropriate degrees as it may determine and prescribe; 12 (4) have the care, control, and management of 13 (A) all the real and personal property of the university; and 14 (B) land 15 (i) conveyed to the Board of Regents by the 16 commissioner of natural resources in the settlement of the claim of the 17 University of Alaska to land granted to the state in accordance with the 18 Act of March 4, 1915 (38 Stat. 1214), as amended, and in accordance 19 with the Act of January 21, 1929 (45 Stat. 1091), as amended; and 20 (ii) conveyed to the [BOARD OF REGENTS IN 21 TRUST FOR THE] University of Alaska by the commissioner of 22 natural resources under AS 14.40.365; 23 (5) keep a correct and easily understood record of the minutes of every 24 meeting and all acts done by it in pursuance of its duties; 25 (6) under procedures to be established by the commissioner of 26 administration, and in accordance with existing procedures for other state agencies, 27 have the care, control, and management of all money of the university and keep a 28 complete record of all money received and disbursed; 29 (7) adopt reasonable rules for the prudent trust management and the 30 long-term financial benefit to the university of the land of the university; 31 (8) provide public notice of sales, leases, exchanges, and transfers of
01 the land of the university or of interests in land of the university; 02 (9) administer, manage, market, and promote a postsecondary 03 education savings program, including the Alaska Higher Education Savings Trust 04 under AS 14.40.802 and the Alaska advance college tuition savings fund under 05 AS 14.40.803 - 14.40.817. 06 * Sec. 4. AS 14.40.291(a) is amended to read: 07 (a) Notwithstanding any other provision of law, university-grant land, state 08 replacement land that becomes university-grant land on conveyance to the university, 09 land conveyed to the [BOARD OF REGENTS IN TRUST FOR THE] University of 10 Alaska under AS 14.40.365, and any other land owned by the university is not and 11 may not be treated as state public domain land. Land conveyed to the [BOARD OF 12 REGENTS IN TRUST FOR THE] University of Alaska under AS 14.40.365 shall be 13 managed as nontaxable [TRUST] land under AS 14.40.365 - 14.40.367 and policies of 14 the Board of Regents. 15 * Sec. 5. AS 14.40.365 is repealed and reenacted to read: 16 Sec. 14.40.365. University land grant. (a) Except as provided in (b) of this 17 section, before January 1, 2010, the commissioner of natural resources shall convey to 18 the University of Alaska, by quitclaim deed, the following parcels of state land 19 described in the document titled "University of Alaska Land Grant List 2005," dated 20 January 12, 2005: 21 (1) Parcel Number N2.FA.1001, Parking Garage; 22 (2) Parcel Number N2.FA.1002, Old State Court Building; 23 confirmatory grant; previously conveyed under other authority; 24 (3) Parcel Number N2.FA.1004, Old Key Bank Site; confirmatory 25 grant; previously conveyed under other authority; 26 (4) Parcel Number MA.PF.1001, Poker Flat Lease; 27 (5) Parcel Number MA.PF.1002, Poker Flat, Special Use Area; 28 (6) Parcel Number LG.PC.01, Caribou-Poker Creeks Watershed; 29 (7) Parcel Number MA.SF.1001, Silver Fox Mine; 30 (8) Parcel Number TV.RF.1001, Tok Research Forest; 31 (9) Parcel Number MA.XS.1001, Delta Ag and Forestry Exp. Station;
01 (10) Parcel Number ST.1001, Sitka Campus; 02 (11) Parcel Number JU.AU.1001, Auke Weir; and 03 (12) Parcel Number OG.NE 1001, Nenana Oil and Gas Tract. 04 (b) As soon as practicable after June 30, 2055, the commissioner of natural 05 resources shall convey to the University of Alaska, by quitclaim deed, the state land 06 described as the "University Research Forest" and identified for conveyance to the 07 university in the document titled "University of Alaska Land Grant List 2005," dated 08 January 12, 2005. 09 (c) As soon as practicable after the receipt of tentative approval or patent from 10 the United States, but not before the land is otherwise required to be conveyed under 11 this section, the commissioner of natural resources shall convey to the University of 12 Alaska, by quitclaim deed, federal land included in the list of parcels contained in (a) 13 of this section. 14 (d) Notwithstanding AS 38.05.125(a), and except as otherwise provided in this 15 section, the transfer of ownership of land from the commissioner of natural resources 16 to the University of Alaska under this section includes the interest of the state in the 17 coal, ores, minerals, fissionable materials, geothermal resources, and fossils, oil, and 18 gas that may be in or on the land. 19 (e) Land conveyed under this section to the University of Alaska is subject to 20 any valid possessory interest or other valid existing right, including any lease, license, 21 contract, prospecting site, claim, sale, permit, right-of-way, Native allotment, or 22 easement held by another person, including a federal, state, or municipal agency, on 23 the effective date of this section. 24 (f) Before conveying land under this section, the commissioner of natural 25 resources shall reserve access under AS 38.05.127, but other provisions of AS 38.04 26 and AS 38.05 do not apply to the commissioner's preparation for conveyance of land 27 to the University of Alaska under this section. In addition to access under 28 AS 38.05.127, the commissioner may reserve in the conveyance document existing 29 offshore uses such as aquatic fish farm sites, anchorages for vessels, fish buying 30 stations, trails, roads, and other access routes that provide public access to adjacent 31 land and public waterways; however, an easement along tidewater reserved by the
01 commissioner under AS 38.05.127 may not exceed 25 feet. 02 (g) In addition to rights or an interest held by a person under (e) of this 03 section, land conveyed to the University of Alaska under this section 04 (1) is subject to 05 (A) sec. 6(i) of the Alaska Statehood Act (P.L. 85-508, 72 Stat. 06 339); 07 (B) AS 19.10.010; 08 (C) any easement, right-of-way, or other access under former 09 43 U.S.C. 932 (sec. 8, Act of July 26, 1866, 14 Stat. 253); 10 (D) the provisions of any memorandum of agreement entered 11 into between the University of Alaska and the commissioner of natural 12 resources governing shared benefits or costs associated with land to be 13 conveyed to the University of Alaska; 14 (E) any interest transferred to the state by quitclaim deed dated 15 June 30, 1959, under authority of the Alaska Omnibus Act (P.L. 86-70, 730 16 Stat. 141); and 17 (2) excludes the mineral estate on land that is subject to a valid state 18 mining claim. 19 (h) As soon as practicable after the extinguishment, release, or expiration of a 20 valid state mining claim located on land to be conveyed under this section, but not 21 before the land is otherwise required to be conveyed under this section, the 22 commissioner of natural resources shall convey the mineral estate excluded from 23 conveyance under (g)(2) of this section. 24 (i) The responsibility for the management of land conveyed to the University 25 of Alaska under this section vests with the University of Alaska on the date of 26 recording of that conveyance. 27 (j) Any income derived from land conveyed to the University of Alaska under 28 this section accruing after the date of conveyance, including any income accruing from 29 an existing lease, license, contract, prospecting site sale, permit, right-of-way, 30 easement, or trespass claim shall be received by the University of Alaska and 31 accounted for as university receipts.
01 (k) Notwithstanding any other provision of this section, within 10 years after 02 final conveyance of land under this section, the university may reconvey to the 03 Department of Natural Resources land 04 (1) containing hazardous waste that was present on the land before 05 conveyance under this section; 06 (2) on which is located a historic or archeological site that is subject to 07 management under AS 41.35; or 08 (3) that the university and the commissioner of natural resources 09 jointly agree is in the best interests of the state and the university to reconvey. 10 (l) After the effective date of this section and before the conveyance of a 11 parcel of land to the University of Alaska under this section, the commissioner of 12 natural resources may not convey, without consent of the university, any irrevocable 13 interest in a parcel that is required to be conveyed to the University of Alaska under 14 this section. 15 (m) The commissioner of natural resources may make minor adjustments to 16 the maps or legal descriptions of the state land identified for conveyance to the 17 university and (a) of this section and described in the document titled "University of 18 Alaska Land Grant List 2005," dated January 12, 2005, to correct omissions or errors. 19 * Sec. 6. AS 14.40.366 is repealed and reenacted to read: 20 Sec. 14.40.366. Management requirements for university land. (a) Before 21 the conveyance or the disposal of an interest in the land to a third party, land conveyed 22 to the University of Alaska under AS 14.40.365 shall be managed in a manner that, to 23 the extent practicable, permits reasonable activities of the public, including historic 24 recent public uses, that do not interfere with the use or management of the land by the 25 university. 26 (b) For land conveyed to the University of Alaska under AS 14.40.365, the 27 university shall 28 (1) seek public comment on proposals for land development, 29 exchange, or sale; and 30 (2) adopt policies that require the preparation of land development 31 plans and land disposal plans.
01 (c) Before the university offers a parcel of land for sale under this section, the 02 university shall offer first refusal to the closest municipality. 03 (d) The Board of Regents shall adopt policies that require public notice before 04 the approval of land development plans and land disposal plans. The policies must 05 require that the notice be 06 (1) sent to local legislators, municipalities, and legislative information 07 offices in the vicinity of the action and at other locations as the university may 08 designate; 09 (2) published in newspapers of general circulation in the vicinity of the 10 proposed action at least once each week for two consecutive weeks; and 11 (3) published on state and university public notice Internet websites. 12 (e) Subsections (b) - (d) of this section do not apply to the grant of an 13 easement or right-of-way or the development of a campus facility. 14 * Sec. 7. AS 14.40.367 is repealed and reenacted to read: 15 Sec. 14.40.367. Confidential records. Notwithstanding AS 40.25.100 - 16 40.25.220, on a determination that it is in the best interest of the University of Alaska 17 or on the request of the person who has provided the information, the president of the 18 university may keep the following confidential: 19 (1) the name of a person applying for the sale, lease, or other disposal 20 of university land or an interest in university land; 21 (2) before the issuance of a notice of intent to award a contract relating 22 to a sale, lease, or disposal of university land or an interest in university land, the 23 names of the participants and the terms of their offers; 24 (3) all geological, well, geophysical, engineering, architectural, sales, 25 market, cost, appraisal, timber cruise, gross receipts, net receipts, or other financial 26 information relating to university land or an interest in university land and considered 27 for, offered for, or currently subject to disposal or a contract; 28 (4) cost data and financial information submitted by an applicant in 29 support of applications for bonds, leases, or other information in offerings and 30 ongoing operations relating to management of university land; 31 (5) applications for rights-of-way or easements across university land;
01 and 02 (6) requests for information about or applications by public agencies 03 for university land that is being considered for use for a public purpose. 04 * Sec. 8. AS 14.40.400(a) is amended to read: 05 (a) The Board of Regents shall establish a separate endowment trust fund in 06 which shall be held in trust in perpetuity [ALL] 07 (1) all net income derived from the sale or lease of the land granted 08 under the Act of Congress approved January 21, 1929, as amended; and 09 (2) all [NET INCOME DERIVED FROM THE SALE, LEASE, OR 10 MANAGEMENT OF THE LAND CONVEYED TO THE BOARD OF REGENTS 11 IN TRUST FOR THE UNIVERSITY OF ALASKA UNDER AS 14.40.365; 12 HOWEVER, THE AMOUNT DEPOSITED IN THE ENDOWMENT TRUST FUND 13 UNDER THIS PARAGRAPH RESULTING FROM MINERAL LEASE 14 ROYALTIES AND ROYALTY SALES PROCEEDS MAY NOT BE LESS THAN 15 25 PERCENT OF ALL SUCH MINERAL LEASE ROYALTIES AND ROYALTY 16 SALES PROCEEDS RECEIVED BY THE UNIVERSITY; AND 17 (3)] monetary gifts, bequests, or endowments made to the University 18 of Alaska for the purpose of the fund. 19 * Sec. 9. AS 14.40.461 is repealed and reenacted to read: 20 Sec. 14.40.461. University research forest. (a) For the purpose of advancing 21 research into forest practices, ecology, wildlife management, and recreation, a 22 university research forest is established on land described as the "University Research 23 Forest" and identified for conveyance to the University of Alaska in the document 24 titled "University of Alaska Land Grant List 2005," dated January 12, 2005. 25 (b) Before conveyance of university research forest land to the University of 26 Alaska under AS 14.40.365(b), the commissioner of natural resources shall manage 27 the university research forest to accomplish the purposes of this section and in 28 accordance with state land use plans adopted under AS 38.04.065, forest management 29 plans adopted under AS 41.17.230, and other provisions of law applicable to state- 30 owned land. 31 (c) Notwithstanding the limitations of AS 14.40.365(l), on or before the date a
01 parcel is required to be conveyed to the University of Alaska under AS 14.40.365(b), 02 the commissioner of natural resources may 03 (1) convey an irrevocable interest in land located in the research forest 04 that terminates or returns to the state on or before the date the parcel is required to be 05 conveyed under AS 14.40.365(b); 06 (2) sell timber rights and dispose of other renewable resources located 07 in the research forest. 08 (d) After conveyance of university research forest land to the university under 09 AS 14.40.365(b), the university may disestablish some or all of the university research 10 forest established by this section, and dispose of, or develop, land within the former 11 research forest, if the university first 12 (1) provides to the public and the commissioner of natural resources 13 notice and an opportunity for comment on the proposed disestablishment; the notice 14 shall be provided not less than 90 days before the proposed action; 15 (2) considers comments received from the public and the 16 commissioner of natural resources under (1) of this subsection; 17 (3) evaluates whether the objectives of advancing research into forest 18 practices, ecology, wildlife management, and recreation can be accomplished without 19 retaining some or all of the research forest; 20 (4) determines, following notice and any public comment by local 21 timber industry representatives, that disposal of the land will not interfere with 22 commercially viable timber harvest resource development; and 23 (5) concludes that it is in the best interest of the university to 24 disestablish some or all of the research forest. 25 * Sec. 10. AS 14.40.491 is amended to read: 26 Sec. 14.40.491. Definition of university receipts. In AS 14.40.120 - 27 14.40.491, "university receipts" includes 28 (1) student fees, including tuition; 29 (2) receipts from university auxiliary services; 30 (3) recovery of indirect costs of university activities; 31 (4) receipts from sales and rentals of university property;
01 (5) federal receipts; 02 (6) gifts, grants, and contracts; 03 (7) receipts from sales, rentals, and the provision of services of 04 educational activities; [AND] 05 (8) receipts attributable to amounts distributed from university 06 endowments established and managed under AS 14.40.280 and from the endowment 07 trust fund established and managed under AS 14.40.400; and 08 (9) receipts from land conveyed to the University of Alaska by the 09 commissioner of natural resources under AS 14.40.365. 10 * Sec. 11. AS 29.65.030(d) is repealed and reenacted to read: 11 (d) For the purpose of determining the general land grant entitlement under (a) 12 of this section, the maximum total acreage of vacant, unappropriated, unreserved land 13 within the boundaries of the municipality between the date of its incorporation and 14 two years after that date shall be increased by the amount of land located within the 15 boundaries of the municipality that is transferred to the University of Alaska under 16 AS 14.40.365. 17 * Sec. 12. AS 37.13.010(a) is amended to read: 18 (a) Under art. IX, sec. 15, of the state constitution, there is established as a 19 separate fund the Alaska permanent fund. The Alaska permanent fund consists of 20 (1) 25 percent of all mineral lease rentals, royalties, royalty sale 21 proceeds, net profit shares under AS 38.05.180(f) and (g), 25 percent of [AND] 22 federal mineral revenue sharing payments received by the state from mineral leases, 23 [ISSUED ON OR BEFORE DECEMBER 1, 1979, AND] 25 percent of all bonuses 24 received by the state from mineral leases, 25 percent of all mineral lease rentals, 25 royalties, royalty sale proceeds, net profit shares derived from land conveyed to 26 the University of Alaska under AS 14.40.365, and 25 percent of all bonuses 27 derived by the university for mineral leases on that land [ISSUED ON OR 28 BEFORE FEBRUARY 15, 1980]; and 29 (2) [50 PERCENT OF ALL MINERAL LEASE RENTALS, 30 ROYALTIES, ROYALTY SALE PROCEEDS, NET PROFIT SHARES UNDER 31 AS 38.05.180(f) AND (g), AND FEDERAL MINERAL REVENUE SHARING
01 PAYMENTS RECEIVED BY THE STATE FROM MINERAL LEASES ISSUED 02 AFTER DECEMBER 1, 1979, AND 50 PERCENT OF ALL BONUSES RECEIVED 03 BY THE STATE FROM MINERAL LEASES ISSUED AFTER FEBRUARY 15, 04 1980; AND 05 (3)] any other money appropriated to or otherwise allocated by law or 06 former law to the Alaska permanent fund. 07 * Sec. 13. The uncodified law of the State of Alaska is amended by adding a new section to 08 read: 09 CONVEYANCE AND RECONVEYANCE. The University of Alaska shall reconvey 10 to the State of Alaska all of those interests in land that were conveyed to the university under 11 ch. 136, SLA 2000, and ch. 8, FSSLA 2005, before the Alaska Supreme Court's ruling in 12 Southeast Alaska Conservation Council and Tongass Conservation Society v. State of Alaska 13 and University of Alaska, Supreme Court Opinion No. 6344 dated March 13, 2009, and, 14 immediately on receiving reconveyance from the university, the commissioner of natural 15 resources shall reconvey that land or those interests in land to the university under the terms 16 of this enactment that are to be conveyed to the university under AS 14.40.365, as repealed 17 and reenacted by sec. 5 of this Act, without creating or allowing to be created any intervening 18 interests, rights, entries, easements, or encumbrances or classifications of any kind whatsoever 19 that did not attach to that land during the time of the initial ownership by the university. That 20 land is hereby closed to mineral entry and to all other entry or acquisition of rights of any kind 21 whatever during the time between the reconveyance of the land by the university to the state 22 and the state's reconveyance to the university. 23 * Sec. 14. The uncodified law of the State of Alaska is amended by adding a new section to 24 read: 25 STATUTE OF LIMITATIONS. A person may not bring a judicial action challenging 26 the validity of this Act unless the action is commenced in a court of the state of competent 27 jurisdiction within one year after the effective date of this Act. 28 * Sec. 15. The uncodified law of the State of Alaska is amended by adding a new section to 29 read: 30 SEVERABILITY. If any provision of this Act, or the application thereof to any person 31 or circumstance, is held invalid, the remainder of this Act and the application to other persons
01 or circumstances is not affected. In particular, but not intending to limit the foregoing 02 sentence in any way, if any provision of this Act or the conveyance of any parcel of land or 03 class of land under this Act is found to be an unlawful dedication of funds in violation of art. 04 IX, sec. 7, Constitution of the State of Alaska, or otherwise unconstitutional, it is the intent of 05 the legislature that the land conveyances to the university under this Act continue to the fullest 06 extent possible, notwithstanding that finding or those findings.