03/24/2015 08:00 AM House COMMUNITY & REGIONAL AFFAIRS

            SB  19-BOUNDARIES OF ROAD SERVICE AREAS                                                                         
                                                                                                                                
8:53:43 AM                                                                                                                    
                                                                                                                                
CHAIR TILTON announced that the  final order of business would be                                                               
CS FOR SENATE BILL NO. 19(CRA),  "An Act relating to road service                                                               
area boundary changes."                                                                                                         
                                                                                                                                
8:53:57 AM                                                                                                                    
                                                                                                                                
RYNNIEVA  MOSS,   Staff,  Senator  John  Coghill,   Alaska  State                                                               
Legislature, began by  informing the committee that  she has been                                                               
a road service  area chair and a road commissioner  for 25 years.                                                               
She related that  the legislation is the result  of problems with                                                               
mapping areas  in the Fairbanks  North Star Borough, such  that a                                                               
parcel of  land is situated  in two separate road  service areas.                                                               
This  legislation will  address the  aforementioned situation  as                                                               
well as  a situation in which  a parcel of land  is partially but                                                               
not wholly located in a service  area.  Ms. Moss pointed out that                                                               
the  legislation includes  sideboards to  ensure that  people are                                                               
treated fairly.   To that end,  the only access to  the parcel of                                                               
land  has  to be  a  road  maintained  by  a road  service  area.                                                               
Therefore, the  borough could not include  a parcel of land  in a                                                               
service area that  had access by a road that  wasn't in a service                                                               
area.   Ms.  Moss specified  that CSSB  19(CRA) allows  a borough                                                               
assembly  without  an [election]  to  hold  a  vote at  a  public                                                               
noticed  meeting  to annex  property  in  order  to combine:    a                                                               
[single tax  lot] parcel  located in two  service areas  into one                                                               
service area  such that the  [tax lot]  is placed in  the service                                                               
area that  provides road  access to the  parcel; a  parcel that's                                                               
partially situated in  an existing road service  with access only                                                               
to the [tax lot] parcel via a road in the service area.                                                                         
                                                                                                                                
8:56:24 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ORTIZ  inquired as to  the factor that  caused the                                                               
introduction of SB 19.                                                                                                          
                                                                                                                                
MS. MOSS informed the committee  that two years ago the Fairbanks                                                               
North Star Borough  noticed that a parcel of land  was located in                                                               
two road  service areas instead  of one.   The borough  wanted to                                                               
[annex] the  parcel into  one service area  and the  borough took                                                               
half of  the parcel  out of  one service  area, which  caused the                                                               
need for an  election in the existing service area.   However, no                                                               
one voted and the borough was  unable to place the partial parcel                                                               
into one tax lot in a service area.                                                                                             
                                                                                                                                
8:57:17 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HUGHES  inquired as to  the type of  public notice                                                               
that is provided to the involved property owners.                                                                               
                                                                                                                                
MS. MOSS  explained that  under current  law and  ordinances, the                                                               
borough notifies  property owners  [in these situations]  as well                                                               
as  those adjacent  to the  property.   In further  response, Ms.                                                               
Moss confirmed  that the process  would remain the same  with the                                                               
passage of CSSB 19(CRA).                                                                                                        
                                                                                                                                
8:58:09 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SEATON  related   his  understanding   that  new                                                               
paragraphs (5)  and (6)  to AS 29.35.450(c)  only deal  with road                                                               
service areas.                                                                                                                  
                                                                                                                                
MS. MOSS replied yes.                                                                                                           
                                                                                                                                
8:58:56 AM                                                                                                                    
                                                                                                                                
CHAIR TILTON opened public testimony.                                                                                           
                                                                                                                                
8:59:08 AM                                                                                                                    
                                                                                                                                
MICHAEL  BREDLIE, Rural  Services Manager,  Fairbanks North  Star                                                               
Borough, related  support for  SB 19.   The borough,  he informed                                                               
the committee, has 105 road  service areas with dozens of parcels                                                               
that are only partially in the  road service area or parcels that                                                               
are split between two road  service areas.  This legislation will                                                               
allow [boroughs] the  ability to include an entire  parcel into a                                                               
service area without  voter approval, which will be  a great help                                                               
since most service area elections have a very low turnout.                                                                      
                                                                                                                                
9:00:10 AM                                                                                                                    
                                                                                                                                
CHAIR  TILTON asked  if  the problem  addressed  by CSSB  19(CRA)                                                               
occurs in areas besides Fairbanks.                                                                                              
                                                                                                                                
MR.  BREDLIE  said  he  has   spoken  with  Anchorage,  where  he                                                               
understands the  boundaries follow property lines.   He explained                                                               
the maps  drawn for  the service areas  weren't very  precise and                                                               
when  they  were  transferred  to   something  more  precise,  it                                                               
resulted in  parcels that  were partially in  and out  of service                                                               
areas.                                                                                                                          
                                                                                                                                
9:01:13 AM                                                                                                                    
                                                                                                                                
MS. MOSS related  her understanding from an  administrator of the                                                               
Chugiak Birchwood  Eagle River  Rural Road  Service Area  that it                                                               
doesn't have  this issue  as all  of its  parcels are  within the                                                               
boundaries [of the service area].                                                                                               
                                                                                                                                
9:01:49 AM                                                                                                                    
                                                                                                                                
CHAIR TILTON,  upon determining  no one  else wished  to testify,                                                               
closed public testimony.                                                                                                        
                                                                                                                                
9:02:11 AM                                                                                                                    
                                                                                                                                
MS. MOSS, in response to  Representative Reinbold, confirmed that                                                               
this legislation  has no impact  on the [Chugiak  Birchwood Eagle                                                               
River Rural Road Service Area].                                                                                                 
                                                                                                                                
CHAIR TILTON  related her understanding  that the  Fairbanks area                                                               
has the  most issues  with [road service  boundaries].   She also                                                               
related her understanding  that there are no issues  with this in                                                               
the Matanuska-Susitna Borough.                                                                                                  
                                                                                                                                
9:02:53 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON recalled  that there  was a  Supreme Court                                                               
case in  the Matanuska-Susitna [Borough] regarding  a parcel that                                                               
was accessed from roads in one  area while they were charged from                                                               
the road service  area from which no services were  received.  He                                                               
opined   that   this  legislation   would   take   care  of   the                                                               
aforementioned  problem.    However,  he  requested  the  sponsor                                                               
review that Supreme Court case in relation to this legislation.                                                                 
                                                                                                                                
MS. MOSS answered that even with  the passage of CSSB 19(CRA), it                                                               
will  remain the  borough's decision  as to  whether to  remove a                                                               
parcel or whether  it [remains] in a service area.   She recalled                                                               
that  in the  aforementioned case  there is  other access  to the                                                               
property, but  reiterated that it's  for the borough  assembly to                                                               
make  the  decision.    In  further  response  to  Representative                                                               
Seaton, Ms.  Moss indicated her  agreement to review the  case in                                                               
relation to the legislation.                                                                                                    
                                                                                                                                
9:05:03 AM                                                                                                                    
                                                                                                                                
CHAIR TILTON announced that SB 19 would be held over.