Legislature(2003 - 2004)
05/08/2004 11:05 AM House CRA
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ALASKA STATE LEGISLATURE
HOUSE COMMUNITY AND REGIONAL AFFAIRS
STANDING COMMITTEE
May 8, 2004
11:05 a.m.
MEMBERS PRESENT
Representative Carl Morgan, Chair
Representative Kelly Wolf, Vice Chair
Representative Pete Kott
Representative Ralph Samuels
Representative Sharon Cissna
MEMBERS ABSENT
Representative Tom Anderson
Representative Albert Kookesh
COMMITTEE CALENDAR
HOUSE BILL NO. 560
"An Act relating to application of municipal ordinances
providing for planning, platting, and land use regulation to
interests in land owned by the Alaska Railroad Corporation; and
providing for an effective date."
- MOVED CSHB 560(TRA) OUT OF COMMITTEE
CS FOR SENATE BILL NO. 395(FIN) am
"An Act authorizing the Alaska Railroad Corporation to extend
its rail line to Fort Greely, Alaska, and relating to that
extension; authorizing the corporation to issue bonds to finance
the cost of the extension and necessary facilities and
equipment; relating to the Railroad Planning, Platting, and Land
Use Regulation Task Force; and providing for an effective date."
- SCHEDULED BUT NOT REFERRED
PREVIOUS COMMITTEE ACTION
BILL: HB 560
SHORT TITLE: MUNICIPAL LAND USE REGULATION
SPONSOR(S): TRANSPORTATION
04/27/04 (H) READ THE FIRST TIME - REFERRALS
04/27/04 (H) TRA, CRA
04/29/04 (H) TRA AT 1:30 PM CAPITOL 17
04/29/04 (H) -- Meeting Canceled --
05/04/04 (H) TRA AT 1:30 PM CAPITOL 17
05/04/04 (H) Heard & Held
05/04/04 (H) MINUTE(TRA)
05/06/04 (H) TRA AT 1:30 PM CAPITOL 17
05/06/04 (H) -- Meeting Postponed --
05/07/04 (H) TRA RPT CS(TRA) NT 4DP 1NR
05/07/04 (H) DP: STEPOVICH, KOHRING, OGG, HOLM;
05/07/04 (H) NR: MASEK
05/07/04 (H) TRA AT 8:00 AM CAPITOL 17
05/07/04 (H) Moved CSHB 560(TRA) Out of Committee
05/07/04 (H) MINUTE(TRA)
05/08/04 (H) CRA AT 11:00 AM CAPITOL 124
WITNESS REGISTER
BARBARA KOTTING, Staff
to Representative Jim Holm
House Transportation Standing Committee
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented HB 560 on behalf of the sponsor,
the House Transportation Standing Committee.
WENDY LINDSKOOG, Director
External Affairs
Alaska Railroad Corporation
Anchorage, Alaska
POSITION STATEMENT: Reviewed HB 560 and answered questions.
ACTION NARRATIVE
TAPE 04-20, SIDE A
Number 0001
CHAIR CARL MORGAN called the House Community and Regional
Affairs Standing Committee meeting to order at 11:05 a.m.
Representatives Morgan, Wolf, Kott, and Samuels were present at
the call to order. Representative Cissna arrived as the meeting
was in progress.
HB 560-MUNICIPAL LAND USE REGULATION
CHAIR MORGAN announced that the only order of business would be
HOUSE BILL NO. 560, "An Act relating to application of municipal
ordinances providing for planning, platting, and land use
regulation to interests in land owned by the Alaska Railroad
Corporation; and providing for an effective date."
Number 0090
BARBARA KOTTING, Staff to Representative Jim Holm, House
Transportation Standing Committee, Alaska State Legislature,
presented HB 560 on behalf of the sponsor, the House
Transportation Standing Committee. Ms. Kotting explained that
Section 1 allows the Alaska Railroad Corporation (ARRC) to
extend its existing line from Eielson Air Force Base to Fort
Greely and acquire land along the corridor for the railroad and
associated facilities. Sections 2 and 3 authorize ARRC to issue
bonds for up to $500 million for this extension. However,
before issuing the bonds ARRC must enter into a binding
agreement with the United States government such that there is
sufficient revenue to pay principal, interest, and other costs.
Section 4 creates a Railroad Planning, Platting, and Land Use
Regulation Task Force, which will make recommendations to the
legislature regarding the extent to which local regulations
should apply to ARRC land. The President of the Senate and the
Speaker of the House of Representatives will jointly appoint
municipal officials from each of the 13 governing bodies through
which the railroad currently passes. Section 5 sunsets the task
force on the second day of the 2005 legislative session.
Section 6 is the immediate effective date.
Number 0315
WENDY LINDSKOOG, Director, External Affairs, Alaska Railroad
Corporation, explained that originally HB 560 began as
legislation addressing the Alaska Supreme Court case of Native
Village of Eklutna v. Alaska Railroad. The aforementioned case
addressed whether the Alaska Railroad was exempt from local
planning and zoning regulations. The Native Village of Eklutna
said that the Alaska Railroad needed to obtain a conditional
permit for a quarry owned and operated by the railroad for the
last 50 years. The case has been in court for some time,
although the lower court ruled with the Alaska Railroad saying
that as a state instrumentality the railroad was exempt from
local planning and zoning regulations. However, the Alaska
Supreme Court overruled the lower court decision. The Alaska
Supreme Court said that the Alaska Railroad statute wasn't clear
enough in that area. Therefore, the original legislation seeks
to clarify that portion of statute such that the Alaska Railroad
is exempt from local planning and zoning. However, the
aforementioned caused quite a stir with the Native Village of
Eklutna as well as the municipalities along the Rail Belt.
MS. LINDSKOOG pointed out that although the municipalities along
the Rail Belt haven't had power [over the Alaska Railroad with
regard to local planning and zoning], the debate is now
regarding whether there are parts of Alaska Railroad land that
should be under local authority. This all led to the formation
of the task force in the current legislation. Ms. Lindskoog
said there are a lot of good arguments with regard to why the
Alaska Railroad should be protected from jurisdictional control
of the 13 different municipalities through which it travels.
For instance, hours of operation and whistle blowing and other
things would directly impact operations if 13 different
communities could have their own rules. However, ARRC owns
36,000 acres of land, of which half is used for operations and
half can be leased. When ARRC leases land, the leaseholder
falls under local planning and zoning. Therefore, the land in
question may be a small bit of land.
MS. LINDSKOOG highlighted that there is also a lot of federal
protection for many interstate commerce concerns. Ms. Lindskoog
explained that the Alaska Supreme Court case said that the
Alaska Railroad should go through local planning and zoning, and
if there is disagreement with regard to the local planning and
zoning, the railroad should litigate that. Therefore, the
railroad has been set up to litigate just about everything that
has some kind of conflict. Ms. Lindskoog expressed the need for
there to be a solution such that there are consistent rules by
which the railroad can develop. Because there isn't much time
left in the session for such a large policy decision, there was
a decision to form a task force with members from the local
municipalities, the railroad, and state leadership. The task
force would provide recommendations to the legislature next
year.
Number 0684
REPRESENTATIVE CISSNA asked whether the governments of Native
corporation lands or tribal lands are involved with the task
force when the railroad passes through such land.
MS. LINDSKOOG pointed out that the Native Village of Eklutna
falls under the Municipality of Anchorage, and therefore the
Native Village of Eklutna suggested that the railroad should
obtain a conditional use permit from the Municipality of
Anchorage. Therefore, the task force would have membership from
each community with the jurisdiction.
MS. LINDSKOOG, in further response to Representative Cissna,
said that there is a lot of process involved with about every
project with which the railroad is involved. About 80 percent
of ARRC's capital program is touched by federal dollars or
permits. For example, vast archaeological and historical
studies were performed for a track-straightening project ARRC
did through Eklutna. She reiterated that the case over the
quarry is a quarry in which ARRC has owned and mined in for over
50 years. Furthermore, when land choices under the Alaska
National Interest Lands Conservation Act (ANILCA) were made, it
was recognized that ARRC would continue to perform operations in
the quarry. The ARRC has a memorandum of understanding (MOU)
signed with the Native corporation of Eklutna. However, she
acknowledged that the Native Village of Eklutna is the entity
that actually sued the Alaska Railroad.
Number 0923
REPRESENTATIVE CISSNA noted that when she lived in Kodiak she
spent a lot of time with the historical society there. She
recalled that often something of significance would come to
light in an existing area being used for whatever purpose.
Therefore, she surmised that this can't be the first time
"that's" happened. She asked if there are laws or regulations
that apply in a situation [in which something of significance
comes to light on land that has been used for a specific purpose
for some time].
MS. LINDSKOOG said that she wasn't aware of any other time in
which the ARRC has ran into such a problem. Ms. Lindskoog
opined, "I think what you're getting at, however, is ... that
... if we're not doing a project, what's going to kick us into a
situation where we're going to resolve something like a cultural
significance issue." To that Ms. Lindskoog reiterated that this
legislation seeks to address a very important legal
clarification to the current law that has placed the railroad in
a difficult position. However, she acknowledged that there is
also a real cultural situation that has to be addressed and
should be addressed separately, which the railroad is doing.
For the last couple of years, the railroad has been trying to
address this. She explained that the quarry and the rock is
virtually unusable on any federal project because of the
cultural issue. Although a lot of work is being done with the
Native Village of Eklutna, she wasn't sure where the solution
would lay. However, she reiterated that the two are separate
issues.
CHAIR MORGAN, upon determining there was no one else who wished
to testify, closed public testimony.
Number 1133
REPRESENTATIVE WOLF moved to report CSHB 560(TRA) out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, CSHB 560(TRA) was
reported from the House Community and Regional Affairs Standing
Committee.
ADJOURNMENT
There being no further business before the committee, the House
Community and Regional Affairs Standing Committee meeting was
adjourned at 11:20 a.m.
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