03/20/2025 08:00 AM House COMMUNITY & REGIONAL AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| HB26 | |
| Confirmation Hearing(s) | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 26 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
HOUSE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE
March 20, 2025
8:10 a.m.
DRAFT
MEMBERS PRESENT
Representative Rebecca Himschoot, Co-Chair
Representative Donna Mears, Co-Chair
Representative Carolyn Hall
Representative Ky Holland
Representative Mike Prax
Representative Justin Ruffridge
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
HOUSE BILL NO. 26
"An Act relating to the duties of the Department of
Transportation and Public Facilities; and relating to a
statewide public and community transit plan."
- MOVED CSHB 26(CRA) OUT OF COMMITTEE
CONFIRMATION HEARING(S)
Regulatory Commission of Alaska, Commissioner
Mark Johnston Anchorage
Steven Devries Anchorage
John Springsteen Anchorage
- CONFIRMATION(S) ADVANCED
PREVIOUS COMMITTEE ACTION
BILL: HB 26
SHORT TITLE: STATEWIDE PUBLIC & COMMUNITY TRANSIT PLAN
SPONSOR(s): REPRESENTATIVE(s) MINA
01/22/25 (H) PREFILE RELEASED 1/10/25
01/22/25 (H) READ THE FIRST TIME - REFERRALS
01/22/25 (H) CRA, TRA
02/27/25 (H) CRA AT 8:00 AM BARNES 124
02/27/25 (H) Heard & Held
02/27/25 (H) MINUTE(CRA)
03/18/25 (H) CRA AT 8:00 AM BARNES 124
03/18/25 (H) Heard & Held
03/18/25 (H) MINUTE(CRA)
03/20/25 (H) CRA AT 8:00 AM BARNES 124
WITNESS REGISTER
REPRESENTATIVE GENEVIEVE MINA
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: As prime sponsor, gave an overview of HB
26.
ANDY MILLS, Legislative Liaison
Department of Transportation & Public Facilities
Juneau, Alaska
POSITION STATEMENT: Answered questions during the hearing on HB
26.
MARK JOHNSTON, Commissioner Appointee
Regulatory Commission of Alaska
Department of Commerce, Community & Economic Development
Anchorage, Alaska
POSITION STATEMENT: Testified as the governor's appointee to
the Regulatory Commission of Alaska.
STEVEN DEVRIES, Commissioner Appointee
Regulatory Commission of Alaska
Department of Commerce, Community & Economic Development
POSITION STATEMENT: Testified as the governor's appointee to
the Regulatory Commission of Alaska.
JOHN SPRINGSTEEN, Commissioner Appointee
Regulatory Commission of Alaska
Department of Commerce, Community & Economic Development
Anchorage, Alaska
POSITION STATEMENT: Testified as the governor's appointee to
the Regulatory Commission of Alaska.
ACTION NARRATIVE
8:10:08 AM
CO-CHAIR DONNA MEARS called the House Community and Regional
Affairs Standing Committee meeting to order at 8:10 a.m.
Representatives Prax, Ruffridge, Hall, Holland, Himschoot, and
Mears were present at the call to order.
HB 26-STATEWIDE PUBLIC & COMMUNITY TRANSIT PLAN
8:11:23 AM
CO-CHAIR MEARS announced that the first order of business would
be HOUSE BILL NO. 26, "An Act relating to the duties of the
Department of Transportation and Public Facilities; and relating
to a statewide public and community transit plan."
8:11:44 AM
REPRESENTATIVE GENEVIEVE MINA, Alaska State Legislature, as
prime sponsor, recapped HB 50. She said the bill would broaden
the Department of Transportation & Public Facilities' (DOT&PF)
scope to be more multi-modal and specifically include public
transport in its planning responsibilities.
8:12:19 AM
CO-CHAIR HIMSCHOOT moved to adopt Amendment 1 to HB 26, labeled
34-LS0276\A.1, Walsh, 3/18/25, which read:
Page 3, line 8, following "operators,":
Insert "including ferry operators,"
CO-CHAIR MEARS objected for the purpose of discussion.
8:12:26 AM
CO-CHAIR HIMSCHOOT explained that Amendment 1 would explicitly
include ferries in the bill by inserting "including ferry
operators" after the word "operators" on page 3, line 8.
8:12:59 AM
REPRESENTATIVE PRAX expressed opposition to naming specific
things within a general authority.
CO-CHAIR HIMSCHOOT stated that the ferry system is sometimes
siloed, which has not always worked to their advantage.
Including them in the bill, she said, would help break down some
of those siloes.
REPRESENTATIVE PRAX said he received a 298-page report on the
long-term plan that makes specific reference to ferries. He
added that he felt put out that "his road" is not included in
that plan and argued that all transportation should be treated
equally.
8:14:56 AM
REPRESENTATIVE RUFFRIDGE said he shared Representative Prax's
concern about the underlying bill. He cited the DOT&PF fiscal
note, which states that the bill would result in no change to
operations, funding, or designation of resources. He pointed
out that the Alaska Marine Highway System (AMHS) issue is one of
funding, not planning, and argued that dollars keep being placed
into "different places," which is true of the Statewide
Transportation Improvement Program (STIP) as well. He said
community transit plans are expensive, particularly in large
spread-out places, and reiterated that in many cases, the
problem is dollars, not funding, as inferenced by the fiscal
note.
8:17:21 AM
CO-CHAIR HIMSCHOOT shared a personal anecdote and stated that if
funding were to come, having a plan in place is critical.
8:18:29 AM
REPRESENTATIVE MINA acknowledged the concerns about calling out
one specific modality of transportation in the department's
statutory responsibilities. With regard to the broader question
of the bill's necessity, she said the bill would broaden the
conceptions of transportation away from the bias of having a car
in the effort to make the state more accessible and inclusive of
those with disabilities.
8:20:17 AM
ANDY MILLS, Legislative Liaison, Department of Transportation &
Public Facilities, confirmed that the fiscal note is fairly well
represented by Representative Ruffridge's comments. He
explained that there are many federal requirements on planning
and the inclusion of transit and other intermodalities that the
department follows, as well as consultation and coordination
with local governments and Tribal entities as outlined in U.S.
Code (USC) and the associated Code of Federal Regulations (CFR).
Prior to the introduction of HB 26, he assured the committee
that DOT&PF was already engaging in area planning, modal
planning, the long-range transportation plan, and the STIP. He
said department activity is largely directed by federal funding
and reiterated that the activities outlined in the proposed
legislation are already being directed by federal requirements.
One caveat, he said, is that the department could benefit from
more specificity on where new transit facilities should be added
and urged the legislature to direct requests for increased
transit funding to the federal government.
8:24:00 AM
REPRESENTATIVE HOLLAND stated his support for Amendment 1 while
recognizing that it creates specific focus on AMHS in a general
plan that he hoped would continue to cover all modalities. He
opined that the ferry system is being highlighted because its
integral to public transit and tends to be overlooked.
CO-CHAIR HIMSCHOOT said she wanted to make sure that ferries are
part of the conversation because in discussions on community
planning and transit, they're not usually included.
CO-CHAIR MEARS removed her objection.
REPRESENTATIVE PRAX objected.
8:26:52 AM
A roll call vote was taken. Representatives Hall, Holland,
Himschoot, and Mears voted in favor of Amendment 1.
Representatives Prax and Ruffridge voted against it. Therefore,
Amendment 1 was adopted by a vote of 4-2.
CO-CHAIR MEARS sought final comment from the bill sponsor on HB
26, as amended.
8:27:24 AM
REPRESENTATIVE MINA stated that enshrining public transit in
statute would not only highlight DOT&PF's work on transit plans,
but also ensure that these efforts would continue to be
prioritized if leadership were to change. She emphasized the
importance of highlighting the integral nature of public
transportation to Alaskans.
CO-CHAIR MEARS sought final comment from committee members.
8:28:30 AM
REPRESENTATIVE RUFFRIDGE said he understood the need for this
conversation; nonetheless, from Mr. Mills's testimony, he
inferred that a lack of federal funding, not planning, is the
reason that things aren't getting done. He opined that HB 26
would be better suited as a resolution that highlights Alaska's
differences or requests an exception. He spoke to planning
efforts in Kenai that have fallen through because there were no
dollars attached. He said he would not object to the bill
moving forward but shared his belief that HB 26 is more of a
conversation tool and not a solution.
8:31:43 AM
REPRESENTATIVE PRAX opined that the bill is counterproductive
because the department is driven by federal funds. He
distinguished dreaming from planning, and said planning requires
funding. In the Interior, he said there is too much talking and
not enough action in compliance with the STIP. Although he
appreciated the intent, he reiterated his belief that its
counterproductive.
8:34:27 AM
CO-CHAIR HIMSCHOOT said she is grateful for the bill because the
amount of federal funding is unknown. She shared her belief
that more would be asked of states going forward and Alaska
should be ready.
CO-CHAIR MEARS agreed on the importance of understanding the
state's needs.
8:35:10 AM
REPRESENTATIVE MINA noted that stakeholder engagement is
integral to ensure that plans are reflective of community needs.
She said the bill would codify stakeholder engagement with
public and community transit operators, without which,
department plans would not be as strong as they could be to
serve Alaskans.
8:36:17 AM
CO-CHAIR HIMSCHOOT moved to report HB 26, as amended, out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, CSHB 26(CRA) moved from
the House Community and Regional Affairs Standing Committee.
8:37:04 AM
The committee took an at-ease from 8:37 a.m. to 8:40 a.m.
^CONFIRMATION HEARING(S)
Regulatory Commission of Alaska, Commissioner
CONFIRMATION HEARING(S)
Regulatory Commission of Alaska, Commissioner
8:40:09 AM
CO-CHAIR MEARS announced that the final order of business would
be confirmation hearings for the Regulatory Commission of
Alaska.
8:41:19 AM
MARK JOHNSTON, Commissioner Appointee, Regulatory Commission of
Alaska (RCA), Department of Commerce, Community & Economic
Development (DCCED), spoke to his personal and professional
background and highlighted his qualifications under AS
42.04.020(b)(3). He listed his work experience as shown on his
resume [included in the committee packet] and said it's an honor
to serve Alaskans in this position.
8:44:33 AM
REPRESENTATIVE HALL asked Commissioner Springsteen to speak to
the challenges of retaining a workforce and how the legislature
could support workforce development and retention within the
RCA.
COMMISSIONER JOHNSTON said the technical positions are difficult
to fill, especially in competition with utilities that pay more.
He described the lateral movement that's offered within the RCA
and said out of the box thinking is needed. As such, he said
the RCA has been working with the military to identify retirees
who are looking for continued employment and value benefits over
pay. In doing so, he identified executives for the engineering
department and operations, as well as individuals for
Supervisory Control and Data Acquisition (SCADA). He discussed
a high school internship program for linemen that helped with
recruitment in Colorado to highlight the need for creative
solutions.
8:50:14 AM
REPRESENTATIVE HALL asked Commissioner Johnston to define
"laddering positions" and why it's different than a promotion.
COMMISSIONER JOHNSTON said it's when various levels of the same
position are attained through experience, thereby offering the
ability to gain additional experience and compensation based on
achievements.
REPRESENTATIVE HALL asked whether it is merit based.
COMMISSIONER JOHNSTON said it's a function of time served and
meeting milestones.
8:52:21 AM
REPRESENTATIVE HOLLAND asked the commissioner to describe his
experience in rural utility management.
COMMISSIONER JOHNSTON said he worked in a rural area of
Colorado. It requires self-sufficiency and the ability to
develop people from inside the community. He said Alaska has an
opportunity for larger utilities to create affiliations for
mentorship through the Alaska Power Association (APA) and use
their technical expertise to address priorities in the smaller
communities and assist with line loss, for example.
8:58:51 AM
CO-CHAIR HIMSCHOOT asked what could be done to better retain
staff to ensure that the RCA functions at a high capacity.
COMMISSIONER JOHNSTON spoke to the importance of experienced
employees to train staff and grow the workforce from within. He
added that job satisfaction is important, as well as creating an
environment where people want to come to work every day. He
talked about the importance of medical benefits and said there's
an opportunity to recruit people at the end of their career who
want to complete their Public Employees' Retirement System
(PERS).
9:03:40 AM
CO-CHAIR HIMSCHOOT asked about major issues specific to rural
and Southeast Alaska that could come before the RCA.
COMMISSIONER JOHNSTON answered submarine cables and the cost of
transmission.
9:05:48 AM
REPRESENTATIVE PRAX asked how much time is spent by
commissioners on reviewing rates versus agency management.
COMMISSIONER JOHNSTON said the chair spends an incredible amount
of time on agency administration. The remaining commissioners
spend most of their time on issues brough before the RCA,
reading testimony, and public hearings.
9:07:20 AM
CO-CHAIR MEARS expressed concern about the RCA's ability to look
at long term plans and take a holistic view of larger energy
issues particularly along the Railbelt.
COMMISSIONER JOHNSTON acknowledged that the RCA is reactive, but
also tries to be forward looking. He shared his belief that the
legislature created the Railbelt Reliability Council (RRC) and
the Railbelt Transmission Organization (RTO) to have a more
forward-looking perspective on standards for the utilities. The
RCA is working with those agencies, along with the utilities, to
ensure that the focus is on a long-term horizon.
CO-CHAIR MEARS asked about the dynamic between the RRC, the RTO,
and the RCA.
COMMISSIONER JOHNSTON said the RCA has an ex officio role on the
RRC and would review the standards and surcharges it assesses to
the utilities. In addition, the RCA certificates the RTO as
fit, willing, and able and requests frequent updates during
public meetings.
9:14:29 AM
STEVEN DEVRIES, Commissioner Appointee, Regulatory Commission of
Alaska (RCA), Department of Commerce, Community & Economic
Development (DCCED), spoke to his personal and professional
background and highlighted his qualifications under AS
42.04.020(b)(3). He listed his work experience as shown on his
resume [included in the committee packet] and said it's a great
honor to be considered.
9:18:29 AM
REPRESENTATIVE PRAX asked about the proportion of engineers to
attorneys in the RCA.
COMMISSIONER DEVRIES responded it's a combination of both and
detailed the breakdown of staff.
9:21:41 AM
REPRESENTATIVE HOLLAND asked for Commissioner Devries's
experience as it relates to rural utility work.
COMMISSIONER DEVRIES noted his tenure with the Alaska Housing
Finance Corporation (AHFC) and its Public Housing Division where
he gained perspective on rural utilities. He added that in
consideration of Cost of Power Adjustments (COPA) and Power Cost
Equalization (PCE) levels, the commissioners deal with impacts
to rural communities and utilities on a weekly basis.
9:24:43 AM
CO-CHAIR MEARS asked whether the RRC provides presentations to
the RCA.
COMMISSIONER DEVRIES said the RRC is working on reliability
standards and would be presenting them to the RCA for review.
9:27:58 AM
JOHN SPRINGSTEEN, Commissioner Appointee, Regulatory Commission
of Alaska (RCA), Department of Commerce, Community & Economic
Development (DCCED), spoke to his personal and professional
background and highlighted his qualifications under AS
42.04.020(b)(3). He listed his work experience as shown on his
resume [included in the committee packet].
CO-CHAIR MEARS pointed out that Alaska is facing resource
limitations and must be thoughtful on how it moves forward on
energy supply without causing too much cost impact to consumers.
She acknowledged that the integrated resource plan is
forthcoming, but in the meantime, asked whether there is an
urgency for the RCA to address these issues.
COMMISSIONER SPRINGSTEEN said there is certainly urgency among
the RCA and the utilities to solve the problem and address the
natural gas limitations that faces the state. He said the
commission continues to use its convening power to bring people
in an discuss future plans. In response to a follow up question
from Co-Chair Mears, he said the RCA has the ability to bring
utilities in to discuss curtailment plans and is working within
its given toolkit.
9:38:11 AM
REPRESENTATIVE PRAX inquired as to the difference in function
between the RCA and Alaska Industrial Development and Export
Authority (AIDEA).
COMMISSIONER SPRINGSTEEN responded the RCA is a quasi-judicial
organization.
REPRESENTATIVE PRAX asked about opportunities to reduce the
expense of RCA compliance.
COMMISSIONER SPRINGSTEEN said the RCA is not here to create
unecessary cost or obstacles. With regard to important
proceedings on material matters, he said most commissioners
would hope that the parties come to a mutual agreement amongst
themselves and bring that decision to the RCA.
9:41:48 AM
CO-CHAIR HIMSCHOOT sought to better understand Commissioner
Springsteen's role in a sole source contract with Cypress Wealth
Services for $440 million and how Alaska benefited from that
2019 investment.
COMMISSIONER SPRINGSTEEN said that decision was made by AIDEA's
executive director, Tom Boutin.
CO-CHAIR HIMSCHOOT shared her understanding that Commissioner
Springsteen was involved in the supervision of that contract and
asked how it served Alaska's public interest.
COMMISSIONER SPRINGSTEEN clarified that he did have a direct
supervisory role in the contract. He said he was a member of an
Alaska development team that included Clark Penney of Cypress
Wealth Services on an effort to bolster existing economic
engines, remove unecessary obstacles, and attract investment.
9:44:57 AM
CO-CHAIR HIMSCHOOT asked if there were an opportunity to award a
contract of $440 million in the future, how hard Commissioner
Springsteen would work to ensure that it's put out to bid to
give Alaskans an opportunity at that contract.
COMMISSIONER SPRINGSTEEN said he follows state procurement code.
9:47:02 AM
REPRESENTATIVE HALL asked Commissioner Springsteen about his
transition from AIDEA to DCCED.
COMMISSIONER SPRINGSTEEN recalled that when he was a chief
operating officer at AIDEA, he was seconded to DCCED to work on
the economic engine development and then hired as deputy
commissioner in April 2019.
9:49:03 AM
REPRESENTATIVE HOLLAND asked why the commissioner would want to
move into a more restricted regulatory role given his
development background and asked about his accomplishments on
the Alaska development team.
COMMISSIONER SPRINGSTEEN said the Alaska development team
prepared the 2022-2027 comprehensive economic development
strategy for the state on the shoulders of Scott Goldsmith's
work on the three legs of the Alaska economy: federal funding,
oil and gas, and all other sectors. Regarding his transition to
the RCA, he spoke to his ability to determine whether a party is
fit, willing, and able given the various roles he's filled in
the past.
REPRESENTATIVE HOLLAND asked how to promote conservation of
resources in looking at rate cases.
COMMISSIONER SPRINGSTEEN said the RCA sits in a reactive role
while also being forward thinking on new approaches. He said
it's great to receive information on new approaches from the
utilities and have discussions on the backend to ensure that
they would not cause harm to ratepayers. He acknowledged the
challenges with the integration of different types of power in
the Railbelt. In looking at different generation sources, he
said he considers intermittency, seasonality, and distance, and
how to work with a utility that has an obligation to provide
safe, reliable, cost-effective power.
CO-CHAIR MEARS said she would like to see a more generous
interpretation of statute to allow the RCA the ability to look
more deeply at these issues.
9:56:32 AM
REPRESENTATIVE HALL referenced a letter of recommendation from
U.S. Senator Murkowski [included in the committee packet] and
inquired as to the relationship between she and the
commissioner.
COMMISSIONER SPRINGSTEEN said he is a constituent and
appreciates her leadership.
9:57:25 AM
CO-CHAIR MEARS opened public testimony on the appointees to the
RCA. After ascertaining that no one wished to testify, she
closed public testimony.
9:59:03 AM
CO-CHAIR MEARS moved to advance the confirmations of Mark
Johnston, Steven Devries, and John Springsteen, appointees to
the Regulatory Commission of Alaska, to the joint session of the
House and Senate for consideration. She reminded members that
signing the reports regarding appointment to boards and
commissions in no way reflects in individual members' approval
or disapproval of the appointees, and that the nominations are
merely forwarded to the full legislature for confirmation or
rejection. There being no objection, the confirmations were
advanced.
9:59:33 AM
ADJOURNMENT
There being no further business before the committee, the House
Community and Regional Affairs Standing Committee meeting was
adjourned at 9:59 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 26 Version A Sponsor Statement.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM |
HB 26 |
| HB 26 Version A.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM |
HB 26 |
| HB 26 Version A Sectional Analysis.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM |
HB 26 |
| HB 26 Fiscal Note - DOT - PDSP 2.21.25.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM SCRA 5/15/2025 1:30:00 PM |
HB 26 |
| HB 26 Testimony — Received as of 2.25.25.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM |
HB 26 |
| HB 26 Research - CFR, Title 23, Chapter I, Subchapter E, § 450.218, Subsections (a)-(f).pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM SCRA 5/15/2025 1:30:00 PM |
HB 26 |
| HB 26 Research - 2024 AMC Legislative Priorities.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM SCRA 5/15/2025 1:30:00 PM |
HB 26 |
| HB 26 Research - 2022 DOT&PF Study - Economic Value of Public Transit in Alaska.pdf |
HCRA 2/27/2025 8:00:00 AM HCRA 3/18/2025 8:00:00 AM HCRA 3/20/2025 8:00:00 AM SCRA 5/15/2025 1:30:00 PM |
HB 26 |
| HB 26 AARP Alaska Letter of Support 3.04.2025.pdf |
HCRA 3/20/2025 8:00:00 AM |
HB 26 |
| John Springsteen RCA Resume_Redacted.pdf |
HCRA 3/20/2025 8:00:00 AM |
RCA Governor's Appointees |
| Mark Johnston RCA Resume_Redacted.pdf |
HCRA 3/20/2025 8:00:00 AM |
RCA Governor's Appointees |
| Steven Devries RCA Resume_Redacted.pdf |
HCRA 3/20/2025 8:00:00 AM |
RCA Governor's Appointees |
| HB 26 Public Testimony Received as of 3.19.2025.pdf |
HCRA 3/20/2025 8:00:00 AM |
HB 26 |
| John Springsteen RCA Murkowski Letter of Support 3.12.2025.pdf |
HCRA 3/20/2025 8:00:00 AM |
RCA Governor's Appointees |
| HB 26 Amendment - A.1 - Himschoot 3.18.25.pdf |
HCRA 3/20/2025 8:00:00 AM |
HB 26 |