Legislature(1997 - 1998)

05/01/1998 02:15 PM House TRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
      HOUSE TRANSPORTATION STANDING COMMITTEE                                  
                    May 1, 1998                                                
                     2:15 p.m.                                                 
                                                                               
                                                                               
MEMBERS PRESENT                                                                
                                                                               
Representative William K. (Bill) Williams, Chairman                            
Representative Beverly Masek, Vice Chair                                       
Representative John Cowdery                                                    
Representative Bill Hudson                                                     
Representative Jerry Sanders                                                   
Representative Kim Elton                                                       
Representative Albert Kookesh                                                  
                                                                               
MEMBERS ABSENT                                                                 
                                                                               
All members present                                                            
                                                                               
COMMITTEE CALENDAR                                                             
                                                                               
* HOUSE JOINT RESOLUTION 68                                                    
Relating to continued operation of the McKinley Park airstrip for              
general aviation and access to Denali National Park and Preserve.              
                                                                               
     - MOVED HJR 68 OUT OF COMMITTEE                                           
                                                                               
CS FOR SENATE BILL 263(FIN) AM                                                 
"An Act relating to secondary roads and to the statewide                       
transportation improvement program; and providing for an effective             
date."                                                                         
                                                                               
     - MOVED HCSCSSB 263(TRA) OUT OF COMMITTEE                                 
                                                                               
(* First public hearing)                                                       
                                                                               
PREVIOUS ACTION                                                                
                                                                               
BILL: HJR 68                                                                   
SHORT TITLE: CONT OPERATION OF MCKINLEY PARK AIRSTRIP                          
SPONSOR(S): FINANCE                                                            
                                                                               
Jrn-Date    Jrn-Page           Action                                          
 4/22/98      3198     (H)  READ THE FIRST TIME - REFERRAL(S)                  
 4/22/98      3198     (H)  TRANSPORTATION                                     
 5/01/98               (H)  TRA AT  1:00 PM CAPITOL 17                         
                                                                               
BILL: SB 263                                                                   
SHORT TITLE: SECONDARY ROADS                                                   
SPONSOR(S): SENATOR(S) TORGERSON, Pearce, Sharp                                
                                                                               
Jrn-Date    Jrn-Page           Action                                          
 1/27/98      2318     (S)  READ THE FIRST TIME - REFERRAL(S)                  
 1/27/98      2318     (S)  TRA, FIN                                           
 2/03/98               (S)  TRA AT  1:30 PM BUTROVICH ROOM 205                 
 2/03/98               (S)  MINUTE(TRA)                                        
 2/04/98      2396     (S)  COSPONSOR: SHARP                                   
 2/12/98               (S)  TRA AT  1:30 PM BUTROVICH ROOM 205                 
 2/12/98               (S)  MINUTE(TRA)                                        
 2/19/98               (S)  TRA AT  1:30 PM BUTROVICH ROOM 205                 
 2/19/98               (S)  MINUTE(TRA)                                        
 3/12/98               (S)  TRA AT  1:30 PM BUTROVICH ROOM 205                 
 3/12/98               (S)  MINUTE(TRA)                                        
 3/19/98               (S)  TRA AT  1:30 PM BUTROVICH ROOM 205                 
 3/19/98               (S)  MINUTE(TRA)                                        
 3/20/98      2915     (S)  TRA RPT  CS  2DP 1NR   SAME TITLE                  
 3/20/98      2915     (S)  DP: WARD, GREEN    NR: WILKEN                      
 3/20/98      2915     (S)  FISCAL NOTE TO SB & CS (DOT)                       
 3/27/98               (S)  FIN AT  8:00 AM SENATE FINANCE 532                 
 4/01/98               (S)  FIN AT  9:00 AM SENATE FINANCE 532                 
 4/02/98      3111     (S)  FIN RPT  CS  4DP 2NR   NEW TITLE                   
 4/02/98      3111     (S)  DP: PEARCE, SHARP, TORGERSON, DONLEY;              
 4/02/98      3111     (S)  NR: PARNELL, ADAMS                                 
 4/02/98      3111     (S)  PREVIOUS FN APPLIES (DOT)                          
 4/07/98               (S)  RLS AT 11:25 AM FAHRENKAMP RM 203                  
 4/07/98               (S)  MINUTE(RLS)                                        
 4/08/98      3199     (S)  RULES TO CALENDAR  4/8/98                          
 4/08/98      3200     (S)  READ THE SECOND TIME                               
 4/08/98      3200     (S)  MOTION TO ADOPT FIN CS                             
 4/08/98      3201     (S)  HELD W/CS MOTION PNDG TO 4/14                      
                            CALENDAR                                           
 4/14/98      3244     (S)  HELD W/CS MOTION PNDG TO 4/15                      
                            CALENDAR                                           
 4/15/98      3273     (S)  FIN  CS ADOPTED UNAN CONSENT                       
 4/15/98      3273     (S)  AM NO  1     ADOPTED UNAN CONSENT                  
 4/15/98      3274     (S)  FAILED TO ADVANCE TO 3RD Y14 N5 E1                 
 4/15/98      3274     (S)  THIRD READING 4/16 CALENDAR                        
 4/16/98      3296     (S)  READ THE THIRD TIME  CSSB 263(FIN) AM              
 4/16/98      3297     (S)  PASSED Y15 N5                                      
 4/16/98      3297     (S)  EFFECTIVE DATE(S) SAME AS PASSAGE                  
 4/16/98      3297     (S)  DUNCAN  NOTICE OF RECONSIDERATION                  
 4/17/98      3345     (S)  RECONSIDERATION NOT TAKEN UP                       
 4/17/98      3346     (S)  TRANSMITTED TO (H)                                 
 4/18/98      3071     (H)  READ THE FIRST TIME - REFERRAL(S)                  
 4/18/98      3072     (H)  TRANSPORTATION                                     
 4/29/98               (H)  TRA AT  1:00 PM CAPITOL 17                         
 5/01/98               (H)  TRA AT  1:00 PM CAPITOL 17                         
                                                                               
WITNESS REGISTER                                                               
                                                                               
REPRESENTATIVE JOHN DAVIES                                                     
Alaska State Legislature                                                       
Capitol Building, Room 422                                                     
Juneau, Alaska  99801                                                          
Telephone:  (907) 465-4457                                                     
POSITION STATEMENT:  Presented HJR 68.                                         
                                                                               
JAMES DREW, Flight Instructor                                                  
4725 Villanova Drive                                                           
Fairbanks, Alaska  99709                                                       
Telephone:  (907) 479-2212                                                     
POSITION STATEMENT:  Testified in support of HJR 68.                           
                                                                               
TOM GEORGE, Regional Representative                                            
Alaska Aviation Safety Foundation                                              
P.O. Box 83750                                                                 
Fairbanks, Alaska  99708                                                       
Telephone:  (907) 455-9000                                                     
POSITION STATEMENT:  Testified in support of HJR 68.                           
                                                                               
PAUL BOWERS, Director                                                          
Statewide Aviation, Leasing                                                    
Department of Transportation                                                   
  and Public Facilities                                                        
P.O. Box 196900                                                                
Anchorage, Alaska 99519-6900                                                   
Telephone:  (907) 269-0724                                                     
POSITION STATEMENT:  Testified in support of HJR 68.                           
                                                                               
PETE ECKLUND, Legislative Assistant                                            
  to Representative Williams                                                   
Alaska State Legislature                                                       
Capitol Building, Room 424                                                     
Juneau, Alaska  99801                                                          
Telephone:  (907) 465-3424                                                     
POSITION STATEMENT:  Provided information and answered questions               
                     on SB 263.                                                
                                                                               
MARY JACKSON, Legislative Assistant                                            
  to Senator John Torgerson                                                    
Alaska State Legislature                                                       
Capitol Building, Room 514                                                     
Juneau, Alaska  99801                                                          
Telephone:  (907) 465-2828                                                     
POSITION STATEMENT:  Provided information on behalf of                         
                     Senator Torgerson, Sponsor of SB 263.                     
                                                                               
TOM BRIGHAM, Director                                                          
Headquarters                                                                   
Division of Statewide Planning                                                 
Department of Transportation                                                   
  and Public Facilities                                                        
3132 Channel Drive                                                             
Juneau, Alaska  99801                                                          
Telephone:  (907) 465-4070                                                     
POSITION STATEMENT:  Testified in opposition to SB 263.                        
                                                                               
OCIE ADAMS, Road Service Area Supervisor                                       
  Member, Road Service Area Advisory Board                                     
Matanuska-Susitna Borough                                                      
HC30 BOX 200                                                                   
Wasilla, Alaska  99654-9756                                                    
Telephone:  (907) 373-6690                                                     
POSITION STATEMENT:  Testified on SB 263.                                      
                                                                               
DENNIS POSHARD, Legislative Liaison                                            
Office of the Commissioner                                                     
Department of Transportation and                                               
  Public Facilities                                                            
3132 Channel Drive                                                             
Juneau, Alaska  99801                                                          
Telephone:  (907) 465-3904                                                     
POSITION STATEMENT:  Testified on SB 263.                                      
                                                                               
DON ETHERIDGE, Representative                                                  
Alaska District Council of Laborers                                            
Local 71                                                                       
710 West Ninth Street                                                          
Juneau, Alaska  99801                                                          
Telephone:  (907) 586-3707                                                     
POSITION STATEMENT:  Testified in opposition to SB 263.                        
                                                                               
ACTION NARRATIVE                                                               
                                                                               
TAPE 98-22, SIDE A                                                             
Number 0001                                                                    
                                                                               
CHAIRMAN WILLIAM K. (BILL) WILLIAMS called the House Transportation            
Standing Committee meeting to order at 2:15 p.m.  Members present              
at the call to order were Representatives Williams, Masek, Cowdery,            
Hudson, Elton and Kookesh.  Representative Sanders arrived at 2:18             
p.m.                                                                           
                                                                               
HJR 68 - CONT OPERATION OF MCKINLEY PARK AIRSTRIP                              
                                                                               
CHAIRMAN WILLIAMS announced the first order of business is HJR 68,             
Relating to continued operation of the McKinley Park airstrip for              
general aviation and access to Denali National Park and Preserve.              
                                                                               
Number 0014                                                                    
                                                                               
REPRESENTATIVE JOHN DAVIES, Alaska State Legislature, presented HJR
68.  He explained pilots are concerned about the plan that's being             
developed to phase-out the airstrip in the front country of Denali             
Park which is located in the broad pass along the Parks Highway.               
He said, "The concern is that they feel that the discussion,                   
because of the way the proposal was made, it was in one of the 'not            
preferred' alternatives of the Park Service and then brought                   
forward, and then kind of moved into 'the preferred' one, kind of              
at the last minute, that lot of people feel that they kind of got              
blind sighted with the proposal."  Representative Davies said they             
are asking that the Park Service back-off the proposal to allow for            
more consideration and public input before proceeding.                         
                                                                               
Number 0022                                                                    
                                                                               
REPRESENTATIVE DAVIES concluded that there are a number of the                 
alternatives that the Park Service seems to advocate which do not              
seem to be realistic given the actual flight conditions in that                
canyon area.  We feel, for the safety of the public, that we need              
to take a much more careful look at this plan before it moves                  
forward.                                                                       
                                                                               
CHAIRMAN WILLIAMS noted for the record that Representative Sanders             
is present.                                                                    
                                                                               
Number 0029                                                                    
                                                                               
REPRESENTATIVE JOHN COWDERY informed the committee that he has                 
flown through this pass that it is fairly narrow.  He said he                  
believes the altitude is approximately seven thousand feet, some               
times you can get in there but you can't get through, you need a               
place to land.                                                                 
                                                                               
REPRESENTATIVE DAVIES replied he has flown through the pass in                 
small planes with pilots, and the pilots are also concerned about              
that, especially if you're coming from the south.  He mentioned                
this is one of the few good places to land.                                    
                                                                               
REPRESENTATIVE DAVIES indicated, the other concern is that this is             
the source of information about the weather in the area so it's                
really important that it be maintained and that there is a good                
plan for it if there's going to be alternative place developed,                
that the pilots contribute to where that place is going to be, what            
kind of information, and what the timing is going to.  He said he              
thinks people also need to comment on how useful it's going to be.             
Right now it's convenient, you can land there, you can get into the            
Park Headquarters area, and you can go from there to a camping                 
area.  If you move it much farther away from the Park Headquarters,            
it's going to be less convenient.                                              
                                                                               
REPRESENTATIVE DAVIES reiterated that he believes the plan is                  
moving ahead too quickly.  He noted the pass is a major                        
transportation route between Fairbanks and Anchorage and that,                 
since the strip is not far off the Parks Highway, there's going to             
be continued air traffic in the future.  Representative Davies                 
concluded that we need to make sure whatever changes are made, we              
need to take care of safety first and have adequate comments from              
the citizens before we make the changes.                                       
                                                                               
REPRESENTATIVE COWDERY added, "And not only for the benefit of the             
tourists to be able to land, and stretch, and get out and do their             
thing after a flight from Anchorage, but as a safety - I think                 
there's two issues that should be addressed."                                  
                                                                               
Number 0057                                                                    
                                                                               
REPRESENTATIVE ALBERT KOOKESH noted Southeast Alaska has been                  
greatly involved with the Park Service in regard to Glacier Bay.               
He stated one of the problems with the Park Service is that their              
idea of Alaska is to shut it out to everybody, especially those who            
have used it before.  He said he believes we may have to do is sit             
down with somebody in authority, especially those who have some                
oversight with the Park Service because we can't afford to have                
Glacier Bay or the park closed to access.                                      
                                                                               
Number 0070                                                                    
                                                                               
JAMES DREW, Flight Instructor, testified via teleconference in                 
support of HJR 68.  He said McKinley Park Airport is an extremely              
important safety issue with respect to the flight pattern between              
Interior and Southcentral Alaska.  He stated the major problem they            
face in Interior Alaska, between Southcentral and the Interior, is             
that the mountains and the height of the mountains mean that any               
kind of instrument flight has to be above ten thousand feet.  And              
frequently our atmospheric conditions, either throughout much of               
the year, or such that icing occurs to that level, most generally              
the aviation airplanes in Alaska are not equipped to deal with the             
icing.                                                                         
                                                                               
MR. DREW continued to explain that Windy Pass is the major access              
point (indisc.--coughing) that is traveled between these two areas.            
Weather often consists of scattered rain showers or snow showers,              
in a wider valley it wouldn't make any difference because one can              
go around those showers, but in a very narrow pass that's not                  
possible.  And so consequently the weather conditions in Windy Pass            
can often be marginal and yet this is the only access that we have,            
back and forth between Interior and Southcentral Alaska.  Mr. Drew             
stressed that the McKinley Park Airport is an extremely important              
sight because if any problem, either mechanical or weather occurs,             
the McKinley Park Airport is the only place available in Windy Pass            
where a safe landing can be made.                                              
                                                                               
Number 0093                                                                    
                                                                               
MR. DREW referred to the remote transmitting facilities along the              
route through Windy Pass, we find that the Federal Aviation                    
Administration (FAA) has established remote transmitting receiving             
sites (RCO) tied into life service stations in both Fairbanks and              
Kenai.  They have also been established in Healy, McKinley Park,               
Cantwell and Summit.  He said he knows of no other place in Alaska,            
or, in fact, most other places in the rest of the United States                
where RCO's are located so close together.  Mr. Drew stated he                 
thinks that represents operational recognition by FAA to the                   
importance of Windy Pass and the importance of the weather there,              
and that in turn reflects the importance of the emergency airports             
within that area.  As you know, Healy is at the very north area of             
the route that goes through the pass and wind conditions are often             
bad at Healy.  And the Denali Airport, which is south from McKinley            
Park, is a private airport which is not available except in                    
(indisc.) parts and emergency conditions for landing.                          
                                                                               
MR. DREW said we simply cannot compromise if we're going to retain             
a safe condition for flying.  In view of the importance of this                
route, he strongly urged that the McKinley Park Airport be retained            
and suggested that it be improved to provide better emergency field            
conditions.  If we close McKinley Park, we are jeopardizing a                  
critical transportation system in Alaska and jeopardizing lives.               
                                                                               
Number 0122                                                                    
                                                                               
TOM GEORGE, Regional Representative, Alaska Aviation Safety                    
Foundation, testified in support of HJR 68 via teleconference.  He             
pointed out that the safety foundation is very concerned about the             
safety of flights through the Alaska Range and Windy Pass.  He said            
McKinley Park Airport is the only public airport in that pass and              
that it's important to have a place, not only to land in an                    
emergency, but more importantly to make a precautionary landing to             
be able to await better weather conditions.  He explained often the            
weather conditions are very different between the south end of the             
pass and the north end of the pass, in fact, it's entirely possible            
to be in the middle of that area and not be able to go either to               
the north or the south.                                                        
                                                                               
MR. GEORGE mentioned, if lost, it's a form of public access to the             
park entrance as well.  He stated the foundation doesn't believe               
Healy, due to its high winds, is a suitable alternative to meet the            
concerns of that area, nor does the private airport because the                
public is not invited to land at that location.  Mr. George stated,            
"The Park Service, as I understand it from reading their plans,                
intends to convert that airstrip into railroad parking for bus                 
transfers at some point in the future.  And the assumption they                
made there is that the other landing facilities near it are                    
adequate public access.  So, that's I think where we disagree with             
that and we request that they would reconsider that decision."                 
                                                                               
Number 0142                                                                    
                                                                               
REPRESENTATIVE BEVERLY MASEK asked Chairman Williams if he was                 
ready for a motion.                                                            
                                                                               
CHAIRMAN WILLIAMS noted they were still taking public testimony.               
                                                                               
Number 0143                                                                    
                                                                               
PAUL BOWERS, Director, Statewide Aviation, Leasing, Department of              
Transportation and Public Facilities (DOT/PF), testified via                   
teleconference.  He noted DOT/PF strongly supports HJR 68 and                  
agrees with the comments, so far, that the McKinley airstrip is                
indeed strategically located and is a well used air travel                     
corridor.  He mentioned the nearest airstrip is the state-owned                
strip at Healy Point which is a much windier location than McKinley            
and is not suitable as an alternative.                                         
                                                                               
MR. BOWERS explained the weather reporting facility at Healy does              
not cover the weather at McKinley and automated weather observation            
system (AWAS) at McKinley, it covers only that area.  If that strip            
were closed, he said the likelihood is that AWAS, weather reporting            
station would also go with it and that would be a significant loss.            
                                                                               
MR. BOWERS said when the National Park Service proposed to close               
the McKinley Park Airstrip, they said they would not do so until a             
suitable alternative is available.  He reiterated Healy is not an              
acceptable or suitable alternative in that regard.  Mr. Bowers also            
indicated the Park Service said they were proposing closure of the             
McKinley strip to accommodate railroad expansion.  He said DOT/PF              
contacted the railroad and was informed the railroad had no plans              
to expand into that area.  He stated it appears the Park Service is            
following a national mandate to vacate park lands other than park              
facilities which makes no sense.                                               
                                                                               
REPRESENTATIVE MASEK said it's important to get this resolution to             
the National Park Service, and to the Secretary of the United                  
States Department of Interior, including others listed on the                  
resolution.  She encouraged others to get the message to Congress.             
                                                                               
Number 0173                                                                    
                                                                               
REPRESENTATIVE MASEK made a motion to move HJR 68 from the                     
committee with individual recommendations and attached zero fiscal             
note.  There being no objection, HJR 68 passed out of the House                
Transportation Committee.                                                      
                                                                               
SB 263 - SECONDARY ROADS                                                       
                                                                               
Number 0179                                                                    
                                                                               
CHAIRMAN WILLIAMS announced CSSB 263(FIN) Amended, "An Act relating            
to secondary roads and to the statewide transportation improvement             
program; and providing for an effective date," sponsored by Senator            
Torgerson, is before the committee.                                            
                                                                               
Number 0188                                                                    
                                                                               
PETE ECKLUND, Legislative Assistant to Representative Williams,                
Alaska State Legislature, presented the working draft, Version L,              
Cook, 5/1/98.  He explained Section 1, page 1, further defines the             
highway program.  Mr. Ecklund noted that we currently have the                 
national highway system (NHS), community transportation projects               
(CTP) and trails and recreation access to Alaska projects (TRAAK)              
programs.  The added language in Section 1 states that the total               
federal funds that the state receives, that no more than 65 percent            
of those federal funds shall go to the NHS program.  And further,              
we said that the federal funds we receive for highway programs, no             
more than 7.3 percent shall go to the TRAAK program.  He noted                 
those are averaged out over three years.                                       
                                                                               
MR. ECKLUND mentioned he distributed information on the current                
statewide transportation improvement program (STIP) and for federal            
fiscal years 98, 99 and 2000.  He said the TRAAK portion ran from              
7.24 percent in 1998, 6.73 percent in 1999, and 7.29 in 2000.  So,             
capping the TRAAK program at that level is not going to push                   
anything off the STIP.  He indicated this section is basically a               
policy decision stating that the TRAAK program is good, we just                
want to keep a lid on its growth as we work on our road system.                
                                                                               
Number 0206                                                                    
                                                                               
MR. ECKLUND referred to page 2 of the working draft.  He said, "We             
deleted -- in the previous Section (c), there was language that                
said that 20 percent of the ranking for CTP projects had to be                 
based on averaged daily traffic.  We heard testimony from the                  
department that an overwhelming percentage of those roads are in               
Anchorage and Fairbanks, and that most of that money would migrate             
to those two cities.  In the work draft, we pulled that out."                  
Deleted the following:                                                         
                                                                               
     In determining the priority of each community transportation              
     project, the department shall determine at least 20 percent of            
     the ranking of the project based on the volume of use of the              
     facility that is the subject of the project.                              
                                                                               
MR. ECKLUND continued, "What we would allow the department to do               
is, what we charge the department to do, is to write regulations               
concerning the ranking and scoring criteria process for the CTP                
program, the TRAAK program, and the National Highway System                    
program.  Right now, they just have an internal policy which can               
change between Administrations, between commissioners, or at any               
point in time.  We're directing them to write regulations so we                
we'd have more public input and overview of those processes."                  
                                                                               
Number 0218                                                                    
                                                                               
MR. ECKLUND referred to subsection (d) of the working draft, line              
24.  He said we added the following phrase following, "The                     
department shall allocate, for planning purposes under this                    
section, at least 60 percent of the anticipated appropriations,..."            
                                                                               
     averaged over three consecutive years of the program, for the             
     community transportation category for projects in the rural               
     and urban streets and roads subcategory.                                  
                                                                               
MR. ECKLUND explained it gave them three years to average out, to              
spend at least 60 percent on the rural and urban street's road                 
subcategory, because there could be spikes in any one.  He said he             
believes DOT/PF will agree with that.                                          
                                                                               
Number 0225                                                                    
                                                                               
MR. ECKLUND referred to subsection (e), page 3, lines 1, 2 and 3 of            
the working draft.  He said, "This is new section and is a policy              
call Mr. Chairman.  What the effect of this amendment is, is we've             
heard over time, testified by the department and by the                        
commissioner of many committees, subcommittees, and many                       
committees, that the TRAAK program is funded with our                          
transportation enhancement dollars, and what this language does Mr.            
Chairman, is it says that transportation and enhancement eligible              
projects - projects eligible to be funded with transportation                  
enhancement dollars shall be funded with transportation enhancement            
dollars and not other funding categories.  So, that means money                
that's available to build roads will not go under the TRAAK is what            
that means basically, Mr. Chairman, and that's a policy call.  I               
bring that to your attention."                                                 
                                                                               
Number 0233                                                                    
                                                                               
MR. ECKLUND continued, "Also on page 3, we have changed the name of            
unimproved secondary roads and we've renamed those substandard                 
secondary roads.  And that's what the department -- I think that               
clarifies part of this bill Mr. Chairman.  What we're doing in                 
Section 2 is asking the department by regulation to define                     
secondary roads, and then roads that are substandard to those, to              
that criteria, will be eligible for this $20,000,000 that may be               
appropriated to upgrade those substandard secondary roads that may             
be transferred to municipalities if they request that."                        
                                                                               
Number 0240                                                                    
                                                                               
MR. ECKLUND noted subsection (4) was added to subsection (d), page             
3, to clarify that substandard secondary roads are roads that are              
not on a national highway system or the TRAAK programs.  That means            
substandard secondary roads are in the community transportation                
program and are defined in that section.                                       
                                                                               
Number 0245                                                                    
                                                                               
MR. ECKLUND said we added Section (4), page 4, basically what this             
says is that not less than one percent of our total federal highway            
funds, for the next six years, shall be used for new bridge                    
construction across waterways which are part of the NHS to access              
airports in other areas.  He mentioned that, after talking to an               
attorney in Legal Services, a proposed verbal amendment will be                
offered.                                                                       
                                                                               
Number 0250                                                                    
                                                                               
REPRESENTATIVE KOOKESH asked approximately what would one percent              
would be for the years 1998 to 2000 in reference to in Section 4.              
                                                                               
MR. ECKLUND replied the House version of Intermodal Surface                    
Transportation Efficiency Act (ISTEA) is $280 million a year for               
six years, the Senate version $312 million for six years.  He said,            
if you say we're get $300 million a year for six years, that's $1.8            
million, so roughly one percent would be $18 million, that's a                 
rough guess.                                                                   
                                                                               
Number 0255                                                                    
                                                                               
REPRESENTATIVE KOOKESH asked if it's common to appropriate money in            
a bill that's for a capital project.  Isn't a bridge a capital                 
project?                                                                       
                                                                               
MR. ECKLUND replied, in working with Tam Cook [Legal Services,                 
Legislative Affairs], this is not appropriation language, the                  
language is defined in this bill and in the title of this bill,                
it's not an appropriation.                                                     
                                                                               
REPRESENTATIVE KOOKESH reiterated that a bridge is a capital                   
project.                                                                       
                                                                               
MR. ECKLUND replied yes, it is a capital project.  This is not an              
appropriation.  It basically sets aside money for a project of this            
type.                                                                          
                                                                               
REPRESENTATIVE KOOKESH stated it sounds like the definition of an              
appropriation by setting aside money for a project.                            
                                                                               
MR. ECKLUND reiterated according to Legal Services, this is not an             
appropriation, it's not violating any act or appropriation, it fits            
within the title of this bill and in this bill perfectly fine.                 
                                                                               
Number 0264                                                                    
                                                                               
REPRESENTATIVE KOOKESH asked Mr. Ecklund where the Gravina Island              
Bridge is in the state system for funding.  Is it currently in the             
budget?                                                                        
                                                                               
MR. ECKLUND replies no.  It's not on the STIP.                                 
                                                                               
Number 0267                                                                    
                                                                               
REPRESENTATIVE KIM ELTON referred to the 7.3 percent requirement,              
page 1, beginning on line 10 of the working draft.                             
                                                                               
     Federal funds allocated to the trails and recreation access to            
     Alaska projects may not exceed 7.3 percent of the federal                 
     highway funding available, averaged over three consecutive                
     years.                                                                    
                                                                               
REPRESENTATIVE ELTON asked how does that affect Anchorage.  Does               
7.3 percent apply to the federal dollars that are going to                     
Anchorage, and that Anchorage decides how to spend it under their              
own program?                                                                   
                                                                               
MR. ECKLUND referred to page 6 of the Statewide Transportation                 
Improvement Program, March 1998, DOT/PF criteria.  He explained,               
"What line 11 says is, ... it shows out for 1998, 1999 and 2000 of             
the STIP, what's its program is for the TRAAK program of how many              
dollars are programmed in for TRAAK and those are projects spread              
throughout the state, not just Anchorage.  And, if you divide $22              
million like in say 1998 by 304 down below, that percentage is                 
7.24, and so on.  In the year 2000, already in their STIP spent $24            
million on TRAAK projects in the year 2000, okay.  And that works              
out to be 7.3 percent of the total of federal funds available for              
that year as they've estimated.  What we've done is, we've said,               
'Okay, that's reasonable, we'll put that in statute.'  And that's              
basically a ceiling on how much of a percentage, of our total                  
federal dollars that we can spend on TRAAK.  If, in our federal                
legislation we get more money than we programmed here, they can                
spend more money, you know, 7.3 percent of that extra money on                 
TRAAK.  So, that percentage is not going to wipe out anything                  
that's scheduled in the STIP for TRAAK projects."                              
                                                                               
Number 0286                                                                    
                                                                               
REPRESENTATIVE ELTON stated, if he remembers the newspaper stories             
correctly, Anchorage is debating on whether or not they have 10, 15            
or 20 percent for TRAAK projects.  He asked, if they settle on 15              
percent on TRAAK projects in Anchorage, does that reduce the amount            
of money that's available for TRAAK to other parts of the state.               
                                                                               
MR. ECKLUND replied DOT/PF can also provide their view of the                  
situation.  He further explained the cap of the total federal                  
dollars we receive for a three year period, we're not going to                 
spend more than 7.3 percent averaged on TRAAK.  The Anchorage TRAAK            
projects have to go through the STIP, they're ranked like                      
everything else, they have to go through the STIP just like CTP                
projects do for Anchorage, they go through the same ranking                    
criteria that every project throughout the state does.  What DOT/PF            
does, is they rank all the projects throughout the state, they take            
the amount of money they have available for CTP and for TRAAK, and             
then they pull out how many projects would qualify for Anchorage in            
CTP and TRAAK, under the amount of money they have, and that's what            
they allocate to Anchorage for the Anchorage Metropolitan Area                 
Transportation Study (AMATS).  So, those projects in Anchorage are             
not going to compete with projects throughout the state and so it's            
not to pull any off of STIP, it's just going to put a cap on the               
total dollars we can spend on TRAAK to keep it basic at the level              
it is now.                                                                     
                                                                               
Number 0301                                                                    
                                                                               
REPRESENTATIVE ELTON stated the concern he has is that if                      
Anchorage, for example, decides to spend 15 percent on TRAAK                   
projects, that might diminish the amount of money available to                 
other parts of the state for TRAAK.  Conversely, this would be a               
mandate - this takes away the local option for AMATS to make their             
own decision on how much they want to spend on TRAAK.                          
                                                                               
MR. ECKLUND said he believes when the state goes through and makes             
their calculations for CTP and for TRAAK, they give that money then            
to Anchorage and AMATS decides how they want to spend it.                      
                                                                               
Number 0305                                                                    
                                                                               
REPRESENTATIVE ELTON referred to page 2, subsection (c), beginning             
on line 16.                                                                    
                                                                               
     The department shall rank community transportation projects               
     proposed to be undertaken in each year of the statewide                   
     transportation improvement program in accordance with the                 
     priority of the project.  The department shall give priority              
     to upgrading a substandard or hot asphaltic road if the                   
     department receives a request by a municipality for the                   
     transfer of the road or a portion of the road to the                      
     municipality and, after the upgrading is completed, the                   
     department shall transfer to the municipality the road or the             
     portion of it that is within the boundaries of the                        
     municipality.                                                             
                                                                               
REPRESENTATIVE ELTON asked if the new priority - is that the first             
threshold question and whether or not that substitutes for                     
criterion number 6.                                                            
                                                                               
MR. ECKLUND deferred the question to Senator Torgerson's staff                 
because she is more familiar with the secondary roads program.                 
                                                                               
Number 0312                                                                    
                                                                               
MARY JACKSON, Legislative Assistant to Senator John Torgerson,                 
Alaska State Legislature, came before the committee.  She said she             
only heard a part of the question.                                             
                                                                               
REPRESENTATIVE ELTON reiterated, under subsection (c), beginning on            
line 16, page 2, it establishes a priority, if the road is going to            
be transferred to a municipality.  He asked if that creates a new              
priority that substitutes for criteria number 6, and whether the               
department would have to write a new criterion that this would be              
the first threshold criterion, and that all the other criteria                 
are...                                                                         
                                                                               
MS. JACKSON interjected that it was not intended to have the                   
department re-rank, this was supposed to conform to the secondary              
roads program of Section 2.  She stated Section 2 was the bill, and            
then Section 1 became the amendment, so, we were trying to make                
certain that Section 1's ranking criteria matched the initial bill.            
Ms. Jackson said, perhaps it doesn't if Representative Elton thinks            
it reads that way.                                                             
                                                                               
MR. ECKLUND referred to Section 2, secondary roads, page 3.  He                
said the department is going to write regulations establishing what            
a secondary road is, and then certain gravel roads, and cold                   
asphaltic roads that don't meet that definition of secondary roads             
or substandard secondary roads.  The department shall identify                 
substandard secondary roads and then rank them.  One of the first              
priorities in that ranking is, if there's a community that's near              
a substandard secondary road that wants to take it over, once it's             
improved, they'll get priority in the ranking system that DOT/PF               
sets up.                                                                       
                                                                               
Number 0327                                                                    
                                                                               
REPRESENTATIVE ELTON said he observed that there is a priority for             
that now, it appoints a warden for example now if the road were to             
be turned over to a municipality.  He reiterated that he is                    
concerned that if it's a threshold question that comes above the               
other criteria set, that it pushes rural projects further down the             
list because, if this is the threshold question, and the                       
municipality says they want that road, that we'd never get to some             
of the rural projects.                                                         
                                                                               
MR. ECKLUND remarked there is a $20 million cap on roads that can              
be improved, substandard secondary roads per year, and DOT/PF will             
be writing regulations, since that is a public process you and the             
public will have influence on how that ranking system is set up.               
                                                                               
Number 0335                                                                    
                                                                               
REPRESENTATIVE ELTON referred to subsection (d), beginning on line             
22, page 3.                                                                    
                                                                               
     For purposes of this section, "substandard secondary road"                
     means a dirt or gravel road or a road that has received a cold            
     asphaltic application, and that                                           
                                                                               
REPRESENTATIVE ELTON asked what is the effect of that subsection on            
the Marine Highway System and whether or not this diminishes the               
amount of money that would otherwise be available to the Marine                
Highway System.  When you apply at least 60 percent of the                     
anticipated appropriations for projects of rural and urban streets             
(indisc.) a subcategory, does that diminish the amount of money                
available to the Marine Highway System.                                        
                                                                               
MR. ECKLUND replied that's the current DOT/PF policy.  He said,                
"The Marine Highway System parts that are in the CTP program, are              
only I guess a couple off, not mainline terminals.  The rest of the            
Marine Highway System is on the National Highway System."  He said             
he believes the criterion shows what's on the National Highway                 
System.                                                                        
                                                                               
Number 0341                                                                    
                                                                               
REPRESENTATIVE ELTON stated this would be just for terminal                    
projects, or access to terminals.                                              
                                                                               
MR. ECKLUND replied yes.                                                       
                                                                               
REPRESENTATIVE MASEK stated they need to adopt the working draft               
for discussion.  She made the motion to adopt the proposed HCS CSSB
263(TRA), Version LS1421\L, Cook, 5/1/98.  Hearing no objection,               
Version L is before the committee.                                             
                                                                               
Number 0349                                                                    
                                                                               
REPRESENTATIVE ELTON asked why Section 4, page 4, beginning on line            
2, fits under the existing title.                                              
                                                                               
     Notwithstanding other provisions of state law, not less than              
     one percent of the total federal highway funds apportioned and            
     available to the state for obligation in the statewide                    
     transportation improvement program for federal fiscal years               
     1998 - 2003 shall be obligated for new bridge construction                
     across waterways that are part of the national highway system             
     that provide direct access to airports and other areas.                   
                                                                               
MR. ECKLUND said he could call Legal Services for a legal                      
explanation.  He stated it's not an appropriation.  It's okay to be            
in this bill.  He reiterated the drafter is fine with the language             
being in the bill.  He also mentioned he is going to make a small              
amendment to this language.                                                    
                                                                               
CHAIRMAN WILLIAMS referred to page 1, line 11, of the working                  
draft.  He said, along those same lines, you have 7.3 percent of               
the federal highway funds available will be used for a certain                 
issue.                                                                         
                                                                               
MR. ECKLUND stated the title is very broad, it says, "An Act                   
relating to secondary roads and to the statewide transportation                
improvement program; and providing for an effective date."  He said            
we are defining what that Statewide Transportation Improvement                 
Program is in this legislation.                                                
                                                                               
Number 0361                                                                    
                                                                               
REPRESENTATIVE JOHN COWDERY asked, "When we talk about a (indisc.)             
statewide common standard for secondary roads, you know we have                
various -- how would that be determined."                                      
                                                                               
MR. ECKLUND replied that would be a good question for the                      
department.  He said we're asking them to write regulations to come            
up with standards for secondary roads because currently there is               
none.                                                                          
                                                                               
Number 0366                                                                    
                                                                               
MR. ECKLUND also pointed out a change on page 3, line 6.  He                   
mentioned Representative Masek asked a question on Wednesday                   
regarding establishing standards that are uniform throughout the               
state, and at the department's suggestion, and from talking to                 
Senator Torgerson's staff, we put in the word "reasonably" uniform             
throughout the state.                                                          
                                                                               
REPRESENTATIVE COWDERY said, "I wonder if the Chairman would like              
to add a separate repealer in Section 4, say ten years."                       
                                                                               
Number 0374                                                                    
                                                                               
REPRESENTATIVE BILL HUDSON asked, "What is the justification on                
page 4, Section 4, line 5, of the designation that this bridge                 
construction across waterways that are part of the National Highway            
System, it's that or part of the National Highway System.  Is there            
anything in current law or federal law, or any other dictates that             
we have that would require that?  What if you had bridge                       
construction across a waterway that provides direct access to                  
airports in other areas.  Why identify it only across waterways, I             
guess that's what we're talking about, waterways that are a part of            
the National Highway System?"                                                  
                                                                               
     ...obligated for new bridge construction across waterways that            
     are part of the national highway system that provide direct               
     access to airports and other areas.                                       
                                                                               
MR. ECKLUND referred to the waterway in Ketchikan that is                      
identified as a part of the National Highway System.  He said                  
that's what was in mind as the legislation was written.                        
                                                                               
REPRESENTATIVE HUDSON mentioned a waterway between Douglas Island              
and the Juneau Airport would provide a similar service.                        
                                                                               
MR. ECKLUND replied we may have excess ferries in the next few                 
years.                                                                         
                                                                               
Number 0393                                                                    
                                                                               
TOM BRIGHAM, Director, Headquarters, Division of Statewide Planning            
Department of Transportation and Public Facilities, came before the            
committee to sum up the department's reaction to the committee                 
substitute.  He said in general, DOT/PF is happy to see the 20                 
percent, based on the traffic provision, come out in Section 1.                
Essentially DOT/PF's position at this point is that they believe               
Section 1 would best be left to next year.  He said, because you're            
really talking about applying Section 1 to a process DOT/PF set up             
that's a product of the current Intermodal Surface Transportation              
Efficiency Act, which is in the process of being reauthorized by               
Congress.  He indicated they will have a new one sometime within a             
half year.  Mr. Brigham explained it makes more sense to address               
these kinds of issues after we know what the federal stage is                  
because we are talking here about the federal program.  So,                    
DOT/PF's recommendation is to delete Section 1.                                
                                                                               
MR. BRIGHAM referred to Section 2.  He said, "With the editorial               
changes that have been made in this committee substitute, we have              
no particular..."                                                              
                                                                               
TAPE 98-22, SIDE B                                                             
Number 0001                                                                    
                                                                               
MR. BRIGHAM referred to Section 4.  He stated that he wants to make            
it very clear that DOT/PF has no particular problem with the                   
objective that is the crossing with a particular waterway near                 
Ketchikan.  But, DOT/PF does object to, in effect placing a                    
specific project in a bill of this sort.  They think the place for             
this is the capital budget.                                                    
                                                                               
CHAIRMAN WILLIAMS asked where does it say anything about where it              
is going.                                                                      
                                                                               
REPRESENTATIVE HUDSON remarked, "Particularly with my amendment."              
                                                                               
MR. BRIGHAM replied, "Through a process of deduction Mr.                       
Chairman..."                                                                   
                                                                               
CHAIRMAN WILLIAM added that there are several areas and asked Mr.              
Brigham to explain his comment.                                                
                                                                               
Number 0012                                                                    
                                                                               
MR. BRIGHAM responded that he only began thinking of the number of             
projects that were across waterways that would be new bridges that             
would be part of the National Highway System or eligible the                   
National Highway System that would provide direct access to                    
airports.  He said he could only think of one project, therefore,              
the criteria are limiting enough, that the universe you're talking             
about is in fact very very small, even if it is larger than one                
project.                                                                       
                                                                               
REPRESENTATIVE HUDSON asked, "If we were to take out, on line 5,               
'that are part of the national highway system,' then you could                 
think of more than one couldn't you."                                          
                                                                               
MR. BRIGHAM replied he recalls a suggestion, along those, lines                
being made here just a few minutes ago and that could well apply he            
supposed.                                                                      
                                                                               
Number 0024                                                                    
                                                                               
REPRESENTATIVE HUDSON asked if it had any implications on the                  
federal authorization for the use of these funds.                              
                                                                               
MR. BRIGHAM responded, in a programmatic sense, to be eligible for             
federal funds, a project has to go through the federal STIP                    
process, through the public involvement process, and so forth, then            
it becomes eligible.  If, for example, you were to say, put such               
and such a project in the federal program, and if we simply did it,            
the federal government would say, "I'm sorry this isn't eligible,              
it hasn't been through the process."  But, if we don't put it in               
the program, we would then be in violation of state law.  So,                  
programmatically it puts us in a bit of a fix.                                 
                                                                               
Number 0035                                                                    
                                                                               
REPRESENTATIVE HUDSON asked what if we were to conceptually say,               
"unless one percent of the total federal highway funds apportioned             
shall be obligated for federally authorized new bridge                         
construction."  He added this would be in compliance with the STIP             
provisions.                                                                    
                                                                               
MR. BRIGHAM replied, "Or federally eligible, something like that               
would probably take care of that."                                             
                                                                               
REPRESENTATIVE HUDSON noted that would probably eliminate the                  
federal concerns.                                                              
                                                                               
NUMBER 0044                                                                    
                                                                               
REPRESENTATIVE ELTON referred to page 1.  He asked Mr. Brigham if              
he concurred with what he's heard on the 7.3 percent.  He said he              
would be interested in his view on whether that's a mandate to                 
Anchorage through AMATS, in whether or not that takes away their               
local option of determining what percent goes to trails.  And if it            
is, if they're still allowed to do that and set for example 15                 
percent of their funds for TRAAK.  Representative Elton asked does             
that diminish funds available for TRAAK elsewhere in the state.                
                                                                               
MR. BRIGHAM said Mr. Ecklund did a good job of describing the way              
the process works.  This would cap the amount of - the size of the             
TRAAK part of the program.  Within that, DOT/PF would then evaluate            
the Anchorage projects along with everyone else's to determine what            
the allocation to Anchorage would be.  As a Municipal Planning                 
Organization (MPO) DOT/PF has to give them an allocation of funding            
and not tell them which projects they can build.  He explained that            
they would then take the TRAAK allocation, and take their Community            
Transportation Program (CTP) allocation, they put them together and            
they can do whatever they want with it as long as it's federally               
eligible.  In other words, they can choose to spend 15 percent or              
5 percent.  By law, it's their decision and DOT/PF and the                     
Legislature are not really able to alter that.  So, this would not             
interfere with AMATS's decision as how they want to do their TRAAK.            
                                                                               
Number 0061                                                                    
                                                                               
REPRESENTATIVE MASEK stated it's her understanding the federal                 
regulations for the STIP hasn't been finalized.                                
                                                                               
MR. BRIGHAM replied correct.  The reauthorization of the service               
transportation Act is not final.  He said there are two competing              
bills and are at the moment in conference and it looks like it's               
going to take a while.                                                         
                                                                               
REPRESENTATIVE MASEK asked, "If we are to make this law, how will              
that effect..."                                                                
                                                                               
Number 0065                                                                    
                                                                               
MR. BRIGHAM said, "Our concern is that we have a process developed             
in response to the current ISTEA, this codifies much of that                   
process, it adds a few things which we independently object to, but            
nonetheless, it codifies that process.  That's fine if ISTEA is -              
the new ISTEA is a continuation of the old ISTEA, but to the extent            
to which you may wind up with different federal requirements in the            
new federal legislation, it seems to me to make a lot sense to us              
to take Section 1 out, bring it back next year if there's still a              
desire to do that.  We think we have a pretty good process right               
now and we'd like to see that continue and carry over beyond this              
Administration into future Administrations.  So, in general we                 
don't have a problem."                                                         
                                                                               
Number 0075                                                                    
                                                                               
REPRESENTATIVE MASEK asked what kind of fiscal note does he                    
anticipate for adopting regulations.                                           
                                                                               
MR. BRIGHAM replied there are three fiscal impact issues here,                 
there are two sets of regulations to adopt which are not federally             
eligible by in large and there is a certain amount of staff work to            
do to inventory the unimproved secondary roads.  He noted DOT/PF               
prepared a new fiscal note which is approximately $150,000 to the              
bill as it currently stands.  If Section 1 were deleted that would             
remove $50,000 perhaps a bit more from that, it would drop the                 
fiscal impact to approximately $75,000 to $90,000.                             
                                                                               
Number 0085                                                                    
                                                                               
MR. ECKLUND said he would like to respond to some of DOT/PF's fears            
about reauthorized ISTEA.  He stated, "The work draft, ... is more             
of a broad umbrella policy, it can fit in -- I'd be interested to              
know specifically what sections you are really worried about that,             
in the reauthorized ISTEA, we might be asking to violate because,              
Mr. Chairman, what we have in front of us is a broad policy, we're             
going to set up three broad funding categories, NHS, the TRAAK, the            
CTP program.  We're not asking them to rank and score projects.                
Mr. Chairman, the reauthorized ISTEA, neither version -- Alaska has            
always had many exemptions to the federal regulations on federal               
highway programs to create discretion.  And in both versions of the            
bill - we still have Section 118 exemptions and we're exempt from              
many federal requirements.  And, the implementation of this bill is            
a policy question, and it's a policy question this year or next                
year, or the following year, and to hold the reauthorization of                
ISTEA out there is the reason we're not passing the bill I think               
along Mr. Chairman."                                                           
                                                                               
MR. BRIGHAM stated, the department's sense is, in the                          
reauthorization of ISTEA there are provisions relating to the                  
National Highway System, to enhancements, and to all sorts of                  
things that are different in the two versions if the bill is passed            
out.                                                                           
                                                                               
MR. BRIGHAM said, "We simply believe it's premature.  You could                
wind up with provisions that apply to the National Highway System              
or to enhancements which we believe could be in conflict with the              
way this Section 1 is structured.  And it just seems, procedurally,            
it seems to make a lot more sense to take Section 1, and set it                
aside, deal with it once we know, in other words next year, once we            
know what we have in the way of a federal program that we're                   
relating our programs to."                                                     
                                                                               
MR. ECKLUND stated, "Right now we have a current STIP for 1998, and            
we have a capital budget for 1999, and a STIP for FY 99.  What                 
we're doing in this document is basically codifying what's in this             
STIP.  So, what Mr. Brigham was worried about, if they pass                    
reauthorized ISTEA, if it's going to -- if this bill would violate             
anything - reauthorized ISTEA, they're going to have to change it              
in this document anyway.  So, we're not actually - you're going to             
have to change this document if there's things reauthorized ISTEA              
that this document violates.  Mr. Chairman, I just think it's                  
pretty far fetched, what we've got in this bill is what's in this              
booklet Mr. Chairman for the most part."                                       
                                                                               
REPRESENTATIVE ELTON stated, except for Section 4.                             
                                                                               
Number 0116                                                                    
                                                                               
MR. BRIGHAM responded DOT/PF clearly will change the STIP when they            
have a new ISTEA.  They will have final funding amounts, which                 
their STIP has to be in line with those, and so forth, there's no              
question.  But DOT/PF would change them based on the federally                 
approved process, and so forth, but they would not be constrained.             
Right now DOT/PF is not necessarily constrained by a particular                
state law that says here's how you have to put your STIP together.             
What this would do, it would give DOT/PF that state law, and their             
concern is our state law winds up being at odds with the new                   
federal legislation and then we are in a pickle.  Mr. Brigham                  
stated it is not far fetched, it simply makes good sense.                      
                                                                               
MR. ECKLUND said Alaska, and all states, has always had broad                  
discretion on how they set up their ranking and criteria system to             
come up with a STIP.  They have to have a process that's approved              
by the Federal Highway Administration.  He stated, "This would just            
be the process, that's all they ever asked for is a process, and               
that's what we're asking in the bill, we're kind of codifying a                
process.  So, it wouldn't be in violation of anything Mr.                      
Chairman."                                                                     
                                                                               
MR. BRIGHAM said he would continue to disagree.                                
                                                                               
Number 0132                                                                    
                                                                               
REPRESENTATIVE HUDSON said, from the beginning, what statement by              
the Legislature predicates the current STIP development.  Was there            
guidance put on the record by the Legislature in how to prepare the            
STIP or was that pretty much dictated by the federal government or             
independently by the department?                                               
                                                                               
MR. BRIGHAM responded the guidelines are almost exclusively                    
federal.  He noted a broad state statute exists that essentially               
says, go forth and bring back all the federal money you can.                   
                                                                               
REPRESENTATIVE HUDSON said, "I believe the working draft is a                  
statement on the part of the Legislature to try to direct the                  
influence of whatever funds we get through the federal government              
for public purpose uses.  I think it's part of the Legislature's               
effort to at least have some intent, maybe even some beyond the                
intent - even some requirements of the department when you prepare             
your STIT to try to isolate a percentage of them for this purpose,             
and percentage of them for that purpose.  And I think that is a                
right role for the Legislature because we are the -- if Ramona                 
Barnes were here she would tell you that we are clearly the policy             
setters for the State of Alaska."                                              
                                                                               
Number 0152                                                                    
                                                                               
MS. JACKSON stated Senator Torgerson supports Section 1 and                    
understands some of the concerns of the department.  She said she              
thinks the Legislature is the policy setting board, and there's                
$300 million on the table that the Legislature has not had any                 
direct influence over, and should.                                             
                                                                               
MS. JACKSON mentioned the issue of 20 percent which came up in the             
meeting on Wednesday.  She said Senator Donley's staff was here                
earlier and had an amendment that took it down to 15 percent.  She             
indicated she didn't know what Senator Donley may or may not do                
when it goes over to the Senate.                                               
                                                                               
Number 0165                                                                    
                                                                               
MR. ECKLUND offered a proposed amendment to Section 4, line 5, page            
4.                                                                             
                                                                               
     Delete:  obligated                                                        
                                                                               
     Insert:  used by the Department of Transportation and Public              
     Facilities                                                                
                                                                               
MR. ECKLUND asked Representative Hudson if, that after for, insert             
"federally eligible."                                                          
                                                                               
REPRESENTATIVE HUDSON replied yes.                                             
                                                                               
REPRESENTATIVE COWDERY asked Mr. Ecklund to read it.                           
                                                                               
Number 0173                                                                    
                                                                               
MR. ECKLUND referred to the end of line 4, "shall be used by the               
Department of Transportation and Public Facilities for" and insert:            
                                                                               
     federally eligible new bridge construction across waterways...            
                                                                               
CHAIRMAN WILLIAMS asked if everyone understands the meaning.                   
                                                                               
REPRESENTATIVE MASEK asked Mr. Ecklund to read it.                             
                                                                               
MR. ECKLUND explained, on line 5, just strike the word "obligated"             
and insert "used by the Department of Transportation and Public                
Facilities," keep the next word for, then insert right there                   
"federally eligible."  Between "for" and "new" insert federally                
eligible.  Mr. Ecklund said he believes that was Mr. Brigham's                 
suggestion.                                                                    
                                                                               
Number 0185                                                                    
                                                                               
MR. BRIGHAM replied, "I don't believe this was my suggestion.  I               
just might ask for the intent under 'used,' how used is meant here.            
We may or may not have a technical problem."                                   
                                                                               
MR. ECKLUND read Section 4.                                                    
                                                                               
     Notwithstanding other provisions of state law, not less than              
     one percent of the total federal highway funds apportioned and            
     available to the state for obligation in the statewide                    
     transportation improvement program for federal fiscal years               
     1998 - 2003 shall be used by the Department of Transportation             
     and Public Facilities for federally eligible new bridge                   
     construction across waterways that are part of the national               
     highway system that provide direct access to airports and                 
     other areas.                                                              
                                                                               
Number 0194                                                                    
                                                                               
MR. BRIGHAM asked would you consider "obligated" as a form of                  
"used," in other words, is this intended to broaden the original               
sentence, or is it narrowing.                                                  
                                                                               
MR. ECKLUND replied the term "obligated," as he and as the drafter             
understands it, is when the state is going to do a project, or                 
wants to build a project, or do right-of-way, or design, or some               
portion of a project, they apply to the Federal Highway                        
Administration for approval to do that project.  When the Federal              
Highway Administration signs off and approves that project, they,              
the Federal Highway Administration, have obligated themselves to               
repay those funds.  So, the way it was formally written, with                  
obligated, we could not force the federal government to do                     
anything.  So, we've changed that to say that, that one percent                
shall be used by DOT/PF for federally eligible new bridge                      
construction.                                                                  
                                                                               
MR. BRIGHAM said that's clear enough.                                          
                                                                               
Number 0205                                                                    
                                                                               
REPRESENTATIVE KOOKESH asked does that means, once we go through               
that process, we have one percent available, then you look at the              
projects that have gone through the federal process to be                      
recognized as need funded, then you would take that one percent and            
fund that particular project.                                                  
                                                                               
MR. ECKLUND responded as he sees, is when a project qualifies,                 
under this section, that gets on this STIP, there will be money                
available.                                                                     
                                                                               
REPRESENTATIVE KOOKESH asked did they go through the regular                   
process first.                                                                 
                                                                               
MR. ECKLUND replied yes.                                                       
                                                                               
REPRESENTATIVE KOOKESH stated then that one percent is available,              
then you fund them.                                                            
                                                                               
MR. ECKLUND replied that's how he understands it.                              
                                                                               
Number 0211                                                                    
                                                                               
REPRESENTATIVE ELTON asked, how does this work.  He said, "We're               
saying used for a project that meets these criteria.  In federal               
fiscal years 1998, what does that mean - immediately.  Are we using            
federal fiscal year FY 98 dollars this construction season?"                   
                                                                               
MR. ECKLUND responded we are using federal fiscal year 98                      
construction dollars this season, but the effect of Section 4 is               
that one percent of the total available to the state for the                   
federal fiscal years 98 through 2000 shall be used for a project               
that meets this criteria.  So, we're not affecting any projects                
this year, or any projects in the STIP.                                        
                                                                               
REPRESENTATIVE ELTON said, so, it's not a one percent each year,               
it's an amount equivalent to one percent over those federal fiscal             
years.                                                                         
                                                                               
MR. ECKLUND replied that is correct.                                           
                                                                               
CHAIRMAN WILLIAMS asked if there were any further comments or                  
questions on the amendment.  He asked for a motion to move the                 
amendment.                                                                     
                                                                               
Number 0221                                                                    
                                                                               
REPRESENTATIVE HUDSON made a motion to adopt the proposed                      
amendment.  There being no objections, the amendment was adopted.              
                                                                               
Number 0223                                                                    
                                                                               
REPRESENTATIVE COWDERY offered an amendment to Section 4, line 5,              
delete after waterways, "that part of the national highways                    
system."  He asked Chairman Williams if he would consider that                 
amendment.                                                                     
                                                                               
REPRESENTATIVE ELTON indicated he would consider the proposed                  
amendment if Representative Cowdery offered it.                                
                                                                               
CHAIRMAN WILLIAMS replied, right now, probably not.                            
                                                                               
REPRESENTATIVE COWDERY said, just checking.                                    
                                                                               
CHAIRMAN WILLIAMS asked if there were further comments or questions            
on the bill.                                                                   
                                                                               
Number 0232                                                                    
                                                                               
REPRESENTATIVE ELTON asked Chairman Williams if he wanted motions              
for other amendments, or does he want to wait until after public               
testimony.                                                                     
                                                                               
CHAIRMAN WILLIAMS replied, after the public testimony is closed.               
                                                                               
Number 0236                                                                    
                                                                               
OCIE ADAMS, Road Service Area Supervisor, Service Area 17, and                 
member of the Road Service Area Advisory Board for the Matanuska-              
Susitna (Mat-Su) Borough, testified via teleconference.  He said,              
"The Road Service Area Advisory Board and the Mat-Su Borough have              
supported SB 263 in its original content and we're following this              
bill through to this point.  I have some severe concerns for some              
of the amendments that I've heard put into the bill today, though              
and we will need to discuss these further to continue to support               
it."                                                                           
                                                                               
MR. ADAMS continued, "I think that the allocation of roads through             
airport money, there is (indisc.) provisions in the STIP to                    
prioritize and work up through the system to get those type                    
projects done.  All this amendment will do is circumvent the                   
process and I didn't think we could support that."                             
                                                                               
MR. ADAMS noted they don't support the removal of Section 1 either,            
the Road Service Area supervisors and the Matanuska-Susitna Borough            
staff supports it in its original format.  Mr. Adams said he                   
believes there's information contained in it that protects that                
program from being in conflict with anything.  He read Section 1,              
line 8, 4/15/98 as amended reads:                                              
                                                                               
     The program shall be prepared and revised as frequently as                
     necessary for state participation in federal highway, transit,            
     and transportation programs or, in the absence of a federal               
     requirement, as frequently as the commissioner otherwise                  
     determines appropriate.                                                   
                                                                               
MR. ADAMS stated he doesn't see how we can have this in conflict               
with anything if we have a provision in it to revise it as often as            
necessary to make the program work.                                            
                                                                               
MR. ADAMS said he thinks the original format could be supported by             
the majority of the service areas, if not all the service areas in             
the borough.                                                                   
                                                                               
Number 0256                                                                    
                                                                               
REPRESENTATIVE MASEK asked Mr. Adams if he was looking at the                  
committee's new committee substitute.                                          
                                                                               
MR. ADAMS indicated the Legislative Information Office staff may               
have not given him the most recent version.                                    
                                                                               
CHAIRMAN WILLIAMS mentioned a copy of Version L is being faxed.                
                                                                               
REPRESENTATIVE MASEK asked Mr. Adams if he would review it and                 
provide comments.                                                              
                                                                               
MR. ADAMS responded he needs a few minutes to look over it.                    
                                                                               
Number 0263                                                                    
                                                                               
REPRESENTATIVE ELTON stated he is more comfortable with SB 263 the             
way it got to this committee than he is the way it's leaving this              
committee.  For that reason, he proposed Amendment 2:                          
                                                                               
     Delete: Section 1 and renumbering the subsequent sections.                
                                                                               
CHAIRMAN WILLIAMS objected.                                                    
                                                                               
REPRESENTATIVE ELTON said he thinks the testimony has covered an               
awful lot of what his concerns are and is willing to speak to that,            
but he thinks everybody understands what the issues are.  If                   
anybody has any questions, he indicated he would be more than                  
willing to answer them.                                                        
                                                                               
CHAIRMAN WILLIAMS asked if there were any questions on Amendment 2.            
                                                                               
Number 0273                                                                    
                                                                               
REPRESENTATIVE ELTON made a motion to move Amendment 2.                        
                                                                               
CHAIRMAN WILLIAMS objected.  He said, as he understands it, it                 
helps us set up a broad policy for what we  currently don't' have.             
He asked Representative Elton what his objection is to that.                   
                                                                               
REPRESENTATIVE ELTON pointed out his strongest objection is the way            
it constricts, especially with the inclusion of the 7.3 percent                
which restricts the ability that the department now has in the                 
allocation of funds.  He said he took to heart, to some extent,                
also the concerns that DOT/PF has that we're adopting in statute               
something that we may have to come back and change depending on how            
ISTEA turns out in this Congress.                                              
                                                                               
CHAIRMAN WILLIAMS asked Mr. Ecklund if this currently is the way               
TRAAK money is written in the STIP program.                                    
                                                                               
Number 0282                                                                    
                                                                               
MR. ECKLUND responded that's correct, the way DOT/PF has laid out              
the STIP and funding over the next three years, FY 98, 99, and                 
2000.  In the year 2000 they have programed $24 million to spend on            
the TRAAK program and that is 7.29 percent of the estimated funds              
they had that year.  So, adoption of this bill, with Section 1 in              
it, is not going to push any TRAAK project off the STIP, it just               
puts a ceiling on TRAAK projects and the policy decision is                    
basically that spend enhancement money on TRAAK program and money              
that's eligible for roads, spend on roads.                                     
                                                                               
Number 0290                                                                    
                                                                               
REPRESENTATIVE ELTON said Mr. Ecklund is exactly right, the                    
significant difference is, is that's what they were going to spend.            
The significant difference is, is that takes away the ability to               
change their minds three years out, especially when you couple it              
with subsection (e), page 3.                                                   
                                                                               
     The department may not fund transportation projects that are              
     eligible under federal law as transportation enhancement                  
     projects with federal funds from other funding categories.                
                                                                               
REPRESENTATIVE ELTON stated he understands the desire of some                  
people to codify in law something that is going to be true over the            
next three years, but he objects to tieing the hands beyond that.              
                                                                               
CHAIRMAN WILLIAMS said, "With the problems that we're having                   
throughout the state by not spending enough monies on the road                 
system today, and putting more money into a bicycle path, and this             
sort of enhancements, I still object to the amendment.  I think we             
need to put the money into the road system."                                   
                                                                               
CHAIRMAN WILLIAMS asked for a roll call vote.                                  
                                                                               
REPRESENTATIVE MASEK asked how many motions do we have before us.              
The second one is deleting Section 1.                                          
                                                                               
REPRESENTATIVE ELTON replied deleting Section 1 and renumber                   
accordingly.                                                                   
                                                                               
Number 0305                                                                    
                                                                               
CHAIRMAN WILLIAMS announced Amendment 2 is defeated (vote of 2-5).             
Representatives Elton and Kookesh voted in support of Amendment 2.             
Representatives Masek, Cowdery, Hudson, Sanders and Williams voted             
against it.                                                                    
                                                                               
Number 0309                                                                    
                                                                               
REPRESENTATIVE ELTON offered Amendment 3 which deletes Section 4.              
                                                                               
REPRESENTATIVE HUDSON objected.                                                
                                                                               
REPRESENTATIVE ELTON stated he is uncomfortable with circumventing             
the regular STIP process in this manner.                                       
                                                                               
CHAIRMAN WILLIAMS said this doesn't circumvent it.  He stated he               
also objects to this amendment also.                                           
                                                                               
REPRESENTATIVE MASEK asked for a brief at ease.                                
                                                                               
Number 0314                                                                    
                                                                               
CHAIRMAN WILLIAMS announced the House Transportation Committee is              
at ease.  [Time not indicated].                                                
                                                                               
CHAIRMAN WILLIAMS called the committee back to order.  [Time not               
indicated].                                                                    
                                                                               
REPRESENTATIVE ELTON pointed out that the net effect of deleting               
Section 4 is it would add $3 million a year, over the next five                
years, back into the road program and away from a bridge program.              
                                                                               
CHAIRMAN WILLIAMS said, if there wasn't a bridge project it                    
wouldn't take anything from the road program.                                  
                                                                               
Number 0322                                                                    
                                                                               
CHAIRMAN WILLIAMS asked for a roll call vote.  Representatives                 
Elton and Kookesh voted in support of Amendment 3.  Representatives            
Masek, Cowdery, Hudson, Sanders and Williams voted against it.                 
Therefore, Amendment 3 failed by a vote of 2-5.                                
                                                                               
Number 0326                                                                    
                                                                               
REPRESENTATIVE HUDSON offered Amendment 4, page 4, line 5, after               
"waterways," delete "that are part of the national highway system."            
                                                                               
CHAIRMAN WILLIAMS asked if there are any objections.  There being              
none, Amendment 4 was adopted.                                                 
                                                                               
Number 0330                                                                    
                                                                               
REPRESENTATIVE COWDERY noted there isn't a fiscal note.                        
                                                                               
MR. ECKLUND replied DOT/PF is in the process of developing one to              
the working draft.                                                             
                                                                               
MR. BRIGHAM stated, "Perhaps defer to Dennis (Poshard) on the                  
timing, but I know we've got one in the works."                                
                                                                               
REPRESENTATIVE COWDERY asked when will it be completed.                        
                                                                               
CHAIRMAN WILLIAMS asked and what for.                                          
                                                                               
Number 0334                                                                    
                                                                               
MR. BRIGHAM responded to develop regulations, it takes time and                
money, those are not federally eligible for cost by in large.  He              
said DOT/PF tries to make anything that's federally eligible,                  
eligible, and they would in this case as well.  But, generally the             
federal government says, "No, you can do the federal program                   
without these regulations so they're not eligible."                            
                                                                               
MR. BRIGHAM pointed out there is also a certain amount of time                 
involved in prioritizing and inventorying the secondary roads.  He             
indicated it's not a terrific amount of time.  It's his                        
understanding that the total number is somewhere in the                        
neighborhood of $140,000 to $145,000.                                          
                                                                               
Number 0339                                                                    
                                                                               
CHAIRMAN WILLIAMS asked if these are just on secondary roads that              
your regulations were pertaining to.                                           
                                                                               
MR. BRIGHAM replied, "There are two sets of regulations called for             
here.  One is on Section 1, on the process to put those in                     
regulation, and the second is on Section 2, which is the                       
substandard secondary roads.  Those are separate but related                   
regulatory processes.  We estimate, just in round numbers, about               
$50,000 for process, there's also time involved in - having to get             
through these kind of efforts, we're not inventing time or cost                
here, but there is time in cost involved in inventorying and                   
prioritizing the substandard secondary roads that are described in             
Section 2."                                                                    
                                                                               
Number 0346                                                                    
                                                                               
REPRESENTATIVE COWDERY asked when can we expect a fiscal note on               
this.                                                                          
                                                                               
MR. BRIGHAM replied he would assume later today, DOT/PF will get it            
in here as soon as we can.                                                     
                                                                               
Number 0350                                                                    
                                                                               
DENNIS POSHARD, Legislative Liaison, Office of the Commissioner                
Department of Transportation and Public Facilities came before the             
committee.  He said DOT/PF had a fiscal note prepared and ready to             
go but they had not seen the proposed committee substitute and                 
thought it would not be wise to turn it in prior to looking at the             
committee substitute.  He indicated that he didn't believe it will             
change.  So, it will be available probably within an hour.                     
                                                                               
MR. POSHARD stated, "The fiscal note that we prepared was 143                  
(thousand dollars).  Our original fiscal note was for 43 (thousand             
dollars) and that was for the process for ranking and ordering the             
secondary roads that Mr. Brigham had mentioned and then we've also             
included some money because of the addition of Section 1 for the               
adoption of the regulations."                                                  
                                                                               
Number 0359                                                                    
                                                                               
MR. BRIGHAM said, since it looks like Section 1 will remain in the             
bill, he said he would like to point out a concern in subsection               
(e), of subsection 1.  He stated, "There is, in the early part of              
Section 1, a limit on total TRAAK spending.  The concern I have                
over section (e) is that we some times, for example we're required             
to mitigate environmental impacts, occasionally those mitigations              
take the form of a trail or some kind of landscaping enhancement or            
something like that which would technically be eligible for                    
enhancement funding.  For example, we have a full enhancement                  
program, we've got that, and going onto its way, a road project                
essentially comes along, as part of the environmental process,                 
we're required to mitigate that.  My reading of this would suggest             
that we would be unable to include that mitigation within the road             
project.  That would then be separated out and sent through the                
TRAAK process, and that's a concern.  I would urge the committee if            
you can to adopt, amend, or possibly eliminate this section (e)                
because we're still limiting the TRAAK funding in the early part of            
this bill."                                                                    
                                                                               
MR. ECKLUND said, "This is a STIP and there are many projects where            
they break out ... this was partly funded by the NHS, partly funded            
by transportation enhancements (TE).  There are many projects, Mr.             
Chairman, they identify as they go through the environmental impact            
statement (EIS) and the scope of the project, the eligibility for              
different parts of the project and they break them out.  So I don't            
see that as being a problem.  They identify what they need to do,              
and early on in the project, they know the different funding                   
sources that they have available, they even go as far as a program             
than in the STIP Mr. Chairman."                                                
                                                                               
MR. ECKLUND reiterated the intent of subsection (e) is to limit                
transportation and enhancement eligible projects to transportation             
enhancement funding so they don't use other road eligible funding              
to do TRAAK enhancement projects.  He said that's a policy decision            
and doesn't see it being that much of a problem for DOT/PF.                    
                                                                               
Number 0384                                                                    
                                                                               
REPRESENTATIVE HUDSON asked if it would make the department feel               
somewhat better if we put on the record that we are not talking                
about mitigation projects that are required by the authority that              
makes the approval in this instance.  He said he doesn't believe we            
are.  We're talking about just not mixing apples and oranges.                  
Representative Hudson said it's his understanding, if we pass this             
bill, we are not trying to preclude the department from meeting a              
mitigation responsibility in order to pursue a project.  If that's             
the intent of this bill, then that would satisfy the intent.                   
                                                                               
Number 0391                                                                    
                                                                               
MR. BRIGHAM indicated that it would take care of that concern.  He             
asked, in terms of clarification, "Do you mean though, that the way            
say any of those projects are organized, and the different funding             
sources are called out, and that's acceptable under this, the way              
the STIP is written currently is acceptable under this."                       
                                                                               
MR. ECKLUND said, if in fact, the portion of the project, the TRAAK            
is coded, is funded for transportation enhancements (TE) are TE                
eligible, then yes, that's the intent.                                         
                                                                               
MR. BRIGHAM stated he thinks that takes care of some of DOT/PF's               
concerns, but they will continue to discuss it.                                
                                                                               
CHAIRMAN WILLIAMS asked Mr. Adams if he had a chance to review the             
committee substitute.                                                          
                                                                               
Number 0407                                                                    
                                                                               
MR. ADAMS replied, "I've been talking to the Mat-Su Borough on the             
latest changes.  The..."                                                       
                                                                               
TAPE 98-23, SIDE A                                                             
Number 0001                                                                    
                                                                               
CHAIRMAN WILLIAMS said, "If you feel a little more comfortable,                
this bill is going to go to Finance and you can talk about it at               
this time."                                                                    
                                                                               
MR. ADAMS replied, "I think we're probably too late to affect                  
anything you're going to do today anyway, listening to it."                    
                                                                               
CHAIRMAN WILLIAMS replied yes.                                                 
                                                                               
MR. ADAMS noted it will give the borough an opportunity to digest              
it too because they had lost track of it also.                                 
                                                                               
Number 0012                                                                    
                                                                               
DON ETHERIDGE, Representative, Alaska District Council of Laborers,            
Local 71, came before the committee in opposition to SB 263.  He               
stated Local 71 does have some concerns with this bill because it              
turns over secondary roads to the local governments to take the                
maintenance over.                                                              
                                                                               
MR. ETHERIDGE noted that they might be losing positions for some of            
their maintenance employees that are out there.  He stated, "This              
has happened in the past, there's been several Southeast                       
communities that have taken over their own maintenance.  They do it            
for two or three years, and find out that it's a lot more expensive            
than what they thought it was going to be and they start losing                
their money.  They can't take care of their roads properly, so the             
state has to move back in and start doing the maintenance again.               
In the meantime, our members have been laid off and moved onto                 
something else.  So then all the equipment's moved out, so the                 
state has to pay for moving new equipment back in there, they have             
to find employees to put back into these positions.  And this is               
one the major concerns that we have is that eventually they might              
wind up doing this to all of them and all of our guys will be out              
on the streets that are currently there, and they've been longtime             
public employees."                                                             
                                                                               
MR. ETHERIDGE contined, "When they took over Kake, we had a guy                
that had been there for almost 20 years, he got put out on the                 
streets.  He had to take an early retirement and lost a lot of                 
money -- the same thing over in Hoonah.  And now we've taken over              
Hoonah again, we've taken over Gustavus again, we're in the process            
that the State's taking back Hyder again because of the same                   
issues, that once the local governments find out just how expensive            
it is to take care of those roads, they say, 'Hey, we don't want               
them no more.'  And this is our concern."                                      
                                                                               
Number 0035                                                                    
                                                                               
CHAIRMAN WILLIAMS called an at ease.  [Time not indicated].                    
                                                                               
                                                                               
CHAIRMAN WILLIAMS called them back to order.  [Time not indicated].            
                                                                               
Number 0038                                                                    
                                                                               
REPRESENTATIVE JERRY SANDERS said he intends to vote to move the               
bill today.  He said he understands it is going to the House                   
Finance Committee and hopes they can address some of the questions             
Mr. Etheridge, from Local 71, brought up because he is concerned               
about them.  He indicated he didn't want to hold the bill in                   
committee.                                                                     
                                                                               
CHAIRMAN WILLIAMS remarked he could work more on this bill and make            
assurances that we will have it worked on in Finance.                          
                                                                               
Number 0044                                                                    
                                                                               
CHAIRMAN WILLIAMS adjourned the House Transportation Standing                  
Committee at 3:00 p.m.                                                         
                                                                               
Number 0047                                                                    
                                                                               
CHAIRMAN WILLIAMS called the meeting back to order stating they                
adjourned prematurely.                                                         
                                                                               
Number 0051                                                                    
                                                                               
REPRESENTATIVE HUDSON said, "I wish we would have had benefit of               
your input before, Don [Etheridge], but is there any recommendation            
that you would have, for example it (indisc.) wrapped around                   
informally as to whether or not any road that was transferred over             
had to remain over, or caveat was that it had to be shown to be                
more cost effectively to be done through the local auspices than               
the State auspices."                                                           
                                                                               
MR. ETHERIDGE replied, "What's happened in the past, Representative            
Hudson, was that the municipalities or the local governments would             
take over the roads at the same cost as what the State was doing at            
that present time.  One of the major problems that came out of this            
is when the local government was looking at this cost.  The main               
thing they look at is, 'Oh, this just means to grade the surface of            
that road so we keep it smooth like this.'  They don't consider in             
the cost of guardrails, they don't consider into the cost of                   
maintaining the culverts, they don't consider in the cost of                   
maintaining the roadbed itself, they just look at, 'Oh, they're                
going to pay me $85 a mile to create this road, they're going to               
give me the equipment to do it, so we'll do it for that cost."                 
                                                                               
MR. ETHERIDGE continued, "Well, when it comes down to the actual               
cost of doing this project, and they find out that the roadbed's               
fallen out from under it in a year, well we've got to add cost for             
that.  We've got to add cost because this piece of equipment is                
just about shot, so we've got to go buy a new piece of equipment so            
we're going to add cost for that.  So, after this second or third              
year, they're wanting to triple the cost per mile in order to come             
up with the dollars that it would require to maintain that road.               
And that's one of the problems that we see in calculating all these            
different types of things is this is the problem, is we just look              
at only doing part of the project, we don't look at the whole                  
project in what it consists of all the way through.  And that's                
where I have a major concern over turning these over."                         
                                                                               
Number 0079                                                                    
                                                                               
REPRESENTATIVE SANDERS asked Mr. Etheridge if there is any way that            
this could be worked out to address the problems he has with this              
bill -- if we had some time here.                                              
                                                                               
MR. ETHERIDGE responded that he is sure if there was time we could             
look at it.   He said, "If the true costs were prevailed as to what            
it would cost a municipality, and they had to work at the same                 
thing like our subcontracting language, there would be no problem              
with it because we could prove that they can't do it any cheaper               
than what we can do it.  And with the State being able to buy their            
materials involved, buying their equipment through the fleet                   
process and everything, they can always do it cheaper that way than            
a local community can by buying one or two of these individual                 
pieces."                                                                       
                                                                               
MR. ETHERIDGE concluded that he doesn't know how we could get the              
language put into the bill yet that would give it that protection              
that is in the contract for subcontracting out saying that they                
have to prove that they can do it cheaper than what the State can              
do it.  He said if we could have something in here then it would be            
fine, but there would have to be some way of doing that.                       
                                                                               
Number 0093                                                                    
                                                                               
REPRESENTATIVE HUDSON said he would be willing to work with Mr.                
Etheridge and some of his people to take a look at the language                
that's in his contractual language and be prepared to offer an                 
amendment at the Finance Committee or on the House Floor.  He said             
he believes that the provisions in this bill are good, they are                
wonderful public policy which will lead to more road building and              
more projects and perhaps even meaningful bridge development and               
things of this nature.                                                         
                                                                               
Number 0104                                                                    
                                                                               
REPRESENTATIVE HUDSON made a motion to move CSSB 263 as amended                
with individual recommendations.                                               
                                                                               
REPRESENTATIVE ELTON objected.  He stated that he believes if we're            
going to improve the bill, it should be done here.  Moving it on               
under the assumption that we can fix it, it may work, it may not.              
He said he would like to be part of that process and the way he is             
part of that process is doing it in this committee.                            
                                                                               
Number 0109                                                                    
                                                                               
CHAIRMAN WILLIAMS asked for a roll call vote.  Representatives                 
Masek, Hudson, Sanders, and Williams voted in support of moving SB
263 out of committee.  Representative Elton voted against it.                  
Therefore, HCS CSSB 263(TRA) passed by a vote of 4 to 1 and moved              
from the House Transportation Standing Committee.                              
                                                                               
ADJOURNMENT                                                                    
                                                                               
CHAIRMAN WILLIAMS adjourned the House Transportation Standing                  
Committee at 3:15 p.m.                                                         

Document Name Date/Time Subjects