Legislature(1993 - 1994)
02/18/1993 03:37 PM Senate TRA
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SENATE TRANSPORTATION COMMITTEE
February 18, 1993
3:37 p.m.
MEMBERS PRESENT
Senator Bert Sharp, Chairman
Senator Randy Phillips, Vice Chairman
Senator Tim Kelly
Senator Georgianna Lincoln
MEMBERS ABSENT
Senator Jay Kerttula
COMMITTEE CALENDAR
Presentation - Northern Sea Route by David Orr.
SENATE BILL NO. 82
"An Act relating to the Dalton Highway."
PREVIOUS SENATE COMMITTEE ACTION
SB 82 - See Transportation minutes dated 2/16/93.
WITNESS REGISTER
David Orr,
Department of Commerce
and Economic Development
3601 `C' Street
Anchorage, Alaska 99503-5986
POSITION STATEMENT: Northern Sea Route Presentation.
John Horn, Regional Director
Northern Region
Department of Transportation
and Public Facilities
2301 Peger Road
Fairbanks, Alaska 99709-5316
POSITION STATEMENT: Testified in support of SB 82.
ACTION NARRATIVE
TAPE 93-7, SIDE A
Number 001
CHAIRMAN SHARP called the Senate Transportation Committee to
order at 3:37 p.m. He announced that the committee would be
having a presentation on the Northern Sea Route by David
Orr.
DAVID ORR, Department of Commerce and Economic Development,
said he was before the committee last year asking for
support in the way of a capital appropriation so that the
state could proceed with the northern route transportation
and in looking at domestic application of some of the
technology. He explained he would provide the committee a
briefing of what has been accomplished to date.
Mr. Orr said the northern sea route is a project that has
been in development for almost 600 years. It wasn't until
the 20th century when real thoughts about a northern sea
route began to take hold because of the evolution of
technology. Around 1918 the Soviets began to build a Trans-
Siberian Railroad in an effort to hold their empire together
better. At the same time most of the supplies that came to
Russia during World War II came in through the ice free port
at Murmansk. By the end of World War II, 1945, almost the
entire Russian Soviet merchant marine had been sunk. In
1950, China became communist and had a different philosophy
than communist Russia. In the late 1950s, Russia began work
on constructing the Trans-Baikal Railroad to try to move the
rail line further north from China in case China ever
decided to invade. Mr. Orr said in 1960, decisions were
made to begin major investments in opening the Northern Sea
Routes.
Mr. Orr explained another country that was very important to
Russia was Finland. Because of Finland and its relationship
to Baltic Sea, Finland acquired the technology to begin
building most of the new ships that are now a part of the
Northern Sea Route operation. It has taken almost 30 years
to get to where they are right now. Mr. Orr continued to
show the committee members a map of how supplies flow down
river systems from the Arctic Ocean or up the river systems
to the Arctic Sea Ports where larger marine vessels pick
them up and take them to their intended places. He
explained that currently from Murmansk past Dikson, the
Northern Sea Route is open twelve months a year. Mr. Orr
explained there is about 6,000 miles of Arctic coastline and
showed committee members a map and outlining different sea
routes.
In 1977, Russia sent the first surface ship to the North
Pole and back at an average speed of 11.5 knots. In 1978,
Russia pioneered a great circle route through the Arctic
Ocean down to the Bering Strait at a 11 knot average with
one of their early nuclear powered ice breakers.
Currently, they routinely go back and forth to the North
Pole at speeds in excess of 15 knots carrying up to 90
passengers at a time. He explained that an advantage as to
why Alaska should consider the route is there would be a
two-thirds distance savings from Dutch Harbor on the
Northern Sea Route versus going through the Panama Canal.
Mr. Orr continued to show the committee pictures of
different ice breakers, Russian ports, and discussed how
some whales were rescued off of Point Barrow.
Mr. Orr said currently they are working very hard on some
container shipments at Dutch Harbor. He said he feels
Alaska has more than met the minimums for guaranteed
shipments out of the state for 1993. It will take many
countries, ports, and businesses, to put a lot of ships and
cargos through the Northern Sea Route to bring the cost down
for everybody concerned. The department is now working as
far south as Coos Bay, Oregon, trying to encourage ports and
business to consider the route as an alternate shipping
route on a seasonal basis. The reason is the department is
looking for other opportunities as any particular Alaskan
company may not have 20 thousand tons of product to move at
any one time. The goal is to get cargo moving in both
directions to help drive down the cost. He continued to
show the committee pictures of ice breakers and discussed
the costs and possibilities of ice breaking ferries.
Mr. Orr said the Corps of Engineers has been asked to begin
feasibility studies on the Yukon and Kuskokwim Rivers to see
whether it is socially and economically responsible to
extend the navigation season on both of the river systems.
Opening the route could begin to make an enormous difference
for the people on the rivers in their transportation and the
ability to have better access commercially to domestic and
international markets. We currently spend many thousands of
dollars every year repairing the damage from ice breakup on
each of the river systems. By extending the navigation
season on segments of the river will relieve the pressure on
the major river systems. He noted that the entire Yukon
River system and everything north of the Yukon River is also
exempt from the Jones Act. Mr. Orr continued to show the
committee
pictures and discuss the benefits of opening the Northern
Sea Route.
CHAIRMAN SHARP thanked Mr. Orr for his presentation.
Number 540
The last order of business was SB 82 (OPENING THE DALTON
HIGHWAY).
JOHN HORN, Regional Director, Northern Region, Department of
Transportation and Public Facilities (DOT/PF), said the
Dalton Highway begins at mile post 73 on the Elliott
Highway, 83 miles north of Fairbanks. It ends 414 miles
later at Prudhoe Bay. The road is an all weather gravel
road built by Alyeska. It was turned over to the State of
Alaska October 15, 1978. Originally, the road was closed to
all the commercial traffic north of the Yukon River,
approximately mile post 56. In 1980, it was opened to the
general public to Dietrich during June, July, and August by
legislative action. In 1983, that segment was opened year
around by administrative process. Before that process took
place, there was doom predicted by a lot of people that said
the regular 4-wheel vehicles were not compatible with 18-
wheel trucks.
Mr. Horn explained that the department used to have a year
around check point at Dietrich but budget reductions
eliminated it in 1987. At first it was reduced to a
seasonal operation, and over the last couple of years it
hasn't existed at all. The road is currently a public use
highway. Most of the impact of officially opening the road
to the public has already taken place. There is no
enforcement to the requirement to have a permit. According
to the statute that controls the road, almost anyone who
wants to have a permit can have a permit. All you must have
is a business license and a commercially registered vehicle
or a rental vehicle and a permit will be issued to you. He
said you would have to have a business license that would
cause you to be up there for a reason such as to take
photographs to sell. If you are a miner, you could get a
permit to stake a claim.
Mr. Horn explained that over the last couple of years the
department has been working to open the entire length of the
Dalton Highway year around. That process has been bogged
down in the courts. A restraining order has been issued and
a law suit has been filed by the Tanana Chiefs Conference
(TCC) and the North Slope Borough. The department appealed
suit and it has gone to the Supreme Court. He said he
believes it will be heard in March. The department isn't
sure what the outcome will be, but they are fairly certain
that it will be positive for opening the road.
Mr. said the department's position is that the Dalton
Highway should not be any different from any other road in
the State of Alaska that is maintained by the DOT/PF. He
referred to the fiscal note showing a zero impact and said
the reason is that the department already maintains the road
for heavy truck traffic.
TAPE 93-7, SIDE B
Number 001
The last time the issue came up, there was a small fiscal
note which was for wayside facilities. The Bureau of Land
Management (BLM) is currently in the process of constructing
the facilities. The department's position is that the full
road should be opened to the general public.
CHAIRMAN SHARP said over the last several years there has
been extensive rebuilding on the south end of the road. He
said he believes that last year there was a $5 million
project financed by general funds in the closed area. He
asked if it could have qualified for federal money if the
road was open. Mr. Horn said it could have qualified for
federal funds. He explained that a majority of the road
North of Dietrich to Prudhoe Bay is in need of reshaping and
resurfacing. There are two bridges in that closed section
that need replacement. There is a major problem at the
Kuparuk River as the multi-plate culvert structures may have
to be replaced with a bridge which will cost approximately
$750 thousand. He added that all the work would have to be
done with general fund monies unless the road is opened to
public where it would become eligible for federal highway
funds.
Number 033
SENATOR LINCOLN explained that the Dalton Highway is in her
district and she uses it extensively. She indicated concern
about the trash along both sides of the highway. Senator
Lincoln said she believes that the road is a very unsafe
road with large trucks using it. She questioned the zero
fiscal note where five safety officers would be needed if
the road were opened. She requested a written report as to
what the status is of the ongoing litigation. BLM is also
undertaking a resource management plan for the utility
corridor area. She asked where the state is in that process
and what the recommendations are regarding the subsistence
uses in that area. Senator Lincoln asked what the
industry's position is regarding opening the highway. She
said she believes that Commissioner Batchford has taken the
lead on discussions between the state, TCC, and the North
Slope Borough and questioned what the status is and
indicated that a possible briefing by the commissioner would
be in order. Senator Lincoln said she would like to see a
report from the Department of Fish and Game regarding the
subsistence use that would be impacted by the increased
public access.
CHAIRMAN SHARP noted that at the last hearing on the bill
the Department of Fish and Game discussed the impact on
subsistence users. They indicated that there was confusion
caused by the federal government saying that subsistence
hunting could happen in a five mile corridor contrary to
state law. The road is supposed to be closed five miles on
each side except to bow hunters. The Department of Public
Safety anticipates three people would be needed. They
currently don't have anyone, he concluded.
SENATOR KELLY said he has never supported opening the
highway and believes that it is dangerous. He asked if the
highway would be opened on a seasonal basis or year around.
Chairman Sharp said he would ask the prime sponsor.
SENATOR RANDY PHILLIPS asked Mr. Horn if he knows how the
Dempster Highway compares to the Dalton Highway. Mr. Horn
indicated he hasn't been on the Dempster Highway.
SENATOR LINCOLN asked if the committee could get a briefing
from Commissioner Blatchford. Chairman Sharp said if the
commissioner is available on Tuesday, he would arrange for
him to give a briefing. Senator Lincoln asked if the
committee would be hearing from BLM on the resource
management plan for the utility corridor. Chairman Sharp
said he wasn't planning on it as he has attended several
hearings in Fairbanks and it seems they have everything in
order regarding the corridors and proposed sites for wayside
facilities.
Senator Lincoln asked if the chairman would request a report
on the impact of subsistence use from the Department of Fish
and Game. Chairman Sharp indicated he would if it was
available.
MR. HORN said when the southern half of the road was first
opened, the prediction was that the tundra would be littered
with auto parts from those vehicles that tangled with 4-
wheelers. That has not happened. He referred to the fiscal
note and said he never meant to imply that other agency's
fiscal notes would be the same as DOT/PF.
There being no further testimony, Chairman Sharp indicated
the bill would be heard again at the next meeting.
Chairman Sharp adjourned the Senate Transportation Committee
meeting at 4:45 p.m.
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