Legislature(1993 - 1994)

11/04/1993 01:30 PM Senate TRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
         JOINT SENATE AND HOUSE TRANSPORTATION COMMITTEE                       
                         Anchorage, AK                                         
                        November 4, 1993                                       
                           1:30 p.m.                                           
                                                                               
  SENATE MEMBERS PRESENT                                                       
                                                                               
 Senator Bert Sharp, Chairman                                                  
 Senator Randy Phillips, Vice Chairman                                         
 Senator Georgianna Lincoln                                                    
 Senator Tim Kelly                                                             
                                                                               
  SENATE MEMBERS ABSENT                                                        
                                                                               
 Senator Jay Kerttula                                                          
                                                                               
  HOUSE MEMBERS PRESENT                                                        
                                                                               
 Representative Richard Foster, Chairman                                       
 Representative Gary Davis, Vice Chairman                                      
 Representative Bill Hudson                                                    
 Representative Curt Menard                                                    
 Representative Jerry Mackie                                                   
 Representative Eldon Mulder                                                   
 Representative Al Vezey                                                       
                                                                               
 HOUSE MEMBERS ABSENT                                                          
                                                                               
 All members present                                                           
                                                                               
  ALSO PRESENT                                                                 
                                                                               
 Senator Suzanne Little                                                        
 Senator Steve Rieger                                                          
 Representative Gail Phillips                                                  
 Representative Ron Larson                                                     
                                                                               
  COMMITTEE CALENDAR                                                           
                                                                               
 DEPARTMENT OF TRANSPORTATION & PUBLIC FACILITIES STATEWIDE                    
 PRIORITIZATION PLAN                                                           
                                                                               
   TAPE 93-23, SIDE A                                                          
                                                                               
 Number 001                                                                    
                                                                               
 SENATOR BERT SHARP, Chairman of the Senate Transportation                     
 Committee, called the meeting to order at 1:43 p.m.  He noted that            
 the Juneau, Fairbanks, Soldotna and Nome Legislative Teleconference           
 Sites were on-line, and that Representatives Hudson and Davis would           
 be participating in the meeting via the teleconference network.               
 Also, Representative Larson was on-line listening to the meeting.             
                                                                               
 Chairman Sharp said the purpose of the meeting was an overview by             
 the Department of Transportation and Public Facilities of the                 
 process that has been ongoing during the summer and fall months.              
 He then introduced Commissioner Campbell and asked him to proceed             
 with his presentation.                                                        
                                                                               
 Number 041                                                                    
                                                                               
 BRUCE CAMPBELL, Commissioner, Department of Transportation & Public           
 Facilities, in his opening comments introduced his three regional             
 directors:  Steve Sisk, Northern District; Jon Scribner,                      
 Southeastern District; and John Horn, Central District.  He also              
 introduced Mike McKinnon, Chief of Planning in Headquarters and               
 John Tolley, Chief of Planning in the Central District, who were              
 present to respond to questions.                                              
                                                                               
 Commissioner Campbell first spoke to the 1991 Federal Highway Act             
 (ISTEA), which he said gives the states, Alaska included, some                
 flexibility and allows them to do more things with their money, but           
 at a price.  There are a lot more things that they have do in order           
 to comply with the federal law.                                               
                                                                               
 First of all, in order to comply with the federal legislation, the            
 department has to have a program that has a goal, and they then               
 have to prioritize their projects.  Next, there has to be public              
 input on the projects.  He said the federal requirements are                  
 stringent enough now so that, apparently, what is desired in                  
 Washington is that the department listens to everybody who wants a            
 say, even to the extent that they disregard the elected peoples'              
 wishes.                                                                       
                                                                               
 As a result of the federal requirements, the department started               
 holding public hearings in July with the boroughs, the                        
 municipalities, the villages, etc, all over the state.                        
 Commissioner Campbell said he directed his people that the                    
 department was going to take most of their direction, to the extent           
 possible, from the elected representatives.  The department's                 
 number one direction has been to listen to the people who are                 
 elected to represent the citizens of the state.  As a result of               
 these public hearings, the department has defined what the people             
 in each of these regions feel their wants and needs are.                      
                                                                               
 Projects have been listed as number one priorities, number two                
 priorities, number three priorities and number four priorities.               
 The projects for any particular area are included in the order,               
 with rare exception, as they were submitted by the boroughs, etc.             
 The one or two exceptions will be corrected when the list is                  
 republished.                                                                  
                                                                               
 The department still has one more public hearing, and once that is            
 completed, they will go back through the list and make any                    
 corrections, additions or adjustments that they feel are merited.             
 The department will then figure out how many of what year's                   
 projects can be built with the funds available.                               
                                                                               
 Commissioner Campbell noted that at this point in time, they really           
 don't know what any one project is going to cost because they still           
 have to go through their wet lands procedures, Corps of Engineers             
 procedure, obtain permits and do all these things that can have a             
 very major effect on a project's cost.  The same is true with the             
 timing of the projects.  All of these things are more difficult and           
 more time consuming, in many instances, than the design and the               
 construction of the project.                                                  
                                                                               
 Commissioner Campbell directed attention to the department's                  
 priority list, which he said they will break down from the                    
 knowledge they have now and try to forecast which projects have the           
 least restrictions, require the fewest approvals, and in that                 
 respect, are most apt to go first.  They will then prioritize a               
 second time within that list, not based on need, but based on how             
 fast they think they can get the project ready to go to                       
 construction.  Within the next month or six weeks, they will end up           
 with a construction program for the summer of 1994.                           
                                                                               
 Commissioner Campbell said that at this point in time, he is quite            
 happy with the program, and he thinks it is a step in the right               
 direction.   The priority list will serve, essentially, as a long-            
 range program.  Based on some very preliminary guesses, there are             
 probably enough projects on the list to last somewhere between                
 eight and ten years with the present level of funding they have.              
                                                                               
 Number 170                                                                    
                                                                               
 CHAIRMAN SHARP opened the meeting to questions from members of the            
 joint committee.                                                              
                                                                               
 SENATOR KELLY asked if the construction of a new ferry was                    
 contained in the list of projects.  COMMISSIONER CAMPBELL                     
 acknowledged that it was, and he said they are trying to spread the           
 cost of a new ferry to as many fiscal years as they can.  The                 
 Federal Highway Administration has indicated that they would allow            
 the state to spread it over a three-year period.                              
                                                                               
 Number 180                                                                    
                                                                               
 REPRESENTATIVE DAVIS asked what the federal regulations were                  
 relating to the adding of alternates to the list of projects.                 
 COMMISSIONER CAMPBELL answered that if it is a minor access way or            
 approach, perhaps, it could be done without going out to bid, but             
 he didn't think anything of any substance would be in compliance              
 with the state purchasing regulations.                                        
                                                                               
 Number 200                                                                    
                                                                               
 SENATOR RANDY PHILLIPS asked for an update on the Klondike Highway,           
 the Alaska Highway and the Taylor Highway.  COMMISSIONER CAMPBELL             
 answered that they have not yet signed an agreement with the                  
 Canadian government on the Klondike Highway, but as soon as one               
 minor insurance item is resolved, the agreement should go forward.            
 STEVE SISK said they have several projects scheduled for the Alaska           
 Highway, one that starts right at the border, which should be ready           
 to start in the coming year, and another one at the slide at Mile             
 1268.  From Tok toward Glennallen, there is a section under                   
 construction right now, which should be completed in 1995, and                
 there is another section which is currently under design.  The                
 highway from Glennallen to Gakona Junction is also in design for              
 rehabilitation because of foundation failures.  On the Glenn                  
 Highway, from Glennallen west, there is section of highway under              
 construction which should be completed next year, as well another             
 section that the design is complete on.  COMMISSIONER CAMPBELL said           
 a joint resolution has been signed with the Yukon government to try           
 to speed up the loop from Whitehorse to Dawson to Boundary back               
 down to the Alaska Highway at Tetlin Junction in time for the                 
 celebration of the Centennial of the gold rush.                               
                                                                               
 Number 270                                                                    
                                                                               
 REPRESENTATIVE GAIL PHILLIPS asked if when the department was                 
 holding hearings in different communities, did the public                     
 understand that the federal funding was broken down into the                  
 different categories and that, specifically, they have to use some            
 for bike paths, pedestrian pathways, etc.  COMMISSIONER CAMPBELL              
 answered that they explained that in every instance that they                 
 could, but it is one of those things that people don't want to hear           
 and they tend not to listen to it.  He pointed out that the                   
 department has just let the first section of the Seward Highway,              
 and they were successful in getting a big hunk of their safety                
 money used on that project because they are relocating to avoid               
 avalanche chutes.  He said it is a case where they are actually               
 building a new road and satisfying a lot of their safety                      
 requirements, however, the enhancement area is tough.                         
                                                                               
 Number 301                                                                    
                                                                               
 REPRESENTATIVE FOSTER commented that he is pleased with DOT's                 
 commitment to some of the small projects in the villages.  However,           
 he has some RS 2477 projects in his district, and he asked if there           
 is a time frame on these test cases.  COMMISSIONER CAMPBELL                   
 answered that the Department of Natural Resources has put together            
 an excellent staff in Fairbanks that has selected 10 cases and DOT            
 has started the procedure to notify the federal government that the           
 state is claiming the right-of-way on these 10 areas.  He said it             
 remains to be seen what the federal government does or doesn't do,            
 but these are test cases, and as they go, the rest of them will go.           
                                                                               
 Number 344                                                                    
                                                                               
 SENATOR SHARP asked when it would it be most effective for people             
 like himself and other local officials to suggest specific projects           
 that may not be on the list, or they have a problem with the                  
 prioritization.  COMMISSIONER CAMPBELL responded that they are                
 going to try to have the list finalized in the next four to six               
 weeks, but a program such as this has got to have flexibility in it           
 because priorities are going to change, needs are going to change.            
 He said the last public hearing would be held the following week,             
 and he suggested getting any input in within a couple of days after           
 that hearing.                                                                 
                                                                               
 Number 400                                                                    
                                                                               
 SENATOR LINCOLN noted that several Bush communities felt that they            
 were left out of the process totally, and she asked for the                   
 Commissioner's comments on what opportunity the people had to                 
 participate in the hearings held by the department.  She also                 
 expressed her disappointment that there are not more projects on              
 the list relating to roads for water and sewer projects in the                
 rural areas.  MIKE MCKINNON related that while they didn't get to             
 a lot of individual villages for public meetings, they did do a               
 mail-out of the package.  They have also been in phone contact with           
 individual community leaders, working with AFN, and they will soon            
 be participating in the Tribal Providers Conference in December.              
 COMMISSIONER CAMPBELL added that the department's budget doesn't              
 allow them to conduct a public hearing in every community in the              
 state, and the department has tried to have regional public                   
 hearings where they got as close to as many people as they could.             
                                                                               
                                                                               
 Responding to Senator Lincoln's question concerning sewer and water           
 roads, COMMISSIONER CAMPBELL said they have been working with DEC,            
 the Public Health Service and the Bureau of Indian Affairs, and               
 they included every one of those projects that they are ready to go           
 on.                                                                           
                                                                               
 Number 506                                                                    
                                                                               
 SENATOR LINCOLN asked if the department anticipates that they can             
 take care of all of the projects on the list with the money that is           
 available.  COMMISSIONER CAMPBELL answered that all of the projects           
 they have on the list right now will take somewhere around ten                
 years of funding at the present level.  It will take approximately            
 three to four years to get through the priority one projects.  He             
 added that they only have one year of assured funds, which is the             
 $204 million they have for 1994, but they don't know what                     
 obligational ceiling the federal government will put on next year.            
                                                                               
 Number 610                                                                    
                                                                               
 REPRESENTATIVE MULDER said DeBarr Road has been become a major                
 thoroughfare in Anchorage and has become a real problem, and he               
 stated his concern that it is listed as a priority two project and            
 it could be another three to four years before it rates significant           
 repair.                                                                       
                                                                               
 TAPE 93-23, SIDE B                                                            
                                                                               
 Number 001                                                                    
                                                                               
 COMMISSIONER CAMPBELL responded that the department is going to do            
 the best that they can.  For instance, with the Copper River                  
 Highway, which is a $120 million project, if the lawsuit goes on,             
 that project may stay in priority number one, but it may not                  
 require any funding for four or five years.  So the cash that                 
 develops out of that can be quite different than the priority                 
 listing.  He said they are dealing with so many changeable unknowns           
 that about the only thing they are sure of is what their priorities           
 are.                                                                          
                                                                               
 Commissioner Campbell briefly discussed the Copper River Highway              
 project, saying they have not yet negotiated a settlement and he              
 does not know what the timing might be, and that they are not doing           
 anything on the road right now.                                               
                                                                               
 Number 060                                                                    
                                                                               
 JOHN HORN discussed the Whittier project, which he said is on                 
 schedule.  DOT is going through the public hearing process, they              
 are working on an environmental impact statement, which should be             
 done towards end of 1994, and from that point, they will proceed              
 into a design phase.                                                          
                                                                               
 Number 075                                                                    
                                                                               
 REPRESENTATIVE MACKIE asked the Commissioner why the borough ISTEA            
 plan was abandoned.  COMMISSIONER CAMPBELL replied that when he               
 first started looking at the program, he realized there were                  
 several short-comings.  Even though it was a borough transportation           
 plan, it was part of ISTEA and they have to abide by all of the               
 federal rules and regulations or they don't get the money.  The               
 problem with the federal highway monies is that it is on a                    
 reimbursable basis, and if the federal government says they haven't           
 followed all the rules and regulations, they won't give the state             
 the money.  Then the department is in the position of having to go            
 back to the Legislature for a supplemental.  He said in looking               
 over the boroughs that were to be a part of that plan, there were             
 only two or three of the boroughs that had the staff, the knowledge           
 and the expertise to go ahead with that program and not get them              
 into trouble.  Also, there were many of the boroughs, especially              
 the unorganized boroughs, that under the borough transportation               
 plan were required to take over the maintenance of the project                
 after it was built who didn't have the tax base to come up with the           
 dollars necessary to do the maintenance.                                      
                                                                               
 Number 195                                                                    
                                                                               
 REPRESENTATIVE MACKIE asked for the Commissioner's comments on a              
 dedicated fund that would be dedicated strictly towards the                   
 maintenance and operations of the state's highways in the future.             
 COMMISSIONER CAMPBELL said he doesn't have any strong feelings on             
 that one way or the other.  However, one of the things he has                 
 looked at is doubling the gasoline tax, which would produce                   
 approximately $25 million in additional revenue, although that is             
 a long way from funding the maintenance of the highways.  He added            
 that he would have no objection to doubling the gasoline tax                  
 because most of the states now are over 20 cents on the gasoline              
 tax while Alaska is at 8 cents.                                               
                                                                               
 Number 213                                                                    
                                                                               
 SENATOR LITTLE said people on the Kenai Peninsula work very hard at           
 getting their roads on a priority list and then there is a new list           
 and their road is not on it, so they have to start the process all            
 over again.  She asked Commissioner Campbell if he sees this                  
 priority list as one that will be here for the next several years.            
 COMMISSIONER CAMPBELL replied that this is not only a priority                
 list, it is an inventory of the needs for the state.  He thinks               
 that this inventory will go on and on, and each year it will be               
 revised somewhat as the needs advise.  He predicts that next year             
 the process will be very simple because it will just be a process             
 of adding on whatever new priorities have come up and changing                
 priorities as conditions have changed.                                        
                                                                               
 Number 275                                                                    
                                                                               
 REPRESENTATIVE MENARD said it his understanding that next year's              
 budget will be put together with approximately $204 million in                
 ISTEA monies and those monies will be obligated to just priority              
 one projects.  COMMISSIONER CAMPBELL acknowledged that is the case,           
 He added that it is possible that a number two priority could make            
 it somewhere, but with the amount that they have in priority one              
 projects, he doubts that will happen.                                         
                                                                               
 Number 318                                                                    
                                                                               
 REPRESENTATIVE FOSTER said a couple of years ago ISTEA funding was            
 about $160 million and they are now up to about $205 million.  He             
 asked the Commissioner what kind of budgets from the federal                  
 government will the state have to match five or six years down the            
 road.  COMMISSIONER CAMPBELL answered that the amount of money that           
 is allocated to Alaska is set by law, but then the executive branch           
 can set the obligational ceiling at somewhat less than the amount             
 that has been appropriated, and that's the game they have been                
 playing for 20 years.                                                         
                                                                               
 Number 336                                                                    
                                                                               
 REPRESENTATIVE FOSTER said a lot of small villages see a little bit           
 of hope for a little work coming out of the BIA construction fund.            
 He asked if there has been any cooperative role between the state             
 and the BIA to help some of the villages, or do they have to go to            
 one or the other.  MIKE MCKINNON answered that DOT met with the BIA           
 and they are in the process of trying to get a package ready that             
 talks about cooperative funding for borough projects.  COMMISSIONER           
 CAMPBELL added that they don't want to have too much administration           
 in any village, and they would like to combine it so that it is all           
 under one administration.                                                     
                                                                               
 Number 375                                                                    
                                                                               
 REPRESENTATIVE FOSTER pointed out that a lot of buildings like the            
 airport buildings in some of the smaller communities are in sad               
 shape and there has really never been any push by the Legislature             
 to help fund DOT toward the maintenance of those buildings, as well           
 as the replacement of some of the older equipment in some of the              
 smaller communities.  He asked the Commissioner what he saw as the            
 committee's role in giving DOT a hand to help these situations.               
 COMMISSIONER CAMPBELL answered that DOT did get an 11 percent raise           
 in its equipment rental rates going into the next budget year, so             
 they will be generating a little bit more which will be reflected             
 in their maintenance budget.  At this point in time, he thinks the            
 department is on track.                                                       
                                                                               
 Number 419                                                                    
                                                                               
 REPRESENTATIVE FOSTER asked if there has been any progress in                 
 resolving some of the trucking inspection issues between DOT and              
 some of the other departments.  COMMISSIONER CAMPBELL replied that            
 under ISTEA there are 19 sanctions, one of which is vehicle                   
 inspection and enforcement, and they are kind of on the ragged edge           
 on that.  The department is working with the Alaska Trucking                  
 Association and they plan on getting together on November 15 to               
 work out the regulations.  He said the safety records on the                  
 highways are of great concern to him, and part of the problem is              
 that there are not enough police officers to do the day-to-day                
 truck inspection.                                                             
                                                                               
 Commissioner Campbell pointed out that one way to cut down on the             
 maintenance of the state's highways would be to outlaw studded                
 tires like the State of Minnesota has done.  Committee members                
 requested that more information be received on the Minnesota law              
 and how it is working.                                                        
                                                                               
 Number 457                                                                    
                                                                               
 REPRESENTATIVE HUDSON asked if there are many projects that have              
 been appropriated to over several years that are still outstanding            
 accounts and have to paid before they get into the priority one               
 projects.  COMMISSIONER CAMPBELL answered that he didn't know how             
 many outstanding projects they have that might have some                      
 obligation.  He said he thought if they had to clean up something,            
 it would be pretty minor, and that it would have to come out of the           
 $204 million.  STEVE SISK added that they don't have any                      
 outstanding claims that are going to cut into it to any extent at             
 all.                                                                          
                                                                               
 Number 503                                                                    
                                                                               
 REPRESENTATIVE HUDSON asked if the Legislature can have some                  
 assurance that the local input to the total prioritization is going           
 to be listened to.  COMMISSIONER CAMPBELL responded that once they            
 establish their priority list, they are going to follow it.  If               
 they have to change priorities, he said he would hope the                     
 legislative representatives would recognize the need for that.  In            
 researching the past nine years, they found that the department has           
 pretty much held to every project, to every commitment that was               
 made, although it may not have been for the right number of dollars           
 and it may not have been in the year that someone thought it was              
 going to be built.  MIKE MCKINNON said one of the things that the             
 department has heard from local governments across the state is               
 that they need to do a timely and effective job of reporting on the           
 work that they are doing.  COMMISSIONER CAMPBELL agreed that                  
 communication is not at the level it should be at.                            
                                                                               
 TAPE 93-24, SIDE A                                                            
                                                                               
 Number 001                                                                    
                                                                               
 SENATOR RANDY PHILLIPS asked for a clarification on how the list              
 for aviation statewide is developed.  MIKE MCKINNON explained that            
 it is the very same process that is used for the federal highway              
 program.  The projects are discussed with the communities, the                
 projects are ranked at the regional level and submitted to the                
 statewide aviation group in Anchorage, they are then reviewed and             
 submitted to the commissioner.                                                
                                                                               
 SENATOR RANDY PHILLIPS expressed concern that Merrill Field is a              
 heavily used airstrip and is in need of attention.  He also asked             
 the status of land acquisition at Klunie Lake.  JOHN HORN answered            
 that there is a policy committee looking at how to proceed with               
 Klunie Lake.                                                                  
                                                                               
 Number 063                                                                    
                                                                               
 REPRESENTATIVE GAIL PHILLIPS referred to a project in Seldovia and            
 said that when the BIA comes into Alaska to do projects, the way              
 the funding was established and the prohibitions on federal highway           
 policies, not a single person in Seldovia could be hired to do that           
 road project.  She expressed concern that people were brought in              
 from out of state to do a road project in a small community in                
 Alaska.  COMMISSIONER CAMPBELL responded that he was not sure what            
 the BIA rules were in those areas, but it is something they will              
 discuss with them.  He also noted that with federal funds, the                
 state can't discriminate against anybody because of their place of            
 residence.                                                                    
                                                                               
 Number 100                                                                    
                                                                               
 REPRESENTATIVE FOSTER asked for an explanation on an 8 percent tax            
 the state has placed upon ground transportation units at the                  
 Anchorage International Airport.  COMMISSIONER CAMPBELL explained             
 that the state rents space at the airport to car rental agencies.             
 The tax was placed on ground transportation units that do not rent            
 space at the airport and they pay a head tax for anybody they pick            
 up at the airport to get one of their rental cars.                            
                                                                               
 Number 161                                                                    
                                                                               
 REPRESENTATIVE AL VEZEY commented that the priority list is a well            
 balanced list, and he was particularly pleased that the                       
 reconstruction of approximately 25 percent of the Dalton Highway is           
 on the priority one list.  COMMISSIONER CAMPBELL said the Dalton              
 Highway is very important to the state, both from the industrial              
 point of view and the tourist point of view.  The Tanana Chiefs and           
 the Arctic Borough went to court and got the opening of that road             
 closed.  There has been some negotiation with those groups and they           
 have some requests for certain things to happen on that road which            
 the state is attempting to address.  The Department of Public                 
 Safety has put together some estimates for the additional services            
 being requested, and as soon as that gets up on their priority                
 list, DOT may be including that in some requests from the                     
 Legislature.                                                                  
                                                                               
 Number 225                                                                    
                                                                               
 SENATOR LINCOLN said the priority list includes the McGrath Road              
 access, and she asked for assurance that this is, in fact, a road             
 to Kantishna and not to McGrath, because the people of McGrath do             
 not want a road to McGrath.  She expressed the same concern with a            
 road to McCarthy.  COMMISSIONER CAMPBELL said he could not give her           
 that assurance, and that will be determined as the project                    
 develops.  He added that his responsibility is to look to the                 
 overall state need, but in doing so, he would also consider the               
 objections of a local community.                                              
                                                                               
 Number 306                                                                    
                                                                               
 REPRESENTATIVE DAVIS asked when the committee can expect to see a             
 new list of the priority projects, as well as if they know what               
 some of the changes might be.  COMMISSIONER CAMPBELL responded that           
 the new list should be out around December 15 and they hope it will           
 be their final list.  They know that the priority list for the                
 Kenai-Soldotna Borough was not right and they will be correcting              
 it.  MIKE MCKINNON added that there are a few adjustments coming              
 into the department from communities that they will take action on            
 and make available to the public.                                             
                                                                               
 Number 365                                                                    
                                                                               
 REPRESENTATIVE MACKIE asked if it was correct that Jim Ayers would            
 be resigning his position as director of the Alaska Marine Highway            
 System.  He added that should that happen, it will be a tremendous            
 loss to the state and to the ferry system, and he encouraged the              
 commissioner to involve the coastal communities in the effort of              
 selecting a new director.  COMMISSIONER CAMPBELL answered that Mr.            
 Ayers is probably going to be leaving, but that is not final at               
 this moment in time.                                                          
                                                                               
                                                                               
 Number 399                                                                    
                                                                               
 SENATOR SHARP and REPRESENTATIVE FOSTER expressed their                       
 appreciation to Commissioner Campbell and his staff for their                 
 appearance before the committee.                                              
                                                                               
 The meeting was adjourned at approximately 3:45 p.m.                          
                                                                               

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