00                             HOUSE BILL NO. 109                                                                          
01 "An Act relating to the lease and sale of state land for recreational cabin sites; and                                  
02 providing for an effective date."                                                                                       
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  AS 38.04.020(i) is amended to read:                                                                  
05 (i)  Nothing in this section prevents the disposal of other land by the                                                 
06 commissioner in accordance with AS 38.05.055, 38.05.057, 38.05.070, the issuance of                                     
07 [REMOTE] recreational cabin site leases or sales under AS 38.05.600, AS 38.08,                                          
08       AS 38.09, or other law.                                                                                           
09    * Sec. 2.  AS 38.05.035(e) is amended to read:                                                                   
10 (e)  Upon a written finding that the interests of the state will be best served, the                                    
11 director may, with the consent of the commissioner, approve contracts for the sale,                                     
12 lease, or other disposal of available land, resources, property, or interests in them. In                               
13 approving a contract under this subsection, the director need only prepare a single                                     
14 written finding. In addition to the conditions and limitations imposed by law, the                                      
01 director may impose additional conditions or limitations in the contracts as the director                               
02 determines, with the consent of the commissioner, will best serve the interests of the                                  
03 state. The preparation and issuance of the written finding by the director are subject to                               
04       the following:                                                                                                  
05 (1)  with the consent of the commissioner and subject to the director's                                                 
06 discretion, for a specific proposed disposal of available land, resources, or property, or                              
07       of an interest in them, the director, in the written finding,                                                     
08 (A)  shall establish the scope of the administrative review on                                                          
09 which the director's determination is based, and the scope of the written                                               
10 finding supporting that determination; the scope of the administrative review                                           
11 and finding may address only reasonably foreseeable, significant effects of the                                         
12            uses proposed to be authorized by the disposal;                                                              
13 (B)  may limit the scope of an administrative review and finding                                                        
14            for a proposed disposal to                                                                                   
15                           (i)  applicable statutes and regulations;                                                     
16 (ii)  the facts pertaining to the land, resources, or                                                                   
17 property, or interest in them, that the director finds are material to the                                              
18 determination and that are known to the director or knowledge of which                                                  
19                 is made available to the director during the administrative review; and                                 
20 (iii)  issues that, based on the statutes and regulations                                                               
21 referred to in (i) of this subparagraph, on the facts as described in (ii) of                                           
22 this subparagraph, and on the nature of the uses sought to be authorized                                                
23 by the disposal, the director finds are material to the determination of                                                
24 whether the proposed disposal will best serve the interests of the state;                                               
25                 and                                                                                                     
26 (C)  may, if the project for which the proposed disposal is                                                             
27 sought is a multiphased development, limit the scope of an administrative                                               
28 review and finding for the proposed disposal to the applicable statutes and                                             
29 regulations, facts, and issues identified in (B)(i) - (iii) of this paragraph that                                      
30            pertain solely to the disposal phase of the project when                                                     
31 (i)  the only uses to be authorized by the proposed                                                                     
01                 disposal are part of that phase;                                                                        
02 (ii)  the disposal is a disposal of oil and gas, or of gas                                                              
03 only, and, before the next phase of the project may proceed, public                                                     
04 notice and the opportunity to comment are provided under regulations                                                    
05                 adopted by the department;                                                                              
06                           (iii)  the department's approval is required before the                                       
07                 next phase of the project may proceed; and                                                              
08                           (iv)  the department describes its reasons for a decision                                     
09                 to phase;                                                                                               
10 (2)  the director shall discuss in the written finding prepared and issued                                              
11 under this subsection the reasons that each of the following was not material to the                                    
12       director's determination that the interests of the state will be best served:                                     
13 (A)  facts pertaining to the land, resources, or property, or an                                                        
14 interest in them other than those that the director finds material under (1)(B)(ii)                                     
15            of this subsection; and                                                                                      
16 (B)  issues based on the statutes and regulations referred to in                                                        
17 (1)(B)(i) of this subsection and on the facts described in (1)(B)(ii) of this                                           
18            subsection;                                                                                                  
19 (3)  a written finding for an oil and gas lease sale or gas only lease sale                                             
20       under AS 38.05.180 is subject to (g) of this section;                                                             
21 (4)  a contract for the sale, lease, or other disposal of available land or                                             
22 an interest in land is not legally binding on the state until the commissioner approves                                 
23 the contract, but if the appraised value is not greater than $50,000 in the case of the                                 
24 sale of land or an interest in land, or $5,000 in the case of the annual rental of land or                              
25 interest in land, the director may execute the contract without the approval of the                                     
26       commissioner;                                                                                                     
27 (5)  public notice requirements relating to the sale, lease, or other                                                   
28 disposal of available land or an interest in land for oil and gas, or for gas only,                                     
29 proposed to be scheduled in the five-year oil and gas leasing program under                                             
30       AS 38.05.180(b), except for a sale under (6)(F) of this subsection, are as follows:                               
31 (A)  before a public hearing, if held, or in any case not less than                                                     
01 180 days before the sale, lease, or other disposal of available land or an interest                                     
02 in land, the director shall make available to the public a preliminary written                                          
03 finding that states the scope of the review established under (1)(A) of this                                            
04 subsection and includes the applicable statutes and regulations, the material                                           
05 facts and issues in accordance with (1)(B) of this subsection, and information                                          
06 required by (g) of this section, upon which the determination that the sale,                                            
07 lease, or other disposal will serve the best interests of the state will be based;                                      
08 the director shall provide opportunity for public comment on the preliminary                                            
09            written finding for a period of not less than 60 days;                                                       
10 (B)  after the public comment period for the preliminary written                                                        
11 finding and not less than 90 days before the sale, lease, or other disposal of                                          
12 available land or an interest in land for oil and gas or for gas only, the director                                     
13 shall make available to the public a final written finding that states the scope of                                     
14 the review established under (1)(A) of this subsection and includes the                                                 
15 applicable statutes and regulations, the material facts and issues in accordance                                        
16 with (1) of this subsection, and information required by (g) of this section,                                           
17 upon which the determination that the sale, lease, or other disposal will serve                                         
18            the best interests of the state is based;                                                                    
19 (6)  before a public hearing, if held, or in any case not less than 21 days                                             
20 before the sale, lease, or other disposal of available land, property, resources, or                                    
21 interests in them other than a sale, lease, or other disposal of available land or an                                   
22 interest in land for oil and gas or for gas only under (5) of this subsection, the director                             
23 shall make available to the public a written finding that, in accordance with (1) of this                               
24 subsection, sets out the material facts and applicable statutes and regulations and any                                 
25 other information required by statute or regulation to be considered upon which the                                     
26 determination that the sale, lease, or other disposal will best serve the interests of the                              
27       state was based; however, a written finding is not required before the approval of                                
28 (A)  a contract for a negotiated sale authorized under                                                                  
29            AS 38.05.115;                                                                                                
30                      (B)  a lease of land for a shore fishery site under AS 38.05.082;                                  
31 (C)  a permit or other authorization revocable by the                                                                   
01            commissioner;                                                                                                
02                      (D)  a mineral claim located under AS 38.05.195;                                                   
03                      (E)  a mineral lease issued under AS 38.05.205;                                                    
04 (F)  an exempt oil and gas lease sale or gas only lease sale under                                                      
05 AS 38.05.180(d) of acreage subject to a best interest finding issued within the                                         
06 previous 10 years or a reoffer oil and gas lease sale or gas only lease sale under                                      
07 AS 38.05.180(w) of acreage subject to a best interest finding issued within the                                         
08 previous 10 years, unless the commissioner determines that substantial new                                              
09 information has become available that justifies a supplement to the most recent                                         
10 best interest finding for the exempt oil and gas lease sale or gas only lease sale                                      
11 acreage and for the reoffer oil and gas lease sale or gas only lease sale acreage;                                      
12 however, for each oil and gas lease sale or gas only lease sale described in this                                       
13 subparagraph, the director shall call for comments from the public; the                                                 
14 director's call for public comments must provide opportunity for public                                                 
15 comment for a period of not less than 30 days; if the director determines that a                                        
16 supplement to the most recent best interest finding for the acreage is required                                         
17            under this subparagraph,                                                                                     
18 (i)  the director shall issue the supplement to the best                                                                
19                 interest finding not later than 90 days before the sale;                                                
20 (ii)  not later than 45 days before the sale, the director                                                              
21 shall issue a notice describing the interests to be offered, the location                                               
22                 and time of the sale, and the terms and conditions of the sale; and                                     
23 (iii)  the supplement has the status of a final written best                                                            
24                 interest finding for purposes of (i) and (l) of this section;                                           
25                      (G)  a surface use lease under AS 38.05.255;                                                       
26                      (H)  a permit, right-of-way, or easement under AS 38.05.850;                                       
27 (I)  a recreational cabin site lease or sale under                                                                  
28            AS 38.05.600;                                                                                            
29                 (7)  the director shall include in                                                                      
30 (A)  a preliminary written finding, if required, a summary of                                                           
31 agency and public comments, if any, obtained as a result of contacts with other                                         
01            agencies concerning a proposed disposal or as a result of informal efforts                                   
02            undertaken by the department to solicit public response to a proposed disposal,                              
03            and the department's preliminary responses to those comments; and                                            
04                      (B)  the final written finding a summary of agency and public                                      
05            comments received and the department's responses to those comments.                                          
06    * Sec. 3. AS 38.05.045 is amended to read:                                                                       
07 Sec. 38.05.045. Generally. All land owned in fee by the state or to which the                                         
08 state may become entitled, excepting tide, submerged, or shoreland, and timber or                                       
09 grazing land, may be sold as provided in AS 38.05.045 - 38.05.069 and AS 38.08.                                         
10 However, this section does not prevent the disposition of land as provided in                                           
11 AS 38.05.300, 38.05.321, 38.05.600, 38.05.810 - 38.05.870, 38.05.920, 38.05.945 and                                 
12       38.05.946.                                                                                                      
13    * Sec. 4. AS 38.05.065(b) is amended to read:                                                                    
14 (b)  The contract of sale for land sold under AS 38.05.057, [OR] under former                                       
15 AS 38.05.078, or under AS 38.05.600 shall require the remainder of the purchase                                     
16 price to be paid in monthly, quarterly, or annual installments over a period of not more                                
17 than 30 [20] years. Installment payments plus interest shall be set on the level-                                   
18 payment basis. The interest rate to be charged on installment payments is the rate                                      
19       provided in (i) of this section.                                                                                  
20    * Sec. 5. AS 38.05.125(a) is amended to read:                                                                    
21 (a)  Each contract for the sale, lease, or grant of state land, and each deed to                                        
22 state land, properties, or interest in state land, made under AS 38.05.045 - 38.05.120,                                 
23 38.05.321, 38.05.600, 38.05.810 - 38.05.825, AS 38.08, or AS 38.50 except as                                        
24 provided in AS 38.50.050 is subject to the following reservations: "The party of the                                    
25 first part, Alaska, hereby expressly saves, excepts and reserves out of the grant hereby                                
26 made, unto itself, its lessees, successors, and assigns forever, all oils, gases, coal, ores,                           
27 minerals, fissionable materials, geothermal resources, and fossils of every name, kind                                  
28 or description, and which may be in or upon said land above described, or any part                                      
29 thereof, and the right to explore the same for such oils, gases, coal, ores, minerals,                                  
30 fissionable materials, geothermal resources, and fossils, and it also hereby expressly                                  
31 saves and reserves out of the grant hereby made, unto itself, its lessees, successors,                                  
01 and assigns forever, the right to enter by itself, its or their agents, attorneys, and                                  
02 servants upon said land, or any part or parts thereof, at any and all times for the                                     
03 purpose of opening, developing, drilling, and working mines or wells on these or other                                  
04 land and taking out and removing therefrom all such oils, gases, coal, ores, minerals,                                  
05 fissionable materials, geothermal resources, and fossils, and to that end it further                                    
06 expressly reserves out of the grant hereby made, unto itself, its lessees, successors, and                              
07 assigns forever, the right by its or their agents, servants and attorneys at any and all                                
08 times to erect, construct, maintain, and use all such buildings, machinery, roads,                                      
09 pipelines, powerlines, and railroads, sink such shafts, drill such wells, remove such                                   
10 soil, and to remain on said land or any part thereof for the foregoing purposes and to                                  
11 occupy as much of said land as may be necessary or convenient for such purposes                                         
12 hereby expressly reserving to itself, its lessees, successors, and assigns, as aforesaid,                               
13 generally all rights and power in, to, and over said land, whether herein expressed or                                  
14 not, reasonably necessary or convenient to render beneficial and efficient the complete                                 
15       enjoyment of the property and rights hereby expressly reserved."                                                  
16    * Sec. 6. AS 38.05.600 is repealed and reenacted to read:                                                          
17 Sec. 38.05.600. Recreational cabin sites. (a) The longstanding policy of the                                          
18 state, declared in art. VIII, secs. 1, 2, and 9, Constitution of the State of Alaska, and                               
19 the Alaska Land Act (AS 38.05) has been to encourage the settlement of the state's                                      
20 land and the development of its resources by making land available for the maximum                                      
21 use consistent with the public interest. Consistent with the Constitution of the State of                               
22 Alaska, it is the intent of the legislature that state land be made available to all                                    
23 Alaskans for recreational purposes to promote the maximum use of state land                                             
24       consistent with the public interest.                                                                              
25 (b)  The commissioner shall administer a program for the leasing and sale of                                            
26 state land for recreational cabin sites to eligible applicants. A recreational cabin site                               
27 shall be made available through either a schedule of land offerings issued by the                                       
28 commissioner under (c) of this section or the recreational cabin site nomination                                        
29       process described in (d) of this section.                                                                         
30 (c)  The commissioner shall annually publish a schedule of land offerings that                                          
31 lists areas available for the staking of a recreational cabin site. The department shall                                
01 provide public notice of the annually published schedule of land offerings and of any                                   
02 revisions made to the schedule. An eligible applicant may apply for the lease or sale of                                
03       a recreational cabin site from the schedule of land offerings.                                                    
04 (d)  An eligible applicant may nominate and apply for a lease or sale of up to                                          
05 10 acres of available state land for a recreational cabin site that is not included in the                              
06 commissioner's schedule of land offerings. Nominated land must have legal access or                                     
07 access provided under generally allowed uses and be unencumbered by any easement,                                       
08 right-of-way, or other legal encumbrance so that the surface estate may be leased or                                    
09 sold as provided in this section. A recreational cabin site on nominated land shall be                                  
10 located at least one quarter mile from any other recreational cabin site. The applicant                                 
11 has the burden of demonstrating that nominated land is eligible for lease and sale                                      
12       under this section.                                                                                               
13 (e)  The commissioner may not approve an application for the lease or sale of a                                         
14 recreational cabin site on land that is classified as mineral or oil and gas land unless                                
15 the applicant has held a valid mining claim located on the parcel or contiguous to the                                  
16 parcel for the preceding five years. Notwithstanding (d) of this section, an applicant                                  
17 holding a valid mining claim under this subsection may nominate land that is less than                                  
18       one-quarter mile from another recreational cabin site.                                                            
19 (f)  If the commissioner approves an application, the department shall provide                                          
20 public notice of the intent to sell or lease the land to the applicant. After the time for                              
21 public notice, the commissioner may issue the lease under (g) of this section or sell the                               
22       land under (i) of this section.                                                                                   
23 (g)  The commissioner may issue a lease under this section to an eligible                                               
24 applicant for a term of up to 10 years. Excepting sites under (e) of this section on                                    
25 which a valid mining claim is located, land leased under this section may be used only                                  
26 as a recreational cabin site during the term of the lease. A recreational cabin site lease                              
27 must require that the leased land be surveyed at the cost of the lessee no later than five                              
28 years from commencement of the lease. The commissioner may terminate a lease                                            
29 before its expiration if a lessee fails to use the land in the manner required by the terms                             
30 of the lease. At any time during the lease, the lessee may purchase the recreational                                    
31       cabin site.                                                                                                       
01 (h)  The commissioner shall set annual fees for a lease under this section to                                           
02 ensure that the state receives a fair return for the use granted. After termination of a                                
03 recreational cabin site lease, improvements or personal property remaining on the land                                  
04 shall be managed in the same manner provided in AS 38.05.090 for removal or                                             
05 reversion of improvements upon termination of leases of state land. A lease under this                                  
06       section may be assigned with the consent of the commissioner.                                                     
07 (i)  The commissioner may sell land offered or nominated under this section to                                          
08 an eligible applicant. A sale must be at fair market value, and the purchaser shall pay                                 
09 for the appraisal, platting costs, and a survey if not already completed for the                                        
10 recreational cabin site. For a sale to a lessee under (g) of this section, fair market value                            
11 shall be determined as of the time of entry, and the lessee may apply lease payments to                                 
12       the purchase price.                                                                                               
13 (j)  The commissioner may adopt regulations under AS 44.62 (Administrative                                              
14       Procedures Act) necessary to implement this section.                                                              
15            (k)  In this section,                                                                                        
16 (1)  "eligible applicant" means a resident at least 18 years of age who                                                 
17 has not leased or purchased a recreational cabin site during the 10-year period before                                  
18       submitting an application under this section;                                                                     
19 (2)  "resident" means an individual who has resided in the state for one                                                
20       year immediately preceding an application under this section.                                                     
21    * Sec. 7.  AS 38.05.945(a) is amended to read:                                                                     
22 (a)  This section establishes the requirements for notice given by the                                                  
23       department for the following actions:                                                                             
24 (1)  classification or reclassification of state land under AS 38.05.300,                                           
25 except for land reclassified for lease or sale under AS 38.05.600, and the closing of                               
26       land to mineral leasing or entry under AS 38.05.185;                                                              
27                 (2)  zoning of land under applicable law;                                                               
28                 (3)  issuance of a                                                                                      
29 (A)  preliminary written finding under AS 38.05.035(e)(5)(A)                                                            
30 regarding the sale, lease, or disposal of an interest in state land or resources for                                    
31            oil and gas, or for gas only, subject to AS 38.05.180(b);                                                    
01 (B)  written finding for the sale, lease, or disposal of an interest                                                    
02 in state land or resources under AS 38.05.035(e)(6), except a lease sale                                                
03 described in AS 38.05.035(e)(6)(F) for which the director must provide                                                  
04            opportunity for public comment under the provisions of that subparagraph;                                    
05                 (4)  a competitive disposal of an interest in state land or resources after                             
06       final decision under AS 38.05.035(e);                                                                             
07                 (5)  a preliminary finding under AS 38.05.035(e) concerning sites for                                   
08       aquatic farms and related hatcheries;                                                                             
09                 (6)  a decision under AS 38.05.132 - 38.05.134 regarding the sale,                                      
10       lease, or disposal of an interest in state land or resources;                                                     
11                 (7)  an exchange of state land under AS 38.50;                                                          
12                 (8)  solicitation of competitive interest under AS 38.05.081(c).                                        
13    * Sec. 8.  The uncodified law of the State of Alaska is amended by adding a new section to                         
14 read:                                                                                                                   
15 ELIGIBILITY OF PERSONAL USE CABINS FOR LEASE AND PURCHASE AS                                                            
16 RECREATIONAL CABIN SITES. (a) Notwithstanding any provision in AS 16.20 or                                              
17 AS 41.21 to the contrary or regulations adopted by the Department of Natural Resources                                  
18 under the authority of AS 38.04.035, AS 38.05.020, AS 41.21.020, and AS 44.37.011 that                                  
19 state a personal use cabin permit does not convey any interest in state land or grant any                               
20 preference right for the lease or purchase of state land, the commissioner may                                          
21 (1)  approve a nomination by the holder of a current valid permit for a cabin                                           
22 site and surrounding land under AS 38.05.600, as repealed and reenacted by sec. 6 of this Act,                          
23 and, after public notice, sell or lease to the permit holder the nominated land as a recreational                       
24 cabin site; and                                                                                                         
25 (2)  approve a nomination by a former holder, or an immediate family member                                             
26 of a former holder, of a permit for a cabin site and surrounding land under AS 38.05.600, as                            
27 repealed and reenacted by sec. 6 of this Act, that expired prior to the effective date of this Act,                     
28 and, after public notice, sell or lease to the person or family member the nominated land as a                          
29 recreational cabin site if the person or family member has continuously maintained the                                  
30 personal use cabin at the site.                                                                                         
31 (b)  The department may authorize a recreational cabin site under this section that is                                  
01 less than one-quarter mile from another recreational cabin site.                                                        
02 (c)  The lands affected by this section include those sites listed in the 2025 Personal                                 
03 Use Cabin Permit Master List, located in the office of the director of the division of lands,                           
04 Department of Natural Resources, in Anchorage, Alaska.                                                                  
05 (d)  All dispositions and uses under (a) of this section of lands that are part of a state                              
06 park, state forest, state game refuge, state wildlife refuge, state game sanctuary, state                               
07 recreational area, state recreational river, state wilderness park, state marine park, state special                    
08 management area, state public use area, critical habitat area, bald eagle preserve, bison range,                        
09 or moose range are confirmed and ratified. In considering whether to approve a nomination                               
10 under this subsection, the commissioner shall consider whether the disposal is consistent with                          
11 the uses of the land, including the preservation of public access. Land subject to this                                 
12 subsection may be leased or sold regardless of its classification.                                                      
13    * Sec. 9.  The uncodified law of the State of Alaska is amended by adding a new section to                         
14 read:                                                                                                                   
15 TRANSITION. (a) A lease executed under AS 38.05.600 before the effective date of                                        
16 this Act and in effect on the effective date of this Act is not subject to AS 38.05.600, as                             
17 repealed and reenacted by sec. 6 of this Act, and shall continue in effect pursuant to its terms.                       
18 (b)  Land leased or sold under AS 38.05.600 before the effective date of this Act is a                                  
19 recreational cabin site for the purpose of AS 38.05.600(k)(1), as repealed and reenacted by                             
20 sec. 6 of this Act.                                                                                                     
21    * Sec. 10.  Section 8 of this Act is repealed June 30, 2032.                                                       
22    * Sec. 11.  This Act takes effect immediately under AS 01.10.070(c).