HCS CSSB 7(FIN): "An Act relating to the University of Alaska and university land and authorizing the University of Alaska to select additional state land."
00HOUSE CS FOR CS FOR SENATE BILL NO. 7(FIN) 01 "An Act relating to the University of Alaska and university land and authorizing 02 the University of Alaska to select additional state land." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. The uncodified law of the State of Alaska is amended by adding a new 05 section to read: 06 FINDINGS AND PURPOSE. The legislature finds that 07 (1) as the beneficiary under the provisions of the Acts of August 30, 1890, and 08 March 4, 1907, designating the Alaska Agricultural College and School of Mines as 09 beneficiary, and of March 4, 1915, 38 Stat. 1214, transferring certain land for its location and 10 support, the University of Alaska is a land grant university; 11 (2) under the Acts of March 4, 1915, 38 Stat. 1214, and January 21, 1929, 45 12 Stat. 1091, the Congress of the United States granted to the Territory of Alaska certain federal 13 land to be held in trust for the benefit of the predecessor of the University of Alaska; 14 (3) the Territory was unable to receive most of the land conveyed by the Act
01 of March 4, 1915, before repeal of that Act by Sec. 6(k) of the Alaska Statehood Act (P.L. 85- 02 508, 72 Stat. 339); 03 (4) the Congress of the United States granted the State of Alaska the right to 04 select 102,500,000 acres of federal land under Sec. 6(b) of the Alaska Statehood Act; 05 (5) the land selection rights embodied in the Alaska Statehood Act reflect in 06 part congressional recognition that the state would need the land to support its government and 07 programs, and the Congress assumed that the State of Alaska would in turn devote some of 08 the land or the income from it for the use and benefit of the University of Alaska; 09 (6) most land grant colleges in the western United States have obtained a larger 10 land grant from the federal government than the University of Alaska has received; 11 (7) an academically strong and financially secure state university system is a 12 cornerstone to the long-term development of a stable population and to a healthy, diverse 13 economy in the state; 14 (8) it is in the best interests of the state and the University of Alaska that the 15 university take ownership of a significant and substantial portfolio of income producing land 16 in order to provide income for the support of public higher education in the state; and 17 (9) renewable resources should be managed on a sustained yield basis, taking 18 into account the total land grant. 19 * Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section 20 to read: 21 LEGISLATIVE INTENT. It is the intent of the legislature that the University of 22 Alaska 23 (1) receive land under this Act in an expeditious fashion; and 24 (2) encourage the development of in-state value-added industries to the 25 maximum extent feasible when developing land conveyed under AS 14.40.365. 26 * Sec. 3. AS 14.40.170(a) is amended to read: 27 (a) The Board of Regents shall 28 (1) appoint the president of the university by a majority vote of the 29 whole board, and the president may attend meetings of the board; 30 (2) fix the compensation of the president of the university, all heads of 31 departments, professors, teachers, instructors, and other officers;
01 (3) confer such appropriate degrees as it may determine and prescribe; 02 (4) have the care, control, and management of 03 (A) all the real and personal property of the university; and 04 (B) land 05 (i) conveyed to the Board of Regents by the 06 commissioner of natural resources in the settlement of the claim of the 07 University of Alaska to land granted to the state in accordance with the 08 Act of March 4, 1915 (38 Stat. 1214), as amended , and in accordance 09 with the Act of January 21, 1929 (45 Stat. 1091), as amended; and 10 (ii) selected by the University of Alaska and conveyed 11 to it by the commissioner of natural resources under AS 14.40.365; 12 (5) keep a correct and easily understood record of the minutes of every 13 meeting and all acts done by it in pursuance of its duties; 14 (6) under procedures to be established by the commissioner of 15 administration, and in accordance with existing procedures for other state agencies, 16 have the care, control, and management of all money of the university and keep a 17 complete record of all money received and disbursed; 18 (7) adopt reasonable rules for the prudent trust management and the 19 long-term financial benefit to the university of the land of the university; 20 (8) provide public notice of sales, leases, exchanges, and transfers of 21 the land of the university or of interests in land of the university. 22 * Sec. 4. AS 14.40.291 is amended to read: 23 Sec. 14.40.291. Land of the University of Alaska not public domain land. 24 (a) Notwithstanding any other provision of law, university-grant land, state 25 replacement land that becomes university-grant land on conveyance to the university, 26 land selected by and conveyed to the University of Alaska under AS 14.40.365, and 27 any other land owned by the University of Alaska is not and may not be treated as 28 state public domain land. Land conveyed to the University of Alaska under 29 AS 14.40.365 shall be managed under AS 14.40.365 - 14.40.368 and policies of the 30 Board of Regents of the University of Alaska. 31 (b) Title to or interest in [TO] land described in (a) of this section may not
01 be acquired by adverse possession, prescription, or in any other manner except by 02 conveyance from the university. 03 (c) The land described in (a) of this section is subject to condemnation for 04 public purpose in accordance with law. 05 * Sec. 5. AS 14.40 is amended by adding new sections to read: 06 Sec. 14.40.365. University land from Statehood Act land selection 07 conveyances. (a) The University of Alaska may select and is entitled to receive the 08 conveyance of not less than 250,000 and not more than 260,000 acres of land 09 conveyed to the state under Sec. 6(b) of the Alaska Statehood Act (P.L. 85-508, 72 10 Stat. 339). The Board of Regents of the University of Alaska shall periodically submit 11 a list of selections to the commissioner of natural resources and, if the list of selections 12 contains land within the boundaries of a municipality, the Board of Regents of the 13 University of Alaska shall submit the list to the municipality. The Board of Regents 14 and the commissioner of natural resources shall periodically and jointly submit to the 15 legislature, within 30 days of the beginning of a regular legislative session, a list of 16 the selections of land proposed to be conveyed by the state to the University of Alaska 17 under this section. If the list submitted to the legislature contains land within the 18 boundaries of a municipality, the Board of Regents and the commissioner of natural 19 resources shall provide a copy of the list to the municipality. Each list must contain 20 not more than 25 percent of the total acres of land to which the university is entitled 21 after subtracting previous conveyances under this section, but not less than 25,000 22 acres or the remaining entitlement under this section, whichever is less. A list of 23 selections submitted shall be considered approved for conveyance to the University of 24 Alaska unless the legislature acts to disapprove the list during the legislative session 25 during which the list was submitted. If the amount of land to be conveyed exceeds 26 the balance due the university under this section, the university shall set out the land 27 to be conveyed in priority order. Land may not be selected if, on the date of its 28 selection by the university, it 29 (1) has been reserved by law from the public domain; 30 (2) is located within a municipality unless the land is vacant, 31 unappropriated, unreserved land; if land included on the list of selections is selected
01 by the municipality with remaining selection rights under AS 29.65 within 120 days 02 of receiving the Board of Regents' list of selections under this subsection, the 03 university may not select the land unless a binding agreement between the university 04 and the municipality is negotiated to allow the selection; if the municipal selection is 05 disapproved, in whole or in part, the university may select the land, or any available 06 portion of the land, and that selection will relate back to the date of the Board of 07 Regents' list of selections under this subsection and shall have priority over all other 08 selections or claims made subsequent to that notice; in this paragraph, "vacant, 09 unappropriated, unreserved land" has the meaning given in AS 29.65.130; 10 (3) is land 11 (A) included in a five-year proposed oil and gas leasing 12 program under AS 38.05.180(b); or 13 (B) leased under, or for which a lease application is pending 14 under, AS 38.05.180(d) or 38.05.150; 15 (4) is subject to 16 (A) an oil, gas, or coal lease, or coal prospecting permit; 17 (B) a mining claim, offshore prospecting permit, a prospecting 18 site, an upland mining lease, or a mining leasehold location; 19 (5) is necessary to carry out the purpose of an interagency land 20 management agreement; or 21 (6) is subject to conveyance under a land exchange or land settlement 22 agreement. 23 (b) Notwithstanding AS 38.05.125(a), the transfer of ownership and 24 management of land from the Department of Natural Resources to the Board of 25 Regents of the University of Alaska under this section includes the interest of the state 26 in 27 (1) the coal, ores, minerals, fissionable materials, geothermal resources, 28 and fossils that may be in or on the land; and 29 (2) the oil and gas that may be in or on the land, but only as to land 30 that is selected by the University of Alaska under this section on and after the date that 31 is the third anniversary of the effective date of this section.
01 (c) When the University of Alaska selects the land to which it is entitled under 02 this section, selections must be made in parcels of 40 acres or larger unless the 03 selection is an isolated tract or the commissioner of natural resources finds it is in the 04 best interest of the state to convey less. When the University of Alaska becomes 05 entitled to land under this section, the commissioner of natural resources shall convey 06 a document of interim conveyance under (j) of this section or a patent to land. 07 (d) Notwithstanding any other provision of law, for land selected under (a) of 08 this section but not yet patented to the University of Alaska or for which a document 09 of interim conveyance has not been issued to the University of Alaska under this 10 section, 11 (1) the state, with the concurrence of the University of Alaska, is 12 authorized to enter into contracts and grant leases, licenses, prospecting sites, claims, 13 permits, rights-of-way, or easements and any interim conveyance or patent shall be 14 subject to the contract, lease, license, prospecting site, claim, permit, right-of-way, or 15 easement, except that the authority granted the state by this paragraph is the authority 16 that the state otherwise would have had under existing laws and regulations had the 17 land not been selected by the University of Alaska; 18 (2) income from and management of the land is subject to 19 AS 14.40.368. 20 (e) The list of selections of land submitted to the legislature may not include 21 a land selection made by the University of Alaska under this section if the 22 commissioner of natural resources determines in writing that the proposed selection 23 (1) includes land that the commissioner, in consultation with the 24 commissioner of fish and game, determines has demonstrated value to the public as 25 a habitat area that is especially critical to the perpetuation of fish or wildlife; 26 (2) includes land for which, at the time of its selection under this 27 section, a municipality has made a selection under AS 29.65 unless the land selection 28 is, at a later date, rejected by the commissioner of natural resources or relinquished by 29 the municipality; 30 (3) includes land that the commissioner reasonably believes may be 31 selected by a newly formed municipality under AS 29.65.030, but the commissioner
01 may not withhold selection under this paragraph for more than three years after the 02 municipality's incorporation; 03 (4) includes land within the boundaries of a municipality, the 04 municipality has a remaining entitlement under AS 29.65, and the municipality selects 05 the land under AS 29.65 within 120 days after receipt by the municipality of the Board 06 of Regents' list of selections under (a) of this section; 07 (5) includes land that, at the time of its selection under this section, 08 (A) is subject to an oil and gas exploration license; or 09 (B) the commissioner reasonably believes will be made part of 10 an oil and gas exploration license issued under AS 38.05.131 - 38.05.134; the 11 commissioner may not refuse to convey title to land to the University of Alaska 12 under this subparagraph for more than two years after its first selection by the 13 University of Alaska; or 14 (6) includes land the commissioner of natural resources reasonably 15 believes would not be in the best interests of the state to convey outside of state 16 ownership. 17 (f) When land is conveyed to the University of Alaska under this section, the 18 University of Alaska takes the land subject to any valid possessory interest held by 19 another person on the effective date of the conveyance. 20 (g) In conveying land to the University of Alaska under this section, the 21 commissioner of natural resources shall give public notice that substantially complies 22 with notice requirements under AS 38.05.945(b) and (c) and provide for access under 23 AS 38.05.127, but other provisions of AS 38.04 and AS 38.05 do not apply. 24 (h) Land transferred or conveyed to the University of Alaska under this section 25 (1) is subject to 26 (A) Sec. 6(i) of the Alaska Statehood Act (P.L. 85-508, 72 Stat. 27 339); 28 (B) art. IX of the state constitution; 29 (C) AS 19.10.010; 30 (D) the payment requirements to the Alaska permanent fund 31 under AS 37.13.010(a) and (b); and
01 (E) any easement, right-of-way, or other access under former 02 43 U.S.C. 932 (sec. 8, Act of July 26, 1866, 14 Stat. 253); 03 (2) excludes any interest transferred to the state by quitclaim deed dated 04 June 30, 1959, under authority of the Alaska Omnibus Act, P.L. 86-70, 73 Stat. 141; 05 (3) based on a land selection filed by the University of Alaska on or 06 after the effective date of this section and until the day before the day that is the third 07 anniversary of the effective date of this section, is subject to reservation by the state 08 in perpetuity of all oil and gas that may be in or on the land, together with the right 09 to explore the land for oil and gas and to remove from the land all oil and gas located 10 in and on it. 11 (i) The University of Alaska shall bear all of its own costs of selection, 12 platting, surveying, and, except as provided in (k) of this section, conveyance of the 13 land that it selects under this section and, subject to appropriation, shall reimburse the 14 Department of Natural Resources for the reasonable costs incurred by that department 15 relating to that selection, platting, surveying, and conveyance. As to land due the 16 University of Alaska under (c) of this section, 17 (1) if the land has been surveyed, the boundaries of the land conveyed 18 must conform to the public land subdivisions established by the approved survey; 19 (2) if the land is unsurveyed, the commissioner shall survey the exterior 20 boundaries of the land to be conveyed without interior subdivision and shall issue 21 patent in terms of the exterior boundary survey within one year of the later of the 22 effective date of the approval by the legislature of the list containing the land or the 23 adjournment of the legislative session during which the list containing the land was not 24 disapproved by the legislature. 25 (j) For land due the University of Alaska under (c) of this section that is 26 unsurveyed, pending the survey of exterior boundaries and issuance of patent, the 27 commissioner of natural resources shall, within one year of the later of the effective 28 date of the approval by the legislature of the list containing the land or the 29 adjournment of the legislative session during which the list containing the land was not 30 disapproved by the legislature, prepare and provide to the University of Alaska a 31 document of interim conveyance for the land to be conveyed.
01 (k) Management of land conveyed to the University of Alaska by patent or by 02 a document of interim conveyance vests with the University of Alaska from the date 03 of recording of the patent or document of interim conveyance. The state shall pay the 04 cost of recording all patents and documents of interim conveyance. 05 (l) The University of Alaska may not make a land selection under this section 06 after December 31, 2010. 07 (m) The commissioner of natural resources, when conveying land under this 08 section, shall reserve easements, rights-of-way, and other forms of access 09 (1) required under the Constitution of the State of Alaska or other law; 10 and 11 (2) sufficient to ensure reasonable access to the public to all navigable 12 and public water under AS 38.05.127. 13 (n) The University of Alaska may seek review of the decision of the 14 commissioner of natural resources under (e) of this section through the process 15 established by the Department of Natural Resources. 16 Sec. 14.40.366. Management requirements for university land. (a) The 17 Board of Regents shall, by policy, establish procedures for mineral entry or location 18 and mineral leasing on university land selections made under AS 14.40.365 that are 19 consistent with the Constitution of the State of Alaska and the Alaska Statehood Act 20 (P.L. 85 - 508, 72 Stat. 339). 21 (b) Notwithstanding other provisions of law, the University of Alaska shall 22 seek public comment on proposals for development, exchange, or sale of university 23 selections made under AS 14.40.365. The Board of Regents shall adopt policies that 24 provide that the university shall prepare an annual plan for management and 25 disposition of university land under this section and shall, not less than 60 days before 26 scheduled approval by the Board of Regents of the plan, 27 (1) make copies of the plan available at all legislative information 28 offices and at other locations as the university may designate; 29 (2) publish a notice in newspapers of general circulation in the state 30 that provides the public with information on the locations where the plan is available 31 for public inspection;
01 (3) give notice to all legislators and to local governments with 02 jurisdiction over the land affected by the proposal; and 03 (4) seek public comment on the annual plan before action by the Board 04 of Regents approving the plan. 05 (c) Subject to appropriation of the income, the Board of Regents shall use an 06 amount up to 20 percent of the earnings derived from the management of university 07 land conveyed to the university under AS 14.40.365 for programs and services 08 supporting the development of natural resources within the region from which the 09 earnings were derived. The earnings shall be used by the campus or campuses located 10 within the region from which the earnings were derived if a municipality within which 11 the campus or campuses are located provides to the campus or campuses a match of 12 the same amount. This subsection does not apply if the match is not made available 13 by a municipality. 14 (d) Before the conveyance or the disposal of an interest in the land to a third 15 party, land conveyed to the University of Alaska under AS 14.40.365 shall be managed 16 in a manner that, to the extent practicable, permits reasonable activities of the public 17 that do not interfere with the use or management of the land by the university. The 18 Board of Regents shall adopt a permitting process consistent with this subsection. 19 Sec. 14.40.367. Confidential records. Notwithstanding AS 09.25.100 - 20 09.25.220, on a determination that it is in the best interest of the University of Alaska 21 or on the request of the person who has provided the information, the president of the 22 university may keep the following confidential: 23 (1) the name of a person applying for the sale, lease, or other disposal 24 of university land or an interest in university land; 25 (2) before the issuance of a notice of intent to award a contract relating 26 to a sale, lease or disposal of university land or an interest in university land, the 27 names of the participants and the terms of their offers; 28 (3) all geological, well, geophysical, engineering, architectural, sales, 29 market, cost, appraisal, timber cruise, gross receipts, net receipts, or other financial 30 information relating to university land or an interest in university land and considered 31 for, offered for, or currently subject to disposal or a contract;
01 (4) cost data and financial information submitted by an applicant in 02 support of applications for bonds, leases, or other information in offerings and ongoing 03 operations relating to management of university land; 04 (5) applications for rights-of-way or easements across university land; 05 and 06 (6) requests for information about or applications by public agencies 07 for university land that is being considered for use for a public purpose. 08 Sec. 14.40.368. Encumbrances and trespasses. Except as provided in 09 AS 14.40.365(b), for the land selected by the University of Alaska under AS 14.40.365 10 that is subject to a lease, license, contract, prospecting site, claim, sale, permit, right- 11 of-way, or easement, or to trespass, 12 (1) if the lease, license, contract, prospecting site, claim, sale, permit, 13 right-of-way, easement, or trespass 14 (A) existed before the selection of the land by the University 15 of Alaska, the state is entitled to receive the income obtained from the lease, 16 license, contract, prospecting site, claim, sale, permit, right-of-way, easement, 17 or trespass until the land is conveyed to the University of Alaska by the 18 issuance of a document of interim conveyance or a patent; 19 (B) did not exist before the selection of the land by the 20 University of Alaska, the income obtained from the lease, license, contract, 21 prospecting site, claim, sale, permit, right-of-way, or easement, or from trespass 22 (i) before the recording of the conveyance to the 23 University of Alaska by the issuance of a document of interim 24 conveyance or a patent shall be separately accounted for under 25 AS 37.05.142, and the legislature may appropriate the balance of the 26 account to the University of Alaska; nothing in this sub-subparagraph 27 creates a dedicated fund; 28 (ii) on the date of and after the recording of the 29 conveyance to the University of Alaska by the issuance of a document 30 of interim conveyance or a patent is the property of the University of 31 Alaska;
01 (2) the responsibility for the management of the land vests with the 02 University of Alaska on the date of recording of the conveyance of the land to the 03 university by a document of interim conveyance or patent. 04 * Sec. 6. AS 14.40.400(a) is amended to read: 05 (a) The Board of Regents shall establish a separate endowment trust fund in 06 which shall be held in trust in perpetuity all 07 (1) [ALL] net income derived from the sale or lease of the land granted 08 under the Act of Congress approved January 21, 1929, as amended; [AND] 09 (2) net income derived from the sale, lease, or management of the 10 land selected by and conveyed to the University of Alaska under AS 14.40.365; 11 and 12 (3) [ALL] monetary gifts, bequests, or endowments made to the 13 University of Alaska for the purpose of the fund. 14 * Sec. 7. AS 14.40 is amended by adding a new section to read: 15 Sec. 14.40.461. University demonstration forest. (a) For the purpose of 16 advancing research into forest management practices, from land conveyed to the 17 University of Alaska under AS 14.40.365 that is suitable for the purpose, the Board 18 of Regents may establish a University of Alaska demonstration forest. 19 (b) The demonstration forest shall be managed under 20 (1) the principles of multiple use and sustained yield; and 21 (2) a management plan prepared by the University of Alaska in 22 consultation with residents of any community within or adjacent to the demonstration 23 forest. 24 (c) The Board of Regents shall 25 (1) include within the demonstration forest sufficient land that is within 26 one watershed so that management of the resources of the demonstration forest under 27 multiple-use and sustained yield principles applicable to forest land within a watershed 28 may be fairly tested and evaluated; and 29 (2) analyze possible timber utilization programs for the demonstration 30 forest to illustrate how timber in the forest can be completely and profitably used, 31 including, to the extent possible, on-site or off-site value-added product manufacture
01 in the state. 02 (d) The information generated as a result of management of the demonstration 03 forest established under this section is public information. The Board of Regents shall 04 compile, analyze, and distribute the information for the benefit of the timber industry 05 and the state and federal governments. 06 (e) In this section, "sustained yield" has the meaning given in AS 41.17.950. 07 * Sec. 8. AS 29.45.030(a) is amended to read: 08 (a) The following property is exempt from general taxation: 09 (1) municipal property, including property held by a public corporation 10 of a municipality, [OR] state property, property of the University of Alaska, or land 11 that is in the trust established by the Alaska Mental Health Enabling Act of 1956, P.L. 12 84-830, 70 Stat. 709, except that 13 (A) a private leasehold, contract, or other interest in the 14 property is taxable to the extent of the interest; 15 (B) notwithstanding any other provision of law, property 16 acquired by an agency, corporation, or other entity of the state through 17 foreclosure or deed in lieu of foreclosure and retained as an investment of a 18 state entity is taxable; this subparagraph does not apply to federal land granted 19 to the University of Alaska under AS 14.40.380 or 14.40.390, [OR] to other 20 land granted to the university by the state to replace land that had been granted 21 under AS 14.40.380 or 14.40.390 , or to land conveyed by the state to the 22 university under AS 14.40.365 ; 23 (C) an ownership interest of a municipality in real property 24 located outside the municipality acquired after December 31, 1990, is taxable 25 by another municipality; however, a borough may not tax an interest in real 26 property located in the borough and owned by a city in that borough; 27 (2) household furniture and personal effects of members of a 28 household; 29 (3) property used exclusively for nonprofit religious, charitable, 30 cemetery, hospital, or educational purposes; 31 (4) property of a nonbusiness organization composed entirely of persons
01 with 90 days or more of active service in the armed forces of the United States whose 02 conditions of service and separation were other than dishonorable, or the property of 03 an auxiliary of that organization; 04 (5) money on deposit; 05 (6) the real property of certain residents of the state to the extent and 06 subject to the conditions provided in (e) of this section; 07 (7) real property or an interest in real property that is exempt from 08 taxation under 43 U.S.C. 1620(d), as amended; 09 (8) property of a political subdivision, agency, corporation, or other 10 entity of the United States to the extent required by federal law; except that a private 11 leasehold, contract, or other interest in the property is taxable to the extent of that 12 interest; 13 (9) natural resources in place including coal, ore bodies, mineral 14 deposits, and other proven and unproven deposits of valuable materials laid down by 15 natural processes, unharvested aquatic plants and animals, and timber. 16 * Sec. 9. AS 41.17.118(a) is amended to read: 17 (a) The riparian standards for state land and land conveyed to the University 18 of Alaska under AS 14.40.365 are as follows: 19 (1) on state forest land managed by the department or conveyed to the 20 University of Alaska under AS 14.40.365 that is located north of the Alaska Range, 21 harvest of timber may not be undertaken within 100 feet immediately adjacent to an 22 anadromous or high value resident fish water body unless the division determines that 23 adequate protection remains for the fish habitat; 24 (2) on state forest land managed by the department or conveyed the 25 University of Alaska under AS 14.40.365 that is located south of the Alaska Range, 26 (A) harvest of timber may not be undertaken within 100 feet 27 immediately adjacent to an anadromous or high value resident fish water body; 28 (B) between 100 and 300 feet from the water body, timber 29 harvest may occur but shall be consistent with the maintenance of important 30 fish and wildlife habitat.