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CSHB 500(TRA): "An Act relating to the advance acquisition of real property for public purposes; and authorizing pipeline carriers to exercise the power of eminent domain for pipeline purposes."

00 CS FOR HOUSE BILL NO. 500(TRA) 01 "An Act relating to the advance acquisition of real property for public purposes; and 02 authorizing pipeline carriers to exercise the power of eminent domain for pipeline 03 purposes." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 06 to read: 07 POLICY AND FINDINGS. (a) It is the policy of the State to provide for the 08 acquisition of real property and interests in real property necessary for the construction, 09 improvement, reconstruction, and maintenance of facilities for public purposes in advance of 10 actual construction, for the purpose of reducing the cost of real property for construction of 11 public facilities, reducing hardship to owners of real property, and eliminating economic 12 waste occasioned by the improvement of property immediately before its acquisition for a 13 public purpose. 14 (b) The legislature finds that the purchase and condemnation of real property

01 necessary for the construction, improvement, reconstruction, and maintenance of facilities for 02 public purposes reasonably in advance of programmed construction, is for a public use and 03 purpose. 04 * Sec. 2. AS 09.55.240(a) is amended to read: 05 (a) The right of eminent domain may be exercised for the following public 06 uses: 07 (1) all public uses authorized by the government of the United States; 08 (2) public buildings and grounds for the use of the state and all other 09 public uses authorized by the legislature of the state; 10 (3) public buildings and grounds for the use of an organized or 11 unorganized borough, city, town, village, school district, or other municipal division, 12 whether incorporated or unincorporated; canals, aqueducts, flumes, ditches, or pipes 13 conducting water, heat, or gas for the use of the inhabitants of an organized or 14 unorganized borough, city, town, or other municipal division, whether incorporated or 15 unincorporated; raising the banks of streams, removing obstructions from them and 16 widening, deepening, or straightening their channels; roads, streets, and alleys, and all 17 other public uses for the benefit of an organized or unorganized borough, city, town, 18 or other municipal division whether incorporated or unincorporated, or its inhabitants, 19 which may be authorized by the legislature; 20 (4) wharves, docks, piers, chutes, booms, ferries, bridges of all kinds, 21 private roads, plant and turnpike roads, railroads, canals, ditches, flumes, aqueducts, 22 and pipes for public transportation, supplying mines and farming neighborhoods with 23 water, and draining and reclaiming land, and for floating logs and lumber on streams 24 not navigable, and sites for reservoirs necessary for collecting and storing water; 25 (5) roads, tunnels, ditches, flumes, pipes, and dumping places for 26 working mines; also outlets, natural or otherwise, for the flow, deposit, or conduct of 27 tailings or refuse matter from mines; also an occupancy in common by the owners or 28 possessors of different mines of any place for the flow, deposit, or conduct of tailings 29 or refuse matter from their several mines, and sites for reservoirs necessary for 30 collecting and storing water; 31 (6) private roads leading from highways to residences, mines, or farms;

01 (7) telephone lines; 02 (8) telegraph lines; 03 (9) sewerage of an organized or unorganized borough, city, town, 04 village, or other municipal division, whether incorporated or unincorporated, or a 05 subdivision of it, or of a settlement consisting of not less than 10 families, or of public 06 buildings belonging to the state or to a college or university; 07 (10) tramway lines; 08 (11) electric power lines; 09 (12) for the location of pipelines for gathering, transmitting, 10 transporting, storing, or delivering natural or artificial gas or oil or any liquid or 11 gaseous hydrocarbons, including, but not limited to, pumping stations, terminals, 12 storage tanks, or reservoirs, and related installations; 13 (13) advance acquisition of real property or an interest in real 14 property for a public use described in this subsection that will occur in the 15 future. 16 * Sec. 3. AS 09.55.270 is amended to read: 17 Sec. 09.55.270. Prerequisites. Before property can be taken, it shall appear 18 that 19 (1) the use to which it is to be applied is a use authorized by law; 20 (2) the taking is necessary to the use; 21 (3) if already appropriated to a public use, the public use to which it is 22 to be applied is a more necessary public use; 23 (4) if the use is for an advance acquisition of real property or an 24 interest in real property for a future public use, the future public use is a 25 reasonably foreseeable use that has been identified in a development plan 26 prepared, published, and made available to the public by the agency or entity 27 that exercises the power of eminent domain. 28 * Sec. 4. AS 18.55.550(a) is amended to read: 29 (a) The corporation may 30 (1) acquire by eminent domain real property that the corporation [IT] 31 considers necessary within the boundaries of the redevelopment project or for the

01 corporation's present or reasonably foreseeable future [ITS] purposes under 02 AS 18.55.480 - 18.55.960 after the adoption by the corporation [IT] of a resolution 03 declaring that the acquisition of the real property described in the resolution is 04 necessary for those purposes; and 05 (2) exercise the power of eminent domain in the manner provided in 06 AS 09.55.240 - 09.55.460 or in the manner provided by other statutory provisions for 07 the exercise of the power of eminent domain. 08 * Sec. 5. AS 18.55.550 is amended by adding a new subsection to read: 09 (c) If the corporation does not use all or a portion of land acquired for advance 10 acquisition for a future public use as authorized under (a) of this section for 11 corporation purposes within 20 years following the acquisition of the land or if the 12 corporation sells all or a portion of land acquired for advance acquisition for a future 13 public use as authorized under (a) of this section, the corporation shall offer the land to 14 the person, or the person's successor in interest, from whom the land was acquired at 15 the same price that the corporation paid the person when the land was acquired. If 16 only a portion of the land acquired for advance acquisition for a future public use is 17 available to the former owner of the land under this subsection, the corporation shall 18 prorate the price of the land to be sold based on the original price of the land and the 19 proportion that the amount of land available for sale bears to the total amount of land 20 originally acquired. 21 * Sec. 6. AS 19.05.080 is amended to read: 22 Sec. 19.05.080. Acquisition of land, easements, and materials by purchase 23 or eminent domain. The department, on behalf of the state and as part of the cost of 24 constructing or maintaining a highway, may purchase in the open market, acquire, take 25 over, or condemn under the right and power of eminent domain land in fee simple or 26 easements that it considers necessary for present public use or for advance 27 acquisition for a reasonably foreseeable future public use, either temporary or 28 permanent, or that it considers necessary and reasonable for the public use. By the 29 same means, the department may obtain material, including clay, gravel, sand, or rock, 30 or the land necessary to obtain material, including access to it. The department may 31 acquire the land or materials notwithstanding the fact that title to it is vested in the

01 state or a department, agency, commission, or institution of the state. Acquisition of 02 materials by purchase in the open market under this section is governed by AS 36.30 03 (State Procurement Code). 04 * Sec. 7. AS 19.05.080 is amended by adding a new subsection to read: 05 (b) If the department does not use all or a portion of land acquired for advance 06 acquisition for a future public use as authorized under (a) of this section for highway 07 purposes within 20 years following the acquisition of the land or if the department 08 sells all or a portion of land acquired for advance acquisition for a future public use as 09 authorized under (a) of this section, the department shall offer the land to the person, 10 or the person's successor in interest, from whom the land was acquired at the same 11 price that the department paid the person when the land was acquired. If only a 12 portion of the land acquired for advance acquisition for a future public use is available 13 to the former owner of the land under this subsection, the department shall prorate the 14 price of the land to be sold based on the original price of the land and the proportion 15 that the amount of land available for sale bears to the total amount of land originally 16 acquired. 17 * Sec. 8. AS 35.20.010 is amended to read: 18 Sec. 35.20.010. Acquisition of land, rights-of-way, and materials by 19 purchase or eminent domain. The department, on behalf of the state and as part of 20 the cost of constructing or maintaining a public work, may purchase in the open 21 market, acquire, take over, or condemn under the right and power of eminent domain 22 land in fee simple or easements that it considers necessary for present public use or 23 for advance acquisition for a reasonably foreseeable future public use, either 24 temporary or permanent, or that it considers necessary and reasonable for the public 25 use. By the same means, the department may obtain material, including clay, gravel, 26 sand, or rock, or the land necessary to obtain the material, and the necessary land or 27 easements to provide access to it. The department may acquire the land or material 28 notwithstanding the fact that the title to it is in the state or a department, agency, 29 commission, or institution of the state. Acquisition of material in the open market 30 under this section is governed by AS 36.30 (State Procurement Code). 31 * Sec. 9. AS 35.20.010 is amended by adding a new subsection to read:

01 (b) If the department does not use all or a portion of land acquired for advance 02 acquisition for a future public use as authorized under (a) of this section for public 03 work purposes within 20 years following the acquisition of the land or if the 04 department sells all or a portion of land acquired for advance acquisition for a future 05 public use as authorized under (a) of this section, the department shall offer the land to 06 the person, or the person's successor in interest, from whom the land was acquired at 07 the same price that the department paid the person when the land was acquired. If 08 only a portion of the land acquired for advance acquisition for a future public use is 09 available to the former owner of the land under this subsection, the department shall 10 prorate the price of the land to be sold based on the original price of the land and the 11 proportion that the amount of land available for sale bears to the total amount of land 12 originally acquired. 13 * Sec. 10. AS 42.05.631 is amended to read: 14 Sec. 42.05.631. Eminent domain. A public utility may exercise the power of 15 eminent domain for public utility uses including present public utility uses or for 16 advance acquisition for reasonably foreseeable future public utility uses. This 17 section does not authorize the use of a declaration of taking. 18 * Sec. 11. AS 42.05.631 is amended by adding a new subsection to read: 19 (b) If a public utility does not use all or a portion of land acquired for advance 20 acquisition for a future public utility use as authorized under (a) of this section for 21 public utility purposes within 20 years following the acquisition of the land or if the 22 public utility sells all or a portion of land acquired for advance acquisition for a future 23 public utility use as authorized under (a) of this section, the public utility shall offer 24 the land to the person, or the person's successor in interest, from whom the land was 25 acquired at the same price that the public utility paid the person when the land was 26 acquired. If only a portion of the land acquired for advance acquisition for a future 27 public utility use is available to the former owner of the land under this subsection, the 28 public utility shall prorate the price of the land to be sold based on the original price of 29 the land and the proportion that the amount of land available for sale bears to the total 30 amount of land originally acquired. 31 * Sec. 12. AS 42.06 is amended by adding a new section to article 7 to read:

01 Sec. 42.06.601. Eminent domain. (a) A pipeline carrier may exercise the 02 power of eminent domain for pipeline uses including present pipeline uses or for 03 advance acquisition for reasonably foreseeable future pipeline uses. This section does 04 not authorize the use of a declaration of taking. 05 (b) If a pipeline carrier does not use all or a portion of land acquired for 06 advance acquisition for a future pipeline use as authorized under (a) of this section for 07 pipeline purposes within 20 years following the acquisition of the land or if the 08 pipeline carrier sells all or a portion of land acquired for advance acquisition for a 09 future pipeline use as authorized under (a) of this section, the pipeline carrier shall 10 offer the land to the person, or the person's successor in interest, from whom the land 11 was acquired at the same price that the pipeline carrier paid the person when the land 12 was acquired. If only a portion of the land acquired for advance acquisition for a 13 future pipeline use is available to the former owner of the land under this subsection, 14 the pipeline carrier shall prorate the price of the land to be sold based on the original 15 price of the land and the proportion that the amount of land available for sale bears to 16 the total amount of land originally acquired. 17 * Sec. 13. AS 42.40.385(a) is amended to read: 18 (a) The corporation may exercise the power of eminent domain under 19 AS 09.55.240 - 09.55.460 to acquire land for railroad transportation purposes 20 including present railroad transportation purposes or for advance acquisition for 21 reasonably foreseeable future railroad transportation purposes, consistent with 22 this chapter. Notwithstanding AS 09.55.250, the corporation may acquire a fee simple 23 title whenever, in the judgment of the board, ownership of a fee simple title is 24 necessary to carry out the purposes of this chapter. 25 * Sec. 14. AS 42.40.385 is amended by adding a new subsection to read: 26 (e) If the corporation does not use all or a portion of land acquired for advance 27 acquisition for a future public use as authorized under (a) of this section for railroad 28 transportation purposes within 20 years following the acquisition of the land or if the 29 corporation sells all or a portion of land acquired for advance acquisition for a future 30 public use as authorized under (a) of this section, the corporation shall offer the land to 31 the person, or the person's successor in interest, from whom the land was acquired at

01 the same price that the corporation paid the person when the land was acquired. If 02 only a portion of the land acquired for advance acquisition for a future public use is 03 available to the former owner of the land under this subsection, the corporation shall 04 prorate the price of the land to be sold based on the original price of the land and the 05 proportion that the amount of land available for sale bears to the total amount of land 06 originally acquired.