2000-02-07                     House Journal                      Page 2116
HB 344                                                                       
HOUSE BILL NO. 344 by the House Rules Committee by request of                  
the Governor, entitled:                                                        
                                                                               

2000-02-07                     House Journal                      Page 2117
HB 344                                                                       
"An Act authorizing a land exchange between the Department of                 
Natural Resources and Alaska Hard Rock, Inc.; and providing for                
an effective date."                                                            
                                                                               
was read the first time and referred to the Resources and Finance              
Committees.                                                                    
                                                                               
The following fiscal note applies:                                             
                                                                               
Zero fiscal note, Dept. of Natural Resources, 2/7/00                           
                                                                               
The Final Exchange Agreement, Independence Mine SHP Exchange                   
with Alaska Hardrock, Inc., was attached and is on file in the Chief           
Clerk's office.                                                                
                                                                               
The Governor's transmittal letter dated February 3, 2000, appears              
below:                                                                         
                                                                               
"Dear Speaker Porter:                                                          
                                                                               
This bill I transmit today would provide legislative approval of a land        
exchange agreement between the state Department of Natural                     
Resources, and Alaska Hard Rock, Inc.  The purpose of the land                 
exchange is for the state to acquire private land located within and           
adjacent to Independence Mine State Historical Park, near Hatcher              
Pass.  The land to be acquired would be developed to enhance the               
interpretive and recreational uses of the park.  The land the state is         
exchanging is also located in the Hatcher Pass area and is presently           
under permit to Alaska Hard Rock, Inc., which is interested in                 
receiving title.                                                               
                                                                               
State law requires legislative approval of land exchanges involving            
lands of unequal appraised value.  In this proposed exchange, the state        
will receive land appraised at $87,000 while conveying land appraised          
at $66,500.  Alaska Hard Rock, Inc. is agreeable to this unequal               
exchange and will be receiving a federal tax credit for the difference.        
                                                                               
Adding this land to the Independence Mine State Historical Park,               
particularly the underground mine tunnels, will greatly add to the             
tourism potential of the park.   The  DNR expects to contract with a           

2000-02-07                     House Journal                      Page 2118
HB 344                                                                       
private concession to run tours and maintain the historic buildings in         
the park, saving a part of Alaska's history while increasing economic          
activity in the area.                                                          
                                                                               
A copy of the land exchange agreement between the DNR and Hard                 
Rock, Inc., is being provided to the legislature.  The DNR has                 
available a report that explains the proposed exchange in more detail.         
                                                                               
							Sincerely,                                                              
							/s/                                                                     
							Tony Knowles                                                            
							Governor"