05/17/1999 09:25 AM Senate FIN

                                                                                                                                
 HOUSE BILL NO. 84                                                                                                              
                                                                                                                                
"An Act relating to international airports revenue                                                                              
bonds; and providing for an effective date."                                                                                    
                                                                                                                                
                                                                                                                                
DENNIS POSHARD, Legislative Liaison, Department of                                                                              
Transportation and Public Facilities was invited to join the                                                                    
committee.  He briefly commented to the bill.  In February                                                                      
of this year $179 million in bonds was issued by the                                                                            
department and they have begun development of the airport                                                                       
international terminal.  At this point it is five percent                                                                       
complete with full operation for construction to begin this                                                                     
summer.  The project will have a short-term cash flow, which                                                                    
will be solved by this bill and will help maintain the                                                                          
construction schedule.  Proceeds from the LOI will be used                                                                      
to offset the cash flow.                                                                                                        
                                                                                                                                
In summary, he said the project was good for Anchorage                                                                          
International Airport.  In making use of the Federal funding                                                                    
it will help reduce airport-landing fees.  Lower costs to                                                                       
the airlines will also benefit the traveling public.  He                                                                        
asked favorable vote by the committee on the bill.                                                                              
                                                                                                                                
JOSEPH PERKINS, Commissioner, Department of Transportation                                                                      
and Public Facilities was invited to join the committee.                                                                        
                                                                                                                                
Senator Wilken said the people of the State want to know the                                                                    
benefits of this airport.  There are many who have concerns.                                                                    
Commissioner Perkins responded that it was a perception                                                                         
problem.                                                                                                                        
                                                                                                                                
DAVID EBERLE, Director, Construction and Operations, Central                                                                    
Region, Department of Transportation and Public Facilities                                                                      
testified via teleconference from Anchorage.  He said he was                                                                    
available only to answer any questions the committee may                                                                        
have.                                                                                                                           
                                                                                                                                
Senator Leman MOVED HB 84.  There was brief discussion                                                                          
amongst committee members.  WITHOUT OBJECTION IT was                                                                            
REPORTED OUT with individual recommendations and                                                                                
accompanying zero fiscal note from the Department of                                                                            
Revenue.                                                                                                                        
                                                                                                                                
Co-chair Torgerson next called HB 87.