04/30/2024 09:00 AM House FINANCE

HOUSE BILL NO. 122                                                                                                            
                                                                                                                                
     "An Act authorizing the  Alaska Railroad Corporation to                                                                    
     issue revenue  bonds to finance the  replacement of the                                                                    
     Alaska  Railroad   Corporation's  passenger   dock  and                                                                    
     related  terminal  facility   in  Seward,  Alaska;  and                                                                    
     providing for an effective date."                                                                                          
                                                                                                                                
Co-Chair  Foster explained  that he  planned to  adjourn the                                                                    
meeting  and return  soon to  begin the  committee's meeting                                                                    
that was scheduled for 10:00 a.m.                                                                                               
                                                                                                                                
11:25:23 AM                                                                                                                   
                                                                                                                                
Representative Tomaszewski offered a  brief recap of HB 122.                                                                    
He explained that the bill  would enable the Alaska Railroad                                                                    
Corporation  (ARC) to  secure  financing  for its  passenger                                                                    
dock in  Seward. The infrastructure  was crumbling,  and the                                                                    
bill  would increase  the size  and scope  of the  passenger                                                                    
ships, which would increase tourism and create jobs.                                                                            
                                                                                                                                
11:26:32 AM                                                                                                                   
                                                                                                                                
ZACH YOUNG,  STAFF, REPRESENTATIVE FRANK  TOMASZEWSKI, noted                                                                    
that there were  two new additions to the bill  in the House                                                                    
Transportation Committee.  The most  notable addition  was a                                                                    
$58  million  bond  authorization  for  the  Port  Mackenzie                                                                    
Railroad  extension. He  relayed  that ARC  stated that  the                                                                    
project in  total would cost  between $275 million  and $300                                                                    
million. There  had been  a previous bed  of gravel  laid in                                                                    
the  area,  but it  was  not  near  completion and  the  $58                                                                    
million  infusion would  fund the  initial  phase. He  noted                                                                    
that the Alaska Industrial  Development and Export Authority                                                                    
(AIDEA)  portion  of  the  bill would  be  $300  million  in                                                                    
funding for  non-specific infrastructure  projects involving                                                                    
critical minerals or rare earth metals.                                                                                         
                                                                                                                                
Co-Chair Foster  noted that his  intent was to get  into the                                                                    
specifics  of the  bill when  the committee  began its  next                                                                    
meeting.                                                                                                                        
                                                                                                                                
Representative  Josephson  asked Representative  Tomaszewski                                                                    
if he  would be satisfied if  the bill were to  be signed in                                                                    
its original form.                                                                                                              
                                                                                                                                
Representative Tomaszewski responded  in the affirmative and                                                                    
thought it  would be beneficial to  the economic development                                                                    
of the state.                                                                                                                   
                                                                                                                                
HB  122  was  HEARD  and   HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
11:28:32 AM                                                                                                                   
                                                                                                                                
Co-Chair Foster  reiterated that  his intent was  to adjourn                                                                    
the 9:00  a.m. meeting  and return later  by gaveling  in to                                                                    
the 10:00 a.m. meeting.