Legislature(2017 - 2018)BARNES 124
05/04/2018 03:15 PM House LABOR & COMMERCE
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| Audio | Topic |
|---|---|
| Start | |
| SB86 | |
| SB76 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 86 | TELECONFERENCED | |
| += | SB 76 | TELECONFERENCED | |
SB 86-ALASKA RAILROAD CORP: LAND;BONDS,FINANCE
3:18:02 PM
CHAIR KITO announced that the first order of business would be
CS FOR SENATE BILL NO. 86(FIN) am, "An Act relating to the sale
or other disposal, leasing, or encumbrance of Alaska Railroad
Corporation land; relating to the financing and bonding
authority of the Alaska Railroad Corporation; and providing for
an effective date."
CHAIR KITO announced that public testimony on SB 86 was open
from the previous hearing.
3:18:12 PM
SHAREN WALSH, Port of Alaska, testified in support of SB 86.
She paraphrased from her written statement, which reads as
follows [original punctuation provided]:
Port of Alaska is a publically-owned facility that
handles half of all of Alaska's inbound, marine
freight. Almost 3.5 million tons of fuel and cargo
crossed Port of Alaska's docks in 2017. Half of the
cargo that moves through the Port is delivered to
final destinations outside of Anchorage and directly
benefits some 85 percent of all Alaskans.
The Port originally opened in 1961 and its docks have
long exceeded their original design life, they are
suffering from severe corrosion, they are not well-
suited for modern cargo-handling operations, and they
are unlikely to survive another significant
earthquake.
For these reasons, Port of Alaska is moving forward
with a program replace its aging docks before they
fail. This port modernization program is optimized to
replace the docks in timely and cost effective manner
while maintaining ongoing operations that benefit our
entire state.
The first phase of this project involves land that is
currently leased by the Port from the Alaska Railroad.
Shore stabilization work is scheduled to start on this
property this summer in preparation for construction
of a new petroleum and cement terminal that is
scheduled for completion in 2020.
It is not appropriate for the Port of Alaska, a
publically-owned enterprise, to build a new dock on
land that it does not control in perpetuity. Passage
of SB86 will allow the land sale that will provide
this control.
I appreciate your careful consideration and support of
passing this bill, so that the Port can move forward
with construction of new docks that will benefit all
of Alaska.
3:20:18 PM
TOM MEACHAM spoke to the amendments to SB 86. He suggested a
likely outcome in court would a determination that be Alaska
Railroad Transfer Act (ARTA) does not require an exclusive use
easement on lands that were not part of Denali National Park or
native lands, which would mean the federal government would not
be defending the challenge regarding all lands received and
deemed to be erroneous. He suggested the interests at the time
of ARTA were the only interests involved. He said ARTA shows
that exclusive use easement does not extend to lands that are
already subject to the 1914 right-of-way.
3:24:45 PM
JOAQUIM BARBACHANO testified in support of SB 86. He mentioned
the letter from Representative Don Young regarding the railroad
easement. He opined the intent was not to take away land from
landowners. He said he feels the proposed legislation is an
"easy fix" for the problem.
3:25:52 PM
JACK BROWN spoke to a serious attack on property rights. He
said Alaska Railroad Corporation (ARRC) changed the legal nature
of the surface easement which runs across private property. He
added the market value of his property had been gutted by claims
of exclusive use by the railroad. He said the homestead patent
is very clear about the right-of-way.
3:28:37 PM
SUSAN BROWN testified in the hearing on SB 86. She said the
ARRC had illegally and unconstitutionally stolen land of
Alaskans. She added that a few people in Anchorage, Alaska have
just learned about the issue.
REPRESENTATIVE BIRCH asked Ms. Brown whether she was aware that
the CS only states the ARRC does not have authority over
interest which was not owned at the time of transfer.
MS. BROWN answered that she was fully aware of that.
3:30:52 PM
ROY LONGACRE testified in the hearing on SB 86. He said he
agreed with earlier testimony from Mr. Tom Meacham. He queried
why the ARRC had different needs under state control than it had
under federal control. He said that in order to cut down trees
on private property, the ARRC required it be hired to manage the
operation.
3:34:45 PM
JOHN KAGERER testified in support of SB 86. He stated he had
just been notified that the railroad had been granted use of his
property. He said he had had no prior knowledge and that he
believes it is totally wrong. He stated the easement should be
returned to the way it was before.
3:36:42 PM
CHAIR KITO closed public testimony on SB 86.
REPRESENTATIVE JOSEPHSON shared his concerns about the proposed
bill. He stated he feels the decision should go before the
courts. He spoke to the legal opinion on the proposal.
REPRESENTATIVE BIRCH commented that the issue was complicated.
He underlined that ARRC is a state enterprise. He said that
under the state and federal law, it is not the responsibility of
the property owners to address the issue. He mentioned ARTA.
CHAIR KITO said he would characterize the responsibilities
differently. He highlighted that the shareholders are residents
of Alaska and the legislature does have a responsibility to
protect them. He then spoke to the partnerships with the Port
of Anchorage, Alaska.
3:46:34 PM
REPRESENTATIVE WOOL moved to report CSSB 86(FIN) AM out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, it was so ordered.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB86 Letters of Support 5.3.18.pdf |
HL&C 5/4/2018 3:15:00 PM |
SB 86 |
| SB76 Ver. S.pdf |
HL&C 5/4/2018 3:15:00 PM |
SB 76 |
| SB76 and HB 357 Letters of support 5.4.18.pdf |
HL&C 5/4/2018 3:15:00 PM |
HB 357 SB 76 |
| SB76 and HB 357 Oppostion Letters 5.4.18.pdf |
HL&C 5/4/2018 3:15:00 PM |
HB 357 SB 76 |
| SB76 Explanation of Changes Ver C to Ver S 5.4.18.pdf |
HL&C 5/4/2018 3:15:00 PM |
SB 76 |
| SB76 Amendment S.3.pdf |
HL&C 5/4/2018 3:15:00 PM |
SB 76 |