Legislature(1997 - 1998)
04/14/1997 01:37 PM Senate CRA
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* first hearing in first committee of referral
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SB 98 CONVEY LAND TO MUNICIPALITIES/BOROUGHS
CHAIRMAN MACKIE brought SB 98 before the committee and directed
attention to a new proposed C&RA committee substitute, which would
replace the version adopted by the committee at the previous
hearing on the legislation.
ANNETTE KREITZER , staff to Senator Loren Leman, reviewed the
changes made in the committee substitute. She said at a previous
hearing on the legislation DNR expressed concern about the
definition of "isolated tracts of land" so the committee substitute
goes back to the "vacant, unappropriated, unreserved land"
definition. On page 2, line Senator Wilken was concerned about
the phrase "in proximity to" and the phrase has been changed to the
word "near." There was concern by Senator Wilken and others about
value of the tract to the state, which is initially taken care of
on page 1, line 13, as well as in a new subsection (d) on page 2.
The final change on page 2, line 6 was to address a concern of the
Department of Transportation & Public Facilities that the
conveyance does not adversely affect present or future interests of
the state.
Number 367
SENATOR DONLEY moved the adoption of CSSB 98(CRA), version "F".
Hearing no objection, it was so ordered.
Number 370
SENATOR PHILLIPS asked if the Municipality of Anchorage was in
support of the changes made in the committee substitute. MS.
KREITZER replied that municipalities are not happy with the
language in the new subsection (d) which speaks to paying an amount
that is fair, proper, and in the best interests of the public.
Number 378
JANE ANGVIK , Director, Division of Lands, Department of Natural
Resources, testifying from Anchorage, stated her division has
looked over the proposed committee substitute, and they support
it, although they do have some concern with the language on page 2,
in subsection (d) which reads "the commissioner may require the
municipality to pay an amount that is fair..."
Number 390
GARY GUSTAFSON , Director, Heritage Land Bank, Municipality of
Anchorage, stated the municipality is supportive of all but one of
the changes in the committee substitute. There is concern with the
new subsection (d) on page 2 because it would establish a new
precedence for municipal entitlement transfers that up to this
point has never occurred. He said he thinks the bill is targeting
areas in the state where municipalities could be the better land
manager, and it would be more cost effective for municipalities to
manage lands in the state.
Number 418
SENATOR WILKEN directed attention to subsection (d) on page 2, line
12, and commented that he thinks the word "may" should be replaced
with "shall." He then asked Mr. Gustafson why the state shouldn't
be reimbursed for the value of that land that is owned by the
people. MR. GUSTAFSON responded the bill will amend AS 29.65,
which is the Municipal Entitlement Act. Also, there are a lot of
isolated tracts of state land in Alaska, some of which are going to
be useful over time for municipalities. This bill allows
municipalities, if they have a use for that state land, to step
forward and make an application for it. The commissioner can then
make a determination of whether it is in the best interests of the
public, and if it isn't, then the state shouldn't convey it to the
municipality, he said.
Number 472
PAUL COSTELLO , Director of Land Management, Fairbanks North Star
Borough, read into the record a prepared statement in support of
the concept of conveying isolated tracts of state lands to
municipalities, which will allow them to more economically develop
borough lands, and in the process make former state land available
for the public where it would otherwise not be available.
However, the borough has two areas of concern about the
legislation. The first is with the limiting of the selection of
land to vacant, unappropriated, unreserved land, which effectively
eliminates the borough from consideration under this legislation.
There is very little state land within the borough's boundaries
that is not already classified for one purpose of another. It is
suggested that the legislation include by definition, within the
VCC classification, lands which are classified for forestry or
other resource development purposes. This would add to the borough
land more developable tracts and would therefore compliment any
proposed development.
The borough's second concern is with the new subsection (d) and it
encourages its deletion because paying fair market value and the
survey costs for isolated tracts will, in most cases, make the
participation of the borough in any land development uneconomical,
and it effectively locks state land from any development in the
near future.
Number 495
CHAIRMAN MACKIE noted that RICK ELLIOTT of the Division of Regiona
& Municipal Assistance, Department of Community & Regional Affairs,
was present in Anchorage to respond to questions on SB 98.
Number 500
There being no further testimony on CSSB 98(CRA), CHAIRMAN MACKIE
asked for the pleasure of the committee.
SENATOR WILKEN moved the following amendment to CSSB 98(CRA):
Amendment No. 1
Page 2, line 12: Delete the word "may" and insert "shall"
SENATOR DONLEY objected to adoption of the amendment. The roll was
taken with the following result: Senators Phillips, Hoffman,
Wilken and Mackie voted "Yea" and Senator Donley voted "Nay." The
Chairman stated the amendment was adopted.
SENATOR WILKEN moved CSSB 98(CRA), as amended, be passed out of
committee with individual recommendations. Hearing no objection,
it was so ordered.
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