Legislature(2023 - 2024)BUTROVICH 205

02/20/2024 01:30 PM Senate TRANSPORTATION

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Audio Topic
01:34:38 PM Start
01:36:02 PM SB199
02:02:43 PM Executive Order No. 131
02:54:33 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 199 STATE LAND: DISPOSAL/SALE/LEASE/RESTRICT TELECONFERENCED
Moved CSSB 199(TRA) Out of Committee
-- Testimony <Invitation Only> --
EO 131 REORGANIZING THE ALASKA MARINE
Heard & Held
HIGHWAY OPERATIONS BOARD
-- Invited & Public Testimony --
-- <Time Limit May Be Set> --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
        SB 199-STATE LAND: DISPOSAL/SALE/LEASE/RESTRICT                                                                     
                                                                                                                                
1:36:02 PM                                                                                                                    
CHAIR KAUFMAN announced the consideration of SENATE BILL NO. 199                                                                
"An  Act  relating  to  access roads;  relating  to  state  land;                                                               
relating to  contracts for  the sale of  state land;  relating to                                                               
the  authority   of  the  Department   of  Education   and  Early                                                               
Development to dispose  of state land; relating  to the authority                                                               
of  the Department  of Transportation  and  Public Facilities  to                                                               
dispose  of  state  land;  relating   to  the  authority  of  the                                                               
Department  of   Natural  Resources  over  certain   state  land;                                                               
relating to the state land  disposal income fund; relating to the                                                               
sale  and  lease  of  state   land;  relating  to  covenants  and                                                               
restrictions  on   agricultural  land;   and  providing   for  an                                                               
effective date."                                                                                                                
                                                                                                                                
This   is  the   second  hearing   of  SB   199  in   the  Senate                                                               
Transportation Committee.                                                                                                       
                                                                                                                                
1:37:03 PM                                                                                                                    
CHAIR KAUFMAN solicited a motion.                                                                                               
                                                                                                                                
1:37:09 PM                                                                                                                    
SENATOR WILSON moved  to adopt the committee  substitute (CS) for                                                               
SB 199, work order 33-GS2634\B, as the working document.                                                                        
                                                                                                                                
1:37:20 PM                                                                                                                    
CHAIR KAUFMAN objected for purposes of discussion.                                                                              
                                                                                                                                
1:37:32 PM                                                                                                                    
EMMA  TORKELSON,  Staff,  Senator  James  Kaufman,  Alaska  State                                                               
Legislature, explained the summary of changes for SB 199.                                                                       
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
         SB 199 Explanation of Changes, Version A to B                                                                        
      "An Act relating to access roads; relating to state                                                                       
       land; relating to contracts for the sale of state                                                                        
      land; relating to the authority of the Department of                                                                      
      Education and Early Development to dispose of state                                                                       
      land; relating to the authority of the Department of                                                                      
       Transportation and Public Facilities to dispose of                                                                       
        state land; relating to the acceptance of gifts,                                                                        
       donations, and grants by the Department of Natural                                                                       
     Resources; relating to accounting for certain program                                                                      
     receipts; relating to the authority of the Department                                                                      
     of Natural Resources over certain state land; relating                                                                     
      to the state land disposal income fund; relating to                                                                       
         the sale and lease of state land; relating to                                                                          
      covenants and restrictions on agricultural land; and                                                                      
               providing for an effective date."                                                                                
                                                                                                                                
     Title Change.  Page 1,  Line 4:  Adds "relating  to the                                                                  
     acceptance  of  gifts,  donations, and  grants  by  the                                                                    
     Department   of   Natural    Resources;   relating   to                                                                    
     accounting  for  certain   program  receipts;"  to  the                                                                    
     title.                                                                                                                     
                                                                                                                                
     Section   3.  Page   4,  Lines   11-19:  Requires   the                                                                  
     Department of  Transportation and Public  Facilities to                                                                    
     offer  land they  have determined  fit for  disposal to                                                                    
     the   DNR  before   they  can   dispose  of   the  land                                                                    
     themselves. The DNR  has 45 days to  accept, reject, or                                                                    
     ignore the offer.  If the offer is  not accepted within                                                                    
     45 days,  DOTP&F may dispose  of the land  according to                                                                    
     standards established by the DNR commissioner.                                                                             
                                                                                                                                
1:38:37 PM                                                                                                                    
MS. TORKELSON continued explaining the summary of changes:                                                                      
                                                                                                                                
[Original punctuation provided.}                                                                                                
                                                                                                                                
     Section 4, Page 4, Lines  22-24 and Section 8 Lines 10-                                                                  
     22: Authorizes  the Department of Natural  Resources to                                                                  
     accept gifts,  donations and  grants to  the department                                                                    
     for  the  purpose of  providing  signage  for an  asset                                                                    
     under  the control  of  the  department, in  accordance                                                                    
     with  a memorandum  of understanding  agreed on  by the                                                                    
     donor and the department.                                                                                                  
                                                                                                                                
     Section  13. Page  8, Lines  15-16: Clarifies  that "if                                                                  
     requested" refers  to a requested hearing  under (d) of                                                                    
     this section.                                                                                                              
                                                                                                                                
     Section  17.  Page 14,  Lines  1-12:  Requires the  DNR                                                                  
     commissioner  to prepare  an report  for each  property                                                                    
     deemed  appropriate  for  commercial  development  that                                                                    
     describes the  municipal and state  government services                                                                    
     that  the commissioner  anticipates  would be  required                                                                    
     and the municipal  and state tax revenue  that would be                                                                    
     required to  provide those  services in  the identified                                                                    
     area, if the land is commercially developed.                                                                               
                                                                                                                                
     Section 9, Page  7 Lines 1-2; Section 16,  Page 9, Line                                                                  
     31; Section 17, Page 11, Lines  7-8, 9, 11, 21 and Page                                                                  
     12, Lines 22  and 25: Minor technical  changes are made                                                                  
     to   conform  the   language   to  statutory   drafting                                                                    
     standards.                                                                                                                 
                                                                                                                                
1:40:04 PM                                                                                                                    
SENATOR WILSON asked  if the intent of Section 17,  lines 1-12 is                                                               
for DNR  to prepare a  property for commercial  development prior                                                               
to a land sale.                                                                                                                 
                                                                                                                                
1:40:29 PM                                                                                                                    
MS. TORKELSON  deferred the question,  suggesting DNR  or Senator                                                               
Myers answer the question.                                                                                                      
                                                                                                                                
1:40:39 PM                                                                                                                    
SENATOR MYERS  provided a hypothetical example  in which economic                                                               
development  leads to  increased demand  for state  and municipal                                                               
services. He suggested that, in  a Qualified Economic Opportunity                                                               
Zone, there is  the potential for less tax revenue  to offset the                                                               
increased cost of  services. He said the purpose  of the proposed                                                               
report is  to provide  a prudent  analysis that  demonstrates the                                                               
impact  of  commercial development  in  a  community. The  report                                                               
would  project the  anticipated  costs and  tax  revenue to  show                                                               
whether tax revenue is expected to meet the costs or not.                                                                       
                                                                                                                                
1:42:05 PM                                                                                                                    
SENATOR MYERS expressed concern about  the language in Section 4,                                                               
page  4, lines  22-24 and  Section 8,  lines 10-22,  which states                                                             
that the department  can accept gifts and  donations for signage.                                                               
He asked  about DNR's authority  to name things and  whether this                                                               
language  could  create  conflict when  accepting  donations  for                                                               
signage.                                                                                                                        
                                                                                                                                
1:42:53 PM                                                                                                                    
CHRISTY  COLLES, Director,  Division of  Mining, Land  and Water,                                                               
Department  of   Natural  Resources  (DNR),   Anchorage,  Alaska,                                                               
answered that DNR  has limited authority to name  things. DNR can                                                               
name things  it established such  as subdivisions or  trails. She                                                               
stated she would get back to  the committee regarding who has the                                                               
authority to name things like mountains or lakes.                                                                               
                                                                                                                                
1:43:29 PM                                                                                                                    
SENATOR  MYERS expressed  concern  that a  private entity  might,                                                               
hypothetically,  offer a  donation  and expect  in  return to  be                                                               
allowed to name a trail or other public facility.                                                                               
                                                                                                                                
1:44:11 PM                                                                                                                    
SENATOR WILSON  responded that  Department of  Transportation and                                                               
Public  Facilities  (DOTPF) does  have  the  authority to  accept                                                               
donations for signage and the intent  of Section 4, page 4, lines                                                               
22-24  and  Section 8  lines  10-22  is  that the  Department  of                                                               
Natural Resources (DNR)  would also have the  authority to accept                                                               
gifts from communities or private  entities to replace damaged or                                                               
lost  signs.  He said  examples  would  be  "No Dumping"  or  "No                                                               
Trespassing"  or  other  signs   that  have  been  vandalized  or                                                               
removed.  He  asserted that  it  is  a  good example  of  statute                                                               
supporting public-private partnership at no cost to the state.                                                                  
                                                                                                                                
1:45:31 PM                                                                                                                    
SENATOR MYERS  expressed support for  the intent of  the language                                                               
in Section  4, page 4,  lines 22-24 and  Section 8, lines  10. He                                                               
said he is concerned about creating a regrettable loophole.                                                                     
                                                                                                                                
1:46:15 PM                                                                                                                    
SENATOR  WILSON  expressed  confidence  that  the  Department  of                                                               
Natural  Resources   (DNR)  would  implement  a   reasonable  and                                                               
thoughtful   process  and   develop  regulations   for  accepting                                                               
donations for signage  and for naming things and  that the public                                                               
process would prevent potential abuse of this by the public.                                                                    
                                                                                                                                
1:46:55 PM                                                                                                                    
CHAIR  KAUFMAN  solicited  comments from  Department  of  Natural                                                               
Resources (DNR).                                                                                                                
                                                                                                                                
MS. COLLES  said Department of  Natural Resources (DNR)  does not                                                               
have the authority to name major landmarks.                                                                                     
                                                                                                                                
1:47:18 PM                                                                                                                    
SENATOR MYERS  explained that  he understands it  would be  up to                                                               
the federal government  to name a mountain or a  lake, but opined                                                               
there is  a potential  for problems when  naming things  that DNR                                                               
creates and controls like a trail.                                                                                              
                                                                                                                                
1:47:36 PM                                                                                                                    
SENATOR  KIEHL asked  Department  of Natural  Resources (DNR)  if                                                               
they have policies  and procedures in place,  especially in State                                                               
parks, to govern the naming of  things like cabins and trails. He                                                               
assumes there are safeguards in place to prevent prank names.                                                                   
                                                                                                                                
1:48:06 PM                                                                                                                    
MS. COLLES said she does not have  the rules in front of her, but                                                               
she related  an example of  a public  facility in the  Knik River                                                               
Public  Use  Area  that  was  named for  a  community  member  in                                                               
recognition of and expressing  appreciation for his contributions                                                               
to the  community. When  it comes to  other larger  projects, she                                                               
would need to consult someone with more expertise.                                                                              
                                                                                                                                
1:48:54 PM                                                                                                                    
SENATOR KIEHL affirmed  the value of the provision  in Section 4,                                                               
page 4, lines 22-24 and Section  8, line 10 and offered to follow                                                               
up with the Department of  Natural Resources (DNR) to ensure good                                                               
processes for naming  are in place. He cited  several examples of                                                               
community  involvement  in naming  things,  that  it was  a  good                                                               
thing, and expressed confidence about  working with DNR to review                                                               
naming policies.                                                                                                                
                                                                                                                                
1:49:33 PM                                                                                                                    
SENATOR MYERS said he is happy  that the concern is on record and                                                               
that  it  will  be  addressed  in  later  committee  hearings  if                                                               
necessary; and that  it will be reflected either in  SB 199 or in                                                               
regulation.                                                                                                                     
                                                                                                                                
1:50:17 PM                                                                                                                    
CHAIR  KAUFMAN  removed  his  objection;   he  found  no  further                                                               
objection and  CSSB 199,  work order  33-GS2634\B was  adopted as                                                               
the working document.                                                                                                           
                                                                                                                                
1:50:22 PM                                                                                                                    
CHAIR KAUFMAN asked if there was further discussion on CSSB 199.                                                                
                                                                                                                                
1:50:26 PM                                                                                                                    
SENATOR  TOBIN asked  that a  representative  from Department  of                                                               
Natural Resources  (DNR) expound on  points in its  February 19th                                                               
Memo to  members, to alleviate  concerns around  potential shifts                                                               
in transportation planning in and around Senate District I.                                                                     
                                                                                                                                
1:51:16 PM                                                                                                                    
RACHEL LONGACRE,  Chief of Operations,  Division of  Mining, Land                                                               
and  Water, Department  of  Natural  Resources (DNR),  Anchorage,                                                               
Alaska, answered questions  on SB 199 and  expounded on: February                                                               
19, 2024 memo.                                                                                                                  
                                                                                                                                
MS. LONGACRE  said she provided  both maps and  documentation for                                                               
District  I,  in  particular.  The   areas  of  concern  for  the                                                               
Qualified Economic  Opportunity Zones and  commercial development                                                               
opportunity  that are  DNR property  would have  to go  through a                                                               
very public process to convey  if they were under a lease-to-sale                                                               
program.  However,   she  said,  there  is   no  settlement  land                                                               
available for  the DNR lease-to-sale  program in District  I, but                                                               
there are lands that have  been transferred and conveyed fully to                                                               
the  municipality  of  Anchorage  that could  be  considered  for                                                               
commercial  development  under  their  authority.  Those  actions                                                               
wouldn't  involve the  Department of  Natural Resources  (DNR) or                                                               
the Department of Transportation and Public Facilities (DOTPF).                                                                 
                                                                                                                                
MS. LONGACRE further  explained that land held  by the Department                                                               
of  Transportation and  Public Facilities  (DOTPF) in  District I                                                               
would not  be affected  by SB  199 because SB  199 amends  AS 35,                                                               
which does not apply to right-of-way corridors.                                                                                 
                                                                                                                                
SENATOR  TOBIN  expressed  appreciation for  the  explanation  on                                                               
behalf of her constituents.                                                                                                     
                                                                                                                                
1:52:26 PM                                                                                                                    
SENATOR  MYERS   observed  that   land  must  be   designated  as                                                               
"settlement land"  to be eligible  for conveyance. He  noted that                                                               
there are  other classifications  for land,  including: "heritage                                                               
resource   land",   "wildlife  habitat   land",   "transportation                                                               
corridor land",  etc. He said  he understood why the  state would                                                               
retain those,  but asked why  lands like agricultural  land would                                                               
not be  available to  sell. He said  he thinks  agricultural land                                                               
would be  at the top  of the list  to sell  and get into  use. He                                                               
asked  why land  must be  classified as  "settlement land"  first                                                               
[prior to conveyance].                                                                                                          
                                                                                                                                
1:53:15 PM                                                                                                                    
MS. COLLES  answered that agricultural  land can be  conveyed but                                                               
must  be used  specifically for  agricultural purposes.  She said                                                               
there are other classifications, such  as "reserved use" that can                                                               
be  conveyed to  municipalities  or state  agencies for  specific                                                               
uses.  "Settlement  land"  is  used  to  designate  lands  to  be                                                               
conveyed for residential  use or personal use, where  some of the                                                               
others are for other specific uses that can be conveyed.                                                                        
                                                                                                                                
1:54:03 PM                                                                                                                    
SENATOR KIEHL sought  to clarify language in SB  199. He referred                                                               
to page 4, line 12 and  suggested replacing "may" with a stronger                                                               
non-discretionary  word   and  stated  he   wanted  to   offer  a                                                               
conceptual amendment.                                                                                                           
                                                                                                                                
1:55:26 PM                                                                                                                    
CHAIR KAUFMAN asked if there was a motion.                                                                                      
                                                                                                                                
1:55:27 PM                                                                                                                    
SENATOR  KIEHL moved  Conceptual Amendment  1 to  CSSB 199,  work                                                               
order 33-GS2634\B:                                                                                                              
                                                                                                                                
                     CONCEPTUAL AMENDMENT 1                                                                                     
                                                                                                                                
                                            BY SENATOR KIEHL                                                                    
                                                                                                                                
     Page 4, line 12 following "department"                                                                                     
          Delete "may"                                                                                                          
          Insert "shall"                                                                                                        
                                                                                                                                
1:55:28 PM                                                                                                                    
CHAIR KAUFMAN objected for purposes of discussion.                                                                              
                                                                                                                                
1:55:34 PM                                                                                                                    
SENATOR WILSON  asked for  confirmation that  the proposal  is to                                                               
change "may" to "shall."                                                                                                        
                                                                                                                                
CHAIR KAUFMAN  asked Senator  Kiehl to  provide a  description of                                                               
Conceptual Amendment 1 for Legislative Legal Services.                                                                          
                                                                                                                                
1:56:09 PM                                                                                                                    
SENATOR KIEHL  said on page 4,  line 12, change "may"  to "shall"                                                               
to create  a clear  order of operations.  He explained  that when                                                               
the Department  of Transportation  and Public  Facilities (DOTPF)                                                               
identifies land  no longer  needed for  public works,  they would                                                               
offer  it to  DNR. If  DNR accepts  the land,  the Department  of                                                               
Transportation  and  Public  Facilities  (DOTPF)  would,  without                                                               
discretion, transfer the  land to DNR. If DNR  declines or allows                                                               
the 45-day limit to expire,  the Department of Transportation and                                                               
Public Facilities  (DOTPF) would  have discretion to  lease, sell                                                               
or otherwise dispose of the land.                                                                                               
                                                                                                                                
1:56:48 PM                                                                                                                    
CHAIR   KAUFMAN  maintained   his  objection   for  purposes   of                                                               
discussion and  asked if  DNR had  any concerns  about Conceptual                                                               
Amendment 1.                                                                                                                    
                                                                                                                                
                                                                                                                                
MS. COLLES replied  that DNR was neutral  on Conceptual Amendment                                                               
1.                                                                                                                              
                                                                                                                                
1:57:12 PM                                                                                                                    
CHAIR KAUFMAN removed his objection.                                                                                            
                                                                                                                                
1:57:22 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
1:57:51 PM                                                                                                                    
CHAIR KAUFMAN reconvened the meeting.                                                                                           
                                                                                                                                
1:57:57 PM                                                                                                                    
CHAIR  KAUFMAN   found  no   further  objection   and  Conceptual                                                               
Amendment 1 to CSSB 199 was adopted.                                                                                            
                                                                                                                                
1:58:18 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
1:58:28 PM                                                                                                                    
CHAIR KAUFMAN  reconvened the meeting and  authorized Legislative                                                               
Legal  Services  to  make technical  and  conforming  changes  to                                                               
Conceptual Amendment 1.                                                                                                         
                                                                                                                                
1:58:37 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
1:59:23 PM                                                                                                                    
CHAIR KAUFMAN reconvened the meeting and solicited a motion.                                                                    
                                                                                                                                
1:59:32 PM                                                                                                                    
SENATOR WILSON moved to report  CSSB 199, work order 33-GS2634/B,                                                               
as amended,  from committee  with individual  recommendations and                                                               
attached fiscal note(s).                                                                                                        
                                                                                                                                
2:00:22 PM                                                                                                                    
CHAIR KAUFMAN found no objection  and CSSB 199 (TRA) was reported                                                               
from the Senate Transportation Standing Committee.                                                                              

Document Name Date/Time Subjects
SB 199 DNR Follow Up Answers to Questions 02.19.24.pdf STRA 2/20/2024 1:30:00 PM
SB 199
EO 131 Transmittal Letter 1.15.24.pdf STRA 2/20/2024 1:30:00 PM
EO 131
EO 131 Full Text.pdf STRA 2/20/2024 1:30:00 PM
EO 131
EO 131 Legislative Legal Memo 1.23.24.pdf STRA 2/20/2024 1:30:00 PM
EO 131
CSSB 199 Work Draft Version B.pdf STRA 2/20/2024 1:30:00 PM
SB 199
SB 199 Explanation of Changes v. A to S.pdf SRES 2/21/2024 3:30:00 PM
STRA 2/20/2024 1:30:00 PM
SB 199
EO 131 Public Testimony Recieved as of 2.19.24.pdf STRA 2/20/2024 1:30:00 PM
EO 131
EO 131 Public Testimony Recieved as of 2.22.24.pdf STRA 2/20/2024 1:30:00 PM
EO 131
EO 131 AMHOB Board Member Testimony 2.22.24.pdf STRA 2/20/2024 1:30:00 PM
EO 131