04/05/2000 03:20 PM Senate RES

          SB 235-APPROVING LAND TRANSFERS FOR RAILROAD                                                                          
                                                                                                                                
SENATOR LOREN LEMAN, sponsor of SB 235, explained that the measure                                                              
deals with land transfers among the Alaska Railroad Corporation                                                                 
(ARRC), the U.S. Army, the U.S. Air Force, the Municipality of                                                                  
Anchorage (MOA), and Eklutna, Inc.  He asked Ms. Highland to                                                                    
present the sponsor statement and answer questions.                                                                             
                                                                                                                                
MS. WHITNEY HIGHLAND, an intern to Senator Leman, read the                                                                      
following statement.                                                                                                            
                                                                                                                                
     SB 235 authorizes the ARRC to enter into several land exchange                                                             
     and transfer agreements needed for a track upgrade and                                                                     
     realignment project.  This bill approves exchanges of railroad                                                             
     land for certain parcels held by five landholders who are the                                                              
     Army, the Air Force, Eklutna, Inc., Chugach Alaska                                                                         
     Corporation, and the Municipality of Anchorage (MOA).  SB 235                                                              
     also approves the conveyances of 5.1 acres to certain private                                                              
     landowners in Chugiak who live adjacent to railroad right-of-                                                              
way.  It is federal law that abandoned railroad land will be                                                                    
reverted back to the federal government after 18 years.  The                                                                    
federal government would then deed the land out to the adjacent                                                                 
landowners.  SB 235 thus accelerates a land transfer that is                                                                    
already required to occur under federal law.  The exchanges and                                                                 
transfers will allow the railroad's track realignment project                                                                   
between Anchorage and Wasilla to proceed and will also allow the                                                                
Department of Transportation and Public Facilities to relocate a                                                                
portion of the Seward Highway just north of Seward.  Upgrading and                                                              
realigning the track will increase safety and efficiency.  A                                                                    
straighter track is safer due to reduced track and equipment wear,                                                              
consistency in train handling, increased sight distance, and                                                                    
reduced maintenance requirements.                                                                                               
                                                                                                                                
     Another benefit of this project is that the running time                                                                   
     between Anchorage and Wasilla will be decreased from 95                                                                    
     minutes to less than 55 minutes, making commuter service a                                                                 
     more viable option.  This would also mean a potential                                                                      
     reduction in the traffic growth and impact on the Glenn and                                                                
     Parks Highway.  Most importantly for the communities                                                                       
     neighboring the railroad, this project includes upgrades to                                                                
     vehicle crossings and public access amenities that will                                                                    
     enhance safety and access across the tracks.                                                                               
                                                                                                                                
     The railroad plans an investment of between $45 and $60                                                                    
     million for its first phase of improvements and these funds                                                                
     will come from federal transportation grants as well as the                                                                
     Alaska Railroad's operating revenues.  No general funds will                                                               
     be used for this project.  This project is supported by a                                                                  
     number of organizations including the Alaska Visitors'                                                                     
     Association, the Alaska Chamber of Commerce, Chugiak-Eagle                                                                 
     River Chamber of Commerce, Palmer Chamber of Commerce, Wasilla                                                             
     Chamber of Commerce, Anchorage Economic Development                                                                        
     Corporation, Matanuska-Susitna Convention and Visitors'                                                                    
     Bureau, Anchorage Convention and Visitors' Bureau, and the                                                                 
     City of Wasilla.                                                                                                           
                                                                                                                                
CHAIRMAN HALFORD noted that, being a member of the Transportation                                                               
Committee, he has reviewed this legislation and therefore has no                                                                
questions.                                                                                                                      
                                                                                                                                
Number 879                                                                                                                      
                                                                                                                                
SENATOR LINCOLN asked if anyone else would be testifying on SB 235.                                                             
                                                                                                                                
CHAIRMAN HALFORD said no one else signed up but that                                                                            
representatives of ARRC are available to answer questions.  He                                                                  
noted a House hearing is being held on the same topic.                                                                          
                                                                                                                                
SENATOR LINCOLN asked whether the realignment will have any effect                                                              
on the Coastal Trail.                                                                                                           
                                                                                                                                
MS. HIGHLAND responded that Senator Leman is aware of that issue                                                                
which is very distinct and separate from SB 235.                                                                                
                                                                                                                                
CHAIRMAN HALFORD asked if SB 235 will have no impact on the Coastal                                                             
Trail.                                                                                                                          
                                                                                                                                
MS. HIGHLAND said that is correct.                                                                                              
                                                                                                                                
SENATOR PARNELL moved SB 235 from committee with individual                                                                     
recommendations and accompanying fiscal notes.  Without objection,                                                              
the motion carried.