Legislature(2005 - 2006)CAPITOL 124

04/28/2005 08:00 AM House COMMUNITY & REGIONAL AFFAIRS


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HCR 12 LEG TASK FORCE ON RURAL SUSTAINABILITY TELECONFERENCED
Moved CSHCR 12(CRA) Out of Committee
*+ HB 189 COASTAL MANAGEMENT PROGRAMS TELECONFERENCED
Moved CSHB 189(CRA) Out of Committee
+ SB 142 REGIONAL SCHOOL BD LAND OWNERSHIP TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
SB 142-REGIONAL SCHOOL BD LAND OWNERSHIP                                                                                      
                                                                                                                                
8:08:56 AM                                                                                                                    
                                                                                                                                
CO-CHAIR OLSON announced  that the first order  of business would                                                               
be  CS  FOR  SENATE  BILL  NO.  142(L&C),  "An  Act  relating  to                                                               
ownership of  land by regional  school boards; and  providing for                                                               
an effective date."                                                                                                             
                                                                                                                                
8:09:13 AM                                                                                                                    
                                                                                                                                
JANE  ALBERTS,  Staff to  Senator  Con  Bunde, Senate  Labor  and                                                               
Commerce Standing  Committee, Alaska State  Legislature, informed                                                               
the committee that currently two  statutes for state ownership of                                                               
airports  are in  conflict.   She specified  that [AS  02.15.020]                                                               
requires that  Department of  Transportation &  Public Facilities                                                               
(DOT&PF) to conform  with federal requirements so  that the state                                                               
can  receive funding  from  the  Federal Aviation  Administration                                                               
(FAA).   The  other statute  [AS 14.08.151(b)]  provides regional                                                               
school boards  the opportunity to  receive title to land  used in                                                               
relation to Rural Education Attendance  Area (REAAs).  Therefore,                                                               
this   legislation   addresses   the   aforementioned   statutory                                                               
conflict.    Ms. Alberts  said  that  although the  Alaska  State                                                               
Legislature clearly  intended to  allow REAAs greater  control of                                                               
their  facilities  through  acquisition  of title,  there  is  no                                                               
record that  the legislature  attended to  do so  at the  cost of                                                               
federal  liability,  significant loss  of  federal  funds, and  a                                                               
degraded state airport  system.  She informed  the committee that                                                               
several  regional schools  are located  on  airport property  and                                                               
some   are   even   close   to   active   runways   and   airport                                                               
infrastructure.   At various times, these  regional school boards                                                               
have requested  that DOT&PF convey  full title to  airport lands.                                                               
The  aforementioned has  caused  confusion in  the Department  of                                                               
Education and  Early Development (EED) and  DOT&PF, and therefore                                                               
has cost staff  time and attorney costs to  defend DOT&PF's title                                                               
to  its  airport   property.    Ms.  Alberts   stated  that  this                                                               
legislation will  clarify the intent  of the  conveyance language                                                               
to   exclude   airport   properties   from   that   statute   [AS                                                               
14.08.151(b)].   Under  SB 142,  no schools  will be  required to                                                               
move off airport lands, rather  it will merely [prohibit] schools                                                               
from gaining title to the airport lands in the future.                                                                          
                                                                                                                                
8:11:56 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEDOUX inquired  as to why a school  would want to                                                               
own an airport.                                                                                                                 
                                                                                                                                
MS. ALBERTS clarified that schools  don't want to own an airport,                                                               
but rather  want to  use some  of the  property belonging  to the                                                               
airport.  Some  of the smaller communities are  limited in regard                                                               
to where  they can build  or have school facilities.   Therefore,                                                               
the  conflict is  in regard  to  gaining title  to land.   If  an                                                               
airport  needs  extra  land  from the  areas  in  conflict,  this                                                               
legislation will provide DOT&PF with  the ability to say it can't                                                               
let the school have title to  the land because it's necessary for                                                               
FAA purposes.                                                                                                                   
                                                                                                                                
REPRESENTATIVE  LEDOUX  asked  whether the  airport  could  lease                                                               
property  to schools  until the  land is  actually needed  by the                                                               
airport.                                                                                                                        
                                                                                                                                
MS. ALBERTS answered that she  didn't believe so, but deferred to                                                               
DOT&PF representatives.                                                                                                         
                                                                                                                                
8:13:38 AM                                                                                                                    
                                                                                                                                
KIP  KNUDSON,  Deputy Commissioner  of  Aviation,  Office of  the                                                               
Commissioner,  Department of  Transportation &  Public Facilities                                                               
(DOT&PF), informed the committee  that currently approximately 10                                                               
schools are leasing land on  airport property from DOT&PF.  Under                                                               
state statute,  the schools have the  right to seek the  title of                                                               
the land.  However, that  would jeopardize the assurances made to                                                               
the FAA  that the state  would retain its  title.  He  noted that                                                               
several schools are currently leasing land from DOT&PF.                                                                         
                                                                                                                                
REPRESENTATIVE LEDOUX asked whether  those school districts could                                                               
continue to lease the land from DOT&PF.                                                                                         
                                                                                                                                
MR. KNUDSON replied yes.                                                                                                        
                                                                                                                                
8:14:47 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NEUMAN asked if there  are expansion plans for the                                                               
airports that would cause the  schools, at the time of expansion,                                                               
to lose the ability to lease those lands.                                                                                       
                                                                                                                                
MR. KNUDSON said that if a  school district is going to expand or                                                               
build a  new school, DOT&PF  would work  with EED and  the school                                                               
district  to help  them find  land  elsewhere.   Usually when  an                                                               
expansion occurs, so  long as it is moving away  from the runway,                                                               
DOT&PF continues  to lease land  to the school.   However, DOT&PF                                                               
generally  tries to  help the  school find  land off  the airport                                                               
site when there is a complete rebuild.                                                                                          
                                                                                                                                
REPRESENTATIVE NEUMAN pointed out that  a [March 24, 2005] letter                                                               
from Commissioner  Mike Barton,  DOT&PF, states that  some school                                                               
districts have  problems with this  legislation.  He  inquired as                                                               
to the problems that are leading to this legislation.                                                                           
                                                                                                                                
MR.  KNUDSON said  he  would characterize  it  as a  bureaucratic                                                               
problem for DOT&PF  due to the conflict in statute.   He informed                                                               
the committee that  there have been three to  four instances that                                                               
have resulted in using a couple  years of staff time to determine                                                               
a reasonable conclusion.                                                                                                        
                                                                                                                                
8:17:02 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  NEUMAN  inquired as  to  why  these schools  were                                                               
built on airport land.  He  also inquired as to whether the state                                                               
or the federal  government owns the land.   Representative Neuman                                                               
pointed out  that CSSB 142(L&C)  only includes the land,  not the                                                               
buildings and structures; he inquired as to how that works.                                                                     
                                                                                                                                
MR.  KNUDSON explained  that SB  142 included  language in  which                                                               
DOT&PF wasn't  interested.  The  current legislation  only speaks                                                               
to  land  title.   He  specified  that  DOT&PF doesn't  want  any                                                               
buildings  or  anything  else, the  department  merely  needs  to                                                               
retain  title to  the  land.   With  regard  to  why schools  are                                                               
located on  airports, in many cases  it's due to history  and the                                                               
increased FAA  requirements for safety  margins.  In  some areas,                                                               
airport land is some of the only good land in the area.                                                                         
                                                                                                                                
8:18:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  LEDOUX   related  her  understanding   that  this                                                               
legislation  applies   to  REAAs   as  well  as   regular  school                                                               
districts.                                                                                                                      
                                                                                                                                
MR. KNUDSON agreed.                                                                                                             
                                                                                                                                
8:19:59 AM                                                                                                                    
                                                                                                                                
CO-CHAIR OLSON, upon  determining no one else  wished to testify,                                                               
closed public testimony.                                                                                                        
                                                                                                                                
8:20:06 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  NEUMAN  asked  whether   this  could  impact  the                                                               
ability of schools to continue the way they currently operate.                                                                  
                                                                                                                                
MR. KNUDSON answered that he  didn't anticipate any problems with                                                               
future plans for  schools because it involves  two state agencies                                                               
working  to achieve  two fairly  high goals.   He  mentioned that                                                               
currently there are no conflicts.                                                                                               
                                                                                                                                
8:21:07 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SALMON highlighted that  many small villages, such                                                               
as  Beaver, don't  have  access to  public lands.    He asked  if                                                               
[those present] have any solutions for the future.                                                                              
                                                                                                                                
MR. KNUDSON  informed the  committee that  large portions  of the                                                               
community  of Beaver  are on  airport lands,  but it's  land that                                                               
isn't required  for future airport  needs.  In this  case, DOT&PF                                                               
has requested removal of the  federal reverter clause in order to                                                               
return the  land to the  community.  Where the  aforementioned is                                                               
possible, DOT&PF is willing to do  so.  Mr. Knudson surmised that                                                               
schools  will be  located on  airport land  when that's  the only                                                               
land available.                                                                                                                 
                                                                                                                                
8:22:42 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  LEDOUX  inquired  as   to  how  this  legislation                                                               
impacts schools  that aren't within  REAAs because  AS 14.08.151,                                                               
which  is being  amended by  this legislation,  speaks to  REAAS.                                                               
However,  the  earlier  mentioned  memorandum  from  Commissioner                                                               
Barton specifies an  area, Iliamna, which is not an  REAA but has                                                               
been  involved  in  the conflict  this  legislation  attempts  to                                                               
address.                                                                                                                        
                                                                                                                                
MR. KNUDSON related his understanding  that the statute addresses                                                               
REAAs.                                                                                                                          
                                                                                                                                
8:23:51 AM                                                                                                                    
                                                                                                                                
PAM  LEWIS,  Department  of Transportation  &  Public  Facilities                                                               
(DOT&PF), confirmed  that this legislation addresses  only REAAs,                                                               
not organized school districts.                                                                                                 
                                                                                                                                
MR.  KNUDSON informed  the committee  that  in statute  organized                                                               
school districts  don't have  the ability  to request  title from                                                               
state agencies.                                                                                                                 
                                                                                                                                
MS. LEWIS agreed, noting that was her understanding as well.                                                                    
                                                                                                                                
8:24:31 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SALMON  recalled that several years  ago there was                                                               
a lagoon  problem in Chalkyitsik,  where the school was  built on                                                               
the  hill  next  to  the  airport.   However,  later  an  airport                                                               
expansion down the middle of  the school district resulted in the                                                               
lagoon being left  on DOT&PF property.  The lagoon  was leaky and                                                               
ran  down the  airport, which  the community  viewed as  a safety                                                               
hazard.  No  one, the school district or DOT&PF,  would take care                                                               
of the problem.   He asked if this legislation  would address who                                                               
is  responsible  for  facilities   located  on  airport,  DOT&PF,                                                               
property.                                                                                                                       
                                                                                                                                
MR.  KNUDSON  replied   no,  but  he  offered   to  research  the                                                               
aforementioned  situation and  speak  with Representative  Salmon                                                               
about his findings.                                                                                                             
                                                                                                                                
8:26:16 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NEUMAN requested that  the committee take a closer                                                               
look  at  how  [this  legislation] will  impact  the  ability  of                                                               
schools to operate in the future.   He expressed the need to talk                                                               
with some of  the school boards of the  schools directly impacted                                                               
by this.                                                                                                                        
                                                                                                                                
8:27:00 AM                                                                                                                    
                                                                                                                                
CO-CHAIR OLSON announced that SB 142 would be held over.                                                                        
                                                                                                                                
MS. ALBERTS related  that Eddy Jeans, EED, has  contacted all the                                                               
impacted school districts and has received no negative comments.                                                                
                                                                                                                                
[The committee returned to SB 142 later in the meeting.]                                                                        
                                                                                                                                
SB 142-REGIONAL SCHOOL BD LAND OWNERSHIP                                                                                      
                                                                                                                                
8:51:34 AM                                                                                                                    
                                                                                                                                
CO-CHAIR OLSON returned the committee's attention to SB 142.                                                                    
                                                                                                                                
8:51:38 AM                                                                                                                    
                                                                                                                                
EDDY  JEANS, Director,  School Finance,  Department of  Education                                                               
and Early  Development (EED), responded  to earlier  questions by                                                               
offering the  following information.   This legislation,  SB 142,                                                               
only applies  to Rural Education Attendance  Areas (REAAs) school                                                               
districts.   He informed the  committee that currently  there are                                                               
about seven  schools that have  been built  on airport land.   He                                                               
related  his understanding  that this  legislation wouldn't  kick                                                               
those schools  off that land.   When a new  school is built  in a                                                               
community, typically  the district  requests that the  old school                                                               
be  transferred  to  the  community   for  the  community's  use.                                                               
However, that  wouldn't be allowed  under this legislation.   Mr.                                                               
Jeans clarified that the [department]  could continue to transfer                                                               
the building, but  the lands on which the  building sits couldn't                                                               
be transferred.   Therefore, if the community wanted  to use that                                                               
building, it would have to move it off of the airport land.                                                                     
                                                                                                                                
8:52:53 AM                                                                                                                    
                                                                                                                                
CO-CHAIR  OLSON restated  an earlier  question regarding  whether                                                               
all of the 10 sites have been contacted.                                                                                        
                                                                                                                                
MR. JEANS replied no.                                                                                                           
                                                                                                                                
8:53:22 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NEUMAN suggested that  in the future perhaps there                                                               
should be focus on regional  learning centers.  He reiterated his                                                               
desire to talk  with the school districts that  would be impacted                                                               
by this legislation.                                                                                                            
                                                                                                                                
8:54:01 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SALMON asked  if Chalkyitsik  is included  in the                                                               
areas in which schools have been built on airport land.                                                                         
                                                                                                                                
MR. JEANS replied yes.                                                                                                          
                                                                                                                                
8:54:20 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NEUMAN said that his  staff could prepare a report                                                               
regarding the feeling of other districts.                                                                                       
                                                                                                                                
8:54:40 AM                                                                                                                    
                                                                                                                                
MR.  JEANS   related  his  experience  that   when  dealing  with                                                               
construction of new schools, typically  it isn't on airport land.                                                               
The issue that  will surface is in regard to  the transfer of the                                                               
surplus building  to the community; some  communities are adamant                                                               
that they want those building  for other community use.  However,                                                               
the buildings  are on  airport property and  are no  longer being                                                               
used for school  purposes.  He specified  that the aforementioned                                                               
isn't impacting the educational  program within those communities                                                               
because that's addressed differently.                                                                                           
                                                                                                                                
8:55:35 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NEUMAN  highlighted the community of  Galena as an                                                               
example because  the town  wants to acquire  and utilize  some of                                                               
the  unutilized   air  force  base  buildings.     Therefore,  he                                                               
questioned why such buildings would be torn down.                                                                               
                                                                                                                                
8:56:29 AM                                                                                                                    
                                                                                                                                
CO-CHAIR OLSON announced that SB 142 would be held over.                                                                        
                                                                                                                                

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