Legislature(2021 - 2022)BARNES 124

04/07/2021 01:00 PM House RESOURCES

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ SJR 8 COMPLETION OF UNIVERSITY LAND GRANT TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
*+ HB 156 INDUSTRIAL HEMP PROGRAM;MANUFACTURING TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
           SJR 8-COMPLETION OF UNIVERSITY LAND GRANT                                                                        
                                                                                                                                
1:10:34 PM                                                                                                                    
                                                                                                                                
CHAIR PATKOTAK announced  that the first order  of business would                                                               
be CS  FOR SENATE JOINT  RESOLUTION NO. 8(RES) Urging  the Alaska                                                               
delegation  in  Congress, the  United  States  Department of  the                                                               
Interior, and the  Governor to facilitate a  land grant endowment                                                               
to  the University  of Alaska;  urging the  Alaska delegation  in                                                               
Congress  to   reintroduce  the   University  of   Alaska  Fiscal                                                               
Foundation Act;  and urging the  Department of  Natural Resources                                                               
to work with the University  of Alaska to identify lands suitable                                                               
for the land endowment.                                                                                                         
                                                                                                                                
1:11:15 PM                                                                                                                    
                                                                                                                                
TIM   LAMKIN,  Staff,   Senator   Gary   Stevens,  Alaska   State                                                               
Legislature,  introduced  SJR 8  on  behalf  of Senator  Stevens,                                                               
prime sponsor.   He said that  there is a "generally  held belief                                                               
that there  is a land  deficit held  by the University  of Alaska                                                               
(UA)"  and that  SJR  8 is  intended to  give  UA more  financial                                                               
management  options,  thereby  decreasing  its  reliance  on  the                                                               
general fund.   He  explained that SJR  8 requests  the governor,                                                               
Alaska's  congressional delegation,  and the  U.S. Department  of                                                               
the Interior to work together  to complete the federal land grand                                                               
endowment to UA.                                                                                                                
                                                                                                                                
1:12:51 PM                                                                                                                    
                                                                                                                                
ED FOGELS, Partner,  Jade North, LLC, explained that  he had been                                                               
retained by UA  to assist with land grant issues  and presented a                                                               
PowerPoint  on  SJR  8  [hard  copy  included  in  the  committee                                                               
packet], titled  "University of  Alaska Land  Grant Status."   He                                                               
began  with  slide  3,  titled  "University  Land  Grant,"  which                                                               
displayed a map  showing the size of Alaska in  comparison to the                                                               
contiguous   United  States   and  read   as  follows   [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
      ? Only Delaware & Hawaii rank below Alaska in higher                                                                      
     education land grants                                                                                                      
                                                                                                                                
     ? UA only received ~ 110,000 acres of its federal land                                                                     
     grant entitlement                                                                                                          
                                                                                                                                
     ? UA's land grant deficit is 360,000 acres                                                                                 
                                                                                                                                
MR. FOGELS explained that more lands  were expected to come to UA                                                               
through   various  federal   acts,  but   the  acts   "never  did                                                               
materialize  this additional  land grand  entitlement."   He then                                                               
showed  slide 4,  titled "UA  Land Holdings"  which showed  a pie                                                               
chart illustrating that the  currently-held lands include 139,000                                                               
acres of  investment land  representing 27  percent of  the total                                                               
entitlement, as  well as the  missing 360,000  acres representing                                                               
71 percent.                                                                                                                     
                                                                                                                                
MR. FOGELS moved ahead to slide  5, titled "UA Land Grant Acreage                                                               
Comparison,"  which  compared UA  and  Mental  Health Trust  Land                                                               
(MHTL) with the University of  Texas land grant, which totals 2.1                                                               
million acres.                                                                                                                  
                                                                                                                                
MR.  FOGELS paraphrased  slides 6,7,  and 8,  titled "Land  Grant                                                               
History," which read as follows [original punctuation provided]:                                                                
                                                                                                                                
     Pre-Statehood Federal Laws for UA Lands                                                                                  
                                                                                                                                
       1862  Morrill Act: Each  state upon admission  was to                                                                  
     receive  30,000  acres  per  each  member  of  Congress                                                                    
     (90,000   acres  for   Alaska)   dedicated  to   higher                                                                    
     education.  Provisions   not  extended  to   Alaska  at                                                                    
     Statehood and so no acreage was conveyed to UA.                                                                            
                                                                                                                                
        1915 "Wickersham"  Land Grant  Statute: Reserved  an                                                                  
     estimated 336,000  acres in  Tanana Valley  area. Lands                                                                    
     remained largely unsurveyed and  less than 5% were ever                                                                    
     conveyed to UA.                                                                                                            
                                                                                                                                
        1929  "Sutherland"   Land  Grant  Statute:  Congress                                                                  
     grants 100,000 acres for UA.  Left intact at Statehood,                                                                    
     and acreage  is (eventually)  conveyed to UA,  where it                                                                    
     makes up most of current land holdings.                                                                                    
                                                                                                                                
       Following Statehood, the  Alaska Legislature tries to                                                                    
     provide UA's land.  In 1959 a bill  reserving 1 million                                                                  
     acres, passes both Houses, but is vetoed                                                                                   
                                                                                                                                
     ? During 60's-80's available  land base become narrower                                                                  
     with  the   Land  Freeze  and  passage   other  federal                                                                    
     legislation                                                                                                                
                                                                                                                                
     ?  Alaska   Legislature  in   2000  passes   bill,  and                                                                  
     overrides  gubernatorial  veto,  to  grant  UA  260,000                                                                    
     acres                                                                                                                      
                                                                                                                                
     ? In  2004, Alaska Supreme Court  rules land conveyance                                                                  
     is  not  an  appropriation,  but  declines  to  address                                                                    
     dedication clause issue 8 Land Grant History                                                                               
                                                                                                                                
        2005:  Legislation  identifies  specific  lands  for                                                                  
     transfer to UA (HB 130)                                                                                                    
                                                                                                                                
       2007: Environmental group  sues arguing land transfer                                                                  
     violates    Constitution's    anti-dedication    clause                                                                    
     (Article 9, Section 7)                                                                                                     
                                                                                                                                
        2009: Alaska  Supreme Court  agrees and  sticks down                                                                  
     the  2000/2005 legislation.  State  can't  make a  land                                                                    
     grant to UA that "would  operate in a manner similar to                                                                    
     the way  that the  University's federal land  grant has                                                                    
     operated since before statehood."                                                                                          
                                                                                                                                
       2010: UA begins transferring land back to the state                                                                    
                                                                                                                                
        Today:  UA  owns  ~151,000  acres,  most  from  1929                                                                  
     Sutherland  Act, private  party donations,  as well  as                                                                    
     from local governments.                                                                                                    
                                                                                                                                
1:18:47 PM                                                                                                                    
                                                                                                                                
MR. FOGELS presented slide 10, "Framework for Solution," which                                                                  
read as follows [original punctuation provided]:                                                                                
                                                                                                                                
       UA's unfulfilled land grant a Statehood Act issue                                                                        
                                                                                                                                
     ? Congress assumed Alaska Legislature  would be able to                                                                    
     fulfill the entitlement                                                                                                    
                                                                                                                                
     ?  Alaska  Delegation,  Governor,   DNR  and  Dept.  of                                                                    
     Interior  are   discussing  other  issues   related  to                                                                    
     Alaska's remaining  5 million  acre Statehood  Act land                                                                    
     selections                                                                                                                 
                                                                                                                                
     ?  Anti-dedication clause  has  an explicit  exemption:                                                                    
     "when  required by  the  federal  government for  state                                                                    
     participation in federal programs"                                                                                         
                                                                                                                                
     ?  Solution may  entail  a  structured federal  program                                                                    
     permissible under the constitution                                                                                         
                                                                                                                                
MR.  FOGELS  presented slide  11,  "University  of Alaska  Fiscal                                                               
Foundation  Act," which  read  as  follows [original  punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     ?   Federal  legislation   by  Alaska's   Congressional                                                                    
     Delegation                                                                                                                 
                                                                                                                                
     ? Establishes program within  Bureau of Land Management                                                                    
     to  identify  and convey  available  lands  to UA  from                                                                    
     lands selected by State of Alaska                                                                                          
                                                                                                                                
     ? Framework for UA and  State to jointly identify up to                                                                    
     360,000 acres                                                                                                              
                                                                                                                                
        U.S.  Dept.  of   Interior  will  provide  technical                                                                    
     assistance identifying lands for inclusion in program                                                                      
                                                                                                                                
     ?  Delegation working  towards reintroduction  in 117th                                                                    
     Congress                                                                                                                   
                                                                                                                                
MR. FOGELS concluded his presentation  by asserting that "there's                                                               
no  question that  a  larger land  endowment  for the  university                                                               
would make  it a much,  much stronger university system,"  and he                                                               
encouraged committee members to support SJR 8.                                                                                  
                                                                                                                                
1:23:55 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 1:24 p.m. to 1:28 p.m.                                                                       
                                                                                                                                
1:28:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HANNAN asked  for  clarification  on Mr.  Fogels'                                                               
position with UA  and the parameters of his  involvement with SJR
8.                                                                                                                              
                                                                                                                                
MR. FOGELS replied  that he is based in Alaska  and that his role                                                               
is to make recommendations to UA regarding the land grant.                                                                      
                                                                                                                                
REPRESENTATIVE HANNAN referred to  Mr. Fogels' assertion that the                                                               
federal  government has  taken the  stance that  UA is  no longer                                                               
owed  land because  the State  of Alaska  already received  land.                                                               
She then asked  Mr. Fogels whether she is correct  in saying that                                                               
UA is asking  for 360,000 acres of land in  Alaska currently held                                                               
by the federal government.                                                                                                      
                                                                                                                                
MR. FOGELS  replied that  the 360,000 acres  UA hopes  to acquire                                                               
would  be  federal  land  which has  already  been  "tagged"  for                                                               
potential  transfer  to the  state;  UA  is  not able  to  select                                                               
federal lands  outside of  the pool  selected by  the state.   He                                                               
said that  the federal government  is giving the state  5 million                                                               
acres, of which 360,000 acres would be diverted to UA.                                                                          
                                                                                                                                
REPRESENTATIVE HANNAN  noted that  there are still  several local                                                               
governments throughout  the state  which either  haven't received                                                               
their full  transfer, or have  yet to form a  first-class borough                                                               
to make land  selections possible.  She asked  Mr. Fogels whether                                                               
he knows  where local  government allocations  stand in  the land                                                               
selection process.                                                                                                              
                                                                                                                                
MR.  FOGELS  said that  he  knows  that most  municipalities  are                                                               
nearing completion  of the municipal entitlements;  however, some                                                               
are not,  and UA is  identifying potential lands  for acquisition                                                               
and submitting them to the  Department of Natural Resources (DNR)                                                               
for review and a best interest  finding.  He explained that there                                                               
would  be  a  public  notice   and  any  potential  conflicts  or                                                               
encumbrances on specific lands would be uncovered.                                                                              
                                                                                                                                
1:35:08 PM                                                                                                                    
                                                                                                                                
CHAIR PATKOTAK opened public testimony on SJR 8.                                                                                
                                                                                                                                
1:35:28 PM                                                                                                                    
                                                                                                                                
TOM  BRICE,  Vice  President, UAF  Alumni  Association  Board  of                                                               
Directors,  Alumni  Relations,  University of  Alaska,  Fairbanks                                                               
(UAF)  testified in  support of  SJR 8  and noted  the letter  of                                                               
support from  the UAF Alumni  Association [hard copy  included in                                                               
committee packet].   He stressed  the importance  of diversifying                                                               
UA's  funding   sources,  which  promotes  economic   growth  and                                                               
stability.                                                                                                                      
                                                                                                                                
1:37:39 PM                                                                                                                    
                                                                                                                                
CHAIR PATKOTAK,  after ascertaining  that no  one else  wished to                                                               
testify, closed public testimony on SJR 8.                                                                                      
                                                                                                                                
[SJR 8 was held over.]                                                                                                          
                                                                                                                                

Document Name Date/Time Subjects
HB 156 Letter of Support Ember Haynes 4.7.2021.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
HB 156
HB 156 Sponsor Statement 3.30.2021.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
HB 156
SJR 8 Letter of Support UAF Alumni Association 3.29.2021.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
SJR 8
SJR 8 Presentation to HRES 4.7.2021.pdf HRES 4/7/2021 1:00:00 PM
SJR 8
2021 01 15 Support for the UA Land Grant Conveyance.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
SEDC 2/15/2021 9:00:00 AM
SJR 8
SJR08_UnivAK_LandGrant_SponsorStatement.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
SEDC 2/15/2021 9:00:00 AM
SJR 8
SJR08_UnivAK_LandGrant_Research_Land-Grant-History.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
SEDC 2/15/2021 9:00:00 AM
SJR 8
HB 156 Draft Fiscal Note DNR AGR 4.2.2021.pdf HRES 4/7/2021 1:00:00 PM
HB 156
HB 156 Letter of Support Jack Bennet 4.7.2021.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
HB 156
HB 156 Sectional Analysis 4.7.2021.pdf HRES 4/7/2021 1:00:00 PM
HRES 4/12/2021 1:00:00 PM
HB 156