02/29/2000 05:11 PM House WTR

HJR 51-ALASKA-CANADA RAILROAD FEASIBILITY STUDY                                                                               
                                                                                                                                
TAPE 00-4, SIDE B                                                                                                               
Number 2921                                                                                                                     
                                                                                                                                
CHAIR BARNES  announced that  the next item  of business  would be                                                              
HOUSE  JOINT   RESOLUTION  NO.  51,   expressing  support   for  a                                                              
cooperative  United States-Canada  feasibility study on  extending                                                              
the North  American railroad system  through British  Columbia and                                                              
the Yukon Territory to Alaska.                                                                                                  
                                                                                                                                
Number 2881                                                                                                                     
                                                                                                                                
REPRESENTATIVE JEANNETTE JAMES, Alaska  State Legislature, sponsor                                                              
of HJR  51, introduced the  resolution.  She  said this is  a very                                                              
high  priority  of  Alaska  U.S.  Senator  Frank  Murkowski.    In                                                              
January,  at his  request, an  Alaska-Canada Rail-Link  Conference                                                              
was  held  in  Vancouver,  British Columbia  (BC).    Among  those                                                              
attending  were  people  from  the   Yukon  and  BC,  chambers  of                                                              
commerce,   industries,   businesses   and  governments.      This                                                              
resolution  [HJR  51]  was  drafted  at  the  request  of  Senator                                                              
Murkowski  to  bring  a  message  from  the  legislature  that  it                                                              
supports his efforts  to establish a bilateral  commission to work                                                              
on a  feasibility study.   Drafting  of HJR 51  was done  with the                                                              
assistance of  Senator Murkowski's staff,  and he has  now drafted                                                              
federal legislation  to fund the U.S.  portion of the cost  of the                                                              
feasibility  study.    Representative  James  provided  copies  of                                                              
"Rails to Resources," the report on the conference in Vancouver.                                                                
                                                                                                                                
Number 2702                                                                                                                     
                                                                                                                                
BILL BROPHY, Executive Director,  Fairbanks Industrial Development                                                              
Corporation  (FIDC), testified by  teleconference from  Fairbanks.                                                              
He said  the FIDC  supports and encourages  initiatives  to expand                                                              
rail transportation  within Alaska  and to  establish a  rail link                                                              
from Alaska connecting  with the Canadian and  North American rail                                                              
system.  This initiative will afford  tremendous opportunities for                                                              
economic   growth   and   development,   create   new   employment                                                              
opportunities,  enhance military  defense,  and allow  responsible                                                              
utilization of significant natural  resources.  There are enormous                                                              
amounts  of   unrealized  resources  including   forest  products,                                                              
minerals and agriculture, as well  as tremendous opportunities for                                                              
all-season  tourism.     Railroad   expansion  will   enhance  and                                                              
facilitate an intermodal transportation  network for Fairbanks and                                                              
Interior Alaska.   He  urged moving  forward with the  feasibility                                                              
study to make this connective link a reality.                                                                                   
                                                                                                                                
Number 2597                                                                                                                     
                                                                                                                                
REPRESENTATIVE  MASEK  made  a  motion  to  move  HJR  51  out  of                                                              
committee  with individual  recommendations  and the  accompanying                                                              
fiscal notes.  There  being no objection, HJR 51  was moved out of                                                              
the  House Special  Committee  on  World Trade  and  State/Federal                                                              
Relations.                                                                                                                      
                                                                                                                                
Number 2526                                                                                                                     
                                                                                                                                
REPRESENTATIVE COWDERY  commented on the decreasing  usefulness of                                                              
the Panama Canal, citing concern  from both Europe and the Pacific                                                              
Rim that an alternative way is needed  to get products to the East                                                              
Coast  of  the United  States.    He was  enthusiastic  about  the                                                              
possibility of shipping by railroad instead.                                                                                    
                                                                                                                                
REPRESENTATIVE  JAMES   said  there  definitely  is   interest  in                                                              
extending the railroad line to Russia;  however, this is Phase One                                                              
and that will  be Phase Three.   It will take six to  ten years to                                                              
complete  this  connection between  Fairbanks  and  the Lower  48.                                                              
Once the line  reaches Fairbanks, Senator Murkowski  is interested                                                              
in  extending it  up to  the Northwest  Arctic  coal reserves  and                                                              
bringing  coal down  to  the Red  Dog  Mine.   That  will make  it                                                              
possible  to do more  refining there  instead  of sending out  all                                                              
heavy concentrates  to be  smelted elsewhere.   The link  with the                                                              
Northwest Arctic would be Phase Two.   The Russians definitely are                                                              
interested  in a  third phase;  this surface  transportation is  a                                                              
valid concept.  Today's ships are  too big for Panama Canal, which                                                              
has lived its lifetime.  Surface  transportation is needed.  It is                                                              
easier to  clean up  environmental spills on  land, and  easier to                                                              
control.  [HJR 51 was moved out of committee.]