Legislature(2001 - 2002)
04/12/2002 03:40 PM Senate RES
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
CSHB 241(RES)(Title am)-RAIL AND UTILITY CORRIDOR TO CANADA CHAIRMAN TORGERSON announced CSHB 241(RES)(Title am) to be up for consideration and noted that a proposed committee substitute (CS) was prepared to address concerns expressed at a previous hearing. SENATOR STEVENS moved to adopt the CS, version P, to CSHB 241(RES)(Title am) as the working document of the committee. There were no objections and it was so ordered. CHAIRMAN TORGERSON said the committee was concerned about the Alaska Railroad Corporation (ARRC) getting the land without legislative approval so the CS requires ARRC to delineate the land and the legislature will make the offer. The CS also contains language that leaves the subsurface rights to the mineral estate, except gravel, with the state and gives ARRC the right to extract sand and gravel to build a roadbed. He noted that Representative James talked about ARRC doing a feasibility study. He believes ARRC received $2.5 million from the federal government to do one. The study would determine what land and width of land would be needed, either fee simple or a lesser interest. That eliminated Senator Taylor's concern about turning all the land over to ARRC. He noted that Representative James had one more amendment she would like the committee to consider. REPRESENTATIVE JAMES commented that she wasn't aware of any money that is available at this time from the federal government for this work. CHAIRMAN TORGERSON asked what Senator Murkowski got the $2.5 million for. REPRESENTATIVE JAMES stated: It is for a feasibility study. However, until we get cooperation with the Canadian folks to have the bilateral part of the commission established, it's just sitting there with no authorization to be using it. It's only an authorization for the bilateral commission to do a feasibility study. CHAIRMAN TORGERSON said that we need the cooperation of the Canadians anyway to do the Railroad. REPRESENTATIVE JAMES said that is true. She clarified the fiscal note for the bilateral commission was $6 million and $4 million had been authorized so far, but it's sitting there until the bilateral commission is appointed. CHAIRMAN TORGERSON said the first amendment for the committee's consideration is labeled Utermohle P.3. It will removed the language regarding the feasibility study, which he believes is important because he doesn't know how anything will get done if the project is not studied first. That amendment reads: A M E N D M E N T 1 OFFERED IN THE SENATE TO: SCS CSHB 241(RES), Draft Version "P" Page 2, lines 25 - 26: Delete ", after completion of a feasibility study on linking the rail system in Alaska to the North American continental rail system," REPRESENTATIVE JAMES said she agrees but does not want to restrict this opportunity to the feasibility study being completed. She noted in the state may get some funds from the federal government in the near future just to get the railroad as far as Delta. TAPE 02-12, SIDE B 4:30 p.m. REPRESENTATIVE JAMES said going that far would be authorized under this legislation. She pointed out the money has to come from somewhere because a corridor has been on the ground for over 20 years. She said she assumes this will go in the same area, but there may be some existing rights that have occurred in that area. In addition, the gas line is also preparing a right of way into the area, which is another reason to have the legislation in place so that the ARRC can address any concerns. She said no one intends to override the gasline. The purpose is to protect ARRC's interests over the long term, as well as assist in any way possible. SENATOR HALFORD moved to adopt Amendment 1 (P.3). CHAIRMAN TORGERSON objected. SENATOR ELTON said he finds the Chairman's concern that there ought to be a feasibility study prior to selection and/or transferring of land for a railroad utility corridor to be compelling. He thought the sponsor was concerned that the feasibility study is about linking the rail system from Alaska to Canada. He wondered if both concerns would be covered by saying, "The corporation shall after completion of a feasibility study determine…" and strike the linking of the feasibility study to the Canadian corridor. CHAIRMAN TORGERSON said he would be more inclined to support that. He repeated that he didn't want to just turn the land over and said there should be a study somewhere along the line even if the railroad only goes as far as Delta. He asked Representative James to comment on striking the words, "on linking the rail system in Alaska to the North American continental rail system," from the amendment. REPRESENTATIVE JAMES said she would not be happy with that because so many feasibility studies aren't descriptive. She said it is problematic for her also because ARRC could come back to the legislature next year and ask for land that is already identified in the corridor. The legislature will have to approve a land transfer but it will base its decision on the information brought forward. She said removing that language would mean ARRC could not come forward until the feasibility study is done. She commented, "I think this is a real breaker." SENATOR ELTON called for the question. SENATOR HALFORD said he would withdraw his motion to adopt the amendment and save the trouble. SENATOR ELTON withdrew his call for the question. REPRESENTATIVE JAMES said that it is not imperative that this bill pass this year and she would wait until next year. CHAIRMAN TORGERSON asked if there was any further testimony. There was none. He put HB 241 aside.
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