Legislature(1999 - 2000)
03/09/1999 08:07 AM House CRA
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE COMMUNITY AND REGIONAL AFFAIRS
STANDING COMMITTEE
March 9, 1999
8:07 a.m.
MEMBERS PRESENT
Representative Andrew Halcro, Co-Chairman
Representative Carl Morgan
Representative Lisa Murkowski
Representative Reggie Joule
MEMBERS PRESENT BY TELECONFERENCE FROM WHITEHORSE
Representative John Harris, Co-Chairman
Representative Fred Dyson
MEMBERS ABSENT
Representative Albert Kookesh
COMMITTEE CALENDAR
OVERSIGHT HEARING: OPENING OF SEASONAL ROADS IN RURAL AREAS
*HOUSE BILL NO. 40
"An Act combining parts of the Department of Commerce and
Economic Development and parts of the Department of Community
and Regional Affairs by transferring some of their duties to
a new Department of Commerce and Rural Development;
transferring some of the duties of the Department of Commerce
and Economic Development and the Department of Community and
Regional Affairs to other existing agencies; eliminating the
Department of Commerce and Economic Development and the
Department of Community and Regional Affairs; relating to the
Department of Commerce and Rural Development and the
commissioner of commerce and rural development; adjusting the
membership of certain multi- member bodies to reflect the
transfer of duties among departments and the elimination of
departments; creating the office of international trade and
relating to its duties; and providing for an effective date."
- BILL HEARING POSTPONED
*HOUSE BILL NO. 103
"An Act relating to civil actions by municipalities and
certain public corporations and prohibiting certain civil
actions by them against firearms or ammunition manufacturers
and dealers."
- BILL HEARING POSTPONED
*HOUSE BILL NO. 98
"An Act relating to contracts for the provision of state
public assistance to certain recipients in the state;
providing for regional public assistance plans and programs in
the state; relating to grants for Alaska tribal family
assistance programs; and providing for an effective date."
- BILL HEARING POSTPONED
WITNESS REGISTER
JOE PERKINS, Commissioner
Alaska Department of Transportation and Public Facilities
3132 Channel Drive
Juneau, Alaska 99801-7898
NANCY SLAGLE, Director of Administrative Services
Alaska Department of Transportation and Public Facilities
3132 Channel Drive
Juneau, Alaska 99801-7898
DAVID SLOAN. MLA
Yukon Legislative Assembly
PO Box 2703
Whitehorse, Yukon Y1A2C6
POSITION STATEMENT: Opposed to DOT decision.
PETER JENKINS, MLA
Yukon Legislative Assembly
PO Box 2703
Whitehorse, Yukon Y1A2C6
POSITION STATEMENT: Opposed to DOT decision.
LISA VONBARGEN
Valdez Convention and Visitors Bureau
PO Box 870
Valdez, Alaska 99686
POSITION STATEMENT: Opposed to DOT decision.
DANA ULVI
PO Box 27
Eagle, Alaska 99738
POSITION STATEMENT: Opposed to DOT decision.
PATRICIA SANDERS
PO Box 126
Eagle, Alaska 99738
POSITION STATEMENT: Opposed to DOT decision.
JEANNE TETANGELO
PO Box 27
Eagle, Alaska 99738
POSITION STATEMENT: Opposed to DOT decision.
BARRY WESTPHAL
PO Box 60
Eagle, Alaska 99738
POSITION STATEMENT: Opposed to DOT decision.
JEAN WOODALL
PO Box 58
Eagle, Alaska 99738
POSITION STATEMENT: Opposed to DOT decision.
BRETT CARLSON
Alaska Visitors Association
Anchorage, Alaska
POSITION STATEMENT: Opposed to DOT decision.
KEN BECHTEL
Holland-America
1980 S. Cushman Street
Fairbanks, Alaska 99701
POSITION STATEMENT: Opposed to DOT decision.
KATHY HELFRICK
Alaska Visitors Association
1958 Porcupine Land
Fairbanks, Alaska 99712
POSITION STATEMENT: Opposed to DOT decision.
CHARLES REX
Fairbanks City Council
970 Wood Way
Fairbanks, Alaska 99709
POSITION STATEMENT: Opposed to DOT decision.
FRANK ROSE
PO Box 72478
Fairbanks, Alaska 99707
POSITION STATEMENT: Opposed to DOT decision.
ED ZEINE, Mayor
City of Cordova
PO Box 1210
Cordova, Alaska 99574
POSITION STATEMENT: Opposed to DOT decision.
DAN SHARP, Area Biologist
Alaska Department of Fish and Game
Cordova, Alaska 99574
POSITION STATEMENT: Opposed to DOT decision.
JOHN HANDELAND, Mayor
City of Nome
PO Box 281
Nome, Alaska 99762
POSITION STATEMENT: Opposed to DOT decision.
JERRY JERNIGAN
PO Box
Tok, Alaska 99780
POSITION STATEMENT: Opposed to DOT decision.
GARY KRANNENBERG
PO Box 508
Tok, Alaska 99780
POSITION STATEMENT: Opposed to DOT decision.
JERRY MCCUNE
Cordova District Fisheries United
PO Box 372
Cordova, Alaska 99574
POSITION STATEMENT: Opposed to DOT decision.
ALAN LEMASTER
PO Box 222
Gakona, Alaska 99586
POSITION STATEMENT: Opposed to DOT decision.
RON HOLMSTROM
Mile 22 Denali Highway
Paxson, Alaska 99737
POSITION STATEMENT: Opposed to DOT decision.
ACTION NARRATIVE
TAPE 99-12, SIDE A
Number 0005
CO-CHAIRMAN HALCRO called the House Community and Regional
Affairs Standing Committee to order at 8:07 a.m. Members
present at the call to order were Representatives Halcro,
Morgan, Murkowski and Joule. Representatives Harris and Dyson
joined the meeting by teleconference from Whitehorse, YT at
approximately 8:15. Representative Kookesh was absent.
CO-CHAIRMAN HALCRO announced that the only order of business
before the committee was the decision taken by the Department
of Transportation and Public Facilities to not plow open
certain seasonal roads. He asked Commissioner Perkins to
begin his testimony.
Number 0200
COMMISSIONER PERKINS explained that the Governor had directed
DOT to find $900,000 in cuts in the current year budget, which
he and his staff did through a number of cuts. These included
saving $316,000 by not plowing open the seasonal roads, but
letting them melt off naturally, instead. Commissioner
Perkins said DOT would use emergency funding to open the
Taylor Highway for one week so that miners in the 40 Mile
district would be able to get fuel in, otherwise they would
not be able to operate this summer.
Number 1340
REPRESENTATIVE MORGAN asked a question regarding the impact
the late opening of the road would have on Holland-America
tours.
COMMISSIONER PERKINS replied that it was a tough decision, but
he had to go with putting the money into keeping other roads
open to get people to work and kids to school.
REPRESENTATIVE MURKOWSKI asked a question regarding her
concern that by allowing the roads to melt off that would
shift the costs to a heavier need for repair under the annual
maintenance program this summer.
COMMISSIONER PERKINS responded that it would not be a big
problem and DOT would fix it as they go.
REPRESENTATIVE MORGAN asked how much the department has saved
in light of the fact that this winter has seen less than
normal snowfall.
COMMISSIONER PERKINS responded that the DOT Northern Region
covers a vast area and that any savings realized by light
snowfall amounts had been taken into account when the decision
was made.
REPRESENTATIVE MORGAN expressed his frustration that the Bush
areas of the state seem to be the first to be hurt when cuts
are made.
COMMISSIONER PERKINS responded that many of the areas affected
by the DOT decision are not considered the Bush, in his view,
including the three small communities at the ends of the roads
in question Teller, Eagle, and McCarthy.
REPRESENTATIVE MORGAN asked if DOT planned to keep the Taylor
Highway open after the one-week opening in March.
COMMISSIONER PERKINS said no, they would have one seasonal
maintenance station open for the week, but could not afford
the expense of keeping it open until spring.
REPRESENTATIVE MORGAN said that travelers who have already
booked reservations for travel in May would be unfairly
inconvenienced.
NUMBER 2030
CO-CHAIRMAN HALCRO asked Commissioner Perkins for a brief
budget overview, noting the general fund appropriation for DOT
Northern Region for FY 99 was increased by $900,000 over FY
98.
COMMISSIONER PERKINS responded by discussing how many
temporary employees would not be hired due to the cut,
although he did not know if they would be 3-month or 6-month
temps.
NANCY SLAGLE, Administrative Services Director for DOT
provided general staffing numbers for the committee.
CO-CHAIRMAN HALCRO asked about the idea of contracting work to
private companies.
COMMISSIONER PERKINS explained that in most places where this
has been tried it has not succeeded because the costs are
prohibitive, due to the fact that snow plowing takes place
overnight. Cost differential and overtime is very costly. He
noted that the state of Wyoming posts signs that there is no
highway maintenance between 10:00 p.m. and 6:00 a.m. He also
noted that winter maintenance is not just snow plowing, but
sanding and other ice fighting efforts.
Number 2700
CO-CHAIRMAN HALCRO asked what is the "Navigator" publication.
COMMISSIONER PERKINS explained that it is a guide published by
DOT to tell highway travelers where and when certain roads
will be under construction. It is paid for by federal highway
funds.
REPRESENTATIVE JOULE noted that the House Finance Committee
had put $235,000 back in the supplemental budget to open the
roads. He asked what would not get done for that amount.
COMMISSIONER PERKINS responded that the department would not
open the Denali or Copper River highways.
Number 2850
REPRESENTATIVE DYSON introduced members of the Yukon
government who wished to testify.
DAVID SLOAN, Member of the Yukon Legislative Assembly (MLA),
read a statement from MLA David Keenan, Yukon Minister of
Tourism. He said not having the Taylor Highway open to
connect to the Top of the World Highway in Yukon would have a
devastating effect on tourism businesses that are trying to
expand their season onto the shoulder and off-season parts of
the year.
TAPE 99-12, SIDE B
Number 2920
PETER JENKINS, MLA from Klondike, testified that not opening
the Taylor Highway would cut 15-20 days from the placer miners
season. Not being able to haul fuel in from North Pole would
mean the miners would have to pay another 30 cents per gallon.
REPRESENTATIVE DYSON briefly discussed the on-going efforts in
Whitehorse among the members of the Alaska-Yukon Legislative
Exchange, the reason he and Representative Harris were in
Whitehorse.
REPRESENTATIVE JOULE asked a question regarding tourism
dollars connected with the Taylor Highway.
REPRESENTATIVE HARRIS asked a question regarding the money in
the supplemental budget adopted by the House Finance
Committee.
Number 2640
LISA VONBARGEN, Valdez Convention and Visitors Bureau, echoed
concerns being expressed about tours being sold worldwide for
late May travel.
PETER JENKINS, MLA, discussed the number of visitors crossing
the border, saying the road closure would cost between $55,000
and $100,000. He said there are typically 1000 visitors
between Alaska and Yukon during the last half of May.
DANA ULVI, Eagle resident, said he is a 6-year DOT maintenance
crew worker who works seasonally on the Taylor Highway. The
decision is not a safe one in his view.
PATRICIA SANDERS, Eagle resident, stated that loss of life on
the Taylor, such as happened in a bus wreck in 1988 is not
"minimal impact."
JEANNE TETANGELO, Eagle resident, read a statement discussing
the impact on rural communities.
Number 2030
CO-CHAIRMAN HALCRO, in response to a testifier, stated that it
was the DOT, not the Legislature, that had made the budget cut
and decision not to open the roads.
BARRY WESTPHAL, Eagle resident, stated that many in his
community had made extensive plans around the opening of the
road and that they would not be able to obtain the materials
necessary to live their lives if the road does not open on
time.
REPRESENTATIVE MORGAN echoed Mr. Westphal's complaint, saying
that it is customary for him and his family to buy some
commodities only once or twice a year.
JEAN WOODALL, Eagle resident, said that not just the miners
would be effected by the road closure, that it would be the
end of her small business. She then read a statement from
Joanne Beck, 2nd Chief of Eagle Village, regarding the impact
on the building season and jobs in her area.
Number 1350
REPRESENTATIVE JOULE asked if Eagle residents were aware that
the money for the Taylor Highway had been put back into the
budget. In response to Co-Chairman Halcro's earlier comment,
Representative Joule stated that the budget cut came about
because the Majority in the Legislature had insisted that
Governor Knowles could not get supplemental funding he needed
until he showed them some cuts.
BRETT CARLSON, Fairbanks, spoke as Chair of the Alaska
Visitors Association Transportation Committee. He summed up
the five issues the committee had identified that will be
impacted by DOT's decision: 1) short season that is trying to
be extended into shoulder seasons; 2) strong marketing
relationship between Alaska and Yukon; 3) pre-booked
reservations cannot be changed; 4) major investment by tour
company in the $4 million ferry from Dawson City; 5) Is Alaska
really open for business?
KEN BECHTEL, Fairbanks, spoke for Holland-America/WestTours,
saying 220 passengers per day could be effected.
KATHY HELFRICK, AVA Fairbanks Chapter President, said the
decision would have a real impact on Fairbanks businesses.
CHARLES REX, Fairbanks, spoke in opposition to the DOT
decision.
FRANK ROSE, Fairbanks, chair of Fairbanks Convention and
Visitors Bureau, expressed concern over negative press, saying
we don't want tourists to delay their visits because of this
issue.
TAPE 99-13, SIDE A
Number 0135
ED ZEINE, Mayor of Cordova, discussed the impact of not
plowing the Copper River Highway. It could be disastrous for
the Copper River fishery all the way to the Chitna dipnetters
if ADF&G is not able to install its fish counter at the end of
the highway.
DAN SHARP, Cordova, said he is the area biologist. He
reiterated that if the sonar is not installed in the Copper
River at the Million Dollar Bridge by mid-May it could result
in a loss of fishing time for all the area fisheries.
JOHN HANDELAND, Mayor of Nome, spoke against the DOT decision,
saying that saving money by not plowing will simply defer
maintenance problems to next year.
JERRY JERNIGAN, Tok, spoke against the DOT decision, saying it
would have a negative impact on tourism throughout the
industry.
GARY KRANNENBERG, Tok, spoke against the DOT decision, citing
border crossing figures from Poker Creek Border Station. He
also discussed the problem of getting maintenance done at the
school in Eagle if the road is not opened on time.
JERRY MCCUNE, Juneau, spokesman for Cordova District Fisheries
United, spoke against the DOT decision, saying the economic
engines in rural Alaska don't start up until spring and would
be hurt. He also noted the impact of not getting the sonar
fish counter in the Copper River in time.
ALAN LEMASTER, Gakona, spoke against the DOT decision, noting
that miners in Kennicott have the same problem with fuel,
maintenance and supplies as those in the 40 Mile district.
They need to get across the McCarthy River while it is still
frozen solid.
RON HOLMSTROM, Paxson, spoke against the DOT decision on
behalf of his brother, who owns Tangle Lakes Lodge on the
Denali Highway. The late decision with little notice
"snookers all the businesses."
COMMISSIONER PERKINS made a short closing statement, thanking
the committee for taking up the issue.
CO-CHAIRMAN HALCRO adjourned the House Community & Regional
Affairs Committee meeting at 10:04 a.m.
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