Legislature(1997 - 1998)
05/08/1998 01:35 PM Senate CRA
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
SENATE COMMUNITY & REGIONAL AFFAIRS COMMITTEE
May 8, 1998
1:35 p.m.
MEMBERS PRESENT
Senator Jerry Mackie, Chairman
Senator Gary Wilken , Vice Chairman
Senator Dave Donley
Senator Randy Phillips
Senator Lyman Hoffman
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
CS FOR HOUSE BILL NO. 230(FIN)
"An Act amending the definition of 'small community' for purposes
of housing programs involving the Alaska Housing Finance
Corporation."
CS FOR HOUSE JOINT RESOLUTION NO. 56(RLS)
Relating to yttrium mining and transfer of the linear induction
motor research vehicle to Alaska.
PREVIOUS SENATE COMMITTEE ACTION
HB 230 - No previous action to record.
HJR 56 - No previous action to record.
WITNESS REGISTER
Tom Wright, Staff to Representative Ivan Ivan
State Capitol
Juneau, AK 99801-1182
POSITION STATEMENT: Offered information on HB 230
Doug Salik, Intern in Representative Bill Hudson's
Office
State Capitol
Juneau, AK 99801-1182
POSITION STATEMENT: Presented overview on HJR 56
ACTION NARRATIVE
TAPE 98-9, SIDE A
Number 001
CHAIRMAN MACKIE called the Senate Community & Regional Affairs
Committee meeting to order at 1:35 p.m., and noted the presence of
Senators Wilken, Donley, Philips, Hoffman and Mackie.
CSHB 230(FIN) - AHFC HOUSING FUNDS & PROGRAMS
CHAIRMAN MACKIE brought CSHB 230(FIN) before the committee as the
first order of business.
TOM WRIGHT, staff to Representative Ivan Ivan who is the prime
sponsor of HB 230, said the bill is very simple; it changes the
population caps in Alaska Housing Finance Corporation's (AHFC)
rural home loan program. For those communities that are connected
by road or rail to Anchorage or Fairbanks it changes the cap from
1,400 to 1,600, and it changes the cap for those communities not
connected by road or rail to Anchorage or Fairbanks from 5,500 to
6,500. He said Haines has exceeded the 1,400 cap and Bethel is
rapidly approaching the 5,500 cap.
Number 025
SENATOR DONLEY asked what the difference was between the rural home
program and the AHFC's regular home loan program. TOM WRIGHT
replied that the rural loan program relates to the rural areas
where there is not necessarily title to land or conveyance of land;
peculiarities out in the rural areas that are not found in the
urban areas. He also thinks the interest is one percent less than
the normal home loan program. However, he pointed out that there
is no veterans' home loan program or first-time home buyers program
in the rural home loan program as found in the urban loan program.
SENATOR DONLEY expressed his concern that this program gives a
special subsidy just because people live in a small community
versus living in a big community.
Number 083
CHAIRMAN MACKIE commented that the bill is only making a minor
change to the program which is changing the caps.
Number 087
SENATOR WILKEN moved that CSHB 230(FIN) be passed out of committee
with individual recommendations. Hearing no objection, it was so
ordered.
CSHJR 56(RLS) - YTTRIUM MINING
CHAIRMAN MACKIE brought CSHJR 56(RLS) before the committee as the
next order of business.
DOUG SALIK, an intern in Representative Bill Hudson's office,
explained the resolution urges the Federal Railroad Administration
to transfer the Linear Induction Motor Research Vehicle (LIMRV) to
the state of Alaska. This transfer will allow for some potential
development of new industrial and research business in Alaska. The
development of yttrium, a rare earth element, could revitalize the
Ketchikan and southeast area of Alaska, including Prince of Wales
Island where yttrium is mined.
In closing, Mr. Salik said the Power Superconductor Applications
Corporation would use local employment in converting the LIMRV, and
no state funding is requested at this time.
Number 170
SENATOR WILKEN asked if yttrium is found in other areas of the
state. MR. SALIK thought it had been found in other areas of the
state but not in such mass quantities as on Prince of Wales Island.
Number 185
CHAIRMAN MACKIE directed attention to a proposed SCS CSHJR 56(STA).
As the resolution was originally introduced it spoke to doing
production facilities in Ketchikan, Metlakatla and other places
other than Prince of Wales Island so the committee substitute adds
"Prince of Wales Island or elsewhere" in the appropriate places.
Number 200
SENATOR PHILLIPS moved adoption of SCS CSHJR 56(STA) as a working
document, and hearing no objection, it was so ordered.
Number 221
SENATOR WILKEN expressed concern that the resolution directs the
activity to Southeast Alaska, and he suggested it should refer to
just Alaska as it does in the title of the legislation, and then
let someone else decide the best place in Alaska for the activity.
Number 247
SENATOR WILKEN moved that any geographical references to Southeast
Alaska be deleted from SCS CSHJR 56(STA) and have it refer to
Alaska in general. CHAIRMAN MACKIE objected to the amendment, and
stated that it was just a resolution and he preferred to leave it
as is.
SENATOR WILKEN stated he doesn't mind mining yttrium wherever it
is, but he finds it objectionable to state as a state policy that
if somebody does read this resolution, we've directed them to do
something with the LIMRV in Southeast Alaska.
Number 285
MR. SALIK related that it was his understanding that the Power
Superconductor Corporation wanted to keep it in the Southeast area
to do some tests in the Annette Field area, as well as taking the
LIMRV to Skagway for tests on the rail system to the railbelt in
Anchorage.
Number 320
SENATOR WILKEN suggested leaving in Prince of Wales Island in
Southeast Alaska wherever it has to do with mining, but to delete
the reference wherever it has to do with LIMRVs. He then moved the
following amendment to SCS CSHJR 56(CRA)
Amendment No. 1
Page 1, line 15: Delete "Prince of Wales Island or elsewhere in
Southeast Alaska"
Page 2, line 8: Delete "Southeast"
Page 2, line 17: After the word "facility" delete "on Prince of
Wales Island or elsewhere" and after the word "in" delete
"Southeast"
Page 2, line 21: Delete "on Prince of Wales Island or elsewhere in
Southeast"
Page 2, line 28: Delete "Southeast"
CHAIRMAN MACKIE stated his strong objection to the amendment and
requested a roll call vote on the adoption of the amendment. The
roll was taken with the following result: Senators Donley and
Wilken voted "Yea" and Senators Hoffman, Phillips and Mackie voted
"Nay." CHAIRMAN MACKIE stated the motion failed.
CHAIRMAN MACKIE suggested just deleting the word "Southeast"
throughout the resolution, with the intent of the committee that it
states "in Alaska."
Number 390
SENATOR PHILLIPS moved the following amendment to SCS CSHJR
56(CRA):
Amendment No. 2
Delete the word "Southeast" wherever it appears in the resolution.
Hearing no objection, CHAIRMAN MACKIE stated Amendment No. 2 was
adopted.
CHAIRMAN MACKIE requested a motion to move the resolution from
committee.
SENATOR DONLEY moved SCS CSHJR 56(CRA), as amended, pass out of
committee with individual recommendations. Hearing no objection,
it was so ordered.
There being no further business to come before the committee, the
meeting adjourned at 2:04 p.m.
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