Legislature(2005 - 2006)Wasilla LIO
10/03/2005 06:30 PM Senate TRANSPORTATION
| Audio | Topic |
|---|---|
| Start | |
| Update and Report on the Knik Arm Bridge & Toll Authority | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
ALASKA STATE LEGISLATURE
SENATE TRANSPORTATION STANDING COMMITTEE
October 3, 2005
6:39 p.m.
MEMBERS PRESENT
Senator Charlie Huggins, Chair
Senator Albert Kookesh
OTHER LEGISLATORS PRESENT
Representative Carl Gatto
Representative Mark Neuman
Representative Vic Kohring
MEMBERS ABSENT
Senator Cowdery, Vice-Chair
Senator Therriault
Senator French
COMMITTEE CALENDAR
Presentation and Update by the Knik Arm Bridge and Toll
Authority
PREVIOUS COMMITTEE ACTION
See Senate Transportation Minutes 2/26/05
WITNESS REGISTER
GEORGE WUERCH,
KABATA Chair
Anchorage, AK
POSITION STATEMENT: Presented Scoping Report
DALE PAULSON,
KABATA Director of Regulatory and Environmental
Anchorage, AK
POSITION STATEMENT: Presented Scoping Report
HENRY SPRINGER,
KABATA Executive Director
Anchorage, AK
POSITION STATEMENT: Presented Scoping Report
DARCIE SALMON,
KABATA Vice-Chair
Anchorage, AK
POSITION STATEMENT: Commented on Scoping Report
HAROLD WARD
Mat-Su, AK
POSITION STATEMENT: Commented on Knik Arm Bridge project
ACTION NARRATIVE
CHAIR CHARLIE HUGGINS called the Senate Transportation Standing
Committee meeting to order at 6:38 PM. Senator Kookesh, Chair
Huggins, Representatives Gatto, Neuman, and Kohring were
present.
^Update and Report on the Knik Arm Bridge & Toll Authority
CHAIR CHARLIE HUGGINS announced this is the second in a series
of informational meetings regarding the Knik Arm Bridge and Toll
Authority (KABATA). Former Mayor Wuerch would introduce KABATA
board members who would provide an update on the project. After
the presentations there would be opportunity for questions.
6:39:57 PM
GEORGE WUERCH, KABATA Chair, explained that three topics would
be presented as follows:
· Overview of the status of the Knik Arm project including
alternative selections and technical details by Dale
Paulson, KABATA Director of Regulatory and Environmental
Affairs.
· Update on the schedule of the project including the
administration and delivery systems by Henry Springer,
KABATA Executive Director.
· The financial plans for the project development by Mr.
Wuerch.
6:40:51 PM
DALE PAULSON, KABATA Director of Regulatory and Environmental
Affairs, gave a PowerPoint presentation to describe the progress
of the environmental process as it relates to the following
corridor alternatives:
· Mat-Su Approach Alternatives
· Point MacKenzie Road alignment
· Northern Access Alignment
· Knik Arm Crossing Alignment
· Southern Alignment
· Anchorage Approach Alternatives
· Below-the-Bluff Alignment with
· Erickson Alternative
· Degan Alternative
6:41:49 PM
CHAIR HUGGINS said in previous years a corridor going through a
military installation wouldn't have been acceptable. That's
changed and accounts, in part, for the course.
MR. PAULSON agreed and said that as they went through the
scoping process the military agreed to look at different roads
and opportunities. As a result the Highland Road, Boniface, and
Muldoon showed up during the scoping process.
He showed a slide representing projected population growth in
Mat-Su and in Anchorage with and without the bridge. He
indicated there would be an approximate 5,000-house shift on the
Mat-Su side with the bridge. They further projected where people
would live to develop a traffic network. This, he said, is the
first time we've ever connected what's going on in Anchorage
with what's going on in Mat-Su. The result is a model that works
on both sides and will be a good tool for use in the future.
He reviewed and compared the bluff corridor on the Anchorage
side and the corridor through the military installation. He
pointed out that Ingrid Gambell carries more traffic than
Boniface primarily because it's shorter.
He reviewed costs and complications associated with going
through the military installation and also using corridors above
and below-the-bluff.
He discussed problems the military had with antennae
interference and how the associated costs go away for the below-
the-bluff alternative.
CHAIR HUGGINS asked if all of this is on Elmendorf.
MR. PAULSON clarified that most of the below-the-bluff
alternative is not on Elmendorf; on top it is on military land.
Based on the information gathered on the Anchorage side the
Federal Highway Administration has determined that below-the-
bluff alternatives will be carried forward for detailed
analysis.
6:49:31 PM
REPRESENTATIVE CARL GATTO questioned why the military expressed
concern about antennae because the bridge doesn't have towers.
MR. PAULSON said there is less interference if the bridge is
farther away and the road is located below the antennae line of
sight.
He reviewed the Mat-Su side of the bridge. They're looking at a
northern corridor in the port area because that location would
be less disruptive to port operations and the ferry. He also
reviewed the Willow connector and how the different alternatives
might reduce congestion.
CHAIR HUGGINS commented it's difficult to make it through the
Wasilla corridor to Denali in the summertime and the Willow
connector would give a straight shot.
MR. PAULSON said the gravel in the area might provide the supply
for the road.
MR. PAULSON concluded his comments. They began to seriously put
the EIS together this year and the record of decision (ROD)
should come out next year. After that they would move into phase
3 and Mr. Springer would carry that discussion.
6:56:33 PM
DARCIE SALMON, KABATA Vice-Chair, pointed out that with or
without the bridge the Point MacKenzie Road would require
upgrades.
CHAIR HUGGINS stated that to get from one side of Knik Arm to
the other is one thing and having infrastructure connectivity is
another. As Alaskans it's our job to make sure it works and it's
not just a bridge with insufficient road networks on either
side, he said.
UNIDENTIFIED SPEAKER asked about the South Big Lake Road.
MR. PAULSON said they understand that the borough plans to
continue to develop the Big Lake Road and connect into the Parks
Highway.
7:01:13 PM
REPRESENTATIVE GATTO asked about the status of the ferry.
MR. PAULSON said it should be ready for service in about a year,
which would help during construction.
7:02:28 PM
REPRESENTATIVE GATTO referenced Hurricane Katrina and asked for
a comment on the feasibility of transferring bridge money to
Louisiana.
MR. PAULSON explained that Congressman Young has made it clear
that to use gas taxes for hurricane relief would require
congressional action and he doesn't believe that would happen.
REPRESENTATIVE GATTO asked if this is entirely gas tax money.
MR. PAULSON said yes.
7:04:41 PM
HENRY SPRINGER, KABATA Executive Director, said their data shows
they will be finished with the environmental impact statement
process by mid 2006. He pointed out that for everything to run
on schedule the finances and the timing of the finances are of
key importance. Don't forget, he said, the $230 million that
Congress allocated for the project is spread over 5 years.
To bring the project in within time and budget he said he likes
to work backwards. He's told the ribbon will be cut in 2010 and
he estimates it will take between three and four years for pure
bridge construction.
REPRESENTATIVE NEUMAN asked if the bridge would include a rail
corridor or just the road.
MR. SPRINGER said his understanding is that they are not
accommodating a railroad on the bridge and won't include a
railroad on the bridge for design purposes. But they will use
alignment and geometrics that allow the use and construction of
a railroad bridge along side in that corridor. However, there is
the possibility of including provisions for a light rail in the
design. This would be economical is the design stage and
advantageous in the future.
REPRESENTATIVE NEUMAN said he would assume any highway corridor
would also include a rail corridor.
MR. SPRINGER agreed that the right-of-way corridors are wide
enough to accommodate future needs.
7:13:21 PM
MR. SPRINGER described the delivery system.
First he discussed the administration and management of the
project. One scenario is to have this be one large project. The
Federal Highway Administration prefers this designation but it
entails a great deal of red tape and bureaucracy. It also
depends on how the funding comes together. Currently one third
of the money is federal and the rest will come from other
sources. It's difficult to home in on a delivery system when
some of the key aspects are unknown such as when the different
funds come on line and what strings are attached to those funds.
Second he described the implications of funding. One issue is
how to ensure that Alaska labor forces are included in the
project. It might be difficult for small contractors to
participate but they are looking for mechanisms to accommodate
that.
It might be advantageous to break the project into two, three or
four separate projects. Some areas will be ready to start sooner
than others and equipment availability wouldn't be such an
issue.
He described procurement rules and said that to be finished by
2010 it's necessary to use an integrated process where design
and construction are meshed. That means multiple phases of a
project can be worked at once to shorten the time span. That
works well if project management and the contractor and the
designer work well together. However, experience has shown that
this results in cost overruns because day-to-day control is
shaky.
Because of cash flow there is now a new system called design
built financed or private/public participation approaches. The
contractor advances the funding and when the money comes
available the contractor receives payment. That's an attractive
way to deal with a cash flow problem. Of course there is
interest built into the equation but it's a process that is
becoming more common particularly with quasi-independent public
works projects such as toll facilities.
7:27:11 PM
MR. SPRINGER concluded that this is all doable but to finish by
2010 it will be necessary to agree on a suitable delivery system
by the first quarter of 2006.
REPRESENTATIVE GATTO commended KABATA for looking after the
small businessperson.
CHAIR HUGGINS asked for verification that if the project were
left as one then outside organizations would accomplish the task
MR. SPRINGER agreed that not many outfits could handle the
project in its entirety.
REPRESENTATIVE NEUMAN asked if there's enough gravel on the Port
Mackenzie side for the approaches.
MR. SPRINGER replied they aren't in that stage yet but because
it's mostly glacial moraine there's probably enough.
7:33:41 PM
GEORGE WUERCH, Chairman, KABTA, noted the draft EIS and
highlighted the projected timeframes.
He presented the following summary of the financing:
The target is $600 million. The transportation bill provided
$230 million. $100 million may be borrowed from Wall Street and
$100 million may be borrowed from the Federal Highway
Administration loan program. Alaska's match for the federal
grant is 9% and that amounts to about $20 million in general
fund.
MR. WUERCH said they would approach the Legislature for approval
of the federal match and for the authority to sell bonds for the
balance. He said it could be as high as $160 million, but they
would work with the Administration.
REPRESENTATIVE GATTO questioned how exposed the state is to
default on those bonds.
MR. WUERCH replied by law not at all. It's up to the toll
authority to create the revenue stream to repay the debt. He
explained that the goal is to create a situation in which the
$200 million has to be paid back and the rest is equity and
doesn't require repayment. They're pursuing the federal highway
money because the federal law that created the program is
authorized to defer payment of principle and interest until five
years after the project is completed.
He said KABATA would deliver its annual report no later than the
third day of the next legislative session.
7:44:20 PM
SENATOR ALBERT KOOKESH asked if they anticipate any EIS
problems.
MR. WUERCH replied they've been fortunate and explained that
they approached the project like a mining project rather than a
highway project.
SENATOR KOOKESH asked if any environmental lawsuits are on the
horizon.
MR. WUERCH replied he couldn't identify any specific issue or
reason for a lawsuit.
CHAIR HUGGINS made three points:
· The KABATA process has been public, forthright and
deliberate.
· If information wasn't available at a meeting KABATA
made an attempt to provide the information.
· The 3 presenters have done an outstanding job and
they represent Alaskans very well.
CHAIR HUGGINS opened the meeting to a short question and comment
session.
CHAIR HUGGINS announced he would call a meeting between DOT and
Mat-Su to look at the total road infrastructure and mesh the
perspectives.
7:55:51 PM
REPRESENTATIVE GATTO said the last Legislature appropriated $6
million for the Point MacKenzie Road and $2 million was
appropriated to look at alternate access corridors.
CHAIR HUGGINS said the people of Mat-Su deserve an answer about
the projected infrastructure demands.
SENATOR KOOKESH said he appreciates the presentation and is now
more comfortable and will be able to make a more informed
decision.
MR. WUERCH said he believes this the right thing to do and if it
can't be done now then it's problematic that it will ever get
done.
CHAIR HUGGINS commented even though people don't live in the
area they understand the rational.
HAROLD WARD remarked that he believes this is an important
project and the people in Wasilla are just a minor part in the
entire scope.
There being no further business to come before the committee,
Chair Huggins adjourned the meeting at 8:04:49 PM.
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