Legislature(2021 - 2022)BELTZ 105 (TSBldg)
03/30/2021 01:30 PM Senate TRANSPORTATION
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| Audio | Topic |
|---|---|
| Start | |
| SB103 | |
| SB105 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 103 | TELECONFERENCED | |
| += | SB 105 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
SENATE TRANSPORTATION STANDING COMMITTEE
March 30, 2021
1:36 p.m.
MEMBERS PRESENT
Senator Robert Myers, Chair
Senator Mike Shower, Vice Chair
Senator Jesse Kiehl
MEMBERS ABSENT
Senator Click Bishop
Senator Peter Micciche
COMMITTEE CALENDAR
SENATE BILL NO. 103
"An Act repealing the Alaska Marine Transportation Advisory
Board; establishing the Alaska Marine Highway System Operation
and Planning Board; and providing for an effective date."
- HEARD & HELD
SENATE BILL NO. 105
"An Act relating to road service area consolidation."
- HEARD & HELD
PREVIOUS COMMITTEE ACTION
BILL: SB 103
SHORT TITLE: AMHS OPERATION & PLANNING BOARD
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR
03/10/21 (S) READ THE FIRST TIME - REFERRALS
03/10/21 (S) TRA
03/25/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
03/25/21 (S) Heard & Held
03/25/21 (S) MINUTE(TRA)
03/30/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
BILL: SB 105
SHORT TITLE: ROAD SERVICE AREA CONSOLIDATION
SPONSOR(s): MYERS
03/10/21 (S) READ THE FIRST TIME - REFERRALS
03/10/21 (S) TRA, CRA
03/25/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
03/25/21 (S) Heard & Held
03/25/21 (S) MINUTE(TRA)
03/30/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
WITNESS REGISTER
SHANNON ADAMSON, Regional Representative
International Organization of Masters, Mates and Pilots (MM&P)
Juneau, Alaska
POSITION STATEMENT: Testified with concerns that the board
established by SB 103 lacks authority and the ferry system
management structure should change.
BEN GOLDRICH, Representative
Marine Engineers' Beneficial Association (MEBA)
Juneau, Alaska
POSITION STATEMENT: Testified on SB 103, offering support for
expanding the board composition and membership, providing OPB
with more authority and taking steps to depoliticize AMHS.
VALERIE AMARILLAS, Chair
McGrath Estates Service Area Commission
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified in opposition to SB 105 because
consolidating RSAs would adversely affect maintenance response
times and force small contractors out of business.
CHARLES LEMKE, Chair; Commissioner
University Heights Service Area
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified with questions on SB 105.
CANDY RYDLINSKI, Commissioner
Kris Kringle Service Area (KKSA)
Fairbanks North Star Borough
North Pole, Alaska
POSITION STATEMENT: Testified in opposition to SB 105 because
RSAs are unique, KKSA residents like the current RSA system and
consolidation may adversely affect services.
GEORGE RYDLINSKI, Member
Kris Kringle Service Area (KKSA)
Fairbanks North Star Borough
North Pole, Alaska
POSITION STATEMENT: Testified in opposition to SB 105 due to a
lack of information on the proposed RSA consolidations.
MICHAEL BRADLEY, Commissioner
McGrath Estates Service Area
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified in opposition to SB 105.
DAN LABROSSE, Chair;
Fairbanks North Star Borough; Commissioner
Polar Heights Service Area
Fairbanks, Alaska
POSITION STATEMENT: Testified in opposition to SB 105 because
consolidation would adversely affect services but not reduce
homeowner taxes.
CHRISTINE ROBBINS, representing self
Fairbanks, Alaska
POSITION STATEMENT: Testified in opposition to SB 105 because
service areas differ vastly and the majority of the affected
residents do not support consolidation.
APRIL TRICKEY, Borough Clerk
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified during the discussion of SB 105.
JIM WILLIAMS, Chief of Staff
Mayor's Office
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of SB 105.
JIMI CASH, Chair
Fairbanks North Star Borough Assembly
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of SB 105
JILL DOLAN, Borough Attorney
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Answered questions on SB 105.
ACTION NARRATIVE
1:36:17 PM
CHAIR ROBERT MYERS called the Senate Transportation Standing
Committee meeting to order at 1:36 p.m. Present at the call to
order were Senators Shower, Kiehl, and Chair Myers.
SB 103-AMHS OPERATION & PLANNING BOARD
1:36:57 PM
CHAIR MYERS announced the consideration of SENATE BILL NO. 103
"An Act repealing the Alaska Marine Transportation Advisory
Board; establishing the Alaska Marine Highway System Operation
and Planning Board; and providing for an effective date."
1:37:16 PM
CHAIR MYERS opened public testimony on SB 103.
1:37:41 PM
SHANNON ADAMSON, Regional Representative, International
Organization of Masters, Mates and Pilots (MM&P), Juneau,
Alaska, stated that SB 103 lacks diversity as all the Alaska
Marine Highway System Operation and Planning Board (OPB) members
will be appointed by the governor. Instead, she suggested that
board members should be appointed by more than one political
entity, including the legislative branch. The bill does not
provide OPB with sufficient authority to make substantial
changes. She said she served as a Marine Transportation Advisory
Board (MTAB) member for six years. She offered her belief that
MTAB's recommendations to the Department of Transportation and
Public Facilities (DOTPF) were largely ignored. She suggested
amending the bill to require DOTPF to incorporate OPB's short
and long-range plans to help the board work with DOTPF
management to achieve better solutions. Although SB 103 provides
a step in the right direction, the language in House Bill 63
[Chapter 20 SLA 21] would improve the Alaska Marine Highway
System (AMHS) even more. She said MM&P encourages the committee
to consider the language in that legislation for potential
amendments to SB 103 to improve AMHS for coastal communities.
1:39:40 PM
SENATOR SHOWER asked whether it was time to move away from
DOTPF's management and model AMHS after the Alaska Seafood
Marketing Institute (ASMI).
MS. ADAMSON, after first clarifying the question, responded that
MM&P would support that change. She offered her belief that AMHS
suffers from a lack of planning and management structure. Thus,
MM&P would advocate for any change that would remove AMHS from
DOTPF.
1:41:48 PM
BEN GOLDRICH, Representative, Marine Engineers' Beneficial
Association (MEBA), Juneau, Alaska, stated that he supports
expanding the board composition and membership, providing OPB
with more authority and taking steps to depoliticize AMHS. He
said that MEBA believes that adding board members could bring
broader perspectives, diversify the board, and help depoliticize
AMHS. He agreed that adding some provisions of House Bill 63
could provide OPB with more authority. Although he does not
serve on MTAB, he said he participated in and observed many MTAB
meetings. He advocated using MTAB's and OPB's expertise to
assist AMHS.
1:42:59 PM
CHAIR MYERS asked whether MEBA supported giving AMHS its own
governance structure separate from DOTPF.
MR. GOLDRICH offered his belief that MEBA would support such a
move.
1:43:40 PM
CHAIR MYERS, after first determining no one wished to testify,
closed public testimony on SB 103.
[SB 103 was held in committee.]
SB 105-ROAD SERVICE AREA CONSOLIDATION
1:43:55 PM
CHAIR MYERS announced the consideration of SENATE BILL NO. 105
"An Act relating to road service area consolidation."
1:44:00 PM
CHAIR MYERS opened public testimony on SB 105.
1:45:11 PM
VALERIE AMARILLAS, Chair, McGrath Estates Service Area
Commission, Fairbanks North Star Borough (FNSB), Fairbanks,
Alaska, spoke in opposition to SB 105. She stated that no two
service areas have the same number of miles, mill rate, assessed
value, tax cap or the same number of commissioners.
Consolidating road service areas (RSAs) would likely result in
longer response times and force small contractors out of
business. Further, each second-class borough in Alaska is unique
and the current system works. In addition, the bill's scope
changed when "contiguous" was removed from the original
information. She wondered what cost savings FBSB hoped to
achieve since RSAs currently contribute approximately 90 percent
of their budgetary needs. If FNSB wishes to make changes to
RSAs, the mayor and assembly should contact the existing RSA
Chairs to discuss options, but it should be up to the voting
public to decide, not RSA boards.
CHARLES LEMKE, Chair; Commissioner, University Heights Service
Area, Fairbanks North Star Borough, Fairbanks, Alaska, stated
that he supported giving more authority to RSAs because it could
reduce expenses but he was unsure how it would affect services.
He wondered whether consolidating RSAs would include combining
RSA's funds and reserves. The University Heights Subdivision RSA
was responsible and frugal and homeowners believe their service
area provides good service. He wondered whether this would
increase expenses or dilute services. He spoke in favor of
letting each RSA vote on whether to consolidate.
1:50:36 PM
CANDY RYDLINSKI, Commissioner, Kris Kringle Service Area (KKSA),
Fairbanks North Star Borough, North Pole, Alaska spoke in
opposition to SB 105, echoing previous testifiers' concerns. She
said she did not understand the reason to change the current
system. She stated that RSAs are unique buts she was unsure what
services would be provided.
1:51:30 PM
GEORGE RYDLINSKI, Member, Kris Kringle Service Area (KKSA),
Fairbanks North Star Borough, North Pole, Alaska, spoke in
opposition to SB 105 due to a lack of information on the
proposed RSA consolidations.
1:52:29 PM
MICHAEL BRADLEY, Commissioner, McGrath Estates Service Area,
Fairbanks North Star Borough, Fairbanks, Alaska, spoke against
SB 105 because it appeared that big government would
redistribute funds from functioning service areas to those with
deficits or that struggle filling commissioner positions. The
McGrath RSA currently functions well, he said. He expressed
concern by consolidating RSAs, the level of service will
diminish without gaining efficiencies. He asked members to
consider why the borough created RSAs in the first place. If
consolidating RSAs is a good idea, FNSB should consolidate them
and take over road services, he said.
1:55:33 PM
DAN LABROSSE, Chair; Commissioner, Polar Heights Service Area,
Fairbanks North Star Borough, Fairbanks, Alaska, spoke in
opposition to SB 105 because his RSA currently provides good
services. He stated that he served as RSA commissioner for 20
years and was instrumental in helping his neighborhood annex the
Polar Heights Service Area, which consists of 2.6 road miles.
Before annexing the RSA, his subdivision had poor road
conditions but under the RSA, the roads are in excellent
condition. He expressed concern about potential diminished
services. Polar Heights RSA members currently volunteer to fill
potholes and neighbors report problems, such as clogged
culverts. He stated that the RSA coordinates contracting
services with an adjacent RSA to achieve efficiencies for
snowplowing. He acknowledged that RSA consolidations might
reduce administrative costs but not RSA member taxes.
1:58:51 PM
At ease
1:59:48 PM
CHAIR MYERS reconvened the meeting.
1:59:52 PM
CHRISTINE ROBBINS, representing self, Fairbanks, Alaska, spoke
in opposition to SB 105. She stated that not one of the 103 RSAs
has the same mileage, mill rate, assessed value, or tax cap. She
said she did not think voters would support changes. She
suggested that members should hold off approving SB 105 to allow
more people to voice their opinions on the proposed
consolidations.
2:01:02 PM
APRIL TRICKEY, Borough Clerk, Fairbanks North Star Borough,
Fairbanks, Alaska, stated that she is responsible for
administering municipal elections and all service area elections
held in March or November. She stated that she and her staff
were neutral on SB 105.
MS. TRICKEY reported that the Fairbanks North Star Borough
Clerk's office conducted 51 service area elections between 2016
through 2020 as compared to two conducted by the Mat-Su Borough
during the same period. FNSB's code requires service area
elections be performed using the procedures for absentee voting
in person, by mail or electronic transmission.
MS. TRICKEY highlighted the challenges in conducting RSA
elections. First, FNSB has not been able to obtain voter
precinct lists from the Division of Elections. She elaborated
that several years ago, the borough added five fire service
areas to the state's Election Electronic Records Management
System. The Region III Division of Elections' office did not
support adding the 103 RSAs and two utility service areas to
their system. It would be such a time-consuming process to enter
and maintain voter records. The Canvas Board must use a two-step
process to validate voters without the precinct register. As the
borough receives ballots, the Canvas Board must determine
whether the person is a registered voter in the borough. Next,
FNSB's Canvas Board cross-checks the name against its list of
all resident addresses within that service area boundary or
annexation area to determine if the person's address falls
within the service area and their votes can be counted.
2:05:02 PM
MS. TRICKEY, in response to a previous question about conducting
service area elections when municipal elections are held,
explained the challenges. First, the service area boundaries do
not align with precinct boundaries. Second, service areas cross
more than one precinct boundary. At times, more than one service
area falls within a precinct boundary. Second, she would need to
hire an additional person to conduct the service area election,
which would drive up the service area election costs. Finally,
she would need to train the Canvas Boards to guide voters during
a service area election since residents, who may own property in
a service area and annexation area, often are uncertain which
ballot to request.
2:07:06 PM
SENATOR SHOWER stated he would consult with the Mat-Su Borough
on their process. He wondered if FNSB might be able to take some
actions to streamline the process. For example, if FNSB wants to
consolidate RSAs, perhaps it can conduct one election. He
offered to pass on any information to the committee.
MS. TRICKEY explained that the FNSB must hold an election for
each service area. Thus, it would be too complex due to
accountability requirements regarding ballots and voter
eligibility. Further, it would not be possible to meet the
requirement to complete the count within seven days. She opined
holding one election for 105 service areas was not attainable.
2:11:18 PM
MR. BRADLEY deferred to Mr. Williams.
2:11:54 PM
JIM WILLIAMS, Chief of Staff, Mayor's Office, Fairbanks North
Star Borough, Fairbanks, Alaska, speaking on behalf of Mayor
Ward, explained that the crux of the problem was due to a large
number of service areas. Further, as testified to at a previous
hearing, RSA consolidation elections typically fail due to a
lack of voter turnout.
MR. WILLIAMS agreed that the people opposing SB 105 were correct
that FNSB has not adequately explained the benefits of SB 105.
First, consolidating RSAs would reduce administrative costs.
Second, it might be possible to hold one election for RSAs, but
each RSA being combined must receive a majority of the votes to
combine all RSAs. He said he reviews over 120 contracts
requiring invoices, purchase orders, inspections, and
engineering work.
MR. WILLIAMS said that using the ordinance process would give
FNSB another option to initiate the RSA consolidation process.
He agreed that each service area has its own set of interests,
including fund balances, mill rates, services, service level
quality and cost per mile. However, this pathway would require
the commissions must agree that their interests could be met to
consolidate two RSAs. In addition, it would go through a public
process. An ordinance would also need to be approved by the FNSB
mayor and assembly, which is another public process.
2:15:26 PM
SENATOR SHOWER stated that he recognized the borough's problem
in administering elections but public testimony shows
significant opposition to the bill. He expressed concern that
using an ordinance process would mean the service area residents
would not have an opportunity to vote on the consolidation. He
surmised FNSB might need to seek voter approval by developing a
blended solution.
2:17:31 PM
MR. WILLIAMS agreed that a number of commissioners were opposed
to SB 105. However, he reminded members that 262 of 418
commission seats are currently filled. Thus, the committee did
not hear from a majority of the commissioners. FNSB primarily
received feedback from some commissioners who supported the
concept. He maintained this process would give the borough one
more option for RSA consolidation when interests align. He
stated that maintaining 103 service areas was untenable.
2:18:33 PM
SENATOR SHOWER suggested starting by consolidating service areas
for those who agree. He offered his view that there must be a
way to resolve the issues.
2:19:10 PM
JIMI CASH, Member, Fairbanks North Star Borough Assembly, Chair,
Fairbanks, Alaska, stated that he also chairs FNSB's Road
Service Area Committee. He stated that the FNSB Assembly passed
a resolution in support of SB 105. He related his understanding
testifiers viewed SB 105 as a means for the borough to
consolidate RSAs without obtaining input from the people.
However, the bill requires commissioners of each RSA must agree
to consolidate. If so, it would remove the necessity of holding
an RSA election. As previously mentioned, oftentimes these
elections fail because people do not show up because they lack
an interest in the election or they were not paying attention
and did not realize an election was being held. For example,
although he lived most of his adult life in a service area
served by an RSA, he only attended two meetings. He simply did
not understand what RSAs do except plow the roads in his
subdivision.
MR. CASH explained that consolidating RSAs via the ordinance
process would remove burdens for staff, including going through
the process to conduct elections only to have them fail. He
acknowledged that the borough did not do a good job of
contacting or explaining the issues to RSA commissioners.
However, FNSB has an RSA Committee, consisting of one public
member, two assembly members and five RSA commissioners. During
discussions, the committee's concern was to ensure that RSA
consolidations did not occur without agreement by RSA
commissioners affected by the consolidation. He related that
RSAs would have some cost savings. He noted that some RSAs serve
one-quarter of a mile, but others are miles long. He recalled
that one election to annex a small RSA with a larger RSA failed
because no one in the larger RSA voted. t did not mean the
members of larger RSAs disagreed with the consolidation, just
that they did not vote.
2:23:13 PM
JILL DOLAN, Borough Attorney, Fairbanks North Star Borough,
Fairbanks, Alaska, clarified that if FNSB had the authority to
consolidate RSAs, the borough would still implement its own
review process, including conducting analysis, assessing value,
identifying the number of road miles maintained and determining
the overall maintenance cost. That analysis would be presented
and recommendations would be made on whether to annex before an
ordinance would be presented to the assembly.
2:24:27 PM
At ease
2:24:52 PM
CHAIR MYERS reconvened the meeting and after determining no one
wished to testify, he closed public testimony on SB 105.
[SB 105 was held in committee.]
2:26:05 PM
There being no further business to come before the committee,
Chair Myers adjourned the Senate Transportation Standing
Committee meeting at 2:26 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB105 Testimony - Received as of 3.30.21.pdf |
STRA 3/30/2021 1:30:00 PM |
SB 105 |