Legislature(2025 - 2026)ANCH LIO DENALI Rm

12/05/2025 12:30 PM Senate TRANSPORTATION

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Audio Topic
12:38:39 PM Start
12:39:29 PM Presentation(s): Dotpf Overview: Summer 2025 Construction and Ffy 2026 Outlook
02:26:08 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Please Note Time & Location Change --
+ DOT&PF overview including 2025 Summer TELECONFERENCED
Construction Season, August Redistribution,
Relationships with Utilities, 2026 FFY Plans,
and 2026-2029 STIP Drafting.
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
            SENATE TRANSPORTATION STANDING COMMITTEE                                                                          
                        December 5, 2025                                                                                        
                           12:38 p.m.                                                                                           
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Jesse Bjorkman, Chair                                                                                                   
Senator Löki Tobin, Vice Chair                                                                                                  
Senator Jesse Kiehl                                                                                                             
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Bert Stedman                                                                                                            
                                                                                                                                
OTHER LEGISLATORS PRESENT                                                                                                     
                                                                                                                                
Representative Ted Eischeid                                                                                                     
Senator Kelly Merrick                                                                                                           
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION(S): DOT OVERVIEW: SUMMER 2025 CONSTRUCTION AND FFY                                                                 
2026 OUTLOOK                                                                                                                    
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
RYAN ANDERSON, Commissioner                                                                                                     
Department of Transportation and Public Facilities (DOTPF)                                                                      
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Co-presented the DOTPF overview: Summer 2025                                                              
Construction and FFY 2026 Outlook                                                                                               
                                                                                                                                
KATHERINE KEITH, Deputy Commissioner                                                                                            
Department of Transportation and Public Facilities (DOTPF)                                                                      
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Co-presented the DOTPF overview: Summer 2025                                                              
Construction and FFY 2026 Outlook                                                                                               
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
12:38:39 PM                                                                                                                   
CHAIR   BJORKMAN  called   the  Senate   Transportation  Standing                                                               
Committee meeting to  order at 12:38 p.m. Present at  the call to                                                               
order  were  Senators Tobin  and  Chair  Bjorkman. Senator  Kiehl                                                               
joined thereafter, via teleconference.                                                                                          
                                                                                                                                
^PRESENTATION(S):  DOTPF Overview:  Summer 2025  Construction and                                                               
FFY 2026 Outlook                                                                                                                
 PRESENTATION(S): DOTPF Overview: Summer 2025 Construction and                                                              
                        FFY 2026 Outlook                                                                                    
                                                                                                                                
12:39:29 PM                                                                                                                   
CHAIR BJORKMAN  announced the consideration of  the presentation:                                                               
DOT Overview: Summer 2025 Construction and FFY 2026 Outlook.                                                                    
                                                                                                                                
12:40:41 PM                                                                                                                   
CHAIR BJORKMAN commended Department  of Transportation and Public                                                               
Facilities (DOTPF) on securing federal  funds that will allow the                                                               
continued work on meaningful transportation system upgrades.                                                                    
                                                                                                                                
12:41:17 PM                                                                                                                   
CHAIR BJORKMAN  requested that the presentation  begin with slide                                                               
12.                                                                                                                             
                                                                                                                                
12:41:47 PM                                                                                                                   
RYAN  ANDERSON, Commissioner,  Department  of Transportation  and                                                               
Public   Facilities   (DOTPF),  Anchorage,   Alaska,   introduced                                                               
himself.                                                                                                                        
                                                                                                                                
12:42:14 PM                                                                                                                   
COMMISSIONER  ANDERSON  recalled   discussions  during  the  2024                                                               
legislative  session related  to DOTPF  and project  delivery. He                                                               
emphasized   that  DOTPF   gave  those   recommendations  serious                                                               
consideration. He advanced  to slide 12 and  provided an overview                                                               
of the  federal fiscal year  (FFY) 2025 project  delivery program                                                               
construction   activity  and   goals.   Slide   12  contains   an                                                               
infographic,  table,  and  bar chart  indicating  project  types,                                                               
funding  types, trends,  and projections.  Focused infrastructure                                                               
areas include bridges, pavement, new roads and realignments.                                                                    
                                                                                                                                
12:44:46 PM                                                                                                                   
COMMISSIONER  ANDERSON advanced  to  slide 13,  containing a  bar                                                               
chart of all contract awards by type for 2022-2025:                                                                             
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
            FFY2025 Project Delivery Program Review                                                                           
                        Contract Awards                                                                                       
                                                                                                                                
     Contract Awards FFY 2025: $897,230,167                                                                                     
                                                                                                                                
     Regional:                                                                                                                  
        • Northern $369,082,182                                                                                                 
        • Central $365,101,097                                                                                                  
        • Southcoast $163,046,888                                                                                               
                                                                                                                                
COMMISSIONER   ANDERSON  noted   previous   concern  related   to                                                               
decreasing award  amounts and pointed  out that the  amounts have                                                               
increased  for FFY2025.  In  addition,  he acknowledged  concerns                                                               
related to the regional distribution  of funds, particularly with                                                               
respect  to the  Northern region's  share. He  stated that  DOTPF                                                               
feels the  distribution amounts are  fair. He  highlighted recent                                                               
improvements  which  enabled  greater  project  delivery  in  the                                                               
Southcoast region.                                                                                                              
                                                                                                                                
12:46:43 PM                                                                                                                   
SENATOR  TOBIN  noted  that the  emergency  response  to  Typhoon                                                               
Halong  would  be  addressed in  upcoming  slides;  however,  she                                                               
recalled news reporting about the  state's responsibility to fund                                                               
school  facilities in  rural communities.  She briefly  discussed                                                               
the infrastructure  issues at those  facilities. She  pointed out                                                               
that schools are often used  as evacuation shelters; however, the                                                               
school buildings  in several locations  were found to  lack basic                                                               
infrastructure such  as running water and  functioning restrooms.                                                               
She asked  if DOTPF has  recommendations for how  the legislature                                                               
can respond  to what she surmised  will be an increasing  need to                                                               
use those facilities during disaster declarations.                                                                              
                                                                                                                                
12:47:40 PM                                                                                                                   
COMMISSIONER ANDERSON  indicated that  he is  aware of  the issue                                                               
and  acknowledged that  schools are  likely to  be a  place where                                                               
communities  can  gather  in  disaster/emergency  situations.  He                                                               
explained  that school  districts are  typically responsible  for                                                               
school  facilities, and  the DOTPF  Department Facility  Services                                                               
(DFS)  does  not  include school  buildings.  He  indicated  that                                                               
contractors are available for emergency situations.                                                                             
                                                                                                                                
12:48:32 PM                                                                                                                   
SENATOR TOBIN pointed  out that people stay  in school facilities                                                               
during  an  emergency, and  emergency  response  teams use  those                                                               
facilities  as a  base  of operations.  She  emphasized that  the                                                               
facilities are used by all [not  only by students and staff]. She                                                               
expressed interest  in any  innovative approaches  or discussions                                                               
occurring at  the executive  level to address  the ways  in which                                                               
current  practices addressing  this issue  are insufficient.  She                                                               
emphasized that keeping these facilities  fully functioning - for                                                               
all the services they provide - is a collective responsibility.                                                                 
                                                                                                                                
12:49:34 PM                                                                                                                   
COMMISSIONER  ANDERSON  expressed  agreement and  indicated  that                                                               
this would also be discussed later in the presentation.                                                                         
                                                                                                                                
12:50:15 PM                                                                                                                   
KATHERINE    KEITH,    Deputy   Commissioner,    Department    of                                                               
Transportation and Public  Facilities (DOTPF), Anchorage, Alaska,                                                               
advanced to  slide 14,  containing a  bar chart  displaying funds                                                               
obligated by FFY for 2019-2025:                                                                                                 
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                FFY2025 Project Delivery Program                                                                              
               Obligations and Grants - Highways                                                                              
                                                                                                                                
     FHWA Funds Obligated in FFY 2025: $922,258,501                                                                             
                                                                                                                                
     FFY25 marks the highest level of federal highway funds                                                                     
     ever delivered in Alaska DOTPF history                                                                                     
                                                                                                                                
         Our team successfully obligated 100 percent of                                                                         
        available formula funds  plus an additional $183                                                                        
     million through August redistribution.                                                                                     
                                                                                                                                
     Our performance reflects excellent collaboration with                                                                      
     FHWA Alaska Division and project readiness across all                                                                      
     regions.                                                                                                                   
                                                                                                                                
12:52:02 PM                                                                                                                   
SENATOR KIEHL joined the meeting via teleconference.                                                                            
                                                                                                                                
12:52:17 PM                                                                                                                   
MS. KEITH  highlighted the statewide  efforts of DOTPF  staff and                                                               
partners. She  said that  going forward,  DOTPF will  continue to                                                               
prioritize statewide collaborations  alongside collaboration with                                                               
federal partners in order to maintain the current momentum.                                                                     
                                                                                                                                
12:52:36 PM                                                                                                                   
MS.  KEITH  advanced to  slide  15,  containing a  table  listing                                                               
funding  allocations  and  a  bar chart  of  funds  obligated  by                                                               
federal fiscal year (FFY) for 2019-2025:                                                                                        
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
            FFY2025 Project Delivery Program Review                                                                           
               Obligations and Grants - Airports                                                                              
                                                                                                                                
     Airport Grants: $321.4 Million Secured in FFY25                                                                            
                                                                                                                                
      FAA Airport Improvement Program (AIP) and BIL funds                                                                       
      continue to increase, supporting safety, access, and                                                                      
     economic opportunity statewide.                                                                                            
                                                                                                                                
     Our performance reflects excellent collaboration with                                                                      
     FHWA Alaska Division and project readiness across all                                                                      
     regions.                                                                                                                   
                                                                                                                                
MS. KEITH noted that the grant funding is used for both state                                                                   
and international airports. She highlighted airport lighting                                                                    
systems updates.                                                                                                                
                                                                                                                                
12:53:53 PM                                                                                                                   
COMMISSIONER  ANDERSON advanced  to  slide 16,  containing a  bar                                                               
chart  showing  advance   construction  (AC)  authorizations  and                                                               
conversions by  FFY for  2019-2025, and  provided an  overview of                                                               
advance construction and project delivery:                                                                                      
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
            FFY2025 Project Delivery Program Review                                                                           
                      Advance Construction                                                                                    
                                                                                                                                
     Advance Construction (AC): A Tool for Project Delivery                                                                   
        • Allows DOTPF to begin projects under this                                                                             
          authority and convert to federal funds later                                                                          
        • Ensures continuous project delivery even when                                                                         
          federal obligation limits are reached                                                                                 
        • FFY2025 balance: $576 million, reflecting a                                                                           
          strong project pipeline                                                                                               
        • Balance managed carefully to align with federal                                                                       
          reimbursements and construction schedules                                                                             
                                                                                                                                
12:57:07 PM                                                                                                                   
At ease.                                                                                                                        
                                                                                                                                
12:58:07 PM                                                                                                                   
CHAIR BJORKMAN reconvened the meeting.                                                                                          
                                                                                                                                
12:58:22 PM                                                                                                                   
SENATOR TOBIN asked  to hear more about  advance construction and                                                               
noted  that   the  Federal   Highway  Administration   (FHWA)  is                                                               
encouraging greater  transparency regarding  advance construction                                                               
projects  and funding.  She expressed  concern  about paying  for                                                               
projects before the federal funds  are in-hand. She noted federal                                                               
instabilities and  asked what contingencies  are in place  in the                                                               
event that those projects are not fully funded.                                                                                 
                                                                                                                                
12:59:39 PM                                                                                                                   
COMMISSIONER  ANDERSON  said he  is  not  aware of  conversations                                                               
indicating  that  future  formula  funds are  at  risk.  He  said                                                               
advance  construction  uses  future  formula  funds  and  briefly                                                               
explained   the  process.   He  noted   discussions  on   surface                                                               
transportation reauthorization. He  shared his understanding that                                                               
there has been discussion of  making state funding more flexible.                                                               
He reiterated  that he  has not  heard discussions  about funding                                                               
reductions;  however, inflation  has been  a topic  of discussion                                                               
and  increasing  costs  have  resulted  in  states  requesting  a                                                               
funding increase.                                                                                                               
                                                                                                                                
1:00:52 PM                                                                                                                    
MS. KEITH said she is  likewise unaware of discussions that would                                                               
indicate   a  reduction   in  future   funding.  She   said  some                                                               
individuals  have advocated  for increasing  flexibility for  all                                                               
fund  types.  With  respect  to  advance  construction  (AC)  she                                                               
explained  that  DOTPF  uses   several  strategies  to  determine                                                               
whether  AC   funds  are  used.   She  briefly   described  those                                                               
strategies,  highlighting cash  flow strategies,  restrictions in                                                               
fund types,  and fund management  tools that impact  the decision                                                               
to us AC funds rather than obligating funds.                                                                                    
                                                                                                                                
1:02:18 PM                                                                                                                    
SENATOR  TOBIN  briefly  shared   her  understanding  of  current                                                               
project  conversion  rates  and  expressed concern  about  a  gap                                                               
between  actual  project costs  and  AC  funding received  for  a                                                               
particular project. She reiterated  that FWHA recognized the need                                                               
for  transparency  in  advance construction  and  emphasized  the                                                               
importance  of  considering how  DOTPF  can  be more  transparent                                                               
about the AC  process. She asked whether the  federal funding has                                                               
ever failed to cover AC costs.                                                                                                  
                                                                                                                                
1:03:12 PM                                                                                                                    
COMMISSIONER  ANDERSON  replied  that  he is  not  aware  of  any                                                               
instances in which AC projects  were not fully funded. He offered                                                               
to follow up on this question.  He said AC and conversions can be                                                               
found in the Statewide Transportation Improvement Plan (STIP).                                                                  
                                                                                                                                
1:04:02 PM                                                                                                                    
COMMISSIONER ANDERSON  advanced to  slide 17, containing  a graph                                                               
of the FHWA National Highway  Construction Cost Index (2012-2024)                                                               
and a bar chart showing  trends in public infrastructure spending                                                               
by  decade (1980-2023),  and  highlighted  challenges to  project                                                               
delivery and  the ways DOTPF  can use AC  to work around  some of                                                               
those challenges:                                                                                                               
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                 FFY 2026 Construction Pipeline                                                                               
                      Challenges and Focus                                                                                    
                                                                                                                                
     FFY2026 Project Delivery  Forecast and Outlook                                                                           
        • Inflation-adjusted program to maintain buying                                                                         
          power                                                                                                                 
        • Strategic use of Advance Construction to sustain                                                                      
          delivery                                                                                                              
        • Continuous review of project timelines and                                                                            
          readiness                                                                                                             
        • Shelf-ready    projects    to   capture    federal                                                                    
          opportunities                                                                                                         
        • Focused on steady delivery despite rising                                                                             
          construction costs                                                                                                    
                                                                                                                                
1:06:02 PM                                                                                                                    
CHAIR  BJORKMAN  asked about  the  difference  between a  "shelf-                                                               
ready" project and a "shovel-ready" project.                                                                                    
                                                                                                                                
1:06:18 PM                                                                                                                    
COMMISSIONER  ANDERSON  replied that  both  terms  have the  same                                                               
meaning.                                                                                                                        
                                                                                                                                
1:06:27 PM                                                                                                                    
COMMISSIONER  ANDERSON  advanced  to   slide  18,  containing  an                                                               
infographic  displaying construction  projects DOTPF  tentatively                                                               
plans to advertise within the next 12 months:                                                                                   
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                 FFY 2026 Construction Pipeline                                                                               
                   Forecasted Contract Awards                                                                                 
                                                                                                                                
     Program Outlook                                                                                                          
        • 91 projects planned for advertisement: $670M                                                                          
          $1.1B total value                                                                                                     
        • 60    highway,   19    airport,   and    8   other                                                                    
          infrastructure projects                                                                                               
        • 24 additional shovel-ready projects valued at                                                                         
          $200$314M ready for advancement                                                                                       
                                                                                                                                
1:07:53 PM                                                                                                                    
COMMISSIONER ANDERSON  advanced to  slide 19, containing  a table                                                               
showing capital  major program  expenditures by  FFY (2023-2025).                                                               
He indicated  that this slide  would address an  earlier question                                                               
related to contractor payments.  He said the expenditures include                                                               
statewide contractor payments by program.                                                                                       
                                                                                                                                
1:08:13 PM                                                                                                                    
COMMISSIONER ANDERSON identified the  following acronyms on slide                                                               
19:                                                                                                                             
                                                                                                                                
     AMHS - Alaska Marine Highway System                                                                                        
     DRER - Disaster Recovery Emergency Response                                                                                
     FAPT - federal airport projects                                                                                            
     FHWY - federal highway Projects                                                                                            
     GRNT - other Grants                                                                                                        
     PLRS - planning and research projects                                                                                      
     RMBS - reimbursable Projects                                                                                               
     SAPT - state-funded airport projects                                                                                       
     SHWY - state funded highway projects                                                                                       
     FTAG - FTA rural ferry grants                                                                                              
     XMPT - exempt expenditures                                                                                                 
                                                                                                                                
1:09:25 PM                                                                                                                    
MS. KEITH noted that contractor  payments and contract awards for                                                               
Typhoon  Halong  recovery  efforts   are  not  included  in  this                                                               
presentation. She advanced to slide 20:                                                                                         
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                     FFY2026 Fiscal Outlook                                                                                   
                  Surface & Air Transportation                                                                                
                                                                                                                                
     Federal Programs Total Combined Investment: ~$1.98B                                                                      
                                                                                                                                
     Surface Transportation (STIP Amendment 2)                                                                                
     Total Revenue (FFY2026): $1.71B                                                                                          
        • FHWA Formula Programs: $966M                                                                                          
        • Federal Transit Administration: $160M                                                                                 
        • Federal Transit Discretionary: $171M                                                                                  
        • Advance Construction (State-Funded): $285M                                                                            
        • Other Federal/Discretionary: $49M                                                                                     
        • State Match: $76M                                                                                                     
                                                                                                                                
     Programmed Obligations: $1.45B                                                                                           
                                                                                                                                
     Program Highlights                                                                                                       
       • NHPP: $363M - Core preservation & modernization                                                                        
        • STBG: $194M - Local access & connectivity                                                                             
        • Bridge Programs: $80M - State and off-system                                                                          
        • HSIP, Carbon Reduction, CMAQ: $94M                                                                                    
        • Discretionary/Competitive Grants: $68M                                                                                
                                                                                                                                
     Air Transportation (FAA AIP & BIL)                                                                                       
     Estimated Federal Funding (FFY2026): ~$272M                                                                              
        • Airport   Improvement    Program   (Apportionment,                                                                    
          Entitlements, and Discretionary): ~$177M                                                                              
        • BIL Infrastructure Grants: ~$95M                                                                                      
                                                                                                                                
     Program Focus                                                                                                            
        • Alaska International Airport System (Anchorage /                                                                      
          Fairbanks)                                                                                                            
        • Rural Airports (235 total count)                                                                                      
                                                                                                                                
     Focus on                                                                                                                 
        • Airfield rehabilitation, pavement and lighting                                                                        
        • Safety and compliance upgrades                                                                                        
        • Rural airport access and maintenance support                                                                          
                                                                                                                                
1:11:30 PM                                                                                                                    
COMMISSIONER ANDERSON advanced to slide 21, containing a table                                                                  
displaying the state fiscal year (FY) 2026 capital match                                                                        
summary:                                                                                                                        
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                    FFY2026 Project Delivery                                                                                  
                    State Match Projections                                                                                   
                                                                                                                                
     Current Status                                                                                                           
        • $70M state match shortfall following FY2025                                                                           
          legislative actions and vetoed reappropriations                                                                       
        • DOTPF adjusted STIP - ~25 projects deferred 1-3                                                                       
          years to remain within available match                                                                                
        • Continuing delivery through carryforward match                                                                        
          and Advance Construction authority                                                                                    
                                                                                                                                
     Program Implications                                                                                                     
        • DOTPF can still obligate the program in FFY2026                                                                       
          by paying down Advanced Construction balances.                                                                        
        • Without new match, fewer projects will move to                                                                        
          contract award, limiting construction activity                                                                        
        • Deferred work includes major rehabilitation and                                                                       
          safety projects statewide                                                                                             
                                                                                                                                
     When Does Match Run Out?                                                                                                 
        • Timing depends on bid schedules and obligation                                                                        
          pace                                                                                                                  
        • Match balances sustain early FY2026, but a fix is                                                                     
          needed to maintain momentum                                                                                           
                                                                                                                                
1:13:47 PM                                                                                                                    
CHAIR BJORKMAN  asked for confirmation of  his understanding that                                                               
the funding for  Cascade Point Road is from the  general fund and                                                               
DOTPF did not use federal funds for that project.                                                                               
                                                                                                                                
1:14:59 PM                                                                                                                    
COMMISSIONER  ANDERSON confirmed  that  project  is state  funded                                                               
through Juneau  Access Appropriation Funds. He  briefly discussed                                                               
the funding  for that project,  which he noted was  previously in                                                               
STIP.                                                                                                                           
                                                                                                                                
1:15:22 PM                                                                                                                    
CHAIR  BJORKMAN asked  if this  is the  typical process  for this                                                               
type of project.                                                                                                                
                                                                                                                                
1:15:27 PM                                                                                                                    
COMMISSIONER  ANDERSON answered  by referencing  the Katlian  Bay                                                               
project, which is similar.                                                                                                      
                                                                                                                                
1:15:34 PM                                                                                                                    
CHAIR BJORKMAN said he is  unfamiliar with that project and asked                                                               
for additional information.                                                                                                     
                                                                                                                                
1:15:37 PM                                                                                                                    
COMMISSIONER ANDERSON briefly discussed  the Katlian Bay project.                                                               
He  explained  that  this project  used  only  state-appropriated                                                               
funds.                                                                                                                          
                                                                                                                                
1:16:02 PM                                                                                                                    
CHAIR BJORKMAN  asked why state  funding was chosen  over federal                                                               
funding for those projects.                                                                                                     
                                                                                                                                
1:16:30 PM                                                                                                                    
COMMISSIONER ANDERSON  replied state  funding comes  with certain                                                               
advantages.  He said  that state-funded  projects are  subject to                                                               
different criteria than federally  funded projects and the latter                                                               
have  additional restrictions.  He explained  that state  funding                                                               
speeds up project delivery.                                                                                                     
                                                                                                                                
1:17:08 PM                                                                                                                    
CHAIR BJORKMAN  expressed understanding regarding why  this would                                                               
be  a  benefit  given  the   politics  surrounding  the  project;                                                               
however,  he expressed  uncertainty  about  the rationale  behind                                                               
choosing state funding for the  road. He highlighted the timeline                                                               
for  the project  and noted  that  the public  comment period  is                                                               
still open. He acknowledged that  using state funding removes any                                                               
federal requirements  or limitations on those  projects. However,                                                               
he expressed  concern about using  state funds for  projects that                                                               
would significantly change the cultural  landscape of a community                                                               
and that  would potentially require the  demolition of culturally                                                               
significant  structures or  locations.  He suggested  that it  is                                                               
more  reasonable  to use  state  funds  on projects  of  cultural                                                               
significance to the local community.                                                                                            
                                                                                                                                
1:18:36 PM                                                                                                                    
COMMISSIONER   ANDERSON  expressed   understanding.  He   briefly                                                               
discussed the scope of appropriations  for the Cascade Point Road                                                               
project and  provided a description  of the project  location. He                                                               
noted  upcoming fiscal  challenges to  the Alaska  Marine Highway                                                               
System (AMHS).  He explained  that the  Cascade Point  Road would                                                               
increase  transportation  efficiency  of  AMHS  by  reducing  the                                                               
length of the ferry run.                                                                                                        
                                                                                                                                
1:19:53 PM                                                                                                                    
CHAIR  BJORKMAN  indicated that  this  would  be addressed  at  a                                                               
future  committee hearing.  He referenced  the economics  of both                                                               
the  project and  current ferry  runs  and opined  that there  is                                                               
interest  in  understanding  whether the  road  would  ultimately                                                               
result in a  savings for the state. He acknowledged  that this is                                                               
an issue of high importance for  many Alaskans who want to ensure                                                               
the responsible use of state funding.                                                                                           
                                                                                                                                
1:20:55 PM                                                                                                                    
COMMISSIONER  ANDERSON   continued  to   discuss  slide   21.  He                                                               
highlighted the federal toll credit  program and provided a brief                                                               
overview. He  emphasized that the  use of toll credits  saves the                                                               
State of Alaska  from providing a general fund  match. He briefly                                                               
discussed  the  use  of  toll  credits  for  the  AMHS  Tustumena                                                               
Replacement Vessel project.  He said the toll  credit program has                                                               
accrued close to  $70 million, which DOTPF can  continue to apply                                                               
towards state  match. He emphasized the  importance of innovative                                                               
methods to secure match that do not rely on state general funds.                                                                
                                                                                                                                
1:22:37 PM                                                                                                                    
CHAIR  BJORKMAN  returned  to  the  Cascade  Point  Road  project                                                               
discussion. He directed attention a  study by King Economics that                                                               
showed  the project  to be  uneconomical.  He asked  Commissioner                                                               
Anderson  if  he  agrees  with that  analysis  and  requested  an                                                               
explanation  for any  disagreement. He  opined that  Alaskans are                                                               
concerned that  the State  of Alaska is  moving forward  with the                                                               
Cascade  Point project  despite the  economic concerns.  He asked                                                               
Commissioner  Anderson to  explain why  investing in  the project                                                               
makes fiscal sense  for Alaskans, in light  of the aforementioned                                                               
study.                                                                                                                          
                                                                                                                                
1:24:07 PM                                                                                                                    
COMMISSIONER  ANDERSON  said he  interpreted  the  study by  King                                                               
Economics differently. He  opined that the study  provided a good                                                               
analysis. He  acknowledged discussions  in support  of performing                                                               
economic analyses  on various ferry terminals  and suggested that                                                               
this should  be done  on all ferry  terminals. He  explained that                                                               
DOTPF  is a  public agency  and, as  such, focuses  on more  than                                                               
economics. He  listed the  benefits of  shorter ferry  runs, both                                                               
for passengers  and for  the State  of Alaska,  highlighting time                                                               
and money savings.                                                                                                              
                                                                                                                                
COMMISSIONER   ANDERSON   briefly    discussed   the   long-range                                                               
transportation  plan developed  with  the  Alaska Marine  Highway                                                               
Operations  Board (AMHOB)  and acknowledged  concerns related  to                                                               
changes  AMHOB made  to the  transportation plan  to reflect  the                                                               
Cascade Point project.  He emphasized that the  overall vision of                                                               
the long-term  transportation plan  is to  create more  roads and                                                               
shorter  ferry  runs. He  stated  that  Cascade Point  fits  that                                                               
equation.  He said  DOTPF  is considering  Cascade  Point from  a                                                               
larger, system-wide  perspective. He  expressed a  willingness to                                                               
evaluate the  economics further and  said he would  also consider                                                               
the  Auke Bay  ferry terminal  (and others).  He reiterated  that                                                               
economics is not  the sole criterion used to  determine whether a                                                               
project would benefit AMHS.                                                                                                     
                                                                                                                                
1:25:58 PM                                                                                                                    
SENATOR  KIEHL  pointed out  that  DOTPF  previously studied  the                                                               
economics  of AMHS  and found  that AMHS  delivers roughly  $2 of                                                               
economic activity  for every  $1 the State  of Alaska  invests in                                                               
AMHS.  He said  the discussion  of  economics is  related to  the                                                               
earlier discussion  of projects  that use federal  funding versus                                                               
those that do not. He opined  that it is understandable for DOTPF                                                               
to  rankle  at the  restrictions  that  come along  with  federal                                                               
funding.  However,   he  pointed   out  that   historically,  the                                                               
legislature  has appropriated  unrestricted  general funds  (UGF)                                                               
and DOTPF  has federalized those projects.  He expressed interest                                                               
in  learning  the  department's   method  for  deciding  when  to                                                               
federalize a project  versus when to use state  general funds. He                                                               
opined  that  understanding  the equation  behind  this  decision                                                               
would help Alaskans understand how DOTPF is using the funding.                                                                  
                                                                                                                                
1:27:31 PM                                                                                                                    
COMMISSIONER  ANDERSON concurred.  He  briefly discussed  reasons                                                               
DOTPF might  federalize projects that  began as UGF  projects and                                                               
offered examples.  He highlighted increasing costs  as one reason                                                               
for federalization.  He expressed  willingness to  continue these                                                               
discussions.                                                                                                                    
                                                                                                                                
1:28:32 PM                                                                                                                    
MS.  KEITH  advanced  to  slide  22,  containing  an  infographic                                                               
illustrating  the  Statewide Transportation  Improvement  Program                                                               
(STIP) timeline:                                                                                                                
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
       FFY2026-2029 Statewide Transportation Improvement                                                                      
                         Program (STIP)                                                                                       
                                                                                                                                
        • Avoid delays caused by major multi-year approvals                                                                     
        • Better alignment with local/regional planning                                                                         
          (Municipal    Planning     Organizations-    MPOs,                                                                    
          Transportation Improvement Plans - TIPs)                                                                              
        • Greater   responsiveness    and   flexibility   to                                                                    
          changing priorities                                                                                                   
        • Improved transparency and public engagement                                                                           
        • More reliable fiscal constraint and realistic                                                                         
          scheduling                                                                                                            
                                                                                                                                
MS. KEITH noted that the  FFY2026-2029 STIP 45-day comment period                                                               
would  begin  prior  to  commencement  of  the  2026  legislative                                                               
session. She  briefly discussed  the rolling  STIP and  why DOTPF                                                               
chose the FFY2026-2029 dates. She  highlighted STIP Amendment two                                                               
and  changes to  available state  matching funds,  which required                                                               
STIP  adjustments due  to the  resulting fiscal  constraints. She                                                               
explained  that   DOTPF  maintained   full  project   funding  by                                                               
extending project  timelines and leveraging  advance construction                                                               
conversion  in FFY2026.  She stated  that DOTPF  can successfully                                                               
obligate  its full  program; however,  the decrease  in available                                                               
funding will  impact projects  that go  to construction  in 2026.                                                               
She  said  that prioritization  of  projects  ahead of  the  2026                                                               
season is  one goal of  the 45-day comment period.  She explained                                                               
that,  following legislative  discussions, DOTPF  will create  an                                                               
additional   STIP   amendment   (with   a   30-day   period   for                                                               
adjustments).  She emphasized  the importance  of flexibility  to                                                               
allow for  fiscal changes  in order to  create the  best possible                                                               
program.                                                                                                                        
                                                                                                                                
1:32:42 PM                                                                                                                    
SENATOR TOBIN asked about  substantive recommendations related to                                                               
the previous  STIP. She asked  whether DOTPF has  evaluated those                                                               
recommendations and  whether they  will be incorporated  into the                                                               
upcoming STIP.  She highlighted  FHWA recommendations  related to                                                               
the process DOTPF  uses to produce the final  list of prioritized                                                               
projects and how those projects  are selected and programmed into                                                               
STIP,  as  well as  the  recommendation  to create  a  simplified                                                               
public  process.  She wondered  how  DOTPF  plans to  meet  those                                                               
recommendations. In  addition, she noted  that the  upcoming STIP                                                               
public  comment period  would occur  over a  holiday weekend  and                                                               
questioned  whether  the timing  would  allow  for robust  public                                                               
engagement and feedback. She emphasized  the importance of public                                                               
engagement in the process.                                                                                                      
                                                                                                                                
1:34:27 PM                                                                                                                    
COMMISSIONER ANDERSON  expressed pride  in STIP  improvements. He                                                               
said DOTPF  received an  award from  the American  Association of                                                               
State   Highway  and   Transportation  Officials   (AASHTO)  for,                                                               
"Modernizing    Alaska's    transportation   project    delivery,                                                               
transparency,  and  industry  partnerships." He  emphasized  that                                                               
this  was not  solely  based on  STIP but  was  instead based  on                                                               
changes  DOTPF  made  to  the  entire system.  He  gave  a  brief                                                               
overview of the  positive changes DOTPF made  to its programming,                                                               
including   greater  transparency.   He  acknowledged   the  FHWA                                                               
recommendation to  simplify and  said DOTPF  is attempting  to do                                                               
so;  however,   STIP  and   associated  processes   are  somewhat                                                               
complicated.                                                                                                                    
                                                                                                                                
1:36:03 PM                                                                                                                    
MS. KEITH  added that in  the summer  of 2025, DOTPF  received an                                                               
additional AASHTO  award for public  engagement. She  stated that                                                               
STIP  would have  a very  robust  public engagement  period as  a                                                               
result  of the  tools  and strategies  implemented  by the  DOTPF                                                               
communications  team. She  acknowledged that  the comment  period                                                               
would include  a holiday but  reiterated that DOTPF  expects high                                                               
engagement during the 45-day public  engagement period due to the                                                               
communications   team's   significant   advance   planning.   She                                                               
indicated that the STIP public  comment period was delayed due to                                                               
disaster response efforts. She  briefly discussed improvements to                                                               
public  engagement and  said this  is a  high priority.  She said                                                               
that  if DOTPF  does not  receive the  expected amount  of public                                                               
engagement, it would extend the  public comment period. She added                                                               
that DOTPF  hopes to have  public comment and  feedback available                                                               
when  2026 legislative  committee  hearings  commence. She  noted                                                               
that the  public comment  period would  impact the  STIP strategy                                                               
and timeline.                                                                                                                   
                                                                                                                                
1:38:00 PM                                                                                                                    
SENATOR   TOBIN   expressed   appreciation   for   the   national                                                               
recognition of  DOTPF and recognized  the hard work  of dedicated                                                               
DOTPF employees.  She pointed out that  in-state disruptions have                                                               
caused  frustration   and  emphasized   the  State   of  Alaska's                                                               
responsibility   to  stakeholders.   She  asked   for  additional                                                               
information   regarding   improvements   made   to   the   tribal                                                               
consultation process.                                                                                                           
                                                                                                                                
1:38:37 PM                                                                                                                    
MS.  KEITH  highlighted  the  new  tribal  engagement  team.  She                                                               
explained  that previously,  one DOTPF  employee was  tasked with                                                               
tribal  engagement. She  briefly described  the team  makeup. She                                                               
said the  tribal engagement  team holds  regular meetings  and is                                                               
working to develop strategy that  will later be included in STIP.                                                               
She  added that  DOTPF is  developing a  book to  guide staff  on                                                               
innovative ways and best practices for tribal engagement.                                                                       
                                                                                                                                
1:39:43 PM                                                                                                                    
COMMISSIONER ANDERSON added  that in recent years  DOTPF has held                                                               
a session  at the Alaska  Federation of Natives  (AFN) convention                                                               
and is working to improve  tribal engagement policies. He briefly                                                               
discussed the policies. He said  DOTPF has also been engaged with                                                               
tribal  transportation programs.  He  noted  nuances with  tribal                                                               
partnerships  and highlighted  several ways  DOTPF is  partnering                                                               
with,  and funding,  tribes  as they  work  on creating  cultural                                                               
resources. He  recognized the need for  internal tribal relations                                                               
training. He  indicated plans for  a robust internal  training as                                                               
well  as online  resources  for contractors  and consultants  who                                                               
work with tribes on behalf of DOTPF.                                                                                            
                                                                                                                                
1:42:41 PM                                                                                                                    
CHAIR BJORKMAN  turned the discussion to  the public's perception                                                               
of road quality.  He highlighted the perception of  roads in poor                                                               
or even  dangerous condition and  offered examples. He  asked how                                                               
those projects move  from a perceived need to a  plan outlined in                                                               
STIP.                                                                                                                           
                                                                                                                                
1:44:30 PM                                                                                                                    
COMMISSIONER  ANDERSON   answered  by  addressing   the  examples                                                               
offered  by Chair  Bjorkman.  He noted  that  DOTPF does  monitor                                                               
areas of  concern; however, resources  are limited.  He explained                                                               
that  in  one instance,  the  local  rural planning  organization                                                               
brought  the   issue  to  the  attention   of  DOTPF.  Department                                                               
engineers confirmed  that repair  is needed  and DOTPF  added the                                                               
project  to STIP.  He explained  that  one way  to address  these                                                               
issues  is  for  regional  groups   to  bring  regional  priority                                                               
projects  to  DOTPF. He  said  multiple  entities with  competing                                                               
interests in an area can make  it difficult for the department to                                                               
determine where to focus limited  resources. Another way to bring                                                               
projects to  the department's attention  is to utilize  the DOTPF                                                               
asset management program. He said  DOTPF has a variety of funding                                                               
pots  that can  apply to  specific types  of projects,  which can                                                               
impact prioritization.                                                                                                          
                                                                                                                                
1:47:39 PM                                                                                                                    
MS. KEITH  added that  DOTPF maintains an  active list  of needs,                                                               
and these are included in  the department's project database. She                                                               
explained  that these  are  included  in department's  long-range                                                               
transportation plan,  or the  10-year plan.  This helps  DOTPF to                                                               
balance  critical,  urgent  needs (i.e.  those  impacting  public                                                               
life,  health,  and  safety)  and   those  that  fall  under  the                                                               
proactive asset management plan (a  part of the 10-year plan that                                                               
applies  to general  pavement, bridge,  and  road conditions  and                                                               
maintenance).                                                                                                                   
                                                                                                                                
1:48:28 PM                                                                                                                    
CHAIR  BJORKMAN opined  that it  is important  for the  public to                                                               
have ways  to track the progress  of those projects as  they move                                                               
from conceptualization to STIP,  construction, and completion. He                                                               
briefly commented  on project  optics and  offered an  example to                                                               
show  how   DOTPF  actions,  while   an  improvement,   have  not                                                               
adequately addressed the  issue. He opined that  the public would                                                               
benefit  from increased  communication  about  project plans  and                                                               
emergency plans for projects that pose a safety concern.                                                                        
                                                                                                                                
1:51:19 PM                                                                                                                    
COMMISSIONER ANDERSON  returned to slide  2, containing a  map of                                                               
the Typhoon Halong  impact area. He provided a  brief overview of                                                               
the  storm events  that  occurred  on the  west  coast Alaska  in                                                               
October 2025.  He detailed the  impact those storms had  on local                                                               
communities, which do not have  road access and thus rely heavily                                                               
on air  travel. He stated that  DOTPF tracked the storms  and has                                                               
staff  in   those  communities.   He  highlighted  the   role  of                                                               
department contractors  in the emergency response.  He said DOTPF                                                               
used all  available resources  in its  emergency response  and is                                                               
continuing   to  participate   in  recovery   efforts  in   those                                                               
communities.  He  briefly  discussed   the  way  DOTPF  is  using                                                               
Incident  Command System  (ICS) structures,  which unify  command                                                               
and resources across state agencies.                                                                                            
                                                                                                                                
1:54:42 PM                                                                                                                    
MS. KEITH  advanced to slide  3 and  provided an overview  of the                                                               
DOTPF  emergency response  to the  impacts of  Typhoon Halong  in                                                               
western Alaska:                                                                                                                 
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                         DOTPF Metrics                                                                                        
              West Coast Storm 2025: Team Response                                                                            
                                                                                                                                
        • 50+ Communities impacted by two typhoon surge                                                                         
          storms                                                                                                                
        • 250+ DOTPF Employees Statewide                                                                                        
             • Active Incident Command Structure across                                                                         
               operations, logistics, planning, finance and                                                                     
               community engagement.                                                                                            
             • Leading statewide data-assessment efforts                                                                        
               for all agencies.                                                                                                
        • 15+ Contractors Rebuilding Infrastructure                                                                             
        • 11+ Air Carriers Delivering Critical Supplies                                                                         
        • 55+ Suppliers                                                                                                         
        • 1 million+ lbs. Materials Delivered So Far                                                                            
                                                                                                                                
     Working  through  the  Statewide  Emergency  Operations                                                                    
     Center,   in   collaboration   with   state   agencies,                                                                    
     nonprofit and private  partners, the Governor's Office,                                                                    
     and  federal agencies  to  restore  systems and  assist                                                                    
     affected communities.                                                                                                      
                                                                                                                                
1:56:25 PM                                                                                                                    
MS. KEITH continued  to discuss slide 3 and noted  that DOTPF has                                                               
improved its  disaster response  technology. She  highlighted the                                                               
drone program, which  provided live drone coverage in  over 35 of                                                               
the impacted communities.  That data was provided  to the Federal                                                               
Emergency  Management  Agency  (FEMA). She  emphasized  that  the                                                               
updated  response  technology  enabled a  faster,  more  thorough                                                               
response to  Typhoon Halong.  She expressed  hope that  the data,                                                               
which offers  a clear image  of the before and  after conditions,                                                               
would  support both  the individual  and  public assistance  FEMA                                                               
provides.  She briefly  discussed the  work done  by contractors,                                                               
air  carriers,  and suppliers.  She  noted  that communities  are                                                               
still experiencing drinking water and food shortages.                                                                           
                                                                                                                                
MS. KEITH continued  to discuss slide 3. She  said the department                                                               
expects  work to  continue through  the winter  to restore  basic                                                               
functions  within  the   affected  communities.  She  highlighted                                                               
several  of the  most  impacted communities.  She  said DOTPF  is                                                               
working to  support school  infrastructure repair;  this includes                                                               
repairs to  the electrical and  water filtration systems  as well                                                               
as  insulation repair.  She expressed  a willingness  to come  up                                                               
with additional  ways DOTPF  can assist  with repairs.  She noted                                                               
that  12   miles  of   board  road  are   in  need   of  complete                                                               
reconstruction.                                                                                                                 
                                                                                                                                
1:59:11 PM                                                                                                                    
COMMISSIONER  ANDERSON  briefly  discussed   how  the  length  of                                                               
airport  runways impacts  disaster response.  He highlighted  the                                                               
use of helicopters  and barges and commended  the contractors for                                                               
their work. He  noted that this is a learning  experience for all                                                               
involved.  He  briefly   discussed  Automated  Surface  Observing                                                               
Systems (ASOS) outages and repairs  along with repairs to airport                                                               
lighting. He  indicated that DOTPF  is addressing issues  as they                                                               
arise. He stated  that the department is focused  on airports and                                                               
roads - key  transportation areas in need of repair  - as well as                                                               
assisting  with  residential  housing   and  public  schools.  He                                                               
indicated a willingness to help where possible.                                                                                 
                                                                                                                                
2:01:41 PM                                                                                                                    
SENATOR  TOBIN expressed  gratitude  for the  work  of DOTPF  and                                                               
shared anecdotes she received  from department employees deployed                                                               
to  western Alaska  as part  of the  disaster response  team. She                                                               
highlighted  community resilience  and the  challenge of  working                                                               
during  the  winter  months.  She  expressed  a  desire  to  hear                                                               
feedback from  DOTPF and other  departments about what  the State                                                               
of  Alaska can  learn from  this experience.  She emphasized  the                                                               
importance of  preparation and planning. She  surmised that large                                                               
storms are likely  to occur with greater  frequency and intensity                                                               
and expressed  hope that the  State of  Alaska would have  a more                                                               
coordinated response in  the future as a result of  what DOTPF is                                                               
learning as it coordinates the response to Typhoon Halong.                                                                      
                                                                                                                                
2:03:10 PM                                                                                                                    
COMMISSIONER  ANDERSON   concurred  and  said  DOTPF   is  paying                                                               
attention. He commented that engineers  can also gather important                                                               
information by noticing which structures withstood the storm.                                                                   
                                                                                                                                
2:03:29 PM                                                                                                                    
SENATOR KIEHL  praised the DOTPF  response to Typhoon  Halong. He                                                               
noted that many DOTPF staff left  their regular work to deploy as                                                               
part of  the emergency response.  He acknowledged  that emergency                                                               
response  is the  highest priority  and asked  where DOTPF  would                                                               
likely  experience delays  because of  the emergency  response to                                                               
western Alaska.                                                                                                                 
                                                                                                                                
2:04:33 PM                                                                                                                    
COMMISSIONER  ANDERSON   advanced  to  slide  4,   containing  an                                                               
infographic  illustrating  DOTPF   structure.  According  to  the                                                               
infographic,  DOTPF  is  broken  down into  four  main  sections:                                                               
Strategic  Assets,  Infrastructure Development,  Maintenance  and                                                               
Operations, and Cross-Functional Support.                                                                                       
                                                                                                                                
COMMISSIONER ANDERSON highlighted the  department's ability to be                                                               
agile  and  to  shift  priorities   when  Alaska  is  faced  with                                                               
challenges. He explained  that DOTPF staff from  across the state                                                               
have  helped   during  the  Typhoon  Halong   emergency  response                                                               
process.  He said  department staff  have  delegated tasks  where                                                               
possible. He said he would  continue to evaluate areas of concern                                                               
and  noted that  it  is  early in  the  federal  fiscal year.  He                                                               
pointed out that DOTPF also  hires contractors who work alongside                                                               
department  employees.  He  emphasized  that  emergency  response                                                               
provides important  experience and education for  DOTPF staff and                                                               
briefly discussed  the associated  advantages. He  indicated that                                                               
DOTPF  is paying  attention to  any  areas that  may have  fallen                                                               
behind as a result of the disaster response.                                                                                    
                                                                                                                                
2:06:49 PM                                                                                                                    
SENATOR  KIEHL indicated  that an  end of  year summary  would be                                                               
helpful, particularly with respect  to which projects are behind,                                                               
where  additional assistance  would allow  DOTPF to  catch up  on                                                               
those projects, and  where expectations for projects  may need to                                                               
shift. He emphasized that the  department set aside many projects                                                               
to prioritize  disaster response and has  been accomplishing much                                                               
in that regard.                                                                                                                 
                                                                                                                                
2:07:32 PM                                                                                                                    
COMMISSIONER ANDERSON  advanced to slide  5, containing a  map of                                                               
Alaska's liquified natural gas  (LNG) transportation corridor. He                                                               
briefly discussed  the role of  DOTPF in supporting  Alaska's LNG                                                               
pipeline. He described  how the pipeline would  follow the Alaska                                                               
highway  system. He  highlighted  the operations  impact and  the                                                               
construction component.  He noted the various  crossing locations                                                               
for  both the  Dalton and  Parks highways  and discussed  how the                                                               
construction of those crossings would impact the public.                                                                        
                                                                                                                                
2:10:03 PM                                                                                                                    
SENATOR TOBIN observed that slide  5 considers LNG for export and                                                               
asked how DOTPF is planning for  the potential impacts of LNG for                                                               
in-state use (e.g. the proposed Fairbanks spur).                                                                                
                                                                                                                                
2:10:29 PM                                                                                                                    
COMMISSIONER  ANDERSON  replied  that the  Fairbanks  spur  would                                                               
increase traffic on the Parks  Highway. The route is undetermined                                                               
and  thus  the  construction  impacts  are  unclear.  He  briefly                                                               
discussed his  understanding of the  trucks and their  cargo, and                                                               
how that would impact road usage.                                                                                               
                                                                                                                                
2:11:55 PM                                                                                                                    
SENATOR TOBIN  asked who  pays for  the crossings  and additional                                                               
infrastructure needs. She  wondered if those are part  of the LNG                                                               
project  or  are  programmed  into   STIP  and  asked  about  the                                                               
necessary legislative response.                                                                                                 
                                                                                                                                
2:12:24 PM                                                                                                                    
COMMISSIONER ANDERSON replied that some  of the analyses are done                                                               
routinely by  DOTPF and  briefly discussed  those. He  noted that                                                               
this  would  be  a  large project  that  may  require  additional                                                               
funding. He  said the  department is  seeking a  unified approach                                                               
and  briefly discussed  the construction  process.  He said  that                                                               
DOTPF would know more once the timeline is available.                                                                           
                                                                                                                                
2:13:46 PM                                                                                                                    
COMMISSIONER ANDERSON advanced to  slide 6, containing bar graphs                                                               
displaying bridge and  pavement condition by year.  He noted that                                                               
there  is   some  question  regarding   whether  DOTPF   can  has                                                               
sufficient  capacity  to handle  the  gas  line construction.  He                                                               
indicated  the infographic  on slide  6  and said  that DOTPF  is                                                               
exceeding federal  metrics and  is on  a positive  trajectory. He                                                               
implied  that  the  department  is  prepared  for  the  level  of                                                               
construction  the LNG  pipeline  would  require. He  acknowledged                                                               
that  DOTPF will  need  to repair  some  locations; however,  the                                                               
ability to  shift and allocate  funds will help to  address areas                                                               
of  concern. He  discussed bridges  and referenced  the Manh  Cho                                                               
project, which  helped improve bridge management.  He stated that                                                               
DOTPF is paying close attention to bridge assets.                                                                               
                                                                                                                                
2:15:15 PM                                                                                                                    
CHAIR  BJORKMAN  briefly   discussed  construction  standards  in                                                               
Alaska and  contrasted this with construction  standards in other                                                               
states.  He   offered  examples  to  illustrate   how  roads  are                                                               
evaluated in  other states. He  asked about strategies  to ensure                                                               
Alaskan  roads   last  longer.  He  asked   whether  DOTPF  could                                                               
potentially  take  on  quality   assurance  measures  that  would                                                               
lengthen the lifespan of Alaska's roadways.                                                                                     
                                                                                                                                
2:17:28 PM                                                                                                                    
COMMISSIONER  ANDERSON replied  that DOTPF  has utilized  many of                                                               
these practices.  He briefly discussed practices  in rural Alaska                                                               
and suggested a future presentation  to focus on asphalt would be                                                               
helpful.                                                                                                                        
                                                                                                                                
CHAIR BJORKMAN indicated his agreement.                                                                                         
                                                                                                                                
2:18:20 PM                                                                                                                    
COMMISSIONER  ANDERSON   advanced  to   slide  7   and  discussed                                                               
Fairbanks' role in the transport of Alaska LNG:                                                                                 
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     Fairbanks Gateway to the North                                                                                             
                                                                                                                                
     DOTPF   maintains    and   improves    the   multimodal                                                                    
     connections  that enable  Fairbanks'  role as  Alaska's                                                                    
     inland logistics hub. Critical Connections:                                                                                
        • Alaska Railroad Rail Yard                                                                                             
        • Johansen Expressway                                                                                                   
        • Parks Highway                                                                                                         
        • Steese Highway / Expressway                                                                                           
        • Richardson Highway                                                                                                    
                                                                                                                                
     Fairbanks  was   the  core  staging  hub   during  TAPS                                                                    
     constructionand  remains Alaska's  inland logistics hub                                                                    
     today. It's where the rail  line ends and the Haul Road                                                                    
     begins,  supporting major  pipe and  materials transfer                                                                    
     from  rail to  highway. Under  HB  119, a  gas spur  to                                                                    
     Fairbanks  is  mandated,  reinforcing  its  role  as  a                                                                    
     critical intermodal node for future LNG development.                                                                       
                                                                                                                                
2:19:30 PM                                                                                                                    
COMMISSIONER ANDERSON  advanced to slide  8, containing a  map of                                                               
Dalton Highway:                                                                                                                 
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
              Dalton Highway - Strategic Backbone                                                                             
                                                                                                                                
     The  Dalton  Highway  is  Alaska's  energy  corridor                                                                       
     connecting     the    state's     interior,    pipeline                                                                    
     infrastructure,  and Arctic  resources to  the national                                                                    
     network.                                                                                                                   
                                                                                                                                
     Operational Realities                                                                                                    
        • 1,000-mile round trip from Fairbanks to Prudhoe                                                                       
          Bay                                                                                                                   
        • Heavy maintenance demand: gravel, aggregate, and                                                                      
          waysides                                                                                                              
        • Revoking PLO 5150 ensures long-term access to                                                                         
          material sites and staging areas                                                                                      
        • Harsh conditions require constant investment to                                                                       
          maintain reliability                                                                                                  
                                                                                                                                
     Investment in Corridor Resilience                                                                                        
        • Capital Investment 2015-2025: $465.6 million                                                                          
        • Planned 2026-2031: $454 million                                                                                       
        • Total (2015-2031): ~$920 million                                                                                      
                                                                                                                                
2:21:12 PM                                                                                                                    
COMMISSIONER ANDERSON advanced to slide 9, containing a map of                                                                  
the Kenai Spur Road reroute:                                                                                                    
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
             Kenai Spur Reroute - Readiness Pathway                                                                           
                                                                                                                                
     Supports  LNG facility  access,  community safety,  and                                                                    
     long-term coastal resilience.                                                                                              
                                                                                                                                
     This project  ensures continuous surface access  to the                                                                    
     LNG  export   site  and   nearby  industrial   areas                                                                       
     integrating  with marine  terminal and  highway systems                                                                    
     vital for Alaska's energy export readiness.                                                                                
                                                                                                                                
     Project Overview                                                                                                         
        • 3.9 miles of new two-lane highway construction                                                                        
        • Realignment supports LNG facility expansion and                                                                       
          safety access                                                                                                         
        • Avoids active coastal erosion and unstable soils                                                                      
        • Maintains community and industrial access during                                                                      
          future buildout                                                                                                       
                                                                                                                                
     Estimated Cost: $30-$40 million                                                                                            
                                                                                                                                
2:21:45 PM                                                                                                                    
CHAIR  BJORKMAN  asked about  the  timeline  for the  Kenai  Spur                                                               
Reroute project.                                                                                                                
                                                                                                                                
2:21:59 PM                                                                                                                    
COMMISSIONER  ANDERSON  replied that  it  would  likely take  3-5                                                               
years to  reach shovel-ready construction status  under a federal                                                               
funding scenario.                                                                                                               
                                                                                                                                
CHAIR BJORKMAN commented that 3-5 years is a long time.                                                                         
                                                                                                                                
COMMISSIONER   ANDERSON  said   a  state-funded   scenario  would                                                               
accelerate  the  timeline.  He   added  that  additional  funding                                                               
sources  for this  and other  Alaska LNG  related projects  could                                                               
accelerate those projects.                                                                                                      
                                                                                                                                
2:22:35 PM                                                                                                                    
COMMISSIONER  ANDERSON advanced  to  slide 10,  containing a  map                                                               
showing Alaska's interior transport network:                                                                                    
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                   Mat-Su Logistics Corridor                                                                                  
              Building Alaska's Intermodal Future                                                                             
                                                                                                                                
     Key Strategic Assets                                                                                                     
        • Port MacKenzie  Deep-draft port and intermodal                                                                        
          connector                                                                                                             
        • Point MacKenzie Rail Extension  ties port to                                                                          
          Alaska Railroad mainline                                                                                              
        • West Susitna Access Road        Opens access to                                                                       
          recreation,    and    pipeline   construction    /                                                                    
          maintenance access.                                                                                                   
        • AKLNG Pipeline Corridor  West of Susitna River                                                                        
        • Knik Arm Crossing (Bridge or Tunnel)  Future                                                                          
          fixed     link     to    Anchorage,     completing                                                                    
          Southcentral's logistics loop.                                                                                        
        • Sustainable Aviation Fuel Development                                                                                 
                                                                                                                                
2:23:53 PM                                                                                                                    
COMMISSIONER ANDERSON advanced to slide 11 and highlighted                                                                      
Alaska's aviation infrastructure:                                                                                               
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
                    Aviation Infrastructure                                                                                   
       Essential to Alaska's Energy and Logistics Network                                                                     
                                                                                                                                
     Haul Road Airports:                                                                                                      
        • Deadhorse                                                                                                             
        • Happy Valley                                                                                                          
        • Galbraith Lake                                                                                                        
        • Chandalar Shelf                                                                                                       
        • Coldfoot                                                                                                              
        • Prospect Creek                                                                                                        
        • Livengood Camp                                                                                                        
                                                                                                                                
     Parks Highway Airports:                                                                                                  
        • Nenana Municipal                                                                                                      
        • Clear                                                                                                                 
        • Healy River                                                                                                           
        • Summit                                                                                                                
        • Willow                                                                                                                
                                                                                                                                
     International Cargo and Passenger Hubs:                                                                                  
        • Fairbanks International Airport                                                                                       
        • Anchorage International Airport                                                                                       
                                                                                                                                
     Aviation  provides   critical  logistics   support  for                                                                    
     Alaska's energy  and infrastructure development    from                                                                    
     cargo  and workforce  transport  to emergency  response                                                                    
     and construction staging.                                                                                                  
      Anchorage and Fairbanks serve as international cargo                                                                      
     hubs, while rural airports along the corridor sustain                                                                      
     operations and community access during construction.                                                                       
                                                                                                                                
2:24:42 PM                                                                                                                    
CHAIR BJORKMAN thanked the presenters and invited them to return                                                                
for more detailed presentations on STIP, match funding, and                                                                     
other topics covered broadly in today's presentation.                                                                           
                                                                                                                                
2:26:08 PM                                                                                                                    
There being no further business to come before the committee,                                                                   
Chair Bjorkman adjourned the Senate Transportation Standing                                                                     
Committee meeting at 2:26 p.m.                                                                                                  

Document Name Date/Time Subjects
20251205 Senate Transportation final.pdf STRA 12/5/2025 12:30:00 PM