SJR 8-COMPLETION OF UNIVERSITY LAND GRANT  1:10:34 PM CHAIR PATKOTAK announced that the first order of business would be CS FOR SENATE JOINT RESOLUTION NO. 8(RES) Urging the Alaska delegation in Congress, the United States Department of the Interior, and the Governor to facilitate a land grant endowment to the University of Alaska; urging the Alaska delegation in Congress to reintroduce the University of Alaska Fiscal Foundation Act; and urging the Department of Natural Resources to work with the University of Alaska to identify lands suitable for the land endowment. 1:11:15 PM TIM LAMKIN, Staff, Senator Gary Stevens, Alaska State Legislature, introduced SJR 8 on behalf of Senator Stevens, prime sponsor. He said that there is a "generally held belief that there is a land deficit held by the University of Alaska (UA)" and that SJR 8 is intended to give UA more financial management options, thereby decreasing its reliance on the general fund. He explained that SJR 8 requests the governor, Alaska's congressional delegation, and the U.S. Department of the Interior to work together to complete the federal land grand endowment to UA. 1:12:51 PM ED FOGELS, Partner, Jade North, LLC, explained that he had been retained by UA to assist with land grant issues and presented a PowerPoint on SJR 8 [hard copy included in the committee packet], titled "University of Alaska Land Grant Status." He began with slide 3, titled "University Land Grant," which displayed a map showing the size of Alaska in comparison to the contiguous United States and read as follows [original punctuation provided]: ? Only Delaware & Hawaii rank below Alaska in higher education land grants ? UA only received ~ 110,000 acres of its federal land grant entitlement ? UA's land grant deficit is 360,000 acres MR. FOGELS explained that more lands were expected to come to UA through various federal acts, but the acts "never did materialize this additional land grand entitlement." He then showed slide 4, titled "UA Land Holdings" which showed a pie chart illustrating that the currently-held lands include 139,000 acres of investment land representing 27 percent of the total entitlement, as well as the missing 360,000 acres representing 71 percent. MR. FOGELS moved ahead to slide 5, titled "UA Land Grant Acreage Comparison," which compared UA and Mental Health Trust Land (MHTL) with the University of Texas land grant, which totals 2.1 million acres. MR. FOGELS paraphrased slides 6,7, and 8, titled "Land Grant History," which read as follows [original punctuation provided]: Pre-Statehood Federal Laws for UA Lands  1862 Morrill Act: Each state upon admission was to receive 30,000 acres per each member of Congress (90,000 acres for Alaska) dedicated to higher education. Provisions not extended to Alaska at Statehood and so no acreage was conveyed to UA. 1915 "Wickersham" Land Grant Statute: Reserved an estimated 336,000 acres in Tanana Valley area. Lands remained largely unsurveyed and less than 5% were ever conveyed to UA. 1929 "Sutherland" Land Grant Statute: Congress grants 100,000 acres for UA. Left intact at Statehood, and acreage is (eventually) conveyed to UA, where it makes up most of current land holdings. Following Statehood, the Alaska Legislature tries to provide UA's land. In 1959 a bill reserving 1 million acres, passes both Houses, but is vetoed ? During 60's-80's available land base become narrower with the Land Freeze and passage other federal legislation ? Alaska Legislature in 2000 passes bill, and overrides gubernatorial veto, to grant UA 260,000 acres ? In 2004, Alaska Supreme Court rules land conveyance is not an appropriation, but declines to address dedication clause issue 8 Land Grant History 2005: Legislation identifies specific lands for transfer to UA (HB 130) 2007: Environmental group sues arguing land transfer violates Constitution's anti-dedication clause (Article 9, Section 7) 2009: Alaska Supreme Court agrees and sticks down the 2000/2005 legislation. State can't make a land grant to UA that "would operate in a manner similar to the way that the University's federal land grant has operated since before statehood." 2010: UA begins transferring land back to the state Today: UA owns ~151,000 acres, most from 1929 Sutherland Act, private party donations, as well as from local governments. 1:18:47 PM MR. FOGELS presented slide 10, "Framework for Solution," which read as follows [original punctuation provided]: UA's unfulfilled land grant a Statehood Act issue ? Congress assumed Alaska Legislature would be able to fulfill the entitlement ? Alaska Delegation, Governor, DNR and Dept. of Interior are discussing other issues related to Alaska's remaining 5 million acre Statehood Act land selections ? Anti-dedication clause has an explicit exemption: "when required by the federal government for state participation in federal programs" ? Solution may entail a structured federal program permissible under the constitution MR. FOGELS presented slide 11, "University of Alaska Fiscal Foundation Act," which read as follows [original punctuation provided]: ? Federal legislation by Alaska's Congressional Delegation ? Establishes program within Bureau of Land Management to identify and convey available lands to UA from lands selected by State of Alaska ? Framework for UA and State to jointly identify up to 360,000 acres U.S. Dept. of Interior will provide technical assistance identifying lands for inclusion in program ? Delegation working towards reintroduction in 117th Congress MR. FOGELS concluded his presentation by asserting that "there's no question that a larger land endowment for the university would make it a much, much stronger university system," and he encouraged committee members to support SJR 8. 1:23:55 PM The committee took an at-ease from 1:24 p.m. to 1:28 p.m. 1:28:20 PM REPRESENTATIVE HANNAN asked for clarification on Mr. Fogels' position with UA and the parameters of his involvement with SJR 8. MR. FOGELS replied that he is based in Alaska and that his role is to make recommendations to UA regarding the land grant. REPRESENTATIVE HANNAN referred to Mr. Fogels' assertion that the federal government has taken the stance that UA is no longer owed land because the State of Alaska already received land. She then asked Mr. Fogels whether she is correct in saying that UA is asking for 360,000 acres of land in Alaska currently held by the federal government. MR. FOGELS replied that the 360,000 acres UA hopes to acquire would be federal land which has already been "tagged" for potential transfer to the state; UA is not able to select federal lands outside of the pool selected by the state. He said that the federal government is giving the state 5 million acres, of which 360,000 acres would be diverted to UA. REPRESENTATIVE HANNAN noted that there are still several local governments throughout the state which either haven't received their full transfer, or have yet to form a first-class borough to make land selections possible. She asked Mr. Fogels whether he knows where local government allocations stand in the land selection process. MR. FOGELS said that he knows that most municipalities are nearing completion of the municipal entitlements; however, some are not, and UA is identifying potential lands for acquisition and submitting them to the Department of Natural Resources (DNR) for review and a best interest finding. He explained that there would be a public notice and any potential conflicts or encumbrances on specific lands would be uncovered. 1:35:08 PM CHAIR PATKOTAK opened public testimony on SJR 8. 1:35:28 PM TOM BRICE, Vice President, UAF Alumni Association Board of Directors, Alumni Relations, University of Alaska, Fairbanks (UAF) testified in support of SJR 8 and noted the letter of support from the UAF Alumni Association [hard copy included in committee packet]. He stressed the importance of diversifying UA's funding sources, which promotes economic growth and stability. 1:37:39 PM CHAIR PATKOTAK, after ascertaining that no one else wished to testify, closed public testimony on SJR 8. [SJR 8 was held over.]