CS FOR SPONSOR SUBSTITUTE FOR SENATE BILL NO. 226(TRA) "An Act requiring certain highway projects to be designed and constructed so that the highways will adequately serve anticipated traffic levels for at least the next 30 years; and providing for an effective date." This was the second hearing for this bill in the Senate Finance Committee. Co-Chair Donley, sponsor, testified that the bill relates to the "design life" of a planned road in urban areas, defined by traffic engineers as the length of time the schematics of the road should last. He explained this does not apply to the asphalt construction but rather, for example, how long a left turn lane is operable before increased traffic blocks the regular lanes. He expressed his observations of roads in Anchorage and in other communities that are no longer adequate for the amount of traffic traveling on them. Co-Chair Donley indicated that federal law requires the geometry of a major road project built utilizing federal funds must be sufficient for "at least 20 years". He also learned that federal law requires a 50-year design life for bridges. He added that federal requirements for overall planning in metropolitan areas request a design life of up to 23 years. Co-Chair Donley, in describing the current situation, suggested traffic counts could be incorrect and that the method for determining the counts should be reassessed. He shared that he questioned the Department of Transportation and Public Facilities on this matter and was first told that a designed road might not be built for up to eight years and thus the actual design life is only 12 years, despite initially being designed to last 20 years. He pointed out however, that once he introduced this legislation, the Department informed him this was not the case. He surmised that once construction begins, such issues as right-of-way or problems with contractors cause the projects to be delayed beyond the completion date estimated in the design life. He stated the intent of this legislation is to avoid repeated reconstruction caused by outdated designs. He spoke of the consequences of three-year delays on smaller projects costing less than $1 million with a design life of only ten years. Co-Chair Donley referenced a letter from the Federal Highway Administration [copy on file] indicating the agency does not oppose this legislation and that it would have no impact on federal funding. Co-Chair Donley shared that he originally considered legislation to require the design life of road projects to be 30 years, which he pointed out is the maximum allowed in federal law. He indicated the committee substitute proposes different design life requirements dependant upon the cost of the project. He detailed that a ten-year design life would be required for projects with a cost of less than $1 million, a 20-year design life would be required for project costing between $1 million and $5 million, and a 25-year design life would be required for projects with a cost of over $5 million. Co-Chair Donley suggested extending the design life requirement to 20 years for the projects costing less than $1 million. He justified this due to constant road construction occurring during the short construction season in Anchorage for smaller upgrade projects. He remarked that fewer road projects would be possible, but that the public would benefit because there would be less need for upgrades and roads would be fully operational for longer periods of time. Senator Ward commented that before this legislation was introduced, he was unsure why roads did not last longer, because he assumed such a process already was in place. He opined that roads in other states operate longer. Senator Ward assumed there would be some "strain" on smaller projects and suggested further discussion on the matter. Co-Chair Donley clarified this bill only applies to road construction projects located in federally recognized metropolitan planning areas, which are larger communities. He furthered this legislation would not apply to locally funded projects, which would allow communities the option to undertake smaller projects without these requirements. He informed the Anchorage Metropolitan Area Transportation Study (AMATS) does not generally undertake projects of less than $1 million. Senator Austerman commented that the "economy of scale" must also be considered. He explained that when spending less than $1 million on a project, an extensive design time might not be prudent. Co-Chair Donley replied that Federal Highway Administration authorities "seem to pretty confident about their 20 year plan process." He admitted that 25-year design time projects have not been implemented to date and that it does become more difficult to accurately predict traffic patterns and traffic load. However, he pointed out that federally funded bridge construction projects must have a 50-year design life. He noted that right of way acquisition, particularly in urban areas, "have become a real major inhibitor to getting these projects done." Senator Olson predicted that longer design life stipulations would require increased consulting efforts and would incur additional expenses. He also noted that with the construction of a natural gas pipeline, the population of the State and the subsequent traffic loads would increase. He asked the anticipated increased design and planning costs this legislation would impose. Co-Chair Donley was unsure that design expenses would increase because the same design life process would occur. He admitted that project costs would increase because the roads must be designed to last longer. He reiterated that fewer projects would be possible, but that the finished roads would last longer. He addressed the impact of the natural gas pipeline, stating that it is uncertain whether it would generate a significant influx of people into the State. He hoped the pipeline construction would be undertaken utilizing local labor and corporations and benefit the existing economy. Senator Hoffman asked if this legislation would apply to the City and Borough of Juneau. DENNIS POSHARD, Legislative Liaison/Special Assistant, Department of Transportation and Public Facilities, answered that Anchorage is the only community in Alaska with a federally recognized metropolitan planning area. He qualified that although Fairbanks and the Mat-Su areas are close to receiving a designation, neither community has 50,000 residents "within an urbanized area", which is one criterion. FRANK DILLON, Executive Vice President, Alaska Trucking Association, testified via teleconference from Anchorage to thank Co-Chair Donley for his efforts on this bill. He stressed the need to address road infrastructure. He intended the road design to be feasible as long as possible. Co-Chair Donley proposed an amendment to the proposed committee substitute to stipulate that all major upgrades and new construction projects with a cost of under $5 million must have a design life of 20 years. Senator Leman objected to the proposed amendment because many seemingly small projects have a significant cost. He gave as example of the installation of a stoplight on a secondary road in Anchorage at a cost of one-half million dollars. Therefore, he was unsure "we want to tie the hands of planning" for projects in areas where a 20-year design life is unnecessarily. Co-Chair Donley stated it is "a close call" and he would defer to Senator Leman. Co-Chair Donley moved for adoption of CS SS SB 226, 22-LS0993/B as a working draft. Without objection the committee substitute was ADOPTED as a working draft. Co-Chair Donley moved "the committee substitute for sponsor substitute for Senate Bill 226, the Utermohle 4/9/02 version from Committee with forthcoming zero fiscal notes I believe … with the fiscal notes that are advanced." There was no objection and CS SB 226 (FIN) with forthcoming zero fiscal note from the Department of Transportation and Public Facilities 4/17/02, MOVED from Committee. AT EASE 10:08 AM / 10:15 AM