SENATOR MILLER announced  SB 217  (INCREASE LAND GRANT TO UNIV. OF            
 ALASKA) to be up for consideration.                                           
                                                                               
 RICK SOLIE, Aide to Senator Frank, said the two changes made in the           
 proposed CS were the incorporation of an amendment that would not             
 allow the University to select lands that are on the DNR's 5-year             
 oil and gas leasing plan.  The second changes the method of                   
 conveyance, because the survey would be costly.  So they utilized             
 the municipal selection process that is already in statute.                   
                                                                               
 Number 284                                                                    
                                                                               
 SENATOR FRANK moved to adopt the CS to SB 217 and asked for                   
 unanimous consent.  There were no objections and it was so ordered.           
                                                                               
 MR. SOLIE clarified that the University is allowed to take                    
 possession of a claim that is currently being held by a miner, but            
 only after the lease has expired.                                             
                                                                               
 SENATOR FRANK noted that there was no dedication of funds.  This              
 legislation would allow the University to be more equitable with              
 other land grant universities in the United States.                           
                                                                               
 SENATOR PEARCE asked if their lands were in one place or spread out           
 over the state.                                                               
                                                                               
 BRIAN ROGERS, University of Alaska, Fairbanks, said their land is             
 spread throughout the state, although there is very little in the             
 northern and western parts.  He said the University had a much                
 larger land grant, but due to lack of survey, lost that land grant            
 with statehood.  This bill redresses that old wrong.                          
                                                                               
 GERALD GALLAGHER, Department of Natural Resources, responded to the           
 question of mining claims that they would remain under the                    
 management of the DNR. The income stream would continue to flow               
 into the state treasury until the mining claim disappeared or was             
 abandoned.  The University could not come in and change the                   
 contract.                                                                     
                                                                               
 He said their one concern with the bill is the conveyance of oil              
 and gas to the University which is not in the best interest of the            
 state.                                                                        
 SENATOR FRANK said he appreciated that concern and reasoned if the            
 University had a windfall, probably the state could step in and               
 take it.  He thought it was the legislature's call.                           
                                                                               
 Number 496                                                                    
                                                                               
 SENATOR FRANK moved to pass SB 217 with fiscal notes and asked for            
 unanimous consent.  There were no objections and it was so ordered.