SENATOR MILLER announced  HB 398  (LAND CONVEYED TO & FROM                    
 MUNICIPALITIES) to be up for consideration.                                   
                                                                               
 DAVE KAMRATH, Legislative Aide to Representative Harvey Olberg,               
 read a sponsor statement.                                                     
                                                                               
 RON SWANSON, Director, Division of Land, supported the concepts               
 embodied in this bill.                                                        
                                                                               
 SENATOR DONLEY asked when the options occur if there was a mandated           
 conveyance.  MR. SWANSON said he understands that when the four               
 conditions have been met, the Commissioner has no authority, but to           
 convey to the municipality.  To eliminate a conflict, if there is             
 a greater public interest, he suggested using "may" instead of                
 "shall."                                                                      
                                                                               
 SENATOR DONLEY said he supported using "may."                                 
                                                                               
 SENATOR PEARCE asked how many other situations exist that he knows            
 of where this bill could help.  MR. SWANSON said that Skagway is              
 the only one he is aware of.                                                  
                                                                               
 SENATOR ADAMS mentioned one other place.  He said he has an                   
 amendment requiring public hearings, making it optional, having it            
 be in the best interests of our state, and having no critical                 
 habitat in it.                                                                
                                                                               
 LEE SHARP, Aleutian East Borough, supported HB 398.                           
                                                                               
 JERRY MCCUNE, representing himself, said he is interested in this             
 bill because of the way it affects the small house owner where they           
 have built a little bit over, or the surveyors made a mistake and             
 their house is on state land by 2 or 3 inches or a couple feet.               
 This would give the municipalities a way to trade that land and               
 solve some problems for the home owner who can't get title to their           
 property right now and close their loans.                                     
                                                                               
 SENATOR DONLEY commented that it was a pretty big leap from not               
 being able to transfer to being mandated to transfer when                     
 conditions are met, whether or not it's in the public interest.               
                                                                               
 SENATOR MILLER noted that Senator Adams was working with that issue           
 before bringing the bill up again.