SB 143-RAILBELT ENERGY & TRANSMISSION CORP.                                                                       
                                                                                                                                
3:36:34 PM                                                                                                                    
CO-CHAIR MCGUIRE announced consideration of SB 143.                                                                             
                                                                                                                                
SENATOR  WIELECHOWSKI  moved  to  adopt  the  proposed  committee                                                               
substitute  to  SB  143,  labeled  26-GS1041\C,  as  the  working                                                               
document.  There  being  no objection,  the  motion  carried  and                                                               
version C was before the committee.                                                                                             
                                                                                                                                
3:37:06 PM                                                                                                                    
MICHELLE SYDEMAN,  staff to  Senator Wielechowski,  explained the                                                               
only  major change  to this  bill concerned  RCA regulation.  The                                                               
previous version (S) provided a  form of Regulatory Commission of                                                               
Alaska (RCA) regulation for the  first five years after GRETC was                                                               
formed and  then a sunset. This  CS calls for a  traditional form                                                               
of RCA  regulation for  the first five  years and  then expresses                                                               
the legislature's  intent to review whether  continued regulation                                                               
is appropriate. In order to  accomplish this, several sections of                                                               
the bill had to be changed.                                                                                                     
                                                                                                                                
Also, several  small changes to  version S  were on page  7, line                                                               
30, where  a phrase was  inserted that clarifies  that electrical                                                               
utilities  can  only  join  with   the  Greater  Railbelt  Energy                                                               
Transmission Corporation  (GRETC) upon approval of  its board. In                                                               
addition, Senator Stedman had a  question regarding the 26 powers                                                               
of  the corporation.  One  of those  concerns  was whether  their                                                               
authority to  acquire lands and  water rights was  throughout the                                                               
state  or  just  within  the service  area  of  the  corporation.                                                               
Another  change added  a  phrase  before all  of  the various  26                                                               
powers  that  says they  have  the  powers  only to  fulfill  the                                                               
purposes of the  corporation. So they can't  buy extraneous lands                                                               
and water rights in other parts  of the state simply to carry out                                                               
the duties for which they are established.                                                                                      
                                                                                                                                
MS. SYDEMAN mentioned that the RCA  was reviewing this bill at an                                                               
emergency  meeting and  she  had received  a  call from  Chairman                                                               
Pickett within the  hour saying they unanimously  took a position                                                               
that some of the RCA sections  they spoke of on Monday would have                                                               
been difficult  to administer.  So they would  be pleased  at the                                                               
action the committee is considering today.                                                                                      
                                                                                                                                
3:40:16 PM                                                                                                                    
SENATOR  WIELECHOWSKI  commented  that  the RCA  had  a  host  of                                                               
concerns with  the regulation. The  legislature felt this  was an                                                               
important  bill  and  the  committee  has  moved  as  quickly  as                                                               
possible.  He moved  to report  CSSB 143  () from  committee with                                                               
individual  recommendations and  attached  fiscal note(s).  There                                                               
being no objection, the motion  carried and CSSB 143() moved from                                                               
the committee.