HOUSE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE February 4, 1993 1:00 p.m. MEMBERS PRESENT Representative Harley Olberg, Chairman Representative Jerry Sanders, Vice-Chair Representative Con Bunde Representative John Davies Representative Cynthia Toohey Representative Ed Willis MEMBERS ABSENT Representative Bill Williams COMMITTEE CALENDAR Alaska Local Boundary Commission - Annual Report presentation; Commission overview WITNESS REGISTER Darroll Hargraves, Chairperson Alaska Local Boundary Commission 333 W. 4th Avenue, Suite 220 Anchorage, AK 99501-2341 269-4500 POSITION STATEMENT: Provided information relating to the Alaska Local Boundary Commission Dan Bockhorst, Supervisor Alaska Local Boundary Commission 333 W. 4th Avenue, Suite 220 Anchorage, AK 99501-2341 269-4500 POSITION STATEMENT: Provided information relating to the Alaska Local Boundary Commission ACTION NARRATIVE TAPE 93-3, SIDE A Number 000 CHAIRMAN HARLEY OLBERG called the meeting to order at 1:04 p.m. He noted for the record that Representatives Sanders, Toohey and Willis were present and confirmed contact with the Alaska Boundary Commission officials at the Sitka Legislative Information Office via teleconference. DARROLL HARGRAVES, CHAIR, ALASKA LOCAL BOUNDARY COMMISSION (LBC), testified via teleconference Sitka. He presented the LBC's 1992 Annual Report to the committee by referring directly to the text with that title. (A copy of this report may be found in the House Community and Regional Affairs Committee Room, Capitol Room 110, and after the adjournment of the second session of the 18th Alaska State Legislature, in the Legislative Reference Library.) (Representative Davies joined the committee at 1:06 and Representative Bunde arrived at 1:07.) MR. HARGRAVES laid out the constitutional authority of the LBC and referred to Article X, Sections 12 through 14 of the State Constitution. He introduced the other four commission members by judicial district. MR. HARGRAVES referred to the proposed boundary changes of Hoonah, Haines, Cordova and Palmer which were submitted to the legislature on January 20, 1993. He further listed the six Local Action Annexations which included the Palmer, Seldovia, Thorne Bay and Wasilla communities. He said those "went very smoothly and are in place at the present time." MR. HARGRAVES mentioned a petition to annex the community of Portage which had been withdrawn. He also spoke about the Yakutat Borough and City of Pilot Point municipal incorporations which took place in 1992. Number 160 MR. HARGRAVES spoke about the Model Borough Boundaries Project. Funded three years ago by the legislature, this project had recently been completed. According to Mr. Hargraves, all unorganized boroughs in the state now have proposed lines "drawn on paper." He referred to page eight of the 1992 Annual Report and said, "...they are not unchangeable but they do give the best position as far as the information that we have available at this time as to what would make a possible borough sometime in the future." MR. HARGRAVES added, "Another benefit of these model boroughs is that does pretty much restrict growth of some of the other major already established boroughs in the state...based on extensive testimony..." Number 206 MR. HARGRAVES referred to page ten of the Annual Report to illustrate the model unorganized boroughs that were completed in 1992. According to Mr. Hargraves, at present there were 23 model borough boundaries, 18 of which were in the unorganized areas of the state and five of which included existing boroughs that could be expanded. Number 230 DAN BOCKHORST, SUPERVISOR, LBC, spoke about Title 29 special issues and referred to pages 28 and 29 of the LBC Annual Report. He briefly expounded upon: Amending AS 29.05.011 to permit incorporation of home rule cities and unified municipalities. Amending AS 29.04.040 and AS 29.10.010 to require LBC approval of reclassification of a second class city in the unorganized borough. Amending AS 29.06.190 to allow direct incorporation of unified municipality. Amending AS 29.06.470 and AS 29.06.500 to clarify municipal dissolution standards. Number 310 MR. BOCKHORST then brought up the issue of LBC compensation. He noted the commission members had many meetings, travelled much for public testimony and worked long hours but were not paid. "In one of the proceedings here before the Commission in 1992 I think there were 22,000 pages of materials the Commission had to review," said Mr. Bockhorst. MR. BOCKHORST next brought up the LBC travel funds topic and gave an example of personal appearances of LBC members at hearing sites in lieu of teleconferencing. He indicated the budget restraints forced the LBC to teleconference one third of all public hearings. MR. BOCKHORST next referred to page 32 of the LBC annual report which referred to municipal tax limitation. At present, there was no limitation on the rate at which a municipal government might levy a sales tax. Number 380 MR. BOCKHORST then brought up the subject of litigation as shown on pages 33 through 35 of the LBC annual report. Currently, the LBC had four appeals pending in court. "It's not uncommon for individuals that are unhappy with a decision of the commission to file an appeal," said Mr. Bockhorst. MR. HARGRAVES continued briefly with the topic of future issues as found on pages 36 and 37 of the LBC annual report. He then proceeded with the five Legislative Review Annexation recommendations which came before the legislature on January 20: The Haines petition which proposed to annex 4.75 square miles was approved (as found on page 42 and 43 of the annual report). The second Haines petition pertained to the annexation of tidelands and proposed to annex seven square miles and was approved (as found on pages 44 and 45 of the annual report). The Cordova petition proposed 180 square miles, inhabited by an estimated 469 residents. The LBC approved a reduced area of 68.23 square miles (per pages 46 and 47 of the annual report). The City of Palmer proposed to annex approximately seven and a half acres, three sides of which were already within the incorporated city limits. The LBC has approved this annexation (as found on pages 48 and 49 of the annual report). Number 491 REPRESENTATIVE ED WILLIS asked if the Palmer annexation controversy involved "the dogs." MR. HARGRAVES said there was a considerable amount of testimony "having to do with dogs." REPRESENTATIVE WILLIS asked if there were other means available to the Mat-Su Borough to abate the "dog problem." MR. HARGRAVES acknowledged that the City of Palmer had problems catching dogs when they ran over the line of their jurisdiction. REPRESENTATIVE WILLIS asked why else the LBC found it necessary to proceed with this annexation. MR. HARGRAVES referred to the annexation standards on page 57 of the LBC annual report. He said, "The dog issue, as I recall...was certainly a large area of concern but they had many other areas of concern also." He then offered to have Mr. Bockhorst go into detail on this point. REPRESENTATIVE WILLIS asked if that information could be sent to him due to time constraints. MR. HARGRAVES consented. Number 540 CHAIRMAN OLBERG suggested that the information be sent to the committee and distributed through the chair to all members. MR. HARGRAVES consented. REPRESENTATIVE CYNTHIA TOOHEY asked if in the case of the Palmer annexation, the "property in question" was occupied before the subdivision became viable. MR. HARGRAVES said, "I think history would probably show there has been growth of the city out to his area...yes." REPRESENTATIVE CON BUNDE asked about the boundary of the Pilot Point municipal incorporation extending out to the three mile limit and if this was the norm. MR. HARGRAVES replied, "That appears to be a common thing in the coastal communities." Number 574 REPRESENTATIVE BUNDE asked if the harvestable timber was included in the controversial Yakutat Borough as it extended up to Icy Bay. MR. HARGRAVES said the original petition "would have taken it all the way to Cape Suckling." REPRESENTATIVE BUNDE asked if Yakutat was the only single city borough at this point. MR. HARGRAVES replied there were other boroughs, like Haines, which had other communities within them and that Yakutat had other communities outside city limits "to the extent that there are just populations existing" and gave Sitka as another example. CHAIRMAN OLBERG pointed out that in the case of the Cordova annexation, some "annexees" felt the LBC disclosure process "hadn't happened as up front as they would have liked." He asked if any changes were underway to modify the process to include earlier disclosure of the LBC process. MR. HARGRAVES indicated the LBC had followed their standard time line although they had heard complaints to this effect. Number 613 CHAIRMAN OLBERG asked how the legislature could question or overturn an annexation. MR. HARGRAVES said the legislature had until March 6, 1993 to deny any one of the recommendations. MR. BOCKHORST added, "Both houses must adopt a concurrent resolution to deny any one of these five recommendations that were submitted on January 20th. If the legislature takes no action, then legislative approval is granted at the expiration of the forty-fifth day..." Number 637 REPRESENTATIVE JOHN DAVIES asked for an overview of the LBC's budget. MR. BOCKHORST said the LBC's travel budget was currently about $26,000 and there were three positions funded through the Department of Community and Regional Affairs: Two technical staff and one clerk. MR. HARGRAVES offered assistance if any member would like to introduce legislation amending Title 29 this session. Number 693 REPRESENTATIVE DAVIES asked if "the chair had any inclination relative to these composed legislative changes the commission brought to us today in the form of committee bill." CHAIRMAN OLBERG said he would like to review the information in detail but such actions might be very appropriate. TAPE 93-3 SIDE B Number 000 REPRESENTATIVE BUNDE commented on the amount of time the LBC members volunteered. He suggested the committee should investigate the possibility of "some form of compensation" for them. REPRESENTATIVE DAVIES concurred and pointed out in regard to the LBC's travel budget, "Especially in the local boundary investigation situation, it's really important for the members of the commission to be there, on the ground, in that community..." CHAIRMAN OLBERG concurred. Number 080 REPRESENTATIVE TOOHEY suggested an increase in per diem as a means to increase compensation to LBC members to avoid paying a salary. REPRESENTATIVE BUNDE concurred. CHAIRMAN OLBERG said staff would check into the per diem matter and the residents of the affected area should get to speak with the LBC in person. ADJOURNMENT CHAIRMAN OLBERG adjourned the meeting at 1:52 p.m.