HOUSE TRANSPORTATION STANDING COMMITTEE February 9, 1993 5:00 p.m. MEMBERS PRESENT Representative Richard Foster, Chair Representative Gary Davis, Vice-Chair Representative Al Vezey Representative Curt Menard Representative Bill Hudson Representative Eldon Mulder MEMBERS ABSENT Representative Jerry Mackie Representative Curt Menard COMMITTEE CALENDAR Intermodal Surface Transportation Efficiency Act (ISTEA) WITNESS REGISTER Frank G. Turpin, Commissioner Department of Transportation and Public Facilities 3132 Channel Drive Juneau, Alaska 99801-7898 465-3900 Position Statement: Provided overview for ISTEA briefing Dale R. Merrell, PE Vice President ASCG Incorporated 301 Arctic Slope Avenue, Suite 200 Anchorage, Alaska 99518-3035 (907)-349-5148 Position Statement: Spoke in favor of contract administrators for the state and involvement in work for the Bureau of Indian Affairs transportation planning. ACTION NARRATIVE TAPE 93-3, SIDE A Number 015 The House Transportation Committee meeting was called to order at 5:10 p.m. COMMISSIONER FRANK TURPIN, DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES, began his overview by stating that he wanted to give the committee a brief understanding of Intermodal Surface Transportation Efficiency Act (ISTEA). COMMISSIONER TURPIN: ISTEA is the federal government's way of refunding the 14.1 cents per gallon that you pay every time you buy gasoline. This refund is usually done by a bill passed by Congress which sets out a five year program. This year it was set out for six years. This act is quite different from any experienced before - the objectives have been greatly expanded. The interstate system is largely completed. For that reason, the federal government wanted flexibility in how the surface transportation funds were used. Previously, the funds were used largely to complete the interstate system or other major highways in the country. This year, they are encouraging the use of the funds on other modes of transportation. Other modes for Alaska include the Alaska Marine Highway System, as well as transit or buses, etc. There is a lot of variety in how you are able to expend the funds this year. Another aspect of the bill emphasizes local participation. The cities under 200,000 population, by ISTEA such as Anchorage, are given full planning responsibility. The Department of Transportation (DOT) cannot spend any money in Anchorage without the Anchorage planning committee deciding this is desirable and this is the way they want to expend their funds. ISTEA also dedicates funds for other purposes; specifically, for enhancement and highways of the highway system. Enhancement is a word that is not completely understood and has been interpreted in a lot of different ways. Congress was rather specific about enhancement. They identify ten specific areas where enhancement could be used. These are things that make highway driving more enjoyable - scenic overlooks or restoration of historical sites, beautification of the highway, trails used for transportation, such as bike trails or anything of that nature. Ten percent of the ISTEA was set aside for enhancement, which amounts to about 11 million dollars for Alaska a year - a substantial amount of money for 6 years. Safety is the same way, although there has been a lot of new learning on how to expend those funds. It is the same amount as for enhancement - approximately 11 million dollars a year. At first they were restrictive on safety money and looked at things such as building left turn lanes and putting in more traffic lights, with perhaps a few railroad grade crossings. DOT has been successful in getting a few other useful things allowed for safety for Alaska, such as markers on the road for night driving and snow. We may be able to get Congress to consider straightening out curbs if a high record of accidents had occurred in such a place. Safety money can not be used for things which your normally do such as lights at an intersection. Number 0126 COMMISSIONER TURPIN: Alaska enjoys an even greater flexibility than the other states. Section 118(F) used to require that money could only be used on a federal aid system, an effective system built with federal funds. Section 118(F) deleted [on a federal aid system], which in effect, according to a ruling by the Federal Highway Administration legal staff is that we can spend the money on any public road in Alaska. More flexibility allows us to build a road of any standard that meets its purpose. The State of Alaska is not limited to building roads either. If a trail would do the job, that is perfectly all right, especially between villages. The money can be stretched pretty far using money to build trails that would handle such things as four wheelers. The Borough Transportation Plan (BTP) was developed to achieve the local participation to satisfy local needs, not just to concentrate on the areas where DOT recognize the local needs. Local participation is very much in line with what ISTEA asked for. This will also add some stability to the local road construction in the state. DOT did not want to decide each year exactly how much money each area would get. They thought it would be better to divide the state up in some ways of districting and have a steady flow of money every year going to that district. This way you could plan ahead and accomplish the various things that you wanted to do. The decision was made to divide the BTP money between boroughs and let the borough governments be responsible for the planning and expenditure of the local funds. The BTP money was divided into three major areas. The main things to consider in the BTP were how much money to expend to the local boroughs and what would the fairest way be to divide these funds. After much discussion, it was discovered that Alaskans wanted roads which existed to be brought up to better standards. Fifty percent of the ISTEA money was put into existing roads. Thirty-five percent would go into local roads statewide, which amounts to approximately 84 million dollars to the members of the boroughs. Fifteen percent was included for expansion of the system. DOT started this program by going to the borough mayors and asking them to appoint a committee to help with the decisions in the BTP money. This committee has been instrumental in the current proposed plans. In addition to the committee, there has been an extremely effective audience. It has been a program that has gained a tremendous amount of support at the grass roots level. Number 0275 REPRESENTATIVE MENARD asked COMMISSIONER TURPIN how far along they were on the process. Number 0280 COMMISSIONER TURPIN replied that the last step would be on how to divide the money. He said $66 million would be divided among the boroughs, since the boroughs often have necessary projects that are much larger than their allotment can handle. It was determined to take $18 million and call that "competitive funding." According to Commissioner Turpin, this is available to compete for every year. The only part that has not been resolved is how to divide the $18 million. This plan may be finalized on Friday, February 12. Number 0285 REPRESENTATIVE MENARD asked COMMISSIONER TURPIN if the boroughs were more accepting of this program in relation to the maintenance which could get dumped on them. Number 0289 COMMISSIONER TURPIN noted that the program had been widely accepted, even within the Mat/Su Borough. He noted Fairbanks isn't as completely satisfied, but they are beginning to look deeper into the program and find out they are not as bad off as they originally thought. Number 0302 COMMISSIONER TURPIN indicated that John Martin with the DOT has been available to every assembly, mayor and everyone who has questions. He said John Martin has been traveling extensively throughout the state and has been well received. Number 0315 CHAIR FOSTER asked COMMISSIONER TURPIN if anyone on the working group represented unorganized boroughs. COMMISSIONER TURPIN replied there was a representative from Valdez, specifically, the city manager. Number 0302 COMMISSIONER TURPIN stated that the unorganized boroughs had been treated just if they were another borough. He said the borough formula money had been divided by taking the base amount given to each borough, which is $350,000. The rest of the money would then be divided on the basis of population and half the amount of vehicles registered. This money would flow every year. The $17.9 to $18 million amount would be competitive funding. Number 0320 REPRESENTATIVE HUDSON questioned the amount on the first page listed under the BTP in the amount of $75,600. COMMISSIONER TURPIN answered by stating that the $75,600 amount was before the matching money had been added in. The total for the BTP, the core system program and the expansion program amounts to $216,000. The match for that money totals $27,800. The total for these added together equals $253,800. He said 35% of that amount is to go to the boroughs ($84 million). Number 0350 COMMISSIONER TURPIN: We will not see much difference with this program. The state will continue to bring in local projects in their plan, just as they always have. DOT will have planned the CORE system, which is major highways, and they will have planned the EXPANSION highways. The only difference is that DOT will not have planned the boroughs. The borough will have planned that part of the budget. This may be approved or disapproved as the legislature sees fit. Payment is made by going to the Federal Highway Department with the list of projects and will obligate the money needed for these projects. They will be paid on a project-by- project basis. DOT will do the major design and construction part of all the projects. The boroughs are doing the planning only with money which is lumped out for the boroughs as they show the need for planning. The department would be happy to let the boroughs work out exchanges among themselves if they cannot use their allotment. The main thing is that they want to dedicate 35% of the money to local needs. If one borough wants to trade with another for one year, that is fine anyway they want to work it out. The borough doesn't need to do the planning. DOT will be available to provide planning where necessary. Number 0380 REPRESENTATIVE DAVIS asked what is included in the core system. COMMISSIONER TURPIN stated the municipal league worked up a very specific criteria for what is defined as a CORE road. Number 0398 CHAIR FOSTER complimented Commissioner Turpin on the plan for ISTEA. Number 0599 DALE MERRELL, PE, ASCG INCORPORATED, noted the necessity for the department to maintain a good quality of workers in the contract administrators positions. He indicated that, although there a lot of good consultants, not every consultant will complete a project as well as they should. He said the ASCG has done a tremendous amount of work for the Bureau of Indian Affairs (BIA). They have been involved in most of the transportation planning for the BIA in Alaska, as well as in the Lower 48. They do allow a considerable amount of force account work, simply because of where some of the areas in Alaska are located. They currently deal with every village that has roads through the BIA to do their transportation planning for them. They have relied heavily on public input. ADJOURNMENT Number 0626 CHAIR FOSTER adjourned the meeting at 5:55 p.m.