----------------------- Page 1----------------------- 1973-74 HOUSE COMMUNITY AND "REGIONAL AFPAIRS COMMITTEE TABLE OF CONTENTS 1973 MINUTES: 1/11/1973 - 3/28/1973 . " 1974 MINU~ES:" 1/21/1974 ~ 4/11/1974 1973-74 " HeRA MINLOG ----------------------- Page 2----------------------- ----------------------- Page 3----------------------- MINUTES Local Government Committee January 11, 1973 1:00 P.M. Members present were Chairman Carrol, V. Chairman Hackney, Rep. Fritz, Rep. Gardiner, Rep. Guy, Rep. Laktonen, Rep. Petersen. Introduction of committee members and staff. Discussed time schedule for committee meetings. Decided time to be 8:30 A.M. Monday through Friday. Discussed HB 26 & HB 42. Meeting adjourned 1:20 P.M. ----------------------- Page 4----------------------- MINUTES Local Government Committee January 12, 1973 Meeting Called to Order 8:30 A.M . Membempresent were Chairman Carrol, Rep. Fritz, Rep. Gardiner Rep. Guy, Rep. Laktonen, and Rep. Petersen. V. Chairman Hackney was involved in an automobile accident and could not attend the meeting but notified the committee of his situation. The need for a priority of bills in committee was discussed. Discussed the Governor's budget message in regard to State aid for student transportation, rather than reimbursement a formula pertaining to use will be used. The committee decided to give forty - eight (48) hours notice before reporting bills out. Discussed House Bill 22 . Read and discussed House Bill 11. Question: Definition of mass transit? Chairman Carrol asked Rep. Guy to look into such a problem relating to small villages. Rep. Petersen suggested the committee have Rep. Bowman and Rep. M. Miller attend the 1/15/73 8:30 A.M. meeting and elaborate on this bill. The sug- gestion was also made that Rep . M. Miller will perhaps discuss House Bill 30 at this same meeting. House Bill 30 - Brief discussion of the bill Next meeting scheduled for Monday, January 15 at 8:30 A.M. Meeting adjourned at 9:40 A.M. ----------------------- Page 5----------------------- MINUTES Local Government Committee January 15, 1973 8:30 A.M. Members presept were Chairman Carrol, Rep. Fritz, Rep. Hackney, and Rep. Laktonen. Guests were Mr. Berrier (City and Borough of Juneau), Mr. Roderick (Greater Anchorage Area Borough), and Mr. Berry (Alaska Municipal League) . HB 11: The bill was read aloud and di~cussi6n followed. Mr. Berrier spoke regarding the mass transit system now in operation in the Juneau area. The operating cost per year is $203,000.00. $120,000.00 is subsidized with the Model Cities Program helping. This system has been in operation 18 months. Guy Van Doren gave a definition of "mass transit". Mr. Laktonen asked whether the $5.00 per capita was annual. Question was answered that it is on an annual basis. Mr. Roderick spoke in behalf of the Anchorage area. Anchorage is a first class city within a second class borough. They now have 2 buses and plan to acquire 4 more. Mass transit is a definite need. Mr. Roderick feels that the borough would not be affected until next year and that the city will benefit immediately. Bivins Report: 47 buses would serve the entire borough of Anchorage. In favor of the bill. A copy of the report will be sent by Mr. Rod- erick. Rep. Fritz stated a need for commercial licensing for motor vehicles and employees. Economic Impact: Employees in the Juneau area will not be affected, but the bill would prevent the system from becoming a burden on the property owner. Both Mr. Berrier and Mr. Roderick will send written reports to the committee relating to mass transportation of their respective areas. ----------------------- Page 6----------------------- MINUTES House Local Government Committee January 16, 1973 8:30 A.M. All members were present. Rep. Carrol excused himself to see the doctor. Guests were Mr. Berrier, Mr. Don Berry, Rep. Mike Miller, and Rep. Willard Bowman. Rep. Miller: Discussed HB 11. Spoke for mass transit as opposed to building more highways and more parking, less pollution, noise, and the occupancy of less space. The tremendous service of the mini-bus system was discussed. He also spoke about the fact that mass transit is not and cannot be self sustaining. The burden is presently on the community and Rep. Miller feels that the State should help the mass transit facilities with- in the community. With mass transit a community can make it attractive for people living outside city centers to use the transit system. Rep. Miller was asked how he felt about mass transit in smaller areas. He was in favor if it was in fact a viable transit system. Rep. Guy: Asked about river ships, ferry systems. The answer would depend on whether the service would be on a continueing regular basis. Rep. Bowman: Spoke on the need of mass transit especially for the elderly and persons who are too poor to afford an automobile. He mentioned that each community must solve its own mass transit system. The needs of the community must be met. Rep. Hackney: Brought up the question of whether there would be duplica- tions if three cities within the borough initiated mass transit and the borough provided transit outside the cities. It was felt that the municipal code passed last year spelled out these regulations. The boroughs must prove that they are providing mass transit throughout the borough. Rep. Hackney spoke about the fact that the air pollution in Fairbanks is so bad during the winter (ice fog) that the Federal Government is considering closing the central core area to automobiles. Y Mr. Berry: Brought up the fact that with the shared revenue it will help the communities to start mass transit now . .uy Van Doren brought up the question as to when a city qualifies for mass revenue sharing. Mr. Berrier and Mr. Berry stated that the shared revenue regulations would ----------------------- Page 7----------------------- Local Government Committee anuary 16, 1973 Fage 2 be administrated by the Dept. of Community and Regional Affairs. Rep. Guy: Interested in the inclusion of village to village service and the way the law would apply to bush areas in the committee report. Meeting adjourned at 9:55 A.M. Next meeting scheduled for 8:30 A.M. 1/17/73 ----------------------- Page 8----------------------- MINUTES House Local Government January 17, 1973 8:30 A.M. Members present were: Rep. Fritz, Rep. Guy, Rep. Gardiner, Rep. Laktonen. Rep. Carrol is home ill and Rep. Hackney is out of town on business. Guests were Rep. M. Miller, Mr. Berrier, and Mr. Berry. HB 30: The bill was read and discussion followed. Rep. M. Miller: Gave a background on the bill. In Juneau and other communities a housing shortage in acute in the low and moderate income levels. An organization called the Alaska Housing and Development Corpor- ation in the Juneau area is constantly running into the problem of high cost land or the lack of available land. This causes in the long run a higher rent for the consumer. The purpose of the bill is to extend to to municipalities an additional 5% for housing. The land has to be used as the site for the project if suitable. If the land is not suitable it can be sold and the money used to acquire a logical site and solve the housing problems. ~~r. Berrier: The Alaska Housing Finance Act states a method where the tate can make loans that can fit in areas where Federal guidelines cannot. 020 Limitations Section: Section ties down additional land for use as only low and moderate income housing. The basic idea of the bill is the use of additional land selection to bring down housing costs. Rep. Fritz: What is the determination of low or moderate income? Berrier: People talk to the project manager and fills out forms relating to his income and size of family and the manager either approves or dis- approves his application. The determination also depends on the area and the cost of living in that area. The applicant has to meet State standards as well as local standards. Rep. Guy: Does this apply to old age homes? Rep. Miller answered the question that it would only apply if the persons were in a low or moderate income level, but there are special regulations governing nursing homes. Rep. Guy: What about land selection for existing cities? Mr. Berrier answered that under current regulations if the land is available it can be used. Guy: If the bill passes does the borough become the landlord? Rep. Miller: Municipalities usually don't like to get into this. The landlord is usually an independent organization possibly funded by the Inicipality. The option does exist and the municipality decides. Laktonen: Does this apply to land selection in remote areas? Miller: If a shortage exists and land is available it can be acquired ----------------------- Page 9----------------------- Minutes House Local Gov't. ~n. 17, 1973 age 2 but acute shortage must be proven. Rep. Laktonen: What would happen if a vacancy comes up in low income houses? It was answered that probably the project manager would determine the outcome. Agenda for next meeting: HE 42 Final Action on HE 11 Meeting adjourned at 9:50 A.M. ----------------------- Page 10----------------------- Iinutes House Local Government Committee January 18, 1973 8:30 A.M. Members present were Rep. Fritz, Rep. Gardiner, Rep. Laktonen, and Rep. Guy acting as chairman. Rep. Carrol came in at the end of the meeting. Rep; Hackney is out of town on business and Rep. Petersen is ill. Guests were Mr. Bill Berrier, Mr. Don Berry, Rep. Haugen, Rep. Specking, Mr. Lowell Swartz, Mr. Jim Burns, and Mr. Robert Ogden. HB 42: The committee read the bill aloud. Rep. Haugen: The bill passed the legislature last session but was returned by the Governor. The purpose of the bill is to provide hospitals in small communities (with 50 beds or less) with a minimum $50,000.00 appropriation. The total cost of the bill is $316,000.00. Mr. Haugen will furnish the committee with financial statements from his areas hospital and material from last years bill. Rep. Specking: The usual low occupancy rate, which does not allow them anywhere near the break even point causes the need for subsidy. Mainten ance is being neglected in order to work within a limited budget. r. Swartz of Health and Social Services: The Department feels that smaller communities need help,that is any hospital with under 50 beds. He gave the definition of a health center as an outpatient clinic. Point of information: The aid for health centers in villages is contracted through the Public Health Service. Robert Odgen of the Alaska State Medical Association stated that his organ- ization feels that this legislation is of great priority. Mr. Burns - Administrator of Bartlett Memorial Hospital: He is very much in favor of the bill. Stated the absolute need for hospital aid in small communities. He objected to the wording of Subsection A which reads "before funds may be distributed under this subsection the commissioner of health and social services shall certify to the distributing agency that the recipient hospital or health facility has not incurred in the prior year expenses for rent, supplies, services or otherwise, which exceed their fair market or reasonable value" being that it is an unnecessary expense. Mr. Swartz: Health and Social Services would have to hire accounting per- sonnel to audit all the facilities as they do not have the staff to do this. A fair market value of everything in the facility would have to be deter- mined. Rep. Haugen does not feel that this should be in the bill. Mr. Burns: Continuing expense of Bartlett Memorial Hospital is employees. ~he hospital is running on the expense of approximately 2 million dollars / er year. Most hospitals in the State are owned by the city or borough. He is also against Section A that requires the Commissioner to audit the hospitals. ----------------------- Page 11----------------------- Minutes Local Government anuary 18, 1973 Page 2 The committee also feels that subsection A should be deleted. Rep. Haugen urged the committee to proceed with the bill as soon as possible. Rep. Guy asked whether this bill will include health centers in villages. His question was answered that $8,000.00 would be granted for each center. ----------------------- Page 12----------------------- Minutes Local Gov't Committee Tanuary 19, 1973 8:30 A.M. Present Absent Visitors Chairman Carrol V. Chairman Hackney Judy Hopkins Rep. Fritz Walt Parker Rep. Gardiner Don Berry Rep. Guy Sig Strangberg Rep. Laktonen Commissioner Mallott Rep. Petersen Rep. M. Miller Rep. Hackney is out of town on business. HB 11: Commissioner Mallott told the committee that a review on revenue sharing in the State is being done now by Arthur Young and Company and should be complete py February 15. Municipal revenue sharing grants in the proposed budget amount to $7.1 million, one-third of which will go to organized boroughs, and 40 per cent to six major cities, with the remaining 27 per cent being shared by remaining cities and municipalities across the State. 'ep. Miller told the committee that Juneau operates a small boat harbor, ~ subport, an airport,and a mass transit system and receive $5.00 per capita for these services. If the bill passes under the present language the five dollars per capita will triple in order to give a per capita grant to each service. Gardiner: Was this the intent of the bill? Miller: No, and to solve that problem the language will have to read limited to etc. etc., instead of reading to each of the following. Commissioner Mallott: In terms of fiscal impact this could be very impress- ive. Rep. Laktonen asked if the money could be used to build sy s tems where there are non~ existing. Mr. Miller answered him saying that you have to have a mass transit system in existence to apply. All persons should be able to partici- pate in the program but the bill primarily was to eleviate mass transportation problems in larger communities such as traffic jamming, pollution, new con- struction of highways to contain the amount of traffic. Mr. Parker of the Anchorage Area Borough Assembly tol d the committee that in Anchorage transportation is limited to cars and cabs. This run s into quite an expense for the average person in that area expecially visitors from bush areas. The Anchorage Borough has investigated th~ po s sibility nf contracting cab companies to be used in mass transit under subsidy. 1e idea of phasing out school buses and using the money to build a good public transit system for both public use as well as the transportation of students. ----------------------- Page 13----------------------- Minutes January 19~ 1973 Page 2 Commissioner Mallott told the committee that he wished to share the contents of the review on revenue sharing with the committee. Mr. Parker told the committee that he has information available that he will send down to the committee. He felt that the bill could open a whole new area in transportation systems. Rep. Guy asked whether this revenue sharing for mass transit systems would apply to cities or communities that want to work jointly? This bill would enable local governments the choice of contracting services under the existing program but could possibly receive government funding. Rep. Guy moved and asked unanimous consent that the amendment clearly show that agreeing municipalities be able to joint work together to provide transportation (mass) for the general public. Mr. Berry stated that he thought it would be the wrong thing to restrict the funding specifically for the use of transit systems. Agenda for Monday, January 23rd: Finalize HE 11 ----------------------- Page 14----------------------- House Local Gov't Committee January 19, 1973 Visitors Judy Hopkins League of Women Voters Walt Parker Greater Anchorage Area Borough Assembly Don Berry Alaska Municipal League Byron Mallott Commissioner, Community and Regional Affairs Sig Strangberg Local Gov't Dept., Community and Regional Affairs ----------------------- Page 15----------------------- Minutes Local Gov't Committee January 22, 1973 All members were present. HB 11 : Finalization of the bill. Chairman Carrol suggested the committee exclude school bussing. Rep. Gardiner said that he was not sure that initate should be provide instead. The bill should read "in providing mass transpor- tation" . Rep. Guy asked if when a municipality deems it necessary to provide service if they can get this money . Chairman Carrol answered him saying that they don't like to get into initi~ting a program but want to provide for services already in operation. Chairman Carrol asked the committee if they were satisfied with the bill as it read now. The Committee agreed. Rep. Gardiner made the motion that CSHB 11 be excepted in lieu of HB 11 and that CSHB 11 be reported out "Do Pass". There were no objections. Chairman Carrol elected a sub-committee for HB 30. v. Chairman Hackney suggested that the committee invite Rep. M. Miller to discuss HB 30 before the committee. Rep. Hackney briefed the committee on his trip to Phoenix. Meeting adjourned at 9:00 A.M. Agenda for 1/23/73: HB 30 HB 42 ----------------------- Page 16----------------------- Minutes Local Government January 24, 1973 All members were present. Guests Rep. M. Miller Rep. Degnan Rep. Haugen Mr. Berry Mr. Berrier Jucy Hopkins HB 42 : Rep. Haugen: I submitted the original bill and after that there were all kinds of amendments. As long as the State had this money 900 million and talking about revenue sharing in communities I thought this was one area that it could help. The idea originally was to provide a $1,000 a bed for those communities tbat had a bona fide hospital. These amendments to the bill provided for all kinds of facilities. $50,000. would really take care of these small hospitals and health facilities. Chairman Carrol asked Dr. Fritz if Providence hospital in Anchorage needed any additional funds. Dr. Fritz told him that Providence was getting along on its own. Rep. Hacxn~~ y asilled the committee if this was a complete list of hos- pitals applicable under revenue sharing. Mr. Swartz was contacted and said that it was. Rep. Degnan asked that the committee consider all differentials and the allocation of funds for these areas. These hospitals are located in several different areas of the State and have different cost factors to operate under. By just having straight allocations of funds, two hospitals you could be subsidizing may be getting more buying power per dollar than others. This hasn't been addressed in any of our revenue sharing. I have a bill that's being drafted to take this into consideration. This will go into all areas of revenue sharing to take this into consideration because it's really not fair to people in different parts of Alaska. This factor is very important because in areas where you need the most help you usually have the hardest time getting specilized help and equipment. Dr. Fritz: This is sort of a bonus and certain areas will get more out of this than others. Do you think this is worth considering in this situation? can Degnan: I think so because the larger areasA only serve areas that can get to them such as Providence, A.N.S., etc. in Anchorage that supposedly serve all of Alaska but they only serve all of Alaska to the degree that those patients can reach the hospital. These areas have treatment over the radio by doctors to health aids. Some areas don't even have this help. They are trying to work out a contract ----------------------- Page 17----------------------- Page 2 Minutes January 24, 1973 with the Public Health Service to treat people in their areas instead of transporting them. Mr. Berry said that if there is a bill being drafted now that applies to bush areas, then it should be considered all on its own. It would be a shame to see this bill jeopardized by putting in extra. Meeting adjourned 9:30 A.M. ----------------------- Page 18----------------------- Minutes Local Gov't Committee Tanuary 23, 1973 Present Chairman Carrol V. Chairman Hackney Rep. Gardiner Rep. Fritz Rep. Laktonen Rep. Guy and Petersen were excused. Chairman Carrol asked what the status of annexation legislation. Guy told him that it had to be introduced in both the House and Senate. Chairman Carrol submitted to the body the need of voting the annexation bill down. HB 42: Section 5 (a) the audit problem needn't be in there because of the vast amount of accounting this would require. Chairman Carrol asked Rep. Fritz and Rep. Gardiner to lay the ground work on HB 42. Ir. Berry stated that his department objected to the restriction of Local Governments from determining the use of the money. If they feel that an emergency center or a detox center is necessary they cannot use this money if it is specifically to be used for hospitals or health facilities. The department wants to protect the State money from being used in the act of private profit gaining groups and corporations. This is mentioned in line 25 of the bill in subsection (1) of page 2 in h, and j of this section. ----------------------- Page 19----------------------- Minutes Local Government January 25, 1973 2:00 P.M. Present Absent Rep. Gardiner Rep. Fritz Rep. Guy Rep. Petersen Rep. Laktonen Rep. Hackney Chairman Carrol Chairman Carrol suggested that the committee look into the possibility of incorporating the cost of living differential into the bill. eHB 42) Rep. Laktonen said that he though this bill should be passed in its present state because of the danger of killing the bill through adding the cost of living differential. Chairman Carrol added that the cost differential could have been in- troduced in the intent or introduced as a separate bill. Rep Gardiner said that if we add the cost differential in the form of intent it might never be considered. If we want it in there it should be incorporated with the bill. Chairman Carrol said that he certainly would like to see hospitals not funded, benefactors of this bill. Chairman Carrol asked that Mr. Wilson be invited to tommorrow's meeting to give his views on the situation in the Tok area. Agenda for tomorrow: Act on HB 42 Adjourned at 2:55 p.m. ----------------------- Page 20----------------------- Minutes Local Government January 26, 1973 8:30 A.M. All members were present. Visitors Mr. Berry Rep. Degnan Jamie Love Judy Hopkins HB 42: Mr. Wilson said that he thought Tok would qualify for funds through this bill; $8,000.00 per health facility. Rep. Fritz told the committee that he felt that the matter of cost of living differential was irrelevant to this bill and that it was the concern of Finance. Rep. Gardiner said that if the committee doesn't put it in the bill it probably won't be considered. Rep. Degnan commented that there is a difference in cost in different areas because of freight rates and the means of transport. Rep Gardiner made the motion that the committee adopt the cost of living amendment. Rep. Petersen seconded the motion. Rep. Gardiner, Guy, Laktonen, Petersen were in favor of the bill. Rep. Fritz and Rep. Hackney opposed the amendment. Rep. Hackney said that he would like to reconsider the bill on Monday and have more material on the cost of living differential. Mr. Love told the committee that he was in favor of the bill except for the language on the second page (i) line 11 and 12, stating that nonprofit facilities leased from private, profit-making groups or corporations would be excluded. Meeting adjourned at 9:30 A.M. ----------------------- Page 21----------------------- Minutes Local Government January 30, 1973 Present Absent Visitors Chairman Carrol Petersen (excused) Rep . Degnan V. Chairman Hackney Rep. Fritz Rep. Gardiner Rep. Guy Rep. Laktonen HB 42: Guy: The question was raised about the leasing of facilities. Two things came out of this. One was that if we leave in the wording in CSHB 42 it would stand exactly as it reads. The other is that it could be changed by adding 'funds cannot be used to improve a leased facility where those improvements will revert to the owner at the expiration of the lease. This would not eliminate the leasing of facilities from profit-making groups or individuals. Rep Hackney said that if the committee adds the cost of living amendment that he feels that it will not get past Finance because of the way they are looking at dollars this year. Rep. Degnan told the committee that they can recommend to the Finance Committee to make a special appropriation to the Open Door Clinic. This sort of thing has been done before. The Committee then voted on the reconsideration of CSHB 42. Question: All in favor of including the cost of living differential in CSHB 42 raise your right hand. 3 yeas 3 nays Motion failed to include the amendment. Rep. Gardiner motioned that CSHB 42 move out of committee with a Do Pass recommendation and a letter of intent to impress on the Finance Committee to consider the inclusion of the cost of living amendment . Unanimous consent. Agenda for 1- 31-73: HB 30 Asjourned 9:55 A.M. ----------------------- Page 22----------------------- Minutes Local Government January 31, 1973 Present Visitors Absent Chairman Carrol Mr. Berry Rep. Guy V. Chairman Hackney Mr. Berrier Rep. Petersen Rep. Fritz Rep. M. Miller Rep. Gardiner Judy Hopkins Rep. Laktonen HB 30: Chairman Carrol asked if the ASHA program was making any long range plans. Rep. Miller said that they are aiming at providing the lowest income groups with housing. ASHA is very limited in meeting these needs. They are doing what they can. Rep. Gardiner asked Rep. Miller is he had checked with the Dept. of Natural Resources on the 60 day requirement. Rep. Miller said that he had heard no opposition on the requirement as yet. Guy asked if under this bill would the land ~election of 5% be a recurring thing. Rep. Miller said it will be an on-going program if the borough or municipality meets the requirements. Chairman Carrol asked what method is used to select land. Mr. Berrier siad that there is a provision that the borough can select 10% of land through State land selection. Currently the limitation is 10% of the land selected but under this bill an additional 5% of land can be selected. The committee will discuss annexation of Ft. Richardson and Elmendorf. Adjourned at 9:30 ----------------------- Page 23----------------------- Minutes Local Government 2/5/73 All members were present. The committee discussed HJR 12 and the hearings held last Thursday and Friday on the annexation. The suggestion was brought up that perhaps a public hearing held in Anchorage on this annexation issue would get the opinion of the average citizen living in Anchorage. Meeting adjourned at 9:00 a.m. ----------------------- Page 24----------------------- I Minutes Local Government February 6, 1973 All members were present. Chairman Carrol assigned HB 30 to Rep. Gardiner for further research. He is to report to the Committee on Friday. The Committee discussed HJR 13 and 14. Briefly discussed points brought up at the hearing yesterday. Adjourned, 8:55 a.m. ----------------------- Page 25----------------------- Minutes Local Government February 7, 1973 Present Absent Visitors Chairman Carrol Rep. Petersen Mr. Asplund V. Chairman Hackney Rep. Fritz Rep. Gardiner Rep. Guy Rep. Laktonen HJR 12: Mr. Asplund told the committee that he wasn't against annexation as long as the people have had the chance to vote on it. The City of Anchorage cannot furnish the military with very much. All they are doing is standing in line for the land. The people on the base cannot vote, but are opposed to the annexation. 874 funds - Who can tell us if the money will be provided for the schools (military)? Mr. Asplund said that 874 funds will be lost if the area is annexed. The Anchorage school budget will have to pay for the schools. This will give President Nixon the perfect opportunity to cut off 874 funds as he is trying to cut down in this area. Mr. Asplund also said that it is just the power structure in Anchorage that wants the annexation. The people are not interested. He suggested that there be a vote on it in Anchorage. Most of the testimonies given at the hearings were by vested interest groups and not by the average person. Mr. Carrol asked if the average person could be motivated to speak on this. Mr. Asplund said that he thought there would be better parti - cipation if a hearing were held in Anchorage. Adjourned at 9:15 A.M. ----------------------- Page 26----------------------- Minutes Local Government February 8, 1973 All members were present. Rep. Laktonen asked to be excused for part of the meeting. Visitors were Mr. Berrier and Ms. Hopkins. HB 30: Mr. Gardiner gave a report on the research he had on HB 30. Mr. Hackney moved that the committee give HB 30 a Do Pass. There were no objections and the bill passed out of committee. The committee discussed HJR 12 briefly. Adjourned at 9:10 a.m. ----------------------- Page 27----------------------- ROUSE LOCAL GOVERNMENT COMMITTEE M~nutes January 12, 1973 Chairman Carrol Rep Petersen V. Chairman Hackney Rep. Guy Rep. Gardiner Rep. Fritz Rep. Lacktonen Rep. Hackney reported on his trip to Fairbanks and the information he received for the HWE Committee. He also reported that the people he spoke with in Fairbanks re g ardin g the Anchorage annexation of the military bases felt that the city of Anchorage was on shakey grounds. They felt that the military did hive an impact on the community, but th~t the impact was mostly positive. Rep. Fritz reported on his trip to ' Anchorage to attend HWE hearings there. There were three hearin g s;(l) Corrections, (2) Welefare, (3) School System. He reported that the military feeling was that they wanted tb keep their system. They did not want the schools run by the city or the borough and that the military did not seem to want to be inc orporated. Mr. Fritz also spoke briefly on the welefa re, and c orrection problems brought out at the hearings. HJR 1 Discussion was held on HJR 1 and Chairman Ca rrol mentioned that Rep Randolph, the sponsor of the Res olution as k e d th a t it ' be held in committee for awhile in light of information received by the committee regarding the subject of the re s olution. H.JR12 There was a brief discu s sion on HJR 13. It wa s br o u g ht up that the Resolution should be reported out of the c ommittee in the near future. There bein g no further di s cu ss i on, t h e meetin g wa s adjourn e d at 9 : 25. A. f1. ----------------------- Page 28----------------------- Minutes Local Government February 13, 1973 All members were present. Guests were: Ronald Sam, Dean Paddock, Marcelo Quinto, Elizabeth Bordeaus, Patrick Barnes, Ernie Matson, F. Johnson, Walter Megonack, and Richard Carrol . Chairman Carrol introduced the C.P.C . guests. He told them about the bills in Local Government Committee and what we are presently considering. HB 122: Introduced by Rep. Fink. Guy reported that HB122 is sim- ilar to HB 596 and SB 363 of last year . Basically what HB 122 does is after a period of time if an area in a corporation hasn't organized, they will either be incorporated into an existing borough ro the Dept. of Community and Regional Affairs w~ll conduct hearings to determine whether areas should be incorporated into the existing borough or organize a new borough. C.P . C. members asked several questions regarding HE 122 relating to thBir respective areas and the problems existing thBre now . The request was made that an amendment be made to state that it was not mandatory for an area to be incorporated into a borough without the people's consent . Adjourned at 9 : 45 a .m . ----------------------- Page 29----------------------- Minutes Local Government February 14, 1973 All members present. HB 157: Chairman Carrol assigned Rep. 's Gardiner, Petersen, Laktonen, and himself to a subcommittee to work on this bill. HB 164: Chairman Carrol assigned Rep. TS Fritz, Hackney, and Guy to a subcommittee to work on this bill. HB 122: Mr. Van Doren told the committee that according to testimony from last year, HB 596 was favorable. He couldn't find out yesterday what had held up the bill. C.P.C. persons are a little leery of the mandatory borough act because it will give the borough more represent- ation than otherwise. Suggested that the committee invite represent- atives from the corporations to tell the committee how the people feel in their areas. Rep. Carrol asked Mr. Van Doren to find out what happened to HB 596 last year. Mr. Van Doren told the committee that all the information, testimonies, etc., from hearing held on HB 596 are in the file if they want to look it over. Rep. Fritz invited Rep. Bradner to comment on HB 164. He told the committee that his intent for the bill is to provide support for communities that want to go into an exceptional ambulance service. $2.00 per capita to be paid in the area served, but not to exceed two-thirds of the operating expense. There being no further business, the committee adjourned at 9:30 A.M. ----------------------- Page 30----------------------- (/ ) Minutes Committee on Community and Regional Affairs February 16, 1973 Members present were: Chairman Carrol, V. Chairman Hackney, Reps. Fritz Guy, and Laktonen. Guests were: Mr. Don Berry, Rep. Tom Fink. HB 122: Rep. Fink: The constitution provides for two forms of government, a borough and a city. The mandatory borough act forces the local govern- ment to contribute to their own running. Rep. Guy feels that the local people should have the option to decide whether to organize or not. People who are uneducated do not know the concepts of boroughs and corporations. Rep. Fink said that people in the regional councils will be educating the people themselves and that the state should not have to carry the expense of this education. Rep. Guy asked whether the people will really have the money to support a local government effort. Rep. Fink felt that when the money is dis- bursed to the people they will have money to support the local govern- ment. Rep. Degnan felt that the people will not be prepared to accept the responsibility of the borough. Rep. Fink felt that the people will have four years to develope the concept and the tools to from boroughs and that this is ample time. Rep. Fink feels that the people should have the type of government that they want, but that they should be made to pay for their services. Rep. Guy said that the villages are very suspious of new governments being proposed to them. They have reservations about the stability of the economy in the villages. The main thing that holds the people back is lack of education and with this bill you will be shoving local govern- ment down their throats before they are ready for it. They are having a hard time understanding the concepts of profit-making corporations, non-profit making corporations, and regional corporations. Rep. Guy felt that the corporations need time after receiving their money and their land to be able to accept the problems and financial responsibility of local government. Rep. Degnan said that although Rep. Fink feels that the people in the rural areas will have proportionally more money, that the problems of unemployment, education, etc. will even out the proportion. Van Doren asked if in Sec. D, would the vast area of the Tanana Chiefs region with different economic base, live styles, compact and contiguous area meet the standards for incorporation set by the Boundary Commission. Rep. Fink said that the courts upheld the North Slope Borough and they would probably do the same for this area. ~~' we- 9.'3() ft'~D ----------------------- Page 31----------------------- Minutes Local Government February 19, 1973 8:30 A.M. Members present were Chairman Carrol, V. Chairman Hackney, Rep.s Fritz Gardiner, Guy, Laktonen Guests were Mr. Woodard. HB 164. Rep. Hackney asked Mr. Woodard to explain why he felt that the word paramedic shouldn't be in the bill. Mr. Woodard answered saying that we would have to define paramedic first. Mr. Hackney asked if it would be possible to add a paragraph specif- ying what paramedic is and spell out the minimum requirements not limiting them to this. Van Doren said that through the Attorney General's office he was told that this bill will have togo through the Administrative code. The committee feels that a clause should be added to read that for emergency use it can be used until it passes the Administrative code. Chairman Carrol asked if everyone was in favor of getting this drafted up to read for emergency regualtions. The committee consented. This bill will not cut out regular ambulance service as it is now but is adding revenue sharing to provide for additional ambulance service. This is the basic thrust of the bill. Rep. Guy asked who would be the recipient of shared revenue funds in a situation of both a borough and a city government applying for paramedical assistance. Mr. Van Doren said that if a government was serving the area it would receive the money. Mr. Van Doren said that if an area like Bethel will send people to take this training and provide for an airplane equipped with emergency equipment some sort of arrangement with an air taxi service, they woudl be elegible for funds. Speaifications f o r air medical service can be included in the letter of intent. Meeting adjourned at 9:30 a.m. ----------------------- Page 32----------------------- Minutes Committee on Community & Regional Affairs February 20, 1973 8:30 a.m. All members were present. Guests were Mr. Mike Tennison, Mr. Tim Whiting. Mr. Whiting gave the committee a run down on the E.M.T. program that he has gone through. Rep. Fritz asked him if he thought the training program was good. Mr. Whiting said that he thought it was fantastic. Rep. Hackney asked if there were many heart attacks cases in the Juneau area. Mr. Whiting said there were. Mr. Whiting also said that there were 312 emergency cases last year and 29 so far this year. He didn't feel that they ever have enough training and feel competent. They have a defibalor in the ambulance here but are not authorized to use it. Mr. Tennison told the committee that he had spent two weeks in Sitka at the training school. He was also under the P.E.P. program. Dr. Fritz asked how they felt about a periodic refresher course. They both thought it was a necessary thing. Rep. Gardiner asked if they have many cases of O.D. They told him about 4 or 5 cases and these were brought in by friends. Rep. Carrol asked what their overall evalution of the program was. They said that it was very good and definitely a need. Rep. Carrol asked if they plan to further their training in this field and they both said that they did as much as they could. Rep. Fritz moved that the committee pass out the bill with a do pass recommendation. So done. Meeting adjourned at 9:20 a.m. ----------------------- Page 33----------------------- Minutes Committee on Community & Regional Affairs February 21, 1973 8:30 A.M. All members were present. Rep. Laktonen was excused to attend a Legislative Council meeting. Guest were Mr. Berrier, Mr. Dozier, Dr. Tom Moorehouse, and Rep. Fink. SB 133: Mr. Dozier testified that the forms for exemption were prepared after the regulations were made. This took a considerable amount of time. As the forms were mailed out at such a late date (December 15, 1972) the distribution of these forms was delayed and not all forms were returned by January 15. If this bill is passed immediately we can give these citizens until March 15 to get their forms i~. The fin- ancial impact would be very little. Chairman Carrol asked how long this program had been in existence. Mr. Dozier said that January 1, 1973 was the first taxable year. Rep. Carrol asked how many people are administrating in this program. Mr. Dozier said that all municipalities are in it. Rep. Carrol asked at what age this program is applicab~e. Mr. Dozier said the age was 65. The income group that this covers is $10,000. or less gross. Mr. Dozier said that he statutes should include a definition of gross income. The intent is to give the people that didn't get their forms in soon enough and the people that were turned down because it was too late as chan c e to get in on this program. Rep. Hackney moved and asked unanimous consent that the bill be moved with a do pass recommendation. Rep. Fritz seconded the motion. The bill passed out of committee. HB 122: Dr. Moorehouse: There is resentment of cities and localities against areas that are not organized and areas not locally governed. 1. Against forced incorporation 2. There may be some areas in Southeast where boroughs are not needed. In looking at this realistically some areas will be ready and willing before others so there should be an option for these areas. Reapportionment should not affect State Legislature but as far as assembly seats, and the one man one vote, the Attorney General will ----------------------- Page 34----------------------- Page 2 February 21, 1973 Minutes have to step in to settle some problems. HB 157: Dr. Moorehouse: Area cost of living differentials. The concept is good. It seems equitable and desireable because of the wide variance of costs. The possible problems are getting solid information to compile an index. Meeting adjourned at 9:30 a.m. ----------------------- Page 35----------------------- Minutes Committee on Community & Regional Affairs February 22, 1973 8:30 A.M. All members were present. Rep. Hackney moved and asked unanimous consent that there be no smoking in the committee room during meetings. This includes staff as well as guests. HB 247: Rep. Laktonen moved and asked unanimous consent that the committee give HB 247 a do pass recommendation. HB 247 was passed out of committee with a do pass recommendation. Chairman Carrol briefed the committee on the joint hearing held yester- day on SB 150 and SB 151. He also said that he would give a full report on his trip to Anchorage to meet with Anchorage and Fairbanks city councils, when he returns Monday. The committee briefly discussed HB 157 and looked over the cost of living differential chart presented by Rep. Gardiner. Meeting adjourned at 9:15 A.M. ----------------------- Page 36----------------------- Minutes Committee on Community & Regional Affairs February 28, 1973 Present E x cu se d Guests Chairman Carrol Rep. Guy Comm. Mallott V. Chairman Hackney Rep. Petersen E. W. Borgen Rep. Fritz Rep. Gardiner Rep. Laktonen HB 122: Commissioner Mallott: The Administration and my department are opposed to this bill. We are aware of the bitterness that mandatory boroughs have caused. O.E.O. tried to determine what keeps areas from organizing and it came back that the people are not ready for it and don't have the fiscal ability in most cases to support a local government. The Department of Community and Regional Affairs is doing a study of what the people want in the way of government and then will present the plan to the committee. Since 1967 the Alaska Village Electrification Association has prompted organization of areas and only 50 village out of over 200 has indicated that they are interested. It has not been the policy of the State to encourage or prompt organization of local governments unless the people are interested. Rep. Laktonen asked the Commissioner if the bill passes if the people will have an option to choose whether to organize or not. Comm. Mallott told him that they would have no voice and would be designated as a second class borough even if they wanted to organize as a first or third class borough. Rep. Fritz asked the Commissioner if the people could ' vote by ballot on what to do about the bill. The Commissioner said that they could but that there were basic requirements that have to be met first. He said that he suspects that more problems will be created than can be coped with. Comm. Mallott said that he feels that the local boundary problems should be worked out at a local level and the State should keep out of it as much as possible. He said that he didn't think this legislation was necessary and will cause many problems. Chairman Carrol stated that he had been told of the observations of other persons that since much money will go into the twelve regions thru the Land Claims Act and since these regions will still require services in these areas that there should be some form of taxation and revenue sharing. Comm. Mallott answered that there was nothing wrong there but under the the Act the money is tax exempt. The Land Claims Act will give a good fiscal base to these regions necessary to support a local government but this will not be in full effect for at least ten years. ----------------------- Page 37----------------------- Page 2 Minutes February 28, 1973 Chairman Carrol asked the Commissioner if he felt the bill was premature or if he could tell us how he felt about it. Comm. Mallott said that he opposed it and felt that it was counter- productive and doesn't think that he will favor it in the near future. Chairman Carrol asked when the study he mentioned previously would be complete and that he would like the Commissioner to present it to the committee when it is done. There being no further business, the committee adjourned at 9:30 a.m. ----------------------- Page 38----------------------- · Minutes Committee on Community & Regional Affairs March 1, 1973 8:30 a.m. Present Excused Guests Chairman Carrol Rep. Guy Mr. Tim Bradner V. Chairman Hackney Rep. Petersen Mr. Rosco Bell Rep. Fritz Mr. E. W. Borgen Rep. Gardiner Rep. Laktonen Rep. Laktonen was excused to attend a Legislative Council meeting and returned to the meeting about thirty minutes after it began. HB 122: At Speaker Fink's request, House Bill 122 will lie dormant until next session and to further research on the bill. Mr. Bradner and Mr. Bell commented on HB 122 and on the existing regional boroughs and their respective problems. People are looking toward the corporations as a quasi-government. The Federal Government was hoping to establish seeds for industry and jobs. The corporations are being pushed to produce, but there is no money yet, and they are trying to educate the people about the Land Claims Settlement Act. Rep. Fritz suggested that we look at the North Slope Borough as a pilot project rather than an all encompassing function. Observing the borough for a year or so will give a basis for determining how the borough might work under this system~ Mr. Bradner said that you have to keep in mind that not every borough has or will have the tax base that the North Slope Borough has. This presents problems. Rep. Fritz asked Rep. Laktonen how the Kodiak Borough was working. Lak- tonen says that it is working out pretty well so far and he feels that the bill is pretty good and that the local people should govern them- selves. Laktonen mentioned that there is a property tax in his village imposed by the borough. Rep. Carrol asked if the pipeline should be taxed by the State, then redistribute throughout the State, especially in the poverty stricken areas would this be effective? Mr. Bradner said that HB 245 picks the pipeline especially for selective taxation. He feels that there should b~ a statewide property tax. Rep. Hackney asked about the immediate impact on the area? Mr. Bell said that revenue derived by the State during construction would be very high and perhaps some of the impact money should be considered. Mr. Bradner said that it will be some time before it is known what kind of industry will develope in the outlying regional corporations. Services provided by the Federal Government will probably be phased out in the ----------------------- Page 39----------------------- Page 2 Minutes March 1, 1973 near future. If a property tax is levied there will be a means of revenue to let the regional corporations out of holding the bag. HJR 12: Chairman Carrol told the committee that he intends to hold it and see what happens with Senator Rader's bills 150 and 151. Adjourned at 9:30 a.m. ----------------------- Page 40----------------------- Minutes Committee on Community & Regional Affairs March 2, 1973 8:30 A.M . Present Excused - - -- Chairman Carrol Rep. Guy V. Chairman Hackney Rep. Fritz Rep. Gardiner Rep. Peterson Rep . Laktonen HB 157: Rep . Gardiner asked if everyone wanted the amendment based on the 1972 apportionment plan? Rep . Hackney said that it looks like it is going to be difficult to put this in the bill. Rep. Hackney moved and asked unanimous consent that the committee move the bill out of committee. The bill passed out of committee. Adjourned at 9:10 a.m. ----------------------- Page 41----------------------- Minutes Committee on Community & Regional Affairs House Bill 245 March 5, 1973 8:30 A.M. All members were pr e sent. Guests were: Lyle Von Bargen, Anchorage, Alyeska Pipeline William C . Fackler, Juneau, Dept. of Natural Resources Robert Walker, Anchorage, Exxon Co. Roscoe Bell, Portland, Oregon, B . P. Alaska Inc. E . Lee Bryant, Anchorage, Marathon Oil Marilyn Miller, Juneau, Alaska Municipal League S. Dozier, Juneau, Dept. of Community & Regional Affairs Tim Bradner, Juneau, B.P. A~aska Inc. Rep. Dick McVeigh Rep . McVeigh: Pipeline tax. The Governor's tax bill says may . The new bill says shall. This is controversial . Will levy a 20 mil tax that will permit local governments to without roughly 5 mils . There are certain exemptions one being the grandfather clause exemption for existing wells . The right - of - way leasing act will not bring revenue until the oil starts flowing . The Governor's bill eliminates the feeder lines and pipe under 21 inches . Rep . Gardiner: Can the State tax on the right-of - way value or the use value of the right - of - way . McVeigh: Would substantially defuse the law suits which are pending now . The right - of - way is a new taxing theory, not used anywhere in the U . S. This scares the oil companies and they don't want to set a precedent. Will contest it all the way to the Supreme Court and this will take time . Attorney General Havelock: Admin . position: The administration is urging property tax restricted to the pipeline properties and supports this aspect of the bill . They are opposed to the right - of-way repeal . Proposed the question of what is the value of the property which the State tran s fers to private industry . The way to determine this was by a formula of the profit derived from production of the oil . As the value of the product goes up so goes the lease value. The property tax was introduced because of the desire of a uniform tax rather than individual taxes through each area. General Havelock spoke about the upcoming court case on April 8th. He was afraid that this bill will confuse or delay the litigation. He is concerned about the YlPandora's Box" aspect of this legislati.on especially at the late date of the se ss ion ~ No reasonable rental formula has been developed by natural resources (DEPT) ----------------------- Page 42----------------------- Page 2 Minutes March 5, 1973 Rep. Hackney: Mentioned the taxing authority of the State versus the taxing author- ity of local entity . The Governor's bill is more generous thatn 245. Rep. Gardiner: Directed a question to General Havelock concerning the fourteen points of contention in the litigation . Gen . Havelock said the the right-of - way provision is not one of the most important parts of the litigation . They would not drop the suit. Other parts of the suit are more important . Rep. McGill: HE 245 has not been put up for public hearing. Should have a complete announced public hearing . Not sure the repeal section does what the sponsor says it does . ----------------------- Page 43----------------------- Minut es Co mmun i t y a nd Region a l Affairs Co mmi tt ee Ma r c h 8, 1973 8 : 00 a. m . All me mbers prese n t. HB 245: Mr. Tim Bradn er, B.P. Al aska Inc. Testified abo u t the technicalities of HB 24 5 . Gave a copy of his t estimony to the committee members. B.P . p l ans to keep its operation going in spite of the pipe l i n e de l ay. If HB 24 5 is passed, B.P. would not shut down its operation, but wo uld hold back o n f u rther deve l opment . They are paying the North Slope Borough a tax and ask an exemption on l y until production begi n s. B.P. cannot support this bill because it is discriminatory against one i n d u stry. Rep. Guy asked Mr. Bradner to explain how the dormant pipe can inc u r cost . Mr . Bradner said that the pipe was assessed as to the f u ll a nd true va l ue of the investment . Rep. Bowman: Gave the committee copies of two letters he had written to oil compan ies. Voiced his views on 245 . Explained how it is different here in Al as k a than in other states producing oil becau s e the State owns all the l a nd here . Rep. Laktonen asked why the companies are against the right of way lease. Mr. Bowman said that they felt it discriminatory and outside the state ' s jurisdiction . The logical thing to do is wait unti l the court case decision and abide by their ruling. Lee Bryant, Marathon Oil . Opposes the bill . It is a discriminating tax. Proposed an ame n dme nt . He brought up several points in the bill that need to be corrected. 9: 4 0 a.m . adjourned ----------------------- Page 44----------------------- Minutes Community and Regional Affairs Committee March 9, 1973 8:00 a.m. All member s were present. HB 245: Chairman Carrol said that the committee would work on moving out 245 Monday. SB 150: Rep. Gardiner moved and asked unanimous consent that the committee move CSSB150am out with individual recommendations. There being no objections, so done. Meeting scheduled for 3:00 p.m. Monday. Adjourn ed at 8:30 a.m. ----------------------- Page 45----------------------- Minutes ""7 Community & Regional / ' Affairs Committee '\ ) 'J)' March 13, 1973 8:30 a.m. Present Excused Chairman Carrol Rep. Petersen V. Chairman Hackney Rep . Fritz Rep . Gardiner Rep. Guy Rep. Laktonen Rep . Gardiner explained his amendments. Amendment # 1: Title change contingent on repe al ing the right of way tax. Amendment # 2: The word employed i s not clear. Amendment # 3: Chan g e wording s o that there would be no tax until the permit can be issued - when the Dept . of Interior has the authority to issue the permit even though they may not . Amendment # 4: Clear up language and spell out the type of assessment to be u s ed. Amendment # 5: Define local government share and adds as determined in accordance with sections 40-70 of this chapter . All tho s e taxes will be done by the state, not local governments. Amendme~t # 6: E xe mpti on f o r o il pr oducti on facilities which are not producing . Exempt s the companies which are working but mu s t wait until line is built. Amendment # 7: Allows state and local governments to receive the money sooner. The same time as the fiscal year begins . Amendment # 8: Administrative Procedures Act - a ny regul a tions are in accordance with A.P.A. and must be publi s hed. Amendment # 9: No need for definition since 4th class cities don't tax. Amendment #10: Repeals the right of way section . Amendment #11: Line 19, page 1 change property to equipment, clears up what can be taxed. Discussion Rep. Fritz moved that the bill be moved out of committee with individ- ual recommendations . ----------------------- Page 46----------------------- Page 2 Mi n utes March 13, 1973 Rep. Carrol felt that the bill wil l be kil l ed on the floor and fee l s that if the committee amends the bill or puts in a committee substitute it wi ll be changing the bil l . Rep. Gardiner made the motion that the bill be postponed indefinitely. Ch airman Carrol would not entertain his motion. Vote on Rep. Fritz's motion: Yeas - Carrol, Fritz, Hackney Nays - Gardiner, Guy, Laktonen Rep. Laktonen moved and asked unanimous consent that HB 245 be drawn up as a committee substitute including the amendments and that the CS be sent out with individual recommendations. Rep. Gardiner seconded the motion. The motion received unanimous approval. Adjourned at 9:15 a.m. ----------------------- Page 47----------------------- Mi nut es Co mmun i t y & Regio n a l Af f airs Co mm ittee March 13 , 1 973 3 : 00 p. m . Me mbers Prese n t Excused Chairman Carrol Rep. Petersen V. Chairma n Hackney Rep . Fritz Rep. Gardiner Rep. Gu y Rep. Lakto n en HB 245: Chairman Carrol briefed the committee on the s ubcommittee's trip to Fairbanks. Rep. Fritz: The people that testified felt that any ad valorem tax was unfair unless the North Star Borough had a property tax imposed also . He also said that he heard no favorable testimony . Rep. Gardiner: He said that he heard no good comments about the bi ll . Chairman Carrol told the committee that he had gone to Fairban ks wi t h a pre-conceived notion that the people would not be for the bill. Amendments 1 . Delete section on right of way repeal page 4 line 16 . Rep. Gardiner told the committee that he had numerous amendments and that he would present th e m before the committee at the next mee t i n g. Rep. Fritz moved that the bill be reported out of committee with indivi d - ual recommendations . There were objections, Rep . Fritz withdrew his motion . SB 151: Rep . Laktonen moved and asked unanimous consent that HCS for CSSB15 1 be moved out of committee. There being no objections, so done. There being no further business, the committee adjourned at 3:30 p. m . ----------------------- Page 48----------------------- Minute s Communit y and Re g i o nal Aff a irs Committe e Ma r ch 14 , 1 9 73 8 : 30 a . m . Prese nt Exc u sed Ch airma n Carrol Rep . Petersen V . Ch airman Hackn ey Rep. Fritz Rep. Gardiner Rep . Gu y Rep . Lakto n en HB 245: The Committee signed the committee report and reported the bil l out of committee. SB 11: The committee will take up Senate Bill 11 at tomorrow's meeting. There being no further business, the committee adjourned at 8:5 5 a. m . ----------------------- Page 49----------------------- Minut es Commun i t y a n d Region a l Affairs Co mm it t ee March 15 , 19 7 3 8: 30 a. m . Prese n t Excused Guests Chairman Carro l Rep. Guy John Feero V. Chairman Hackney Rep. Petersen Douglas Boddy Rep. Fritz J . A. Witt Rep. Gardiner Earl Turner Rep. Laktonen SB 11: Mr. Feero said that he would like to see the bill pass. Chief Boddy said that he felt that Section B should be exclu ded. It holds back the men when they could be of assistance in an emergency situation . Rep . Fritz said that he felt that Section B is against public interest. Rep. Hackney asked if the department here has any regulations that fall under section B. Chief Boddy answered that no they don't have such a regualtion. Asked that this bill be introduced to cover situation where one of the men can help and not be without compensation if injured. Rep. Fritz asked if the people that testified at the Labor and Management committee objected to section B. Chief Boddy said the Mr. Feero and himself testified the n left. It cou l d be left in the bill and then be left up to them to get local governments to go along with it, but it would be better left out of the bill. Rep. Gardiner read from the memo the statement of Mr. Cook on Section B and mentioned the numerous letters from firement across the State. Mr. Turner stated that he would like to see the bill passed. Chairman Carrol asked the guests if they would concur with Committee Substitute for SB 11 if Section B was excluded. The guests consented. Chairman Carrol stated that the section b was perhaps left in so as not to tie the hands of the local governments. Chairman Carrol appointed Rep. Fritz to a subcommittee to work o n SB 11 and section b. There be ing no further business, the committee adjourned at 9: 2 0 a. m . ----------------------- Page 50----------------------- ----------------------- Page 51----------------------- Minutes Community and Regional Affairs Committee March 16, 1973 8:30 a.m. Present Excused Guests Chairman Carrol Rep. Guy Don Berry V. Chairman Hackney Rep. Petersen Rep. Fritz Rep. Gardiner Rep. Laktonen SB 11: Discussed Senate Bill 11 and commented on the section b. Don Berry told the committee that the firement had not mentioned section b to him when they were in his office. He explained why the municipalities wanted the section left in the bill. Rep. Gardiner moved and asked unanimous consent that House CSSBll be moved out of committee with a do pass recommendation. There were no objections. SB 47 am Rep . Laktonen moved and asked unanimous consent that SB47am be moved out of committee with a do pass recommendation. There were no objections. There being no further business, the committee adjourned at 9:08a . m. ----------------------- Page 52----------------------- Minut es Co mmun i t y a nd Regio n a l Af fa i rs Co mmitt ee March 20 , 1973 8:30 a. m . All me mbers were prese n t. Gu ests were: Mr. Don Berry, Mr. Jerry Smetzer, Mr. Thies HB 360: Mr. Berry testified on the merits and the basic idea behind HB 36 0 . A committee report was written up stating that the word additional i n lines 21 and 25 page one and line 3 on page two be might be con- stru ed as twelve additional months on top of the regular voting re- quirements for the State. It was felt by the sponsor and the Comm- ittee that a maximum of twelve months should be required as reside n cy requirements to hold a public office . Rep . Petersen told the committee of his attendance to the Tanana Chiefs Council regarding various topics which include d the regio n al corporations and the Land Claims Act. Chairman Carrol introduced Jerry Smetzer and Mr . Thies to the Committee . Mr. Thies spoke to the group regarding the R . D.A . bill which has almost passed both houses i n Washington, D . C . (R . D.A. bill of 1972) There being no further business, the committee adjourned at 9:15 a.m. ----------------------- Page 53----------------------- Minut es Commun ity a nd Region a l Af f a i rs Comm i tt ee Ma rch 2 1 , 1973 HA PPY FI RST DAY OF SPRI NG! Present Absent Guests Chairman Carro l Rep. Petersen Commissio n er Ma llo t V. Chairman Hackney Rep. Fritz Rep. Gardiner Rep. Guy Rep. Laktonen HB 108: Comm. Mallot: Mr. Strandberg's position was the feeling of the Dept .. The new Federal Revenue Act allows revenue sharing with Alaskan natives. Felt that this is better than using State revenue sharing funds. Federal agency dealing with I.R.A. villages has been benign neglect. Last year when Rep. Whittaker introduced the bill, he was trying to help I.R.A. villages in Southeastern . These villages are located in municipalities now (most of them) and very few IRA corporations pro- vide municipal services. Rep . Hackney: Can IRA corporations dissolve easily. Comm. Mallot: Must be hard because the only way they have dissolved is through inactivity. Rep. Hackney: Are Federal funds available to IRA corporations. Comm . Mallot: Only through Indian grants. The BIA has helped a few corporations . If the purpo s e of HB 108 is to help IRA corporations who don't have municipal powers, it would be better to use and apply for Federal Revenue Sharing . Federal revenue sharing funds go directly to municipalities and local governments. One third Federal revenue funds go into a special fund for appropriations and state must acco un t for what the money is spent for. The IRA corporations would only be eligible for fire department funds unless they qualified as a mu n icipal - ity under state .law. Rep. Laktonen: What is the difference between IRA and municipalities? Comm. Mallot: Wheeler-Howard Act for all Indians in the U.S . to form business corporations with special tax advantages. BIA recognized that communities also needed government . BIAallowe d IRA to carry out mu n- icipal powers, but the State does not recognize these powers unless the IRA corporations incorporate under the municipal laws of the State. Rep. Guy: What is the Federal Revenue Sharing formula. Comm. Mallot: A complex formula which usually doesn't work too we l l in Alaska. ----------------------- Page 54----------------------- Page 2 March 21, 1973 Commissioner Mallot: Do not feel that this bill is a valid bill be- cause the state does not recognize municipal status of the IRA corp- orations since basically they are a business corporation and the BIA has failed to help them . If the intent is to help those villages or corporations, perhaps the dept. could l ook into the Federal revenue sharing program regarding native communities, the state could intro- duce state legislation that would achieve the intent of the bill. Rep . Gardiner: Feel s Metlakatla is performing all the services that any other municipalit y performs and that they should receive revenue s haring . The intent of the bill was for IRA villages who do not wish to or cannot incorporate as a municipality. Th ey sho uld be entitled to revenue shairng funds for the services they provide. Mallot: The other IRA corporations are not functioning as well as Metlakatla. They only can receive State revenue sharing funds for fire protection at the present time. The other villages listed as IRA villages except Metlakat la have no funda available. Th ere is also no seed money to begin new programs. Community and Regional Affairs: Not in favor of the bill because of the purposes of revenue sharing act is not met by IRA. 1. IRA doesn't perform usual municipality activities. 2 . IRA under state law are not able to provide services , only voluntary services. Comm. Mallot was in favor of the intent of the bill. The peop le sho uld receive help but not the way this bill is written. He offered the services of the Dept. of Comm . and Regional Affairs t o try and find a way to help these people . ----------------------- Page 55----------------------- Mi nu tes Commun ity a n d Regional Affairs Committee March 22, 1973 8:40 a.m. All members were present. Guests Don Berry Lee Bryant Don Dickey Rep . M. Miller SBIOam : Mr. Bryant testified before the committee on the views of Marathon Oil. Rep. Gardiner: How many million does Marathon have invested in pollution control? Bryant: About five million in the Kenaii borough. Rep . Hackney: Why sho uld tax releif be expected when the companies should be doing this anyway. Bryant: Permissive legislation . Rep. Gardiner: Is this a good enough definition of anti-pollution equipment. If not defined properly, could encompass all sorts of equipment. Bryant: This could be considered in the municipal ordinances. Mr. Berry: Oppose the bill. Alaska Municipal League opposes this on the basis that if this is a state wide problem, there should be tax exemption state wide instead on a ' local level. . Agree with Mr. Gardiner in the need for a definition. Main opposition is that when you give a company a tax break, the people on the local level have to pick up the difference. Rep. M. Miller: Whenever you allow someone a tax exemption someone else has to pay more . Don't think it is right. Fritz: Do you think it is right to make someone pay for an oversight we were all involved in before ecology was a common word. Rep . Millar: Think that everyone should be a part of it. House Bill 360 tommorow. Adjourned at 9~15 a.m. ----------------------- Page 56----------------------- Minutes Community and Regional Affairs Committee March 23, 1973 8:30 a.m. All members were present. HB 360: Rep. Fritz moved and asked unanimous consent that HB360 be mov ed with a do pass recommendation including the amendment. Rep. Petersen seconded the motion. The bill was moved out of committee with a do pass recommendation. There being no further business, the committee adjourned at 9:00 a.m. ----------------------- Page 57----------------------- Minutes Community and Regional Affairs Committee March 27, 1973 8:30 a.m. All members were present except Chairman Carrol who wa s called to Fairbanks on business. Guests Ly le Von Bargen Mr . Edward Borgen Tim Bradner Chip Thoma Don Berry Mark Jensen Bill Berrier Fred Estaugh Mr . Poland (C.R.A.) SB 10 am : Mr. Estaugh: Representing Alaska Lumber and Pulp. All ows jurisdiction to allow an exemption if they wish, a l so allows jurisdiction to allow only certain exemptions. Councils may sc reen out far out claims for exemption requests. $2,600,000. has already been spent on pollution control . A large amount of this money has gone for the local labor force and the services provided to those people as a result of the added con s truction. Standards which the Federal government has specified have not been technically developed at the present time. Labor will be 50% of the cost of the 14 million dollar project (about 8 million). Municipalities are accruing a steady increase in a tax base. No reason for the committee to get to specifics on this bill. If the legislature passes the bill, the in- dividual jurisdictions will be allowed to make their own recommenda- tions. Rep. Fritz: Another benefit will be the cleaning up of the area both water and air. Also the real estate value in the area will rise. Rep. Gardiner: What is the assessed valuation of the pulp mill? Mr. Estaugh: The company feels that it is assessed at 30 to 35 million but the Sitka borough feels that is is worth 40 to 45 million . Rep. Gardiner: Will there be an investment credit? Mr. Estaugh said yes and there will be a recovery product from pollution control. The company will give a disclosure paper which the borough will decide the rate of exemptions due to the company. Mr. Poland of Community . and Regional Affairs: If any legislation such as this is going to be enacted it should be at a state level, not at local option . This should be the same throughout the state . Bill Berrier: If there should be a subsidy for pollution control it sho uld be above board and not disguised. Municipalities really have no choice and they usually adopt this type of ordinance. This i s not really voted on by the people. ----------------------- Page 58----------------------- Page 2 Mi nutes March 27, 1973 Bill Berrier con tinued: There would be a doub l e exemption rate for the new pulp mill in Juneau. Rep. Fritz: The difference between planning for pollution in a new industry is much more than adding to an existing facto r y. Mr. Estaugh: Money goes from tax payer to city anyway. How would this be a subsidy. Mr . Berrier: Taxes will be abated. This i s the same as a subsidy since it will be money in the companies hand. Mr. Jensen: Speakipg as a private citizen. When resources aren ' t working what do you do. Bu siness on the outside looks at three things in Alaska; one, the attitu de of government, the tax base, a n d the political climate towards industry. When the problem is too big, the government should help. The result being a partner-ship bewteen busines s and the government. There being no further business, th e committee adjourned at 9:30 ----------------------- Page 59----------------------- Minut es Communit y a nd Regi on a l Affair s Committ e e Mar c h 2 8, 1 9 73 8 : 30 a. m . Pr esen t Exc u se d Gu ests v . Chairman Ha c kney Rep. Fritz Ly l e Vo n Barge n Rep. Gar d i n er Ch airma n Carro l- E dward Barge n Rep. Guy Han k Rose n tha l Rep. Lakton e n Chuck Degn a n Rep. Petersen Bob Walker SB 10 am Ch airman Hackn ey asked i f anyone wanted to testify further on t he bill. There was no response. Rep. Gardiner told the committee that he had called the borough chairman and the city manager and asked their opinion on the bi l l. Th eir feelings were mixed and said that the wording was vague an d that possibly indu stry does deserve some help but though the stat e s h o u ld compensate for loca l governments. They were going to disc u ss the bill with the people of Ketchikan. Rep. Gardiner moved to table the bill . Rep. Petersen seconded the motion. Rep. Laktonen objected saying that he was ready to pass the bil l . Ho w would industry impose a burden on the local governments? Rep. Hackney said that from preceeding testimony it h ad been indicated that there would be an impact . The committee voted on the motion. There were four yeas; Gardi n e r , Petersen, Hackney, and Guy . Laktonen voted nay. HB 108: Rep. Degnan: Because of cultural differences and other reaso n s t h ey have chosen not to organize. Feels that this law is appropriat e. Rep. Gardiner asked what functions Unalakleet provide . Degnan sai d t h at they provide police protection, fire protection. Gardiner asked if the village council functions the same as a ci t y co u nci l . Degnan said it was the same thing . The co u ncil is elec t e d by the peop l e. Rep. Hac k ney asked how much the police were paid. Rep. Degnan told the committee that they were paid $900.00 per month inc luding cost of l iving differential. Rep. Degnan said that the b a sic thing that kept the communities fro m organizin g was the lack of understanding the system. The people are h esitant t o organize because of the impact. Th e comm it t ee a djourned a t 9:30 a . m . ----------------------- Page 60----------------------- ----------------------- Page 61----------------------- Minutes Communi and Regional Affa s Committee nuary 21, 1974 1:30 p.m. Present Excused Chairman Carrol Rep. Petersen V. Cha :Lrman:: Hac kney Rep. Fritz Rep. Gardiner Rep. Guy Rep. Laktonen The meeting opened with a discussion of the meeting room of the committee, there being a conflict between the use of room 2 as a caucus room and as the regular committee meeting room. Discussion proceeded as to whether the committee should move to quarters in the Assembly, and Chairman Carrol directed Mr. Van Doren to check into the possibility. Chairman Carrol made a few remarks on the postion of the committee in the introduction of bills for the 1974 session. It was decided by Chairman Carrol that regular meetings should be held at 8:30 a.m. and last no longer than one hour, to adjourn by 9:30a.m. Rep. Hackney suggested that perhaps large meetings could be held in the conference room next door to room 2. Rep. Gardiner noted the obvious convenience of room 2 as a meeting room Mr. Van Doren brought up the subject of the Boundary Committe Recom- endations . Rep. Fritz came in at 1:50 p.m. and was brought up to date by Chairman Carrol Chairman Carrol announced the intention of the committee to introduce a resolution rejecting the Boundary Committee Recommendations. V. irman Hackney assured t c tee of nce oy business he would br up during the meet sess Chairman Carrol asked Mr Doren about recording mach ass to the committee for its use and discussion ensued as to when it should be used. Rep Fritz felt that the eqUipment was not really what the committee needed. V. Chairman Hackney wondered if regular committee meetings should be recorded. was decided that the recording machinery be used for hearings involving testimony. ----------------------- Page 62----------------------- 21, 1 D cussion ensued over location of two of the cities mentioned in ndary Committee's recommendations, and Chairman Carrol asked Mr. Van Dor to find out the locations of Basher and City. The meeting was adjourned at 2p.m .. ----------------------- Page 63----------------------- Minutes January 22, 1974 8:30 a.m. Present Chairman Carrol V. Chairman Hackney Rep. Laktonen Rep. Fritz Rep. Gardiner Rep. Guy Rep. Petersen Bounda.ry Commission Recommendations No other action was taken except to decide to have the legislative affairs office draw up the negative resolution Chairman Carrol thought the Commission for Community and Regional Affairs ought to be consulted. 435 Shwarz Scholarship The question was brought up as to why the Community and Regional Affairs Committee vvas referred this bill and 11;1r. Van Doren found that it was a second referral, the bill relating to courses in law enforcement offerred locally. No action taken. 437 This bill will be referred to Finance after this committee; no action taken. 444 Also refferred to Finance after Community and Regional Affairs; no discussion. 445 Discussion ensued as to what constitutes !topen space" after Rep. Guy asked that question. No one knew for sure. No action was taken. 446 Rep. Gardiner remarked that it seemed to him that Rep. Fisher wants the states to maintain its highways by city standards. V. Chairman." Hackney wondered how many miles of state highway would be invo: ved. No action taken. 434 Chairman Carrol stated that there is merit in the clause pertaining to disabled veterans, and wondered how many p~ople would be involved. Mr. Van Doren was directed to find out. It was noted that this bill was referred only to the Committee for Community and Regional Affairs. Discussion on this bill was scheduled by Chairman Carrol for Thursday, Jan. 24. Chairman Carrol announced his intention to contact Ms. Fisher re her bills to find out more about them. No meeting was scheduled for Wednesday, Jan. 23, and the meeting adjourned ----------------------- Page 64----------------------- Minutes January 24,1974 8:30 a.m. Non-scheduled, informal meeting Present Chairman Carrol V. Chairman Hackney Rep. Fritz Rep. Guy Rep. Laktonen The committee informally discussed HB 404, HB 43Lj·, and HB 291, and decided to bring these bills up before the entire committee for formal action at a later date. ----------------------- Page 65----------------------- Minutes Community and Regional Affairs Committee January 29, 1974 8:30 a.m. Present Excused Rep. Fritz Chairman Carrol Rep. Petersen V. Chairman Hackney Rep. Gardiner Gu ests Rep. Laktonen Rep. Guy Jack Chenoweth--Dept. of Community and Regional Affairs Don Berry--AML Carlton Smith- - Dept. of Community And Reg i onal Affairs HB 404 Testimony --J ack Chenoweth : Th e bil l would provide a ss ist a nce to unincorpor a ted c ommunities for pl anni n g purposes . Nu mber of place s to be affec t e d a re 116 native c ommunitie s a nd 26 non - native, encompassing a tot a l of approx ima te- ly 16,000 people. At $10 per capita, the estimated cost to the state wo uld be $160,000. The most controverstial is Section (b ) , the provision that monie s be given to non - pr&fit cooperations. The Dept . feels that the vil lage corperations should be profit making cooperations and that those cooperations should not be a governmental entity. The Dept. feels that the group who does the planning should be a non-profit organ - ization within the corporation. The b ill needs 2 improvements: 1 ) Language that would allow payment to the commmnity in the fiscal year of incorporation so that the non - profit organization will not see payment loss becau s e of in - corporation . 2 ) re: u nincorporated community in an organized bor - ough. The Dept. hopes that these places would receive aid and tha.t this provision should be included in the bill or a letter of intent . Mr. Chenoweth stated that Commisssioner Mallot would be available f or comment if the committee desire s it. Rep. Gardiner asked if the city is eligible for a. ny revenue sharing in the year it incorporates. Mr. Chenoweth replied that revenue sharing is paid for services ren - dered on July 1 (beginning of fiscal ye a r ) . In the first year of incorporation an organizational grant is paid as follows : 1) A second class city if entitled to $10 per voter who voted in the incorporation election. This is usually a small amount. 2) A first class city in an unorgan ized borough is entitled to $10 per voter who voted in the incorporation election but with a minimum of $25,000. These are one payment grants; then the city participates in revenue shar ing. ----------------------- Page 66----------------------- s d that because some t villa s do not have t ertise to car out planning programs intended the bill, the villages should be allowed to seek outside help, possibly the regional corporation or any other outside help. Rep Hackney brought out the fact that the of Communi ional A irs has held tens r ini thro state and sked if h would be n. Mr. Chenoweth answered that 8e tr are he for pe within and that the co t 11 ona fu In uninc ora n mai , not in person. Rep. Hackney also brought out that the amount ($10 per capita) was very small. Mr. Chenoweth remarked that it would amount on the ave- erage to about $2,000 for the community. Rep. Hackney asked for the amount per capita figure that would be meaningful. A figure of around $30 per capita was mentioned in this connection. Under revenue sharing, the services must be provided in order for the organ tion to receive the money. Mr. Chenoweth pointed out that the bill limits the period for fund as th~ee years and that after the three years, the village would see that the only way to continue receiving money would be to corporate, in order to take advantage of revenue sharing. Chairman Carrol requested that the suggestions recommended by the Dept. be drafted to become part of the bill. Rep. Guy asked that language also be included to allow communities to use outside help, as per his sarI r observations. Mr. Chenoweth feels that there are a lcbt.of areas both regional and local which will be helped by this bill, and that due to desire to control local schools and health facilities, as well as not wishing corporation funds to go into a trust, as outlined in the Native Land Claims Act, Sec. 14. (c)(3), many villages will be seriously looking into incorporation and that this bill will assist both them and the Dept. Don Berry of Alaska Municipal League asked if the funds ($160,000) would come out of existing revenue sharing funds. Mr. Chenoweth answered !fNo," as shown in Sec. 43.18.510 of the bill, which provides for an Unincorporated Communities Service Account to be established. Mr. Van Doren was asked to make sure that fact waf clear if not in the bill, then in the committee report. The question was asked by Rep. Hackney how the passage of the bill would lead to expanded travel costs for the Boundary Commission. Mr. Chenoweth answered that with increased interest in incorporation, the Boundary Commisssion would need additional funds to take care of the extra travel. trend will be for increased activ for t several years. There are 116 communities which are eli-· g Ie to incorporate and will perhaps do so with the encouragement ----------------------- Page 67----------------------- 3 of bill, and order to avo the trust provision in tive Land Claims Act. The effective date will have to be changed. There being no further business, the meeting was adjourned at 9 30. Tommorrow--Local boundary resolutions for dissolving cities of Basher, Bay City and Donnelly. ----------------------- Page 68----------------------- Minutes Community and Regional Affairs Committee Janaury 31, 1974 8 : 30 a.m. Present Excused Chairman Carrol v. Chairman Hackney Rep. Fritz Rep. Gardiner Guests Rep. Guy Rep. Laktonen Bill Berrier -- City and Borough Rep. Petersen Attorney The Committee reMiewed the new bills just received. Chairman Carrol commented that some of the old bills still under consideration were bound to be withdrawn as they are no longe r applic ad . ble in some cases. HB501--Change in municipal election p r ocedure. Rep. Fritz asked about the background of this bill and Re p Q Gardine r thought it was because of the inconsistencies encountered in some municipal runoff elections where in some cases the candidate who placed second won the election. HB 501 would allow the cities to change the requirements to suit their local needs. Chairman Carrol expressed a desire to hear testimony on this issue. Mr. Berrie:r~ in giving the opinion of the Municipal League ~ commented that while the concept of a runoff election may be desirable, the decision should be left to local option, and he added that there are many arguments both pro and con on the question. HB 502--A raise of revenue from $5 to $7.50 per capita for fire pro - tection. No Discussion. HB 505--From the governor's office, providing assistance to municipal~ it ies . HB 506 is the companion bill providing for the appropriation. A definition of exuaordinary operating expenses will be difficult. The Sec. 2, Subparagraph 3 provision for determining that the expen - ses are directly attributble to pipeline impact will also be a snag. Sub. Sec. (b) may present problems too, namely, will earlier census figures be totally outdated by expected population increases. Rep. Guy wanted to know how much money, approximately would be involved for communities along the pipeline route Chairman Carrol set the date for consideration of HB 505 and 506 as Wed., Feb. 13. ----------------------- Page 69----------------------- Minutes Page 2 HE 508- -Capital improvements HE 509- -Companion appropriation bill Loans for planning with limited application No discussion. Chairman Carrol informed the co~tee of the possiblity of future joint hearings with the Senate Community and Regional Affairs Committee. Progress Reports HE 404 --Committee waiting for material from the Dept. of Community and Regional Affairs. HB 434 --Still in State Affairs Committee. HB 301--Mr. Van Doren Brought out the fact that under this bill, Pelican would be eligible for $25,000 grant when it becomes a first class city. Under existing law, this would not be ' the case. Mr. Van Doren is to check on how many other cities might be affected were HE 301 to pass. Mr. Berrier gave an informal report about the hous&ng situation in Juneau. He stated that the city is "almost caught up" in its housing deficit. Dr. Fritz asked about the sewage treatment facilities contingent on this increase in housing, and Mr. Berrier described the system serving one of the new areas. It is privately owned and operated. There being no further business, the meeting was adjourned at 9:30. ----------------------- Page 70----------------------- Minutes House Community and Regional Affairs Committee Feb. 6, 1974, 8:30 a.m. All members were present. The committee discussed the status of bills currently in committee. Chairman Carrol advised the other members that HE 59 would be withdrawn. Hearings on the impact legislation, HB 505 and 506, were scheduled for Feb. 13 and 14. Rep. Gardiner brought up the problem of smaller communities on the Pipeline route, in that they do not have the where- withal to implement planning and zoning as do the larger cities. Dr. Fritz substant-iated Rep. Gardiner's statement. The smalll communities need assistance in know1ng what to plan for and ask for, and the state should make this type of planning assistance available. Chairman Carrol announced the hearing on Senate Bill 219 at 1 p.m. this afternoon. The hearing on HR 63 sceduled for tomorrow, was discussed, and Mrs. Alta Belling's letter was passed out to the mem- bers for their consideration. There being no further business, the meeting was adjourned at 9:30. ----------------------- Page 71----------------------- Minutes House Community and Regional Affairs Committee Februa~y 129 1974 Present Excused Guests Rep. Fritz Chairman Carrol Mr. Don Be r ry V-Chairman Hackney Rep. Gardiner Rep. Hugh Malone Rep. Laktonen Rep. Guy Mr. Carlton Smith Rep. Petersen The Committee took House Bill 350 under discussion. Rep. Malone stated that HE 350 would not restrict municipal- ities in home rule powers, but would require them to exercise them by ordinance rather than by motion or resolution of the city councilor assembly. This is provided for by AS 48.130, the due process provision, and gives people the chance to rowe their say in public. Rep. Laktonen wondered if the proposed legislation would cover all classes of municipalities. Rep. Malone replied that it would affect only home rule munic- ipalities. Rep. Fritz wanted to know how many of these were involved? Many 0r few? Rep. Malone guessed not over 2 dozen. Rep. Fritz asked Rep. Malone if his intent was to get these municipalities to make appropria tions in a formal way_ Rep. Malone relplied that that was his intent. He expressed a preference for seeing the people getting involved in the process. Rep. Fritz wanted to know if the process would be unduly ex- pensive or cambersome for the communities. Rep. Malone replied that it need not be, as general law mun - icipalities do it all the time. Rep. Fritz asked if there was any precedent for the bill. Rep. Malone admitted that there was nothing definite except the general belief that government should be made to do things in a way that everyone know what's happening. Mr. Van Doren asked if Rep M a lone was interested mainly in appropriations i ssues. ----------------------- Page 72----------------------- Page 2 Feb. 12 Rep Malone replied that that area was the most abused one. He asserted that HE 350 would provide a better check and ba system, because appropriations can get a home rule municipality in trouble, and have done so before. V. Chairman Hackney wanted to know if this affected funds with- in or wothout the budget. Rep Malone said either. V. Chairman Hackney thought the bill would only slow down what was already going on in these municipalities. Rep Malone countered that it would turn it into legislation instead. Mr. Van Doren observed that quite a few cities have the very same provision by ordinance anyway. Mr. Berry stated that he didn't know any home rule cities which didn't have it, but was opposed to the passage of a definite restricting law. He felt that the home rule cities have too many restrictions as it is, and stated tra t these cities should have the right to adjust appropriations as they see fit, without the machinery of an ordinance. Rep Malone felt that whatever limitation would be involved would be in the public interest. He admitted that the con- cept of home rule is a good one, but under ex ting law, these municipalites are required by the state to do certain things already, and he els the cities can live with it. In the future, as more cities are incorporated, it will be important that their powers not be abused. Rep Malone refused to with- draw the bill or to consider withdrawal. Mr. Van Doren announced that the meeting place for the hearing on RBfs 505&506 had been changed to the House Conference Room, and that the sesssions would be both in the morning and the afternoon. V. Chairman Hackney asked that letters be sent to all the home rule municipalities to ask their opinions on HB 350. There being no further business, the meeting was adjourn'ed at 9:10 a.m. ----------------------- Page 73----------------------- Minutes House Community and Regional Affairs Committee February 15, 1974 8:30 a.m. Present Guests All committee members Mr. Don Berry--AML Mr. Jack Arnold--Eagle River .Mr. Schroeder--Eagle River The Committee discussed The report ·on HB 505 by Rep. McVeigh, the ·Pelican summary by Mr. Van Doren, and a communique from Rep. Bradner re: Anchorage Borough adopting the areawide police power. Dr. Fritz made some comments on this issue, and Mr. Van Doren was directed by Chairman Carrol to look into the matter. The Committee next considered HB 404, Comrhittee Substitute. Mr. Van Doren pointed out the changes form the original bill. No action was taken. Here to testify on HB 305 were t\'Jo representatives form Ep;gle River. Mr. Arnold and Mr. Schroeder testified on the increased assessment of their property and urged a do pass ~eco~~endation on 305. Rep. Fritz suggested an amendment to require the borough doing the assessing to purchase the land at the assessed value if the owner does not want to pay the taxes. Chairman Carrol brought up the old age tax exemption as a possible relief to those retired liVing in Eagle River. Mr. Berry suggested the possiblility of a committee substitute for the bill, and suggested removing lines 10 and 11, ITsold, traded, or exchanged It. Rep. Fritz asked if Sen. Rader might come and testify on HE 305. No action was taken, and the meeting was adjourned at 9:30. ----------------------- Page 74----------------------- Minutes House Community and Regional Affairs Committee Febraury 18, 1974 8:30 a.m. Continuation of He aring - HE 505 and 506 Present Excused Gues t s Chairman Carrol Rep. Guy Comma Mallott-CRA v. Chairman Hackney Mr. ~var ing-CRA Rep. Fritz Mr. Berry-AML Rep. Gardiner Rep. Petersen Rep. Laktonen Chairman Carrol called the meeting to order and advised the Committee that Comma Mallott was present to answer the cr it - iscism raised ove r HB 505 in the public hearing on Feb. 13 and 14. Chairman Carrol also asked Mr . Van Dore n if there was any other business of concern to the Committee and was advised that HE's 637, 638 and 643 ha d been referred to the Committee. Mr. Car - roll asked Mro Van Doren to check into these bills, which also deal with Impact. Comma Mallott then offe rr ed his testimony. Commissioner Mallott said that he felt some comments made at the public hearings on the above-mentioned dates were irres - pons ible. He feels that the local governments now seem to have a differ- ent kind of reaction now than before the bills were drafted. He testified that the essential element of judging Impact, as far as the Dept. of CRA is concerned, is population gr~h, and that is the only way to measure such Impact. The rate of growth for the state for the past three years has been 11%, or approximately 4% per year. Comma Mallott informed the Committee that according to the information gathered by the Dept. pnor to drafteing the bill, the municipalities felt that the Impact meant basical~y, that there were going to be extr aordinary operating expenses with respect to operating needs, and the municipalities felt they CQuld not meet them unassisted. Comma Mallott does not see the formula used in the Bill (505) a s unreasonable, as a standard by which to judge the needs of communities. Indeed, this formu la is used by the local governments themselves in determining Impact on themsleves. Comma Mallott fe els that there needs to be somee kind of on - going relat ions h ip between the state agencies involved and the local governments they are dealing with. ----------------------- Page 75----------------------- 2 • 18 Comm. Mallott stated that the effect of overall populat growth on a community, directly attributable to Impact, is the question, and not the effect of the Impact on each ind- ividual. There is no need to determine whether each person that comes to a community does so as a result of the Pipeline. It is the Commissioner's contention that standards for state spending should be carefully formulated. The areas of contention seem to be the six categories spec fically listed in the bill as being ones of vital concern in granting funds to a community, but Comm. Mallott stated that the local governments themselves have reported these six areas as being of the highest concern. He further stated that the idea of the bill was not a revenue sharing measure, but rather essential, emergency aid. Chairman Carrol wanted to know if the Commissioner would be averse to adding a few more categories to the list. Comm. Mallott replied that if a particular local government felt it would be impacted in a specific area not named in HE 505, there should be no problem in seeing that funds were directed to this area. v. Chairman Hackney asked the Commissioner if he had worked from a I t of priorities solicited f~Om the various commun- ities believed to be most impacted. Comm. Mallott replied that each community that might possib be affected by the Impact had submitt to the Dept. an Impact statement, listing its own needs, as well as could be projected. V. Chairman Hackney then asked if the bill was prepared prin- cipally from these statements. Commissioner Mallott stated that this was so. v. Chairman Hacl\:ney then to know why the different communities now seemed to think the bill was grossly insuff cient as it was. Co@n~ Mallott said he felt all this concern was due to the wor- ries in the different muniCipalities over capital improvements, which the bill does not attempt to address itself to. The com- munities seem to want a wide open hill, with no requirements or restrictions. V. Chairman Hackney contended that the administration had not therefore, built into the bill, the aggregate of the Impact statements. ----------------------- Page 76----------------------- Page 3 Feb. 18 Comm. Mallott replied that tile Dept .. had extracted the fiscal in- formation relating only to the categories that had been deter- mined to be worst affected by the Impact, and not the different communities' ital improvement budgets. v. Chairman Hackney wanted to know if there had been no con- sideration for aid to public utilities. Comm. Mallott replied that by definition of the Impact, the legislation was designed as an emergency measure to help the hardest hit areas over the worst time, and not as long term legislation. He recognized that utilities was definitely go- ing to be an issue. Chairman Carrol said that municipal utilities were low prior- ity areas because theY3.re revenue producing, but that he had heard that some type of long term low interest financing was to have been included in the bill. Comm. Mallott replied that this type of grant was an entirely different thing, and could not be included in the legislation under examination. It is the Commissioner's contention that the legislature is here to legislate and it is not the sole responsibility of the administration to handle all of it. Chairman Carrol observed that it seemed to him that there was very little latitude in the bill for projection of needs, that there had to be growth before could be made available. The commissioner replied that there provision in HB for prepayment to areas likely to be impacted. V. Chairman Hackney observed that the Dept. must have some model by which to project this type of thing, and wondered if the Committee was going to be able to see this model. He fur- r observed that the communities say the bill is insuffi- cient, while the Commissioner insisted it was suffic and that there was a basic discrepancy there. Chairman Carrol asked Comm. Mallott about the allegation th£l t although $10 million had been appropriated by the bill, the way i.t worked out, over $3 million was imposs ible to get. Corr~. Mallott answered that effective local governments would be eligible for over $7 million of the appropriation, but that the rest was a sort of cushion the Dept felt was necessary to cope with unplanned for eventualities, such as the formation of new municipalities requiring funds or the expaQsion of services in already existing municipal ies. The Commission- er denied t~hat the Dept was trying to hoodwink anyone e When the Impact is underway, the Commissioner continued, and the projected changes are a reality, then something permanent can be enacted if necessary. ~ttt'" ':3e t\ Rep J\ Asked the Commissioner if the Dept knows how many people are coming into the state ight now. ----------------------- Page 77----------------------- Page 4 Feb. 18 Comm. Mallott replied that both the Labor Dept. and the Health and Social Services Dept. are developing a system to keep track of the population increase. Mr. Waring added that running projections were kept from other sources as well, such as Ntional Bank of Alaska. Mr. Van Doren asked if revenue sharing was going to work in conjunction with the Impact funds and also how the added pop- ulation was going to affect revenure sharing. Comm. Mallott answered that there was about $1/2~11ion pro- jected increase in the revenue sharing funds. also stated that the Impact legislation would not be affecting the rev- enue sharing program. Mr. Van Doren then asked if it would be fair to say that the present package was actually part of the revenue sharing idea, but just tailored to Impact. Mallott replied in the affirmative, that in addition, more mODey would be put in, based on population growth in terms of the Impact. Any pro-ration would be across the board. Mr. Van Doren observed that Impact communities would be getting double and reased revenue sharing. Comm. Mallott replied that the state would be responding to a different program area. He deplor~the feeling in the local governments that the state is solely responsilble for the Im- pact and that the communities should not have to bear any of the burden. Some, figures offerred by the Commissioner to prove his allega- tion that some of the municipalities were more than able to handle a good part of their Impact were: Anchorage Assessed Value--Up 81% Mill Rate--Declined 21% General Property Tax--Up 47% Inter Qovernmental Sources of Revenue--Up 520% Fairbanks Assessed Value--Up 75% Mill Rate--Up 25% Gen. Prop. Tax--Up 97% r Gov. Rev.--Up 252% ----------------------- Page 78----------------------- Valdez Assessed Value--Up 509% Mill Rate--Steady Inter Gov. Rev.--1000% Comm. Mallott stated that it was the feeling of the adminis- tration that local governments do have the capcity to respond in some measure to the Impact. He admitted, however, that state does have an obligation to respond above the level that the local governments cannot be expected to cope. Rep. Fritz asked what about the smaller places, aren't they apt to be overwhelmed, unlike the larger towns which are admittedly able to absorb much of the shock. Comm. Mallott replied that with these places they were ing with a whole different type of Impact. Most of the smaller communities do not even provide ssential services. From what the Dept has been able to learn form these communities, what they really want is to be ~ft alone. They want neither the Impact not the money it might bring in. The Commissioner assured the Committee of the Dept's concern for these areas and stated that the administration was trying to respond to their requests. He believes that the Land Use Planning Bill will go a long way toward helping these smaller communities. The different agencies will definitely have to beef up areas that will be impacted but that are not incorpo~­ ated. Rep. Fritz asserted that residents in these areas are very con- cerned over the possible effects of the Impact on their commun~ ities, and does the Commissioner have any idea how these places will be affected speciafically? Co~nissioner Mallott replied that the agencies have been asked to take into consideration these very questions. There is a meeting of all the smaller communities within the Pipeline Corridor planned for about a month from now. That should give some insights. Rep. Fritz observed that a community of 100 population could not possibly handle an influx of even 100 people, thereby doub- ling the population. He pointed out that many of the new people brought into the state by the Pipeline will want to live in these smaller communities, if only because it would be cheaper. Mr. Waring believes that in such cases, these communities are going to have to rely on the authority of the state agencies set up for handling these problems, such as the Land Use Plan- ning Agency. He also mentioned HE 520, which gives the Dept. of Lands authority as a platting board. Because of the lateness of the hour, Chairman Carrol adjourned the meeting at 9:35. It will be continued tomorrow. ----------------------- Page 79----------------------- Minutes House Community and Regional Af f airs Committee Februry 19, 1974 8:30 a.m. Present Excused Chairman Carrol Rep. Guy Vo Chairman Hackney Rep. Pete r sen Rep. Fritz Rep. Laktonen Guests Rep. Gardiner Mr. Don Berry -AML Mr. Kevin Waring - Dept. CRA Chairman Carrol called the meeting to order a nd announc e d tha t Mr. Van Do r en had prepared a report compar:ng HB 505-506 and HE 638, offerred by the Pipeline Impa ct Committee. Mr. Van Doren- HB 638 handles the whole Impact problem : the loan s, cpaital i nd ebtedness ;> capital improvements, not just grants. As a whole, 638 encompasses more than 505 - 509. There are some qu estions that are going to hav e to b e looked at by the Pipeline Impact Committee because some aT the things in 638 ar e not quite right. Rep. Hackney: How would you define the term lI extraordinary", as used in 50S? Mr. Waring: That terminology used in an attempt to isolate the Impact quotient form the norma l growth rate. Rep. Hackney: Did the Dept. apply it to the different communi - ties throughout the state and base its f i gur es on that? Mr. Waring: The 4% ' was picked as a uniform, standard repres - entative of the growth experienced by the communities as a whole. I t is below some, but it relates to trends that have been occuring in the state over the past few years. Mr. Berry: There is a flaw in HE 505 somewhere 0 What do the f t gures given the Committee by Comma Mallott ye s,te r day really mean? What bearing do they have on 505? If there is a 500% increase in state shared revenue from '69 to '70, what does that mean since there was no shared revenue pri or to '70? I have to go along with the municipalities I represent in their assessment of HE 505. Mr. Waring: Shared revenue is usually not included in these figure~.3 . Mr. Berry : Do t hey include education? And what does the in- crease in federal and state aid mave to do with the ability of the mun i cipality to handle the Impact? Rep. Gardiner: What percentage of revenue comes from increased ----------------------- Page 80----------------------- 2 Feb. 19 assessed value of new property? Mr. Waring: Don't have figures. You could probably find out for places like Fairbanks and Anchorage where they have a buil- ding permit system, but in those that don't, it would be dif- ficult to check that kind of a figure. Gardiner: We ,it's difficult for some figures to be meaning- ful if you cantt really tell what's ed by what. Mr. Berry: Then. too, some property may never have been as- sessed, if it was outside the city or borough or the assessors haven't gotten around to it. Rep. Gardiner: What's happening to the tax payer? Anchorage claims to have had Impact for the last three years. If this is true, how has this affected the taxpayer? Higher taxes or in- creased assessment, property taxes up or mill rate down--what does it mean? Rep. Hackney: Do we have all the facts? Did you receive an Impact statement form each of the comnlunities you list on the sheet? Mr. Waring: We received Impact statements for Anchorage, Fairbanks North star Borough, and the Greater Anchorage Borough, as well as Valdez. We used these cities f own population es- timates. Rep. Hackney: You used only these communities in your figures? Mr. Waring: In our judgement, they were the major areas to be impacted. Rep. Hackney: Other communities, such as Juneau, claimed they would have an Impact problem too. Did the Dept. make any ef- forts to substantiate the figures submitted by these cities? Mr. Waring: The population estimates were reasonable to the Dept. as submitted, but they were checked against Dept. census figures adn Federal revenue sharing figures. Rep. Hackney: The Dept. idn't feel funding for phone and pow- er companies was important enough to write into HB 505? Mr. W~ring: These are services provided by municipal enter- prises, but not by the municipalities per se. Rep. Hackney: Since the utility system is a creature of the mun- icipal government, it is hard to separate the two. Mr. Waring: Traditionally these utilities have been consider- ed separate businesses, sponsored by the municipalities, using public bonding given by the municipality. Some are even pro- fit making operations .. ----------------------- Page 81----------------------- 3 Feb. 19 Chairman Carrol: Water and sewer comes under a different set up.. They get 1 funding, right? Mr .. Waring: Yes, state and ral? Rep. itz: It seems to me that HE 638 is better equipped to meet the demand when a director can ladle out money as needed to the different communities. Chairman Carrol: I would like to hear more on this director- ship. Does the CRA ioner act as director or what? Mr .. Van Doren: What is the director and his staff exactly? According to the intent of 638, with a small staff and the expertise of the Legislative Finance Committee decides the differnet cases. Rep. Fritz: The quest is, which one is best for meeting an emergency? The quickest and most efficient way for city to come and ask for a certain amount, but still to have the pro- cess open to public scrutiny. If the Comm. of eRA is the best officer for this job, then go for 505, if a temporary committee is best, pick 638, but something. Mr. Berry: This is what the mthnicipal ies want. Chairman Carrol: Perhaps we can salvage the best from both bills. I will ask Sen. Rettig about 638. I want to find out more about the special director and his staff. Rep. Gardiner: : Dept sheet on 505--what amounts of general fund expenditures have been deducted 8S per the HB 505 formula for schools? Mr. Warring: Education and debt service expenditures have been taken out. These vary f~om budget to budget. Schools are han- dled separately in some places. Chairman Carrol: When is the Senate having their Impact hear- ings? Mr. Van Doren: The Senate will be meeting with administration representativles today at 1:30 and the Impact hearing wlll be tomorrow 1:30 and also on the 26th. Rep. Fritz: We ought to be treating this Impact like we treat- ed the Anchorage earthquake.. There should be small groups of peop who know where to go to get things done and how to go about it. We don~ have time to argue over small matters; we need to act. Chairman Carrol: Tomorrow the Committee will look at HE 445, dealing with platting powers of municipalities. No meetings Friday or Monday. In the meantime, I will see Sen. Rettig and find out about 638. ----------------------- Page 82----------------------- 4 Feb. 19 Rep. Hackney: We should get something out of Committee by a week form Thursday at the latest. Chairman Carrol adjourned the meeting at 9:30. ----------------------- Page 83----------------------- Minutes House Commuinty and Regional Affa Committee February 20, 1974 8:30 a.m. Present Excused Chairman Carrol Rep. Guy v. Chairman Hackney Rep. Fritz Rep. Laktonen Rep. tersen Rep. Gardiner Guests Don Berry-Alaska Municipal League James Wiedeman-Office of the Governor, Division of Planning and Research Lawrence Kimball-Dept. of Community and Regional Affairs, Div- ision of Research and Planning The Committee considered HE 445. Mr. Berry-AML requested Rep. Fischer to introduce the bill. It is an attempt by the Municipal League to guarantee recreational and open lands in any subdivision to be developed from now on. It provides that a certain proportion of land must be dedicated to open space in a development. Rep. Gardiner-Did any of the smaller communities feel that this type of legislation was going to pose problems for them? Mr. Berry-Not in the communities I talked with. Chairman Carrol-Will there be any problems with public parking because of this? Mr. Berry-There shouldn't be, because most builders are required to provide for public parking in their plans, if the area is to be used by the public. Rep. Gardiner-What is Sec. B, the exemption for industrial zoned land? Mr. Berry-There seems to be trouble in zoning an area of a com- munity strictly for industry, and this bill gives a plan for planning bith industrial and recreational areas. V. Chairman Hackney-How about the provision in Line 11? Mr. Berry-Why give the developer the right to pay money fee 1n- stead of dedicating open land? Mr. Wiedeman-Usually the payment of fees is for areas where a subdivision goes in adjacent to an existing park, in which case, the fees paid by the developer might be used to either help maintain the ex ting park or to purchase recreational land in another location. ----------------------- Page 84----------------------- 2, • 20 Rep. Gardiner-Would there be any problem with these s being used for anything other than their originally intended purpose? Chairman Carrol-Rep. Malone has provided us a copy of his reac- tion to this bill. The memo was read by the secretary to the Committee. It was addressed to Rep. Fritz, from Rep. Malone. Mr. Kimball-The Dept. of CRA in favor of the bill. Other states have passed the same type of legislation and its con- stit ionality has been upheld in these states, provided the standards set by the municipalities are reasonable. The idea of leaving the standards to the discretion of the local govern- ments is a good one, because it will allow the different Alas- kan communities to design around their own topographical prob- lems. v. Chairman Hackney-Do you see restrictions on developers mak- ing their own plans, and having these plans not be accepted by the local government? Mr. Kimball-Not really, because the developer would already have had to consult with the proper local authorities before going ahead anyway. v. Chairman Hackney-How many boroughs would have a parks and recreation plan at this time, to implement this legislation? Mr. Kimball-Probably Anchorage, maybe Fairbanks. The main ob- ject in all this is to simply locate the recreational areas near the residential sections. V. Chairman Hackney-Hawaii has this type of plan, including the idea of industrial parks. They also have a green strip pol- icy, in which there are certain areas in an industrial section where no buildings may be built. Mr. Kimball-Yes, Connecticut also has this policy. V. Chairman Hackney-Is this bill really necess~ry? Mr. Kimball-This type of planning ordinance usually requ s state legislation to be effective on a local level. V. Chairman Hackney-Is there any virtue in requiring the bor- oughs to have this type of comprhensive plan? Mr. Wiedeman-It gets very complicated at the local level. There almost has to be a pre-existing plan an area for this type of ordinance to be effective. The bill is enabl legis- lation. municipalit s have to do ce in things first: 1) There nas to some sort of parks plan to relate the new ordinance to. 2)There has to be a set of standards or conditions as to where ----------------------- Page 85----------------------- Page Feb. the ordinance shall apply. It would be unreasonalbe, in most cases, for the city to ask a developer who was subdividing only 20 lots to dedicate 5 to open space. But the passage of this type of legislation may get the different localit s to look at the idea of planning. Chairman Carrol-Do you think the bill needs more spec ic lang- uage concerning this point? Mr. Kimball-These standards are usually developed at the local level. v. Chairman Hackney-Is there no danger of municipalities using this bill as a rip-off on the subdividers? Mr. Kimball-Usually representatives of the developer work with the local governments in these cases, so there should be no problem.• V. Chairman Hackney-There needs to be something in the bill to specify that the fees acquired in lieu of open space property should be earmarked for the purpose of recreation. Mr. Berry-It all goes into a general fund from which the parks and recreation monies are drawn anyway, so what difference can it make? V. Chairman Hackney-There is the possibility of the. money going elsewhere. Mr. Berry-If it makes Rep.Hackney feel better, language can be inserted to specify that the funds must be ooed for this pur- pose only. Chairman Carrol-I disagree. When funds are earmarked, they are sometimes spent needlessly. The local governments need the lat- itude to decide what to do with the funds, to use them where they are needed .. Mr. Berry-So much is spent by the municipalities on parks and recreation in comparision to what might be received from any fees a developer might pay, that there really seems little point in specifying. V.. Chairman Hackney-If the city is going to pick someone's pocket for a specific purpose, let the money be earmarked for that specific purpose. Mr. Wiedeman-Seldom, in my experience, is the land commuted to a fee payment anyway .. Chairman Carrol-What would be an example of such a case? .. Wiedeman-The case I mentioned before, where an already exis- tin park makes more open land unnec • Surplus park prop- erty can be detrimental to a community, and payment of a fee can be substituted in this case. ----------------------- Page 86----------------------- Page 4, Feb. 20 Mr. Kimball-Or, in the case of a large development owned by sev- eral rs, the s may be taken to develop one larger area for recreati0n. Because of the lateness of the hour, Chairman Carrol adjourned the meeting at 9:30, to be continued tomorrow at 8:30 a.m. ----------------------- Page 87----------------------- Minutes House Community and Regional s Committee Febraary ,1974 8: 30 am Present Excused Chairman Carrol Rep .. Guy V.. Chairman Hackney Rep .. Fritz .. Gardiner Rep .. Petersen Guests Billy Berrier--City Attorney, Juneau City and Borough Don Berry--AML Dorie Clark--Parks and Recreation, GEater Anchorage Area Borough Rep. Helen Fischer- onsor of 445 Karen Hedley- of Wommen Voters, Anchorage Lawrence Kimball- t. CHA, Divsion of Research and Planning Gary Thurlow--Greater Anchorage Area Borough, City Attorney Continuing hearings on HE 445. Mrs. Hedley: The subdivider should be&r the burden of seeing that there is a minimum amount of open larJd in the dvelopment.. The in lieu fee should be up to the local government, as should be the required minimum amount of land to be dedicated.. The League of Women Voters is urging a speedy do pass recommendation. Rep .. Fritz: Have you had problems with the developers over this type of thing? Mrs. Hedlen: Not unless till requirements are too stringent .. Rep .. Fritz: There have been no compaints from anyone on your committee? Mrs .. Hedlen: There were some monor disput es. Rep .. Rckney: Did you have contact with estate people? Mrs. Hedlen: Most could see the advantage of the program. Chairman Carrol: What about the claim that the tenant pays for the park anyway in a bigger markup? Mrs .. RedIen: The price is passed on to the consumer, so he pays for the parks anyway, but I would rather do it .. Rep .. Gardiner A community as it grows will want parks, and they're more expensive later; it's just a question of when you pay, and how much .. ----------------------- Page 88----------------------- 2 • 21 Rep. Hackney: Where several small lopers own a general area, they would have to ide who gives up the park land. Mrs. Hedlen: Most of the land we are talking about is owned by two or three people, so that problem relly isn't what concerns us directly in Anchorage. Mrs. Clark: Each community in Alaska is unique and has its own needs and the formula in HB 445 is flexib and workab • There is a real estate representative on the Greater Anchorage Area Park Board and he favors this legislation. The opposition to this kind of thing is usually to the unknown. the developers dontt know what formula will be adoped at the local level. HE 445 will not provide all the par~land needed by the communties, but the land it does s aside wi be acquired at its least ex- pensive. We urge passage of this bill. Rep. Hackney What do you do for Anchorage, Mrs. Clark? Mrs. Clark: I am the manager of the Parks and Recreation Dept. Rep. Fritz: We only have one chance at parks. I urge passage. Rep. Hackney: Would you have any objection to requiring fees lieu of dedication to be especially earmarked for parks and recreation. Mrs. Clark: No, I would have assumed they would be used for this purpose anyway. Mr. Van Doren: How about the following amendment: The land, fees, or combination thereof shall be used only ofr the purpose of pro viding park, recreational, or open space facilit s to serve the subdivision. Rep .. Fischer--I was going to ask for this type of amendment. Rep .. Gard r--Is the phrase, lito serve the subdivision" too re strict ive? Mr .. Van Doren: rhaps the fees could be used for the upkeep of an adjacent area, so the subdivider can see a benefit to his area through the fees he has paid. Mr. Kimball: In California courts, it is felt that the subdivider should provide certain services in return for land pressures, but they are not held responsible for programs normally supported by the community. Mrs. Clark: Some subdivisions might have a park nearby in var- ious stages of development .. this case, couldn't the fee be used in a different area? Mro r: The se !! t:; subd ~LVl s ion fI t dOl,'.! ----------------------- Page 89----------------------- 3 unnecessar Mr. Thurlow: wouldn't c ~ a problem in Calif., but it here. Rep. Hackney: I just don't want the borough ripping off the dev- elopers. Rep. Gardiner: There have to be certain stipulations on the cal level. If the cit s were ripping off the subdivders, wou never hold up in court. Mr. Thurlow: I represented a deve er in Cal Their ordinance works well and protects the responsible developer. If there is no statute convering this, the parks situation, espec lly in Anch- orage,wll1 be irretrievable. Rep. Carrol: How do you see Fairbanks? Mr. Thurlow: Fairbanks needs small community parks. Rep. Carrol: This would seem to be atimely bill for Alaska. meeting was adjourned at 9:30 because of the eness of the hour. Further consideration to be held at the meeting Monday, Feb. ----------------------- Page 90----------------------- s House Community Regional Committee February ,1974 8:30 a.m. sent Excused Chairman Carrol Rep. Guy V. Chairman Hackney Rep. Fritz Guests Rep. Gardiner Rep .. Laktonen " J. Miller Rep. Peter sen Mr. Don Berry--AML Mr. Billy Berr -City Atty., Juneau The Committee continued to dcliberate on HB 445. Rep. J. Miller testified on the bill .. The bill was passed out of committee with a unanimous vote, amendment attached. There being no further business, the meeting was adjourned at 9:30 a .. m. ----------------------- Page 91----------------------- Minutes e COlMlunity and Regional Affairs Committee ry ,1974 8,30 a .. m.. sent Excus Chairman Carrol Rep .. Pe en V. Chairman Hackney Rep .. Guests Rep. Gardiner Rep .. Guy Mr. Don Berry-AML Rep Laktonen Mr .. Gary Thurlow-Greater Anchor- age Area Borough Attorney The meeting was called to discuss Impact legislation. Mr .. Van Doren gave a report on the Senate CRAC hearing on 638, held on Feb. 26 .. Senator Rettig explained the bill which has been drafted b~ the Pipeline Impact Committee. No one knows how much money will be needed to cope with the situation. HB 638 is asking for $25 million. The point is to move as quickly as possible to dist- ribute the funds. That's why the special agency is set up. Sen" Rettig feels that the other agencies will be too busy with own areas to administer the Impact funds .. HE 638 has no formula, as in HE 505. The decisions would be made on a case by case basis.. There needs to be an independent legislative review committee .. The Anchorage Borough has a CS which combines HE 638 and 505.. CS's have also been by Mr. Van Doren and the Dept .. of CRA. Comm .. Mallott's stand was that it would take too much time to create a whole new agency.. Also, the lack of a formula for ditril1uting funds gives the communities too wide a base, and they might get into trouble with the grants, if there is no limit. HE 505 was ended to last for one year only, so that the next legislature might be able to deal with a situation that would already be under way and could therefore make more definite laws .. The Anchorage formula gives a 2.. 9% growth rate, arrived at by using the population increase figures from the two U.. S .. cen- susts, in 1960 and 1970.. Gary Thurlow explained the Anchorage Borough CS: Our concern is that the $10 million appropriation in HB506 gets used. The whole thing should be distributed to all Alaskan communiites with a growth rate over 2.9%. There also needs to be a provision for discretionary spending of the extra $15 million that HB 638 would approprtate" Discussuion followed on the relative merits of the diffe CS's .. ----------------------- Page 92----------------------- 2 Feb. 27 A the proposed legislation was compared with the revenue shar- ing program. Mr. Van Doren was directed by Chairman Carrol to work something up from all these suggestions for the committee to decide by next Monday. Rep. Guy reported on his trip back to Kwethluk: The 10% Native Land Claims Act payments arrived while I was there. There much planning and activity going on. The whole village coming into contact with Western concepts and culture and it is changing things a great deal. There being no further business, Chairrnan Carrol adjourned the meeting at 9:35, no action having been taken on either of the bills. Tomorrow-HB692. ----------------------- Page 93----------------------- s House Community Regional Affairs Committee 28, 1974 sent sts A members Mr. Billy City A City and Borough of Juneau Rep Millie Banfield-Sponsor of House Bill 692 Comm. Bruce Campbell-Dept of High- ways Mr. Richard Shadduck-City and Bor- ough of Juneau Mr. Andy Boyd-City and Borough Juneau The Con~ittee discussed House Bill 692, anact to the state Highway Dept. to maintain roads during the r from state to city systems. was observed that this bill relates to Juneau almost ex- clusively right now, and to the Glacier Highway in particu lar .. Comme Campbell stated that the bill is totally redundant, and that it would not take care the problem What needed agreements between each city and the Dept of Highways on each road. The Juneau delegation argued for passage of the bill, using the condition of the Glacier Highway as an example. Comme Campbell denied that the Dept. had in any way sIcked off their maintenance of this highway. Rep. Hackney asked if there was currently an agreement between the City and Borough of Juneau and the Commissioner repl that one was currently ing worked out. Rep. Banfield urged the Committee to pass the bill out with a lido pass II recommendation. Comm. Campbell said that it wouldn't make any difference in the way things are now, so it didn't matter to himm one way or another Rep. Hackney moved passage of the bill and Rep. Gardiner sec- onded the motion. The bill carried with six ayes and one no recommendation. Con~ittee Substitute for House Bill 692 was voted out of Committee. (See attached amendment) Chairman Carrol adjourned the meeting at 9:10 a.m. ----------------------- Page 94----------------------- Minutes House Community and Regional Affairs Committee March 1, 1974 8:30 a.m. Present Excused Cre irman Carrol Rep. Guy V. Chairman Hackney Rep. Fritz Guests Rep. Gardiner Rep. Laktonen Mr. Don Berry-AML Rep. Petersen Repo Chuck Degnan Mr. Donny Olson The Committee discussed the two Impact bills, HE 505 and HE 638. Mr. Van Doren reported on the progress of the revision of the two bills. The Committee went through the two bills, discussing the problem points and suggesting revisions. Chairman Carrol directed Mr. Van Doren to have the revised bills drawn up as a Committee Substitute, and to draft a new bill covering the loan program to assist municipalities with education and capital expenditures. The meeting adtlourned at 9:55. Monday the Committee will take up HE 704 and discuss the drafts of the two Comrnittee Substitutes worked out today_ ----------------------- Page 95----------------------- 1 A s tee st .. S. Robert r e As essor, Dept. of eRA tee met to a sessment real p Will bi ace some funds s to ove ures .. about farmland? Mr. d We zon save e farmaland. s op , Mr .. Doz tpt he rove New ed mun s .. meet was journed 9· ----------------------- Page 96----------------------- te A members Carrol r C meet te , was , as 1 n 1 1. mate r Shou there be a s te b 1 s? 1: Let's eRA and in for a s ss meet was d 9: ----------------------- Page 97----------------------- 1 s tee Excus sts Mr. War to Committee d CLlSS 404. 1 b to ss a s ac lish .. Guy $10 per ita enough. irman Carrol: What wou be equate? rhaps there could be a provision the grant would decrease as the sea c increased" Mr. War Dept has cons red a plan h a f amount set .. .. Van We the average populat unincorporated and that amount. No action was n on the b 1. 404 w 1 be recons Committee tomorrow. Meeting adjourned at 9: ----------------------- Page 98----------------------- 1 A irs 1 z Hackney ersen sts Comm. lott t. The Cornmittee aga cons 404. t how Dept .. a com- p communit reason, such as ing Carrol: One question we asked we a meaningful amount money for less 100 population? What do you th ? Comm. Mallott: 404 does seem to respons needs o f these cornmun iee e needs to be an s of communit s to rece money as a re ional problems. D cussion followed, and several amendments were cons rede I t was finally decided allowi s unincorporated communit funas shou be in- se ed. Cha Carrol d .. Van Doren to have drawn up by LAA, with a 000 f e communit s meet was j 9 ----------------------- Page 99----------------------- te a c ""~u...,'-" .. ~ a ion b 1 was se f C out tee with four e1's ort .. meet ou1'ned at 9: ----------------------- Page 100----------------------- e n s e Excus z rs n sts no bus ss, the s 9 a"m. ----------------------- Page 101----------------------- a i e Pres Excus v. Rep. n sts • Guy n Committee up HB e s mun- s e cou No act on 705 since vilas es s a dup e, wou not act all .. There being no further business, ing jou 9:30. ----------------------- Page 102----------------------- s C tee Prese sts A ers Asse sor e d cuss Two Ace by tee. ee about what e and h C. Richard Wa A s c s so ame de ssed out Committee with two s majority ree ion. The Committee then to up br and cuss during which no action was journed. ----------------------- Page 103----------------------- A A ts A s ee st on t s on was flouridation can't be ace 1 d without and eve area A snrt No action was n on the 1, at 9:30, with r d tomorrow .. ----------------------- Page 104----------------------- A s Exc Cha v. sts onsor 523 onsor of 444 Committee w h in Revenue e p tion .. a 20% police p tion, since was most which the money was needed. wanted more 1 or if t s cover then t Revenue Shar percentage local budgets e would almost to be stated that either b I would requ an bill. No act was on e bill, ing the was cance ,and journed at 9: ----------------------- Page 105----------------------- Community and rlegional Affairs Committee Meeting March 25, 1974 All members present except Hep. Phillip Guy who was excused. Guests Dr. Max Brewer •• Commissioner of Enviormental Conservation Mr. John Scribner •. Enviormental Conservation Mr. Henry Pratt .• Hepresenting the Alaska Dental Assoc. Mr. Bill Barrier •.• Juneau Borough Attorney Rep. Genie Chance Sponsor of House Bill 81 Discussion, questions and answers regarding HB $1 began the meeting. • Brewer gave the views of his department and reported to the committee that in other state where mandatory fluKJriaation exists, there is a population threshold below which fluoridation is not required. Dr. Brewer also brought up the fact that in some cases, once the fluoridation ~s initiated there has been trouble with maintaining the system. Rep. Petersen asked if that was because of the difficultY20f maintain- ing the system or because there were not enough skilled people in the bush to do the work. Mr. Scribner answered that in some areas, there just wasn't enough interest in maintaining the system. Recommendations included a resolution requesting the Federal Government to install fluoridation equipment in all federally funded or run installations, that all SOS schools install fluoridation, and a change in the effective date of required fluoridation. Hep. Lacktonen moved and Rep. Fritz seconded that the re- quired date for fluoridation be changed from Jan. 1, 1976 to Jan.l., 1977. The motion pas,~ed without objection. Mr. Van Doren was asked to put together a Resolution to be sent to the appropriate agencies, and Cabinet Departments of the Federal Government regarding this matter. Rep. Gardiner asked how much it would cost a larger community to install and maintain fluoridation systems and whether it was more important to have a clorinated system or a fluorided system. Mr. Brewer ~d Mr. Fritz both stated that a chlorinated sys~em was more important if an area had neither one. The Committee planned to look into th . e SUbject further Wed. 1-27-'74 ----------------------- Page 106----------------------- ts A member d ell , I ' s bill .. e no r bus ss me wa a.m .. ----------------------- Page 107----------------------- e .. m.. Excu v,. sts e discu s t to Doz rovement fI i ? s, sewers, er, c .. r: to be fined these Ii" inue as you except rease asses s more se who have ir more than 10 s. r: Are ass s done annual r 1+8? Doz r: A four is revenue wo more bill more Doz r: to? Tife pose a ce ----------------------- Page 108----------------------- 2 b p w no r bus ss, me was :50 .. ----------------------- Page 109----------------------- A t maj rec omme , a no bus ss t me was j ----------------------- Page 110----------------------- Minutes House Community and Regioaal Affairs Committee April 1, 1974 8:30 a.m .. Present Allmembers except Rep. Petersen The Committee took up CSHB 637 and 638. Mr. Van Doren explained the CS. The main difference was that the money would be in the form of loans to the municipalities instead of gramts" Rep. Laktoneen moved that the bills be reported out with a do pass recommendation. The motion was carried and CSHB 637 and 638 were passed out of Committee. The meeting stood adjourned at 9 a.m. ----------------------- Page 111----------------------- A t c , c a Mr .. t s s c wouldn't pure e an Mr .. turn a e hour man ----------------------- Page 112----------------------- A ----------------------- Page 113----------------------- A C t A s took commun e p onnel 1 t f S pos r communities to under moved that Carrol request Bommerce to t , ion to rt the bill 804 scedu d tomorrow. eti 9:30 ----------------------- Page 114----------------------- fA r C t SO!! .. d t h s, t ss d t od be f nd carr t n to he t was a 9 0 .. ----------------------- Page 115----------------------- ----------------------- Page 116----------------------- MINUTES Local Government Committee January 11, 1973 1:00 P.M. Members present were Chairman Carrol, V. Chairman Hackney, Rep. Fritz, Rep. Gardiner, Rep. Guy, Rep. Laktonen, Rep. Petersen. Introduction of committee members and staff. Discussed time schedule for committee meetings. Decided time to be 8:30 A.M. Monday through Friday. Discussed HB 26 & HB 42. Meeting adjourned 1:20 P.M. ----------------------- Page 117----------------------- Minutes Local Government 2/5/73 All members were present. The committee discussed HJR 12 and the hearings held last Thursday and Friday on the annexation. The suggestion was brought up that perhaps a public hearing held in Anchorage on this annexation issue would get the opinion of the average citizen living in Anchorage. Meeting adjourned at 9:00 a.m. ----------------------- Page 118----------------------- Minutes Committee on Community & Regional Affairs March 1, 1973 8:30 a.m. Present Excuse d Guests Chairman Carrol Rep. Guy Mr. Tim Bradner V. Chairman Hackney Rep. Petersen Mr. Rosco Bell Rep. Fritz Mr. E. W. Borgen Rep. Gardiner Rep. Laktonen Rep. Laktonen was excused to attend a Legislative Council meeting and returned to the meeting about thirty minutes after it began. HB 122: At Speaker Fink's request, House Bill 122 will lie dormant until next session and to further research on the bill. Mr. Bradner and Mr. Bell commented on HB 122 and on the existing regional boroughs and their respective problems. People are looking toward the corporations as a quasi-government. The Federal Government was hoping to establish seeds for industry and jobs. The corporations are being pushed to produce, but there is no money yet, and they are trying to educate the people about the Land Claims Settlement Act. Rep. Fritz suggested that we look at the North Slope Borough as a pilot project rather than an all encompassing function. Observing the borough for a year or so will give a basis for determining how the borough might work under this system. Mr. Bradner said that you have to keep in mind that not every borough has or will have the tax base that the North Slope Borough has. This presents problems. Rep. Fritz asked Rep. Laktonen how the Kodiak Borough was working. Lak- tonen says that it is working out pretty well so far and he feels that the bill is pretty good and that the local people should govern them- selves. Laktonen mentioned that there is a property tax in his village imposed by the borough. Rep. Carrol asked if the pipeline should be taxed by the State, then redistribute throughout the State, especially in the poverty stricken areas would this be effective? Mr. Bradner said that HB 245 picks the pipeline especially for selective taxation. He feels that there should be a statewide property tax. Rep . Hackney asked about the immediate impact on the area? Mr. Bell said that revenue derived by the State during construction would be very high and perhaps some of the impact money should be considered. Mr. Bradner said that it will be some time before it is known what kind of industry will develope in the outlying regional corporations. Services provided by the Federal Government will probably be phased out in the ----------------------- Page 119----------------------- ----------------------- Page 120----------------------- Minutes January 22, 1974 8:30 a.m. Present Chairman Carrol V. Chairman Hackney Rep. Laktonen Rep. Fritz Rep. Gardine r Rep. Guy Rep. PeterE:en Boundar y Commis s ion Recomm end a t i on s No other action was taken except to decide to have the legislative affairs office draw up the ne ga tive resolution Cha irman Carrol thought the Commis s ion for Communit y an d Re gi.ona 1 Affairs ought to be con s ulted . 435 Shwarz Scholarship Th e que s tion was brought up as to why the Community and Regional Affair s Committee was referred this bill and Mr. Van Doren found that it was a second referral, the bill relating to courses in law enforcement offer red locally. No action taken. 437 This bill will be referred to Finance after this committee ; no action taken. 444 Also refferred to Finance after Community and Regional Affairs ; no discussion. 445 Discus s ion ensued as to what const i tutes f f open space 11 after Rep. Guy asked that question. No one knew for sure. No a,ction was taken. 446 Rep. Gardiner remarked that it seemed to him that Rep. Fisher wants the states to maintain its highways by city standards. V. Chairman Hackney '\.'Jondered how many miles of state highway would be veda No action taken. 434 Chairman Carrol stated that there is merit in the clause pertaining to disabled veterans, and wondered how many p~ople would be involved. Mr. Van Doren was directed to find out. It was noted that this bill was referred only to the Committee for Community and Regional Affairs. Discussion on this bill was scheduled by Chairman Carrol for Thursday, Jan. 24. Chairman Carrol announced hi s intention to contact Ms. Fisher re her bills to find out more about them. No meeting was scheduled for Wednesday, Jan. 23, and the meeting adjourned ----------------------- Page 121----------------------- M s House Community and Regional Affairs Committee Feb. 6, 1974, 8:30 a.m. All members were present. The committee d cussed the status of bills currently in committee. Chairman Carrol advised the other members that HE 59 would be withdrawn. Hearings on the impact legislation, HB 505 and 506, were scheduled for Feb. 13 and 14. ~ep. Gardiner brought up the problem of smaller communities on the Pipeline route, in that they do not have the where- withal to implement planning and zoning as do the larger cities. Dr. Fritz substantiated Rep. Gardin~r's statement. The smalll communities need assistance in knowing what to plan for and ask for, and the state should make this type of planning assistance available. Chairman Carrol announced the hearing on Senate Bill 219 at 1 p.m. this afternoon. The hearing on HR 63 sceduled for tomorrow, was discussed, and Mrs. Alta lling's letter was passed out to the mem- bers for their consideration. There being no further business, the meeting was adjourned at 9:30. ----------------------- Page 122----------------------- Minutes House Community and Regional Affa Committee March 1, 1974 8:30 a .. m.. esent Excused Cha irman Carrol Rep. Guy V.. Chairman Hackney Rep. Fritz Guests Rep. Gard Rep. Laktonen Mr .. Don rry-AML .. Petersen Repo Chuck Degnan Mr .. Donny Olson The Committee discussed the two Impact bills, 505 and 638 .. Mr. Van Doren reported on the progress of t revision two bi The Committee we through the discuss problem points and s st ed e, and neliv ss ist les vv The me at 9 ee will take up 704 cuss Committee Substitutes wo out today .. ----------------------- Page 123----------------------- 1 irs t Pre Al t e Mr. ma d nc was rm t t d s meet tood adjourned 9 a.m.