This bill mandates the sale of the Alaska Railroad and its associated assets by the governor, who must issue a request for proposals by June 15, 2026, and finalize an agreement with a buyer by February 15, 2027. The buyer must commit to operating the railroad for at least 50 years, accept existing contracts, and offer a purchase price exceeding either the fair market value or the state's total expenditures on the railroad. The sale agreement requires legislative approval, and if not disapproved during the regular session, it is automatically approved. Additionally, the Alaska Railroad Corporation is prohibited from entering contracts that could diminish the railroad's value, and the state retains an easement for transportation and communication purposes.

In conjunction with the sale, the buyer must enter into a resource development agreement within 180 days, outlining commitments to support the railroad's growth and infrastructure modernization. This agreement will include provisions for state funding allocation from the sale proceeds, collaboration with local stakeholders, regular reporting on progress, and a dispute resolution mechanism. The governor is also tasked with identifying and classifying all assets of the Alaska Railroad Corporation by August 1, 2026, and submitting this report to the Legislative Budget and Audit Committee. The bill takes effect immediately upon passage.

Statutes affected:
HB0120A, AM HB 120, introduced 02/26/2025: