30-LS1569\D
HOUSE BILL NO. 412
IN THE LEGISLATURE OF THE STATE OF ALASKA
THIRTIETH LEGISLATURE - SECOND SESSION
BY THE HOUSE TRANSPORTATION COMMITTEE
Introduced: 4/27/18
Referred: Transportation
A BILL
FOR AN ACT ENTITLED
1 "An Act relating to the Alaska marine highway system; establishing the Alaska Marine
2 Highway System Corporation; and providing for an effective date."
3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
4 * Section 1. AS 08.88.690 is amended to read:
5 Sec. 08.88.690. Exemptions. A real estate licensee is exempt from the
6 signature requirements of AS 08.88.600 - 08.88.695 when the licensee provides
7 specific assistance to
8 (1) a corporation that issues publicly traded securities;
9 (2) a business that has a net worth in the previous calendar year of
10 $2,000,000 or more, if the business requests the exemption from the licensee; or
11 (3) a governmental agency; in this paragraph, "governmental agency"
12 means a department, division, public agency, political subdivision, or other public
13 instrumentality of the state or federal government, including the University of Alaska,
14 the Alaska Railroad Corporation, the Alaska Housing Finance Corporation, the Alaska
HB0412a -1- HB 412
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 Industrial Development and Export Authority, the Alaska Marine Highway System
2 Corporation, and other public corporations.
3 * Sec. 2. AS 18.56.600 is amended to read:
4 Sec. 18.56.600. Definitions. In AS 18.56.400 - 18.56.600,
5 (1) "housing" means owner-occupied, single-family housing and
6 owner-occupied duplexes in which not more than 25 percent of the gross floor area is
7 or will be devoted to commercial use;
8 (2) "small community" means a community with a population of 6,500
9 or less that is not connected by road or rail to Anchorage or Fairbanks, or with a
10 population of 1,600 or less that is connected by road or rail to Anchorage or
11 Fairbanks; in this paragraph,
12 (A) "Alaska marine highway system" has the meaning
13 given in AS 42.50.990;
14 (B) "connected by road" does not include a connection by the
15 Alaska marine highway system.
16 * Sec. 3. AS 19.10.399(7) is amended to read:
17 (7) "highway" means the entire width between the boundary lines of
18 every way that is publicly maintained when a part of it is open to the public for
19 purposes of vehicular travel, including [BUT NOT LIMITED TO] every street and the
20 Alaska [STATE] marine highway system as defined in AS 42.50.990, but not
21 vehicular ways or areas;
22 * Sec. 4. AS 19.65.011 is amended to read:
23 Sec. 19.65.011. Comprehensive long-range plan. The corporation
24 [DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES, IN
25 CONSULTATION WITH THE ALASKA MARINE TRANSPORTATION
26 ADVISORY BOARD,] shall prepare a comprehensive long-range plan for the
27 development and improvement of the Alaska marine highway system and shall [, IN
28 CONSULTATION WITH THE ALASKA MARINE TRANSPORTATION
29 ADVISORY BOARD,] revise and update the plan at least every five years. The
30 corporation [DEPARTMENT] shall submit the comprehensive long-range plan and
31 revisions and updates of the plan to the legislature.
HB 412 -2- HB0412a
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 * Sec. 5. AS 19.65.020(a) is amended to read:
2 (a) A vessel or facility of the Alaska marine highway system constructed or
3 acquired by the Department of Transportation and Public Facilities under this chapter
4 or by the corporation may be given a name only by law.
5 * Sec. 6. AS 19.65.030(a) is amended to read:
6 (a) The corporation [DEPARTMENT] shall construct, purchase, or lease
7 ferry terminal facilities at locations it selects for the loading and unloading of
8 passengers, and vehicles under their own power, on and off ferries. The corporation
9 [DEPARTMENT] shall repair and maintain these facilities. [CONSTRUCTION AND
10 PURCHASING UNDER THIS SUBSECTION ARE GOVERNED BY AS 36.30
11 (STATE PROCUREMENT CODE).]
12 * Sec. 7. AS 19.65.030(b) is amended to read:
13 (b) The corporation [DEPARTMENT] may connect ferry terminal facilities
14 with local highway systems.
15 * Sec. 8. AS 19.65.030(c) is amended to read:
16 (c) The corporation [DEPARTMENT] may adopt regulations under
17 AS 42.50 governing the use of ferry terminal facilities by the public that it considers
18 necessary and proper in the public interest. The corporation [DEPARTMENT] may
19 charge a fee for the use of ferry terminal facilities, whether the use is under a permit or
20 otherwise, and whether it is by one or more individuals.
21 * Sec. 9. AS 19.65.030(d) is amended to read:
22 (d) A person may construct a ferry terminal facility upon obtaining the
23 approval of the corporation [DEPARTMENT] as to its location. A ferry terminal
24 facility constructed by a person other than the corporation [DEPARTMENT] is
25 subject to reasonable regulations governing its use that the corporation
26 [DEPARTMENT] considers necessary and proper in the public interest.
27 * Sec. 10. AS 19.65.030(e) is amended to read:
28 (e) A ferry terminal facility may not be constructed without the approval of
29 the corporation [DEPARTMENT].
30 * Sec. 11. AS 19.65.035 is amended to read:
31 Sec. 19.65.035. Transportation of members of the Alaska organized
HB0412a -3- HB 412
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 militia. To the extent that space is available, the corporation [COMMISSIONER OF
2 TRANSPORTATION AND PUBLIC FACILITIES] shall provide free transportation
3 on vessels of the Alaska marine highway system for a member of the Alaska National
4 Guard, the Alaska Naval Militia, or the Alaska State Defense Force who is en route to
5 or from drill, training, or other official militia activities.
6 * Sec. 12. AS 19.65 is amended by adding a new section to Article 2 to read:
7 Sec. 19.65.040. Definition. In AS 19.65.011 - 19.65.035, "corporation" means
8 the Alaska Marine Highway System Corporation established by AS 42.50.010.
9 * Sec. 13. AS 19.65.070 is amended to read:
10 Sec. 19.65.070. Revenue and debt service accounting. (a) The corporation
11 [ALASKA MARINE HIGHWAY SYSTEM] shall account for and remit to the
12 Department of Revenue in accordance with AS 37.10.050 all gross revenue generated
13 from the operation of the Alaska marine highway system during each annual operating
14 cycle. The money shall then be deposited in the Alaska marine highway system fund.
15 (b) The corporation [ALASKA MARINE HIGHWAY SYSTEM] shall
16 prepare a written report, not [NO] later than the 10th day of each regular legislative
17 session, regarding the previous annual operating cycle and notify the legislature that
18 the report is available. The report must identify
19 (1) gross revenue generated during the previous annual operating
20 cycle;
21 (2) gross revenue generated during the current annual operating cycle
22 and an estimate of gross revenue for the remainder of the current annual operating
23 cycle;
24 (3) projections of the gross revenue to be generated during the next
25 annual operating cycle; [AND]
26 (4) the difference between previous gross revenue estimates prepared
27 under this section and the revenue [REVENUES] actually generated; and
28 (5) the amount of money that is required to cover the repayment of
29 interest and principal for the debts of the corporation during the current fiscal
30 year and the next fiscal year.
31 (c) The Department of Revenue shall prepare a written report, not [NO] later
HB 412 -4- HB0412a
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 than the 10th legislative day of each regular legislative session, regarding the earnings
2 on gross revenue of the Alaska marine highway system that was deposited into the
3 Alaska marine highway system fund during the prior fiscal year, [AND] projected
4 earnings on gross revenue of the Alaska marine highway system that is projected to be
5 deposited into the Alaska marine highway system fund for the current fiscal year and
6 the next fiscal year, and the amount of cash that is required to cover the
7 repayment of interest and principal for the debts of the corporation during the
8 current fiscal year and the next fiscal year. The Department of Revenue shall notify
9 the legislature that the report is available.
10 * Sec. 14. AS 19.65.080(b) is amended to read:
11 (b) The corporation [DEPARTMENT OF TRANSPORTATION AND
12 PUBLIC FACILITIES] may request the legislature to appropriate money from the
13 Alaska marine highway system fund to the Alaska marine highway system for capital
14 improvements, if
15 (1) the appropriation under (a) of this section has been made;
16 (2) the amount in the fund, without regard to the appropriation under
17 (a) of this section, exceeds the total of gross revenue deposited in the fund and the
18 general fund appropriations under AS 19.65.060(a)(2) by 10 percent; and
19 (3) the amount requested for appropriation under this subsection does
20 not exceed 50 percent of the balance remaining after the appropriation for annual
21 management and operations is made under (a) of this section.
22 * Sec. 15. AS 19.65.100 is amended by adding new paragraphs to read:
23 (3) "Alaska marine highway system" has the meaning given in
24 AS 42.50.990;
25 (4) "corporation" means the Alaska Marine Highway System
26 Corporation established by AS 42.50.010.
27 * Sec. 16. AS 23.05.360(f) is amended to read:
28 (f) For purposes of holding hearings, the members of the board sit in panels of
29 three members. The chair designates the panel that will consider a matter. Each panel
30 must include a representative of management, a representative of labor, and a
31 representative from the general public. A member of one panel may serve on the other
HB0412a -5- HB 412
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 panel when the chair considers it necessary for the prompt administration of
2 AS 23.40.070 - 23.40.260 (Public Employment Relations Act), [OR] AS 42.40
3 (Alaska Railroad Corporation Act), or AS 42.50 (Alaska Marine Highway System
4 Corporation Act).
5 * Sec. 17. AS 23.05.370(a) is amended to read:
6 (a) The agency shall
7 (1) establish its own rules of procedure;
8 (2) exercise general supervision and direct the activities of staff
9 assigned to it by the department;
10 (3) prepare and submit to the governor an annual report on labor
11 relations problems it has encountered during the previous year, including
12 recommendations for legislative action; the agency shall notify the legislature that the
13 report is available;
14 (4) serve as the labor relations agency under AS 23.40.070 - 23.40.260
15 (Public Employment Relations Act) and carry out the functions specified in that Act;
16 and
17 (5) serve as the railroad labor relations agency for the Alaska Railroad
18 under AS 42.40 (Alaska Railroad Corporation Act), and as the labor relations
19 agency for the Alaska marine highway system under AS 42.50 (Alaska Marine
20 Highway System Corporation Act), and carry out the functions specified in each
21 [THAT] Act.
22 * Sec. 18. AS 23.40.030 is amended to read:
23 Sec. 23.40.030. Definition of labor organization. For the purpose of
24 AS 23.40.020 - 23.40.040, "labor organization" includes an organization constituted
25 wholly or partly to bargain collectively or deal with employers, including the state,
26 [AND] its political subdivisions, and the Alaska Marine Highway System
27 Corporation, concerning grievances, terms, or conditions of employment or other
28 mutual aid or protection in connection with employees.
29 * Sec. 19. AS 23.40.040 is amended to read:
30 Sec. 23.40.040. Collective bargaining agreement. The corporation
31 [COMMISSIONER OF TRANSPORTATION AND PUBLIC FACILITIES] or an
HB 412 -6- HB0412a
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 authorized representative, in accordance with AS 23.40.020 and 23.40.030
2 [AS 23.40.020 - 23.40.030], may negotiate and enter into collective bargaining
3 agreements under AS 42.50 concerning wages, hours, working conditions, and other
4 employment benefits with the employees of the corporation [DIVISION OF
5 MARINE TRANSPORTATION] engaged in operating the Alaska marine highway
6 [STATE FERRY] system as masters or members of the crews of vessels, or with
7 other employees of the corporation, or their bargaining agent. [A COLLECTIVE
8 BARGAINING AGREEMENT IS NOT FINAL WITHOUT THE CONCURRENCE
9 OF THE COMMISSIONER OF TRANSPORTATION AND PUBLIC FACILITIES.]
10 The corporation [COMMISSIONER OF TRANSPORTATION AND PUBLIC
11 FACILITIES] may make provision in the collective bargaining agreement for the
12 settlement of labor disputes by arbitration. In this section,
13 (1) "Alaska marine highway system" has the meaning given in
14 AS 42.50.990;
15 (2) "corporation" means the Alaska Marine Highway System
16 Corporation established by AS 42.50.010.
17 * Sec. 20. AS 23.40.250(7) is amended to read:
18 (7) "public employer" means the state or a political subdivision of the
19 state, including, without limitation, a municipality, district, school district, regional
20 educational attendance area, board of regents, public and quasi-public corporation, the
21 Alaska Marine Highway System Corporation, housing authority, or other authority
22 established by law, and a person designated by the public employer to act in its
23 interest in dealing with public employees;
24 * Sec. 21. AS 28.90.990(a)(14) is amended to read:
25 (14) "highway" means the entire width between the boundary lines of
26 every way that is publicly maintained when a part of it is open to the public for
27 purposes of vehicular travel, including [BUT NOT LIMITED TO] every street and the
28 Alaska [STATE] marine highway system but not vehicular ways or areas; in this
29 paragraph, "Alaska marine highway system" has the meaning given in
30 AS 42.50.990;
31 * Sec. 22. AS 29.35.722 is amended to read:
HB0412a -7- HB 412
New Text Underlined [DELETED TEXT BRACKETED]
 30-LS1569\D
1 Sec. 29.35.722. Ownership or operation of certain state facilities
2 prohibited. The state may not, without the approval of the legislature,
3 (1) convey or transfer the [ALASKA MARINE HIGHWAY
4 SYSTEM, THE] Anchorage or Fairbanks international airports, or any other state
5 asset, except undeveloped state land as