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Legislature now in 24-hour rule mode

After the House vote on the Senate budget today, and when the Senate appoints its members to the conference committee on Monday, the “24-hour rule” will be in effect.

Hearings on remaining bills relating to crime, the Permanent Fund dividend, and constitutional amendments, can be scheduled with just 24 hours notice, as the House and Senate rush to complete their business.

While this makes if harder to follow the legislative process, you can always track your legislation of interest by using the Bill Tracking Management Facility and set notifications that can be sent to your email when bills are moving.

The House floor session will gavel in at 11 am Monday and the Senate will gavel in at 2 pm. The budget conference committee is expected to begin its negotiations on Tuesday.

Locomotive 557 will ride again

By ART CHANCE
SENIOR CONTRIBUTOR

One of my very earliest memories is sitting on my grandfather’s shoulders watching the departure of a Wadley Southern steam locomotive and train from Swainsboro to Wadley, Georgia in 1953 or ’54.

I was only four or five and it was probably the most impressive thing I’d ever seen.

The Wadley Southern was about a 20-mile rail link between Swainsboro and Wadley, which was on the mainline of the Central of Georgia Railroad; it was the link to the world if you lived in rural Southeast Georgia.

The Wadley Southern hauled some general freight, especially fertilizer, cement, livestock, and other bulk commodities from the mainline to the industries and businesses on its route, and it hauled bulk timber, pulp wood and some finished lumber back to the mainline along with a few passengers to catch the Central’s “Nancy Hanks” passenger train to Savannah, Atlanta, and the world.

And, yes, it was the South in the 1950s, and the passenger car on the Wadley Southern was what is known as a Jim Crow car, a combination coach and baggage car that had a front and rear passenger compartment separated by a baggage, and sometimes mail, compartment. The whites had one passenger compartment and the blacks had the other.

Leaving out uniquely Southern things like Jim Crow cars, most shortline railroads ran pretty much like the Wadley Southern in the days of small towns and steam locomotives.

In the days of steam, the Alaska Railroad hauled general freight to individual customers all along its route. I don’t know when the last time that siding that goes to Alaska Mill and Feed was used, but it was the typical operation of a local train; bringing a load of feed or fertilizer to some “feed and seed” store in a small town.

During World War II, the Alaska Railroad became a military railroad in all but name. Military railroads had standard design locomotives for use all over the world; track widths varied, bridge loads varied, tunnel clearances varied, fuel availability varied, but the U.S/ came up with standardized locomotives that could be easily adapted to local conditions.

The most common locomotive was the S-160, a “Consolidation” or “2-8-0” locomotive. The 2-8-0 wheel arrangement for steam freight locomotives was perhaps the most common freight locomotive in the U.S. and gave good power as well as the ability to handle tight curves and poor trackage.

The U.S. sent thousands of them around the world and 12 of them to Alaska. The Alaska Railroad’s S-160s were the mainstay of railroad’s power through the war and thereafter until the diesel revolution began in the late 1940s.   The diesel locomotive had been supplanting the steam locomotive even before Word War II, but the production capability was in place to produce and maintain steam locomotives, so the US railway system remained almost entirely steam powered through the war.

With the end of the war and the end of government control, the railroads abandoned their by now largely worn out steam locomotives as quickly as they could.

Even after it dieselized in the early 1950s, the Alaska Railroad kept a few steam locomotives on its roster because of annual flooding between Nenana and Fairbanks. The electric traction motors of diesel-electric locomotives didn’t handle submersion in water very well, so the steam locomotives were kept around to get through the spring floods. By the early 1960s, the steam locomotives were no longer thought necessary and the railroad disposed of them.

The last was Locomotive 557, which was sold to a collector and museum operator in Washington. While 557 was not kept in operable condition, she was well cared-for and remained in good condition.  A few years ago, a group of Alaskans had the opportunity to bring her home.

With the help of the Alaska Railroad and many generous benefactors, the 557 is installed in an “engine house” in Wasilla and is being restored for operation.  Almost all work other than certain professional consultation is being done by volunteer labor.   Everything on her is being paid for by private or foundation/philanthropic donations — she’s no welfare queen.

The U.S. bought her from the American Locomotive Works in 1943 for $50,000. When she moves under her own power again, some millions will have been invested, even if all the labor is volunteer. I bought the “number 3 flue” in her firebox.

Those of us who don’t change our spark plugs, oil, or tires anymore don’t really have any comprehension of what it takes to work on machines like the 557.  The tools to work on them don’t exist anymore, so you have to salvage and repair them or make them from scratch.

Fortunately, there are still some guys around who know how to use a metal lathe and can machine a tapered bolt that can stand 800 foot pounds of torque. For reference, if you’ve ever changed a tire, tightening the lug nuts is about 80-100 foot pounds. The guys restoring the 557 had to make the sockets to attach to the wrench to tighten those bolts.

Everything has to be made using skills that hardly exist in America today and are mostly possessed by guys, yes, guys, who have gray hair and sometimes curmudgeonly attitudes towards people who don’t understand their work and their world.

In a couple of years the last steam locomotive of the Alaska Railroad will be the first to operate again. I can’t wait to ride behind her to Seward; we don’t have the amazing wooden climb anymore but even the switchbacks are pretty impressive.

The modern Alaska Railroad diesels have 5,000 horsepower, and Locomotive 557 has maybe 1,500, but she can lug a decent sized passenger train over that hill even if she has to do it one cylinder stroke at a time.

That is the drama of steam locomotives. Those of us of a certain age remember the “little engine that could,” and “I think I can, I think I can;” those are the rhythms of the cylinders of a steam locomotive; one cylinder stroke at the time as it forces itself up the grade.

Art Chance is a retired Director of Labor Relations for the State of Alaska, formerly of Juneau and now living in Anchorage. He is the author of the book, “Red on Blue, Establishing a Republican Governance,” available at Amazon.

LeDoux, original Muskox Coalition member, dissents with Democrat majority

SYMBOLIC VOTE OVER PERMANENT FUND DIVIDEND AMOUNT CAUSES RIFT

In a move that surprised some and delighted others, Rep. Gabrielle LeDoux, a nominal Republican from Muldoon, today broke away from the House Democrat-led Majority, and voted in favor of the Senate’s version of the operating budget.

That was tantamount to voting against the House Majority’s budget that she had voted for days earlier.

“I do not do this lightly because the bipartisan caucus is a binding caucus, demanding we all vote on budget votes. So I know that there are going to be consequences for this vote. But I am willing to live with this decision, Mr. Speaker,” LeDoux said, addressing the chair during what is normally a procedural vote.

She worried aloud about the Senate budget, even as she said she would vote in favor of it, because it cuts the ferry system too much and transfers too much money from the Earnings Reserve Account of the Permanent Fund into the corpus of the fund, “leaving us with no leeway in a market downturn.”

But she said the sticking point for her was that the fully funded Permanent Fund dividend is important to her East Anchorage constituents. And she felt that since the House budget does not contain any money at all for the Permanent Fund dividend, this was her only possible chance to vote affirmatively for the full dividend.

Whatever comes back from the conference committee will likely have a much smaller dividend than the $3,000 that the Senate has set in its budget (as the House has not provided any funds for Permanent Fund dividend yet.)

“Where our (House) budget has no PFD, and the thought was to discuss and debate the PFD in a separate bill. But I don’t see this happening right now,” she said, her voice quavering.

“It makes me sad I will be leaving this caucus where I have many friends. I feel those who vote against concurrence feel they are doing the right thing. I am doing the right thing voting in the way my constituents would want me to vote,” she said.

She then reminded the body of how the original group of “Muskox Caucus” rebellion against the Republican Majority in 2015 got started, by reading them a letter that four of them in the Chamber had penned to Speaker Mike Chenault in 2015. In that letter, signed by Ledoux, and Reps. Louise Stutes, Bryce Edgmon, and Neal Foster, the four said that any major changes to the way the Permanent Fund dividend was handled should go to a vote of the people.

Muskox-Coalition-letter-May-20-2015-Page 1

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The other two who signed the letter, Reps. Jim Colver and Paul Seaton, have since been removed by their constituents, who considered them not reliable Republicans.

LeDoux was the only member of the House to end up voting in favor of the Senate budget today. Several rose to speak against the Senate budget for reasons ranging from “It’s unfunded” to “it cuts too much.”

Rep. Louise Stutes stood a few minutes later to curtly address the matter of the letter she had signed, which had been read aloud by LeDoux.

Stutes said, “That was then and this is now. I did sign that letter.” She went on to say that services were needed across the state and that the Legislature’s “Percent of Market Value” approach to the Permanent Fund dividend was satisfactory in addressing a reduced dividend amount.

LeDoux’s vote was largely symbolic, since she had, in fact, voted in favor of the House budget last week and since the House and Senate budgets were clearly going to the conference committee, where they will be negotiated line by line.

And after all, the House Majority still has 24 members in it, a safe majority. But her move is a blow to the leadership of Rep. Bryce Edgmon, who looked shaken during the rest of the floor proceedings.

If the Republican Minority allows LeDoux to rejoin them, they’ll have 16 members — possibly enough to help Gov. Michael Dunleavy preserve vetoes he might make to the final budget.

It takes a total of members of the House and Senate to override a governor’s veto.

LeDoux’s move gives the minority a slight emotional advantage going into next year and may persuade members like Rep. Bart LeBon and Steve Thompson to rejoin the Republicans.

As for Dunleavy, he can veto spending in the budget sent to him by the House and Senate, but if he’s sent a budget with a smaller Permanent Fund dividend than has been established by Alaska Statute, he will not be able to add money back to that dividend.

Breaking: U.S. Army Corps extends comment period for Pebble

BIG WIN FOR ENVIRONMENTAL NGO INDUSTRY

The U.S. Army Corps of Engineers – Alaska District has bowed to pressure from Alaska’s senior Sen. Lisa Murkowski and environmental nonprofit groups and extended the public comment period an additional 30-days for the Pebble Limited Partnership draft environmental impact statement.

The corps had set the environmental impact statement period to end in May because in June, everyone in Alaska goes fishing. The extension will allow the environmental industry to continue their “click here” fund-raising through June.

The extension is all about putting the project final decision into the next presidential administration, making it purely about presidential election politics.

The deadline for submitting comments about the draft EIS is now June 29. The Corps will consider all comments received by that date before finalizing the document and making a permit decision in 2020. The extension brings the length of the public comment period to 120-days, shorter than what environmental groups wanted.

The Corps released the draft environmental impact statement on Feb. 20 with the formal public comment period beginning March 1.

The Corps conducted nine public hearings in Alaska to take comment on the permit application and draft EIS. Meetings were held in Anchorage, Dillingham, Homer, Igiugig, Kokhanok, Naknek, New Halen, New Stuyahok, and Nondalton.

To date, about 8,400 public comments have been uploaded to the EIS website.

Comments can be electronically submitted on the public website: https://www.pebbleprojecteis.com; or written comments mailed to:

U.S. Army Corps of Engineers, Alaska District
ATTN: DA Permit Application 2017-271, Pebble Limited Partnership
645 G Street Suite 100-921
Anchorage, Alaska 99501

All comments become part of the public record. For more information, visit https://www.pebbleprojecteis.com.

Marquardt out as ferry system executive director

Shirley Marquardt, appointed by Gov. Bill Walker as executive director of the Alaska Marine Highway System, has been sent home. Tuesday was her last day.

Marquardt was the director of Boards and Commissions for Walker when he moved her into the Department of Transportation to oversee the ferry system. The Walker Administration relocated her to Ketchikan in August in what some saw as an election year move to bolster Walker’s reelection odds in southern Southeast Alaska.

Although the position, which had been created for her, has been discontinued, John Falvey remains as the division director for Marine Highways.

Gov. Michael Dunleavy is going a different direction with ferries than past administrations. Due to severe revenue shortfalls, his plan to balance the state budget strips much of the funding for the system, which is heavily subsidized and poorly utilized. Dunleavy’s Administration would prefer to see the private sector pick up some of the current routes.

Dunleavy’s budget proposes a $95.6 million cut to the ferry system, which represents a 69 percent reduction and will result in the sale of a couple of the more costly vessels. The governor’s proposed funding for ferries is $42.4 million.

The Senate budget cuts ferry funding by $43.6 million, but the House only was able to find $10.9 million in cuts. Those two budgets will be reconciled into a final legislative budget in the next several days during conference committee, and then will be transmitted to the governor for his likely vetoes.

Made-in-Alaska ferry has open house in Auke Bay

In celebration of the Alaska Marine Highway’s first Alaska Class ferry revenue voyage, the ferry system will hold an open house in Juneau on the new Alaska Class Ferry, the M/V Tazlina.

The event is planned for the Auke Bay Ferry Terminal on Sunday, May 5, from 3-5 pm. The vessel will be open to the public and will remain docked.

The Tazlina is named after the Tazlina Glacier located 43 miles north of Valdez. It was designed by Elliott Bay Design Group of Seattle, and constructed at Vigor Shipyard in Ketchikan. The Tazlina is the first Alaska Marine Highway ferry built in Alaska, along with its sister ship the M/V Hubbard.

Christened in Ketchikan on Aug. 11, it’s scheduled to begin service May 7, operating as a day boat in Lynn Canal between the communities of Juneau, Haines, and Skagway.

The Tazlina is 280 feet long, seats up to 300 passengers, and carries 53 standard vehicles. Amenities include observation lounges with comfortable chairs, a covered heated solarium, a cafeteria-style restaurant, a children’s play area, and a quiet room.

MRAK Almanac: Great Alaska Aviation Gathering

May 3, 1917:  Gov. John F. A. Strong approved a bill creating the Alaska Agricultural College and School of Mines, now the University of Alaska. With a federal land grant, the school got funding from the Alaska Territorial Legislature in 1922, when the first building was completed. By the first commencement in 1923, there was a single graduate.

May 4, 1911:  Cordovans shoveled Canadian coal from the wharf into the bay to protest the federal government’s decision to withdraw coal, oil, and timber land in Alaska from private ownership. It became known as the Cordova Coal Party.

May 6, 1984: Gov. Bill Egan died of lung cancer. It’s the 35th anniversary of the passing of the first governor of the state of Alaska.

 * * * *

May 3: Alaska Aviators Forum – featured speaker Steve McCaughey, executive director of the national Seaplane Pilots Association, talking about the Western Governors Association efforts to limit floatplane access to waterways around the U.S. on the basis of invasive species transfer. Aviator Hotel Anchorage, 7 pm.

May 3: GOP Luncheon at Denny’s in Fairbanks with speaker Mike Welch, Mayor of North Pole.

May 3: EagleExit meeting in Eagle River / Chugiak, as people organize to detach from the municipality of Anchorage and create a new municipality / borough. Eagle River Lions Club, 7 pm. Take the survey: https://www.surveymonkey.com/r/CDWYKT3

May 4-5: The Great Alaska Aviation Gathering at the FedEx Hangar, (South Terminal). Draco will be in attendance. Check it out:

May 4-5: Arctic Comic Con convention at the Dena’ina Center in Anchorage.

May 4: Alaska State Judo Championship, Wells Fargo Sports Complex, 2801 Spirit Drive, Anchorage, starting at 9 am.

May 4: Alaska Aviation Museum, BBQ and open air party, 4721 Aircraft Drive after the Aviation Gathering, $10, 5-8 pm.
Anchorage,

May 5, 7, and 10: Chill! It’s a Drill! Merrill Field plans an aircraft emergency exercise involving the fire and police departments. You may hear sirens, see emergency lights, or hear a message that an aircraft emergency has been issued. Approximately 10:30 am.

May 10: Fairbanks Chamber of Commerce Military Appreciation Banquet. Black tie for a good cause. 6 pm. Details

Check previous editions of the MRAK Almanac for other events in May that may not be shown here.

Tower of power: Juneau ponders new city hall

Juneau’s city government has grown, and it needs more space. The City and Borough of Juneau proposes to spend $27 million to build a new city hall, a crown of a building resting atop an existing downtown parking garage across from the Merchants Wharf.

City Manager Rorie Watt has been advocating for the new edifice, saying that city government has long since outgrown its current location a block away. The city spends $750,000 a year leasing space in adjacent buildings, and Watt says it’s time to consolidate and ultimately save the city money.

It’s an opportunity for Juneau to rethink its downtown municipal government footprint. While most city halls tend to be in the heart of their downtowns, few places are as congested as downtown Juneau, where the mountains and the sea leave little room for city expansion.

And while government is expanding, Juneau is not growing in population. In 2003, the McDowell Group estimated that by 2018, the population of the capital would be about 34,500 residents. Instead, the 2018 population for Juneau was 32,113, according to U.S. Census estimates. In fact, population has been shrinking for the past two years in this community, where government employment is about 41 percent of the total job market.

The capital city’s budget has continued to grow. For fiscal year 2020, it’s $356 million, a 1.8 percent increase in one year but more than double what it was in 1999, in constant dollars. The city also carries $88 million in general obligation bond debt.

But to the heart of the question: Is downtown Juneau the right place for City Hall?

For those on Chicken Ridge or Starr Hill, yes, but for most of the people in Juneau, buying a pool pass or going to the harbor department isn’t a task that needs to be accomplished downtown, where parking is difficult and where dodging inebriates is an acquired skill. Most of the business that people have with their local governments deal with permits and fees — and using one’s time efficiently is a strong consideration.

NorthWind Architects has scoped out the feasibility of building the two-story government office on top of the parking garage the city built in 2009. City Manager Watt laid out the plan before the Juneau Assembly earlier this week.

But it’s the voters who will ultimately decide if taxpayers should spend the estimated $27 million, plus debt service that would exceed $12 million, on the downtown structure.

The focus on putting City Hall in the crowded downtown corridor ignores the fact that most residents live in the Mendenhall Valley. A massive former Walmart store sits empty at Lemon Creek and could accommodate all city operations with parking to spare.

Assembly member Rob Edwardson said, “20,000 of the 32,000 people in Juneau live out in the valley. Most of our meetings are held in the evening, so it wouldn’t really matter whether they work downtown or not. It would be closer to their homes … which means, again, more accessibility.”

On the upside, having a City Hall with a world-class view of the channel would make working at City Hall more pleasant. It would arguably be the City Hall with the best view on the planet. Political leaders from the City would have easy access to the Capital, as well as all the favorite lunch spots and watering holes around town. Also, because the parking garage doesn’t provide property taxes to the city, the building would not be displacing an existing revenue generator.

On the other hand, moving City Hall out of the downtown core would also eliminate hundreds of vehicles from downtown, freeing up space for shoppers and residents, reducing congestion and pollution, and allowing businesses to attract more local shoppers to the zone.  Repurposing an abandoned building in Lemon Creek would help revitalize a neighborhood that has long needed some solutions and would require half the travel, and therefore half the carbon footprint, of having to go all the way to town to take care of a five-minute chore.

And then there’s the State’s budget and the pending decision whether to continue the school construction debt reimbursement program. If the State does not provide reimbursement, and it’s likely not to, the financial responsibility will be shifted to the municipalities to pay for debts they have already incurred. Last year, the city manager warned of such a possibility.

“Our citizens should be advised that the most likely outcome of school debt shifting by the governor or legislature is a local property tax increase between 4.4% and 13.7% for the next 1, 5 or 10 years,” City Manager Watt wrote last year in an April 29, 2018 memo to the Mayor and Assembly.

Mayor Weldon advised that the public needs to weigh in on the new city hall plan and decide if now is the time to build. Public meetings will take place this summer to discuss the merits. The next municipal election, when the question could be on the ballot, is Oct. 1, 2019.

Sen. Tom Begich wife suing governor over education spending

THE GOOD WIFE: WHAT MAINSTREAM MEDIA WON’T TELL YOU

The wife of an Alaska State senator who sits on the Senate Education Committee has filed a lawsuit against the governor and the commissioner of the Department of Education. It’s over money for education, and it’s supportive of her husband.

The lawsuit is pure political theater, and while every news organization in the state wrote about it, none would acknowledge that Sarah Sledge, married to Tom Begich, is the executive director of the litigant, the Coalition for Education Equity.

[Read the complaint: Sarah Sledge Coalition for Education Equity]

[Editor’s note: KTVA’s story late Wednesday mentioned the conflict of interest]

Although Begich is on the Education Committee, he is a member of the Democrat minority in the Senate. Thus, a lawsuit from his wife is not only good theater, it is a power-move for a wife supporting her husband’s political position and ambition.

Of course, Begich used to be a part of this litigious group, according to this flyer from 2015:

Begich was still listed as the government relations director for CEAAC on the organization’s website in September, 2016.

In Anchorage Superior Court today, Sledge’s lawsuit demanded that a $20 million extra appropriation to schools made by last year’s legislature and governor be released by the current governor — immediately.

Gov. Michael Dunleavy has proposed to the Legislature that the appropriation made last year to add an extra $20 million to schools this year be clawed back. It’s unlikely to go anywhere in the House and Senate, but even the Legislature’s own budget director David Teal says the money doesn’t have to be released until June 30.

The Governor’s Office won’t comment on pending lawsuits, but the Sledge-Begich caper is apparently a case of premature litigation, because in fact the funds could be released at any time, since it seems apparent that neither the House nor Senate want to go along with the governor’s plan.

Indeed, the governor has already indicated that if the House and Senate don’t agree, he’ll release the funds, but that didn’t factor into the mainstream narrative.

Dunleavy also wants to eliminate another $30 million that was added as extra funds for the coming fiscal year. In that instance, he has a constitutional case to be made since the funds were committed by the previous legislature, but were not exactly appropriated. It’s the same constitutional problem he has with the Legislature’s “forward funding” of education when there were no actual funds to appropriate.

[Read: The Donnybrook ahead: Education ‘forward-funding]