[Congressional Record Volume 146, Number 31 (Monday, March 20, 2000)]
[Senate]
[Pages S1464-S1466]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. MURKOWSKI:
  S. 2253. A bill to authorize the establishment of a joint United 
States-Canada commission to study the feasibility of connecting the 
rail system in Alaska to the North American continental rail system, 
and for other purposes; to the Committee on Foreign Relations.


                     rails to resources act of 2000

  Mr. MURKOWSKI. Mr. President, today I am introducing a bill to 
establish a bilateral U.S. and Canadian commission to study the 
feasibility of extending the continental railroad system to Alaska via 
a land link through Canada.
  Mr. President, there are three things critical to the establishment 
of long-term economic stability for any state, region or country. The 
first is the availability of resources necessary to the production of 
goods. The second is the availability of labor to manufacture those 
goods. And the third is the availability of transportation systems to 
get those goods to market.
  My State of Alaska, unfortunately, remains deficient in the third of 
these critical elements. We have the resources, and we have the labor, 
but we do not yet have the same essential transportation 
infrastructure.
  The idea of connecting the transcontinental rail system to Alaska is 
not a new one. The original congressional action to establish the 
Alaska Railroad called for laying 1,000 miles of track in Alaska, which 
would have been sufficient to carry it to the Alaska-Yukon border. 
Canada has at various times also looked at rail connections to the 
north country. Unfortunately, none of these have been carried through.
  During World War II, the United States actually surveyed a route from 
Prince George, British Columbia all the way through Alaska to tidewater 
at Teller, on Alaska's Seward Peninsula. But again, this effort was 
never completed, largely due to wartime shortages of steel.
  While someday it would be beneficial to follow through on that World 
War II plan, what I am proposing today is far less grandiose.
  My bill would create a process for appointing members to the U.S. 
side of a bilateral commission to study the feasibility of extending 
the current continental rail system from its present terminus in 
British Columbia, through

[[Page S1465]]

the Yukon Territory, to the present terminus of the Alaska Railroad 
near Fairbanks. The distance to be traversed is on the order of 1,200 
miles. Mr. President, this is not pie in the sky. I believe that the 
extension of the railroad would pay for itself, not immediately, but in 
the forseeable future.
  The area through which the rail line would pass holds some of the 
richest mineral prospects in North America. The Yukon-Tanana uplands 
stretch from Fairbanks down through much of the Yukon. This heavily 
mineralized area holds gold, silver, copper, nickel, lead and zinc in 
great quantities, plus substantial amounts of other elements. Further 
south along the possible routes, there are large quantities of high 
value timber, and vast amounts of lower quality wood that we now 
utilize for paper, fiberboard and other products.
  Mr. President, some individuals and organizations will no doubt argue 
against even exploring this prospect because of a bias against the use 
of natural resources, or opposition to ``development'' in the 
wilderness. To them I would suggest that the construction of a railroad 
is an opportunity to control development--to avoid areas of particular 
sensitivity--which would be impossible with other transportation 
systems. A rail line has far less of a ``footprint'' than even a one-
lane road, and its stops are known quantities. Properly constructed, a 
rail line would make possible the development of vast resources, 
without creating the kind of uncontrolled situation that can lead to 
the degradation of highly valued wild lands.
  Others may point to the current volume of freight moving to and from 
Alaska and say, ``There is no way such a tiny amount of freight can 
support a railroad.'' They would be missing the point. The question is 
not whether rail is a more effective means to carry the existing 
volume, it is whether access to rail would spur enough new economic 
activity to support the venture. I suggest that it might. Experts have 
suggested there may be the potential for up to 120 million tons of 
freight per year, which would be more than enough to pay back any 
investment.
  I am not an expert. I cannot verify that contention, any more than I 
can refute it. That is why we need a comprehensive feasibility study.
  In January, a conference to discuss the potential for such an 
extension was held in Vancouver, British Columbia. Participants were 
extraordinarily supportive, adopting a strong resolution in favor of 
proceeding with a joint U.S.-Canada study.
  I have drawn from that resolution to prepare the legislation I am 
introducing today. Specifically, it would provide authorization to for 
a $6 million, five-year effort to refine our understanding of both the 
positives and the negatives of a rail extension.
  This is in no way an attempt to second-guess the feasibility process. 
We need an objective, thorough survey of both costs and opportunities.
  To that end, I am suggesting that the United States component of the 
commission include local government, business, academic and Alaska 
Native leaders with expertise in the relevant fields. I am confident 
that Canada will choose similarly well-qualified individuals for its 
own side of the commission.
  Let's make no mistake about this--it is not universally supported, 
and I want my colleagues to be aware of that from the very beginning. 
Most of those who currently operate companies carrying goods to and 
from Alaska by truck and by water will find all kinds of reasons to 
suggest that there is no way a railroad can be made to work.
  Mr. President, it is only natural that those with a vested interest 
in the status quo should oppose change. It is their absolute right to 
do so. But it is wrong to stifle debate. We should be free to accept 
and explore new ideas. That is what this commission is all about.
  If the railroad connection is economically and environmentally and 
socially sound, then let's move ahead. If it is not, then let's drop 
it. But at the very least, let's give it an honest hearing. That's what 
this bill is about.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 2253

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Rails to Resources Act of 
     2000.''

     SEC. 2. FINDINGS.

       Congress finds that--
       (1) rail transportation is an essential component of the 
     North American intermodal transportation system;
       (2) the development of economically strong and socially 
     stable communities in the western United States and Canada 
     was encouraged significantly by government policies promoting 
     the development of integrated transcontinental, interstate 
     and inter-provincial rail systems in the states, territories 
     and provinces of the two countries;
       (3) U.S. and Canadian federal support for the completion of 
     new elements of the transcontinental, interstate and 
     interprovincial rail systems was halted before rail 
     connections were established to the state of Alaska and the 
     Yukon Territory;
       (4) Both public and private lands in Alaska, the Yukon 
     territory and northern British Columbia, including lands held 
     by aboriginal peoples, contain extensive deposits of oil, 
     gas, coal and other minerals as well as valuable forest 
     products which presently are inaccessible, but which could 
     provide significant economic benefit to local communities and 
     to both nations if an economically efficient transportation 
     system was available;
       (5) per ton of freight moved, rail transportation systems 
     emit lower levels of carbon monoxide, nitrogen oxides and 
     volatile organic compounds than other modes of freight 
     transportation;
       (6) rail transportation systems are capable of moving cargo 
     with up to nine times the energy efficiency of highway 
     transportation;
       (7) rail transportation in otherwise isolated areas 
     facilitates controlled access and reduced overall impact to 
     environmentally sensitive areas;
       (8) the extension of the continental rail system through 
     northern British Columbia and the Yukon territory to the 
     current terminus of the Alaska Railroad would significantly 
     benefit the U.S. and Canadian visitor industries by 
     facilitating the comfortable movement of passengers over long 
     distances while minimizing effects on the surrounding areas;
       (9) extension of the Alaska Railroad system to the Canadian 
     border is consistent with the intent of Congress as expressed 
     in the Alaska Railroad Organic Act of 1914, which called for 
     a system of up to 1,000 miles in length; and,
       (10) ongoing research and development efforts in the rail 
     industry continue to increase the efficiency of rail 
     transportation, ensure safety, and decrease the impact of 
     rail service on the environment.

     SEC. 3. AGREEMENT FOR A UNITED STATES-CANADA BILATERAL 
                   COMMISSION.

       The President is authorized and urged to enter into an 
     agreement with the government of Canada to establish a joint 
     commission to study the technological and economic 
     feasibility of linking the rail system in Alaska to the 
     nearest appropriate point on the North American continental 
     rail system.

     SEC. 4. COMPOSITION OF COMMISSION.

       (a) Membership.--
       (1) Total membership.--The Agreement should provide for the 
     Commission to be composed of 18 members, of which 9 members 
     are appointed by the President and 9 members are appointed by 
     the government of Canada.
       (2) General qualifications.--The Agreement should provide 
     for the membership of the Commission, to the maximum extent 
     practicable, to be representative of--
       (A) the interests of the local communities (including the 
     governments of the communities), aboriginal peoples, and 
     businesses that would be affected by the connection of the 
     rail system in Alaska to the North American continental rail 
     system; and
       (B) a broad range of expertise in areas of knowledge that 
     are relevant to the significant issues to be considered by 
     the Commission, including economics, engineering, management 
     of resources (such as minerals and timber), social sciences, 
     fish and game management, environmental sciences, and 
     transportation.
       (b) United States Membership.--Under the Agreement, the 
     President shall appoint the United States members of the 
     Commission as follows:
       (1) Two members from among persons who are qualified to 
     represent the interests of communities and local governments 
     of Alaska.
       (2) One member representing the State of Alaska, to be 
     nominated by the Governor of Alaska.
       (3) One member from among persons who are qualified to 
     represent the interests of Native Alaskans residing in the 
     area of Alaska that would be affected by the extension of 
     rail service.
       (4) Four members from among persons involved in commercial 
     activities in Alaska who are qualified to represent 
     commercial interests in Alaska, of which one shall be a 
     representative of the Alaska Railroad Corporation.
       (5) Two members from among scholars employed in 
     institutions of higher education in Alaska, at least one of 
     whom must be an engineer with expertise in subarctic 
     transportation.

[[Page S1466]]

       (c) Canadian Membership.--The Agreement should provide for 
     the Canadian membership of the Commission to be 
     representative of broad categories of interests of Canada as 
     the government of Canada determines appropriate, consistent 
     with subsection (a)(2).

     SEC. 5. GOVERNANCE AND STAFFING OF COMMISSION.

       (a) Chairman.--The Agreement should provide for the 
     Chairman of the Commission to be elected from among the 
     members of the Commission by a majority vote of the members.
       (b) Compensation and Expenses of United States Members.--
       (1) Compensation.--Each member of the Commission appointed 
     by the President who is not an officer or employee of the 
     Federal Government shall be compensated at a rate equal to 
     the daily equivalent of the annual rate of basic pay 
     prescribed for level IV of the Executive Schedule under 
     section 5315 of title 5, United States Code, for each day 
     (including travel time) during which such member is engaged 
     in the performance of the duties of the Commission. Each such 
     member who is an officer or employee of the United States 
     shall serve without compensation in addition to that received 
     for services as an officer or employee of the United 
     States.
       (2) Travel expenses.--The members of the Commission 
     appointed by the President shall be allowed travel expenses, 
     including per diem in lieu of subsistence, at rates 
     authorized for employees of agencies under subchapter I of 
     chapter 57 of title 5, United States Code, while away from 
     their homes or regular places of business in the performance 
     of services for the Commission.
       (c) Staff.--
       (1) In general.--The Agreement should provide for the 
     appointment of a staff and an executive director to be the 
     head of the staff.
       (2) Compensation.--Funds made available for the Commission 
     by the United States may be used to pay the compensation of 
     the executive director and other personnel at rates fixed by 
     the Commission that are not in excess of the rate payable for 
     level V of the Executive Schedule under section 5316 of title 
     5, United States Code.
       (d) Office.--The Agreement should provide for the office of 
     the Commission to be located in a mutually agreed location 
     within the impacted areas of Alaska, the Yukon Territory, and 
     northern British Columbia.
       (e) Meetings.--The Agreement should provide for the 
     Commission to meet at least biannually to review progress and 
     to provide guidance to staff and others, and to hold, in 
     locations within the affected areas of Alaska, the Yukon 
     Territory and northern British Columbia, such additional 
     informational or public meetings as the Commission deems 
     necessary to the conduct of its business.
       (f) Procurement of Services.--The Agreement should 
     authorize and encourage the Commission to procure by 
     contract, to the maximum extent practicable, the services 
     (including any temporary and intermittent services) that the 
     Commission determines necessary for carrying out the duties 
     of the Commission. In the case of any contract for the 
     services of an individual, funds made available for the 
     Commission by the United States may not be used to pay for 
     the services of the individual at a rate that exceeds the 
     daily equivalent of the annual rate of basic pay prescribed 
     for level V of the Executive Schedule under section 5316 of 
     title 5, United States Code.

     SEC. 6 DUTIES.

       (a) Study.--
       (1) In general.--The Agreement should provide for the 
     Commission to study and assess, on the basis of all available 
     relevant information, the technological and economic 
     feasibility of linking the rail system in Alaska to the North 
     American continental rail system through the continuation of 
     the rail system through the continuation of the rail system 
     in Alaska from its northeastern terminus to a connection with 
     the continental rail system in Canada.
       (2) Specific issues.--The Agreement should provide for the 
     study and assessment to include the consideration of the 
     following issues:
       (A) Railroad engineering.
       (B) Land ownership.
       (C) Geology.
       (D) Proximity to mineral, timber and other resources.
       (E) Market outlook.
       (F) Environmental considerations.
       (G) Social effects, including changes to the use or 
     availability of natural resources.
       (H) Potential financial mechanisms.
       (3) Route.--The Agreement should provide for the 
     Commission, upon finding that it is technologically and 
     economically feasible to link the rail system in Alaska as 
     described in paragraph (1), to determine one or more 
     recommended routes for the rail segment that establishes the 
     linkage, taking into consideration cost, distance, access to 
     potential freight markets, environmental matters, and such 
     other factors as the Commission determines relevant.
       (4) Combined corridor evaluation.--The Agreement should 
     also provide for the Commission to consider whether it would 
     be useful and technologically and economically feasible to 
     combine the power transmission infrastructure and petroleum 
     product pipelines of other utilities into one corridor with a 
     rail extension of the rail system in Alaska.
       (b) Report.--The Agreement should require the Commission to 
     submit to Congress and the Secretary of Transportation and to 
     the Minister of Transport of the government of Canada, not 
     later than 5 years after the Commission commencement date, a 
     report on the results of the study, including the following:
       (1) Feasibility.--The Commission's findings regarding the 
     technological and economical feasibility of linking the rail 
     system in Alaska as described in subsection (a)(1).
       (2) Route.--If such an action is determined technologically 
     and economically feasible, the Commission's recommendations 
     regarding the preferred route and any alternative routes for 
     the rail segment establishing the linkage.

     SEC. 7. COMMENCEMENT AND TERMINATION OF COMMISSION.

       (a) Commencement.--The Agreement should provide for the 
     Commission to begin to function on the date on which all 
     members are appointed to the Commission as provided for in 
     the Agreement.
       (b) Termination.--The Commission shall terminate 90 days 
     after the date on which the Commission submits its report 
     under section 6.

     SEC. 8. FUNDING.

       (a) Rails to Resources Fund.--The Agreement should provide 
     for the following:
       (1) Establishment.--The establishment of an interest-
     bearing account to be known as the ``Rails to Resources 
     Fund''.
       (2) Contributions.--The contribution by the United States 
     and the government of Canada to the Fund of amounts that are 
     sufficient for the Commission to carry out its duties.
       (3) Availability.--The availability of amounts in the Fund 
     to pay the costs of Commission activities.
       (4) Dissolution.--Dissolution of the Fund upon the 
     termination of the Commission and distribution of the amounts 
     in the Fund between the United States and the government of 
     Canada.
       (b) Authorization of Appropriations.--Funds are hereby 
     authorized to be appropriated to any Fund established as 
     described in subsection (a)(1) in the total amount of 
     $6,000,000, to remain available until expended.

     SEC. 9. DEFINITIONS.

       In this section:
       (1) Agreement.--The term ``Agreement'' means an agreement 
     described in section 2.
       (2) Commission.--The term ``Commission'' means a commission 
     established pursuant to any Agreement.
       (3) Commission commencement date.--The date determined 
     under section 6(a).-

                          ____________________