My Turn: Exaggerations abound about effects of a road
Construction Costs: In 1986 an Alaska Department of Transportation study concluded that the preferred route should go up the east side of Lynn Canal at a cost of $220 million. The latest study, (1996), draws a similar conclusion at a cost of around $260 million. Anecdotal commentary persistently questions the cost estimate as being too low; but without substantive analysis, such opinions lack foundation. However, given the time elapsed since 1996, assume the cost of construction at $300 million.
Funding: The federal government annually rebates to the state approximately $330 million, (our share of federal gasoline taxes apportioned by formula). This funding is dedicated to the improvement of transportation infrastructure on a cost sharing basis, 90 percent federal, 10 percent state. Were the road to be constructed over a period of five years at a total cost of $300 million it would require $54 million annually from the $330 million, leaving $276 million for the rest of the state, thereby mitigating complaints that "our" road was hurting the rest of the state. Bottom line: Funding for the road is available and does not compromise other state projects.
|
|
Road maintenance: With every capital investment there is a legitimate concern for maintenance costs. Over the past several years the cost of operating ferries in upper Lynn Canal ran about $10 million per year with revenues of $5 million per year. The shortfall is made up by the state subsidy. AKDOT estimates $1.5 million per year for road maintenance resulting in an annual savings of $3.5 million. Cost of the ferry link to Haines is expected to be fully funded by revenues realized.
Effect of road on AMHS: Given net annual savings of $3.5 million and the freeing up of ferries, AMHS is in a position to improve service throughout Southeast where there are no surface transportation alternatives. Contrary to perceptions that the road poses a threat to AMHS, it actually presents an opportunity. The real threat to AMHS resides in its inability or unwillingness to provide the service for which it was intended.
Finally, one must assess the effect of the road on Juneau itself. Will it, in and by itself, keep the capital here? Doubtful in my opinion. Will it spur economic development? I think so, by more closely linking us with Haines and Skagway and providing easy access to the Yukon Territory. Moreover, in conjunction with more efficient use of the ferries further solidifying Southeast, an economic base could develop which would enable Juneau to fund a new capitol and avoid new capital move initiatives that are sure to come about were we to request state funding.
Will the road change Juneau? Probably; and that's the key to this issue. Not cost, not danger, maybe not even the environment since it would take approximately 1,800 gallons of fuel to get 35 cars to Skagway aboard Fairweather versus a total of 190 gallons if they went drove themselves.
I support construction of the road. Doubtless there are opinions in opposition and I would hope that the foregoing will be helpful to both sides.
Dick Knapp is a retired Juneau resident and former Coast Guard officer, Alaska Department of Transportation commissioner, Alaska Railroad Corp. vice president and senior vice president with Harbor Enterprises.
News
Share
Shop
Life
Visit























