Skagway vows to sue state

Skagway is taking its battle to form a borough to court and the state's lawmakers.

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The state's Local Boundary Commission in September unanimously denied the city of Skagway's petition to become a borough. At 443 square miles, the new borough would have been the same size as the existing city and would have provided the same services, according to the request.

But the commission, which reviews changes to the status or boundaries of boroughs and cities, said Skagway's petition met only eight of 18 required state standards.

The proposed borough didn't meet the geographic, social, cultural and economic characteristics of a regional area, as outlined by the state. And with 862 residents, Skagway didn't meet a 1,000-person borough population threshold, according to the commission's written findings.

The commission denied a request for reconsideration on Nov. 1 and Skagway plans to appeal in state Superior Court, City Manager Bob Ward said.

"The preliminary determination that we did not qualify as a borough was based upon a highly subjective evaluation that we were too small physically," he said. "There is no definitive standard that says what the size of the borough should be."

Essentially, Skagway was asking to become a borough through a name change, boundary commission staff member Dan Bockhorst said. The community didn't plan to change its boundaries or jurisdiction, he said.

"There was a major philosophical difference between the view expressed by borough supporters in Skagway and this agency and the LBC in the nature of borough governments," he said. "A borough government is distinct from a city government. Borough governments are regional entities. City governments are community-based local entities."

Skagway has been pushing to form a borough because of concerns it might be added to the Haines Borough, Ward said.

"We don't have any fear that Haines is waiting to pounce on Skagway," he said. "The greater potential is for Skagway to be put into the Haines Borough by the Legislature, particularly as it applies to school funding."

In addition to a legal path, Skagway plans to take its concerns about borough formation to the state Legislature, Ward said. The community has asked the Alaska Municipal League and the Southeast Conference, a regional organization, for support.

"We're asking the Legislature to look at the Model Borough Boundaries Act and look at the standards ... with an eye to considering whether or not those things are still pertinent in the Alaska of today as opposed to the Alaska envisioned by the members of the Constitutional Convention in 1956," Ward said. "I'm not sure if it will help us, but it may help the borough process in general."

Meanwhile, the state is reviewing conditions in the state's unorganized borough this winter to see what areas meet borough incorporation standards. The study comes at the direction of the Legislature. The last borough formed in the state was Yakutat in 1992.

In remarks to the Alaska Municipal League's annual conference in Valdez this week, boundary commission Chairman Kevin Waring said "significant disincentives" are discouraging the formation of successful new boroughs.

"The state now does a number of good things ... and some of those are affected, perhaps lost, if you incorporate as a borough," he said in an interview. "We don't have any quarrel with the state providing assistance, but we do point out that one result of it is you do undermine the local motivation to form a borough."

A work plan for the commission's review identifies school district consolidation and reductions in state aid as concerns. At the same time, the Legislature's push for a review is the strongest sign in many years that lawmakers are interested in forming new boroughs, Waring told the AML.

"I think the commission looks to the Constitution, which is very plain, as are state Supreme Court decisions," he said. "The expectation is the state should be formed into boroughs. There also is a recognition that some areas are more developed, while others take time to reach a stage of development to support local government."

Alaska is the only state in the nation with unorganized regions. The state's 16 organized boroughs cover 87 percent of Alaska's population and 43 percent of its geographic area, according to a 2000 state report.

The state must give the Legislature its unorganized-borough report by Feb. 19.

For more information, visit the project's Web site at www.dced.state.ak.us/cbd/lbc/boroughstudy.htm.