After Dunleavy veto, Alaska Legislature reapproves state railroad borrowing plan
A docked cruise ship, the Regent Seven Seas Explorer, is seen in Seward's harbor on June 19, 2024, from the Race Point on Mount Marathon. (Photo by Yereth Rosen/Alaska Beacon)
For the second time in two years, the Alaska Legislature has approved a $75 million bond package for a new cruise ship dock in Seward.
On Wednesday, the Alaska Senate approved House Bill 65, containing the bond package, on an 18-0 vote. That follows a 36-0 vote by the state House on Feb. 17. The Senate's vote sends the bill to Gov. Mike Dunleavy for approval.
State lawmakers approved an identical bill last year, but Dunleavy vetoed it because the House's vote took place after the constitutional deadline to end the legislative session. The governor's approval is expected this time around.
'Sometimes in these moments, it does feel like 'deja vu all over again,' as Yogi Berra would say,' said Sen. Matt Claman, D-Anchorage.
When signed into law, HB 65 will allow the state-owned Alaska Railroad Corp. to borrow up to $135 million for construction of the new cruise ship dock. That's up from $60 million authorized by the Legislature in 2022.
The Alaska Constitution requires legislative approval for most bond proposals.
The bonds will be paid for by a 30-year use agreement between the railroad and Royal Caribbean, whose cruise ships are scheduled to use the dock.
The existing dock was built in 1966 to replace facilities destroyed by the Good Friday Earthquake two years before. Speaking to the state Senate, Claman said the 60-year-old dock is now under weight restrictions because of its age and needs to be replaced.
While it will primarily benefit Seward, 'the economic benefits of this project will be felt all across Southeast, Southcentral and the Interior,' Claman said.
In order for the dock to be complete in time for the 2026 tourist season, the bonds needed to be authorized before March this year, he said.
Sens. Lyman Hoffman, D-Bethel, and Donny Olson, D-Golovin, were excused absent on Wednesday and did not vote.
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