- Alaska Statutes.
- Title 38. Public Land
- Chapter 5. Alaska Land Act
- Section 810. Public and Charitable Use.
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AS 38.05.810. Public and Charitable Use.
- (a) Except as otherwise provided in AS 38.05.183
(h), the (1) lease, sale, or other disposal of state land or resources may be made to a state or federal agency or
political subdivision, (2) lease, sale, or disposal of coal deposits suitable for mining may be made to a utility owned
and operated by a government agency or nonprofit cooperative association organized to participate under the Federal
Rural Electrification Act for the purpose of generating electric power and energy or the production of process steam,
or both, (3) sale or other disposal of state land may be made to a tax-exempt, nonprofit corporation, association,
club, or society organized and operated for the management of a cemetery or a solid waste or other public facility, or
(4) sale or other disposal of land within a state subdivision may be made to that subdivision's nonprofit, tax-exempt
homeowners' association, for less than the appraised value as determined by the director and approved by the
commissioner to be fair and proper and in the best interests of the public, with due consideration given to the nature
of the public services or function rendered by the applicant, and of the terms of the grant under which the land was
acquired by the state. The commissioner shall ensure, by regulation, deed restriction, covenant, or otherwise, that
disposals of land under this subsection serve a public purpose and are in the public interest.
- (b) Notwithstanding AS 38.05.070
- 38.05.080 and 38.05.095, the director, upon application filed by an
applicant eligible under (b) - (d) of this section, may, by negotiation and without public auction in the manner
prescribed in (b) - (d) of this section, lease state land for a term of not more than 55 years. Before leasing, the
director shall prepare a land use plan and a land classification to insure that the proposed use is compatible with
area utilization. Before the land may be leased under (b) - (d) of this section, it must be shown to the satisfaction
of the director that the land is to be used for an established or definitely proposed project, and that the eligible
applicant has the financial ability to carry out the project. The commissioner may establish limitations on the acreage
which may be leased under (b) - (d) of this section to an applicant.
- (c) Eligible applicants under (b) - (d) of this section are limited to nonprofit corporations, associations, clubs, or
societies organized and operated exclusively for charitable, religious, scientific, or educational purposes, or for the
promotion of social welfare, if the project for which the land is desired conforms to those objectives and not
commercial development. No lease of land may be granted under this section for a project closed to the use and
enjoyment of the general public. In every case the applicant shall submit evidence that it is exempt from payment of
federal income tax. As a condition of and in consideration of the rights acquired under a lease granted under (b) -
(d) of this section, each eligible organization and its parent or subsidiary organizations shall (1) maintain and
preserve books, accounts, and records that the director prescribes by regulation as necessary and appropriate; and (2)
accord at all reasonable times to the state and its authorized agents and auditors the right of access to those books,
accounts and records for the purpose of inspecting, examining and copying them. Any information provided the state in
the course of an audit becomes a matter of public record.
- (d) The director may lease the land to an eligible applicant at a reasonable annual rental, taking into consideration the
purposes for which the land is to be used and the financial resources of the applicant. The rental may not be less
than one percent of the fair market value on land acquired primarily for development, or less than five percent of the
fair market value on acquired land. Rent may not be charged for state land leased for a youth encampment. For the
purposes of this subsection, "youth encampment" shall be defined by the commissioner by regulation. Renewal leases may
be issued at the discretion of the director upon the expiration of a primary or renewal term. Each lease shall contain
a provision for its termination as to all or part of the land upon a finding by the director that the land or a part of
it has not been used by the lessee for the purpose specified in the lease for a period of two years. No lease may be
assigned or subleased except with the consent of the director, and in any case may only be transferred to an applicant
eligible under (b) - (d) of this section. A lessee may not change the use specified in the lease to another or
additional use except with the consent of the director. If, at any time after the land is leased, the lessee attempts
to assign the lease or transfer control over the land to another, or if the land is devoted to a use other than that
for which the land was leased without the consent of the director, the lease automatically terminates.
- (e) The lease, sale, or other disposal of state land at appraised fair market value may be negotiated with a licensed
public utility or a licensed common carrier by the director with the approval of the commissioner if the utility or
carrier reasonably requires the land for the conduct of its business under its license.
- (f) The commissioner shall lease state land for telephone or electric transmission and distribution lines for less than
the appraised value of the land if the lessee is a nonprofit cooperative association organized under AS 10.25. The commissioner may lease state land that is not located
within the boundary of a municipality for the disposal of garbage, refuse, trash, or other waste material for less than
the appraised value of the land if the lessee is a licensed public utility authorized to collect and dispose of
garbage, refuse, trash, or other waste material outside the boundaries of a municipality. Before determining the annual
rental, the commissioner shall consider the nature of the public service rendered by the nonprofit cooperative
association or licensed public utility and the terms of the grant under which the land was acquired by the state. A
nonprofit cooperative association may not construct improvements other than transmission or distribution lines and
substations on land leased under this subsection. A licensed public utility may not construct permanent improvements
on land leased under this subsection that are not related to the purpose of the lease.
- (g) The commissioner shall retain a reversionary interest on each sale or other disposal granted under (a) or (e) of this
section. The commissioner may waive the reversionary interest on a written determination that the waiver is in the
- (h) The commissioner may issue permits to the Alaska Aerospace Development Corporation for purposes of down range space
vehicle or payload overflight, booster retrieval, and recovery. The commissioner may, if it is in the best interests of
the state, lease land to the Alaska Aerospace Development Corporation for other space-related purposes for, or at less
than the appraised market value.
- (i) Subject to AS 38.05.820
, the commissioner may lease undeveloped state land, including tideland, to a port authority established under AS 29.35.600
- 29.35.730, if the state land is within the physical
boundaries of the authority and is needed by the authority for purposes provided in AS 29.35.600
- 29.35.730. The commissioner may lease developed
state land, including tideland, to a port authority established under AS 29.35.600
- 29.35.730 only if, (1) the developed state land is
within the physical boundaries of the authority; (2) the developed state land is needed by the authority for purposes
provided in AS 29.35.600
- 29.35.730; and (3) the legislature approves the
lease. A lease of state land under this subsection may be for less than the appraised market value.
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