AK HB120

Governor must issue request for proposals to purchase the Alaska Railroad by June 15, 2026, and enter into a sale agreement by February 15, 2027 with a buyer who commits to operating the railroad for minimum 50 years

Purchase price must exceed either the fair market value or the total amount the state has spent to obtain, maintain, and subsidize the railroad; buyer must accept all existing contracts including collective bargaining agreements and retirement obligations

Sale agreement requires legislative approval and is contingent on execution of a resource development agreement committing the buyer to invest in railroad expansion and construction of new spurs to access resource-rich areas

State retains easement for transportation, communication, and transmission purposes on all railroad right-of-way land and will receive right-of-way fees

Alaska Railroad Corporation will be dissolved upon sale completion, with non-essential real property transferred to Department of Natural Resources; governor must commission fair market value appraisal by qualified railroad appraiser