Abstract:
For years, Alaskans have debated the pros and cons of taking over the Alaska Railroad from the federal government. With the passage of the Alaska Railroad Transfer Act of 1982, however, the debate assumed added importance. In the act, Congress found that while continuation of the Alaska Railroad was necessary to achieve federal, state and private objectives, continued federal control and financial support were no longer required. Congress also found that because the Alaska Railroad primarily benefited Alaska residents and businesses, the federal government should offer to sell the railroad to the State of Alaska. This case details the federal government's decision to sell the Alaska Railroad and ends in 1984 with Alaska Governor Bill Sheffield poised to decide whether the state should accept the offer.
Learning Objective:
This case raises issues of valuation in public agencies, including Indian land claims, oil revenues, and operating subsidies.
