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Four months ago the Matanuska-Susitna Borough experienced a clean sweep. It now has a new borough mayor, three new assembly members and a new borough manager who all say the honeymoon was a lot shorter than they had hoped.
The first sign of trouble came from the very place the previous administration placed the bulk of its energy: Port MacKenzie. The U.S. Army Corps of Engineers announced in November that core samples from the port showed a lack of structural stability.
Borough Manager John Duffy said another set of samples is being analyzed by the Corps right now.
"The Corps of Engineers told us that initial samples showed the port could not withstand a moderate to large earthquake. The port was supposed to be built strong enough to handle such natural disasters and remain economically viable."
Last month the Corps told the borough that its most recent samples suggest that the port is sitting on unstable clays that may be creating a "failure in progress." The report went on to say that the Corps recommends limited use of the port until the investigative team has had a chance to complete its investigation.
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In the meantime, the Mat-Su Borough Assembly and the Anchorage Assembly have been busy establishing a joint port authority. Such an entity would be its own separate government with tax powers, sharing transportation and industry development between the Port of Anchorage and Port MacKenzie.
Part of that port authority's responsibility would be to look at a new push into the Valley in the form of a bridge across Knik Arm. Senate Bill 44, authored by Sen. Jerry Ward, R-Anchorage, is gaining momentum in Juneau.
Borough Mayor Tim Anderson recently returned from Juneau. He said he was amazed at the buzz about the bridge.
"I was quite happy to see everybody was behind this. It wasn't a pie in the sky thing. It's going to happen."
Initial costs for the link between the Valley and Anchorage are in the $400 million range. According to Anderson, the bridge would probably take about 10 years to build. A big factor in the success of the bridge comes from Washington, D.C., where Rep. Don Young, R-Alaska, chairs the powerful House Transportation Committee.
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The Borough wants to run a rail spur across the Inlet along with the bridge. It's something Anderson says just makes sense.
"This is a great opportunity for a well planned development. It's essential that we bring a rail spur across now, while we're building it. At least build the bridge so we can handle a spur in the future."
One probability is that the bridge will have a toll. According to Anderson, early estimates would be in the $2 per car range. The toll would be used to cover costs and pay back the local match on the cost of building the bridge.
He says the toll is nothing compared to the potential economic outcome for both Anchorage and the Mat-Su.
"I think we can develop that area to serve both communities," Anderson said. "It will create a larger tax base in our borough and it will help Anchorage by allowing them an area to expand into."
The private sector
The Matanuska-Susitna private sector continues to show signs of growth. One sure indicator is the recent announcement by Sears, Roebuck and Co. that it will open a new, full-line store as early as this fall.
Sears Wasilla Manager Viola Yatchmeneff says the local demand for more merchandise, especially in home appliances and apparel, drove the decision.
The location is a familiar one for Valley shoppers. It's the old Wal-Mart, on the north corner of the Parks Highway and Seward Meridian in Wasilla. The store will feature 70,000 square feet of showroom space.
Another big indicator of private sector growth is new home construction. In an industry that relies specifically on supply and demand, one Mat-Su developer is capitalizing on a niche that he says was driven by the community. Dennis Smith is developing a new subdivision on the south end of Palmer that specifically targets buyers 55 and older.
"About a year and a half ago I was approached by a group of folks who wanted two car garage, maintenance free homes that were close to downtown Palmer," Smith said. "That was the beginning of Mountain Rose Estates."
The new subdivision features homes that range from about $158,000 to $168,000. Smith says the subdivision features city water and sewer. The exterior, including yards and driveways, is completely maintained, and homes are protected by security systems.
"This subdivision was designed with a specific clientele in mind," Smith said. "Many folks we build for want to have the freedom of retirement. They want to be able to travel Outside on occasion, but they also want to call Alaska home."
The new subdivision features four phases. This year, more than 30 homes are scheduled for construction. Fifteen new homes have been purchased in the first phase of development, according to the developer. Smith is planning to build similar subdivisions in Wasilla and on the Kenai Peninsula.
