LinksThe Legislative Council was moving toward a vote Thursday on whether to buy the old Unocal building, a 40-year-old structure downtown. But Senate President Gary Stevens said that, given the concerns of some legislators, he felt it was better for the council to wait and vote at its next meeting, most likely a month or so away.
The Kodiak Republican, who is on the Legislative Council, is in favor of buying the building and feared that it would be voted down if his fellow lawmakers on the council went ahead and voted Thursday.
"I don't want to take a chance on us killing this today suddenly on an up or down vote when there are some questions that really need to be answered," he said.
House Majority Leader Alan Austerman, also a Republican from Kodiak, said he wanted better information on how much the remodeling would cost.
"Today we're being asked to spend $6.7 million on buying a building, yet we've not sat down and had concrete numbers placed before us as to what the actual cost of the remodel is going to be," he said.
The Legislature had looked at buying the same building a year and a half ago. At that time an architectural firm concluded that it would cost an estimated $16 million to remodel the building.
The date for the next Legislative Council meeting and the vote on buying the building isn't set but it could happen within the next few weeks.
The six-story building is on West Ninth Avenue along the Delaney Park Strip. Legislative Council Chair Linda Menard disclosed at the Aug. 23 Legislative Council meeting that for 11 years she's owned a "small house" across the street from the building. Menard, a Republican senator from Wasilla, said she would abstain from voting on the office building purchase if the other legislators on the council desired. But her colleagues objected, as is the tradition in the Legislature whenever a lawmaker asks to be excused from voting for a possible conflict of interest, and said she'd be required to vote.
Property records show the building is currently owned by a limited liability corporation led by Janice Ellsworth, whose husband, John Ellsworth, is a well-known Anchorage businessman and donor to political campaigns and the Republican Party of Alaska. Menard has said the council reviewed two dozen possible properties and Ellsworth's profile is not a consideration.
The current assessed value of the old Unocal building for property tax purposes is $1.8 million. Work has been done on the property and the Legislative Council, after getting an appraisal, is talking about paying $6.7 million.
Legislators have talked for years about moving out of the current office space they lease in Anchorage on West Fourth Avenue, saying there's not enough office space or parking. This is the latest push in recent years to buy a building.
"We've gone through several iterations of looking at various buildings and considering various options ... I think it's far better to own than to lease; I think the state will do much better in the long run," Senate president Stevens said on Thursday.
Fairbanks Democratic Sen. Joe Thomas said he wants better information on the remodel costs but agreed it is a potentially good deal for the state.
Chugiak Republican Rep. Bill Stoltze, though, said he's worried about costs ballooning after the remodeling started. "We have a responsibility to be intelligent buyers and this has far too many questions and uncertainties; it's not even a close call for me right now," Stoltze said.
Anchorage Republican Rep. Craig Johnson, who is also on the Legislative Council, said he would also vote against buying the old Unocal building.
Reach Sean Cockerham at scockerham@adn.com or 257-4344.
