Legislature(2007 - 2008)
2008-03-10 Senate Journal
Full Journal pdf2008-03-10 Senate Journal Page 2143 SB 301 SENATE BILL NO. 301 BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR, entitled: "An Act providing notice of and authorization for the Department of Administration to enter into a lease- purchase agreement for the construction, the purchase of equipment, and the financing of a fish hatchery in Anchorage to be operated by the Department of Fish and Game; relating to the issuance of certificates of participation for the fish hatchery; authorizing payments for the lease-purchase agreement from sport fishing facility license surcharge fees; relating to capital lease financing of sport fishing facilities; and providing for an effective date." was read the first time and referred to the Resources and Finance Committees. The following fiscal information was published today: Fiscal Note No. 1, Department of Revenue Fiscal Note No. 2, Department of Fish and Game 2008-03-10 Senate Journal Page 2144 Governor's transmittal letter dated March 6: Dear President Green: Under the authority of art. III, sec. 18, of the Alaska Constitution, I am transmitting a bill providing notice of and authorization for the Department of Administration to enter into a lease-purchase agreement for the construction, the purchase of equipment, and the financing of a fish hatchery in Anchorage to be operated by the Department of Fish and Game; relating to the issuance of certificates of participation for the fish hatchery; authorizing payments for the lease-purchase agreement from sport fishing facility license surcharge fees; and relating to capital lease financing of sport fishing facilities. The financing mechanism in this bill, along with financing from Chapter 94 SLA 2005, would provide sufficient funds to complete two essential state fish hatcheries, one in Anchorage and one in Fairbanks, as originally envisioned by the Legislature. The new hatcheries would play a vital role in ensuring the sustainability and harvestable surplus of fish in the state. They would aid Alaska in providing an important source of food for many citizens of the state and further the economic engine of a major industry in this state. The bill sets out the Legislature's findings, intent, and purpose regarding the authorization of the construction and financing of the fish hatchery in Anchorage, the total costs of which are anticipated to be $100 million. At least $21 million of that cost would be drawn from the proceeds of sport fishing facility revenue bonds already issued under the authority of AS 37.15.765. Up to $70 million of that cost would be financed by the issuance of certificates of participation authorized by the bill. The remaining $9 million of the cost would be financed by investment earnings on the proceeds of sport fishing facility revenue bonds. The bill constitutes the legislative notice and approval required by AS 36.30.085 for the Department of Administration to enter into a lease- purchase agreement for the Anchorage fish hatchery. The lease- purchase agreement would be financed by the issuance of certificates of participation, to be issued by the state bond committee, in the amount of up to $70 million. The certificates of participation would 2008-03-10 Senate Journal Page 2145 be secured by general fund monies and the sport fishing facility surcharge, subject to appropriation. The fish hatchery in Anchorage would be operated by the Department of Fish and Game. The bill makes conforming changes to various statutes in Title 16 to reflect the use of capital lease financing to construct the Anchorage fish hatchery. Finally, the bill provides for an immediate effective date. I urge your prompt and favorable action on this measure. Sincerely, /s/ Sarah Palin Governor