05/03/2002 01:40 PM Senate CRA

                                                                                                                                
                     SB 312-ENTERPRISE ZONES                                                                                
                                                                                                                              
 ZACH WARWICK,  staff to  Senator Gene  Therriault, explained  the                                                              
bill was  a companion  to HB  36 sponsored  by Representative  Joe                                                              
Hayes. They  drafted three  clarifying amendments  to address  the                                                              
concerns brought up during the previous hearing.                                                                                
                                                                                                                                
Amendment \A.1  was reference to  U.S. code and  in order to  be a                                                              
state  enterprise zone  it  had to  already  have  been a  federal                                                              
enterprise zone.  The whole  purpose of the  bill is to  offer tax                                                              
incentives   and  possibly   get  the   federal  enterprise   zone                                                              
designations so \A.1 removes the  U.S. code and keeps the original                                                              
language of what designates an enterprise zone.                                                                                 
                                                                                                                                
SENATOR  PHILLIPS made  a motion  to adopt  amendment \A.1.  There                                                              
being no objection, the amendment was adopted.                                                                                  
                                                                                                                                
SENATOR AUSTERMAN made a motion to adopt amendment \A.2.                                                                        
                                                                                                                                
MR. WARWICK explained there is language  in the bill that says the                                                              
groups  that  propose the  enterprise  zones  must be  cities  and                                                              
boroughs, but  there was language  included in the bill  that said                                                              
"except a city  that is located in a borough."  which would exempt                                                              
the City  of Fairbanks,  the City of  North Pole and  many others.                                                              
Amendment \A.2 removes that wording.                                                                                            
                                                                                                                                
There being no objection, amendment \A.2 was adopted.                                                                           
                                                                                                                                
SENATOR PHILLIPS made a motion to adopt amendment \A.3.                                                                         
                                                                                                                                
MR.  WARWICK explained  \A.3 addressed  Senator Lincoln's  concern                                                              
regarding a census tract.                                                                                                       
                                                                                                                                
There being no objection, amendment \A.3 was adopted.                                                                           
                                                                                                                                
There was no further testimony.                                                                                                 
                                                                                                                                
SENATOR  PHILLIPS  made  a  motion  to  move  CSSB  312(CRA)  from                                                              
committee    with   attached    fiscal    note   and    individual                                                              
recommendations.                                                                                                                
                                                                                                                                
There being no objection, it was so ordered.