Legislature(2011 - 2012)HOUSE FINANCE 519

02/29/2012 01:30 PM House FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Meeting Delayed to 2:00 p.m. Today --
+ HB 252 INCOME TAX EXEMPTION TELECONFERENCED
Heard & Held
*+ HCR 24 STATE FOOD RESOURCE DEVELOPMENT GROUP TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
HOUSE CONCURRENT RESOLUTION NO. 24                                                                                            
                                                                                                                                
     Relating to the establishment and operation of a state                                                                     
     food resource development working group.                                                                                   
                                                                                                                                
3:19:44 PM                                                                                                                    
                                                                                                                                
Representative Wilson  MOVED to ADOPT the  proposed committee                                                                   
substitute  for HCR  24, Work  Draft 27-LS1383/A  (Bannister,                                                                   
2/16/12) as a working document.                                                                                                 
                                                                                                                                
Representative   Doogan   OBJECTED   for   the   purpose   of                                                                   
discussion.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  BILL  STOLTZE,  SPONSOR, explained  that  the                                                                   
resolution  was a  broad ranged  approach  that attempted  to                                                                   
improve the  local purchases of  Alaskan wild  caught seafood                                                                   
and  agricultural  products.  He offered  that  although  the                                                                   
legislation  was only a  resolution, it  already had  support                                                                   
within  the   administration.   The  legislation  worked   to                                                                   
encourage  existing  agencies  to work  together  to  enhance                                                                   
food  security  in  order  to  improve  the  amount  of  wild                                                                   
Alaskan seafood  and agricultural  products that  people were                                                                   
buying, without  the creation  of a lot  of new programs.  He                                                                   
opined  that one  of the  failures of  agriculture in  Alaska                                                                   
had been too  much innovation and expansion  and offered that                                                                   
this was true  of fish plants, dairies, and  silos. He stated                                                                   
that Alaska  had a  lot of good,  hard-working fisherman  and                                                                   
farmers who knew  how to harvest from the seas  and land. The                                                                   
resolution was an  attempt to encourage the state  to do more                                                                   
with its  resources. He  discussed including nutritious  food                                                                   
in  classrooms  and  offered   that  the  state  had  already                                                                   
"ceded"  nutrition when  Taco Bell  and Pizza  Hut were  both                                                                   
accepted  vendors  in  schools.   He  shared  his  view  that                                                                   
Alaskan  seafood should  be  served in  schools  as often  as                                                                   
possible.  He   stated  that   Commissioner  Bell   from  the                                                                   
Department  of Commerce  Community  and Economic  Development                                                                   
had  indicated that  the application  of  the resolution  was                                                                   
doable. He suggested  that due to the nature  of bureaucracy,                                                                   
state  agencies  often did  not  communicate well  with  each                                                                   
other and that  the legislation was an effort  to develop and                                                                   
purchase more  Alaskan products in  order to get  better food                                                                   
into  the  state's  pantries,   school  programs,  and  food-                                                                   
security  warehouses.  He  believed  that  the  opportunities                                                                   
were "boundless"  and pointed  out that  the legislation  was                                                                   
not currently requesting any funding.                                                                                           
                                                                                                                                
3:24:46 PM                                                                                                                    
                                                                                                                                
Co-Chair Stoltze  related that he had benefited  from serving                                                                   
on the Alaskan  Seafood Marketing Institute for  eight years,                                                                   
as well  as from representing  an agricultural  district that                                                                   
contained  large and  small farmers.  He  discussed the  high                                                                   
quality  of  agricultural  products  from  his  district  and                                                                   
shared a personal  story about a trip to Barrow.  He observed                                                                   
that  there was  a  possible market  in  Barrow for  Alaskan-                                                                   
grown  carrots during  the winter.  He discussed  integrating                                                                   
Alaskan   food   with   the    Department   of   Corrections'                                                                   
dormitories  and shared  the value  of the  state buying  its                                                                   
own  products.   He  stated  the  importance  of   having  an                                                                   
integrated plan  that would get the state's  commissioners to                                                                   
work  together   to  promote   Alaska's  local  seafood   and                                                                   
produce. He observed  that the larger amount  of economic and                                                                   
year-round value  would be in  Alaskan seafood, but  that the                                                                   
resolution  would be  a big win  for the  state's growers  as                                                                   
well.  He  offered that  the  Alaskan  agricultural  industry                                                                   
could  grow  more, but  that  it  needed to  develop  markets                                                                   
before  it expanded.  He  concluded  that Alaska  had  smart,                                                                   
capable, innovative,  and productive  fisherman and  farmers,                                                                   
and that  the state could  do a lot more  than it had  in the                                                                   
past.  He pointed  out  that he  would  like  to see  Alaskan                                                                   
seafood   and   agricultural    products   in   the   state's                                                                   
correctional  facilities,  universities,   and  school  lunch                                                                   
programs and  stated that he was  willing to set  aside money                                                                   
in  the capital  budget for  the creation  of a  "commodities                                                                   
food  bank." He  reiterated displeasure  that  Taco Bell  and                                                                   
Pizza Hut were served in Alaskan schools.                                                                                       
                                                                                                                                
3:29:03 PM                                                                                                                    
                                                                                                                                
Representative  Guttenberg   supported  the   resolution.  He                                                                   
discussed  that in  many ways,  the state was  at a  critical                                                                   
point.  He  mentioned   the  loss  of  federal   funding  for                                                                   
Alaska's  agricultural  research  and  the  "crisis"  at  the                                                                   
experimental farm  at the University of Alaska  Fairbanks. He                                                                   
inquired  how  Alaska  found  itself in  the  position  of  a                                                                   
crisis and  commented that  the state used  to have  a robust                                                                   
agriculture industry.  He recalled that mission  schools used                                                                   
to have  "huge gardens" and  discussed greenhouses  that used                                                                   
to  be at  various hot  springs.  Co-Chair Stoltze  responded                                                                   
that  he was  unsure how  the  state had  de-evolved to  such                                                                   
poor food  choices. He  mused how society  had gotten  to the                                                                   
point  where a  raw carrot  was often  a "foreign  substance"                                                                   
for a  child. He  offered that  successful farmers  in Alaska                                                                   
were successful  not because of  government, but in  spite of                                                                   
it  and opined  that  the  Department of  Natural  Resources'                                                                   
(DNR)   Division  of   Agriculture   could  use   a  lot   of                                                                   
improvement.  He furthered that  the Division of  Agriculture                                                                   
had  carried some  "political  baggage"  over the  years  and                                                                   
that  it  had  internal  issues.   He  stated  that  DNR  was                                                                   
responsible  for  helping  the state  produce  its  minerals,                                                                   
oil, gas,  as well  as other  land resources  and that  given                                                                   
those  responsibilities,  it   had  been  difficult  for  the                                                                   
department to  stay focused on agriculture;  the difficulties                                                                   
within  the   department  regarding  the  promotion   of  the                                                                   
state's agriculture  was one of  the reasons the  sponsor had                                                                   
brought  up  the  resolution.   He  reiterated  that  he  was                                                                   
pleased that  the administration had embraced  the resolution                                                                   
and mentioned  that while it  might not be very  substantive,                                                                   
it was  a good place  to start.  The resolution attempted  to                                                                   
get  agencies involved  and  working together.  He  concluded                                                                   
that the  legislation was  not a  perfect document,  but that                                                                   
it  was   a  best  effort   to  examine  who   was  involved;                                                                   
furthermore, it  had been successful  as a talking  point and                                                                   
a working document.                                                                                                             
                                                                                                                                
Representative  Edgmon indicated  that he  would be happy  to                                                                   
work  with Co-Chair  Stoltze  on  the resolution.  He  stated                                                                   
that he  would like  regional non-profit  associations  to be                                                                   
listed  somewhere  in  the  legislation.   He  mentioned  the                                                                   
Bristol  Bay Native Association's  work  with the local  food                                                                   
bank and  nearby schools  and talked  of trading local  foods                                                                   
within  the  areas  of  Alaska. He  related  that  his  local                                                                   
school  district  had  initiated   a  program  whereby  local                                                                   
fisherman  donated fresh  salmon to  local processers,  which                                                                   
was then served  every Friday in school. He  offered that the                                                                   
resolution  would  help  promote  other  programs  that  were                                                                   
similar  to the  fish program  in  his constituency's  school                                                                   
district.   Co-Chair  Stoltze   agreed  that   Representative                                                                   
Edgmon's region  gave a lot of  good ideas in regard  to what                                                                   
works  locally. He  discussed visiting  with fish  processors                                                                   
from  Togiak   and  spoke  of   the  value  of   using  local                                                                   
facilities and people  in Togiak, rather than  building a new                                                                   
fish plant in Anchorage.  He offered that it was  a good idea                                                                   
to  give  regional  producers  the  economic  opportunity  of                                                                   
producing a product.                                                                                                            
                                                                                                                                
3:35:39 PM                                                                                                                    
                                                                                                                                
Representative  Doogan WITHDREW  his  OBJECTION. There  being                                                                   
NO further OBJECTION, Work Draft 27-LS1383/A was ADOPTED.                                                                       
                                                                                                                                
Vice-Chair  Fairclough   commented  that  the   locally-grown                                                                   
carrots  from Co-Chair  Stoltze's district  were some  of the                                                                   
sweetest and most  nutritious carrots that could  be found in                                                                   
America.  She  noted that  the  local  growers were  doing  a                                                                   
fabulous  job  producing  carrots.  She  referenced  Alaska's                                                                   
high rates  of obesity, particularly  in schools,  and opined                                                                   
that the  resolution was a  creative idea that  would benefit                                                                   
students, farmers, and fishermen.                                                                                               
                                                                                                                                
3:36:54 PM                                                                                                                    
                                                                                                                                
BARRY  CREIGHTON, PRESIDENT,  IONIA,  INC.,  KENAI, spoke  in                                                                   
support of the  resolution. He explained that  Ionia Inc. was                                                                   
a non-profit  organization that  consisted of  a group  of 25                                                                   
families who all  had history of behavioral  health problems;                                                                   
the  families  had  banded  together  for  peer  support  and                                                                   
quickly  realized  that  food  was the  foundation  of  their                                                                   
world. He  related that Iona Inc.  used simple food,  such as                                                                   
grains,  vegetables, or  seaweed. He shared  that Ionia  Inc.                                                                   
had  applied  for a  grant  through  the Alaska  Science  and                                                                   
Technology and  the Alaska  Conservation Foundations  to find                                                                   
grain that  would grow  in Alaska.  Through the grant,  Ionia                                                                   
had  purchased a  tractor  and had  cleared  land. Ionia  had                                                                   
found  40 different  heirloom  seeds from  around the  world,                                                                   
one  of which  was  a barley  seed  from the  Himalayas.  The                                                                   
Himalayan  barley had a  very short  growing season,  grew in                                                                   
poor soil, and  flourished in turned-over muskeg  without any                                                                   
assistance.  The term "heirloom"  meant that  a seed  had not                                                                   
been hybridized.  He explained  that Iona  Inc. had  produced                                                                   
over 1,000  lbs. of seed from  one seed packet,  consumed 800                                                                   
lbs.  of whole  grain  per month,  had  cleared  30 acres  of                                                                   
land, and  were in  the process of  building a 12,000  square                                                                   
foot barn.  He furthered  that Ionia Inc.  had 2,000  feet of                                                                   
raised   garden  beds,   as   well  as   three   50-foot-long                                                                   
greenhouses.  He  related  that  the group  had  about  15-20                                                                   
children in  the Connections  Homeschool Program.  He pointed                                                                   
out  that he  had been  on the  board of  the federal  health                                                                   
clinic in Soldotna  for the last 10 years and  that over that                                                                   
period,  the rates  of  diabetes and  obesity  in Alaska  had                                                                   
risen drastically.  He offered that  food could be used  as a                                                                   
frame  of  reference  to  countermeasure  some  of  society's                                                                   
problems,  particularly  in the  area  of mental  health.  He                                                                   
shared  that  many of  Ionia  Inc.  families had  used  heavy                                                                   
psychotropic  drugs  prior to  joining  the group,  but  that                                                                   
after  adopting a  "food frame  of  reference", the  families                                                                   
had been  drug free for 25  years. He stated that  using food                                                                   
did  not cure  anything, but  that it  brought the  "symptoms                                                                   
down  the  pendulum to  idiosyncratic  behavior,  instead  of                                                                   
socio." He  stated that  from a  fiscal perspective,  not one                                                                   
member of  Ionia Inc.  spent time  at the Alaska  Psychiatric                                                                   
Institute, which had  a cost to the state of  $1,200 per day.                                                                   
He  offered  that Ionia  Inc.'s  peer  support and  food  had                                                                   
provided its members  with a foundational frame  of reference                                                                   
to approach their problems and achieve a restorative life.                                                                      
                                                                                                                                
3:40:38 PM                                                                                                                    
                                                                                                                                
CATHY  CREIGHTON, IONIA,  INC., KENAI,  testified in  support                                                                   
of  the resolution  and related  that Ionia  had a  dedicated                                                                   
website.  She  stated  that  Ionia   Inc.  had  been  growing                                                                   
healthy food  for 25  years in Alaska.  She related  that the                                                                   
group had been  mostly isolated, but that over  the past year                                                                   
people  from  the  state  had   been  coming  to  Ionia  Inc.                                                                   
desiring  information and  cooking classes.  She shared  that                                                                   
all  the  local  health  organizations   were  interested  in                                                                   
healthy food,  as well  as gardening  clubs and related  that                                                                   
Iona was  no longer  alone in its  desire for healthy  foods.                                                                   
She  opined   that  Alaskan-grown  vegetables   were  strong,                                                                   
sweet, and  nutritious  and had very  special qualities.  She                                                                   
discussed  Alaska's  grass-roots  appetite and  related  that                                                                   
having   the  partnership   of   the  government   would   be                                                                   
encouraging   and   beneficial   to  "this   movement."   She                                                                   
furthered  that  the  legislation   would  be  beneficial  to                                                                   
health  organizations,  the  state's economics,  as  well  as                                                                   
children in schools.  She added that Diane Peck,  who was the                                                                   
chair of  the Alaska Food Policy  Council and an  employee of                                                                   
Department  of  Health  and Social  Services,  had  requested                                                                   
that the  Department of  Environmental Conservation  be added                                                                   
to the resolution's list of state organizations.                                                                                
                                                                                                                                
Co-Chair Stoltze  replied that  he would take  a look  at the                                                                   
resolution.                                                                                                                     
                                                                                                                                
Mr.  Creighton stated  that  the  prior year,  the  Rasmussen                                                                   
Foundation  had started  the  Health Food  Initiative,  which                                                                   
would  serve as a  means to  deal with  health issues  across                                                                   
the state,  and related  that the  foundation was willing  to                                                                   
"pour money" into the initiative.                                                                                               
                                                                                                                                
3:44:23 PM                                                                                                                    
                                                                                                                                
DARREN  SNYDER, BOARD  MEMBER,  ALASKA  FOOD POLICY  COUNCIL,                                                                   
voiced strong  support  for the resolution.  He related  that                                                                   
the  resolution recognized  the  importance  of developing  a                                                                   
strong  and  secure  food system  that  could  provide  jobs,                                                                   
support healthy  communities, and  increase food  security to                                                                   
feed  the  hungry  and  insulate  the  state  from  potential                                                                   
disruptions  in food  supply.  Currently,  over 130  Alaskans                                                                   
had joined  the Alaska  Food Policy  Council due to  concerns                                                                   
they had  over the food  challenges facing Alaska.  He shared                                                                   
that  the  council  consisted  of  farmers,  fisherman,  food                                                                   
banks,  subsistence  users,  school  districts,  food  safety                                                                   
regulators,  processors,  educators,  families,  as  well  as                                                                   
others and that  the members had realized that  more progress                                                                   
could be made  towards healthy Alaska communities  by working                                                                   
together.  The Alaska  Food Policy  Council  had developed  a                                                                   
strategic   plan   to   guide    positive   actions   towards                                                                   
strengthening Alaska's  food systems.  He shared that  HCR 24                                                                   
and  the  proposed  State  Food   Resource  Work  Group  were                                                                   
perfectly  aligned  with  the  vision,  mission,  goals,  and                                                                   
strategies  of the  Alaska Food  Policy  Council. He  related                                                                   
that the  council was pleased  with the inclusion of  each of                                                                   
the departments  that were in the legislation,  but requested                                                                   
that the  Department of  Environmental Conservation  be added                                                                   
because it  played a  key role  within Alaska's food  system.                                                                   
He  addressed   an  earlier   question  from   Representative                                                                   
Guttenberg regarding  how the state  had found itself  in the                                                                   
position  it was  in. He  discussed America's  lower cost  of                                                                   
food since  the 1950s  and explained  that  the Lower 48  had                                                                   
"priced  out" Alaska's  ability to compete.  He related  that                                                                   
part  of the  Alaska  Food  Policy Council's  strategic  plan                                                                   
involved  strengthening  enforcement  language in  the  local                                                                   
agriculture  and  fisheries product  preference  statute,  AS                                                                   
36.15.050;  strengthening  this   statute  would  incentivize                                                                   
people  to purchase  Alaskan  products.  He related  a  story                                                                   
about the famous  and successful Anway strawberry,  which had                                                                   
been  developed   in  Haines.  He  related  that   the  Anway                                                                   
strawberry  had  diminished  partly because  people  did  not                                                                   
recognize  the importance  of a tasty,  delicious, and  fresh                                                                   
product   and   because   purchasers  had   opted   for   the                                                                   
convenience    of   frozen    strawberries.   He    addressed                                                                   
Representative Edgmon's  question regarding the  inclusion of                                                                   
some  Native  corporations  and  health  consortiums  in  the                                                                   
resolution  and   related  that   he  fully  supported   that                                                                   
concept.  He concluded  that the Alaska  Food Policy  Council                                                                   
had  worked  hard to  make  sure  it had  representation  for                                                                   
everyone on its governing board.                                                                                                
                                                                                                                                
3:49:29 PM                                                                                                                    
                                                                                                                                
LESLIE   HOUSTON,   DIRECTOR,  DIVISION   OF   ADMINISTRATIVE                                                                   
SERVICES,   DEPARTMENT   OF    CORRECTIONS,   expressed   the                                                                   
Department of  Correction's (DOC) support of  the resolution.                                                                   
She discussed  that the  department had  tracked its  Alaskan                                                                   
grown purchases  at the end of  FY 08 and that the  number of                                                                   
purchases was  "not that great,"  being anywhere  from 30,000                                                                   
to  60,000.  She  related  that   in  FY  10,  Representative                                                                   
Stoltze had brought  DNR, DOC, and some of  the Mat-Su Valley                                                                   
farmers  into  discussions regarding  Alaska  purchases;  the                                                                   
meeting had  been an  education process for  DOC, as  well as                                                                   
the farmers  regarding the best  way to sell products  to the                                                                   
state under  DOC's procurement  code. After  the meeting  was                                                                   
held,  the next  year's purchasing  in FY  11 increased  from                                                                   
30,000  to  60,000   per  year;  currently,  the   number  of                                                                   
purchases  was  at  105,000  per   year  and  the  department                                                                   
expected  FY  12's  purchases  to  exceed  that  number.  She                                                                   
mentioned  that  the  effort  to buy  local  foods  had  been                                                                   
successful, the nutritional  value of the food  was high, and                                                                   
that inmates within  DOC had commented on the  quality of the                                                                   
food. She  pointed out that DOC  had worked closely  with DNR                                                                   
on  local  purchasing and  that  currently,  DOC was  in  the                                                                   
process of  working with the  Matanuska Creamery  to purchase                                                                   
cheese. She  stated that  she was  also initiating  a process                                                                   
to start the  purchasing of local seafood and  concluded that                                                                   
DOC was fully supportive of the resolution.                                                                                     
                                                                                                                                
Co-Chair Stoltze  observed that  the state's departments  had                                                                   
been  very cooperative  in  getting  the resolution  to  this                                                                   
point.                                                                                                                          
                                                                                                                                
3:51:47 PM                                                                                                                    
                                                                                                                                
JOE  BALASH,  DEPUTY  COMMISSIONER,   DEPARTMENT  OF  NATURAL                                                                   
RESOURCES,  voiced the  department's strong  support for  the                                                                   
resolution.  He  discussed  the  economical  value  and  food                                                                   
supply  that  came  with a  strong  agricultural  sector  and                                                                   
related   that  the   department   would   assist  with   the                                                                   
resolution's effort in anyway it could.                                                                                         
                                                                                                                                
RAY  RIUTTA,  EXECUTIVE DIRECTOR,  ALASKA  SEAFOOD  MARKETING                                                                   
INSTITUTE,  DEPARTMENT OF  COMMERCE,  COMMUNITY AND  ECONOMIC                                                                   
DEVELOPMENT,  vocalized  the   institute's  support  for  the                                                                   
resolution.  He shared that  seafood was  a "brain  food." He                                                                   
related that there  was an increasing trend to  buy local and                                                                   
that  the timing  for  the resolution  was  right. He  stated                                                                   
that Alaska  had great products  and that the  Alaska Seafood                                                                   
Marketing  Institute (ASMI)  was committed  to work  together                                                                   
with   all  the   parties  that   were   involved  with   the                                                                   
resolution. He pointed  out that ASMI was serving  90 lbs. of                                                                   
Mat-Su  Valley carrots  at  the  Boston Seafood  Show,  where                                                                   
ASMI  would serve  seafood to  800  to 900  of Alaska's  best                                                                   
customers.                                                                                                                      
                                                                                                                                
Representative  Wilson asked whether  ASMI had sales  through                                                                   
the   schools   or  whether   local   districts   made   that                                                                   
complicated.  Mr.  Riutta  responded   that  the  sales  were                                                                   
primarily  handled  on  a  local level,  but  that  ASMI  was                                                                   
currently  working   on  a  national  level   school  feeding                                                                   
program, which would serve Pollock.                                                                                             
                                                                                                                                
Representative  Wilson wondered  whether  the national  level                                                                   
program included  Alaskan schools. Mr. Riutta  responded that                                                                   
it should include all schools.                                                                                                  
                                                                                                                                
3:54:43 PM                                                                                                                    
                                                                                                                                
Representative  Gara  pointed  to  the  less  than  desirable                                                                   
school  lunches and  asked Mr.  Riutta to take  the issue  to                                                                   
the ASMI  board. He related  that he  would like to  see ASMI                                                                   
file  school nutrition  legislation  in  order  to have  some                                                                   
real  guidelines  for food  in  Alaskan schools.  Mr.  Riutta                                                                   
replied that he would take the issue to the board.                                                                              
                                                                                                                                
3:55:39 PM                                                                                                                    
                                                                                                                                
BRYCE  WRIGLEY,  ALASKA  FARM  BUREAU,  DELTA  JUNCTION  (via                                                                   
teleconference),  expressed  the   bureau's  support  of  the                                                                   
resolution and  related that it  offered a collaborative  and                                                                   
comprehensive effort  to address food security  in Alaska. He                                                                   
reported that  Alaska imported about  95 percent of  the food                                                                   
it consumed  and that the state  had a three-day  to one-week                                                                   
supply of  food if  a transportation  breakdown occurred.  He                                                                   
explained  that agriculture  and  fishing were  the only  two                                                                   
industries  in Alaska  that produced  food.  He related  that                                                                   
the  resolution  encouraged a  collaborative  effort  between                                                                   
the   Alaska   Food   Policy   Council,   the   Division   of                                                                   
Agriculture,   the  Department   of   Fish   and  Game,   the                                                                   
Department of  Commerce, Community and Economic  Development,                                                                   
the   Department  of   Health   and  Social   Services,   the                                                                   
Department  of   Military  and  Veterans  Affairs,   and  the                                                                   
Department   of   Education  and   Early   Development.   The                                                                   
legislation  also  encouraged  participation  from  4-H,  the                                                                   
Future Farmers  of America, the  Alaska Farm Bureau,  as well                                                                   
as  encouraging  research by  the  University of  Alaska.  He                                                                   
furthered that the  resolution was an effort  to secure food,                                                                   
improve   health,  and   strengthen   Alaska's  economy.   He                                                                   
directed  the  committee's  attention  to  page  1,  lines  8                                                                   
through  10, which  showed that  Alaska  spends $1.5  billion                                                                   
annually  on  food;  if  the   amount  that  Alaska  produced                                                                   
increased  by 30  percent,  it  would represent  almost  $500                                                                   
million  in  additional sales  and  at  least $2  billion  of                                                                   
increased economic  activity to the state. He  shared that in                                                                   
2011, the  state's oil  revenue had  been about $5.3  billion                                                                   
and  that $2  billion would  represent almost  40 percent  of                                                                   
Alaska  unrestricted  oil revenue  from  the prior  year.  He                                                                   
opined  that  the  state  had  focused for  a  long  time  on                                                                   
keeping  oil  flowing  in  the   pipeline  and  that  it  had                                                                   
forgotten about the importance of producing its own food.                                                                       
                                                                                                                                
DANNY  CONSENSTEIN, STATE  EXECUTIVE  DIRECTOR, FARM  SERVICE                                                                   
AGENCY, UNITED  STATES DEPARTMENT OF AGGRICULTURE,  ANCHORAGE                                                                   
(via  teleconference), voiced  the  United States  Department                                                                   
of  Agriculture's  (USDA)  support  for  the  resolution  and                                                                   
mentioned that  he was also a  member of the  governing board                                                                   
of the Alaska  Food Policy Council, which also  supported the                                                                   
resolution.  He  offered  that  the USDA  was  excited  about                                                                   
being  a  partner  in the  resolution  and  that  local  food                                                                   
production  was  a priority  for  the department  because  it                                                                   
benefited  local  communities  by  helping  to  create  jobs,                                                                   
improving nutrition,  and increasing food security.  He added                                                                   
that  Alaska  was  vulnerable  to  disruptions  in  its  food                                                                   
supply and  related that  he was looking  forward to  being a                                                                   
partner  with  the state  and  its  agencies to  improve  and                                                                   
strengthen Alaska's food systems.                                                                                               
                                                                                                                                
4:00:20 PM                                                                                                                    
                                                                                                                                
Co-Chair  Stoltze thanked  the committee  and the public  for                                                                   
suggestions  regarding  the  resolution.  He  noted  that  he                                                                   
tried  to be  as  inclusive as  possible  when selecting  the                                                                   
legislation's   participants    and   that   he   appreciated                                                                   
Representative  Edgmon's suggestion.  He  explained that  any                                                                   
omissions were not  intentional and stated that  he wanted to                                                                   
include the  Department of Environmental Conservation  in the                                                                   
resolution  for the  areas that  it had  a constructive  role                                                                   
in,  while  still  acknowledging   that  the  department  had                                                                   
implemented  policies  that  were   not  always  popular.  He                                                                   
mentioned  that  he  would  work to  add  provisions  to  the                                                                   
resolution and  would bring it  back before the  committee at                                                                   
a future  date. He related  that he was  pleased to  see more                                                                   
people   discussing   Alaskan   fisheries   and   agriculture                                                                   
together  and offered that  there was  a constructive  spirit                                                                   
of  cooperation towards  the goals  of  better food  security                                                                   
and increasing  local, nutritious  purchases. He  agreed that                                                                   
Alaskan salmon was  a brain food and that Pollock  would be a                                                                   
preferable  alternative   to  serve   in  tacos   for  school                                                                   
lunches.                                                                                                                        
                                                                                                                                
Vice-Chair Fairclough CLOSED public testimony.                                                                                  
                                                                                                                                
4:03:23 PM                                                                                                                    
                                                                                                                                
Representative  Joule shared  that he was  excited about  the                                                                   
resolution.  He recalled  a personal  story  about living  in                                                                   
the Alaskan  communities  and related that  the community  he                                                                   
was living in would  take one day a month in  its schools "to                                                                   
be Inupiat people;"  during this time, one of  the things the                                                                   
community  brought  into  the  schools  was  local  food.  He                                                                   
shared that families  had worked together during  the harvest                                                                   
times and that  it was fun to watch families,  the community,                                                                   
and  the schools  to  be  able to  enjoy  the good  food.  He                                                                   
related  that  there  were  nutritional  issues  in  Alaska's                                                                   
schools,  jails,  residential  facilities,  state  hospitals,                                                                   
and  other facilities  and  that the  discussion  surrounding                                                                   
the resolution was  great. He stated that years  prior, there                                                                   
had been  a funding  request for a  pilot program  that would                                                                   
have replicated blueberries  in Alaska, but that  that it had                                                                   
been  vetoed.  He   related  that  he  often   wondered  what                                                                   
possibilities  Alaska had lost  as a result  of the  veto. He                                                                   
observed  that  he  managed  the  Department  of  Health  and                                                                   
Social  Services'  budget  and  that  obesity  cost  Alaskans                                                                   
somewhere  between $459  million  to $477  million per  year;                                                                   
the state's investment to fight that issue was $400,000.                                                                        
                                                                                                                                
Representative  Guttenberg  mentioned that  there  was a  new                                                                   
strain of  blueberries that  grew in  clumps like grapes.  He                                                                   
offered   that   normally,  the   problem   with   harvesting                                                                   
commercial  blueberries was  that  they fruited  in a  sparse                                                                   
pattern;  however,  an  experimental farm  in  Fairbanks  was                                                                   
working  with  local  farmers  on  the  new  blueberries.  He                                                                   
related that there  was a lot of research being  conducted on                                                                   
and  off  university  campuses   regarding  the  benefits  of                                                                   
Alaskan   blueberries   and  mentioned   that   the   state's                                                                   
blueberries    contained    incredibly   high    levels    of                                                                   
antioxidants.  He shared that  agricultural programs  outside                                                                   
of   Alaska   were  requesting   samples   of   the   state's                                                                   
blueberries  in  order to  try  to  grow them  elsewhere.  He                                                                   
stated  that hopefully,  the secret  to Alaska's  blueberries                                                                   
was  the  state's  extended  periods   of  light  during  the                                                                   
growing season.                                                                                                                 
                                                                                                                                
4:07:46 PM                                                                                                                    
                                                                                                                                
Representative   Wilson  remarked   on   the  importance   of                                                                   
nutrition  in the  state's  schools.  She observed  that  the                                                                   
state  spent  a  considerable  amount  of  money  on  serving                                                                   
breakfasts  and lunches in  schools, but  that the  meals had                                                                   
very little  nutritional  value. She offered  that the  value                                                                   
in healthy food  was found not only in eating  well, but also                                                                   
in learning and  teaching others to grow their  own food. She                                                                   
mentioned  that the school  in Tok  already had a  greenhouse                                                                   
on location and  that the middle school in  North Pole, which                                                                   
was in her district,  was making efforts in  that regard. She                                                                   
concluded   that   time   spent  with   family   and   having                                                                   
nutritional  food  could not  be  replaced by  a  can from  a                                                                   
store.                                                                                                                          
                                                                                                                                
Representative Gara  believed that one  of his failings  as a                                                                   
legislator  had been that  he had  never introduced  a school                                                                   
nutrition  bill. He  opined  that if  the  state was  serious                                                                   
about  fighting  obesity  and  creating a  market  for  local                                                                   
foods, part  of the solution had  to be standards  for school                                                                   
lunches.  He  pointed  out  that   school  lunches  contained                                                                   
simple  carbohydrates, high  amounts of  saturated fats,  and                                                                   
sometimes  trans  fats,  all  of  which  caused  obesity.  He                                                                   
expressed  regret that he  never carried  a bill with  better                                                                   
standards  for school lunches  and hoped  that someone  would                                                                   
introduce such a bill in the future.                                                                                            
                                                                                                                                
Vice-Chair Fairclough  discussed a zero fiscal  note from the                                                                   
Legislature.   She   requested   that  amendments   for   the                                                                   
resolution be submitted to Co-Chair Stoltze's office.                                                                           
                                                                                                                                
Co-Chair   Stoltze  requested   that   suggestions  for   the                                                                   
resolution  come in  the form  of concepts  or ideas,  rather                                                                   
than amendments.  He opined that  it would be  more efficient                                                                   
to  incorporate  changes  into  a  committee  substitute.  He                                                                   
reiterated  that   he  was  open  for  ideas   and  that  the                                                                   
resolution  was  an inclusive  document;  however,  it  would                                                                   
probably not  be quite as  open to all  comers as  the Alaska                                                                   
Food Policy Council  due to certain restrictions  and efforts                                                                   
to  keep the  document  focused. He  stated  that his  office                                                                   
could  figure  out   how  integrate  the  changes   with  the                                                                   
existing language of the resolution.                                                                                            
                                                                                                                                
Vice-Chair  Fairclough  noted  that the  Alaska  Food  Policy                                                                   
Council's strategic plan was included in member's packets.                                                                      
                                                                                                                                
4:11:24 PM                                                                                                                    
                                                                                                                                
HCR  24  was   HEARD  and  HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                
Vice-Chair  Fairclough  discussed   the  following  meeting's                                                                   
agenda.                                                                                                                         
                                                                                                                                

Document Name Date/Time Subjects
CS (L&C) House Bill 252 Sectional Summary.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-26 USC 1202.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-Alaska Chamber support letter color.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-Brent Fisher email.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-Alaska Chamber support letter color.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
Explanation of Changes - HB252 vs. CSHB252(L&C).pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-Andrew Mitton email.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-Allan Johnston Support Letter.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-State Positions-AK Chamber.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 Supporting Documents-Kauffman Foundation Report.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HCR24-NEW FN- LEG- 2-28-12.pdf HFIN 2/29/2012 1:30:00 PM
HCR 24
HCR 24 Sponsor Statementpdf.pdf HFIN 2/29/2012 1:30:00 PM
HCR 24
HB252 Fairbanks Ec. Dev Corp Letter.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HB252 CS WORKDRAFT 27-LS1085-D 2.29.12.pdf HFIN 2/29/2012 1:30:00 PM
HB 252
HCR 24 Snyder Testimony.pdf HFIN 2/29/2012 1:30:00 PM
HCR 24
HCR24 Alaska Food Policy Council Strategic Plan.pdf HFIN 2/29/2012 1:30:00 PM
HCR 24
HB252-NEW-DOR-TAX-02-29-12.pdf HFIN 2/29/2012 1:30:00 PM
HB 252