Legislature(2001 - 2002)

04/04/2001 03:40 PM Senate RES

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
              SB  35-ELECTRONIC FISH & GAME LICENSURE                                                                       
                                                                                                                              
CHAIRMAN  JOHN  TORGERSON  called  the  Senate  Resources  Committee                                                          
meeting  to order  at 3:40 p.m.  and announced  SB 35  to be up  for                                                            
consideration.                                                                                                                  
                                                                                                                                
MR. KEVIN  BROOKS,  Director, Division  of  Administrative  Service,                                                            
Alaska Department of Fish  and Game (ADF&G), said that at the end of                                                            
1999 the department  had application  available on the Internet  for                                                            
purchase  of fish and  game licenses,  which proved  to be  popular.                                                            
ADF&G  sold  nearly  10,000  pieces  of  stock  and  generated  over                                                            
$800,000 of revenue  using this method. The total  revenue for ADF&G                                                            
for one year  is about $23 million  and 700,000 - 800,000  pieces of                                                            
stock.  The response  from the public  has been  very positive,  but                                                            
ADF&G  has  found that  the  statutes  as written  presume  a  paper                                                            
process.  The Internet  application  takes  24 -  48  hours for  the                                                            
department  to process.  It  works well  for  non-residents  because                                                            
there is  a lot more  preplanning  that goes into  their trips,  but                                                            
ADF&G is trying  to bridge the gap  for those people who  would want                                                            
to  fish the  same  day. He  said  ADF&G does  not  anticipate  that                                                            
Internet  applications  will  take  the  place  of over-the-counter                                                             
sales. ADF&G  has over 1,500 vendors  statewide that it appreciates                                                             
doing business with.                                                                                                            
                                                                                                                                
SB 35  would allow  ADF&G,  in conjunction  with  the Department  of                                                            
Public Safety  and the Fish  and Wildlife  Protection, to develop  a                                                            
paperless method  of issuing licenses. Currently four  other states,                                                            
Idaho, Georgia,  Oklahoma,  and Florida, use  a "smart number."  The                                                            
number includes digits  that identify the license year and gender of                                                            
the individual  and possibly other information. The  number would be                                                            
encoded and  the bill would  require the  individual who decides  to                                                            
purchase a license in this  manner to agree to carry a picture I.D.,                                                            
which would help enforcement.                                                                                                   
                                                                                                                                
MR. BROOKS  said ADF&G is trying to  take three things into  account                                                            
in  changing the  licensing  system: it  wants  to make  sure it  is                                                            
enhancing  public service;  it is not doing  anything to  jeopardize                                                            
enforcement  efforts;  and  it  is not  doing  anything  that  would                                                            
negatively affect the revenue stream.                                                                                           
                                                                                                                                
He said ADF&G has attempted  to address some of the potential issues                                                            
by requiring a best interest  finding and getting the concurrence of                                                            
the Division  of  Enforcement, which  has expressed  concerns  about                                                            
going paperless.  Another issue of importance is finding  a good way                                                            
to record the  harvest. The bill would give legislative  approval to                                                            
pursue electronic licensing.                                                                                                    
                                                                                                                                
CHAIRMAN  TORGERSON  said he  had some  of the same  concerns  about                                                            
recording harvest.                                                                                                              
                                                                                                                                
MR. BROOKS  said they have  discussed whether  making the  licensing                                                            
system  easier for  a person  would make  someone  who is  otherwise                                                            
honest more  prone to  cheat on a  license. He  said ADF&G needs  to                                                            
work  with the  Board of  Game to  find an  effective  way to use  a                                                            
harvest ticket that is based on the honor system.                                                                               
                                                                                                                                
CHAIRMAN TORGERSON  responded "It's only an honor  system if you got                                                            
away with it."                                                                                                                  
                                                                                                                                
MR. BROOKS  agreed. He said  that a person  is supposed to  record a                                                            
harvest "while the slime is still on your hands."                                                                               
                                                                                                                                
CHAIRMAN  TORGERSON said he  didn't see how  a person, "could  do it                                                            
with a beautiful  picture I.D. card  that says Alaska Fish  and Game                                                            
on it."                                                                                                                         
                                                                                                                                
MR. BROOKS  responded that  a separate harvest  ticket would  be the                                                            
option.                                                                                                                         
                                                                                                                                
CHAIRMAN TORGERSON replied  then ADF&G has to mail it so it might as                                                            
well keep the other system.                                                                                                     
                                                                                                                                
MR. BROOKS  responded that  he didn't view  that as a reason  not to                                                            
try to make this a better system.                                                                                               
                                                                                                                                
CHAIRMAN  TORGERSON  said he  would  like to  see the  whole  system                                                            
before he gives him a bill.                                                                                                     
                                                                                                                                
SENATOR ELTON  said it seems that  one of the check points  that may                                                            
get to that issue  is that this will not happen unless  the Division                                                            
of Enforcement concurs that it works for them.                                                                                  
                                                                                                                                
CAPTAIN   HOWARD  STARBARD,   Division   of   Wildlife  Protection,                                                             
Department  of Public Safety (DPS),  said the bill as written  would                                                            
cause the Department  of Fish and  Game to get concurrence  from his                                                            
commissioner  when the system would  come up. He thought  electronic                                                            
licensing and recording of harvest would be hard to enforce.                                                                    
                                                                                                                                
CHAIRMAN TORGERSON  asked if he envisioned  that each officer  would                                                            
use some sort  of mini-computer to look up an I.D.  number to see if                                                            
it's current.                                                                                                                   
                                                                                                                                
CAPTAIN  STARBARD answered  affirmatively and  said that they  could                                                            
use something like a palm pilot.                                                                                                
                                                                                                                                
SENATOR ELTON  noted the bill has a zero fiscal note,  but that they                                                            
would allow the  vendor to assess up to $3 more for  the issuance of                                                            
a permit or license electronically,  but the $3 would be retained by                                                            
the vendor  so it  doesn't increase  revenues to  the department  at                                                            
all.                                                                                                                            
                                                                                                                                
MR. BROOKS responded that  is correct and explained that currently a                                                            
vendor  gets 5 percent  of the  gross sale,  plus $1  per item.  The                                                            
commission  for a fishing license  and a king salmon stamp  is about                                                            
$3 for a resident.  A non-resident sale is substantially  higher. He                                                            
pointed  out that  section  really only  applies  if the  department                                                            
contracts with  someone to do it for  them. Currently, the  Internet                                                            
sales are made by the state  so no vendor commission is paid. All of                                                            
the money goes into the ADF&G fund.                                                                                             
                                                                                                                                
SENATOR  ELTON asked  if this could  show a  positive fiscal  impact                                                            
because the more  licenses the department sells electronically,  the                                                            
less discount it will be giving to vendors.                                                                                     
                                                                                                                                
MR. BROOKS  replied  that is  correct.  He added  that the  database                                                            
often has  a 90 -  100 day lag  to data capture  using a vendor  who                                                            
reports monthly. With Internet  sales, there's instant update of the                                                            
database and the department  doesn't have to hire someone to capture                                                            
the data.                                                                                                                       
                                                                                                                                
CHAIRMAN TORGERSON  said they could  use a driver's license  so they                                                            
aren't giving everyone new numbers.                                                                                             
                                                                                                                                
MR. BROOKS said they discussed  drivers' licenses, but not every one                                                            
carries a license either.                                                                                                       
                                                                                                                                
CHAIRMAN  TORGERSON said the  committee would  set this aside  until                                                            
Mr. Brooks came back with a master plan.                                                                                        

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