Legislature(2021 - 2022)BUTROVICH 205

05/12/2021 03:30 PM Senate RESOURCES

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 41 SHELLFISH PROJECTS; HATCHERIES; FEES TELECONFERENCED
Moved CSHB 41(FIN) Out of Committee
-- Testimony <Invitation Only> --
+= HB 10 FUNTER BAY MARINE PARK: UNANGAN CEMETERY TELECONFERENCED
Moved HB 10 Out of Committee
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled: TELECONFERENCED
+= HB 80 SPT FSH HATCHERY FACIL ACCT; SURCHARGE TELECONFERENCED
Moved CSHB 80(FSH) Out of Committee
**Streamed live on AKL.tv**
          HB 80-SPT FSH HATCHERY FACIL ACCT; SURCHARGE                                                                      
                                                                                                                                
4:18:03 PM                                                                                                                    
CHAIR   REVAK   reconvened   the  meeting   and   announced   the                                                               
consideration  of  CS   FOR  HOUSE  BILL  NO.   80(FSH)  "An  Act                                                               
establishing the sport  fishing enhancement account; establishing                                                               
the  sport fishing  enhancement surcharge;  and providing  for an                                                               
effective date."                                                                                                                
                                                                                                                                
He advised  that the committee  heard the companion bill,  SB 60,                                                               
on April 12  and public testimony was taken. He  noted that HB 80                                                               
has a finance  referral after it leaves this  committee. He asked                                                               
Commissioner   Vincent-Lang  and   Ms.  Hanke   to  discuss   the                                                               
differences between the two bills.                                                                                              
                                                                                                                                
4:19:13 PM                                                                                                                    
RACHEL HANKE, Legislative Liaison,  Alaska Department of Fish and                                                               
Game, Juneau, Alaska,  read the following changes  from version A                                                               
to version B for HB 80:                                                                                                         
                                                                                                                                
     Page 1,  lines 1-14    In the  previous version  of the                                                                  
     bill,   the  surcharge   was   allocated  to   "ongoing                                                                    
     maintenance  and operation  of  the department's  sport                                                                    
     fish  hatchery  facilities   and  sport  fishing  stock                                                                    
     enhancement  intended   to  directly   benefit  license                                                                    
     purchasers."  In  version  B,  the  allocation  of  the                                                                    
     surcharge  was split  into two  subsections (h)(1)  and                                                                    
     (h)(2).                                                                                                                    
                                                                                                                                
        • (h)(1) allocates $2.50 of each surcharge towards                                                                      
          fisheries    management,    fisheries    research,                                                                    
          invasive species suppression and eradication and                                                                      
          habitat restoration.                                                                                                  
                                                                                                                                
        • (h)(2) allocates the remainder of the surcharge                                                                       
          to sport fishing stock enhancement and ongoing                                                                        
          maintenance of the department's sport fishing                                                                         
          hatchery facilities.                                                                                                  
                                                                                                                                
     Page 2, line 24 through Page 3, line 1  all surcharge                                                                    
     prices were increased by $2.50.                                                                                            
                                                                                                                                
4:20:19 PM                                                                                                                    
DOUGLAS  VINCENT-LANG, Commissioner,  Alaska  Department of  Fish                                                               
and Game,  Juneau, stated  the $4  surcharge that  was originally                                                               
proposed was  primarily meant to  support hatchery  operations in                                                               
Southeast that  went away with the  sunset. HB 80 was  amended to                                                               
add $2.50 to the surcharge,  specifically for fisheries research,                                                               
fisheries  management, and  invasive species.  The department  is                                                               
also required to  report periodically on how the  money is spent.                                                               
He  highlighted  that   most  of  the  fees  would   be  paid  by                                                               
nonresidents.                                                                                                                   
                                                                                                                                
4:21:27 PM                                                                                                                    
SENATOR MICCICHE noted  the surcharge was a  60 percent increase.                                                               
He  asked what  the  vision  was above  the  governor's that  was                                                               
largely status quo.                                                                                                             
                                                                                                                                
COMMISSIONER  VINCENT-LANG  answered  he believes  the  committee                                                               
felt there  were people that  would be paying the  surcharge that                                                               
would not directly benefit from  hatchery programs. They saw this                                                               
as  an opportunity  for the  surcharge  to go  toward other  non-                                                               
hatchery-related  activities, specifically  fisheries management,                                                               
fisheries research,  and invasive species  such as pike  in lakes                                                               
the department is stocking.                                                                                                     
                                                                                                                                
SENATOR  MICCICHE asked  if the  administration  supports the  60                                                               
percent increase of the $4 surcharge.                                                                                           
                                                                                                                                
COMMISSIONER VINCENT-LANG  answered had  not discussed  the $2.50                                                               
increase  with the  governor, but  "from the  discussions that  I                                                               
have had, I think we would consider that, yes."                                                                                 
                                                                                                                                
4:23:16 PM                                                                                                                    
SENATOR   MICCICHE  commented,   "So  you   don't  know   if  the                                                               
administration supports the increase above the $4 increase."                                                                    
                                                                                                                                
COMMISSIONER   VINCENT-LANG  repeated   he  had   not  had   that                                                               
conversation with the governor.  He added that his recommendation                                                               
would be to support the additional increase.                                                                                    
                                                                                                                                
4:23:38 PM                                                                                                                    
SENATOR STEVENS observed that invasive  species was not mentioned                                                               
in the  original bill. He  asked if  there was other  funding for                                                               
invasive species.                                                                                                               
                                                                                                                                
4:23:50 PM                                                                                                                    
COMMISSIONER VINCENT-LANG  replied the  department is able  to do                                                               
invasive species  work through the state  wildlife action grants.                                                               
There is  no dedicated  funding to match  those grants,  and this                                                               
would provide a funding source.                                                                                                 
                                                                                                                                
SENATOR  STEVENS asked  if invasive  species includes  plants and                                                               
fish. He asked him to identify the specific concerns.                                                                           
                                                                                                                                
4:24:15 PM                                                                                                                    
COMMISSIONER VINCENT-LANG answered  the bill is written  to add a                                                               
surcharge on  sport fishing licenses  so the funds could  only be                                                               
used to  benefit sport  fisheries. Invasive  species that  do not                                                               
affect sport fishing would not qualify.                                                                                         
                                                                                                                                
4:24:40 PM                                                                                                                    
SENATOR KIEHL  asked where most  of the nonresident  licenses are                                                               
sold  and if  the cash  from  those sales  will be  used in  that                                                               
region or for a particular purpose.                                                                                             
                                                                                                                                
COMMISSIONER VINCENT-LANG  answered the $4 hatchery  piece of the                                                               
surcharge would be used to  fund operations for the Fairbanks and                                                               
Anchorage state hatcheries  and $500,000 would also  flow to fund                                                               
operations in  Southeast. The remaining $2.50  surcharge would be                                                               
spent on the highest needs statewide.                                                                                           
                                                                                                                                
SENATOR MICCICHE recalled that the  original surcharge was $9 and                                                               
HB 80 initially called for a  $4 surcharge but that was increased                                                               
by  $2.50  during   the  committee  process.  He   asked  if  his                                                               
recollection was accurate.                                                                                                      
                                                                                                                                
COMMISSIONER VINCENT-LANG  recounted that  the original  $9 sport                                                               
fishing  license sunsetted.  HB 80  was introduced  and initially                                                               
proposed  a  $4 increase  and  a  committee  added $2.50  so  the                                                               
increase is $6.50, which results in $3.50 savings.                                                                              
                                                                                                                                
4:26:55 PM                                                                                                                    
SENATOR  MICCICHE calculated  that  the  expected revenue  change                                                               
statewide would be $1.5 million.                                                                                                
                                                                                                                                
MS. HANKE confirmed that was  the difference between the original                                                               
version of the bill and this version.                                                                                           
                                                                                                                                
4:27:22 PM                                                                                                                    
SENATOR  KAWASAKI asked  how the  department will  report to  the                                                               
legislature  how   much  was   spent  on   fisheries  management,                                                               
fisheries  research,  and invasive  species/habitat  restoration,                                                               
and in what areas the funds were spent.                                                                                         
                                                                                                                                
COMMISSIONER  VINCENT-LANG explained  the department  will report                                                               
to the legislature  what was spent to fund the  two hatcheries in                                                               
Southeast as  well as  any capital  outlays. The  department will                                                               
also  report annually  to the  legislature the  location and  how                                                               
much was spent for fisheries  management, fisheries research, and                                                               
invasive species/habitat restoration.                                                                                           
                                                                                                                                
SENATOR MICCICHE  asked if the bill  had a wider reach  than just                                                               
for Southeast hatcheries.                                                                                                       
                                                                                                                                
COMMISSIONER VINCENT-LANG  recounted that when the  original bill                                                               
with  the surcharge  passed, $500,000  was  subcontracted to  the                                                               
Crystal  Lake and  DIPAC hatcheries  in Southeast  Alaska because                                                               
there were  no state-owned hatcheries  in the region, and  it was                                                               
not feasible  to ship hatchery  fish to Southeast from  either of                                                               
the  state  hatcheries  in  Anchorage  and  Fairbanks.  When  the                                                               
surcharge sunset,  the ability  to subcontract  also disappeared.                                                               
When  the decision  was  made to  reinstitute  the surcharge,  it                                                               
again included  $500,000 to support stock  fisheries in Southeast                                                               
that are important to sport fisheries.                                                                                          
                                                                                                                                
4:29:34 PM                                                                                                                    
SENATOR MICCICHE asked how the  original $4 million would benefit                                                               
sport fishing statewide.                                                                                                        
                                                                                                                                
COMMISSIONER  VINCENT-LANG  answered  it  will  go  to  fund  the                                                               
operations of  the Fairbanks and  Anchorage hatcheries.  He noted                                                               
there  are ongoing  maintenance issues  associated with  both the                                                               
hatcheries.  Specifically, the  complex water  treatment facility                                                               
at the Fairbanks hatchery will  be replaced as necessary, and the                                                               
Anchorage hatchery  needs a new  well. He  said the hope  is that                                                               
funds from the surcharge will  prevent the department from having                                                               
to  request  more  money  in the  capital  budget  for  long-term                                                               
maintenance associated with those two hatcheries.                                                                               
                                                                                                                                
SENATOR  MICCICHE asked  him to  confirm that  the Fairbanks  and                                                               
Anchorage  hatcheries  are hatching  and  rearing  fish that  are                                                               
distributed throughout the Interior and Southcentral Alaska.                                                                    
                                                                                                                                
COMMISSIONER  VINCENT-LANG  clarified   that  the  Anchorage  and                                                               
Fairbanks hatcheries  produce fish  for sport  fishing, primarily                                                               
for lake  stocking throughout  Interior and  Southcentral Alaska.                                                               
The $500,000  that goes to  the subcontracted hatcheries  is used                                                               
for the same purpose in Southeast Alaska.                                                                                       
                                                                                                                                
CHAIR REVAK found no further questions or comments and announced                                                                
the committee would consider amendments.                                                                                        
                                                                                                                                
4:31:37 PM                                                                                                                    
CHAIR REVAK moved Amendment 1.                                                                                                  
                                                                                                                                
                                             32-GH1609\B.10                                                                     
                                                   Bullard                                                                      
                                                   5/12/21                                                                      
                                                                                                                                
                                                                                                                                
                          AMENDMENT 1                                                                                       
                                                                                                                                
                                                                                                                                
    OFFERED IN THE SENATE                  BY SENATOR REVAK                                                                     
        TO:  CSHB 80(FSH)                                                                                                       
                                                                                                                                
                                                                                                                                
     Page 1, line 7, following "fund.":                                                                                         
          Insert "The department shall submit an annual                                                                         
     report  describing   capital  improvements   and  other                                                                    
     projects funded by  money in the account  to the senate                                                                    
     secretary   and   chief   clerk   of   the   house   of                                                                    
     representatives  on or  before  the first  day of  each                                                                    
     regular  session of  the legislature  and shall  notify                                                                    
     the legislature that the report is available."                                                                             
                                                                                                                                
    Page 1, lines 10 - 11:                                                                                                      
         Delete all material and insert:                                                                                        
              "(1)  $5.00 of each surcharge collected to                                                                        
    the    construction   and    maintenance   of    capital                                                                    
    improvements that  directly support sport fishing access                                                                    
    or  sport   fishing  but  may  not  be  allocated  under                                                                    
    paragraph (2) of this subsection; and"                                                                                      
                                                                                                                                
     Page 2, line 24:                                                                                                           
          Delete "$6.50"                                                                                                        
          Insert "$9.00"                                                                                                        
                                                                                                                                
     Page 2, line 25:                                                                                                           
          Delete "6.50"                                                                                                         
          Insert "9.00"                                                                                                         
                                                                                                                                
     Page 2, line 26:                                                                                                           
          Delete "6.50"                                                                                                         
          Insert "9.00"                                                                                                         
                                                                                                                                
     Page 2, line 27:                                                                                                           
          Delete "27.50"                                                                                                        
          Insert "30.00"                                                                                                        
                                                                                                                                
     Page 2, line 28:                                                                                                           
          Delete "22.50"                                                                                                        
          Insert "25.00"                                                                                                        
                                                                                                                                
     Page 2, line 29:                                                                                                           
          Delete "12.50"                                                                                                        
          Insert "15.00"                                                                                                        
                                                                                                                                
     Page 2, line 30:                                                                                                           
          Delete "7.50"                                                                                                         
          Insert "10.00"                                                                                                        
                                                                                                                                
     Page 2, line 31:                                                                                                           
          Delete "42.50"                                                                                                        
          Insert "45.00"                                                                                                        
                                                                                                                                
     Page 3, line 1:                                                                                                            
          Delete "6.50"                                                                                                         
          Insert "9.00"                                                                                                         
                                                                                                                                
     Page 3, following line 1:                                                                                                  
     Insert a new bill section to read:                                                                                         
       "* Sec. 4. AS 37.05.146(c) is amended by adding a                                                                    
     new paragraph to read:                                                                                                     
               (80)  money in the sport fishing enhancement                                                                     
    account    within    the    fish    and    game    fund                                                                     
     (AS 16.05.130(h))."                                                                                                        
                                                                                                                                
     Renumber the following bill section accordingly.                                                                           
                                                                                                                                
SENATOR STEVENS objected for discussion purposes.                                                                               
                                                                                                                                
4:32:02 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
4:32:13 PM                                                                                                                    
CHAIR REVAK reconvened the meeting and asked Mr. Craft to                                                                       
explain Amendment 1.                                                                                                            
                                                                                                                                
4:32:34 PM                                                                                                                    
DIRK CRAFT, Staff, Senator Josh  Revak, Alaska State Legislature,                                                               
Juneau, Alaska,  stated Amendment  1 adds  a requirement  for the                                                               
department  to report  annually  to the  legislature the  capital                                                               
improvements  and other  projects that  were funded  by money  in                                                               
this  account.  The  second  change   replaces  the  language  in                                                               
paragraph (1)  on page 1, lines  10-11. He read the  new language                                                               
that states, "$5 of each  surcharge collected to the construction                                                               
and  maintenance of  capital improvements  that directly  support                                                               
sport fishing  access or sport  fishing but may not  be allocated                                                               
under paragraph (2)  of this subsection; and". He  said the third                                                               
and   final   change  adds   a   new   Section  4   that   amends                                                               
AS 37.05.146(c). The  new paragraph  reads, "(80)   money  in the                                                               
sport fishing enhancement  account within the fish  and game fund                                                               
(AS 16.05.130(h))."                                                                                                             
                                                                                                                                
4:33:35 PM                                                                                                                    
SENATOR  KIEHL  asked  if the  amendment  effectively  eliminates                                                               
funding that might go to eradicate pike, Elodea or Milfoil.                                                                     
                                                                                                                                
MR. CRAFT replied  the amendment seeks to narrow  the language to                                                               
benefit only sport fishing and the users who pay the surcharge.                                                                 
                                                                                                                                
4:34:13 PM                                                                                                                    
SENATOR  KIEHL said  he received  the report  and he  understands                                                               
that  the amendment  deletes money  for fisheries  management and                                                               
fisheries  research,  but the  question  was  whether it  deletes                                                               
money for invasive species.                                                                                                     
                                                                                                                                
MR. CRAFT replied the amendment  removes the invasive species and                                                               
habitat restoration language  and he was not sure  whether or not                                                               
the funds could still be used for that purpose.                                                                                 
                                                                                                                                
4:35:09 PM                                                                                                                    
SENATOR  KAWASAKI  offered  his perspective  that  the  amendment                                                               
could  be  interpreted  to  allow  the money  to  be  spent  more                                                               
broadly.                                                                                                                        
                                                                                                                                
MR. CLARK  added that part  of the  concern was that  without the                                                               
amendment, the funds could be  used for things unrelated to sport                                                               
fishing.                                                                                                                        
                                                                                                                                
4:36:03 PM                                                                                                                    
SENATOR STEVENS  recalled that a  bill he carried in  2000 raised                                                               
the  price of  licenses for  nonresidents and  it was  considered                                                               
unconstitutional.  He questioned  whether  HB 80  would face  the                                                               
same challenge.                                                                                                                 
                                                                                                                                
MR. CRAFT deferred the question to the department.                                                                              
                                                                                                                                
4:36:56 PM                                                                                                                    
COMMISSIONER   VINCENT-LANG  said   his  interpretation   of  the                                                               
amendment  is that  it  would reinstate  the  surcharge that  was                                                               
assessed  to pay  off the  hatchery bonds  initially. He  was not                                                               
aware of any constitutional challenge to that surcharge.                                                                        
                                                                                                                                
4:37:41 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
4:41:19 PM                                                                                                                    
CHAIR  REVAK  reconvened the  meeting  and  asked if  there  were                                                               
additional questions about Amendment 1.                                                                                         
                                                                                                                                
4:41:30 PM                                                                                                                    
SENATOR  KIEHL  said  he  believes  there  is  value  in  capital                                                               
improvements for sport fishing access,  but he was concerned with                                                               
the changes the  amendment would make. He explained,  "We can put                                                               
a great fishing dock on a lake,  but if it's full of pike there's                                                               
not much  to catch  in that  lake; and if  it's full  of invasive                                                               
weeds, there is nothing to catch in that lake."                                                                                 
                                                                                                                                
CHAIR  REVAK  offered  his perspective  that  the  amendment  was                                                               
focused narrowly to apply only to this surcharge.                                                                               
                                                                                                                                
4:42:26 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
4:42:47 PM                                                                                                                    
CHAIR  REVAK  reconvened  the  meeting  and  announced  he  would                                                               
withdraw Amendment  1 and  take it  up with  members of  the next                                                               
committee of referral.                                                                                                          
                                                                                                                                
He solicited a motion.                                                                                                          
                                                                                                                                
4:43:25 PM                                                                                                                    
SENATOR MICCICHE  moved to report  the CS  for HB 80,  work order                                                               
32-GH1609\B, from  committee with individual  recommendations and                                                               
attached fiscal note(s).                                                                                                        
                                                                                                                                
4:43:44 PM                                                                                                                    
CHAIR  REVAK found  no objection  and CSHB  80(FSH) was  reported                                                               
from the Senate Resources Standing Committee.                                                                                   

Document Name Date/Time Subjects
HB 10 Sectional Analysis Version A 1.15.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 10
HB 10 Sponsor Statement 1.15.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 10
HB 10 Support Letters 4.29.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 10
HB 10 PowerPoint Presentation 2.18.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 10
HB 10 Land Status and Boundaries Map of Admiralty Island-Funter Bay 3.9.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 10
HB 10 Support--TDX.pdf SRES 5/12/2021 3:30:00 PM
HB 10
HB 41 Letters of Support as of 04.26.2021.pdf SFIN 5/14/2021 1:00:00 PM
SFIN 1/31/2022 1:00:00 PM
SRES 5/12/2021 3:30:00 PM
HB 41
HB 41 Sponsor Statement ver. I 04.27.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 41
HB 41 Sectional Analysis ver I 04.27.2021.pdf SRES 5/12/2021 3:30:00 PM
HB 41
HB 41 Summary of Changes ver B to ver I 04.27.21.pdf SRES 5/12/2021 3:30:00 PM
HB 41
HB 80 SRES-Revak Amendment B.10- 5.12.21.pdf SRES 5/12/2021 3:30:00 PM
HB 80
HB 80 Explanation of Changes ver. A to B 4.26.21.pdf SRES 5/12/2021 3:30:00 PM
HB 80
HB 80 Support Doc - Surcharge Revenue Breakdown 4.2.21.pdf SRES 5/12/2021 3:30:00 PM
HB 80
HB 80 Sectional Analysis - ver. B 4.26.21.pdf SRES 5/12/2021 3:30:00 PM
HB 80