Legislature(2021 - 2022)BUTROVICH 205

02/22/2021 03:30 PM RESOURCES

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Testimony <Invitation Only> --
*+ SB 33 SEAFOOD PRODUCT DEVELOPMENT TAX CREDIT TELECONFERENCED
Heard & Held
*+ SB 64 SHELLFISH PROJECTS; HATCHERIES; FEES TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
          SB 33-SEAFOOD PRODUCT DEVELOPMENT TAX CREDIT                                                                      
                                                                                                                                
3:33:27 PM                                                                                                                    
CHAIR REVAK  announced the  consideration of  SENATE BILL  NO. 33                                                               
"An Act  relating to  a seafood  product development  tax credit;                                                               
providing for  an effective  date by repealing  secs. 32  and 35,                                                               
ch. 61, SLA 2014; and providing for an effective date."                                                                         
                                                                                                                                
3:34:04 PM                                                                                                                    
SENATOR GARY  STEVENS, Alaska  State Legislature,  Juneau, Alaska                                                               
bill  sponsor, stated  SB 33  is  about value-added  legislation,                                                               
true growth  in market demand  from the fishing industry,  and it                                                               
encourages innovation in the fishing industry.                                                                                  
                                                                                                                                
He  noted the  state has  previously  used a  similar policy  for                                                               
direct economic development to  support the long-term development                                                               
of   Alaska's  seafood   processing   industry  by   specifically                                                               
targeting  salmon  and herring  fisheries.  What  SB 33  does  is                                                               
extends  the sunset  [date] and  broadens  the scope  of the  tax                                                               
credit to include  investment incentives of both  pollock and cod                                                               
products.                                                                                                                       
                                                                                                                                
3:35:10 PM                                                                                                                    
TIM   LAMKIN,  Staff,   Senator   Gary   Stevens,  Alaska   State                                                               
Legislature, Juneau,  Alaska, explained the  intent of SB  33 not                                                               
only maintains  but improves the  business and  marketing climate                                                               
for   seafood  processing   in  Alaska.   The  bill   essentially                                                               
translates into partial  reimbursement for investments, hardware,                                                               
machinery, infrastructure  in processing the byproducts  from the                                                               
respective  fisheries' scales,  fins, and  the remaining  biomass                                                               
produced via  laser cuts. The biomass  is in turn used  to render                                                               
oil  and long  list  of  other downstream  products  that are  in                                                               
market demand that committee members  will hear more about during                                                               
proceeding testimony.                                                                                                           
                                                                                                                                
He  noted the  sunset  provision technically  expired January  1,                                                               
2021 and that is one amendment  the sponsor would like to make to                                                               
make the legislation  retroactive to a January  1 effective date;                                                               
otherwise,  the  tax  credit  currently  applies  to  salmon  and                                                               
herring fisheries. The bill would  not only extend the sunset but                                                               
also open  the program to  include invest incentives  for pollock                                                               
and cod.                                                                                                                        
                                                                                                                                
MR. LAMKIN said if the Chair wishes, he can go into the                                                                         
sectional analysis for SB 33.                                                                                                   
                                                                                                                                
CHAIR REVAK asked him to proceed with the sectional analysis for                                                                
SB 33.                                                                                                                          
                                                                                                                                
3:36:33 PM                                                                                                                    
MR.  LAMKIN  stated  the  bill first  and  foremost  extends  the                                                               
sunset,   otherwise  the   legislation   is  largely   conforming                                                               
amendments  that includes  the existing  tax credits  applied for                                                               
salmon and herring  to include two additional  fisheries, cod and                                                               
pollock.                                                                                                                        
                                                                                                                                
He addressed the sectional analysis for SB 33 as follows:                                                                       
                                                                                                                                
     Section 1                                                                                                                
     Relates to  the tax  credits applied to  these products                                                                    
     and applies  them through  the year  2025 and  adds cod                                                                    
     and pollock.                                                                                                               
                                                                                                                                
     Section 2                                                                                                                
     Conforming amendment  that relates to applying  the tax                                                                    
     credit  for equipment  purchases  for processing  these                                                                    
     products to include pollock and cod.                                                                                       
                                                                                                                                
     Section 3                                                                                                                
     Conforming   amendment,   relating  to   a   three-year                                                                    
     carryforward  of  unused  tax credits  that  exist  for                                                                    
     salmon  and herring  to also  be applicable  to pollock                                                                    
     and cod.                                                                                                                   
                                                                                                                                
     Section 4                                                                                                                
     Relates  to  a 50  percent  liability  cap on  the  tax                                                                    
     credits and is essentially  a statutory cleanup done by                                                                    
     draftinglegislature's    legal    folksto    delete   a                                                                    
     duplicate and redundant clause.                                                                                            
                                                                                                                                
     Section 5                                                                                                                
     Conforming  amendment that  relates  what  is called  a                                                                    
     "state  claw-back  provision"  on carryforward  in  the                                                                    
     event that  an asset  used during this  is sold  can be                                                                    
     recovered  from   the  state,   it  adds   to  existing                                                                    
     provisions that would include pollock and cod.                                                                             
                                                                                                                                
     Section 6                                                                                                                
     Conforming  amendment  relates  to  the  definition  of                                                                    
     qualified  investment  under   this  program  and  adds                                                                    
     pollock and cod.                                                                                                           
                                                                                                                                
     Section 7                                                                                                                
     Conforming  amendment  relates  to  the  definition  of                                                                    
     value-added products under the  program and again, adds                                                                    
     pollock and cod.                                                                                                           
                                                                                                                                
     Sections 8-11                                                                                                            
     Are   all  consistent   historical  sunset   dates  and                                                                    
     repealersagain,    with    the   assistance    of   the                                                                    
     legislature's legal folks to  now consolidate them into                                                                    
     a single section and effective  date set for January 1,                                                                    
     2026.                                                                                                                      
                                                                                                                                
     Section 12                                                                                                               
     The overall effective date of January 1, 2022.                                                                             
                                                                                                                                
3:38:56 PM                                                                                                                    
MR.  LAMKIN   noted  the  bill  sponsor's   office  received  two                                                               
additional  support letters  within the  last 24  hours from  the                                                               
Southeast  Alaska Fishermen's  Alliance as  well as  Ocean Beauty                                                               
Seafoods.                                                                                                                       
                                                                                                                                
SENATOR  VON  IMHOF asked  him  to  confirm  that he  wanted  the                                                               
effective  date to  be  2022 or  2021 in  Section  12 because  he                                                               
mentioned earlier the  intent for a retroactive  date to [January                                                               
1, 2021.]                                                                                                                       
                                                                                                                                
MR.  LAMKIN answered  correct, the  bill  sponsor's office  would                                                               
like to make that change.                                                                                                       
                                                                                                                                
3:39:49 PM                                                                                                                    
CHAIR  REVAK  announced  the committee  will  hear  from  invited                                                               
testimony for SB 33.                                                                                                            
                                                                                                                                
3:40:07 PM                                                                                                                    
JEREMY  WOODROW, Executive  Director,  Alaska Seafoods  Marketing                                                               
Institute,  Juneau, Alaska,  testified in  support of  SB 33.  He                                                               
stated  the Alaska  Seafood Marketing  Institute (ASMI)  supports                                                               
all  efforts  that  will  help increase  the  value  of  Alaska's                                                               
fisheries.  SB  33  would provide  the  Alaska  seafood  industry                                                               
incentive  and support  to continue  much  needed investments  in                                                               
processing  facilities and  take  additional  measures to  create                                                               
more value for key Alaska seafood species.                                                                                      
                                                                                                                                
MR.  WOODROW  detailed  Alaska's  commercial  fisheries  annually                                                               
harvest   on  average   5.5  billion   pounds  of   seafood  with                                                               
approximately  2.5  billion pounds  of  seafood  sold to  markets                                                               
worldwide  after processing;  that leaves  an opportunity  to add                                                               
even  more  value  to  3   billion  pounds  of  Alaska's  seafood                                                               
resources.                                                                                                                      
                                                                                                                                
He  noted products  such as  fish and  bone meals,  and fish  oil                                                               
currently generate  hundreds of millions of  dollars annually for                                                               
Alaska's seafood  industry. Forecasts call for  additional growth                                                               
in   pet  foods,   nutraceuticals,  medical   advancements,  food                                                               
preservation,  and moreall   produced  from  byproducts via  fish                                                               
skin and heads,  crab shells, and similar  often discarded items.                                                               
Any  effort made  to help  maximize Alaska's  sustainable seafood                                                               
resources will benefit the state.                                                                                               
                                                                                                                                
He detailed the  January 2020 economic value  of Alaska's seafood                                                               
industryreported   via  the   McDowell  Groupthe   state's  major                                                               
shoreside seafood  processors invest  over $100  million annually                                                               
in  capital expenditures.  Processors' investment  and multiplier                                                               
impacts  closely  tie  to the  resource  value.  Expanding  value                                                               
provides  processing  companies   capital  to  modernize  plants,                                                               
expand production  lines, and pay  higher fish prices;  all these                                                               
benefit  local   communities  in   Alaska  and   provides  growth                                                               
elsewhere in the U.S. economy.                                                                                                  
                                                                                                                                
He  noted  market research  shows  that  consumers worldwide  are                                                               
increasingly seeking  convenient, easy  to prepare  products that                                                               
match  their busy  lifestyle. Consumers  also no  longer want  to                                                               
sacrifice health, flavor, and  quality when choosing convenience-                                                               
based  products. This  trend creates  tremendous opportunity  for                                                               
Alaska's  seafood products  to capitalize  on  by producing  new,                                                               
innovative,  and value-added  seafood  products.  SB 33  supports                                                               
this  trend and  would  help Alaska's  seafood companies  develop                                                               
products to match consumer demand.                                                                                              
                                                                                                                                
3:42:59 PM                                                                                                                    
CHRISTOPHER  BARROWS,   President,  Pacific   Seafood  Processors                                                               
Association, Seattle, Washington, testified in support of SB 33.                                                                
He  noted Pacific  Seafood Processors  Association (PSPA)founded                                                                
in 1914is  comprised of eight  major seafood processing companies                                                               
from Ketchikan to  Unalaska, to Saint Paul. PSPA  operates in the                                                               
center  of Alaska's  wild and  sustainable seafood  supply chain.                                                               
PSPA  members operate  25 facilities  in  15 coastal  communities                                                               
across Alaska, and that also  includes 3 floating processors that                                                               
purchases  Alaska seafood  from  harvesters and  process it  into                                                               
various product forms with distribution  to the United States and                                                               
around the world.                                                                                                               
                                                                                                                                
MR.  BARROWS said  SB 33  is a  bill that  would reestablish  and                                                               
augment Alaska's  Seafood Product Development Tax  Credit Program                                                               
which expired  in 2020.  PSPA's understanding  is the  bill would                                                               
reestablish a  longstanding program  through 2025 and  expand the                                                               
list  of eligible  speciescurrently  salmon  and herringto   also                                                               
include pollock and cod.                                                                                                        
                                                                                                                                
He stated the legislation is  an important expansion because wild                                                               
Alaska pollock and  Pacific cod comprises 69  percent of Alaska's                                                               
statewide  harvest, which  represents  a lot  of opportunity  for                                                               
obtaining  more  value from  high-volume  species  over the  long                                                               
term.  Higher value  means more  value to  fishermen, processors,                                                               
and to  the local and state  governments that base fish  taxes on                                                               
fish value;  this type  of program  and investment  incentive can                                                               
make  a difference  by allowing  companies to  obtain value-added                                                               
equipment and other types of  investment that will benefit Alaska                                                               
for years to come.                                                                                                              
                                                                                                                                
He  said  PSPA's  member  companies  and  Alaska's  wild  seafood                                                               
products compete  in global markets  and have a steady  volume of                                                               
annual  harvest  on  the  order  of  about  5.7  billion  pounds.                                                               
However, volume  of Alaska's  fisheries is  not likely  to change                                                               
significantly  over  time,  therefore  increasing  the  value  of                                                               
Alaska's seafood is the key  to future growth. Increasing seafood                                                               
value    requires   market    differentiations,   research    and                                                               
development,   and  building   consumer  awarenessdetails    that                                                               
require significant investment.                                                                                                 
                                                                                                                                
He stated SB 33 serves  the objective of increasing seafood value                                                               
by  encouraging  innovation  in the  seafood  processing  sector,                                                               
facilitating  greater utilization  of  each  fish, and  providing                                                               
incentives  to  respond to  changes  in  market demands.  Seafood                                                               
processors have used  the previous authorized tax  credit to make                                                               
critical  investments  in   processing  technologies  that  would                                                               
otherwise  be  cost  prohibitive  for some.  Salmon  is  a  great                                                               
example  as the  previous  tax  credit has  changed  the face  of                                                               
salmon  processing  to increase  production  of  filet and  other                                                               
value-added-salmon  products that  have  a  stronger U.S.  market                                                               
demand.                                                                                                                         
                                                                                                                                
He  explained a  higher value  product means  a higher  return on                                                               
investment   for  Alaska,   coastal   communities,  and   fishery                                                               
participants. Value-added  products also require more  labor than                                                               
simply  freezing or  heading-and-gutting  and  increases job  and                                                               
labor income to the state as well.                                                                                              
                                                                                                                                
MR.  BARROWS summarized  the health  of the  commercial fisheries                                                               
and  seafood  industry  is  critical to  Alaska  as  it  annually                                                               
generates between $5-$6  billion in economic value  to Alaska and                                                               
creates more direct  jobs than any other private  industry in the                                                               
state.  PSPA supports  reauthorizing  and  expanding the  Seafood                                                               
Product Development  Tax Credit  Program as well  as establishing                                                               
an effective  date of  January 1, 2021  to allow  for value-added                                                               
investments during the current year.                                                                                            
                                                                                                                                
3:47:00 PM                                                                                                                    
SENATOR STEVENS  thanked Mr. Barrows  for his comments.  He noted                                                               
salmon processing plants have gone  from canned and whole fish to                                                               
frozen  filets.  He  asked  him what  percentage  of  salmon  are                                                               
processors processing into filets.                                                                                              
                                                                                                                                
MR. BARROWS  answered he will  get back to  him on that.  He said                                                               
some of his other colleagues may have the information.                                                                          
                                                                                                                                
SENATOR  STEVENS  remarked the  value  of  salmon seems  to  have                                                               
increased so much via salmon filets over the simple processing.                                                                 
                                                                                                                                
SENATOR  MICCICHE  asked  Mr. Barrows,  all  processors,  or  the                                                               
department  to provide  additional  details  to Senator  Stevens'                                                               
question  to   include  specific  species  information   and  the                                                               
ultimate  return  for the  tax  credits  currently in  existence                                                                
without the expansion of pollock and  cod. He added he would like                                                               
to know  how far the  state has  gotten with those  credits, what                                                               
have been  the market improvements,  and species  specific versus                                                               
general information.                                                                                                            
                                                                                                                                
MR. BARROWS replied, his question  will require further research.                                                               
He  asked  him  to  confirm  the basis  of  his  question  is  to                                                               
understand the  return on investment from  previous product forms                                                               
to new  product forms that  benefited from the tax  credit across                                                               
all species.                                                                                                                    
                                                                                                                                
SENATOR MICCICHE  answered yes. He  said he  wants to be  able to                                                               
demonstrate the value of the tax  credits to the state as well as                                                               
the processors and fishermen.                                                                                                   
                                                                                                                                
3:49:24 PM                                                                                                                    
CHAIR REVAK  noted Ms.  Reynolds from  the Department  of Revenue                                                               
may be able to answer his question.                                                                                             
                                                                                                                                
3:49:40 PM                                                                                                                    
NICOLE  REYNOLDS, Deputy  Director, Tax  Division, Department  of                                                               
Revenue, Anchorage,  Alaska, noted from 2017-2020  the tax credit                                                               
value  ranged   from  $2.3-$4.4  million;  this   value  strictly                                                               
represents  the  credit for  the  equipment  used to  create  the                                                               
value-added salmon and herring products.                                                                                        
                                                                                                                                
SENATOR MICCICHE  commented he is obviously  asking for something                                                               
much more  comprehensive. He  said he  would like  to be  able to                                                               
demonstrate  there   is  value  to   the  state,  not   just  the                                                               
processors. He  remarked he thinks  there has been [value  to the                                                               
state]  and   collectively  they  can  provide   a  comprehensive                                                               
response that will prove that case.                                                                                             
                                                                                                                                
SENATOR VON  IMHOF noted  fish meal is  a byproduct  example that                                                               
affects Alaska  businesses where  investment stays in  the state.                                                               
People  from  the  Mat-Su  Valley  have  used  fish  meal  as  an                                                               
affective  fertilizer alternative.  She said  she sees  a benefit                                                               
from knowing how  many cottage industries in  Alaska have created                                                               
dog  food treats,  fish meal,  or whatever;  have there  been any                                                               
sales outside  of Alaska and  how are  those numbers; and  who is                                                               
buying for how much.                                                                                                            
                                                                                                                                
SENATOR STEVENS  suggested to  include the  number of  jobs added                                                               
due to a more complicated form of processing.                                                                                   
                                                                                                                                
3:52:58 PM                                                                                                                    
MARK PALMER,  CEO, OBI  Seafoods, Seattle,  Washington, testified                                                               
in support of  SB 33. He noted Ocean Beauty  Seafoods changed its                                                               
name to OBI Seafoods after  the 2020 merger with Icicle Seafoods.                                                               
OBI operates 10 processing plants in Alaska.                                                                                    
                                                                                                                                
He pointed  out economic development revolves  around investments                                                               
derived from  the tax  credit. When  OBI built  its meal  and oil                                                               
plant  in Cordova  to utilize  the facilities  waste stream,  the                                                               
cost of building the infrastructure  to support the equipment OBI                                                               
used  via   the  tax   credit  resulted   in  OBI   hiring  local                                                               
electricians,  concrete, construction  labor;  that  part of  the                                                               
investment  was over  double  what OBI  paid  for the  processing                                                               
equipment.                                                                                                                      
                                                                                                                                
He  said the  economic development  derived from  the tax  credit                                                               
resulted in  job creation. Many processing  plants around Alaska                                                                
built in  the early 1900scarry   its waste stream into  the ocean                                                               
without providing  jobs in  the process.  However, when  adding a                                                               
line  to capture  waste for  a value-added  product, the  process                                                               
adds  at least  10 higher-paying  jobs. OBI  is putting  in filet                                                               
machines,  computerized oil  extractors,  centrifuges,  a lot  of                                                               
sophisticated equipment that pays  more to those labors operating                                                               
the equipment.                                                                                                                  
                                                                                                                                
MR.  PALMER  pointed  out  there  is a  great  history  with  the                                                               
legislation. Capacity  increases at  almost every plant  when OBI                                                               
adds   [value-adding   equipment].   Increased   capacity   means                                                               
fisherfolk are  less likely to go  on limits in those  times when                                                               
there are  large production peaks.  When OBI  diversifies product                                                               
lines, the  most important thing  the company  can do is  get its                                                               
customer base to compete for  its products, the product forms the                                                               
company has, the  more markets and customers it  can access. That                                                               
is the way OBI competes for raw materials.                                                                                      
                                                                                                                                
He said to Senator Micciche's question, at the time the valued-                                                                 
added salmon  tax credit came  into existence, prices  in Bristol                                                               
Bay were at record lows, pink  salmon prices were at record lows.                                                               
What the tax  credit did at the  time, a case of  pink salmon was                                                               
selling for  $16 a case  on the  wholesale market, which  was 50-                                                               
cents less than its production cost; sockeye salmonred halves                                                                   
was $36 a case; however, last  year that averaged $60 a case, and                                                               
OBI has  seen a marked  improvement in the product  forms because                                                               
OBI was not forced into canning everything.                                                                                     
                                                                                                                                
He noted OBI took a big  chunk of its product that would normally                                                               
have either  gone [headed and  gutted] (H&G), frozen,  or canned,                                                               
and  moved20  percent  of its  capacityto  fillets;  that is  the                                                               
difference  between not  over-canning.  Right  sizing the  market                                                               
allows  for  producing for  the  market  and its  dynamics  work.                                                               
However, oversupplying  any one area weakens  a processor's whole                                                               
product portfolio  and lowers  the return  to the  fisherfolk and                                                               
the state.                                                                                                                      
                                                                                                                                
He reiterated  there is great  history with the  legislation, the                                                               
processors  demonstrated  it  can  increase  product  value,  and                                                               
resource  utilization  is   something  that  worldwide  customers                                                               
demand. People  want to  see less waste  of their  products going                                                               
into  a waste  stream, and  they want  to be  able to  talk about                                                               
sustainability  and full  utilization. SB  33 gives  processors a                                                               
shot at full utilization.                                                                                                       
                                                                                                                                
3:58:14 PM                                                                                                                    
ABBEY   FREDERICK,  Director   of   Communications,  Silver   Bay                                                               
Seafoods,  Juneau, Alaska,  testified in  support of  SB 33.  She                                                               
detailed Silver Bay Seafoods is  a vertically integrated, primary                                                               
fisherman-owned   processor  that   processes  salmon,   herring,                                                               
Pacific cod, pollock, rockfish,  and other Alaska species. Silver                                                               
Bay  Seafoods  has  significantly invested  in  state-of-the-art,                                                               
high-volume-processing facilities  throughout Alaska.  Silver Bay                                                               
Seafoods  is  relatively  newstarted   in  2007and   operates  in                                                               
Sitka, Craig, Valdez, Naknek, False Pass, and Kodiak.                                                                           
                                                                                                                                
MS. FREDERICK  noted Silver Bay  has been able to  take advantage                                                               
of the  past versions  of this  legislation which  encouraged its                                                               
investment in additional equipment  and infrastructure to produce                                                               
more value-added products for salmon and herring in Alaska.                                                                     
                                                                                                                                
She said SB  33 would provide a significant  return on investment                                                               
to Alaska through  increased jobs, economic activity,  as well as                                                               
fish-tax revenue  by maximizing  the value  of fish  processed in                                                               
the state. The bill provides  long-term benefits for the state by                                                               
creating value  maximization via full fish  resource utilization                                                                
which benefits its harvesters, processors, and communities.                                                                     
                                                                                                                                
She stated by expanding to  other speciespollock  and codsome  of                                                               
which  has  experienced the  market  impacts  from COVID-19,  the                                                               
legislation   promotes  continued   investment  in   the  state's                                                               
fisheries and  encourages businesses like Silver  Bay Seafoods to                                                               
find innovative and  adaptive ways to thrive in  time of changing                                                               
consumer demands.                                                                                                               
                                                                                                                                
4:00:45 PM                                                                                                                    
JULIANNE   CURRY,  Public   Affairs  Manager,   Icicle  Seafoods,                                                               
Anchorage, Alaska,  testified in support  of SB 33.  She detailed                                                               
Icicle Seafoods  now solely operates as  a shore-based processing                                                               
facility in  Dutch Harbor and  a floating processor in  the Dutch                                                               
Harbor area, both of which  participate mainly in the pollock and                                                               
cod fisheries in the Bering Sea and Aleutian Islands.                                                                           
                                                                                                                                
She  said Icicle  Seafoods  was  ecstatic to  see  SB 33  include                                                               
pollock  and  cod as  eligible  species  under the  state's  long                                                               
standing and  important program.  SB 33 would  be a  game changer                                                               
for  Icicle Seafoods'  operation. Creating  higher value  seafood                                                               
products  is one  of the  primary ways  that Icicle  Seafoods can                                                               
increase  the  dockside price  of  fish  for its  harvesters  and                                                               
create  stability  for  its  workforce  with  additional  product                                                               
forms.                                                                                                                          
                                                                                                                                
She stated through SB 33 and  the inclusion of pollock and cod as                                                               
eligible  species,  Icicle Seafoods  would  be  able to  purchase                                                               
equipment  to  not  only  increase  the  quality  of  seafood  it                                                               
produces, but  to also finally produce  value-added product forms                                                               
that  would help  revolutionize its  processing platforms.  In an                                                               
industry  with  razor-thin  margins,  SB  33  would  give  Icicle                                                               
Seafoods  the  competitive  advantage  it  needs  to  affectively                                                               
compete in the domestic and  global marketplace. SB 33 would also                                                               
vastly improve  Icicle Seafoods'  ability to further  capture the                                                               
waste  stream  and turn  that  unused  resource into  a  valuable                                                               
Alaska product.                                                                                                                 
                                                                                                                                
MS.  CURRY said  COVID-19 has  brought many  challenges including                                                               
drastically  increased  operating   costs.  Icicle  Seafoods  has                                                               
worked hard  to streamline its  operations since  COVID-19 began,                                                               
but  the company  and the  industry feels  those impacted  costs.                                                               
Domestic  and  global retail  sales  are  at all-time  highs  for                                                               
seafoods,  but those  sales have  not been  enough to  offset the                                                               
staggering decrease  in restaurant  and other  foodservice sales.                                                               
Although SB 33  is beneficial even in  non-pandemic times, Icicle                                                               
Seafoods is even  more supportive of the  vital legislation given                                                               
the current COVID-19 challenges facing the industry.                                                                            
                                                                                                                                
She said  in the hope  that SB  33 passes during  the legislative                                                               
session, Icicle  Seafoods is actively researching  how to upgrade                                                               
its processing  platforms to bring  more value to  its processing                                                               
efforts.  Seafood  is  Alaska's  only  major  renewable  resource                                                               
industry  and as  such, Icicle  Seafood's processing  efforts and                                                               
its harvesters  continually face uncertainty such  as fluctuating                                                               
resource  levels as  well as  domestic  and international  market                                                               
conditions.                                                                                                                     
                                                                                                                                
She thanked  Senator Stevens  for introducing  SB 33  and helping                                                               
create the  short-term opportunity for Alaska's  seafood industry                                                               
that  will   have  lasting  impacts  for   Icicle  Seafoods,  its                                                               
harvesters, and the state. She  thanked Senator Kiehl for his co-                                                               
sponsorship with the hope that  others will similarly support the                                                               
legislation  that   benefits  Alaska's  largest   private  sector                                                               
employer.                                                                                                                       
                                                                                                                                
4:03:51 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
4:04:12 PM                                                                                                                    
CHAIR REVAK called the committee back to order.                                                                                 
                                                                                                                                
4:04:17 PM                                                                                                                    
CHAIR REVAK held SB 33 in committee.                                                                                            
                                                                                                                                

Document Name Date/Time Subjects
SB033_SeafoodTaxCredit_Sectional_Version A.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB033_SeafoodTaxCredit_SponsorStatement.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB064_ShellfishEnhancement_Sponsor-Statement.pdf SFIN 4/6/2021 9:00:00 AM
SRES 2/22/2021 3:30:00 PM
SB 64
SB064_ShellfishEnhancement_Sectional_VersionA.pdf SFIN 4/6/2021 9:00:00 AM
SRES 2/22/2021 3:30:00 PM
SB 64
SB064_Shellfish-Enhancement_Research Backup_PSPA-UFA Flyer_Pays-Its-Way.pdf SFIN 4/6/2021 9:00:00 AM
SRES 2/22/2021 3:30:00 PM
SB 64
SB064 AFDF Letter of Support 2- Alaska Mariculture Development Plan.pdf SFIN 4/6/2021 9:00:00 AM
SRES 2/22/2021 3:30:00 PM
SB 64
SB064 2021-02-11 AFDF Letter of Support SB 64.pdf SRES 2/22/2021 3:30:00 PM
SB 64
SB033_SeafoodTaxCredit_SupportLetter_PSPA_02Feb2021.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB033_SeafoodTaxCredit_Support_BristolBayRSDA_05Feb2021.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB033_SeafoodTaxCredit_Support-Brochure_BristolBayRSDA_Feb2021.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB033_SeafoodTaxCredit_Support-Processing-Brochure_PSPA_Feb2019.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB033_SeafoodTaxCredit_SupportLetter_AFDF_11Feb2021.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB064_ShellfishEnhancement_SupportLetters_Bundled_as of 16Feb2021.pdf SRES 2/22/2021 3:30:00 PM
SB 64
SB033 Fiscal Note 2.22.21.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB064 Fiscal Notes 2.21.21.pdf SRES 2/22/2021 3:30:00 PM
SB 64
SB033 SEAFA Support Letter 2.22.21.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB064 SEAFA Support Letter 2.22.21.pdf SRES 2/22/2021 3:30:00 PM
SB 64
SB033 ICICLE and Silver Bay Support Letters 2.22.21.pdf SRES 2/22/2021 3:30:00 PM
SB 33
SB064 Nancy Hillstrand oppose 2.22.21.pdf SRES 2/22/2021 3:30:00 PM
SB 64