Legislature(1995 - 1996)

02/14/1995 01:03 PM House CRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
              HOUSE COMMUNITY AND REGIONAL AFFAIRS                             
                       STANDING COMMITTEE                                      
                       February 14, 1995                                       
                           1:03 p.m.                                           
                                                                               
                                                                               
 MEMBERS PRESENT                                                               
 Representative Ivan Ivan, Co-Chair                                            
 Representative Alan Austerman, Co-Chair                                       
 Representative Jerry Mackie                                                   
 Representative Kim Elton                                                      
 Representative Irene Nicholia                                                 
                                                                               
 MEMBERS ABSENT                                                                
                                                                               
 Representative Al Vezey                                                       
 Representative Pete Kott                                                      
                                                                               
 COMMITTEE CALENDAR                                                            
                                                                               
 Presentation by the Local Boundary Commission                                 
                                                                               
 * HB 146:  An Act relating to sled dog race classics."                        
                                                                               
            PASSED OUT OF COMMITTEE                                            
                                                                               
 Confirmation hearing for Commissioner Designate Mike Irwin to the             
 Department of Community and Regional Affairs.                                 
                                                                               
 (* First public hearing)                                                      
                                                                               
 WITNESS REGISTER                                                              
                                                                               
 DARROLL HARGRAVES, Chairman                                                   
 Local Boundary Commission                                                     
 Department of Community and Regional Affairs                                  
 333 West Fourth Avenue, Suite 220                                             
 Anchorage, AK 99501                                                           
 Telephone:  (907) 269-4500                                                    
 POSITION STATEMENT:  Gave overview of the Local Boundary                      
                      Commission                                               
                                                                               
 DAN BOCKHORST                                                                 
 Local Boundary Commission                                                     
 Department of Community and Regional Affairs                                  
 333 West Fourth Avenue, Suite 220                                             
 Anchorage, AK 99501                                                           
 Telephone:  (907) 269-4500                                                    
 POSITION STATEMENT: Answered questions concerning the Local                   
                     Boundary Commission                                       
                                                                               
 BRYCE EDGMON, Legislative Aide                                                
   to Representative Richard Foster                                            
 Alaska State Legislature                                                      
 State Capital Building, Room 412                                              
 Juneau, Alaska 99811                                                          
 Telephone:  (907) 465-3789                                                    
 POSITION STATEMENT:  Gave sponsor statement for HB 146                        
                                                                               
 MATT DESALERNOS, Chair                                                        
 Iditarod Trail Committee Board of Directors                                   
 P.O. Box 1630                                                                 
 Nome, AK 99762-1630                                                           
 Telephone:  (907) 443-5555                                                    
 POSITION STATEMENT: Testified in support of HB 146                            
                                                                               
 JOHN HANDELAND, Mayor                                                         
 City of Nome                                                                  
 P.O. Box 1630                                                                 
 Nome, AK 99762-1630                                                           
 Telephone:  (907) 443-5555                                                    
 POSITION STATEMENT: Testified in support of HB 146                            
                                                                               
 STAN HOULEY, Executive Director                                               
 Iditarod Trail Committee                                                      
 165 East Parks Highway, Suite 106                                             
 Wasilla, AK 99654-7035                                                        
 Telephone:  (907) 376-3704                                                    
 POSITION STATEMENT: Testified in support of HB 146                            
                                                                               
 JOANN POTTS, Director                                                         
 Iditarod Race                                                                 
 165 East Parks Highway, Suite 106                                             
 Wasilla, AK 99654-7035                                                        
 Telephone: (907) 376-3704                                                     
 POSITION STATEMENT:  Testified in support of HB 146                           
                                                                               
 JEFF PRATHER, Acting Director                                                 
 Charitable Gaming Division                                                    
 Department of Revenue                                                         
 P.O. Box 110440                                                               
 Juneau, AK 99811-0440                                                         
 POSITION STATEMENT:  Answered questions on HB 146                             
                                                                               
 MIKE IRWIN, Commissioner Designate                                            
 Department of Community and Regional Affairs                                  
 P.O. Box 112100                                                               
 Juneau, AK 99811-2100                                                         
 Telephone:  (907) 465-4700                                                    
 POSITION STATEMENT:  Gave personal history and work background                
                                                                               
 PREVIOUS ACTION                                                               
                                                                               
 BILL:  HB 146                                                               
 SHORT TITLE: SLED DOG RACE CLASSIC                                            
 SPONSOR(S): REPRESENTATIVE(S) FOSTER, Phillips, Mulder, Navarre,              
 Brice Grussendorf, Toohey, Ivan                                               
                                                                               
 JRN-DATE     JRN-PG                  ACTION                                   
 02/03/95       235    (H)   READ THE FIRST TIME - REFERRAL(S)                 
 02/03/95       235    (H)   CRA, L&C                                          
 02/13/95       343    (H)   COSPONSOR(S): IVAN                                
 02/14/95              (H)   CRA AT 01:00 PM CAPITOL 124                       
                                                                               
 ACTION NARRATIVE                                                              
                                                                               
 TAPE 95-2, SIDE A                                                             
 Number 000                                                                    
                                                                               
 CO-CHAIR IVAN called the House Committee on Community and Regional            
 Affairs to order at 1:03 p.m.  He went over the meeting agenda and            
 proceeded to introduce Darroll Hargraves, Chair of the Local                  
 Boundary Commission.                                                          
                                                                               
 Number 031                                                                    
                                                                               
 DARROLL HARGRAVES, Chair, Local Boundary Commission (LBC), noted              
 the attendance by other commission members from around the state              
 including Anchorage, Sitka, Nome, and Fairbanks.  He then read the            
 handout, given to all the committee members concerning an overview            
 of the Local Boundary Commission beginning with the role and duties           
 of the commission.  The Local Boundary Commission was established             
 under Alaska's Constitution to ensure that municipal boundary                 
 proposals would be considered objectively and with a statewide                
 perspective.  Of the 130 or so State boards and commissions, only             
 the Local Boundary Commission and four others have origins in                 
 Alaska's Constitution.  The duties of the commission include acting           
 on proposals for municipal incorporation, annexation, detachment,             
 dissolution, merger, consolidation, and reclassification of cities.           
 The LBC consists of five members, each appointed from Alaska's four           
 judicial districts and one appointed at-large.  These members serve           
 overlapping five-year terms during which they are not compensated.            
 The Department of Community and Regional Affairs provides the staff           
 support to the commission.                                                    
                                                                               
 Last year was a busy year for the commission which met 16 times and           
 approve petitions for several communities including the                       
 incorporation of the City of Egegik, annexation to the City of Sand           
 Point, and dissolutionment of the City of Atmautluak, City of                 
 Kasigluk, City of Newtok, City of Tununak, and City of Tuluksak.              
 Incorporation of the City of Egegik remains subject to approval by            
 the local voters.  The Egegik incorporation election will be                  
 conducted at the end of next month and results are expected to be             
 certified by April 10.  Dissolution of the five cities is subject             
 to review by the legislature.  Formal recommendations for those               
 dissolution proposals were filed with the legislature by the                  
 commission on January 25.                                                     
                                                                               
 Under the law, the recommendations receive automatic approval from            
 the legislature unless the House and the Senate adopt concurrent              
 resolutions rejecting the recommendations.  The resolutions must be           
 adopted by both houses within 45 days of the date the commission              
 filed the recommendations.  If not rejected by the legislature, the           
 dissolutions will take effect upon the satisfaction of certain                
 conditions.  The conditions are intended to ensure that the cities'           
 debts are paid, that their assets and liabilities are transferred             
 to local successors and that other appropriate transition measures            
 are carried out.                                                              
                                                                               
 At the present moment, there are a number of actions that are                 
 currently pending: reconsideration of the northwest boundary of the           
 Lake and Peninsula Borough; dissolution of the City of Akiak;                 
 detachment of 5,400 square miles from the Fairbanks North Star                
 Borough; incorporation of the 10,000 square mile North Pole                   
 Borough; and the reconsideration of the incorporation of the City             
 of Pilot Point.  The commission is not allowed, under state law, to           
 discuss pending matter.                                                       
                                                                               
 In the commission's annual report to the legislature, they                    
 addressed several policy issues:  Growing interest in borough                 
 detachment; growing interesting in dissolution of cities; the lack            
 of limitation on the authority of municipalities to levy certain              
 taxes; and the lack of compensation for the commission.                       
                                                                               
 In the first issue, the commission sees growing disenchantment with           
 the status quo.  Interest in detachment from boroughs is promoted             
 in part by rising local taxes, due to some extent from declining              
 state aid; and perceptions of inequities in the current regional              
 government structure (organized boroughs vs. the unorganized                  
 Boroughs.)                                                                    
                                                                               
 The interest in dissolving city governments is on the rise,                   
 particularly among communities in the Lower Kuskokwim Region.  This           
 appears to be the result of a desire to return to more traditional            
 ways of governance.  This potential exists, however, for                      
 communities in other parts of Alaska to seek dissolutionment of               
 their cities as well.                                                         
                                                                               
 In many cases, there are few incentives to maintain municipal                 
 status.  Communities that detach from boroughs or dissolve their              
 city governments can enjoy a substantial level of services without            
 the burdens and responsibilities of municipal government.                     
 Unincorporated communities may receive:  State revenue sharing;               
 capitol project matching grants; state-funded education; and police           
 protection (Troopers or VPSO).                                                
                                                                               
 These remarks aren't judgments, but observations.  However, it is             
 reasonable to expect the number of proposals for municipal                    
 detachment and dissolution to increase in the future.  The                    
 commission offers two suggestions for legislation to enable the               
 state to deal more effectively with dissolution of cities.                    
                                                                               
 The first is to permit tradition councils to hold title to real               
 property.  As outlined in our annual report, such will eliminate a            
 major obstacle to the dissolution of cities in Native communities             
 that lack IRA Councils.  The commission notes that the legislature            
 has previously enacted provisions to allow entities that lack                 
 corporate status to hold land.                                                
                                                                               
                                                                               
 The second is to broaden the law concerning succession to assets,             
 liabilities and duties of a dissolved municipality.  Currently, the           
 law provides that another municipality or the state will be the               
 successor.  The commission urges the legislature to consider                  
 expanding the law to permit a village council to succeed to a                 
 municipalities assets, liabilities and duties.                                
                                                                               
 Under the subject municipal authority to levy taxes, concerns                 
 continue to be expressed over the lack of limits on the authority             
 of municipalities to levy sales taxes.  Concerns were expressed               
 recently over the proposed incorporation of the City of Egegik.               
 Some municipalities, however, receive even higher per capita                  
 revenues from taxes than would the prospective City of Egegik.  The           
 commission offers no proposals to limit such authority, however, it           
 wishes to ensure that the legislature is aware of the concerns                
 being expressed.                                                              
                                                                               
 The last subject that Mr. Hargraves brought up concerned                      
 compensation for the members of the commission.  He said that he              
 and the other members are appreciative of the efforts of others to            
 try to get compensation for the members of the commission.  He                
 wanted to point out that the commission members volunteered their             
 time to respond to the duties of the commission often in remote               
 locations.  He also gave an estimate per member/per day of                    
 compensation stating it would not exceed $18,750 per year.  He said           
 that without the compensation, it would be difficult to find                  
 qualified Alaskans willing to stay on the commission.   Mr.                   
 Hargraves again reiterated the complexity of the commission's                 
 schedule is based on the time-line posted at the back of the                  
 overview.                                                                     
                                                                               
 Number 307                                                                    
                                                                               
 CO-CHAIR IVAN welcomed any comments or questions from the committee           
 members.                                                                      
                                                                               
 Number 310                                                                    
                                                                               
 MR. HARGRAVES invited Mr. Dan Bockhorst to come forward to help               
 answer any questions.                                                         
                                                                               
 Number 315                                                                    
                                                                               
 CO-CHAIR ALAN AUSTERMAN asked about the compensation the commission           
 had requested.  He wanted to know whether the commission was                  
 receiving per diem, at the present moment, for travel.                        
                                                                               
 Number 319                                                                    
                                                                               
 MR. HARGRAVES confirmed that the commission received actual                   
 expenses based on receipts.                                                   
                                                                               
 Number 321                                                                    
                                                                               
                                                                               
 CO-CHAIR AUSTERMAN asked about the $150 per day and whether it                
 would be in addition to the money given based on the receipts.  He            
 wondered how the compensated money would be projected.                        
                                                                               
 Number 324                                                                    
                                                                               
 DAN BOCKHORST, Local Boundary Commission, Department of Community             
 and Regional Affairs, answered that the money would be given on the           
 basis of board meetings in that the $150/day was per day of                   
 meetings.                                                                     
                                                                               
 Number 327                                                                    
                                                                               
 MR. HARGRAVES said he was surprised to find out that other boards             
 and commissions around the state receive compensation.  He said he            
 was unsure about how to support the commission's desire for                   
 compensation until he realized others around the state are                    
 compensated.                                                                  
                                                                               
 Number 333                                                                    
                                                                               
 REPRESENTATIVE JERRY MACKIE asked to confirm the comment made by              
 Co-Chair Austerman about the $150 per day.  He wanted to clarify              
 that this money would actually be compensation for food and lodging           
 and not just another type of per diem.                                        
                                                                               
 Number 339                                                                    
                                                                               
 REPRESENTATIVE KIM ELTON commented on the commission's desire for             
 compensation in that if the legislature decided to award this board           
 with the $18,750 requested, wouldn't another board put forth a good           
 argument requesting compensation?  He felt that if the money was              
 given to this commission then the committee might feel compelled to           
 answer to the demands of others as well.                                      
                                                                               
 Number 350                                                                    
                                                                               
 REPRESENTATIVE MACKIE said that having chaired this committee                 
 before, this isn't the first time the compensation request has been           
 brought before the committee.                                                 
                                                                               
 Number 364                                                                    
                                                                               
 MR. HARGRAVES also confirmed the fact that this issue has been                
 around for a number of years.  He has noticed that the commission's           
 work load has increased significantly, in recent years. and it                
 would be difficult to keep professional people on the job due to              
 the lack of compensation.                                                     
                                                                               
 Number 376                                                                    
                                                                               
 CO-CHAIR AUSTERMAN asked about the reasons for dissolving some of             
 the communities.  He wanted to know what the commission had in mind           
 in terms of how to look in the opposite direction and help the                
 dissolutioned community keep from becoming insolvent or encourage             
 them not to dissolve their corporations, rather than just looking             
 at what to do with the assets derived from dissolutionment.                   
                                                                               
 Number 391                                                                    
                                                                               
 MR. HARGRAVES stated that he felt encouragement and motivation                
 provided for a community would help them to stay organized.  He's             
 personally concerned with the community's ability to dissolve a               
 local government.  In some instances that he's witnessed, he's seen           
 communities that haven't had an election in several years or have             
 tried to keep their local government council running, so the                  
 commission is unsure as to how to motivate these communities to               
 stay as a government.   He also said that these communities witness           
 the success of other non-government organized communities under the           
 guidance of non-profit corporations receiving funds for their                 
 communities.                                                                  
                                                                               
 Number 407                                                                    
                                                                               
 CO-CHAIR IVAN commented on his own community of Akiak which has               
 been considering dissolutionment.   He felt that improvement of               
 communication and services between the communities and the state              
 government could possibly prevent these communities from                      
 dissolving.                                                                   
                                                                               
 Number 426                                                                    
                                                                               
 CO-CHAIR AUSTERMAN asked if this high number of dissolving                    
 communities was normal.                                                       
                                                                               
 Number 429                                                                    
                                                                               
 DARROLL HARGRAVES said that the commission hadn't seen this much              
 dissolutionment before and he passed the comment on to be answered            
 by Dan Bockhorst.                                                             
                                                                               
 Number 433                                                                    
                                                                               
 MR. BOCKHORST also agreed to this and said that it had become the             
 responsibility of the state of Alaska to dissolve these local                 
 governments.  This was due to the fact that the residents of these            
 communities had just abandoned their city governments which they've           
 been for the past six to eight years.  The commission recommended             
 to the legislature that the city governments in those communities             
 be dissolved.  He feels that it is an unusual amount of activity              
 but he feels the commission foresees the interest in                          
 dissolutionment in other communities.                                         
                                                                               
 Number 443                                                                    
                                                                               
 MR. HARGRAVES commented on the communities and their feelings                 
 concerning whether to form a government or to dissolve and their              
 struggle to support their community's best interests.                         
                                                                               
 Number 449                                                                    
                                                                               
 CO-CHAIR AUSTERMAN wanted to know whether the representative from             
 the Department of Community and Regional Affairs would be bringing            
 anything before the legislature to help solve the problem of                  
 community government dissolutionment.                                         
                                                                               
 Number 457                                                                    
                                                                               
 MR. BOCKHORST pointed out two issues that DCRA viewed as being                
 important; one, the option to allow a village council to be a                 
 successor to a city government, rather than making it the                     
 responsibility of the state of Alaska; two, and allow a traditional           
 council to receive conveyances of land.  Dan felt that these would            
 eliminate significant obstacles in the way the commission has been            
 dealing with dissolutionment.                                                 
                                                                               
 Number 464                                                                    
                                                                               
 CO-CHAIR AUSTERMAN noted that this still didn't help the community            
 stay whole but only supported the dissolutionment of a community.             
 Is Community and Regional Affairs (CRA) looking at the opposite end           
 of this issue and instead of figuring  out how to dissolve the                
 community governments but how to keep them together.                          
                                                                               
 Number 470                                                                    
                                                                               
 MR. BOCKHORST expressed the concern of the department, but he noted           
 that when a community abandoned its city government, they gave up             
 substantial revenues.  The communities reasons for abandoning their           
 governments could be because they want to return to more                      
 traditional ways of governance.  Mr. Bockhorst stated that the                
 department is interested in options other than dissolutionment, but           
 the department didn't know how to compel a community to upkeep                
 their state political subdivision if they don't want to operate it.           
 He also noted that the department had supported and offered                   
 assistance to those communities and offered greater funding and               
 revenue sharing and is willing to look at other options.                      
                                                                               
 Number 484                                                                    
                                                                               
 REPRESENTATIVE ELTON asked what happened to the match funds                   
 available to municipalities when the city government was                      
 inoperative.  He wanted clarified the fact that when municipalities           
 gave up their governments they also gave up their share of                    
 government funding.                                                           
                                                                               
 Number 491                                                                    
 MR. BOCKHORST agreed to this and stated that this was the worst               
 position for these communities to be in because these                         
 municipalities don't qualify for state revenue sharing or municipal           
 assistance.  Upon their dissolutionment, these communities could at           
 least receive a smaller level of revenue sharing and be eligible              
 for capitol matching project grants.  At the present moment, with             
 their city governments not functioning, the state isn't giving out            
 any money for programs outlined by Community and Regional Affairs.            
                                                                               
 Number 499                                                                    
                                                                               
 REPRESENTATIVE MACKIE commented on the Local Boundary Commission.             
 He's had both good and bad experiences working with the commission,           
 and felt that the commission served a very important function in              
 the state.  He brought up a personal incident concerning his                  
 district that served to vary his opinion of the value of the Local            
 Boundary Commission.  This involved the annexation of the Green's             
 Creek Mine into the City and Borough of Juneau.  This mine was                
 located in Representative Mackie's district, and the case                     
 concerning it stated that since Juneau people worked at the mine,             
 it should be annexed for tax purposes.  Representative Mackie                 
 stated how opposed he was to this decision, because during this               
 same time, this revenue generating area was undergoing a survey to            
 determine whether it could become a potential borough.  He stated             
 that if an area wished to become a borough they would have to have            
 the financial means to do this successfully.  In what he's seen, he           
 felt that the big boroughs and municipalities, in drawing in these            
 potential financial areas, have served to diminish the incentive of           
 these rural boroughs in running their own local governments.  He              
 felt it was wrong of these big boroughs to try to take areas that             
 would financially benefit them, and he hoped that the new and old             
 commission members would look toward the future and keep in mind              
 these small municipalities.                                                   
                                                                               
 Number 557                                                                    
                                                                               
 REPRESENTATIVE ELTON felt that the comments were important and that           
 CRA should be in the position to encourage the formation of local             
 governments.  He also said that the removal of a substantial tax              
 base from a rural area gets in the way of this formation.  His only           
 disagreement with this wasn't the fact that the city of Juneau                
 approached the small community, but that the small rural area came            
 to the big borough and asked to be taken.                                     
                                                                               
 Number 567                                                                    
                                                                               
 CO-CHAIR IVAN thanked the commission for coming before the                    
 committee and presenting their overview.                                      
                                                                               
 Number 573                                                                    
                                                                               
 REPRESENTATIVE MACKIE moved that the committee ask the co-chairmen            
 to evaluate the recommendations put forth by the Local Boundary               
 Commission and work directly with them to offer a piece of                    
 legislation that CRA could sponsor in dealing with the                        
 recommendations as well as with the compensation requests.  He felt           
 it was the duty of the committee to try to help this commission.              
                                                                               
                                                                               
 Number 580                                                                    
                                                                               
 CO-CHAIR IVAN heard no objections, it was so ordered.  He again               
 thanked the Local Boundary Commission for attending.                          
                                                                               
 HCRA - 02/14/95                                                               
 HB 146 - SLED DOG RACE CLASSIC                                              
                                                                               
 CO-CHAIR IVAN then asked the person attending on behalf of                    
 Representative Richard Foster to come forward and introduce HB 146,           
 pertaining to sled dog race classics.  He also recognized those               
 waiting on teleconference from Nome and Mat-Su to give testimony              
 regarding this bill.                                                          
                                                                               
 Number 593                                                                    
                                                                               
 BRYCE EDGMON, Legislative Aide to Representative Richard Foster,              
 sponsor of the measure, introduced HB 146 which would help the                
 Trail Committee raise money.  He gave some estimates in terms of              
 the money loss faced this year and next; $390,000; and $175,000.              
 This loss is due at large from the withdrawal of corporate                    
 sponsorships.  He paralleled the race itself to the race to keep              
 the Iditarod financially afloat.  The only alternative to this                
 would be that there wouldn't be an Iditarod Race in the future.               
 The purpose of HB 146 would allow the Trail Committee to conduct a            
 statewide raffle to guess the arrival time of mushers at various              
 checkpoints.  Mr. Edgmon stated that the bill wouldn't authorize              
 the individual wagers on any particular musher.                               
                                                                               
 Number 624                                                                    
                                                                               
 CO-CHAIR IVAN welcomed any comments.  He also commented on how                
 important the Iditarod was to the state's economy and that he                 
 supported it.  He then welcomed the testimony from Mr. DeSalernos             
 in Nome.                                                                      
                                                                               
 Number 630                                                                    
                                                                               
 MATT DESALERNOS, Chair, Iditarod Trail Committee Board of                     
 Directors, testified via teleconference from Nome.  He strongly               
 supports HB 146.  He felt that this would help develop a sound                
 financial future for the race.  He also added that it gave Alaska             
 tremendous exposure both nationwide and worldwide and was good for            
 the marketing program for the tourist industry.  He felt that HB
 146 would serve its purpose of getting money for the race without             
 the committee having to come to the state government asking for the           
 money.  It would give a firmer standing for the Iditarod Committee            
 which would be a benefit for all Alaskans.                                    
 Number 655                                                                    
                                                                               
 JOHN HANDELAND, Mayor, City of Nome, testified via teleconference.            
 He stated that his council recently passed a unanimous resolution             
 in support of HB 146.  He said that over the last several years,              
 he's been a volunteer for the Iditarod, and he's met with people              
 from all over the world that follow the Iditarod on a regular                 
 basis.  He felt that the Iditarod was a very important race, not              
 just for the local community, but for the state of Alaska as a                
 whole.  The great tourism potential and outside funding was                   
 something Mayor Handeland felt couldn't be overlooked.  HB 146                
 would provide another vital tool to base the Iditarod as self-                
 sufficient.                                                                   
                                                                               
 Number 681                                                                    
                                                                               
 REPRESENTATIVE MACKIE asked Mayor Handeland about the amount of               
 money that could be raised from this classic based on estimates               
 from other classics.                                                          
                                                                               
 Number 684                                                                    
                                                                               
 MAYOR HANDELAND replied that there are other authorized classics,             
 and he hadn't looked through those estimates.  He felt that this              
 classic would bring in a substantial amount of money if marketed              
 properly.  He hoped that the raffle tickets would be available                
 statewide to maximize the benefits from the program.  Over the last           
 year, funding has come from local communities throughout the state,           
 and corporate sponsors but it's not expected for them to continue             
 funding to the extent that they have recently.                                
                                                                               
 Number 700                                                                    
                                                                               
 REPRESENTATIVE MACKIE wanted to make a suggestion saying he was all           
 for HB 146 and he wanted all of the funding to be from the state of           
 Alaska.  His suggestion concerned his desire for members of the               
 committee to do a quick analysis for future hearings of this bill             
 to come up with an estimate based on other classics.  By coming up            
 with an actual dollar amount, it would show others the substantial            
 amount of money that could be raised by Alaskans.                             
                                                                               
 Number 712                                                                    
                                                                               
 MAYOR HANDELAND agreed with this suggestion, and he followed up by            
 saying that he hoped there would be substantial interest raised on            
 the national level by those visiting Alaska and who purchase a                
 ticket and who actually follow the race.                                      
                                                                               
 TAPE 95-2, SIDE B                                                             
 Number 000                                                                    
                                                                               
 CO-CHAIR IVAN welcomed the comments from Stan Houley, in Mat-Su,              
 testifying in support of HB 146.                                              
                                                                               
 Number 006                                                                    
                                                                               
 STAN HOULEY, Executive Director, Iditarod Trail Committee, felt               
 that this bill would allow a diversity in the funding base.  He               
 estimated a monetary amount from the sale of the classics which he            
 felt could be close to a million dollars.  This was generated on              
 the basis of looking at the amount raised for the Nenana Classic              
 which ranged around $200,000.  This classic is more regionalized              
 than the iditarod, and he believes that the million dollar figure             
 is achievable.   He urged the committee to consider the benefit of            
 giving the trail committee a tool with which to make itself more              
 successful.                                                                   
                                                                               
 Number 077                                                                    
                                                                               
 CO-CHAIR IVAN introduce Joann Potts testifying from Mat-Su.                   
                                                                               
 Number 080                                                                    
                                                                               
 JOANN POTTS, Director, Iditarod Race, said she's been involved with           
 the race for the past twenty years and she felt that it was                   
 important for the race to be able to continue.  She strongly                  
 endorsed the proposed bill.                                                   
                                                                               
 Number 094                                                                    
                                                                               
 CO-CHAIR IVAN welcomed comments and questions at this point.                  
                                                                               
 Number 095                                                                    
                                                                               
 REPRESENTATIVE ELTON asked for clarification in determining the               
 difference between a sled dog race classic and a dog mushers                  
 contest.                                                                      
                                                                               
 Number 099                                                                    
                                                                               
 MR. EDGMON called upon Jeff Prather to answer the question.                   
                                                                               
 Number 105                                                                    
                                                                               
 JEFF PRATHER, Acting Director, Charitable Gaming Division,                    
 Department of Revenue, stated that he didn't think there was a                
 difference between the two.  This bill would prevent any other                
 charitable organization from conducting a dog mushers contest.                
                                                                               
 Number 120                                                                    
                                                                               
 REPRESENTATIVE ELTON followed up with a comment stating that HB 146           
 would prevent the occurrence of other organizations reaping the               
 benefits of such a raffle and would give exclusive right to the               
 trail committee.                                                              
                                                                               
 Number 125                                                                    
                                                                               
 CO-CHAIR IVAN expressed his appreciation for all the testimony                
 supporting the bill.                                                          
                                                                               
 Number 129                                                                    
                                                                               
 MR. EDGMON added that SB 66 was a companion bill that had passed              
 out of the Senate Finance Committee that morning and was headed               
 toward the Senate Resources Committee.  He also stated his                    
 appreciation at the willingness of the committee to hear HB 146.              
                                                                               
 Number 138                                                                    
                                                                               
 REPRESENTATIVE ELTON moved to pass HB 146 out of the House                    
 Community and Regional Affairs Committee with individual                      
 recommendations.                                                              
 Number 144                                                                    
                                                                               
 CO-CHAIR IVAN requested the committee to take a short break before            
 the confirmation hearing of Commissioner Mike Irwin.                          
                                                                               
 Number 154                                                                    
                                                                               
 CO-CHAIR IVAN brought the committee back to order at 2:00 p.m. and            
 invited Commissioner Designate Mike Irwin to come forward before              
 the committee and give a brief history of his life.                           
                                                                               
 Number 158                                                                    
                                                                               
 COMMISSIONER MIKE IRWIN started with an introduction.  He was born            
 on the upper Kayakuk River, his mother's hometown.  At the age of             
 six, his family moved to Nenana where his father was a heavy                  
 equipment operator and his mother helped around the home as well as           
 subsistence fished and hunted.  He went through high school at                
 Nenana and then went to the University of Alaska at Fairbanks for             
 three semesters, after which he transferred to the Pacific Lutheran           
 University.  He got his undergraduate degree there and shortly                
 thereafter got married and started his family.  In 1982, he got his           
 masters in public administration.  Since then, he began his career            
 working for several entities in the Native communities and with               
 government.  He worked for two of the state's largest regional non-           
 profit Native corporations:  Tanana Chiefs, and Tlinget and Haida             
 Central Council.  He also worked at two of the largest regional               
 Native corporations: Doyon; and Sealaska.  He worked various                  
 positions including vice-president at Doyon Limited for about four            
 years.  During the Cooper Administration, he worked for about 2 1/2           
 years as a special assistant on rural Native affairs.  Before being           
 appointed as Commissioner, he was executive director of the Alaska            
 Natives Commission which was a joint federal/state commission                 
 funded by the two governments.  He was instructed to look at the              
 social and economic condition of Alaska Natives following the                 
 Alaska Native Claims Settlement Act (ANCSA) and bring forth                   
 recommendations on policy approaches and potential legislation that           
 affect Alaska Natives both socially and economically.   He ended by           
 saying he had four sons.                                                      
                                                                               
 Number 213                                                                    
                                                                               
                                                                               
 CO-CHAIR IVAN again welcomed any comments from the committee.                 
                                                                               
 Number 216                                                                    
                                                                               
 CO-CHAIR AUSTERMAN asked Commissioner Irwin about the commission he           
 was recently on and whether the report on it was finalized.                   
                                                                               
 Number 221                                                                    
                                                                               
 COMMISSIONER IRWIN said that the report was finished and that it              
 was published in May of 1994, and it's a three volume set.  He                
 helped to construct it along with a staff of five and about six               
 contract writers.  He said the commission had 13 members, 7                   
 appointed by Governor Hickel and the remaining by President George            
 Bush.                                                                         
                                                                               
 Number 233                                                                    
                                                                               
 CO-CHAIR IVAN commented on the number of issues that need to be               
 attended to in rural Alaska.  He stated that it would be a                    
 challenge for Commissioner Irwin, and he's interested to hear, in             
 the future, of any remarks from Mr. Irwin on how he'd address the             
 slowing down of the rural communities' dissolutionments.                      
                                                                               
 Number 245                                                                    
                                                                               
 COMMISSIONER IRWIN pointed out that 13 years ago, his college                 
 thesis covered the push/pull between municipal governments and more           
 traditional governments in rural Alaska.  His conclusion was that             
 both equal tools for local people and that they should be                     
 encouraged to use them to the best of their advantage.  In this               
 regard, he felt that municipal governments do hold out the promise            
 of being an important facet for communities throughout the state.             
 He said one of the incentives of doing this would be to figure out            
 how it is a viable tool that could be used.  He felt it was                   
 incumbent upon CRA to answer this question for the rural                      
 communities while not forgetting that there are differences in                
 lifestyle and geography.  He also gave some figures concerning the            
 amount of money given to the Alaska Natives by the federal                    
 government and he figured it was upwards of 1/3 of a billion                  
 dollars.  For every dollar that the state poured into state                   
 programs, the federal government matched it with a dollar to help             
 provide extra services toward Alaska Natives.                                 
                                                                               
 Number 279                                                                    
                                                                               
 CO-CHAIR AUSTERMAN stated his pleasure at having Commissioner Irwin           
 before the committee and also at being able to work with him over             
 the next two years.  He's pleased with the Governor's appointment             
 of Mr. Irwin as someone with a varied background to head this                 
 department.                                                                   
                                                                               
 Number 288                                                                    
                                                                               
                                                                               
 REPRESENTATIVE MACKIE commented on the long standing friendship               
 between himself and Commissioner Irwin and he too, felt that Mr.              
 Irwin's capabilities are wide and varied and he's also very pleased           
 with the Governor's appointment.  He moved that the committee                 
 forward to the joint session for consideration, Mike Irwin's name             
 as the next commissioner.                                                     
                                                                               
 Number 300                                                                    
                                                                               
 REPRESENTATIVE IRENE NICHOLIA also supported the comments said by             
 Representative Mackie.  She noted that she'd known Commissioner               
 Irwin for the past 20 years, and she felt he was a great individual           
 to take on this job.                                                          
                                                                               
 Number 303                                                                    
                                                                               
 CO-CHAIR IVAN stated it was so ordered.  He listed the agenda for             
 next Thursday's meeting and closed the committee.                             
                                                                               
 ADJOURNMENT                                                                   
                                                                               
 There being no further business to come before the House Standing             
 Committee on Community and Regional Affairs, CO-CHAIR IVAN                    
 adjourned the meeting at 2:10 p.m.                                            
                                                                               

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