Legislature(2009 - 2010)CAPITOL 106

02/03/2009 05:15 PM House ECON. DEV., TRADE & TOURISM


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05:16:26 PM Start
05:16:42 PM Discuss House Special Committee on Economic Development, International Trade and Tourism Goals and Priorities for the 26th Legislative Session.
05:40:26 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Discuss EDT goals and priorities for TELECONFERENCED
26th Legislative Session
                    ALASKA STATE LEGISLATURE                                                                                  
 HOUSE SPECIAL COMMITTEE ON ECONOMIC DEVELOPMENT, INTERNATIONAL                                                               
                       TRADE AND TOURISM                                                                                      
                        February 3, 2009                                                                                        
                           5:16 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Jay Ramras, Chair                                                                                                
Representative Nancy Dahlstrom                                                                                                  
Representative Kyle Johansen                                                                                                    
Representative Mike Doogan                                                                                                      
Representative Chris Tuck                                                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Mike Chenault                                                                                                    
Representative Mark Neuman                                                                                                      
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
Discuss House Special Committee on Economic Development,                                                                        
International Trade and Tourism goals and priorities for the                                                                    
26th Legislative Session.                                                                                                       
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                              
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
No witnesses to record                                                                                                          
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
5:16:26 PM                                                                                                                    
                                                                                                                                
CHAIR JAY RAMRAS  called the House Special  Committee on Economic                                                             
Development, International Trade and  Tourism meeting to order at                                                               
5:16  p.m.   Representatives Dahlstrom,  Johansen, Doogan,  Tuck,                                                               
and Ramras were present at the call to order.                                                                                   
                                                                                                                                
5:16:42 PM                                                                                                                    
                                                                                                                                
^Discuss  House   Special  Committee  on   Economic  Development,                                                             
International  Trade and  Tourism  goals and  priorities for  the                                                             
26th Legislative Session.                                                                                                     
                                                                                                                                
CHAIR  RAMRAS announced  the only  order  of business  will be  a                                                               
discussion on the goals and priorities for the committee.                                                                       
                                                                                                                                
5:16:42 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS  introduced Margaret  Dowling, who is  the committee                                                               
aide, and  advised that  the committee will  not hear  any bills;                                                               
furthermore, there  may be  two members  added to  the committee.                                                               
Chair  Ramras noted  that a  presentation by  World Trade  Center                                                               
Alaska  is scheduled  for 2/10/09,  and he  has contacted  Alaska                                                               
Housing  Finance Corporation  about leading  a discussion  on the                                                               
relative  health, region  by  region, of  the  housing market  in                                                               
Alaska.  He  also suggested a presentation by  the Alaska banking                                                               
industry on the flow of  credit and capital throughout the state.                                                               
Finally, it  would be  appropriate for the  committee to  hear an                                                               
overview on  retail gasoline [pricing] subsequent  to the receipt                                                               
of the  reports on  that subject issued  by the  attorney general                                                               
and the House Judiciary Standing Committee.                                                                                     
                                                                                                                                
5:21:12 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS  invited suggestions  for topics of  discussion from                                                               
the committee.                                                                                                                  
                                                                                                                                
5:20:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE TUCK expressed his hope  that Alaska will begin to                                                               
manufacture  physical goods  and "value  add" [to]  the resources                                                               
that the  state has.   This  would include  learning what  can be                                                               
done competitively,  through technology and through  machine tool                                                               
methods  and  process methods.    He  opined  that by  using  the                                                               
University of Alaska  (UA) system, Alaska can  duplicate what was                                                               
done  in  Texas  to  develop the  petro-chemical  industry.    By                                                               
supporting scientific  studies at the university,  technology can                                                               
be developed and applied by entrepreneurs  in the state.  This is                                                               
similar  to  what  California  did  to  develop  Silicon  Valley.                                                               
Representative  Tuck   stressed  the  importance   of  maximizing                                                               
Alaska's wealth of  resources, before it is  exported, to produce                                                               
high  paying jobs,  stronger trade,  and a  better economy;  this                                                               
would also  strengthen in-state tourism.   His vision is  for the                                                               
state to  produce physical wealth  through value-added  goods and                                                               
sustain its economy independently.                                                                                              
                                                                                                                                
5:23:52 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS  re-stated Representative Tuck's interest  in value-                                                               
added goods  and encouraged him  to have his staff  research this                                                               
topic for further  discussion.  On the subject  of tourism, Chair                                                               
Ramras  asked Representative  Neuman  to make  inquiries about  a                                                               
possible presentation.                                                                                                          
                                                                                                                                
5:24:22 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DAHLSTROM  agreed  with Representative  Tuck  and                                                               
suggested  that  the  ideas  also  fall  under  the  category  of                                                               
workforce development.   She is also interested  in reviewing the                                                               
[gasoline pricing] reports.                                                                                                     
                                                                                                                                
5:24:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  TUCK   added  that  fully  funding   science  and                                                               
technology  facilities at  the university  level  is an  economic                                                               
driver and thus an element of interest to the committee.                                                                        
                                                                                                                                
5:25:37 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE DOOGAN  expressed his  interest in  learning about                                                               
workforce development relating  to how much is being  done in the                                                               
state, and whether needed workers  are being trained in the right                                                               
fields.   Although  workforce development  is a  popular subject,                                                               
it is not clear what results are to be expected, he opined.                                                                     
                                                                                                                                
5:26:50 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS  suggested that  Representative Doogan  research the                                                               
resources for this  topic.  Noting that a  special committee does                                                               
not  have  the  sufficient  stature   to  schedule  "high  level"                                                               
speakers,  such  as  the  president   of  the  UA,  Chair  Ramras                                                               
encouraged  the   committee  to  develop  alternate   sources  of                                                               
information and  to provide  "a horizon  of study  and a  list of                                                               
resources" to contact.                                                                                                          
                                                                                                                                
5:29:44 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE TUCK  related his  receipt of a  report discussing                                                               
non-resident workers, and pointed  out that this situation should                                                               
be of  interest to the  committee because  of the value  of wages                                                               
going out of  state.  Workforce development is a  key way to keep                                                               
wealth   in  the   state  by   [assuring  that]   oil  and   gas,                                                               
construction, and other  high paying jobs go  to Alaskans instead                                                               
of non-residents.                                                                                                               
                                                                                                                                
5:31:01 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS  reviewed the  title of  the committee  and surmised                                                               
that the "Trade"  piece has been forgotten.  He  asked members to                                                               
turn  their focus  outward to  international  trade partners  for                                                               
value-added  products  such  as   fishing  and  fertilizer.    He                                                               
identified  Agrium, Inc.,  and  what that  industry  can mean  to                                                               
residents and to the natural gas market.                                                                                        
                                                                                                                                
5:32:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHANSEN  offered examples of "looking  inward ...                                                               
and  looking  outward."    Alaska  Ship  and  Drydock,  Inc.,  in                                                               
Ketchikan,  is  a  state-owned facility  operated  by  a  private                                                               
company  that is  repairing and  building  ships.   In fact,  the                                                               
first ship  built was the Ketchikan  International Airport ferry,                                                               
built  with  general   fund  (GF)  money  to   serve  an  Alaskan                                                               
community.  In  addition, the corporation is building  a ship for                                                               
the  U.S.  Department  of  Defense   and  a  vessel  for  Chevron                                                               
Corporation.  Alaska Ship and  Drydock is also very involved with                                                               
the Department  of Labor &  Workforce Development (DLWD)  and its                                                               
goal is for Ketchikan to  become the northern West Coast maritime                                                               
center for  ship repair  and shipbuilding.   An  additional long-                                                               
term  goal is  to  synchronize with  UA in  the  teaching of  job                                                               
skills that  are common to  shipbuilding and the  construction of                                                               
the gas pipeline.                                                                                                               
                                                                                                                                
5:36:03 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS  lauded Representative Johansen's  long-term support                                                               
of the shipbuilding industry and  assured him that a presentation                                                               
by Alaska Ship and Drydock, Inc. will be welcomed.                                                                              
                                                                                                                                
5:36:43 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHANSEN continued  to  report  that the  fishing                                                               
industry is  also growing in  Ketchikan; in fact, since  1995 the                                                               
dive fishery has grown from $0  to contributing $4 million to the                                                               
industry.   The  dive  fishery  is self-assessed  and  is in  the                                                               
process  of collecting  baseline  science and  the assessment  of                                                               
stocks for  all of  the areas  fished.   He emphasized  that this                                                               
fishery is  specifically for  the Far East  market and  the state                                                               
agencies  involved   include  the  Department   of  Environmental                                                               
Conservation (DEC)  and the  Alaska Department  of Fish  and Game                                                               
(ADF&G).   Representative Johansen  suggested that  the committee                                                               
will also  want to  hear from a  representative of  the Southeast                                                               
Alaska Regional Dive Association (SARDFA).                                                                                      
                                                                                                                                
5:38:30 PM                                                                                                                    
                                                                                                                                
CHAIR RAMRAS recommended that committee  members submit topics of                                                               
interest to the  committee aide for the  calendar.  Additionally,                                                               
he suggested  that members  consider a  trade mission  during the                                                               
interim.   A  worthwhile trade  trip  may take  the committee  to                                                               
Ketchikan to look  at the ship dry dock facility,  or overseas to                                                               
explore value-added export markets.                                                                                             
                                                                                                                                
5:40:26 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Special  Committee on  Economic Development,  International Trade                                                               
and Tourism meeting was adjourned at 5:40 p.m.                                                                                  

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