Legislature(2011 - 2012)BARNES 124
03/15/2011 10:15 AM House ECON. DEV., TRADE & TOURISM
| Audio | Topic |
|---|---|
| Start | |
| Presentation: "alaska Adventure Center: Selling Tourism in the 21st Century" | |
| HB191 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| *+ | HB 191 | TELECONFERENCED | |
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
HOUSE SPECIAL COMMITTEE ON ECONOMIC DEVELOPMENT, INTERNATIONAL
TRADE AND TOURISM
March 15, 2011
10:19 a.m.
MEMBERS PRESENT
Representative Bob Herron, Chair
Representative Kurt Olson, Vice Chair
Representative Reggie Joule
Representative Wes Keller
Representative Cathy Engstrom Munoz
Representative Steve Thompson
Representative Berta Gardner
Representative Chris Tuck
MEMBERS ABSENT
Representative Neal Foster
OTHER LEGISLATORS PRESENT
Senator Johnny Ellis
Representative Bill Stoltze
COMMITTEE CALENDAR
PRESENTATION: "Alaska Adventure Center: Selling Tourism in the
21st Century"
- HEARD
HOUSE BILL NO. 191
"An Act establishing a state department of agriculture and food
and relating to its powers and duties; relating to the powers
and duties of the Department of Environmental Conservation and
the Department of Natural Resources; and providing for an
effective date."
- HEARD & HELD
PREVIOUS COMMITTEE ACTION
BILL: HB 191
SHORT TITLE: DEPARTMENT OF AGRICULTURE AND FOOD
SPONSOR(s): REPRESENTATIVE(s) THOMPSON BY REQUEST
03/11/11 (H) READ THE FIRST TIME - REFERRALS
03/11/11 (H) EDT, RES, FIN
03/15/11 (H) EDT AT 10:15 AM BARNES 124
WITNESS REGISTER
PERRY GREEN, Board Member
Alaska Adventure Exhibition Center
Anchorage, Alaska
POSITION STATEMENT: Participated in a PowerPoint presentation
titled, "Alaska Adventure Center: Selling Tourism in the 21st
Century."
BOB COE, Development Chair
Alaska Adventure Exhibition Center
La Quinta, California
POSITION STATEMENT: Provided a PowerPoint presentation titled,
"Alaska Adventure Center: Selling Tourism in the 21st Century."
PETE FELLMAN, Representative
Alaska Farm Bureau, Inc.
Delta Junction, Alaska
POSITION STATEMENT: Testified in support of HB 191.
LYALL BRASIER, Owner
Brasier Farms
Delta Junction, Alaska
POSITION STATEMENT: Testified in support of HB 191.
BRYCE WRIGLEY, President
Alaska Farm Bureau, Inc.
Delta Junction, Alaska
POSITION STATEMENT: Testified in support of HB 191.
RUBY HOLLEMBAEK, Owner-Operator
Alaska Interior Game Ranch; President
Alaska Diversified Livestock Association, Inc. (ADLA)
POSITION STATEMENT: Testified in support of HB 191.
LYNN GATTIS, Owner
Gattis Farm
Wasilla, Alaska
POSITION STATEMENT: Testified in support of HB 191.
PAUL HUPPERT, Owner
Palmer Produce, Inc.
Palmer, Alaska
POSITION STATEMENT: Testified in support of HB 191.
MICHAEL NEECE, President
Homer Grange
Homer, Alaska
POSITION STATEMENT: Testified in support of HB 191.
BRUCE WILLARD, Director
Alaska Farm Bureau, Inc.
Homer, Alaska
POSITION STATEMENT: Testified in support of HB 191.
MARIE RICE
Kodiak, Alaska
POSITION STATEMENT: Ms. Rice's testimony supporting HB 191 was
read by Bill Burton.
BILL BURTON
Kodiak, Alaska
POSITION STATEMENT: Testified in support of HB 191.
GAYLE EASTWOOD
Petersburg, Alaska
POSITION STATEMENT: Testified in support of HB 191.
DELBERT SIMINEO
Palmer, Alaska
POSITION STATEMENT: Testified during the hearing on HB 191.
ED FOGELS, Deputy Commissioner
Office of the Commissioner
Department of Natural Resources
Anchorage, Alaska
POSITION STATEMENT: Testified during the hearing on HB 191.
ACTION NARRATIVE
10:19:24 AM
CHAIR BOB HERRON called the House Special Committee on Economic
Development, International Trade and Tourism meeting to order at
10:19 a.m. Representatives Herron, Thompson, Gardener, Tuck,
and Keller, and were present at the call to order.
Representatives Munoz, Olson, and Joule arrived as the meeting
was in progress. Senator Ellis and Representative Stoltze were
also in attendance.
^PRESENTATION: "Alaska Adventure Center: Selling Tourism in the
21st Century"
PRESENTATION: "Alaska Adventure Center: Selling Tourism in the
21st Century"
10:20:06 AM
CHAIR HERRON announced that the first order of business would be
a presentation titled, "Alaska Adventure Center: Selling
Tourism in the 21st Century," by Perry Green and Bob Coe.
10:21:08 AM
PERRY GREEN, Board Member, Alaska Adventure Exhibition Center,
noted his long family history and business experience in Alaska,
particularly in tourism. The Alaska Adventure Exhibition
Center is an idea that has been evolving for over 10 years, and
the members of the board of directors were chosen for their
expertise in tourism marketing and for their ability to think
"outside the box." Mr. Green reviewed the business history of
the co-presenter, Mr. Coe, and named other members of the board.
He pointed out that 75 percent of his personal business - from
Ketchikan to Anchorage - is dependent upon tourism, and his
organization seeks to build a unique structure on the Las Vegas
Strip to promote Alaska tourism. Las Vegas was chosen because
it has been the number-one exhibition city in the world for the
last 16 years, and last year 31 million people visited the Las
Vegas Strip. He introduced Mr. Coe and listed his many
successful business and community activities.
10:26:45 AM
REPRESENTATIVE GARDNER asked Mr. Green whether this was his
idea.
10:27:22 AM
MR. GREEN said yes. He told a story of visiting Bethel where he
realized that the Bush had changed, and that developing the
tourism industry would help cities and rural areas as well.
10:29:18 AM
MR. GREEN, in response to Chair Herron, relayed some of his
accomplishments related to poker tournaments and promotion. He
observed that "it isn't the state that sells, it's the sizzle."
As an example of the impact of tourism and successful promotion,
he noted that when Mr. Coe managed the duty-free stores at the
Ted Stevens Anchorage International Airport (Anchorage airport),
$20 million in revenue was paid to the state annually.
10:32:48 AM
BOB COE, Development Chair, Alaska Adventure Exhibition Center,
informed the committee that he retired from work in Alaska in
2004, but is here to give back to the state. He provided his
background and described his efforts to market Alaska as the
gateway to Japan after political changes in Russia, and longer-
distance aircraft, threatened one-half of the international
revenue coming into the Anchorage airport. In Guam, he assisted
as the tourism industry became a large part of the economy. His
primary tasks were to design and build retail stores, worldwide
marketing programs, travel-industry relationships, consumer
research, and aspects of these tasks are tourism and
entertainment. Mr. Coe began presented slide 2 titled,
"Alaska's Tourism Economy" and described "economic sizing." He
reviewed the recent economic statistics on tourism in Alaska
that revealed the tourism industry is shrinking, and causing
economic challenges throughout the state from the loss of jobs
and state revenue. The primary cause is the worldwide
recession, which has affected the cruise industry especially,
and the future is uncertain. Mr. Coe opined that spending
habits have changed and traditional marketing methods through
advertising will not make a difference; what is required are
powerful marketing strategies that "push and pull." He
explained that marketing to those Outside by businesses that are
based in Alaska attempt to pull tourists to the state, but the
cruise industry, because it establishes a schedule to a specific
destination, pushes tourists to the state from another location.
Thus the decline of the cruise industry is a problem because of
the loss of the "push" element of tourism. He observed that
millions of people still want to come to Alaska, except for the
cold and the cost. Slide 4 titled, "Alaska Visitor numbers have
declined since 2008," indicted a loss of 209,800 cruse visitors.
He advised that some of the figures were preliminary numbers,
but they are "in the ballpark."
10:42:42 AM
MR. COE doubted the airline industry's increase of 70,000
visitors in 2009. He then presented slide 5 titled, "Alaska's
Tourism Economy is Shrinking Detailed Analysis Summary," which
indicated a decline to the economy of $560 million in direct and
indirect spending since 2008. Slide 6 titled, "Alaska's Tourism
Economy is Shrinking," was an itemized list of spending for
2008-2010, although the numbers for 2010 were an average from
2009. He pointed out the losses, and concluded that "we're in
trouble and we need a strategy." Slide 9 was titled, "Targets
Need to be Established New Marketing Strategies Need to be
Initiated," and Mr. Coe advised that an aggressive strategy is
required that will target large segments of the visitor
industry. Slide 12 titled, "Key New Strategies Launch a New
Foreign Visitor Strategy," described Mr. Green's idea of an
Alaska Adventure Center "push" marketing strategy to target
foreign visitors, expose foreigners to Alaska attractions, and
provide incentives to travel agents and visitors. If
successful, the center will return 20,000 visitors to Alaska.
Mr. Coe detailed his objectives for tourism marketing through
the 2013-2014 season with a focus on increasing air travelers.
10:48:45 AM
REPRESENTATIVE GARDNER asked whether the figures underlined on
slide 11 were the visitors targeted by the Alaska Adventure
Center in Las Vegas.
10:49:14 AM
MR. COE indicated yes, and explained that the first target is
30,000 foreign visitors, primarily from China, Japan, and
Germany. He said there is a need for a visa waiver program and
to establish a gateway airline for Alaska such as the mainline
China air carrier. The Alaska Adventure Center would include an
outpost to focus on foreign travelers.
REPRESENTATIVE GARDNER asked what proportion of Las Vegas
visitors are Chinese.
10:51:18 AM
MR. COE said he was unsure; although he knows China is a new
market with lots of potential. Slide 13 was a picture of the
Dena'ina Civic and Convention Center in Anchorage and he spoke
of the opportunity to attract small- and medium-sized
conventions to utilize the facility; as a matter of fact, 4.5
million conventioneers meet in Las Vegas. He turned to the
Alaska Adventure Center, which is a themed attraction intended
to attract 100,000 new visitors to Alaska. Slide 17 began
depictions of the center which would be located on Las Vegas
Boulevard and would have an impressive marquis, great corner
visibility, and would promote all segments of Alaska's tourism
industry.
10:55:09 AM
MR. COE, in response to Chair Herron, said this idea is new to
Las Vegas, but has been done at Disney's Epcot Center and the
Shanghai World Expo. He opined the center will increase the
Alaska tourism economy by $217 million. The initial concept for
the center includes big screen video, oversized images, high
ceilings, clear and open lines of sight, and animals. He
provided a description of the China exhibit at Epcot Center and
its impact on tourism.
10:56:23 AM
REPRESENTATIVE GARDNER asked for a comparison of Epcot Center
and Las Vegas.
MR. COE said Las Vegas reaches triple the market and Alaska
needs to think big in terms of tourism.
REPRESENTATIVE TUCK asked whether Alaska has a pavilion at
Epcot.
10:57:44 AM
MR. COE said no. Slide 22 displayed images from the Shanghai
World Expo 2010. Slide 23 provided demographic similarities
between Alaska and Las Vegas visitors. He advised that the
Alaska Adventure Exhibition Center board of directors has
located a site adjacent to the New YorkNew York casino where
45,000 people walk by every day. Due to the economic downturn,
the price of the building is negotiable. Returning to the
visitors targeted by the center, he stated that the center
intends to increase cruise visitors by 20,000, air travelers by
65,000, business travelers by 5,000 and foreign visitors by
10,000. Slide 29 titled, "Alaska Adventure Center Attraction
Focus and Content," listed preferred tourism activities.
11:04:53 AM
MR. COE envisioned the center would be a new structure that
symbolizes Alaska with a wilderness lodge concept - authentic
and of high quality. Slides 32-34 were depictions of a center
based on a wilderness lodge theme that is magical and competes
with the other attractions in Las Vegas. Design elements of the
building were: the wonders of Alaska; wild animals; photo-
opportunities; Native culture; sounds of nature; historic
replicas. He assured the committee this would not be a phony
experience, but a multi-dimensional entertainment attraction,
with four stand-alone attractions: theatre, restaurant, retail
shops, and vacation planning. In a 300-seat theatre there will
be live shows and a free movie. At the Fur Rendezvous Trading
Post, there would be seven retail businesses. At the restaurant
there would be wilderness lodge dining. At the vacation
planning zones there would be information on sightseeing,
adventures outdoors, culture and history, and cruises. The
planning zones would provide videos, consultations with trained
staff, computerized vacation planning, print materials, and
sales.
11:14:12 AM
MR. COE presented slide 52 titled, "Alaska Business
Participation," which listed the benefits to business and how
small and large businesses can be a part of the vacation
planning zones by sponsorship and advertising. Slide 54
displayed a plan for "Alaska Visitor Dollars," intended to
offset the perception of the high cost of travel in Alaska and
to increase visitors' spending. Slide 56 was the beginning of
Phase 1, Development Feasibility, which is scheduled for August
2011 to March 2012. Slide 57 was a timeline beginning with the
feasibility phase in 2011, and continuing to opening in 2013.
Mr. Coe concluded his presentation, saying that timing is key
because of the following: depressed real estate in Las Vegas;
national interest in Alaska; the Travel Promotion Act; support
for tourism by leaders in Alaska.
11:18:23 AM
REPRESENTATIVE GARDNER asked whether the presentation is
available online.
MR. COE indicated no. In further response to Representative
Gardner he agreed that the Alaska Railroad belongs in the
presentation. In further response, he said the Travel Promotion
Act is an economic benefit plan by the federal government to
bring foreign tourists to America.
11:20:01 AM
REPRESENTATIVE MUNOZ asked whether Mr. Coe has a specific
proposal.
MR. COE expressed the need for money for the feasibility study.
He opined the center has a good chance of working; however,
feasibility studies are needed to determine the square footage
and the location, to determine what attractions would be
successful, to conduct customer surveys, and to determine the
costs.
11:22:19 AM
CHAIR HERRON asked whether there are other partners involved at
this point that would match state funds.
MR. COE indicated this is "a solo act." The project must be
proven viable and then, typically, a hardcore group of people
"will drive it through."
CHAIR HERRON surmised the Alaska Railroad, the cruise industry,
the governor, and Alaska Airlines could partner with the
legislature.
11:23:46 AM
MR. GREEN indicated that the legislature must take the lead and
show confidence in the project after the feasibility study is
done. He said he and others have spent $250,000 so far, and Mr.
Coe has donated $100,000 of consulting work. Without partners
throughout Alaska and Yukon, Canada, the center cannot be built.
Currently, major "players" are lined up with supportive letters
and contacts. Mr. Green opined the building will be wildly
successful and will sustain itself once it is funded, without
further support from the legislature. He restated the strengths
of the Las Vegas location; in fact, having a base in Las Vegas
means more economical visitor marketing for Alaska.
11:28:52 AM
CHAIR HERRON observed the members of the committee represent
interests throughout the state, and said that the committee will
work with the presenters on the project.
11:29:37 AM
REPRESENTATIVE MUNOZ asked whether the Alaska Adventure
Exhibition Center has a lease-option on the property.
11:29:46 AM
MR. GREEN responded that a real estate agent has quoted a price,
and the availability of the property. Because of the depressed
real estate market in Las Vegas, this is an opportune time to
buy. He reminded the committee that there is parking nearby and
the property is a large parcel in an ideal location with
neighboring attractions to bring people in. In further response
to Representative Munoz, he said, "It's a short window for an
exclusive option."
11:32:49 AM
REPRESENTATIVE JOULE asked for the length of time needed to
complete a feasibility study.
MR. COE estimated one year. In further response to
Representative Joule, he said the estimated cost of the study is
$4 million.
11:34:19 AM
HB 191-DEPARTMENT OF AGRICULTURE AND FOOD
11:34:58 AM
CHAIR HERRON announced that the final order of business would be
HOUSE BILL NO. 191, "An Act establishing a state department of
agriculture and food and relating to its powers and duties;
relating to the powers and duties of the Department of
Environmental Conservation and the Department of Natural
Resources; and providing for an effective date."
11:35:12 AM
REPRESENTATIVE THOMPSON, as the sponsor, introduced HB 191.
Representative Thompson said he is a businessman who supports a
strong, diversified Alaska economy. He heard from the
agriculture community concerns about agricultural projects and
the ability to provide a safe, long-term food supply. In the
'70s, Governor Hammond established goals for the state: broaden
the economic base of the state through agricultural production;
stabilize food costs by increasing local food; provide
alternative job opportunities through expanded agriculture;
improve rural life by developing an economic base through
agriculture. Currently, there is renewed interest in growing
food locally; there are markets for farmers' produce, Alaska's
disease-free potatoes, and greenhouse products. House Bill 191
will enable farmers to communicate their ideas for the
enhancement of agriculture in the state. He pointed out that
only Rhode Island and Alaska do not have a department of
agriculture. Representative Thompson acknowledged that the bill
is "a work in progress," and asked the committee to assist in
strengthening the agriculture industry for the benefit of all
Alaskans.
11:37:31 AM
PETE FELLMAN, Representative, Alaska Farm Bureau, Inc., gave a
brief discussion of the history of the state's agricultural
policy. He referred to efforts - spanning over 20 years - to
stabilize the state policy on agriculture from one
administration to the next. However, Mr. Fellman has been
involved in this effort during many changes in administration,
and some administrations did not support agriculture in any way.
He opined the Department of Natural Resources (DNR) is not
serious in supporting agriculture; in fact, $12 million from the
Agriculture Revolving Loan Fund (ARLF) has been tapped to run
the Division of Agriculture within DNR. Because of the
restriction preventing farmers from borrowing money against
agricultural land, the ARLF at the division is the only source
of loans for operating money for farmers. He asked whether the
committee wants agriculture in Alaska to die a slow death.
11:42:06 AM
LYALL BRASIER, Owner, Brasier Farms, stated his farm has been in
operation for 40 years raising potatoes, livestock, forage, and
grain. He expressed his support of HB 191 because the state
needs a strong food security program, and should eliminate the
multi-layers of bureaucracy between agriculture, the governor,
and the legislature.
11:44:02 AM
BRYCE WRIGLEY, President, Alaska Farm Bureau, Inc., stated that
food production and food security need to become a top priority.
There is only a three to nine day supply of food in the state,
and Alaska's food distribution system is vulnerable to natural
and man-made disasters. Farmers and ranchers are thwarted by
regulations that prohibit the growth of the industry; for
example, agencies providing inspection services, veterinary
services, oversight of land, and other issues, are functions of
several different departments, and would be more efficient if
located in a single department of agriculture. The Alaska Farm
Bureau proposes a 10-year goal of increased food production to a
level that would provide for the population for 90 days. If
created, the department of agriculture would be funded as is the
Division of Agriculture, and critical agricultural functions
would move from the Department of Environmental Conservation
(DEC) and DNR to one department. He offered help from the
agricultural community to develop and focus the department. Mr.
Wrigley advised that for three decades the needs of the division
have been sidetracked by the size of DNR and its other large and
important priorities; in fact, DNR does not have the capacity
for an appropriate level of management to provide food security,
which is something that has been possible for many years. A
dynamic agricultural industry would benefit Alaska by growing
local food, reducing social ills in rural areas, and fostering
good work ethics in young people. He urged support for the
creation of a department of agriculture that will be efficient,
responsive, proactive, empowered, and positively involved with
many facets of life in Alaska.
11:48:15 AM
RUBY HOLLEMBAEK, Owner-Operator, Alaska Interior Game Ranch;
President, Alaska Diversified Livestock Association, Inc.
(ADLA), said she is a life-long Alaskan resident and noted her
support for several agricultural organizations around the state.
She provided a brief personal history. In her role as president
of ADLA, she expressed support for the creation of a department
of agriculture and food. A department of agriculture was formed
under the territorial constitution, but unfortunately was not
retained at statehood. This department should be reinstated to
supply resources for Alaskans who produce food, fiber, and fuel.
Ms. Hollembaek advised that there was a 15 percent decrease in
the amount of land in production from 1987 to 2007; in fact,
Alaska is ranked 50th in the amount of land in production of all
of the states, due not to a lack of land, water, or an
acceptable growing season, but because of the political outlook
toward agriculture in Alaska. As a matter of fact, ADLA was
formed in 2001 to bring unity and a voice to livestock producers
who are encouraged by the public's interest in eating locally,
alternative energy products, and Alaskan-made fiber. She said
livestock businesses are thriving, although fuel and fertilizer
prices are high. Livestock producers are looking for the same
consideration from state government as oil, gas, fisheries, and
other resources receive, and "to sit at the table and conduct
business about our product ... we want a cabinet-level seat."
She stated the purpose of the department of agriculture created
by the territorial constitution, and relayed that the ARLF was
created in 1953 with an authorization of $1 million.
11:52:40 AM
LYNN GATTIS, Owner, Gattis Farm, observed that as a life-long
Alaskan she continues to be interested in how residents get
their food. Ms. Gattis is a farmer in Port MacKenzie and
supports HB 191 because the attention to agriculture in Alaska
is lacking, which she attributed to DNR's other
responsibilities. Furthermore, this situation reflects a lack
of a true plan for the needs of Alaska and its farmers.
Although she did not agree with all aspects of the bill, the
bill will address the issue of inattention to agriculture. Ms.
Gattis expressed her preference for less government, not more,
but she said agriculture struggles to be heard by state
government, and instead the state should support agriculture so
its businesses can be profitable.
11:54:46 AM
REPRESENTATIVE TUCK asked which aspects of the bill Ms. Gattis
did not support.
MS. GATTIS explained that the bill adds a layer of government
and cost, but will allow agriculture to have "a seat at the
table." She opined DNR cannot provide a "direction" for
agriculture, such as small farms and niche markets, or huge
tracts of land.
11:56:28 AM
PAUL HUPPERT, Owner, Palmer Produce, Inc., informed the
committee his family and he are involved in agriculture in many
ways, and he has served on industry-related councils and boards.
Mr. Huppert supported the testimony of the previous speakers,
and added that an additional problem with DNR is its negativity
towards agricultural issues. He opined if there is no
department of agriculture, the industry will continue to
decline. Mr. Huppert is also upset by the inappropriate use of
the ARLF. He concluded, saying that Alaska's isolation is a
protection from agricultural diseases and that creates many
opportunities for agriculture in Delta Junction and Port
MacKenzie.
11:59:03 AM
MICHAEL NEECE, President, Homer Grange, expressed his support of
HB 191. He informed the committee that the Grange is a national
organization established in 1867 to help provide support for
farmers throughout the U.S.
11:59:52 AM
BRUCE WILLARD, Director, Alaska Farm Bureau, Inc., said he has
been involved in commercial agriculture in the state since 1959.
Mr. Willard expressed his support of HB 191, and described some
of the problems surrounding the marketing of livestock.
Although there is a slaughterhouse in Palmer, it is threatened
with closure, and then conditions would revert to "butchering
under a tree." He reiterated that agriculture needs a direction
and a voice, and the state does not need more fisheries.
12:02:01 PM
MARIE RICE had her testimony read by Bill Burton as follows
[original punctuation provided]:
I've been involved in the agriculture community in
Kodiak since 1963 when we purchased a cattle ranch at
Kalsin Bay. We took a big hit in the 1964 tidal wave,
[losing] many of our purebred Scottish Highland cattle
we had shipped all the way from Colorado. We revived
and added a large lease and cattle from the adjoining
ranch a few years later that resulted in a cattle
ranch encompassing 50,000 acres of lease and we ran
nearly 1,000 head of cattle. At the time agriculture
was at its peak with seven large cattle operations on
the road system on Kodiak.
I remember when the transition was made from the
Department of Agriculture to the Division of
Agriculture and the great concern the ranchers had
about the change. The fear at the time was that the
emphasis on support for agriculture in Alaska would be
greatly diminished. The timing of this was also
coupled with the Native Land Claim Settlement Act that
allowed for native selection of land that encroached
on some of the leasehold interest. Those fears have
come to reality in the place agriculture has been able
to hold in the state.
I strongly support the switch back to the Department
of Agriculture. Agriculture in our state needs
renewed emphasis and support if we are to increase the
level of production to serve our needs. I recently
saw a statistic that said we produce 3% of our food.
I have recently taken part in the USDA hoop house
project which is very exciting in trying to increase
local production of vegetables. Please support the
move to the Department of Agriculture.
BILL BURTON said that ranchers in Kodiak have lost land due to
the Alaska Native Claims Settlement Act, and a department of
agriculture is needed to help promote agriculture in the event
of a disruption in the delivery of food.
12:06:03 PM
GAYLE EASTWOOD disclosed she was a member of the Alaska Farm
Bureau and that she was testifying on her own behalf. Ms.
Eastwood and her husband have imported different species of
trees for future sale in Southeast Alaska. At their ranch in
Delta Junction, they can grow and sell hay cheaper than buying
imported hay, thus they are proponents of Alaska-grown products.
Ms. Eastwood expressed her support for HB 191, restating that
the department was originally created in 1945 and the ARLS was
authorized in 1953. She further explained that the ARLS
intended to help farmers control animal diseases and plant
pests, and for other agricultural endeavors. Agriculture in
Alaska extends beyond garden-grown vegetables to the barley
project in Delta Junction where farmers are growing barley,
wheat, oats, canola, and potatoes on a commercial scale. Also,
farmers are raising sheep, cattle, yak, bison, and other animals
for commercial sale. In Southeast Alaska, on a smaller scale,
sheep and cattle are raised, and there are nurseries and
Farmer's Markets. Ms. Eastwood opined a department of
agriculture will benefit farmers and consumers by assisting
farmers to improve products, thus providing a locally produced
product reducing freight costs and increasing the vitamin
content of food. She concluded that agriculture is the poor
relation of oil, gas, and coal at DNR.
12:09:14 PM
DELBERT SIMINEO, Palmer, Alaska (Indisc.).
12:11:46 PM
ED FOGELS, Deputy Commissioner, Office of the Commissioner,
Department of Natural Resources, advised that the administration
has no position on the bill at this time; however, as long as
the division is located within DNR, he and the commissioner are
committed to making it more effective. Mr. Fogel recognized the
true value of agriculture to Alaska and the issues of food
security, and agreed with the need to strengthen the
agricultural plan for the state. In fact, the commissioner has
a strong connection to the agricultural industry, and Mr. Fogel
has met with the farming community on numerous occasions.
Referring to the bill, he agreed that state agencies need to
collaborate on agricultural issues, and said DNR will work
toward that goal.
12:13:46 PM
CHAIR HERRON referred to the passion of the previous testimony
and asked for clarification on whether Mr. Fogel felt that the
division needs to become a department of agriculture.
MR. FOGEL stated that his intent was to inform the committee
that there is new management at DNR, thus the division will be
given a "fresh look".
CHAIR HERRON observed the newest member of the legislature from
Fairbanks was listening to the deep-rooted concern of his
constituents.
12:15:43 PM
REPRESENTATIVE KELLER appreciated the department's commitment to
examine the issue.
12:16:15 PM
[HB 191 was held for further testimony.]
12:16:43 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 12:16 p.m.