Legislature(2003 - 2004)
03/05/2004 01:19 PM House RES
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
HOUSE RESOURCES STANDING COMMITTEE
March 5, 2004
1:19 p.m.
MEMBERS PRESENT
Representative Beverly Masek, Co-Chair
Representative Cheryll Heinze, Vice Chair
Representative Carl Gatto
Representative Bob Lynn
Representative Nick Stepovich
Representative Kelly Wolf
Representative David Guttenberg
MEMBERS ABSENT
Representative Nancy Dahlstrom, Co-Chair
Representative Beth Kerttula
COMMITTEE CALENDAR
HOUSE BILL NO. 419
"An Act relating to regional seafood development associations
and to regional seafood development taxes."
- MOVED CSHB 419(RES) OUT OF COMMITTEE
HOUSE JOINT RESOLUTION NO. 36
Requesting the National Park Service to mitigate the adverse
economic effects of commercial fishing closures and restrictions
in Glacier Bay National Park and Preserve.
- HEARD AND HELD
PREVIOUS COMMITTEE ACTION
BILL: HB 419
SHORT TITLE: REGIONAL SEAFOOD DEVELOPMENT ASS'NS./TAX
SPONSOR(S): REPRESENTATIVE(S) OGG BY REQUEST OF SALMON INDUSTRY
TASK FORCE
02/02/04 (H) READ THE FIRST TIME - REFERRALS
02/02/04 (H) EDT, RES, FIN
02/10/04 (H) EDT AT 10:00 AM CAPITOL 120
02/10/04 (H) Heard & Held
02/10/04 (H) MINUTE(EDT)
02/24/04 (H) EDT AT 5:15 PM CAPITOL 120
02/24/04 (H) Moved CSHB 419(EDT) Out of Committee
02/24/04 (H) MINUTE(EDT)
02/26/04 (H) EDT RPT CS(EDT) 2DP 2NR 1AM
02/26/04 (H) DP: CRAWFORD, HEINZE; NR: DAHLSTROM,
02/26/04 (H) CISSNA; AM: KOHRING
03/05/04 (H) RES AT 1:00 PM CAPITOL 124
BILL: HJR 36
SHORT TITLE: MITIGATING GLACIER BAY FISHING CLOSURES
SPONSOR(S): REPRESENTATIVE(S) WEYHRAUCH
02/05/04 (H) READ THE FIRST TIME - REFERRALS
02/05/04 (H) FSH, RES
02/11/04 (H) FSH AT 8:30 AM CAPITOL 124
02/11/04 (H) -- Meeting Canceled --
02/25/04 (H) FSH AT 8:30 AM CAPITOL 124
02/25/04 (H) Moved Out of Committee
02/25/04 (H) MINUTE(FSH)
02/26/04 (H) FSH RPT 5DP
02/26/04 (H) DP: OGG, SAMUELS, GUTTENBERG, WILSON,
02/26/04 (H) SEATON
03/05/04 (H) RES AT 1:00 PM CAPITOL 124
WITNESS REGISTER
REPRESENTATIVE DAN OGG
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented HB 419 as sponsor by request of
the Joint Legislative Salmon Industry Task Force.
GERALD McCUNE, Lobbyist
for United Fishermen of Alaska (UFA)
Cordova, Alaska
POSITION STATEMENT: Testified in support of HB 419.
LINDA SYLVESTER, Staff
to Representative Bruce Weyhrauch
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented HJR 36 on behalf of
Representative Weyhrauch, sponsor.
ACTION NARRATIVE
TAPE 04-12, SIDE A
Number 0001
CO-CHAIR BEVERLY MASEK called the House Resources Standing
Committee meeting to order at 1:19 p.m. Representatives Masek,
Gatto, Heinze, Lynn, Stepovich, and Wolf were present at the
call to order. Representative Guttenberg arrived as the meeting
was in progress.
HB 419-REGIONAL SEAFOOD DEVELOPMENT ASS'NS./TAX
CO-CHAIR MASEK announced that the first order of business would
be HOUSE BILL NO. 419, "An Act relating to regional seafood
development associations and to regional seafood development
taxes." [Before the committee was CSHB 419(EDT).]
Number 0060
REPRESENTATIVE HEINZE moved to adopt the proposed committee
substitute (CS), Version 23-LS1418\U, Utermohle, 3/3/04, as the
work draft. There being no objection, Version U was before the
committee.
Number 0110
REPRESENTATIVE DAN OGG, Alaska State Legislature, sponsor of
HB 419 by request of the Joint Legislative Salmon Industry Task
Force ("Task Force"), told members this bill is an outcome of
discussions held in a Task Force finance subcommittee that he
chaired. He said:
Folks that had come to our subcommittee indicated that
they would like to have the ability to utilize a
mechanism that would allow them to regionally market
their seafoods. They had a bunch of ingredients that
they felt would help them further their industries on
a local basis. ... The subcommittee listened to that;
we crafted this particular bill in response to that.
What this bill does, in response to their ...
requests, it creates 12 regions in the state where a
development association could be initiated and
created. The power to ... authorize that creation
lies ... with the commissioner ... [of the Department
of Community & Economic Development (DCED)], but it is
a voluntary organization.
The fishermen in each of those regions would need to
approach the commissioner and ask to become the
organization that represents that region. It's the
first-in organization that gets to be the regional
one, and then they would have to take a vote, which
the commissioner would conduct, of their gear type
[or] their fishery.
It allows those types of definitions. If they get 51
percent of - if it's a gear type or if it's a fishery
- then they have an organization. They also, at that
time, designate what the tax is that they would like
to collect from their membership, and then they're
able to utilize those taxes for the development of
their fishery resources in that region.
Number 0340
REPRESENTATIVE OGG indicated changes made in Version U are in
response to public testimony. Turning to page 9, line 2, he
explained that "may" was changed to "shall" because of some
discomfort by members of the fishing industry who wanted to have
a little more force with the commissioner and wanted these
things to happen. He indicated another change was made to this
sentence to clarify that the first qualified organization to
apply will be designated the regional seafood development
association; otherwise, it could result in competition between
two or more fishing groups.
REPRESENTATIVE OGG indicated that a change on page 10, line 2,
removed the phrase "including seafood processors" in response to
testimony by members of the fishing industry. He said the
change doesn't mean that [seafood processors] can't be included,
but "they don't have to provide that if they don't want to." He
reported that there was some feeling, depending upon the
complexity of the regional organization and the powers adopted,
that there may a conflicting situation with a seafood processor
in relation to federal law. In order to avoid that, the
language was removed; he remarked, "We have no objections." He
said there was virtually no opposition to this [bill version].
Number 0579
REPRESENTATIVE WOLF asked if this would promote the [state's]
regional seafood development programs such as the "Kenai Wild"
branding program. He also asked if this bill would reduce the
size or influence of Alaska Seafood Marketing Institute (ASMI).
REPRESENTATIVE OGG replied that this bill is separate from any
ASMI bill that will be coming through the legislature. He added
that whatever happens to ASMI really has no impact on this bill,
and the bill has no impact on ASMI, except that it enhances
Alaskan seafood.
Number 0669
REPRESENTATIVE STEPOVICH asked which organizations are in
support of the bill.
REPRESENTATIVE OGG explained that during the initial Task Force
hearings there had been questions from fishermen's
organizations; those whom the Task Force has contacted are
supportive of this bill. It is a voluntary operation, he added,
and fishermen's organizations that really want this bill want it
so they can get on with their business.
REPRESENTATIVE WOLF asked if fishery taxes would be made
available to the regional programs with passage of the bill.
REPRESENTATIVE OGG replied no. He said this bill sets up a
separate category of taxes for this particular purpose; for
participating fishing groups, this will be a new tax that
they'll voluntary adopt. He said this doesn't affect any other
fishery taxes that the state presently has.
REPRESENTATIVE WOLF asked if this is going to be a tax above the
existing "raw fish tax" that the state has.
REPRESENTATIVE OGG said yes.
Number 0829
REPRESENTATIVE GUTTENBERG directed attention to page 10 and
asked whether an association on an Interior river that wanted to
form a development association would be qualified under this
bill.
REPRESENTATIVE OGG related his understanding that it would
qualify; it was one of the questions that came up during the
process. He explained that people from the Alaska Peninsula and
the Yukon-Kuskokwim area had said it would be unwieldy to have
one organization represent 900 miles of Yukon-Kuskokwim river
system, and had requested that it be broken down into three
separate, distinct regions, which was accomplished early on.
They were pleased with that, he said, and it covers every region
of the state where there are fishery resources.
Number 0946
GERALD McCUNE, Lobbyist for United Fishermen of Alaska (UFA),
informed the committee that UFA had voted to support this bill
wholeheartedly. He added that the sponsor had explained the
bill pretty well.
Number 0990
REPRESENTATIVE HEINZE moved to report CSHB 419 [Version 23-
LS1418\U, Utermohle, 3/3/04] out of committee with individual
recommendations and the accompanying fiscal notes. There being
no objection, CSHB 419(RES) was reported from the House
Resources Standing Committee.
HJR 36-MITIGATING GLACIER BAY FISHING CLOSURES
CO-CHAIR MASEK announced that the final order of business would
be HOUSE JOINT RESOLUTION NO. 36, Requesting the National Park
Service to mitigate the adverse economic effects of commercial
fishing closures and restrictions in Glacier Bay National Park
and Preserve.
The committee took an at-ease from 1:30 p.m. to 1:34 p.m.
Number 1081
LINDA SYLVESTER, Staff to Representative Bruce Weyhrauch, Alaska
State Legislature, presented HJR 36 on behalf of Representative
Weyhrauch, sponsor. She explained that the [federal government
has determined] that Glacier Bay National Park and Preserve
would be better off as a pristine area subject to extreme
protection because the area is considered to be a national
treasure. She said over time, commercial fishermen there are
being precluded and have been satisfied [monetarily] in terms of
their phase-out.
MS. SYLVESTER explained that the purpose of the resolution is to
request that the National Park Service (NPS) obtain [goods,
materials, or vessels that they need, use, purchase, or lease]
for various reasons including research, tours, maintenance, or
law enforcement from the fishermen who once relied on Glacier
Bay National Park and Preserve for their livelihood. She
explained that the resolution doesn't attempt to dictate to NPS
how its procurement process should be carried out, but requests
that it consider the people who have been impacted in Gustavus,
Hoonah, and other outlying areas.
Number 1221
REPRESENTATIVE STEPOVICH asked how NPS would [determine which
individuals have been negatively impacted].
MS. SYLVESTER explained that the resolution doesn't discuss
that. It is a broad, open-ended request to NPS to consider
[economic associations with people who were negatively impacted]
in the area, rather than obtaining services and goods outside of
the state.
Number 1257
REPRESENTATIVE WOLF asked whether this resolution requests that
the federal government spend money in Alaska.
MS. SYLVESTER affirmed that. She said it's specifically in the
smaller communities outside of Glacier Bay National Park and
Preserve, if possible.
REPRESENTATIVE WOLF asked Ms. Sylvester if she thought the
federal government would listen to the request.
MS. SYLVESTER responded that it can't hurt to ask.
Number 1298
REPRESENTATIVE GATTO asked if the reference to those who have
been adversely affected by the closures and restrictions could
cover anybody. He indicated the language is broad and could
possibly apply to individuals who are somehow adversely affected
by the closure, such as recreational fishermen.
MS. SYLVESTER said the resolution speaks to individuals who once
operated in Glacier Bay National Park and Preserve and were
negotiated with. She suggested the resolution is narrow in this
regard; it is speaking to a small group of people and the
communities they were a part of, which have been negatively
impacted because there is no fishery in Glacier Bay National
Park and Preserve.
Number 1404
REPRESENTATIVE HEINZE asked how many people are being
compensated.
MS. SYLVESTER said she didn't know. She said this resolution
includes not only captains and vessel owners, but also
crewmembers and shop owners, and would apply to the communities
surrounding Glacier Bay National Park and Preserve.
CO-CHAIR MASEK announced that HJR 36 would be held over.
ADJOURNMENT
There being no further business before the committee, the House
Resources Standing Committee meeting was adjourned at 1:40 p.m.
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