Legislature(1993 - 1994)

04/05/1993 08:00 AM RES

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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               HOUSE RESOURCES STANDING COMMITTEE                              
                          April 5, 1993                                        
                            8:00 a.m.                                          
                                                                               
                                                                               
  MEMBERS PRESENT                                                              
                                                                               
  Representative Bill Williams, Chairman                                       
  Representative Con Bunde                                                     
  Representative Pat Carney                                                    
  Representative John Davies                                                   
  Representative Joe Green                                                     
  Representative Jeannette James                                               
                                                                               
  MEMBERS ABSENT                                                               
                                                                               
  Representative Bill Hudson, Vice Chairman                                    
  Representative David Finkelstein                                             
  Representative Eldon Mulder                                                  
                                                                               
  OTHER LEGISLATORS PRESENT                                                    
                                                                               
  Representative Carl Moses                                                    
  Representative Kay Brown                                                     
                                                                               
  COMMITTEE CALENDAR                                                           
                                                                               
  HB 218:   "An Act repealing the restriction on the maximum                   
            length of salmon seine vessels; and providing for                  
            an effective date."                                                
                                                                               
            ADOPTED CSHB 218 (FSH) AND MOVED FROM COMMITTEE                    
            WITH A DO PASS RECOMMENDATION                                      
                                                                               
  HJR 20:   Urging modification of the North American Free                     
            Trade Agreement.                                                   
                                                                               
            ADOPTED CSHJR 20 (ITT) AND MOVED FROM COMMITTEE                    
            WITH A DO PASS RECOMMENDATION                                      
                                                                               
  WITNESS REGISTER                                                             
                                                                               
  Representative Carl Moses                                                    
  Alaska State Legislature                                                     
  State Capitol, Room 204                                                      
  Juneau, Alaska  99801-1182                                                   
  Phone:  465-4451                                                             
  Position Statement: Prime Sponsor, HB 218                                    
                                                                               
  Dan Austin, Legislative Aide                                                 
    to Representative Kay Brown                                                
  Alaska State Legislature                                                     
  State Capitol, Room 517                                                      
  Juneau, Alaska  99801-1182                                                   
  Phone:  465-4998                                                             
  Position Statement: Presented sponsor statement on HJR 20                    
                                                                               
  Representative Kay Brown                                                     
  Alaska State Legislature                                                     
  State Capitol, Room 517                                                      
  Juneau, Alaska  99801-1182                                                   
  Phone:  465-4998                                                             
  Position Statement: Prime Sponsor, HJR 20                                    
                                                                               
  John C. Bhend                                                                
  8410 Majestic Drive                                                          
  Anchorage, Alaska  99504                                                     
  Phone:  338-5722                                                             
  Position Statement: Supported HJR 20                                         
                                                                               
  Gene Dekerlegand                                                             
  Kenai Peninsula Central Labor Council                                        
  P.O. Box 1757                                                                
  Soldotna, Alaska  99669                                                      
  Phone:  262-5787                                                             
  Position Statement: Referred members to written testimony                    
                      supporting amendments to NAFTA                           
                                                                               
  Joan Bennett-Schraeder                                                       
  Coalition of Labor Women                                                     
  P.O. Box 1587                                                                
  Kenai, Alaska  996111                                                        
  Phone:  283-4359                                                             
  Position Statement: Expressed concern over impact of NAFTA                   
                      on Alaska                                                
                                                                               
  PREVIOUS ACTION                                                              
                                                                               
  BILL:  HB 218                                                                
  SHORT TITLE:  REPEAL 58 FT. LIMIT FOR SEINE VESSELS                          
  BILL VERSION: CSHB 218(FSH)                                                  
  SPONSOR(S):   REPRESENTATIVE(S) MOSES                                        
                                                                               
  TITLE: "An Act relating to the maximum length of salmon                      
  seine vessels; and providing for an effective date."                         
                                                                               
  JRN-DATE     JRN-PG               ACTION                                     
  03/10/93       592    (H)   READ THE FIRST TIME/REFERRAL(S)                  
  03/10/93       592    (H)   FISHERIES, RESOURCES                             
  03/22/93              (H)   FSH AT 08:30 AM CAPITOL 17                       
  03/22/93              (H)   MINUTE(FSH)                                      
  03/29/93       824    (H)   FSH RPT  CS(FSH) NEW TITLE 2DP                   
                              1NR                                              
  03/29/93       824    (H)   DP: MOSES, PHILLIPS                              
  03/29/93       824    (H)   NR: OLBERG                                       
  03/29/93       824    (H)   -ZERO FISCAL NOTE (F&G)NEW                       
                              TITLE 3/29/93                                    
  03/26/93              (H)   MINUTE(FSH)                                      
  03/29/93              (H)   FSH AT 08:30 AM CAPITOL 17                       
  03/29/93              (H)   MINUTE(FSH)                                      
  04/05/93              (H)   RES AT 08:00 AM CAPITOL 124                      
  04/05/93       977    (H)   RES RPT  CS(FSH) NEW TITLE 3DP                   
                              2NR                                              
  04/05/93       977    (H)   DP: CARNEY, BUNDE, WILLIAMS                      
  04/05/93       977    (H)   NR: GREEN, DAVIES                                
  04/05/93       977    (H)   -PREVIOUS ZERO FN(F&G)  3/29/93                  
                                                                               
                                                                               
  BILL:  HJR 20                                                                
  SHORT TITLE:  AMEND N. AMERICAN FREE TRADE AGREEMENT                         
  BILL VERSION: CSHJR 20(ITT)                                                  
  SPONSOR(S):   REPRESENTATIVE(S) BROWN                                        
                                                                               
  TITLE: Relating to the North American Free Trade Agreement.                  
                                                                               
  JRN-DATE     JRN-PG               ACTION                                     
  01/29/93       176    (H)   READ THE FIRST TIME/REFERRAL(S)                  
  01/29/93       176    (H)   INTERNATIONAL TRADE & TOURISM,                   
                              RESOURCES                                        
  02/18/93              (H)   ITT AT 05:00 PM CAPITOL 102                      
  02/18/93              (H)   MINUTE(ITT)                                      
  02/18/93              (H)   MINUTE(TRA)                                      
  03/04/93              (H)   ITT AT 05:00 PM CAPITOL 102                      
  03/04/93              (H)   MINUTE(ITT)                                      
  03/18/93              (H)   MINUTE(ITT)                                      
  03/22/93       731    (H)   ITT RPT  CS(ITT) NEW TITLE  5DP                  
                              1NR                                              
  03/22/93       731    (H)   DP: GREEN, NORDLUND,MENARD,                      
                              TOOHEY, JAMES                                    
  03/22/93       731    (H)   NR: SANDERS                                      
  03/22/93       731    (H)   -ZERO FISCAL NOTE  (ITT/NO                       
                              DEPT) 3/22/93                                    
  04/05/93              (H)   RES AT 08:00 AM CAPITOL 124                      
  04/05/93       970    (H)   RES RPT  CS(ITT) NEW TITLE 4DP                   
                              1NR                                              
  04/05/93       971    (H)   DP: CARNEY, JAMES, DAVIES,                       
                              WILLIAMS                                         
  04/05/93       971    (H)   NR: BUNDE                                        
  04/05/93       971    (H)   -PREVIOUS ZERO FN(ITT/NO DEPT)                   
                              3/22/93                                          
                                                                               
                                                                               
  ACTION NARRATIVE                                                             
                                                                               
  TAPE 93-41, SIDE A                                                           
  Number 000                                                                   
                                                                               
  The House Resources Committee was called to order by                         
  Chairman Bill Williams at 8:07 a.m.  Members present at the                  
  call to order were Representatives Williams, Bunde, Carney,                  
  Davies, and Green.  Members absent at the call were                          
  Representatives Hudson, Finkelstein, James, and Mulder.                      
                                                                               
  CHAIRMAN BILL WILLIAMS announced the meeting was being held                  
  by teleconference, and that the first bill for consideration                 
  would be HB 218.                                                             
                                                                               
  HB 218:  REPEAL 58 FT. LIMIT FOR SEINE VESSELS                               
                                                                               
  Number 042                                                                   
                                                                               
  REPRESENTATIVE CARL MOSES, PRIME SPONSOR OF HB 218,                          
  explained that in 1970, the Alaska legislature banned the                    
  use of seine boats longer than 58 feet in order to keep                      
  larger boats from competing with small local vessels.  He                    
  cited attempts in recent years to repeal the limit in an                     
  attempt to diversify the fisheries.  If the restriction is                   
  repealed, he said, it would allow the same vessel to be used                 
  in salmon, groundfish and crab fisheries, rather than                        
  requiring separate vessels and increased expense.                            
                                                                               
  Number 065                                                                   
                                                                               
  REPRESENTATIVE MOSES noted that the restriction has resulted                 
  in giving much of Alaska's crab and groundfish to non-                       
  resident fisheries.  With the pending implementation of the                  
  Individual Fishery Quota (IFQ) program,  he said there is                    
  more reason to allow more participation for Alaskans in the                  
  fisheries.  He explained changes made to HB 218 in the House                 
  Special Committee on Fisheries.  He noted CSHB 218 (FSH)                     
  would ensure that length restrictions for salmon seine                       
  vessels would be determined by the Board of Fisheries on a                   
  regional basis.  The board would have a three-year period to                 
  take up those restrictions, he said.                                         
                                                                               
  REPRESENTATIVE MOSES mentioned the support for HB 218 given                  
  by the Southeast Seiners, the Alaska Peninsula and Aleutian                  
  Salmon Seiners Association.                                                  
                                                                               
  Number 098                                                                   
                                                                               
  REPRESENTATIVE CON BUNDE referred to areas where the 58-foot                 
  limit might be kept and asked under what circumstances that                  
  might happen.                                                                
                                                                               
  REPRESENTATIVE MOSES replied that he personally did not feel                 
  that it would be necessary, but that the Board of Fisheries                  
  would review the seine length requirements on a regional                     
  basis.                                                                       
                                                                               
  Number 120                                                                   
                                                                               
  REPRESENTATIVE JOE GREEN asked why the 58-foot limit was                     
  established in the first place.                                              
                                                                               
  REPRESENTATIVE MOSES explained that the intent was to keep                   
  out large boats from outside of Alaska.  Because that is now                 
  regulated by the limited entry system, and because the limit                 
  is keeping residents from participating in other larger                      
  boats, the repeal is now seen as necessary, he said.                         
                                                                               
  Number 140                                                                   
                                                                               
  REPRESENTATIVE BUNDE asked if the 58-foot limit was seen as                  
  a safety factor in rough water.                                              
                                                                               
  REPRESENTATIVE MOSES said that some 58-foot seiners had                      
  tried to participate in the Bering Sea bottom fisheries but                  
  sea conditions there made it too difficult, so some                          
  fishermen had bought larger boats for those fisheries.                       
  Because of the cost, many had bought older boats which have                  
  safety problems.                                                             
                                                                               
  Number 170                                                                   
                                                                               
  REPRESENTATIVE BUNDE MOVED to pass CSHB 218 (FSH) from                       
  committee with individual recommendations.  He asked                         
  unanimous consent.                                                           
                                                                               
  CHAIRMAN WILLIAMS asked if there were any objections to the                  
  motion.  Hearing none, the MOTION PASSED.                                    
                                                                               
  CHAIRMAN WILLIAMS announced the next bill to be heard by the                 
  committee would be HJR 20.                                                   
                                                                               
  HJR 20:  AMEND N. AMERICAN FREE TRADE AGREEMENT                              
                                                                               
  Number 183                                                                   
                                                                               
  DAN AUSTIN, LEGISLATIVE AIDE TO REPRESENTATIVE KAY BROWN,                    
  offered to explain how the International Trade and Tourism                   
  (ITT) Committee substitute differed from the original                        
  version of HJR 20.  He read from the resolution, which                       
  called for the federal government and partners in the North                  
  American Free Trade Agreement (NAFTA) to give consideration                  
  to the potential impact on Alaska's economy, labor force and                 
  environment.                                                                 
                                                                               
  MR. AUSTIN explained that the CSHJR 20 (ITT) adds language                   
  on line 6 regarding NAFTA's ability to challenge states'                     
  rights.  Lines 10 and 11, he said, delete language regarding                 
  banned chemicals and agricultural controls.  Line 11 adds                    
  "state standards," he added.  Page 2 of CSHJR 20 (ITT), he                   
  explained, adds a new "whereas" clause regarding jobs lost,                  
  and line 3 added language regarding dispute resolution.                      
                                                                               
  MR. AUSTIN continued his explanation of CSHJR 20 (ITT),                      
  noting a new "resolve" clause on line 5, requiring a vote                    
  within 90 days.  Line 11 on page 2, he said, adds another                    
  resolve clause calling for the full partnership of the                       
  state.                                                                       
                                                                               
  Number 290                                                                   
                                                                               
  REPRESENTATIVE KAY BROWN, PRIME SPONSOR OF HJR 20, told the                  
  committee that it was important to let the U.S. Congress                     
  know the state's concerns relating to NAFTA, to avoid having                 
  the state's powers usurped.                                                  
                                                                               
  REPRESENTATIVE JOE GREEN referred to a recent energy                         
  conference in Washington, D.C. and noted the overwhelming                    
  support voiced for NAFTA there.  He commented that HJR 20                    
  appears to say that Alaska does not like NAFTA.                              
                                                                               
  Number 321                                                                   
                                                                               
  REPRESENTATIVE BROWN responded that HJR 20 does not                          
  necessarily say that the state does not like NAFTA.  Rather,                 
  she explained, it sends a message that energy-producing                      
  states will lose jobs as a result of NAFTA.  She added that                  
  Mexico is a competitor as an oil producer, and pointed out                   
  that there are areas of NAFTA that need to be addressed to                   
  keep the agreement from having a negative impact on the                      
  state.  Environmental standards, she added, were also in                     
  jeopardy of being compromised.  She cited as an example the                  
  biodegradable plastic rings on soda and beer six-packs.                      
                                                                               
  REPRESENTATIVE BROWN said that as a result of NAFTA's policy                 
  of adopting the "lowest common denominator" in environmental                 
  standards, that environmental safeguard could be                             
  compromised, she said.                                                       
                                                                               
  Number 350                                                                   
                                                                               
  REPRESENTATIVE JOHN DAVIES referred to deleted language in                   
  CSHJR 20 (ITT) regarding the use of banned chemicals, and                    
  noted that it was his impression that the U.S. Department of                 
  Agriculture was not doing a good job of enforcing and                        
  implementing environmental safeguards.                                       
                                                                               
  MR. AUSTIN replied that this was an area where negotiation                   
  was on-going.  He explained that the Department of                           
  Agriculture had been instructed to keep strict restrictions,                 
  and that the real question was one of enforcement and                        
  inspection.  He confirmed for Representative Davies that                     
  standards would be maintained.                                               
                                                                               
  Number 380                                                                   
                                                                               
  REPRESENTATIVE BUNDE referred to the resolve clause that                     
  said the state legislature was a partner in dispute                          
  resolution, and raised the question of problems this might                   
  create with U.S. sovereignty, as well as potential confusion                 
  with a number of individual states involved in any one                       
  dispute.  He suggested it might never get resolved with too                  
  many parties involved.                                                       
                                                                               
  REPRESENTATIVE BROWN explained that state involvement in                     
  dispute resolution would only occur when one state's laws                    
  are affected by activities associated with NAFTA.  She                       
  agreed it would be cumbersome if all states were involved in                 
  resolving a dispute.                                                         
                                                                               
  REPRESENTATIVE DAVIES suggested clarifying that section to                   
  specify that the state would be involved and not the state                   
  legislature.                                                                 
                                                                               
  Number 410                                                                   
                                                                               
  CHAIRMAN WILLIAMS announced the committee would now take                     
  testimony from the teleconference sites.                                     
                                                                               
  JOHN C. BHEND, REPRESENTING HIMSELF, believed NAFTA was ill-                 
  conceived, and would result in jobs from Alaska and the rest                 
  of the U.S. being lost to Mexico.  He suggested that the                     
  agreement won't help the conditions of workers in Mexico,                    
  and that it hurts the rights of working people.  In                          
  addition, he cautioned that NAFTA undermines environmental                   
  standards and does not provide a means for enforcing                         
  standards.  Other problems he saw with NAFTA included                        
  conflicts with states's sovereignty and the hampering of                     
  efforts to lower health care costs.                                          
                                                                               
  Number 467                                                                   
                                                                               
  MR. BHEND cautioned that NAFTA would be an economic and                      
  social disaster as increasing numbers of jobs will be lost                   
  to Mexico.  He noted that Canada's economy had suffered                      
  already, and he estimated that approximately 500,000 jobs                    
  will be lost from the United States.  A ripple effect was                    
  likely to reach into the entire economy, he added.  He                       
  stated his support of HJR 20, to ensure that Alaska benefits                 
  from and is not harmed by increased international trade.                     
                                                                               
  GENE DEKERLEGAND, KENAI PENINSULA CENTRAL LABOR COUNCIL,                     
  testified via teleconference from Kenai.  He directed                        
  members' attention to his written testimony contained in                     
  their bill packets.  (A copy of Mr. Dekerlegand's testimony                  
  may be found in the House Resources Committee Room, Capitol                  
  Room 124, and after the adjournment of the second session of                 
  the 18th Alaska State Legislature, in the Legislative                        
  Reference Library.)                                                          
                                                                               
  Number 532                                                                   
                                                                               
  JOAN BENNETT-SCHRAEDER, COALITION OF LABOR WOMEN, testified                  
  via teleconference from Kenai.  She asked Representative                     
  Brown whether the various agencies and departments of the                    
  state had prepared reports to show the anticipated impact                    
  that NAFTA would have on Alaska.                                             
                                                                               
  REPRESENTATIVE BROWN answered that she was not aware of any.                 
  She said she had worked with the Office of International                     
  Trade in preparing HJR 20, but added that the administration                 
  had not taken a position.                                                    
                                                                               
  MS. BENNETT-SCHRAEDER told the committee that the impact of                  
  NAFTA on the state is too important for agencies to remain                   
  neutral.                                                                     
                                                                               
  CHAIRMAN WILLIAMS asked if any one else wished to testify on                 
  HJR 20. There was no response.                                               
                                                                               
  REPRESENTATIVE DAVIES made a MOTION to move CSHJR 20 (ITT)                   
  with individual recommendations.                                             
                                                                               
  CHAIRMAN WILLIAMS noted before taking a vote on the motion                   
  that the comments of Mr. Dekerlegand of Kenai would be                       
  included with the bill files as part of the record on                        
  HJR 20.                                                                      
                                                                               
  Number 560                                                                   
                                                                               
  REPRESENTATIVE JEANNETTE JAMES recommended that the                          
  legislative research office be requested to provide more                     
   information on the impact NAFTA would have on Alaska.  She                  
  also suggested the administration provide the legislature                    
  with a position on HJR 20 and on NAFTA.                                      
                                                                               
  REPRESENTATIVE BROWN agreed that this work would be on-going                 
  during the legislative interim.  She mentioned that Alaska                   
  had responded to a survey circulated among states regarding                  
  potential effects of NAFTA, but added that the survey dealt                  
  only with banking and securities' issues.  She noted that it                 
  is difficult to determine the effects of something like                      
  NAFTA until the effects actually take place.  There was no                   
  data base on which to gauge the effects, she said, although                  
  she was convinced NAFTA would affect a number of areas of                    
  the state's economy.                                                         
                                                                               
  Number 601                                                                   
                                                                               
  REPRESENTATIVE JAMES agreed that we would not know what                      
  NAFTA would do until it was done, but added that everyone                    
  needed to be aware of the potential effects.                                 
                                                                               
  REPRESENTATIVE DAVIES underscored that there had been                        
  frustrations in attempts to establish local hire provisions,                 
  and that it was important to work now to avoid similar                       
  potential problems associated with NAFTA.                                    
                                                                               
  Number 612                                                                   
                                                                               
  CHAIRMAN WILLIAMS referred to the motion before the                          
  committee to move CSHJR 20 (ITT) from the Resources                          
  committee with individual recommendations.  He asked if                      
  there were any objections, and hearing none, the MOTION                      
  PASSED.                                                                      
                                                                               
  ANNOUNCEMENTS                                                                
                                                                               
  CHAIRMAN WILLIAMS announced the committee would next meet on                 
  April 7, 1993 at 8:00 a.m. to hear HB 260 and to take action                 
  on the confirmation of an appointee to the Big Game                          
  Commercial Services Board.                                                   
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  There being no further business to come before the House                     
  Resources Committee, Chairman Williams adjourned the meeting                 
  at 8:45 a.m.                                                                 

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