HB 275    An Act  relating  to salmon  marketing,  a  salmon                 
            marketing tax,  and the  Alaska Seafood  Marketing                 
                                                                               
                                1                                              
                                                                               
                                                                               
            Institute; and providing for an effective date.                    
                                                                               
            CS HB 275 (FIN) was reported out of Committee with                 
            a "do  pass" recommendation and  with fiscal notes                 
            by the Department of Revenue and the Department of                 
            Commerce and Economic Development.                                 
  HOUSE BILL 275                                                               
                                                                               
       "An  Act   relating  to  salmon  marketing,   a  salmon                 
       marketing  tax,  and   the  Alaska  Seafood   Marketing                 
       Institute; and providing for an effective date."                        
                                                                               
  REPRESENTATIVE  BILL  HUDSON  provided  the  Committee  with                 
  Amendment #1.  [Attachment #1] and noted that  the amendment                 
  would accomplish what  had previously been requested  by the                 
  Committee to change the  title.  The change is  an mechanism                 
  to provide  for the reduction  of the 3%  Salmon Enhancement                 
  Tax.    It would  require  at  least 25%  of  people in  the                 
  election to approve  the change which  has been reviewed  by                 
  the Commissioners of the Department of Commerce and Economic                 
  Development and the Commissioner of Revenue.  Representative                 
  Hudson urged the Committee to adopt the amendment.                           
                                                                               
  Representative Hanley noted his concern with Page 1, Section                 
  (b) -1 and the 25% present vote.   He thought it should read                 
  25% of the  number of  permits currently used  in a  region.                 
  Representative Hudson replied that the intent language would                 
  indicate the number of people signing the petition.                          
                                                                               
  Representative Brown MOVED to  incorporate Amendment #1 into                 
  HB 275.  Representative Hanley OBJECTED  for the record.  He                 
  remarked that it will change how the system  currently works                 
  by allowing  only qualified regional associations to conduct                 
  an election.   The  change will  require 25%  of the  permit                 
  holders to  submit a  request to  the commissioner  at which                 
  time there can be an election.                                               
                                                                               
  Representative  Hudson understood  the concern.   He pointed                 
  out that  the legislation  has limited  applications to  the                 
  areas that currently  have the  3% taxation.   He urged  the                 
  Committee to  adopt  the amendment.   Representative  Hanley                 
  WITHDREW  THE OBJECTION.   There being NO FURTHER OBJECTION,                 
  the amendment was adopted.                                                   
                                                                               
  Co-Chair  MacLean  questioned  the  increase  to  the  board                 
  membership and quorum.   Representative Hudson advised  that                 
  twenty-four  voting  members  are  necessary  to  adequately                 
  represent all fishing areas in the Alaska.                                   
                                                                               
                                                                               
                                4                                              
                                                                               
                                                                               
  JERRY MCCUNE, UNITED FISHERMEN  OF ALASKA, CORDOVA,  ALASKA,                 
  reiterated Representative  Hudson's reasons  for adding  the                 
  additional members to  the membership  board.  The  increase                 
  would  allow all  seven regions to  have a seat  on the ASMI                 
  Board.    Representative  Hudson pointed  out  an  important                 
  element  to  the legislation  in  allowing harvesters  to be                 
  involved in the marketing.                                                   
                                                                               
  Representative Brown MOVED a language change on Page 3, Line                 
  30, deleting "and"  and insert  after the word  "distribute"                 
  the following  language "and make  available information  to                 
  the public on  prices".   There being NO  OBJECTION, it  was                 
  adopted.                                                                     
                                                                               
  Representative Hanley MOVED to report CS HB 275 (FIN) out of                 
  Committee  with individual recommendations  and with the two                 
  accompanying fiscal notes.   There  being NO OBJECTIONS,  it                 
  was so ordered.                                                              
                                                                               
  CS HB  275 (FIN) was  reported out of  Committee with a  "do                 
  pass" recommendation and with fiscal notes by the Department                 
  of  Revenue  and  the Department  of  Commerce  and Economic                 
  Development.