HB 204-SALMON & HERRING PRODUCT DEV'T TAX CREDIT                                                                    
                                                                                                                                
CHAIR SEATON announced that the  first order of business would be                                                               
SPONSOR SUBSTITUTE FOR HOUSE BILL NO.  204, "An Act relating to a                                                               
product  development tax  credit for  certain salmon  and herring                                                               
products; and providing for an effective date."                                                                                 
                                                                                                                                
10:17:33 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  ALAN  AUSTERMAN,  Alaska  State  Legislature,  as                                                               
prime sponsor, offered to take any questions on SSHB 204.                                                                       
                                                                                                                                
10:18:13 AM                                                                                                                   
                                                                                                                                
JOHN  "VINCE"   O'SHEA,  Lobbyist,  Pacific   Seafood  Processors                                                               
Association,  stated  support for  SSHB  204,  on behalf  of  the                                                               
association which he represents, and urged passage of the bill.                                                                 
                                                                                                                                
CHAIR SEATON closed public testimony.                                                                                           
                                                                                                                                
10:19:24 AM                                                                                                                   
                                                                                                                                
CHAIR  SEATON  summarized the  points  of  the bill,  which  were                                                               
questioned in previous  hearings.  The consideration  of a shore-                                                               
based  plant  or  vessel  oriented  is  limited  to  state  water                                                               
fisheries;  basically salmon  and  herring.   Regarding  freezing                                                               
apparatus, the equipment  would need to be  used predominately in                                                               
value added  production; defined in  Alaska Department of  Fish &                                                               
Game regulation as levels greater than 50 percent.                                                                              
                                                                                                                                
10:21:07 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE FEIGE  moved to report  SSHB 204 out  of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.   There being no  objection, SSHB  204 was moved  from the                                                               
House Special Committee on Fisheries.