Legislature(2025 - 2026)ADAMS 519
04/24/2025 01:30 PM House FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| HB30 | |
| HB34 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | HB 34 | TELECONFERENCED | |
| + | HB 30 | TELECONFERENCED | |
| + | TELECONFERENCED |
HOUSE BILL NO. 30
"An Act establishing the office of entrepreneurship;
relating to new businesses in the state; relating to
reports concerning procurements by agencies; and
relating to initial business license fees for new
businesses in the state."
2:44:04 PM
Representative Galvin understood that there was a request
for three new positions for the Alaska Office of
Entrepreneurship. She observed that other states had
similar entrepreneurship programs but generally only
staffed one or two positions. She asked why the bill
requested three positions rather than one or two.
REPRESENTATIVE KY HOLLAND, SPONSOR, responded that the
staffing had undergone changes during the bill's
development. He noted that a past version of the bill
included six staff positions identified as necessary by the
Department of Commerce, Community, and Economic Development
(DCCED). He stated that after working with the department,
taking feedback, and examining the scope of the proposal in
comparison to similar offices in other states, the number
had been reduced to three positions.
Representative Holland clarified that the bill itself did
not specify the staffing level or structure because the
bill was focused on policy. He suggested that
representatives from the department could provide further
detail on the assessment of the workload and staffing
needs. He relayed that most other states already had
stronger economic and business development functions in
place and their entrepreneurship offices were built on
existing structures. In contrast, Alaska's programs had
previously been scaled back which left the state in a
rebuilding phase. He explained that the three positions
represented a foundational step to restore capacity rather
than simply adding onto a fully developed structure. He
reiterated that the department could provide more details.
2:46:54 PM
HANNAH LAGER, ADMINISTRATIVE SERVICES DIRECTOR, DEPARTMENT
OF COMMERCE, COMMUNITY AND ECONOMIC DEVELOPMENT, agreed
with Representative Holland's description. She explained
that the work in Alaska was being built from the ground up.
Representative Galvin understood that the work was still in
the design phase. She noted that one of the positions had
been specified as a research analyst and asked what the
scope of the position was.
Ms. Lager responded that the research analyst would
primarily focus on the reporting requirements in the bill.
She clarified that analyzing the impact on new businesses
was a significant undertaking and there was a short
timeline for the initial report. She added that the
analysis would continue throughout the year and would
involve reviewing different data sources to evaluate how
economic actions affected small businesses.
Representative Galvin noted that she did not have the
fiscal notes in front of her, but she recalled that one of
the fiscal notes included a request for $500,000 [FN1 by
the Department of Administration (DOA), control code
Ztaay](copy on file), which she believed was tied to the
reporting requirements. She asked why the research analyst
would carry out the reporting work and why the fiscal note
reflected such a high cost for producing the report.
Ms. Lager replied that there were two separate reporting
requirements in the bill. One was the responsibility of
DOA, while the other was the responsibility of DCCED.
Co-Chair Foster relayed that some committee members needed
to attend another meeting soon. There was time for one more
question before the committee needed to move on to the next
bill.
Representative Hannan recalled that between 2016 and 2019,
DCCED had an Office of Economic Development and that the
positions within the office had later been moved to the
Office of the Governor. She asked if any of the positions
still existed at the department or in the governor's
office. She assumed some coordination would be necessary.
Ms. Lager responded that several of the positions had been
deleted during structural changes. She stated that she was
uncertain what positions remained in the Office of the
Governor. She recalled that possibly two positions still
existed in the office. One of the positions within DCCED
still remained and was located in the Commissioner's
Office. She explained that the duties covered by the
position included the International Trade Assistance
Program grant, as well as several other grant programs. She
added that the Commissioner's Office also provided direct
business assistance, helped businesses connect with
different divisions, and supported marketing for the
department.
Representative Hannan explained that she was trying to
determine the extent of the rebuilding effort. She asked
whether the department would need to start over in order to
rebuild the function of the positions or if there were
still staff in place dedicated to economic development who
could incorporate entrepreneurial development into their
work.
2:51:27 PM
Co-Chair Foster announced that the committee would set HB
30 aside and take it up again later so members would have
the opportunity to ask further questions.
HB 30 was HEARD and HELD in committee for further
consideration.
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