04/22/2019 01:30 PM House FINANCE

HOUSE BILL NO. 41                                                                                                             
                                                                                                                                
     "An Act  relating to management  of enhanced  stocks of                                                                    
     shellfish; authorizing  certain nonprofit organizations                                                                    
     to engage  in shellfish enhancement  projects; relating                                                                    
     to application  fees for  salmon hatchery  permits; and                                                                    
     providing for an effective date."                                                                                          
                                                                                                                                
1:31:06 PM                                                                                                                    
                                                                                                                                
Vice-Chair Johnston MOVED to ADOPT proposed committee                                                                           
substitute for HB 41, Work Draft 31-LS0218\U (Bullard,                                                                          
04/17/19) (copy on file).                                                                                                       
                                                                                                                                
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
LYNN GATTIS, STAFF, REPRESENTATIVE TAMMIE WILSON, reviewed                                                                      
the changes to the bill by reading a prepared statement:                                                                        
                                                                                                                                
     Page 1, line 2:                                                                                                            
                                                                                                                                
          Insert after projects:  authorizing the Department                                                                    
          of  Fish  and Game  to  collect  fee revenue  from                                                                    
          applicants  for  certain salmon  hatchery  permits                                                                    
          and  from  applicants  for  shellfish  enhancement                                                                    
          project permits;                                                                                                      
                                                                                                                                
     Page 2, Section 2, lines 15-16:                                                                                            
                                                                                                                                
          Delete: $1000                                                                                                         
                                                                                                                                
          Insert after  fee: in the amount  determined under                                                                    
          (h)this section.                                                                                                      
                                                                                                                                
                                                                                                                                
     Page 2, Section 3, lines 19-31 and Page 3, lines 1-6:                                                                      
                                                                                                                                
          Insert:                                                                                                               
                                                                                                                                
          AS 16.10.400 is amended  by adding new subsections                                                                    
          to read:                                                                                                              
                                                                                                                                
          (h) The  department shall establish  by regulation                                                                    
          an  application  fee  under  this  section  in  an                                                                    
          amount that provides for the  total amount of fees                                                                    
          collected   under   (b)   of   this   section   to                                                                    
          approximately   equal   the  department's   actual                                                                    
          regulatory   costs   under   this   chapter.   The                                                                    
          department shall annually review  the fee level to                                                                    
          determine  whether   the  department's  regulatory                                                                    
          costs under  this chapter are  approximately equal                                                                    
          to  the fees  collected. If  the review  indicates                                                                    
          that fee collections and  regulatory costs are not                                                                    
          approximately equal,  the department  shall adjust                                                                    
          the application  fee by regulation. In  January of                                                                    
          each  year, the  department shall  report the  fee                                                                    
          level and any revision  made for the previous year                                                                    
          under this subsection to  the office of management                                                                    
          and budget.                                                                                                           
                                                                                                                                
          (i)  The  salmon  hatchery permit  fees  collected                                                                    
          under (b)  of this  section shall be  deposited in                                                                    
          the  state treasury.  Under  AS 37.05.146(c),  the                                                                    
          fees  shall  be   accounted  for  separately,  and                                                                    
          appropriations from the account  are not made from                                                                    
          the  unrestricted  general fund.  The  legislature                                                                    
          may  appropriate   money  from  the   account  for                                                                    
          expenditures  by  the   department  for  necessary                                                                    
          costs   incurred   by   the  department   in   the                                                                    
          administration  of this  chapter. Nothing  in this                                                                    
          subsection creates  a dedicated fund  or dedicates                                                                    
          the money  in the account for  a specific purpose.                                                                    
          Money deposited  in the account does  not lapse at                                                                    
          the  end   of  a  fiscal  year   unless  otherwise                                                                    
          provided by an appropriation.                                                                                         
                                                                                                                                
     Page 3, Section 4, Chapter 12, lines 14-15:                                                                                
                                                                                                                                
          Delete: of $1000                                                                                                      
                                                                                                                                
          Insert:  in the  amount  determined  under (f)  of                                                                    
          this section.                                                                                                         
                                                                                                                                
     Page 3, Section 4, Chapter 12, lines 25-31 and Page 4,                                                                     
     lines 1-11:                                                                                                                
                                                                                                                                
          Insert:                                                                                                               
                                                                                                                                
          (f) The  department shall establish  by regulation                                                                    
          an  application  fee  under  this  section  in  an                                                                    
          amount that provides for the  total amount of fees                                                                    
          collected   under   (b)   of   this   section   to                                                                    
          approximately   equal   the  department's   actual                                                                    
          regulatory   costs   under   this   chapter.   The                                                                    
          department shall annually review  the fee level to                                                                    
          determine  whether   the  department's  regulatory                                                                    
          costs under  this chapter are  approximately equal                                                                    
          to  the fees  collected. If  the review  indicates                                                                    
          that fee collections and  regulatory costs are not                                                                    
          approximately equal,  the department  shall adjust                                                                    
          the application  fee by regulation. In  January of                                                                    
          each  year, the  department shall  report the  fee                                                                    
          level and any revision  made for the previous year                                                                    
          under this subsection to  the office of management                                                                    
          and budget.                                                                                                           
                                                                                                                                
          (g) The shellfish  enhancement project permit fees                                                                    
          collected  under  (b)  of this  section  shall  be                                                                    
          deposited   in  the   state  treasury.   Under  AS                                                                    
          37.05.146(c),  the  fees  shall be  accounted  for                                                                    
          separately,  and appropriations  from the  account                                                                    
          are not  made from the unrestricted  general fund.                                                                    
          The  legislature may  appropriate  money from  the                                                                    
          account  for expenditures  by  the department  for                                                                    
          necessary costs incurred by  the department in the                                                                    
          administration  of this  chapter. Nothing  in this                                                                    
          subsection creates  a dedicated fund  or dedicates                                                                    
          the money  in the account for  a specific purpose.                                                                    
          Money deposited  in the account does  not lapse at                                                                    
          the  end   of  a  fiscal  year   unless  otherwise                                                                    
          provided by an appropriation.                                                                                         
                                                                                                                                
                                                                                                                                
     Page 10, Section 16, line 2:                                                                                               
                                                                                                                                
          Delete: semi artificial                                                                                               
                                                                                                                                
          Insert: semiartificial                                                                                                
                                                                                                                                
1:37:39 PM                                                                                                                    
                                                                                                                                
Co-Chair  Wilson  explained that  the  bill  would help  the                                                                    
program to grow  and allow the department to  charge back to                                                                    
the  groups,  but the  money  would  only  be used  for  the                                                                    
program. She mentioned a fee  change from $100 to $1000. The                                                                    
department would be able to  set fees based on the resources                                                                    
necessary to keep the program  going. She indicated that the                                                                    
committee was waiting on a  fiscal note and intended to move                                                                    
the  bill  along  once  it  was  received.  She  anticipated                                                                    
receiving the fiscal note by the following day.                                                                                 
                                                                                                                                
HB  41  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.