Legislature(2021 - 2022)BUTROVICH 205
02/21/2022 03:30 PM Senate RESOURCES
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| Audio | Topic |
|---|---|
| Start | |
| HB28 | |
| HCR2 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 28 | TELECONFERENCED | |
| *+ | HCR 2 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
HCR 2-SUPPORTING ALASKA OCEAN CLUSTER
3:38:10 PM
CHAIR REVAK reconvened the meeting and announced the
consideration of HOUSE CONCURRENT RESOLUTION NO. 2 Supporting
the Alaska Ocean Cluster in its mission, efforts, and vision for
a vibrant coastal economy in the state, its promotion of a
diversified and resilient state economy that creates value from
ocean resources, and its building of a statewide integrated
ecosystem of innovation and entrepreneurship relating to the
state's ocean economy.
3:38:39 PM
KERRY CROCKER, Staff, Representative Louise Stutes, Alaska State
Legislature, Juneau, Alaska, presented HCR 2 on behalf of the
sponsor. He stated that this resolution supports the growth of
Alaska Ocean Cluster (AOC) in Alaska. The Bering Sea Fishermens
Association initiated AOC in 2017 to promote and grow Alaska's
sustainable ocean economy by utilizing existing strengths while
supporting innovative and new opportunities. AOC is dedicated to
fostering the full potential of the state's seafood,
mariculture, transportation, renewable energy, tourism, and
research industries. The goal of the resolution is to obtain
legislative buy-in so that AOC has increased influence when
seeking support in other places. HCR 2 promotes legislative
support focused on working together to solve issues facing
Alaska's oceans; he emphasized AOC is not seeking financial aid.
MR. CROCKER stated that AOC has groups working on new technology
to research bycatch in Alaska waters. This research may prove
useful to the Governor's newly appointed Alaska Bycatch Review
Task Force. The possibilities to utilize Alaska waters are
endless as Alaska is home to half of the nation's coastline. AOC
could build off current industries such as fisheries, offshore
oil and gas, exploration, shipping, and tourism. It could expand
to new areas like hydro, harnessing tidal energy, utilizing fish
by-products, marine recreation, and more. Passage of HCR 2 would
give AOC the legislative recognition it needs to thrive.
3:40:57 PM
GARRETT EVRIDGE, Managing Director, Alaska Ocean Cluster, A
Program of the Bering Sea Fishermen's Association, Palmer,
Alaska, sought support for HCR 2. He stated that AOC is not
seeking funding today. Instead, it is seeking recognition for
its work which will improve the credibility of AOC as an
organization that supports the development of a modern,
environmentally responsible, and resilient ocean economy here in
Alaska.
MR. EVRIDGE said that AOC operates today as an innovation
cluster. This term describes a group of companies, non-profits,
investors, and public institutions that work collaboratively,
and sometimes organically, towards innovation within a specific
sector or market. Silicone Valley is the best example of a
thriving innovation cluster. Other examples across the globe
include clusters focused on health care, manufacturing, and
energy. Name a sector, and there is probably an innovation
cluster associated with it. AOC focuses on the ocean sector,
which includes the sectors mentioned above as well as seafood
harvesting, mariculture, maritime transportation, remote
sensing, and others. Ocean-focused peers of AOC include Norway,
Iceland, Seattle, and elsewhere.
MR. EVRIDGE said that AOC's portfolio currently includes eleven
ocean companies. These companies are actively working to reduce
bycatch, enable precision fishing, and reduce the cost and
hassle of maritime transportation while simultaneously growing
Alaska's nascent mariculture industry and improving sea ice
forecasting in the Bering Sea and the Arctic Ocean. The
companies range in stages from pre-seed to series C funding,
with one startup recently closing a $100 million funding round.
AOC offers its companies refinement of business strategy, market
development, introduction to customers, sourcing of mentors, and
other general professional support. In addition to the eleven
ocean companies mentioned above, AOC assists about ten early-
stage entrepreneurs and startups that may someday join the
portfolio. AOC is also working on about nine other projects in
the ocean sector.
MR. Evridge said AOC's work is exciting, speaking as someone who
grew up fishing in Kodiak and working in the industry most of
his life. One of AOC's companies helps crab fishermen predict
the location of sea ice in the Bering Sea five to fourteen days
out. Another company currently has smart buoys in the water
gathering ocean data. Alaska Ocean Cluster will collaborate with
the community development quota (CDQ) group during the pollock B
season starting in June and with another company to test novel
bycatch reduction devices to reduce salmon bycatch. The
organization has helped connect startups with investors, which
has resulted in private sector investment. The organization
supports the development of at least three Small Business
Innovative Research (SBIR) programs; this is one of the primary
ways startups develop and prove their business concepts. AOC
collaborates with Sandia National Laboratories to identify
commercially valuable compounds in Alaska shellfish. AOC is also
working with engineering students at the University of Alaska
Fairbanks to improve crab offloading methods which have not
changed in the past 70 years. This and other work describe what
an innovation cluster does. He expressed his belief that HCR 2
has significant potential to encourage technological innovation,
entrepreneurship, private investment, and economic development
in the state.
3:45:17 PM
CHAIR REVAK asked for some of examples of innovations that
reduce bycatch.
MR. EVRIDGE answered that Safety Net Technology, a company based
in the United Kingdom, is piloting a bycatch reduction device
called a Pisces light. Academic research indicates that placing
light strategically in a trawl net can reduce salmon and halibut
bycatch and potentially other bycatch. AOC is working on a
project to get the lights tested this summer in Alaska. Alaska
Ocean Cluster also keeps an eye on startups around the globe
that offer bycatch reduction technology, such as Hookpod, which
has a device that clips onto hooks and reduces bird
interactions. Another somewhat novel way to approach the bycatch
topic is through ocean data. Tracking concentrations of bycatch
could occur if better ocean data were available about what is in
the ocean.
3:46:49 PM
SENATOR VON IMHOF asked whether ocean seeding was related to the
decarbonization of the ocean.
MR. EVRIDGE answered yes. The idea is to reduce emissions; a
concept that falls under the umbrella of carbon sequestration. A
potential solution to reduce emissions involves locking into and
sinking emissions to the ocean floor. A lot of activity exists
in this space in response to climate change, such as seeding to
prompt algal blooms, growing seaweed, and other activities.
Significant funds, both philanthropic and venture, are flowing
into this space and are focused on climate solutions.
3:48:53 PM
CHAIR REVAK found no further questions and opened public
testimony on HCR 2.
3:49:15 PM
EDWARD MARTIN, JR., Representing Self, Kenai, Alaska, testified
in support of HCR 2. AOC is a non-profit entity that has, no
doubt, lobbied the legislature for support. He noted that HCR 2
has a zero fiscal note and hopes it stays that way but
questioned the bottom line. He reviewed Alaska Ocean Cluster's
website and found no indications of state contributions. He saw
that the Alaska Railroad Corporation supported an AOC seminar
presentation on Facebook. He is certain AOC has approached other
Alaska state entities for funding. He surmised that Alaska has
over 3,000 non-profits and cautioned legislators that AOC might
seek state funding in the future. He expressed his belief that
there is plenty of private industry that would support AOC. He
reiterated his support for HCR 2, stating bycatch is a serious
problem that has gone on too long.
3:52:15 PM
LEE COOPER, Representing Self, Healy, Alaska, cautioned members
about HCR 2. He stated AOC is not for profit which essentially
means it uses its money to pay staff, advisors, and whomever to
ensure the organization does not make a profit. He coined the
phrase "Danger, Will Robinson, danger, cautioning members that
AOC's future financial needs will involve asking the legislature
for money. Private initiatives will fund AOC's forward momentum
if the organization is serious. Bycatch is not new; Alaska
fishermen have the solutions. Fishermen need the support of
initiatives from tax rebates. Alaska is good at giving oil
companies tax rebates, so incentivize fisheries as well. He
questioned how many fishermen are local, and not controlled by
Seattle. This question goes hand-in-hand with the sequestration
initiative. Continue the good work but ask hard questions before
giving the state's money away, he said.
3:54:29 PM
CHAIR REVAK closed public testimony on HCR 2 and asked whether
Mr. Crocker or Mr. Evridge would like to respond to the public
testimony.
MR. CROCKER responded no.
MR. EVRIDGE responded no.
3:54:49 PM
SENATOR MICCICHE asked about the funding source for Alaska Ocean
Cluster.
MR. EVRIDGE answered that the organization receives federal
funding through an Economic Development Administration (EDA)
grant.
SENATOR MICCICHE asked how many state dollars have gone into the
Alaska Ocean Cluster organization since its inception.
MR. EVRIDGE replied, to the best of his knowledge, zero state
dollars.
SENATOR MICCICHE stated that his research indicates zero state
dollars as well. He had neither been lobbied by the sponsor of
HCR 2 nor staff.
3:55:51 PM
CHAIR REVAK stated those were his questions, and he could not
have expressed Senator Micciche's comments better. He reiterated
that HCR 2 is just a resolution supporting AOC's work; the
resolution does not require funding.
3:56:07 PM
SENATOR VON IMHOF sought confirmation that Alaska Ocean Cluster
could accept corporate donations as a non-profit entity.
MR. EVRIDGE answered yes, that is correct.
SENATOR VON IMHOF said the purpose of entities like AOC is often
to do work that is not profitable but is necessary to move an
industry forward. Often corporations will support entities that
solve industry-specific issues. She asked whether Alaska Ocean
Cluster makes the data it collects, through research,
innovation, and development, public for corporations and others
to view.
MR. EVRIDGE answered it depends on the project, but generally,
the data is publicly available.
SENATOR VON IMHOF stated Mr. Evridge's answer speaks to her
point.
3:57:36 PM
SENATOR MICCICHE stated that he shares a couple of interests
with Alaska Ocean Cluster as per AOC's mission statement. One
interest is to utilize the industries that Alaska does best to
expand the state's economy. Another interest is to employ as
many in the private sector as possible so Alaskans can reach
their full potential, thus reducing dependence on state services
with associated costs. He quoted the following from AOC's
opening statement, "We are dedicated to realizing the full
potential of the state's seafood, mariculture, transportation,
renewable energy, tourism, and research industries."
SENATOR MICCICHE asked whether the goal of Alaska Ocean Cluster
is for Alaska to reach its economic potential, as Japan, Norway,
and other countries have done for decades.
MR. EVRIDGE answered that AOC and Senator Micciche are pretty
closely aligned. AOC is trying to help in a somewhat narrow way.
There are a number of different ways to approach the topic of
innovation. Alaska Ocean Cluster's approach is to help
entrepreneurs and startups. He reiterated Senator von Imhof's
comment that this type of work is not immediately profitable.
However, to grow sectors, source new ways of doing business, and
attract startups and entrepreneurs from all over the globe, this
work needs to happen. AOC approaches innovation by strengthening
its entrepreneurs and startups and connecting them with global
customers.
4:00:30 PM
[CHAIR REVAK held HCR 2 in committee.]
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 28 v.G.pdf |
SRES 2/21/2022 3:30:00 PM |
HB 28 |
| HCR 2 Sponsor Statement 03.16.2021.pdf |
HFSH 4/8/2021 10:00:00 AM HFSH 4/13/2021 10:00:00 AM SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 Supplemental Document - Alaska Ocean Cluster Overview 4.7.21.pdf |
HFSH 4/8/2021 10:00:00 AM HFSH 4/13/2021 10:00:00 AM SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 - Letter of Support - Alaska Research Consortium 4.7.21.pdf |
SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 Testimony Received by 4.7.21.pdf |
HFSH 4/8/2021 10:00:00 AM SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 Testimony Received by 4.12.21.pdf |
HFSH 4/13/2021 10:00:00 AM SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 Letter of Support Bering Sea Fishermen's Association 5.3.2021.pdf |
HRES 5/3/2021 1:00:00 PM SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 Letter of Support SWAMC 5.3.2021.pdf |
HRES 5/3/2021 1:00:00 PM SRES 2/21/2022 3:30:00 PM |
HCR 2 |
| HCR 2 The Blue Pipeline Overview 5.05.2021.pdf |
HRES 5/5/2021 1:00:00 PM SRES 2/21/2022 3:30:00 PM |
HCR 2 |