05/08/2007 03:30 PM Senate COMMUNITY & REGIONAL AFFAIRS

                HJR 20-BYPASS MAIL RATE INCREASE                                                                            
                                                                                                                                
3:36:00 PM                                                                                                                    
CHAIR OLSON announced the consideration of HJR 20.                                                                              
                                                                                                                                
KATE SANGSTER,  staff to Representative  Mary Nelson,  sponsor of                                                               
HJR  20, said  this  resolution urges  Congress  to intervene  to                                                               
eliminate  or  reduce  the  rate increase  to  bypass  mail.  The                                                               
increase goes  into effect in  rural Alaska  on May 14,  2007 and                                                               
will increase overall fourth class parcel  post rates by 30 to 60                                                               
percent. This increase will be reflected in bypass mail rates.                                                                  
                                                                                                                                
SENATOR THOMAS asked if the state gets any of the money.                                                                        
                                                                                                                                
MS. SANGSTER replied no; it is all federal.                                                                                     
                                                                                                                                
CHAIR  OLSON said  bypass  mail  is a  significant  issue in  his                                                               
district. He asked if local carriers support the increase.                                                                      
                                                                                                                                
3:38:09 PM                                                                                                                    
MS. SANGSTER replied  that the local carriers and  the urban ones                                                               
that do  most of their  shipping via  bypass mail to  rural areas                                                               
have supported the request to intervene to reduce these rates.                                                                  
                                                                                                                                
CHAIR OLSON asked  if it has support from any  of the stores that                                                               
would be affected by the bypass mail increase.                                                                                  
                                                                                                                                
MS.  SANGSTER  said  there  is   a  letter  of  support  from  AC                                                               
Commercial.                                                                                                                     
                                                                                                                                
CHAIR OLSON asked if there was any opposition to the resolution.                                                                
                                                                                                                                
MS. SANGSTER  replied none that she  had heard. They had  been in                                                               
contact with Senator Steven's office,  and his staff assured them                                                               
that this  is a  live issue  and that they  had no  opposition to                                                               
this resolution - but no concrete answers either.                                                                               
                                                                                                                                
3:39:08 PM                                                                                                                    
SENATOR  STEVENS  moved to  report  HJR  20 from  committee  with                                                               
individual  recommendations and  attached  fiscal note(s).  There                                                               
being no objection, the motion carried.