Legislature(2015 - 2016)SENATE FINANCE 532
03/17/2016 09:00 AM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| SB170 | |
| SB101 | |
| SB124 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SB 101 | TELECONFERENCED | |
| + | SB 170 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| + | SB 124 | TELECONFERENCED | |
SENATE BILL NO. 101
"An Act relating to fees for use of state park system
facilities; and relating to the sale of merchandise by
the Department of Natural Resources."
9:30:23 AM
BEN ELLIS, DIRECTOR, ALASKA DIVISION OF PARKS AND OUTDOOR
RECREATION, DEPARTMENT OF NATURAL RESOURCES, explained that
the bill would remove language that required all authorized
fees to be collected in a park unit, making clear that the
Department of Natural Resources (DNR) would have the
authority to collect fees online or in locations outside of
a park unit.
9:31:29 AM
Senator Dunleavy understood that there were drop box fees
at state parks.
Mr. Ellis replied that there were drop boxes for user fees
at developed facilities, and that passes were available.
9:32:23 AM
Senator Olson queried the reasoning behind the clarifying
language related to fees being collected outside of a park
unit.
Mr. Ellis stated that the original intent of the governor's
bill had been to allow state parks to sell merchandise for
a profit, in order to decrease the dependence on the
General Fund. He said that the bill had been modeled on a
survey that was conducted over 20 states, with the original
concept to provide an opportunity for state to sell
merchandise for profit. He said that current statute only
allowed for the sale of items for cost.
9:35:07 AM
Co-Chair MacKinnon directed committee attention to the
original draft of the legislation. She queried the removal
of Section 2 from the original bill.
Mr. Ellis responded that the language had been removed by
the Senate Resources Committee. He said that concern had
been expressed during the bill hearing that the bill could
be in competition with the private sector.
9:35:57 AM
Senator Bishop wondered whether the bill would benefit the
division.
Mr. Ellis responded that the current version of the bill
would alleviate a technical issue that some had not
believed was a serious issue.
9:37:04 AM
Co-Chair MacKinnon stressed that the bill was an issue of
public policy. She said that the government generally
avoided competition with the private sector. She said that
her office would take amendments until Wednesday, March 23,
2016.
9:37:42 AM
Senator Olson wondered whether there were private entities
that sold comparable items to those sold by the division.
Mr. Ellis responded that the division was not currently
selling any products. He added that he did not believe that
any company was selling Alaska State Park merchandise. He
stated that there was an internet based company in Seattle
that was could create merchandise using any names in the
public domain.
9:38:56 AM
Vice-Chair Micciche remarked that the bill was similar to
SB 101, as it was an attempt for a department to offset
costs. He appreciated the proposed bill.
9:39:42 AM
Co-Chair MacKinnon shared that she had served as a
department manager at JC Penney, which sold millions in
Alaskan merchandise. She felt that it would be nice for the
state to get credit for distributing state products. She
suggested that the state could be a wholesaler of original
Alaska brand merchandise.
Mr. Ellis concurred. He stressed that the state would
create the merchandise, and would sell it to a wholesaler
or retailer at a marked up cost.
Co-Chair MacKinnon reiterated that amendments were due the
following Wednesday.
9:42:12 AM
Senator Dunleavy spoke in support of the legislation.
Mr. Ellis quoted a parks director in New Hampshire:
"We're fairly passionate about our retail operation in
the Hampshire State Parks. When you change the
dialogue from cost control, to revenue growth
opportunities, all of the sudden new doors open,
employees attitudes shift, and we build a broader
customer base of support, loyalty, and advocacy for
the states park system."
9:43:43 AM
Senator Bishop agreed that the bill was a good concept. He
stressed that Alaska was a tourism destination.
9:44:37 AM
Co-Chair MacKinnon hoped that the merchandise would be made
in America, possibly in partnership with the prison system.
9:45:07 AM
Senator Olson spoke to Section 2 of the original version of
the legislation. He understood that this portion of the
bill had been removed from the current version. He wondered
whether the change had altered the original intent of the
legislation.
Mr. Ellis responded that the current bill version from the
Senate Resources Committee did not achieve the original
intent of the bill.
9:45:58 AM
Senator Olson wondered why the committee was hearing the
legislation.
Mr. Ellis responded that in April 2015, the bill had been
amended to eliminate the part that related to the sale of
merchandise, and move forward the section that offered the
technical amendment pertaining to online payments.
9:46:56 AM
Co-Chair MacKinnon clarified that Section 2 had been
removed from the original bill, but could be offered as an
amendment.
9:48:07 AM
Senator Olson wondered whether the department was in favor
of the current version of the legislation.
Mr. Ellis responded that the department was supportive of
clarifying the revenue stream. He repeated that the current
version of the bill did not speak to the governor's
original intent.
9:48:52 AM
AT EASE
9:49:02 AM
RECONVENED
9:49:05 AM
Vice-Chair Micciche revealed that there had been concern in
the Senate Resources Committee about state competition with
the private sector, as well as the cost of employing
additional state employees. He hoped that the bill could be
amended to require that Alaskan businesses be used in the
production of merchandise.
9:50:25 AM
Mr. Ellis remarked that the division was sensitive to the
competition with the private sector, and shared that there
was a constant search for balance.
Co-Chair MacKinnon OPENED public testimony.
Co-Chair MacKinnon CLOSED public testimony.
SB 101 was HEARD and HELD in committee for further
consideration.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 101 Briefing Paper.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 101 |
| SB 101 Transmittal Letter.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 101 |
| SB0170-Explanation of Changes-Version A to Version W.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 170 |
| SB0170-Sectional Analysis-Version W.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 170 |
| SB0170-Sponsor Statement.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 170 |
| SB0170-Supporting Document-FAQs from DNR-DGGS.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 170 |
| SB0170-Supporting Document-Letter-DNR-DGGS.pdf |
SFIN 3/17/2016 9:00:00 AM |
SB 170 |