04/19/2014 08:30 AM House FINANCE

CS FOR SENATE BILL NO. 140(FIN)                                                                                               
                                                                                                                                
     "An Act creating  the Arctic infrastructure development                                                                    
     program and  fund in the Alaska  Industrial Development                                                                    
     and Export  Authority; and  relating to  dividends from                                                                    
     the   Alaska   Industrial    Development   and   Export                                                                    
     Authority."                                                                                                                
                                                                                                                                
4:28:23 PM                                                                                                                    
                                                                                                                                
Vice-Chair  Neuman MOVED  to  ADOPT  the proposed  committee                                                                    
substitute  for  CSSB   140(FIN),  Work  Draft  28-LS1246\B,                                                                    
(Martin, 4/19/14).                                                                                                              
                                                                                                                                
Co-Chair Stoltze OBJECTED for discussion.                                                                                       
                                                                                                                                
DANIEL   GEORGE,   STAFF,   REPRESENTATIVE   BILL   STOLTZE,                                                                    
explained the changes  in the CS. He pointed  to section 10,                                                                    
page  7  related  to  qualified  infrastructure  development                                                                    
powers  and  duties  of  the authority.  He  stated  that  a                                                                    
section  was removed  regarding the  financing of  federally                                                                    
managed fisheries in the arctic.                                                                                                
                                                                                                                                
Co-Chair  Stoltze commented  about loans  for large  fishing                                                                    
boats.                                                                                                                          
                                                                                                                                
JESSE  LOGAN, STAFF,  SENATOR  LESIL  MCGUIRE, relayed  that                                                                    
there was no objection to the CS from the sponsor.                                                                              
                                                                                                                                
Co-Chair  Stoltze WITHDREW  his  OBJECTION.  There being  NO                                                                    
further OBJECTION, it was so ordered.                                                                                           
                                                                                                                                
Mr.  Logan  discussed  the legislation  creating  an  arctic                                                                    
infrastructure fund  within AIDEA.  The purpose of  the fund                                                                    
and its  financing limitations was  to create  incentives to                                                                    
attract  private  investments   for  infrastructure  in  the                                                                    
arctic. He  commented on  changes in  the arctic  leading to                                                                    
challenges and  opportunities. He stated that  the provision                                                                    
of  adequate infrastructure  was imperative  for positioning                                                                    
the state  in the new  arctic paradigm. The sponsor  did not                                                                    
seek to  capitalize the fund,  but the creation of  the fund                                                                    
sent  a signal  to  the  international investment  community                                                                    
about business opportunities in Alaska.                                                                                         
                                                                                                                                
4:32:24 PM                                                                                                                    
                                                                                                                                
Co-Chair Austerman  addressed the underlying premise  of the                                                                    
legislation.   He  supported   the   concept  of   expanding                                                                    
fisheries   in  the   arctic,  but   stressed  that   better                                                                    
infrastructure was necessary to help development.                                                                               
                                                                                                                                
Co-Chair Stoltze asked  if there were any  amendments to the                                                                    
bill.                                                                                                                           
                                                                                                                                
Representative  Munoz  appreciated  Representative  Herron's                                                                    
efforts on the bill.                                                                                                            
                                                                                                                                
Representative Costello  addressed the  previously published                                                                    
fiscal  impact   note  from  the  Department   of  Commerce,                                                                    
Community and Economic Development.                                                                                             
                                                                                                                                
Co-Chair Austerman MOVED to REPORT  HCSCSSB 140 (FIN) out of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
HCS CSSB 140 (FIN) was REPORTED  out of committee with a "do                                                                    
pass"  recommendation and  with previously  published fiscal                                                                    
impact note: FN1 (CED).                                                                                                         
                                                                                                                                
4:35:12 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
4:36:07 PM                                                                                                                    
RECONVENED