04/03/1997 01:30 PM Senate TRA

                                                                               
           SB 153 SPECIALIZED LICENSE PLATES FOR ARTS                         
                                                                              
 Number 417                                                                    
                                                                               
  CHAIRMAN WARD  announced  SB 153  as the final order of business             
 before the committee.                                                         
                                                                               
  KRAG JOHNSEN , Staff to Senator Pearce, explained that SB 153                
 intends to provide a funding source for the State Council of Arts.            
 The State Council of Arts' budget has been continually decreased              
 over the past years.  Mr. Johnsen acknowledged the concern                    
 regarding the price in the legislation, but that is open to debate.           
 Determining the optimal price is intended to be done in Senate                
 Finance.                                                                      
                                                                               
  TIM WILSON , Executive Director of the Alaska Arts Council,                  
 supported the intent of SB 153.  The council's budget since FY91              
 has been cut 68 percent.  Mr. Wilson informed the committee that              
 the state appropriations for the current fiscal year are $460,400             
 which is barely sufficient to match federal grants to the council.            
 Mr. Wilson appreciated any additional revenues that could be                  
 generated from this program and offered to work on this.                      
                                                                               
  SENATOR WILKEN  asked Mr. Wilson if he had seen the analysis on              
 SB 153.   TIM WILSON  said that he had prepared that analysis.  Mr.           
 Wilson indicated that over a period of a few years $26,000 could be           
 generated, if assumptions similar to those utilized in California             
 such as target markets are used.  If the plates are properly priced           
 and marketed effectively, this program could do well.  In response            
 to Senator Wilken, Mr. Wilson agreed that this program would not              
 replace the council's $600,000 budget  .                                      
                                                                               
  CHAIRMAN WARD  noted that Juanita Hensley was present for questions.         
 Chairman Ward held SB 153 until the next meeting.  There being no             
 further business before the committee, the meeting was adjourned at           
 2:06 p.m.