03/29/2004 09:04 AM Senate FIN

                                                                                                                                
     SENATE BILL NO. 322                                                                                                        
     "An Act relating to the rate of the salmon enhancement tax."                                                               
                                                                                                                                
                                                                                                                                
This was  the second  hearing for  this bill in  the Senate  Finance                                                            
Committee.                                                                                                                      
                                                                                                                                
Co-Chair   Wilken  stated   this  bill   "authorizes  the   regional                                                            
aquaculture associations  who hold elections to change  the tax rate                                                            
for the salmon enhancement tax."                                                                                                
                                                                                                                                
Senator  B. Stevens  reinforced that  the changes  proposed in  this                                                            
bill are  optional and  are intended  to provide  options to  reduce                                                            
debt burden.                                                                                                                    
                                                                                                                                
KEN   DUCKETT,   Executive   Director,   United   Southeast   Alaska                                                            
Gillnetters,  testified via teleconference  from an offnet  location                                                            
that the current  fishery tax system  works well and therefore  this                                                            
legislation   is  unnecessary.  Fishermen   in  his  area   are  not                                                            
interested in a situation  whereby an additional assessment could be                                                            
imposed on their  income. He referenced his letter  to the Committee                                                            
outlining this position dated March 28, 2004 [copy on file].                                                                    
                                                                                                                                
Senator  B.  Stevens  offered  a motion  to  report  the  bill  from                                                            
Committee with  individual recommendations  and accompanying  fiscal                                                            
note.                                                                                                                           
                                                                                                                                
Without  objection SB 322,  23-LH1421\H, MOVED  from Committee  with                                                            
fiscal note  #1 from the Department  of Revenue in an indeterminate                                                             
amount.