Legislature(2013 - 2014)HOUSE FINANCE 519

02/26/2014 01:30 PM House FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 298 CONFIDENTIALITY OF PERFORMANCE REVIEWS TELECONFERENCED
Moved Out of Committee
+ HB 234 EXTEND REGULATORY COMMISSION OF ALASKA TELECONFERENCED
Moved Out of Committee
+ HB 268 BIG BULL MOOSE DERBIES TELECONFERENCED
Moved CSHB 268(FIN) Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
HOUSE BILL NO. 268                                                                                                            
                                                                                                                                
     "An Act relating to big bull moose derbies."                                                                               
                                                                                                                                
2:53:46 PM                                                                                                                    
                                                                                                                                
Representative  Tammy Wilson  discussed the  bill. She  read                                                                    
from the Sponsor Statement (copy on file).                                                                                      
                                                                                                                                
     House Bill 268 would  allow the Tanana Valley Sportsmen                                                                    
     Association to  raise funds for their  organization and                                                                    
     the   University  of   Fairbanks  Nanooks   Rifle  team                                                                    
     equally.   The big bull  moose derby would  be operated                                                                    
     much   like  other   contests  already   allowed  under                                                                    
     statute.  This will take  place during the annual moose                                                                    
     season,  by  individuals  that have  acquired  all  the                                                                    
     proper documentation  already implemented by  the State                                                                    
     of Alaska  to stay within  the legal boundaries  of the                                                                    
     moose  season.    Participants must  purchase  a  derby                                                                    
     ticket prior to the open day of the season…                                                                                
                                                                                                                                
     The Tanana  Valley Sportsmen's Association (TVSA)  is a                                                                    
     nonprofit   organization   that  hosts   training   and                                                                    
     completion events for  the nationally ranked University                                                                    
     of Alaska Nanooks Rifle Team  as well as the local high                                                                    
     schools…                                                                                                                   
                                                                                                                                
     House  Bill 268  would allow  the raising  of funds  to                                                                    
     further the use of the  TVSA club house and support the                                                                    
     efforts  of the  nationally  ranked  UAF Nanooks  Rifle                                                                    
     team….                                                                                                                     
                                                                                                                                
Representative Wilson  explained that  the rifle team  had a                                                                    
fire in  its facility  several years ago  and was  trying to                                                                    
recover.  Most of  the team's  funding was  provided through                                                                    
community support.  She wished to provide  opportunities for                                                                    
the  team to  raise money  without having  to ask  for state                                                                    
assistance.  She noted  that  HB 268  was  changed from  the                                                                    
original  version  to include  the  Snow  Town Ice  Classic,                                                                    
operated by the Advocates for Victims of Violence (AVV).                                                                        
                                                                                                                                
Representative   Costello  MOVED   to  ADOPT   the  proposed                                                                    
committee  substitute  for  HB  268 (FIN),  Work  Draft  28-                                                                    
LS085\P   (Martin    2/25/14).   Representative   Guttenberg                                                                    
OBJECTED for discussion.                                                                                                        
                                                                                                                                
DANIEL  GEORGE,  STAFF,   CO-CHAIR  STOLTZE,  discussed  the                                                                    
committee  substitute   (CS).  He  explained  that   the  CS                                                                    
contained  changes  to  Section   4  and  Section  6,  which                                                                    
resulted  in a  title change.  He read  the addition  to the                                                                    
title on page 1, lines 1 to 2:                                                                                                  
     "…and  relating  to permits  for  games  of chance  and                                                                    
     contests of skill."                                                                                                        
                                                                                                                                
The title change was generated  by the changes to Section 4,                                                                    
page 3, lines 20 through 26:                                                                                                    
                                                                                                                                
     … (big)  bull moose derbies, and  king salmon classics,                                                                    
     a permit may not be issued  for an activity [MAY NOT BE                                                                    
     LICENSED] under  this chapter unless it  existed in the                                                                    
     state in substantially the same  form and was conducted                                                                    
     in  substantially the  same  manner  before January  1,                                                                    
     1959. A  permit may  not be issued  for a  snow machine                                                                    
     classic  [MAY  NOT  BE  LICENSED]  under  this  chapter                                                                    
     unless  it has  been  in existence  for  at least  five                                                                    
     years  before  the  permit  is  issued  [LICENSING].  A                                                                    
     permit may  not be  issued for  an [AN]  animal classic                                                                    
     [MAY NOT BE LICENSED] under this chapter.                                                                                  
                                                                                                                                
Mr. George  furthered that references to  "permits" replaced                                                                    
preferences to  "licensed." The Department of  Revenue (DOR)                                                                    
advised that the language was  more consistent with existing                                                                    
statute. He  noted that in  Section 6,  page 4, line  16 the                                                                    
words "for harvesting bull moose"  were removed and the word                                                                    
"moose" prior to the word "antlers" was added.                                                                                  
                                                                                                                                
Co-Chair Stoltze OPENED public testimony.                                                                                       
                                                                                                                                
2:59:53 PM                                                                                                                    
                                                                                                                                
GRANT LEWIS, TANANA  VALLEY SPORTSMAN ASSOCIATION, FAIRBANKS                                                                    
(via teleconference), spoke in  favor of the legislation. He                                                                    
recounted   that  the   club  was   founded  in   1911.  The                                                                    
association was  incorporated as  a non-profit in  1937. The                                                                    
association hosted the local high  school team practices and                                                                    
competitions and  had its own  youth shooting club  with 100                                                                    
members.   The    association   taught   gun    safety   and                                                                    
marksmanship. In  addition, three other high  school and two                                                                    
middle school  shooting clubs used  the facility.  The money                                                                    
earned from  the derby would  be split between the  club and                                                                    
the University to help maintain  the facility and to support                                                                    
the youth programs.                                                                                                             
                                                                                                                                
DAN JORDAN,  UNIVERSITY OF ALASKA FAIRBANKS,  COACH, NANOOKS                                                                    
RIFLE TEAM  (via teleconference), testified in  favor of the                                                                    
legislation. He  stated that the club  won multiple national                                                                    
championships.  He stated  that  over the  years seven  team                                                                    
members had  participated in the Olympics.  Team members won                                                                    
medals  in the  last Olympic  Games.  He noted  that he  was                                                                    
always  searching  for new  ways  to  find funding  for  the                                                                    
program and  was working on  the derby concept for  9 years.                                                                    
He  thought  teaming up  with  TVSA  and  the youth  in  the                                                                    
community was a "win-win" situation.                                                                                            
                                                                                                                                
Representative Guttenberg expressed  congratulations for the                                                                    
team's  national  qualification.  He   asked  how  the  team                                                                    
planned to operate the derby.                                                                                                   
                                                                                                                                
Mr. Jordan replied that team  would work in conjunction with                                                                    
TVSA  and use  its  gaming  permit. He  hoped  to develop  a                                                                    
website and organize  the derby in a similar  fashion as the                                                                    
halibut derby in Valdez.                                                                                                        
                                                                                                                                
MIKE TINKER, TANANA  VALLEY SPORTSMAN ASSOCIATION, FAIRBANKS                                                                    
(via   teleconference),   testified    in   favor   of   the                                                                    
legislation. He was  a supporter of the  university team. He                                                                    
noted that  TVSA had other  gaming permits in the  past. The                                                                    
association  diligently   prepared  for   the  legislation's                                                                    
gaming  permit. The  association enthusiastically  supported                                                                    
the  event and  was looking  forward  to the  next step.  He                                                                    
appreciated the committee's consideration of HB 268.                                                                            
                                                                                                                                
Co-Chair  Stoltze  commended  the association's  process  to                                                                    
ensure the legislation was properly vetted.                                                                                     
                                                                                                                                
MEL  BOWEN, DIRECTOR,  ADVOCATES  FOR  VICTIMS OF  VIOLENCE,                                                                    
VALDEZ (via teleconference),  supported the legislation. She                                                                    
described  the   program.  The  Advocates  for   Victims  of                                                                    
Violence  (AVV) was  one of  twenty  programs that  provided                                                                    
services  for  victims  of   domestic  violence  and  sexual                                                                    
assault for  18 communities  from Glennallen to  Valdez. The                                                                    
programs costs had  risen over $20 thousand  within the last                                                                    
year. State funding  was divided between 20  programs in the                                                                    
state.  The program  would need  an additional  $25 thousand                                                                    
over the current state funding  level. She hoped to meet the                                                                    
projected  shortfall  with  eligibility to  receive  funding                                                                    
from the snow  classic. She wanted to avoid  cuts to program                                                                    
services or turning away victims.                                                                                               
                                                                                                                                
DARRELL   VERFAILLIE,  DIRECTOR,   PARKS,  RECREATION,   AND                                                                    
CULTURAL SERVICES, VALDEZ  (via teleconference), voiced that                                                                    
the City of  Valdez would not receive any  revenues from the                                                                    
event. The  department would coordinate and  assist with the                                                                    
event on behalf of AVV.  The classic would help generate AVV                                                                    
revenues and bolster the department's winter offerings.                                                                         
                                                                                                                                
3:11:07 PM                                                                                                                    
                                                                                                                                
Co-Chair Stoltze CLOSED public testimony.                                                                                       
                                                                                                                                
JOSEPH  KOSS,  TAX  AUDITOR,  TAX  DIVISION,  DEPARTMENT  OF                                                                    
REVENUE,  ANCHORAGE  (via   teleconference),  discussed  the                                                                    
changes  in the  CS. He  explained that  the gaming  statute                                                                    
contained three sections and all  three were contained in HB
268, which listed the legal  gaming activities in the state.                                                                    
The   first  two   sections   concerned  permitting   gaming                                                                    
activities and  the third section  dealt with  licensing. He                                                                    
delineated   that  DOR   licensed   operators  who   conduct                                                                    
activities on  behalf of permittees  and granted  permits to                                                                    
organizations to conduct the  gaming activities. The changes                                                                    
allowed consistency between Section 3 and Sections 1 and 2.                                                                     
                                                                                                                                
Co-Chair  Stoltze stated  that a  description of  the gaming                                                                    
activity  was  typically  described  in  statute.  He  asked                                                                    
whether the description was contained in the bill.                                                                              
                                                                                                                                
Mr.  Koss  replied  that  the  Snow  Town  Ice  Classic  was                                                                    
included in  the basic ice  classic definition in  Section 5                                                                    
of the legislation.                                                                                                             
                                                                                                                                
Representative  Guttenberg referred  to  the many  different                                                                    
classics events  in the state.  He indicated that  the moose                                                                    
derby involved hunting big game.  He asked if the Department                                                                    
of Fish and Game (DFG) was consulted.                                                                                           
                                                                                                                                
Representative Wilson clarified that  DFG was consulted. The                                                                    
derby  would take  place during  the  regular moose  hunting                                                                    
season. Participants  could guess the spread  of the antlers                                                                    
without hunting.  The event was taking  advantage of hunting                                                                    
that  was   already  going   on.  She   mentioned  extensive                                                                    
discussion  in  the  House Resources  Committee.  The  event                                                                    
could merely  be a  game of  chance based  on the  data from                                                                    
hunters after  they documented their  moose and did  not add                                                                    
additional work for the department.                                                                                             
                                                                                                                                
Representative  Guttenberg clarified  that  his concern  was                                                                    
whether hunting behavior would be changed.                                                                                      
                                                                                                                                
Representative Wilson  understood that the  hunting patterns                                                                    
were   currently  tracked   by  the   department  and   much                                                                    
discussion regarding  the issue  took place in  the previous                                                                    
committee. She surmised that if  a hunter was trophy hunting                                                                    
instead of hunting  for food the hunter  already was engaged                                                                    
in that type  of behavior. She thought that  the event would                                                                    
not alter hunting behavior.                                                                                                     
                                                                                                                                
Representative  Guttenberg   asked  whether   guided  trophy                                                                    
hunters would be eligible.                                                                                                      
                                                                                                                                
Representative  Wilson relayed  that only  employees of  DFG                                                                    
were ineligible  to participate. The operator  of the gaming                                                                    
event had the prerogative to exclude any group.                                                                                 
                                                                                                                                
Co-Chair    Stoltze   commented    that   the    legislature                                                                    
conventionally included the rules  of conduct in statute. He                                                                    
wished  to  see  a  description of  the  activities  in  the                                                                    
legislation. He  thought that  Alaskans were  hesitant about                                                                    
gaming expansions  although non-profit games of  chance were                                                                    
generally accepted.                                                                                                             
                                                                                                                                
3:20:05 PM                                                                                                                    
                                                                                                                                
Representative  Gara asked  whether  DFG  would discuss  the                                                                    
potential game population impacts.                                                                                              
                                                                                                                                
Co-Chair Stoltze answered  that the premise of  the bill was                                                                    
a function of DOR concerning  gaming and games of chance. He                                                                    
wondered  why  the legislation  was  referred  to the  House                                                                    
Resources  Committee since  it did  not pertain  to resource                                                                    
management issues.                                                                                                              
                                                                                                                                
Representative Wilson  addressed the ice classic  portion of                                                                    
the  legislation.  She  pointed   out  that  the  event  was                                                                    
described  on  page  3  of the  legislation.  She  read  the                                                                    
following:                                                                                                                      
                                                                                                                                
     "…ice classic" means a game  of chance where a prize of                                                                    
     money is awarded for the  closest guess of the time the                                                                    
     ice  moves in  a body  of water  or watercourse  in the                                                                    
     state and is limited to  the Nenana and Chena Ice Pools                                                                    
     in the same…"                                                                                                              
                                                                                                                                
Representative Wilson added that  the event was very similar                                                                    
to the Nenana Ice Classic.                                                                                                      
                                                                                                                                
Representative   Wilson   addressed  Representative   Gara's                                                                    
question. She  detailed that  DFG examined  the bill  due to                                                                    
the  title   and  found  the  legislation   acceptable.  She                                                                    
restated that the  bill would not affect any  changes in the                                                                    
way the department carried out  moose hunts nor would it add                                                                    
any  additional permits.  She  reiterated  that most  people                                                                    
hunt  for meat  and  a few  might hunt  for  trophy but  she                                                                    
didn't believe  the bill would change  any hunting behavior.                                                                    
She relayed that DFG had not raised any objections.                                                                             
                                                                                                                                
3:23:16 PM                                                                                                                    
                                                                                                                                
Representative   Gara  wondered   whether  DFG   would  have                                                                    
authority  to   cancel  the  derby  to   protect  the  moose                                                                    
population in a time of shortage.                                                                                               
                                                                                                                                
Co-Chair Stoltze deduced  that DFG managed game  and not the                                                                    
gaming regulation portion of the derby.                                                                                         
                                                                                                                                
Representative  Wilson  stated  that  the  moose  population                                                                    
would  determine  the  number  of  permits.  The  department                                                                    
routinely provided  permits based  on the  moose population.                                                                    
She  stated  that DFG  historically  had  closed areas.  She                                                                    
emphasized that the  derby could not increase  the amount of                                                                    
hunters  or  effort  due  to the  limited  number  of  moose                                                                    
hunting  permits.  The  department  would act  in  the  best                                                                    
interest  of the  resource  for the  state  regardless of  a                                                                    
derby.                                                                                                                          
                                                                                                                                
Vice-Chair Neuman  remarked that the  Board of Game  set the                                                                    
allowable harvest  within certain regions of  the state. The                                                                    
bill merely  allowed community members  to enter  the derby,                                                                    
support the organizations, engage  in family activities, and                                                                    
enjoy the outdoors.                                                                                                             
                                                                                                                                
Representative Wilson concurred.                                                                                                
                                                                                                                                
JOHANNA BALES, DEPUTY DIRECTOR,  TAX DIVISION, DEPARTMENT OF                                                                    
REVENUE,  ANCHORAGE  (via  teleconference),  clarified  that                                                                    
Representative Wilson explained  exactly how the legislation                                                                    
would  work.  She  concurred  that  the  definition  of  ice                                                                    
classic was included in the bill  and that the derby did not                                                                    
affect the permitting process with DFG.                                                                                         
                                                                                                                                
3:28:58 PM                                                                                                                    
                                                                                                                                
Representative  Costello noted  that the  new Department  of                                                                    
Revenue fiscal note showed no fiscal impact.                                                                                    
                                                                                                                                
Vice-Chair Neuman MOVED to REPORT CSHB 268(FIN) out of                                                                          
committee   with   individual    recommendations   and   the                                                                    
accompanying zero fiscal note.                                                                                                  
CSHB 268(FIN) was REPORTED out of committee with a no                                                                           
recommendation and with one new zero fiscal note from the                                                                       
Department of Revenue.                                                                                                          
                                                                                                                                

Document Name Date/Time Subjects
HB 298 Sponsor Statement.doc HFIN 2/26/2014 1:30:00 PM
HB 298
HB 298 Original Legislation HB 30.pdf HFIN 2/26/2014 1:30:00 PM
HB 30
HB 298
HB 234 RCA Sunset Audit 2013.pdf HFIN 2/26/2014 1:30:00 PM
HB 234
HB 234 RCA-Summary of Efforts 01-2014.pdf HFIN 2/26/2014 1:30:00 PM
HB 234
HB 234 Sponsor Statement.pdf HFIN 2/26/2014 1:30:00 PM
HB 234
HB234 Supporting Documents-Letter AML 2-3-2014.pdf HFIN 2/26/2014 1:30:00 PM
HB 234
CSHB 268 Big Bull Moose Derbies and Ice Classics.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
CSHB 268 Sectional Analysis.docx HFIN 2/26/2014 1:30:00 PM
HB 268
CSHB 268 Sectional Analysis.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Big Bull Moose Derbies Original Bill.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Big Bull Moose Sponsor Statement.docx HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Big Bull Moose Sponsor Statement.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 TVSA club house picture.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Letters of Support.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Nanooks news article 1.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Nanooks news article 2.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Nanooks picture 1.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 268 Nanooks picture 2.pdf HFIN 2/26/2014 1:30:00 PM
HB 268
HB 298 -NEW-FN LegAudit-2-21-14.pdf HFIN 2/26/2014 1:30:00 PM
HB 298
HB 268 CS WORKDRAFT FIN P-version.pdf HFIN 2/26/2014 1:30:00 PM
HB 268