Legislature(2001 - 2002)

03/26/2001 01:17 PM House RES

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
HB  93-KENAI DIP NET FISHERY PERMIT FEE                                                                                       
                                                                                                                                
CO-CHAIR SCALZI  announced the  next order  of business  would be                                                               
HOUSE BILL  NO. 93, "An Act  establishing the permit fee  for the                                                               
personal  use dip  net  fisheries  for the  Kenai  River and  the                                                               
Kasilof River;  and providing  for an  effective date."   [Before                                                               
the committee was CSHB 93(FSH).]                                                                                                
                                                                                                                                
REPRESENTATIVE FATE made a motion  to adopt [a proposed committee                                                               
substitute (CS),  version 22-LS0431\C,  Utermohle, 2/27/01,  as a                                                               
work draft].  There being no  objection, Version C was before the                                                               
committee.                                                                                                                      
                                                                                                                                
Number 2785                                                                                                                     
                                                                                                                                
REPRESENTATIVE   KEN   LANCASTER,   Alaska   State   Legislature,                                                               
testifying  as sponsor  of  the bill,  told  the House  Resources                                                               
Standing Committee  that he introduced  HB 93 to establish  a dip                                                               
net  fee  at the  mouth  of  the  Kasilof  and the  Kenai  River,                                                               
primarily   in  response   to   impacts   from  trespassing   and                                                               
degradation  of private  property in  those areas  during a  time                                                               
when  he  served as  mayor  of  Soldotna.    He stated  that  the                                                               
trespass on  private property was  particularly bad on  the south                                                               
side of the  river.  Representative Lancaster said  he hoped this                                                               
bill would provide  some money back to the  department to provide                                                               
access on  the south  side of  both those rivers,  as well  as to                                                               
install dumpsters and temporary  Port-A-Potties.  He reiterated a                                                               
comment  made  by Kevin  Brooks  at  a prior  committee  meeting,                                                               
stating that "as long as this was  called a fee, it would go back                                                               
to  the  department;  they'd  be  able to  use  it  for  sanitary                                                               
facilities at  those [areas],  without any  dedication or  any of                                                               
that type  of thing."   Representative  Lancaster made  note that                                                               
the state  mental health  trust lands have  had to  be barricaded                                                               
because of all the trespass problems in that area.                                                                              
                                                                                                                                
REPRESENTATIVE LANCASTER reminded the  committee that the City of                                                               
Kenai has  a request in the  capital budget for $900,000  to deal                                                               
with the problem at  the mouth of the Kenai River.   He said they                                                               
have  already   spent  $200,000  to  provide   parking,  hire  an                                                               
attendant during "this 21-day fishery,"  and collect fees to help                                                               
deal with some of the problems in the area.                                                                                     
                                                                                                                                
REPRESENTATIVE  LANCASTER said  this has  been a  growing problem                                                               
that  needs to  be addressed.   He  stated it  was his  hope that                                                               
[ADF&G]  would be  able to  track the  numbers of  fish that  are                                                               
actually taken  out of the  area.  Representative  Lancaster told                                                               
the committee  that Co-Chair Scalzi  had mentioned the  fact that                                                               
people  are  not currently  [required]  to  show residency.    He                                                               
stressed  the  importance  of  knowing  whether  a  person  is  a                                                               
resident, because "it is a resource  dip net fishery for users in                                                               
the state of Alaska."                                                                                                           
                                                                                                                                
Number 2668                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI  referred to  his  amendment  [later adopted  as                                                               
Amendment 1], which read [original punctuation provided]:                                                                       
                                                                                                                                
     Add to (25) - line 5                                                                                                       
                                                                                                                                
      A sport fishing license is not required to purchase                                                                       
       the dip net permit.  Proof of Alaska residency is                                                                        
     required.                                                                                                                  
                                                                                                                                
He added that  it was very simply stated, but  might address some                                                               
of the concerns expressed in previous testimony.                                                                                
                                                                                                                                
Number 2652                                                                                                                     
                                                                                                                                
REPRESENTATIVE FATE mentioned  the fact that the  fee was created                                                               
as a  "special fee" as  opposed to a  "license."  He  stated that                                                               
the  fish  and  game  fund is  typically  used  specifically  for                                                               
enhancement of  the fishery,  and asked  Representative Lancaster                                                               
if "it would  fall under that" or if it  would be contested, were                                                               
it used for purposes other than that in the future.                                                                             
                                                                                                                                
Number 2629                                                                                                                     
                                                                                                                                
REPRESENTATIVE  LANCASTER replied  that  he would  "hate to  hang                                                               
myself out  here too far,"  but reiterated that Kevin  Brooks had                                                               
said that,  in statute, "when it's  a fee-based, it goes  back to                                                               
the department  and then  is allowed  to be  used for  access and                                                               
sanitary facilities  at the particular  fisheries it's for."   He                                                               
added, "That's what I'm basing my comment on."                                                                                  
                                                                                                                                
REPRESENTATIVE  FATE stated  he  had no  problem  with that,  but                                                               
maintained  that   "somewhere  down   the  road  that   could  be                                                               
contested."  He said:                                                                                                           
                                                                                                                                
     There  are certain  ways that  these funds  are handled                                                                    
     and what  constitutes a  replenishment, or  the income,                                                                    
     or the  cash flow into those  funds.  And it  just does                                                                    
     raise a question that may  somewhere in the future come                                                                    
     back  to haunt  us, unless  we  have ...  some kind  of                                                                    
     statutory  proof that,  in fact,  that won't  happen in                                                                    
     the future.                                                                                                                
                                                                                                                                
Number 2571                                                                                                                     
                                                                                                                                
GORDON   WILLIAMS,    Legislative   Liaison,   Office    of   the                                                               
Commissioner, Department  of Fish & Game  (ADF&G), confirmed that                                                               
Kevin   Brooks  did   have  a   discussion  with   Representative                                                               
Lancaster.   He stated that  it's unclear  to ADF&G, the  way the                                                               
bill is drafted now, whether or  not these would be fish and game                                                               
funds;  that's reflected  in ADF&G's  fiscal note.   Fiscal  note                                                               
number  two  doesn't designate  these  as  fish and  game  funds.                                                               
Other dip net fees  - for example, Chitina fees -  do go into the                                                               
fish and  game fund, he noted.   [Mr. Williams paused  to look at                                                               
the proposed CS.]                                                                                                               
                                                                                                                                
Number 2546                                                                                                                     
                                                                                                                                
REPRESENTATIVE LANCASTER clarified that  the language of the bill                                                               
had  been  amended  to  "satisfy  Kevin  Brooks'  concern."    He                                                               
explained  that  Chitina was  the  example  that Mr.  Brooks  had                                                               
spoken to, which  was why the dip  net fee was changed  to $10 to                                                               
include both rivers.                                                                                                            
                                                                                                                                
MR. WILLIAMS  stated he  would have  to talk to  Mr. Brooks.   He                                                               
said [the CS before the  committee, Version C] was different from                                                               
the  CS that  was  on the  table  at the  last  [meeting] when  a                                                               
designated  receipt category  was  being set  up  just for  these                                                               
funds, and it  had been unclear at that point  whether they would                                                               
be  fish and  game funds.    He added  that  if this  were to  be                                                               
handled the  way Chitina was,  it would  be fish and  game funds,                                                               
and then  there would be  restrictions regarding how  those funds                                                               
were used.                                                                                                                      
                                                                                                                                
REPRESENTATIVE LANCASTER interjected,  "That's what we've modeled                                                               
this after,  so hopefully we're  correct.  We're saying  the same                                                               
thing, I think."                                                                                                                
                                                                                                                                
MR. WILLIAMS  concluded by  saying he believes  they can  be used                                                               
for things like  some of those services.  They  are used in other                                                               
fisheries, so that is an allowable use of fish and game funds.                                                                  
                                                                                                                                
Number 2489                                                                                                                     
                                                                                                                                
REPRESENTATIVE  FATE commented  that he  thought it  was entirely                                                               
appropriate to  use the  fees in  the manner  in which  they were                                                               
being  designated, although  this bill  would impact  the ability                                                               
for [ADF&G] to use  those funds to do some of  the things that it                                                               
would like.                                                                                                                     
                                                                                                                                
MR. WILLIAMS  answered that  if the money  in question  came into                                                               
the fish and game fund, then it  would be up to the discretion of                                                               
the department how it was spent.   He said, "There's nothing here                                                               
that says it's  a one-to-one back in any way  to this fishery, so                                                               
it would be  a matter of priorities within the  department, as to                                                               
where funds were used."                                                                                                         
                                                                                                                                
Number 2428                                                                                                                     
                                                                                                                                
REPRESENTATIVE KERTTULA  mentioned the statutory language  of the                                                               
Chitina dip  net fishing permit  and said she would  be concerned                                                               
that the  bill actually  may not  have put  a "border  around the                                                               
fee" so that  [ADF&G] could appropriate it back.   She noted that                                                               
because  the  end of  that  section  says, "the  legislature  may                                                               
appropriate  the  receipts in  the  sale  of  the permit."    She                                                               
commented, "Maybe  we've done it,  but I'd  just like to  be sure                                                               
about that 'back.'"   She pointed out that  Chitina didn't appear                                                               
to  require residency  and asked  if there  were other  fisheries                                                               
that [required residency].                                                                                                      
                                                                                                                                
Number 2383                                                                                                                     
                                                                                                                                
MR. WILLIAMS  replied that the  Chitina fishery is  a subsistence                                                               
fishery now,  so it has  the restriction of [requiring  proof of]                                                               
residency.  He  mentioned the necessity of  referring to Director                                                               
Hepler about whether or not that needs to be spelled out.                                                                       
                                                                                                                                
Number 2362                                                                                                                     
                                                                                                                                
KELLY  HEPLER, Director,  Division of  Sport Fish,  Department of                                                               
Fish  & Game  (ADF&G), explained  that the  statewide requirement                                                               
has a  current regulation,  "under 77,"  requiring all  those who                                                               
participate in a personal use fishery to be residents of Alaska.                                                                
                                                                                                                                
REPRESENTATIVE KERTTULA  clarified that  the Chitina  statute had                                                               
been superceded regarding "that fishing permit."                                                                                
                                                                                                                                
Number 2335                                                                                                                     
                                                                                                                                
REPRESENTATIVE GREEN  noted that the sponsor  statement read that                                                               
approximately   10,000-15,000  permits   were  issued   annually,                                                               
generating up  to $150,000, while  the fiscal note lists  a total                                                               
of $65,000.  He asked  if the significant difference would "cause                                                               
any grievous problems to what  you're anticipating doing with the                                                               
money."                                                                                                                         
                                                                                                                                
Number 2306                                                                                                                     
                                                                                                                                
REPRESENTATIVE   LANCASTER   answered   that   "we"   have   some                                                               
differences  of opinion  on the  fiscal  note, which  need to  be                                                               
looked at.   He stated  his belief that  the fiscal note  had not                                                               
been updated  since the  last hearing, at  which time  the amount                                                               
was $10  for each river, whereas  now it is $10  for both rivers.                                                               
Representative Lancaster explained,  "They use different numbers,                                                               
assuming people wouldn't  want to pay to go dip  net fishing, and                                                               
that is the number we got from  the department - the 15,000 - for                                                               
the permits for  last year."  He indicated  only 12,500 [permits]                                                               
were used out of the 15,000 [issued].                                                                                           
                                                                                                                                
Number 2269                                                                                                                     
                                                                                                                                
REPRESENTATIVE  STEVENS asked  Representative  Lancaster who  the                                                               
enforcement people are and how the funds get to them.                                                                           
                                                                                                                                
REPRESENTATIVE LANCASTER replied with the following:                                                                            
                                                                                                                                
     I believe  Representative Scalzi  and myself  have both                                                                    
     had  discussions with  the department  down there,  and                                                                    
     I'm sure  these two gentlemen  would just love  to talk                                                                    
     about  it.    But,  we  couldn't  direct  it,  I  don't                                                                    
     believe, to  enforcement; we could direct  it somewhat,                                                                    
     by going back to the  department for the sanitation and                                                                    
     access  facilities, which  I talked  to.   But we  have                                                                    
     talked to Mr. Fox down  there, and there's a custodial-                                                                    
     type person that  they can hire for ... up  to 30 days,                                                                    
     I  believe,  to  help  monitor   this  fishery.    They                                                                    
     couldn't  write tickets,  but they  could help  enforce                                                                    
     how  many fish  were  taken [and]  whether people  were                                                                    
     [degrading]  the property,  accessing  it legally,  and                                                                    
     that type of  thing.  So I don't think  we could direct                                                                    
     it to enforcement.                                                                                                         
                                                                                                                                
Number 2201                                                                                                                     
                                                                                                                                
REPRESENTATIVE  McGUIRE noted  that  it appeared  that Kenai  was                                                               
envisioning that  the $150,000 generated would  go exclusively to                                                               
projects such as the dock area,  new launch ramps, and a new dock                                                               
access road.   She  stated that  the City of  Kenai had  passed a                                                               
resolution [in  committee packets]  with the intent  of executing                                                               
those projects and  expected to recoup the cost in  the next five                                                               
years.   Conversely,  she noted  that [ADF&G]  wants the  fee [to                                                               
cover the  cost of] temporary  enforcement officers and  the cost                                                               
of cleanup.  She asked for clarification.                                                                                       
                                                                                                                                
REPRESENTATIVE  LANCASTER responded  that the  City of  Kenai has                                                               
spent approximately $200,000 on  a paved parking area, barricades                                                               
and parking attendants.   He said they  have raised approximately                                                               
$15,000 for the  last two years by charging $5  "apiece" to park.                                                               
He  clarified that  regarding  the  projects that  Representative                                                               
McGuire  mentioned, [the  City of  Kenai] has  requested $900,000                                                               
from the State  of Alaska, which "is in our  capital budget up on                                                               
the fifth  floor."  He  added, "So  they aren't intending  to get                                                               
any money, I don't believe, from this."                                                                                         
                                                                                                                                
Number 2112                                                                                                                     
                                                                                                                                
REPRESENTATIVE  McGUIRE  paraphrased a  portion  of  the City  of                                                               
Kenai's resolution,  which read as follows  [original punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     WHEREAS, there  is an estimated 15,000  dip net permits                                                                    
     issued  each  year; and  therefore,  a  $10 permit  fee                                                                    
     would increase State  revenue by approximately $150,000                                                                    
     per year; and,                                                                                                             
                                                                                                                                
     WHEREAS,  it would  take the  State only  six years  of                                                                    
     $150,000/year  permit revenues  to recoup  the $900,000                                                                    
     capital costs that  are needed for the  dip net fishery                                                                    
     project listed above.                                                                                                      
                                                                                                                                
REPRESENTATIVE  LANCASTER replied  that he  could not  respond to                                                               
that, but added, "They aren't going to get the money."                                                                          
                                                                                                                                
REPRESENTATIVE McGUIRE stated  that her point was  that [the City                                                               
of Kenai]  thought it  was [going  to get the  money].   She said                                                               
[Kenai]  was using  the permit  revenues to  justify its  grants.                                                               
She asked  Representative Lancaster to  confirm that a  person is                                                               
required to  have a sport fishing  license in order to  get a dip                                                               
net permit.                                                                                                                     
                                                                                                                                
REPRESENTATIVE LANCASTER replied, "You are today."                                                                              
                                                                                                                                
REPRESENTATIVE  McGUIRE  resumed,  asking,  "If the  goal  is  to                                                               
target those  abusers -  the nonresidents and  the folks  who are                                                               
taking  more than  25 fish  - are  we penalizing  the law-abiding                                                               
residents of  Alaska to build the  new dock?"  She  mentioned her                                                               
concern as a sport  fisher of having to pay a  $5 parking fee and                                                               
then another $10 fee in addition to cost of her sport license.                                                                  
                                                                                                                                
REPRESENTATIVE LANCASTER responded that  [Co-Chair Scalzi] has an                                                               
amendment  proposed  that would  rescind  the  requirement for  a                                                               
sport fishing license.   He stated that it was  not his intention                                                               
to keep people off of the property  in Kenai.  He said, "They can                                                               
either pay or  not pay, and go  fish in Kenai, or they  can go to                                                               
the south side of  the river, or they can fish  from the boat and                                                               
not have to pay extra  fees by local municipalities, or whatever.                                                               
So it would only have the one fee."                                                                                             
                                                                                                                                
REPRESENTATIVE McGUIRE stated that  she thought the amendment was                                                               
fine, but said it  would be hard to find many  people who want to                                                               
dip net fish who don't already have a sport fishing license.                                                                    
                                                                                                                                
Number 1978                                                                                                                     
                                                                                                                                
REPRESENTATIVE FATE  asked if the  [Kenai Peninsula]  Borough had                                                               
explored any other  method by which money could  be raised, other                                                               
than  from the  $10 dip  net  fee.   He stated  his concern  over                                                               
whether  the fees  should go  into the  general fund,  especially                                                               
since that  is where the Chitina  fees go.  He  said that [ADF&G]                                                               
has some  fees for the  dip net  fishery going into  [the general                                                               
fund], while others  aren't.  Representative Fate  stated that he                                                               
still worries  about whether  it's going  to be  contested, where                                                               
that money should go, and what's going to happen to this law.                                                                   
                                                                                                                                
Number 1925                                                                                                                     
                                                                                                                                
CO-CHAIR SCALZI pointed out that he  had been the president and a                                                               
member of the assembly for  the Kenai Peninsula Borough, and that                                                               
Representative Lancaster had  been the mayor of  Soldotna; at the                                                               
time,  they  could  not  implement  a  fee  to  charge  admission                                                               
anywhere other  than on  borough lands.   He  stated most  of the                                                               
fees  at Chitina  go  to the  private landowners.    He said  the                                                               
[Kenai  Peninsula] Borough  has no  capabilities of  offering any                                                               
type of  fee that would pay  for "those services."   He suggested                                                               
Representative  Lancaster could  speak to  the municipalities  of                                                               
Soldotna and Kenai.                                                                                                             
                                                                                                                                
Number 1883                                                                                                                     
                                                                                                                                
REPRESENTATIVE  LANCASTER  stated  that   the  primary  issue  he                                                               
personally  envisioned  dealing  with   was  the  degradation  of                                                               
private  property rights.   He  also said  the biggest  issue has                                                               
been where the  $10 goes.  He added he  had not developed another                                                               
way to raise the money.                                                                                                         
                                                                                                                                
Number 1842                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GREEN asked:   If  a person  "puts in"  upstream,                                                               
comes down  in a  boat, and  dip nets from  the boat,  would that                                                               
person also  have to pay  the $10,  even though he/she  would not                                                               
step on land and degrade the private property?                                                                                  
                                                                                                                                
REPRESENTATIVE LANCASTER answered yes.                                                                                          
                                                                                                                                
Number 1813                                                                                                                     
                                                                                                                                
CO-CHAIR SCALZI stated that his  concern in supporting [the bill]                                                               
was  that  the  accountability  to the  resource  was  not  being                                                               
readily  established by  offering  up  a free  permit.   He  said                                                               
vendors  don't  earn  any  money  out  of  having  this  booklet;                                                               
consequently, they  leave the booklet  out, and people can  get a                                                               
permit without showing  ID to prove they're  residents of Alaska.                                                               
Co-Chair Scalzi  pointed out  that even though  people may  put a                                                               
boat in the  river, they are still using the  fishery and gaining                                                               
from the  benefit of  having a  healthy run of  salmon.   He said                                                               
Representative  Lancaster's  concern was  for  the  habitat.   He                                                               
concluded, "I believe that we  still have to manage our fisheries                                                               
with  accountability at  some time,  and  I think  $10 is  pretty                                                               
cheap."                                                                                                                         
                                                                                                                                
Number 1740                                                                                                                     
                                                                                                                                
REPRESENTATIVE CHENAULT asked if the only  place to get a dip net                                                               
permit is at ADF&G.                                                                                                             
                                                                                                                                
CO-CHAIR  SCALZI  responded  no,  the vendors  who  sell  fishing                                                               
licenses also provide dip net permits.                                                                                          
                                                                                                                                
REPRESENTATIVE CHENAULT  admitted it had  been a couple  of years                                                               
since he  [bought a dip  net permit], and  he got it  from ADF&G,                                                               
which is how he said it should be.                                                                                              
                                                                                                                                
Number 1698                                                                                                                     
                                                                                                                                
REPRESENTATIVE LANCASTER  said there  is a  handful of  people on                                                               
boats who  are "not hurting  anybody," whereas the people  on the                                                               
beaches are tearing them up, particularly  on the south side.  He                                                               
specified  that the  south  side of  the Kasilof  is  owned by  a                                                               
Native  corporation, and  the  use  of four-wheel-drive  vehicles                                                               
there   is  degrading   the  land.     Representative   Lancaster                                                               
summarized that the majority of dip  net fishing done in the area                                                               
is done from the beach.                                                                                                         
                                                                                                                                
Number 1653                                                                                                                     
                                                                                                                                
REPRESENTATIVE STEVENS asked  if the vendors are  willing to sell                                                               
the  dip net  licenses, which  cost only  $10, when  there is  no                                                               
great gain to be had by them in doing so.                                                                                       
                                                                                                                                
Number 1637                                                                                                                     
                                                                                                                                
MR.  HEPLER outlined  how  the [dip  net]  permit sales  operate:                                                               
[ADF&G] pays the vendor $1 for  each license that it issues and 5                                                               
percent of the total take.                                                                                                      
                                                                                                                                
Number 1599                                                                                                                     
                                                                                                                                
REPRESENTATIVE  CHENAULT  asked  if   those  purchasing  dip  net                                                               
permits were being asked to show identification.                                                                                
                                                                                                                                
Number 1570                                                                                                                     
                                                                                                                                
MR.  HEPLER described  the extra  steps  [the representatives  of                                                               
ADF&G]  take  when handing  out  the  [dip  net] permits  to  the                                                               
vendors each year:   they provide a packet  [of information] with                                                               
the permits;  they speak  personally with  the vendors;  and they                                                               
advertise  through radio  and television.   He  noted that  ADF&G                                                               
used  to  issue  the  permits  from its  office,  which  was  "an                                                               
incredible headache  for the  members of  the public,  because we                                                               
weren't set  up to deal  with thousands  of people."   Mr. Hepler                                                               
said  that, to  some degree,  trust and  honesty come  into play;                                                               
without  checking  every transaction,  ADF&G  must  trust that  a                                                               
person's  residency will  be checked.   Mr.  Hepler said  for the                                                               
most part,  the vendors work very  closely with ADF&G.   He noted                                                               
one exception last  year, when Fred Meyer placed  the permits out                                                               
where  anyone  could  pick  one   up;  however,  that  issue  was                                                               
resolved.                                                                                                                       
                                                                                                                                
Number 1495                                                                                                                     
                                                                                                                                
REPRESENTATIVE McGUIRE  asked if there  was some manner  by which                                                               
[the legislature] could  clarify what it would  hope might happen                                                               
to the funds, even though it  could not designate the funds.  She                                                               
stated  her assumption  there was  nothing implied  in the  bill,                                                               
should it  pass, that would allow  ADF&G to raise the  fee beyond                                                               
$10 without the express permission of the legislature.                                                                          
                                                                                                                                
Number 1452                                                                                                                     
                                                                                                                                
REPRESENTATIVE  LANCASTER explained  the reason  the language  of                                                               
the bill was changed to the  CS before the committee today was so                                                               
the money  could go to  ADF&G, which could  choose to do  what it                                                               
wished with it.  "And we  had the intent language in there before                                                               
and that's  what we took  out to  satisfy the department  so they                                                               
could use  it," he added.   He referred  Representative McGuire's                                                               
question regarding raising the fee to Mr. Hepler.                                                                               
                                                                                                                                
Number 1432                                                                                                                     
                                                                                                                                
MR. HEPLER  stated that the  language "$10" would be  in statute;                                                               
therefore, ADF&G  would not have  the authority to raise  that on                                                               
its  own.    He  added  that  he would  not  want  to  have  that                                                               
authority.                                                                                                                      
                                                                                                                                
Number 1413                                                                                                                     
                                                                                                                                
DALE  BONDURANT, testifying  via teleconference,  stated that  if                                                               
the  fees the  bill  would  impose were  an  attempt to  restrict                                                               
public access to a personal use  dip net fishery, he would oppose                                                               
HB  93.   He told  the committee  he supported  monies needed  to                                                               
enforce the protection of the  habitat, resources, private lands,                                                               
and bag  limits.  Mr.  Bondurant pointed out that  personal users                                                               
"are supporting  the management  of these  resources to  at least                                                               
$13.6 million  in federal  excise taxes,  $3 million  in resident                                                               
fees, and  over $7 million  in nonresident license incomes."   He                                                               
stated  his  belief that  the  fact  that  personal use  dip  net                                                               
fisheries were closed to residents  was a direct violation of the                                                               
U.S. Constitution.   Mr. Bondurant stated  that nonresidents have                                                               
the right to  the same privileges and immunities  as residents of                                                               
other states.   He mentioned  that the Carlson decision  cost the                                                             
state approximately $30 million,  and that national organizations                                                               
are  preparing to  sue the  state on  this issue,  which he  said                                                               
could  cost the  state $20  million a  year.   He encouraged  the                                                               
legislators  to  examine  the   issue  of  denying  nonresidents,                                                               
because he said it is unconstitutional.                                                                                         
                                                                                                                                
Number 1261                                                                                                                     
                                                                                                                                
CO-CHAIR SCALZI acknowledged that Mr.  Bondurant made a very good                                                               
point upon  a subject  that had  not been  addressed.   He stated                                                               
that the  committee was familiar  with the Carlson case  and that                                                             
Representative  Stevens  was  working   on  a  bill  that  would,                                                               
hopefully, "remedy that in the future."                                                                                         
                                                                                                                                
Number 1245                                                                                                                     
                                                                                                                                
HERMAN  FANDEL,  testifying   via  teleconference,  prefaced  his                                                               
testimony by  stating that Soldotna is  not in the dip  net area.                                                               
He asked the  committee if the amendment before  them resulted as                                                               
a response to the opposition to HB 93.                                                                                          
                                                                                                                                
CO-CHAIR SCALZI answered  yes, that as a result  of discussion in                                                               
the  House Special  Committee on  Fisheries, the  House Resources                                                               
Standing  Committee,  and  on public  radio,  the  amendment  was                                                               
conceived  to  address the  concerns  heard  by himself,  Senator                                                               
Torgerson,  and  Representative  Lancaster.    Specifically,  the                                                               
amendment would make  it possible for those who want  only to dip                                                               
net not to have  to buy a fishing license in  addition to the dip                                                               
net permit.                                                                                                                     
                                                                                                                                
MR.  FANDEL  continued  his  testimony.   He  stated  his  strong                                                               
opposition to  HB 93 for  the following  reasons:  The  bill will                                                               
force  Alaskan  residents to  pay  additional  money to  dip  net                                                               
salmon from the Kenai and  Kasilof Rivers for their personal use;                                                               
sport  fishermen  will be  forced  to  pay more  than  commercial                                                               
fishermen, with  no comparison of  the amount of fish  taken; the                                                               
bill will lose money for the State  of Alaska in the long run and                                                               
will not raise enough money for  the policing of it; and Alaskans                                                               
who cannot afford the permit will be limited.                                                                                   
                                                                                                                                
MR.  FANDEL said  the banks  under consideration  are a  wet area                                                               
with  very little  habitat  that get  wet  periodically from  the                                                               
tides coming in  and out; the muddy footprints  from foot traffic                                                               
will just  disappear with the next  tide.  He told  the committee                                                               
members, if  there is a  "bank" or trespass problem,  they should                                                               
consider  allowing  dip netting  only  from  boats.   Mr.  Fandel                                                               
stated that  HB 93  is a  product of  commercial fishing  and its                                                               
supporters  who penalize  only the  sport fishermen  and Alaskans                                                               
who want to catch "their" fish  without having to buy them with a                                                               
permit.  He concluded by  agreeing with Mr. Bondurant's statement                                                               
regarding  the unconstitutional  act of  prohibiting nonresidents                                                               
[from dip netting]  and the cost to the state  for taking such an                                                               
action.                                                                                                                         
                                                                                                                                
Number 0873                                                                                                                     
                                                                                                                                
IRENE  FANDEL, testifying  via teleconference,  asked if  the $10                                                               
fee would cover the whole family.                                                                                               
                                                                                                                                
CO-CHAIR SCALZI answered yes.                                                                                                   
                                                                                                                                
MS. FANDEL  stated that dip  netting has been  a way of  life for                                                               
her family for over 30 years and  is a good way for many Alaskans                                                               
to put  food on the  table.  She  expressed concern that  [HB 93]                                                               
was just  the first  step toward more  regulations and  more fees                                                               
"down  the road."    Ms. Fandel  told the  committee  that HB  93                                                               
should not be passed.                                                                                                           
                                                                                                                                
Number 0795                                                                                                                     
                                                                                                                                
PAUL  SHADURA, Kenai  Peninsula  Fishermen's Association  (KPFA),                                                               
testifying  via  teleconference, stated  that  he  comes from  "a                                                               
hundred-year  resident of  the Kenai  Peninsula" and  catches and                                                               
uses salmon in every possible way.   He said, "You might say that                                                               
I'm  a  full, hundred-percent  subsistence  user."   Mr.  Shadura                                                               
asked the  committee for  its support of  the $10  management fee                                                               
for the  Kenai and  Kasilof dip  net fisheries.   He  stated that                                                               
serious  social and  environmental  problems  have occurred  from                                                               
"the disorderly prosecution of this personal use fishery."                                                                      
                                                                                                                                
MR. SHADURA continued to read his testimony as follows:                                                                         
                                                                                                                                
     Fish  and  Wildlife  Protection   stated  at  a  recent                                                                    
     Kenai/Soldotna Fish and Game  advisory meeting, that at                                                                    
     any time they  arrive on scene, at  either personal use                                                                    
     fishery,  it is  very easy  to write  violations.   The                                                                    
     City of Kenai must hire  an officer just for the summer                                                                    
     months to manage  the social problem at  the Kenai dock                                                                    
     boat  launch.    The  city  has  requested  substantial                                                                    
     amounts to  cover the cost  of managing  the logistical                                                                    
     nightmare.                                                                                                                 
                                                                                                                                
MR.  SHADURA mentioned  the damage  to the  south shore  riparian                                                               
habitat,  on  both  the  Kenai  and  Kasilof  Rivers.    He  said                                                               
destruction  to  the  primary grasslands  and  sand  dunes  still                                                               
continue due  to the lack of  enforcement.  The $10  sport dipnet                                                               
license, established in a  receipt-supported services fund, would                                                               
allow different  managing entities a mechanism  to request funds.                                                               
Monitoring  of the  fishery could  be accomplished  by the  ADF&G                                                               
temporary  technicians, at  an estimated  cost of  $5,000-6,000 a                                                               
person.    These  monitors  could  enumerate  the  catch,  verify                                                               
permits and  identification, and issue compliance  forms to those                                                               
who may  not understand the rules.   He stated his  belief that a                                                               
physical  presence   will  alleviate  many  of   the  enforcement                                                               
problems that are apparent at present.                                                                                          
                                                                                                                                
MR. SHADURA  voiced his concern  that the fifteen  percent vendor                                                               
fee in  the fiscal  note is  a little  high.   He suggested  a "5                                                               
percent  fee  on a  $10  fee"  would  be  more realistic  to  the                                                               
vendors.  He pointed out that  some [personal use] fishers in his                                                               
community don't  sport fish  and don't feel  that they  should be                                                               
forced to  pay for other users'  activities.  He closed  with the                                                               
following:                                                                                                                      
                                                                                                                                
     In conclusion,  this is  a good  bill that  attempts to                                                                    
     deal  with   a  real  problem.     Please  support  our                                                                    
     protection officers,  our department of fish  and game,                                                                    
     and  our precious  critical habitat  estuaries for  the                                                                    
     Kenai and Kasilof Rivers.  Thank you for the time.                                                                       
                                                                                                                                
Number 0559                                                                                                                     
                                                                                                                                
BOB  MERCHANT,  United  Cook  Inlet  Drift  Association  (UCIDA),                                                               
testified via teleconference on behalf  of UCIDA in support of HB
93.   He explained that  UCIDA's original  concern was to  put to                                                               
rest the  "numerous rumors  and evidence  of abuses"  within this                                                               
fishery.   He stated that  UCIDA has  been told that  the nominal                                                               
fee will support the monitoring of  this fishery, as well as deal                                                               
with human issues  caused by so many people  congregating in such                                                               
a small area  - things such as access,  trespassing, and disposal                                                               
of human waste and trash.                                                                                                       
                                                                                                                                
MR. MERCHANT  said UCIDA  also believes  that, should  a resident                                                               
choose  only to  dip net,  then that  person should  not have  to                                                               
possess a  sport fishing license;  therefore, UCIDA  supports the                                                               
amendment to accomplish that.                                                                                                   
                                                                                                                                
Number 0480                                                                                                                     
                                                                                                                                
ROD ARNO  testified via  teleconference in  opposition to  HB 93.                                                               
He  mentioned  his  present and  past  participation  in  ADF&G's                                                               
capital budget process;  he indicated "under that"  there are two                                                               
agencies  through  which to  address  the  issues of  access  and                                                               
facilities:  [Division of Sport  Fish] and [Division of Habitat].                                                               
Mr. Arno stated  that HB 93 sets a bad  precedent by giving money                                                               
to correct  a problem  in one district  when there  are "numerous                                                               
stream crossings"  that need facilities  in other districts.   He                                                               
mentioned previous testimony of  Mr. Bondurant regarding a "pool"                                                               
of $26  million that's  available for these  projects.   He said,                                                               
"But if we have to go  through legislation, as this bill does, as                                                               
well as  go through  the capital budget  process, that  will make                                                               
the legislative period go that much longer."                                                                                    
                                                                                                                                
Number 0310                                                                                                                     
                                                                                                                                
BYRON  HALEY, President,  Chitina  Dipnetters Association  (CDA),                                                               
testified via  teleconference on behalf  of CDA in  opposition to                                                               
HB 93.  A 50-year resident  of Fairbanks, he stated that personal                                                               
use  fishermen are  required  to have  a  sport fishing  license,                                                               
"which is  all that  is needed  to harvest  this resource."   Mr.                                                               
Haley continued, as follows:                                                                                                    
                                                                                                                                
     [Regarding]  the fee  that the  Chitina dipnetters  pay                                                                    
     for access  across Native  lands to  get to  the Copper                                                                    
     River  in  ...  some  places,  the  Chitina  Dipnetters                                                                    
     Association requested the legislature  to put a $10 fee                                                                    
     on dipnetting  at Chitina, to  be used for  [an] access                                                                    
     fee, or  Native corporation  land to the  Copper River,                                                                    
     at  Chitina, between  the bridge  and Haley  Creek, and                                                                    
     some places.                                                                                                               
                                                                                                                                
     The  last year  we supported  it  to be  raised to  $25                                                                    
     after a negotiation with  the Native corporation [that]                                                                    
     wanted more  money to trespass  on [its] land.   Before                                                                    
     there was  a fee for  dipnetting at Chitina, we  had to                                                                    
     go  to the  legislature and  the governor  for trespass                                                                    
     money,  and it  was harder  every year  to get  what we                                                                    
     needed.   I do not  recall for  sure when we  asked for                                                                    
     the $10  fee, but I  think it  was after we  had gotten                                                                    
     money from the state for three years.                                                                                      
                                                                                                                                
     There is no  access problem at Kenai  or Kasilof River,                                                                    
     and no  fee is  needed for the  fisheries, as  they are                                                                    
     regulated by [ADF&G Division of  Sport Fish] and sports                                                                    
     fishing license.   [That's all the] fee  that is needed                                                                    
     to dip  for the  salmon at these  rivers, or  any other                                                                    
     river,  without  a   trespass  problem  for  dipnetting                                                                    
     (indisc.) for salmon.   If there was  no access problem                                                                    
     at Chitina,  there would be  no permit for  fee charged                                                                    
     (indisc.).   The  Chitina Dipnetters  Association would                                                                    
     not  have asked  ... for  a fee  for [the]  salmon [dip                                                                    
     net] fishery.   We supported  a fee at  Chitina because                                                                    
     the  dipnetters who  use the  resources  wanted to  pay                                                                    
     their own  way and not have  the rest of the  people of                                                                    
     the state, [who are] not  using the fishery, to have to                                                                    
     pay for access of this dip net fishery for salmon.                                                                         
                                                                                                                                
     We  do  not  support  the  amendment  to  delete  sport                                                                    
     fishing licenses.  Thank you.                                                                                              
                                                                                                                                
Number 0069                                                                                                                     
                                                                                                                                
CERENE  PAUL,  Member,   Chitina  Dipnetters  Association  (CDA),                                                               
testified via teleconference  in opposition to HB 93.   He stated                                                               
that the bill  is strictly an additional fee.   He said, "We keep                                                               
getting more and more of them and  wind up with less and less for                                                               
our money."   Mr.  Paul conjectured that  residents down  in [the                                                               
Kenai] area  might not  want to  fish there  at all,  but instead                                                               
would go  to Chitina.  He  explained that the fee  that [the CDA]                                                               
asked for  was set up  strictly for sanitation and  access across                                                               
Native land.                                                                                                                    
                                                                                                                                
TAPE 01-23, SIDE A                                                                                                              
Number 0001                                                                                                                     
                                                                                                                                
MR. PAUL concluded by restating his opposition.                                                                                 
                                                                                                                                
Number 0030                                                                                                                     
                                                                                                                                
DICK BISHOP  testified via  teleconference on  his own  behalf in                                                               
opposition  to  HB  93.     Mr.  Bishop  told  the  committee  he                                                               
questioned the  purpose of  the bill when  it was  submitted, and                                                               
said  the amendment  offered today  increases his  uncertainty of                                                               
its  purpose  since eliminating  the  requirement  for the  sport                                                               
fishing license would  reduce the revenue from this  fishery.  He                                                               
pointed  out   that  this  contradicts  the   sponsor's  original                                                               
intention of  generating more funds to  address various concerns.                                                               
Subsequently, that contradiction suggests  that HB 93 isn't about                                                               
funding at all.                                                                                                                 
                                                                                                                                
MR.  BISHOP stated  that whatever  the rationale,  he opposes  an                                                               
additional fee on the fishery,  because it unnecessarily places a                                                               
burden on  individuals and family  fishers who are  simply trying                                                               
to gather food for  the table.  He said on  the Kenai and Kasilof                                                               
Rivers  it is  called "personal  use fishing,"  whereas in  other                                                               
parts of  the state it is  called "subsistence," as it  is now at                                                               
Chitina.   Mr. Bishop noted that  a dip net fishery  is usually a                                                               
relatively economical way to gather  high-quality, wild food.  He                                                               
said,  "Additional fees  tend  to work  against  those who  could                                                               
benefit  most by  an economical  fishery."   He stated  that when                                                               
money  is  needed, the  [ADF&G  Division  of  Sport Fish]  has  a                                                               
mechanism for  applying state  and federal  aid funds  to provide                                                               
access for fishers.                                                                                                             
                                                                                                                                
Number 0201                                                                                                                     
                                                                                                                                
DICK BURLEY  testified on  his own  behalf via  teleconference in                                                               
opposition to HB  93.  He stated  that he had heard  it said that                                                               
people  who  dipnet will  not  have  to  buy a  fishing  license;                                                               
therefore, it will  not be a burden for them,  because the fee is                                                               
$10, as  opposed to a $15  resident fishing license.   Mr. Burley                                                               
pointed  out that,  in fact,  most  people who  dipnet will  also                                                               
sport  fish; therefore,  he said  he did  not know  how "you  can                                                               
cover up  the fact that  they won't have  to buy a  sport fishing                                                               
license."    He  agreed  with previous  testimony  regarding  the                                                               
habitat problem  existing "down  at the mouth  on the  dunes" and                                                               
the comment that the incoming tides  flush that area twice a day.                                                               
He suggested that if [the $10] is  a fee that is being raised for                                                               
[restoration of] habitat,  [the legislature] should put  a fee on                                                               
the  commercially caught  salmon  and use  that  fee for  habitat                                                               
enhancement.  Mr. Burley said,  "You can't overlook the fact that                                                               
habitat  is important,  if  you're going  to  maintain a  viable,                                                               
commercial  fishery; but,  for  a personal  use  fishery such  as                                                               
this,  I  don't think  Alaskans  should  be  required to  pay  an                                                               
additional fee, over and above their sport fishing license."                                                                    
                                                                                                                                
Number 0400                                                                                                                     
                                                                                                                                
CARL ROSIER, testifying  on behalf of the  Alaska Outdoor Council                                                               
(AOC),  told   the  committee  the   AOC  completed   its  annual                                                               
membership  meeting  yesterday,  and   the  21  "clubs"  present,                                                               
including   the   Kenai   Peninsula  chapter   of   Safari   Club                                                               
International, voted unanimously to oppose HB 93.                                                                               
                                                                                                                                
MR. ROSIER stated  that the personal use  fisheries are conducted                                                               
on a common  property resource, and regulations  require that, in                                                               
order to  participate, the fisherman  must be a resident  who has                                                               
obtained  a $15  sport fishing  license.   He told  the committee                                                               
that  the amendment  before them  today confused  him; he  stated                                                               
that he assumed [the committee]  was, in fact, dropping the sport                                                               
fishing  license  requirement for  a  person  who would  only  be                                                               
dipnetting.   He  added that  it seemed  to him  that it  was not                                                               
clear whether  the requirements  would call  for a  single permit                                                               
per family; he encouraged the committee to look at that.                                                                        
                                                                                                                                
MR. ROSIER  said that, assuming the  state would step in  on what                                                               
he sees as a local issue, it is  not clear how the money would be                                                               
used or  distributed back  to the  government entities  "to carry                                                               
out a  directed program."   He stated his belief  that earmarking                                                               
of state funds is prohibited.                                                                                                   
                                                                                                                                
MR.  ROSIER pointed  out that  the  resources on  [the Kenai  and                                                               
Kasilof Rivers]  are not threatened;  the Board of  Fisheries has                                                               
found the  fish stocks to be  quite sustainable.  He  said, "With                                                               
all  due respect  to the  sponsor,  we believe  that this  entire                                                               
issue is  another of  the famous Cook  Inlet battles  over access                                                               
and sharing of the salmon resource."   He stated that some strong                                                               
accusations have been made about  the habitat degradation done by                                                               
the  dip net  participants,  and reiterated  that  ADF&G had  not                                                               
found significant degradation  about which to be  concerned.  Mr.                                                               
Rosier concluded by saying:                                                                                                     
                                                                                                                                
     Indeed,  when  one  considers the  commercial  activity                                                                    
     that  takes place  on the  beaches, in  both directions                                                                    
     from the  river mouth,  and use of  the lower  river by                                                                    
     the  driftnet fleet  and their  entry and  departure at                                                                    
     'full bore,'  we may have  a larger problem  than [that                                                                    
     which is] presented by the dip net fishery.                                                                                
                                                                                                                                
Number 0640                                                                                                                     
                                                                                                                                
MR. HEPLER  came forward  again to  give his  prepared testimony.                                                               
He stated that [ADF&G] recognizes  the proposed fee increase as a                                                               
public  policy  call, which  is  well  within  the realm  of  the                                                               
legislature.    Mr.  Hepler  said  the  [Knowles  Administration]                                                               
strongly  supports  the  opportunity  for  Alaskan  families  [to                                                               
participate  in a  personal  use  fishery].   He  stated that  he                                                               
agreed with  the comments  that Mr. Rosier  just made,  that this                                                               
fishery is  clearly sustainable.   The  board certainly  has made                                                               
that possible.                                                                                                                  
                                                                                                                                
MR. HEPLER emphasized that he  wanted to make it explicitly clear                                                               
that there  are no habitat  concerns down  on "this" part  of the                                                               
river.   In response to  one habitat  concern that the  Board [of                                                               
Fisheries]  did have  "two seasons  ago," he  said they  closed a                                                               
section of river on the north side of Kenai River.                                                                              
                                                                                                                                
MR.  HEPLER stated  that  accountability is  one  issue on  which                                                               
reasonable people  disagree.  He  said he believes there  is very                                                               
good  accountability in  this fishery,  for the  numbers of  fish                                                               
being taken;  he bases  that belief  on the  fact that  he helped                                                               
design this  permit system  and, moreover,  because "we  get very                                                               
good compliance  with people  turning our permits  back in."   He                                                               
added  that [the  department] follows  up two  or three  times by                                                               
phone if people haven't turned their permits back in.                                                                           
                                                                                                                                
MR.  HEPLER told  the  committee that  enforcement  is a  general                                                               
issue.  He  said he would certainly like to  see more enforcement                                                               
in this fishery, as well as in any other fishery in the state.                                                                  
                                                                                                                                
MR. HEPLER discussed  the topic of sanitation.  He  said a couple                                                               
of years  ago, [ADF&G] was putting  money into this fishery.   He                                                               
mentioned  internal budget  cuts  [caused by  federal aid  cuts],                                                               
which resulted  in the  restriction of the  number of  funds that                                                               
were put  in this fishery.   Mr. Hepler  said that is  a concern.                                                               
He  stated  his longstanding  hope  that  [ADF&G] would  work  in                                                               
closer partnership  with the  City of Kenai  to ensure  that when                                                               
people  do access  the fishery,  at  least from  the north  side,                                                               
there would  be an  adequate fee  raised that  would pay  for the                                                               
attendant, trash pickup, and Port-A-Potties.                                                                                    
                                                                                                                                
Number 0849                                                                                                                     
                                                                                                                                
CO-CHAIR SCALZI  asked Mr.  Hepler to clarify  what he  based his                                                               
statement on concerning accountability in the fishery.                                                                          
                                                                                                                                
MR. HEPLER  answered that [ADF&G]  has its area  management staff                                                               
that checks  people's eligibility twice  a week; last  year, five                                                               
violations  were issued,  but that  was because  people "are  not                                                               
recording."     He  said  the  department   doesn't  check  every                                                               
individual's  identification  because  it  is  not  conducting  a                                                               
census;  however,  it  is  "comfortable" with  how  it  uses  the                                                               
information gathered  in regard to sustainable  fisheries and the                                                               
[Board of Fisheries].                                                                                                           
                                                                                                                                
Number 0922                                                                                                                     
                                                                                                                                
REPRESENTATIVE  STEVENS  asked  Mr.  Hepler  to  comment  on  the                                                               
question  of constitutionality.   He  also inquired  if the  one-                                                               
permit-per-family rule would remain unchanged with [Version C].                                                                 
                                                                                                                                
MR.  HEPLER responded  that  Representative  Stevens was  correct                                                               
regarding  the   one-permit-per-family  rule.     Concerning  the                                                               
constitutionality of the bill, he  stated that he would feel more                                                               
comfortable  if the  attorney general  were given  the chance  to                                                               
comment  on  that.    He   added  that,  currently,  "it's  under                                                               
regulation" and  the Board of  Fisheries has not  been challenged                                                               
in that regard.                                                                                                                 
                                                                                                                                
Number 1008                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI  commented  that   the  difference  between  the                                                               
Carlson case  and the dip  net fishery  discussed in the  bill is                                                             
that  the  former  deals  with commerce,  while  the  latter,  he                                                               
surmised,   is  a   state   properties   issue;  therefore,   the                                                               
legislature can impose a higher fee for nonresidents.                                                                           
                                                                                                                                
Number 1085                                                                                                                     
                                                                                                                                
REPRESENTATIVE McGUIRE made  a motion to adopt  Amendment 1 [text                                                               
provided previously] for purposes of discussion.                                                                                
                                                                                                                                
Number 1093                                                                                                                     
                                                                                                                                
CO-CHAIR SCALZI  restated that the  issue heard  during testimony                                                               
that people who paid for a  sport fishing license did not want to                                                               
pay an additional fee for a dip  net permit.  He pointed out that                                                               
people gladly  pay an additional  fee for a salmon  stamp because                                                               
the money pays  for "habitat or services  regarding king salmon."                                                               
He said  the dip net  fishery was  relatively new and  there were                                                               
both habitat  and monitoring  concerns to  address.   He recapped                                                               
that  Mr.  Hepler  had  said  he  thinks  the  fishery  is  being                                                               
adequately    reinforced,    while   others    think    increased                                                               
accountability is necessary.                                                                                                    
                                                                                                                                
CO-CHAIR SCALZI  stated that his rationale  in creating Amendment                                                               
1 was to change the bill so  that those who are dipnetting to put                                                               
food on the table  - but not sport fishing - will  only pay for a                                                               
dipnetting  permit  and  not  be  charged  for  a  sport  fishing                                                               
license.  In  response to a question by  Representative Fate, Co-                                                               
Chair Scalzi  said that the  revenue to the state  would decrease                                                               
by not requiring people to  purchase a sport fishing license when                                                               
all they wanted was a dip net permit.                                                                                           
                                                                                                                                
CO-CHAIR  SCALZI  mentioned  that  Representative  McGuire's  own                                                               
proposed  amendment  would  mean  an  even  greater  decrease  in                                                               
revenue to  the state, and  said it is  up to the  legislature to                                                               
draw the  line when  deciding how much  revenue will  be affected                                                               
because  of legislation  passed.   That amendment,  later labeled                                                               
Amendment 2, after it was amended, read:                                                                                        
                                                                                                                                
     ADD:                                                                                                                     
                                                                                                                              
     Line 5,                                                                                                                  
               (25)A sport fish license is not required to                                                                      
     purchase the dip net permit, but if applicant shows proof                                                                  
     of a resident sport fish license, the fee is waived.                                                                       
                                                                                                                                
Number 1249                                                                                                                     
                                                                                                                                
REPRESENTATIVE  FATE said  he is  still worried  about [how  fees                                                               
will  be applied]  to the  fish and  game fund.   He  stated that                                                               
there is statutory  language regarding "where license  fees go in                                                               
that fund" and how that fund  is to be used.  Representative Fate                                                               
pointed out that  by dropping the [requirement  for] the license,                                                               
thereby  decreasing money  that would  have gone  into the  state                                                               
fund, and by collecting a fee  for dip net permits, which may not                                                               
go into the fund,  a "double hit" is taken on the  fund.  He said                                                               
he has received  no assurance from ADF&G that the  money from the                                                               
dip net  permits will, in  fact, go into  the fish and  game fund                                                               
and how, if it does, it will be spent.                                                                                          
                                                                                                                                
REPRESENTATIVE  FATE  explained  that  parts  of  the  funds  are                                                               
federal  funds: the  Pitman-Robertson funds  and the  "Rolfe (ph)                                                               
and Dingle" funds.  He said this  is a complex matter.  He stated                                                               
that he  understands that Kenai  needs money to do  some cleanup,                                                               
among  other  things;  however,  he  wants  to  be  sure  of  the                                                               
statutory law  before he would pass  the bill.  In  response to a                                                               
comment by  Co-Chair Scalzi, Representative Fate  said [Amendment                                                               
1] is directly  associated with what [money] does or  does not go                                                               
in the fund.                                                                                                                    
                                                                                                                                
Number 1403                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GREEN asked  Co-Chair  Scalzi how  he planned  to                                                               
address  both amendments,  which  he said  were  very similar  in                                                               
content.                                                                                                                        
                                                                                                                                
CO-CHAIR  SCALZI  responded  that  he   would  take  up  his  own                                                               
amendment  first,  then  Representative  McGuire's,  although  he                                                               
admitted  that would  be "a  little  conflicting"; the  committee                                                               
would  have  to  modify Representative  McGuire's  amendment  and                                                               
rescind his amendment.  He told  the committee he did not know of                                                               
a  mechanism to  take both  amendments up  at the  same time  for                                                               
discussion.                                                                                                                     
                                                                                                                                
Number 1467                                                                                                                     
                                                                                                                                
REPRESENTATIVE  McGUIRE  suggested  the committee  "take  up  the                                                               
concept"  in Co-Scalzi's  amendment,  then  delete any  redundant                                                               
language in her amendment; hence it would read as follows:                                                                      
                                                                                                                                
     ADD:                                                                                                                     
                                                                                                                                
     Line 5,                                                                                                                    
            (25), but if applicant shows proof of a                                                                             
     resident sport fishing license, the fee is waived.                                                                         
                                                                                                                                
Number 1500                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI expressed  his  appreciation for  Representative                                                               
McGuire's suggestion,  but stated that  he did not know  what the                                                               
fiscal [impact]  would be for both  amendments.  He said  he knew                                                               
his  amendment  "is already  detracting  quite  a bit"  from  the                                                               
funds,  and adopting  [Representative McGuire's]  amendment would                                                               
further lower  the amount of money  that the state would  be able                                                               
to collect.   He reiterated that it would be  up to the committee                                                               
to  decide  which amendment  would  be  best, even  though  their                                                               
decision  could  be  changed  when  it  reached  the  floor;  the                                                               
decision would  be an  important one  because the  committee will                                                               
probably  have heard  more  testimony than  anyone  else [on  the                                                               
House floor].                                                                                                                   
                                                                                                                                
Number 1557                                                                                                                     
                                                                                                                                
REPRESENTATIVE  McGUIRE stated  that  Alaska is  a unique  state;                                                               
Alaskans have  the luxury of  acquiring fishing licenses  and dip                                                               
net permits  and fishing to  feed their  families.  She  said she                                                               
liked Co-Chair  Scalzi's amendment,  because it offers  an option                                                               
for those  families who want  to dip  net only; however,  it does                                                               
not address the issue of those  who have bought a fishing license                                                               
[and don't want  to pay an additional fee for  a dip net permit].                                                               
She asked where the limit would  be on placing user fees, listing                                                               
several  different  areas  for  which a  fee  could  be  charged.                                                               
Representative McGuire stated for the  record that she also has a                                                               
concern  for the  habitat  and has  great  respect for  [Co-Chair                                                               
Scalzi]  and Representative  Lancaster;  she  is concerned  about                                                               
"the principle and the precedent we might be setting."                                                                          
                                                                                                                                
Number 1671                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI responded  that  he appreciated  that and  said,                                                               
"Philosophically, I think  that's what we need to  get out here."                                                               
He noted  that the members of  the fishery caucus had  had a good                                                               
discussion regarding  the receipts collected for  test fishing in                                                               
the commercial  industry.   He mentioned  evidence that  had been                                                               
produced, indicating  that a  high amount  of the  resource being                                                               
used to  run ADF&G, could,  arguably, come out of  general funds.                                                               
Co-Chair Scalzi stated that the  commercial fishermen are saying,                                                               
"You're taking quite  a chunk of this resource that  we should be                                                               
catching."  He  pointed out that the counter-argument  to that is                                                               
that the resource belongs to all [Alaskans].  He continued:                                                                     
                                                                                                                                
     When  we're taking  it  out of  the  resource in  large                                                                    
     chunks, the  commercial fishing is  the one  that feels                                                                    
     it  directly  out  of  their pocket.    And  the  sport                                                                    
     fisherman/personal   use-subsistence   person  is   not                                                                    
     doling out that cash to help monitor the fish.                                                                             
                                                                                                                                
CO-CHAIR    SCALZI   concluded    that    although   he    agreed                                                               
philosophically with  the idea that  Alaskans can access  so much                                                               
of their  game, he  supports user fees  and "small  increments of                                                               
support" as a  way to pay for the management  of the resources in                                                               
a state with a growing population.                                                                                              
                                                                                                                                
Number 1762                                                                                                                     
                                                                                                                                
REPRESENTATIVE  CHENAULT   stated  his  belief  that   the  state                                                               
mandated the location of the fishery.   He said, "Where the state                                                               
actually comes into  play, I'm not really  positive [about that],                                                               
other than  we need to  be responsible."   He turned  to previous                                                               
testimony regarding  the effects on the  habitat, including those                                                               
caused  by commercial  fishing  in  the inlet  and  upriver.   He                                                               
indicated the  majority of the  problem exists in  the grasslands                                                               
and  sand dunes  up above  high  tide, which  aren't affected  by                                                               
commercial  fishing.    Subsequently,  he  stated  the  need  for                                                               
further clarification.                                                                                                          
                                                                                                                                
Number 1850                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI, in  response to  a  question by  Representative                                                               
Stevens,  replied that  Representative Lancaster  was comfortable                                                               
with [Amendment 1].  He  explained that both amendments could not                                                               
be passed;  if his  amendment passed,  then it  would have  to be                                                               
rescinded  in   order  to   bring  up   Representative  McGuire's                                                               
amendment.                                                                                                                      
                                                                                                                                
Number 1932                                                                                                                     
                                                                                                                                
REPRESENTATIVE STEVENS stated that  he thought the two amendments                                                               
were not contradictory, but could work together.                                                                                
                                                                                                                                
Number 1935                                                                                                                     
                                                                                                                                
CO-CHAIR SCALZI asked  if there were any  objections to Amendment                                                               
1.  There being no objection, Amendment 1 was adopted.                                                                          
                                                                                                                                
Number 1948                                                                                                                     
                                                                                                                                
REPRESENTATIVE  McGUIRE  repeated  her  suggested  adaptation  of                                                               
Amendment 2, [text provided previously]  in order to avoid a need                                                               
to  rescind  [Amendment  1].   She  clarified  that  the  adopted                                                               
Amendment 1  and the proposed  Amendment 2, together,  would read                                                               
as follows:                                                                                                                     
                                                                                                                                
     A sport fishing  license is not required  to purchase a                                                                    
     dip  net permit,  but  if applicant  shows  proof of  a                                                                    
     resident  sport fishing  license,  the  fee is  waived.                                                                    
     Proof of Alaska residency is required.                                                                                     
                                                                                                                                
                                                                                                                                
Number 2013                                                                                                                     
                                                                                                                                
REPRESENTATIVE  STEVENS suggested  that  the  amendment could  be                                                               
worded  to say,  "Proof of  Alaska residency  or a  sport fishing                                                               
license is required."                                                                                                           
                                                                                                                                
Number 2027                                                                                                                     
                                                                                                                                
REPRESENTATIVE GREEN pointed out it  would be waiving the fee for                                                               
nonresidents.                                                                                                                   
                                                                                                                                
Number 2038                                                                                                                     
                                                                                                                                
REPRESENTATIVE  STEVENS  changed  the  wording  to  read  "...  a                                                               
resident sport fishing license."                                                                                                
                                                                                                                                
                                                                                                                                
Number 2085                                                                                                                     
                                                                                                                                
REPRESENTATIVE  McGUIRE  responded,  "No, because  then  the  fee                                                               
would be  waived for  those folks."   She explained  that adopted                                                               
Amendment 1 allows  a resident of Alaska to buy  a dip net permit                                                               
without having  to buy  a sport  fishing license,  while proposed                                                               
Amendment  2  would  waive  the  dip net  permit  fee  for  those                                                               
residents already in possession of a sport fishing license.                                                                     
                                                                                                                                
Number 2112                                                                                                                     
                                                                                                                                
HELEN DONAHUE,  Staff to  Representative Lancaster,  Alaska State                                                               
Legislature  stated that  currently a  fisher who  has an  Alaska                                                               
resident [sport fishing]  license can fish [the  dip net fishery]                                                               
at  no charge,  so  [the committee]  would  not be  accomplishing                                                               
anything [by adopting  Amendment 2].  She added  that there would                                                               
be no reason to pass the bill  out at this point if [Amendment 2]                                                               
were  adopted.   She specified  that Alaskan  residents currently                                                               
have  to have  an  Alaska  [sport fishing]  license  in order  to                                                               
[participate in the  dip net] fishery; with  adopted Amendment 1,                                                               
the only  income resource in  [the dip net fishery]  derived from                                                               
people without  a [sport fishing]  license would be the  $10 fee.                                                               
She mentioned there  will already be a loss of  revenue from this                                                               
bill,  the  amount  of  which  could  soon  be  provided  by  the                                                               
department in a fiscal note.                                                                                                    
                                                                                                                                
Number 2194                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI,  in response  to  a  comment by  Representative                                                               
McGuire,  stated that  the original  intent  of the  bill was  to                                                               
raise  revenue  for  the  dip  net fishery  by  charging  $10  to                                                               
everyone who dipnets.   He began to explain that  Amendment 1 was                                                               
a response to public testimony.                                                                                                 
                                                                                                                                
REPRESENTATIVE  McGUIRE interjected  that  she  understood.   She                                                               
reiterated her  philosophy regarding  creating user fees  in "all                                                               
the areas  where we fish."   She asked, if that  were done, "what                                                               
good is buying a sport license anymore?"                                                                                        
                                                                                                                                
CO-CHAIR SCALZI explained  that Ms. Donahue was  stating the fact                                                               
that Representative  Lancaster had  agreed to [Amendment  1], but                                                               
would not  be in favor  of [Amendment  2], because the  intent of                                                               
the bill was [to raise] revenue.                                                                                                
                                                                                                                                
REPRESENTATIVE GREEN asked if the  only people who would pay [for                                                               
a  dip  net license]  would  be  those  without a  sport  fishing                                                               
license.                                                                                                                        
                                                                                                                                
CO-CHAIR  SCALZI answered  that  people who  don't  have a  sport                                                               
license would pay the $10 if they wanted to dipnet.                                                                             
                                                                                                                                
Number 2400                                                                                                                     
                                                                                                                                
A roll  call vote  was taken.   Representatives Fate,  Green, and                                                               
McGuire  voted  for  Amendment   2.    Representatives  Chenault,                                                               
Stevens, and  Scalzi voted against it.   [Representative Kerttula                                                               
was not present for the  vote.  Representatives Kapsner and Masek                                                               
were absent.]  Therefore, Amendment 2 failed by a vote of 3-3.                                                                  
                                                                                                                                
Number 2445                                                                                                                     
                                                                                                                                
REPRESENTATIVE  FATE   said  he   had  the  utmost   respect  for                                                               
Representative  Lancaster and  [Co-Chair  Scalzi], and  commented                                                               
that [CSHB  93] was "basically  a pretty  good bill."   He stated                                                               
the  need   for  clarification   regarding  the  use   of  funds;                                                               
consequently, he recommended that the committee hold the bill.                                                                  
                                                                                                                                
Number 2479                                                                                                                     
                                                                                                                                
REPRESENTATIVE  STEVENS  moved to  report  CSHB  93 [Version  22-                                                               
LS0431\C, Utermohle,  2/27/01, as amended] out  of committee with                                                               
individual recommendations and the accompanying fiscal note.                                                                    
                                                                                                                                
Number 2485                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GREEN  objected to  the  motion  because all  the                                                               
testimony had not been heard.                                                                                                   
                                                                                                                                
CO-CHAIR SCALZI  told the committee  the motion would have  to be                                                               
held because  he had previously acknowledged  that Representative                                                               
Green would be allowed to speak.                                                                                                
                                                                                                                                
REPRESENTATIVE  GREEN  stated  that   he  would  definitely  vote                                                               
against the bill in its present  form, so he was not sure whether                                                               
he would go along with moving it out of committee.                                                                              
                                                                                                                                
Number 2597                                                                                                                     
                                                                                                                                
REPRESENTATIVE  STEVENS  renewed his  motion  to  report CSHB  93                                                               
[Version  22-LS0431\C, Utermohle,  2/27/01,  as  amended] out  of                                                               
committee  with individual  recommendations and  the accompanying                                                               
fiscal note.                                                                                                                    
                                                                                                                                
Number 2619                                                                                                                     
                                                                                                                                
REPRESENTATIVE FATE objected.                                                                                                   
                                                                                                                                
A roll call  vote was taken.   Representatives Chenault, McGuire,                                                               
Stevens, and Scalzi voted to  move CSHB 93(RES) out of committee.                                                               
Representatives    Fate    and    Green   voted    against    it.                                                               
[Representative McGuire  stated she  would be  making a  "note to                                                               
amend."  Representative Kerttula was  not present during the roll                                                               
call.     Representatives   Kapsner  and   Masek  were   absent.]                                                               
Therefore, CSHB 93(RES)  failed to move from committee  by a vote                                                               
of 4-2.                                                                                                                         
                                                                                                                                
Number 2649                                                                                                                     
                                                                                                                                
REPRESENTATIVE McGUIRE  said she respected [Co-Chair  Scalzi] and                                                               
Representative Lancaster.   She mentioned having to  stand up for                                                               
a group of her constituents who are sport fishers.                                                                              
                                                                                                                                
Number 2660                                                                                                                     
                                                                                                                                
REPRESENTATIVE FATE restated that his  intent was not to hold the                                                               
bill up  because he did  not like it;  he explained he  wanted to                                                               
see the bill get "more consideration and some answers."                                                                         
                                                                                                                                
Number 2671                                                                                                                     
                                                                                                                                
REPRESENTATIVE GREEN agreed and asked  if it were possible to get                                                               
the response for the issues of concern by the next meeting.                                                                     
                                                                                                                                
Number 2682                                                                                                                     
                                                                                                                                
CO-CHAIR  SCALZI responded  that he  had  asked his  aide to  put                                                               
together a  synopsis of the concerns  voiced at the meeting.   He                                                               
said there  had been  a lot  of testimony here  and at  the House                                                               
Special  Committee on  Fisheries -  both pro  and con.   Co-Chair                                                               
Scalzi mentioned answering the  questions posed by Representative                                                               
Fate, addressing  the issues  brought up  by those  who testified                                                               
against the bill, and bringing the  bill back to committee in the                                                               
future.                                                                                                                         
                                                                                                                                
Number 2712                                                                                                                     
                                                                                                                                
MS.  DONAHUE told  the  committee  that Representative  Lancaster                                                               
would be  delighted to  work with  [ADF&G] and  any of  the House                                                               
Resources Standing  Committee members,  to answer  any questions.                                                               
She added  that she would  welcome requests for  information from                                                               
the committee members.                                                                                                          
                                                                                                                                
Number 2759                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GREEN stated  his assumption  that the  committee                                                               
could get  a [swift]  response from ADF&G  regarding CSHB  93 and                                                               
the use  of funds,  at which  point he  said he  "would certainly                                                               
vote to move it out of committee then."                                                                                         
                                                                                                                                
[CSHB 93(RES) failed to move from committee by a vote of 4-2.]                                                                  
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
Number 2769                                                                                                                     
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Resources Standing Committee meeting was adjourned at 3:39 p.m.                                                                 
                                                                                                                                

Document Name Date/Time Subjects