Legislature(2007 - 2008)SENATE FINANCE 532

03/21/2007 09:00 AM Senate FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ SB 97 ALASKA NATIVE ART IDENTIFICATION SEALS TELECONFERENCED
Moved SB 97 Out of Committee
+= SB 125 PERS CONTRIBUTIONS; UNFUNDED LIABILITY TELECONFERENCED
Heard & Held
+= SB 123 PUBLIC EMP./TEACHERS/JUDGES EMP. BENEFITS TELECONFERENCED
Scheduled But Not Heard
+ Bills Previously Heard/Scheduled TELECONFERENCED
9:06:49 AM                                                                                                                    
                                                                                                                                
                                                                                                                                
     SENATE BILL NO. 97                                                                                                         
     "An  Act  relating  to   identification  seals  for  certain                                                               
     articles created  or crafted in  the state by  Alaska Native                                                               
     persons; relating to  the Alaska State Council  on the Arts;                                                               
     and  making certain  identification  seal violations  unfair                                                               
     trade practices."                                                                                                          
                                                                                                                                
                                                                                                                                
This was the first hearing for this bill in the Senate Finance                                                                  
Committee.                                                                                                                      
                                                                                                                                
9:07:23 AM                                                                                                                    
                                                                                                                                
SENATOR GARY STEVENS, Sponsor of the bill, introduced Mr.                                                                       
Lamkin.                                                                                                                         
                                                                                                                                
9:07:36 AM                                                                                                                    
                                                                                                                                
TIM LAMKIN, Staff to Senator Gary Stevens, presented a slideshow                                                                
to "personalize" the issue, while reading his testimony into the                                                                
record as follows.                                                                                                              
                                                                                                                                
     It  is with  great  pride that  Senator  Stevens and  myself                                                               
     offer SB  97 on behalf  of the  Alaska State Council  on the                                                               
     Arts. Despite  its existence  of for  decades, I  venture to                                                               
     say  that many  people in  our great  state don't  recognize                                                               
     this  emblem right  here. It's  known simply  as the  Silver                                                               
     Hand.                                                                                                                      
                                                                                                                                
     It's a  marketing tool that's  used to represent a  piece of                                                               
     art  as being  authentically made  by an  Alaskan Native  in                                                               
     Alaska. It's  origins date back  to at least the  1930s when                                                               
     market demand  for authentic Alaskan Native  arts and crafts                                                               
     was  clearly increasing.  Since  that time  there's been  an                                                               
     ongoing  effort   to  bring   credibility  to   the  program                                                               
     currently embodied  by the Silver  Hand and to  honor Alaska                                                               
     Native artists wishing to sell their wares.                                                                                
                                                                                                                                
     Unfortunately, that  effort has been repeatedly  thwarted by                                                               
     fraud. A  new line  of thinking has  emerged that  with some                                                               
     success that puts focus on the artist instead of the art.                                                                  
     Senate  Bill 97  embraces  those efforts  made  by the  Arts                                                               
     Council to  simply clean house.  There's no  motivation here                                                               
     other  than   to  strengthen  and  modernize   the  statutes                                                               
     relating  to   the  Silver  Hand  permitting   and  to  help                                                               
     rejuvenate a program that's poised to reblossom.                                                                           
                                                                                                                                
     Personally, I  have 16  years of  experience in  the private                                                               
     sector of the summer tourism  business where I receive daily                                                               
     requests for  authentic Native art  and thus I  believe that                                                               
     SB 97  and the efforts of  the State Arts Council  will help                                                               
     make the  Silver Hand emblem  more readily  recognizable and                                                               
     sought for by the buying public.                                                                                           
                                                                                                                                
9:10:16 AM                                                                                                                    
                                                                                                                                
Senator Gary Stevens noted the  slideshow contains photographs of                                                               
well  known  Alaska Native  artists  as  well  as some  of  their                                                               
creations.                                                                                                                      
                                                                                                                                
9:11:46 AM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman  asked how  this  bill  would clarify  existing                                                               
language.                                                                                                                       
                                                                                                                                
9:12:04 AM                                                                                                                    
                                                                                                                                
Mr. Lamkin  replied that "generally speaking",  the changes would                                                               
"make the language modern".                                                                                                     
                                                                                                                                
9:12:24 AM                                                                                                                    
                                                                                                                                
BENJAMIN BROWN,  Vice Chair,  Alaska State  Council on  the Arts,                                                               
testified  that he  collaborated with  Saunders McNeil,  staff of                                                               
the  Council  and  whose portfolio  of  activities  includes  the                                                               
Silver  Hand  program.  Current   statutory  language  refers  to                                                               
"Alaskan art  and handicrafts". The  inclusion of  handicraft was                                                               
determined to  be "inaccurate", as  it represents a  "lesser form                                                               
of creativity  than art". The  products being created  by Alaskan                                                               
Native artists deserve to be referred  to as art or artwork. This                                                               
bill clarifies those references.                                                                                                
                                                                                                                                
9:13:40 AM                                                                                                                    
                                                                                                                                
Senator Elton  asked whether  an "exceptional"  non-Native artist                                                               
who produces  traditional Native style  artwork and who  has been                                                               
adopted into a tribe could qualify for the Silver Hand program.                                                                 
                                                                                                                                
9:14:16 AM                                                                                                                    
                                                                                                                                
Mr. Brown  replied that unless  that artist were a  tribal member                                                               
of a  tribe recognized by  the federal government or  was granted                                                               
special  tribal recognition  through an  act of  the Legislature,                                                               
that person  would not  qualify for  participation in  the Silver                                                               
Hand program. Such  legislative action has not  occurred but this                                                               
bill  accommodates  possible  future  practices.  The  non-Native                                                               
artist  could take  advantage of  other marketing  opportunities,                                                               
including the Made in Alaska program.                                                                                           
                                                                                                                                
9:15:16 AM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman  noted language in  the bill which  references a                                                               
list of  federally recognized tribes  and asked if  the Committee                                                               
had this list.                                                                                                                  
                                                                                                                                
Mr.  Brown indicated  he  would provide  a copy  of  the list  of                                                               
federally recognized tribes.                                                                                                    
                                                                                                                                
9:15:52 AM                                                                                                                    
                                                                                                                                
Senator  Thomas asked  about the  deletion of  existing statutory                                                               
language  noted on  page 3,  line 13  of the  bill and  asked the                                                               
reasoning.                                                                                                                      
                                                                                                                                
9:16:18 AM                                                                                                                    
                                                                                                                                
Mr. Brown answered that the  original statute had been written to                                                               
allow Silver  Hand seals to be  issued by an agent  of the Alaska                                                               
State Council on  the Arts. The use of agents  has never occurred                                                               
and because of the possibility  of fraud, the Council recommended                                                               
the removal of this provision.                                                                                                  
                                                                                                                                
9:16:52 AM                                                                                                                    
                                                                                                                                
Senator Thomas asked how artists  residing in remote areas of the                                                               
state participate in the program.                                                                                               
                                                                                                                                
9:17:02 AM                                                                                                                    
                                                                                                                                
Mr. Brown explained  how residents of all  communities other than                                                               
Anchorage, which  houses the Council,  would contact  the Council                                                               
office. Seals are mailed to participating artists.                                                                              
                                                                                                                                
9:17:36 AM                                                                                                                    
                                                                                                                                
Senator Olson deemed  it a "stretch" to have  to authenticate art                                                               
and asked the necessity of the program.                                                                                         
                                                                                                                                
9:17:50 AM                                                                                                                    
                                                                                                                                
Senator Gary  Stevens replied that  the program "makes  it clear"                                                               
that   Alaska  Native   art   is   authentic.  Otherwise,   items                                                               
manufactured elsewhere, such as Taiwan,  could be "passed off" as                                                               
Alaskan Native.                                                                                                                 
                                                                                                                                
Senator Olson asked  whether the fraud or "fear of  fraud" was so                                                               
significant as to threaten the artists' livelihood.                                                                             
                                                                                                                                
Senator Gary  Stevens surmised it  was. A consumer would  have no                                                               
other method  to determine if an  ivory polar bear was  carved in                                                               
Alaska or in the Orient. The problem exists.                                                                                    
                                                                                                                                
9:18:38 AM                                                                                                                    
                                                                                                                                
Senator Olson  asked the  assessment of  this program  by artists                                                               
themselves.                                                                                                                     
                                                                                                                                
Senator Gary Stevens  responded that the Alaska  State Council on                                                               
the Arts  has overseen this  program for many years.  The Council                                                               
reviewed  the   language  of  existing  statute   and  identified                                                               
shortcomings. Although  he was not  an Alaskan Native  artist, he                                                               
as well as many present share a concern about these arts.                                                                       
                                                                                                                                
9:19:35 AM                                                                                                                    
                                                                                                                                
Mr. Lamkin  emphasized that  this bill was  offered on  behalf of                                                               
the  Council.  The issue  is  the  protection of  Alaskan  Native                                                               
artists as well as consumers.                                                                                                   
                                                                                                                                
9:19:57 AM                                                                                                                    
                                                                                                                                
Mr.  Brown declared  that many  items  sold in  shops located  on                                                               
South Franklin  Street in  Juneau and  at other  tourism shopping                                                               
localities could  be conceived to  be created by  Alaskan Natives                                                               
if  not identified  otherwise. A  large group  of Alaskan  Native                                                               
artists conceived the  Silver Hand program. The  current chair of                                                               
the  Alaska State  Council  on  the Arts  is  himself an  Alaskan                                                               
Native and an artist.                                                                                                           
                                                                                                                                
9:20:47 AM                                                                                                                    
                                                                                                                                
Senator Olson  asked about the  input from artists. He  cited the                                                               
adage,  "Don't protect  me from  myself", surmising  that artists                                                               
could interpret this program as needless or a hindrance.                                                                        
                                                                                                                                
9:21:24 AM                                                                                                                    
                                                                                                                                
Senator Gary  Stevens reiterated  the credentials of  the Council                                                               
chairperson.                                                                                                                    
                                                                                                                                
9:21:59 AM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  noted the  inclusion of  substantial supporting                                                               
documentation for this legislation.                                                                                             
                                                                                                                                
9:22:11 AM                                                                                                                    
                                                                                                                                
SAUNDERS  MCNEIL,  Chair,  Alaska  State  Council  on  the  Arts,                                                               
testified via teleconference from  an offnet location that Native                                                               
Alaskan  artists  support  the Silver  Hand  program,  especially                                                               
those who  subscribe to the  program. The Council  polled artists                                                               
on this  matter and received "overwhelming  support" from "across                                                               
the  state." Many  of those  who responded  to the  questionnaire                                                               
also took the opportunity to renew their seal permits.                                                                          
                                                                                                                                
9:23:10 AM                                                                                                                    
                                                                                                                                
Senator Elton ascertained  that the provision of  Section 4 would                                                               
allow  the Council  to collect  a  fee from  participants of  the                                                               
Silver Hand program.  He asked the amount of the  fee and whether                                                               
it would impose  an impediment to the ability for  the artists to                                                               
earn a livelihood.                                                                                                              
                                                                                                                                
9:23:39 AM                                                                                                                    
                                                                                                                                
Mr. Lamkin reported that the $20  fee is paid bi-annually, so the                                                               
cost of participation is $10 per  year. The funds are utilized to                                                               
cover the expense of the  stickers. He perceived that this amount                                                               
would not be cost prohibitive.                                                                                                  
                                                                                                                                
9:24:22 AM                                                                                                                    
                                                                                                                                
Co-Chair   Stedman  deduced   that  no   further  testimony   was                                                               
forthcoming.                                                                                                                    
                                                                                                                                
9:24:29 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman, noting  the  zero fiscal  note,  asked if  the                                                               
enactment of this legislation would  incur any additional cost to                                                               
the Arts Council.                                                                                                               
                                                                                                                                
9:24:56 AM                                                                                                                    
                                                                                                                                
Mr.  Brown relayed  the  Council's goal  to  utilize the  nominal                                                               
amount of funding it receives  from the Legislature, the National                                                               
Council on  the Arts  and other sources  to promote  Alaskan art.                                                               
Council staff prepared the fiscal  note as an "honest prediction"                                                               
of  the financial  implication. The  Council would  not submit  a                                                               
supplemental appropriation request to implement the changes.                                                                    
                                                                                                                                
9:25:52 AM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  discerned that  the Committee would  not expect                                                               
any additional funding requests pertaining to this legislation.                                                                 
                                                                                                                                
Mr. Brown affirmed.                                                                                                             
                                                                                                                                
9:26:10 AM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman  offered  a  motion to  report  the  bill,  25-                                                               
LS0405\M,  from  Committee  with individual  recommendations  and                                                               
accompanying fiscal note.                                                                                                       
                                                                                                                                
There  was no  objection and  SB 97  was REPORTED  from Committee                                                               
with zero  fiscal note  #1 from the  Department of  Education and                                                               
Early Development.                                                                                                              
                                                                                                                                
AT EASE 9:26:36 AM / 9:31:29 AM                                                                                             
                                                                                                                                

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