Legislature(2019 - 2020)BUTROVICH 205

02/21/2020 03:30 PM Senate RESOURCES

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 171 INDUSTRIAL HEMP PROGRAM; MANUFACTURING TELECONFERENCED
Moved CSSB 171(RES) Out of Committee
-- Public Testimony --
+= SB 161 GEOTHERMAL RESOURCES TELECONFERENCED
Heard & Held
-- Public Testimony --
*+ SB 150 INTENSIVE MGMT SURCHARGE/REPEAL TERM DATE TELECONFERENCED
Moved SB 150 Out of Committee
-- Testimony <Invitation Only> --
**Streamed live on AKL.tv**
+ Bills Previously Heard/Scheduled: TELECONFERENCED
+= SB 155 EXPLORATION & MINING RIGHTS; ANNUAL LABOR TELECONFERENCED
Moved CSSSSB 155(RES) Out of Committee
        SB 150-INTENSIVE MGMT SURCHARGE/REPEAL TERM DATE                                                                    
                                                                                                                                
4:04:26 PM                                                                                                                    
CHAIR MICCICHE  announced that the  next order of  business would                                                               
be SENATE  BILL NO. 150,  "An Act repealing the  termination date                                                               
for the intensive management hunting license surcharge."                                                                        
                                                                                                                                
4:04:57 PM                                                                                                                    
DUSTIN  ELSBERRY,  Intern,  Senator Joshua  Revak,  Alaska  State                                                               
Legislature, Juneau,  Alaska, said hunting is  an essential piece                                                               
of Alaskan  life and it  is of  the utmost importance  to protect                                                               
wildlife   for  future   Alaskans.  The   state  needs   wildlife                                                               
management to maintain the special  connection Alaskans have with                                                               
wildlife.                                                                                                                       
                                                                                                                                
He explained that the moment  a moose, caribou or deer population                                                               
is  determined to  be  at  risk of  falling  below a  sustainable                                                               
level, the work  of intensive management (IM)  begins to identify                                                               
the  root cause.  Enacted action  plans using  quotas or  habitat                                                               
management  that are  based on  science  and population  analysis                                                               
ensure sustainable populations.                                                                                                 
                                                                                                                                
MR. ELSBERRY said since 2016,  the IM program received funds from                                                               
a surcharge  placed on hunting  licenses. However,  the surcharge                                                               
had a  sunset date in 2022.  SB 150 repeals the  surcharge sunset                                                               
date and  allows the IM  program to be self-sustaining.  Prior to                                                               
2016,  appropriations  from  the  capital budget  funded  the  IM                                                               
program.  However, the  IM program  is currently  self-funded via                                                               
the license  surcharge. IM funds  leverage federal  money through                                                               
the Pittman-Robertson Act (P-R Act),  a 75/25 formula match where                                                               
the 25 percent comes from the state's surcharge funds.                                                                          
                                                                                                                                
He  emphasized  that  the  IM  surcharge  does  not  impact  true                                                               
subsistence  hunters or  senior hunters,  both groups  are exempt                                                               
from the surcharge.                                                                                                             
                                                                                                                                
He  summarized  that  SB  150  ensures that  the  IM  program  is                                                               
sustainable,   protects  wildlife   populations,  promotes   food                                                               
security  across the  state, and  assures that  Alaska's cultures                                                               
carry on to future generations.                                                                                                 
                                                                                                                                
4:08:02 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
4:09:09 PM                                                                                                                    
CHAIR MICCICHE  called the committee  back to order. He  said the                                                               
committee will first hear from invited testimony.                                                                               
                                                                                                                                
4:09:30 PM                                                                                                                    
RON SOMERVILLE,  representing self, Juneau, Alaska,  testified in                                                               
support  of SB  150.  He  detailed that  he  is  a former  Alaska                                                               
Department of  Fish and  Game employee,  former director  for the                                                               
Division of  Wildlife Conservation,  and former chairman  for the                                                               
Alaska Board of  Game. He said his previous duties  on the Alaska                                                               
Board of Game might help in setting the background on SB 150.                                                                   
                                                                                                                                
He recalled that  the IM law passed in 1994  and the instructions                                                               
were clear  that the intent was  to focus on moose,  caribou, and                                                               
deer throughout the state.                                                                                                      
                                                                                                                                
He emphasized that  predator control is not the only  form of IM,                                                               
funding  supports  a  variety  of  activities  including  habitat                                                               
manipulation and  controlled burning.  He admitted  that predator                                                               
control  is necessary  in some  cases. However,  predator control                                                               
cannot use P-R Act funds.                                                                                                       
                                                                                                                                
MR.  SOMERVILLE   noted  that  he  also   represents  Territorial                                                               
Sportsmen and the organization supports SB 150.                                                                                 
                                                                                                                                
CHAIR MICCICHE  commented that the  Kenai Peninsula would  like a                                                               
break on  habitat manipulation  due to  forest fires  that burned                                                               
4,000 acres during the last 4 years.                                                                                            
                                                                                                                                
4:14:59 PM                                                                                                                    
EDDIE  GRASSER,  Director,  Division  of  Wildlife  Conservation,                                                               
Alaska Department of Fish and  Game, Palmer, Alaska, testified in                                                               
support  of SB  150.  He said  the bill  is  simple and  straight                                                               
forward where  the legislation takes  away the sunset  clause for                                                               
the IM program.                                                                                                                 
                                                                                                                                
He said the  IM law ensures that Alaskans have  an opportunity to                                                               
feed their  families. He added  that the department  is currently                                                               
pursuing  an initiative  called  The Wild  Harvest Initiative  to                                                               
provide food security, especially in rural Alaska.                                                                              
                                                                                                                                
He  said the  IM program  adds another  tool to  the department's                                                               
toolbelt to  create more opportunities  for people to  feed their                                                               
families. The IM program is  not just about predator control, the                                                               
department does a  lot of habitat work as well.  For example, the                                                               
department  purchased  a  roller-chopper   in  2019  for  habitat                                                               
enhancement  projects  without  using  fire. He  noted  that  the                                                               
department  has not  heard from  the general  public on  anything                                                               
negative about the IM program.                                                                                                  
                                                                                                                                
MR.  GRASSER recalled  a time  when  the U.S.  Fish and  Wildlife                                                               
Service used poison baiting for  predator control, the department                                                               
does not  support that drastic  measure. The  department supports                                                               
science-based   management  of   wildlife   that  maximizes   the                                                               
opportunities for Alaskans to feed their families.                                                                              
                                                                                                                                
He  detailed  that  the  revenue stream  from  the  IM  licensing                                                               
surcharge has  grown to  approximately $1  million per  year. The                                                               
surcharge  is  an  important  revenue  stream  for  research  and                                                               
surveys  on  wildlife populations  to  define  objectives to  get                                                               
people out hunting.                                                                                                             
                                                                                                                                
MR. GRASSER said the department  feels that based on observations                                                               
from  other states  regarding  cost of  licenses  and tags,  most                                                               
states charge  a tag  fee, but  Alaska does  not charge  for tags                                                               
other than muskox and brown bear.                                                                                               
                                                                                                                                
MR.  GRASSER  summarized that  the  IM  license surcharge  is  an                                                               
important revenue  stream to the  department. They would  like to                                                               
see  the surcharge  enshrined in  statute and  the sunset  clause                                                               
eliminated.                                                                                                                     
                                                                                                                                
4:17:40 PM                                                                                                                    
SENATOR GIESSEL asked if the  $1 million annual revenue stream is                                                               
from the IM surcharge or the combination with P-R Act funds.                                                                    
                                                                                                                                
MR. GRASSER  answered that  the revenue is  strictly from  the IM                                                               
surcharge.                                                                                                                      
                                                                                                                                
SENATOR KIEHL REFERRED TO a  pie chart on IM spending activities.                                                               
He  asked how  much spending  occurs on  predator control  versus                                                               
habitat enhancement within the research and management portion.                                                                 
                                                                                                                                
MR.  GRASSER answered  that the  department  receives $4  million                                                               
from the IM surcharge with the  P-R Act dollars. Most of the work                                                               
done  to  support  predator  control  occurs  within  survey  and                                                               
inventory  work. The  IM law  specifies steps  in the  process to                                                               
implement different measures.                                                                                                   
                                                                                                                                
He emphasized  that survey and inventory  work sometimes indicate                                                               
clearly  that predators  are not  the  limiting factor.  Predator                                                               
control is  one of the  limiting factors that the  department has                                                               
the most  control over  in its  toolbox. However,  the department                                                               
cannot  always  have  a  fire   because  it  might  jeopardize  a                                                               
community. Predator  control does not occur  until the department                                                               
does  the survey  and  inventory work  to  verify the  landscape,                                                               
remaining   population  objectives,   and   if  the   harvestable                                                               
objectives meet the intent of the IM law.                                                                                       
                                                                                                                                
4:20:09 PM                                                                                                                    
SENATOR  KIEHL referred  to a  map that  showed approximately  90                                                               
percent  of Alaska  land  with a  positive  IM determination.  He                                                               
asked  if  the  IM  management   fee  just  funds  what  wildlife                                                               
conservation is going to need anyway.                                                                                           
                                                                                                                                
MR. GRASSER  answered that the  IM surcharge funds  have specific                                                               
goals within  the IM  statutes. He noted  that the  department is                                                               
currently looking  at a $1.7 million  deficit for FY 2021  in its                                                               
budget. Without the surcharge funding,  the department would have                                                               
difficulty doing its survey and inventory work.                                                                                 
                                                                                                                                
CHAIR  MICCICHE said  he  has  a couple  of  comments related  to                                                               
constitutionality. The  1994 IM law  connects with  Article XIII,                                                               
Section  4   in  the  Alaska  Constitution.   He  paraphrased  AS                                                               
16.05.255(k):                                                                                                                   
                                                                                                                                
     Alaska's  wildlife  along   with  all  other  renewable                                                                    
     resources shall be  utilized, developed, and maintained                                                                    
     on the sustained yield  principle. Statutory support as                                                                    
     the  achievement  and  maintenance  in  perpetuity  the                                                                    
     ability to  support a  high level  of human  harvest of                                                                    
     game subject  to preferences  among beneficial  uses on                                                                    
     an annual periodic basis.                                                                                                  
                                                                                                                                
CHAIR MICCICHE  remarked that challenges  to the bill  would have                                                               
occurred if  there was a lot  of resistance to the  IM program in                                                               
the past.                                                                                                                       
                                                                                                                                
4:22:55 PM                                                                                                                    
CHAIR MICCICHE opened public testimony on SB 150.                                                                               
                                                                                                                                
4:23:18 PM                                                                                                                    
JAKE  FLETCHER, representing  self, Talkeetna,  Alaska, testified                                                               
in support  of SB  150. He said  he is a  registered guide  and a                                                               
member  of the  Alaska Professional  Hunters Association  (APHA).                                                               
Being good land  stewards is one of Alaskans'  biggest duties and                                                               
part of being a steward  is using conservation. The bill provides                                                               
money so that the department can practice conservation.                                                                         
                                                                                                                                
4:24:37 PM                                                                                                                    
ROD  ARNO, Executive  Director, Alaska  Outdoor Council,  Palmer,                                                               
Alaska, testified  in support  of SB 150.  He explained  that the                                                               
council  and other  reputable hunting  conservation organizations                                                               
got  together in  2016  when  they realized  that  the amount  of                                                               
general  funds  that  were  available  to  the  state  for  their                                                               
programs was on the decline.                                                                                                    
                                                                                                                                
He emphasized  that Alaskan  hunters are not  looking for  a free                                                               
ride. The group  agreed on raising resident  and nonresident fees                                                               
to fund wildlife conservation without general funds.                                                                            
                                                                                                                                
He detailed the following annual hunting license data:                                                                          
                                                                                                                                
        • 65,000 Alaskans buy hunting licenses                                                                                  
        • 10,000 nonresidents                                                                                                   
        • 700-800 aliens                                                                                                        
        • 3,000 military                                                                                                        
        • 16,000 low income and 6,000 senior Alaskans who don't                                                                 
          buy a license                                                                                                         
                                                                                                                                
MR. ARNO  noted that  there are some  exempt license  holders who                                                               
continue to buy  a license just so that they  are contributing to                                                               
the fund.                                                                                                                       
                                                                                                                                
4:27:15 PM                                                                                                                    
PAUL  CLAUS, owner,  Ultima  Thule  Outfitters, Chugiak,  Alaska,                                                               
testified  in support  of SB  150.  He said  the legislation  has                                                               
already proven itself after three years.                                                                                        
                                                                                                                                
SENATOR BISHOP  asked Mr.  Grasser for examples  of how  the fund                                                               
has improved habitat.                                                                                                           
                                                                                                                                
MR. GRASSER  answered that the Division  of Wildlife Conservation                                                               
has done  quite a  bit of work  in the Tok  area with  its roller                                                               
chopper and various prescribed burns.                                                                                           
                                                                                                                                
CHAIR MICCICHE noted that he drove  a chopper tractor when he was                                                               
young and asked if the division's roller chopper is similar.                                                                    
                                                                                                                                
MR. GRASSER  answer yes. He  detailed that the  division's roller                                                               
chopper is a trailer that hooks on a Caterpillar bulldozer.                                                                     
                                                                                                                                
CHAIR MICCICHE  commented that the  chopper tractor he  drove was                                                               
self-contained.                                                                                                                 
                                                                                                                                
4:30:27 PM                                                                                                                    
CHAIR MICCICHE closed public testimony.                                                                                         
                                                                                                                                
SENATOR KIEHL  noted that  the legislature  uses sunset  dates to                                                               
ensure   program  and   board  review,   make  sure   things  are                                                               
efficiently following the statutes,  and to safeguard from boards                                                               
having mission  creep. He asked  why the bill deletes  the sunset                                                               
date rather than extending it.                                                                                                  
                                                                                                                                
MR. GRASSER  answered that the  program is well  established, and                                                               
funding  should be  continuous.  Managing  wildlife never  stops,                                                               
especially to  meet harvestable objectives. Managing  wildlife is                                                               
integral  work  by  the department  that  requires  a  consistent                                                               
funding stream with certainty.                                                                                                  
                                                                                                                                
4:32:10 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
4:32:44 PM                                                                                                                    
CHAIR MICCICHE  called the committee  back to order. He  asked if                                                               
management  work would  cease if  the discontinuation  of the  IM                                                               
surcharge fund collection occurs.                                                                                               
                                                                                                                                
MR.  GRASSER  answered that  management  work  would not  totally                                                               
stop, but it would be  severely impacted. He said discontinuation                                                               
would remove $4 million from the department's budget.                                                                           
                                                                                                                                
CHAIR  MICCICHE asked  if similar  work would  continue but  at a                                                               
smaller proportion.                                                                                                             
                                                                                                                                
MR. GRASSER answered correct.                                                                                                   
                                                                                                                                
SENATOR GIESSEL asked if discontinuing  the surcharge would leave                                                               
$3 million of P-R Act money unutilized by the State of Alaska.                                                                  
                                                                                                                                
MR.  GRASSER   answered  not   necessarily.  He   explained  that                                                               
apportionment  for the  State of  Alaska from  P-R Act  funds has                                                               
gone down by $2 million. Instead  of $28 million for FY 2020, the                                                               
department  is   looking  at   $26  million.   Discontinuing  the                                                               
surcharge may have no impact on the department.                                                                                 
                                                                                                                                
4:34:20 PM                                                                                                                    
CHAIR MICCICHE reopened public testimony.                                                                                       
                                                                                                                                
4:34:47 PM                                                                                                                    
VIKKI JO  KENNEDY, representing  self, Kodiak,  Alaska, testified                                                               
in support  of SB 150.  She said  Alaskans pay for  the intensive                                                               
management of wildlife through licenses  and fees. She emphasized                                                               
that the  program takes care of  itself and puts money  back into                                                               
it.                                                                                                                             
                                                                                                                                
4:35:56 PM                                                                                                                    
CHAIR MICCICHE closed public testimony.                                                                                         
                                                                                                                                
He  commented  that although  the  bill  repeals the  termination                                                               
date, the legislature retains the  right to repeal the IM program                                                               
at any  time if things  are not working  out. In some  cases, the                                                               
legislature spends a  lot of time on  extending termination dates                                                               
for programs that are known to continue.                                                                                        
                                                                                                                                
SENATOR REVAK, sponsor  of SB 150, thanked  those that testified,                                                               
especially those from  communities that wanted to  help take care                                                               
of the game that they manage regularly.                                                                                         
                                                                                                                                
CHAIR   MICCICHE  thanked   Senator   Revak   for  bringing   the                                                               
legislation forward.                                                                                                            
                                                                                                                                
4:37:09 PM                                                                                                                    
SENATOR COGHILL moved  to report SB 150,  work order 31-LS1390\A,                                                               
from  committee with  individual recommendations  and forthcoming                                                               
fiscal notes.                                                                                                                   
                                                                                                                                
4:37:24 PM                                                                                                                    
CHAIR MICCICHE said there being  no objection, SB 150 is reported                                                               
from the Senate Resources Standing Committee.                                                                                   

Document Name Date/Time Subjects
SB 161 DNR Response to Committee Questions 2.20.2020.pdf SRES 2/21/2020 3:30:00 PM
SB 161
SB 161 2020_GeothermalMap_optimized.pdf SRES 2/21/2020 3:30:00 PM
SB 161
SB 161 Presentation to SRES Geothermal 02.21.2020.pdf SRES 2/21/2020 3:30:00 PM
SB 161
SB 150 ver A.pdf SRES 2/21/2020 3:30:00 PM
SB 150
SB 150 Sponsor Statement ver. A revised 02.21.2020.pdf SRES 2/21/2020 3:30:00 PM
SB 150
SB 150 Support Document - Hunting License Surcharge Revenue CY17-CY19 02.10.2020.pdf SFIN 3/12/2020 9:00:00 AM
SRES 2/21/2020 3:30:00 PM
SB 150
SB 150 Support Document - IM Species Determinations 02.10.2020.pdf SFIN 3/12/2020 9:00:00 AM
SRES 2/21/2020 3:30:00 PM
SB 150
SB 150 Support Document - IM Activities and Spending FY19 02.10.2020.pdf SRES 2/21/2020 3:30:00 PM
SB 150
SB 150 ADF&G IM Stories of Success 01.2014.pdf SFIN 3/12/2020 9:00:00 AM
SRES 2/21/2020 3:30:00 PM
SB 150
SB 150 Written Testimony- Alaska Professional Hunters Assn Inc 02.05.2020.pdf SFIN 3/12/2020 9:00:00 AM
SRES 2/21/2020 3:30:00 PM
SB 150
SB 171 Draft CS ver. M.pdf SRES 2/21/2020 3:30:00 PM
SB 171
SB 171 Explanation of Changes ver. A to M 02.20.2020.pdf SRES 2/21/2020 3:30:00 PM
SB 171
SB 150 Fiscal Note-DFG-DWC-02.14.2020.pdf SRES 2/21/2020 3:30:00 PM
SB 150