Legislature(2015 - 2016)BUTROVICH 205

02/29/2016 03:30 PM RESOURCES

Note: the audio and video recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.

Download Mp3. <- Right click and save file as

* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ SB 170 DNR FEES FOR GEOLOGICAL SERVICES TELECONFERENCED
Moved CSSB 170(RES) Out of Committee
-- Public Testimony --
+= HB 137 HUNT/FISH/TRAP: FEES;LICENSES;EXEMPTIONS TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
            SB 170-DNR FEES FOR GEOLOGICAL SERVICES                                                                         
                                                                                                                                
3:34:11 PM                                                                                                                    
CHAIR GIESSEL  announced consideration of  SB 170 and  noted that                                                               
the  bill is  designed to  make  the Division  of Geological  and                                                               
Geophysical Survey  (DGGS), in the  Department of  Revenue (DNR),                                                               
more self-sufficient,  so it will  rely less on general  funds. A                                                               
few  years ago  the  legislature authorized  DGGS  to purchase  a                                                               
Sam's  Club building  in  East  Anchorage. Geological  materials,                                                               
such as core  samples from oil and mineral  exploration, had been                                                               
stored  in  Conex  containers  in  Eagle  River,  and  they  were                                                               
leaking,  causing  sample  degeneration.   She  stated  that  the                                                               
material was a  library of information for  future explorers. The                                                               
DGGS is  not allowed to  charge people  to view the  cores, which                                                               
could help support the facility  and the staffing. She said other                                                               
states charge  for this  service, and SB  170 authorizes  DGGS to                                                               
receive payment from explorers who want to see the cores.                                                                       
                                                                                                                                
3:35:05 PM                                                                                                                    
SENATOR STOLTZE joined the committee.                                                                                           
                                                                                                                                
3:36:28 PM                                                                                                                    
AKIS  GIALOPSOS,   Staff  to  Senator  Giessel   and  the  Senate                                                               
Resources  Committee, Alaska  State  Legislature, explained  that                                                               
Section 1  of SB  170 adds  DGGS to [AS  37.05.146(c), a  list of                                                               
program  receipts  to be  accounted  for  separately]. Section  2                                                               
changes the requirement  that DGGC fees and receipts  go into the                                                               
general fund,  he stated, and Section  3 is the heart  of SB 170,                                                               
allowing  the  DGGS to  institute  fee  structures for  services,                                                               
equipment, and the use of DGGS facilities.                                                                                      
                                                                                                                                
3:38:35 PM                                                                                                                    
SENATOR  WIELECHOWSKI asked  about Section  2, which  deletes the                                                               
requirement  that money  from selling  reports and  maps will  go                                                               
into the general fund.                                                                                                          
                                                                                                                                
MR.  GIALOPSOS said  that Section  3 will  allow the  division to                                                               
charge  for equipment  and  services  and "was  going  to be  now                                                               
accounted for  in Section  1 of  the bill,  which is  the receipt                                                               
authority." He added  that Section 2 would remove  the reason for                                                               
the fees being deposited into the general fund.                                                                                 
                                                                                                                                
SENATOR  MICCICHE   asked  if  other  departments   have  similar                                                               
authorization to charge for services and keep the funds.                                                                        
                                                                                                                                
MR. GIALOPSOS answered that the  authorization in SB 170 would be                                                               
the "88th  version of receipt  authority being designated  in the                                                               
state's  ledger  book."  The  next   witness  can  clarify  which                                                               
divisions  of  DNR are  striving  for  self-sufficiency by  using                                                               
receipt authority, he suggested.                                                                                                
                                                                                                                                
3:40:15 PM                                                                                                                    
STEVE  MASTERMAN,  State  Geologist  and  Director,  Division  of                                                               
Geological  and   Geophysical  Surveys,  Department   of  Natural                                                               
Resources  (DNR), Fairbanks,  Alaska, said  that the  Division of                                                               
Mining,  Land,  and  Water  is  transitioning  from  unrestricted                                                               
general  funds to  designated general  funds. He  noted that  the                                                               
Division of  Parks and  Recreation is  making that  transition as                                                               
well.  The  Division  of  Forestry  is  funding  a  certification                                                               
program with  industry receipts, and the  Division of Agriculture                                                               
has  increased  fees   by  20  percent  to   fund  operations  by                                                               
designated general funds. He said it  is a business model for DNR                                                               
to transition to revenues that  are designated by its activities,                                                               
and SB 170 would be an extension of that model.                                                                                 
                                                                                                                                
CHAIR GIESSEL  said spoke  of Texas  charging a  fee for  using a                                                               
geologic materials center,  which she toured, and  she asked what                                                               
other states do.                                                                                                                
                                                                                                                                
MR. MASTERMAN said  there are 28 core depositories  in the United                                                               
States  and Canada,  and of  the  10 depositories  that are  over                                                               
25,000  square feet  in size,  seven charge  a fee.  Alaska's GMC                                                               
[geologic materials center] is 100,000  square feet, he added. Of                                                               
the smaller facilities, about half charge a fee.                                                                                
                                                                                                                                
3:43:36 PM                                                                                                                    
CHAIR GIESSEL noted a chart  Mr. Masterman provided and asked how                                                               
fees are set.                                                                                                                   
                                                                                                                                
MR.  MASTERMAN answered  that he  is looking  at fees  from other                                                               
facilities. He  noted that  Alaska's [proposed  fees] are  in the                                                               
middle  or  lower/middle of  the  range.  Industry has  expressed                                                               
concern, "and so  we are very cognizant of not  charging too much                                                               
for these  services." The facility  should be successful  but not                                                               
drive people away, he opined.                                                                                                   
                                                                                                                                
CHAIR GIESSEL asked how industry uses the GMC.                                                                                  
                                                                                                                                
MR.  MASTERMAN  explained  that   the  inventory  is  online  and                                                               
available. Every rock in the facility  has a barcode, and all are                                                               
geographically  referenced  and  can  be  searched  by  location,                                                               
prospect,  commodity type,  or borehole  name. He  said that  the                                                               
drill samples represent  over 48 million feet  of drilling. There                                                               
are  over  330,000  surface  samples   and  about  200,000  "thin                                                               
sections" that  have been  donated to the  state. To  gather that                                                               
information now would take tens of  billions of dollars, so it is                                                               
very valuable.                                                                                                                  
                                                                                                                                
SENATOR WIELECHOWSKI  asked about a  letter dated on  February 16                                                               
where Mr. Masterman said he would not charge for donations.                                                                     
                                                                                                                                
MR. MASTERMAN  explained that there  is no charge if  people give                                                               
rocks to the division.                                                                                                          
                                                                                                                                
SENATOR WIELECHOWSKI asked if school groups will be charged.                                                                    
                                                                                                                                
MR. MASTERMAN said  no. The division received  money from Walmart                                                               
to  support educational  uses, and  the university  does use  the                                                               
facility for core workshops.                                                                                                    
                                                                                                                                
3:48:00 PM                                                                                                                    
SENATOR WIELECHOWSKI suggested putting such language in statute.                                                                
                                                                                                                                
MR. MASTERMAN  said that would  be very appropriate. "We  love to                                                               
have the kids come out there."                                                                                                  
                                                                                                                                
SENATOR STOLTZE  said he grew up  in the area and  his elementary                                                               
school  took him  there on  field trips,  "and I  think I'm  much                                                               
enriched as a result."                                                                                                          
                                                                                                                                
SENATOR  COSTELLO noted  that legislators  thought the  issue was                                                               
addressed last  session. She  had visited  the old  center, which                                                               
looked like something from Samson and  Sons. She took her boys on                                                               
a tour, and it is quite an educational opportunity, she stated.                                                                 
                                                                                                                                
SENATOR MICCICHE said he appreciates  DNR covering its costs, but                                                               
he referred to resistance from DNR on similar efforts.                                                                          
                                                                                                                                
3:50:46 PM                                                                                                                    
MARY  NANUWAK, representing  herself,  Bethel,  Alaska, said  all                                                               
fees  should be  the  same for  everyone  except nonresidents  or                                                               
attorneys  who  will gain  from  it.  She  spoke of  hunting  and                                                               
fishing fees  for Native  Alaskans who  rely on  subsistence, and                                                               
then  was  reminded  that  the   current  discussion  related  to                                                               
geologic materials.  Ms. Nanuwak noted that  certain Native lands                                                               
are  not supposed  to be  occupied by  state agencies,  including                                                               
grave sites and subsistence areas.                                                                                              
                                                                                                                                
CHAIR  GIESSEL,  finding  no   further  comments,  closed  public                                                               
testimony.                                                                                                                      
                                                                                                                                
SENATOR WIELECHOWSKI  suggested a  conceptual amendment  to allow                                                               
school groups to use the GMC without a fee.                                                                                     
                                                                                                                                
CHAIR GIESSEL suggested adding the language to Section 3.                                                                       
                                                                                                                                
SENATOR COSTELLO suggested  it include children who  are not with                                                               
a formal school group, making it less preclusive.                                                                               
                                                                                                                                
SENATOR  MICCICHE  noted that  the  goal  is to  charge  industry                                                               
groups for access to the core samples.                                                                                          
                                                                                                                                
MR. MASTERMAN agreed.                                                                                                           
                                                                                                                                
SENATOR  STOLTZE suggested  giving  DNR the  discretion to  waive                                                               
fees  for  educational purposes,  in  order  that preschools  and                                                               
university programs, for example, have free access.                                                                             
                                                                                                                                
CHAIR  GIESSEL  proffered  language   such  that  DNR  promulgate                                                               
regulations to waive fees for educational opportunities.                                                                        
                                                                                                                                
SENATOR  WIELECHOWSKI moved  conceptual amendment  [1], requiring                                                               
the department  to waive GMC fees  for educational opportunities.                                                               
There were no objections, and it was so ordered.                                                                                
                                                                                                                                
3:58:08 PM                                                                                                                    
SENATOR  COSTELLO  moved  to  report SB  170,  as  amended,  from                                                               
committee  with individual  recommendations  and attached  fiscal                                                               
notes. There  being no  objection, CSSB  170(RES) moved  from the                                                               
Senate Resources Standing Committee.                                                                                            

Document Name Date/Time Subjects
SB0170-Sponsor Statement-Version A.pdf SRES 2/29/2016 3:30:00 PM
SB 170
SB0170-Version A.PDF SRES 2/29/2016 3:30:00 PM
SB 170
SB170-Sectional Analysis-Version A.pdf SRES 2/29/2016 3:30:00 PM
SB 170
SB170-Supporting Document-Letter-DNR-DGGS.pdf SRES 2/29/2016 3:30:00 PM
SB 170
HB0137-Version S.A.PDF SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN)am - Section Analysis.pdf SRES 2/29/2016 3:30:00 PM
CSHB 137(FIN) - Summary of Changes (Ver. H to S).pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Sponsor Statement.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Delta F&G Advisory Committee.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Anchorage F&G Advisory Committee.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Leg. Finance Sport Fish and Wildlife DJ and PR Apportionment History.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Leg. Finance LFD FG Fund Analysis 2 14 15.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Leg. Finance FY14 Fish and Game Fund Analysis from FG 12 22 14.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Leg. Finance 1024 FG Funds FY1981-FY2016.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - DF&G Big Game Tag Increase Scenarios.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - DF&G Hunting Fishing License Increase Scenarios.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - DF&G Hunting License Increase Scenarios.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - DF&G King Salmon Stamp Increase Scenarios.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - DF&G Sport Fishing License Increase Scenarios.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - AK BHA Proposal 12-16-08.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - Fee Increase Effects.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - Governor Transition Team.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - License and Stamp Fee Revenue Increase.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - License and Tag Fee Increase Comparison.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - License and Tag Sales (1981-2014).pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - Outdoor Caucus Advisory Council Letter.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Supporting Document - Tag Fee Revenue Increase.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Rebecca Schwanke.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Kenai River Sportfishing Association - 3-20-15.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Keith Woodworth.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Dan Dunaway.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - BOG Chairman Spraker - 3-19-15.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Letter of Support - Alaska Backcountry Hunters & Anglers - 3-15-15.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Legal Analysis - State v. Carlson.pdf SRES 2/29/2016 3:30:00 PM
HB 137
CSHB 137(FIN) - Consolidated Letters of Support - 3-24-15.pdf SRES 2/29/2016 3:30:00 PM
HB 137
SB170-Fiscal Note-DNR.pdf SRES 2/29/2016 3:30:00 PM
SB 170
HB137-Fiscal Note-ADFG.pdf SRES 2/29/2016 3:30:00 PM
HB 137
SB170-Supporting Document-FAQs from DNR-DGGS.pdf SRES 2/29/2016 3:30:00 PM
SB 170