Legislature(2015 - 2016)BARNES 124
02/19/2015 12:00 PM House ECON. DEV., TOURISM, & ARCTIC POLICY
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.
| Audio | Topic |
|---|---|
| Start | |
| Department of Commerce, Community & Economic Development, Commissioner | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
HOUSE SPECIAL COMMITTEE ON ECONOMIC DEVELOPMENT, TOURISM, AND
ARCTIC POLICY
February 19, 2015
12:01 p.m.
MEMBERS PRESENT
Representative Bob Herron, Chair
Representative Louise Stutes
Representative Cathy Tilton
Representative Dan Ortiz
Representative Adam Wool
MEMBERS ABSENT
Representative Craig Johnson
Representative Charisse Millett
COMMITTEE CALENDAR
CONFIRMATION HEARING(S):
DEPARTMENT OF COMMERCE~ COMMUNITY & ECONOMIC DEVELOPMENT~
COMMISSIONER
Chris Hladick - Unalaska
- HEARD
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
CHRIS HLADICK, Commissioner Designee
Department of Commerce, Community & Economic Development
Unalaska, Alaska
POSITION STATEMENT: Speaking as the commissioner designee to
the Department of Commerce, Community & Economic Development,
provided his qualifications.
ACTION NARRATIVE
12:01:15 PM
CHAIR BOB HERRON called the House Special Committee on Economic
Development, Tourism, and Arctic Policy meeting to order at
12:01 p.m. Representatives Ortiz, Wool, Stutes, and Herron were
present at the call to order. Representative Tilton arrived as
the meeting was in progress.
^CONFIRMATION HEARING(S):
CONFIRMATION HEARING(S):
^Department of Commerce, Community & Economic Development,
Commissioner
Department of Commerce, Community & Economic Development,
Commissioner
12:01:36 PM
CHAIR HERRON announced that the only order of business would be
a confirmation hearing for Commissioner Designee Chris Hladick,
Department of Commerce, Community & Economic Development. Chair
Herron informed the committee Commissioner Designee Hladick
served as a commissioner on the Alaska Arctic Policy Commission
(AAPC) representing maritime interests and the Bering Sea and
the Aleutian Islands region. At this meeting, Commissioner
Designee Hladick would be introduced to the committee; however,
his confirmation will be advanced at a later date.
12:03:43 PM
CHRIS HLADICK, Commissioner Designee, Department of Commerce,
Community & Economic Development (DCCED), informed the committee
he has been a city manager in Alaska for 25 years and was born
and raised in Illinois. He provided a brief history of his
early work experience and said he holds a Bachelor of Science
degree in Environmental Biology, and studied geology and
engineering. His first job in Alaska was as the public works
director in Galena. Commissioner Designee Hladick described his
responsibilities as the public works director, city manager, and
electric utilities supervisor for Galena from 1990-1994. He
said his experience in Galena was difficult but a great
opportunity. He said his responsibilities as the city manager
of Dillingham from 1994-2001, were at a time when the city was
near bankruptcy, and thus he is experienced in trimming budgets
and reorganizations. A description of his experience with
various projects was included in his resume provided in the
committee packet. In 2001, he became city manager in Unalaska.
Commissioner Designee Hladick said he has knowledge and
experience in fisheries, project management, and union contract
negotiations.
12:07:48 PM
REPRESENTATIVE STUTES asked for clarification regarding the
aforementioned Galena contract.
COMMISSIONER DESIGNEE HLADICK said the contract had a 99.99
percent reliability factor, which resulted in expensive fines.
CHAIR HERRON asked why Commissioner Designee Hladick agreed to
serve as commissioner.
COMMISSIONER DESIGNEE HLADICK said, "I just decided that I was
going to give this a whirl." In further response to Chair
Herron, he anticipated that the biggest challenges will be the
budget and the completion of an assessment of the department in
order to prepare for next year.
REPRESENTATIVE TILTON asked for Commissioner Designee Hladick's
goals for DCCED.
COMMISSIONER DESIGNEE HLADICK answered he must chart a course,
for example, 25 percent cuts over the next four years, followed
by an evaluation of existing services. He said he could not
provide an idea yet, but he was familiar with the services that
are currently provided due to his 25 years of experience working
with divisions within DCCED.
CHAIR HERRON asked Commissioner Designee Hladick to provide an
example of how the delivery of DCCED services to small and large
communities can be improved.
12:12:34 PM
COMMISSIONER DESIGNEE HLADICK suggested a centralization of
services such as financing should be reviewed, in particular the
requirements for grants. Also, he has heard comments
questioning licensing practices.
CHAIR HERRON observed the House Community and Regional Affairs
Standing Committee, the House Special Committee on Economic
Development, Tourism, and Arctic Policy, and the House Special
Committee on Fisheries work with DCCED. He questioned
Commissioner Designee Hladick's recommendations, during his
service as an AAPC commissioner, that were related to DCCED
agencies that are critical to Arctic policy.
COMMISSIONER DESIGNEE HLADICK acknowledged the AAPC
Implementation Plan for Alaska's Arctic Policy recommendations
refer to regional planning and coordinating information to
prepare communities for activities, such as oil and gas
development. He was unsure of the amount of regional planning
in place "up north" and restated his intent to start with an
assessment very specific to the needs of each community.
REPRESENTATIVE STUTES asked for Commissioner Designee Hladick's
opinion on the coastal management plan, which affected coastal
communities and provided rights.
12:16:07 PM
COMMISSIONER DESIGNEE HLADICK replied that the coastal
management program was in effect in Unalaska. He remarked:
I think it can be a great tool for getting input.
There's also, I think it depends on the community as
well. [A] community can put together a public process
that makes sure all the stakeholders are at the table.
The [Coastal Resource Service Area] was a way that
kind of forced that to happen. ... I would like to, if
it does come back, to see what they're trying to build
and what they're trying to accomplish, but we had one
in Unalaska and many of the plans that they started
are still being used.
CHAIR HERRON referred again to the AAPC Implementation Plan and
noted one of the recommendations directed to DCCED and the
Department of Environmental Conservation is as follows:
Anticipate, evaluate and respond to risks from climate
change related to land erosion and deterioration of
community infrastructure and services and support
community efforts to adapt and relocate when
necessary.
CHAIR HERRON asked whether DCCED can "take on that
recommendation."
COMMISSIONER DESIGNEE Hladick assured the committee that the
department can work with a community to develop a plan that
would appeal to federal and state agencies for funding. In
further response to Chair Herron, he said he has a strong
management background that will allow him to transition from
managing 160 employees in Unalaska to 575 employees at DCCED.
REPRESENTATIVE ORTIZ asked whether Commissioner Designee Hladick
was prepared to elaborate on which functions of DCCED are
working well and which are not.
COMMISSIONER DESIGNEE HLADICK said he reserved comment at this
time.
REPRESENTATIVE WOOL asked for Commissioner Designee Hladick's
thoughts on economic development.
12:20:59 PM
COMMISSIONER DESIGNEE HLADICK responded that while he was city
manager he was connecting a Norwegian shipping company to
seafood companies in Unalaska in order to provide a shipping
route over the North Pole to markets in Europe. He pointed out
that to promote business, ordinances must not inhibit economic
development. Although he has not had a job title of economic
developer, he gained experience in this field while working in
city management.
REPRESENTATIVE STUTES observed opening the Arctic will require a
lot of infrastructure. She asked what region of the state is
best located for new infrastructure.
COMMISSIONER DESIGNEE HLADICK recalled a presentation before the
legislature many years ago in this regard, which led to the
creation of the Alaska Northern Waters Task Force. The U.S.
Army Corps of Engineers study on a northern port estimated it
would be a $250 million project which raises many financial
barriers. However, he said, "A lot of those things are going to
need to get done."
REPRESENTATIVE STUTES asked, "A lot of what things?"
COMMISSIONER DESIGNEE HLADICK responded the immediate goals are
to develop ports and put emergency response plans in place.
CHAIR HERRON advised Commissioner Designee Hladick the committee
will pose further questions at his confirmation hearing.
12:25:28 PM
REPRESENTATIVE TILTON asked how Commissioner Designee Hladick
would balance the diverse needs of all of the communities across
the state.
COMMISSIONER DESIGNEE HLADICK replied he has thought about and
talked about statewide issues for what "seems like forever."
His lobbying experience in Juneau and in Washington, D.C., often
involved statewide issues such as outer-continental shelf
revenue sharing to ensure that other communities benefit from
royalties that are paid by business activities on the North
Slope.
CHAIR HERRON noted the commissioner designee's previous
experience with the Alaska Municipal League and asked for his
opinion on revenue sharing.
COMMISSIONER DESIGNEE HLADICK acknowledged revenue sharing has
been a long-standing issue for municipalities; however,
municipal governments must understand fiscal limitations. He
acknowledged that a loss of revenue sharing is a problem for
smaller communities and if community governments "close their
doors" it will be an issue for the Division of Community and
Regional Affairs (DCRA) to address, if it has not already done
so.
12:28:46 PM
CHAIR HERRON noted he represents 32 communities, some of which
are very small, and asked whether there should be a hold
harmless provision for those tiny communities that receive
minimum revenue sharing.
COMMISSIONER DESIGNEE HLADICK agreed this should be discussed.
CHAIR HERRON stated Commissioner Designee Hladick's confirmation
hearing will be continued at a date uncertain.
12:30:26 PM
ADJOURNMENT
There being no further business before the committee, the House
Special Committee on Economic Development, Tourism, and Arctic
Policy meeting was adjourned at 12:30 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Chris Hladick Resume.pdf |
HEDA 2/19/2015 12:00:00 PM |