SENATE BILL NO. 95 "An Act relating to the child care assistance program and the child care grant program; and providing for an effective date." SENATE BILL NO. 96 "An Act relating to education tax credits for certain payments and contributions for child care and child care facilities; relating to the insurance tax education credit, the income tax education credit, the oil or gas producer education credit, the property tax education credit, the mining business education credit, the fisheries business education credit, and the fisheries resource landing tax education credit; providing for an effective date by amending the effective date of secs. 1, 2, and 21, ch. 61, SLA 2014; and providing for an effective date." SENATE BILL NO. 97 "An Act establishing a big game guide concession area permit program on land in the state; relating to the duties of the Big Game Commercial Services Board, the Board of Game, the Department of Fish and Game, and the Department of Natural Resources; requiring the Board of Game to establish an initial big game guide concession area; and providing for an effective date." 9:05:01 AM MEGAN WALLACE, CHIEF COUNSEL, LEGISLATIVE LEGAL SERVICES (via teleconference), affirmed that the three bills on the agenda were related to the passage of SB 189, which had passed the previous session and was enacted into law. She continued that the three bills together, in addition to the contents of SB 80, were contained in SB 189 last session. Ms. Wallace informed that an issue had arisen under Article 2 Section 13, which required bills to be combined to a single subject. She said that SB 189 has been challenged under the single subject rule. She referenced a lawsuit filed in the Juneau Superior Court (copy on file) regarding an alleged constitutional violation, that SB 189 violated the single-subject clause because there was no single subject to describe the contents of the bill after the various components had been added at the end of last session. Ms. Wallace relayed that the status of the pending litigation was that the plaintiff, former Representative David Eastman, had filed a motion for summary judgement asking the court to invalidate the passage of SB 189. In response the state had filed a motion for a stay of proceedings until the end of session to allow the legislature to pass curative legislation. The motion asked that the court give the legislature time to hear the alleged defects. The plaintiff had opposed the motion and requested oral argument on the motion to stay. There had not been a ruling on the motion to stay. 9:08:31 AM Ms. Wallace explained that the passage of the bills, irrespective of pending litigation, would ensure that if the litigation was successful, once the bills were passed there would be no impact to the law previously passed by the legislature. If the curative legislation was not passed, there was some risk that if the court struck down the passage of SB 189, all provisions of the bill would be struck down and the legislature would have to bring the impacted items back to the table. 9:09:55 AM Senator Kiehl expressed an appreciation for the briefing. He relayed that his work in committee would reflect the merits of the legislation and not the reason that the items were back before the committee. SENATE BILL NO. 97 "An Act establishing a big game guide concession area permit program on land in the state; relating to the duties of the Big Game Commercial Services Board, the Board of Game, the Department of Fish and Game, and the Department of Natural Resources; requiring the Board of Game to establish an initial big game guide concession area; and providing for an effective date." 9:10:33 AM Co-Chair Hoffman relayed that this was the bills first hearing. SENATOR CATHY GIESSEL, SPONSOR, explained that there was a long-standing problem on state lands that included overhunting and conflicts between resident, subsistence, and guided hunters. The guide concession program would create areas much like federal concession land areas and would limit the number of hunters in each area. The provision would prevent an overabundance of guided hunts in hunting areas. There was no limit placed on Alaska resident hunters or subsistence hunters. Senator Giessel continued that a big game guide would have to go through a competitive process. The permit area would be granted for a ten-year duration and applicants could compete for concession areas. There were limited transferability conditions provided in the bill for the permits should there be a need for transference. There was a fee structure that would support the program. The federal program had been very successful, and the bill modeled that program. She relayed that she knew resident hunters that had felt overwhelmed by guided hunts taking place in the areas. There was a public, competitive process and the program would start with one game unit before expanding after success was demonstrated. Senator Giessel noted that the subject of the bill had been considered over several years. She emphasized that support for the bill had grown over the years. She noted that guided hunts brought in a huge amount of revenue to the state and contributed to the Department of Fish and Game Division of Wildlife - $15.2 million per year. She noted the committee concern that boards and commissions be self- funded. She shared that the Big Game Board had been a deficit of $1 million but had paid their debt and the board was now solvent and would oversee the program. 9:15:30 AM 9:15:44 AM Co-Chair Stedman asked for a detailed explanation of how the initial permits would be issued. He pondered that the permits would last ten years, and wondered how the permits would be renewed. He asked whether the bill would lead to the privatization of natural resources. He thought that limited entry fishing had created problems. Senator Giessel drew attention to Section 3 of the bill, which addressed the open competitive permit process: Section 3: Creates new section AS 38.05.021 empowering  the Department of Natural Resources (DNR) to  administer the implementation of the big game guide  concession area permit program on land approved by the  BOG. Outlines that the overarching goals of the guide concession program are to encourage long-term minded conservation, enhance customer experience, reduce user conflicts, and ensure responsible, professional, economically guiding industry. Establishes the features of the guide concession program permits: 1. All permits are awarded an open, public, and competitive process. 2. A guide may not hold more than three concession permits at a time. 3. Permits are valid for 10 years. 4. Permits may not be extended or renewed without the same open, public, and competitive process. 5. Permits may be transferred to another individual based on conditions set in regulation that are consistent with the overarching goals of the guide concession program. 6. If the terms of statute or regulation are violated, permit may be suspended or revoked after the permit holder has been given written notice and opportunity to be heard. Section 3 further empowers the DNR, in consultation with the BOG, DF&G, and BGCSB, to adopt the necessary regulations including the qualifications for full and limited concession permits, process for issuing the permits, and the collection of fees; grants DNR or their designee the authority to enforce the terms of this program; allows DNR to keep confidential any proprietary, commercial, and financial information provided by concession permit applicants; and includes definitions. 9:17:57 AM Co-Chair Stedman understood that the system would be a bid system with renewal possible after 10 years. Senator Giessel deferred to Joe Felkl from the Department of Fish and Game. 9:19:00 AM JOE FELKL, LEGISLATIVE LIAISON, DEPARTMENT OF FISH AND GAME, introduced himself. Co-Chair Stedman asked for clarity regarding how the permits would be initially issued and then renewed or extended. Mr. Felkl relayed that the issuance of the permits would reside in DNR, and the Board of Game would decide how many permits were appropriate per area. He said that when a term expired the permit would have to go through the process all over again. Co-Chair Stedman hoped to hear from DNR on the matter. Co-Chair Hoffman asked whether the Board of Game had taken a position on the bill. Mr. Felkl relayed that the board had adopted a proposal which would establish a guide concession area for Dall Sheep. He believed the board chair had provided a letter of support the previous year. 9:20:42 AM Senator Kiehl asked whether the state ran the risk of pushing the overcrowding situation around. INTIMAYO HARBISON, STAFF, SENATOR CATHY GIESSEL, relayed that was not the intent of the bill. The intent was to issue a first permit to see how the program worked and then expand. 9:22:12 AM Co-Chair Hoffman OPENED public testimony. 9:22:39 AM GEOFFREY TOY, STAFF ATTORNEY, ALASKA FEDERATION OF NATIVES, ANCHORAGE (via teleconference), spoke in support of the bill. 9:23:45 AM MARK RICHARDS, EXECUTIVE DIRECTOR, RESIDENT HUNTERS OF ALASKA, FAIRBANKS (via teleconference), spoke in opposition to the bill. He asserted that the state did not have the funds to regulate the guide industry program. He noted that the fiscal note for the bill. Mr. Richards thought that the bill would lead to litigation. He felt that the Big Game Board had failed to regulate their industry. 9:26:43 AM SAM ROHRER, PRESIDENT, ALASKA PROFESSIONAL HUNTERS ASSOCIATION, KODIAK (via teleconference), testified in support of the bill. He addressed an earlier question related to how the state might avoid problems seen in limited entry fishing. He pointed out that the permits were limited to 10 years and were not primarily monetarily based, but rather considered operations, safety, and conservation measures. 9:28:58 AM Co-Chair Hoffman CLOSED public testimony. 9:29:05 AM Senator Kiehl addressed three fiscal notes. He spoke to FN 1, OMB Component 473. The note showed a cost of $112.3 and included one full-time position. Senator Kiehl addressed FN 2 from the Department of Fish and Game, OMB Component 2048. The amount was $14.4 and was also reflected in the governor's budget request. Senator Kiehl addressed FN 3 from the Department of Natural Resources, OMB Component 3002. The note showed a cost of $341.6 in FY26, with two, full-time positions and indeterminate revenues from permitting fees. 9:30:44 AM Co-Chair Stedman wondered whether there was consideration given to making the program self-sustaining, rather than the funds coming from the general fund. Senator Giessel could not speak definitively to what the board would do but suspected that board would ensure that the fees covered the program. Co-Chair Stedman asked whether the board would cover the costs of the three full-time positions. Senator Giessel did not have the ability to answer the question. Co-Chair Stedman thought that further discussion on the bill should include the issues brough up by Mark Richards during his public testimony. Co-Chair Hoffman agreed. SB 97 was HEARD and HELD in committee for further consideration.