HOUSE BILL NO. 70 "An Act establishing the farm-to-school program in the Department of Natural Resources, the Alaska grown fresh fruit and vegetable grant program in the Department of Education and Early Development, the farmers' market technology improvement pilot program in the Department of Environmental Conservation, and the farmers to food banks pilot program in the Department of Commerce, Community, and Economic Development." REPRESENTATIVE CARL GATTO, SPONSOR, presented an overview of the bill, explaining that HB 70 would help farmers and children by creating a nexus between children and real food that children can be exposed too. He noted that people do not use enough fresh food, especially children. As a result, 27 percent of high school students in Alaska are obese or overweight. The legislation would provide students with opportunities that are not currently available, such as "agriculture day" in elementary schools, which would focus on educating children about where food comes from. The bill focuses primarily on the encouragement phase, helping students to get excited about dealing with fresh food with the help of the farmers. Representative Gara appreciated the work on the Mat-Su farming issue. He asked for verification that the legislation reflects current law in regards to price preference granted to locally grown agricultural products. Representative Gatto confirmed that is correct. Representative Gatto also mentioned food security. Root cellars and farmer's storage help root crops to last throughout the year. The creation of a farm-to-school program will help children recognize this and aims at encouraging farmers to stay with farming. 2:14:05 PM Representative Austerman asked whether schools are defined in the bill. Representative Gatto did not have an answer at that time. Representative Austerman noted that work programs such as the Alaska Job Corps that teach culinary plans should be included in the legislation in addition to traditional schools. Representative Gatto agreed and noted that it is possible that the term "schools" in the bill is defined as all schools overseen by the Department of Education. 2:15:37 PM Vice-Chair Thomas MOVED to ADOPT proposed committee substitute, work draft 26-LS0284\P, Bannister, 4/8/10. Co-Chair Stoltze OBJECTED for discussion. 2:16:01 PM BEN MULLIGAN, STAFF, CO-CHAIR STOLTZE explained that the CS, which was drafted in the previous year, was updated to reflect passage in the current fiscal year. January 25, 2010 was changed to January 25, 2011 on Page 3, line 20. The sunset date was changed to July 1, 2014, in section 5, to reflect that the legislature would review the program after four years. There being NO further OBJECTION, the CS was adopted. Co-Chair Stoltze talked of farming and farming regions and observed that the bill's relevance is not just limited to the Palmer area. 2:17:45 PM Vice-Chair Thomas wondered if there is still a significant amount of farming in Tanana. Representative Kelly replied that it has grown a lot. 2:19:02 PM Co-Chair Stoltze mentioned the fiscal note and asked for any discussion from committee members. Representative Doogan asked for verification that the fiscal note was to the Resources Committee version. Co-Chair Stoltze replied in the affirmative and noted it would be updated to reflect the Finance CS. Representative Doogan noted the fiscal note included the funding for two positions and asked for a brief description of each of the positions. 2:20:57 PM FRANCI HAVEMEISTER, DIRECTOR, DIVISION OF AGRICULTURE, DEPARTMENT OF NATURAL RESOURCES, discussed the department's fiscal note. She confirmed that there are two positions requested under the bill. One position is for a Range 18 development specialist required to implement the in-school education process as well as educating the schools statewide. In addition, an agricultural inspector would be necessary if a garden program were implemented, in order to provide food inspection prior to its entry into schools for consumption. Representative Austerman observed that it appeared the legislation would only involve schools in the public system. He noted that a definition of schools is needed and that the legislation should apply to university and all others. Co-Chair Stoltze asked Representative Gatto if he would want the bill to be inclusive of all schools. Representative Gatto verified that he would like to be as inclusive as possible. He remarked that he would even like to see people who have no ability to grow crops included, as long as the impetus and structure for the program are in place with state support. Representative Austerman commented that he would also like to be as inclusive as possible for as many as possible. 2:23:37 PM Representative Doogan stated that the bill covers everything that the Department of Education accredits except for the University of Alaska. He noted that the list located on page 6, appears to be complete with the exception of the University. Representative Gara asked the department to explain whether it is already providing agricultural inspection for products that are produced in the state. He wondered why the bill required another agricultural inspector position. Ms. Havemeister answered that the position would be necessary if gardens were implemented in rural areas to guarantee that the process of clean food development is understood. There are currently two inspectors at the Division of Agriculture, and their time would not allow them to travel to rural Alaska. Representative Gara asked for verification that the department currently employs two inspectors. Ms. Havemeister agreed. Representative Gara asked if the program would increase the demand by 20 percent. Ms. Havemeister responded that implementing the program state-wide would increase expenses due to travel costs. Representative Gara voiced that there are farms statewide that have products for consumption. He noted that it is not obvious how the program differs from the agricultural inspector needs that currently exist in rural areas. Ms. Havemeister clarified that there are two inspectors for Anchorage who do inspections for large producers who sell into retail. For schools wanting to move product into the school system for consumption, there would need to be an inspection process in place. Co-Chair Stoltze voiced the need to look at the fiscal note further. 2:27:49 PM Representative Austerman asked whether rural areas with community gardens would need the produce to be inspected prior to bringing it into the schools for consumption. Ms. Havemeister affirmed. Representative Austerman asked if there would be a fee to the community for the inspection. Ms. Havemeister responded that the fiscal note does not reflect a fee for community inspection. The fiscal note would include the development specialist traveling to do more education type-work. Currently, most of the inspections are done on the road system so the department has not had to address the issue. Representative Austerman asked if a restaurant has to pay a fee for inspections, would the gardens also be subject to an inspection fee from the Department of Natural Resources (DNR). Ms. Havemeister verified the possibility and responded that DNR would have to look into it. Representative Austerman asked if DNR would anticipate regulations. Ms. Havemeister responded possibly, and noted it would depend on what schools were involved and on how extensive the travel would be. 2:29:51 PM Representative Gara noted the importance of updating the fiscal note before the bill goes to the Senate. Vice-Chair Thomas MOVED to report CS HB 70(FIN) out of Committee with individual recommendations and the accompanying fiscal notes. There being NO OBJECTION, it was so ordered. CS HB 70(FIN) was REPORTED out of Committee with no recommendations and with new fiscal notes from the Department of Education and the Department of Natural Resources. 2:31:08 PM At EASE 2:32:55 PM RECONVENED