HOUSE BILL NO. 41 "An Act relating to management of enhanced stocks of shellfish; authorizing certain nonprofit organizations to engage in shellfish enhancement projects; relating to application fees for salmon hatchery permits; and providing for an effective date." 1:31:06 PM Vice-Chair Johnston MOVED to ADOPT proposed committee substitute for HB 41, Work Draft 31-LS0218\U (Bullard, 04/17/19) (copy on file). There being NO OBJECTION, it was so ordered. LYNN GATTIS, STAFF, REPRESENTATIVE TAMMIE WILSON, reviewed the changes to the bill by reading a prepared statement: Page 1, line 2: Insert after projects: authorizing the Department of Fish and Game to collect fee revenue from applicants for certain salmon hatchery permits and from applicants for shellfish enhancement project permits; Page 2, Section 2, lines 15-16: Delete: $1000 Insert after fee: in the amount determined under (h)this section. Page 2, Section 3, lines 19-31 and Page 3, lines 1-6: Insert: AS 16.10.400 is amended by adding new subsections to read: (h) The department shall establish by regulation an application fee under this section in an amount that provides for the total amount of fees collected under (b) of this section to approximately equal the department's actual regulatory costs under this chapter. The department shall annually review the fee level to determine whether the department's regulatory costs under this chapter are approximately equal to the fees collected. If the review indicates that fee collections and regulatory costs are not approximately equal, the department shall adjust the application fee by regulation. In January of each year, the department shall report the fee level and any revision made for the previous year under this subsection to the office of management and budget. (i) The salmon hatchery permit fees collected under (b) of this section shall be deposited in the state treasury. Under AS 37.05.146(c), the fees shall be accounted for separately, and appropriations from the account are not made from the unrestricted general fund. The legislature may appropriate money from the account for expenditures by the department for necessary costs incurred by the department in the administration of this chapter. Nothing in this subsection creates a dedicated fund or dedicates the money in the account for a specific purpose. Money deposited in the account does not lapse at the end of a fiscal year unless otherwise provided by an appropriation. Page 3, Section 4, Chapter 12, lines 14-15: Delete: of $1000 Insert: in the amount determined under (f) of this section. Page 3, Section 4, Chapter 12, lines 25-31 and Page 4, lines 1-11: Insert: (f) The department shall establish by regulation an application fee under this section in an amount that provides for the total amount of fees collected under (b) of this section to approximately equal the department's actual regulatory costs under this chapter. The department shall annually review the fee level to determine whether the department's regulatory costs under this chapter are approximately equal to the fees collected. If the review indicates that fee collections and regulatory costs are not approximately equal, the department shall adjust the application fee by regulation. In January of each year, the department shall report the fee level and any revision made for the previous year under this subsection to the office of management and budget. (g) The shellfish enhancement project permit fees collected under (b) of this section shall be deposited in the state treasury. Under AS 37.05.146(c), the fees shall be accounted for separately, and appropriations from the account are not made from the unrestricted general fund. The legislature may appropriate money from the account for expenditures by the department for necessary costs incurred by the department in the administration of this chapter. Nothing in this subsection creates a dedicated fund or dedicates the money in the account for a specific purpose. Money deposited in the account does not lapse at the end of a fiscal year unless otherwise provided by an appropriation. Page 10, Section 16, line 2: Delete: semi artificial Insert: semiartificial 1:37:39 PM Co-Chair Wilson explained that the bill would help the program to grow and allow the department to charge back to the groups, but the money would only be used for the program. She mentioned a fee change from $100 to $1000. The department would be able to set fees based on the resources necessary to keep the program going. She indicated that the committee was waiting on a fiscal note and intended to move the bill along once it was received. She anticipated receiving the fiscal note by the following day. HB 41 was HEARD and HELD in committee for further consideration.