SENATE BILL NO. 176 An Act relating to the municipal tax exemption for inventories intended for export. Upon reconvening the meeting, Co-chair Pearce directed that SB 176 be brought on for discussion. SENATOR LOREN LEMAN again came before committee. He explained that, under current statutes, municipalities may provide tax exemptions on personal property inventories intended for export. However, the exemption is limited to the portion of the tax to accrue to the municipality and may not be applied to tax dollars that would flow to school districts. The proposed bill would delete that prohibition and allow municipalities to exempt the full amount of tax on inventories held for export outside of Alaska. This change was requested by the Anchorage Development Corporation because it feels the state will not be able to attract export business unless this impediment is removed. Co-chair Pearce called for additional testimony. None was forthcoming. Senator Sharp MOVED that SB 176 pass from committee with individual recommendations. No objection having been raised, SB 176 was REPORTED OUT of committee with a zero fiscal note from the Dept. of Community and Regional Affairs and a zero Senate State Affairs note for the Dept. of Commerce and Economic Development. Co-chairs Pearce and Frank signed the committee report with a "do pass" recommendation. Senators Jacko, Kelly, Rieger, and Sharp signed "no recommendation." Senator Kerttula was absent from the meeting and did not sign.