SENATE BILL NO. 104                                                                                                             
"An Act relating to state  aid for volunteer services; and providing                                                            
for an effective date."                                                                                                         
                                                                                                                                
                                                                                                                                
Senator Torgerson,  sponsor of SB 104, indicated that  SB 104 simply                                                            
would  pay volunteer  fire  departments  and  EMS services  $10  per                                                            
capita for the  areas that they served.  He noted  that it was a big                                                            
issue for areas such as  Cooper Landing.  He said that SB 104 was an                                                            
attempt to try to get the  fire department a little bit of money and                                                            
help offset their operating expenses.                                                                                           
                                                                                                                                
Co-Chair Kelly wondered if it was a redistribution of money.                                                                    
                                                                                                                                
Senator Torgerson believed it was new money.                                                                                    
                                                                                                                                
Co-Chair  Kelly requested  clarification that  the $863,000  was all                                                            
new money.                                                                                                                      
                                                                                                                                
Co-Chair Donley clarified that they were general fund dollars.                                                                  
                                                                                                                                
Co-Chair Kelly agreed.                                                                                                          
                                                                                                                                
Senator Torgerson agreed.                                                                                                       
                                                                                                                                
Senator   Wilken  wondered   if  there  were   any  volunteer   fire                                                            
departments  or emergency medical  services (EMS) that served  areas                                                            
with populations greater than 2,500.                                                                                            
                                                                                                                                
Senator Olson answered yes.                                                                                                     
                                                                                                                                
Senator  Green indicated  that  Chugiak and  Eagle  River both  have                                                            
volunteer fire departments.                                                                                                     
                                                                                                                                
Co-Chair Donley agreed.                                                                                                         
                                                                                                                                
Co-Chair  Donley wondered  what  the thought  was  behind the  2,500                                                            
population limit.                                                                                                               
                                                                                                                                
Senator Torgerson replied that it was in current law.                                                                           
                                                                                                                                
Co-Chair  Donley believed  that the  current  law addressed  whether                                                            
they were unorganized or organized.                                                                                             
                                                                                                                                
Senator  Torgerson  explained  that  the  2,500  opened  it  up  for                                                            
unorganized or organized.                                                                                                       
                                                                                                                                
MATT ANDERSON,  Unit Manager, EMS,  Department of Health  and Social                                                            
Services, indicated  that over the  past decade or so the  amount of                                                            
financial resources  available to small rural services  had declined                                                            
dramatically.   He pointed  out that in 2001  they were seeing  some                                                            
dynamics, which included,  an increase in the cost of operation, the                                                            
run volume had increased  and much of the capital equipment that the                                                            
services have owned were  nearing the end of their useful lives.  He                                                            
added that there  were some changes in communication  technology and                                                            
the  standards  of  care  have  increased  the  cost as  well.    He                                                            
concluded  that they  were  supportive of  efforts  to increase  the                                                            
amount of financial  resources available to rural  emergency medical                                                            
services.   He  said that  they believed  that this  kind of  system                                                            
would be  an excellent  adjunct to the  well-developed EMS  regional                                                            
system that they  have today.  He added that there  were a number of                                                            
services  that  they certify  as  EMS that  operate  in communities                                                             
greater  than  2,500.   For  example, he  listed  Anchorage,  Kenai,                                                            
Sitka, Ketchikan.                                                                                                               
                                                                                                                                
Senator  Wilken  wondered  if  he picked  a  community  like  Esther                                                            
volunteer  fire department  if there would  be a tab that showed  to                                                            
what extent the local borough  or the local people supported each of                                                            
the volunteer fire departments.                                                                                                 
                                                                                                                                
Mr.  Anderson  replied   that  they  did  not  have   that  kind  of                                                            
information.                                                                                                                    
                                                                                                                                
Senator Wilken wondered who would know.                                                                                         
                                                                                                                                
Mr. Anderson answered that  the Department of Community and Economic                                                            
Development would possibly know.                                                                                                
                                                                                                                                
BILL  ROLFZEN,  Division  of  Community  and Business  Development,                                                             
Department of  Community and Economic Development,  regarded Senator                                                            
Wilken's  question  and  indicated  that the  information  would  be                                                            
available  through  the  borough's  budget  and  year-end  financial                                                            
audit.                                                                                                                          
                                                                                                                                
Senator  Wilken  wondered  if  they  tracked  the  amount  of  local                                                            
participation   that  was   matched  with   the  state  funding   in                                                            
unorganized Alaska to support their fire department.                                                                            
                                                                                                                                
Mr.  Rolfzen  indicated  that  currently  under  the  state  revenue                                                            
program the only accounting  as far as volunteer fire departments in                                                            
the unorganized boroughs  were reported in the revenue sharing fund.                                                            
                                                                                                                                
Senator  Wilken wondered  if  Mr. Rolfzen  was aware  of some  local                                                            
participation in all volunteer fire departments.                                                                                
                                                                                                                                
Mr. Rolfzen responded  all of them contributed local  money, whether                                                            
it was through bake sales or raffles.                                                                                           
                                                                                                                                
Senator Wilken wondered  if the existing program only served 21 fire                                                            
departments in the state.                                                                                                       
                                                                                                                                
Mr. Rolfzen responded that was how many were funded in FY01.                                                                    
                                                                                                                                
Co-Chair Kelly  reported that the  bill would be HELD in  Committee.