SB 258-SET NET SITES/ SHORE FISHERIES DEVELOPMT                                                                   
                                                                                                                                
CHAIRMAN HALFORD  announced SB 258  to be up for consideration.   He                                                            
noted  that during  a previous  hearing,  the committee  heard  very                                                            
strong  opposition  to  doing  away with  the  shore  fishery  lease                                                            
program  and creating  a registration  program.   He  would like  to                                                            
change the  bill to create the same  kind of provisions to  preserve                                                            
and  protect  the  shore  fishery  leases  with  designated  program                                                            
receipts.   They  currently  generate $360,000  per  year while  the                                                            
program costs  $300,000.  It would  have the same kind of  "dumping"                                                            
provision  as SB 283 so that  it will not  create a large  fund that                                                            
will be targeted  for other purposes.   He felt it is ridiculous  to                                                            
repeal  a program  that  is making  money and  is  supported by  the                                                            
users.  He said he would  like to prepare a committee substitute and                                                            
bring it  before the  committee.   He noted  that, regarding  timber                                                            
sales, one problem is whether DNR has any.                                                                                      
                                                                                                                                
SENATOR TAYLOR  commented that every  time DNR wants to do  a timber                                                            
sale, the legislature  has to take  capital budget funds  that could                                                            
have been used to get federal  funding.  Then, any revenue generated                                                            
by the sale gets put in the general fund and disappears.                                                                        
                                                                                                                                
CHAIRMAN  HALFORD asked if  there is any  revenue from timber  sales                                                            
right now.                                                                                                                      
                                                                                                                                
SENATOR  KELLY said  there  has been  for the  last  four years  but                                                            
right now is a down time.                                                                                                       
                                                                                                                                
SENATOR MACKIE  said this is a good  suggestion for the shore  lease                                                            
program, as well  as for timber sales, and he would  support putting                                                            
all three programs into one bill if it can be done.                                                                             
                                                                                                                                
CHAIRMAN HALFORD expressed  concern about adding things to the shore                                                            
fishery lease  program bill that might  be controversial  and create                                                            
problems.                                                                                                                       
                                                                                                                                
SENATOR  LINCOLN commented  that she  thought they  should keep  the                                                            
shore  fishery   lease  program   bill  as   a  separate  piece   of                                                            
legislation.                                                                                                                    
                                                                                                                                
CHAIRMAN HALFORD said the  shore fishery lease program and land sale                                                            
program could  be combined  into one bill.    In both programs,  the                                                            
activity generates the  money.  He said his concern about the timber                                                            
sales program  is that it needs to be a piece of the  puzzle that is                                                            
ready to go. He announced  they would prepare a committee substitute                                                            
for whatever they can make work and hear it on Wednesday.