CHAIRMAN KELLY brought CSHB 356(FIN) am - JOINT COMMITTEE ON MILITARY BASES before the committee as the final order of business. TIM SULLIVAN, legislative staff to Representative Eldon Mulder, stated he was present to respond to questions from committee members. SENATOR TAYLOR commented it is a good bill, and he asked Mr. Sullivan to explain why the legislation is needed. MR. SULLIVAN explained that recently the Pentagon and the Secretary of Defense have stated that another round of base realignments and closures are necessary for the United Sates military to maintain its strength and readiness. The legislation would establish the Joint Committee on Military Bases in Alaska. He noted the military establishment in Alaska accounts for approximately $1.7 billion throughout the Alaskan economy. In addition, the base closure's experience to date have shown that the process requires considerable attention on the part of state government to monitor the economic and reuse potential of such base closures, and the joint committee would provide that critical attention. CHAIRMAN KELLY added that there are communities in other states that are already hiring lobbyists back in Washington, D.C., to intervene on their behalf in front of the Department of Defense, and states, such as New York, have line item appropriations in their budgets to attempt to protect their bases. However, he pointed out that neither one of those is being requested in this legislation. Responding to an inquiry from Senator Torgerson relating to the fiscal note, CHAIRMAN KELLY clarified the fiscal note is for $3,000 to cover travel expenses for committee members. SENATOR LEMAN asked if this joint committee is similar to the previous Joint Committee on Military Bases. MR. SULLIVAN acknowledged that it is. The only difference is that it establishes the joint committee through the 21st Legislature and just prior to the 22nd Legislature. CHAIRMAN KELLY pointed out that there is discussion of two new rounds of closures, one in 2001 and the other in 2002. SENATOR LEMAN noted he served on the previous joint committee, and he believes it is a very worthwhile effort for the Legislature to get involved in the issue. SENATOR TAYLOR commented he thinks it is crucial that the Legislature maintain the greatest vigilance on this process and provide the most effective effort in support of the state's congressional delegation to make certain that no more fiscal impact occurs to the state of Alaska than has already happened. SENATOR LEMAN moved CSHB 356(FIN) am be passed out of committee with individual recommendations and that it be approved for calendaring at the discretion of the Chair. Hearing no objection, it was so ordered.