HJR 16-DISABLED VETERANS PROCUREMENT PREFERENCE  9:59:16 AM CHAIR MENARD announced the final order of business would be HJR 16. [CSHJR 16(L&C) was before the committee.] KAREN SAWYER, staff to Representative Carl Gatto, sponsor of HJR 16, said a service disabled veteran is a veteran who possesses a disability rating letter issued by the Department of Veteran Affairs establishing a service connected rating between 1 and 100 percent disability. A veteran-owned business means that same veteran owns at least 51 percent of the business or stock or performs management and daily business operations. The procurement preference refers to the 2003 Veterans Benefits Act, which strengthened a law allowing service disabled veterans to go into business for themselves by bidding on federal contracts. Three percent of all federally budgeted dollars were to be set aside for these business, ensuring that small business in the state owned by these veterans were able to received sole source and restriction competition contracts for goods and services used by the federal government. However, that has not been happening. HJR 16 urges the President to direct all federal agencies in the state to fully comply with the 3 percent procurement preference. HJR 16 also requests the house and senate small business committees and committees on veteran affairs to hold joint oversight hearings, in Alaska, into the refusal or failure of these agencies to comply. According to the Small Business Administration, which oversees the program, as of 2008 only 4 out of 24 federal agencies nationwide were meeting the goal. 10:02:51 AM CHAIR MENARD opened public testimony. RIC DAVIDGE, National Chairman, Economic Opportunities Committee for Vietnam Veterans of America and In-state Council President, Vietnam Veterans of America, and founding board member, Alaska Veterans Business Alliance said U.S. Presidents have signed executive orders and all agencies have been directed to put together strategic plans showing implementation of the 3 percent procurement preference. And yet, particularly in Alaska, the procurement officers say they are too busy and this is too much trouble. He said 300 service disabled veteran owned businesses from Alaska are registered. These businesses are discouraged about getting involved in federal procurement contracts in Alaska which are often in the tens of millions of dollars. The Army Corps of Engineers has made a significant effort and has exceeded the 3 percent set-aside showing that it can be done. 10:05:40 AM A state resolution, focused on the problem and calling for oversight hearings, would bring needed attention to the problem. TIM WHEELER, National Director, Economic Opportunities, Veterans of Modern Warfare, Washington D.C. and board member, Alaska Veteran's Business Alliance, said the Veterans Entrepreneurship Act was passed nearly 11 years ago and is still not working. He has attended many meetings, particularly with the Department of Defense (DOD) in Anchorage, who told him the goals are being met nationwide but nationwide goals were never met. Veterans who want to go into business for themselves are disheartened. He noted HJR 16 has no fiscal note asked for immediate passage. 10:08:30 AM SENATOR MEYER asked Mr. Wheeler if other states have similar resolutions. MR. WHEELER replied yes but does not know which states off hand. Several organizations are involved at a national level. 10:09:55 AM CHAIR MENARD closed public testimony. 10:10:11 AM SENATOR MEYER moved to report HJR 16 from committee with individual recommendations and attached fiscal note(s). CHAIR MENARD announced that without objection, CSHJR 16(L&C) moved from the Senate State Affairs Standing Committee.