HOUSE SPECIAL ECONOMIC DEVELOPMENT AND TOURISM COMMITTEE                                                                    
                         March 3, 1999                                                                                          
                           4:50 p.m.                                                                                            
                                                                                                                                
COMMITTEE CALENDAR                                                                                                              
                                                                                                                                
ORGANIZATIONAL MEETING                                                                                                          
                                                                                                                                
TAPES                                                                                                                           
                                                                                                                                
99-1 SIDES A & B                                                                                                                
99-2 SIDE A                                                                                                                     
                                                                                                                                
CALL TO ORDER                                                                                                                   
                                                                                                                                
CHAIR GAIL PHILLIPS called the House Special Economic Development                                                               
and Tourism Committee to order at 4:50 p.m.                                                                                     
                                                                                                                                
PRESENT                                                                                                                         
                                                                                                                                
Committee members present at the call to order were                                                                             
Representatives Dyson and Barnes. Representatives Halcro,                                                                       
Kerttula and Cissna joined the meeting at approximately 5:05 p.m.                                                               
Representative Barnes asked to be excused and left at 5:05 p.m.                                                                 
Representative Rokeberg was excused.                                                                                            
                                                                                                                                
SUMMARY OF INFORMATION                                                                                                          
                                                                                                                                
CHAIR PHILLIPS informed members that the Department of Commerce                                                                 
and Economic Development would present an overview of its                                                                       
economic and tourism development projects.                                                                                      
                                                                                                                                
DEBORAH SEDWICK, Commissioner, Department of Commerce and                                                                       
Economic Development, prefaced the interview by stating that it                                                                 
is the goal of the department to promote an active, healthy and                                                                 
expanding business community through two main tasks: one,                                                                       
consumer protection through business regulation and two, economic                                                               
development through programs that develop, strengthen and                                                                       
diversify the state's economic base.                                                                                            
                                                                                                                                
TOM GARRETT, Director, Division of Tourism, Department of                                                                       
Commerce and Economic Development, presented an overview of his                                                                 
division's goals, which are mainly to promote and market Alaska                                                                 
to domestic and international tour companies that put together                                                                  
tour packages.  The Division of Tourism encounters several                                                                      
obstacles, they include: the late opening of popular northern                                                                   
tourist highways, delays in release of the Alaska Marine Highway                                                                
System (AMHS) schedules, unannounced bag limit changes by the                                                                   
Alaska Department of Fish and Game (ADF&G) and the Department of                                                                
Environmental Conservation (DEC) food service requirements for                                                                  
bed and breakfast establishments.                                                                                               
                                                                                                                                
DAVE KARP, Director, Alaska Tourism Marketing Council (ATMC),                                                                   
Department of Commerce and Economic Development, explained his                                                                  
council's efforts to attract domestic and Canadian travelers to                                                                 
Alaska and the benefits these travelers bring to small Alaskan                                                                  
businesses.                                                                                                                     
                                                                                                                                
GREG WOLF, Director, Division of Trade and Development,                                                                         
Department of Commerce and Economic Development, explained how                                                                  
the Alaskan economy is held hostage to the ups and downs of the                                                                 
global economic swings. He elaborated on the steps Alaska can                                                                   
take to be a "price maker" rather than remain a "price taker."                                                                  
One of the most important product enhancements Alaskans could                                                                   
consider is to add value to their raw product, rather than                                                                      
passing this additional benefit along to a middleman.                                                                           
                                                                                                                                
Following the presentation, members asked a number of questions.                                                                
                                                                                                                                
CHAIR PHILLIPS thanked the presenters and said she hoped they                                                                   
would consider the committee as a partner to the Department of                                                                  
Commerce and Economic Development in its efforts to expand and                                                                  
diversify the economy of Alaska.                                                                                                
                                                                                                                                
COMMITTEE ACTION                                                                                                                
                                                                                                                                
The committee took no action.                                                                                                   
                                                                                                                                
ADJOURNMENT                                                                                                                     
                                                                                                                                
There being no further business, the House Special Committee on                                                                 
Economic Development and Tourism was adjourned by CHAIR PHILLIPS                                                                
at 6:10 p.m.                                                                                                                    
                                                                                                                                
NOTE:                                                                                                                           
                                                                                                                                
The meeting was recorded and handwritten log notes were taken.  A                                                               
copy of the tape(s) and log notes may be obtained by contacting                                                                 
the House Records Office at 130 Seward Street, Suite 211, Juneau,                                                               
Alaska 99801-1182, (907) 465-2214, and after adjournment of the                                                                 
second session of the Twenty-first Alaska State Legislature, in                                                                 
the Legislative Reference Library.