HOUSE FINANCE COMMITTEE March 13, 2006 4:14 p.m. CALL TO ORDER Co-Chair Meyer called the House Finance Committee meeting to order at 4:14:00 PM. MEMBERS PRESENT Representative Mike Chenault, Co-Chair Representative Kevin Meyer, Co-Chair Representative Bill Stoltze, Vice-Chair Representative Richard Foster Representative Mike Hawker Representative Mike Kelly MEMBERS ABSENT Representative Jim Holm Representative Reggie Joule Representative Beth Kerttula Representative Carl Moses Representative Bruce Weyhrauch ALSO PRESENT McKie Campbell, Commissioner, Department of Fish and Game (ADF&G) PRESENT VIA TELECONFERENCE None GENERAL SUBJECT(S): ^ Funding Fish and Game Management:  A Wise Investment in Alaska's Future  The following overview was taken in log note format. Tapes and handouts will be on file with the House Finance Committee through the 24th Legislative Session, contact 465- 6814. After the 24th Legislative Session they will be available through the Legislative Library at 465-3808. TIME SPEAKER DISCUSSION  4:14:43 PM McKie Referred to slides throughout his Campbell, presentation (copy on file.) He spoke Commissioner, of ADF&G's mission. He referred to Department of fish and wildlife as the soul of  Fish and Game Alaska. He listed the many ways (ADF&G) Alaskans enjoy opportunities and access to their living resources.  4:16:20 PM Commissioner Noted the principal reason many Campbell employees live in Alaska. He pointed out that fish and wildlife resources contribute greatly to the economy, and provide more jobs than any other sector in Alaska.  4:18:43 PM Commissioner Discussed how the fish and game Campbell investment has performed. He mentioned that the investment has rebuilt decimated commercial salmon fisheries.  4:20:02 PM Commissioner Highlighted the economic benefits to Campbell the state by commercial fisheries. Local governments benefit from fisheries-related monies.  4:21:20 PM Commissioner Shared economic statistics from commercial fisheries. He related that the investment supports sport fishing, which generates dollars for the state.  4:23:03 PM Commissioner Responded to a question from Campbell Representative Stoltze. He replied that he believes that sport fishing makes up less than 10 percent of fisheries-related income for the state. He said he would check further on the matter.  4:25:03 PM Commissioner Discussed the economic benefits to the Campbell state from hunting. He related subsistence harvesting economic benefits to the state.  4:26:56 PM Commissioner Shared that wildlife watching and Campbell fishing are central to the Alaska tourism marketing. Wildlife watching provides a large economic benefit in the form of jobs and fees.  4:28:05 PM Commissioner Highlighted a case study in Frazer Campbell Lake, where small investments yielded high returns regarding a salmon weir operation. For a $50,000 annual investment, a $2.1 million return was achieved from subsistence, hunting, bear viewing, sport fishing, and commercial fishing.  4:33:22 PM Commissioner Shared FY 06 funding sources: Campbell approximately 40 percent were federal funds and about 22 percent general funds. He pointed out the risks of relying on federal funding.  4:36:09 PM Commissioner Stated a belief that fish and wildlife Campbell resources are a wise investment. For every dollar invested in the budget,  about $35 returns to Alaska's economy.  4:38:40 PM Representative Suggested putting more trapping photos Kelly in the slide presentation. He asked about the general fund portion. Commissioner Campbell replied that $33.8 million is from general funds and federal funding is 40 percent.  4:39:45 PM Representative Asked for more information regarding Kelly designated funds. Commissioner Campbell referred Representative Kelly to the web page. He said the $156 million contains the $4.2 million EVO funds.  4:40:38 PM Representative Asked about the current status of Stoltze halibut IFQ's. Commissioner Campbell replied that the North Pacific Management Council voted down the IFQ plan for charter boat halibut. The National Marine Fisheries had been sitting on it for about six years. The Magnuson Act requires any such fishery to reflect present participation in the fishery. The feeling was that the plan was illegal and would be overturned. A stakeholders' group made up of charter operators, commercial operators, and subsistence groups was formed. They are looking at two alternatives: IFQ- based plan and a percentage plan. In both cases the charter industry needs to grow.  4:43:21 PM Representative Asked about a recent article about the Kelly lack of sufficient funds in the predator control programs. Commissioner Campbell replied that the department believes in these programs and supports those plans that have the science to back them up. The department hopes to ask the legislature for a hunting license increase next session to cover some of the needed funds.  4:45:48 PM Representative Asked if public sector use is being Kelly maximized. Commissioner Campbell responded that cost is a problem and farming it out attracts national attention.  4:48:00 PM Representative Asked if regulation would be better Kelly than law. Commissioner Campbell replied that Department of Law recommends no changes right now. The main threat to the program is from a Federal Airborne Hunting Act rather  than state law. He concluded that there would be no break in programs. Representative Kelly asked if the legislature should become involved. Commissioner Campbell said he would let them know when appropriate.  4:50:09 PM Co-Chair Meyer Inquired how out-of-state hunting licenses compare with other states. Commissioner Campbell replied that Alaska is a little higher than average. He noted the proportionality between resident and non-resident fees as a consideration. A non-resident only fee was considered. A hunting license in Alaska is a great bargain.  4:52:22 PM Representative Asked how many of the licenses sold are Stoltze full-fare. Commissioner Campbell replied he would get that information.  ADJOURNMENT  The meeting was adjourned at 4:53 PM