Legislature(2015 - 2016)HOUSE FINANCE 519

04/03/2015 01:30 PM FINANCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 80 REPEAL COLLEGE/CAREER READINESS ASSESS. TELECONFERENCED
<Bill Hearing Canceled>
+ HB 15 CREDITS FOR TIME SERVED/GOOD TIME TELECONFERENCED
<Bill Hearing Canceled>
+ Bills Previously Heard/Scheduled TELECONFERENCED
*+ HB 155 FEES; WAIVERS; CREDITS; DEDUCTIONS;TAXES TELECONFERENCED
<Bill Hearing Canceled>
*+ HB 100 UREA/AMMONIA FACILITY TAX CREDIT TELECONFERENCED
Heard & Held
+= HB 41 SPORT FISHING SERVICES TELECONFERENCED
Moved CSHB 41(FIN) Out of Committee
+= HB 49 BENEFIT CORPORATIONS TELECONFERENCED
Moved CSHB 49(L&C) Out of Committee
HOUSE BILL NO. 41                                                                                                             
                                                                                                                                
     "An Act relating to sport fishing services, sport                                                                          
     fishing operators, and sport fishing guides; and                                                                           
     providing for an effective date."                                                                                          
                                                                                                                                
2:12:54 PM                                                                                                                    
                                                                                                                                
Co-Chair  Neuman  MOVED  to  ADOPT  the  proposed  committee                                                                    
substitute  for  HB  41,  Work  Draft  29-LS0238\,  Bullard,                                                                    
3/25/15. There being NO OBJECTION, it was so ordered.                                                                           
                                                                                                                                
JANE   PIERSON,   STAFF,  REPRESENTATIVE   STEVE   THOMPSON,                                                                    
explained  the  changes  in the  committee  substitute.  She                                                                    
stated that Sections 1 and  2 were eliminated in the current                                                                    
version.                                                                                                                        
                                                                                                                                
Co-Chair  Neuman  wondered if  the  elimination  of the  two                                                                    
sections  resulted in  a positive  fiscal note.  Ms. Pierson                                                                    
responded affirmatively.                                                                                                        
                                                                                                                                
REPRESENTATIVE  CATHY TILTON,  SPONSOR,  explained that  the                                                                    
bill was a  sunset repealer of the  sport fishing licensure.                                                                    
She  spoke  in  support  of the  committee  substitute,  and                                                                    
appreciated the work to make a positive fiscal note.                                                                            
                                                                                                                                
Co-Chair Neuman queried  the issue of federal  log books and                                                                    
whether  electronic monitoring  would occur  in the  current                                                                    
year. Representative Tilton responded  that the bill did not                                                                    
cover the issue of federal log books. .                                                                                         
                                                                                                                                
HEATH HILYARD, STAFF,  REPRESENTATIVE CATHY TILTON, referred                                                                    
to  Mr. Johnson  who  had  come in  front  of the  committee                                                                    
regarding the federal issue as  related to the log books. He                                                                    
agreed with  Mr. Johnson's concerns,  but stressed  that the                                                                    
bill could not fix those concerns.                                                                                              
                                                                                                                                
2:17:37 PM                                                                                                                    
                                                                                                                                
Representative   Munoz  asked   about  the   issue  of   the                                                                    
electronic  submission  of the  data,  and  wondered if  the                                                                    
system would work in concert  with the federal programs. Mr.                                                                    
Hilyard responded that the log  books were interrelated. The                                                                    
Department  of Fish  and Game  (DFG)  collected the  halibut                                                                    
data and submitted  the data to the  National Marine Fishery                                                                    
Service. That  data would  then influence  determinations on                                                                    
annual harvest measures.                                                                                                        
                                                                                                                                
Representative Munoz asked if the  goal was to keep the data                                                                    
limited to one-time input. Mr. Hilyard deferred to DFG.                                                                         
                                                                                                                                
TOM  BROOKOVER, DEPARTMENT  OF FISH  AND GAME,  replied that                                                                    
the log book program was  intended to cover both the federal                                                                    
and  state requirements.  The  electronic  log book  program                                                                    
would  expand its  license  modernization  effort through  a                                                                    
pilot electronic log book program on the Kenai River.                                                                           
                                                                                                                                
Representative Munoz asked about the  issue of bear boats as                                                                    
an  exemption from  the charter  requirements. She  wondered                                                                    
how  that  activity  was in  the  charter  regulations.  Mr.                                                                    
Hilyard replied that  the issue was about the  point at what                                                                    
constitutes a  "charter." He explained that  there were some                                                                    
various business models  that may or may  not provide guides                                                                    
on those  boats. He  stated that the  council had  adopted a                                                                    
new  regulation  that  only  incentivized  operators  to  be                                                                    
cleverer  about  how  to   structure  their  operation.  The                                                                    
current  regulation  stipulated  that an  outfit  could  not                                                                    
provide further assistance, once the  angler line was in the                                                                    
water.                                                                                                                          
                                                                                                                                
2:23:22 PM                                                                                                                    
                                                                                                                                
Representative  Munoz was  concerned with  anglers in  small                                                                    
boats  that belong  to lodges.  She  wondered how  to get  a                                                                    
handle  on the  out  of state  fish  shipments. Mr.  Hilyard                                                                    
pointed out  that salmon  was a  state-managed fish,  so the                                                                    
state  could  put  a  limitation   based  on  residency.  He                                                                    
furthered that  halibut was a  federally regulated  fish, so                                                                    
there was no  limitation based on residency.  He stated that                                                                    
the  federal government  put  limitations  on guided  versus                                                                    
unguided fish.                                                                                                                  
                                                                                                                                
Representative Wilson  asked what  would happen if  the bill                                                                    
does not pass.  Mr. Hilyard responded that  DPS was offering                                                                    
stopgap  permits,  but  did  not  receive  any  revenue.  He                                                                    
deferred to Mr. Brookover.                                                                                                      
                                                                                                                                
Mr. Brookover  said that without  the bill, a fee  could not                                                                    
be required.                                                                                                                    
                                                                                                                                
Representative  Wilson  wanted  to  understand  all  of  the                                                                    
requirements  of  the  permit.  She  wondered  if  the  bill                                                                    
disadvantaged those people who were  only trying to fish for                                                                    
personal reasons.                                                                                                               
                                                                                                                                
Co-Chair  Thompson  commented  about  the  definition  of  a                                                                    
friend.  He  stressed there  should  be  safety measures  in                                                                    
place.                                                                                                                          
                                                                                                                                
2:28:49 PM                                                                                                                    
                                                                                                                                
Representative Wilson wanted to  hear the difference between                                                                    
someone who  wanted to fish  for food, but could  not afford                                                                    
their  own boat;  versus  a visitor  who  wanted an  Alaskan                                                                    
experience.                                                                                                                     
                                                                                                                                
                                                                                                                                
Representative Kawasaki  asked about the original  intent of                                                                    
the bill. He surmised that there  was a growth in sport fish                                                                    
charter operators. Mr. Hilyard  responded that regardless of                                                                    
the significant  restrictions on harvest levels  for charter                                                                    
fishing, the  charter fishery did  exceed its  allocation of                                                                    
halibut  by  a very  significant  margin.  He stressed  that                                                                    
there was  still a concern  about the fishery  continuing to                                                                    
exceed its harvest.                                                                                                             
                                                                                                                                
Representative Kawasaki  queried the original intent  of the                                                                    
original 2004 legislation. Mr.  Brookover responded that the                                                                    
information on  guide numbers  and their  fishing activities                                                                    
was  very limited  or not  available  in many  parts of  the                                                                    
state.  There was  a registration  requirement at  the time,                                                                    
but anyone  could come  in and  register. It  was discovered                                                                    
that  a licensing  requirement  providing information  about                                                                    
who was actively participating in the fishery.                                                                                  
                                                                                                                                
2:33:02 PM                                                                                                                    
                                                                                                                                
Representative  Kawasaki asked  why  there  was a  five-year                                                                    
sunset placed on the original  legislation, and another five                                                                    
years in  2009. Mr. Brookover  replied that he did  not know                                                                    
the reason for the five-year sunset.                                                                                            
                                                                                                                                
Representative  Kawasaki  recalled  a discussion  about  the                                                                    
need for  some receipts  to enact the  log book  program. He                                                                    
explained  that there  was a  discussion in  2009 about  DFG                                                                    
needing  a revenue  stream  to continue  the  log book.  Mr.                                                                    
Hilyard replied that he was not aware of that conversation.                                                                     
                                                                                                                                
Co-Chair  Neuman said  that he  had spent  some time  on the                                                                    
legislation, so he offered some  responses to some committee                                                                    
members'  inquiries.   In  response   to  a   question  from                                                                    
Representative  Kawasaki,  he said  that  DFG  did not  need                                                                    
additional funds to fully implement  and expand the log book                                                                    
program.  The   department  had  completed   the  electronic                                                                    
licensing program,  so no further  funds were  necessary. He                                                                    
stated that  the program was initially  formulated to ensure                                                                    
safety.                                                                                                                         
                                                                                                                                
Representative Gattis  looked at  it from the  standpoint of                                                                    
how it affected  her district. She did not  feel it affected                                                                    
the  Mat-Su.  She  stressed  that it  was  truly  about  the                                                                    
electronic log book.                                                                                                            
                                                                                                                                
2:39:26 PM                                                                                                                    
                                                                                                                                
Representative  Pruitt wanted  to  return to  the bare  boat                                                                    
situation.  He wanted  to  know if  those  were exempt.  Mr.                                                                    
Hilyard replied that they may or may not be exempt.                                                                             
                                                                                                                                
Representative  Pruitt wondered  if  there were  individuals                                                                    
who   were  taking   money  from   other  Alaskans   by  not                                                                    
participating in  the program. Mr. Hilyard  replied that the                                                                    
ethical businesses were  paying their taxes, but  may not be                                                                    
licensed to guide.                                                                                                              
                                                                                                                                
Co-Chair  Neuman shared  that  there were  skiff rentals  in                                                                    
Southeast Alaska that did not require guides.                                                                                   
                                                                                                                                
2:42:51 PM                                                                                                                    
                                                                                                                                
RYAN   MAKINSTER,   DIRECTOR,    SOUTHEAST   ALASKA   GUIDES                                                                    
ORGANIZATION  (via teleconference),  spoke in  favor of  the                                                                    
bill.  He stated  that the  program had  worked well  in the                                                                    
past, and  was beneficial to his  organization's members and                                                                    
the industry. He stated that  the industry standards, safety                                                                    
requirements, insurance,  and ability  to track data  in the                                                                    
log book were all beneficial to the industry.                                                                                   
                                                                                                                                
2:45:00 PM                                                                                                                    
                                                                                                                                
ANDY  MEZIROW, GOVERNOR'S  APPOINTEE, NORTH  PACIFIC FISHERY                                                                    
MANAGEMENT COUNCIL  (via teleconference), spoke in  favor of                                                                    
the bill.  He understood that  there was some  resistance to                                                                    
doubling  the fee,  but  felt that  the  fee increase  would                                                                    
stabilize the  program to  2026. He  felt that  the industry                                                                    
would help the  current budget crisis. He  remarked that the                                                                    
log  books   were  used  to  determine   the  guided  angler                                                                    
participation,  catch levels,  and  release mortality.  Each                                                                    
guide must  be identified  in order  to proper  regulate the                                                                    
industry.                                                                                                                       
                                                                                                                                
Co-Chair Thompson CLOSED public testimony.                                                                                      
                                                                                                                                
2:47:41 PM                                                                                                                    
                                                                                                                                
Representative  Munoz  queried  the difference  between  the                                                                    
nonresident  and  resident  fishing limits  on  salmon.  She                                                                    
wondered if  a person  on a bare  boat would  have different                                                                    
fishing  limits   than  a  guided  operation.   Mr.  Hilyard                                                                    
responded  the  salmon limit  was  based  on residency,  not                                                                    
whether  the  angler  was  with  a guide  or  no  guide.  He                                                                    
believed that the  limit for king salmon in  Southeast was 3                                                                    
per day for a resident, and 2 per  day - with a maximum of 6                                                                    
annually - for a nonresident.                                                                                                   
                                                                                                                                
Co-Chair Neuman  remarked that it  was anticipated  that the                                                                    
regulations be implemented March  31, 2016. He remarked that                                                                    
staff  must be  in  place  to work  on  the  log books.  Mr.                                                                    
Brookover agreed. He stated that  the department was issuing                                                                    
log  books  in  2015,  and proceeding  accordingly.  He  was                                                                    
confident  that the  regulations could  be in  place by  the                                                                    
deadline.                                                                                                                       
                                                                                                                                
2:51:34 PM                                                                                                                    
                                                                                                                                
Co-Chair  Neuman asked  Representative  Tilton about  making                                                                    
sure  there was  not a  gap with  funding and  the effective                                                                    
date.                                                                                                                           
                                                                                                                                
Co-Chair Neuman discussed the fiscal note.                                                                                      
                                                                                                                                
Co-Chair  Neuman  MOVED  to  report   CSHB  41(FIN)  out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
There being NO  OBJECTION, CSHB 41(FIN) was  REPORTED out of                                                                    
committee  with  a  "no recommendation"  recommendation  and                                                                    
with a  new fiscal impact  note from the Department  of Fish                                                                    
and Game.                                                                                                                       
                                                                                                                                
2:55:14 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
2:57:05 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects
CSHB 15 Sponsor Statement.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
CSHB 15 Ver. JUD Explanation of Changes.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
CSHB 15 Ver. JUD Sectional.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB15 Supporting Document 1 - BITAD Alcohol monitoring technology utilized by Alaska DOC.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB15 Supporting Document 2 - US Dept. of Justice Electronic monitoring and recidivism.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB15 Supporting Document 3 - Electronic Monitoring Requirements.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB15 Supporting Document 4 - Electronic Monitoring Terms and Conditions.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB15 Supporting Document 5 - DOC House arrest and EM program indigent form.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB15 Supporting Document 6 - Use of electronic monitoring in the Alaska.pdf HFIN 4/3/2015 1:30:00 PM
HB 15
HB80_Sectional_Letterhead.docx HFIN 4/3/2015 1:30:00 PM
HB 80
HB80_Sponsor Statement.pdf HFIN 4/3/2015 1:30:00 PM
HB 80
HB80_Testing Requirement Briefing Memo.pdf HFIN 4/3/2015 1:30:00 PM
HB 80
HB 41 NEW FN DFG Sport Fisheries.pdf HFIN 4/3/2015 1:30:00 PM
HB 41
HB 100 Support additional.pdf HFIN 4/3/2015 1:30:00 PM
HB 100
HB 41 Letters.pdf HFIN 4/3/2015 1:30:00 PM
HB 41