Sponsor Statement and Sectional Analysis for HB 228

Board of Agriculture, Agriculture Development Corporation

4/3/97

I submitted this bill in response to numerous requests from members of the agricultural industry in Alaska. It restructures the way state agricultural services will function in our state, making them more responsive to the industry's needs and more in touch with the grass-roots operations of our producing farmers.

Alaska needs to encourage agricultural development! We need to remove roadblocks and allow the industry to grow and prosper, for the benefit of our state and all its citizens.

This bill is just a starting point, and we plan to expand the duties and authorities of the Agriculture Development Corporation once we agree upon its formation. We welcome all input and suggestions.

Section 1 adds an entire new chapter to Title 3, "Agriculture and Animals":

"CHAPTER 9, BOARD OF AGRICULTURE."

New Sec.03.09.010 establishes a 5-member Board of Agriculture:

• One member shall be a member of a chartered statewide agriculture promotion organization;
• One shall be a member of a chartered statewide agriculture conservation organization;
• Two shall be engaged in two different commercial production agriculture enterprises, from two different geographic areas;
• One shall have general business or financial experience.

Board members will serve staggered three-year terms, and will receive $100 per day compensation plus authorized per diem and travel expenses when on official board business.

New Sec.03.09.020 authorizes the Board of Agriculture to elect a chair and a vice-chair, and to appoint an executive director and employ staff.

New Sec.03.09.030 defines a quorum and procedures for board meetings.

New Sec.03.09.040 authorizes the Board of Agriculture to make recommendations to the Commissioner of Natural Resources regarding the classification of land as agricultural.

Once a parcel of land is classified as agricultural, this section also authorizes the Board of Agriculture to actually dispose of the land.

The Director of the D.N.R. Division of Lands is thus removed from the process of disposing of agricultural land, while the existing Title 38 lottery and auction provisions remain the same.

Section 2 adds a new section, Sec.03.10.015

This establishes the Agriculture Development Corporation, as a public corporation of the state. The Board of Agriculture serves as the corporation's Board of Directors.

Sections 3 - 13 make changes to existing law, substituting:

• Agriculture Development Corporation for [Department]
• Board of Agriculture for [Department]
• Corporation for [Director of the Division of Agriculture of the Department]
• Board of Agriculture for [Commissioner]
• Board of Agriculture for [Agricultural Revolving Loan Fund Board] and transferring the associated authorities to the Board of Agriculture and the Agriculture Development Corporation.

Section 14 adds the Board of Agriculture's executive director and staff to the list of state service positions exempt from the State Personnel Act, Title 39.

Section 15 adds the Board of Agriculture to the Definitions in Title 39, "Public Officers and Employees."

Section 16 repeals sections in existing law defining the Agricultural Revolving Loan Fund Board and its duties and obligations. The ARLF Board is thus eliminated and replaced with the Board of Agriculture.

Section 17 allows for staggered terms of initial Board of Agriculture members: one initial members shall serve one year, and two shall serve two years.

Section 18 sets the effective date for this bill as July 1, 1998.