House panel hears bill to create Alaska Innovation Council; fiscal note would add one manager

Lawmakers on the Alaska House Finance Committee on April 24 heard testimony on House Bill 34, which would establish a 12-member Alaska Innovation Council to coordinate research, commercialization and investment strategies across the state.

The bill’s sponsor, Representative Kai Holland, said the council would “identify barriers, recommend solutions, and support entrepreneurs, innovators, and investors,” and produce an annual competitiveness plan and innovation index to guide policy and investment decisions.

Corbin Morrison, staff to Representative Holland, told the committee that HB 34 “establishes the Alaska Innovation Council, a strategic initiative designed to accelerate the growth of emerging industries and diversify Alaska’s economy.” Jared Reynolds, director of the University of Alaska Center for Economic Development, testified that Alaska starts many companies but “we do struggle to innovate, commercialize, and scale companies at a pace that retains the most promising companies and keeps talent and IP in Alaska.”

Hannah Lager, Administrative Services Director for the Department of Commerce, Community and Economic Development (DCCED), walked the committee through the department’s fiscal note (control code TQLKY), which requests $350,500 in general funds to support personal services, contractual research and analytics, and department core costs. Lager said the personal services request is for one program manager “to support the council’s activities that includes supporting the board, keeping the work going throughout the year, facilitating their deliverables and their reporting, and liaising with other organizations and agencies.” She said the contractual portion would support research and an innovation index the state does not currently maintain.

Lager also told the committee that a second fiscal note previously filed by the Alaska Industrial Development and Export Authority (control code GLROD) is no longer applicable because that section was removed from the bill.

Members asked about council membership and scope. Holland said the bill was narrowed from an earlier 19-member version to the current 12-member model to reduce travel and staffing needs and focus the council’s work. He described the council’s duties as including facilitating commercialization, identifying industries with emerging advantage, and promoting private investment and regional coordination. Representative Tim Stapp and others expressed general support for turning planning documents into implementable action.

The committee did not take a vote on HB 34. Co-chair Foster said the panel would set the bill aside and take it up again at a later date.

The committee scheduled additional bills for the next day but adjourned without acting on HB 34.