Ogan, Kohring hesitant on tourism funding

The gavel dropped in Juneau on the second session of the 22nd Alaska State Legislature yesterday and Alaska's tourism industry is there, asking for $12.5

million in emergency funding for its 2002 marketing budget.

The appropriations have the support of Gov. Tony Knowles, and they come at the suggestion of a Knowles-appointed task force. The group studied the effects on the Alaskan economy of the September terrorist attacks.

Mat-Su's all-Republican delegation may end up split on the issue. Rep. Scott Ogan, of Palmer, said he would listen to the industry before deciding on the issue, but Wasilla's Rep. Vic Kohring all but promised a thumbs down on the plan. Legislators were moving to their Juneau offices last week, and the Frontiersman only contacted Kohring and Ogan for this article. Both Kohring and Ogan predicted the appropriation will pass in some form.

"I know that my position on the tourism appropriation isn't going to be popular with the people in that industry," Kohring said. "I have to follow my conscience and tell them how I feel -- But I think you'll find that when you're honest with people and tell them what you really believe they respect that."

Coming into his eighth year in Juneau, Kohring said he is still working for a smaller government that avoids appropriations. He said he supports spending on basic needs, such as infrastructure and education, but doesn't support special appropriations even in tough times.

Last year Kohring voted against the majority of legislators on a special appropriation for the Bristol Bay Region. A downturn in fish prices had dragged the region's economy down, and emergency funding was requested. As for infrastructure funding, Kohring -- who chairs the House Transportation Committee -- supported the administration's plans to sell bonds guaranteed against future federal transportation dollars.

"I've got to vote my conscious," Kohring said. "That's a reflection of my eight years in Juneau and my philosophy, and that's to achieve a limited government and not one that passes out appropriations like Santa Claus."

The tourism industry's message is that the appropriation has to be passed fast in order to repair the damage done by the Sept. 11 attacks. The industry's Band-Aid for the expected slump is to increase an already planned marketing strategy.

"Timing is very critical," said Dennis Brandon, president of CIRI Alaska Tourism, a subsidiary of Cook Inlet Region Incorporated (CIRI). "One of the underlying factors is that we really need to do this and do it now."

Brandon has worked in Alaska tourism since the late 1960s. CIRI hired him to help build its tourism arm when the company started diversifying into tourism during the 1990s. Brandon said the industry wants the state to move fast because most Alaska travel reservations are made between September and December and those bookings are down by 30 to 40 percent, according to industry surveys.

In a presentation to the Mat-Su Convention and Visitors Bureau last Friday, Brandon outlined how the money would be spent. The largest portion -- $8 million -- would go toward a TV campaign in the United States, $2.5 million for direct mail targeted to people already interested in coming to Alaska, $425,000 for page-dominate ads placed in 25 national and regional newspapers, $300,000 for an in-state "visit your back yard" campaign, and so-forth.

Brandon believes that if small businesses fail due to the wane in tourism, the state could be spending more over the long term.

"This is really the No. 2 industry in the state," Brandon said, "and the question is: Is it really an obligation of everybody to do something about this problem? And I think the answer is yes."

Ogan said he wasn't sure the downturn would materialize -- he wants to hear the industry's justification before deciding which way to vote.

"I personally I think we're going to have a boom year because people are cautious about traveling abroad," Ogan said, "and I think they will feel pretty safe [in Alaska]."

Because the industry already has a $7.8 million marketing plan funded -- with about half coming from the state -- Brandon said they are ready to move fast with TV ads that are already produced.

"If [the Legislature] were to act on a Monday, than we could physically be in the households by Wednesday of that same week," Brandon said.

Following Brandon's presentation last Friday, MSCVB president Steve Mahay told the audience of about 30 business people that they would likely he asked to help leverage votes in Juneau.

"There is going to be a need to call our membership to arms," Mahay said. "We may ask you to telephone your representatives -- not just a simple e-mail, it's too easy to delete."

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