Legislature(2017 - 2018)

2017-10-23 House Journal

Full Journal pdf

2017-10-23                     House Journal                      Page 1797
                                                                                                                                
                                HOUSE JOURNAL                                                                                
                                                                                                                                
                          ALASKA STATE LEGISLATURE                                                                           
                                                                                                                                
                            THIRTIETH LEGISLATURE                                                                            
                                                                                                                                
                           FOURTH SPECIAL SESSION                                                                            
                                                                                                                                
                                                                                                                                
Juneau, Alaska                     Monday                 October 23, 2017                                                    
                                                                                                                                
                                  First Day                                                                                
                                                                                                                                
                                                                                                                                
Pursuant to the Governor's proclamation, dated September 22 calling                                                             
the legislature into special session, the House was called to order by                                                          
Speaker Edgmon at 11:09 a.m.                                                                                                    
                                                                                                                                
Roll call showed 36 members present.  Representative Wilson was                                                                 
absent.                                                                                                                         
                                                                                                                                
Representative Tuck moved and asked unanimous consent that the                                                                  
following members be excused from a call of the House.  There being                                                             
no objection, the members were excused as noted:                                                                                
                                                                                                                                
Representative Knopp - from today to 2:00 p.m., October 28                                                                      
                                                                                                                                
Representative Reinbold - from today to 10:00 p.m., October 24                                                                  
                                                                                                                                
Representative Tarr - until 2:00 p.m. today                                                                                     
                                                                                                                                
The invocation was offered by the Chaplain, the Reverend Gordon                                                                 
Blue of Holy Trinity Episcopal Church.  Representative Westlake                                                                 
moved and asked unanimous consent that the invocation be spread on                                                              
the journal.  There being no objection, it was so ordered.                                                                      
                                                                                                                                
        Let the words of my mouth, and the meditations of our hearts                                                           
      be respecting of the beliefs of all the people of our great land,                                                        
     Alaska, O Lord, our maker and redeemer.                                                                                    
                                                                                                                                
                                                                                                                                

2017-10-23                     House Journal                      Page 1798
     In tradition, we remember James of Jerusalem today,                                                                        
     beginning with a portion of Psalm 119:  Rulers have                                                                        
     persecuted me without a cause, but my heart stands in awe of                                                               
     your word.  I am as glad because of your promise as one who                                                                
     finds great spoils.  As for lies, I hate and abhor them, but your                                                          
     law is my love.  Seven times a day do I praise you, because of                                                             
     your righteous judgments.  Great peace have they who love                                                                  
     your law; for them there is no stumbling block.  (Psalm                                                                    
     119:161-165)                                                                                                               
                                                                                                                                
     Let us pray.  Creator, we give you thanks, for all you are and                                                             
     all you bring to us within the sacred circle of your creation,                                                             
     and especially we thank you today for this gathering.  Four                                                                
     times this House has been called back to the Chambers of                                                                   
     their labor, Lord, let there be peace among them.  Give them                                                               
       the great peace of those for whom there is no stumbling block.                                                          
                                                                                                                                
     Nothing is so difficult, O Lord, as to create something new,                                                               
     and in difficult times this is what we seem called upon to do.                                                             
     Nothing is so difficult, O Lord, as to be the stumbling block,                                                             
     placed in the path of difficult times.  Bless this House and                                                               
     inspire them, Lord, to find in their path the cornerstone of the                                                           
     future you are calling them to bring.                                                                                      
                                                                                                                                
     Help them to do that work which they have sworn to do, on                                                                  
     the behalf of future generations and of this one:  the protection                                                          
     of the poor and the oppressed, and the provision of well-being                                                             
     for all of your people.  Bless them in their work together, so                                                             
     that they may bring blessings upon the future generations of                                                               
     Alaska.  Amen.                                                                                                             
                                                                                                                                
The Pledge of Allegiance was led by Representative Sullivan-Leonard.                                                            
                                                                                                                                
                        CERTIFICATION OF THE JOURNAL                                                                         
                                                                                                                                
Representative Tuck moved and asked unanimous consent that the                                                                  
journal for the first legislative day of the third special session, the First                                                   
Supplement, House Journal Supplement No. 9, and Senate and House                                                                
Joint Journal Supplement No. 12 be approved as certified by the Chief                                                           
Clerk.  There being no objection, it was so ordered.                                                                            

2017-10-23                     House Journal                      Page 1799
                         MESSAGES FROM THE GOVERNOR                                                                          
                                                                                                                                
The following Governor's proclamation dated September 22 was read:                                                              
                                                                                                                                
"Under the authority of Article II, Section 9, and Article III, Section                                                         
17, Constitution of the State of Alaska, and in the public interest, I call                                                     
the Thirtieth Legislature of the State of Alaska into its fourth special                                                        
session in the legislative chambers in Juneau, Alaska, on October 23,                                                           
2017, at 11:00 a.m., to consider passage of bills on the following                                                              
subjects:                                                                                                                       
                                                                                                                                
     1. SB 54 - Crime and Sentencing.                                                                                           
                                                                                                                                
     2. An act or acts enacting a tax on wages and net earnings from                                                            
         self-employment; and relating to the administration and                                                                
         enforcement of the wages and net earnings from self-                                                                   
         employment tax.                                                                                                        
                                                                                                                                
Dated this 22 day of September 2017.                                                                                            
                                                                                                                                
                                               /s/                                                                              
                                               Bill Walker                                                                      
                                               Governor"                                                                        
                                                                                                                                
The Speaker stated that, without objection, the House would recess to                                                           
a call of the Chair; and so, the House recessed at 11:15 a.m.                                                                   
                                                                                                                                
                                AFTER RECESS                                                                                 
                                                                                                                                
The Speaker called the House back to order at 2:08 p.m.                                                                         
                                                                                                                                
**The presence of Representative Tarr, who was excused (page 1797),                                                             
was noted.                                                                                                                      
                                                                                                                                
                          MESSAGES FROM THE SENATE                                                                           
                                                                                                                                
A message dated October 23 was read stating the Senate passed the                                                               
following, and it is transmitted for consideration:                                                                             
                                                                                                                                
                                                                                                                                

2017-10-23                     House Journal                      Page 1800
                         FIRST READING AND REFERENCE                                                                         
                            OF SENATE RESOLUTIONS                                                                            
                                                                                                                                
SCR 401                                                                                                                       
SENATE CONCURRENT RESOLUTION NO. 401 by the Senate                                                                              
Rules Committee:                                                                                                                
                                                                                                                                
     Suspending Rules 47 and 55, Uniform Rules of the Alaska State                                                              
     Legislature, relating to the carry-over of bills from the First                                                            
     Regular Session to the Fourth Special Session, concerning Senate                                                           
     Bill No. 54.                                                                                                               
                                                                                                                                
was read the first time and taken up as a Special Order of Business.                                                            
                                                                                                                                
                          SPECIAL ORDER OF BUSINESS                                                                          
                                                                                                                                
SCR 401                                                                                                                       
Representative Tuck moved and asked unanimous consent that                                                                      
SCR 401 be taken up as a Special Order of Business:                                                                             
                                                                                                                                
Representative Millett objected and withdrew the objection.                                                                     
                                                                                                                                
Representative Johnson objected.                                                                                                
                                                                                                                                
The question being:  "Shall the House take up SCR 401?" The roll was                                                            
taken with the following result:                                                                                                
                                                                                                                                
SCR 401                                                                                                                         
Take up                                                                                                                         
Special Order of Business                                                                                                       
                                                                                                                                
YEAS:  30   NAYS:  7   EXCUSED:  2   ABSENT:  1                                                                               
                                                                                                                                
Yeas:  Birch, Chenault, Claman, Drummond, Edgmon, Fansler, Foster,                                                              
Gara, Grenn, Guttenberg, Johnston, Josephson, Kawasaki, Kito, Kopp,                                                             
Kreiss-Tomkins, LeDoux, Millett, Ortiz, Parish, Pruitt, Seaton,                                                                 
Spohnholz, Stutes, Talerico, Tarr, Thompson, Tuck, Westlake, Wool                                                               
                                                                                                                                
Nays:  Eastman, Johnson, Neuman, Rauscher, Saddler,                                                                             
Sullivan-Leonard, Tilton                                                                                                        
                                                                                                                                
Excused:  Knopp, Reinbold                                                                                                       
                                                                                                                                

2017-10-23                     House Journal                      Page 1801
Absent:  Wilson                                                                                                                 
                                                                                                                                
And so, the motion passed.                                                                                                      
                                                                                                                                
The question being:  "Shall SCR 401 pass the House?"  The roll was                                                              
taken with the following result:                                                                                                
                                                                                                                                
SCR 401                                                                                                                         
Special Order of Business                                                                                                       
                                                                                                                                
YEAS:  31   NAYS:  6   EXCUSED:  2   ABSENT:  1                                                                               
                                                                                                                                
Yeas:  Birch, Chenault, Claman, Drummond, Edgmon, Fansler, Foster,                                                              
Gara, Grenn, Guttenberg, Johnston, Josephson, Kawasaki, Kito, Kopp,                                                             
Kreiss-Tomkins, LeDoux, Millett, Ortiz, Parish, Pruitt, Saddler,                                                                
Seaton, Spohnholz, Stutes, Talerico, Tarr, Thompson, Tuck, Westlake,                                                            
Wool                                                                                                                            
                                                                                                                                
Nays:  Eastman, Johnson, Neuman, Rauscher, Sullivan-Leonard,                                                                    
Tilton                                                                                                                          
                                                                                                                                
Excused:  Knopp, Reinbold                                                                                                       
                                                                                                                                
Absent:  Wilson                                                                                                                 
                                                                                                                                
And so, SCR 401 passed the House, was signed by the Speaker and                                                                 
Chief Clerk, and returned to the Senate.                                                                                        
                                                                                                                                
                               COMMUNICATIONS                                                                                
                                                                                                                                
The following was received:                                                                                                     
                                                                                                                                
Alaska Criminal Justice Commission                                                                                              
Annual Report                                                                                                                   
October 22, 2017                                                                                                                
(as required by AS 44.19.647)                                                                                                   
                                                                                                                                
                 INTRODUCTION, FIRST READING, AND REFERENCE                                                                  
                               OF HOUSE BILLS                                                                                
                                                                                                                                
HB 4001                                                                                                                       
HOUSE BILL NO. 4001 by the House Rules Committee by request of                                                                  
the Governor, entitled:                                                                                                         

2017-10-23                     House Journal                      Page 1802
     "An Act imposing a tax on wages and net earnings from self-                                                                
     employment; relating to the administration and enforcement of the                                                          
     wages and net earnings from self-employment tax; and providing                                                             
     for an effective date."                                                                                                    
                                                                                                                                
was read the first time and referred to the Finance Committee.                                                                  
                                                                                                                                
The following fiscal note(s) apply:                                                                                             
                                                                                                                                
1.  Fiscal, Dept. of Revenue                                                                                                    
                                                                                                                                
The Governor's transmittal letter dated September 22 follows:                                                                   
                                                                                                                                
"Dear Speaker Edgmon:                                                                                                           
                                                                                                                                
Under the authority of art. III, sec. 18, Constitution of the State of                                                          
Alaska, I am transmitting a bill relating to taxation of wages and                                                              
earnings in the state.                                                                                                          
                                                                                                                                
The billwould impose a tax on wages and net self-employment                                                                     
income earned in Alaska by resident and nonresident individuals. The                                                            
tax rate would be 1.5 percent annually, and would be capped at the                                                              
greater of $2,200 (adjusted for inflation) or two times the amount of                                                           
the permanent fund dividend distributed in the previous calendar year.                                                          
The tax would take effect in calendar year 2019 and is expected to                                                              
raise $300-325 million by FY2020.                                                                                               
                                                                                                                                
Under this bill, employers would be required to pay to the Department                                                           
of Revenue withholdings that approximate the amount of the tax.                                                                 
Through regulation, the withholding would stop when the statutory                                                               
cap is reached. This protects individuals working multiple jobs and                                                             
insulates vulnerable populations, such as single parents, by limiting                                                           
each Alaskan's tax burden, and keeps us the lowest-taxed state in the                                                           
nation.                                                                                                                         
                                                                                                                                
This tax is a simple and efficient measure to address our state's budget                                                        
shortfall. Over the past six years, state budgets have been reduced by                                                          
44 percent, but state revenues have fallen faster. To cover the gap, key                                                        
state savings accounts have been drawn down by $14 billion, and are                                                             
expected to be depleted by the end of FY 2019. It is vital that these                                                           

2017-10-23                     House Journal                      Page 1803
savings accounts not go any lower and in accordance with the                                                                    
constitution must be replenished over time. New revenues are needed                                                             
to support critical public services such as education, public safety, and                                                       
reliable transportation.                                                                                                        
                                                                                                                                
We need a fiscal plan that includes prudent operating and capital                                                               
budgets, the judicious use of investment earnings, and revenues                                                                 
necessary to balance the budget. This tax will get us closer to                                                                 
balancing the state's budget and enable Alaska's economy to grow.                                                               
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Bill Walker                                                                                                                     
Governor"                                                                                                                       
                                                                                                                                
                             UNFINISHED BUSINESS                                                                             
                                                                                                                                
SB 54                                                                                                                         
Representative Kreiss-Tomkins, Chair, moved that the following be                                                               
waived from the State Affairs Committee:                                                                                        
                                                                                                                                
     CS FOR SENATE BILL NO. 54(FIN)                                                                                             
     "An Act relating to crime and criminal law; relating to violation of                                                       
     condition of release; relating to sex trafficking; relating to                                                             
     sentencing; relating to imprisonment; relating to parole; relating to                                                      
     probation; relating to driving without a license; relating to the                                                          
      pretrial services program; and providing for an effective date."                                                         
                                                                                                                                
Representative Millett objected.                                                                                                
                                                                                                                                
The question being:  "Shall CSSB 54(FIN) be waived from the State                                                               
Affairs Committee?"  The roll was taken with the following result:                                                              
                                                                                                                                
CSSB 54(FIN)                                                                                                                    
Waive STA referral                                                                                                              
                                                                                                                                
YEAS:  25   NAYS:  12   EXCUSED:  2   ABSENT:  1                                                                              
                                                                                                                                
Yeas:  Birch, Claman, Drummond, Eastman, Edgmon, Fansler, Foster,                                                               
Gara, Grenn, Guttenberg, Josephson, Kawasaki, Kito,                                                                             
Kreiss-Tomkins, LeDoux, Ortiz, Parish, Seaton, Spohnholz, Stutes,                                                               
Tarr, Thompson, Tuck, Westlake, Wool                                                                                            
                                                                                                                                

2017-10-23                     House Journal                      Page 1804
Nays:  Chenault, Johnson, Johnston, Kopp, Millett, Neuman, Pruitt,                                                              
Rauscher, Saddler, Sullivan-Leonard, Talerico, Tilton                                                                           
                                                                                                                                
Excused:  Knopp, Reinbold                                                                                                       
                                                                                                                                
Absent:  Wilson                                                                                                                 
                                                                                                                                
And so, the motion passed.                                                                                                      
                                                                                                                                
CSSB 54(FIN) was removed from the State Affairs Committee and                                                                   
referred to the Judiciary Committee.                                                                                            
                                                                                                                                
HB 111                                                                                                                        
Pursuant to HB 111-OIL & GAS PRODUCTION                                                                                         
TAX;PAYMENTS;CREDITS (Chapter No. 3, SSSLA 2017), the                                                                           
Speaker appointed the following member as Co-chair of the                                                                       
Legislative Working Group:                                                                                                      
                                                                                                                                
     Representative Tarr                                                                                                        
                                                                                                                                
HJR 23                                                                                                                        
Representative Grenn removed as a cosponsor to:                                                                                 
                                                                                                                                
     HOUSE JOINT RESOLUTION NO. 23                                                                                              
     Proposing amendments to the Constitution of the State of Alaska                                                            
     relating to the Alaska permanent fund.                                                                                     
                                                                                                                                
HB 216                                                                                                                        
Representative Grenn added as a cosponsor to:                                                                                   
                                                                                                                                
     HOUSE BILL NO. 216                                                                                                         
     "An Act relating to transfers from the dividend fund; creating the                                                         
     restorative justice account; relating to appropriations from the                                                           
     restorative justice account for payments for and services to crime                                                         
     victims, operating costs of the Violent Crimes Compensation                                                                
     Board, operation of domestic violence and sexual assault                                                                   
     programs, mental health services and substance abuse treatment                                                             
     for offenders, and incarceration costs; and providing for an                                                               
     effective date."                                                                                                           
                                                                                                                                
                                                                                                                                

2017-10-23                     House Journal                      Page 1805
                                ANNOUNCEMENTS                                                                                
                                                                                                                                
Rule 23(d) of the Uniform Rules is in effect.                                                                                   
                                                                                                                                
House committee schedules are published under separate cover.                                                                   
                                                                                                                                
The following meetings today were changed:                                                                                      
                                                                                                                                
Judiciary Committee                                                                                                             
CHANGED TO:                                       15 min after adjournment                                                      
                                                                                                                                
State Affairs Committee                                        CANCELED                                                         
                                                                                                                                
                                 ADJOURNMENT                                                                                 
                                                                                                                                
Representative Tuck moved and asked unanimous consent that the                                                                  
House adjourn until 10:30 a.m., October 25.  There being no objection,                                                          
the House adjourned at 3:34 p.m.                                                                                                
                                                                                                                                
                                               Crystaline Jones                                                                 
                                               Chief Clerk