01/23/2006 03:30 PM Senate RESOURCES

          HB 269-HAZARDOUS SUBSTANCE RELEASE LIABILITY                                                                      
                                                                                                                                
CHAIR   THOMAS  WAGONER   announced   HB  269   to   be  up   for                                                               
consideration.                                                                                                                  
                                                                                                                                
REPRESENTATIVE JAY RAMRAS, sponsor of  HB 269, said he introduced                                                               
HB 269, "So we can maintain  a cleaner environment and proceed in                                                               
an expeditious manner to do so."                                                                                                
                                                                                                                                
3:55:58 PM                                                                                                                    
SENATOR  BERT  STEDMAN  asked   how  contamination  liability  is                                                               
followed  from  one previous  owner  to  the next  if  disclosure                                                               
doesn't happen.                                                                                                                 
                                                                                                                                
JANE  PIERSON,  staff  to Representative  Ramras,  answered  that                                                               
presently  there  is  confusion  as  to when  a  lawsuit  can  be                                                               
undertaken against  another potentially responsible  party. There                                                               
is joint  and several liability,  but the actual time  the action                                                               
can be  taken is what was  clouded in the Aviall  decision, which                                                               
said you can  go against another responsible party,  at such time                                                               
as a suit has been brought by  the state or you have entered into                                                               
an  agreement with  the state  and not  at the  beginning of  the                                                               
cleanup. This bill says from  the time the state determines there                                                               
is an environmental cleanup issue  and that it will be undertaken                                                               
by  a  private  party,  that  party can  then  go  against  other                                                               
potentially  responsible  parties  to  assist  in  the  financial                                                               
aspects of the cleanup.                                                                                                         
                                                                                                                                
3:58:02 PM                                                                                                                    
SENATOR ELTON  asked if Section  1 under findings and  purpose is                                                               
necessary to the bill.                                                                                                          
                                                                                                                                
MS. PIERSON answered that it was  probably going to be deleted in                                                               
the Judiciary Committee.                                                                                                        
                                                                                                                                
3:59:05 PM                                                                                                                    
MR.  BRECK TOSTEVIN,  Department of  Law (DOL),  stated that  the                                                               
Administration,   Department    of   Law   and    Department   of                                                               
Environmental  Conservation supported  HB 269  mostly because  it                                                               
insures that  the voluntary  cleanup system that  is in  place in                                                               
Alaska  goes forward.  It gets  rid of  inefficiencies associated                                                               
with requiring the  state to sue people so they  can collect from                                                               
other responsible parties.                                                                                                      
                                                                                                                                
3:59:52 PM                                                                                                                    
CHAIR WAGONER  asked if this applies  to the case in  Sterling if                                                               
an additional insurance company is involved.                                                                                    
                                                                                                                                
MR. TOSTEVIN replied  yes and that wouldn't  change the insurance                                                               
situation.                                                                                                                      
                                                                                                                                
GEORGE LYLE,  Justin Rudd  Law Offices,  said he  represented the                                                               
number  of  property  owners who  have  property  with  hazardous                                                               
substances  who  have   received  potentially  responsible  party                                                               
notices  from the  DEC and  who  are now  facing difficulties  in                                                               
trying to get  other potentially responsible parties  to share in                                                               
the  cost  of the  cleanup.  Usually  the  current owner  of  the                                                               
property  gets stuck  with the  cost first.  He supported  HB 269                                                               
explaining that since the Aviall  decision, settlements that were                                                               
pending were withdrawn because the  other party said, "You can no                                                               
longer come  after me until the  state sues you first."  It is an                                                               
unnecessary  burden to  make the  state sue  people in  order for                                                               
them to have  an opportunity to get contribution  from others who                                                               
are responsible for the problem to begin with.                                                                                  
                                                                                                                                
4:02:38 PM                                                                                                                    
SENATOR  STEDMAN stated  that he  wanted  the severability  issue                                                               
answered.                                                                                                                       
                                                                                                                                
CHAIR WAGONER stated  that HB 269 would be held  for further work                                                               
and adjourned the meeting at 4:03:25 PM.