Legislature(1993 - 1994)
04/19/1993 01:36 PM House FIN
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* first hearing in first committee of referral
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HOUSE BILL NO. 167
"An Act relating to air quality control and the
prevention, abatement, and control of air pollution;
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relating to civil and criminal penalties, damages, and
other remedies for air quality control violations;
clarifying the definition of `hazardous substance' to
include releases and threatened releases to the
atmosphere; amending the lien provisions relating to
the oil and hazardous substance release response fund;
relating to inspection and enforcement powers of the
Department of Environmental Conservation; and providing
for an effective date."
House Bill 167 was in a subcommittee consisting of chair
Representative Therriault with Representatives Hanley, Brown
and Parnell. Members were provided with a Committee
Substitute for HB 167, Work Draft 8-LS0492\R (Attachment 1).
Representative Hanley explained that several amendments had
been offered to the Committee during the 4/15/93 House
Finance Committee meeting. He noted that four amendments
were held from the 4/15/93 meeting (Amendments 15, 16, 17
and 19).
CLAYTON HURLESS, COPPER VALLEY ELECTRIC ASSOCIATION asked
that utilities be allowed to pass additional administrative
costs assessed by the state on to consumers on a monthly
pass through basis. He stressed that a rate case would be
costly.
TOM STAHR, ANCHORAGE MUNICIPAL LIGHT AND POWER COMPANY
testified in favor of a monthly pass through of
administrative costs assessed by the state.
Representative Hanley MOVED to ADOPT Work Draft 8-LS0492\R.
There being NO OBJECTION, it was so ordered.
Representative Brown discussed CSHB 167 (FIN). She noted
that several of her concerns have been addressed in the
Committee Substitute.
ROBERT REGES, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW
discussed sections .010 and .015. He observed that the
Department's fiscal concerns have been addressed in the
Committee Substitute. He noted that the definition of
"facility" has been further clarified.
Representative Hanley noted that fees paid by small
businesses will be paid under emissions fees not hourly
charges.
TOM CHAPPELLE, PROJECT MANAGER, PERMITTING GROUP, AIR
COMPONENT, DEPARTMENT OF ENVIRONMENTAL CONSERVATION stated
that the Department feels that concerns of the Environmental
Protection Agency (EPA) have been addressed by the Committee
Substitute.
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Representative Hoffman asked how rural power utilities will
be affected. Mr. Chappelle stated that permits will be
required of many rural power utilities that have not had to
obtained permits previously. He added that they will not
necessarily be required to install pollution control
equipment at current facilities. He emphasized that many
small villages will not be required to obtain permits. He
clarified that rural inspections will sample three or four
villages a year.
Representative Brown referred to page 31, line 20. She
noted that the word "may" was deleted by the Subcommittee.
She MOVED to delete "may" on page 31, line 20. There being
NO OBJECTION, it was so ordered.
Representative Brown asked if all of EPA's concerns had been
addressed. Mr. Regis replied that the only outstanding
issue is addressed in Amendment 17 by the Department of Law.
Representative Hanley MOVED to ADOPT AMENDMENT 17
(Attachment 2). Mr. Regis explained that Amendment 17 would
allow penalties to be assessed on a daily basis. There
being NO OBJECTION, it was so ordered.
Representative Brown MOVED to ADOPT AMENDMENT 15 (Attachment
3). She explained that the Amendment would clarify when
interest would be accrued when a fee is not paid. A penalty
for nonpayment of the fee is established in section (b) of
Amendment 15. There being NO OBJECTION, it was so ordered.
Representative Brown MOVED to ADOPT AMENDMENT 16 (Attachment
4). She explained that harm to persons or property would be
taken into account when assessing damage. There being NO
OBJECTION, it was so ordered.
Representative Navarre MOVED to ADOPT AMENDMENT 18
(Attachment 5). He explained that the amendment would add a
criminal penalties section to CSHB 167 (FIN). The criminal
penalties would be addressed by class of felony. He noted
that criminal penalties were originally included in HB 167.
He maintained that the criminal penalties would act as a
deterrent.
(Tape Change, HFC 93-109, Side 1)
Mr. Regis noted that page 2, subsection (h) "offense" should
be changed to "violation". Co-Chair Larson MOVED to delete
"offense" and insert "violation" where it occurs in
Amendment 18. There being NO OBJECTION, it was so ordered.
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Mr. Regis suggested that "certified" be deleted. He
stressed that the intent is not that the notice be given
through certified mail. He added that "send, by certified
mail, a copy" be deleted and "provide written notice" be
inserted. Representative Navarre MOVED to AMEND Amendment
17: Delete "send, by certified mail, a copy," Insert
"provide written notice." Mr. Chappelle further explained
the amendment.
Representative Hanley requested that the amendment be
divided to allow the section concerning notice to stand
separately. Mr. Regis stated that if the intent is to
separate misdemeanors from felonies then subsections (b) and
(c) should be segregated. In addition, the words
"knowingly" and "recklessly" would be deleted from (i).
Representative Navarre suggested that a conceptional
amendment be adopted to divide the portions regarding
misdemeanors from the portions regarding felonies. There
being NO OBJECTION, it was so ordered.
Representative Hanley MOVED to ADOPT portions regarding
misdemeanors. Mr. Regis stated that different substantive
crimes will not be created by the amendment as divided and
moved.
Representative Hanley MOVED to RESCIND the Committee's
action in dividing Amendment 18. There being NO OBJECTION,
it was so ordered.
Mr. Regis observed that Amendment 18 should be amended to
read: "(g) The department shall provide written notice of
this section to an owner operator who applies for a permit
under this chapter or who request assistance in applying for
a permit under this chapter. For purposes of (a) of this
section, a person is considered to have received the notice
if the person certifies in writing that the notice was
received by a representative, employee, or employer of the
person."
Co-Chair Larson MOVED to AMEND Amendment 18: "(g) The
department shall provide written notice of this section to
an owner operator who applies for a permit under this
chapter or who request assistance in applying for a permit
under this chapter. For purposes of (a) of this section, a
person is considered to have received the notice if the
person certifies in writing that the notice was received by
a representative, employee, or employer of the person."
Representative Navarre MOVED to ADOPT AMENDMENT 18 as
amended. Representative Therriault OBJECTED. A roll call
vote was taken on the motion.
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IN FAVOR: Brown, Grussendorf, Hoffman, Navarre
OPPOSED: Foster, Hanley, Martin, Parnell, Therriault,
MacLean, Larson
The MOTION FAILED (4-7).
Mr. Chappelle discussed the new fiscal note accompanying
CSHB 167 (FIN). He noted that an additional $442.8 thousand
dollars in authorization is needed to carry out the
legislation in FY 94.
Representative Hanley MOVED to ADOPT AMENDMENT 19
(Attachment 6). Representative Brown OBJECTED.
Representative Hanley stated that the amendment would allow
utilities to pass through fees without a rate case.
Representative Brown felt that the amendment would remove
the incentive to control emissions. A roll call vote was
taken on the motion to adopt Amendment 19.
IN FAVOR: Foster, Hanley, Hoffman, Martin, Parnell,
Therriault, Larson
OPPOSED: Brown, Grussendorf, Navarre, MacLean
The MOTION PASSED (7-4).
Representative Navarre MOVED to report CSHB 167 (FIN) out of
Committee with individual recommendations and with the
accompanying fiscal notes. There being NO OBJECTION, it was
so ordered.
CSHB 167 (FIN) was reported out of Committee with a "do
pass" recommendation and with a fiscal impact note by the
Department of Environmental Conservation and with a fiscal
impact note by the Department of Law.
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