Legislature(2013 - 2014)HOUSE FINANCE 519

03/25/2014 08:30 AM House FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 278 EDUCATION: FUNDING/TAX CREDITS/PROGRAMS TELECONFERENCED
<Bill Hearing Postponed>
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 210 STUDENT RESTRAINT, SECLUSION, PSYC DRUGS TELECONFERENCED
Heard & Held
+= HCR 15 TASK FORCE ON UNMANNED AIRCRAFT SYSTEMS TELECONFERENCED
Heard & Held
HOUSE CONCURRENT RESOLUTION NO. 15                                                                                            
                                                                                                                                
     Relating to the continuation of the Task Force on                                                                          
     Unmanned Aircraft Systems.                                                                                                 
                                                                                                                                
8:33:57 AM                                                                                                                    
                                                                                                                                
GINGER  BLAISDELL,  STAFF,   REPRESENTATIVE  SHELLY  HUGHES,                                                                    
reported that HCR 15 extended  the Unmanned Aircraft Systems                                                                    
(UAS)  for   an  additional   three  years.   The  extension                                                                    
coincided  with the  University  of  Alaska Fairbanks  (UAF)                                                                    
campus  selected  as a  UAS  test  site. She  described  the                                                                    
composition of the task force.  The task force was comprised                                                                    
of seven  members; state employees, legislators,  one member                                                                    
from the  Aviation Advisory Board,  and one member  form the                                                                    
Academy of Model Aeronautics  [Alaska Chapter]. She detailed                                                                    
that  the sponsor  added the  commissioner [or  designee] of                                                                    
the  Department of  Transportation    and Public  Facilities                                                                    
(DOT)  because  of  the  departments  role  as  the  liaison                                                                    
between the  state and  the Federal  Aviation Administration                                                                    
(FAA),  and one  additional public  member. In  addition, an                                                                    
amendment that was  adopted in the House  Labor and Commerce                                                                    
Committee  added  three  seats; two  industry  professionals                                                                    
from  unmanned aircraft  systems,  and  the commissioner  or                                                                    
designee   from  Department   of  Commerce,   Community  and                                                                    
Economic Development.                                                                                                           
                                                                                                                                
Ms. Blaisdell  elaborated that the legislation  expanded the                                                                    
duties   of  the   task  force   to  include   investigating                                                                    
complaints  and  concerns  regarding unmanned  aircraft  and                                                                    
identification  of potential  privacy problems.  She relayed                                                                    
that safeguarding Alaskans  privacy was a main  focus of the                                                                    
task  force. Public  education  regarding unmanned  aircraft                                                                    
was another expanded role hoped  to allay the public's fears                                                                    
of the  new technology. Part  of the university's role  as a                                                                    
test site would be to  hold public hearings as per agreement                                                                    
with the federal government. The  task force previously held                                                                    
meetings two that included public testimony.                                                                                    
                                                                                                                                
Co-Chair Stoltze  expressed concern that the  two additional                                                                    
industry members  were considered public members.  He wanted                                                                    
to  avoid  public  misperception  about their  role  in  the                                                                    
industry.                                                                                                                       
                                                                                                                                
REPRESENTATIVE SHELLEY  HUGHES, SPONSOR, agreed.  She voiced                                                                    
that the amendment was made  in the House Labor and Commerce                                                                    
Committee.   She  suggested   that  one   member  could   be                                                                    
designated as a public member  and the other member could be                                                                    
chosen from industry.                                                                                                           
                                                                                                                                
Co-Chair Austerman  revealed that  he flew  model airplanes.                                                                    
He asked how  the legislation would affect  the public's use                                                                    
of model aircraft.                                                                                                              
                                                                                                                                
Representative Hughes answered  that different rules applied                                                                    
to the  flying of model  aircraft which fly under  400 feet.                                                                    
The  task  force  was  concerned  with  the  integration  of                                                                    
unmanned aircraft  allowed into  national airspace  by 2016.                                                                    
She noted that  an unmanned aircraft can also  fly under 400                                                                    
feet but  would be  differentiated for public  or commercial                                                                    
purposes where  model aircraft was  considered recreational.                                                                    
The same UAS technology could be used by hobbyist.                                                                              
                                                                                                                                
Co-Chair  Austerman expressed  additional concern  about the                                                                    
legislation affecting recreational users.                                                                                       
                                                                                                                                
Representative  Hughes  stated  that  the  legislative  task                                                                    
force would have no jurisdiction over hobby aircraft.                                                                           
                                                                                                                                
Representative  Costello asked  about the  fiscal note,  FN1                                                                    
(LEG).  She   cited  the   analysis  that   listed  numerous                                                                    
commission meetings  and public hearings in  addition to new                                                                    
members. She wondered whether  the fiscal note appropriation                                                                    
was sufficient to cover expenses and member's travel.                                                                           
                                                                                                                                
Representative Hughes  replied that  last year's  task force                                                                    
costs were absorbed  by the members. She  mentioned that her                                                                    
legislative  account covered  the refreshments.  The members                                                                    
of  the task  force were  willing to  continue to  serve and                                                                    
absorb the costs.                                                                                                               
                                                                                                                                
Ms. Blaisdell stated that the  only costs incurred last year                                                                    
were two  mileage tickets used for  staff participation. The                                                                    
current  legislation costs  were  calculated  based on  last                                                                    
year and  additional funds were  added for a  potential bush                                                                    
or Fairbanks  member. Most members  were from  the Anchorage                                                                    
area. The sponsor anticipated holding  only two or three in-                                                                    
person meetings, which involved travel.                                                                                         
                                                                                                                                
Representative  Costello expressed  additional concern.  She                                                                    
wondered  whether  new  public  members would  be  aware  of                                                                    
accepting the  financial costs of  travel and  expenses. She                                                                    
thought  that  the  fiscal  note   was  inadequate  for  the                                                                    
potential costs of  the task force expansion  and the public                                                                    
hearing. She wished to further  address the costs and fiscal                                                                    
note.                                                                                                                           
                                                                                                                                
Co-Chair Stoltze  applauded the  task force for  cutting the                                                                    
corners and saving money.                                                                                                       
                                                                                                                                
Representative   Hughes   stated    that   last   year   she                                                                    
intentionally kept costs low.                                                                                                   
                                                                                                                                
8:45:13 AM                                                                                                                    
                                                                                                                                
Co-Chair Stoltze OPENED public testimony.                                                                                       
                                                                                                                                
STEVE  COLLIGAN,  ALASKA  PRESIDENT   OF  ACADEMY  OF  MODEL                                                                    
AERONAUTICS    (via     teleconference),    supported    the                                                                    
legislation.  He stated  that he  was a  member of  the task                                                                    
force. The academy was in  existence for 78 years and guided                                                                    
self-regulation of recreational  model aeronautics. Over the                                                                    
years  many  technological  changes  had  taken  place.  His                                                                    
mission was to separate  recreational and commercial use and                                                                    
protect model  aeronautics. The  academy fostered  youth and                                                                    
student interest in technology,  science, and math. He noted                                                                    
that  little   distinguished  a  model  from   a  commercial                                                                    
unmanned  aerial. The  intent or  operation of  the unmanned                                                                    
aircraft  typically   differentiated  recreational  unmanned                                                                    
aircraft. He  related that unmanned autonomous  systems were                                                                    
once  very  expensive  but  currently  could  be  built  for                                                                    
several thousand  dollars. The academy  was on a  mission to                                                                    
provide  the  instruction  and self-regulation  of  unmanned                                                                    
aircraft.   The  academy   wanted  to   ensure  that   "best                                                                    
practices" were  being followed responsibly by  the user. He                                                                    
noted  that the  organization was  proactive in  helping the                                                                    
recreational  operator  know  the  airspace  rules  and  FCC                                                                    
regulations.                                                                                                                    
                                                                                                                                
Mr. Colligan voiced that last  year the task force addressed                                                                    
public  safety  and privacy.  The  task  force examined  the                                                                    
state's  laws  related  to privacy  concerns  over  unmanned                                                                    
aircraft and  felt the laws  were adequate except for  a few                                                                    
minor administrative issues. He  qualified that the unmanned                                                                    
aircraft  technology would  continue to  evolve. He  saw the                                                                    
task  force  as  a  common  sense  approach  to  filter  new                                                                    
information   and   coordinate   the   activities   at   the                                                                    
university. He  discussed that  new small  unmanned aircraft                                                                    
were  used  to develop  three  dimensional  models used  for                                                                    
surveying and  mapping and augmented aerial  photography and                                                                    
satellite imagery.  The use of unmanned  aircraft in mapping                                                                    
was cost effective but was  currently illegal for profit. He                                                                    
mentioned  the  use  of   unmanned  aircraft  equipped  with                                                                    
cameras  for  commercial film  or  sports  use. The  academy                                                                    
established  rules  for  personal  use  of  unmanned  aerial                                                                    
cameras within a  controlled line of sight.  He thought that                                                                    
the  task  force  would   monitor  evolving  technology  and                                                                    
develop  parameters  in the  same  way  as the  academy.  He                                                                    
reported that  the technology had  evolved beyond  the point                                                                    
that the  FAA could  keep pace.  Adding industry  members to                                                                    
the   task  force   that  had   current  experience   was  a                                                                    
responsible  approach. He  reported  that he  had a  mapping                                                                    
company  and was  also performing  testing and  research and                                                                    
development  and   hoped  he   was  operation   under  legal                                                                    
parameters. He  felt that as  the technology evolved  it was                                                                    
important  to   have  a  forum   like  the  task   force  to                                                                    
"communicate and address" privacy and public safety issues.                                                                     
                                                                                                                                
Mr. Colligan replied, in response  to a question by Co-Chair                                                                    
Stoltze, that  the FAA was  concerned with  regulating 7,500                                                                    
large unmanned drones in the  airspace. He expressed concern                                                                    
about  the safety  of general  aviation.  He also  expressed                                                                    
concern  regarding  the  large   number  of  small  unmanned                                                                    
aircraft from  one vendor  that was  selling 15,000  UAS per                                                                    
month in  the United States (US)  market at a cost  of $450.                                                                    
He  anticipated rapid  growth in  the number  of UAS  coming                                                                    
into private use.                                                                                                               
                                                                                                                                
Co-Chair Austerman agreed with  the privacy issues involved.                                                                    
He wished to avoid overregulation for recreational use.                                                                         
                                                                                                                                
8:55:24 AM                                                                                                                    
                                                                                                                                
Mr. Colligan agreed. He explained  that under new rules, the                                                                    
academy was preparing to receive  certification from the FAA                                                                    
through  a  provision  called community  based  organization                                                                    
(CBO) for the self-regulation of recreational use.                                                                              
                                                                                                                                
Representative   Edgmon   appreciated  the   testimony.   He                                                                    
supported  the bill.  He  thought that  the  task force  was                                                                    
needed in the  formative stages of unmanned  aircraft use to                                                                    
sift  through  the  issues   and  make  recommendations.  He                                                                    
wondered how  a person  with questions on  unmanned aircraft                                                                    
use would get answers.                                                                                                          
                                                                                                                                
Mr. Colligan replied that the  issue was not clear and rules                                                                    
needed  to  be  outlined.  The task  force  first  addressed                                                                    
public use and  required each state agency  involved to find                                                                    
a lead contact  to field public inquiry.  The university was                                                                    
becoming a  resource for UAS  operational standards.  He was                                                                    
not sure that the issue was fully defined.                                                                                      
                                                                                                                                
RO  BAILEY,  ALASKA  CENTER FOR  UNMANNED  AIRCRAFT  SYSTEMS                                                                    
INTEGRATION,   UNIVERSITY    OF   ALASKA    FAIRBANKS   (via                                                                    
teleconference), expressed support  for the legislation. She                                                                    
reported  that she  was  a  member of  the  task force.  She                                                                    
relayed the importance  of the formation of  the task force.                                                                    
She related that  the public appreciated the  task force for                                                                    
sharing  citizens' concerns.  The tasks  force's ability  to                                                                    
resolve  concerns  and   complaints  presented  a  "valuable                                                                    
bridging" to  a future where unmanned  aircraft systems were                                                                    
understood,   properly  managed,   and  controlled   through                                                                    
regulation.  She noted  that the  task force's  outreach was                                                                    
appreciated  by  the  public  and  organizations  that  fear                                                                    
government overreach.  She recalled an article  stating that                                                                    
Alaska had the most progressive  laws in the country for UAS                                                                    
use. She stated that as  the industry grew the potential for                                                                    
complaints  grew.  She  noted  much  interest  from  outside                                                                    
companies and agencies  who want to test  systems in Alaska.                                                                    
A   growing  group   of  inexperienced   people  were   also                                                                    
purchasing   drones  that   were  unaware   of  the   rules.                                                                    
Separating   inappropriate    behavior   from   responsible,                                                                    
professional operation  was the key to  establishing "common                                                                    
sense" rules. She supported the  expansion of the task force                                                                    
to  include   members  of  the  public,   industry  and  the                                                                    
commissioner of DCCED.                                                                                                          
                                                                                                                                
JOHN    BINDER,   DEPUTY    COMMISSIONER,   DEPARTMENT    OF                                                                    
TRANSPORTATION   AND  PUBLIC   FACILITIES,  ANCHORAGE   (via                                                                    
teleconference),  testified in  support  of the  legislation                                                                    
and the  expansion of the  task force. He remarked  that the                                                                    
task  force  was  primarily  focused   on  privacy  and  law                                                                    
enforcement  concerns  but  that   the  matter  was  rapidly                                                                    
expanding beyond  those concerns. He reminded  the committee                                                                    
that  DOT only  dealt with  the ground  aspects of  unmanned                                                                    
vehicles but  was the primary  liaison between  the agencies                                                                    
and  the   FAA,  who  was   responsible  for   the  airspace                                                                    
coordination.  The   department  was  concerned   about  the                                                                    
growing use  of UAS  and how they  interact with  the public                                                                    
and  general aviation  around airports.  The department  was                                                                    
"very   interested"   in   developing  an   integrated   and                                                                    
collaborative  role in  the task  force as  UAS capabilities                                                                    
expanded.  He  applauded  the  efforts  of  the  task  force                                                                    
especially as more issues would  impact the public and state                                                                    
owned airports.                                                                                                                 
                                                                                                                                
Representative Holmes  asked whether the travel  costs would                                                                    
be absorbed by the department.                                                                                                  
                                                                                                                                
Mr. Binder  replied in the affirmative.  Most meetings would                                                                    
take place in Anchorage and costs would be minimal.                                                                             
                                                                                                                                
Co-Chair Stoltze CLOSED public testimony.                                                                                       
                                                                                                                                
Representative Hughes  responded to  Representative Edgmon's                                                                    
prior  question. She  stated that  the  task force  meetings                                                                    
were publicly noticed  and her office was acting  as a point                                                                    
of contact.  She expressed  the need for  the task  force to                                                                    
become a central  point of contact. She noted  that the next                                                                    
issue  the taskforce  would address  was the  integration of                                                                    
commercial UAS users related to  first amendment rights. She                                                                    
thanked  her staff  and the  members of  the task  force for                                                                    
their  efficiency   and  achievement  in   establishing  the                                                                    
legislation  related  to law  enforcement  and  HCR 15.  She                                                                    
remarked that  the state's approach to  UAS regulation fixed                                                                    
a  problem as  it arose.  The  industry viewed  Alaska as  a                                                                    
place  to "set  up shop"  which was  a reason  for the  task                                                                    
force to continue to address new issues as they arise.                                                                          
                                                                                                                                
9:07:38 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stoltze  recently  heard  about a  Board  of  Game                                                                    
regulatory  process regarding  UAS. He  requested additional                                                                    
information.                                                                                                                    
                                                                                                                                
Representative  Hughes replied  that the  Board of  Game had                                                                    
added the following proposed regulations to exclude:                                                                            
                                                                                                                                
     " any devise that has been airborne controlled                                                                             
     remotely and used to spot or locate game with the use                                                                      
     of a camera or a video deviseā€¦"                                                                                            
                                                                                                                                
Representative Hughes  reported that the Department  of Fish                                                                    
and Game  (DFG) was aware of  use of a drone  during a moose                                                                    
hunt  in 2012  and wanted  to prevent  a reoccurrence.   She                                                                    
added  that if  the  prohibition was  not  specified in  the                                                                    
regulations the practice would be allowed.                                                                                      
                                                                                                                                
Representative  Gara mentioned  another  aspect of  unmanned                                                                    
aircraft. Sometimes  the planes crash and  injure people. He                                                                    
wished  to  address  the  need  for  public  safety  in  the                                                                    
resolution.                                                                                                                     
Representative  Hughes replied  that the  FAA addressed  the                                                                    
safety aspects of UAS and the  issue was outside of the task                                                                    
force's purview.                                                                                                                
                                                                                                                                
Representative Gara  requested language that the  task force                                                                    
could address minimizing public safety risks.                                                                                   
                                                                                                                                
Representative Hughes  replied that the task  force reviewed                                                                    
FAA regulations  as part  of its  duties and  would continue                                                                    
the practice.                                                                                                                   
                                                                                                                                
Co-Chair  Stoltze wanted  to change  the language  regarding                                                                    
public  members  to  include  their  role  in  industry.  He                                                                    
stressed the  importance of  accuracy when  communicating to                                                                    
the public.                                                                                                                     
                                                                                                                                
HCR  15  was  HEARD  and   HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
9:13:57 AM                                                                                                                    
AT EASE                                                                                                                         
9:15:20 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                

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