Legislature(2003 - 2004)

02/23/2004 01:34 PM House JUD

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
HB 378 - FOOD, DRUGS, COSMETICS, CERTAIN DEVICES                                                                              
                                                                                                                                
Number 2199                                                                                                                     
                                                                                                                                
CHAIR McGUIRE  announced that the  final order of  business would                                                               
be  HOUSE BILL  NO. 378,  "An Act  relating to  the Alaska  Food,                                                               
Drug,  and Cosmetic  Act, including  sales, advertising,  certain                                                               
devices, food  donors, and food banks;  making certain violations                                                               
of  organic food  provisions and  of the  Alaska Food,  Drug, and                                                               
Cosmetic  Act  unfair  methods   of  competition  and  unfair  or                                                               
deceptive acts or  practices under certain of  the state's unfair                                                               
trade practices  and consumer protection laws;  and providing for                                                               
an effective date."                                                                                                             
                                                                                                                                
Number 2166                                                                                                                     
                                                                                                                                
GERALDINE McINTOSH, Staff to  Representative William K. Williams,                                                               
House  Finance  Committee,  Alaska  State  Legislature,  said  on                                                               
behalf of the  House Finance Committee, sponsor, that  HB 378 was                                                               
introduced  at the  request of  the  Department of  Environmental                                                               
Conservation  (DEC).    Paraphrasing  a portion  of  the  sponsor                                                               
statement,  she said  HB 378  clarifies that  a violation  of the                                                               
label or advertisement provisions in  AS 17.20, or a violation of                                                               
the  representation  requirement in  AS  17.06  is an  unfair  or                                                               
deceptive  trade practice  under  Alaska's statutes.   This  will                                                               
allow  the  attorney  general's office  to  investigate  labeling                                                               
violations that are not food safety or sanitation concerns.                                                                     
                                                                                                                                
Number 2104                                                                                                                     
                                                                                                                                
KRISTIN  RYAN,   Director,  Division  of   Environmental  Health,                                                               
Department of Environmental Conservation  (DEC), said that HB 378                                                               
would  mostly  impact the  division's  Food  Safety &  Sanitation                                                               
Program  by  making amendments  to  the  Alaska Food,  Drug,  and                                                               
Cosmetic Act.   She  predicted that the  biggest concern  for the                                                               
committee will be  "the concurrence of enforcing  some aspects of                                                               
this statute by our staff  or the consumer-protection attorney in                                                               
the  [attorney   general's  office,  Mr.  Sniffen]   ...."    She                                                               
elaborated:                                                                                                                     
                                                                                                                                
     The situation has  arose because we are  often asked to                                                                    
     enforce  laws  that  we don't  have  the  expertise  to                                                                    
     enforce.  For  example, if a product looks  like it was                                                                    
     made in Alaska  but it was not, we're  asked, often, to                                                                    
     enforce  our  mislabeling  statutes  to  make  that  an                                                                    
     unfair commerce  practice, when that would  most likely                                                                    
     fall under  [Mr. Sniffen's] jurisdiction  [rather] than                                                                    
     ours.  So we wanted to  make that an option through ...                                                                    
     revisions to these statutes.                                                                                               
                                                                                                                                
REPRESENTATIVE HOLM  asked whether  "grown in Alaska"  would also                                                               
fall under "this."                                                                                                              
                                                                                                                                
MS.  RYAN  said no,  but  remarked,  "Organic labeling  has  been                                                               
added; at the  very end of it  you can see that  they did include                                                               
the  organic  labeling,  ...  under  [Title]  45,  so  that  [Mr.                                                               
Sniffen] ... could enforce some organic labeling issues."                                                                       
                                                                                                                                
REPRESENTATIVE HOLM noted, however,  that "grown in Alaska" would                                                               
not necessarily  mean organic.   Also, a "grown in  Alaska" label                                                               
could be purchased  if one has a growing operation  in the state,                                                               
but  this  doesn't  guarantee  that   a  particular  product  was                                                               
actually grown in Alaska, for example,  as might be the case with                                                               
cuttings.  At what point can  one say that something was actually                                                               
grown in  Alaska.  He  added that "'grown organically'  really is                                                               
not set  in federal law  yet."  He asked  Ms. Ryan to  comment on                                                               
the issue of control.                                                                                                           
                                                                                                                                
MS. RYAN said that [the  division] has not considered any aspects                                                               
of enforcing organic  labeling. "At this point, we  don't go down                                                               
that path;  that's done  by the Division  of Agriculture  [in the                                                               
Department of Natural Resources (DNR)],  so I would defer to them                                                               
to respond  to that question,"  she added.   House Bill  378 only                                                               
impacts the  DEC's ability  to deal with  food safety  issues and                                                               
labeling.                                                                                                                       
                                                                                                                                
Number 1987                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM indicated  that an area of concern  to him is                                                               
pesticide use, which  is a food safety issue.   He mentioned that                                                               
there have been  cases wherein people that sold  produce have had                                                               
fungus problems  or insect problems  and they have  sprayed their                                                               
produce without proper notification.                                                                                            
                                                                                                                                
MS. RYAN  indicated that  she would discuss  this issue  with the                                                               
Division of Agriculture, which is  the division that oversees the                                                               
organic labeling  and "grown in  Alaska" programs.  The  DEC does                                                               
not deal  with those  aspects; instead, it  deals with  the food-                                                               
safety aspects of processing food, not raw products.                                                                            
                                                                                                                                
REPRESENTATIVE GARA  turned attention  to page 2  of HB  378, and                                                               
surmised   that   the   training,  testing,   and   certification                                                               
requirements could involve  a lot of certificates.   He indicated                                                               
that he  might have an  amendment to  address the issue  of cost.                                                               
Is this  not too  broad, he  asked, to  train, test,  and certify                                                               
food handlers, waiters, cooks, and undercooks?                                                                                  
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     Yes, those are significant aspects  of the bill.  And I                                                                    
     apologize for  not drawing your attention  to them, but                                                                    
     they've been addressed in  the [House Health, Education                                                                    
     and  Social Services  Standing Committee],  so we  just                                                                    
     felt they  weren't something that this  committee would                                                                    
     be  interested [in]  learning about.   But,  yes, there                                                                    
     will  be a  significant impact  to our  ability to  get                                                                    
     safe  food by  requiring  individuals  who handle  food                                                                    
     that we're going to eat  in public to become certified.                                                                    
     ... So  it's an  essential component  to a  food safety                                                                    
     system  that we're  missing, that  we've identified  as                                                                    
     needing, to make  sure that we're getting  safe food in                                                                    
     the state.                                                                                                                 
                                                                                                                                
     How  we're going  to implement  that ...  is [via  the]                                                                    
     regulation-drafting process, and  we need the statutory                                                                    
     authority  to get  to that  point,  though, and  that's                                                                    
     what this  bill allows us  to do.   Who's going  to pay                                                                    
     for these  tests, which  I think  you were  alluding to                                                                    
     and  what  your amendment  is  referring  to, is  again                                                                    
     something  that ...  we don't  necessarily want  to get                                                                    
     too involved in because I  don't know how we would ever                                                                    
     maintain a database of who  paid for what.  But, again,                                                                    
     I  still  would  defer that  to  a  regulation-drafting                                                                    
     process as  to how we  will be implementing  a training                                                                    
     and certification  program for food workers  across the                                                                    
     state.                                                                                                                     
                                                                                                                                
Number 1792                                                                                                                     
                                                                                                                                
REPRESENTATIVE SAMUELS asked Ms. Ryan  to elaborate on the issues                                                               
of how many people she  anticipates being tested, what the fiscal                                                               
note  is, and  whether  there is  statistical  data showing  that                                                               
there is  a problem  that needs  fixing.   He also  asked whether                                                               
food sickness is rampant in restaurants in Alaska.                                                                              
                                                                                                                                
MS. RYAN mentioned  that the written comments  she'd provided the                                                               
committee contained a lot  of background information illustrating                                                               
the need for  the changes being proposed via HB  378.  The fiscal                                                               
note is  quite small, she  opined, compared to the  potential fee                                                               
generation that will  occur; the funds requested  varies by year,                                                               
with the first year including  the initial investment in software                                                               
and  hardware.   The two  positions detailed  in the  fiscal note                                                               
will cost  approximately $200,000  per year.   She said  that the                                                               
problem the division has identified has come about a few ways:                                                                  
                                                                                                                                
     One:  yes,  there is a problem  with food-borne illness                                                                    
     in  the  state  and  in  the  nation.    It's  severely                                                                    
     underreported; it's not something  you learn about.  In                                                                    
     fact, the  ratio of reporting  versus non  reporting is                                                                    
     25 to  1, so we  learn about 1  case for every  25 that                                                                    
     exist. ...  I am  relying on  CDC [Centers  for Disease                                                                    
     Control  and  Prevention]  for   that  statistic.    In                                                                    
     Alaska, last  year, we had  26 outbreaks - if  you want                                                                    
     an  Alaskan statistic  -  and of  those  26, they  vary                                                                    
     across the state as to where and what and how.                                                                             
                                                                                                                                
     I can  pull ... an example  [from] Representative Ogg's                                                                    
     district .... You probably heard  about Kodiak, it just                                                                    
     happened a couple of months  ago, the ... taco meat had                                                                    
     salmonella in  it and it was  actually [an] antibiotic-                                                                    
     resistant strain.   So we're really lucky  no one died,                                                                    
     because we couldn't  do anything to help  them and over                                                                    
     50  people were  sick; it  was a  potluck at  a school.                                                                    
     So, you  just don't  hear about a  lot of  the problems                                                                    
     that  occur and  it's one  of those  safety nets  that,                                                                    
     when it fails, you really  hear about it, but you don't                                                                    
     really know about it when it's working decently.                                                                           
                                                                                                                                
Number 1683                                                                                                                     
                                                                                                                                
CHAIR McGUIRE asked how the certification process would work for                                                                
circumstances involving potlucks.                                                                                               
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     We have  a temporary  food service permit,  which isn't                                                                    
     part of  this system,  that you're already  required to                                                                    
     get if  you have an  event that's four days  or longer;                                                                    
     that's how  we break  it out.   So,  a potluck,  a one-                                                                    
     night deal, isn't  a food-safety event, but  if it goes                                                                    
     into four days or longer ...  we do require you to come                                                                    
     in and  get ... not  our full-service permit,  which is                                                                    
     ... a little more extreme.                                                                                                 
                                                                                                                                
CHAIR McGUIRE surmised  that the potluck situations  might be the                                                               
problem area  because those folks  don't have training  and don't                                                               
make  their  livelihood from  food  preparation,  so they  aren't                                                               
aware of safe storage, refrigeration, and cooking requirements.                                                                 
                                                                                                                                
MS. RYAN pointed out, however, that there are significant                                                                       
problems in commercial food establishments.  She elaborated:                                                                    
                                                                                                                                
     We had a restaurant in Kenai  that put 10 people in the                                                                    
     hospital and  made probably about  300 people  sick two                                                                    
     or three  years ago;  [we] closed the  restaurant down.                                                                    
     ... They're  lucky no one died  as well.  So,  it's not                                                                    
     just a  private home (indisc. -  coughing) problem, and                                                                    
     as  [an]  agency  responsible for  regulating  services                                                                    
     [provided] to the  public, that's my focus.  ... I want                                                                    
     to  make sure  that the  food that  I go  get at  [the]                                                                    
     store or  that my neighbor  ... gets at  the restaurant                                                                    
     is  safe,  because  people  have  a  perception  [that]                                                                    
     government's  protecting  them in  those  environments.                                                                    
     At the  potluck, at the church  social, you're supposed                                                                    
     to be  "buyer beware"; you're  supposed know ...  or at                                                                    
     least be  confident ... that the  people preparing your                                                                    
     food for you are doing it correctly.                                                                                       
                                                                                                                                
CHAIR McGUIRE mentioned  that at one time she'd sat  on a finance                                                               
subcommittee  on a  DEC  overview  with Representative  Williams,                                                               
who'd  previously  suffered from  a  case  of botulism,  and  the                                                               
subcommittee  spent  most of  its  time  discussing food  safety,                                                               
inspections,  and  licensing  issues.   She  asked  Ms.  Ryan  to                                                               
explain to the  committee how she thinks HB 378  will address the                                                               
problem better than previous attempts.                                                                                          
                                                                                                                                
Number 1567                                                                                                                     
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     We  did  take  a  cut of  $500,000,  again,  from  this                                                                    
     program;  this  program  has been  traditionally  under                                                                    
     attack quite a bit from  various members, but last year                                                                    
     we took a cut of  $500,000 and eliminated 6 inspector's                                                                    
     positions.    That  left  me  with  18  inspectors  and                                                                    
     probably 5,000  establishments.  So  I was left  with a                                                                    
     position of trying  to come up with a way  to make sure                                                                    
     that  these 5,000  establishments are  doing it  right.                                                                    
     Even before  then, we  were only  getting in  our high-                                                                    
     risk facilities once a year 60 percent of the time.                                                                        
                                                                                                                                
     That,  to  me,  is  misleading to  the  general  public                                                                    
     because they  have the perception  that we're  at least                                                                    
     in there  a lot more often  than we were, and  that ...                                                                    
     their  shoulders were  being looked  over to  make sure                                                                    
     they were  washing their hands  and keeping  their meat                                                                    
     separate  from their  vegetables.   So  ... staff  came                                                                    
     together - all 32 of them  ... if you look at the whole                                                                    
     program  including seafood  processors  -  and came  up                                                                    
     with Active Managerial Control,  which is our new model                                                                    
     that  uses the  training  and  certification aspect  in                                                                    
     this  bill, as  well as  civil fines,  to complete  the                                                                    
     whole food-safety network picture.                                                                                         
                                                                                                                                
     This takes the reliance  off government inspections and                                                                    
     puts  the   responsibility  on   the  owners   and  the                                                                    
     operators  of  establishments:   the  people  that  are                                                                    
     serving you food  365 days a year.  We  aren't in there                                                                    
     enough;  they're   the  ones  that  are   going  to  be                                                                    
     responsible for doing it correctly,  not us.  So that's                                                                    
     why ...  Representative Williams is willing  to sponsor                                                                    
     this  bill  [via  the  House  Finance  Committee]  now,                                                                    
     because he  does feel  that we  have listened  and have                                                                    
     come up with something that  will work across the state                                                                    
     and  be  equitable,  and  you'll be  just  as  safe  in                                                                    
     Wrangell as you are in Nome as you are in Anchorage.                                                                       
                                                                                                                                
Number 1489                                                                                                                     
                                                                                                                                
REPRESENTATIVE GARA said he is worried that the solution as                                                                     
outlined on page 2, lines 5-8, is broader than the problem.  He                                                                 
elaborated:                                                                                                                     
                                                                                                                                
     You're asking  us to  trust that  the agency  will deal                                                                    
     with  this  responsibly  and  narrowly,  but  if  we're                                                                    
     giving you  really, really,  really broad  authority, I                                                                    
     think we should  assume that you're going to  do as bad                                                                    
     a job as  we're telling you you're allowed to  do.  And                                                                    
     I'm  wondering  whether,  to be  consistent  with  your                                                                    
     theory of  ownership and  managerial control,  maybe we                                                                    
     just  certify and  train the  owners and  managers, and                                                                    
     it's up to  them to train their employees,  and if they                                                                    
     don't, they know what their  fines are.  Maybe that's a                                                                    
     way.  What would you think about doing it that way?                                                                        
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     Obviously, we  would prefer to have  the flexibility to                                                                    
     address that issue  in the regulation-drafting process.                                                                    
     ...  At  this  point,  we're  proposing  to  train  and                                                                    
     certify  both food  handlers and  ...  one manager  per                                                                    
     establishment.   If that's  what we  end up  with after                                                                    
     the   regulation-drafting   process,  ...   [then]   we                                                                    
     communicate  [that] with  communities and  constituents                                                                    
     ...;  that will  be determined  down the  road.   But I                                                                    
     would  like the  flexibility,  at this  point, to  have                                                                    
     that   option   ...   after  we   interact   with   our                                                                    
     constituents.                                                                                                              
                                                                                                                                
     We  did  do  one  survey   -  that's  in  my  [written]                                                                    
     testimony  - I  think  it was  321  respondents of  our                                                                    
     permit holders, and  90 percent of them  said that food                                                                    
     handler certification  ... is  what would  be necessary                                                                    
     for  a safe  food  system, and  then  an additional  80                                                                    
     percent said a manager  certification would be as well.                                                                    
     ... And when we look at  what other state's do and what                                                                    
     our constituents  are telling  us through  this survey,                                                                    
     it makes  sense that we  have the  option to do  both -                                                                    
     that that's necessary for a complete system.                                                                               
                                                                                                                                
REPRESENTATIVE  GARA  said  he  could not  believe  that  a  food                                                               
handler in a McDonald's in New  York or San Francisco is licensed                                                               
and trained.   He asked Ms. Ryan  whether she has a  sense of how                                                               
it's done in the majority of other places.                                                                                      
                                                                                                                                
MS. RYAN  explained that most  food handlers in other  states are                                                               
licensed and trained.  She relayed  that when she was sixteen and                                                               
working at  McDonald's in Oregon,  she had to get  a food-handler                                                               
card from  a state  agency.   "It's very common  to have  a food-                                                               
handler card; most states do use that," she added.                                                                              
                                                                                                                                
Number 1358                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM asked  who would certify the  trainers and to                                                               
what degree would that person be trained.                                                                                       
                                                                                                                                
MS.  RYAN indicated  that the  division  does not  yet have  that                                                               
aspect  fleshed  out,  adding  that  the  bill  would  grant  the                                                               
division  the  statutory authority  to  draft  regulations.   And                                                               
although the division  does have some ideas,  those ideas haven't                                                               
yet been vetted through the public process.                                                                                     
                                                                                                                                
REPRESENTATIVE  HOLM opined  that it  would be  inappropriate for                                                               
the legislature  to grant the  statutory authority  without first                                                               
having an idea of what methodology  would be used by the division                                                               
to carry  out its goals.   "I worry about creating  a bureaucracy                                                               
that doesn't have some constraints on it," he added.                                                                            
                                                                                                                                
MS. RYAN  said she  would be  happy to  share with  the committee                                                               
more details of  what the division will be proposing  in terms of                                                               
methodology, though  the division  is not yet  sure what  the end                                                               
result be.  She elaborated:                                                                                                     
                                                                                                                                
     What we  propose, in Active  Managerial Control,  is we                                                                    
     would have two tiers  of certification required.  You'd                                                                    
     have the  food-handler ... card  that the  food handler                                                                    
     would have  to get.   Now, that training would  be free                                                                    
     and  online -  and it's  part of  the database  that we                                                                    
     would purchase with this funding  - so anybody could go                                                                    
     in and go  through the training for free.   There would                                                                    
     be no certification  of trainers, necessarily, although                                                                    
     CHARR   [Cabaret    Hotel   Restaurant    &   Retailers                                                                    
     Association],  a   restaurant  association,   has  come                                                                    
     forward and  asked for the  ability to be  certified as                                                                    
     trainers because they provide  that service.  So that's                                                                    
     one  avenue   we're  looking   into.     The  manager's                                                                    
     certification is a  national accreditation program that                                                                    
     five  companies have  been accredited  from a  national                                                                    
     food-safety  network  to provide.    So  those are  the                                                                    
     models that  we're considering,  ... I'm  just hesitant                                                                    
     to say that's how it will end up ....                                                                                      
                                                                                                                                
Number 1211                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM said that explanation helps him a lot.  He                                                                  
then asked what the qualifications are of the division's                                                                        
remaining 18 inspectors.                                                                                                        
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     They  have pretty  stringent  requirements.   They  are                                                                    
     called ...  "environmental health officers."   [That's]                                                                    
     the   actual  title   that  they're   given  in   state                                                                    
     government, and they're sanitarians.   Most of them are                                                                    
     accredited through  a national sanitation  program, but                                                                    
     they  all  have  some fundamental  sanitation  training                                                                    
     through a college degree.                                                                                                  
                                                                                                                                
REPRESENTATIVE HOLM asked what gives environmental health                                                                       
officers the ability to understand the food industry such that                                                                  
they would know whether someone was doing something improperly.                                                                 
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     In the  United States,  for the  last 100  years, we've                                                                    
     had a  food-safety system  that's relied  on inspectors                                                                    
     going into  processing plants  and restaurants  to make                                                                    
     sure   they're  doing   things   correctly.     There's                                                                    
     standards  set by  CDC; there's  five risks  that we're                                                                    
     always looking  for, to  make sure  that there's  not a                                                                    
     potential  for  sickness.   It's  a  very  standardized                                                                    
     field. ... We  know what you can do to  do things right                                                                    
     and what  you have  to do to  keep people  from getting                                                                    
     sick.   It's not rocket  science ...; it's  not simple,                                                                    
     either,  but it's  very standardized  across the  U.S.,                                                                    
     and ... internationally  as well, what you  look for to                                                                    
     make sure people  are handling food safely.   You don't                                                                    
     put [a  vegetable] ...  on the  cutting board  that you                                                                    
     had  ... [meat]  on.   You don't  put raw  meat in  the                                                                    
     [refrigerator] above  something that it can  drip onto.                                                                    
     ... There's  pretty simple guidelines that  everyone is                                                                    
     supposed  to  adhere to  that  are  even in  nationally                                                                    
     accredited CDC's ...                                                                                                       
                                                                                                                                
REPRESENTATIVE  HOLM  interjected  to  say  that  he  appreciates                                                               
having  that information.   He  mentioned that  California has  a                                                               
system whereby restaurants are given  tags that reflect the food-                                                               
safety  standards that  they meet.   He  asked whether  something                                                               
similar could be done in Alaska.                                                                                                
                                                                                                                                
Number 1011                                                                                                                     
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     The difficulty  we have with  that system is  [that] it                                                                    
     relies on  a government  inspection.   If we're  not in                                                                    
     there [but] only once a year,  if that, I don't know if                                                                    
     that's an  assurance that they're still  [maintaining a                                                                    
     high rating].   That  [rating] is only  as good  as the                                                                    
     last inspection,  and if we're not  in there frequently                                                                    
     enough, it's difficult to rely on  that.  We used to do                                                                    
     that ... and  some communities still do ....   That's a                                                                    
     difficult thing  to implement when you're  not in there                                                                    
     enough.                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG asked whether  the division can delegate                                                               
its authority to a municipality.                                                                                                
                                                                                                                                
MS. RYAN said yes, adding that it has done so with Anchorage.                                                                   
                                                                                                                                
REPRESENTATIVE  GRUENBERG  turned   attention  to  the  language,                                                               
"individuals who  handle ... food" on  page 2, line 6.   He asked                                                               
whether this includes those who serve food.                                                                                     
                                                                                                                                
MS.  RYAN indicated  that the  intent  is to  include anyone  who                                                               
handles  unpackaged food;  thus food  servers would  be included.                                                               
The bill's current  language would allow the  flexibility to make                                                               
that distinction in regulation.                                                                                                 
                                                                                                                                
REPRESENTATIVE GRUENBERG  turned attention  to Sections 3  and 5,                                                               
and asked Ms.  Ryan whether she'd like to have  Section 5 amended                                                               
to allow the Department of  Health and Social Services (DHSS) the                                                               
ability to impose  fines for violations of those  items listed in                                                               
Section 3.                                                                                                                      
                                                                                                                                
MS. RYAN  said she  could not  answer for the  DHSS.   She added,                                                               
however, that the DHSS is familiar  with the bill, has attached a                                                               
zero fiscal note, and has  not expressed an interest in acquiring                                                               
the authority  to impose civil fines.   In response to  a further                                                               
question,  she said  that the  DEC would  not object  to such  an                                                               
amendment.                                                                                                                      
                                                                                                                                
REPRESENTATIVE  GRUENBERG turned  attention  to  Section 11,  and                                                               
noted  that  certain  language is  being  deleted  from  existing                                                               
statute.   This language,  he remarked,  appears to  give certain                                                               
due-process rights to people who are accused of violations.                                                                     
                                                                                                                                
MS.  RYAN said  that the  language being  deleted is  duplicative                                                               
because  existing  due-process  statutes  already  [contain  this                                                               
language], and  having this language  in this portion  of statute                                                               
has caused delay in enforcement actions.                                                                                        
                                                                                                                                
Number 0748                                                                                                                     
                                                                                                                                
ELISE HSIEH,  Assistant Attorney General,  Environmental Section,                                                               
Civil Division  (Anchorage), Department  of Law  (DOL), confirmed                                                               
that there already are due-process statutes that would apply.                                                                   
                                                                                                                                
REPRESENTATIVE  GRUENBERG  turned  attention to  Section  14  and                                                               
asked why July 1, 2004, was chosen as the effective date.                                                                       
                                                                                                                                
MS. RYAN  relayed that having  an effective date  which coincides                                                               
with  the fiscal  year would  make  it easier  to determine  when                                                               
funding would be available.                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG   turned  attention  to   Amendment  1,                                                               
labeled 23-LS1473\A.1, Bannister, 2/20/04, which read:                                                                          
                                                                                                                                
     Page 5, following line 23:                                                                                                 
          Insert a new bill section to read:                                                                                    
        "* Sec.  11.   AS 17.20 is amended  by adding  a new                                                                
     section to read:                                                                                                           
          Sec. 17.20.355.  Certification costs.  A person                                                                     
     who has  an employee  who is subject  in the  course of                                                                    
     the  employment   to  the   certification  requirements                                                                    
     adopted  by the  commissioner under  AS 17.20.005(1)(D)                                                                    
     shall  pay  the  costs  that   are  necessary  for  the                                                                    
     employee to  meet the certification requirements.   The                                                                    
     employer may not require the  employee to reimburse the                                                                    
     employer for these payments."                                                                                              
                                                                                                                                
     Renumber the following bill sections accordingly.                                                                          
                                                                                                                                
MS.  RYAN,  in  response  to questions,  said  that  Amendment  1                                                               
appears to address  who would be required to pay  for the testing                                                               
required by Section  1, whereas the [bill] itself  only gives the                                                               
DHSS the  ability to  require the testing.   Currently,  the DHSS                                                               
does not have  the authority to charge fees for  the training and                                                               
certification proposed in Section 1  because it does not yet have                                                               
the  authority  to  require   that  training  and  certification.                                                               
Additionally,  because  the DHSS  already  has  the authority  to                                                               
charge  fees  for services,  once  the  department is  given  the                                                               
authority  to require  training, it  will automatically  have the                                                               
authority to charge fees for that service.                                                                                      
                                                                                                                                
Number 0513                                                                                                                     
                                                                                                                                
MS. RYAN, in response to  further questions, said that currently,                                                               
the proposed plan  for food handlers is to follow  the model used                                                               
in the state  of Washington.  This would  involve online training                                                               
that  would  take  approximately  half an  hour  to  go  through.                                                               
However, it  would not  be mandatory  that someone  complete that                                                               
online training, but it would be  mandatory to take the test.  In                                                               
other words,  the training would  be available and free,  but not                                                               
required; thus,  if someone came  from another state  and already                                                               
knew the information, he/she could  simply go online and take the                                                               
test,  which,  she estimated,  could  take  five minutes.    Upon                                                               
completion of  that five-minute test,  for which the  division is                                                               
proposing  charging  a $10  fee,  a  food-handler card  would  be                                                               
issued that would be good for three years.                                                                                      
                                                                                                                                
MS. RYAN noted  that HB 378 would not  affect seafood processors,                                                               
which are  already under stricter  requirements.  With  regard to                                                               
the bill's effective  date, she explained that  the division does                                                               
not anticipate  having the  certification requirements  in effect                                                               
until a  year from  when the regulations  authorized by  the bill                                                               
become effective.   The  effective date in  the bill  pertains to                                                               
when the  division can start the  regulation-drafting process and                                                               
begin purchasing the needed software and hardware.                                                                              
                                                                                                                                
REPRESENTATIVE SAMUELS asked how  the division intends to measure                                                               
whether HB 378 has been effective.                                                                                              
                                                                                                                                
MS. RYAN replied:                                                                                                               
                                                                                                                                
     That's a very difficult question  and a problem we deal                                                                    
     with  constantly in  public health  because you  cannot                                                                    
     measure the  effectiveness of  your program  because no                                                                    
     one is  getting sick or  dying - that's what  you would                                                                    
     count.   And,  because  of  the [aforementioned  under-                                                                    
     reporting],  it's impossible  for us  to really  have a                                                                    
     good  indication  of  how effective  we're  being  [in]                                                                    
     keeping  people   safe.    What   we  can   measure  is                                                                    
     inspection scores,  we can  measure the  cleanliness we                                                                    
     find  when we  go into  establishments, and  that's the                                                                    
     mechanism   and  the   tools  we'll   be  using   as  a                                                                    
     performance  measure,  which  is  part  of  our  budget                                                                    
     process  for   the  department  and  the   food  safety                                                                    
     program.                                                                                                                   
                                                                                                                                
Number 0212                                                                                                                     
                                                                                                                                
CHAIR McGUIRE pondered  whether, for incidents like  the one that                                                               
occurred  in Kenai,  it would  be helpful  to establish  a review                                                               
team to perform an investigation.                                                                                               
                                                                                                                                
MS. RYAN said  that national studies have  shown that restaurants                                                               
with certified workers actually  have cleaner establishments than                                                               
those that  do not have certified  workers.  There has  been some                                                               
basic science done to show what's  necessary and how to get those                                                               
necessary  components implemented.    And although  on a  broader                                                               
statewide  scale  it is  hard  to  make an  assessment  regarding                                                               
effectiveness, the  division has always  relied on the  number of                                                               
critical violations  it finds  in an  establishment to  make that                                                               
assessment.   If  a program  is being  effective, it  should find                                                               
fewer  critical  violations,  which   are  those  that  have  the                                                               
potential of making someone sick.                                                                                               
                                                                                                                                
CHAIR McGUIRE noted  that on a statewide scale,  there is nothing                                                               
currently in  place to ensure  that establishments  are operating                                                               
in a  safe manner, and  surmised that HB 378  will go a  long way                                                               
toward helping  the division  meet its goals.   "People  die from                                                               
food-borne illnesses;  this isn't just  a matter of  feeling sick                                                               
for 24 hours," she added.                                                                                                       
                                                                                                                                
TAPE 04-23, SIDE A                                                                                                            
Number 0001                                                                                                                     
                                                                                                                                
CLYDE   (ED)   SNIFFEN,    JR.,   Assistant   Attorney   General,                                                               
Commercial/Fair  Business  Section, Civil  Division  (Anchorage),                                                               
Department  of Law  (DOL), indicated  that one  aspect of  HB 378                                                               
impacts the DOL's Commercial/Fair  Business Section regarding its                                                               
ability  to  enforce  and  take action  against  people  who  are                                                               
engaging in  consumer deception with  respect to the  labeling of                                                               
food products.  He elaborated:                                                                                                  
                                                                                                                                
     It's an area  that we had some concern  about last year                                                                    
     and, currently,  the way  our statutes  are structured,                                                                    
     we are unable to take  action in that area because [the                                                                    
     DEC] statutes  give them the exclusive  authority to do                                                                    
     that.   And  the  amendments to  (indisc.) statute,  as                                                                    
     reflected in this bill, essentially  give [the DOL] the                                                                    
     authority to investigate and take action against folks                                                                     
       who mislabel products.  And it's not our intent to                                                                       
       tread on the DEC's expertise when it comes to food-                                                                      
     safety  issues; we  are  thinking  that this  authority                                                                    
     would  allow us  to investigate  and review  only those                                                                    
     things that  have consumer deception ...  impacts.  So,                                                                    
     with that,  I'd be happy  to answer any  questions from                                                                    
     the committee, and thank you [Chair McGuire].                                                                              
                                                                                                                                
MR.  SNIFFEN, in  response to  questions, said  that the  DOL has                                                               
submitted a zero fiscal note  because it does not anticipate many                                                               
such cases to come up on an  annual basis and so will just absorb                                                               
any  extra enforcement  costs, and  that  the DOL  would have  no                                                               
objection to an  amendment giving the DHSS the  ability to impose                                                               
civil fines for  violation of those items under  its purview that                                                               
are listed in HB 378.                                                                                                           
                                                                                                                                
Number 0263                                                                                                                     
                                                                                                                                
MS. RYAN noted  that Ms. Hsieh, in reviewing HB  378, worked with                                                               
the  DHSS and  so may  know  why the  DHSS did  not request  that                                                               
ability.                                                                                                                        
                                                                                                                                
MS. HSIEH said  that according to her recollection,  the DHSS had                                                               
no interest  in such  a change, particularly  since the  Food and                                                               
Drug  Administration  (FDA)  takes  over most  of  that  type  of                                                               
enforcement.   She  also  noted, however,  that  the language  in                                                               
subsection  (b) of  proposed AS  17.20.315  currently says,  "the                                                               
department  shall, by  regulation,  adopt a  schedule of  fines".                                                               
Therefore, if  an amendment such as  Representative Gruenberg was                                                               
suggesting were to pass, it  would require the DHSS to promulgate                                                               
regulations, and so  the committee may wish to weigh  in with the                                                               
DHSS to see if it would really be interested in such a change.                                                                  
                                                                                                                                
REPRESENTATIVE GRUENBERG  said that he  did not want to  hold the                                                               
bill up, and asked Ms. Hsieh for  her thoughts on how it might be                                                               
best to proceed with such an amendment.                                                                                         
                                                                                                                                
MS. HSIEH again suggested that  the committee check with the DHSS                                                               
about such an amendment before offering it.                                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG  relayed that  he would not  be offering                                                               
such an amendment at this time.                                                                                                 
                                                                                                                                
CHAIR  McGUIRE, after  ascertaining that  no one  else wished  to                                                               
testify, closed public testimony on HB 378.                                                                                     
                                                                                                                                
Number 0403                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GARA made  a motion  to adopt  Amendment 1  [text                                                               
previously provided].                                                                                                           
                                                                                                                                
Number 0414                                                                                                                     
                                                                                                                                
CHAIR McGUIRE objected.                                                                                                         
                                                                                                                                
REPRESENTATIVE GARA said he is  still very uncomfortable with the                                                               
language on  page 2 that  could conceivable require  thousands of                                                               
people in Alaska to get  trained, tested, and certified, and thus                                                               
be charged  testing fees  - perhaps expensive  testing fees.   He                                                               
said that  Amendment 1  would ensure  that businesses  absorb the                                                               
cost of the  testing fees.  Additionally, he noted,  if it is the                                                               
businesses  that   are  bearing   the  burden  of   the  proposed                                                               
requirements  and  fees,  then  they will  be  more  likely  than                                                               
individual workers will  be to ensure that  such requirements and                                                               
fees do  not become unreasonable.   Amendment 1  would indirectly                                                               
ensure that the proposed requirements  stay as narrow as possible                                                               
and be  fair to low-wage  workers.   He asked members  to support                                                               
Amendment 1.                                                                                                                    
                                                                                                                                
MS. RYAN  said she did  not know how  the division would  ever be                                                               
able to track who actually pays the testing fee.                                                                                
                                                                                                                                
REPRESENTATIVE GARA offered  his belief that the  DEC's would not                                                               
have to undertake that burden;  "presumably the employee would go                                                               
to  the employer,  ask  for compensation,  [and]  that would,  in                                                               
almost every case, be  the end of it."  Should  a dispute on this                                                               
issue  arise, it  could be  settled in  small claims  court.   He                                                               
added, "I  think employers would just  end up paying for  it, and                                                               
we wouldn't  have to worry  about enforcement because  they would                                                               
just follow the law probably."                                                                                                  
                                                                                                                                
REPRESENTATIVE SAMUELS  said, "I think  the employer is  going to                                                               
pay  for it  anyway," and  noted that  if an  employee obtains  a                                                               
food-handler card,  which would be  good for three  years, he/she                                                               
then has a  marketable skill.  He likened Amendment  1 to putting                                                               
in statute  a requirement  that employers pay  for uniforms.   He                                                               
suggested  that the  question  of  who pays  for  the testing  is                                                               
something to  be worked  out between employer  and employee.   He                                                               
said that he would be opposing Amendment 1.                                                                                     
                                                                                                                                
Number 0630                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG  offered  what  he  termed  a  friendly                                                               
conceptual  amendment  to Amendment  1  such  that it  would  not                                                               
require the DEC to do anything.                                                                                                 
                                                                                                                                
REPRESENTATIVE GARA said, "Sure."                                                                                               
                                                                                                                                
Number 0645                                                                                                                     
                                                                                                                                
CHAIR  McGUIRE  noted that  no  one  objected to  the  conceptual                                                               
amendment to Amendment 1.  Therefore, Amendment 1 was amended.                                                                  
                                                                                                                                
REPRESENTATIVE  GARA  predicted  that  the  DEC  would  have  the                                                               
authority to come up with  whatever regulations it wants in order                                                               
to implement "it."  He  reiterated his earlier comments regarding                                                               
how  he envisions  Amendment  1,  as amended,  would  work.   The                                                               
really good  employers will  absorb the cost  to begin  with, but                                                               
those who are not good employers might  need to be told to do so,                                                               
he remarked,  and opined that  such an additional  provision will                                                               
be easily  enforceable.  In response  to a question, he  said his                                                               
fear is that people  who work for only $7 per  hour and only work                                                               
10 hours a week will have to pay  $10 for a card that allows them                                                               
to hold that job.                                                                                                               
                                                                                                                                
MS. RYAN said she agrees  with Representative Samuels's comments,                                                               
adding that  other states leave  it to the employer  and employee                                                               
to figure out who pays for the testing.                                                                                         
                                                                                                                                
REPRESENTATIVE   HOLM   said   that    he,   too,   agrees   with                                                               
Representative  Samuels,  adding,  "This  is  no  different  than                                                               
requiring  a  driver's  license,  or any  other  requirement  for                                                               
somebody to go  to work."  He indicated that  he thinks Amendment                                                               
1, as amended, is unnecessary.                                                                                                  
                                                                                                                                
REPRESENTATIVE  GRUENBERG  said that  although  he  felt that  it                                                               
would not be appropriate, as an  employer, to be asked to pay the                                                               
cost of  someone's driver's license,  he does feel that  it would                                                               
be fair  to ask  the employer  to pay the  cost of  an employee's                                                               
food-handler card.                                                                                                              
                                                                                                                                
CHAIR  McGUIRE  said  she tends  to  agree  with  Representatives                                                               
Samuels and Holm.   If a potential employee does  not want to pay                                                               
the fee for  testing, then he/she will not apply  for those jobs,                                                               
which could ultimately  result in a shortage of  workers which in                                                               
turn could  cause employers to agree  to pay the cost.   "I don't                                                               
know that  we need  to legislate  these types  of relationships,"                                                               
she concluded.                                                                                                                  
                                                                                                                                
MS. RYAN, in  response to comments, reiterated  that the training                                                               
will be free, but the test will cost $10.                                                                                       
                                                                                                                                
REPRESENTATIVE  GARA  said that  "this"  is  completely unlike  a                                                               
driver's license;  a driver's license  is generally  obtained for                                                               
oneself, whereas  a food-handler  card would be  obtained largely                                                               
for the employer.  "That's why  I think the employer should pay,"                                                               
he concluded.                                                                                                                   
                                                                                                                                
CHAIR McGUIRE said, "We would  hope that [the DEC] would continue                                                               
to recognize that we're delegating  a tremendous amount of power,                                                               
and  that we  hope  that you  keep  those costs  down  as low  as                                                               
possible and commiserate with the  types of responsibilities that                                                               
you need to have ... to ensure food safety."                                                                                    
                                                                                                                                
Number 1056                                                                                                                     
                                                                                                                                
A roll call  vote was taken.  Representatives  Gara and Gruenberg                                                               
voted  in favor  of  Amendment 1,  as  amended.   Representatives                                                               
Holm,  Samuels,  and  McGuire   voted  against  it.    Therefore,                                                               
Amendment 1, as amended, failed by a vote of 2-3.                                                                               
                                                                                                                                
Number 1064                                                                                                                     
                                                                                                                                
REPRESENTATIVE SAMUELS  moved to report  HB 378 out  of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.   There being no objection,  HB 378 was reported  from the                                                               
House Judiciary Standing Committee.                                                                                             

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