Legislature(2003 - 2004)

04/30/2004 08:05 AM House STA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
HB 461-EMERGENCY SERVICES DISPATCH/911 SURCHARGE                                                                              
[Contains discussion of HB 499.]                                                                                                
                                                                                                                                
Number 0024                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  announced that the  first order of  business was                                                               
HOUSE BILL NO.  461, "An Act relating to  enhanced 911 surcharges                                                               
and  to emergency  services dispatch  systems of  municipalities,                                                               
certain   villages,  and   public  corporations   established  by                                                               
municipalities."                                                                                                                
                                                                                                                                
Number 0044                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH offered his understanding  that a motion had been                                                               
made at the  [4/29/04] meeting to adopt  the committee substitute                                                               
(CS) for  HB 461, Version  23-LS1633\Z, Cook, 4/28/04, as  a work                                                               
draft  and an  objection  had  been made  to  that  motion.   [No                                                               
further  discussion  took  place regarding  that  objection,  the                                                               
committee treated Version Z as adopted.]                                                                                        
                                                                                                                                
Number 0085                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH  moved  to  adopt Amendment  1,  which  read  as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Page 3, Line 22                                                                                                            
          Delete "resolution or"                                                                                                
     Page 3, Line 31                                                                                                            
          Delete "resolution or"                                                                                                
                                                                                                                                
REPRESENTATIVE HOLM objected [for discussion purposes].                                                                         
                                                                                                                                
Number 0100                                                                                                                     
                                                                                                                                
MATTHEW  RUDIG, Staff  to Representative  Jim Holm,  Alaska State                                                               
Legislature,  testifying   on  behalf  of   Representative  Holm,                                                               
sponsor of  HB 461, explained  the purpose  of Amendment 1  is to                                                               
clear up language in current statute.                                                                                           
                                                                                                                                
Number 0150                                                                                                                     
                                                                                                                                
REPRESENTATIVE  HOLM  withdrew his  objection.    There being  no                                                               
further objection, Amendment 1 was adopted.                                                                                     
                                                                                                                                
Number 0169                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM  moved to  adopt Amendment  2, which  read as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Page 3, Line 26                                                                                                            
           Insert after company ", competitive local                                                                            
     exchange company"                                                                                                          
     Page 4, Line 21                                                                                                            
         Insert after company ", or a competitive local                                                                         
     exchange company"                                                                                                          
                                                                                                                                
CHAIR WEYHRAUCH objected.                                                                                                       
                                                                                                                                
REPRESENTATIVE HOLM indicated that  Amendment 2 defines what [the                                                               
local companies] are.                                                                                                           
                                                                                                                                
Number 0245                                                                                                                     
                                                                                                                                
MR. RUDIG said Amendment 2  clarifies that all phone companies in                                                               
the state are covered under the bill.                                                                                           
                                                                                                                                
Number 0281                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  removed his objection  to Amendment 2  and asked                                                               
if there was any further  objection.  There being none, Amendment                                                               
2 was adopted.                                                                                                                  
                                                                                                                                
Number 0339                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM  moved to  adopt Amendment  3, which  read as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Page 5, Line 26                                                                                                            
       Insert   after   company   "competitive   exchange                                                                       
     company, wireless reseller,"                                                                                               
                                                                                                                                
REPRESENTATIVE LYNN objected for discussion purposes.                                                                           
                                                                                                                                
MR. RUDIG  clarified how the  language would read  with Amendment                                                               
3.  In response to a  question from Chair Weyhrauch, he confirmed                                                               
that,  in  formulating  the  amendments  that  the  committee  is                                                               
considering today, he  had some contact with the  following:  the                                                               
Alaska Municipal  League (AML), the National  Emergency Numbering                                                               
Association (NENA),  [Alaska Communication Systems,  Inc. (ACS)],                                                               
and [General Communications Incorporated (GCI)].                                                                                
                                                                                                                                
Number 0495                                                                                                                     
                                                                                                                                
REPRESENTATIVE LYNN removed his objection.                                                                                      
                                                                                                                                
CHAIR WEYHRAUCH asked if there  was any further objection.  There                                                               
being none, Amendment 3 was adopted.                                                                                            
                                                                                                                                
Number 0509                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM moved to adopt Amendment 4, which read as                                                                   
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Page 5, Line 24                                                                                                            
          Delete "(1)"                                                                                                          
          Insert "(6)"                                                                                                          
                                                                                                                                
                                                                                                                                
REPRESENTATIVE LYNN objected.                                                                                                   
                                                                                                                                
MR. RUDIG directed that committee's attention to page 2, lines                                                                  
16-20, which read as follows:                                                                                                   
                                                                                                                                
               (6) is based on the exercise or performance                                                                  
     of  a duty  in connection  with  an emergency  services                                                                
     dispatch system  or an  enhanced 911  system, including                                                                
     providing,  maintaining,  or operating  any  toll-free,                                                                
     statewide  default public  safety answering  point, and                                                                
     is  not  based  on   an  intentional  act  or  omission                                                                
     amounting  to  misconduct  or on  an  act  or  omission                                                                
     amounting to gross negligence.                                                                                         
                                                                                                                                
MR. RUDIG explained that Amendment 4 is a cross-reference [to                                                                   
that language].  He added, "And that was the suggestion of                                                                      
[Gail] Voigtlander, [Department of Law]."                                                                                       
                                                                                                                                
Number 0587                                                                                                                     
                                                                                                                                
REPRESENTATIVE LYNN removed his objection.                                                                                      
                                                                                                                                
CHAIR WEYHRAUCH asked if there was any further objection.  There                                                                
being none, Amendment 4 was adopted.                                                                                            
                                                                                                                                
Number 0608                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM moved to adopt Amendment 5, which read as                                                                   
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Page 4, Line 28                                                                                                            
          Delete "address"                                                                                                      
          Insert "statement"                                                                                                    
                                                                                                                                
CHAIR WEYHRAUCH objected.                                                                                                       
                                                                                                                                
Number 0644                                                                                                                     
                                                                                                                                
MR. RUDIG offered  his understanding that Amendment  5 would help                                                               
phone  companies  delineate  between residential  and  commercial                                                               
properties.                                                                                                                     
                                                                                                                                
Number 0653                                                                                                                     
                                                                                                                                
REPRESENTATIVE SEATON asked  if a series of  buildings rented out                                                               
as apartments would be considered commercial or residential.                                                                    
                                                                                                                                
MR. RUDIG answered that "it would  be per residential line in ...                                                               
an apartment building."                                                                                                         
                                                                                                                                
CHAIR  WEYHRAUCH said  people get  a  statement in  the mail  and                                                               
numerous people may get statements within one address.                                                                          
                                                                                                                                
REPRESENTATIVE SEATON explained  that he is trying  to figure out                                                               
if  there  are  any  situations   in  which  there  are  multiple                                                               
residents in one place with only one statement generated.                                                                       
                                                                                                                                
REPRESENTATIVE HOLM clarified that  [the statement] would be sent                                                               
to the address.                                                                                                                 
                                                                                                                                
CHAIR WEYHRAUCH  removed his  objection.  He  asked if  there was                                                               
any further objection  to Amendment 5.  There being  none, it was                                                               
so ordered.                                                                                                                     
                                                                                                                                
Number 0738                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM  moved to  adopt Amendment  6, which  read as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Page 4, Line 24                                                                                                            
          Insert after company "or wireless reseller,"                                                                          
                                                                                                                                
REPRESENTATIVE LYNN objected.                                                                                                   
                                                                                                                                
MR. RUDIG observed that Amendment  6 is similar to the previously                                                               
adopted Amendments 2 and 3; it is all-inclusive.                                                                                
                                                                                                                                
REPRESENTATIVE LYNN withdrew his objection.                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  asked if there  were further objections.   There                                                               
being none, Amendment 6 was adopted.                                                                                            
                                                                                                                                
Number 0975                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  announced that the  committee would  hear public                                                               
testimony.                                                                                                                      
                                                                                                                                
Number 0882                                                                                                                     
                                                                                                                                
LINDA FREED,  City Manager,  City of  Kodiak, emphasized  that HB
461 is  an important issue  to the City  of Kodiak, which  is the                                                               
regional  public safety  answering  point for  the entire  Kodiak                                                               
area.  She  said the city operates the enhanced  E-911 system for                                                               
the  Kodiak road  system.   She  stated that  the most  important                                                               
portion of  the bill is  [Section 4], which would,  by ordinance,                                                               
give the city the ability to  set a levy at the appropriate level                                                               
for the  community.   She said,  "We would  urge your  passage of                                                               
this legislation, so  that it may go on to  the [House] floor and                                                               
perhaps to the  Senate and get ... passed this  year."  Ms. Freed                                                               
offered to answer questions.                                                                                                    
                                                                                                                                
Number 0960                                                                                                                     
                                                                                                                                
MS. FREED,  in response to questions  from Representative Seaton,                                                               
revealed that [the  City of Kodiak's] current charge is  at a cap                                                               
of 75  cents per month,  per line.   She predicted that  the city                                                               
would continue  to subsidize  with other  tax resources,  such as                                                               
its sales tax.  She said,  "I believe the city council would look                                                               
at trying  to recoup some  additional revenue from the  levy, but                                                               
would not levy the entire amount to pay for the whole system."                                                                  
                                                                                                                                
MS. FREED, in response to  a question from Chair Weyhrauch, noted                                                               
that another  portion of the bill  that [the city] likes  is that                                                               
it  would be  able to  "use the  funds to  help pay  for dispatch                                                               
services."  She continued as follows:                                                                                           
                                                                                                                                
     E-911  is only  the calls  coming into  the center;  we                                                                    
     actually have  a large infrastructure built  up to have                                                                    
     the  calls  go  out  of  the center.    So,  we  spend,                                                                    
     roughly,  $500,000 annually  to operate  our E-911  and                                                                    
     emergency  dispatch center.   So,  we bring  in roughly                                                                    
     $45-50,000 a  year from the  current levy.  So,  it's a                                                                    
     substantial  local  government subsidy,  through  sales                                                                    
     tax.                                                                                                                       
                                                                                                                                
Number 1061                                                                                                                     
                                                                                                                                
REPRESENTATIVE   GRUENBERG   directed   attention  to   page   4,                                                               
[beginning on line 16 through line 19], which read as follows:                                                                  
                                                                                                                                
     The  municipality  may  [ONLY]  use  the  enhanced  911                                                                    
     surcharge  for  the enhanced  911  system  and for  the                                                                
     actual labor  and equipment  used to  provide emergency                                                                
     services dispatch,  but not for costs  of providing the                                                                
     medical,  police,  fire,  rescue,  or  other  emergency                                                                
     service, or for any other purpose.                                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG  asked Ms.  Freed, "Do you  support that                                                               
limitation on your local power?"                                                                                                
                                                                                                                                
MS. FREED  answered yes.   She said she interprets  that language                                                               
as allowing  a broader use  of the funds.   She added,  "We don't                                                               
intend to  use any of  the levy that we  might be able  to assess                                                               
for actual response activities."                                                                                                
                                                                                                                                
Number 1115                                                                                                                     
                                                                                                                                
DAVID  GIBBS, Emergency  Manager, Kenai  Peninsula Borough,  told                                                               
the committee that  he is a resident of  Soldotna and administers                                                               
the 911  program for  the borough.   He  stated that  the borough                                                               
applauds  the   increased  local   control  over   the  surcharge                                                               
assessment, because  it will enable  the borough to  recover more                                                               
[money].  Currently, all the  municipalities in the borough run a                                                               
deficit of  approximately $1.8 million and  collect approximately                                                               
$650,000  in  surcharge  revenue.    The  cost  for  all  of  the                                                               
jurisdictions,  including all  of  the  cities, is  approximately                                                               
$2.5 million for 911 and dispatch services.                                                                                     
                                                                                                                                
MR.  GIBBS  noted  that  the   bill  does  not  define  the  term                                                               
"emergency services dispatch", and  therefore he suggested adding                                                               
a definition to AS 29.35.137,  based on the national standards of                                                               
either NENA  or the National Fire  Protection Association (NFPA).                                                               
The definition  should include computer-aided dispatch  and other                                                               
processes by  which an alarm  received at a  communication center                                                               
[is]  transmitted  to  an  emergency   response  facility  or  to                                                               
emergency response units in the field.                                                                                          
                                                                                                                                
MR.  RUDIG  noted  that  there was  a  definition  of  "emergency                                                               
services dispatch" and he doesn't know why it was pulled out.                                                                   
                                                                                                                                
Number 1260                                                                                                                     
                                                                                                                                
MR.  GIBBS,  in  response  to   a  question  from  Representative                                                               
Berkowitz,  noted that  one of  the definitions  to which  he had                                                               
referred could be found in the NFPA standard 12.21.1221.                                                                        
                                                                                                                                
CHAIR WEYHRAUCH  asked how the  public would benefit  from having                                                               
that definition included in the bill.                                                                                           
                                                                                                                                
MR. GIBBS answered as follows:                                                                                                  
                                                                                                                                
     Well,  in   our  situation,  in  the   Kenai  Peninsula                                                                    
     Borough,  the borough  assumes  the responsibility  for                                                                    
     call-taking, E-911  services.  Many of  the cities, for                                                                    
     example,  Kenai, Homer,  and  Seward, actually  provide                                                                    
     dispatch services.   One  of the  ... concerns  we have                                                                    
     about  this  bill:   If  the  Act doesn't  clarify  how                                                                    
     revenues are  to be  collected and  disseminated, based                                                                    
     upon   the   differing   services   amongst   differing                                                                    
     municipalities.                                                                                                            
                                                                                                                                
REPRESENTATIVE  HOLM  asked  why  it wouldn't  be  okay  for  the                                                               
municipalities to  "figure it out  themselves."   Furthermore, he                                                               
asked why the legislature would want  to "put it in state statute                                                               
to  tell  you   how  to  disseminate  the   funds  to  individual                                                               
municipalities within  a borough."  He  offered his understanding                                                               
that  the Kenai  Peninsula  Borough is  a  second class  borough,                                                               
which he said  is the same as the  Fairbanks [Northstar] Borough,                                                               
where the  dispatch center is run  by the City of  Fairbanks, not                                                               
the borough.                                                                                                                    
                                                                                                                                
MR. GIBBS  replied that  [the Kenai  Peninsula Borough]  runs the                                                               
centralized call-taking facility and  dispatch center.  He added,                                                               
"We also have  a borough-run dispatch center and  the cities also                                                               
run dispatch centers."                                                                                                          
                                                                                                                                
Number 1352                                                                                                                     
                                                                                                                                
REPRESENTATIVE BERKOWITZ  said he  hopes that definition  will be                                                               
included in  the bill.   He noted that  "all the other  terms are                                                               
defined under [AS] 29.35.137.                                                                                                   
                                                                                                                                
Number 1365                                                                                                                     
                                                                                                                                
REPRESENTATIVE SEATON  asked Mr.  Gibbs if he  is saying  that he                                                               
would like to  see the revenues go to 911  receiving centers, but                                                               
that  he doesn't  want to  see them  funneled off  to fund  local                                                               
dispatch  systems, such  as "regular  police  and fire"  dispatch                                                               
systems.                                                                                                                        
                                                                                                                                
MR. GIBBS stated  his concern is that if  the revenue collections                                                               
are  not adequate  to cover  "the  total cost  of both  services,                                                               
we're  going to  be faced  with a  situation on  how to  allocate                                                               
those revenues between multiple jurisdictions."                                                                                 
                                                                                                                                
Number 1410                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH turned to the definition, which read as follows:                                                                
                                                                                                                                
          "emergency services dispatch" means a service                                                                         
     offered by a municipality  that provides continuous day                                                                    
     and night dispatch of  emergency medical, police, fire,                                                                    
     or rescue services using enhanced 911 facilities.                                                                          
                                                                                                                                
CHAIR WEYHRAUCH asked Representative  Berkowitz if he would offer                                                               
that as [Conceptual Amendment 7].                                                                                               
                                                                                                                                
REPRESENTATIVE BERKOWITZ said,  "I would offer that  if we strike                                                               
the term 'by a municipality',  because it's not always offered by                                                               
a municipality."                                                                                                                
                                                                                                                                
CHAIR  WEYHRAUCH  clarified  that  [Conceptual  Amendment  7,  as                                                               
amended] would read:                                                                                                            
                                                                                                                                
               "emergency   services   dispatch"   means   a                                                                    
     service offered that provides  continuous day and night                                                                    
     dispatch of emergency medical,  police, fire, or rescue                                                                    
     services using enhanced 911 facilities.                                                                                    
                                                                                                                                
CHAIR WEYHRAUCH objected [to Conceptual  Amendment 7, as amended,                                                               
for discussion purposes].                                                                                                       
                                                                                                                                
Number 1450                                                                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG asked if  that definition comes from the                                                               
NFPA source previously referred to by Mr. Gibbs.                                                                                
                                                                                                                                
MR. GIBBS answered he doesn't know.                                                                                             
                                                                                                                                
REPRESENTATIVE  GRUENBERG suggested  that the  committee look  at                                                               
the definition referenced by Mr.  Gibbs, because it is apparently                                                               
a well-defined term.                                                                                                            
                                                                                                                                
CHAIR  WEYHRAUCH  said  he  would  like to  take  action  on  the                                                               
amendment.                                                                                                                      
                                                                                                                                
REPRESENTATIVE  GRUENBERG  offered   his  understanding  that  if                                                               
["enhanced 911 system"] is defined in  Title 29, then it needs to                                                               
be referenced  in the amendment to  Title 9, in Sections  1 and 2                                                               
of  the bill,  otherwise  "they won't  necessarily  look back  at                                                               
Title 29 for the definition."                                                                                                   
                                                                                                                                
CHAIR WEYHRAUCH suggested a conforming amendment.                                                                               
                                                                                                                                
CHAIR  WEYHRAUCH  removed  his  objection  to  Amendment  7,  [as                                                               
amended].  He asked if there was any further objection.                                                                         
                                                                                                                                
REPRESENTATIVE GRUENBERG asked, "Does that  require that it be an                                                               
enhanced  911  system, or  is  that  just  an option  under  that                                                               
definition?"                                                                                                                    
                                                                                                                                
Number 1535                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM noted  that the title of the  bill deals with                                                               
enhanced 911  and 911 emergency  dispatch systems.   He suggested                                                               
that the word "enhanced" could be deleted.                                                                                      
                                                                                                                                
REPRESENTATIVE GRUENBERG  directed attention to page  2, line 17,                                                               
which  refers  to  "emergency  services  dispatch  system  or  an                                                           
enhanced 911  system".  He  said, "So, presumably, some  of these                                                           
places might not have enhanced systems."                                                                                        
                                                                                                                                
REPRESENTATIVE HOLM reiterated  that "emergency services dispatch                                                             
systems" is in the title of the bill.                                                                                         
                                                                                                                                
CHAIR WEYHRAUCH  asked again if  there was any  further objection                                                               
to Amendment  7, [as  amended].  There  being none,  Amendment 7,                                                               
[as amended], was adopted.                                                                                                      
                                                                                                                                
Number 1588                                                                                                                     
                                                                                                                                
MR. GIBBS turned  to Section 4 of the bill,  which would amend AS                                                               
29.35.131(a)  by   authorizing  a  surcharge,  based   upon  each                                                               
exchange billing  statement for wireline telephones.   He stated,                                                               
"We, as  a borough, strongly  encourage the existing  language to                                                               
remain, where  the charge is  based on access lines  for wireline                                                               
telephones."    He  noted  that   many  addresses  have  numerous                                                               
wireline  telephones, and  the borough's  costs for  maintaining,                                                               
for  example, ALI  [automatic  location identification]  database                                                               
information are not reduced by  virtue of telephones' sharing the                                                               
same billing address.  He continued as follows:                                                                                 
                                                                                                                                
     By only authorizing one  surcharge per billing address,                                                                    
     the state is requiring  those people with one telephone                                                                    
     line to  subsidize those with  more than  one telephone                                                                    
     line to their billing address.                                                                                             
                                                                                                                                
MR.  GIBBS added  that imposing  a surcharge  based upon  billing                                                               
address is (indisc.) national practice.                                                                                         
                                                                                                                                
CHAIR  WEYHRAUCH  said,  "Basically,  ... this  is  a  motion  to                                                               
rescind  our  action  in  adopting  Amendment  5,  which  deleted                                                               
"address"   and   inserted   "statement".      He   offered   his                                                               
understanding  that  Mr. Gibbs  wants  the  word "address"  added                                                               
back.                                                                                                                           
                                                                                                                                
MR. GIBBS clarified, "Actually, we  would encourage the charge to                                                               
be based  on access line, which  is the language of  the original                                                               
bill version."                                                                                                                  
                                                                                                                                
CHAIR  WEYHRAUCH observed  that Mr.  Gibbs was  referring to  the                                                               
language  on page  4,  lines  28-29, which  read:    "on a  local                                                               
exchange   billing  address   [ACCESS   LINE]   for  a   wireline                                                           
telephone."                                                                                                                     
                                                                                                                                
Number 1681                                                                                                                     
                                                                                                                                
MR. RUDIG  said the point of  enhanced 911 is that  the responder                                                               
will  go   to  the  office   from  which  the   call  originates.                                                               
Therefore, it is  fairer for people in a  residence with multiple                                                               
lines to  only pay one  surcharge.  He  said it was  a compromise                                                               
worked out  with AML;  the intent  was not  to have  those people                                                               
charged for their modem and facsimile lines, for example.                                                                       
                                                                                                                                
Number 1745                                                                                                                     
                                                                                                                                
REPRESENTATIVE   SEATON,   regarding   the   previously   adopted                                                               
Amendment 5, directed attention to  page 4, line 5, and suggested                                                               
that Amendment  5 be made  conceptual, to cover any  other places                                                               
in the bill where "billing address" should go.                                                                              
                                                                                                                                
CHAIR  WEYHRAUCH stated,  "So noted  for the  record, to  make it                                                               
consistent; I'll just write that on the amendment."                                                                             
                                                                                                                                
Number 1766                                                                                                                     
                                                                                                                                
MR.  RUDIG,  in  response  to   a  question  from  Representative                                                               
Berkowitz, offered his understanding that  an access line is "any                                                               
line you can dial 911 from."   He noted that the definition could                                                               
be found in AS 29.135.137.                                                                                                      
                                                                                                                                
Number 1824                                                                                                                     
                                                                                                                                
REPRESENTATIVE BERKOWITZ sought clarification as follows:                                                                       
                                                                                                                                
     I'm  sort of  seeing  three schemes  that are  emerging                                                                    
     here, and this is why I  wish this was over in the RCA.                                                                    
     Access lines -  pretty much every phone  gets a charge.                                                                    
     Statement means if you bundle  it, that could be like a                                                                    
     big bundling.   And, I  guess, in between those  two is                                                                    
     per  address.   So,  if you  want to  do  it [so  that]                                                                    
     everybody pays based on their  phone, it's access line.                                                                    
     If you want  to do it ... only per  customer, you would                                                                    
     do it  [by] statement, because whether  [or not] you're                                                                    
     ... the biggest  company in the world, you  can get one                                                                    
     statement.    And  if  you  want  to  do  something  in                                                                    
     between, you'd do address.  Is that right?                                                                                 
                                                                                                                                
MR.  RUDIG offered  his  belief  that it  is  the  intent of  the                                                               
sponsor that  each residential member  who has multiple  lines in                                                               
his/her home  pays one enhanced  911 surcharge.  A  business with                                                               
multiple lines would pay a surcharge on each line.                                                                              
                                                                                                                                
REPRESENTATIVE HOLM added, "That's correct - up to 100."                                                                        
                                                                                                                                
REPRESENTATIVE  BERKOWITZ  clarified   that  the  distinction  is                                                               
between residential and commercial,  but he said commercial could                                                               
still be on an access line basis.                                                                                               
                                                                                                                                
MR. RUDIG said he believes that's correct.                                                                                      
                                                                                                                                
REPRESENTATIVE SEATON clarified that  the discussion is in regard                                                               
to phone  lines, not phones themselves.   He said, "You  may have                                                               
10 phones in  your house ... accessing one line,  or you may have                                                               
three lines."                                                                                                                   
                                                                                                                                
Number 1896                                                                                                                     
                                                                                                                                
MR.  GIBBS proffered  that the  borough  also pays  a charge  per                                                               
access   line   for   maintaining   the   database   information.                                                               
Presently, that charge is approximately  18 cents per line, which                                                               
comes off the  top of the 75-cent surcharge per  access line.  He                                                               
said the expectation  is that charge will rise  as new [automatic                                                               
location  identification (ALI)]  database maintenance  agreements                                                               
are made.                                                                                                                       
                                                                                                                                
MR.  GIBBS  stated a  concern  regarding  billing statements  for                                                               
which  the  revenues  may be  improperly  distributed  among  the                                                               
municipalities.   For  example, in  the Kenai  Peninsula Borough,                                                               
many  residents   from  outside  of   the  cities  -   but  still                                                               
technically  in the  borough  -  use a  billing  address at  post                                                               
office boxes  inside the  city.  Mr.  Gibbs suggested  that there                                                               
may have to be a better  mechanism for distributing the costs and                                                               
collecting the revenue associated with delivering the services.                                                                 
                                                                                                                                
Number 1939                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH asked  if there  is  any distinction  made if  a                                                               
business is operated out of a home.                                                                                             
                                                                                                                                
MR.  RUDIG said  he  doesn't know.   He  surmised  that it  would                                                               
depend  upon   the  local   exchange  companies,   because  those                                                               
companies  have different  rates for  residential and  commercial                                                               
[lines].                                                                                                                        
                                                                                                                                
Number 1974                                                                                                                     
                                                                                                                                
MR. GIBBS said:                                                                                                                 
                                                                                                                                
     Remember   that   telephone  companies   only   provide                                                                    
     telecommunications;  they  don't   inquire  as  to  the                                                                    
     purpose of  the occupancy.   Our jurisdiction  would be                                                                    
     severely  challenged, in  terms  of  resources, to  ...                                                                    
     compare  telephone  subscriber  records  with  business                                                                    
     licenses or building permits, to  determine the type of                                                                    
     occupancy.   So, we  would have  no way  of determining                                                                    
     whether  it's a  residential line  or business  located                                                                    
     within a residence.                                                                                                        
                                                                                                                                
MR. RUDIG related that he  has been told that telephone companies                                                               
can make that distinction.                                                                                                      
                                                                                                                                
Number 2018                                                                                                                     
                                                                                                                                
STEVE  THOMPSON, Mayor,  City of  Fairbanks, emphasized  that the                                                               
city supports  HB 461,  Version Z, and  the amendments  that were                                                               
just adopted.   He said, "We  think this is really  going to help                                                               
pay for that  emergency dispatch and phone-taking  services."  He                                                               
noted that Version  Z would replace language,  which would result                                                               
in the  city being  able to  enhance its 911  system and  pay for                                                               
that service.   He added  that he  thinks it's important  for and                                                               
will help the  entire state.  He thanked  Representative Holm and                                                               
Mr. Rudig for their efforts in introducing HB 461.                                                                              
                                                                                                                                
Number 2061                                                                                                                     
                                                                                                                                
JIM  HARPRING, Member,  National Emergency  Numbering Association                                                               
(NENA), directed  the committee's  attention to  page 4,  line 7.                                                               
He   mentioned  the   difference   between  residential   billing                                                               
addresses versus  large, industrial  areas, in terms  of revenue.                                                               
He  offered  an  example  of  a hospital  where  there  would  be                                                               
multiple lines, but  only one billing address.   He observed that                                                               
that  concept doesn't  "appear to  be  any place  in the  current                                                               
[bill version]."                                                                                                                
                                                                                                                                
MR. RUDIG  stated that it would  be the purview of  the committee                                                               
whether to [allow] more municipal control regarding exemptions.                                                                 
                                                                                                                                
Number 2156                                                                                                                     
                                                                                                                                
BILL DOOLITTLE, Project Manager,  Municipality of Anchorage, told                                                               
the  committee that  he  manages  the upgraded  911  system.   He                                                               
stated  his support  of HB  461, because  he said  it would  show                                                               
significant  improvements  for  911   programs,  statewide.    He                                                               
offered to answer questions.                                                                                                    
                                                                                                                                
Number 2188                                                                                                                     
                                                                                                                                
GAIL VOIGTLANDER,  Chief Assistant  Attorney General  - Statewide                                                               
Section  Supervisor,  Torts  and Worker's  Compensation  Section,                                                               
Civil Division (Anchorage),  Department of Law, stated  that if a                                                               
definitional section  is added  for emergency  services dispatch,                                                               
it needs to  be consistent and have language that  ties it to the                                                               
service, rather than who provides that service.                                                                                 
                                                                                                                                
MS. VOIGTLANDER directed attention to  page 2, lines 16-22, [text                                                               
provided  previously],  and  said  that  she  supports  having  a                                                               
definition that "cross-references  whatever definition is adopted                                                               
for Title 29."                                                                                                                  
                                                                                                                                
CHAIR WEYHRAUCH asked  Ms. Voigtlander to look at  the bill again                                                               
when "the next  committee substitute of this bill  comes out," to                                                               
ensure that it addresses those issues.                                                                                          
                                                                                                                                
Number 2283                                                                                                                     
                                                                                                                                
JAMES  R. JACKSON  JR., Attorney  at Law,  General Communications                                                               
Incorporated  (GCI), stated  that GCI  supports a  bill that  can                                                               
help with  the provision  of E-911 service.   He  noted, however,                                                               
that there are  issues in [Version Z] that need  to be addressed.                                                               
First, he  emphasized that  it's important  that the  bill ensure                                                               
equal charges between wireless and  wireline phones.  The current                                                               
proposed  language, he  noted, says  that the  municipality "may"                                                               
impose  a  charge.   He  explained  that  since the  language  is                                                               
permissive, a municipality could  choose to charge only wireline,                                                               
and not wireless,  or vice versa.  He suggested  that language be                                                               
added  to require  that a  municipality that  elects to  impose a                                                               
charge must impose the same  charge on both wireless and wireline                                                               
phones.   In  response to  a  question from  Chair Weyhrauch,  he                                                               
offered his belief  that that language could be  added to Section                                                               
4.                                                                                                                              
                                                                                                                                
Number 2350                                                                                                                     
                                                                                                                                
MR.  RUDIG  responded  that  it  would  be  the  purview  of  the                                                               
committee to make that decision.   He added, "We may want to stay                                                               
back to  local control and  lobby that at the  municipality level                                                               
when they make the decision to impose a surcharge on both."                                                                     
                                                                                                                                
MR.  JACKSON,  returning  to  his  testimony,  stated,  "We  are,                                                               
frankly,  quite  bothered  by  the  fact that  there  is  no  cap                                                               
whatsoever on the charge, at this point."                                                                                       
                                                                                                                                
TAPE 04-74, SIDE B                                                                                                            
Number 2368                                                                                                                     
                                                                                                                                
MR.  JACKSON mentioned  the possibility  that some  jurisdictions                                                               
may try to impose charges of over  $6 per line.  He surmised that                                                               
that's  what would  be  needed  in Kodiak  and  perhaps Kenai  to                                                               
recover  all the  costs, "even  if  today they  don't think  they                                                               
would go  that high."   He  indicated that  charges that  go that                                                               
high would create a substantial  issue in imposing "this level of                                                               
cost on telephone service."   He posed:  "I guess  we have to, to                                                               
some  extent, question  the  underlying premise  that  this is  a                                                               
charge which  is appropriate to  collect entirely  from telephone                                                               
users."  He  said it's not that the telephone  system is imposing                                                               
these costs  on society.   In some  ways, he explained,  it's the                                                               
opposite of that; the telephone  system enables a valuable public                                                               
safety service to be provided.  He continued as follows:                                                                        
                                                                                                                                
     Certainly, some of the costs  are related to a per line                                                                    
     basis.   And I think  Mr. Gibbs, from  Kenai, mentioned                                                                    
     that they pay 18 cents  per access line to maintain the                                                                    
     database.   So,  certainly, there  are some  costs that                                                                    
     are still on  a per access line basis, but  at the same                                                                    
     time,  in  large  part,  this  isn't  just  simply  [a]                                                                    
     valuable safety  service, which our society  has deemed                                                                    
     desirable, that should be paid  for through general tax                                                                    
     revenue.                                                                                                                   
                                                                                                                                
     So,  we believe  that a  cap  should be  imposed.   The                                                                    
     amount   of   money   that  can   be   collected   from                                                                    
     approximately   ...  600,000   wireline  and   wireless                                                                    
     telephones  across  the  state   --  you  really  start                                                                    
     talking about  normal sums of money,  if you're talking                                                                    
     about charges  that start being  [$3-$5].  We  have, in                                                                    
     the past, supported the versions  of the bill that have                                                                    
     had caps of $1.                                                                                                            
                                                                                                                                
     As to the cap,  we do think it's a good  idea to have a                                                                    
     limit on  the number  of charges that  apply to  a user                                                                    
     that has  more than  100 access  lines, such  as exists                                                                    
     ...  under present  law.   It would  be, for  instance,                                                                    
     hospitals and  that type [of] thing  that was mentioned                                                                    
     previously.                                                                                                                
                                                                                                                                
MR. JACKSON,  regarding the  previous question  regarding whether                                                               
or not telephone [companies]  distinguish between residential and                                                               
business  users,  stated,  "It's  certain that  we  do  try  to."                                                               
People who run  businesses from home should be  paying a business                                                               
rate.                                                                                                                           
                                                                                                                                
Number 2253                                                                                                                     
                                                                                                                                
MR. RUDIG mentioned  the "magic number" and trying  to figure out                                                               
what it  is.   He indicated that  the emergency  dispatch service                                                               
surcharge  system and  related costs  could change  from year  to                                                               
year and the legislature should revisit the issue each year.                                                                    
                                                                                                                                
Number 2210                                                                                                                     
                                                                                                                                
REPRESENTATIVE HOLM  stated that one  of the problems  to rectify                                                               
through the  bill is  that the  control is  not at  the municipal                                                               
level,  because that  makes it  difficult  for municipalities  to                                                               
function.                                                                                                                       
                                                                                                                                
CHAIR WEYHRAUCH  asked Mr. Jackson  to "provide language"  to the                                                               
committee.                                                                                                                      
                                                                                                                                
Number 2142                                                                                                                     
                                                                                                                                
JOHN FULLENWIDER,  Fire Chief, Municipality of  Anchorage, stated                                                               
that  when people  in Anchorage  call 911,  they expect  that the                                                               
call  will  be  answered  and  the services  they  need  will  be                                                               
provided right away.   He stated, "This bill goes  a long ways in                                                               
allowing us to do just that.   In its current form, it will allow                                                               
local  government   to  place  the   expense  of   operation  and                                                               
maintenance squarely  where it belongs,  and that is,  of course,                                                               
on the  user."  He  said Representative  Holm and Mr.  Rudig have                                                               
done an excellent job with HB 461.                                                                                              
                                                                                                                                
MR. FULLENWIDER noted that there  still is an issue regarding the                                                               
PBX system.   He added,  "However, I believe that  yesterday that                                                               
was covered, using the capitol as  an example."  He noted another                                                               
issue in regard  to telephone companies and  adding surcharges to                                                               
the  bill.   He  said,  "No  doubt  they  receive a  little  heat                                                               
concerning  these  charges,  but  this bill,  by  allowing  local                                                               
government to  set the surcharge,  should alleviate some  of that                                                               
concern."  Mr.  Fullenwider encouraged the committee  to move [HB
461] out of committee.                                                                                                          
                                                                                                                                
Number 2083                                                                                                                     
                                                                                                                                
MARK MEW,  President, Alaska  Chapter, National  Emergency Number                                                               
Association (NENA), regarding a  previously stated concern of Mr.                                                               
Gibbs over whether  or not 911 surcharge money could  be used for                                                               
a CAD [computer aided dispatch]  system, suggested looking at the                                                               
definition  of the  911  system  in existing  statute.   He  said                                                               
permissible costs are listed there.  He continued as follows:                                                                   
                                                                                                                                
     We changed  that in the statute  - I'm going to  say it                                                                    
     was  in '99  or 2000,  at the  same time  we added  the                                                                    
     wireless surcharge  for the first  time -  and expanded                                                                    
     what   was  in   the  definition   of  a   911  system,                                                                    
     specifically to  cover CAD systems.   At that  point in                                                                    
     time, we  weren't conceiving  of separate  dispatch and                                                                    
     911 centers,  necessarily, but that was  our thought at                                                                    
     the  time,  and  it  may be  that  that  definition  is                                                                    
     already  there   and  in  place  to   allow  for  those                                                                    
     expenses.                                                                                                                  
                                                                                                                                
MR. MEW said  he's heard a lot of discussion  during the previous                                                               
testimony regarding whether billing should  be based upon a phone                                                               
bill, an  address, the  telephone itself,  or the  local exchange                                                               
access line.   He said  he thinks  there is some  confusion about                                                               
definitions, and he suggested that "we"  may be trying to solve a                                                               
nonexistent problem.  He noted  that NENA, on the national level,                                                               
has set  standards.  He revealed  that an access line  is not the                                                               
same as  "a telephone set  at the end."   He explained,  "You can                                                               
have a  few access  lines and a  lot of sets."   He  continued as                                                               
follows:                                                                                                                        
                                                                                                                                
     The  national standards  are to  base  your billing  on                                                                    
     access lines  for the purpose  of landline  - wireline,                                                                    
     and  on   telephone  numbers,  for  [the]   purpose  of                                                                    
     wireless.   And  I think  we're not  the first  ones to                                                                    
     have  this debate,  and I  think I'd  encourage you  to                                                                    
     consider the  national standards; they're  well thought                                                                    
     out,  well  published,  and everyone  understands  them                                                                    
     around the country.                                                                                                        
                                                                                                                                
Number 1936                                                                                                                     
                                                                                                                                
     When NENA  started working on legislation  about a year                                                                    
     ago,  we held  our  first meetings  with  the House  in                                                                    
     October, before the  session started - that  was with a                                                                    
     different committee.   But over the course  of the last                                                                    
     few  months, NENA  has identified  nine  items that  we                                                                    
     believe need addressing in our  statutes.  We filed our                                                                    
     version of  the bill -  that was  [HB] 499 -  and later                                                                    
     tried to get  [HB] 499 and [HB] 461 merged.   I commend                                                                    
     everybody's  work  on  this.   A  lot  of  things  have                                                                    
     happened in  the last  24 hours; a  lot of  concerns we                                                                    
     had yesterday  have been addressed,  and I do  hope the                                                                    
     bill moves in some form today.                                                                                             
                                                                                                                                
     I would  like to  point out, though,  that of  the nine                                                                    
     things  that NENA  has tried  to accomplish,  this bill                                                                    
     takes up  three of  them head on  and deals  with them.                                                                    
     The other  ... five ...  this bill doesn't  conceive of                                                                    
     at all, and it seems to  be missing around the edges on                                                                    
     the  local exchange  access line  issue.   I think  the                                                                    
     state  needs to  deal with  the additional  issues.   I                                                                    
     don't know  if we'll get it  done in the Senate,  or if                                                                    
     we'll  have to  do it  next year,  but remaining  to be                                                                    
     accomplished [is]  dealing with the issue  of phase two                                                                    
     cost recovery.  That's mostly,  I think, going to be an                                                                    
     industry issue, and  if we don't deal with  it, I think                                                                    
     there'll be quite  a bit of friction and  a few battles                                                                    
     in the future.                                                                                                             
                                                                                                                                
Number 1900                                                                                                                     
                                                                                                                                
MR.  MEW mentioned  "prepaid wireless."    He noted  that he  had                                                               
heard  today  that  wireless  resellers is  being  added  to  the                                                               
language of  Version Z.   He said he  doesn't know if  that would                                                               
cover  prepaid wireless,  or  not.   He added  that  it seems  it                                                               
would, but  he doesn't  know if there  is a  collection mechanism                                                               
there.  He  said the issue of statewide point  of contact has not                                                               
been addressed.   If it is  not addressed, the state  will not be                                                               
eligible  for   significant  federal   funding,  which   will  be                                                               
available soon.   He indicated  that the issue  of unincorporated                                                               
boroughs has been addressed.                                                                                                    
                                                                                                                                
MR.  MEW said  the  last item  he would  address  is the  private                                                               
switch ALI.  He continued as follows:                                                                                           
                                                                                                                                
     Mr. Fullenwider ... used the  capitol example.  I think                                                                    
     the situation is  worse than that.  I've been  told - I                                                                    
     can't confirm  it -  that you could  work on  the North                                                                    
     Slope,  call 911,  pass out,  and the  Anchorage Police                                                                    
     Department would get the call  and ... would send first                                                                    
     responders  to  Alyeska  [Pipeline  Service  Company's]                                                                    
     offices ...  in Anchorage.   What we would like  is the                                                                    
     ability  of local  jurisdictions  to be  able to  enact                                                                    
     legislation,  so  that  we can  correct  those  issues.                                                                    
     Right now,  the situation  is you  could spend  all the                                                                    
     money you wanted on building  a functioning 911 system,                                                                    
     and other people could  buy services that, essentially,                                                                    
     would negate what you've done.                                                                                             
                                                                                                                                
MR. MEW  said the  aforementioned issues are  ones that  he hopes                                                               
[the  legislature] will  address in  the future,  and he  said he                                                               
hopes that "the bill moves forward in some form today."                                                                         
                                                                                                                                
Number 1845                                                                                                                     
                                                                                                                                
ALLEN  STOREY, Lieutenant,  Central  Office,  Division of  Alaska                                                               
State  Troopers, Department  of  Public  Safety (DPS),  expressed                                                               
excitement about the  provisions of Section 1, on  page 2, [lines                                                               
16-20],  because  the  addition  of that  language  will  provide                                                               
"protection  to   the  state   that  ...   will  be   enjoyed  by                                                               
municipalities."  He indicated that  these are functions that the                                                               
state  already  performs.    In   response  to  a  question  from                                                               
Representative Holm, he  confirmed that the bill,  in its current                                                               
form, would have a zero fiscal note.                                                                                            
                                                                                                                                
Number 1806                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH announced  that public testimony was  closed.  He                                                               
mentioned a letter of intent.                                                                                                   
                                                                                                                                
Number 1794                                                                                                                     
                                                                                                                                
REPRESENTATIVE SEATON referred  to the second line  in the letter                                                               
of  intent and  asked, "Are  we talking  about [the]  Division of                                                               
Homeland  Security,   within  the  Department  of   Military  and                                                               
Veterans' Affairs?"                                                                                                             
                                                                                                                                
CHAIR  WEYHRAUCH   suggested  that  "the  Division   of  Homeland                                                               
Security"  could be  left  out,  in order  to  keep the  language                                                               
generic.                                                                                                                        
                                                                                                                                
MR. RUDIG said that would be fine.                                                                                              
                                                                                                                                
REPRESENTATIVE GRUENBERG  suggested that  "we simply say,  'It is                                                               
the   intent  of   the  legislature   that  the   Coordinator  be                                                               
established to coordinate'."                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON added, "to coordinate and facilitate".                                                                    
                                                                                                                                
Number 1682                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  clarified that  the amendment  to the  letter of                                                               
intent would read as follows:                                                                                                   
                                                                                                                                
      It is the intent of the legislature that a state 911                                                                      
     Coordinator be established to coordinate.                                                                                  
                                                                                                                                
CHAIR  WEYHRAUCH  asked  if  there   was  any  objection  to  the                                                               
amendment to the  letter of intent.  There being  none, it was so                                                               
ordered.                                                                                                                        
                                                                                                                                
Number 1660                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH  removed  his  previously  stated  objection  to                                                               
Version Z.                                                                                                                      
                                                                                                                                
Number 1649                                                                                                                     
                                                                                                                                
REPRESENTATIVE  SEATON  moved to  report  CSHB  461, Version  23-                                                               
LS1633\Z,  Cook,  4/28/04, as  amended,  out  of committee,  with                                                               
individual  recommendations,   attached  fiscal  note,   and  the                                                               
[amended]  letter of  intent.   There  being  no objection,  CSHB
461(STA) was  reported out  of the  House State  Affairs Standing                                                               
Committee.                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects