Legislature(2007 - 2008)CAPITOL 106

01/24/2008 08:00 AM House STATE AFFAIRS


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 293 LEGISLATIVE SESSIONS TO BE IN ANCHORAGE TELECONFERENCED
<Bill Hearing Postponed>
*+ HB 269 REQUIRE AK/US FLAGS BE MADE IN USA TELECONFERENCED
Heard & Held
*+ HB 284 PFD ALLOWABLE ABSENCE: FELLOWSHIPS TELECONFERENCED
Moved Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
HB 284-PFD ALLOWABLE ABSENCE: FELLOWSHIPS                                                                                     
                                                                                                                                
8:09:48 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN announced  that the first order of  business was HOUSE                                                               
BILL  NO.  284, "An  Act  relating  to participation  in  certain                                                               
student fellowships  as an allowable  absence from the  state for                                                               
purposes  of  eligibility  for   permanent  fund  dividends;  and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
8:09:58 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MIKE  HAWKER, Alaska State  Legislature, presented                                                               
HB 284 as prime sponsor.   He talked about exceptions to the rule                                                               
that  a person  must be  in Alaska  to receive  a permanent  fund                                                               
dividend (PFD).   Students were one of the first  to receive such                                                               
an  exception.   He stated  that the  Fulbright Scholar  Program,                                                               
signed  in to  law  by President  Harry S.  Truman  in 1946,  and                                                               
sponsored by the U.S. Department  of State, Bureau of Educational                                                               
and Cultural  Affairs, is not  considered for the  exception, and                                                               
HB 284 would  correct that inequity by  adding Fulbright Scholars                                                               
to the list of exceptions.                                                                                                      
                                                                                                                                
8:14:27 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HAWKER said  he is more often than  not opposed to                                                               
adding  exceptions  to  the PFD  residency  requirement,  but  he                                                               
believes HB  284 should be passed.   He asked the  legislature to                                                               
let  the regulators  know that  they are  wrong in  not including                                                               
Fulbright scholars to the PFD exception list.                                                                                   
                                                                                                                                
8:15:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   HAWKER,  in   response   to   a  question   from                                                               
Representative  Roses,  stated   his  understanding  that  Rhodes                                                               
scholars are already included in the exceptions.                                                                                
                                                                                                                                
REPRESENTATIVE  HAWKER directed  attention to  language [proposed                                                               
to be  added to AS  43.23.008(a), found  on page 2,  lines 30-31,                                                               
through page 3, line 1, of HB 284], which read as follows:                                                                      
                                                                                                                                
               (16) participating for educational purposes                                                                  
     in a  student fellowship sponsored by  the United State                                                                
     Department  of  Education  or   by  the  United  States                                                                
     Department of State;                                                                                                   
                                                                                                                                
REPRESENTATIVE  HAWKER explained  that the  language needs  to be                                                               
broad  so  that   any  program  that  would   exist  under  those                                                               
strictures would be covered.                                                                                                    
                                                                                                                                
REPRESENTATIVE ROSES  asked if the Fulbright  scholars would have                                                               
to return  to the  state like military  personnel do  to maintain                                                               
their qualified resident status.                                                                                                
                                                                                                                                
REPRESENTATIVE  HAWKER  answered:     "The  requirement  that  an                                                               
Alaskan  abroad  intends to  return  to  Alaska as  a  qualifying                                                               
condition to  receive a permanent fund  dividend exists elsewhere                                                               
in statute and is not affected by this proposal."                                                                               
                                                                                                                                
8:17:28 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL  asked  Representative Hawker  if  he  is                                                               
aware of any other program of student fellowship.                                                                               
                                                                                                                                
REPRESENTATIVE HAWKER said  he is not aware of any.   He said the                                                               
intent of  HB 284 is to  "wrap up those Fulbright  Scholars."  In                                                               
response to a follow-up question  from Representative Coghill, he                                                               
said the length of a Fulbright Scholarship can vary.                                                                            
                                                                                                                                
8:19:03 AM                                                                                                                    
                                                                                                                                
EMILY FERRY testified on behalf of  herself in support of HB 284.                                                               
She  stated  that her  husband,  Demian  Schane, is  a  Fulbright                                                               
recipient, hoping  to receive a PFD.   She added, "We  both are."                                                               
She told the  committee that last fall, she and  her husband left                                                               
Alaska for  Iceland on sabbatical  for 10 months.   She explained                                                               
that the  Fulbright Scholarship  is not  always connected  with a                                                               
University.   She  said  her  husband's work  in  Iceland was  in                                                               
researching the  European Union (EU)  regulations of  farmed fish                                                               
and the  effect of farming  fish on wild fish  populations, while                                                               
her work was with the  School for Renewable Energy Science (RES).                                                               
She said  she and her  husband also  had the opportunity  to take                                                               
classes,  including:    Arctic Anthropology  and  nongovernmental                                                               
organization (NGO) development.                                                                                                 
                                                                                                                                
MS. FERRY  told the committee  that she and her  husband returned                                                               
to  Alaska in  July, bought  a  home, and  found new  jobs.   She                                                               
described  her   experience  in  Iceland  as   intercultural  and                                                               
valuable on both a personal level  and as a benefit to the state.                                                               
She opined, "I  think we should be asking ...  all Alaskans to go                                                               
out  and experience  the  world  and come  back  and bring  these                                                               
skills and tools back here."   She asked the committee to support                                                               
the proposed bill.                                                                                                              
                                                                                                                                
8:21:30 AM                                                                                                                    
                                                                                                                                
MS. FERRY,  in response to  a question from  Representative Doll,                                                               
offered  her  understanding  that  the  typical  timeline  for  a                                                               
Fulbright Scholarship  is 10 months;  however, she said  the time                                                               
can vary,  and the location  can be anywhere  in the world.   She                                                               
noted  that the  U.S. partners  with other  countries to  jointly                                                               
fund the scholarships.   She said the scholarship  comes from the                                                               
[U.S. Department  of State], so  "they consider you one  of their                                                               
own."                                                                                                                           
                                                                                                                                
REPRESENTATIVE ROSES  asked Ms. Ferry,  "Were you also  under our                                                               
fellowship?"                                                                                                                    
                                                                                                                                
MS. FERRY answered no.  She explained:                                                                                          
                                                                                                                                
     Because we were  married, I think that we  got an extra                                                                    
     $300 dollars a month  for my presence and participation                                                                    
     there.    ... Also,  through  the  existing statute,  I                                                                    
     would be  covered as the spouse.   And then I  found my                                                                    
     ... own experience  - my own internship, so  to speak -                                                                    
     with the School for Renewable Energy Science.                                                                              
                                                                                                                                
MS   FERRY,   in   response  to   a   follow-up   question   from                                                               
Representative Roses, offered her  understanding that she and her                                                               
husband will be  eligible - "this year, but not  last year" - for                                                               
a PFD.  She  stated her belief that the loss  she and her husband                                                               
will each incur is one year of income from the PFD.                                                                             
                                                                                                                                
8:24:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHANSEN noted  that, as  shown in  the committee                                                               
packet, "the  U.S. student  program offers  one academic  year of                                                               
study."                                                                                                                         
                                                                                                                                
8:25:29 AM                                                                                                                    
                                                                                                                                
ROB KULIN  testified on behalf  of himself during the  hearing on                                                               
HB  284.   He said  he  is currently  a graduate  student at  the                                                               
University  of California  San Diego  (UCSD), studying  Materials                                                               
Engineering.  He  related that he was a  Fulbright Scholar during                                                               
the  2004/2005  school  year,  when   he  performed  research  at                                                               
[Politecnico di Milano], in Milan, Italy.   He said he deferred a                                                               
year at UCSD  in order to participate,  having recently graduated                                                               
from  the undergraduate  program.    He noted  that  most of  the                                                               
Fulbright  scholars he  knew  in Italy  were  enrolled in  degree                                                               
programs  in the  U.S. or  were  between programs,  and were  not                                                               
officially affiliated  directly with  any university,  except for                                                               
wherever the research was performed.                                                                                            
                                                                                                                                
MR. KULIN offered  more details regarding his  research in Italy.                                                               
He  said the  strength  of the  program  is not  so  much in  the                                                               
technical aspects  of study, but  in the cultural  experience and                                                               
the understanding  gained from it.   He remarked on  Alaska's own                                                               
unique culture and being able to share it with other cultures.                                                                  
                                                                                                                                
8:28:10 AM                                                                                                                    
                                                                                                                                
CHAIR  LYNN, after  ascertaining that  there was  no one  else to                                                               
testify, closed public testimony.                                                                                               
                                                                                                                                
8:28:19 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ROSES  noted  that  the  effective  date  of  the                                                               
proposed legislation is January 2009,  which would not help those                                                               
who have testified  and others who have done  their fellowship in                                                               
the past.                                                                                                                       
                                                                                                                                
REPRESENTATIVE HAWKER  noted that  he is  working with  the Legal                                                               
Services  Director,   Tamara  Cook,   to  consider  a   plan  for                                                               
retroactivity.   He said  he fully intends  to pursue  that issue                                                               
before the bill has made it through all its committee hearings.                                                                 
                                                                                                                                
REPRESENTATIVE   ROSES  stated   that  he   is  usually   against                                                               
retroactivity, but is making an exception in this case.                                                                         
                                                                                                                                
REPRESENTATIVE HAWKER concurred.   He stated his  belief that the                                                               
there  is   a  difference   between  retroactively   worsening  a                                                               
taxpayer's position or creating a crime  - the latter of which is                                                               
against the constitution - and retroactively correcting a wrong.                                                                
                                                                                                                                
8:30:37 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHANSEN  talked about  "brain drain" -  the smart                                                               
adults  leaving the  state  and  not returning,  and  he said  he                                                               
supports a  bill that would encourage  them to come back  to live                                                               
in Alaska.                                                                                                                      
                                                                                                                                
CHAIR LYNN concurred.                                                                                                           
                                                                                                                                
8:31:04 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE DOLL moved to report  HB 284 out of committee with                                                               
individual  recommendations and  the  accompanying fiscal  notes.                                                               
There being  no objection, HB 284  was reported out of  the House                                                               
State Affairs Standing Committee.                                                                                               
                                                                                                                                
REPRESENTATIVE  HAWKER noted  for the  record that  it is  a zero                                                               
fiscal note.                                                                                                                    

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