Legislature(2019 - 2020)GRUENBERG 120

02/25/2020 03:00 PM House STATE AFFAIRS

Note: the audio and video recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.

Download Mp3. <- Right click and save file as

* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 239 ESTABLISH STATE LOTTERY BOARD/LOTTERIES TELECONFERENCED
Heard & Held
-- Public Testimony --
*+ HB 190 PFD ALLOWABLE ABSENCES TELECONFERENCED
Heard & Held
+ SB 80 INITIATIVE SEVERABILITY TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
                 HB 190-PFD ALLOWABLE ABSENCES                                                                              
                                                                                                                                
3:54:57 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS   announced  that  the  next   order  of                                                               
business  would  be HOUSE  BILL  NO.  190,  "An Act  relating  to                                                               
allowable absences  for a permanent fund  dividend; and providing                                                               
for an effective date."                                                                                                         
                                                                                                                                
3:55:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   DAVE   TALERICO,   Alaska   State   Legislature,                                                               
presented  HB 190,  as prime  sponsor, by  paraphrasing from  the                                                               
sponsor statement, which read:                                                                                                  
                                                                                                                                
     HB 190: Provides for an exemption for an absence of or                                                                     
     beyond 180 days for an otherwise eligible resident.                                                                        
                                                                                                                                
     The main provision of HB  190 ensures that an otherwise                                                                    
     eligible  resident   can  be   absent  when   they  are                                                                    
     providing  continuous  medical treatment  or  providing                                                                    
     care for a  family member as described  in sections (5)                                                                    
     and (6) of AS 43.23.008.                                                                                                   
                                                                                                                                
      HB 190 puts into statute this additional protection,                                                                      
      which is not currently addressed by the statutes or                                                                       
     policy.                                                                                                                    
                                                                                                                                
REPRESENTATIVE TALERICO  explained that statute  already provides                                                               
an  exemption  for  the medical  leave  described;  the  proposed                                                               
legislation   clarifies  that   when   circumstances  cause   the                                                               
accumulative time  of an absence  to exceed 180 days,  the person                                                               
would be still eligible for a  permanent fund dividend (PFD).  He                                                               
offered  that the  number of  people affected  by this  provision                                                               
would be low.                                                                                                                   
                                                                                                                                
3:59:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE THOMPSON asked for  confirmation that a person who                                                               
is  out of  state for  an extended  period for  medical treatment                                                               
does not lose his/her eligibility for a PFD.                                                                                    
                                                                                                                                
REPRESENTATIVE  TALERICO  answered  yes,  if  the  person  has  a                                                               
referral.                                                                                                                       
                                                                                                                                
REPRESENTATIVE   THOMPSON  asked   for  clarification   that  the                                                               
proposed legislation  would ensure that a  caregiver accompanying                                                               
the  person receiving  medical treatment  would also  be eligible                                                               
for a PFD and is currently denied.                                                                                              
                                                                                                                                
REPRESENTATIVE  TALERICO  answered  that  the  caregiver  is  not                                                               
necessarily denied.   The situation that HB 190  would address is                                                               
when a person, who has been  out of state for an extended period,                                                               
suddenly  finds himself/herself  in  the position  of needing  to                                                               
provide  the   care  and  consequently   goes  well   beyond  the                                                               
accumulative period allowed - 180 days.                                                                                         
                                                                                                                                
CO-CHAIR KREISS-TOMKINS  restated the answer:   AS 43.23.008(a) -                                                               
the statue  covering allowable absences  - currently  provides an                                                               
exemption for someone who is sick  out of state or someone who is                                                               
providing  care   for  someone  who   is  sick.     The  proposed                                                               
legislation would  allow for "stacking  of exemptions";  the time                                                               
spent out  of state caring for  someone who is sick  would not be                                                               
counted in the 180 days allowed.                                                                                                
                                                                                                                                
4:01:58 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE VANCE referred  to page 3, lines 9-10,  of HB 190,                                                               
which  read  "...  the  spouse,   minor  dependent,  or  disabled                                                               
dependent of the  eligible resident... " and asked  about an only                                                               
adult child  who leaves the  state to  care for parents,  and the                                                               
absence results  in an extended  period.  She  questioned whether                                                               
the sponsor considered other categories of caregivers.                                                                          
                                                                                                                                
REPRESENTATIVE TALERICO answered that it  is his hope that HB 190                                                               
would cover the situation she presented.                                                                                        
                                                                                                                                
REPRESENTATIVE  HOPKINS asked  what changes  would be  needed for                                                               
the dividend application under HB 190.                                                                                          
                                                                                                                                
REPRESENTATIVE   TALERICO   offered   that   the   PFD   Division                                                               
[Department  of   Revenue  (DOR)]  would  need   to  answer  that                                                               
question.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  STORY  asked  whether  the  proposed  legislation                                                               
states   "designated   caregiver"   for  the   extended   absence                                                               
exemption.                                                                                                                      
                                                                                                                                
REPRESENTATIVE TALERICO replied  no.  He acknowledged  that it is                                                               
the responsibility of  the legislature, not the  PFD Division, to                                                               
ensure clarity in statute.                                                                                                      
                                                                                                                                
4:06:40 PM                                                                                                                    
                                                                                                                                
ANNE  WESKE, Director,  Permanent Fund  Dividend (PFD)  Division,                                                               
Department of  Revenue (DOR),  in response  to the  question from                                                               
Representative  Hopkins, stated  that  the  PFD application  form                                                               
would  not change  under  HB 190;  the only  change  would be  in                                                               
processing the application; and there  would be no extra cost for                                                               
processing applications in this manner.                                                                                         
                                                                                                                                
REPRESENTATIVE HOPKINS  asked whether the application  would have                                                               
additional  checkboxes or  whether  the applicant  would need  to                                                               
appeal a denial.                                                                                                                
                                                                                                                                
MS. WESKE  responded that because  the change under  the proposed                                                               
legislation would apply to such  a small population, the division                                                               
would  resolve  the   issue  at  the  eligibility   level.    She                                                               
maintained  that  currently  people  explain the  reason  for  an                                                               
absence on the application; therefore,  personnel know the reason                                                               
for  the absence  already;  it would  just be  a  matter of  them                                                               
following the new statute.                                                                                                      
                                                                                                                                
REPRESENTATIVE HOPKINS asked whether  the applicant would need to                                                               
know that this exemption was available.                                                                                         
                                                                                                                                
MS.  WESKE  replied that  the  division  already accounts  for  a                                                               
medical absence  as being allowable;  the other absence  would be                                                               
considered vacation,  which the  applicant is  already indicating                                                               
on  the current  application.   She  said currently  staff see  a                                                               
combination of "other" [which includes  business or vacation] and                                                               
"health."   She stated  that if the  "other vacation"  exceeds 45                                                               
days,  the  applicant  is  denied  status.   Under  HB  190,  the                                                               
application  would look  the same,  but  staff would  be able  to                                                               
consider the  applicant for a  PFD if  the absence is  between 45                                                               
and 180 days.                                                                                                                   
                                                                                                                                
4:09:30 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS  referred to the  Paul Hall [Center  for Maritime                                                               
Training  and Education]  apprenticeship program  and the  recent                                                               
denials by  the state  for PFDs for  participants in  the program                                                               
who have  long received  PFDs.   He asked  that the  PFD Division                                                               
give  his office  guidance  on  providing appropriate  clarifying                                                               
language to ensure that the  program participants would no longer                                                               
experience  discrimination.   He offered  that the  state enacted                                                               
regulations in  2014 that conflicted  with statute and  should be                                                               
repealed.   He  mentioned proposing  an  amendment to  HB 190  to                                                               
ensure  that the  state does  not discriminate  against industry-                                                               
funded programs.                                                                                                                
                                                                                                                                
MS. WESKE  responded that  the division  has provided  wording to                                                               
the  Department  of  Law  (DOL)   to  remedy  that  issue.    She                                                               
maintained that there  was no regulation change in  2014; she was                                                               
provided a  list of  names [of participants  of the  program] and                                                               
none had  ever applied for a  PFD in the history  of the program.                                                               
She  maintained  that she  is  researching  the situation.    She                                                               
offered  to   provide  guidance   to  Representative   Fields  as                                                               
requested.                                                                                                                      
                                                                                                                                
4:11:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  VANCE   asked  for   an  approximate   number  of                                                               
applications that the proposed legislation would address.                                                                       
                                                                                                                                
MS. WESKE estimated about 100.                                                                                                  
                                                                                                                                
REPRESENTATIVE  VANCE   asked  whether  clarifying   language  on                                                               
"designated caregiver" would be helpful to the division.                                                                        
                                                                                                                                
MS.  WESKE  answered  that  the   division  would  probably  need                                                               
guidance  from  DOL on  the  specification  of  the role  of  the                                                               
individual.                                                                                                                     
                                                                                                                                
CO-CHAIR KREISS-TOMKINS  referred to the allowable  absence under                                                               
AS 43.23.008(a)(17), which read in part:                                                                                        
                                                                                                                                
      (17) for any reason consistent with the individual's                                                                      
        intent to remain a state resident, provided the                                                                         
     absence or cumulative absences do not exceed                                                                               
          (A)  180  days  in  addition  to  any  absence  or                                                                    
     cumulative   absences  claimed   under   (3)  of   this                                                                    
     subsection  if  the  individual   is  not  claiming  an                                                                    
     absence  under  (1),  (2),  or   (4)     (16)  of  this                                                                    
     subsection;                                                                                                                
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS  asked  for  an  approximate  number  of                                                               
Alaskans who qualify under subparagraph  (A) or the net outlay of                                                               
PFDs to individuals qualifying under this exemption.                                                                            
                                                                                                                                
MS.  WESKE restated  the  question:   How  many individuals  were                                                               
absent  from  Alaska between  90  and  180  days for  an  "other"                                                               
reason; that  is, they did not  qualify for any of  the allowable                                                               
absences [listed under AS 43.23.008(a)(1)-(16)]?                                                                                
                                                                                                                                
CO-CHAIR KREISS-TOMKINS  clarified by saying that  for someone on                                                               
vacation for 89  days and in Alaska every other  day of the year,                                                               
the application is handled under the normal approval process.                                                                   
                                                                                                                                
MS. WESKE agreed.                                                                                                               
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS  asked  for the  approval  process  when                                                               
someone  is on  vacation from  91-179  days and  in Alaska  every                                                               
other day of the year.                                                                                                          
                                                                                                                                
MS.  WESKE replied  that the  PFD Division  would request  flight                                                               
records  from  the applicant  and  check  for any  indicators  of                                                               
residency  ties  in  the  area  visited.    The  Legislature  has                                                               
determined - by  statute - that any length of  time above 90 days                                                               
is worth further scrutiny.                                                                                                      
                                                                                                                                
CO-CHAIR   KREISS-TOMKINS   asked   for   confirmation   of   his                                                               
understanding that under this "other"  category, someone could be                                                               
gone from  Alaska for 179 days  and continue to receive  a PFD if                                                               
the checks don't identify any  indicators of residency in another                                                               
state.                                                                                                                          
                                                                                                                                
MS. WESKE answered, that's correct.                                                                                             
                                                                                                                                
CO-CHAIR KREISS-TOMKINS asked  to be provided with  the number of                                                               
Alaskans   who    qualify   for    the   exemption    [under   AS                                                               
43.23.008(a)(17)(A)]  and  the  total  amount  dispersed  through                                                               
those PFDs.                                                                                                                     
                                                                                                                                
4:16:44 PM                                                                                                                    
                                                                                                                                
CO-CHAIR KREISS-TOMKINS also asked  for the number of individuals                                                               
who would qualify for the exemption under HB 190.                                                                               
                                                                                                                                
MS. WESKE offered to provide that information.                                                                                  
                                                                                                                                
REPRESENTATIVE STORY asked for the  number of denials in the last                                                               
few  years due  to  caregivers being  out of  state  to care  for                                                               
significant others.                                                                                                             
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS stated  that he  has heard  that a  U.S.                                                               
Coast Guard (USCG) member and  his/her family, who live in Alaska                                                               
and  collect  PFDs,  could  continue  to  collect  PFDs  for  the                                                               
duration of  the service member's  tenure in the USCG  even after                                                               
they have  left the  state.   He asked whether  that was  true or                                                               
urban legend.                                                                                                                   
                                                                                                                                
MS. WESKE  answered that it  is urban  legend.  The  family would                                                               
still need to  show ties to Alaska; they could  have no residency                                                               
ties to  any other area;  and they  must return to  Alaska within                                                               
five years for 30 consecutive days  and return to the state every                                                               
other year for 72 hours.                                                                                                        
                                                                                                                                
CO-CHAIR  FIELDS  asked  for any  indicators  of  residency  ties                                                               
besides  buying  a  house,  having  a  homestead  exemption,  and                                                               
voting.                                                                                                                         
                                                                                                                                
MS.  WESKE added  enrollment of  children in  school, securing  a                                                               
lease,   employment,  and   obtaining  a   driver's  license   or                                                               
identification.                                                                                                                 
                                                                                                                                
MS. WESKE  clarified that the items  she listed are how  a person                                                               
in Alaska could establish a tie;  a job in another state does not                                                               
always indicate a residency tie.                                                                                                
                                                                                                                                
REPRESENTATIVE   STORY   asked   for  the   reference   for   the                                                               
requirements of "72  hours" and "30 days" and asked  why 72 hours                                                               
was chosen.                                                                                                                     
                                                                                                                                
MS. WESKE agreed to provide that information.                                                                                   
                                                                                                                                
[HB 190 was held over.]                                                                                                         
                                                                                                                                

Document Name Date/Time Subjects
HB 239 About Half of Americans Play State Lotteries_Gallup 2016 2.24.2020.pdf HSTA 2/25/2020 3:00:00 PM
HB 239
HB 239 Idaho, Montana. Wyoming Unaudited FY19 Lottery Sales 2.24.2020.pdf HSTA 2/25/2020 3:00:00 PM
HB 239
HB 190 Sponsors Statement 1.24.20.pdf HSTA 2/25/2020 3:00:00 PM
HSTA 3/12/2020 3:00:00 PM
HB 190
HB 190 ver A 1.24.20.PDF HSTA 2/25/2020 3:00:00 PM
HSTA 3/12/2020 3:00:00 PM
HB 190
HB 190 Fiscal Note DOR-PFD 2.22.20.pdf HSTA 2/25/2020 3:00:00 PM
HSTA 3/12/2020 3:00:00 PM
HB 190
SB 80 Sponsor Statement version U-2.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Version U.2 4.30.19.PDF HSTA 2/25/2020 3:00:00 PM
SB 80
SB 80 Sumary of Changes Version U - U.2.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB 80 Letter of Support - FBX Chamber of Commerce 5.9.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Letter of Support Patrick Walsh 4.10.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Letter of Support Jodi Taylor 4.11.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Letter of Support ANCSA 4.30.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Letter of Support Alliance 4.11.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Letter of Support Alaska Chamber 4.9.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Letter of Support AGC 4.12.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Fiscal Note OOG-DOE 4.5.19.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB80 Fiscal Note OOG-DOE 2.23.20.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB 80 Supporting Document RDC 2.24.20.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
SB 80 Letter of Support Arctic Slope Regional Corp 2.25.20.pdf HSTA 2/25/2020 3:00:00 PM
SB 80
HB 239 Supporting Document Gaming Cost Memo (DOR) 2.26.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 239
HB 239 Supporting Document Charitable Gaming 2018 Annual Report (DOR) 2.26.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 239
HB 74 Supporting Document AML 3.3.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 74
HB 74 Letter of Opposition - Testimony #5 2.18.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 74
HB 74 Letter of Opposition - Testimony 2.18.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 74
HB 74 Letter of Opposition - Testimony #4 2.18.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 74
HB 74 Letter of Opposition - Testimony #2 2.18.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 74
HB 74 Letter of Opposition - Testimony #3 2.18.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 74
HB 239 Letter of Opposition - Testimony 2.25.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 239
HB 239 Letter of Opposition - SEAFOM 3.24.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 239
HB 239 Testimony #2 2.30.20.pdf HSTA 2/25/2020 3:00:00 PM
HB 239