Legislature(2019 - 2020)GRUENBERG 120

04/02/2019 04:00 PM STATE AFFAIRS

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 10 CONTROLLED SUBSTANCE POSSESSION; SENTENCE TELECONFERENCED
Scheduled but Not Heard
*+ HB 115 ABSENTEE VOTING TELECONFERENCED
Scheduled but Not Heard
*+ HB 98 PROPERTY CRIME; MOTOR VEHICLE THEFT TOOLS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 96 PIONEERS' HOME AND VETERANS' HOME RATES TELECONFERENCED
Moved CSHB 96(STA) Out of Committee
                    ALASKA STATE LEGISLATURE                                                                                  
             HOUSE STATE AFFAIRS STANDING COMMITTEE                                                                           
                         April 2, 2019                                                                                          
                           5:46 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Zack Fields, Co-Chair                                                                                            
Representative Jonathan Kreiss-Tomkins, Co-Chair                                                                                
Representative Gabrielle LeDoux                                                                                                 
Representative Andi Story                                                                                                       
Representative Adam Wool                                                                                                        
Representative Laddie Shaw                                                                                                      
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Sarah Vance                                                                                                      
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 98                                                                                                               
"An  Act relating  to aggregation  of crimes  under theft  in the                                                               
second degree;  relating to fraudulent  use of an  access device;                                                               
and relating  to the crime  of possession of motor  vehicle theft                                                               
tools."                                                                                                                         
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 96                                                                                                               
"An Act  relating to Alaska  Pioneers' Home and  Alaska Veterans'                                                               
Home rates and services."                                                                                                       
                                                                                                                                
     - MOVED CSHB 96(STA) OUT OF COMMITTEE                                                                                      
                                                                                                                                
HOUSE BILL NO. 10                                                                                                               
"An Act relating to misconduct  involving a controlled substance;                                                               
providing  for   substitution  of   judgment;  and   relating  to                                                               
sentencing."                                                                                                                    
                                                                                                                                
     - SCHEDULED BUT NOT HEARD                                                                                                  
                                                                                                                                
HOUSE BILL NO. 115                                                                                                              
"An  Act  relating  to  absentee voting;  and  providing  for  an                                                               
effective date."                                                                                                                
                                                                                                                                
     - SCHEDULED BUT NOT HEARD                                                                                                  
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 98                                                                                                                   
SHORT TITLE: PROPERTY CRIME; MOTOR VEHICLE THEFT TOOLS                                                                          
SPONSOR(s): REPRESENTATIVE(s) CLAMAN                                                                                            
                                                                                                                                
03/15/19       (H)       READ THE FIRST TIME - REFERRALS                                                                        
03/15/19       (H)       STA, JUD                                                                                               
04/02/19       (H)       STA AT 4:00 PM GRUENBERG 120                                                                           
                                                                                                                                
BILL: HB 96                                                                                                                   
SHORT TITLE: PIONEERS' HOME AND VETERANS' HOME RATES                                                                            
SPONSOR(s): REPRESENTATIVE(s) FIELDS                                                                                            
                                                                                                                                
03/15/19       (H)       READ THE FIRST TIME - REFERRALS                                                                        
03/15/19       (H)       STA, HSS                                                                                               
03/26/19       (H)       STA AT 3:00 PM GRUENBERG 120                                                                           
03/26/19       (H)       Heard & Held                                                                                           
03/26/19       (H)       MINUTE(STA)                                                                                            
03/28/19       (H)       STA AT 3:00 PM GRUENBERG 120                                                                           
03/28/19       (H)       Heard & Held                                                                                           
03/28/19       (H)       MINUTE(STA)                                                                                            
04/02/19       (H)       STA AT 4:00 PM GRUENBERG 120                                                                           
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
REPRESENTATIVE MATT CLAMAN                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented HB 98, as prime sponsor.                                                                       
                                                                                                                              
LIZZIE KUBITZ, Staff                                                                                                            
Representative Matt Claman                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Provided a sectional analysis on behalf of                                                               
Representative Claman, prime sponsor of HB 98.                                                                                  
                                                                                                                              
MARGARET BERGMAN                                                                                                                
Anchorage Police Department (APD)                                                                                               
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Provided information during the hearing on                                                               
HB 98.                                                                                                                          
                                                                                                                              
CLINTON LASLEY, Director                                                                                                        
Division of Alaska Pioneer Homes (DAPH)                                                                                         
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Answered questions  during the hearing on HB                                                             
96, Version U.                                                                                                                  
                                                                                                                              
ACTION NARRATIVE                                                                                                              
                                                                                                                                
5:46:28 PM                                                                                                                    
                                                                                                                                
CO-CHAIR JONATHAN  KREISS-TOMKINS called the House  State Affairs                                                             
Standing   Committee    meeting   to    order   at    5:46   p.m.                                                               
Representatives LeDoux,  Story, Wool, Fields,  and Kreiss-Tomkins                                                               
were present at  the call to order.   Representative Shaw arrived                                                               
as the meeting was in progress.                                                                                                 
                                                                                                                                
        HB 98-PROPERTY CRIME; MOTOR VEHICLE THEFT TOOLS                                                                     
                                                                                                                              
5:47:27 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS  announced  that   the  first  order  of                                                               
business  would  be  HOUSE  BILL  NO. 98,  "An  Act  relating  to                                                               
aggregation of crimes under theft  in the second degree; relating                                                               
to fraudulent use of an access  device; and relating to the crime                                                               
of possession of motor vehicle theft tools."                                                                                    
                                                                                                                                
5:47:36 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MATT  CLAMAN, Alaska  State Legislature,  as prime                                                               
sponsor of  HB 98, relayed  that Alaska is currently  facing many                                                               
public safety  challenges - a  devastating opioid  epidemic, cuts                                                               
to  public safety  resources, and  a down  economy with  a rising                                                               
unemployment rate.   The state works every day to  use its public                                                               
safety  resources   wisely  to  improve  public   safely  despite                                                               
financial challenges.  He said  that law enforcement officials in                                                               
Alaska  have reported  increased  difficulty  when arresting  and                                                               
prosecuting serial  theft offenders.  After  discussions with law                                                               
enforcement  officials,   he  introduced  HB  98   to  strengthen                                                               
Alaska's  laws  relating  to theft  and  other  offences  against                                                               
property and to  improve public safety by  giving police officers                                                               
and prosecutors  additional tools  for arresting  and prosecuting                                                               
criminals.                                                                                                                      
                                                                                                                                
REPRESENTATIVE CLAMAN continued by  saying that HB 98 effectively                                                               
targets  serial  offenders  and  is  supported  by  the  National                                                               
Insurance  Crime  Bureau (NICB)  and  the  Alaska Peace  Officers                                                               
Association (APOA).                                                                                                             
                                                                                                                                
5:49:19 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS  moved to adopt  the sponsor substitute  (SS) for                                                               
HB  98, [Version  31-LS0626\M, Radford,  3/19/19] as  the working                                                               
document.   There being  no objection, Version  M was  before the                                                               
committee.  [It was ascertained during  the hearing on HB 98 that                                                               
since SSHB  had not been  introduced on  the House floor,  HB 98,                                                               
Version A, was before the committee.]                                                                                           
                                                                                                                                
5:49:29 PM                                                                                                                    
                                                                                                                                
LIZZIE KUBITZ,  Staff, Representative  Matt Claman,  Alaska State                                                               
Legislature, provided a sectional analysis  for HB 98, Version M,                                                               
on behalf of Representative Claman,  prime sponsor, which read as                                                               
follows:                                                                                                                        
                                                                                                                                
     Section 1                                                                                                              
     AS 11.46.130(a) - Theft in the second degree.                                                                              
                                                                                                                                
     Allows prosecutors  to aggregate crimes under  theft in                                                                    
     the second  degree if they  occur within 180  days, the                                                                    
     amount is  more than  $750 and  less than  $25,000, and                                                                    
     the  property or  services  are  taken from  commercial                                                                    
     establishments.                                                                                                            
                                                                                                                                
     Section 2                                                                                                              
     AS 11.46.285  - Fraudulent use  of an access  device or                                                                    
     identification document.                                                                                                   
                                                                                                                                
     Amends AS  11.46.285the  statute related  to fraudulent                                                                    
     use of  an access  deviceto  include  an identification                                                                    
     document.  This clarification  addresses a  gap in  the                                                                    
     statute identified  by the Alaska  Court of  Appeals in                                                                    
     Kankanton v. State, 342 P.3d (Alaska Ct. App. 2015).                                                                       
                                                                                                                                
     Section 3                                                                                                              
     AS  11.46.370  -  Possession  of  motor  vehicle  theft                                                                    
     tools.                                                                                                                     
                                                                                                                                
     Amends AS  11.46 by adding  a new  section establishing                                                                    
     the crime  of Possession  of motor vehicle  theft tools                                                                    
     as a class  A misdemeanor. The new crime  is similar to                                                                    
     AS 11.46.315, Possession of burglary tools.                                                                                
                                                                                                                                
     Section 4                                                                                                              
     Uncodified law                                                                                                             
                                                                                                                                
     This section contains applicability provisions.                                                                            
                                                                                                                                
MS. KUBITZ mentioned that a copy  of the Kankanton v. State court                                                             
case was provided in the committee packet.                                                                                      
                                                                                                                                
5:51:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WOOL  asked for the  definition of  "aggregate" in                                                               
the legal context in Section 1.                                                                                                 
                                                                                                                                
MS.  KUBITZ answered  that Section  1 addresses  repeat offenders                                                               
within the 180-day period.  For  people who rob from a commercial                                                               
establishment, but the robbery does  not meet the $750 threshold,                                                               
their crimes may be aggregated for prosecution.                                                                                 
                                                                                                                                
REPRESENTATIVE WOOL asked  whether the value of  the items stolen                                                               
would be aggregated in order to meet the $750 threshold.                                                                        
                                                                                                                                
MS. KUBITZ responded that the  amount would be the combined value                                                               
of those  items.  She  cited page 2,  lines 15-18, of  Version M,                                                               
which read:                                                                                                                     
                                                                                                                                
     (8)  the combined  value of  the  property or  services                                                                    
     taken   from  one   or  more   persons  or   commercial                                                                    
     establishments within  a period  of 180  days, adjusted                                                                    
     for inflation as  provided in AS 11.46.982,  is $750 or                                                                    
     more but less than $25,000.                                                                                                
                                                                                                                                
5:53:22 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  noted that  the fiscal  note (FN)  from the                                                               
Department of  Administration (DOA) is indeterminant  and offered                                                               
that  with the  high  volume  of theft,  she  would  expect a  FN                                                               
greater than zero.                                                                                                              
                                                                                                                                
REPRESENTATIVE CLAMAN  answered that departments  frequently take                                                               
the position  that they can't determine  the cost.  He  posed the                                                               
question, Do three theft offenses  require more work or less work                                                               
than  three offenses  consolidated  into a  single  offense?   He                                                               
maintained that the department cannot say.                                                                                      
                                                                                                                                
REPRESENTATIVE  STORY  expressed  her  concern  that  the  Public                                                               
Defender  Agency (PDA)  is short-staffed;  therefore, issues  may                                                               
not be addressed timely.                                                                                                        
                                                                                                                                
REPRESENTATIVE  WOOL   asked  whether  the  implication   of  the                                                               
proposed  legislation is  that aggregating  the  total amount  of                                                               
theft over time,  increases the severity of the  crime, makes the                                                               
offense "jailable," and serves as a deterrent.                                                                                  
                                                                                                                                
REPRESENTATIVE  CLAMAN  replied that  it  serves  as a  tool  for                                                               
prosecutors  and  law enforcement  to  aggregate  crimes if  they                                                               
choose to do so.                                                                                                                
                                                                                                                                
5:56:22 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 5:56 p.m. to 5:57 p.m.                                                                       
                                                                                                                                
5:57:36 PM                                                                                                                    
                                                                                                                                
CO-CHAIR KREISS-TOMKINS  stated that the  motion to adopt  the SS                                                               
for HB 98 is moot because SSHB  98 has not been introduced on the                                                               
House  floor;   therefore,  the   working  document   before  the                                                               
committee  is  the  original  version  of HB  98.    A  committee                                                               
substitute (CS) for HB 98 is forthcoming.                                                                                       
                                                                                                                                
5:58:21 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 5:58 p.m. to 5:59 p.m.                                                                       
                                                                                                                                
REPRESENTATIVE CLAMAN  clarified for the committee  that the only                                                               
difference  between  the   two  versions  is  Section   4  -  the                                                               
applicability   provisions;  the   substance   of  the   proposed                                                               
legislation will remain the same [in the forthcoming CS].                                                                       
                                                                                                                                
6:00:43 PM                                                                                                                    
                                                                                                                                
MARGARET BERGMAN, Anchorage  Police Department (APD), paraphrased                                                               
from  a  prepared  statement  as  follows  [original  punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     Good  Afternoon, I  am  Margaret  Bergman, a  detective                                                                    
     with the  Anchorage Police Department.   Thank  you for                                                                    
     the invitation to speak on behalf  of House Bill 98.  I                                                                    
     have worked with the  Anchorage Police Department since                                                                    
     2000.   I  would  like to  address  the three  proposed                                                                    
     changes.                                                                                                                   
                                                                                                                                
     First,  regarding  the addition  to  the  Theft in  the                                                                    
     Second  Degree   statute  AS11.46.130(a)(8),  regarding                                                                    
     combining the value of property  or services taken from                                                                    
     one or more person  or commercial establishments within                                                                    
     a period  of 180  days.   I have  been involved  in the                                                                    
     Alaska Organized  Retail Crime  Alliance and  work with                                                                    
     Loss  Prevention.    Alaska  does  not  have  Organized                                                                    
     Retail  Crime   statutes.    I   have  worked   with  a                                                                    
     Washington police  agency regarding their ORC  laws and                                                                    
     Alliance with loss prevention.   Organized Retail theft                                                                    
     is  considered  a gateway  crime  that  often leads  to                                                                    
     major  crime rings  that use  the  illicit proceeds  to                                                                    
     fund other  crimes.  Addicts  are given  shopping lists                                                                    
     (which  we often  find), in  exchange for  drugs.   The                                                                    
     thefts  occur  at  large box  stores,  residences,  and                                                                    
     include stolen  vehicles.   The shoplifting  thefts are                                                                    
     misdemeanor  level crimes  and  with identification  of                                                                    
     the suspects, are charged as  such to the Municipality.                                                                    
     The repeat  suspects appear to  be undeterred  with the                                                                    
     misdemeanor  charges.   With the  change  to allow  for                                                                    
     combining  the values  of property  or services  in the                                                                    
     last 180 days,  this will allow the police  to charge a                                                                    
     felony.   The  goal is  to deter  future crimes  by the                                                                    
     suspect  and  reducing  their criminal  enterprise  and                                                                    
     thus increasing the safety of Alaskan communities.                                                                         
                                                                                                                                
     Second, regarding  the addition  to the  Fraudulent Use                                                                    
     of  an Access  Device "Or  identification document"  AS                                                                    
     11.46.285   and  Theft   in   the   Second  Degree   AS                                                                    
     11.46.130(a)(7)  property  is   an  access  device  "or                                                                    
     identification document".                                                                                                  
                                                                                                                                
     In  2015, Kankanton  v State  of Alaska,  the Court  of                                                                    
     Appeals held that a driver's  license was not an access                                                                    
     device within  meaning of theft  statute under  rule of                                                                    
     lenity.     According  to  the  Court's   opinion,  the                                                                    
     statutes defining  "access device"  and "identification                                                                    
     document"  were enacted  as  a part  of  a larger  bill                                                                    
     addressing the problem  of identity theft.   As part of                                                                    
     the  same crime  bill,  the  legislature amended  other                                                                    
     sections of  the criminal code  to bring  it up-to-date                                                                    
     with  the  more   technologically  sophisticated  means                                                                    
     through  which people  improperly  access the  finances                                                                    
     and  financial  credit of  others.  The  Court noted  a                                                                    
     driver's  license  is   specifically  included  in  the                                                                    
     definition  of  "identification  document" but  is  not                                                                    
     specifically listed as an "access device".                                                                                 
                                                                                                                                
     In 2005,  House Bill  131 recognized identity  theft is                                                                    
     on  the  increase  in  Alaska and  the  country.    The                                                                    
     changes would  bring penalties  for such  crimes closer                                                                    
     in line with  federal criminal laws.   HB 131 increased                                                                    
     the penalty  from a  Class A Misdemeanor  to a  class C                                                                    
     Felony for:  1) Theft  of an access  device, such  as a                                                                    
     credit card  or bank  account number,  2) the  crime of                                                                    
     fraudulent means  of an access  device if the  value of                                                                    
     the property or  services obtained is $50  or more, and                                                                    
     3)  the   crime  of  obtaining  an   access  device  or                                                                    
     identification document by fraudulent means.                                                                               
                                                                                                                                
     Senate  Bill 91  in essence  decriminalized the  felony                                                                    
     for Fraudulent Use of and  Access Device which was made                                                                    
     to  curb  identity theft  through  means  of an  access                                                                    
     device or identification document.   The Access Devices                                                                    
     or identification  documents stolen during  a burglary,                                                                    
     vehicle  theft,  theft  or vehicle  tampering  and  the                                                                    
     furtherance of those crimes by  using the access device                                                                    
     or   the  information   from  the   access  device   or                                                                    
     identification  document  to  commit  fraud  and  theft                                                                    
     crimes is  a misdemeanor.   A stolen  credit card  or a                                                                    
     check  is rarely,  if at  all, used  to purchase  large                                                                    
     items (felony level).  In  my experience, they are used                                                                    
     to  purchase  groceries,  gas,  and  other  items  from                                                                    
     stores.    Often  times, the  stolen  information  from                                                                    
     identification documents  is entered on a  stolen check                                                                    
     and then used to commit fraud.   This crime now has two                                                                    
     victims of  identity theft.  Returning  to HB131 limits                                                                    
     of  $50  or  more  will provide  the  police  with  the                                                                    
     ability to  charge and deter  the continuation  of this                                                                    
     crime and re-victimization.                                                                                                
                                                                                                                                
     I  have worked  numerous financial  crimes in  the past                                                                    
     few years  that I requested assistance  for prosecution                                                                    
     from   the  federal   government.     Theft  of   mail,                                                                    
     burglaries, vehicle  tamperings, and thefts  (of purses                                                                    
     and  such)  have  the suspects  attempting  to  collect                                                                    
     Personal  Identifiable  Information (PII)  and  account                                                                    
     information  in order  to  conduct  fraud and  identity                                                                    
     theft.   Through my  investigations, I  have discovered                                                                    
     the  suspects save  the victims'  PII and  will use  it                                                                    
     later (often times when the victim are [sic] unaware).                                                                     
     The suspects  gain access  to financial  information of                                                                    
     the  victims' with  the  use of  their  PII which  they                                                                    
     obtained  with   identification  documents,   not  just                                                                    
     access devices.                                                                                                            
                                                                                                                                
     Just for  reference, the Federal definition  of "access                                                                    
     device" means  "any card, plate, code,  account number,                                                                    
     serial number,  mobile identification  number, personal                                                                    
     identification  number,   or  other  telecommunications                                                                    
     service, equipment, or  instrument identifier, or other                                                                    
     means of account  access that can be used,  alone or in                                                                    
     conjunction  with  another  access  device,  to  obtain                                                                    
     money, goods,  services, or any  other thing  of value,                                                                    
     or that  can be  used to initiate  a transfer  of funds                                                                    
     (other than a transfer  originated soley [sic] by paper                                                                    
     instrument)."                                                                                                              
                                                                                                                                
     I  would like  to  mention that  individuals now  store                                                                    
     bank information and other PII  on their cell phones as                                                                    
     well,  and a  discussion regarding  how this  fits into                                                                    
     the access device definition is worthwhile.                                                                                
                                                                                                                                
     Regarding the  addition of Possession of  motor vehicle                                                                    
     theft tools, AS 11.46.370 to  law.  Stolen vehicles are                                                                    
     a  constant  reality  and  problem  to  the  community.                                                                    
     Alaska  has laws  regarding possessing  burglary tools,                                                                    
     but  nothing regarding  possessing motor  vehicle theft                                                                    
     tools.   I have seen  shaved keys, "bump keys",  old or                                                                    
     worn  keys that  are  not shaved  or  altered but  will                                                                    
     start a vehicle,  and jiggler keys on  suspects.  Often                                                                    
     times,  we will  see these  on individuals  reported to                                                                    
     the police by community  members as being suspicious in                                                                    
     a  parking lot  or  neighborhood  walking around  cars.                                                                    
     These more than  likely lead to vehicle  tampering.  We                                                                    
     also recover  them on the  suspects in possession  of a                                                                    
     stolen  vehicle.    I  would  like  to  note  that  law                                                                    
     enforcement has received  information from other states                                                                    
     and   insurance   groups   regarding   suspects   using                                                                    
     electronic  technology to  access  newer vehicles  that                                                                    
     have  key  fobs.    Limiting  the  definition  to  only                                                                    
     physical keys  and not  providing for  these electronic                                                                    
     devices  used may  pose a  problem  since vehicles  are                                                                    
     increasingly keyless.                                                                                                      
                                                                                                                                
     Lastly, I would also like  to mention that the State of                                                                    
     Alaska does  not have a Conspiracy  Statute that covers                                                                    
     property  crimes.    This  is a  problem  when  we  are                                                                    
     investigating  "crews" that  are  stealing mail,  ATMs,                                                                    
     etc, burglarizing  businesses and residences, and  as a                                                                    
     whole working  together to commit property  crimes as a                                                                    
     group, we do not have a  crime to cover everyone in the                                                                    
     "crew".                                                                                                                    
                                                                                                                                
     We  need  the  statutes   and  definitions  to  not  be                                                                    
     ambiguous.  I  have found the suspects  have no concern                                                                    
     over the  impact to the  victims or the community  as a                                                                    
     whole.   I  support the  changes  in this  and it  will                                                                    
     assist the  Anchorage Police  Department and  I believe                                                                    
     other  Municipalities and  the State  of Alaska  in the                                                                    
     continued effort to keep their communities safe.                                                                           
                                                                                                                                
     Thank you for your time.                                                                                                   
                                                                                                                                
                                                                                                                                
6:08:22 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   WOOL  asked   whether  the   access  device   or                                                               
identification document must be used  in a certain kind of crime.                                                               
He asked  about someone using  another's driver's license  to get                                                               
into a bar.                                                                                                                     
                                                                                                                                
MS. BERGMAN answered that if  the access device or identification                                                               
document is stolen, it is a crime to possess it.                                                                                
                                                                                                                                
REPRESENTATIVE WOOL asked whether it is currently a crime.                                                                      
                                                                                                                                
MS. BERGMAN  replied, "No."  She  said that currently it  is just                                                               
an  access device.   Kankanton  v. State  revealed that  when the                                                             
statutes  were   enacted  in  2000,  the   intent  was  ambiguous                                                               
regarding an identification document  being considered an "access                                                               
device."    She  related  from   personal  experience  that  bank                                                               
statements with account  numbers have been used  to create checks                                                               
used for  forgery and fraud.   A person who possesses  the stolen                                                               
property,  typically  from someone's  mail,  can  obtain the  PII                                                               
number, create  his/her own checks  and identification  (ID), and                                                               
commit additional crimes.                                                                                                       
                                                                                                                                
REPRESENTATIVE WOOL  referred to the addicts  with shopping lists                                                               
stealing from stores  so they can obtain drugs.   The misdemeanor                                                               
has not been a deterrent;  however, aggregating the charges would                                                               
make it  a felony.   He  asked whether,  in her  opinion, addicts                                                               
would be deterred by the felony  charge or, as addicts, they only                                                               
respond to drugs.                                                                                                               
                                                                                                                                
MS.  BERGMAN  answered that  it  is  a  tough question,  and  the                                                               
behavior of  the addicts depends  on how far into  addiction they                                                               
are.   She stated  that detectives  find criminals  with shopping                                                               
lists; when  interviewed, the  criminals describe  the enterprise                                                               
of obtaining  drugs; they earn 50  cents on the dollar  for brand                                                               
new, in-the-box items, and they  receive the earnings as a credit                                                               
towards drugs.  She  said that her goal is to  1) stop the crime,                                                               
and the  criminal justice system  provides consequences  for that                                                               
purpose, and  2) stop  addicts from using  drugs.   She expressed                                                               
her belief that the only way  to stop addicts from using drugs is                                                               
through assistance;  and that  involves putting  them in  a jail.                                                               
She  said  that  stopping  the victimization  of  the  commercial                                                               
business and the  burglaries is the most important  mission.  She                                                               
offered that  the effect that  being charged with a  felony would                                                               
have depends on the person.   She has seen both results - someone                                                               
becoming drug free and someone who  continues to use.  She stated                                                               
that Alaska does  not have a conspiracy law  for property crimes.                                                               
Her  goal is  to identify  the  leaders of  the drug  enterprise;                                                               
however, sometimes it  is not possible without  the assistance of                                                               
the people being arrested.                                                                                                      
                                                                                                                                
6:12:41 PM                                                                                                                    
                                                                                                                                
CO-CHAIR KREISS-TOMKINS  asked whether  there are other  items in                                                               
criminal law in  which having certain items on one's  person is a                                                               
crime.                                                                                                                          
                                                                                                                                
MS. BERGMAN answered  that she is most familiar with  the area of                                                               
burglary   tools.      She   mentioned   that   possessing   drug                                                               
paraphernalia  used to  be a  crime  but is  no longer.   She  is                                                               
unaware of other items that are comparable in criminal law.                                                                     
                                                                                                                                
CO-CHAIR KREISS-TOMKINS announced that HB 98 would be held over.                                                                
                                                                                                                                
         HB 96-PIONEERS' HOME AND VETERANS' HOME RATES                                                                      
                                                                                                                              
6:15:05 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS  announced  that   the  final  order  of                                                               
business would be  HOUSE BILL NO. 96, "An Act  relating to Alaska                                                               
Pioneers' Home and Alaska Veterans' Home rates and services."                                                                   
                                                                                                                                
[Before the  committee, adopted as  a work draft on  3/28/19, was                                                               
the  committee substitute  (CS) for  HB 96,  Version 31-LS0646\U,                                                               
Marx, 3/27/19, referred to as "Version U."]                                                                                     
                                                                                                                                
6:15:35 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS thanked the various  contributors to the proposed                                                               
legislation and noted the updated zero fiscal note (FN).                                                                        
                                                                                                                                
REPRESENTATIVE  WOOL expressed  his understanding  that the  rate                                                               
increase proposed under  Version U would bring the  rates in line                                                               
with inflation  and counteract the higher  rate increase proposed                                                               
by the [Governor  Michael J. Dunleavy] administration.   He asked                                                               
whether the  rates would revert  to what  they were prior  to the                                                               
proposed rate increase, if HB 96 did not pass.                                                                                  
                                                                                                                                
6:18:18 PM                                                                                                                    
                                                                                                                                
CLINTON  LASLEY,  Director,  Division  of  Alaska  Pioneer  Homes                                                               
(DAPH),  answered  that  the  rates  currently  proposed  by  the                                                               
administration  are in  the regulatory  process; therefore,  they                                                               
will  be  posted  for  60  days for  public  testimony,  and  the                                                               
commissioner  of the  Department  of Health  and Social  Services                                                               
(DHSS)  will make  a final  decision on  the rates  based on  the                                                               
information  gathered.   He stated  that  if Version  U does  not                                                               
pass, that regulatory process would  proceed, and a determination                                                               
made.                                                                                                                           
                                                                                                                                
REPRESENTATIVE WOOL asked if the  rates under Version U are lower                                                               
or higher  than the  proposed rates  currently in  the regulatory                                                               
process.                                                                                                                        
                                                                                                                                
MR. LASLEY  responded that the  rates under Version U  are lower;                                                               
the administration's  proposed rates  are reflective of  the true                                                               
cost  of  providing  services.   He  maintained  that  the  rates                                                               
proposed under Version  U are less than what it  costs to provide                                                               
services.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  WOOL  asked  for   confirmation  that  the  rates                                                               
proposed under Version U are  between the current rates and those                                                               
proposed by the administration.                                                                                                 
                                                                                                                                
MR. LASLEY responded, "That's correct."                                                                                         
                                                                                                                                
6:20:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  relayed that  she has  conflicting thoughts                                                               
about Version U; she hesitates to  put rates into policy as it is                                                               
not  something  legislators  do and  impedes  flexibility.    She                                                               
expressed  her concern  with the  huge jump  in rates  for Alaska                                                               
Pioneer Homes (APH) and the impact  to seniors and families.  She                                                               
offered that incremental rate increases are better for planning.                                                                
                                                                                                                                
REPRESENTATIVE WOOL expressed that  he also has difficulties with                                                               
Version  U   and  agrees  that   legislators  setting   rates  is                                                               
micromanagement.   He  made  an analogy  with  the Alaska  Marine                                                               
Highway System (AMHS):   it is a heavily  subsidized service that                                                               
many Alaskans use; there are  probably people who could afford to                                                               
pay  the true  cost  of riding  the ferry;  it  costs $10,000  to                                                               
travel by  ferry from Bellingham  to Kodiak with  a car; it  is a                                                               
question of  the level of subsidy.   He suggested that  Version U                                                               
"strikes a middle ground."   He mentioned that the issue involves                                                               
many  factors  - the  appropriate  level  of rates  and  subsidy,                                                               
depletion of one's resources, and medical billing.                                                                              
                                                                                                                                
6:25:04 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  LEDOUX expressed  her  concerns  with Version  U:                                                               
some people can pay; some can pay  what they are able; and no one                                                               
will be  evicted.  She asked,  "At the end of  one's life, should                                                               
the inheritance  go to  the family members  ... or  should people                                                               
pay what they can?"                                                                                                             
                                                                                                                                
CO-CHAIR  KREISS-TOMKINS  stated  that  the effect  of  what  the                                                               
administration is  proposing is  what many conservatives  like to                                                               
call  a  "death tax";  the  assets  of  anyone  in APH  would  be                                                               
liquidated much quicker and would go to the state.                                                                              
                                                                                                                                
6:27:10 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SHAW  moved to  report the CS  for HB  96, Version                                                               
31-LS0646\U,  Marx, 3/27/19,  out  of  committee with  individual                                                               
recommendations and  the accompanying fiscal notes.   There being                                                               
no  objection, CSHB  96(STA) was  reported from  the House  State                                                               
Affairs Standing Committee.                                                                                                     
                                                                                                                                
6:28:12 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
State Affairs  Standing Committee  meeting was adjourned  at 6:28                                                               
p.m.                                                                                                                            

Document Name Date/Time Subjects
HB010 ver U 3.11.2019.PDF HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Sponsor Statement version U 3.11.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Sectional Analysis ver U.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Support Letter from APOA 3.11.2019.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Note DOC-IDO 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Note DOA-OPA 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Note DOA-PDA 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Note DOC-PP 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Note DPS-SDAEU 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Notes LAW-CRIM 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB010 Fiscal Note DHSS-PS 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 10
HB115 ver A 04.01.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB115 Sponsor Statement 04.01.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB115 Supporting Document - Hawaii Permanent Absentee Application 04.01.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB115 Supporting Document - Absentee Ballot Application 04.01.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB115 Additional Document-Alaska Permanent Absentee Voter Regulation 04.01.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB115 Additional Documents-NCSL Absentee and Early Voting 04.01.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB115 Fiscal Note OOG-DOE 3.31.19.pdf HSTA 4/2/2019 4:00:00 PM
HSTA 4/18/2019 3:00:00 PM
HB 115
HB098 ver A 3.19.19.PDF HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Sponsor Statement 3.19.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Sponsor Substitute Work Draft ver M 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Sectional Analysis ver M 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Supporting Document - NICB Letter 4.2.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Additional Document-Kankanton v State 4.2.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Fiscal Note DOC-IDO 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Fiscal Note DPS-DET 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Fiscal Note LAW-CRIM 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Fiscal Note DHSS-PS 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Fiscal Note DOA-OPA 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB098 Fiscal Note DOA-PDA 4.1.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 98
HB096 Fiscal Note ver U PHPA-HSTA 4.3.19.pdf HHSS 4/23/2019 3:00:00 PM
HSTA 4/2/2019 4:00:00 PM
HB 96
HB096 Fiscal Note ver U PH-HSTA 4.3.19.pdf HHSS 4/9/2019 3:00:00 PM
HSTA 4/2/2019 4:00:00 PM
HB 96
HB096 Supporting Document - AKARA Letter of Support 3.28.19.pdf HSTA 4/2/2019 4:00:00 PM
HB 96