Legislature(2005 - 2006)BUTROVICH 205

04/06/2006 08:30 AM Senate JUDICIARY


Download Mp3. <- Right click and save file as

* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 272 CARD ROOMS & OPERATIONS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
= HB 318 LIMITATION ON EMINENT DOMAIN
Heard & Held
= HB 400 CONFISCATION OF FIREARMS
Moved SCS CSHB 400(JUD) Out of Committee
              HB 318-LIMITATION ON EMINENT DOMAIN                                                                           
                                                                                                                                
8:36:19 AM                                                                                                                    
CHAIR RALPH SEEKINS announced CSHB 318(FIN) AM to be up for                                                                     
consideration.                                                                                                                  
                                                                                                                                
CRAIG JOHNSON,  Staff to Representative Lesil  McGuire, and PETER                                                               
PUTZIER,  Senior Assistant  Attorney General,  Department of  Law                                                               
(DOL), introduced themselves for the record.                                                                                    
                                                                                                                                
8:37:04 AM                                                                                                                    
Senator Gene Therriault joined the meeting.                                                                                     
                                                                                                                                
CHAIR SEEKINS reminded  the committee that they  were working off                                                               
version  X.A. He  reviewed the  previously adopted  amendments to                                                               
the bill.                                                                                                                       
                                                                                                                                
8:39:41 AM                                                                                                                    
SENATOR  HOLLIS  FRENCH noted  there  has  not been  a  committee                                                               
substitute (CS) since the amendments.                                                                                           
                                                                                                                                
CHAIR SEEKINS  again reviewed  the previously  adopted amendments                                                               
to the bill.                                                                                                                    
                                                                                                                                
8:41:06 AM                                                                                                                    
MR.  JOHNSON  advised  the  committee  that  there  were  further                                                               
proposed amendments  in their packets.  These are in  response to                                                               
the committee's suggestions during  the previous bill hearing and                                                               
also  from  the  drafter's  suggestions.   He  advised  that  the                                                               
proposed amendment titled 24-LS1083\XA.16  would delete the words                                                               
"personal residence" on page 4, lines  12, 13, and 21 and replace                                                               
it with the words "privately owned residence."                                                                                  
                                                                                                                                
CHAIR SEEKINS  noted that in order  to do so the  committee would                                                               
have to amend the findings section  of the bill in order to match                                                               
the other sections that referred  to "privately owned residence."                                                               
He asked Mr. Putzier to comment.                                                                                                
                                                                                                                                
MR. PUTZIER advised that "personal  residence" is already defined                                                               
in  statute  and  that  it   is  better  to  be  consistent  with                                                               
terminology.  He  did  not  see  a  need  to  change  the  intent                                                               
language.                                                                                                                       
                                                                                                                                
SENATOR  GRETCHEN GUESS  asked the  reason  the committee  didn't                                                               
just delete  "landowners" so  that "personal  residence" remained                                                               
consistent. She said she forgot  the reason the committee changed                                                               
the language from "landowners personal" to "privately owned."                                                                   
                                                                                                                                
CHAIR SEEKINS said he didn't recall the reason either.                                                                          
                                                                                                                                
MR.  JOHNSON responded  that  it came  out of  a  meeting in  the                                                               
Chairman's office.                                                                                                              
                                                                                                                                
CHAIR SEEKINS set 24-LS1083\XA.16 aside.                                                                                        
                                                                                                                                
MR.  JOHNSON referred  to 24-LS1083\XA.17  as purely  a technical                                                               
fix. The new language in the bill should have been underlined.                                                                  
                                                                                                                                
SENATOR   CHARLIE  HUGGINS   moved   Amendment   7.  Hearing   no                                                               
objections, the amendment was adopted.                                                                                          
                                                                                                                                
8:45:37 AM                                                                                                                    
MR. JOHNSON  advised that 24-LS1083\XA.18  was an  amendment that                                                               
would protect the home of a beneficiary of a trust.                                                                             
                                                                                                                                
CHAIR SEEKINS clarified that the  amendment basically states that                                                               
if the  beneficiary of  a trust has  occupied the  residence then                                                               
that person's home is protected.                                                                                                
                                                                                                                                
MR. JOHNSON said he spoke to  a real estate professional who told                                                               
him that  there is nothing  that assures that type  of disclosure                                                               
in  the disclosure  statement and  so the  amendment is  sound in                                                               
that it would protect that new homeowner.                                                                                       
                                                                                                                                
SENATOR  HUGGINS  moved  Amendment   8.  Hearing  no  objections,                                                               
Amendment 8 was adopted.                                                                                                        
                                                                                                                                
8:47:26 AM                                                                                                                    
MR.  JOHNSON advised  that 24-LS1083\XA.19  would delete  "small"                                                               
from the  phrase "boat harbor"  and insert "fresh water"  on page                                                               
5, line 8.  This is to address a concern  of Senator Huggins, who                                                               
wanted  to protect  the lakes  and  rivers of  the Mat-Su  Valley                                                               
while  still  allowing  people  in coastal  areas  the  right  to                                                               
utilize the power of eminent domain to access boat harbors.                                                                     
                                                                                                                                
SENATOR HUGGINS moved Amendment 9.                                                                                              
                                                                                                                                
SENATOR GUESS  objected. Although she appreciated  the amendment,                                                               
she stated  there was still a  problem in that the  committee has                                                               
yet to define "boat harbor" in the statutes.                                                                                    
                                                                                                                                
MR. JOHNSON  stated that  if her  concern was  for transportation                                                               
purposes,  that would  still be  allowed but  since the  bill was                                                               
strictly  addressing  recreational   purposes,  her  concern  was                                                               
unwarranted.                                                                                                                    
                                                                                                                                
SENATOR GUESS disagreed saying that  since there is no definition                                                               
of  "boat harbor"  the committee  was restricting  something that                                                               
has no definition.                                                                                                              
                                                                                                                                
CHAIR  SEEKINS admitted  that  was a  problem,  although he  felt                                                               
fairly  comfortable  with page  6  and  the  list of  things  not                                                               
included on lines 2-4. He said it  was not the intent of the bill                                                               
to preclude boat launches or temporary tie-up areas.                                                                            
                                                                                                                                
8:51:30 AM                                                                                                                    
CHAIR SEEKINS  continued with concern that  the phrase "primarily                                                               
for recreation" was  not defined. He promised  Senator Guess that                                                               
he would continue to work on her concern as well.                                                                               
                                                                                                                                
SENATOR GUESS withdrew  her objection to Amendment  9. Hearing no                                                               
further objections, Amendment 9 was adopted.                                                                                    
                                                                                                                                
8:52:07 AM                                                                                                                    
MR.  JOHNSON advised  that 24-LS1083\XA.20  was  not a  necessary                                                               
amendment and asked Mr. Putzier to explain.                                                                                     
                                                                                                                                
MR. PUTZIER  said the amendment  was originally drawn  when there                                                               
was  a   paragraph  7  under   subsection  (d),  which   was  the                                                               
"legislative  out." Therefore  the  committee  wouldn't need  the                                                               
amendment  but  would  need  to  have  an  amendment  adopting  a                                                               
reference to  the "legislative  out" in  the new  subsection (f),                                                               
which is addressed in an upcoming amendment.                                                                                    
                                                                                                                                
8:54:00 AM                                                                                                                    
MR.   JOHNSON  explained   that   24-LS1083\XA.21   was  up   for                                                               
discussion.                                                                                                                     
                                                                                                                                
SENATOR  FRENCH asked  whether this  document  would augment  the                                                               
previously adopted Amendment 5.                                                                                                 
                                                                                                                                
MR. PUTZIER  clarified that 24-LS1083\XA.21  would be  offered in                                                               
lieu of the other amendment. There  is a problem with saying that                                                               
only  the  state  may  delegate  eminent  domain  powers  because                                                               
"state" was  unclear and  it could  be any  entity of  the state.                                                               
This amendment  makes it crystal  clear that the powers  may only                                                               
be delegated by statute.                                                                                                        
                                                                                                                                
SENATOR GUESS asked for time to digest the amendment.                                                                           
                                                                                                                                
8:57:44 AM                                                                                                                    
SENATOR  GUESS said  the local  level  process can  be much  more                                                               
difficult   that  the   legislative  process   and  expressed   a                                                               
preference for local governmental control.                                                                                      
                                                                                                                                
SENATOR THERRIAULT agreed with Senator Guess.                                                                                   
                                                                                                                                
CHAIR  SEEKINS  said that  XA.21  would  allow municipalities  to                                                               
exercise powers of  eminent domain with a majority  vote. He said                                                               
feedback from his constituents would  prefer that the Legislature                                                               
maintain control over eminent domain  concerning trails and roads                                                               
for  recreational use  within the  250 foot  limit. He  asked for                                                               
discussion.                                                                                                                     
                                                                                                                                
8:59:28 AM                                                                                                                    
SENATOR FRENCH expressed an interest  in hearing public testimony                                                               
because  the City  of New  London versus  Kelo case  took private                                                               
property for  economic development, not for  recreational access.                                                               
The taking  of private property  for economic development  is the                                                               
prime aspect behind the bill and  so it surprised him that people                                                               
in Alaska are more concerned  over the recreational aspect of the                                                               
bill since that has never been an issue in Alaska.                                                                              
                                                                                                                                
CHAIR SEEKINS agreed  but asserted that was the  concern from the                                                               
people in his district.                                                                                                         
                                                                                                                                
SENATOR GUESS  expressed concern  about people not  having access                                                               
to hunting or  other things that could be  deemed as "recreation"                                                               
and that  people could  bring about  suits since  "recreation" is                                                               
not defined in  statute. She remained comfortable  with the local                                                               
option  because the  Legislature  does not  work  year round  and                                                               
because of a lack of  definition of recreation. Local governments                                                               
work all year  round and so they would be  better able to control                                                               
the eminent domain issues as they come about.                                                                                   
                                                                                                                                
9:02:11 AM                                                                                                                    
SENATOR  HUGGINS said  he assumed  the committee  was working  on                                                               
that definition.  He said  in his  case, most  of the  people are                                                               
concerned with the  recreational aspect, not that  a Wal-Mart was                                                               
being built next to somebody's cabin.                                                                                           
                                                                                                                                
SENATOR FRENCH  suggested that procedurally the  committee should                                                               
divide the  proposed amendment.  He made a  motion to  divide the                                                               
amendment.  Hearing no  objection, the  motion carried.  He moved                                                               
Amendment 10A.                                                                                                                  
                                                    24-LS1083\XA.21                                                             
                                                           Bullock                                                              
                                                                                                                                
                     A M E N D M E N T 10A                                                                                  
                                                                                                                                
                                                                                                                                
OFFERED IN THE SENATE                                                                                                           
     TO:  CSHB 318(FIN) am                                                                                                      
                                                                                                                                
Page 4, line 8:                                                                                                                 
     Delete ";"                                                                                                                 
     Insert "."                                                                                                                 
                                                                                                                                
Page 4, line 9:                                                                                                                 
     Delete all material.                                                                                                       
                                                                                                                                
Page 4, following line 15:                                                                                                      
     Insert new subsections to read:                                                                                            
          "(f)  Notwithstanding the limitations on the power of                                                                 
     eminent domain in (d) and (e) of this section, the                                                                         
     legislature may approve the exercise of eminent domain by                                                                  
     law.                                                                                                                       
          (g)  The power of eminent domain may only be delegated                                                                
     by statute."                                                                                                               
                                                                                                                                
                                                                                                                                
SENATOR GUESS noted that the committee previously deleted the                                                                   
Legislative approval of transfer.                                                                                               
                                                                                                                                
MR. PUTZIER said:                                                                                                               
     As it was  put in the original  draft, the "legislative                                                                    
     out" applied to  private-to-private transfers but would                                                                    
     not apply to recreational  transfers in subsection (e).                                                                    
     The new  subsection (f) would allow  the Legislature on                                                                    
     a  case-by-case basis  allow  the  exercise of  eminent                                                                    
     domain for  private-to-private or for  recreational. As                                                                    
     it was originally drafted and  left in (d)(7), it would                                                                    
     only apply to  private-to-private and would essentially                                                                    
     be an outright bar  under any circumstances for eminent                                                                    
     domain used in the context of a recreational take.                                                                         
                                                                                                                                
9:07:21 AM                                                                                                                    
SENATOR GUESS said as she looks back on the past amendments, the                                                                
committee has now deleted page 4, line 9 twice.                                                                                 
                                                                                                                                
SENATOR FRENCH said to clarify, he meant for Amendment 10A to                                                                   
supersede Amendment 6.                                                                                                          
                                                                                                                                
CHAIR SEEKINS reiterated that the local control amendment would                                                                 
                    th                                                                                                          
apply only to the 24 Legislature.                                                                                               
                                                                                                                                
MR. PUTZIER agreed. He said the DOL feels more comfortable using                                                                
the original language in the bill but said that Amendment 6                                                                     
would only bind the current Legislature.                                                                                        
                                                                                                                                
CHAIR  SEEKINS said  the  most  binding effect  would  be in  the                                                               
Uniform Rules  and they are  subject to  change by the  body. The                                                               
problem is that the Uniform Rules trump the statute.                                                                            
                                                                                                                                
9:12:42 AM                                                                                                                    
SENATOR FRENCH said,  as the Senator who moved  Amendment 10A, he                                                               
is more comfortable  with Amendment 6, as it is  more potent from                                                               
a citizen's perspective.                                                                                                        
                                                                                                                                
CHAIR SEEKINS said he agreed with  the concept but the problem is                                                               
that the next committee would probably extract it.                                                                              
                                                                                                                                
SENATOR FRENCH objected to Amendment 10A.                                                                                       
                                                                                                                                
Roll call  proved Amendment 10A  failed with all  Senators voting                                                               
no.                                                                                                                             
                                                                                                                                
CHAIR SEEKINS called a brief at ease at 9:15:16 AM.                                                                           
                                                                                                                                
9:17:44 AM                                                                                                                    
CHAIR  SEEKINS   moved  to  rescind   Amendment  5.   Hearing  no                                                               
objections,  the motion  carried. Chair  Seekins moved  Amendment                                                               
10B. Insert  a new subsection (f)  to say, "The power  of eminent                                                               
domain may only be delegated  by statute." Hearing no objections,                                                               
Amendment 10B was adopted.                                                                                                      
                                                                                                                                
CHAIR SEEKINS moved to rescind Amendment 4.                                                                                     
                                                                                                                                
SENATOR FRENCH objected.                                                                                                        
                                                                                                                                
SENATOR THERRIAULT asked the reason for rescinding Amendment 4.                                                                 
                                                                                                                                
CHAIR SEEKINS said:                                                                                                             
     This allows  a municipality  to have override  power on                                                                    
     private-to-private  for economic  reasons but  does not                                                                    
     allow  municipal override  on the  250-foot rule,  as I                                                                    
     understand it.                                                                                                             
                                                                                                                                
                                                                                                                                
SENATOR GUESS said, "On anything recreational."                                                                                 
                                                                                                                                
SENATOR FRENCH  said, "Point  of order, it  doesn't have  to take                                                               
the home,  it just has to  take it within the  buffer area within                                                               
the 250 feet from the home."                                                                                                    
                                                                                                                                
Roll call  proved Amendment 4  was rescinded  on a 3-2  vote with                                                               
Senators  Guess  and French  voting  no  and Senator  Therriault,                                                               
Huggins, and Chair Seekins voting yes.                                                                                          
                                                                                                                                
9:21:47 AM                                                                                                                    
SENATOR THERRIAULT moved Amendment 10C.                                                                                         
                                                                                                                                
Page 6, line 19, following "AS 09.55.240(e).":                                                                                  
     Insert "However,  a municipality  may exercise the  power of                                                               
eminent domain to acquire private  property from a private person                                                               
for the purpose of transferring  title to the property to another                                                               
private person for economic development if                                                                                      
               (1)  the municipality does not delegate the power                                                                
     of eminent domain to another person;                                                                                       
               (2)  before issuing the notice in (3) of this                                                                    
     subsection, the  municipality makes  a good faith  effort to                                                               
     negotiate the purchase of the property;                                                                                    
               (3)  written notice is provided at least 90 days                                                                 
     before the public hearing to each  owner of land that may be                                                               
     affected by the exercise of eminent domain;                                                                                
               (4)  the municipality holds a public hearing on                                                                  
     the  exercise  of  eminent   domain  after  adequate  public                                                               
     notice;                                                                                                                    
               (5)  the governing body of the municipality                                                                      
     approves  the exercise  of eminent  domain  by a  two-thirds                                                               
     majority vote; and                                                                                                         
               (6)  in the case of a second class city, the                                                                     
     governing body  of the  city adopts an  ordinance by  a two-                                                               
     thirds  majority vote,  the ordinance  is  submitted to  the                                                               
     voters for  approval at  the next general  election or  at a                                                               
     special election  called for that purpose,  and the exercise                                                               
     of eminent domain is approved by  a majority of the votes on                                                               
     the question."                                                                                                             
                                                                                                                                
Amendment 10C was adopted unanimously.                                                                                          
                                                                                                                                
9:23:47 AM                                                                                                                    
CHAIR  SEEKINS  returned to  24-LS1083\XA.16  and  said it  would                                                               
allow for a  personal residence to be owned by  a subchapter S or                                                               
an LLC or  a partnership. It would give  a broader interpretation                                                               
to the ownership.                                                                                                               
                                                                                                                                
9:26:23 AM                                                                                                                    
SENATOR GUESS asked the purpose of the amendment.                                                                               
                                                                                                                                
SENATOR  FRENCH  commented  that  there was  no  reason  for  the                                                               
amendment.                                                                                                                      
                                                                                                                                
CHAIR SEEKINS  agreed and closed  public testimony. He  asked for                                                               
the will of the committee.                                                                                                      
                                                                                                                                
SENATOR FRENCH asked for a clean CS before moving the bill out.                                                                 
                                                                                                                                
CHAIR SEEKINS agreed and held the bill in committee.                                                                            

Document Name Date/Time Subjects