Legislature(2017 - 2018)BELTZ 105 (TSBldg)

03/14/2018 01:30 PM JUDICIARY

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Moved SB 124 Out of Committee
+ Bills Previously Heard/Scheduled: TELECONFERENCED
Heard & Held
        HB 208-TRUSTS; COMM PROP TRUSTS; POWERS OF APPT                                                                     
1:33:48 PM                                                                                                                    
CHAIR COGHILL announced  the consideration of HB  208. He advised                                                               
that several new  amendments came to the  committee very recently                                                               
and he  hadn't been  able to  review them.  He would  take public                                                               
testimony but would hold the bill.                                                                                              
1:35:48 PM                                                                                                                    
RICHARD HOMPESCH,  representing self,  Hompesch Evans  & Averett,                                                               
Fairbanks, Alaska,  said he was  prepared to testify  against the                                                               
five  proposed  amendments.  He'd   hold  his  comments  if  more                                                               
amendments are forthcoming.                                                                                                     
CHAIR COGHILL said his intention  is to share the amendments with                                                               
interested parties and act on the bill during the next meeting.                                                                 
1:36:37 PM                                                                                                                    
MATTHEW BLATTMACHR, Vice President  and Trust Officer, Peak Trust                                                               
Company, Anchorage, Alaska,  said he was prepared  to discuss the                                                               
proposed amendments, but  would hold his comments  until the next                                                               
CHAIR COGHILL asked Senator Wielechowski  if he was contemplating                                                               
more than two amendments.                                                                                                       
1:37:11 PM                                                                                                                    
SENATOR WIELECHOWSKI  said his office  has been working  with Mr.                                                               
Shaftel to address the concerns  he articulated [on February 21].                                                               
His advised  that he had five  amendments drafted and he  met via                                                               
teleconference with  other trust  lawyers and  came away  with an                                                               
agreement on  two of  the amendments.  However, about  40 minutes                                                               
ago he received  an email from those trust  attorneys saying they                                                               
did not  support any of  the amendments.  He said it's  a complex                                                               
area of law and  he relies on the experts in  the field to ensure                                                               
that  any proposed  legislation protects  Alaskans and  those who                                                               
are beneficiaries. He  said he would continue  the discussions to                                                               
see if consensus is possible on any of the issues.                                                                              
SENATOR WIELECHOWSKI summarized the proposed amendments.                                                                        
Amendment 3 amends bill Section  14 using language of the Uniform                                                               
Trust Decanting Act  and requiring a trustee  have full fiduciary                                                               
obligations to all beneficiaries instead of just one.                                                                           
Proposed  Amendment 4  amends bill  Section 20  and requires  the                                                               
fiduciary to give notice to each beneficiary.                                                                                   
Proposed Amendment 5  amends the new language in  bill Section 21                                                               
and clarifies that only the  settlor may authorize the trustee to                                                               
exercise   the   power   to  decant   without   notice   to   any                                                               
SENATOR WIELECHOWSKI  said the theme behind  all three amendments                                                               
is to protect  the beneficiaries by making sure  they have notice                                                               
and that the trustee is acting in a fiduciary capacity.                                                                         
CHAIR  COGHILL  said the  amendments  would  be considered  in  a                                                               
future meeting.  He commented that the  decanting provision seems                                                               
to be the most contentious issue.                                                                                               
1:41:33 PM                                                                                                                    
CHAIR COGHILL held HB 208 in committee for future consideration.                                                                

Document Name Date/Time Subjects
HB 208 - Amendments A.1 & A.2.pdf SJUD 3/14/2018 1:30:00 PM
HB 208