03/24/1993 09:00 AM Senate STA

  SENATOR LEMAN announced SB 158 REDUCING EXEMPTION AMOUNTS                    
  to be up for consideration.                                                  
                                                                               
  STEVE PHILLIPS, owner  of three credit bureaus  in Southeast                 
  Alaska,  said  most  of  their  debtors  are  debtor  proof.                 
  Essentially, you have to make at least $16 per hour to  have                 
  wages garnished, he  said.   They want to  bring the  credit                 
  lines closer  to what it is in the rest  of the country.  He                 
  said they have buried court with judgements, but  nothing is                 
  happening with them.                                                         
                                                                               
  Number 120                                                                   
                                                                               
  SENATOR  MILLER  said  he  had  a  problem  with  the $2,100                 
  exemption  for  personal  items.   He  didn't  think  it was                 
  enough, but he had no problem with the wages.                                
                                                                               
  Number 188                                                                   
                                                                               
  MR. PHILLIPS explained they have been  pursuing a lady for a                 
  couple of years who wears minks down the  street.  She works                 
  for  the  state.   They  tried to  attach  her wages  so she                 
  changed her retirement  program and got below  the exemption                 
  again.     He explained  that  the exemption  is  not for  a                 
  composite, but for individual items.                                         
                                                                               
  SENATOR MILLER thought  the Judiciary Committee could  check                 
  into that issue.                                                             
                                                                               
  SENATOR TAYLOR  asked if  the wage  was net  or gross.   MR.                 
  PHILLIPS said it's the net take-home after child support and                 
  everything.                                                                  
                                                                               
  MR. PHILLIPS pointed out  that it is bad for  the economy if                 
  people don't pay their debts.                                                
                                                                               
  Number 232                                                                   
                                                                               
  SENATOR  TAYLOR moved  to pass  SB 158  from committee  with                 
  individual recommendations.  There were no objections and it                 
  was so ordered.