Legislature(2005 - 2006)BUTROVICH 205

05/02/2006 03:30 PM Senate STATE AFFAIRS


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Audio Topic
03:36:12 PM Start
03:37:31 PM Confirmation Hearing - Claire Hall, Commissioner - Apoc
03:39:34 PM HB300
03:45:46 PM HB133
04:22:31 PM HB399
04:38:05 PM Confirmation – Scott Nordstrand, Commissioner, Department of Administration
04:38:41 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 288 SEPTEMBER AS EDUCATION SAVINGS MONTH TELECONFERENCED
Scheduled But Not Heard
+= HB 347 MOTOR VEHICLE INSURANCE/LICENSE/ NOTICES TELECONFERENCED
Scheduled But Not Heard
+= HB 399 ELDER FRAUD AND ASSISTANCE/OPA TELECONFERENCED
Moved SCS CSHB 399(STA) Out of Committee
+= HJR 25 SUPPORTING VETERANS HOME OWNERSHIP ACT TELECONFERENCED
Scheduled But Not Heard
+ HB 133 MUNICIPAL BOUNDARY CHANGES/ COMMISSION TELECONFERENCED
Moved SCS CSSSHB 133(STA) Out Committee
+ Confirmation Hearing: TELECONFERENCED
Claire Hall, Commissioner -- APOC
+ Bills Previously Heard/Scheduled TELECONFERENCED
= HB 300 OIL & GAS CONSERVATION COMMISSION MEMBER
Moved CSHB 300(O&G) Out of Committee
          CSHB 399(FIN)-ELDER FRAUD AND ASSISTANCE/OPA                                                                      
                                                                                                                              
4:22:31 PM                                                                                                                    
CHAIR THERRIAULT announced HB 399 to be up for consideration.                                                                   
                                                                                                                                
SUE WRIGHT, Staff to  Representative Mike Chenault, characterized                                                               
HB 399 as  an event driven piece of  legislation that establishes                                                               
a pilot program to address the issue of elder abuse in Alaska.                                                                  
                                                                                                                                
4:24:16 PM                                                                                                                    
CHAIR THERRIAULT  noted that the  bill establishes a  new section                                                               
and  asked if  the legislation  is  separate from  the office  of                                                               
elder abuse.                                                                                                                    
                                                                                                                                
MS.  WRIGHT replied  when the  catalyst case  came to  light, the                                                               
Alaska Office of  Public Advocacy (OPA) stepped  forward to help.                                                               
Because of its  standards, background and legal  experience it is                                                               
best  qualified to  handle elder  abuse cases.  She related  that                                                               
Josh Fink, OPA Director, has  done a remarkable job of increasing                                                               
efficiency so that the office is able  to take on such cases at a                                                               
very small cost.                                                                                                                
                                                                                                                                
SENATOR KIM ELTON  asked if the definition of  fraud would extend                                                               
to Internet scams.                                                                                                              
                                                                                                                                
MS. WRIGHT replied  fraud takes many forms but  she believes that                                                               
the federal  government could handle  Internet fraud  better than                                                               
other entities.                                                                                                                 
                                                                                                                                
PAT  LUBY,  Advocacy  Director for  AARP  in  Alaska,  encouraged                                                               
support for  HB 399 saying  that elderly people are  difficult to                                                               
educate  about fraud  and they  are particularly  vulnerable. The                                                               
more that can be done to shine  a light on elder fraud and punish                                                               
the perpetrators the  more helpful it will be to  Alaskans of all                                                               
ages.                                                                                                                           
                                                                                                                                
4:29:00 PM                                                                                                                    
ED SNIFFEN, Assistant Attorney General,  Department of Law (DOL),                                                               
stated  support for  HB  399.  The one  concern  is that  without                                                               
clarifying  language  the bill  could  preempt  and prohibit  the                                                               
attorney  general  from  enforcing Alaska's  Consumer  Protection                                                               
Act.  Although  the  DOL routinely  investigates  and  prosecutes                                                               
crimes  involving elder  fraud,  there is  a statutory  exemption                                                               
that would  prohibit it from  doing that if another  state agency                                                               
is  already  doing  the  same thing.  He  asked  that  clarifying                                                               
language be  inserted and  advised that the  DOL is  excited that                                                               
there will  be an additional  resource to utilize to  help combat                                                               
fraud targeting the elderly.                                                                                                    
                                                                                                                                
CHAIR   THERRIAULT  asked   Ms.   Wright  if   the  sponsor   had                                                               
contemplated that issue.                                                                                                        
                                                                                                                                
MS. WRIGHT  responded when the  case came to light  she contacted                                                               
the attorney  general's office and  was told to contact  the U.S.                                                               
Attorney  and the  FBI. In  doing research  she found  that elder                                                               
abuse complaints  had been filed in  the state but none  had been                                                               
prosecuted.                                                                                                                     
                                                                                                                                
CHAIR  THERRIAULT asked  Mr.  Sniffen to  review  the section  of                                                               
existing statute that he referenced.                                                                                            
                                                                                                                                
MR. SNIFFEN  replied the exemption  is found in AS  45.50.481 and                                                               
reiterated his previous explanation.                                                                                            
                                                                                                                                
CHAIR  THERRIAULT  remarked  it  seems  to  be  an  unanticipated                                                               
consequence that the drafter could deal with it rather easily.                                                                  
                                                                                                                                
MR. SNIFFEN suggested adding subsection  (g) on page 4 after line                                                               
15.  It would  read as  follows: "Nothing  in this  section shall                                                               
prohibit the  attorney general from investigating  or prosecuting                                                               
unfair or deceptive acts or practices under AS 45.50.471."                                                                      
                                                                                                                                
CHAIR THERRIAULT questioned whether OPA is able to prosecute.                                                                   
                                                                                                                                
MR. SNIFFEN  replied the way he  reads the bill they  do have the                                                               
ability to bring civil cases against perpetrators.                                                                              
                                                                                                                                
CHAIR THERRIAULT asked Ms. Wright if  she wanted to work with the                                                               
drafter before the bill moved from committee.                                                                                   
                                                                                                                                
MS.  WRIGHT said  her preference  is to  move the  bill with  the                                                               
understanding  that  it  will  be   clarified  that  it  wouldn't                                                               
interfere  with the  DOL investigating  and prosecuting  fraud or                                                               
crimes against Alaska residents. She  added that she believes the                                                               
last section allows  that to happen, but she  isn't certain. This                                                               
is the first time I've heard  this complaint and I'm surprised to                                                               
hear it at this point, she said.                                                                                                
                                                                                                                                
SENATOR  ELTON  moved  conceptual  Amendment  1  to  include  the                                                               
language as proposed by Mr. Sniffen.                                                                                            
                                                                                                                                
CHAIR THERRIAULT  announced that  without objection,  Amendment 1                                                               
passed. He noted the new fiscal  note dated April 20, 2006, which                                                               
brings the cost down to $189,000.                                                                                               
                                                                                                                                
SENATOR  WAGONER  motioned  to   report  SCS  CSHB  399(STA)  and                                                               
attached   fiscal   note(s)   from  committee   with   individual                                                               
recommendations. There being no objection, it was so ordered.                                                                   

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