Legislature(2013 - 2014)BUTROVICH 205
04/09/2013 09:00 AM Senate STATE AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| HB130 | |
| SB73 | |
| SB64 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 64 | TELECONFERENCED | |
| + | HB 130 | TELECONFERENCED | |
| += | SB 73 | TELECONFERENCED | |
| + | TELECONFERENCED |
SB 73-PROPERTY TAX EXEMPTION/MILITARY WIDOW(ER)
9:10:00 AM
CHAIR DYSON announced the consideration of SB 73.
EDRA MORLEDGE, Staff, Senator Kevin Meyer, noted that there was
a proposed committee substitute (CS) for SB 73. It allows a
municipal property tax exemption for widows and widowers of
military service members. She explained that version C is a
result of concerns raised at the last hearing.
SENATOR GIESSEL moved to adopt work draft CS for SB 73, labeled
28-LS0631\C, as the working document.
MS. MORLEDGE referred to a memo from the Department of Law that
answers all of the questions that were raised on April 1.
She detailed the two significant changes in the CS. On page 1,
line 13 through page 2, line 2, the following language was
inserted: "or to a resident who is the widow or widower of a
person who dies from a service connected cause sustained while
serving as a member of the United States Armed Forces or as a
member of the National Guard." This change addresses two major
concerns. One concern was that there is no definition in Alaska
statutes for the term "active duty" and the federal definition
specifically excludes National Guard members. The term was
deleted and National Guard members were specifically included.
She explained that the change clarifies that the death must be
service related, not a suicide, and not incurred off duty, such
as from a car accident.
The second change adds language on page 2, lines 12-13, to
clarify that municipalities shall determine eligibility
requirements and application procedures for this optional
exemption. This language was inserted at the suggestion of
Senator Coghill. The Fairbanks Northstar Borough voiced approval
of the change, she said.
MS. MORLEDGE said the sponsor anticipates a new zero fiscal
note.
9:13:44 AM
CHAIR DYSON related that the Municipality of Anchorage has
commented that property tax exemptions can cause budget
concerns.
MARTY MCGEE, Assessor, Municipality of Anchorage, stated that
Anchorage has no objection to the bill as currently written. He
could not estimate the number of people that might qualify for
the exemption under SB 73.
CHAIR DYSON suggested that Mr. McGee provide a report after the
fact.
9:15:14 AM
JEFF MITTMAN, Executive Director, American Civil Liberties Union
(ACLU) of Alaska, suggested a change to SB 73. He noted that the
ACLU has provided written testimony. He referred to a court case
where the Alaska Supreme Court decided that same sex couples
should not be denied benefits provided by the state to married
opposite sex couples. He also related that due to changes in
military policies, families in same sex relationships should be
treated the same as traditional families. He requested that the
committee make a change to the bill to reflect those findings.
9:17:08 AM
CHAIR DYSON requested clarification. He asked if the court rules
in favor of the issue Mr. Mittman raised, whether it would cover
all laws regarding married survivor benefits.
MR. MITTMAN opined that legally that would be true, but
practically it would be difficult, because often there is a
lengthy litigation process to challenge the agency to follow the
law. He stressed that an amendment would be required to prevent
litigation.
CHAIR DYSON commented that if the court rules in favor of the
ACLU, it should notify the Office of the Attorney General, the
Department of Law, and the Judiciary Committees for the purpose
of writing a "clean up bill."
CHAIR DYSON said he would request an opinion from the Department
of Law.
9:20:52 AM
SCOTT RUBY, Director, Division of Community and Regional
Affairs, Department of Commerce, Community and Economic
Development, answered questions related to SB 73. He addressed
the issue whether municipalities had the ability to make
policies and procedures about how to enact this legislation. He
explained that subsection (e) contains mandatory exemptions, but
the way the bill is written, there is a subsection that contains
an optional exemption. Subsection (f) gives municipalities some
leeway on adopting policies and procedures. Subsection (g) to
subsection (f) states that any exemption placed in (e) would be
reimbursable by the state to municipalities, although it is
subject to an appropriation by the legislature. In the recent
past, the legislature has chosen not to fund those exemptions.
SENATOR COGHILL spoke of the confusion between "030" and "050."
He thought they were compatible.
MR. RUBY explained that they are different variations of an
exemption and have different parameters so the municipalities
can choose which of those it prefers.
SENATOR COGHILL predicted there would be a debate on each one of
the areas. He concluded that 030 was broader than 050.
9:24:31 AM
SENATOR DYSON voiced appreciation that the exemption is
permissive.
SENATOR GIESSEL moved to report SB 73, version 28-LS0631\C, from
committee with individual recommendations and attached zero
fiscal note There being no objection, CSSB 73(STA) moved from
the Senate State Affairs Standing Committee .