Legislature(2021 - 2022)BUTROVICH 205

03/17/2022 03:30 PM Senate STATE AFFAIRS

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 187 STATE AGENCY PUBLICATIONS TELECONFERENCED
Heard & Held
-- Public & Invited Testimony --
*+ SB 207 ACCESS TO MARIJUANA CONVICTION RECORDS TELECONFERENCED
Heard & Held
-- Public & Invited Testimony --
*+ SB 214 LIABILITY: SOCIAL MEDIA CENSORSHIP TELECONFERENCED
Heard & Held
-- Public & Invited Testimony --
+= HB 123 STATE RECOGNITION OF TRIBES TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled: TELECONFERENCED
+ SB 129 ELECTION PAMPHLET INFORMATION RE: JUDGES TELECONFERENCED
Heard & Held
**Streamed live on AKL.tv**
              SB 214-LIABILITY: SOCIAL MEDIA CENSORSHIP                                                                     
                                                                                                                                
4:22:01 PM                                                                                                                    
CHAIR  SHOWER  announced  the  consideration  of  SENATE  BILL NO.  214                                                         
"An  Act relating  to  civil  liability  for censorship   of speech  by                                                         
a social media platform."                                                                                                       
                                                                                                                                
4:22:22 PM                                                                                                                    
SENATOR   REINBOLD,   speaking   as  sponsor,   stated   that  SB   214                                                         
addresses  social  media  censorship,   which  is a  new area  of  law.                                                         
She  offered her  perspective  that  many social  media  platforms  are                                                         
extraordinarily   political   yet they   are not  regulated   as  such.                                                         
Furthermore,    some  politicians    have  been   targeted   on   these                                                         
platforms   for   their  views   on  such   things   as  the  COVID-19                                                          
vaccine.  She  continued  the  introduction  speaking  to  the sponsor                                                          
statement that read as follow:                                                                                                  
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     SB  214  may  also   be known   as  the  Stop  Social  Media                                                               
     Censorship   Act. This  bill ensures  that  the  legislature                                                               
     is   opposed  to  censorship   of  online   content,  has  a                                                               
     compelling   interest   in  holding  certain   social  media                                                               
     platforms   to higher  standards  for having  established  a                                                               
     digital  public  square,  and  has  an interest  in  helping                                                               
     its   residents   regardless   of  religious   or  political                                                               
     affiliations   enjoy  their   free  exercise  of  rights  in                                                               
     certain   semipublic  forum  commonly   used  for  religious                                                               
     or  political  speech,  and  has  an  interest,  and  has an                                                               
     interest   in  preventing   social   media  platforms   that                                                               
     have   substantially   created   a  digital  public   square                                                               
     from malicious interference in state elections.                                                                            
                                                                                                                                
     Social   media   platforms   may  not   intentionally   fact                                                               
     check,  delete,  or  use an algorithm   to disfavor,  shadow                                                               
     ban   or  otherwise  censor   the  religious   or  political                                                               
     speech   of  a  platform   user.   SB  214  includes   civil                                                               
     liability   for  censorship  of  speech  by a  social  media                                                               
     platform.                                                                                                                  
                                                                                                                                
4:25:08 PM                                                                                                                    
SENATOR REINBOLD summarized the February 17, 2022 legal                                                                         
memorandum she received from Legal Services regarding work order                                                                
32-LS1577\A. It read as follows:                                                                                                
                                                                                                                                
     The   bill  draft   you   requested   is  attached.   Please                                                               
     consider the following.                                                                                                    
                                                                                                                                
        1.    First Amendment issues. Please be aware that the                                                                
     draft  bill  raises  significant   issues  under  the  United                                                              
     States  Constitution's   First  Amendment  and  art. I,  sec.                                                              
     5,  of  the   Alaska  Constitution.   Because  social   media                                                              
     websites    are  private    entities   and   not  government                                                               
     actors,    they   are   entitled   to   freedom   of   speech                                                              
     protections.   Government   regulation   of  a  social  media                                                              
     website's  speech  is  therefore  held to  the same  standard                                                              
     as   government   regulation   of  a  private   individual's                                                               
     speech.                                                                                                                    
     The   draft  bill  seeks  to   compel  speech  and   suppress                                                              
     fact-checking.   The  U.S.  Supreme  Court  has  stated  that                                                              
     "[t]here  is  certainly  some difference   between  compelled                                                              
     speech   and  compelled  silence,   but  in  the  context  of                                                              
     protected     speech,     the    difference     is    without                                                              
     constitutional    significance,   for  the  First   Amendment                                                              
     guarantees    'freedom  of   speech,'   a  term  necessarily                                                               
     comprising   the  decision  of  both  what  to say  and  what                                                              
     not  to say.  "l The  interplay  of free  speech protections                                                               
     and  internet  forums  such as  social media  is an  evolving                                                              
     area  of  law.  Because  the draft  bill  requires  a  social                                                              
     media   website   to  disseminate   content  with   which  it                                                              
     disagrees,    and   prohibits   a   website   from   speaking                                                              
     through   fact checking,   a court  may,  however,  find  the                                                              
     provisions in the bill unconstitutional.                                                                                   
                                                                                                                                
        2.    Damages. Your request provided an injured party                                                                 
     with  a  minimum  of $75,000  in  statutory  damages,  actual                                                              
     damages,  punitive  damages,  and  other  forms of  equitable                                                              
     relief.   The   draft  bill   uses  the   $75,000   statutory                                                              
     damages   but   does   not  include   punitive   damages   to                                                              
     conform  to  the structure   of AS  09.68.  Please advise  if                                                              
     this is not what you intended.                                                                                             
SENATOR REINBOLD highlighted that she wanted the foregoing                                                                      
addressed under AS 45.45 relating to trade practices, not AS                                                                    
09.68                                                                                                                           
                                                                                                                                
       3.    Jurisdiction. Although the draft bill provides an                                                                
     individual   with   a  cause  of  action  against   a  social                                                              
     media   website,  it  is  not  clear  that  an  Alaska  court                                                              
     would  have  personal  jurisdiction   over the  social  media                                                              
     website.  As  a result,  an Alaska  court may  dismiss a case                                                              
     brought    under   this  statute   for   lack   of   personal                                                              
     jurisdiction.                                                                                                              
                                                                                                                                
      4.   Deceptive  trade  practice.  Your  request  placed the                                                             
      prohibitions  in  AS  45.45,  a chapter   addressing  trade                                                               
      practices.   Because   the  draft   regulates   conduct  of                                                               
      platforms  and  generally  prohibits  harassing   behavior,                                                               
      and  because   the   draft   is  imposing   liability   for                                                               
      conduct, I placed your request in AS 09.                                                                                  
                                                                                                                                
      5.   Personal   bill  deadline.   In  order  to  deliver   a                                                            
      draft  before   the  personal   bill   deadline,   we  have                                                               
      expedited  preparation   of  this  bill  draft.  Please  be                                                               
      aware that  there  may be additional   legal issues  raised                                                               
      by this draft that are not discussed in this memo.                                                                        
                                                                                                                                
4:27:18 PM                                                                                                                    
SENATOR KAWASAKI requested a copy of the memo.                                                                                  
                                                                                                                                
CHAIR SHOWER replied it would be added to the record.                                                                           
                                                                                                                                
4:27:28 PM                                                                                                                    
SENATOR REINBOLD presented the sectional analysis for SB 214.                                                                   
                                                                                                                                
Section  1  adds  the  short  title,   Stop  Social  Media  Censorship                                                          
Act, to the uncodified law of the State of Alaska                                                                               
                                                                                                                                
Section  2  amends  the  uncodified  law  of the  State  of  Alaska  by                                                         
adding legislative findings.                                                                                                    
                                                                                                                                
     The legislature finds that the state                                                                                       
           (1) is opposed to censorship of online content,                                                                      
     unless   the  content  is  harmful  to  minors  or  promotes                                                               
     human trafficking;                                                                                                         
           (2) has a compelling interest in holding certain                                                                     
     social  media  platforms   to higher  standards  for  having                                                               
     substantially created a digital public square;                                                                             
           (3) has an interest in helping its residents,                                                                        
     regardless    of  religious    or  political   affiliation,                                                                
     enjoy   their   free   exercise   of   rights   in   certain                                                               
     semipublic    forums  commonly   used   for  religious   and                                                               
     political speech; and                                                                                                      
           (4) has an interest in preventing social media                                                                       
     platforms   that  have  substantially    created  a  digital                                                               
     public   square   from  malicious   interference   in  state                                                               
     elections.                                                                                                                 
                                                                                                                                
Section  3  amends   AS 09.68   by  adding  a  new  section  regarding                                                          
civil  liability   for  censorship   of  speech   by  a  social   media                                                         
platform.                                                                                                                       
                                                                                                                                
(a) prohibits censoring political speech of a platform user                                                                     
(b) authorizes civil action for violations                                                                                      
(c)  allows  the  platform   to  mitigate  damages  by  restoring   the                                                         
platform user's speech                                                                                                          
(d)  prohibits   a court   from  using  the  alleged  hate   speech  as                                                         
justification   for  a  platform   to  delete  or  censor  the  user's                                                          
religious or political speech                                                                                                   
(e)  allows the  attorney  general  to  bring civil  action  against  a                                                         
social media platform on behalf of the user                                                                                     
(f) outlines  that  deletion  or censorship  of  a user's  speech  does                                                         
not apply when the speech                                                                                                       
     (1) calls for acts of violence.                                                                                            
     (2) calls for self-harm                                                                                                    
      (3) is pornographic                                                                                                       
      (4) results from operational error                                                                                        
      (5) results from a court order                                                                                            
      (6) is inauthentic or involves impersonation                                                                              
      (7) entices criminal conduct                                                                                              
      (8) harms minors                                                                                                          
      (9) bullies minors                                                                                                        
(g)  prohibits  bullying  or  harassing  behavior  on  a  social  media                                                         
platform                                                                                                                        
(h) provides definitions for                                                                                                    
      (1) algorithm                                                                                                             
      (2) hate speech                                                                                                           
      (3) platform user                                                                                                         
      (4) political speech                                                                                                      
      (5) pornographic                                                                                                          
      (6) religious                                                                                                             
      (7) shadow ban and                                                                                                        
      (8) social media platform                                                                                                 
                                                                                                                                
4:31:36 PM                                                                                                                    
CHAIR SHOWER noted that the fiscal note for SB 214 is zero.                                                                     
                                                                                                                                
4:32:00 PM                                                                                                                    
SENATOR  HOLLAND  asked  where  the  definition  of  "religious"   came                                                         
from and whether the protections are limited to                                                                                 
                                                                                                                                
      a   set   of   unproven    faith-based    assumptions    or                                                               
      assertions  that  attempt  to  answer  questions   relating                                                               
      to how  the  world  was  created,  what  constitutes  right                                                               
      and  wrong  human  action,  and   what  happens  to  humans                                                               
      after death                                                                                                               
                                                                                                                                
He  observed   that   if  he   were  to   post  about   his  religious                                                          
exemption,  he  didn't believe  it  would fall  under  that definition                                                          
and  his speech  could be  censored.  He suggested  that  "relating  to                                                         
or  manifesting   faithful   devotion  to  an  acknowledged   ultimate                                                          
reality   or   deity"   would   be  a   more   appropriate   and   all-                                                         
encompassing definition of religious.                                                                                           
                                                                                                                                
SENATOR  REINBOLD  agreed  and  said she  would  support  amending  the                                                         
definition.  She  suggested  that Noah  Klein,  who drafted  the  bill,                                                         
tell the committee where the definition in the bill came from.                                                                  
                                                                                                                                
4:33:36 PM                                                                                                                    
NOAH  KLEIN,   Legislative   Counsel,  Legal   Services,  Division   of                                                         
Legal  and  Research  Services,  Legislative  Affairs  Agency,   Alaska                                                         
State  Legislature,   Juneau,  Alaska,   stated  that  Legal  Services                                                          
drafts  bills  according  to intent  and  the direction   they receive                                                          
from  the bill  sponsor.  As such,  he  could  answer questions   about                                                         
what  the  definition  means  or  how it  would  be  applied,  but  the                                                         
bill was drafted according to the direction given.                                                                              
                                                                                                                                
SENATOR HOLLAND stated that he might offer an amendment.                                                                        
                                                                                                                                
SENATOR  COSTELLO  referenced   Section  3  and wondered   whether  all                                                         
speech   could  be  protected,   not   just  religious   or  political                                                          
speech.  She  suggested  amending  the language  on  page 2  line 7  to                                                         
read,  "...or otherwise  censor  speech  of a  platform  user based  on                                                         
religious   or  political   speech,   race,  sex,   age,  or  identity                                                          
choice."                                                                                                                        
                                                                                                                                
She said  she  appreciates  the bill  because  she believes  that  free                                                         
speech  should  be protected  and that  people  should not  be treated                                                          
improperly because of their views.                                                                                              
                                                                                                                                
4:35:39 PM                                                                                                                    
SENATOR  REINBOLD  maintained  that  she did  not give  Legal Services                                                          
a specific  definition  for  religious  and she  much prefers  the  one                                                         
Senator   Holland    suggested.   She   also   agreed   with   Senator                                                          
Costello's    point,   further    maintaining   that    she   did   put                                                         
parameters in to target religion and politics.                                                                                  
                                                                                                                                
4:37:19 PM                                                                                                                    
CHAIR SHOWER turned to invited testimony on SB 214.                                                                             
                                                                                                                                
4:37:25 PM                                                                                                                    
CAMERON   SHOLTY,   Director   of  Government   Relations,   Heartland                                                          
Institute,   Illinois,  testified   by invitation   in  support  of  SB
214.  He thanked  the  committee  for  hearing  the  bill  and Senator                                                          
Reinbold  for  introducing  it.  He stated  that  Heartland  Institute                                                          
is  a  38-year-old  independent,   national,  nonprofit   organization                                                          
whose  mission  is  to discover,   develop,  and  promote  free-market                                                          
solutions  to  social  and economic  problems.   Heartland  focuses  on                                                         
providing   national,   state,  and   local  elected   officials   with                                                         
reliable  and  timely  research   and  analysis  on  important  policy                                                          
issues.                                                                                                                         
                                                                                                                                
MR.  SHOLTY stated  that  97 percent  of  social  media  traffic  flows                                                         
through   just  three  firms,   thereby  making   this  the  de   facto                                                         
public  square  where  political   and  religious  issues   are shared                                                          
and  debated.  He  acknowledged   that  some  of  the  debate  becomes                                                          
ugly  but  pointed   out  that  it  is  still  lawful  and  should   be                                                         
protected.   He  said   free   speech  rights   are   not  subject   to                                                         
corporate   capture,  although  there   are  numerous  examples   where                                                         
conservative   speech in  particular  has  been subject  to  the  whims                                                         
of big  tech.  He cited  the example  of Facebook  stating  that  a New                                                         
York  Times  article  about   an ongoing   investigation   into  Hunter                                                         
Biden  was  eligible  to  be  fact-checked   by  third-party  partners                                                          
and  that  in the  meantime  distribution   on the  platform  would  be                                                         
reduced.   He  maintained   that   the   sole  issue   there  is   that                                                         
government  and  big tech  collude  to  limit speech  in  the de  facto                                                         
public square.                                                                                                                  
                                                                                                                                
MR.  SHOLTY  offered  his view  that  there were  competing  interests                                                          
in  the  Commerce  Clause  and  the  First  Amendment.  Regarding   the                                                         
Commerce  Clause,  he  said  Section  230  of the  1996  Communication                                                          
Decency  Act allows  states  like Alaska  to  weigh in  the way SB  214                                                         
does  to  forbid  objectionable   content.   And  then  there  are  the                                                         
First   Amendment   claims  big   tech   corporations   have  used   to                                                         
prevent   third-party   content.    He  stressed   that   Section   230                                                         
requires   a  very  narrow  reading   and  "otherwise   objectionable"                                                          
should not be the whim of Silicon Valley.                                                                                       
                                                                                                                                
4:42:14 PM                                                                                                                    
SENATOR   COSTELLO  asked  if  he  would  recommend   addressing   this                                                         
issue   in  uncodified   law   or  where   the  sponsor   believes   is                                                         
appropriate under [AS 45.45] relating to trade practices.                                                                       
                                                                                                                                
MR.  SHOLTY  replied  this  is an  issue  of consumer  protection   and                                                         
the  findings   tend  to  lean  into   the  concept  of  commerce   and                                                         
carriage,  so  it may  be best  in uncodified   law. That  being  said,                                                         
he suggested discussing the question with legislative counsel.                                                                  
                                                                                                                                
CHAIR  SHOWER  thanked  Mr.  Sholty  and said  the  committee  may  ask                                                         
him to return for a subsequent hearing.                                                                                         
                                                                                                                                
4:45:34 PM                                                                                                                    
CHAIR  SHOWER  opened public  testimony  on SB  214; finding  none,  he                                                         
closed public testimony.                                                                                                        
                                                                                                                                
He asked Senator Reinbold if she had any closing comments.                                                                      
                                                                                                                                
SENATOR   REINBOLD   urged  the  members   to  look   at  the  written                                                          
testimony  from  the  Heartland  Institute  and  expressed  her  desire                                                         
to invite  Mr.  Sholty to  return  if the committee   was sufficiently                                                          
interested.                                                                                                                     
                                                                                                                                
4:46:29 PM                                                                                                                    
CHAIR SHOWER held SB 214 in committee.                                                                                          

Document Name Date/Time Subjects
SB 207 sectional.pdf SEDC 4/6/2022 1:30:00 PM
SSTA 3/17/2022 3:30:00 PM
SB 207
SB 207sponsor st.pdf SEDC 4/6/2022 1:30:00 PM
SSTA 3/17/2022 3:30:00 PM
SB 207
Alaskas Unique Forms Of Native Self-determination And Tribal Self-governance (1) (1).pdf SSTA 3/17/2022 3:30:00 PM
HB 123
AFN101_3.2.2022.pdf SSTA 3/17/2022 3:30:00 PM
HB 123
22.03.10 ANHB to AK Senate re. House Bill 123 State Recognition of Trib.._.pdf SSTA 3/17/2022 3:30:00 PM
HB 123
22-091mjt.pdf SSTA 3/17/2022 3:30:00 PM
SB 214
A.pdf SSTA 3/17/2022 3:30:00 PM
SB 214
SB207-JUD-ACS-03-17-22.pdf SSTA 3/17/2022 3:30:00 PM
SB 207
SB 129_Bill Hearing Request Memorandum_State Affairs Committee.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129_Fiscal Note_Alaska Judicial Council_2.15.2022.PDF SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129 Version N.PDF SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129_Research Document_ Judicial Council Recommendations and Retention Votes.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129_Fiscal Note_Division of Elections_2.15.2022.PDF SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129_Sectional Analysis _3.7.2022.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129_Sponsor Statement 3.9.2022.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CSSB 129 _Explanation of Changes_3.8.2022.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CS SB 129_Research Document_Election Pamphlet Judicial Candidates for Retention.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CSSB 129 version N_Presentation_3.17.2022.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
CSSB 129 version N_Presentation_3.18.2022.pdf SSTA 3/17/2022 3:30:00 PM
SB 129
support letter.pdf SSTA 3/17/2022 3:30:00 PM
SB 214