Legislature(2023 - 2024)BARNES 124

03/14/2024 08:00 AM House COMMUNITY & REGIONAL AFFAIRS

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 347 PROPERTY ASSESSMENT TELECONFERENCED
Heard & Held
-- Public Testimony --
*+ HB 151 FORMATION OF BOROUGHS TELECONFERENCED
Heard & Held
*+ HB 345 HARBOR FACILITIES AND SAFETY LADDERS TELECONFERENCED
Moved HB 345 Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
    HOUSE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE                                                                   
                         March 14, 2024                                                                                         
                           8:02 a.m.                                                                                            
                                                                                                                                
                             DRAFT                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative CJ McCormick, Chair                                                                                              
Representative Kevin McCabe, Vice Chair                                                                                         
Representative Tom McKay                                                                                                        
Representative Thomas Baker                                                                                                     
Representative Justin Ruffridge                                                                                                 
Representative Rebecca Himschoot                                                                                                
Representative Donna Mears                                                                                                      
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 345                                                                                                              
"An Act relating to safety ladders at municipal harbor                                                                          
facilities; relating to the harbor facility grant fund; and                                                                     
providing for an effective date."                                                                                               
                                                                                                                                
     - MOVED HB 345 OUT OF COMMITTEE                                                                                            
                                                                                                                                
HOUSE BILL NO. 347                                                                                                              
"An Act relating to assessment of property, boards of                                                                           
equalization, and certification of assessors; and providing for                                                                 
an effective date."                                                                                                             
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 151                                                                                                              
"An Act relating to proposals for borough incorporation                                                                         
submitted to the legislature by the Local Boundary Commission."                                                                 
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 345                                                                                                                  
SHORT TITLE: HARBOR FACILITIES AND SAFETY LADDERS                                                                               
SPONSOR(s): REPRESENTATIVE(s) STORY                                                                                             
                                                                                                                                
02/20/24       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/20/24       (H)       CRA                                                                                                    
03/14/24       (H)       CRA AT 8:00 AM BARNES 124                                                                              
                                                                                                                                
BILL: HB 347                                                                                                                  
SHORT TITLE: PROPERTY ASSESSMENT                                                                                                
SPONSOR(s): REPRESENTATIVE(s) COULOMBE                                                                                          
                                                                                                                                
02/20/24       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/20/24       (H)       CRA                                                                                                    
03/12/24       (H)       CRA AT 8:00 AM BARNES 124                                                                              
03/12/24       (H)       Heard & Held                                                                                           
03/12/24       (H)       MINUTE(CRA)                                                                                            
03/14/24       (H)       CRA AT 8:00 AM BARNES 124                                                                              
                                                                                                                                
BILL: HB 151                                                                                                                  
SHORT TITLE: FORMATION OF BOROUGHS                                                                                              
SPONSOR(s): REPRESENTATIVE(s) CRONK                                                                                             
                                                                                                                                
04/03/23       (H)       READ THE FIRST TIME - REFERRALS                                                                        
04/03/23       (H)       CRA                                                                                                    
03/14/24       (H)       CRA AT 8:00 AM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
REPRESENTATIVE ANDI STORY                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented HB 345, as the prime sponsor.                                                                  
                                                                                                                                
MIRANDA WORL, Staff                                                                                                             
Representative Andi Story                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented the sectional analysis for HB
345, on behalf of Representative Story, prime sponsor.                                                                          
                                                                                                                                
MATT CRESWELL, Harbor Master                                                                                                    
City and Borough of Juneau                                                                                                      
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Gave invited testimony during the hearing                                                                
on HB 345.                                                                                                                      
                                                                                                                                
LAURA EDFELT, representing self                                                                                                 
Haines, Alaska                                                                                                                  
POSITION STATEMENT:  Gave invited testimony during the hearing                                                                
on HB 345.                                                                                                                      
                                                                                                                                
REPRESENTATIVE JULIE COULOMBE                                                                                                   
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Gave an overview of CSHB 347, Version B, as                                                              
the prime sponsor.                                                                                                              
                                                                                                                                
FRANK BERGSTROM, representing self                                                                                              
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
ROY JOSEPHSON, representing self                                                                                                
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
JENNIFER CANFIELD, representing self                                                                                            
Haines, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
RAY KREIG, representing self                                                                                                    
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
BLYTHE CARTER, representing self                                                                                                
Haines, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
JON FAULKNER, representing self                                                                                                 
Homer, Alaska                                                                                                                   
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
GREG AADLER                                                                                                                     
Goldstein Development Company                                                                                                   
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
LARRY NORENE, representing self                                                                                                 
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified during the hearing on HB 347.                                                                  
                                                                                                                                
ED MARTIN, representing self                                                                                                    
Kenai, Alaska                                                                                                                   
POSITION STATEMENT:  Testified in opposition to HB 347.                                                                       
                                                                                                                                
SHERRY STRIZAK, representing self                                                                                               
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
KATIE BEGLY, representing self                                                                                                  
Haines, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
MARK SMITH, representing self                                                                                                   
Haines, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
MAYA MORIARITY, representing self                                                                                               
Seward, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 347.                                                                          
                                                                                                                                
REPRESENTATIVE MIKE CRONK                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented HB 151, as the prime sponsor.                                                                  
                                                                                                                                
DAVE STANCLIFF, Staff                                                                                                           
Representative Mike Cronk                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented the sectional analysis for HB
151, on behalf of Representative Cronk, prime sponsor.                                                                          
                                                                                                                                
SANDRA MOLLER, Director                                                                                                         
Division of Community and Regional Affairs                                                                                      
Department of Commerce, Community & Economic Development                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Answered questions during the hearing on HB
347.                                                                                                                            
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
8:02:44 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK  called the House Community  and Regional Affairs                                                             
Standing   Committee    meeting   to    order   at    8:02   a.m.                                                               
Representatives  McKay,   Baker,  Ruffridge,   Himschoot,  Mears,                                                               
McCabe, and McCormick were present at the call to order.                                                                        
                                                                                                                                
          HB 345-HARBOR FACILITIES AND SAFETY LADDERS                                                                       
                                                                                                                                
8:03:49 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK announced that the  first order of business would                                                               
be HOUSE  BILL NO.  345, "An  Act relating  to safety  ladders at                                                               
municipal  harbor facilities;  relating  to  the harbor  facility                                                               
grant fund; and providing for an effective date."                                                                               
                                                                                                                                
8:04:01 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ANDI  STORY,   Alaska  State  Legislature,  prime                                                               
sponsor,  presented   HB  345.    She   paraphrased  the  sponsor                                                               
statement  [included  in the  committee  packet],  which read  as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     House  Bill  345  would promote  water  safety  in  our                                                                    
     communities  by mandating  the  installation of  safety                                                                    
     ladders on municipal floating  docks receiving a harbor                                                                    
     facility  grant. Installation  of safety  ladders would                                                                    
     reduce the risk  of death by drowning  for people using                                                                    
     these busy docks.                                                                                                          
                                                                                                                                
     Municipal  docks  are  largely  used  by  Alaskans  for                                                                    
     access  to  fishing  for personal  use  and  commercial                                                                    
     purposes,  such   as  commercial  and   sport  fishing,                                                                    
     tourism and  delivery of cargo.  They are  also heavily                                                                    
     used  for  subsistence  and  recreational  fishing  and                                                                    
     boating.   Given  the   necessity  and   popularity  of                                                                    
     Alaska's harbor  floating docks,  it is  not surprising                                                                    
     that accidents happen.                                                                                                     
                                                                                                                                
     When a  person falls  in the water  next to  a floating                                                                    
     dock, it  can be difficult  to get back onto  the dock.                                                                    
     Without  a  ladder,  it is  next  to  impossible.  Wave                                                                    
     action,  heavy  clothes,  hypothermia and  nothing  but                                                                    
     piers to grab onto can result in drowning.                                                                                 
                                                                                                                                
     Safety ladders  are easy  to install,  inexpensive, and                                                                    
     are paid  for by the municipality  receiving the harbor                                                                    
     improvement  grant.  Alaska  has the  highest  rate  of                                                                    
     drowning  deaths  in  the nation.  To  make  access  to                                                                    
     deeper  water  safer,   installing  safety  ladders  at                                                                    
     municipal  docks just  makes sense.  I urge  support of                                                                    
     this bill.                                                                                                                 
                                                                                                                                
REPRESENTATIVE STORY noted  that the bill had a  zero fiscal note                                                               
because  the municipalities  would  pay for  the  ladders from  a                                                               
grant.  When  purchased in bulk, the cost  would be approximately                                                               
$210 per ladder.                                                                                                                
                                                                                                                                
8:08:22 AM                                                                                                                    
                                                                                                                                
MIRANDA  WORL, Staff,  Representative  Andi  Story, Alaska  State                                                               
Legislature, on behalf of Representative  Story, prime sponsor of                                                               
HB  345,  presented  the  sectional  analysis  [included  in  the                                                               
committee packet],  which read  as follows  [original punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     Section   1:  Amends   AS  29.60.810   by  adding   new                                                                    
     subsection (5)  which requires  that a  municipality or                                                                    
     regional housing authority that  owns a harbor facility                                                                    
     and submits an application  for a harbor facility grant                                                                    
     for   major   maintenance,  repair,   construction   or                                                                    
     expansion  of the  facility to  have safety  ladders on                                                                    
     its floats  or install them  on the proposed  new float                                                                    
     once built.                                                                                                                
                                                                                                                                
     Section 2: Provides an effective date of July 1, 2024.                                                                     
                                                                                                                                
CHAIR MCCORMICK opened invited testimony.                                                                                       
                                                                                                                                
8:09:21 AM                                                                                                                    
                                                                                                                                
MATT CRESWELL, Harbor  Master, City and Borough  of Juneau (CBJ),                                                               
gave  invited  testimony  during  the  hearing on  HB  345.    He                                                               
explained  that there's  no code  requirement for  floating docks                                                               
and  harbors  to  have  safety  ladders.    Throughout  Southeast                                                               
Alaska, it  was common  practice to  install safety  ladders when                                                               
recapitalizing  any  particular  harbor.    30  months  ago,  CBJ                                                               
started  installing self-rescue  ladders  that were  paid for  by                                                               
operating  funds and  a grant  from the  North Pacific  Fisheries                                                               
Commission  (NPFC).   Nearly 200  ladders had  been installed  in                                                               
total.   He  reported that  currently, there  is a  safety ladder                                                               
within 100 feet of  any boat in the Juneau harbors.   The goal is                                                               
to reduce  that to 50  feet.  He  said the  bill would be  a good                                                               
first step to incorporate safety ladders in the design process.                                                                 
                                                                                                                                
8:13:17 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCCABE asked how much the ladders cost.                                                                          
                                                                                                                                
MR. CRESWELL answered  a little over $200 per  ladder when buying                                                               
in bulk.  Installation is 15 minutes of staff time per ladder.                                                                  
                                                                                                                                
REPRESENTATIVE  MCCABE  asked  whether the  ladders  impact  boat                                                               
mooring.                                                                                                                        
                                                                                                                                
MR.  CRESWELL  explained  that  the  ladders  are  positioned  in                                                               
between the  middle of the  boat stalls to avoid  impeding proper                                                               
mooring.   He  added  that all  200 ladders  are  on a  quarterly                                                               
preventative maintenance cycle.                                                                                                 
                                                                                                                                
8:16:03 AM                                                                                                                    
                                                                                                                                
LAURA EDFELT,  representing self,  gave invited  testimony during                                                               
the  hearing on  HB 345.   She  read from  the following  written                                                               
remarks  [included  in  the  committee  packet],  which  read  as                                                               
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     Good morning Everyone,                                                                                                     
                                                                                                                                
     I would  like to thank  Andi Story for  presenting this                                                                    
     very important  bill. I  would also  like to  thank you                                                                    
     all for  being here  and listening  about this  bill. I                                                                    
     would  like to  encourage you  to support  it. It  will                                                                    
     save lives. My name is Laura  Barnes. I am a friend and                                                                    
     colleague of Anna  Foltz.  Anna was  an amazing person.                                                                    
     She had  a vibrant  personality that  everyone enjoyed.                                                                    
     She  loved  Alaska and  enjoyed  swimming  in our  cold                                                                    
     water. She said  it was invigorating and  made her feel                                                                    
     alive. Normally she would have  someone with her but on                                                                    
     October 17  2021, she went  by herself to a  dock close                                                                    
     to  her home  to watch  the northern  lights. She  then                                                                    
     decided  to take  a  swim not  realizing  how cold  the                                                                    
     water  was  at that  time  of  year. Unfortunately  she                                                                    
     drowned. Because she couldn't get  back on to the dock.                                                                    
     The  investigating officer  told us  that if  there had                                                                    
     been an egress safety ladder  on the dock Anna would be                                                                    
     alive. Anna was  38 in good health  and strong swimmer.                                                                    
     The  officer said  they found  evidence  that Anna  had                                                                    
     tried to  get back onto  the dock but  couldn't. Again,                                                                    
     had there  been an  egress safety  ladder she  would be                                                                    
     alive.                                                                                                                     
                                                                                                                                
     If you search the internet  you will find many articles                                                                    
     about  this terrible  problem and  see that  Alaska has                                                                    
     the highest drownings in the  nation. With your help we                                                                    
     can solve it.                                                                                                              
                                                                                                                                
     I would  like to take  a moment  to read a  letter from                                                                    
     Anna's mom Ellen.                                                                                                          
                                                                                                                                
     "Hello, my name is Ellen  Foltz. I had the privilege of                                                                    
     seeing  beautiful  Alaska  in  June  of  2021  when  my                                                                    
     daughter, Anna,  convinced me  to embark  on a  jet ski                                                                    
     adventure up  the Inside  Passage with  Dangerous Water                                                                    
     Adventures.  I  was very  reluctant  to  do it  but  it                                                                    
     turned out  to be one  of the  best things I  have ever                                                                    
     done in  my life. Going  on an exciting  adventure with                                                                    
     my only daughter.  Little did I know that  June, when I                                                                    
     hugged her  good bye, it would  be the last time  i saw                                                                    
     her. Anna drowned  3 months later, in  Indian Cove, the                                                                    
     night of  Oct 17. The  forensics verified that  she had                                                                    
     tried to  climb up the  barnacled pilling of  the dock,                                                                    
     trying to  get out of  the frigid water. That  image of                                                                    
     my child struggling in the  cold water will haunt me to                                                                    
     the end of my days.                                                                                                        
     Today,  March 14,  oddly enough  is her  birthday. Anna                                                                    
     would have been 41.                                                                                                        
     I   strongly  urge   that  Bill   345  supporting   the                                                                    
     installation  of safety  ladders through  harbor grants                                                                    
     be passed  to help reduce tragic,  accidental drownings                                                                    
     such as Anna's."                                                                                                           
                                                                                                                                
     In closing, I  would like to leave you  with a thought.                                                                    
     Have  you ever  been  to  a pool  that  didn't have  an                                                                    
     egress ladder  in every corner?  Of course not.  A pool                                                                    
     is  sallow,   has  warm   water,  people   present  and                                                                    
     generally a  lifeguard. It's because  in most  cases it                                                                    
     is  legally mandated  by federal,  state and  even city                                                                    
     law that a pool have  an egress ladder in every corner.                                                                    
     SO why is  it that Alaska's largest  pool, our harbors,                                                                    
     don't have safety ladders?                                                                                                 
                                                                                                                                
     These are  tragic deaths that can  be easily prevented.                                                                    
     So, I  strongly urge you  to support Bill 345  and help                                                                    
     save  lives,  because  the  next  life  list  could  be                                                                    
     someone you care about.                                                                                                    
                                                                                                                                
     Thank you                                                                                                                  
                                                                                                                                
8:21:42 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT shared  that  several  people had  been                                                               
lost  in   Sitka  to  similar   incidents.    From   a  municipal                                                               
perspective,  she opined  that the  state harbor  grant would  be                                                               
extremely beneficial.                                                                                                           
                                                                                                                                
8:22:25 AM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
8:23:31 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK invited final comment from the bill sponsor.                                                                    
                                                                                                                                
REPRESENTATIVE STORY shared  her belief that the  bill would help                                                               
save lives and thanked the committee for hearing it.                                                                            
                                                                                                                                
8:24:04 AM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
8:24:13 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCCABE  moved to  report HB  345 out  of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.   There being no objection,  HB 345 was reported  from the                                                               
House Community and Regional Affairs Standing Committee.                                                                        
                                                                                                                                
8:25:09 AM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 8:25 a.m. to 8:32 a.m.                                                                       
                                                                                                                                
                   HB 347-PROPERTY ASSESSMENT                                                                               
                                                                                                                                
8:32:21 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK announced  that the next order  of business would                                                               
be  HOUSE  BILL  NO.  347,  "An Act  relating  to  assessment  of                                                               
property,   boards   of   equalization,  and   certification   of                                                               
assessors; and  providing for  an effective  date."   [Before the                                                               
committee, adopted  as the working  document on 3/12/24,  was the                                                               
proposed  committee  substitute  (CS)  for HB  347,  Version  33-                                                               
LS1430\B, Dunmire, 3/8/24 ("Version B").]                                                                                       
                                                                                                                                
8:32:40 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JULIE COULOMBE,  Alaska State  Legislature, prime                                                               
sponsor of  CSHB 347,  Version B,  gave a  brief overview  of the                                                               
proposed legislation.   She said the bill  would help communities                                                               
by providing a path of  transparency and fairness around property                                                               
assessment.   It  would set  standards for  Alaskans to  know the                                                               
rules  for  assessing property  values;  change  the default  for                                                               
those   who  hear   tax  appeals   to  an   appointed  board   of                                                               
equalization;  stop  a  municipality from  raising  the  assessed                                                               
value  during  the  appeal process;  ensure  assessors  have  the                                                               
required experience  and certifications;  and require  the Alaska                                                               
State Board  of Education to  explain disagreements with  any fee                                                               
appraisals.   Ultimately, she  said the  bill was  an opportunity                                                               
for  taxpayers to  have  a  "fair shake"  in  the tax  assessment                                                               
process.                                                                                                                        
                                                                                                                                
8:33:53 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK opened public testimony on HB 347.                                                                              
                                                                                                                                
8:34:38 AM                                                                                                                    
                                                                                                                                
FRANK BERGSTROM,  representing self,  testified in support  of HB
347.   He  opined  that  it's incumbent  upon  the government  to                                                               
provide documentation as  to why it's taking  the people's money.                                                               
Further, a fee appraisal should be definitive, he said.                                                                         
                                                                                                                                
8:35:25 AM                                                                                                                    
                                                                                                                                
ROY  JOSEPHSON, representing  self,  testified in  support of  HB
347.    He shared  a  personal  anecdote pertaining  to  property                                                               
assessment in Haines.  He stated that  HB 347 would be a start in                                                               
the right direction.                                                                                                            
                                                                                                                                
8:38:57 AM                                                                                                                    
                                                                                                                                
JENNIFER CANFIELD, representing self,  testified in support of HB
347.   She  shared  a personal  anecdote  pertaining to  property                                                               
assessment  in Haines.   She  reiterated her  support for  HB 347                                                               
because  it  would prevent  increases  in  assessments during  an                                                               
appeal and ensure due process.                                                                                                  
                                                                                                                                
8:41:24 AM                                                                                                                    
                                                                                                                                
RAY KREIG,  representing self,  testified in  support of  HB 347.                                                               
He  emphasized  the importance  of  ensuring  credibility in  the                                                               
assessment process and stated his strong support for the bill.                                                                  
                                                                                                                                
8:43:40 AM                                                                                                                    
                                                                                                                                
BLYTHE  CARTER, representing  self,  testified in  support of  HB
347.   She  shared  a personal  anecdote  pertaining to  property                                                               
assessment in Haines.   She expressed her hope  the standards and                                                               
statutes  establishing  transparency,  protection  of  individual                                                               
rights to due  process, and common decency in HB  347 would serve                                                               
to prevent tragedies in the future.                                                                                             
                                                                                                                                
8:46:25 AM                                                                                                                    
                                                                                                                                
JON FAULKNER, representing self, testified  in support of HB 347.                                                               
He opined that  the bill may not go far  enough in protecting the                                                               
public  from  arbitrary and  capricious  actions.   He  shared  a                                                               
personal  anecdote pertaining  to property  assessment in  Kenai,                                                               
asserting  that  the  assessors   failed  to  recognize  economic                                                               
obsolescence.                                                                                                                   
                                                                                                                                
8:49:55 AM                                                                                                                    
                                                                                                                                
GREG AADLER, Goldstein Development  Company, testified in support                                                               
of HB  347.  He  stated that the bill  is needed because  the CBJ                                                               
had  not   been  following   the  International   Association  of                                                               
Assessing Officers  (IAAO) guidelines.   He opined  that assessor                                                               
reform is  needed because property owners  are being stonewalled,                                                               
and due process is not provided.                                                                                                
                                                                                                                                
8:52:57 AM                                                                                                                    
                                                                                                                                
LARRY NORENE, representing self,  testified during the hearing on                                                               
HB 347.   He highlighted  the language in  Section 4 of  the bill                                                               
and suggested  adding "the [board of  equalization] shall provide                                                               
due process to all parties."   Specific to Section 5, he asserted                                                               
that the language  had been deliberately changed,  making it more                                                               
difficult  [for   the  board]  to  understand   the  grounds  for                                                               
assessment adjustment.   Furthermore, he opined  that the process                                                               
lacked  oversight and  said  he supported  the  addition of  "the                                                               
board must accept an appraisal."                                                                                                
                                                                                                                                
8:56:28 AM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
8:57:57 AM                                                                                                                    
                                                                                                                                
ED MARTIN, representing self, testified  in opposition to HB 347.                                                               
He discussed the calculation of  mill rates and shared his belief                                                               
that the Board  of Equalization should be composed  of all public                                                               
[members]  with the  assessor present  to answer  questions.   He                                                               
shared a personal anecdote pertaining  to property assessment and                                                               
overvaluation.   He  urged the  committee  to hold  the bill  for                                                               
further testimony.                                                                                                              
                                                                                                                                
9:01:03 AM                                                                                                                    
                                                                                                                                
SHERRY  STRIZAK, representing  self, testified  in support  of HB
347.  She emphasized the  need for standards that meet prevailing                                                               
market conditions  to allow buyers  and sellers to  know expected                                                               
pricing  levels.   She added  that  assessor certification  would                                                               
provide  assessors  with  the proper  Level  3  certification  in                                                               
accordance  with the  Alaska  Association  of Assessing  Officers                                                               
(AAAO).   Most importantly, board  members would  hear residents'                                                               
concerns and  ensure assessments  are not over-  or under-valued.                                                               
She  concluded   that  assessor  reform  is   needed  to  protect                                                               
residents from exorbitant assessment values.                                                                                    
                                                                                                                                
9:02:49 AM                                                                                                                    
                                                                                                                                
KATIE BEGLY, representing  self, testified in support  of HB 347.                                                               
She stated  that the  bill includes  much needed  protections and                                                               
shared a  personal anecdote pertaining to  property assessment in                                                               
Haines.   She urged  the committee  to pass  HB 347,  which would                                                               
protect  her  right  to  access her  elected  official  and  seek                                                               
redress  of  injuries  enacted  by the  processes  of  the  local                                                               
municipality.                                                                                                                   
                                                                                                                                
9:05:10 AM                                                                                                                    
                                                                                                                                
MARK SMITH,  representing self, testified  in support of  HB 347.                                                               
He  shared  a  personal  anecdote   pertaining  to  the  property                                                               
assessor in Haines.                                                                                                             
                                                                                                                                
9:07:51 AM                                                                                                                    
                                                                                                                                
MAYA  MORIARITY, representing  self, testified  in support  of HB
347.   She  shared  a personal  anecdote  pertaining to  property                                                               
assessment in  Seward.   She agreed  with a  previous testifier's                                                               
suggestion  to  make the  verbiage  regarding  fair market  value                                                               
easier  to  understand and  apply.    She  advised that  a  local                                                               
realtor's market value assessment, as  well as the tax assessment                                                               
of area homes, should be used as evidence for overvaluation.                                                                    
                                                                                                                                
9:11:15 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK closed public testimony on HB 347.                                                                              
                                                                                                                                
9:11:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   COULOMBE  noticed   that   Haines  was   heavily                                                               
represented in the  testimony, which she described  as a "message                                                               
of caution."   She said  she hoped  that the committee  could see                                                               
that the bill would create  guidelines and provide protections to                                                               
taxpayers.                                                                                                                      
                                                                                                                                
9:12:38 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCKAY asked  whether  a public  member should  be                                                               
added to Section 4 of the bill.                                                                                                 
                                                                                                                                
REPRESENTATIVE COULOMBE  said she always approached  her bills as                                                               
working documents and  recognized that [the addition  of a public                                                               
member] could be an important addition.                                                                                         
                                                                                                                                
9:13:08 AM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
9:14:20 AM                                                                                                                    
                                                                                                                                
CHAIR  MCCORMICK announced  that CSHB  347, Version  B, would  be                                                               
held over.                                                                                                                      
                                                                                                                                
                  HB 151-FORMATION OF BOROUGHS                                                                              
                                                                                                                                
9:14:48 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK announced that the  final order of business would                                                               
be HOUSE BILL NO. 151, "An  Act relating to proposals for borough                                                               
incorporation submitted to the legislature  by the Local Boundary                                                               
Commission."                                                                                                                    
                                                                                                                                
9:15:09 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MIKE  CRONK,   Alaska  State  Legislature,  prime                                                               
sponsor, presented HB 151.   He paraphrased the sponsor statement                                                               
[included  in  the  committee  packet],  which  read  as  follows                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     Unfortunately, and hopefully  through simply oversight,                                                                    
     the public process and the  "Will of the people" failed                                                                    
     to  be included  in a  2005 piece  of legislation  that                                                                    
     became codified in 2006. ( AS 29.05.115.)                                                                                  
                                                                                                                                
     HB  151 simply  corrects  the  deficiency by  requiring                                                                    
     that a  full public process  be carried out  before the                                                                    
     legislature   receives  a   proposal  from   the  Local                                                                    
     Boundary Commission  under Title  X, Section 12  of the                                                                    
     Constitution.                                                                                                              
                                                                                                                                
     As  laid   out  in  Article   I,  Section  12   if  the                                                                    
     legislature receives  a proposal by the  Local Boundary                                                                    
     Commission,  there are  only  two  options. First,  the                                                                    
     legislature may reject the proposal  with a majority in                                                                    
     the House and the Senate.                                                                                                  
                                                                                                                                
     Second, the  legislature can choose to  take no action,                                                                    
     in which case the proposal remains law.                                                                                    
     Under  this  method  of   forming  government  the  LBC                                                                    
     without  any legislative  public hearings,  establish a                                                                    
     new Borough unless rejected by the legislature.                                                                            
     It is  extremely important under  present law  that the                                                                    
     legislature know the "Will of  the people" contained in                                                                    
     any proposal submitted.                                                                                                    
                                                                                                                                
     Presently  the  LBC  is required  to  hold  two  public                                                                    
     hearings  in  the  area being  proposed  and  under  no                                                                    
     obligation  to  follow  the opinions  of  those  giving                                                                    
     testimony at the hearings.                                                                                                 
     HB 151 ensures  the legislature will know  the level of                                                                    
     public support before making  any decision concerning a                                                                    
     proposed Borough.                                                                                                          
                                                                                                                                
9:16:53 AM                                                                                                                    
                                                                                                                                
DAVE STANCLIFF,  Staff, Representative  Mike Cronk,  Alaska State                                                               
Legislature, on behalf of Representative  Cronk, prime sponsor of                                                               
HB  151,  presented  the  sectional  analysis  [included  in  the                                                               
committee packet],  which read  as follows  [original punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     Section 1:                                                                                                                 
                                                                                                                                
     Adds new language to existing statute AS 29.05.115 (a)                                                                     
                                                                                                                                
     Ensures  that before  the Legislature  takes action  on                                                                    
     incorporation of a Borough, they  will know that voting                                                                    
     age residents within the area support it.                                                                                  
                                                                                                                                
MR. STANCLIFF expounded on the Alaska Constitution and                                                                          
emphasized that the legislature is within its rights as an                                                                      
elected  body  to determine  how  the  Local Boundary  Commission                                                               
(LBC) would act and conduct its procedures.                                                                                     
                                                                                                                                
CHAIR MCCORMICK sought questions from committee members.                                                                        
                                                                                                                                
9:21:34 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE  asked how  to  best  determine that  a                                                               
majority of residents  of voting age within the  area support the                                                               
proposal.   He opined that a  public hearing may not  be the best                                                               
method.                                                                                                                         
                                                                                                                                
REPRESENTATIVE CRONK deferred to Mr. Stancliff.                                                                                 
                                                                                                                                
MR. STANCLIFF  explained that the  LBC can hold two  hearings and                                                               
is  under  no obligation  to  take  directive from  the  opinions                                                               
provided by testifiers.                                                                                                         
                                                                                                                                
9:25:29 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HIMSCHOOT pointed out that  the second way to form                                                               
a borough    the local  option - is through  signature gathering.                                                               
She asked whether this option is suggested in the bill.                                                                         
                                                                                                                                
REPRESENTATIVE CRONK deferred to Mr. Stancliff.                                                                                 
                                                                                                                                
MR.  STANCLIFF gave  further historical  context.   He  explained                                                               
that the  committee's options  would be to  return to  the public                                                               
process  or stick  with the  language that  requires a  majority.                                                               
The  language could  be made  more "open,"  he said,  to avoid  a                                                               
"precise number."   He acknowledged  that the process could  be a                                                               
lot more public than it is now.                                                                                                 
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT   sought  to   confirm  that   per  [AS                                                               
29.05.115  subsection]  (b),  the  LBC should  not  initiate  the                                                               
action  of  forming  a  borough.   She  asked  what  would  cause                                                               
[subsection] (a) to occur.                                                                                                      
                                                                                                                                
MR. STANCLIFF  recounted an attempt  to force a borough  where it                                                               
was not wanted.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT asked  whether it  would be  an "insane                                                               
idea" to remove [subsection] (a) all together.                                                                                  
                                                                                                                                
MR.  STANCLIFF  explained that  if  subsection  (a) were  removed                                                               
entirely, nothing would change, so  the LBC would not be required                                                               
to involve  the public in  the creation  of a borough  aside from                                                               
two public hearings.                                                                                                            
                                                                                                                                
REPRESENTATIVE HIMSCHOOT  clarified that  if subsection  (a) were                                                               
removed, the local option would remain intact.                                                                                  
                                                                                                                                
MR. STANCLIFF  shared his belief  that the bill sponsor  would be                                                               
open to  that idea.  He  emphasized that the goal  was to involve                                                               
the public as much as possible.                                                                                                 
                                                                                                                                
9:33:10 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCABE   described  the  formation  of   a  local                                                               
improvement   district  (LID).      Similarly,   he  shared   his                                                               
understanding that the LBC would  have to determine how they know                                                               
that the majority of voting age citizens support the proposal.                                                                  
                                                                                                                                
REPRESENTATIVE   CRONK   asserted   that   the   legislature   is                                                               
responsible for  determining the role of  boards and commissions.                                                               
In response  to Representative Ruffridge's previous  question, he                                                               
said if it  were up to him,  a majority would be  determined by a                                                               
vote of the people.                                                                                                             
                                                                                                                                
9:37:18 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MEARS  sought to  confirm that the  current public                                                               
process involves two required public  meetings of the LBC and any                                                               
public legislative hearings.                                                                                                    
                                                                                                                                
MR.  STANCLIFF  said that  is  partially  correct.   If  the  LBC                                                               
receives a request  from a government entity or anyone  to form a                                                               
borough, two public  hearings are held, and  the commission alone                                                               
makes the  decision by a  vote of all five  members.  The  LBC is                                                               
then required to  submit the request to the  legislature.  Unless                                                               
the legislature  votes down  the proposal by  a majority  in both                                                               
bodies, the request becomes law.                                                                                                
                                                                                                                                
REPRESENTATIVE   MEARS  expressed   concern  that   obtaining  "a                                                               
majority of  residents of  voting age" would  create a  very high                                                               
bar in terms of participation.                                                                                                  
                                                                                                                                
MR. STANCLIFF said  maybe someone on the committee  could come up                                                               
with  a better  way to  assess  the community's  preference.   He                                                               
suggested  that  the  list  of   permanent  fund  dividend  (PFD)                                                               
applicants could be polled.                                                                                                     
                                                                                                                                
9:42:11 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE  spoke to the difficulty  of determining                                                               
the  will of  a people  group and  advocated for  a multi-faceted                                                               
approach that includes an educational  component.  He opined that                                                               
currently, there is  no way to determine whether  the process was                                                               
done "rightly and well."                                                                                                        
                                                                                                                                
MR.   STANCLIFF  made   reference  to   a  commissioner   who  is                                                               
politically active.   He agreed that the process  should be long,                                                               
detailed, and unrushed, and that  the members should be unbiased,                                                               
adding that the legislature may  find a biased, five-member board                                                               
with constitutional authority very difficult to deal with.                                                                      
                                                                                                                                
9:46:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCABE said  he could  see where  this particular                                                               
law  needs some  "massaging"  to  ensure that  the  board is  not                                                               
politically motivated.   He opined  that control should  be given                                                               
to the citizens.                                                                                                                
                                                                                                                                
REPRESENTATIVE  CRONK emphasized  that  the voice  of the  people                                                               
should be prioritized.                                                                                                          
                                                                                                                                
REPRESENTATIVE MCCABE clarified  that his point was  that the LBC                                                               
knows how survey the will of  the people instinctively.  He added                                                               
that the bill would just put  that sentiment "in words on a piece                                                               
of paper."                                                                                                                      
                                                                                                                                
MR. STANCLIFF reflected on the actions of a recent LBC meeting.                                                                 
                                                                                                                                
9:53:46 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT recalled  a similar  scenario in  which                                                               
the state Board of Education  took action without prior notice on                                                               
a  consequential matter.   She  requested an  explanation of  the                                                               
local option  process and whether  certain aspects  pertaining to                                                               
citizen input could be replicated in the bill.                                                                                  
                                                                                                                                
9:55:15 AM                                                                                                                    
                                                                                                                                
SANDRA  MOLLER,  Director,  Division of  Community  and  Regional                                                               
Affairs,   Department   of   Commerce,   Community   &   Economic                                                               
Development (DCCED),  described the  local option  process, which                                                               
involves a vote  of the people in the affected  areas through the                                                               
Division of Elections (DOE).                                                                                                    
                                                                                                                                
9:57:55 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HIMSCHOOT shared her understanding that the local                                                                
option involves an election and asked whether a similar election                                                                
could be implemented in HB 151.                                                                                                 
                                                                                                                                
MS. MOLLER answered yes, a similar process would be acceptable.                                                                 
                                                                                                                                
9:59:41 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK announced that HB 151 would be held over.                                                                       
                                                                                                                                
10:00:03 AM                                                                                                                   
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Community and Regional Affairs Standing Committee meeting was                                                                   
adjourned at 10:00 a.m.                                                                                                         

Document Name Date/Time Subjects
HB151 Sect. 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 151
HB151 Sponsor Statement 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 151
HB151 Version B 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 151
HB 345 Ketchikan Harbor Board Stories in the News 5.11.21 - 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 345 Fishermen's News 9.1.23 - 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 345 Northern Harbors and Small Ports 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 345 Sectional Analysis 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 345 Sponsor Statement 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 345 State AK Epidemiology bulleting drowning 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB0345A.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 151 Fiscal Note 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 151
HB 345 Fiscal Note 1 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
CSHB347.pdf HCRA 3/14/2024 8:00:00 AM
HB 347
HB 347 Fiscal Note 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 347
HB 347 Public Testimony 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 347
HB 347 Sectional Analysis (CR&A) 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 347
HB 347 Sponsor Statement (CR&A) 3.12.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 347
HB0347A.pdf HCRA 3/14/2024 8:00:00 AM
HB 347
HB 345 Supporting Document #1 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345
HB 345 Written Testimony 3.14.24.pdf HCRA 3/14/2024 8:00:00 AM
HB 345