Legislature(1993 - 1994)

03/26/1993 08:30 AM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                                                                               
                                                                               
                     HOUSE FINANCE COMMITTEE                                   
                         March 26, 1993                                        
                            8:30 A.M.                                          
                                                                               
  TAPE HFC 93 - 65, Side 1, #000 - end.                                        
  TAPE HFC 93 - 65, Side 2, #000 - end.                                        
  TAPE HFC 93 - 66, Side 1, #000 - #146.                                       
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair Ron Larson called the meeting of  the House Finance                 
  Committee to order at 8:30 A.M.                                              
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Larson               Representative Brown                           
  Co-Chair MacLean              Representative Foster                          
  Vice-Chair Hanley             Representative Grussendorf                     
  Representative Hoffman        Representative Martin                          
  Representative Therriault     Representative Parnell                         
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
  ALSO PRESENT                                                                 
                                                                               
  Nancy    Bear    Usera,    Commissioner,    Department    of                 
  Administration; Cheryl Frasca, Director,  Division of Budget                 
  Review, Office of Management and Budget, Office of Governor;                 
  Marsha  Hubbard, Director of  Budget, University  of Alaska;                 
  Representative Jerry  Mackie; Ron B. Lind,  Director, Plans,                 
  Programs and Budget, Department of Transportation and Public                 
  Facilities; Jenny Murray, Aid to Representative Con Bunde.                   
                                                                               
  SUMMARY INFORMATION                                                          
  HB 79     An Act relating to recovery from a parent or legal                 
            guardian  of wilful  or  malicious destruction  of                 
            property by a minor.                                               
                                                                               
            CS HB  79 (FIN) was reported out of Committee with                 
            a  "do  pass" recommendation  and with  three zero                 
            fiscal  notes by  the  Department  of  Health  and                 
            Social Services  dated 2/10/93, the  Department of                 
            Administration dated 2/10/93 and the Department of                 
            Law dated 2/10/93.                                                 
  HB 143    An Act relating to the distribution of the revenue                 
            obtained from imposition of the state tax on motor                 
            fuel used in watercraft  of all descriptions;  and                 
            providing for an effective date.                                   
                                                                               
                                                                               
                                1                                              
                                                                               
                                                                               
            CS HB 143  (CRA) was held in Committee for further                 
            discussion.                                                        
  HB 158    An   Act   making   appropriations  for   contract                 
            settlement  costs  and  cost-of-living adjustments                 
            for  public employees  who are members  of certain                 
            collective bargaining units; and  providing for an                 
            effective date.                                                    
                                                                               
            CS HB 158 (L&C) was reported out of Committee with                 
            a "do pass" recommendation.                                        
  HB 225    An   Act   relating    to   notice   of    certain                 
            appropriations from the dividend fund.                             
                                                                               
            HB 225 was  reported out of  Committee with a  "do                 
            pass" recommendation.                                              
                                                                               
  HOUSE BILL 225                                                               
                                                                               
       "An Act relating  to notice  of certain  appropriations                 
       from the dividend fund."                                                
                                                                               
  Representative  Parnell noted  that  HB  225 had  originated                 
  within the Department of Public Safety Subcommittee in order                 
  to  transfer the permanent fund surplus  into the Council on                 
  Domestic Violence  and  Sexual Assault.    He noted  that  a                 
  felon's  check  would go  to  the Crime  Victim Compensation                 
  Fund, Sex Offender Treatment, issued under the Department of                 
  Corrections and the Council on Domestic Violence.                            
                                                                               
  Representative  Parnell   MOVED  HB   225  with   individual                 
  recommendations  and the  accompanying fiscal  note.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  HB  225  was reported  out  of  Committee with  a  "do pass"                 
  recommendation and with a zero fiscal note by the Department                 
  of Revenue.                                                                  
  HOUSE BILL 158                                                               
                                                                               
       "An Act  making appropriations for  contract settlement                 
       costs   and   cost-of-living  adjustments   for  public                 
       employees  who   are  members  of   certain  collective                 
       bargaining units; and providing for an effective date."                 
                                                                               
  NANCY    BEAR    USERA,    COMMISSIONER,    DEPARTMENT    OF                 
  ADMINISTRATION, stated  that the  Labor,  Trades and  Crafts                 
  Agreement Management goals are to:                                           
                                                                               
       *    Increase   management   flexibility   to   respond                 
            effectively to the changing economic conditions of                 
                                                                               
                                2                                              
                                                                               
                                                                               
            the  State   while  maximizing   the  quality   of                 
            government services to the public.                                 
                                                                               
            1.   Where possible, defer to the Personnel Rules.                 
                                                                               
            2.   Increase   management   choice   when  making                 
                 promotions.                                                   
                                                                               
            3.   Clarify  management's  right to  contract out                 
                 work and layoff employees.                                    
                                                                               
            4.   Terminate all prior letters of agreement.                     
                                                                               
       *    Improve productivity, accountability, consistency,                 
            and efficiency of State government operations.                     
                                                                               
            1.   Reduce   overtime   and  other   premium  pay                 
                 liabilities to FLSA standards.                                
                                                                               
            2.   Convert travel  and per  diem entitlement  to                 
                 those  provided  in the  State Administrative                 
                 Manual.                                                       
                                                                               
            3.   Reduce the number of holidays.                                
                                                                               
       *    Realign the cost of personal services,  moderating                 
            the State's  relative position  as  a provider  of                 
            wages and benefits  so as  to reflect the  current                 
            and foreseeable economic environment.                              
                                                                               
            1.   Modify  health  benefits,  reduce unnecessary                 
                 utilization     and     increase     employee                 
                 participation   in   selecting   the  benefit                 
                 package.                                                      
                                                                               
            2.   Share   future   cost  increases   of  health                 
                 insurance  between  the  employees   and  the                 
                 State.                                                        
                                                                               
            3.   Limit across the board salary increases.                      
                                                                               
            4.   Defer  the  effective   date  of  the  salary                 
                 increase by six months.                                       
                                                                               
  She noted  that negotiations  began in  December, 1991,  and                 
  were  limited  to  six  contract  articles selected  by  the                 
  parties.   With  the assistance  of a  federal mediator,  an                 
  agreement  was reached with  a three year  arrangement.  The                 
  issues  covered  were   contracting-out,  licenses,   wages,                 
  classification, call  back, travel, holidays,  family leave,                 
  promotion, health insurance  and signing bonus.   She added,                 
  these  are  the bargaining  terms covering  the life  of the                 
                                                                               
                                3                                              
                                                                               
                                                                               
  contract for a two year period.                                              
                                                                               
  Co-Chair  MacLean  questioned  the fiscal  changes  from  $5                 
  million to $9  million dollars  occurring from the  original                 
  bill.  Ms.  Usera stated that  there was a monetary  roll-in                 
  from the University agreement.  The bargaining agreement now                 
  includes 1993/1994 members.                                                  
                                                                               
  CHERYL  FRASCA, DIRECTOR, DIVISION  OF BUDGET REVIEW, OFFICE                 
  OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, reiterated                 
  that an  amendment had been  included for the  University in                 
  Sections 5 and 6.   She added that additional  sections were                 
  updated  which  omitted  the employer  costs  of  paying the                 
  bonuses.                                                                     
                                                                               
  MARSHA  HUBBARD, DIRECTOR OF  BUDGET, UNIVERSITY  OF ALASKA,                 
  advised that  an agreement with  the LTC  Contract had  been                 
  signed last May, 1992, and provided the same salary increase                 
  as given the non-union employees during  FY 93.  The receipt                 
  of the three percent increase is dependant upon negotiations                 
  and the Legislative appropriation.                                           
                                                                               
  Co-Chair MacLean  MOVED to  report CS  HB 158  (L&C) out  of                 
  Committee with  individual recommendations.  There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  CS HB 158  (L&C) was  reported out of  Committee with a  "do                 
  pass" recommendation.                                                        
  HOUSE BILL 79                                                                
                                                                               
       "An  Act relating  to recovery  from a parent  or legal                 
       guardian of wilful or malicious destruction of property                 
       by a minor."                                                            
                                                                               
  JENNY MURRAY, AID TO REPRESENTATIVE  CON BUNDE, testified in                 
  support  of  HB 79  and  stated that  the  legislation would                 
  increase  the  current cap  for  parental liability  from $2                 
  thousand dollars to what is allowable in district court, $50                 
  thousand dollars.   The bill would allow  owners of property                 
  damaged  wilfully  or  maliciously  by  a minor  to  recover                 
  monetarily from the minor's parents or legal guardian.  With                 
  this bill, victims of property damage may finally be able to                 
  recover a greater portion  of their losses as long  as those                 
  damages total less than $50 thousand dollars.                                
                                                                               
  Representative Parnell referenced Page 1, Line 10, and asked                 
  why  "destroys" was used  instead of "damages".   Ms. Murray                 
  stated  the  verbiage  was the  same  as  that  used in  the                 
  original  statute.     Representative  Parnell   recommended                 
  changing the language  with the advise of  the Department of                 
  Law.                                                                         
                                                                               
                                4                                              
                                                                               
                                                                               
  Co-Chair MacLean suggested that the $50 thousand dollar fine                 
  was too  harsh.  She asked if the  child could be covered by                 
  insurance.   Ms. Murray suggested that home  owners could be                 
  covered by  home owners  insurance.   She  pointed out  that                 
  legislation is geared toward the victims of property damage.                 
                                                                               
                                                                               
  Discussion  followed  regarding  the responsibility  of  the                 
  insurance  company  paying  the fees  of  damage  versus the                 
  parent's responsibility of the minor.  Co-Chair Larson asked                 
  accountability of parents of run-away  children.  Ms. Murray                 
  pointed out that the legal guardian is the responsible party                 
  if they had not  emancipated that child.  The  Department of                 
  Health and Social  Services is  involved in determining  the                 
  necessary process.                                                           
                                                                               
  Co-Chair MacLean questioned  the average rate paid  by other                 
  states.  Ms. Murray  pointed out that Alaska's rate  has not                 
  been  revised since  1967 and  is currently  lower than  the                 
  other maximums.   The average for most  states is $15  - $25                 
  thousand dollars.                                                            
                                                                               
  Representative Hoffman questioned the  rights of the injured                 
  party to collect the proposed fees.                                          
                                                                               
  (Tape Change, HFC 93-65, Side 2).                                            
                                                                               
  Ms. Murray  stated that upon  deciding that the  juvenile is                 
  guilty,   there   are   several   ways   to  determine   the                 
  responsibility such  as claiming the permanent  fund, taking                 
  their  personal  property,  etc.    Representative   Hoffman                 
  thought  this  would place  unfair  hardship on  the family.                 
  Representative Parnell reminded the Committee that there are                 
  exemptions  protecting  the  family's  equity.    Discussion                 
  followed regarding  protection the  minor's parents and  the                 
  victim's house insurance coverage.                                           
                                                                               
  Co-Chair Larson MOVED to amend Page  1, Line 7, by inserting                 
  "$10 thousand  dollars" and deleting "$2  thousand dollars".                 
  Representative  Foster  OBJECTED.   He  MOVED  to  amend the                 
  amendment to "$5 thousand dollars".   Representative Parnell                 
  OBJECTED.                                                                    
                                                                               
  A roll call was taken on the MOTION to amend the amendment.                  
                                                                               
       IN FAVOR:      Martin,   Brown,  Foster,   Grussendorf,                 
                      Hoffman, MacLean.                                        
                                                                               
       OPPOSED:       Parnell, Therriault, Hanley, Larson.                     
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
                                5                                              
                                                                               
                                                                               
  The MOTION PASSED, (6 - 4).                                                  
                                                                               
  A roll call was taken on the MOTION to adopt the $5 thousand                 
  dollar change.                                                               
                                                                               
       IN FAVOR:      Brown,   Foster,   Grussendorf,  Hanley,                 
                      Martin, Larson, MacLean.                                 
                                                                               
       OPPOSED:       Parnell, Therriault, Hoffman.                            
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
  The MOTION PASSED, (7 - 3).                                                  
                                                                               
  Representative Parnell MOVED to report CS HB 79 (FIN) out of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  CS  HB 79  (FIN) was  reported out  of Committee with  a "do                 
  pass"  recommendation  and with  three  fiscal notes  by the                 
  Department of  Health  and Social  Services  dated  2/10/93,                 
  Department   of  Administration   dated   2/10/93  and   the                 
  Department of Law dated 2/10/93.                                             
  HOUSE BILL 143                                                               
                                                                               
       "An Act  relating to  the distribution  of the  revenue                 
       obtained from imposition of the state tax on motor fuel                 
       used in  watercraft of all descriptions;  and providing                 
       for an effective date."                                                 
                                                                               
  REPRESENTATIVE JERRY MACKIE testified in  support of HB 143.                 
  The  legislation  was  introduced  in response  to  interest                 
  expressed by  several communities regarding local harbor and                 
  dock facilities.  The bill would provide to a municipality a                 
  portion of state watercraft fuel taxes collected within that                 
  municipality.  The portion would be determined  by the ratio                 
  of city owned  docks and harbors  to all public owned  docks                 
  and harbors in that  area.  The bill would  generate revenue                 
  sharing of tax receipts derived from facility users.                         
                                                                               
  Most harbor  facilities  located throughout  the  State  are                 
  currently  owned by  the  Department  of Transportation  and                 
  Public Facilities.  These facilities are usually operated by                 
  the local municipalities.   In recent years,  the Department                 
  has sought to have the municipalities take  ownership of the                 
  facilities and the associated  maintenance responsibilities.                 
  Their view is that  the "on site" operator is  better suited                 
  for effective  and efficient upkeep  of a facility  than the                 
  distant DOTPF personnel.                                                     
                                                                               
                                6                                              
                                                                               
                                                                               
  Representative   Therriault   expressed  concern   with  the                 
  operational   expense   currently    paid   by   the   local                 
  municipalities.    Representative Mackie  remarked  there is                 
  little maintenance  performed  in  the  smaller  communities                 
  which have harbors although there is a lot of deterioration.                 
  The legislation would provide funds  to address local harbor                 
  facility concerns.                                                           
                                                                               
  Representative Brown inquired how  military facilities would                 
  be  treated.     Representative   Mackie  said   "publically                 
  operated"  refers only  to  moorage  facilities operated  by                 
  DOTPF  or  a   local  municipality.     Discussion  followed                 
  regarding facilities publically owned and operated.                          
                                                                               
  Representative  Brown  MOVED to  amend  Page 2,  Line  7, by                 
  adding the language following  "are" by deleting "publically                 
  operated" and insert  "owned by  the State or  municipality"                 
  and  to  include  Amendment #1  proposed  by  Representative                 
  Mackie.  [Attachment #1].  An additional amendment was moved                 
  to  add the  language to  Page  2, Line  7,  after the  word                 
  "commissioner" adding "of  Department of Transportation  and                 
  Public Facilities".                                                          
                                                                               
  Co-Chair MacLean recommended  adding a sunset clause  to the                 
  legislation.    Representative  Mackie  explained  adding  a                 
  sunset would not work.   An incentive would be  provided and                 
  then  the  funds would  be removed.    This would  leave the                 
  municipalities owning the  harbors with no funds  to operate                 
  them.                                                                        
                                                                               
  Representative Brown MOVED the suggested amendment.                          
                                                                               
  (Tape Change, HFC 93-66, Side 1).                                            
                                                                               
  RON LIND,  DIRECTOR, PLANS, PROGRAMS, AND BUDGET, DEPARTMENT                 
  OF  TRANSPORTATION   AND  PUBLIC   FACILITIES,  stated   the                 
  amendment  to  change DOTPF  as  the agency  for determining                 
  footage  would be appropriate.   He  stated that  the Alaska                 
  Marine Highway dock would need to be excluded.                               
                                                                               
  Representative Martin OBJECTED.                                              
                                                                               
  A roll call was taken on the MOTION.                                         
                                                                               
       IN FAVOR:      Parnell,   Therriault,   Brown,  Foster,                 
                      Grussendorf,  Hanley, Hoffman,  MacLean,                 
                      Larson.                                                  
                                                                               
       OPPOSED:       Martin.                                                  
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
                                7                                              
                                                                               
                                                                               
  The MOTION PASSED, (9 - 1) and the amendment was included.                   
                                                                               
  HB 143 was HELD in Committee for further discussion.                         
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 10:05 A.M.                                          
                                                                               
                                                                               
                     HOUSE FINANCE COMMITTEE                                   
                         March 26, 1993                                        
                            8:30 A.M.                                          
                                                                               
  TAPE HFC 93 - 65, Side 1, #000 - end.                                        
  TAPE HFC 93 - 65, Side 2, #000 - end.                                        
  TAPE HFC 93 - 66, Side 1, #000 - #146.                                       
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair Ron Larson called the meeting of  the House Finance                 
  Committee to order at 8:30 A.M.                                              
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Larson               Representative Brown                           
  Co-Chair MacLean              Representative Foster                          
  Vice-Chair Hanley             Representative Grussendorf                     
  Representative Hoffman        Representative Martin                          
  Representative Therriault     Representative Parnell                         
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
  ALSO PRESENT                                                                 
                                                                               
  Nancy    Bear    Usera,    Commissioner,    Department    of                 
  Administration; Cheryl Frasca, Director,  Division of Budget                 
  Review, Office of Management and Budget, Office of Governor;                 
  Marsha Hubbard,  Director of Budget,  University of  Alaska;                 
  Representative Jerry  Mackie; Ron B. Lind,  Director, Plans,                 
  Programs and Budget, Department of Transportation and Public                 
  Facilities; Jenny Murray, Aid to Representative Con Bunde.                   
                                                                               
  SUMMARY INFORMATION                                                          
                                                                               
  HB 79     An Act relating to recovery from a parent or legal                 
            guardian  of wilful  or  malicious destruction  of                 
            property by a minor.                                               
                                                                               
            CS HB  79 (FIN) was reported out of Committee with                 
            a "do  pass"  recommendation and  with three  zero                 
            fiscal  notes  by  the Department  of  Health  and                 
                                                                               
                                8                                              
                                                                               
                                                                               
            Social Services dated  2/10/93, the Department  of                 
            Administration dated 2/10/93 and the Department of                 
            Law dated 2/10/93.                                                 
                                                                               
  HB 143    An Act relating to the distribution of the revenue                 
            obtained from imposition of the state tax on motor                 
            fuel used in  watercraft of all descriptions;  and                 
            providing for an effective date.                                   
                                                                               
            CS HB 143  (CRA) was held in Committee for further                 
            discussion.                                                        
                                                                               
  HB 158    An   Act   making   appropriations  for   contract                 
            settlement  costs  and  cost-of-living adjustments                 
            for public  employees who  are members of  certain                 
            collective bargaining units; and  providing for an                 
            effective date.                                                    
                                                                               
            CS HB 158 (L&C) was reported out of Committee with                 
            a "do pass" recommendation.                                        
                                                                               
  HB 225    An   Act   relating    to   notice   of    certain                 
            appropriations from the dividend fund.                             
                                                                               
            HB 225 was  reported out of  Committee with a  "do                 
            pass" recommendation.                                              
                                                                               
  HOUSE BILL 225                                                               
                                                                               
       "An  Act relating to  notice of  certain appropriations                 
       from the dividend fund."                                                
                                                                               
  Representative  Parnell noted  that  HB  225 had  originated                 
  within the Department of Public Safety Subcommittee in order                 
  to  transfer the permanent fund surplus  into the Council on                 
  Domestic Violence  and  Sexual Assault.    He noted  that  a                 
  felon's  check  would go  to  the Crime  Victim Compensation                 
  Fund, Sex Offender Treatment, issued under the Department of                 
  Corrections and the Council on Domestic Violence.                            
                                                                               
  Representative  Parnell   MOVED  HB   225  with   individual                 
  recommendations  and  the accompanying  fiscal note.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  HB  225  was reported  out  of  Committee with  a  "do pass"                 
  recommendation and with a zero fiscal note by the Department                 
  of Revenue.                                                                  
                                                                               
  HOUSE BILL 158                                                               
                                                                               
       "An Act  making appropriations for  contract settlement                 
       costs   and   cost-of-living  adjustments   for  public                 
                                                                               
                                9                                              
                                                                               
                                                                               
       employees  who  are   members  of  certain   collective                 
       bargaining units; and providing for an effective date."                 
                                                                               
  NANCY    BEAR    USERA,    COMMISSIONER,    DEPARTMENT    OF                 
  ADMINISTRATION,  stated that  the Labor,  Trades and  Crafts                 
  Agreement Management goals are to:                                           
                                                                               
       *    Increase   management   flexibility   to   respond                 
            effectively to the changing economic conditions of                 
            the  State   while  maximizing   the  quality   of                 
            government services to the public.                                 
                                                                               
            1.   Where possible, defer to the Personnel Rules.                 
                                                                               
            2.   Increase   management   choice   when  making                 
                 promotions.                                                   
                                                                               
            3.   Clarify  management's  right to  contract out                 
                 work and layoff employees.                                    
                                                                               
            4.   Terminate all prior letters of agreement.                     
                                                                               
       *    Improve productivity, accountability, consistency,                 
            and efficiency of State government operations.                     
                                                                               
            1.   Reduce   overtime   and  other   premium  pay                 
                 liabilities to FLSA standards.                                
                                                                               
            2.   Convert travel  and per  diem entitlement  to                 
                 those  provided  in the  State Administrative                 
                 Manual.                                                       
                                                                               
            3.   Reduce the number of holidays.                                
                                                                               
       *    Realign the cost of personal services,  moderating                 
            the  State's relative  position as  a  provider of                 
            wages and benefits  so as  to reflect the  current                 
            and foreseeable economic environment.                              
                                                                               
            1.   Modify  health  benefits,  reduce unnecessary                 
                 utilization     and     increase     employee                 
                 participation   in   selecting   the  benefit                 
                 package.                                                      
                                                                               
            2.   Share   future   cost  increases   of  health                 
                 insurance  between  the  employees   and  the                 
                 State.                                                        
                                                                               
            3.   Limit across the board salary increases.                      
                                                                               
            4.   Defer  the  effective   date  of  the  salary                 
                 increase by six months.                                       
                                                                               
                               10                                              
                                                                               
                                                                               
  She noted  that negotiations  began in  December, 1991,  and                 
  were  limited  to  six  contract  articles selected  by  the                 
  parties.   With the  assistance  of a  federal mediator,  an                 
  agreement was  reached with a  three year arrangement.   The                 
  issues  covered  were   contracting-out,  licenses,   wages,                 
  classification, call back,  travel, holidays, family  leave,                 
  promotion, health insurance  and signing bonus.   She added,                 
  these  are the  bargaining terms  covering  the life  of the                 
  contract for a two year period.                                              
                                                                               
  Co-Chair  MacLean  questioned  the fiscal  changes  from  $5                 
  million to $9  million dollars  occurring from the  original                 
  bill.  Ms.  Usera stated that  there was a monetary  roll-in                 
  from the University agreement.  The bargaining agreement now                 
  includes 1993/1994 members.                                                  
                                                                               
  CHERYL FRASCA,  DIRECTOR, DIVISION OF  BUDGET REVIEW, OFFICE                 
  OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, reiterated                 
  that an  amendment had been  included for the  University in                 
  Sections 5 and 6.   She added that additional  sections were                 
  updated  which  omitted  the employer  costs  of  paying the                 
  bonuses.                                                                     
                                                                               
  MARSHA HUBBARD,  DIRECTOR OF BUDGET,  UNIVERSITY OF  ALASKA,                 
  advised that  an agreement with  the LTC  Contract had  been                 
  signed last May, 1992, and provided the same salary increase                 
  as given the non-union employees during  FY 93.  The receipt                 
  of the three percent increase is dependant upon negotiations                 
  and the Legislative appropriation.                                           
                                                                               
  Co-Chair MacLean  MOVED to  report CS  HB 158  (L&C) out  of                 
  Committee with  individual recommendations.  There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  CS  HB 158 (L&C)  was reported out  of Committee with  a "do                 
  pass" recommendation.                                                        
                                                                               
  HOUSE BILL 79                                                                
                                                                               
       "An  Act relating  to recovery  from a parent  or legal                 
       guardian of wilful or malicious destruction of property                 
       by a minor."                                                            
                                                                               
  JENNY MURRAY, AID TO REPRESENTATIVE  CON BUNDE, testified in                 
  support  of  HB 79  and  stated that  the  legislation would                 
  increase  the  current cap  for  parental liability  from $2                 
  thousand dollars to what is allowable in district court, $50                 
  thousand dollars.   The bill would allow  owners of property                 
  damaged  wilfully  or  maliciously  by  a minor  to  recover                 
  monetarily from the minor's parents or legal guardian.  With                 
  this bill, victims of property damage may finally be able to                 
                                                                               
                               11                                              
                                                                               
                                                                               
  recover a greater portion  of their losses as long  as those                 
  damages total less than $50 thousand dollars.                                
                                                                               
  Representative Parnell referenced Page 1, Line 10, and asked                 
  why "destroys"  was used instead  of "damages".   Ms. Murray                 
  stated  the  verbiage  was the  same  as  that  used in  the                 
  original  statute.     Representative  Parnell   recommended                 
  changing  the language with the advise  of the Department of                 
  Law.                                                                         
                                                                               
  Co-Chair MacLean suggested that the $50 thousand dollar fine                 
  was too  harsh.  She asked if the  child could be covered by                 
  insurance.   Ms. Murray suggested that home  owners could be                 
  covered by  home owners  insurance.   She  pointed out  that                 
  legislation is geared toward the victims of property damage.                 
                                                                               
                                                                               
  Discussion  followed  regarding  the responsibility  of  the                 
  insurance  company  paying  the fees  of  damage  versus the                 
  parent's responsibility of the minor.  Co-Chair Larson asked                 
  accountability of parents of run-away  children.  Ms. Murray                 
  pointed out that the legal guardian is the responsible party                 
  if they had not  emancipated that child.  The  Department of                 
  Health and Social  Services is  involved in determining  the                 
  necessary process.                                                           
                                                                               
  Co-Chair MacLean questioned  the average rate paid  by other                 
  states.  Ms. Murray  pointed out that Alaska's rate  has not                 
  been  revised since  1967 and  is currently  lower than  the                 
  other maximums.   The average for  most states is $15  - $25                 
  thousand dollars.                                                            
                                                                               
  Representative Hoffman questioned the  rights of the injured                 
  party to collect the proposed fees.                                          
                                                                               
  (Tape Change, HFC 93-65, Side 2).                                            
                                                                               
  Ms. Murray  stated that upon  deciding that the  juvenile is                 
  guilty,   there   are   several   ways   to   determine  the                 
  responsibility such  as claiming the permanent  fund, taking                 
  their  personal  property,  etc.    Representative   Hoffman                 
  thought  this  would place  unfair  hardship on  the family.                 
  Representative Parnell reminded the Committee that there are                 
  exemptions  protecting  the  family's  equity.    Discussion                 
  followed regarding  protection the  minor's parents  and the                 
  victim's house insurance coverage.                                           
                                                                               
  Co-Chair Larson MOVED to amend Page  1, Line 7, by inserting                 
  "$10 thousand dollars"  and deleting "$2 thousand  dollars".                 
  Representative  Foster  OBJECTED.   He  MOVED  to  amend the                 
  amendment to "$5 thousand dollars".   Representative Parnell                 
  OBJECTED.                                                                    
                                                                               
                               12                                              
                                                                               
                                                                               
  A roll call was taken on the MOTION to amend the amendment.                  
                                                                               
       IN FAVOR:      Martin,   Brown,   Foster,  Grussendorf,                 
                      Hoffman, MacLean.                                        
                                                                               
       OPPOSED:       Parnell, Therriault, Hanley, Larson.                     
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
  The MOTION PASSED, (6 - 4).                                                  
                                                                               
  A roll call was taken on the MOTION to adopt the $5 thousand                 
  dollar change.                                                               
                                                                               
       IN FAVOR:      Brown,   Foster,   Grussendorf,  Hanley,                 
                      Martin, Larson, MacLean.                                 
                                                                               
       OPPOSED:       Parnell, Therriault, Hoffman.                            
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
  The MOTION PASSED, (7 - 3).                                                  
                                                                               
  Representative Parnell MOVED to report CS HB 79 (FIN) out of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  CS  HB 79  (FIN) was reported  out of  Committee with  a "do                 
  pass"  recommendation  and with  three  fiscal notes  by the                 
  Department  of Health  and  Social Services  dated  2/10/93,                 
  Department   of  Administration   dated   2/10/93  and   the                 
  Department of Law dated 2/10/93.                                             
                                                                               
  HOUSE BILL 143                                                               
                                                                               
       "An Act  relating to  the distribution  of the  revenue                 
       obtained from imposition of the state tax on motor fuel                 
       used in  watercraft of all descriptions;  and providing                 
       for an effective date."                                                 
                                                                               
  REPRESENTATIVE JERRY MACKIE testified in  support of HB 143.                 
  The  legislation  was  introduced  in  response to  interest                 
  expressed by several communities  regarding local harbor and                 
  dock facilities.  The bill would provide to a municipality a                 
  portion of state watercraft fuel taxes collected within that                 
  municipality.  The portion would be determined  by the ratio                 
  of city owned  docks and harbors  to all public owned  docks                 
  and harbors in that  area.  The bill would  generate revenue                 
  sharing of tax receipts derived from facility users.                         
                                                                               
                                                                               
                               13                                              
                                                                               
                                                                               
  Most  harbor  facilities  located throughout  the  State are                 
  currently owned  by  the Department  of  Transportation  and                 
  Public Facilities.  These facilities are usually operated by                 
  the local municipalities.   In recent years,  the Department                 
  has sought  to have the municipalities take ownership of the                 
  facilities and the associated  maintenance responsibilities.                 
  Their view is that  the "on site" operator is  better suited                 
  for effective  and efficient upkeep  of a facility  than the                 
  distant DOTPF personnel.                                                     
                                                                               
  Representative   Therriault   expressed  concern   with  the                 
  operational   expense   currently    paid   by   the   local                 
  municipalities.    Representative Mackie  remarked  there is                 
  little maintenance  performed  in  the  smaller  communities                 
  which have harbors although there is a lot of deterioration.                 
  The legislation would provide funds  to address local harbor                 
  facility concerns.                                                           
                                                                               
  Representative Brown inquired how  military facilities would                 
  be  treated.     Representative   Mackie  said   "publically                 
  operated"  refers  only to  moorage  facilities  operated by                 
  DOTPF  or  a  local   municipality.    Discussion   followed                 
  regarding facilities publically owned and operated.                          
                                                                               
  Representative  Brown  MOVED to  amend  Page 2,  Line  7, by                 
  adding the language following  "are" by deleting "publically                 
  operated" and insert  "owned by  the State or  municipality"                 
  and  to  include  Amendment  #1 proposed  by  Representative                 
  Mackie.  [Attachment #1].  An additional amendment was moved                 
  to  add  the language  to  Page 2,  Line  7, after  the word                 
  "commissioner" adding "of  Department of Transportation  and                 
  Public Facilities".                                                          
                                                                               
  Co-Chair MacLean recommended  adding a sunset clause  to the                 
  legislation.    Representative  Mackie  explained  adding  a                 
  sunset would not work.   An incentive would be  provided and                 
  then  the  funds would  be removed.    This would  leave the                 
  municipalities owning the  harbors with no funds  to operate                 
  them.                                                                        
                                                                               
  Representative Brown MOVED the suggested amendment.                          
                                                                               
  (Tape Change, HFC 93-66, Side 1).                                            
                                                                               
  RON LIND, DIRECTOR, PLANS,  PROGRAMS, AND BUDGET, DEPARTMENT                 
  OF  TRANSPORTATION   AND  PUBLIC   FACILITIES,  stated   the                 
  amendment  to  change DOTPF  as  the agency  for determining                 
  footage  would be appropriate.   He  stated that  the Alaska                 
  Marine Highway dock would need to be excluded.                               
                                                                               
  Representative Martin OBJECTED.                                              
                                                                               
                                                                               
                               14                                              
                                                                               
                                                                               
  A roll call was taken on the MOTION.                                         
                                                                               
       IN FAVOR:      Parnell,   Therriault,  Brown,   Foster,                 
                      Grussendorf,  Hanley,  Hoffman, MacLean,                 
                      Larson.                                                  
                                                                               
       OPPOSED:       Martin.                                                  
                                                                               
  Representative Navarre was not present for the vote.                         
                                                                               
  The MOTION PASSED, (9 - 1) and the amendment was included.                   
                                                                               
  HB 143 was HELD in Committee for further discussion.                         
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 10:05 A.M.                                          
                                                                               
                                                                               
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