Legislature(1993 - 1994)

04/25/1993 12:10 PM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                                                                               
                                                                               
                     HOUSE FINANCE COMMITTEE                                   
                         April 25, 1993                                        
                           12:10 p.m.                                          
                                                                               
  TAPE HFC 93-124, Side 2, #000 - end.                                         
  TAPE HFC 93-125, Side 1, #000 - end.                                         
  TAPE HFC 93-125, Side 2, #000 - end.                                         
  TAPE HFC 93-126, Side 1, #000 - end.                                         
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair Larson called the House  Finance Committee to order                 
  at 12:10 p.m.                                                                
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Larson                                                              
  Co-Chair MacLean            Representative Martin                            
  Vice-Chair Hanley           Representative Navarre                           
  Representative Brown        Representative Parnell                           
  Representative Foster       Representative Therriault                        
  Representative Grussendorf                                                   
                                                                               
  Representative Hoffman was  absent from the meeting.                         
  ALSO PRESENT                                                                 
                                                                               
  Mike  Greany, Director,  Legislative Finance  Division; Jack                 
  Fargnoli, Office of  Budget and Management; Shelby  Stastny,                 
  Director,  Office of  Budget and  Management;  Kent Swisher,                 
  Alaska  Municipal  League;  Dean Guaneli,  Chief,  Assistant                 
  Attorney General, Department of  Law; Charles Cole, Attorney                 
  General,  Department of  Law;  Ken Erickson,  Staff, Senator                 
  Pearce;  Lieutenant  Chris  Stockard, Department  of  Public                 
  Safety.                                                                      
                                                                               
  SUMMARY INFORMATION                                                          
                                                                               
  SB 97     "An  Act   relating  to  enhanced   911  emergency                 
            reporting systems; and  providing for an effective                 
            date."                                                             
                                                                               
            HCS CSSB 97  (FIN) was  reported out of  Committee                 
            with a "no recommendation" and  with a zero fiscal                 
            note  by the Department  of Commerce  and Economic                 
            Development, dated 2/24/93.                                        
                                                                               
  SB 100    "An   Act   making   supplemental    and   special                 
            appropriations   for   the   expenses   of   state                 
            government;   making,   amending,   and  repealing                 
            capital   and   operating    appropriations;   and                 
            providing for an effective date."                                  
                                                                               
                                                                               
                                1                                              
                                                                               
                                                                               
            SB 100 was HELD in Committee.                                      
                                                                               
  HB 124    "An  Act  relating  to grants  to  municipalities,                 
            named recipients, and  unincorporated communities;                 
            establishing   capital   project   matching  grant                 
            programs  for  municipalities  and  unincorporated                 
            communities;    establishing    a    local   share                 
            requirement   for   capital   project  grants   to                 
            municipalities,     named      recipients,     and                 
            unincorporated communities; and  providing for  an                 
            effective date."                                                   
                                                                               
            CSHB 124 (FIN) was reported  out of Committee with                 
            "no recommendation" and with a zero fiscal note by                 
            the House  Finance Committee  and with two  fiscal                 
            impact notes by the House Finance Committee.                       
                                                                               
  HB 125    "An Act making  appropriations for capital project                 
            matching  grant  programs;  and  providing for  an                 
            effective date."                                                   
                                                                               
            CSHB 125 (FIN) was reported  out of Committee with                 
            "no recommendation".                                               
                                                                               
  HB 187    "An Act  authorizing the  interception of  private                 
            communications  related  to   the  commission   of                 
            certain   criminal   offenses;    making   related                 
            amendments to statutes  relating to  eavesdropping                 
            and  wiretapping;  relating  to  the  penalty  for                 
            violation  of  statutes relating  to eavesdropping                 
            and unauthorized interception, publication, or use                 
            of private  communications; and  providing for  an                 
            effective date."                                                   
                                                                               
            CSHB 187 (FIN) was reported  out of Committee with                 
            "no recommendation" and with a zero fiscal note by                 
            the Department of Law, dated 3/1/93; a zero fiscal                 
            note by  the Department  of Administration,  dated                 
            3/1/93; a fiscal  impact note by the  Alaska Court                 
            System; a fiscal impact note  by the Department of                 
            Public Safety,  dated 4/2/93;  and  with a  fiscal                 
            impact note  by the Department  of Administration,                 
            dated 3/1/93.                                                      
                                                                               
  HB 188    "An   Act  relating   to  forfeiture   of  certain                 
            property; and providing for an effective date."                    
                                                                               
            HB 188 was HELD in Committee.                                      
  SENATE BILL NO. 100                                                          
                                                                               
       "An Act making supplemental  and special appropriations                 
                                                                               
                                2                                              
                                                                               
                                                                               
       for the expenses of state government; making, amending,                 
       and repealing capital and operating appropriations; and                 
       providing for an effective date."                                       
                                                                               
  Co-Chair Larson reviewed sections held open in SB 100.                       
                                                                               
  SB 100 was held in committee.                                                
  HOUSE BILL NO. 124                                                           
                                                                               
       "An  Act relating  to  grants to  municipalities, named                 
       recipients,     and     unincorporated     communities;                 
       establishing  capital  project matching  grant programs                 
       for  municipalities  and   unincorporated  communities;                 
       establishing  a  local  share requirement  for  capital                 
       project grants to municipalities, named recipients, and                 
       unincorporated  communities;  and   providing  for   an                 
       effective date."                                                        
                                                                               
  Co-Chair MacLean provided  members a with work  draft for HB
  124  (FIN),  8-GH1018\O (copy  on  file).   Co-Chair MacLean                 
  provided  members  with  AMENDMENT 1  (Attachment  1).   She                 
  explained that  Amendment 1 would create a sliding scale and                 
  change 8 percent  to 7 percent.   Co-Chair MacLean MOVED  to                 
  ADOPT AMENDMENT  1.   There being  NO OBJECTION,  it was  so                 
  ordered.                                                                     
                                                                               
  Representative  Brown  presented  members  with AMENDMENT  2                 
  (Attachment 2).  Amendment 2  would define "capital project"                 
  as a project with a cost exceeding $10.0 thousand dollars...                 
  with  an  anticipated  life  exceeding  one  year..."    She                 
  suggested that  the Amendment  be amended  to $5.0  thousand                 
  dollars a year over two years.                                               
                                                                               
  SHELBY STASTNY, DIRECTOR,  OFFICE OF  BUDGET AND  MANAGEMENT                 
  did not  have objections to Representative Brown's amendment                 
  or amendment to  the Amendment.   Co-Chair Larson  expressed                 
  concern that  school districts and municipalities  would use                 
  the matching grant for deferred maintenance.  Representative                 
  Martin  expressed  concern  that the  $5.0  thousand  dollar                 
  eligibility requirement would result in more  administrative                 
  costs.                                                                       
                                                                               
  Representative  Parnell asked if  the Internal  Revenue Code                 
  definition  of  capital project  would  apply.   Mr. Stastny                 
  replied  that the  Internal  Revenue Code  defines  "capital                 
  project" as  any expenditure that  is expected to  last more                 
  than   a  year  and/or   extend  the   life  of   an  asset.                 
  Representative  Grussendorf  noted  that  the definition  of                 
  capital project contained in Amendment 2 would only apply to                 
  the Capital Matching Program.                                                
                                                                               
                                                                               
                                3                                              
                                                                               
                                                                               
  Co-Chair  Larson  stressed  that  municipalities can  handle                 
  smaller maintenance projects.  Representative Brown asserted                 
  that small communities need flexibility.                                     
                                                                               
  Representative Brown MOVED  to AMEND  Amendment 2 to  insert                 
  "$5.0" and delete "$10.0" and  delete "one" and insert "two"                 
  years.  Representative  Martin OBJECTED.   A roll call  vote                 
  was taken on the motion.                                                     
                                                                               
  IN FAVOR: Parnell, Brown                                                     
  OPPOSED:  Grussendorf,  Foster,  Hanley,   Martin,  Parnell,                 
                 Therriault, MacLean, Larson                                   
                                                                               
  Representatives Hoffman and Navarre were not present for the                 
  vote.                                                                        
                                                                               
  The MOTION FAILED (2-8).                                                     
                                                                               
  Representative   Brown   MOVED   to   ADOPT   AMENDMENT   2.                 
  Representative Martin OBJECTED.  A  roll call vote was taken                 
  on the motion.                                                               
                                                                               
  IN FAVOR: Therriault, Brown, Foster, Grussendorf, MacLean                    
  OPPOSED:  Martin, Parnell, Hanley, Larson                                    
                                                                               
  Representatives Hoffman and Navarre were not present for the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (5-4).                                                     
                                                                               
  Representative  Brown  provided  members  with  AMENDMENT  3                 
  (Attachment  3).   She  explained  that the  Amendment would                 
  acknowledge that the state is  not responsible for operation                 
  of projects.  She discussed Amendment  3.  Members discussed                 
  the   affect   of   the   amendment   on  CSHB   82   (FIN).                 
  Representative Brown WITHDREW AMENDMENT 3.                                   
                                                                               
  Co-Chair MacLean expressed concern that  page 4, line 20 and                 
  23 needs further  clarification to  identify money spent  as                 
  capital matching money.                                                      
                                                                               
  JACK FARGNOLI, OFFICE  OF MANAGEMENT  AND BUDGET, OFFICE  OF                 
  THE GOVERNOR  observed that  language should  be adopted  to                 
  define that "10 percent  of the total amount of  money spent                 
  on land acquisition" applies to  the appropriation or grant.                 
                                                                               
  Representative  Brown  provided  members  with  AMENDMENT  4                 
  (Attachment 4).  She explained that Amendment 4 will clarify                 
  that no more than  10 percent of state money will  go to the                 
  administrative cost for the  whole project.   Representative                 
  Brown MOVED to ADOPT AMENDMENT 4.  There being NO OBJECTION,                 
  it was so ordered.                                                           
                                                                               
                                4                                              
                                                                               
                                                                               
  Representative  Brown  provided  members  with  AMENDMENT  5                 
  (Attachment 5).  She explained that Amendment 5 will forward                 
  fund the program.  The Office of Management and Budget would                 
  have   the   summer   months   to   establish   regulations.                 
  Representative Brown MOVED  to ADOPT AMENDMENT 5.   Co-Chair                 
  MacLean OBJECTED.  A roll call vote was taken on the motion.                 
                                                                               
  IN FAVOR: Brown                                                              
  OPPOSED:  Grussendorf,  Navarre,  Hanley,  Martin,  Parnell,                 
                 Therriault, MacLean, Larson                                   
                                                                               
  The MOTION FAILED (8-1).                                                     
                                                                               
  Representatives Foster and Hoffman were  not present for the                 
  vote.                                                                        
                                                                               
  Representative Brown MOVED to ADOPT AMENDMENT 6  (Attachment                 
  6).  She MOVED to AMEND the Amendment to delete "originally"                 
  and "insert or other assets".  She stated that the amendment                 
  to Amendment 5 would allow  equipment obtained through state                 
  grants to  be sold.   There  being NO  OBJECTION, it  was so                 
  ordered.  Representative Brown MOVED to ADOPT AMENDMENT 5 as                 
  amended.  Co-Chair Larson spoke in support of the amendment.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Co-Chair   MacLean  provided   members   with  AMENDMENT   7                 
  (Attachment 7).                                                              
                                                                               
  (Tape Change, HFC 93-125, Side 1)                                            
                                                                               
  Mr. Fargnoli explained that Amendment  7 is a "housekeeping"                 
  amendment which  clarifies the definition of  "local share".                 
  Co-Chair MacLean MOVED to ADOPT AMENDMENT 7.                                 
                                                                               
  Co-Chair  Larson  asked who  would  be responsible  for cost                 
  overruns.  Mr.  Stastny stressed that each community has the                 
  option  of  investing  from  their  pool  of funds.    If  a                 
  community has money in their account the state would provide                 
  a match at the same ratios.                                                  
                                                                               
  Co-Chair MacLean referred  to fiscal  notes accompanying  HB
  124.  Mr. Fargnoli discussed fiscal notes for the Department                 
  of   Community   and   Regional   Affairs,   Department   of                 
  Administration and municipal impact.  He noted that matching                 
  requirements  will  add  to  administrative  costs  in   the                 
  Department of Community and Regional Affairs.                                
                                                                               
  Representative Navarre express concern  that the departments                 
  will  not  have  sufficient personnel  to  administrator the                 
  grants efficiently.  He asked  if Davis Bacon laws regarding                 
  pay scale cause difficulties.  Mr. Fargnoli assured him that                 
                                                                               
                                5                                              
                                                                               
                                                                               
  Davis Bacon laws will not cause problems.                                    
                                                                               
  Representative  Grussendorf  asked   if  the  Department  of                 
  Transportation and  Public Facilities would  be involved  in                 
  projects.    Mr  Fargnoli  agreed  that  the  Department  of                 
  Transportation  and Public  Facilities could be  affected by                 
  projects but did not anticipate increased budget needs.                      
                                                                               
  Representative  Foster  MOVED  to  ADOPT  the  fiscal  notes                 
  associated with CSSB 88 (FIN) for as House Finance Committee                 
  fiscal notes for  HB 124.  There being NO  OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  Representative Martin  MOVED to report CSHB 124 (FIN) out of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  CSHB 124  (FIN)  was  reported out  of  Committee  with  "no                 
  recommendation" and  with a  zero fiscal  note by  the House                 
  Finance  Committee and with  two fiscal impact  notes by the                 
  House Finance Committee.                                                     
                                                                               
  Representative   Hanley   expressed   his  desire   to   see                 
  administrative costs deducted  from the grant.   Mr. Stastny                 
  observed that overhead costs for the capital matching grants                 
  are absorbed  in the  affected agencies'  budget.   Co-Chair                 
  Larson agreed that increased agency costs should be included                 
  in  the  grant  process.    He   stressed  that  it  is  the                 
  Committee's intent that costs be born by  the grant program.                 
  There being NO OBJECTION, CSHB 124  (FIN) was moved from the                 
  Committee.                                                                   
  HOUSE BILL NO. 187                                                           
                                                                               
       "An  Act   authorizing  the  interception   of  private                 
       communications  related  to the  commission  of certain                 
       criminal   offenses;   making  related   amendments  to                 
       statutes  relating  to  eavesdropping and  wiretapping;                 
       relating  to  the  penalty for  violation  of  statutes                 
       relating    to    eavesdropping     and    unauthorized                 
       interception,   publication,   or   use    of   private                 
       communications; and providing for an effective date."                   
                                                                               
  DEAN GUANELI,  CHIEF ASSISTANT  ATTORNEY, DEPARTMENT  OF LAW                 
  discussed HB 187.   He explained  that federal wire  tapping                 
  law would not cover all  occasions that the Department wants                 
  to pursue.   He noted that  the federal government will  not                 
  get   involved   with   murder   cases   unless   interstate                 
  jurisdiction is  involved.  He  observed that before  a wire                 
  tap is established  someone from the Department  of Law must                 
  be involved.  He  emphasized that the standards apply  as in                 
                                                                               
                                6                                              
                                                                               
                                                                               
  issuing a search warrant.    He maintained that wire tapping                 
  will be the last resort employed in an investigation.                        
                                                                               
  CHARLES COLE,  ATTORNEY GENERAL, DEPARTMENT  OF LAW  pointed                 
  out that wire tapping  is allowed only in cases of murder in                 
  the  first  or second  degree, kidnapping  or  a class  A or                 
  unclassified felony drug  offense.   He noted that  detailed                 
  requirements are  contained on  pages 2  - 4.   He  reviewed                 
  requirements  and  limitations  of wire  taps.    He assured                 
  members that adequate safeguards exist.                                      
                                                                               
  Representative Brown  referred  to page  11, line  25.   She                 
  asked what procedures will be followed prior to interception                 
  of communications in  electronic storage.   She pointed  out                 
  that  the  electronic  storage  could  mean voice  mail  and                 
  bulletin  board communications.   She expressed concern that                 
  the legislation  is being  broadened to  included computers.                 
  Mr. Guaneli  stated that  the procedures  applying to  paper                 
  storage would apply to computer storage.                                     
                                                                               
  Representative Brown referred to page 9, line 20.  She asked                 
  the meaning of "nonconstitutional violation".    Mr. Guaneli                 
  stated that the intent is that  the misapplication of one of                 
  the  specific  provisions  required in  the  issuing  of the                 
  warrant will not give  rise to a lawsuit for  damages unless                 
  there  is  a  violation of  an  individual's  constitutional                 
  rights.    He  noted  that   the  provisions  are  detailed.                 
  Evidence  collected  improperly would  not be  admissable in                 
  trial.                                                                       
                                                                               
  (Tape Change, HFC 93-125, Side 2)                                            
                                                                               
  Representative  Grussendorf asked  what would  happen if  an                 
  investigation uncovered a crime which is  not covered by the                 
  wire tapping warrant.  Attorney General Cole noted that page                 
  8, line 19 covers unanticipated interceptions.                               
                                                                               
  Representative  Brown  provided  members  with  AMENDMENT  1                 
  (Attachment 8).  She explained that the amendment would make                 
  available to  the Governor  and the  Legislature information                 
  regarding the use  of wire  tapping.  She  pointed out  that                 
  confidential information would  not be  involved.   Attorney                 
  General Cole did not object to the amendment.                                
                                                                               
  Representative  Parnell  MOVED  to AMEND  the  Amendment  to                 
  delete "for  the Governor  and the  Legislature" and  insert                 
  "and make available  to the public."   Representative Martin                 
  OBJECTED.  A roll call vote was taken on the motion.                         
                                                                               
  IN FAVOR: Grussendorf,  Brown,   Foster,  Hanley,   Parnell,                 
                 Therriault, MacLean, Larson                                   
  OPPOSED:  Martin                                                             
                                                                               
                                7                                              
                                                                               
                                                                               
  Representatives Hoffman and Navarre were not present for the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (8-1).                                                     
                                                                               
  Representative Brown MOVED to ADOPT  AMENDMENT 1 as amended.                 
  Co-Chair Larson OBJECTED.  A roll call vote was taken on the                 
  motion.                                                                      
                                                                               
  IN FAVOR: Grussendorf,  Brown,   Foster,  Hanley,   Parnell,                 
                 Therriault                                                    
  OPPOSED:  Martin, MacLean, Larson                                            
                                                                               
  Representatives Hoffman and Navarre were not present for the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (6-3).                                                     
                                                                               
  Representative  Brown MOVED to ADOPT AMENDMENT 2 (Attachment                 
  9).    She  stated  that the  amendment  would  clarify that                 
  cellular  telephone  communications be  included.   Attorney                 
  General Cole  spoke against  the amendment.   He  maintained                 
  that   cellular   phones    would   already   be   included.                 
  Representative Brown replied  that page 16, line  6 excludes                 
  "any communication that is readily accessible to the general                 
  public."  She  noted that cellular phones are  accessible to                 
  the  general public.   She  asserted that  the  amendment is                 
  needed to prevent  exclusion of  cellular phones.   Attorney                 
  General Cole disagreed that cellular phone transmissions are                 
  "readily"  accessible.    Representative  Parnell  spoke  in                 
  support of Amendment 2.  There being NO OBJECTION, Amendment                 
  2 was adopted.                                                               
                                                                               
  Representative Brown MOVED to ADOPT  AMENDMENT 3 (Attachment                 
  10).   She explained that Amendment 3 would include cordless                 
  phones.  She maintained that cordless phones are excluded on                 
  page 15, line  29.   She stressed that  private phone  calls                 
  should be  kept private  unless procedures  are followed  to                 
  obtain a  wire tap  warrant.   Attorney  General Cole  spoke                 
  against Amendment  3.   Representative Martin  OBJECTED.   A                 
  roll call vote was taken on the motion.                                      
                                                                               
  IN FAVOR: Brown, Grussendorf, Foster, Parnell, MacLean                       
  OPPOSED:  Hanley, Martin, Therriault, Larson                                 
                                                                               
  Representatives Hoffman and Navarre were not present for the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (5-4).                                                     
                                                                               
  Representative Brown MOVED  to ADOPT  AMENDMENT 4 to  insert                 
                                                                               
                                8                                              
                                                                               
                                                                               
  "Except for a  party to a  private conversation."   Attorney                 
  General  Cole agreed that  the amendment  clarifies existing                 
  statutes.  There being NO OBJECTION, it was so ordered.                      
                                                                               
  Representative  Parnell referred  to page  11, line 14.   He                 
  asked  if  the requirement  to  file reports  would endanger                 
  officers.   Attorney General  Cole replied  that the  Alaska                 
  State Troopers have no objection to the requirement.                         
                                                                               
  Representative  Foster  asked for  further  clarification of                 
  unanticipated interception.  Mr. Guaneli noted that officers                 
  are required to minimize  interceptions not directly related                 
  to the investigation.                                                        
                                                                               
  Representative  Brown referred  to  page 8,  line  22.   She                 
  suggested that approval  for unanticipated interceptions  be                 
  limited to crimes  covered by AS 12.37.010.   Representative                 
  Hanley argued for a broader interpretation.   Representative                 
  Grussendorf noted that search warrants  are harder to obtain                 
  and that evidence  is more tangible.   Attorney General Cole                 
  suggested that "felony" be inserted on page 8, line 22.  Co-                 
  Chair  Larson  MOVED  to  AMEND  Amendment  4  to  insert "a                 
  felony".  There being NO OBJECTION, it was so ordered.                       
                                                                               
  Co-Chair  Larson  MOVED  to ADOPT  AMENDMENT  4  as amended.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Representative Martin MOVED  to report CSHB 187 (FIN) out of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  CSHB  187  (FIN) was  reported  out  of Committee  with  "no                 
  recommendation"  and  with   a  zero  fiscal  note   by  the                 
  Department of Law, dated  3/1/93; a zero fiscal note  by the                 
  Department of  Administration, dated 3/1/93; a fiscal impact                 
  note by the Alaska Court System; a fiscal impact note by the                 
  Department of Public Safety, dated 4/2/93; and with a fiscal                 
  impact  note  by  the  Department  of  Administration, dated                 
  3/1/93.                                                                      
  HOUSE BILL NO. 188                                                           
                                                                               
       "An Act relating to forfeiture of certain property; and                 
       providing for an effective date."                                       
                                                                               
  Co-Chair  Larson  noted  that  HB  188 would  utilize  asset                 
  forfeiture as a tool for combating drugs and violent crimes.                 
                                                                               
                                                                               
  Attorney  General Cole  suggested  that page  7,  line 2  be                 
  amended  to  read, "did  not  know before  parting  with the                 
                                                                               
                                9                                              
                                                                               
                                                                               
  property that the property would be  used in the manner that                 
  resulted in it being subject to  forfeiture."  He noted that                 
  present law  does  not allow  for the  forfeiture of  "real"                 
  property.   He emphasized that drugs are  produced and grown                 
  on "real" property.  He clarified, in response to a question                 
  by Co-Chair MacLean,  that the  amendment would prevent  the                 
  owner from forfeiture  of rental  property if  they did  not                 
  have  knowledge of  the crime.    Representative Grussendorf                 
  pointed out that the property can  still be seized until the                 
  owner proves his innocence.                                                  
                                                                               
  Attorney  General Cole  asserted that  the legislation  will                 
  curtail drug activity.   Co-Chair MacLean suggested  that on                 
  page 3,  line 16  "indictment" be  deleted and  "conviction"                 
  inserted.   Mr. Guaneli  observed that  other states  do not                 
  require  convictions.    He  noted  that conviction  is  not                 
  dependent on whether an act took place.                                      
                                                                               
  (Tape Change, HFC 93-126, Side 1).                                           
                                                                               
  Attorney General Cole continued to discuss the forfeiture of                 
  property for use in drug crimes.                                             
                                                                               
  Co-Chair MacLean  referred to page  6, lines 11  - 18.   She                 
  noted  that up  to 90  percent  of the  net value  of seized                 
  property could  be transferred to  one or  more agencies  or                 
  political subdivisions of  the state for use  in furtherance                 
  of   the   administration   of   justice.     Representative                 
  Grussendorf expressed  concern that transfers would be under                 
  the jurisdiction of  the commissioner  of the Department  of                 
  Public Safety.   Mr.  Guaneli discussed  procedures used  by                 
  federal  law enforcement  agencies.   Attorney  General Cole                 
  that the  federal government  currently takes  real property                 
  seized in state cases.                                                       
                                                                               
  Representative Brown  referred to testimony by Shelley Owens                 
  before  the  House  Judiciary  Committee.   She  noted  that                 
  forfeiture of a persons bank  account after indictment could                 
  eliminate  the  defendants  ability  to  obtain  independent                 
  defense  counsel  which  would increase  the  burden  on the                 
  Public Defender.  Representative Brown quoted Ms. Shelley as                 
  saying,  "one-half  of   people  who  lose  property   under                 
  forfeiture laws have not  been charged with a crime,  and 80                 
  percent of  people who lose  their property  don't or  can't                 
  contest the forfeitures."                                                    
                                                                               
  Attorney General Cole emphasized that, if HB 188 is adopted,                 
  the state would  initiate proceedings rather  than deferring                 
  all drug forfeitures to the federal government.                              
                                                                               
  Co-Chair MacLean referred to page 1, lines 8  - 10, CSHB 188                 
  (JUD).  Attorney General Cole  stressed that before property                 
                                                                               
                               10                                              
                                                                               
                                                                               
  is forfeited the owner must know  that the property is being                 
  used  in  an illegal  drug  activity.   Representative Brown                 
  argued  that  the burden  of proof  is  on the  person whose                 
  property  is  being  seized.    Mr. Guaneli  clarified  that                 
  property can be seized before guilt is ascertained.                          
                                                                               
  Representative  Foster  asked  if  HB  188 would  go  beyond                 
  federal  forfeiture  laws.    He  noted  that  grand  juries                 
  generally support indictments.   He did not  support seizure                 
  on indictment.                                                               
                                                                               
  Representative  Brown  noted   the  difficulty  of  evicting                 
  tenants that may be involved in drug traffic.                                
                                                                               
  Co-Chair Larson  MOVED to  ADOPT language  amending page  7,                 
  line  2  to read,  "did  not  know before  parting  with the                 
  property that the property would be  used in the manner that                 
  resulted in it being subject to forfeiture."  Representative                 
  Brown noted that  the amendment would include  property from                 
  which  the  owner  is  not  yet  parted.    There  being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair  MacLean  MOVED to  AMEND on  page  3, line  16, to                 
  delete "indictment" and insert "conviction".  Representative                 
  Hanley observed that the  grand jury does not convict.   Co-                 
  Chair  MacLean MOVED  to  AMEND the  motion to  a conceptual                 
  amendment   to  make   the   legislation  applicable   after                 
  conviction not indictment.  Representative Martin maintained                 
  that a criminal  would have time  to hide assets.   Attorney                 
  General  Cole  stated  that  the  amendment would  make  the                 
  legislation ineffectual.  Representative  Martin OBJECTED to                 
  the motion.  Co-Chair MacLean asked  that HB 188 be HELD  in                 
  committee.  Co-Chair MacLean WITHDREW HER AMENDMENT.                         
                                                                               
  HB 188 was HELD in Committee.                                                
  SENATE BILL NO. 97                                                           
                                                                               
       "An Act  relating to enhanced  911 emergency  reporting                 
       systems; and providing for an effective date."                          
                                                                               
  SB   97   was  in   a   subcommittee  consisting   of  chair                 
  Representative  Parnell  with members  Representatives Brown                 
  and  Foster.  Representative  Parnell provided  members with                 
  work draft for  HCS CSSB 97(FIN), #8-LS029\I,  dated 4/22/93                 
  (Attachment 11).                                                             
                                                                               
  KEN  ERICKSON, LEGISLATIVE STAFF, SENATOR PEARCE stated that                 
  SB 97 would provide:                                                         
                                                                               
       1)   Immediate  visual  display  of  the  location  and                 
       telephone      number of the caller.                                    
                                                                               
                               11                                              
                                                                               
                                                                               
       2)   Automatic  routing  to  the appropriate  emergency                 
            response  unit.                                                    
                                                                               
       3)   Faster response time.                                              
                                                                               
       4)   Curtailment of abuses  of the emergency system  by                 
            documenting callers.                                               
                                                                               
  Mr. Erickson stated that Senator Pearce is in support of the                 
  work draft for HCS CSSB 97(FIN), #8-LS029\I, dated 4/22/93.                  
                                                                               
  Representative Parnell noted that the Subcommittee addressed                 
  the  911  surcharge  imposed by  municipalities  to  pay for                 
  enhanced 911 service.  Mr. Erickson  noted that page 5, line                 
  4 the work  draft defines village  as containing 25 or  more                 
  inhabitants.                                                                 
                                                                               
  Representative Parnell explained that the work draft sunsets                 
  the surcharge after 3 years.  He added that "may include the                 
  extraterritorial   jurisdiction   of   a   municipality   in                 
  accordance with AS 29.35.020" was added  on page 3, line 25.                 
  He  explained  that  the  amendment  would  allow  statewide                 
  planning  by the  Telecommunications Information  Council to                 
  continue.                                                                    
                                                                               
  Representative Parnell  MOVED to  ADOPT work  draft for  HCS                 
  CSSB 97(FIN),  #8-LS029\I, dated  4/22/93.   There being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Representative  Brown  provided  members  with  AMENDMENT  1                 
  (Attachment 12).   She  explained that  the amendment  would                 
  create an advisory committee to ascertain the feasibility of                 
  a statewide enhanced  911 system.   Mr.  Erickson noted  the                 
  sponsor's  concern  that  the amendment  would  result  in a                 
  fiscal impact note.                                                          
                                                                               
  LIEUTENANT  CHRIS  STOCKARD,  DEPARTMENT  OF  PUBLIC  SAFETY                 
  testified that the  Department does not anticipate  that the                 
  amendment would result in additional cost to the Department.                 
  He stated that  the Department is proceeding  with statewide                 
  planning.                                                                    
                                                                               
  Representative Parnell spoke in opposition to the amendment.                 
  He stated that  the amendment  would be redundant.   A  roll                 
  call vote was taken on the motion.                                           
                                                                               
  IN FAVOR: Brown                                                              
  OPPOSED:  Foster,  Grussendorf,  Hanley,   Martin,  Parnell,                 
                 Therriault, MacLean, Larson                                   
                                                                               
  Representatives Hoffman and Navarre were not present for the                 
                                                                               
                               12                                              
                                                                               
                                                                               
  vote.                                                                        
                                                                               
  The MOTION FAILED (1-9).                                                     
                                                                               
  Representative Parnell MOVED to report HCS CSSB 97 (FIN) out                 
  of  Committee with  individual recommendations and  with the                 
  accompanying fiscal notes.   Representative Brown maintained                 
  that the  legislation will work  against the  creation of  a                 
  statewide 911 enhanced system.  There being NO OBJECTION, it                 
  was so ordered.                                                              
                                                                               
  HCS CSSB 97  (FIN) was  reported out of  Committee with  "no                 
  recommendation"  and  with   a  zero  fiscal  note   by  the                 
  Department  of  Commerce  and  Economic  Development,  dated                 
  2/24/93.                                                                     
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 4:05 p.m.                                           
                                                                               
                                                                               
                               13                                              

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