Legislature(1999 - 2000)

04/17/2000 02:05 PM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                  HOUSE FINANCE COMMITTEE                                                                                       
                       April 17, 2000                                                                                           
                         2:05 P.M.                                                                                              
                                                                                                                                
TAPE HFC 00 - 123, Side 1                                                                                                       
TAPE HFC 00 - 123, Side 2                                                                                                       
TAPE HFC 00 - 124, Side 1                                                                                                       
TAPE HFC 00 - 124, Side 2                                                                                                       
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair  Therriault  called   the  House  Finance  Committee                                                                   
meeting to order at 2:05 p.m.                                                                                                   
                                                                                                                                
PRESENT                                                                                                                       
                                                                                                                                
Co-Chair Mulder                                                                                                                 
Co-Chair Therriault            Representative Foster                                                                            
Vice Chair Bunde               Representative Grussendorf                                                                       
Representative Austerman       Representative Moses                                                                             
Representative J. Davies       Representative Phillips                                                                          
Representative G. Davis        Representative Williams                                                                          
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Senator,  Dave Donley;  Elmer  Lindstrom, Special  Assistant,                                                                   
Department  of  Health  and Social  Services;  Bob  Loeffler,                                                                   
Director, Division  of Mining, Land and Water,  Department of                                                                   
Natural  Resources; Al  Dwyer,  Director,  Division of  Labor                                                                   
Standards  and  Safety,  Department of  Labor  and  Workforce                                                                   
Development;  Alison Elgee,  Deputy Commissioner,  Department                                                                   
of  Administration;  Shari  Paul,  Alaska  Children's  Trust;                                                                   
Janice  Adair, Director,  Division  of Environmental  Health,                                                                   
Department  of  Environmental  Conservation;  Diana  Rhoades,                                                                   
Staff,  Senator  Ellis; Jane  Deminert,  Executive  Director,                                                                   
Alaska  Commission on  Aging,  Department of  Administration;                                                                   
Angie  Schmitz, Staff,  Senator Elton;  Sharon Clark,  Staff,                                                                   
Senator Miller; Jerry Burnett,  Staff, Senator Green; Michael                                                                   
Pauley,  Staff,  Senator  Leman;  Anne  Carpeneti,  Assistant                                                                   
Attorney General, Legal Services  Section, Criminal Division,                                                                   
Department  of Law;  Al Dwyer,  Director,  Division of  Labor                                                                   
Standards  and  Safety,  Department of  Labor  and  Workforce                                                                   
Development; Al Zangri, State  Registrar, Chief, Bureau Vital                                                                   
Statistics,  Department  of  Administration;   Marie  Darlin,                                                                   
Juneau.                                                                                                                         
                                                                                                                                
TESTIFIED VIA TELECONFERENCE                                                                                                  
                                                                                                                                
Kendall  Thomas,  Alaska Hepatitis  C  Coalition,  Anchorage;                                                                   
Chris  Kennedy,  Anchorage,  Dale   Bondurant,  Kenai;  Sandy                                                                   
Umlauf,  President,  Ugashik  Set  Netter  Association;  Karl                                                                   
Kircher,  Executive  Director,  Kenai  Peninsula  Fisherman's                                                                   
Association, Kenai; Paul Shadura,  Kenai; Roger Kuchenbecker,                                                                   
MatSu;   Dan   Challup,   Kachemak   Bay   Salmon   Producers                                                                   
Cooperative  Homer;   Dwight  Becker,  Program   Coordinator,                                                                   
Division of  Senior Services,  Department of  Administration,                                                                   
Anchorage;   Kay  Burrows,  Director,   Division  of   Senior                                                                   
Services, Department of Administration Anchorage.                                                                               
SUMMARY                                                                                                                       
                                                                                                                                
CSSB 26(FIN)                                                                                                                    
          "An  Act relating to  hindering prosecution  and to                                                                   
          providing false  information or reports  to a peace                                                                   
          officer."                                                                                                             
                                                                                                                                
          CSSB  26(FIN) was  REPORTED out  of Committee  with                                                                   
          "no  recommendation" and  a fiscal  impact note  by                                                                   
          the  Department of Public  Safety; a fiscal  impact                                                                   
          note  by  the  Department of  Corrections;  a  zero                                                                   
          fiscal  note by  the Department  of Public  Safety;                                                                   
          and a zero fiscal note by the Department of Law.                                                                      
                                                                                                                                
CSSB 34(FIN)                                                                                                                    
          "An Act  relating to tattooing, body  piercing, and                                                                   
          ear   piercing;  relating   to  other   occupations                                                                   
          regulated    by   the   Board   of    Barbers   and                                                                   
          Hairdressers;  relating  to  fees  charged  by  the                                                                   
          Board  of Barbers and  Hairdressers; and  providing                                                                   
          for an effective date."                                                                                               
                                                                                                                                
          SB  34(FIN) was  heard  and HELD  in Committee  for                                                                   
          further consideration.                                                                                                
                                                                                                                                
CSSB 73(FIN)                                                                                                                    
          "An  Act relating  to  assisted  living homes;  and                                                                   
          providing for an effective date."                                                                                     
                                                                                                                                
          CSSB  73(FIN) was heard  and HELD in  Committee for                                                                   
          further consideration.                                                                                                
                                                                                                                                
SB 204    "An Act extending the termination date of the                                                                         
          Alaska  Commission on Aging;  and providing  for an                                                                   
          effective date."                                                                                                      
                                                                                                                                
          HSB 204 was heard and HELD in Committee for                                                                           
          further consideration.                                                                                                
                                                                                                                                
CSSB 254(HES)                                                                                                                   
          "An  Act  relating   to  heirloom  certificates  of                                                                   
          marriage."                                                                                                            
                                                                                                                                
          CSSB 254(HES) was REPORTED  out of Committee with a                                                                   
          "do pass"  recommendation and with a  fiscal impact                                                                   
          note  by  the  Department   of  Health  and  Social                                                                   
          Services, published 4/13/00.                                                                                          
                                                                                                                                
SB 257    "An Act relating to notice requirements for                                                                           
          certain final  findings concerning the  disposal of                                                                   
          an interest in state  land or resources for oil and                                                                   
          gas;   relating  to   administrative  appeals   and                                                                   
          petitions  for reconsideration of decisions  of the                                                                   
          Department of Natural  Resources; and providing for                                                                   
          an effective date."                                                                                                   
                                                                                                                                
          SB 257 was REPORTED out of Committee with "no                                                                         
          recommendation"  and  a  zero  fiscal note  by  the                                                                   
          Department of Natural  Resources, published 2/9/00.                                                                   
                                                                                                                                
CSSB 261(FIN)                                                                                                                   
          "An Act relating to  needle stick and sharps injury                                                                   
          protections  and the use of safe needles  by health                                                                   
          care  facilities  and  health  care  professionals;                                                                   
          relating to the vaccination  of health care workers                                                                   
          against   diseases    transmitted   by   bloodborne                                                                   
          pathogens; and providing for an effective date."                                                                      
                                                                                                                                
          CSSB 261(FIN) was REPORTED  out of Committee with a                                                                   
          "do  pass"  recommendation   and  with  three  zero                                                                   
          fiscal  notes: Department  of  Labor and  Workforce                                                                   
          Development,   Department    of   Corrections   and                                                                   
         Department of Health and Social Services.                                                                              
                                                                                                                                
CSSB 283(RES)                                                                                                                   
          "An   Act   establishing    the   shore   fisheries                                                                   
          development  lease program  account and the  timber                                                                   
          receipts  account; relating  to the accounting  for                                                                   
          and  appropriation of revenue  from the  state land                                                                   
          disposal  program, the shore fisheries  development                                                                   
          lease  program,  and   the  state  timber  disposal                                                                   
          program; and providing for an effective date."                                                                        
                                                                                                                                
          CSSB 283(RES) was REPORTED  out of Committee with a                                                                   
          "do  pass"  recommendation   and  with  two  fiscal                                                                   
          impact   note   by   the  Department   of   Natural                                                                   
          Resources, published 3/31/00.                                                                                         
                                                                                                                                
SJR 27 am Proposing amendments to the Constitution of the                                                                       
          State of Alaska relating  to revisions of the state                                                                   
          constitution  and providing  that a  court may  not                                                                   
          change   language  of  a  proposed   constitutional                                                                   
          amendment or revision.                                                                                                
                                                                                                                                
          SJR 27 am was REPORTED out of Committee with "no                                                                      
          recommendation"  and with a  fiscal impact  note by                                                                   
          the Office of the Governor, published 1/24/00.                                                                        
                                                                                                                                
HCR 23    Suspending Rules 24©, 35, 41(b), and 42(e),                                                                           
          Uniform  Rules  of the  Alaska  State  Legislature,                                                                   
          concerning   Senate   Joint  Resolution   No.   27,                                                                   
          proposing an  amendment to the Constitution  of the                                                                   
          State of  Alaska concerning revisions  of the state                                                                   
          constitution and a court's power with respect to                                                                      
          constitutional amendments and revisions.                                                                              
                                                                                                                                
          HCR 23 was heard and HELD in Committee for further                                                                    
          consideration.                                                                                                        
                                                                                                                                
HCR 25    Suspending   Rules  24©,  35,  41(b),   and  42(e),                                                                   
          Uniform Rules of the Alaska State Legislature,                                                                        
          concerning Senate Bill No. 204, relating to the                                                                       
          Alaska Commission on Aging.                                                                                           
                                                                                                                                
SENATE JOINT RESOLUTION NO. 27 am                                                                                             
                                                                                                                                
     Proposing  amendments to the  Constitution of  the State                                                                   
     of   Alaska  relating   to   revisions   of  the   state                                                                   
     constitution and  providing that a court  may not change                                                                   
     language  of  a  proposed  constitutional  amendment  or                                                                   
     revision.                                                                                                                  
                                                                                                                                
Co-Chair Therriault provided members  with proposed committee                                                                   
substitute, work draft 1-LS0078\N, 4/11/00 (copy on file).                                                                      
                                                                                                                                
SENATOR  DAVE  DONLEY,  SPONSOR   spoke  in  support  of  the                                                                   
legislation. He noted  that SJR 27 amends Article  XIII, sec.                                                                   
1 of the Alaska State Constitution  by making it possible for                                                                   
the legislature  to place constitutional   revisions  as well                                                                   
as amendments before Alaskans  for a vote. SJR 27 also adds a                                                                   
new section  to Article  XIII, which  would prohibit  a court                                                                   
from  changing the  wording of  constitutional amendments  or                                                                   
revisions  proposed  by  the  legislature  or  constitutional                                                                   
convention.                                                                                                                     
                                                                                                                                
Senator Donley  maintained that the legislation  corrects the                                                                   
problem  created  by Bess  v.  Ulmer.  The  Bess case  was  a                                                                   
challenge  to the  proposed constitutional  amendment on  the                                                                   
definition  of  marriage, approved  in  1998.  On appeal  the                                                                   
Supreme Court  ruled that the  legislature is not able  to do                                                                   
revisions  to  the  Constitution   and  adopted  a  test  for                                                                   
revisions.  He  maintained that  the  test of  "revision"  is                                                                   
onerous.   He   observed  that   the   state   constitutional                                                                   
convention debated the definition of revision to no avail.                                                                      
                                                                                                                                
Senator Donley  noted that  the Court  based its decision  in                                                                   
part  on   a  initiative   to  the   state  of   California's                                                                   
Constitution.  He argued that  the California initiative  was                                                                   
more substantial. The Court removed  a legislatively proposed                                                                   
constitutional amendment from  the ballot on the Amendment to                                                                   
Limit  Prisoners'  Rights  and  changed the  wording  of  the                                                                   
Definition of  Marriage Amendment.  He maintained  that there                                                                   
is no  legal precedent for  a court to  modify language  of a                                                                   
constitutional  amendment  proposed  by  elected  legislators                                                                   
before it was placed on the ballot  for a vote of the people.                                                                   
He   maintained   that   the   court   should   not   propose                                                                   
constitutional amendments.                                                                                                      
                                                                                                                                
The   proposed   committee   substitute   would   allow   the                                                                   
legislature to do  revisions, but revisions would  have to be                                                                   
on  a single  subject.  This  would  be consistent  with  the                                                                   
existing constitutional provision for legislation.                                                                              
                                                                                                                                
Senator Donley  provided members with a  memorandum, Analysis                                                                   
of Bess  v. Ulmer  - Revisions  vs. Amendments dated  4/11/00                                                                   
from legislative counsel (copy on file). He quoted page 7.                                                                      
                                                                                                                                
Senator   Donley  observed   that  there   have  been   other                                                                   
constitutional amendments, which  would not have met the Bess                                                                   
test. He  maintained that  the right  to privacy and  limited                                                                   
entry amendments  would have failed  the Bess test.  He added                                                                   
that the  question of subsistence  would also fail  under the                                                                   
Bess test because of the number  of provisions affected under                                                                   
the  Constitution, even  though it  is a  single subject.  He                                                                   
concluded  that without  the legislation  everything done  on                                                                   
the constitutional realm comes into question.                                                                                   
                                                                                                                                
Vice  Chair  Bunde  MOVED to  ADOPT  work  draft  1-LS0078\N,                                                                   
4/11/00. There being NO OBJECTION, it was so ordered.                                                                           
                                                                                                                                
DALE  BONDURANT,   KENAI  testified  via   teleconference  in                                                                   
opposition   to   the   legislation.   He   maintained   that                                                                   
constitutional  amendments  are   affected  by  politics.  He                                                                   
maintained  that  court  are  not  as  subject  to  political                                                                   
pressures. There  are laws that are not judicially  valid. He                                                                   
suggested that judicial comments  on the constitutionality be                                                                   
open. Citizens  want to  know how  the judicial branch  views                                                                   
constitutional  amendments.  He  maintained  that no  one  is                                                                   
above the law, not even the legislature.                                                                                        
                                                                                                                                
Representative Phillips  questioned if it is  appropriate for                                                                   
the courts  to decide what question  goes on the  ballot. Mr.                                                                   
Bondurant  responded that  the  public would  have to  suffer                                                                   
unconstitutional amendments if  the courts are not allowed to                                                                   
comment.                                                                                                                        
                                                                                                                                
Representative  Grussendorf   observed  that  the   court  is                                                                   
concerned with the curtailing  of rights not the expansion of                                                                   
rights.  The prisoners'  rights were being  curtailed  by the                                                                   
amendment.                                                                                                                      
                                                                                                                                
Co-Chair Therriault  questioned if an expansion  that touches                                                                   
on  many  aspects  of  the  Constitution  would  be  allowed.                                                                   
Representative Grussendorf  observed that there  would not be                                                                   
a challenge unless rights were reduced.                                                                                         
                                                                                                                                
Senator Donley maintained that  the legislation does not take                                                                   
away the court's right to address  the issue. The court would                                                                   
not have  the right  to modify the  language, but  they could                                                                   
take the amendment  off the ballot. He observed  that limited                                                                   
entry amendment took rights away  from the general population                                                                   
and gave  them to a limited  number of Alaskans.  Subsistence                                                                   
also takes rights away from the  general population and gives                                                                   
a higher  priority to other  Alaskans. These would  be called                                                                   
into questioned by the criteria under Bess.                                                                                     
                                                                                                                                
Vice Chair Bunde  summarized that the legislation  creates an                                                                   
all or nothing situation. The  court could not chose bits and                                                                   
pieces of a constitutional question  to put on the ballot. He                                                                   
maintained that the  expansion of rights for  one group often                                                                   
results in the loss of rights by others.                                                                                        
                                                                                                                                
Senator  Donley responded  that the  legislation would  allow                                                                   
the Court to chose  items that would be allowed  on a ballot.                                                                   
He  added   that  single  subject   criteria  is   easier  to                                                                   
understand  than a  qualitative or  quantitative standard.  A                                                                   
single subject standard is a logical  expansion to narrow the                                                                   
problem of amendment versus revision.                                                                                           
                                                                                                                                
Representative  Grussendorf  referred  to limited  entry.  He                                                                   
observed that sustained yield  and protection of the resource                                                                   
were also involved.                                                                                                             
                                                                                                                                
Representative  Austerman MOVED  to report  HCS SJR  27 (FIN)                                                                   
out of  Committee with  the accompanying  fiscal note.  There                                                                   
being NO OBJECTION, it was so ordered.                                                                                          
                                                                                                                                
SJR  27   am  was   REPORTED  out   of  Committee   with  "no                                                                   
recommendation" and  with a fiscal impact note  by the Office                                                                   
of the Governor, published 1/24/00.                                                                                             
                                                                                                                                
HOUSE CONCURRENT RESOLUTION NO. 23                                                                                            
                                                                                                                                
     Suspending  Rules  24©, 35,  41(b),  and 42(e),  Uniform                                                                   
     Rules  of  the  Alaska  State   Legislature,  concerning                                                                   
     Senate Joint  Resolution No. 27, proposing  an amendment                                                                   
     to the  Constitution of the  State of Alaska  concerning                                                                   
     revisions of the state constitution  and a court's power                                                                   
     with   respect   to   constitutional    amendments   and                                                                   
     revisions.                                                                                                                 
                                                                                                                                
Co-Chair Therriault  explained that the resolution  would not                                                                   
be needed since  the title of SJR 27 would not  be changed by                                                                   
the committee substitute.                                                                                                       
                                                                                                                                
HCR  23  was   heard  and  HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                
CS FOR SENATE BILL NO. 283(RES)                                                                                               
                                                                                                                                
     "An  Act establishing  the  shore fisheries  development                                                                   
     lease program  account and the timber  receipts account;                                                                   
     relating  to the  accounting  for  and appropriation  of                                                                   
     revenue from the state land  disposal program, the shore                                                                   
     fisheries  development  lease  program,  and  the  state                                                                   
     timber disposal program;  and providing for an effective                                                                   
     date."                                                                                                                     
                                                                                                                                
BOB LOEFFLER,  DIRECTOR, DIVISION OF MINING,  LAND AND WATER,                                                                   
DEPARTMENT OF  NATURAL RESOURCES testified in  support of the                                                                   
legislation. The  legislation creates a land  disposal income                                                                   
fund, which would  be a statutory designated  program receipt                                                                   
fund for the  purpose of land disposal. The  legislation also                                                                   
creates  separate  funds  for   shore  fisheries  and  timber                                                                   
harvest  receipts.   The  income  fund  would   allow  income                                                                   
generated  from  the  1,200  leases  to  supply  a  level  of                                                                   
services  that  the  fisherman  and  department  believe  are                                                                   
deserved,  to  run  the program.  A  moderate  land  disposal                                                                   
program  would  be funded  from  revenues generated  by  land                                                                   
disposals.  The  income would  pay  for  the cost  and  allow                                                                   
programs  to  be stabilized.  The  same  would apply  to  the                                                                   
timber harvest program.                                                                                                         
                                                                                                                                
In  response  to  a  question  by  Co-Chair  Therriault,  Mr.                                                                   
Loeffler observed  that the shore  fisheries program  was cut                                                                   
from $300  to $100 thousand dollars.  This was not  enough to                                                                   
run the  program. Income from  the leases would  provide $300                                                                   
thousand dollars to run the program.                                                                                            
                                                                                                                                
In  response  to  a  question  by  Co-Chair  Therriault,  Mr.                                                                   
Loeffler  observed that  the department  recommended a  self-                                                                   
executing   registration   process   to  deal   with   budget                                                                   
reductions.  The  fisherman objected  to  the  self-executing                                                                   
registration  process   and  pointed   out  that  it   was  a                                                                   
reductions of services below the revenues from the leases.                                                                      
                                                                                                                                
SANDY  UMLAUF,  PRESIDENT, UGASHIK  SET  NETTER  ASSOCIATION,                                                                   
Kenai  testified   via  teleconference  in  support   of  the                                                                   
legislation.   She   observed  the   Association   represents                                                                   
approximately 65 set net permits.  The legislation reinstates                                                                   
a  self-sustaining,  income  producing  program  that  offers                                                                   
organization  and stability for  statewide shore  fish leases                                                                   
and provides  a means  for conflict  resolution. The  program                                                                   
has an  income of  $350 thousand  dollars from  leases  and a                                                                   
cost  of $300  thousand dollars.  She observed  that set  net                                                                   
sites are frequently hotly contested.                                                                                           
                                                                                                                                
KARL   KIRCHER,    EXECUTIVE   DIRECTOR,    KENAI   PENINSULA                                                                   
FISHERMAN'S ASSOCIATION,  KENAI testified via  teleconference                                                                   
in support  of SB 283. He  observed that AS  38.05 stipulates                                                                   
that  the   director  shall   establish  a  reasonable   rent                                                                   
structure for  shore fishing development leases  equal to the                                                                   
administrative    cost   for    processing   the    leasehold                                                                   
application. He observed that  the program has generated more                                                                   
revenue than it  has cost to operate the program  since 1993.                                                                   
He  stressed that  fees should  be  reduced if  the level  of                                                                   
service  is  reduced.  He spoke  against  the  self-executing                                                                   
registration.                                                                                                                   
                                                                                                                                
PAUL SHADURA,  KENAI testified via teleconference  in support                                                                   
of section  3 of SB 283. His  family has set netted  for over                                                                   
60 years.                                                                                                                       
                                                                                                                                
ROGER  KUCHENBECKER, MATSU  testified  via teleconference  in                                                                   
support of the  legislation. He has set-netted  for 13 years.                                                                   
He spoke  in support of full  funding of the  shore fisheries                                                                   
lease program.  He stressed that  the program more  than pays                                                                   
for itself.                                                                                                                     
                                                                                                                                
DAN  CHALLUP,  KACHEMAK  BAY  SALMON  PRODUCERS  COOPERATIVE,                                                                   
HOMER  testified   via  teleconference  in  support   of  the                                                                   
legislation. He hoped that the  legislation would protect the                                                                   
program from future budget reductions.                                                                                          
                                                                                                                                
In response to  a question by Vice Chair Bunde,  Mr. Loeffler                                                                   
stated  that the  program is  limited  to anyone  who owns  a                                                                   
valid limited entry permit.                                                                                                     
                                                                                                                                
In  response  to  a  question  by  Co-Chair  Therriault,  Mr.                                                                   
Loeffler  explained that  there is no  timber program  fiscal                                                                   
note.  He  noted  that  the timber  program  has  an  erratic                                                                   
history and is difficult to predict.                                                                                            
                                                                                                                                
Representative  Foster MOVED to  report CSSB 283(RES)  out of                                                                   
Committee with the accompanying  fiscal notes. There being NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
CSSB 283(RES) was REPORTED out  of Committee with a "do pass"                                                                   
recommendation  and  with  two  fiscal  impact  note  by  the                                                                   
Department of Natural Resources, published 3/31/00.                                                                             
                                                                                                                                
SENATE BILL NO. 257                                                                                                           
                                                                                                                                
     "An  Act relating  to  notice requirements  for  certain                                                                   
     final findings  concerning the  disposal of  an interest                                                                   
     in state land or resources  for oil and gas; relating to                                                                   
     administrative     appeals     and     petitions     for                                                                   
     reconsideration  of  decisions   of  the  Department  of                                                                   
     Natural  Resources;  and   providing  for  an  effective                                                                   
     date."                                                                                                                     
                                                                                                                                
BOB LOEFFLER,  DIRECTOR, DIVISION OF MINING,  LAND AND WATER,                                                                   
DEPARTMENT OF  NATURAL RESOURCES testified in  support of the                                                                   
legislation.  The  legislation   creates  a  uniform  appeals                                                                   
process for the Department of  Natural Resources and solves a                                                                   
technical problem that is unique  to public notice of oil and                                                                   
gas  sales.  He  explained  that  different  laws  passed  at                                                                   
different times  have created a variety of  appeal schedules.                                                                   
He gave examples  of appeal timelines, which vary  from 15 to                                                                   
30 days.  The appeal process would  be uniform with  a 20-day                                                                   
deadline. The legislation would  also delete the  requirement                                                                   
to send  a second  notice to  notify that  a third  notice is                                                                   
close at hand.                                                                                                                  
                                                                                                                                
Representative  Grussendorf clarified  that  only one  appeal                                                                   
can be made to the commissioner or the department.                                                                              
                                                                                                                                
Mr. Loeffler  noted that  disposals would  retain the  status                                                                   
quo. Other  permits can be appealed  up to three  times under                                                                   
the  present system.  Appeals  are allowed  to the  director,                                                                   
then the commissioner and then to the commissioner again.                                                                       
                                                                                                                                
Representative  Grussendorf  questioned   if  one  appeal  is                                                                   
sufficient. Mr.  Loeffler responded that multiple  appeals do                                                                   
not add value. He maintained that  multiple appeals frustrate                                                                   
the applicant.                                                                                                                  
                                                                                                                                
Representative Phillips  spoke in support of  the legislation                                                                   
and maintained that it would make  government more efficient.                                                                   
                                                                                                                                
Mr. Loeffler explained  that the division director  makes the                                                                   
decision.  All decisions  are appealed  to the  commissioner.                                                                   
The  commissioner's decision  can be  reconsidered under  the                                                                   
same schedule. Further disputes go to court.                                                                                    
                                                                                                                                
(TAPE CHANGE, HFC 00 - 123, SIDE 2)                                                                                           
                                                                                                                                
Representative  Foster   MOVED  to  report  SB   257  out  of                                                                   
Committee with  the accompanying fiscal note.  There being NO                                                                   
OBJECTION, it was  so ordered.  There being  NO OBJECTION, it                                                                   
was so ordered.                                                                                                                 
                                                                                                                                
SB   257   was   REPORTED   out   of   Committee   with   "no                                                                   
recommendation" and  a zero fiscal note by  the Department of                                                                   
Natural Resources, published 2/9/00.                                                                                            
                                                                                                                                
CS FOR SENATE BILL NO. 26 (FIN)                                                                                               
                                                                                                                                
     "An Act relating to hindering prosecution and to                                                                           
     providing false information or reports to a peace                                                                          
     officer."                                                                                                                  
                                                                                                                                
MICHAEL PAULEY, STAFF, SENATOR  LEMAN testified in support of                                                                   
the  legislation.   A  detective  in  the   Anchorage  Police                                                                   
Department  suggested the  legislation as  a useful  tool for                                                                   
law enforcement  and prosecutors to counteract  those who use                                                                   
deception to thwart the criminal  justice system. He observed                                                                   
that the Alaska  State Troopers Alaska Association  of Chiefs                                                                   
of  Police,  the  Alaska  Peace   Officers  Association,  and                                                                   
Victims for Justice support the legislation.                                                                                    
                                                                                                                                
Mr. Pauley  asserted that, in  the criminal justice  context,                                                                   
people typically  employ deception in  two ways: they  lie to                                                                   
protect another  person who  has committed  a crime,  or they                                                                   
lie to  protect themselves. The  first situation of  lying to                                                                   
protect  another  is addressed  in  section  1 of  the  bill;                                                                   
section 2 addresses the issue of lying to protect oneself.                                                                      
                                                                                                                                
Mr.  Pauley reviewed  the legislation  by  section. He  noted                                                                   
that section  1 makes  it a  crime to  hinder prosecution  by                                                                   
rendering assistance  to another  person who has  committed a                                                                   
crime,  with the  intention  of hindering  the  apprehension,                                                                   
prosecution, conviction,  or punishment of the  other person.                                                                   
The definition of "rendering assistance  to another" includes                                                                   
using  deception  to prevent  or  obstruct the  discovery  or                                                                   
apprehension of that person. Under  current statutes it would                                                                   
be a crime if  a person lies to a police officer  in order to                                                                   
stop  another person  who has  committed a  crime from  being                                                                   
apprehended.                                                                                                                    
                                                                                                                                
Mr.  Pauley explained  that this  statute applies  only if  a                                                                   
person  lies to  prevent  apprehension of  a  person who  has                                                                   
committed  a crime  that  is  punishable by  imprisonment  of                                                                   
greater than  90 days. This  means that class  B misdemeanors                                                                   
are  not covered  under existing  law.  class B  misdemeanors                                                                   
include  such  offenses as  disorderly  conduct,  harassment,                                                                   
misconduct  involving  weapons   in  the  fifth  degree,  and                                                                   
criminal  mischief  in  the  fourth  degree.  Although  these                                                                   
crimes are not  the most serious offenses on  the books, they                                                                   
do  consume a  significant amount  of time  and resources  of                                                                   
both law  enforcement agencies  and the  court system.  It is                                                                   
the  Sponsor's  view  that  it is  not  appropriate  for  the                                                                   
statute  to  sanction deception  under  these  circumstances.                                                                   
Senate  Bill 26 amends  the existing  law to  applies to  all                                                                   
crimes, including class B misdemeanors.                                                                                         
                                                                                                                                
Section 2  of SB 26  amends current  statute on making  false                                                                   
reports (AS  11 .56.800). Under  existing law, it is  a crime                                                                   
to  give false  information  to  a  police officer  with  the                                                                   
intent of implicating another  in a crime. It is also a crime                                                                   
to give  a false report to  police that a crime  has occurred                                                                   
or  is about  to occur.  The legislation  adds an  additional                                                                   
provision,  stating  that it  is  a  crime to  provide  false                                                                   
identity information  to a peace officer while  the person is                                                                   
under arrest,  detention,  or investigation  for a crime,  or                                                                   
while the  person is being served  with an arrest  warrant of                                                                   
being issued a citation.                                                                                                        
                                                                                                                                
Mr.  Pauley  observed  that  according   to  law  enforcement                                                                   
personnel, false  identity information  can be a  significant                                                                   
impediment  to successful  investigations  and  prosecutions.                                                                   
The law should not sanction this type of behavior.                                                                              
                                                                                                                                
ANNE CARPENETI,  ASSISTANT ATTORNEY  GENERAL, LEGAL  SERVICES                                                                   
SECTION,  CRIMINAL DIVISION,  DEPARTMENT  OF  LAW noted  that                                                                   
concerns by the  department have been addressed  and that the                                                                   
Department  of Law supports  the legislation  in its  present                                                                   
form.                                                                                                                           
                                                                                                                                
Representative Foster questioned  if there are any provisions                                                                   
that would  preclude someone from  having to give  testimony,                                                                   
such as in the case of a spouse  testifying against a spouse.                                                                   
                                                                                                                                
Ms. Carpeneti  noted that  a spousal  exception is  contained                                                                   
under  another statute  and  explained  that the  legislation                                                                   
addresses  the  person  himself  or  herself  that  is  under                                                                   
investigation  or  arrest  for  a  crime  from  giving  false                                                                   
information.                                                                                                                    
                                                                                                                                
In  response to  a  question  by Representative  Foster,  Ms.                                                                   
Carpeneti explained that it is  against the law to hinder the                                                                   
apprehension of a person who has committed a misdemeanor.                                                                       
                                                                                                                                
Representative  Foster concluded that  it would be  better to                                                                   
say nothing rather than lie.                                                                                                    
                                                                                                                                
Co-Chair  Therriault  observed  that  the  legislation  would                                                                   
address the issue  of a person lying about  their identity to                                                                   
a process server.                                                                                                               
                                                                                                                                
In  response  to  questions regarding  a  situation  where  a                                                                   
person lies  about the presence  of their spouse,  Mr. Pauley                                                                   
referred to AS 11.56.770:                                                                                                       
                                                                                                                                
    (a) A person commits  the crime of hindering  prosecution                                                                   
    in the first degree  if the person renders  assistance to                                                                   
    a  person who  has  committed  a  crime punishable  as  a                                                                   
    felony with intent to                                                                                                       
                                                                                                                                
    (1) hinder the apprehension, prosecution, conviction, or                                                                    
    punishment of that person; or                                                                                               
                                                                                                                                
    (2) assist that person in profiting or benefiting from                                                                      
    the commission of the crime.                                                                                                
                                                                                                                                
    (b) For purposes of this section, a person "renders                                                                         
    assistance" to another if the person                                                                                        
                                                                                                                                
    (1) harbors or conceals the other person;                                                                                   
                                                                                                                                
Mr. Pauley observed  that the statute requires  demonstration                                                                   
of  intent. Ms.  Carpeneti  added  that the  statue  includes                                                                   
harboring or concealing another person.                                                                                         
                                                                                                                                
Co-Chair Therriault  noted that  this provision is  under the                                                                   
existing law.  The legislation would not change  the elements                                                                   
of defense in any other way.                                                                                                    
                                                                                                                                
Representative Grussendorf questioned  how intimidation would                                                                   
affect the  provision. Ms.  Carpeneti observed that  coercion                                                                   
would be  a defense; the legislation  does not change  any of                                                                   
the  defenses   to   hindering  prosecution.   Representative                                                                   
Grussendorf questioned  if the burden of proof  would be with                                                                   
the defender.  Ms. Carpeneti responded  that the  state would                                                                   
have to demonstrate that there was intent.                                                                                      
                                                                                                                                
Vice Chair Bunde asked if there  were specific cases that led                                                                   
to   the  legislation.   Mr.   Pauley   responded  that   law                                                                   
enforcement  officers  contacted  the sponsor  with  concerns                                                                   
regarding specific  cases. He gave an example  where a person                                                                   
was arrested and refused to give  his identity. He lied about                                                                   
his identity  in court.  Vice Chair Bunde  noted that  it was                                                                   
the perpetrator that lied.                                                                                                      
                                                                                                                                
Co-Chair Therriault pointed out  that many of the Committee's                                                                   
questions  and concerns are  with existing  law and  not with                                                                   
the application of the law to all misdemeanors.                                                                                 
                                                                                                                                
Vice  Chair  Bunde MOVED  to  report  CSSB  26 (FIN)  out  of                                                                   
Committee with the accompanying  fiscal notes. There being NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
CSSB  26(FIN)   was  REPORTED  out  of  Committee   with  "no                                                                   
recommendation"  and a fiscal  impact note by  the Department                                                                   
of Public Safety;  a fiscal impact note by  the Department of                                                                   
Corrections; a zero  fiscal note by the Department  of Public                                                                   
Safety; and a zero fiscal note by the Department of Law.                                                                        
                                                                                                                                
SENATE BILL NO. 204                                                                                                           
                                                                                                                                
     "An Act extending the termination date of the Alaska                                                                       
     Commission on Aging; and providing for an effective                                                                        
     date."                                                                                                                     
                                                                                                                                
SHARON CLARK,  STAFF, SENATOR MILLER testified  in support of                                                                   
SB 204, on behalf  of the sponsor Senator Leman. She observed                                                                   
that  SB 204  extends  the  termination  date of  the  Alaska                                                                   
Commission  on Aging.   The Alaska  Commission  on Aging  was                                                                   
first  established  as a  single  Planning and  Service  Area                                                                   
(PSA)  in the  Department of  Administration, Older  Alaskans                                                                   
Commission,  July  of 1981  under  AS 44.21.  As  a PSA,  the                                                                   
Commission  is  the only  agency  in  the state  that  plans,                                                                   
funds,  and  oversees  services  to  seniors  statewide.  The                                                                   
Commission's  name was  changed to the  Alaska Commission  on                                                                   
Aging in 1994, (Chapter 131,SLA 1994).                                                                                          
                                                                                                                                
The  Commission is  authorized to  administer and  coordinate                                                                   
state programs  for older Alaskans and to  administer federal                                                                   
programs  provided under  the  Older Americans  Act, 42  U.S.                                                                   
Code 300 1-30451, as amended.  The provisions of AS 44.21 and                                                                   
the   Older   Americans  Act   establish   the   Commission's                                                                   
authority, purpose, and scope of work.                                                                                          
                                                                                                                                
     Ms. Clark observed that a special report on the                                                                            
Department  of  Administration,  Alaska Commission  on  Aging                                                                   
(ACA)  by  the   Legislative  Budget  and   Audit  Committee,                                                                   
September 17, 1999 concluded that  the expiration date of ACA                                                                   
should be extended.                                                                                                             
                                                                                                                                
Ms.  Clark maintained  that  the  ACA has  demonstrated  that                                                                   
there is a public  need for this commission.  According to AS                                                                   
44.66.010,  the  Commission  is  scheduled  to  expire  June,                                                                   
30,2000. The  legislation would extend ACA's  expiration date                                                                   
to June 30,2004.                                                                                                                
                                                                                                                                
Ms.  Clark noted  that the  legislation was  amended (in  the                                                                   
House  HESS   committee).  She   noted  that  the   amendment                                                                   
separated  the Long-Term  Care  Ombudsman's  office from  the                                                                   
Department  of  Administration  and  put  it  in  a  separate                                                                   
entity. The sponsor does not oppose  the amendment. She noted                                                                   
that Senator Green expressed concerns,  in the Senate Finance                                                                   
Committee, that  the Office of  the Long-Term  Care Ombudsman                                                                   
would be under the Department of Administration.                                                                                
                                                                                                                                
Representative Phillips questioned  if there was testimony on                                                                   
the feasibility  of merging  the two  ombudsman offices.  Ms.                                                                   
Clark  stated  that  there  had  been  discussions  with  the                                                                   
sponsor. The issue was not discussed in Committee.                                                                              
                                                                                                                                
Representative  Grussendorf questioned  if the Department  of                                                                   
Administration testified on the amendment.                                                                                      
                                                                                                                                
Representative Phillips expressed  concern with the amendment                                                                   
adopted  in the  House  HESS committee.  She  noted that  the                                                                   
Legislative  Council has  been downsizing  the Office  of the                                                                   
Ombudsman.  She noted  that the Legislative  Council  did not                                                                   
discuss the  amendment. Co-Chair Therriault pointed  out that                                                                   
Senator Miller is the chairman of the Legislative Council.                                                                      
                                                                                                                                
Co-Chair  Mulder  noted that  the  Office of  Long-Term  Care                                                                   
Ombudsman is federally funded.                                                                                                  
                                                                                                                                
JERRY BURNETT,  STAFF, SENATOR GREEN provided  information on                                                                   
the amendment adopted  in the House HESS Committee.  He noted                                                                   
that Representative Dyson offered  the amendment on behalf of                                                                   
Senator Green. He  observed that the Office  of the Long-Term                                                                   
Care  Ombudsman  would  be  separate   from  the  legislative                                                                   
ombudsman.                                                                                                                      
                                                                                                                                
Co-Chair  Therriault read  from  a letter  by  Representative                                                                   
Dyson:                                                                                                                          
     It is  not possible for  the Director of  the Commission                                                                   
     on  Aging  to  neutrally  monitor  the  Long  Term  Care                                                                   
     Ombudsman  who  may  be investigating  actions  of  that                                                                   
     Director, his/her  employees, and colleagues  within the                                                                   
     Department of Administration.                                                                                              
                                                                                                                                
Mr.  Burnett clarified  that  there  would be  two  ombudsman                                                                   
offices with separate staffs.  He observed that the Long-Term                                                                   
Care Ombudsman has  a distinct function and  that the funding                                                                   
come from the Older  Americans Act.  He pointed  out that the                                                                   
provision    was   discussed    with   the   Department    of                                                                   
Administration,   the  Executive   Director  of   Legislative                                                                   
Affairs Agency and the chairman of the Legislative Council.                                                                     
                                                                                                                                
Representative  Grussendorf  asked   for  the  Department  of                                                                   
Administration's position on the merger.                                                                                        
                                                                                                                                
JANE  DEMINERT,  EXECUTIVE  DIRECTOR,  ALASKA  COMMISSION  ON                                                                   
AGING, DEPARTMENT  OF ADMINISTRATION provided  information on                                                                   
the legislation.  She noted that  the Commission has  been in                                                                   
existence for  many years. The  Commission is  a grant-making                                                                   
agency and has been involved in  educational issues affecting                                                                   
older  Alaskans.  The  Commission  is also  involved  in  the                                                                   
operation  of the  Office of  Long-Term  Care Ombudsman.  The                                                                   
Older American's  Act provides that  each state shall  have a                                                                   
Long-Term Care Ombudsman. The  Long-Term Care Ombudsman is an                                                                   
advocate   for  people   in  long-term   care  and   conducts                                                                   
investigations regarding  the quality of care  or allegations                                                                   
of abuse and neglect.                                                                                                           
                                                                                                                                
Ms.   Deminert    observed   that    there   are    different                                                                   
organizational  structures  to   conduct  the  function.  The                                                                   
Commission  has done an  extensive amount  of structuring  in                                                                   
its by  laws to  accommodate the  function. She  acknowledged                                                                   
that  there  are   several  viable  models  to   conduct  the                                                                   
function. If the function were  transferred it would maintain                                                                   
its current staff:  one paralegal II and a  clerk. The office                                                                   
would continue  to be in  Anchorage. She  did not know  if it                                                                   
would  be  physically   relocated.  There  would   not  be  a                                                                   
significant  change in  the  way the  office  is operated.  A                                                                   
reimbursable services agreement  would occur for the on-going                                                                   
operation of the office. She observed  that the Commission is                                                                   
closing  in  on   the  final  stage  for  a   long-term  care                                                                   
ombudsman.  She recommended  that their  search be halted  if                                                                   
the legislation  goes  forward. The position  is currently  a                                                                   
range 20 within the state personnel  system. She acknowledged                                                                   
that  the  position   would  also  be  effective   under  the                                                                   
Legislative Budget and Audit Committee.                                                                                         
                                                                                                                                
Representative Grussendorf  observed that the  change was not                                                                   
requested by the  Commission and questioned where  the office                                                                   
would be most  effective. Ms. Deminert affirmed that  it is a                                                                   
new  development, but  noted  that it  was  discussed in  the                                                                   
previous  session. She  added that the  function is  distinct                                                                   
from the  traditional governmental  ombudsman. She  felt that                                                                   
there would be a learning curve  and investment would need to                                                                   
be made by the new oversight group.                                                                                             
                                                                                                                                
ALISON    ELGEE,   DEPUTY    COMMISSIONER,   DEPARTMENT    OF                                                                   
ADMINISTRATION provided  information on the  legislation. The                                                                   
LBA audit  pointed out  that housing of  the position  in the                                                                   
Department  of   Administration  could  be  perceived   as  a                                                                   
conflict  of  interest.  The Commission  could  not  find  an                                                                   
entity  that  would  voluntarily   accept  placement  of  the                                                                   
office.  The Commission  adopted bylaws  to exclude those  on                                                                   
the  Commission  that  have  association  with  pioneer  home                                                                   
programs  from   direct  oversight  of  the   ombudsman.  She                                                                   
reiterated that  there would be  a heavy learning  curve with                                                                   
transfer  of the  function,  but  added that  the  department                                                                   
understands the  perceived conflict of interest  and would be                                                                   
happy to see the function externally located.                                                                                   
                                                                                                                                
Vice  Chair Bunde  spoke in  support of  the legislation  and                                                                   
noted that concerned constituents have contacted him.                                                                           
                                                                                                                                
Co-Chair  Therriault questioned  if  the Legislative  Council                                                                   
membership supported the move.                                                                                                  
                                                                                                                                
Ms. Clark did not believe that  discussions occurred with the                                                                   
current  Council. Discussions  did  occur  with the  previous                                                                   
chair,  Senator  Miller.  Senator   Miller  did  not  express                                                                   
objections.                                                                                                                     
                                                                                                                                
MARIE  DARLIN,  AARP,  JUNEAU  testified in  support  of  the                                                                   
legislation and extension of the Commission on Aging.                                                                           
                                                                                                                                
HB  204  was   heard  and  HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                
CS FOR SENATE BILL NO. 254(HES)                                                                                               
                                                                                                                                
     "An Act relating to heirloom certificates of marriage."                                                                    
                                                                                                                                
ELMER LINDSTROM, SPECIAL ASSISTANT,  DEPARTMENT OF HEALTH AND                                                                   
SOCIAL SERVICES  testified in support of the  legislation. He                                                                   
explained that legislation was  enacted to allow the issuance                                                                   
of heirloom birth certificates.   That program has been quite                                                                   
successful  and has generated  thousands  of dollars  for the                                                                   
Alaska Children's Trust. He observed  that SB 254 expands the                                                                   
program to allow the sale of heirloom  marriage certificates.                                                                   
Revenue from the sale of the certificates  would be available                                                                   
to   the  legislature   for  appropriation   to  the   Alaska                                                                   
Children's Trust.                                                                                                               
                                                                                                                                
(TAPE CHANGE, HFC 00  - 124, SIDE 1)                                                                                          
                                                                                                                              
Mr. Lindstrom  estimated that the sale of  certificates would                                                                   
net $270 thousand  dollars in revenue. There is  a first year                                                                   
operating cost of $55 thousand dollars.                                                                                         
                                                                                                                                
Vice Chair Bunde  questioned why the money would  go into the                                                                   
Children's Trust rather than martial counseling.                                                                                
                                                                                                                                
Mr. Lindstrom  stated that the  legislation was viewed  as an                                                                   
opportunity   to  generate   additional   revenues  for   the                                                                   
Children's Trust.  He pointed out  that purchase of  the more                                                                   
expensive heirloom certificates is not required.                                                                                
                                                                                                                                
Co-Chair  Therriault  questioned  why  "the  state  registrar                                                                   
shall  issue" was  added on  page  1, line  6. Mr.  Lindstrom                                                                   
responded that  the language notes  that if someone  requests                                                                   
the certificate that it shall be issued.                                                                                        
                                                                                                                                
In  response  to  a  question  by  Co-Chair  Therriault,  Mr.                                                                   
Lindstrom  noted the  legislation  was modeled  on the  birth                                                                   
certificate statute.                                                                                                            
                                                                                                                                
AL ZANGRI, STATE  REGISTRAR, CHIEF, BUREAU  VITAL STATISTICS,                                                                   
DEPARTMENT  OF  ADMINISTRATION  provided information  on  the                                                                   
legislation. He  noted that the language mirrors  exactly the                                                                   
birth  certificate  language  and  that  both  use  the  word                                                                   
"shall".   Approximately  $50   thousand  dollars   has  been                                                                   
generated  from the  heirloom birth  certificates. The  money                                                                   
has been  set aside  for deposit  into the Alaska  Children's                                                                   
Trust. Money has  been deposited into the Trust  on a regular                                                                   
basis from the heirloom birth certificates.                                                                                     
                                                                                                                                
Representative Phillips echoed  concerns by Vice Chair Bunde.                                                                   
                                                                                                                                
Co-Chair Therriault reviewed the fiscal notes.                                                                                  
                                                                                                                                
Vice Chair Bunde questioned why  there would not be a payback                                                                   
from the Trust  for the costs. Co-Chair  Therriault clarified                                                                   
that the fiscal  note would not be changed.  He observed that                                                                   
the legislation does generate program receipts.                                                                                 
                                                                                                                                
Mr.  Lindstrom   explained  that  $270  dollars   in  program                                                                   
receipts  would  be  generated.  Approximately  $55  thousand                                                                   
dollars  of  the  program  receipts  would  be  necessary  to                                                                   
establish  the  program.  The legislation  would  be  revenue                                                                   
neutral.  Co-Chair  Therriault added  that  the  cost of  the                                                                   
program  would be $47.7  thousand dollars  after the  initial                                                                   
year.                                                                                                                           
                                                                                                                                
Vice  Chair  Bunde  MOVED  to report  CSSB  254(HES)  out  of                                                                   
Committee with  the accompanying fiscal note.  There being NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
CSSB 254(HES) was REPORTED out  of Committee with a "do pass"                                                                   
recommendation  and   with  a  fiscal  impact   note  by  the                                                                   
Department of Health and Social  Services, published 4/13/00.                                                                   
                                                                                                                                
CS FOR SENATE BILL NO. 34(FIN)                                                                                                
                                                                                                                                
     "An Act  relating to tattooing,  body piercing,  and ear                                                                   
     piercing;  relating to  other  occupations regulated  by                                                                   
     the Board of Barbers and  Hairdressers; relating to fees                                                                   
     charged by  the Board of  Barbers and Hairdressers;  and                                                                   
     providing for an effective date."                                                                                          
                                                                                                                                
SENATOR  JOHNNY  ELLIS,  SPONSOR  testified  in  support.  He                                                                   
offered  the legislation  on behalf  of  a constituent  whose                                                                   
child was injured  from body piercing that was not  done in a                                                                   
sanitary manner.  The state  of Alaska is  the only  state in                                                                   
the  union  that  does not  license  the  procedure.  Injured                                                                   
clients have no recourse. There  can be serious public health                                                                   
implications.  National  standards  were  used to  craft  the                                                                   
legislation.  The  Division of  Occupational  Licensing  will                                                                   
license   and   test.   The   Department   of   Environmental                                                                   
Conservation,   Division  of   Public   Health  will   handle                                                                   
inspections.                                                                                                                    
                                                                                                                                
Co-Chair  Therriault questioned  the  level  of support  from                                                                   
industry. Senator  Ellis observed that there  is support from                                                                   
industry.                                                                                                                       
                                                                                                                                
Representative G. Davis spoke  in support of the legislation.                                                                   
                                                                                                                                
Senator Ellis explained that the  legislation was expanded to                                                                   
include  permanent cosmetics  at the  request of a  Fairbanks                                                                   
practitioner.   Permanent  cosmetics   are   used  to   paint                                                                   
permanent eyebrows on burn victims.                                                                                             
                                                                                                                                
Vice  Chair Bunde  spoke in  support of  the legislation.  He                                                                   
pointed  out that serious  illnesses can  result from  unsafe                                                                   
practices.  Senator  Ellis  observed  that  the  Hepatitis  C                                                                   
Coalition supports the legislation.                                                                                             
                                                                                                                                
In  response  to  a  question   by  Representative  Phillips,                                                                   
Senator  Ellis  expressed support  for  the  House Labor  and                                                                   
Commerce version  of SB 34. Parental permission  was added to                                                                   
the legislation.                                                                                                                
                                                                                                                                
DAINA RHOADES,  STAFF,  SENATOR JOHNNY  ELLIS responded  to a                                                                   
questioned  by  Representative  Grussendorf.  Temporary  shop                                                                   
license could be used to operate  temporary sites such as the                                                                   
Palmer  Fair.  Temporary  shops  would be  inspected  by  the                                                                   
Department of  Environmental Conservation  and would  have to                                                                   
comply  with regulation  requirements.  The legislation  does                                                                   
not address animals.                                                                                                            
                                                                                                                                
Co-Chair  Therriault   referenced  page  13,   line  30.  The                                                                   
legislation distinguishes  between ear piercing  and piercing                                                                   
of body  parts.  Senator Ellis  noted that shops that  do ear                                                                   
piercing   would   not  be   required   to   go  through   an                                                                   
apprenticeship and testing.  The  Department of Environmental                                                                   
Conservation  would form regulations  covering the  guns used                                                                   
in ear  piercing. She  emphasized that  greater oversight  is                                                                   
required when other body parts are pierced.                                                                                     
                                                                                                                                
Co-Chair Therriault asked if the  Department of Environmental                                                                   
Conservation would  charge the  fees and questioned  the cost                                                                   
of travel.                                                                                                                      
                                                                                                                                
JANICE  ADAIR, DIRECTOR,  DIVISION  OF ENVIRONMENTAL  HEALTH,                                                                   
DEC provided  information  on the fiscal  cost. She  observed                                                                   
that there  are approximately 10  tattoo parlors.   No travel                                                                   
costs have  been included.  Ear piercing  would only  require                                                                   
regulations. Those  regulations would cover  basic sanitation                                                                   
issues. She added that there would  be a fiscal note to cover                                                                   
the cost  of locating ear-piercing  locations. There  are 675                                                                   
ear-piercing establishments in the State.                                                                                       
                                                                                                                                
Co-Chair Therriault  asked if  there was  a problem  with ear                                                                   
piercing.   Ms. Rhoades replied  that most establishments  do                                                                   
not  like the  guns.  There is  a  growing  concern that  the                                                                   
needles  on  the  guns  are  dangerous.   National  standards                                                                   
indicate that  the guns  are okay.   Guns could be  inspected                                                                   
under  the  regulations.  She  urged that  the  provision  be                                                                   
retained  and  noted that  many  people are  concerned  about                                                                   
continued  use of  ear piercing  guns.  Senator Ellis  agreed                                                                   
that it would be  good to have some review  regarding the use                                                                   
of ear piercing guns.                                                                                                           
                                                                                                                                
Ms.  Adair  clarified  that the  occupational  licensing  fee                                                                   
would cover  the oversight of  the industry. Food  inspectors                                                                   
would be used for the inspections.                                                                                              
                                                                                                                                
In response to a question by Vice  Chair Bunde, Senator Ellis                                                                   
explained   that   the   regulation  would   not   apply   to                                                                   
noncommercial  practices.  Vice  Chair  Bunde  questioned  if                                                                   
Native  practices, which  are noncommercial  but involve  one                                                                   
person  tattooing   another,  would  be  covered   under  the                                                                   
legislation. Senator  Ellis thought that the  tattooing would                                                                   
have to  be done in  a safe and  sanitary way, but  suggested                                                                   
that the Board could address the issue.                                                                                         
                                                                                                                                
KENDALL  THOMAS,  ALASKA  HEPATITIS  C  COALITION,  ANCHORAGE                                                                   
testified via teleconference in support.                                                                                        
                                                                                                                                
SB  34   was  heard  and   HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                
CS FOR SENATE BILL 261(FIN)                                                                                                   
                                                                                                                                
     "An  Act  relating to  needle  stick and  sharps  injury                                                                   
     protections and  the use of safe needles  by health care                                                                   
     facilities  and health care  professionals; relating  to                                                                   
     the vaccination of health  care workers against diseases                                                                   
     transmitted by  bloodborne pathogens; and  providing for                                                                   
     an effective date."                                                                                                        
                                                                                                                                
SENATOR  KIM  ELTON,  SPONSOR  testified in  support  of  the                                                                   
legislation.  He noted  that  the legislation  brings  needed                                                                   
protection  to health  care  workers from  accidental  needle                                                                   
stick  injuries.  There are  between  600,000  and a  million                                                                   
accidental sticks a year. The  affect of these sticks is that                                                                   
there  have been  50,000 -  60,000 cases  of serious  disease                                                                   
contracted by  health care workers  over the last  decade. On                                                                   
the average,  at least  one health  care worker  per week  is                                                                   
exposed  to  HIV.  Health  care  workers  are  at  risk  from                                                                   
Hepatitis C  contracted from  accidental sticks.  Health care                                                                   
workers are four  times more likely than a  police officer to                                                                   
be injured  on the  job. There  are a  number of safe  needle                                                                   
devices that could reduce this risk.                                                                                            
                                                                                                                                
Senator Elton  observed that the bill requires  an evaluation                                                                   
of safe  needle devices. Management  working with  front line                                                                   
health workers,  like nurses would evaluate the  devices. The                                                                   
use of safe needles would be required  with a few exceptions:                                                                   
devices would  not be required  if it were demonstrated  that                                                                   
they would jeopardize  the safety or care to  the patient and                                                                   
if the  provider can  demonstrate that  the safety  device is                                                                   
not  more affective  in  preventing accidental  needle  stick                                                                   
exposures. The Occupational Safety  and Health Administration                                                                   
(OSHA) requires all facilities to use safe needle devices.                                                                      
                                                                                                                                
Senator Elton  explained the difference between  the bill and                                                                   
the OSHA requirements. The legislation  sets up an accidental                                                                   
sharp needle injury log, which  would allow health facilities                                                                   
to identify  accidental  sticks. The  legislation would  also                                                                   
require  the involvement  of  front  line health  workers  in                                                                   
evaluating the devices.                                                                                                         
                                                                                                                                
Senator Elton  pointed out that  the legislation  was amended                                                                   
to  exempt  facilities  or  employers   with  fewer  than  25                                                                   
employees. The employers would  still have to use safe needle                                                                   
devices because of  the OSHA requirement, but  they would not                                                                   
be required to set up an evaluation  committee and maintain a                                                                   
log.                                                                                                                            
                                                                                                                                
In response to a question by Vice  Chair Bunde, Senator Elton                                                                   
observed that the  log requirement was based  on practices of                                                                   
other  states.  The  intent  is  to maintain  a  log  of  the                                                                   
critical  points for  accidental  needle sticks  in order  to                                                                   
determine the  action of the  health facility in  response to                                                                   
sticks. This would help to further advances in health care.                                                                     
                                                                                                                                
Co-Chair  Mulder expressed  concern  that  the Department  of                                                                   
Labor  and  Workforce  Development would  have  authority  to                                                                   
establish  regulations for  training  and education.  Senator                                                                   
Elton noted  that there  is a zero  fiscal note and  observed                                                                   
that the Department of Labor and  Workforce Development would                                                                   
collect information.                                                                                                            
                                                                                                                                
AL DWYER, DIRECTOR,  DIVISION OF LABOR STANDARDS  AND SAFETY,                                                                   
DEPARTMENT OF LABOR AND WORKFORCE  DEVELOPMENT clarified that                                                                   
the  they are  federal requirements.  He  did not  anticipate                                                                   
additional   regulations.   The    bill   clarifies   federal                                                                   
requirements that are enforced by the department.                                                                               
                                                                                                                                
Representative Phillips expressed  concern with the exemption                                                                   
for employers with less than 25 employees.                                                                                      
                                                                                                                                
Senator Elton  noted that the  change was made in  the Senate                                                                   
Finance Committee. The exemption  would not affect the use of                                                                   
safe  needle   devices  because  employers  would   still  be                                                                   
required by  OSHA to use  safe needle devices.  The employers                                                                   
would not be required to set up  an evaluation committee with                                                                   
frontline health care workers or maintain a log.                                                                                
                                                                                                                                
In response to  a question by Representative  Foster, Senator                                                                   
Elton  acknowledged  that  tired   health  care  workers  are                                                                   
responsible  for  many of  the  accidental sticks  that  they                                                                   
receive.  He   pointed  out  that   the  devices   are  self-                                                                   
retracting. Problems  also occur  with bedding where  needles                                                                   
may have been lost.                                                                                                             
                                                                                                                                
Senator  Elton  stated  that  there  are  zero  fiscal  notes                                                                   
reflecting  the fact that  the devices  are already  required                                                                   
under OSHA.                                                                                                                     
                                                                                                                                
ANGIE SCHMITZ,  STAFF, SENATOR ELTON provided  information on                                                                   
the fiscal  notes. She  observed that  there were three  zero                                                                   
fiscal notes: Department of Labor  and Workforce Development,                                                                   
Department  of  Corrections  and  Department  of  Health  and                                                                   
Social Services.                                                                                                                
                                                                                                                                
Representative  Foster MOVED to  report CSSB 261(FIN)  out of                                                                   
Committee with the accompanying  fiscal notes. There being NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
CSSB 261(FIN) was REPORTED out  of Committee with a "do pass"                                                                   
recommendation and  with three zero fiscal  notes: Department                                                                   
of   Labor   and   Workforce   Development,   Department   of                                                                   
Corrections and Department of Health and Social Services.                                                                       
                                                                                                                              
(TAPE CHANGE, HFC 00 - 124, SIDE 2)                                                                                           
                                                                                                                              
CS FOR SENATE BILL NO. 73(FIN)                                                                                                
                                                                                                                                
     "An Act relating to assisted living homes; and                                                                             
     providing for an effective date."                                                                                          
                                                                                                                                
SHARON CLARK,  STAFF, SENATOR MILLER testified  in support of                                                                   
the legislation, on behalf of  the sponsor. She observed that                                                                   
the State of Alaska with its scattered  population represents                                                                   
a unique challenge to provide  services to residents who need                                                                   
assisted  living supports.  The  intent of  this  bill is  to                                                                   
provide  good health  care for  long-term  care residents  in                                                                   
assisted  living homes.  While  the term  Assisted Living  in                                                                   
Alaska includes  smaller and  larger facilities,  the primary                                                                   
focus is  on smaller facilities  (15 beds or less.)  Assisted                                                                   
living homes,  which were formerly  called adult  foster care                                                                   
homes, provide a cost effective  alternative to institutional                                                                   
care. The program is regulated  by the old general assistance                                                                   
regulations, which need to be  revisited and updated to be in                                                                   
line  with the  standard of  care  that is  practiced by  the                                                                   
other assisted living programs.                                                                                                 
                                                                                                                                
The rate  was established in 1983  at $35 dollars a  day. The                                                                   
Alaska Rate Study  Report completed December  1998 found that                                                                 
the value of $35 dollars in 1983  would be equal to $68.30 in                                                                   
1998  dollars.  The rate  study  concludes that  the  general                                                                   
relief rate be increased by $38.31.                                                                                             
                                                                                                                                
Ms.  Clark reiterated  that  the purpose  and  intent of  the                                                                   
legislation was to  increase the daily rate paid  to the "mom                                                                   
and pop" (15 beds  and less) facilities by the  state for the                                                                   
vulnerable  adults  that are  unable  to provide  safely  for                                                                   
their own  medical, emotional  and personal  care needs.  She                                                                   
noted  that the  original  intent by  Senator  Miller was  to                                                                   
increase the base rate from $34.50  dollars to $70.00 dollars                                                                   
per  day, based  on  individual  care needs.  Senator  Miller                                                                   
acknowledged  that  the  increase  to  $70  dollars  was  not                                                                   
supportable with the current budget.  He therefore supports a                                                                   
base rate of $42.25  dollars a day the first  year and $51.00                                                                   
dollars a day for the second and  following years. This would                                                                   
include a geographical cost of living differential.                                                                             
                                                                                                                                
Ms.  Clark  observed  that  Senator  Miller  has  a  personal                                                                   
interest in the legislation as  the result of the care of his                                                                   
father.                                                                                                                         
                                                                                                                                
Ms. Clark  referred  to a report  published  by the from  the                                                                   
Alaska Commission  on Aging "Alaska Seniors',  Living Longer,                                                                   
Growing  Strong"  February 1998.  "Alaska  is  second in  the                                                                   
nation  in a proportional  growth of  our senior  population-                                                                   
with a 42% increase in people age 65+ in only 6 years (1990-                                                                    
1996...  Equally  impressive  is  the  anticipated  long-term                                                                   
growth of Alaska  Senior population. In 1980,  there were 11,                                                                   
547  people  over  the  age of  65.  Using  moderated  growth                                                                   
projections, population  experts agree this number  may reach                                                                   
80,927 by the year  2015. This is a cost of  600% increase in                                                                   
only 35 years."                                                                                                                 
                                                                                                                                
Ms. Clark maintained that caregivers  cannot afford to remain                                                                   
in  business.  She questioned  how  care  would be  given  to                                                                   
Alaska's seniors. Nursing homes  and hospitals cost over $300                                                                   
dollars  a day. She  stressed  that an increase  in the  rate                                                                   
would keep  people in  their own  communities and in  smaller                                                                   
homes.                                                                                                                          
                                                                                                                              
Representative Phillips noted  that the rate was increased to                                                                   
$75 dollars  in the  House HESS  Committee. Ms. Clark  stated                                                                   
that the sponsor supports the increase.                                                                                         
                                                                                                                                
Co-Chair Therriault  observed that  the issue is  the overall                                                                   
cost. The Alaska  Mental Health Trust Authority  will cover a                                                                   
portion for  the first  two years.  The Trust indicated  that                                                                   
they would cover an additional year at a smaller amount.                                                                        
                                                                                                                                
Representative  Phillips  observed  that  the Trust  and  the                                                                   
Division of Mental  Health have requested in  the fiscal note                                                                   
that the payment be increased to $100 dollars.                                                                                  
                                                                                                                                
DWIGHT  BECKER,  PROGRAM  COORDINATOR,   DIVISION  OF  SENIOR                                                                   
SERVICES,  DEPARTMENT OF  ADMINISTRATION, ANCHORAGE  provided                                                                   
information on  the legislation.  He responded to  a question                                                                   
by Vice  Chair Bunde. He agreed  that closer of the  "mom and                                                                   
pop" organizations  would result  in increased state  support                                                                   
and cost.                                                                                                                       
                                                                                                                                
KAY   BURROWS,  DIRECTOR,   DIVISION   OF  SENIOR   SERVICES,                                                                   
DEPARTMENT   OF  ADMINISTRATION   ANCHORAGE   testified   via                                                                   
teleconference  in support of  the legislation.  She stressed                                                                   
the  need  for small  assisted  living  homes to  receive  an                                                                   
increased rate.                                                                                                                 
                                                                                                                                
ALISON    ELGEE,   DEPUTY    COMMISSIONER,   DEPARTMENT    OF                                                                   
ADMINISTRATION testified  in support of the  legislation. The                                                                   
legislation impacts both the Division  of Senior Citizens and                                                                   
Division of Mental Health clientele.  General relief payments                                                                   
do  not  go   to  every  assisted  living   client.  Personal                                                                   
resources  are offset.  The department  also  looks at  other                                                                   
forms of public assistance and waivers.                                                                                         
                                                                                                                                
Vice Chair Bunde  questioned the impact of the  loss of small                                                                   
assisted living homes.                                                                                                          
                                                                                                                                
Ms. Elgee  responded that the  information was  not currently                                                                   
available.  She  clarified  that  the  concern  is  that  the                                                                   
existing  assisted living  providers would  refuse to  accept                                                                   
general  relief clients.  These  clients  are vulnerable  and                                                                   
subject  to  abuse.  More  expensive  alternatives  would  be                                                                   
required if  they were not cared  for by the  smaller private                                                                   
providers.  Assisted  living  homes  cost  approximately  $70                                                                   
dollars a  day versus $300 dollars  a day in a  nursing home.                                                                   
Not all of the placements would  be eligible for nursing home                                                                   
assistance.   She   explained    that   the   Department   of                                                                   
Administration  initiated a study  in response to  complaints                                                                   
that the  rates ($35  dollars a  day) were insufficient.  She                                                                   
explained  that  the 1998  study  identified  a cost  of  $70                                                                   
dollars a day. Individuals in  assisted living are allowed to                                                                   
keep $75  to $100 dollars a  day in personal  needs allowance                                                                   
before the department offsets the cost.                                                                                         
                                                                                                                                
Vice Chair Bunde  questioned if people could be  feed for $35                                                                   
dollars a day, let alone be cared for at that rate.                                                                             
                                                                                                                                
SB  73   was  heard  and   HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
The meeting was adjourned at 4:45 p.m.                                                                                          

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