Legislature(2003 - 2004)

04/13/2004 03:25 PM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
                  HOUSE FINANCE COMMITTEE                                                                                       
                       April 13, 2004                                                                                           
                         3:25 P.M.                                                                                              
                                                                                                                                
TAPE HFC 04 - 80, Side A                                                                                                        
TAPE HFC 04 - 80, Side B                                                                                                        
TAPE HFC 04 - 81, Side A                                                                                                        
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Williams called the House  Finance Committee meeting                                                                   
to order at 3:25 P.M.                                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative John Harris, Co-Chair                                                                                            
Representative Bill Williams, Co-Chair                                                                                          
Representative Kevin Meyer, Vice-Chair                                                                                          
Representative Mike Chenault                                                                                                    
Representative Eric Croft                                                                                                       
Representative Hugh Fate                                                                                                        
Representative Richard Foster                                                                                                   
Representative Mike Hawker                                                                                                      
Representative Reggie Joule                                                                                                     
Representative Bill Stoltze                                                                                                     
                                                                                                                                
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Carl Moses                                                                                                       
                                                                                                                                
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Representative   Norm    Rokeberg;   Janet    Seitz,   Staff,                                                                   
Representative  Norman  Rokeberg; Pat  Davidson,  Legislative                                                                   
Auditor,  Legislative Audit  Division;  Pete Ecklund,  Staff,                                                                   
Representative    Bill    Williams;   Jim    Pound,    Staff,                                                                   
Representative Hugh  Fate; Annette Kreitzer, Chief  of Staff,                                                                   
Office  of  the  Lieutenant  Governor;  Scott  Clark,  Notary                                                                   
Administrator,  Office  of the  Lieutenant  Governor;  Portia                                                                   
Parker, Deputy Commissioner, Department  of Corrections; Cody                                                                   
Rice,  Staff,   Representative  Carl  Gatto;   Cindy  Cashen,                                                                   
Mother's Against Drunk Driving  (MADD), Juneau; Denny Dewitt,                                                                   
Special Assistant,  Office of  the Governor; Janet  Burleson-                                                                   
Baxter,  Legislative  Liaison,  Office of  the  Commissioner,                                                                   
Department  of  Natural  Resources;   Jim  Dieringer,  Staff,                                                                   
Representative Hugh Fate                                                                                                        
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
William   Satterberg,  Attorney,   Fairbanks;  Ian   Marples,                                                                   
Alcohol Counter Measure Systems,  Anchorage; Daine Wendlandt,                                                                   
Assistant  Attorney General,  Department  of Law,  Anchorage;                                                                   
Ralph  Fuller,   Matsu;  Jess  Christianson,   Matsu;  Israel                                                                   
Nelson,   Matsu;  Janet   McCabe,   Partners  for   Progress,                                                                   
Anchorage; Dick  Mylius, Deputy Director, Division  of Mining                                                                   
Land and Water, Department of Natural Resources, Anchorage                                                                      
                                                                                                                                
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
HB 319    An Act  relating to the  disposal of state  land by                                                                   
          lottery;  and relating  to the disposal,  including                                                                   
          sale or lease, of remote  recreational cabin sites.                                                                   
                                                                                                                                
          HB 319 was HEARD and HELD in Committee for further                                                                    
          consideration.                                                                                                        
                                                                                                                                
HB 342    An Act  relating to driving while  intoxicated; and                                                                   
          providing for an effective date.                                                                                      
                                                                                                                                
          HB 342 was HEARD and  HELD in Committee for further                                                                   
          consideration.                                                                                                        
                                                                                                                                
HB 418    An Act  extending the termination date  of the Real                                                                   
          Estate Commission;  and providing for  an effective                                                                   
          date.                                                                                                                 
                                                                                                                                
          CS HB 418 (FIN) was reported out of Committee with                                                                    
          a "do  pass" recommendation  and with a  new fiscal                                                                   
          note  by the  Department  of Community  &  Economic                                                                   
          Development.                                                                                                          
                                                                                                                                
HB 439    An  Act relating  to the authority  to take  oaths,                                                                   
          affirmations,  and  acknowledgments  in the  state;                                                                   
          relating to  notaries public; relating  to fees for                                                                   
          issuing  certificates with  the seal  of the  state                                                                   
          affixed; and providing for an effective date.                                                                         
                                                                                                                                
          HB 439 was HEARD and HELD in Committee for further                                                                    
          consideration.                                                                                                        
                                                                                                                                
HB 484    An Act  imposing a correctional  facility surcharge                                                                   
          on persons  convicted of  a crime under  state law,                                                                   
          and   on  persons  whose   probation  is   revoked;                                                                   
          relating  to  fees   and  expenses  for  interstate                                                                   
          transfer of probation  or parole; and providing for                                                                   
          an effective date.                                                                                                    
                                                                                                                                
          CS HB 484 (JUD) was reported out of Committee with                                                                    
          "individual  recommendations" and  with a  new zero                                                                   
          note by the Alaska Court  System, a new fiscal note                                                                   
          by  the Department of  Corrections and  fiscal note                                                                   
          #1 by the Department of Law.                                                                                          
                                                                                                                                
CS SB 301(FIN)                                                                                                                  
          An Act  relating to  the Alaska Pioneers'  Home and                                                                   
          the Alaska Veterans'  Home; relating to eligibility                                                                   
          for  admission  to the  Alaska  Pioneers' Home  and                                                                   
          Alaska Veterans' Home;  relating to the eligibility                                                                   
          of residents for the  Alaska Pioneers' Home and the                                                                   
          Alaska   Veterans'    Home   for   general   relief                                                                   
          assistance;   relating  to  state   veterans'  home                                                                   
          facilities;   making  conforming  amendments;   and                                                                   
          providing for an effective date.                                                                                      
                                                                                                                                
          HCS CS SB 301 (FIN) was reported out of Committee                                                                     
          with an accompanying Letter of Intent.                                                                                
                                                                                                                                
HOUSE CS FOR CS FOR SENATE BILL NO. 301(FIN)                                                                                  
                                                                                                                                
     An Act relating to the Alaska Pioneers' Home and the                                                                       
     Alaska  Veterans'  Home;  relating  to  eligibility  for                                                                   
     admission  to  the  Alaska  Pioneers'  Home  and  Alaska                                                                   
     Veterans'   Home;  relating   to   the  eligibility   of                                                                   
     residents for  the Alaska Pioneers' Home  and the Alaska                                                                   
     Veterans' Home  for general relief assistance;  relating                                                                   
     to state  veterans' home  facilities; making  conforming                                                                   
     amendments; and providing for an effective date.                                                                           
                                                                                                                                
Vice Chair Meyer  MOVED to report HCS CS SB 301  (FIN) out of                                                                   
Committee with  the accompanying Letter of Intent  and fiscal                                                                   
note.    Co-Chair  Williams  OBJECTED   for  the  purpose  of                                                                   
discussion.                                                                                                                     
                                                                                                                                
DENNY  DEWITT, SPECIAL  ASSISTANT,  OFFICE  OF THE  GOVERNOR,                                                                   
explained  that  the  Letter  of  Intent  would  outline  the                                                                   
intended  process  used  to  control  admissions  at  veteran                                                                   
homes.   He  indicated that  75%  of the  residents would  be                                                                   
veterans  and that  the  balance would  be  filled using  the                                                                   
current Pioneer Home  waiting list plan.  The  Senate Health,                                                                   
Education  and Social  Services  Committee  requested that  a                                                                   
Letter  of  Intent  accompany   the  bill,  articulating  the                                                                   
Governor's support.                                                                                                             
                                                                                                                                
Co-Chair  Williams WITHDREW  his OBJECTION.   There  being NO                                                                   
further  OBJECTION,  the Letter  of  Intent  was adopted  and                                                                   
attached to the bill.                                                                                                           
                                                                                                                                
HCS CS SB  301 (FIN) was  reported out of Committee  with the                                                                   
Letter  of Intent  and fiscal  note #1 by  the Department  of                                                                   
Health & Social Services.                                                                                                       
                                                                                                                                
HOUSE BILL NO. 342                                                                                                            
                                                                                                                                
     An  Act  relating  to  driving  while  intoxicated;  and                                                                   
     providing for an effective date.                                                                                           
                                                                                                                                
CODY RICE, STAFF,  REPRESENTATIVE CARL GATTO, spoke  to CS HB                                                                   
342 (JUD).  He noted that the  legislation would make several                                                                   
changes to Driving  Under the Influence (DUI) law.   The bill                                                                   
would set  out a  tiered fine  schedule increasing  fines and                                                                   
would  add  other  sanctions,   in  particular  the  ignition                                                                   
interlock  device.   The  bill  clarifies that  the  ignition                                                                   
interlock  could  only  be  Court-ordered   as  part  of  the                                                                   
offenders  sentence  for  vehicles  driven  on  roadways  and                                                                   
requiring a license.                                                                                                            
                                                                                                                                
Mr. Rice pointed out that fines  would be increased for those                                                                   
offenders  who  have  between  0.16 and  0.24  blood  alcohol                                                                   
content  (BAC);  establishing   an  additional  increase  for                                                                   
offenders with a  0.24 or higher BAC.  It would  also add the                                                                   
ignition  interlock for  six months.   He  continued, HB  342                                                                   
contains  provisions  for  limited  licensing  under  certain                                                                   
circumstances  for  misdemenor offenders  receiving  licenses                                                                   
under certain situations.                                                                                                       
                                                                                                                                
Representative Chenault  asked the costs associated  with the                                                                   
interlocks  and installation.   Mr. Rice  responded that  the                                                                   
quoted prices range  around $3 dollars a day.   He added that                                                                   
in current  State law,  a provision  does exist which  allows                                                                   
ignition interlocks to be subtracted from the fines.                                                                            
                                                                                                                                
Representative   Stoltze  remembered   that   in  1989,   the                                                                   
Legislature  passed  another  interlock  device  legislation.                                                                   
The  language  was  permissive  and many  concerns  had  been                                                                   
voiced regarding  the technology  of those devices  and asked                                                                   
if it  had been implemented.   Mr. Rice  replied that  it had                                                                   
been attempted  in Anchorage;  however, judges were  hesitant                                                                   
to  apply  the  ignition  locks  until  they  saw  sufficient                                                                   
success.  Mr.  Rice pointed out that ignition  interlocks are                                                                   
used worldwide despite weather conditions.                                                                                      
                                                                                                                                
Representative  Chenault  asked  if snow  machines  would  be                                                                   
exempt.    Mr. Rice  replied  that  snow machines,  off  road                                                                   
vehicles and vehicles  not intended to be driven  on highways                                                                   
would be exempt from requirements for ignition interlocks.                                                                      
                                                                                                                                
Representative  Croft understood  that the legislation  would                                                                   
remove the discretion  for those offenders  registering twice                                                                   
over  the  legal  limit.   Mr.  Rice  acknowledged  that  was                                                                   
correct and  would be required  for offenders wanting  to get                                                                   
their  limited  license  back.   Under  the  bill,  offenders                                                                   
convicted  of multiple  misdemeanors  who want  to receive  a                                                                   
limited license, would be required  to use ignition interlock                                                                   
as well as those with double or triple offenses.                                                                                
                                                                                                                                
Representative  Rokeberg  responded.    [In  audible  -  tape                                                                   
malfunction].                                                                                                                   
                                                                                                                                
REPRESENTATIVE  NORMAN  ROKEBERG spoke  to  work draft,  #23-                                                                   
LS1292\S,  Luckhaupt, 4/9/04.   (Copy  on File).   He  stated                                                                   
that the  draft was  similar to  Representative Gatto's  bill                                                                   
and that  he hoped  the efficiency  and activity  of the  two                                                                   
bills could blend together.                                                                                                     
                                                                                                                                
Representative Rokeberg  pointed out that HB 175  has a House                                                                   
Judiciary Committee  referral.   He mentioned that  there are                                                                   
statewide witnesses on-line that  want to testify on the bill                                                                   
before consideration of marrying the two is discussed.                                                                          
                                                                                                                                
Representative  Rokeberg   referenced  Page  4,   Section  3,                                                                   
stating  that   it  would  add  the  provision   for  limited                                                                   
licensure for  those people under  that jurisdiction  and who                                                                   
successfully  completed  a  wellness profile  for  a  limited                                                                   
license  and  would qualify  people  in  that program.    [In                                                                   
audible].                                                                                                                       
                                                                                                                                
Representative Rokeberg  noted that Page 7,  Section 7, would                                                                   
provide the same  benefit to those under the  jurisdiction of                                                                   
the therapeutic  court to  provide [in audible]  successfully                                                                   
completing  the program.   The  idea  is that  it would  give                                                                   
judges working  under the therapeutic court model,  the right                                                                   
to limited licensure.                                                                                                           
                                                                                                                                
Representative  Rokeberg noted  in HB 4  passed in  2002, the                                                                   
Legislature spoke  strongly about raising the  DUI fines from                                                                   
$500 to  $1500 dollars.   He thought  that there had  been an                                                                   
oversight  in  that  legislation,  which  allowed  judges  to                                                                   
suspend a portion  of the fine.  A judge could  be preempted.                                                                   
There can  be delays, which  tend to  happen.  The  courts do                                                                   
have the  authority and  discretion to  lower the fine  below                                                                   
that  level.   Section 3,  Lines 12-22,  changes the  minimum                                                                   
fine language.  Section 4 supplies  the same language for the                                                                   
felony provisions in law.                                                                                                       
                                                                                                                                
Representative Rokeberg noted  the final change in Section 5,                                                                   
Page 6, Line 10, which provides  the definition of a previous                                                                   
conviction  and  provides  a   five-year  look-back.    HB  4                                                                   
implements  a ten-year  look-back  phased in  with a  10-year                                                                   
window for  Class C felonies.   He pointed  out that  was the                                                                   
legislative intent  for HB 4.  Representative  Rokeberg noted                                                                   
that the House Judiciary Committee  had focused on the felony                                                                   
aspect.                                                                                                                         
                                                                                                                                
Representative  Rokeberg directed  the Committee's  attention                                                                   
to  language  on  Page  4.   He  spoke  about  the  need  for                                                                   
compassion  for these  offenders.   The fines  and levels  of                                                                   
incarceration have  been raised significantly.   He mentioned                                                                   
offenders  who  have a  substantial  period of  time  between                                                                   
their  DUI  occurrences,  pointing   out  that  patterns  and                                                                   
lifestyles  can change  tremendously during  a 15-year  look-                                                                   
back period.   The work draft  provides that person  a second                                                                   
chance  and their  other  offenses would  have  had to  occur                                                                   
outside of that 15-year window.                                                                                                 
                                                                                                                                
Representative  Rokeberg  voiced  his  appreciation  for  the                                                                   
consideration  of  the draft  and  requested  the process  be                                                                   
expedited.                                                                                                                      
                                                                                                                                
Co-Chair  Harris   asked  which   Committee  the   bill  that                                                                   
Representative Rokeberg  was attempting to place  into HB 342                                                                   
was currently  located.  Representative Rokeberg  stated that                                                                   
it is  currently in  the House  Judiciary Committee  and also                                                                   
before the House  Finance Committee in the draft  "S" version                                                                   
of HB 342.                                                                                                                      
                                                                                                                                
Co-Chair  Harris  asked  if  Representative   Rokeberg's  was                                                                   
concerned  that  his  bill  would not  move  from  the  House                                                                   
Judiciary Committee.  Representative  Rokeberg responded that                                                                   
Committee is  "bogged down" and  he thought that it  would be                                                                   
more  efficient  to accomplish  his  intent in  the  proposed                                                                   
manner.   Co-Chair  Harris  questioned  if there  were  legal                                                                   
rules  regarding such  action,  understanding  that there  is                                                                   
nothing that cannot be changed.                                                                                                 
                                                                                                                                
WILLIAM   SATTERBERG,    (TESTIFIED   VIA    TELECONFERENCE),                                                                   
ATTORNEY, FAIRBANKS,  testified that  the bill has  some good                                                                   
attributes.    He made  recommendations,  which  he  believed                                                                   
would  make the  legislation more  helpful.   Mr.  Satterberg                                                                   
agreed  with   Representative  Rokeberg's  discussion.     He                                                                   
elaborated that one  of his clients, 67 years old,  had a DUI                                                                   
over thirty  years ago,  receiving another  in 2002 and  as a                                                                   
consequence of that, spent 60-days  in jail.  He presently is                                                                   
looking at  a hefty  fine and a  three-year loss  of license.                                                                   
Mr. Satterberg  testified that  the concept of  the look-back                                                                   
provision would be admirable,  and agreed with Representative                                                                   
Rokeberg that it had probably been an oversight.                                                                                
                                                                                                                                
Mr.   Satterberg  requested   that  the   Committee  make   a                                                                   
retroactive provision for those  people caught in the interim                                                                   
period.  The active  date in statute is January  1, 2005.  He                                                                   
recommended  that it  should be  moved  up to  July 1,  2004.                                                                   
Those  fines disappear  into a  "black hole"  of the  general                                                                   
fund.   He strongly  urged that the  mandatory fines  be used                                                                   
for rehabilitation purposes.                                                                                                    
                                                                                                                                
RALPH   FULLER,  (TESTIFIED   VIA   TELECONFERENCE),   MATSU,                                                                   
elaborated  on  a DUI  he  received  thirty years  ago,  with                                                                   
another four  years ago and  now a recent  one.  He  lost his                                                                   
license for three years, which  has been very difficult since                                                                   
                                                    st                                                                          
he is self-employed.   He requested that the July  1  date be                                                                   
added to the  bill as it would  help offenders get  back to a                                                                   
productive life.                                                                                                                
                                                                                                                                
ISRAEL NELSON, (TESTIFIED VIA  TELECONFERENCE), MATSU, voiced                                                                   
support for the  bill as it would further impede  people from                                                                   
using their  vehicles while under  the influence  of alcohol.                                                                   
He  urged that  the  fines be  used  for treatment  of  those                                                                   
people.                                                                                                                         
                                                                                                                                
JANET MCCABE,  (TESTIFIED VIA  TELECONFERENCE), PARTNERS  FOR                                                                   
PROGRESS, ANCHORAGE,  voiced   support  for  the  work  draft                                                                   
version "S".  She noted that Partners  for Progress is a non-                                                                   
profit group that supports development  of therapeutic courts                                                                   
throughout the State.  She commented  that limited licensures                                                                   
would  encourage   the  stop   action  of  repeat   offenses,                                                                   
emphasizing  that these  programs  work.   She stressed  that                                                                   
therapeutic  courts  are  three   times  more  effective  for                                                                   
stopping  alcoholic crimes  and are far  less expensive  than                                                                   
incarceration.   Ms. McCabe supported  the idea of  a limited                                                                   
licensing.                                                                                                                      
                                                                                                                                
CINDY CASHEN, MOTHER'S AGAINST  DRUNK DRIVING (MADD), JUNEAU,                                                                   
testified  that MADD  supports  both pieces  of  legislation.                                                                   
MADD  supports  measures  that   would  enhance  or  escalate                                                                   
penalties  for  drivers  convicted  DUI  with  blood  alcohol                                                                   
content at the time of arrest at least double or higher.                                                                        
                                                                                                                                
She  pointed  out that  over  13,000  people were  killed  in                                                                   
alcohol related accidents  last year.  In over  half of those                                                                   
crashes, the  driver had an alcohol  level of over 0.15.   At                                                                   
that range, the  driver is 384 times more likely  to get into                                                                   
a fatal  crash than a driver  that has had nothing  to drink.                                                                   
Additionally, one-third  of those arrested for  DUI, have had                                                                   
a previous DUI.                                                                                                                 
                                                                                                                                
In  2001,  in Alaska,  there  was  a  total of  4,918  people                                                                   
arrested for drunk driving.  Of  that number, over 1,800 were                                                                   
repeat  offenders.     In  2000,   over  1,400   were  repeat                                                                   
offenders.   Ms. Cashen  pointed out  that these numbers  are                                                                   
high, advising  that the ignition  interlock works.   Studies                                                                   
have proven  that there  could be up  a 50%-90% reduction  on                                                                   
offenders  fined  and  that  have  the  device  in  place  as                                                                   
compared to those who do not.                                                                                                   
                                                                                                                                
Ms.  Cashen  pointed  out that  MADD  supports  wellness  and                                                                   
therapeutic  courts   and  anything  else  that   would  help                                                                   
encourage an 18-month  program.  She addressed  the look-back                                                                   
concept,  pointing  out  that  those  with  their  first  DWI                                                                   
thirty-years  ago and  receiving  another  and then  another;                                                                   
that according to the National  Highway Traffic Safety Board,                                                                   
the average  amount of time that  it takes to get  caught for                                                                   
drunk driving is around ten years.   She urged that the look-                                                                   
back stay at a minimum of fifteen years.                                                                                        
                                                                                                                                
HB 342 was HELD in Committee for further consideration.                                                                         
                                                                                                                                
HOUSE BILL NO. 418                                                                                                            
                                                                                                                                
     An Act extending the termination date of the Real                                                                          
     Estate Commission; and providing for an effective date.                                                                    
                                                                                                                                
REPRESENTATIVE NORMAN  ROKEBERG, SPONSOR, explained  the bill                                                                   
noting  that AS  08.88.010 has  established  the Real  Estate                                                                   
Commission  (REC), providing  for appointment  of members  by                                                                   
the Governor.   The Commission  consists of five  real estate                                                                   
brokers  or associate  brokers,  one from  each  of the  four                                                                   
judicial  districts and  two public  members.   The bill,  if                                                                   
enacted  would extend  the Commission  operation for  another                                                                   
four years to June 30, 2008.                                                                                                    
                                                                                                                                
The  Commission  serves  the   public  interest  by  adopting                                                                   
regulations to carry  out the laws governing  the practice of                                                                   
real estate  in Alaska.   It approves  education courses  and                                                                   
instructors,  makes  final  licensing   decisions  and  takes                                                                   
disciplinary action against people  who violate the licensing                                                                   
laws.                                                                                                                           
                                                                                                                                
Representative  Rokeberg   advised  that  Legislative   Audit                                                                   
recommends REC be extended.  The  regulation and licensing of                                                                   
real   estate   professionals   provides   necessary   public                                                                   
protection  in  the buying  and  selling of  residential  and                                                                   
commercial properties.   He recommended that  REC be extended                                                                   
to June 30, 2008, and urged passage.                                                                                            
                                                                                                                                
He pointed out amendments made  by the House Labor & Commerce                                                                   
Committee, which address two issues:                                                                                            
                                                                                                                                
   ·    Home inspectors, and                                                                                                    
   ·    Requests   from   the   Division    of   Occupational                                                                   
        Licensing, cleaning up statutory language.                                                                              
                                                                                                                                
Representative Rokeberg highlighted the sectional analysis:                                                                     
                                                                                                                                
   ·    Section 1 extends the sunset for the Real Estate                                                                        
                             th                                                                                                 
        Commission to June 30, 2008.                                                                                            
   ·    Section 2 addresses the question of dual insurance.                                                                   
        Current law requires each licensee to have                                                                              
        insurance.                                                                                                              
   ·    Sections 3 & 4 were requested by the Division of                                                                        
        Insurance and clear up language regarding inactive                                                                      
       real estate licenses and address notification.                                                                           
   ·    Section 5 addresses continuing education for a                                                                          
        person who has a transitional home inspector                                                                            
        license.                                                                                                                
   ·    Section 6 allows for the act to take effect                                                                             
        immediately.                                                                                                            
                                                                                                                                
Representative   Rokeberg  referenced   Amendment  #1,   #23-                                                                   
LS1548\H.1, Mischel, 3/1/04.  (Copy on File).                                                                                   
                                                                                                                                
Co-Chair  Williams asked  if the amendment  had received  any                                                                   
other committee hearings.  Co-Chair  Harris reported that the                                                                   
bill  had received  rigorous debate  in the  House Labor  and                                                                   
Commerce Committee.                                                                                                             
                                                                                                                                
Co-Chair  Harris  MOVED  to ADOPT  Amendment  #1.    Co-Chair                                                                   
Williams  OBJECTED  and noted  that  he  wished it  had  been                                                                   
addressed in the previous committee.                                                                                            
                                                                                                                                
Representative Stoltze  recommended that Amendment  #1 needed                                                                   
to have more public  in put.  He referenced Page  1, Line 10,                                                                   
deleting   language   "American  Home   Inspectors   Training                                                                   
Institute", indicating that it  would be good to hear if that                                                                   
change was supported.                                                                                                           
                                                                                                                                
Representative  Rokeberg responded that  he had no  objection                                                                   
to removing the  language.  He pointed out  that organization                                                                   
was added  in the Senate Judiciary  Committee last year.   He                                                                   
understood that  the distinction was substantially  different                                                                   
and that the requirements were not adequate.                                                                                    
                                                                                                                                
Representative  Stoltze  MOVED  to  ADOPT  the  amendment  to                                                                   
Amendment #1.   Co-Chair Harris  OBJECTED and asked  if there                                                                   
was  a problem  with  that  group.   Representative  Rokeberg                                                                   
replied that  they had lobbied  to get placement in  the bill                                                                   
last year with the Chair of the Senate Judiciary Committee.                                                                     
                                                                                                                                
                                                                                                                                
TAPE HFC 04 - 80, Side B                                                                                                      
                                                                                                                                
                                                                                                                                
Representative  Rokeberg  agreed that  the  amendment to  the                                                                   
amendment would  be appropriate.   Co-Chair Harris  asked why                                                                   
the public felt that way.  Representative  Rokeberg responded                                                                   
that  the   other  included   organizations  are   much  more                                                                   
thorough.   The course  of instruction  by the American  Home                                                                   
Inspectors  is  only  six days  and  includes  50  questions;                                                                   
whereas, the other  exam is a longer course of  study and has                                                                   
250 questions.  It is a more arduous course of study.                                                                           
                                                                                                                                
Co-Chair Harris WITHDREW his OBJECTION  to amending Amendment                                                                   
#1.  There being  NO further OBJECTION, the  amendment was to                                                                   
Amendment #1 was adopted.                                                                                                       
                                                                                                                                
Representative  Croft inquired  if the  first portion  of the                                                                   
amendment   adds   a   continuing    education   requirement.                                                                   
Representative  Rokeberg  responded  that  was  part  of  the                                                                   
original bill.   Representative Croft asked  what the section                                                                   
would be adding.                                                                                                                
                                                                                                                                
JANET   SEITZ,   STAFF,   REPRESENTATIVE   NORMAN   ROKEBERG,                                                                   
explained  that when  the regulations  were developed,  there                                                                   
were problems the Division had  in distinguishing between who                                                                   
needed  continuing education  and who  did not.   It was  the                                                                   
original intent  that once the  party got their  license, the                                                                   
only  thing   they  would  need   would  be  the   continuing                                                                   
education.   The  amendment makes  it  clear that  inspectors                                                                   
must submit  the application within  one year of  passing the                                                                   
exam, or  they demonstrate  the documentation  that  they had                                                                   
passed  the  exam, or  they  could  show  that they  had  the                                                                   
continuing education requirement.                                                                                               
                                                                                                                                
Representative  Croft requested  clarification if they  would                                                                   
have  to  apply  within  one   year,  adding  the  additional                                                                   
language  of proof  of  a continuing  education  requirement.                                                                   
Ms.  Seitz responded  that  it  would be  either  one or  the                                                                   
other.                                                                                                                          
                                                                                                                                
Representative   Croft  asked   what  was  the   "residential                                                                   
combination examination".   Ms.  Seitz replied that  when the                                                                   
Division was  developing the  regulations, under  the current                                                                   
law, the  passing of  the building  inspector examination,  a                                                                   
person would  have to  pass four separate  exams.   The combo                                                                   
examination  is  a  "4  in 1"  exam  and  instead  of  taking                                                                   
separate exams,  the qualifying  person takes only  the combo                                                                   
exam.                                                                                                                           
                                                                                                                                
Representative  Croft  advised  that the  fee  for  licensing                                                                   
would be $200 dollars.  He inquired  if the fee had been left                                                                   
out when  previously passed.   Ms. Seitz replied that  it had                                                                   
been left out.                                                                                                                  
                                                                                                                                
Co-Chair  Williams  WITHDREW  his OBJECTION  to  the  amended                                                                   
Amendment #1.   There being  NO further OBJECTION,  Amendment                                                                   
#1 was adopted.                                                                                                                 
                                                                                                                                
Co-Chair Harris inquired if the bill had received an audit.                                                                     
                                                                                                                                
PAT   DAVIDSON,  LEGISLATIVE   AUDITOR,   LEGISLATIVE   AUDIT                                                                   
DIVISION,  replied  that  an   audit  had  been  done  and  a                                                                   
recommendation was  made for a four-year extension.   Further                                                                   
recommendations made were:                                                                                                      
                                                                                                                                
   ·    To increase the ceiling for the real estate assurity                                                                    
        fund;                                                                                                                   
   ·    To create a reasonable due notice when claims are                                                                       
        approved;                                                                                                               
   ·    To clarify that if a real estate agent was involved                                                                     
        in the sale of a mobile home, the transaction be                                                                        
        covered by the real estate assurity fund.                                                                               
                                                                                                                                
Ms. Davidson  acknowledged that the third  recommendation was                                                                   
accompanied  by controversy  and  that the  Division did  not                                                                   
mean that  all mobile home  sales had  to be handled  by real                                                                   
estate agents.   That would not  be recommended.   They would                                                                   
need that only to the extent that  if a real estate agent was                                                                   
involved,  the  transaction would  then  be  covered by  that                                                                   
fund.  The proposed bill does not address that concern.                                                                         
                                                                                                                                
Representative Foster MOVED to  report CS HB 418 (FIN) out of                                                                   
Committee  with  individual  recommendations   and  with  the                                                                   
accompanying fiscal  note.  There being NO  OBJECTION, it was                                                                   
so ordered.                                                                                                                     
                                                                                                                                
CS HB  418 (FIN)  was reported  out of  Committee with  a "do                                                                   
pass"  recommendation  and with  a  new  fiscal note  by  the                                                                   
Department of Community & Economic Development.                                                                                 
                                                                                                                                
HOUSE BILL NO. 319                                                                                                            
                                                                                                                                
     An Act relating to the disposal of state land by                                                                           
     lottery; and relating to the disposal, including sale                                                                      
     or lease, of remote recreational cabin sites.                                                                              
                                                                                                                                
Co-Chair  Harris  MOVED  to ADOPT  work  draft  #23-LS0477\W,                                                                   
Bullock,  4/2/04, as  the version of  the legislation  before                                                                   
the Committee.  There being NO OBJECTION, it was adopted.                                                                       
                                                                                                                                
JIM  POUND, STAFF,  REPRESENTATIVE HUGH  FATE, discussed  the                                                                   
committee substitute  addressing two  primary concerns.   The                                                                   
first change  is the 100%  penalty clause  at the end  of the                                                                   
contract line in Sections 2 and  3; the second change deletes                                                                   
the authority language.   He believed that the  changes would                                                                   
enhance  the  bill.   Mr.  Pound  noted  Amendment  #1,  #23-                                                                   
LS0477\W.2, Bullock, 4/13/04.  (Copy on File).                                                                                  
                                                                                                                                
Co-Chair  Harris  MOVED  to ADOPT  Amendment  #1.    Co-Chair                                                                   
Williams OBJECTED.                                                                                                              
                                                                                                                                
PETE ECKLUND,  STAFF, REPRESENTATIVE BILL  WILLIAMS, reviewed                                                                   
the amendment,  noting that it  would clarify, that  in order                                                                   
to  nominate a  parcel under  the program,  the person  would                                                                   
need to  be a State  resident.   The amendment defines  State                                                                   
resident  to  mirror  what  is   already  in  statute.    The                                                                   
amendment clarifies  that only  State residents  can nominate                                                                   
parcels.     The   amendment  addresses   the  concern   that                                                                   
individuals can  nominate multiple  parcels across  the State                                                                   
and would be limited  to every three years, once  a lease had                                                                   
been purchased.                                                                                                                 
                                                                                                                                
There being NO further OBJECTION, Amendment #1 was adopted.                                                                     
                                                                                                                                
Representative Croft  questioned if there was a  limit on the                                                                   
initial nomination process.                                                                                                     
                                                                                                                                
REPRESENTATIVE    HUGH   FATE,    SPONSOR,   commented    the                                                                   
commissioner could  adopt only one petition.   Representative                                                                   
Croft inquired if  that language was located on  Page 3, Line                                                                   
25.   Mr. Pound pointed  out that the  number adopted  in the                                                                   
amendment would change the language,  making it more specific                                                                   
to the commissioner's judicial review.                                                                                          
                                                                                                                                
Representative Fate provided members  with a new fiscal note,                                                                   
dated 3/30/04.   (Copy  on File).   He  observed that  HB 319                                                                   
would  generate a  conservation minimum  of $500,000  dollars                                                                   
annually in land  sale revenues.  He hoped  that an agreement                                                                   
had been reached regarding the fiscal impact.                                                                                   
                                                                                                                                
Co-Chair Williams asked if the Department was available to                                                                      
address the fiscal notes.                                                                                                       
                                                                                                                                
JANET BURLESON-BAXTER, LEGISLATIVE LIAISON, OFFICE OF THE                                                                       
COMMISSIONER, DEPARTMENT OF NATURAL RESOURCES, offered to                                                                       
answer questions for the Department.                                                                                            
                                                                                                                                
JIM DIERINGER, STAFF, REPRESENTATIVE HUGH FATE, pointed out                                                                     
that the new note dated 3/30/04.                                                                                                
                                                                                                                                
Dick   Mylius,   (testified   via   teleconference),   Deputy                                                                   
Director, Division  of Mining  Land and Water,  Department of                                                                   
Natural  Resources, anchorage,  stated that  he had  not seen                                                                   
that note and was  not able to respond.  The  sponsor and the                                                                   
Department had reached  agreement on the previous  note.  Co-                                                                   
Chair Harris  clarified it  would be  $2 million dollars  for                                                                   
the next five years.                                                                                                            
                                                                                                                                
Mr. Dieringer  advised that the  differences between  the two                                                                   
fiscal notes, one dated 3/26/04  and the other dated 3/30/04,                                                                   
was clerical category  changes.  He observed  that there were                                                                   
no changes to the numbers only the format.                                                                                      
                                                                                                                                
Co-Chair  Williams stated  that  he would  hold  the bill  in                                                                   
Committee  so that the  Department could  address the  fiscal                                                                   
concern.   Representative  Fate interjected  that his  office                                                                   
had gone  over the notes  with the Department  and understood                                                                   
that they had come to an agreement.                                                                                             
                                                                                                                                
Co-Chair Harris  commented that the fiscal note  adds another                                                                   
$355  thousand  dollars  to  the  FY05Department  of  Natural                                                                   
Resources,  Land  Sales.    It  is  also  proposed  that  the                                                                   
Department  have  an  additional $481  thousand  dollars  for                                                                   
FY06.  He understood  the funding during the  out years would                                                                   
come  from  program  receipts  and/or  sale  of  lands.    He                                                                   
believed  that  passage  of  the  bill,  would  generated  an                                                                   
additional  $355 thousand  dollars, which  would be  added to                                                                   
the Department of  Natural Resources budget.    Mr. Dieringer                                                                   
stated that was correct.  When  implementing any type of real                                                                   
estate program, there is a lag  period between the selection,                                                                   
best interest findings time, the  appraisals and the surveys.                                                                   
When  working with  the Department,  it will  take about  two                                                                   
years.   The  sponsor agreed  that  between 18  to 24  months                                                                   
would be reasonable.  There would  be no sales revenues until                                                                   
            th                                                                                                                  
up to the 18  month.  Present  year, would require funding of                                                                   
$355 thousand dollars.                                                                                                          
                                                                                                                                
Co-Chair Harris asked if the fiscal  note proposed no funding                                                                   
for the  FY05 budget.  He  thought that the  Department would                                                                   
have to  "eat" the $355  thousand dollars, needing  monies to                                                                   
operate.   Mr.  Dieringer  anticipated  that  there would  be                                                                   
program receipts to cover costs.   In this year's budget, the                                                                   
Division  requested eight  new  positions  and $400  thousand                                                                   
dollars to develop a land sales  program.  He did not know if                                                                   
that had  been approved.   He  believed that  there would  be                                                                   
enough  money  this  year  to  implement  the  program;  then                                                                   
program receipts  would come  in by the  third year  to cover                                                                   
all the other costs.                                                                                                            
                                                                                                                                
Co-Chair  Williams   requested  that   the  fiscal   note  be                                                                   
discussed with the Department.                                                                                                  
                                                                                                                                
Ms. Burleson-Baxter pointed out  that version "W" will impact                                                                   
the Department's proposed note.                                                                                                 
                                                                                                                                
Co-Chair Williams referenced the  comparison document.  (Copy                                                                   
on  File).   He asked  if that  had changed.   Ms.  Burleson-                                                                   
Baxter responded  that it had  changed from the side  by side                                                                   
presented  of version  "V".  Co-Chair  Williams requested  an                                                                   
amended version  comparison.  Ms. Burleson-Baxter  offered to                                                                   
provide that information.                                                                                                       
                                                                                                                                
HB 319 was HELD in Committee for further consideration.                                                                         
                                                                                                                                
HOUSE BILL NO. 439                                                                                                            
                                                                                                                                
     An  Act  relating  to  the   authority  to  take  oaths,                                                                   
     affirmations,   and   acknowledgments   in  the   state;                                                                   
     relating  to  notaries  public;  relating  to  fees  for                                                                   
     issuing  certificates   with  the  seal  of   the  state                                                                   
     affixed; and providing for an effective date.                                                                              
                                                                                                                                
ANNETTE KREITZER,  CHIEF OF STAFF,  OFFICE OF  THE LIEUTENANT                                                                   
GOVERNOR, pointed  out the positive fiscal  note accompanying                                                                   
HB  439.    She highlighted  the  comparison  chart  and  the                                                                   
sectional analysis.  (Copy on  File).  The sectional analysis                                                                   
outlines  the  changes  that  occurred  in  the  House  State                                                                   
Affairs and House Judiciary Committees.                                                                                         
                                                                                                                                
The bill  is a result  of research handled  by the  Office of                                                                   
the Lieutenant Governor and among  12,000 notaries statewide.                                                                   
In the prepared bill, the qualification  age has been lowered                                                                   
to  18  years  old.    The  residency   requirement  made  is                                                                   
consistent  with  general  residency  statute  AS  01.10.055,                                                                   
rather than separate definition.   The terms would remain the                                                                   
same.  The $2  dollar per certificate fee has  been increased                                                                   
to  $5 dollars  per certificate.    The bond  amount was  not                                                                   
changed.                                                                                                                        
                                                                                                                                
Ms.  Kreitzer  continued,  highlighting   the  two  types  of                                                                   
commissions,  public notaries  and  the limited  governmental                                                                   
notary public commissions.  The  Lt. Governor, for good cause                                                                   
via a formal disciplinary procedure,  could make a commission                                                                   
revocation.    The  notary  information  currently  available                                                                   
remains  unchanged.   The notary's    name, mailing  address,                                                                   
surety  information  and  commission  dates  continue  to  be                                                                   
publicly available.   There  will be no  changes to  the non-                                                                   
commissioned notaries.                                                                                                          
                                                                                                                                
Ms. Kreitzer added that it is  intended to move toward a web-                                                                   
based system.                                                                                                                   
                                                                                                                                
Representative  Foster   referenced  the  comparison   chart,                                                                   
inquiring how it was intended to work in rural Alaska.                                                                          
                                                                                                                                
SCOTT CLARK,  NOTARY ADMINISTRATOR, OFFICE OF  THE LIEUTENANT                                                                   
GOVERNOR, explained  that beside commercial bonds,  there are                                                                   
individual  assurities.   A person  applying  for the  notary                                                                   
commission can  have a relative  or friend act assurity  on a                                                                   
bond.   It does not  involve any  expense on the  applicant's                                                                   
part.                                                                                                                           
                                                                                                                                
Representative  Foster  pointed out  that  the chart  implies                                                                   
that applicants  cannot have  a felon  conviction for  a ten-                                                                   
year period.   Mr. Clark  responded that currently  there are                                                                   
no restrictions for felons serving as notaries.                                                                                 
                                                                                                                                
Ms. Kreitzer  stated that  the bill  had not been  introduced                                                                   
with  language addressing  that  concern.   The Lt.  Governor                                                                   
offered to consider  the right to be a notary  if there was a                                                                   
good  compromise.     From  statistics,  the   Department  of                                                                   
Corrections  has  indicated that  if  someone  was free  from                                                                   
committing  a  felony  for  10-years  following  the  initial                                                                   
felony,  there is  a good  chance  that person  would not  be                                                                   
committing another  felony.  She clarified that  the language                                                                   
was a  compromise.  That  statement surprised  Representative                                                                   
Foster as  he thought  a person  could not  vote if  they had                                                                   
been a  felon.  Ms. Kreitzer  advised that voting  rights can                                                                   
be restored.                                                                                                                    
                                                                                                                                
Co-Chair  Williams  stated  that  HB  439 would  be  HELD  in                                                                   
Committee for further consideration.                                                                                            
                                                                                                                                
HOUSE BILL NO. 484                                                                                                            
                                                                                                                                
     An  Act imposing  a correctional  facility surcharge  on                                                                   
     persons  convicted of a  crime under  state law,  and on                                                                   
     persons  whose probation  is revoked;  relating to  fees                                                                   
     and  expenses for  interstate transfer  of probation  or                                                                   
     parole; and providing for an effective date.                                                                               
                                                                                                                                
PORTIA   PARKER,    DEPUTY   COMMISSIONER,    DEPARTMENT   OF                                                                   
CORRECTIONS, stated that HB 484 would impose a surcharge on                                                                     
persons  convicted  of  an  offense   and  on  persons  whose                                                                   
probation was revoked.  The bill  also requires that a person                                                                   
under  State  probation  or  parole  supervision  to  pay  an                                                                   
application fee for a requested  transfer of that supervision                                                                   
to another state.                                                                                                               
                                                                                                                                
She added  that Alaska  has an  urgent need  to mitigate  the                                                                   
cost of the  correctional facilities.  The  bill would impose                                                                   
a surcharge on  a person who pleads guilty,  nolo contendere,                                                                   
or is convicted  of a crime  if that person was  arrested and                                                                   
taken to a correctional facility or sentenced to a term of                                                                      
imprisonment.   The amount of the surcharge depends on the                                                                      
seriousness  of the crime.   Ms. Parker  added that  the bill                                                                   
would  also  impose  a  surcharge   on  a  person  placed  on                                                                   
probation  after conviction  of a  crime.   The surcharge  is                                                                   
collected only  if the defendant's probation  was revoked for                                                                   
a probation  violation  and that person  was either  arrested                                                                   
and taken  to a correctional  facility for the  violation, or                                                                   
sentenced to prison for it.                                                                                                     
                                                                                                                                
Ms. Parker stated that Alaska  participates in the Interstate                                                                   
Compact for  Adult Offender Supervision, which  regulates the                                                                   
transfer  of supervision  for persons  under State  probation                                                                   
and parole.   HB 484 would  establish an application  fee for                                                                   
persons  under active  probation  or parole  supervision  who                                                                   
request  an  interstate  transfer of  supervision  under  the                                                                   
Compact.   According to  the Department  of Corrections,  the                                                                   
majority of  other states  already impose  a fee for  similar                                                                   
services.   The legislation  would require  the applicant  to                                                                   
post bond  or deposit cash, which  would be forfeited  if the                                                                   
State has  to escort the person  back to Alaska  for confined                                                                   
supervision.                                                                                                                    
                                                                                                                                
Vice Chair  Meyer questioned how  the dollar amount  had been                                                                   
determined.   Ms. Parker replied  that the middle  ground was                                                                   
chosen for  booking fees.   Some states  charge a  daily fee,                                                                   
with many other administrative  charges imposed.  The highest                                                                   
found  was $250  dollars,  so  the Department  believed  that                                                                   
$100 dollar should be reasonable.                                                                                               
                                                                                                                                
Vice Chair  Meyer asked  how people with  no income  could be                                                                   
charged.  Ms. Parker requested  that someone else address the                                                                   
collection  process and  that there  are people  on line  who                                                                   
could address that  concern.  She pointed out  that wages can                                                                   
be garnished.                                                                                                                   
                                                                                                                                
                                                                                                                                
TAPE HFC 04 - 81, Side A                                                                                                      
                                                                                                                                
                                                                                                                                
Ms. Parker added that housing  and medical needs are paid for                                                                   
by the State general fund and  that working in the facilities                                                                   
could  help  pay  for  the  $100  fine  in  the  correctional                                                                   
facilities.                                                                                                                     
                                                                                                                                
Vice Chair Meyer asked if work  in the facility was optional.                                                                   
Ms. Parker replied that it is.                                                                                                  
                                                                                                                                
Representative  Chenault pointed  out that  the Court  System                                                                   
currently  assesses charges  for just  about everything.   He                                                                   
asked  about the  transferring process  and how  the fee  was                                                                   
determined.   Ms. Parker  responded that  the offender  would                                                                   
have to make a request for a transfer  to another state to be                                                                   
charged the  fee and they would  then be under  the probation                                                                   
through an interstate contract.                                                                                                 
                                                                                                                                
Representative Foster  referenced the 32,000  yearly arrests.                                                                   
Ms.  Parker  explained  that   is  the  number  of  bookings.                                                                   
Representative  Foster  pointed   out  that  there  are  only                                                                   
600,000 people in  the entire state.  That amount  would be a                                                                   
huge percent of  the State's population.  Ms.  Parker advised                                                                   
that many are the same individual being rebooked.                                                                               
                                                                                                                                
Representative Croft  asked if the transfer  would be charged                                                                   
for only one way.   Ms. Parker clarified that  there would be                                                                   
a charge for processing when they  request to transfer out of                                                                   
state.  That is the manner in  which most other states handle                                                                   
it.   If  they were  charged on  entering  into Alaska,  they                                                                   
would be  charged both  an exiting from  the other  state and                                                                   
then again an entering fee.  The  $100 dollar fee would cover                                                                   
the request  for processing  and needs to  be a bond,  a $200                                                                   
dollar bail  bond.   If the  individual does  not need  to be                                                                   
retrieved, then the $200 dollars is refundable.                                                                                 
                                                                                                                                
Representative  Croft  recommended  it  would  be  better  to                                                                   
charge them coming  into state.  In effect, there  would be a                                                                   
double   charge    when   transferring   back    to   Alaska.                                                                   
Representative  Foster believed  it would  be cheaper  to get                                                                   
them out of the State.                                                                                                          
                                                                                                                                
DIANE  WENDLANDT, (TESTIFIED  VIA TELECONFERENCE),  ASSISTANT                                                                   
ATTORNEY GENERAL,  DEPARTMENT OF  LAW, ANCHORAGE,  offered to                                                                   
answer questions of the Committee.                                                                                              
                                                                                                                                
Representative Foster MOVED to  report CS HB 484 (JUD) out of                                                                   
Committee  with  individual  recommendations   and  with  the                                                                   
accompanying fiscal notes.  There  being NO OBJECTION, it was                                                                   
so ordered.                                                                                                                     
                                                                                                                                
CS  HB  484   (JUD)  was  reported  out  of   Committee  with                                                                   
"individual" recommendations and  with a new zero note by the                                                                   
Alaska Court System,  a new fiscal note by  the Department of                                                                   
Corrections and fiscal note #1 by the Department of Law.                                                                        
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
The meeting was adjourned at 5:13 P.M.                                                                                          

Document Name Date/Time Subjects