Legislature(2017 - 2018)ADAMS ROOM 519

03/01/2018 09:00 AM FINANCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 110 MASSAGE THERAPY LICENSING; EXEMPTIONS TELECONFERENCED
Moved CSHB 110(L&C) Out of Committee
-- Public Testimony --
+= HB 176 GROUND EMER. MEDICAL TRANSPORT PAYMENTS TELECONFERENCED
Moved CSHB 176(FIN) Out of Committee
+= HB 301 ALCOHOL LIC.: BEV DISPENSARY/RESTAURANT TELECONFERENCED
Moved CSHB 301(FIN) Out of Committee
+ HB 168 REPEAL ADMIN. REG. REVIEW COMMITTEE TELECONFERENCED
Moved HB 168 Out of Committee
-- Public Testimony --
+ HCR 10 UNIFORM RULES: REGULATION REVIEW TELECONFERENCED
Moved HCR 10 Out of Committee
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 38 WORKERS' COMPENSATION: DEATH BENEFITS TELECONFERENCED
Moved CSHB 38(FIN) Out of Committee
                  HOUSE FINANCE COMMITTEE                                                                                       
                       March 1, 2018                                                                                            
                         9:06 a.m.                                                                                              
                                                                                                                                
9:06:39 AM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Foster  called the House Finance  Committee meeting                                                                    
to order at 9:06 a.m.                                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Neal Foster, Co-Chair                                                                                            
Representative Paul Seaton, Co-Chair                                                                                            
Representative Les Gara, Vice-Chair                                                                                             
Representative Jason Grenn                                                                                                      
Representative Scott Kawasaki                                                                                                   
Representative Dan Ortiz                                                                                                        
Representative Lance Pruitt                                                                                                     
Representative Steve Thompson                                                                                                   
Representative Cathy Tilton                                                                                                     
Representative Tammie Wilson                                                                                                    
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative David Guttenberg                                                                                                 
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Representative  Adam Wool,  Sponsor;  David Teal,  Director,                                                                    
Legislative  Finance  Division; Margaret  Brodie,  Director,                                                                    
Division of  Health Care Services, Department  of Health and                                                                    
Social Services;  Megan Holland, Staff,  Representative Andy                                                                    
Josephson;  Marie  Marx,   Director,  Worker's  Compensation                                                                    
Division,  Department of  Labor  and Workforce  Development;                                                                    
Representative  Mike Chenault,  Sponsor;  Tom Wright,  Staff                                                                    
Representative    Chenault;    Crystal   Koeneman,    Staff,                                                                    
Representative  Kito; Janey  McCullough, Director,  Division                                                                    
of  Corporations,   Business  and   Professional  Licensing,                                                                    
Department of Commerce, Community and Economic Development.                                                                     
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Erika  McConnell,  Director,  ABC Board;  Ed  Martin,  Self,                                                                    
Cooper   Landing;  Dave   Edwards-Smith,  Chair,   Board  of                                                                    
Massage;  Volker Ruby,  President, American  Massage Therapy                                                                    
Association Alaska Chapter, Anchorage; Jill Motz, Self,                                                                         
Wasilla.                                                                                                                        
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
HB 38     WORKERS' COMPENSATION: DEATH BENEFITS                                                                                 
                                                                                                                                
          CSHB 38(FIN)  was REPORTED  out of  committee with                                                                    
          an  "amend" recommendation  and  with  a new  zero                                                                    
          fiscal  note  by  the   Department  of  Labor  and                                                                    
          Workforce  Development, a  new fiscal  impact note                                                                    
          by the  Office of the  Governor, and a  new fiscal                                                                    
          impact note by Department of Administration.                                                                          
                                                                                                                                
HB 110    MASSAGE THERAPY LICENSING; EXEMPTIONS                                                                                 
                                                                                                                                
          CSHB110 (L&C)  was REPORTED out of  committee with                                                                    
          a  "do  pass"  recommendation and  with  a  fiscal                                                                    
          impact  note   by  the  Department   of  Commerce,                                                                    
          Community and Economic Development.                                                                                   
                                                                                                                                
HB 168    REPEAL ADMIN. REG. REVIEW COMMITTEE                                                                                   
                                                                                                                                
          HB 168  was REPORTED out  of committee with  a "do                                                                    
          pass" recommendation  and with a zero  fiscal note                                                                    
          by the Legislature.                                                                                                   
                                                                                                                                
HB 176    GROUND EMER. MEDICAL TRANSPORT PAYMENTS                                                                               
                                                                                                                                
          CSHB 176 (FIN) was  REPORTED out of committee with                                                                    
          a  "do  pass"  recommendation  and  with  two  new                                                                    
          fiscal impact  notes by  the Department  of Health                                                                    
          and Social Services.                                                                                                  
                                                                                                                                
HB 301    ALCOHOL LIC.: BEV DISPENSARY/RESTAURANT                                                                               
                                                                                                                                
          CSHB 301(FIN)  was REPORTED out of  committee with                                                                    
          a   "do   pass"   recommendation  and   with   one                                                                    
          previously published zero fiscal note: FN1(CED).                                                                      
                                                                                                                                
HCR 10    UNIFORM RULES: REGULATION REVIEW                                                                                      
                                                                                                                                
          HCR 10  was REPORTED out  of committee with  a "do                                                                    
          pass" recommendation  and with a zero  fiscal note                                                                    
          by the Legislature.                                                                                                   
                                                                                                                                
Co-Chair Foster reviewed the agenda for the day.                                                                                
HOUSE BILL NO. 176                                                                                                            
                                                                                                                                
     "An Act relating to medical assistance reimbursement                                                                       
     for ground emergency medical transportation services;                                                                      
     and providing for an effective date."                                                                                      
                                                                                                                                
9:08:03 AM                                                                                                                    
                                                                                                                                
Co-Chair Foster  reported that the  committee last  heard HB                                                                    
176 on February 20, 2018.                                                                                                       
                                                                                                                                
REPRESENTATIVE  ADAM WOOL,  SPONSOR, indicated  that at  the                                                                    
end of the last meeting there  was a question regarding a 20                                                                    
percent   administrative   fee.   He  related   that   after                                                                    
discussions  with  the  Department   of  Health  and  Social                                                                    
Services (DHSS) it  was determined to change the  fee to the                                                                    
actual cost versus a flat rate percentage.                                                                                      
                                                                                                                                
9:09:32 AM                                                                                                                    
                                                                                                                                
DAVID TEAL, DIRECTOR,  LEGISLATIVE FINANCE DIVISION, pointed                                                                    
out that the fiscal notes  started in FY 20. Technically the                                                                    
fiscal note  was zero  through FY 19.  He drew  attention to                                                                    
the  new  DHSS  fiscal  impact  note  allocated  to  Medical                                                                    
Assistance  Administration  and  explained that  the  fiscal                                                                    
note   showed  its   administrative   costs  [$116.6].   The                                                                    
allocation  for one  full-time position  was  paid for  with                                                                    
Interagency  (IA) receipts  and was  included in  the second                                                                    
DHSS fiscal  note. He turned  to the second new  DHSS fiscal                                                                    
note  allocated to  Health Care  Medicaid Services  and drew                                                                    
attention to  the Services line  that contained  the funding                                                                    
[$116.6] for  the previous fiscal note.  He highlighted that                                                                    
the  total expenditure  was  approximately  $22 million  and                                                                    
noted that state  costs were covered. He  detailed that when                                                                    
the  municipal   fire  departments  provided   services  for                                                                    
Medicaid recipients  they were  reimbursed for a  portion of                                                                    
their costs  and would  subsequently receive  a supplemental                                                                    
reimbursement.   The  department   would  notify   the  fire                                                                    
department that  the supplemental payment was  available and                                                                    
the  amount of  the non-federal  share. The  fire department                                                                    
would pay the  non-federal share to the state  and the state                                                                    
reimbursed  the supplemental  funds to  the fire  department                                                                    
using federal  and non-federal funds.  The state  costs were                                                                    
neutral; the  department assessed  an administrative  fee to                                                                    
the  municipalities that  were  based on  actual costs.  The                                                                    
municipalities  gained  a  federal  match for  some  of  the                                                                    
unreimbursed share.                                                                                                             
                                                                                                                                
9:15:02 AM                                                                                                                    
                                                                                                                                
Co-Chair  Seaton  requested  more  clarity  for  the  FY  20                                                                    
portion of the fiscal notes.  He wanted to better understand                                                                    
the effective dates in Sections 3 and 4 of the bill.                                                                            
                                                                                                                                
MARGARET   BRODIE,  DIRECTOR,   DIVISION   OF  HEALTH   CARE                                                                    
SERVICES,   DEPARTMENT  OF   HEALTH  AND   SOCIAL  SERVICES,                                                                    
reported that  the department would  need to submit  a state                                                                    
plan  amendment to  the Centers  for  Medicare and  Medicaid                                                                    
Services (CMS) that typically took  60 days to 9 months. She                                                                    
elaborated that  the bill was  straight forward  and guessed                                                                    
the  plan   amendment  would  be  approved   quickly.  As  a                                                                    
precaution, she  used a  date farther out  to allow  for the                                                                    
department  to   receive  the  federal  approval   prior  to                                                                    
implementing the program.                                                                                                       
                                                                                                                                
Co-Chair Seaton  referred to Section  4 on page 3,  lines 23                                                                    
through 25 of the bill and read the following:                                                                                  
                                                                                                                                
     Sec.  4. If  AS 47.07.085,  enacted by  sec. 1  of this                                                                    
     Act, takes  effect, it  takes effect  on the  day after                                                                    
     the  date   the  commissioner  of  health   and  social                                                                    
     services  makes  a  certification  to  the  revisor  of                                                                    
     statutes under sec. 2 of this Act.                                                                                         
                                                                                                                                
Co-Chair Seaton  read the corresponding language  in Section                                                                    
3 lines 16 through 22:                                                                                                          
                                                                                                                                
     Sec. 3.  The uncodified law  of the State of  Alaska is                                                                    
     amended by adding a new section to read:                                                                                   
     CONDITIONAL EFFECT. AS 47.07.085,  enacted by sec. 1 of                                                                    
     this  Act, takes  effect only  if  the commissioner  of                                                                    
     health and social services certifies  to the revisor of                                                                    
     statutes  under  sec.  2  of this  Act,  on  or  before                                                                    
     November 1, 2018,  that all of the  provisions added by                                                                    
     AS 47.07.085  have been approved  by the  United States                                                                    
     Department of Health and Human Services.                                                                                   
                                                                                                                                
Co-Chair Seaton wanted to coordinate  the dates and to fully                                                                    
understand the implementation  process. Ms. Brodie responded                                                                    
that the  bill required  regulatory changes and  the process                                                                    
typically took  6 months. The department  requested that the                                                                    
six-month effective  date be included in  the bill. Co-Chair                                                                    
Seaton indicated that the issue  had been brought up and had                                                                    
been dealt with in a previously adopted amendment.                                                                              
                                                                                                                                
Mr.  Teal  interjected  that  through  a  previous  Medicaid                                                                    
program the state  had made advance payments  and was unable                                                                    
to recover  the costs  amounting to  $100 million.  He noted                                                                    
that   delaying  the   effective  dates   for  federal   and                                                                    
regulatory  approval   was  in  response  to   the  previous                                                                    
incident and the  delays insured that the program  had a low                                                                    
financial risk to  the state. He discerned  that in addition                                                                    
to the certification, the state  could recoup the costs from                                                                    
the municipalities if reimbursement was not received.                                                                           
                                                                                                                                
9:20:14 AM                                                                                                                    
                                                                                                                                
Representative  Wilson   asked  that  if  the   program  was                                                                    
eliminated  the state  was not  required to  back fill  with                                                                    
state funding. Ms. Brodie responded in the affirmative.                                                                         
                                                                                                                                
Co-Chair  Seaton  MOVED to  report  CSHB  176 (FIN)  out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes.                                                                                                      
                                                                                                                                
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
CSHB  176 (FIN)  was REPORTED  out of  committee with  a "do                                                                    
pass" recommendation  and with  two new fiscal  impact notes                                                                    
by the Department of Health and Social Services.                                                                                
                                                                                                                                
9:21:34 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:22:06 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
HOUSE BILL NO. 301                                                                                                            
     "An Act relating to the renewal and transfer of                                                                            
     ownership of a beverage dispensary license or                                                                              
     restaurant or eating place license."                                                                                       
                                                                                                                                
9:22:23 AM                                                                                                                    
                                                                                                                                
Co-Chair  Foster relayed  that the  bill was  last heard  in                                                                    
committee on February 20, 2018.                                                                                                 
                                                                                                                                
Representative Wilson  had asked Legislative  Legal Services                                                                    
whether  the grandfathering  provision only  applied to  the                                                                    
businesses  included  in  the bill.  She  related  that  the                                                                    
attorneys stated that the bill  would allow other businesses                                                                    
to be grandfathered in the future.                                                                                              
                                                                                                                                
REPRESENTATIVE  ADAM WOOL,  SPONSOR,  was not  aware of  the                                                                    
interpretation. He understood that  the bill only applied to                                                                    
the 34  businesses that operated  before the 1985  change in                                                                    
the law.                                                                                                                        
                                                                                                                                
Representative Wilson  favored the bill. She  indicated that                                                                    
she  wanted  to  bring  the broader  interpretation  to  his                                                                    
attention.  She  clarified  that   the  bill  did  not  only                                                                    
grandfather  in  the  specified   businesses;  if  the  laws                                                                    
changed  in the  future, grandfathering  could apply.  Under                                                                    
current  law the  bill  only applied  to  the 34  businesses                                                                    
addressed, but if  the alcohol laws were  rewritten the bill                                                                    
would  pertain to  any businesses  in  a similar  situation.                                                                    
Representative Wool could  not speak to a  future rewrite of                                                                    
the  law  and  how   it  would  impact  currently  operating                                                                    
businesses.  He hoped  that a  future rewrite  would include                                                                    
grandfathering  clauses for  businesses that  abided by  the                                                                    
law. He  thought HB 301  was specific  to the time  when the                                                                    
room requirement  changed. He  thought Ms.  McConnell [Erika                                                                    
McConnell,  Director, ABC  Board]  could provide  additional                                                                    
information.  Representative Wilson  wanted the  legislature                                                                    
to be cognizant of the  effects on businesses when laws were                                                                    
changed.  Representative  Wool thought  that  Representative                                                                    
Wilson spoke in the  "hypothetical". He remembered that when                                                                    
the   drinking  age   was   changed   businesses  were   not                                                                    
grandfathered  in  and  thought  the  matter  was  relative.                                                                    
Representative  Wilson  asked  if the  laws  were  rewritten                                                                    
whether the grandfathering clause  would apply to businesses                                                                    
in a similar situation in the future.                                                                                           
                                                                                                                                
ERIKA MCCONNELL, DIRECTOR, ABC BOARD (via teleconference),                                                                      
replied  that  she  agreed   with  the  interpretation.  She                                                                    
believed it was  a positive outcome. She pointed  to page 4,                                                                    
lines 14 through  23 of the draft  Committee Substitute (CS)                                                                    
and read from the following:                                                                                                    
                                                                                                                                
     (2) the renewal or transfer of ownership of a beverage                                                                     
     dispensary or restaurant or eating place license                                                                           
     issued under (1) of this subsection if the                                                                                 
     (A) holder of the license operates a hotel, motel,                                                                         
     resort, or similar business relating to the tourist                                                                        
     trade that                                                                                                                 
     (i) has a dining facility on the licensed premises or                                                                      
     kitchen facilities  in a majority of  its rental rooms;                                                                    
     and  (ii)  maintains at  least  the  minimum number  of                                                                    
     rental rooms that the hotel,  motel, resort, or similar                                                                    
     business had at  the time of initial  licensure or that                                                                    
    were required at the time of initial licensure; or                                                                          
                                                                                                                                
Ms. McConnell explained that the  language was important and                                                                    
protected businesses  in communities that grew  overtime and                                                                    
was now required  to have more rooms to  obtain the license.                                                                    
The language in  the bill stated that the  business only had                                                                    
to maintain  the number of  rooms that were required  at the                                                                    
time of  initial licensure. Representative Wilson  wanted to                                                                    
protect people's  investments and  was merely  informing the                                                                    
committee of the broader interpretation of the bill.                                                                            
                                                                                                                                
Co-Chair  Foster  recognized  Representative  Knopp  in  the                                                                    
audience.                                                                                                                       
                                                                                                                                
9:29:33 AM                                                                                                                    
                                                                                                                                
Vice-Chair Gara  read the  previously published  zero fiscal                                                                    
note, FN1  (CED) from the Department  of Commerce, Community                                                                    
and Economic  Development (DCCED)  allocated to  the Alcohol                                                                    
and Marijuana Control Office that  did not anticipate fiscal                                                                    
impact from this legislation.                                                                                                   
                                                                                                                                
Representative  Kawasaki commented  that  the committee  had                                                                    
been  working with  Title  4  and how  AMCO  worked. He  was                                                                    
contacted  by   the  Riverfront  Theatre,   Fairbanks  Drama                                                                    
Association and  relayed that  the theatre  was open  for 54                                                                    
hours  and  paid  $2,475.  for   the  license,  secured  the                                                                    
signature of the licensees 66  times, and filed 435 pages of                                                                    
paper  work for  the 54  hours. He  deduced that  on a  good                                                                    
night they  made $200 and  the ABC  fees alone were  $70. He                                                                    
acknowledged that  the bill was  not the vehicle  to address                                                                    
the issue and  just wanted to make the  statement on record.                                                                    
He believed the costs and  paperwork were a big bureaucratic                                                                    
burden for a small non-profit organization.                                                                                     
                                                                                                                                
9:31:48 AM                                                                                                                    
                                                                                                                                
Co-Chair  Seaton  MOVED  to  report  CSHB  301(FIN)  out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
CSHB  301(FIN) was  REPORTED  out of  committee  with a  "do                                                                    
pass" recommendation and with  one previously published zero                                                                    
fiscal note: FN1(CED).                                                                                                          
                                                                                                                                
9:32:34 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:33:33 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
hb38                                                                                                                            
HOUSE BILL NO. 38                                                                                                             
                                                                                                                                
     "An  Act relating  to the  calculation  and payment  of                                                                    
     workers'   compensation  benefits   in   the  case   of                                                                    
     permanent   partial   impairment;   relating   to   the                                                                    
     calculation and payment  of workers' compensation death                                                                    
     benefits payable to a child  of an employee where there                                                                    
     is  no surviving  spouse; relating  to the  calculation                                                                    
     and  payment of  workers'  compensation death  benefits                                                                    
     for an  employee without a  surviving spouse  or child;                                                                    
     relating  to  notice  of  workers'  compensation  death                                                                    
     benefits; and providing for an effective date."                                                                            
                                                                                                                                
9:33:37 AM                                                                                                                    
                                                                                                                                
Co-Chair Foster relayed  that HB 38 was  previously heard in                                                                    
committee on February 15, 2018.                                                                                                 
                                                                                                                                
MEGAN HOLLAND, STAFF, REPRESENTATIVE ANDY JOSEPHSON,                                                                            
                                                                                                                                
9:34:49 AM                                                                                                                    
                                                                                                                                
MARIE  MARX,   DIRECTOR,  WORKER'S   COMPENSATION  DIVISION,                                                                    
DEPARTMENT  OF  LABOR  AND WORKFORCE  DEVELOPMENT,  reviewed                                                                    
the  new zero  fiscal note  by the  Department of  Labor and                                                                    
Workforce Development  (DLWD). She  indicated that  the bill                                                                    
would not  change the way  the division  administers workers                                                                    
compensation; therefore,  there is  no direct  fiscal impact                                                                    
to the department.                                                                                                              
                                                                                                                                
Representative Wilson  was assuming  the other  fiscal notes                                                                    
were no longer applicable. Ms.  Marx relayed that there were                                                                    
two other  fiscal notes: One  from the Office  of Management                                                                    
and   Budget  (OMB)   and  one   from   the  Department   of                                                                    
Administration (DOA).  She elaborated that the  benefits and                                                                    
costs  associated  with the  legislation  were  paid for  by                                                                    
insurance  companies and  self-insured employers;  the state                                                                    
was self-insured. Through DOA's  Division of Risk Management                                                                    
the  costs would  be  passed on  to  state agencies  through                                                                    
increased personal services  benefits costs including future                                                                    
year budget salary and benefit adjustments.                                                                                     
                                                                                                                                
Representative  Wilson was  concerned, and  she was  working                                                                    
diligently  on the  issue. She  believed  that a  "different                                                                    
type  of punishment"  other than  financial should  apply if                                                                    
the state had  an employer that ignored safety  to the point                                                                    
that someone  was permanently injured or  killed. She wanted                                                                    
to find a solution that did not "break the system."                                                                             
                                                                                                                                
Vice-Chair    Gara   shared    a   similar    concerned   as                                                                    
Representative Wilson.                                                                                                          
                                                                                                                                
Co-Chair  Seaton  MOVED  to  report   CSHB  38(FIN)  out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes.                                                                                                      
                                                                                                                                
Representative Pruitt OBJECTED.                                                                                                 
                                                                                                                                
Representative Pruitt  spoke to  his objection.  He believed                                                                    
that  the bill  compensated "beyond  the dependents"  of the                                                                    
injured  worker. He  suggested  that the  state already  had                                                                    
such high  costs and altered  the longstanding  "concept" of                                                                    
workers  compensation  and  how it  worked;  compensate  the                                                                    
injured worker  and their dependents  and was  now including                                                                    
the estate.                                                                                                                     
                                                                                                                                
Vice-Chair  Gara   relayed  a   story  from   personal  work                                                                    
experience. He thought the level  of compensation was so low                                                                    
it was almost  insulting. He believed that  the guilty party                                                                    
should pay for injury or death. He supported the bill.                                                                          
                                                                                                                                
9:41:09 AM                                                                                                                    
                                                                                                                                
Representative  Pruitt  was  concerned  that  the  negligent                                                                    
party was not  paying into the system. He  agreed that there                                                                    
was no way  to put a price  on a life. He  thought the fault                                                                    
of the  bill was that  it did not  hold the person  that was                                                                    
negligent  responsible; the  system paid  for the  injury or                                                                    
loss.  He asserted  that  that  was Representative  Wilson's                                                                    
point. He  emphasized that the  legislation did  not address                                                                    
the concern properly.                                                                                                           
Representative  Wilson  wondered  whether changing  the  law                                                                    
would inhibit a parent or  someone "outside the system" from                                                                    
suing the responsible party.                                                                                                    
                                                                                                                                
9:44:00 AM                                                                                                                    
                                                                                                                                
Vice-Chair   Gara   responded  to   Representative   Wilson'                                                                    
question.  He explained  that the  worker's comp  system was                                                                    
exclusive, and  the benefit was  solely tied to  the worker.                                                                    
The  parent  currently  lacked any  recourse  in  court.  He                                                                    
responded to  Representative Pruitt's remarks  and indicated                                                                    
that  if  an employer  negligently  killed  a worker  in  an                                                                    
accident  the parent  was not  entitled to  anything if  the                                                                    
employee  had  no spouse  or  children.  The bill  made  the                                                                    
employer responsible under  the workers' compensation system                                                                    
and corrected the issue.                                                                                                        
                                                                                                                                
Co-Chair  Seaton voiced  that the  issues were  conflated in                                                                    
the committee process.  He understood that one  issue was to                                                                    
hold the grossly negligent party  responsible, which was not                                                                    
the subject of the bill.  The current legislation dealt with                                                                    
the  workers'  comp  insurance   and  who  was  covered.  He                                                                    
summarized that if  an 18-year-old lost his life  on the job                                                                    
and  had  no dependents  or  spouse  the parents  would  not                                                                    
receive  compensation and  that scenario  was the  issue. He                                                                    
offered  that Worker's  Compensation covered  funeral costs.                                                                    
He hoped the  two issues could be separated.  He thought the                                                                    
other problems could be solved in future legislation.                                                                           
                                                                                                                                
Representative Pruitt MAINTAINED OBJECTION.                                                                                     
                                                                                                                                
A roll call vote was taken on the motion.                                                                                       
                                                                                                                                
IN FAVOR:   Gara, Grenn, Kawasaki, Ortiz, Foster, Seaton                                                                        
OPPOSED:    Wilson, Pruitt, Thomson, Tilton                                                                                     
                                                                                                                                
Representative Guttenberg was absent from the vote.                                                                             
                                                                                                                                
The MOTION PASSED (6/4).                                                                                                        
                                                                                                                                
CSHB 38(FIN) was  REPORTED out of committee  with an "amend"                                                                    
recommendation  and  with a  new  zero  fiscal note  by  the                                                                    
Department of Labor and Workforce  Development, a new fiscal                                                                    
impact note by the Office of the Governor, and a new fiscal                                                                     
impact note by Department of Administration.                                                                                    
                                                                                                                                
9:47:14 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:49:08 AM                                                                                                                    
                                                                                                                                
RECONVENED                                                                                                                      
                                                                                                                                
HOUSE BILL NO. 168                                                                                                            
                                                                                                                                
     "An  Act relating  to regulation  notice and  review by                                                                    
     the  legislature; and  relating  to the  Administrative                                                                    
     Regulation Review Committee."                                                                                              
                                                                                                                                
HOUSE CONCURRENT RESOLUTION NO. 10                                                                                            
                                                                                                                                
     Proposing  an amendment  to the  Uniform  Rules of  the                                                                    
     Alaska State  Legislature relating to  the jurisdiction                                                                    
     of standing committees.                                                                                                    
                                                                                                                                
9:49:16 AM                                                                                                                    
                                                                                                                                
Co-Chair Foster indicated that HB168 and HCR 10 would be                                                                        
addressed together.                                                                                                             
                                                                                                                                
REPRESENTATIVE MIKE CHENAULT, SPONSOR, introduced the                                                                           
legislation. He read from the sponsor statement as follows:                                                                     
                                                                                                                                
     The  purpose  of  House  Bill  168  is  to  repeal  the                                                                    
     statutes  pertaining to  the Administrative  Regulation                                                                    
     Review  Committee  (AARC).  According to  the  analysis                                                                    
     provided  by  Legislative  Research, included  in  your                                                                    
     packets, the  ARRC has  not overturned  any regulations                                                                    
     as a  result of  these committee hearings.  Although AS                                                                    
     24.20.445  provides  that  the  committee  can  suspend                                                                    
     regulations  for a  "certain time  period," the  Alaska                                                                    
     Supreme  Court   found  in  a   1980  case,   that  the                                                                    
     Legislature  has  no  implied   power  to  veto  agency                                                                    
     regulations  by informal  legislative  action and  such                                                                    
     actions  would   violate  Article   II  of   the  state                                                                    
     Constitution. The actions available  to the ARRC are to                                                                    
     introduce   legislation   to   supersede   or   nullify                                                                    
     regulations.  However,  Legislative  Research  was  not                                                                    
     able  to find  any effort  to do  so from  2003 to  the                                                                    
     present.                                                                                                                   
                                                                                                                                
     House  Bill  168 repeals  all  references  to the  ARRC                                                                    
     throughout   the  statutes.   The  sectional   analysis                                                                    
    references the statutes where the ARRC is repealed.                                                                         
                                                                                                                                
     A uniform rule change,  House Concurrent Resolution 10,                                                                    
     is also being proposed  that allows the jurisdiction of                                                                    
     a  standing committee  to oversee  proposed or  adopted                                                                    
     regulations  to replace  regulation oversight  that are                                                                    
     currently under the jurisdiction of ARRC.                                                                                  
                                                                                                                                
     The Administrative Regulation  Review Committee has not                                                                    
    been funded for this and the upcoming fiscal years.                                                                         
                                                                                                                                
9:53:03 AM                                                                                                                    
                                                                                                                                
Co-Chair Foster OPENED Public Testimony                                                                                         
                                                                                                                                
9:53:22 AM                                                                                                                    
                                                                                                                                
ED  MARTIN,  SELF,   COOPER  LANDING  (via  teleconference),                                                                    
opposed HB 168 and HCR  10. He thought the regulation review                                                                    
committee was  a first  line of defense  to ensure  that the                                                                    
regulations followed  the intent of  the law. He  hoped that                                                                    
the ARRC members felt that  the review of the regulations of                                                                    
any  new administration  was imperative.  He pointed  to the                                                                    
regulations  by   the  new   Marijuana  Control   Board  not                                                                    
reflecting the  intent of the  law and noted that  the issue                                                                    
affected  him personally.  He  argued  that the  regulations                                                                    
were  not reviewed  by  the AARC.  He  continued to  provide                                                                    
testimony  as  to  the importance  of  a  regulation  review                                                                    
committee to  ensure the  individual liberties  of Alaskans.                                                                    
He offered that the original  intent of the committee was to                                                                    
review  regulations  within  45  days  to  ensure  that  "no                                                                    
arbitrary and capricious laws" were enacted.                                                                                    
                                                                                                                                
9:57:34 AM                                                                                                                    
                                                                                                                                
Co-Chair Foster CLOSED Public Testimony.                                                                                        
                                                                                                                                
Co-Chair  Foster encouraged  anyone to  submit their  public                                                                    
testimony in writing.                                                                                                           
                                                                                                                                
Representative   Wilson   wanted   to   clarify   that   the                                                                    
legislature   was  eliminating   the   AARC.  However,   the                                                                    
regulation  review responsibilities  would  be  sent to  the                                                                    
standing committees. She opined  that the standing committee                                                                    
was a more appropriate for  review since the committee could                                                                    
draft  a bill  to  clarify the  statute.  She declared  that                                                                    
regulatory  review  was  important   and  ensured  that  the                                                                    
legislature was  not abandoning review; it  was changing the                                                                    
process.                                                                                                                        
                                                                                                                                
Co-Chair  Seaton related  that he  previously served  as the                                                                    
Vice-Chair for  the Regulation Review  Committee and  he had                                                                    
notified all the  chairs of the standing  committees that it                                                                    
was  the committee  aides'  responsibilities  to review  the                                                                    
regulations.  He explained  that  when  an agency  completed                                                                    
drafting regulations it opened  a public comment period; the                                                                    
corresponding   standing   committee   should   review   the                                                                    
regulations  and  participate  in  the  comment  period.  He                                                                    
reported  that during  his tenure  several regulations  were                                                                    
withdrawn and changed in that  manner. He emphasized that it                                                                    
was easier  to change  regulations on  the front  end rather                                                                    
than after  the regulation  was adopted via  legislation. He                                                                    
shared  that  a  Supreme  Court  decision  relating  to  the                                                                    
separation of powers  eliminated the AARC's power  to pass a                                                                    
resolution to  annul a regulation.  He believed that  it was                                                                    
the  responsibility of  the committee  of jurisdiction;  the                                                                    
corresponding  standing committee  that was  deeply involved                                                                    
in  the department's  matters over  which  they reside.  One                                                                    
committee  charged with  reviewing all  the regulations  was                                                                    
not   efficient.   He    emphasized   that   committees   of                                                                    
jurisdiction  were more  appropriate and  effective for  the                                                                    
regulatory review task.                                                                                                         
                                                                                                                                
10:02:31 AM                                                                                                                   
                                                                                                                                
Representative  Kawasaki   indicated  that  the   AARC  only                                                                    
functions with  a motivated chairperson.  He voiced  that he                                                                    
was  not in  favor of  the legislation  despite the  lack of                                                                    
results by the  committee in recent years.  He believed that                                                                    
the  committee serve  a public  purpose. He  reminded people                                                                    
that the  legislature was part-time  and the  AARC committee                                                                    
was  an interim  committee. He  did not  believe a  standing                                                                    
committee should  be responsible  for regulation  review due                                                                    
to its periodic nature. He  relayed that a recent regulation                                                                    
adopted by  the Alcohol  Control Board (ABC)  was discordant                                                                    
with  a  distillery bill  he  had  co-sponsored that  passed                                                                    
several  years ago.  He  thought that  the  AARC could  have                                                                    
prevented the  issue if  the committee  was utilized  to its                                                                    
fullest extent. He did not  want to see the executive branch                                                                    
over-riding the legislature.                                                                                                    
                                                                                                                                
Representative Ortiz  asked what  the impact of  leaving the                                                                    
AARC  intact without  funding  was. Representative  Chenault                                                                    
answered that statutes  should be removed when  they are not                                                                    
needed. He  commented that  the AARC met  30 times  over the                                                                    
last   14  years.   Fifteen  meetings   occurred  over   one                                                                    
legislative session without ever  repealing a regulation. He                                                                    
indicated that as long as  there was a committee responsible                                                                    
for  reviewing  new  regulations  he  was  comfortable  with                                                                    
removing  the AARC.  He spoke  to incidences  throughout his                                                                    
legislative career  when he questioned regulations  and sent                                                                    
them to  the AARC  for review  without results.  He restated                                                                    
that the committee had not  proposed legislation since 2003.                                                                    
He advocated for the elimination of the committee.                                                                              
                                                                                                                                
10:09:19 AM                                                                                                                   
                                                                                                                                
Representative Ortiz  asked whether the  potential oversight                                                                    
ability of  the legislature  was impaired during  interim by                                                                    
eliminating  the committee.  He wondered  why the  committee                                                                    
should be  disbanded if there  were no financial  impacts to                                                                    
retain it.                                                                                                                      
                                                                                                                                
Representative   Chenault   remembered  that   approximately                                                                    
$60,000  was  allocated  yearly for  regulation  review.  He                                                                    
noted the  committee was  governed under  the same  rules as                                                                    
standing committees  and could  not pass  legislation during                                                                    
interim.                                                                                                                        
                                                                                                                                
10:11:34 AM                                                                                                                   
                                                                                                                                
Vice-Chair Gara thought  the state had much  bigger items to                                                                    
be concerned with. He commented  that when an agency adopted                                                                    
regulations  every legislature  saw the  regulation and  was                                                                    
invited  to  make comments.  A  legislator  could change  or                                                                    
reverse  a regulation  through legislation  and a  committee                                                                    
was  unnecessary.   He  did  not   believe  that   the  AARC                                                                    
accomplished anything  and a significant amount  of time was                                                                    
consumed in the process.                                                                                                        
Co-Chair Seaton argued that every  committee had a full-time                                                                    
committee-aide and  it was  that person's  responsibility to                                                                    
review regulations during the  interim. He remarked that the                                                                    
committee staff had the expertise  to review regulations. He                                                                    
agreed that there was a cost  to the AARC. He indicated that                                                                    
a  lawyer  was  hired  to review  every  regulation  by  the                                                                    
administration  when  he  was vice-chair  of  the  AARC.  He                                                                    
reiterated that  the regulatory review should  happen on the                                                                    
front end during  the public comment period.  He shared that                                                                    
he had  seen regulations  changed many times  resulting from                                                                    
the public comment period.                                                                                                      
                                                                                                                                
10:15:15 AM                                                                                                                   
                                                                                                                                
TOM  WRIGHT,  STAFF  REPRESENTATIVE  CHENAULT,  provided  an                                                                    
example  when the  Department of  Transportation and  Public                                                                    
Facilities  (DOT)  recently proposed  aircraft  registration                                                                    
fees via  regulation and a  bill was drafted in  response to                                                                    
overwhelmingly negative  public comment.  He voiced  that he                                                                    
had   witnessed   legislation  by   individual   legislators                                                                    
introduced  in response  to  opposition  to regulation  many                                                                    
times over the years.                                                                                                           
                                                                                                                                
Representative Ortiz  asked why the committee  had ever been                                                                    
formed.  Representative Chenault  was unable  to answer  the                                                                    
question.                                                                                                                       
                                                                                                                                
Vice-Chair  Gara recalled  that the  AARC was  instituted by                                                                    
the "other  party" in  response to  mistrust of  the Knowles                                                                    
administration  in   the  1990's.   He  believed   that  the                                                                    
committee  "diverted" legislator's  time for  more important                                                                    
issues. He emphasized that the committee was unnecessary.                                                                       
                                                                                                                                
Co-Chair Seaton added  that at the time the  AARC was formed                                                                    
the legislature believed that  it could nullify regulations.                                                                    
However,  the  Supreme  Court subsequently  ruled  that  the                                                                    
chief function of the AARC was unconstitutional.                                                                                
                                                                                                                                
Representative  Pruitt thought  that  the  inception of  the                                                                    
AARC went back  to the 1970s and the Supreme  Court case was                                                                    
in 1980 which did not allow  the review committee to act. He                                                                    
reminded  committee  members  that  the  legislature  acting                                                                    
together or  either body individually  can form  a committee                                                                    
via  resolution  and if  sentiment  among  lawmakers was  in                                                                    
favor of a special committee  action was possible. He agreed                                                                    
that  the committee  did  not  function in  the  way it  was                                                                    
intended. He  opined that  the idea of  the committee  was a                                                                    
good one, but he thought it  was time to "shut the books" on                                                                    
it in an effort to eliminate unnecessary statute.                                                                               
                                                                                                                                
10:20:02 AM                                                                                                                   
                                                                                                                                
Representative Wilson  asked about the  regulation regarding                                                                    
the aircraft  registration fee. She  asked whether  the AARC                                                                    
had met on the issue.  Representative Chenault answered that                                                                    
the    committee   was    currently   not    in   operation.                                                                    
Representative Wilson  opined that  the public  got involved                                                                    
in  the recent  DOT regulation  proposal and  the regulation                                                                    
was changed  during the public comment  period. The standing                                                                    
committees   were   inherently   involved,  had   a   better                                                                    
understanding of proposed regulations,  and could inform the                                                                    
public  of the  regulatory comment  period. She  agreed with                                                                    
Co-Chair Seaton  that standing committees had  the expertise                                                                    
and were best suited  to monitor regulations. She emphasized                                                                    
the importance of regulation review.                                                                                            
                                                                                                                                
Co-Chair Foster asked whether the  will of the committee was                                                                    
to move the bill out of committee.                                                                                              
                                                                                                                                
Representative Wilson believed the bills should report out.                                                                     
                                                                                                                                
Co-Chair  Seaton MOVED  to report  HB 168  out of  Committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
note.                                                                                                                           
                                                                                                                                
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
HB  168 was  REPORTED  out  of committee  with  a "do  pass"                                                                    
recommendation  and   with  a   zero  fiscal  note   by  the                                                                    
Legislature.                                                                                                                    
                                                                                                                                
Representative  Wilson  MOVED  to   report  HCR  10  out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
Representative Pruitt OBJECTED for discussion.                                                                                  
                                                                                                                                
Representative Pruitt  spoke to his objection.  He wanted to                                                                    
briefly  describe  what   the  resolution  accomplished.  He                                                                    
explained  that  the  resolution assigned  the  jurisdiction                                                                    
over monitoring  regulations to the standing  committees. He                                                                    
opined  that the  resolution "maintained'  the legislature's                                                                    
"vigilance" in ensuring that regulations would be analyzed.                                                                     
                                                                                                                                
Representative   Chenault   commented  that   Representative                                                                    
Pruitt was correct  about what the resolution  did. He added                                                                    
that  the resolution  changed Uniform  Rules  to ensure  the                                                                    
standing committees were aware of their jurisdiction.                                                                           
                                                                                                                                
Representative  Kawasaki  maintained  his objection  to  the                                                                    
legislation.  He believed  that  the AARC  had a  definitive                                                                    
purpose as  a permanent  interim committee.  The legislature                                                                    
was never  intended to operate  full-time. He felt  that the                                                                    
committee  was  appropriate  and   should  be  enhanced.  He                                                                    
pointed to the state of  Idaho that had an active regulatory                                                                    
review  committee.  He  strongly   supported  the  AARC.  He                                                                    
opposed  the bills  but was  in  favor of  moving them  from                                                                    
committee.                                                                                                                      
                                                                                                                                
Co-Chair Seaton appreciated the  resolution that would place                                                                    
the language  in the Uniform  Rules. The uniform  rule would                                                                    
specify  that regulation  review was  the responsibility  of                                                                    
standing  committees "in  black  and  white." The  committee                                                                    
chair would  task the  committee aide  with the  review duty                                                                    
during  the  interim.  He believed  the  resolution  clearly                                                                    
established that the  authority of the duty  was assigned by                                                                    
the legislature. He was supportive of the resolution.                                                                           
                                                                                                                                
Co-Chair  Foster noted  that the  previous public  testimony                                                                    
period was for both bills.                                                                                                      
                                                                                                                                
Representative Pruitt WITHDREW his OBJECTION.                                                                                   
                                                                                                                                
HCR  10 was  REPORTED  out  of committee  with  a "do  pass"                                                                    
recommendation  and   with  a   zero  fiscal  note   by  the                                                                    
Legislature.                                                                                                                    
                                                                                                                                
10:30:23 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:33:50 AM                                                                                                                   
                                                                                                                                
RECONVENED                                                                                                                      
                                                                                                                                
HOUSE BILL NO. 110                                                                                                            
                                                                                                                                
     "An Act relating to the practice of massage therapy;                                                                       
     relating to the Board of Massage Therapists; and                                                                           
     providing for an effective date."                                                                                          
                                                                                                                                
10:34:25 AM                                                                                                                   
                                                                                                                                
CRYSTAL  KOENEMAN,  STAFF, REPRESENTATIVE  KITO,  introduced                                                                    
the  bill.  She characterized  the  HB  110 as  a  "clean-up                                                                    
bill". The  massage board was recently  established, and the                                                                    
bill addressed  licensure issues  that became  apparent over                                                                    
the few  years of board  operation. The board  had requested                                                                    
several  changes   to  their  statutes  to   help  ease  the                                                                    
licensure  process  for  licensees  and  the  Department  of                                                                    
Commerce,  Community and  Economic Development  (DCCED). She                                                                    
explained  the provisions  in  the bill.  She  spoke to  the                                                                    
difficulty in  finding members  to serve  on the  board. The                                                                    
bill eased the restrictions for  those who wish to be public                                                                    
members of the board by allowing  a former member of a board                                                                    
to  become a  member of  the massage  board and  removed the                                                                    
original  prohibition. In  addition, HB  110 added  language                                                                    
for  the  board  to   adopt  regulations  governing  massage                                                                    
therapy  establishments; increased  the number  of hours  of                                                                    
in-class supervised  instruction and  clinical work  from an                                                                    
approved  massage  school  from  500  hours  to  625  hours;                                                                    
changes the annual fingerprint requirement  to every six (6)                                                                    
years; and reduces  the number of hours  of safety education                                                                    
covering  blood-borne  pathogens  from  four  hours  to  two                                                                    
hours. The effective date was July 1, 2019.                                                                                     
                                                                                                                                
10:37:17 AM                                                                                                                   
                                                                                                                                
Representative Kawasaki asked  why the blood-borne pathogens                                                                    
hour requirement was decreasing to 2 hours from 4 hours.                                                                        
                                                                                                                                
DAVE   EDWARDS-SMITH,   CHAIR,   BOARD   OF   MASSAGE   (via                                                                    
teleconference), replied that there  was only two-hour blood                                                                    
borne  pathogen  classes   available  because  the  national                                                                    
standard was  set at  two hours.  Currently, to  comply with                                                                    
statute,  massage therapists  were  taking two  of the  same                                                                    
classes. He  further explained that an  entry level analysis                                                                    
project completed  by 7 different national  massage agencies                                                                    
concluded  that  the  educational  standard  should  be  625                                                                    
hours.  He  stated  that most  schools  offered  the  higher                                                                    
number  of hours  and he  did  not anticipate  an impact  to                                                                    
schools  located within  the state  or  on reciprocity  with                                                                    
other states licensure.                                                                                                         
                                                                                                                                
10:40:11 AM                                                                                                                   
                                                                                                                                
Co-Chair Seaton OPENED Public Testimony.                                                                                        
                                                                                                                                
10:40:26 AM                                                                                                                   
                                                                                                                                
VOLKER   RUBY,    PRESIDENT,   AMERICAN    MASSAGE   THERAPY                                                                    
ASSOCIATION ALASKA CHAPTER,  ANCHORAGE (via teleconference),                                                                    
supported  HB  110. He  related  that  he was  a  practicing                                                                    
massage therapist for 13 years.  He indicated that the added                                                                    
language  for  the  board  to  adopt  regulations  governing                                                                    
massage    therapy   establishments    granted   enforcement                                                                    
authority to  shut down  human trafficking  operations using                                                                    
massage   therapy   as  a   front.   He   noted  the   other                                                                    
"modifications"  in the  bill and  stated that  the proposed                                                                    
changes from  the original  statute were  discovered through                                                                    
the  initial few  years of  licensing. He  urged members  to                                                                    
move the bill from committee.                                                                                                   
                                                                                                                                
Co-Chair  Seaton  asked  if  the   bill  contained  all  the                                                                    
necessary  changes to  current statute.  Mr. Ruby  responded                                                                    
affirmatively.                                                                                                                  
                                                                                                                                
Co-Chair  Seaton asked  Mr. Edwards-Smith  if  he wanted  to                                                                    
provide further testimony.                                                                                                      
                                                                                                                                
Mr. Edwards-Smith indicated the  board's support for HB 110.                                                                    
He elaborated  that the board considered  the bill necessary                                                                    
for "statutory  house cleaning". He restated  the provisions                                                                    
in the bill.  He emphasized that the  previous public member                                                                    
of the board played a "valuable"  role and he felt the board                                                                    
was weakened while the seat  was vacant. He strongly favored                                                                    
loosening the requirements for the public member.                                                                               
                                                                                                                                
10:44:49 AM                                                                                                                   
                                                                                                                                
JILL  MOTZ, SELF,  WASILLA  (via  teleconference), spoke  in                                                                    
support  of  the legislation.  She  was  a licensed  massage                                                                    
therapist and  practiced massage since  2003 and sat  on the                                                                    
massage  board.  She qualified  that  her  testimony was  on                                                                    
behalf of  herself. She voiced that  state licensure created                                                                    
a  cohesive and  stable environment  for the  profession and                                                                    
practitioners  and HB  110 further  enhanced the  licensure.                                                                    
She listed the  provisions in the bill. She  spoke to issues                                                                    
of  human trafficking  and  illicit  massage businesses  and                                                                    
favored the  licensing of establishments to  hold the owners                                                                    
legally  accountable. She  believed  the  bill changes  were                                                                    
reasonable  and necessary.  She  thanked  the committee  for                                                                    
supporting the legislation.                                                                                                     
                                                                                                                                
10:47:34 AM                                                                                                                   
                                                                                                                                
Co-Chair Foster CLOSED Public Testimony.                                                                                        
                                                                                                                                
Representative Wilson  asked about  a comment in  the fiscal                                                                    
note.  She read  the specific  language on  page 2  from the                                                                    
fiscal note analysis:                                                                                                           
                                                                                                                                
     The  potential  number  of establishments  affected  by                                                                    
     this bill  is unknown  at this  time. Future  costs for                                                                    
     legal  and hearing  service expenses  in out  years are                                                                    
     unknown.                                                                                                                   
                                                                                                                                
Representative Wilson requested clarity.                                                                                        
                                                                                                                                
10:48:18 AM                                                                                                                   
                                                                                                                                
JANEY  MCCULLOUGH,   DIRECTOR,  DIVISION   OF  CORPORATIONS,                                                                    
BUSINESS   AND   PROFESSIONAL   LICENSING,   DEPARTMENT   OF                                                                    
COMMERCE,  COMMUNITY  AND  ECONOMIC  DEVELOPMENT,  explained                                                                    
that the  division was  uncertain of  the number  of massage                                                                    
therapy establishments.                                                                                                         
                                                                                                                                
Representative Wilson  asked whether  the licenses  would be                                                                    
charged to  the establishment.  Ms. McCullough  responded in                                                                    
the affirmative.                                                                                                                
                                                                                                                                
Representative  Kawasaki  asked  about a  massage  therapist                                                                    
that  travelled to  the client  to perform  the service.  He                                                                    
wondered  how  the  establishment  license  applied  to  the                                                                    
scenario. Ms.  McCullough stated that the  provision applied                                                                    
to brick and mortar  establishments and the definition would                                                                    
be clarified  in regulation. Representative  Kawasaki wanted                                                                    
to be clear  that the bill only applied to  brick and mortar                                                                    
establishments.  Ms.  McCullough  deferred  comment  to  the                                                                    
board  chair.  Representative  Kawasaki commented  that  the                                                                    
committee  added a  provision  lessening the  fingerprinting                                                                    
requirements  to  once every  three  renewal  cycles to  the                                                                    
board  sunset   bill  HB  275  (Extend:   Board  of  Massage                                                                    
Therapists). He commented that HB  110 included the language                                                                    
"once  every  6  years".  He   asked  whether  there  was  a                                                                    
difference  between   the  language   in  both   bills.  Ms.                                                                    
McCullough stated that the more  accurate language was in HB                                                                    
110. The goal was to  require fingerprinting for every third                                                                    
renewal but  the language once  every 6 years  provided more                                                                    
flexibility.                                                                                                                    
                                                                                                                                
10:52:16 AM                                                                                                                   
                                                                                                                                
Co-Chair Seaton did not want  to place undue restrictions on                                                                    
"mobile" massage.  He did  not want  establishment licensure                                                                    
requirements  placed  on  any   place  a  massage  therapist                                                                    
travelled to  perform massage. He emphasized  that he wanted                                                                    
the statement on the record.                                                                                                    
                                                                                                                                
Representative   Wilson  favored   moving   the  bill   from                                                                    
committee. She  wondered whether  the sponsor  supported the                                                                    
2019 effective date. Ms. Koeneman  reported that the sponsor                                                                    
supported the effective date.                                                                                                   
                                                                                                                                
Representative Wilson MOVED to report  CSHB 110 (L&C) out of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
CSHB110  (L&C) was  REPORTED  out of  committee  with a  "do                                                                    
pass" recommendation  and with a  fiscal impact note  by the                                                                    
Department of Commerce, Community and Economic Development.                                                                     
                                                                                                                                
10:55:00 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:55:47 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair  Foster  reviewed  the  agenda  for  the  following                                                                    
meeting.                                                                                                                        
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
10:59:08 AM                                                                                                                   
                                                                                                                                
The meeting was adjourned at 10:59 a.m.                                                                                         

Document Name Date/Time Subjects
HB110 2.19.18 Letters of Support.pdf HFIN 3/1/2018 9:00:00 AM
HB 110
HB110 Sectional Analysis 2.15.18.pdf HFIN 3/1/2018 9:00:00 AM
HB 110
HB110 Sponsor Statement 2.15.18.pdf HFIN 3/1/2018 9:00:00 AM
HB 110
HB110(L&C) Explanation of Changes 2.16.18.pdf HFIN 3/1/2018 9:00:00 AM
HB 110
HB 168-Sectional Analysis-2018.pdf HFIN 3/1/2018 9:00:00 AM
HB 168
State v ALIVE Voluntary summary and headnotes-2018.pdf HFIN 3/1/2018 9:00:00 AM
HB 168
HB 168-Leg Research-Meetings-2018.pdf HFIN 3/1/2018 9:00:00 AM
HB 168
HB 168 Sponsor Statement-2018.pdf HFIN 3/1/2018 9:00:00 AM
HB 168
HCR 10-Uniform Rule 20-2018.pdf HFIN 3/1/2018 9:00:00 AM
HCR 10
HCR 10-Sponsor Statement-2018.pdf HFIN 3/1/2018 9:00:00 AM
HCR 10
HB110 - Support.pdf HFIN 3/1/2018 9:00:00 AM
HB 110
HB 110 Support Letter Gibbs.pdf HFIN 3/1/2018 9:00:00 AM
HB 110
HB 301 02.28.2018 DCCED HFIN Followup.pdf HFIN 3/1/2018 9:00:00 AM
HB 301