Legislature(1993 - 1994)
02/07/1994 01:30 PM House FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE February 7, 1994 1:30 P.M. TAPE HFC 94 - 25, Side 2, #000 - end. TAPE HFC 94 - 26, Side 1, #000 - end. TAPE HFC 94 - 26, Side 2, #000 - #293. CALL TO ORDER Co-Chair Larson called the House Finance Committee meeting to order at 1:30 PRESENT Co-Chair Larson Representative Hoffman Co-Chair MacLean Representative Martin Vice-Chair Hanley Representative Navarre Representative Brown Representative Parnell Representative Grussendorf Representative Therriault Representative Foster ALSO PRESENT Representative Tom Brice; Representative Jeannette James; Mark Fresquez, SAIL, Deaf and Mental Health Task Force, Juneau; Jerry Gallagher, Legislative Liaison, Department of Natural Resources; Jack Chenoweth, Attorney, Legislative Legal Counsel, Division of Legal Services; Ron Sheets, (teleconference), Fairbanks; Myrna Sheets, (teleconference), Fairbanks; Ruth Gudschinsky, (teleconference), Fairbanks; Dorothy Titus, (teleconference), Fairbanks; Hans Metz, (teleconference), Anchorage; Alice Brewer, (teleconference), Anchorage; Doug Isaacson, (teleconference), Anchorage; John Tapp, (teleconference), Anchorage; Charles Lippitt, (teleconference), Anchorage. SUMMARY HB 132 An Act extending the time period of all permits issued by the state relating to the extraction or removal of resources if the holder of the permits is involved in litigation concerning the issuance or validity of any permit related to the extraction or removal. CS HB 132 (FIN) was reported out of Committee with a "do pass" recommendation and with a zero fiscal note by the Departments of Natural Resources, Fish & Game, Environmental Conservation and Commerce and Economic Development. 1 HB 222 An Act relating to landlords and tenants, to termination of tenancies and recovery of rental premises, to tenant responsibilities, to the civil remedies of forcible entry and detainer and nuisance abatement, and to the duties of peace officers to notify landlords of arrests involving certain illegal activity on rental premises. HB 222 was placed in Subcommittee with Representative Therriault as Chair and with members Representative Parnell and Representative Brown. MENTAL HEALTH SPENDING REQUEST MARK FRESQUEZ, SAIL, DEAF AND MENTAL HEALTH TASK FORCE, JUNEAU, provided testimony to the Committee regarding the FY95 funding request from the Deaf and Mental Health Task Force of $450 thousand dollars. (Testimony Provided - Copy on File). HOUSE BILL 132 "An Act extending the time period of all permits issued by the state relating to the extraction or removal of resources if the holder of the permits is involved in litigation concerning the issuance or validity of any permit related to the extraction or removal." REPRESENTATIVE TOM BRICE explained the changes made by the Subcommittee included in work draft #8-LS0527\X, dated 2/01/94. Representative Brown MOVED a change to Page 2, Lines 3 and 4; inserting language "the permittee" to Line 3 and deleting it from Line 4. There being NO OBJECTION, it was so ordered. Representative Brown requested that the fiscal costs be documented regarding specific fiscal costs to each affected department resulting from the adoption of regulations. Representative Brice noted that he had been advised by each department that there would be "no fiscal impact". Co-Chair Larson agreed that the departments should submit fiscal notes. JERRY GALLAGHER, LEGISLATIVE LIAISON, DEPARTMENT OF NATURAL RESOURCES, stated that the Department of Natural Resources (DNR) would have a zero fiscal note. Representative Therriault MOVED to adopt work draft #8- 2 LSO527\X, dated 2/01/94, as amended, be the version before the Committee. There being NO OBJECTION, it was adopted. Representative Therriault MOVED to report CS HB 132 (FIN) out of Committee with individual recommendations and with the zero fiscal notes. There being NO OBJECTION, it was so ordered. CS HB 132 (FIN) was reported out of Committee with a "do pass" recommendation and zero fiscal notes by the Department of Natural Resources, the Department of Fish and Game, the Department of Commerce and Economic Development and the Department of Environmental Conservation. HOUSE BILL 222 "An Act relating to landlords and tenants, to termination of tenancies and recovery of rental premises, to tenant responsibilities, to the civil remedies of forcible entry and detainer and nuisance abatement, and to the duties of peace officers to notify landlords of arrests involving certain illegal activity on rental premises." REPRESENTATIVE JEANNETTE JAMES explained that HB 222 was based on the 1992, SB 35, in response to concerns that landlord-tenant laws were weighted in favor of protecting abusive tenants. HB 222 would address several purposes: 1. To allow for an expedited eviction of a tenant who damages the premises or fails to pay rent. 2. To make the legal obligations of a tenant more stringent. 3. To expand the state's nuisance abatement statutes to include more offenses and make the process more accessible for landlords. 4. To require peace officers to notify the landlord when a tenant has been arrested for certain criminal offenses. RON SHEETS, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS, spoke in support of HB 222. MYRNA SHEETS, (TESTIFIED VIA TELECONFERENCE), LANDLORD ASSOCIATION, FAIRBANKS, spoke in support of SB 155 and HB 222. HANS METZ, (TESTIFIED VIA TELECONFERENCE), ANCHORAGE, spoke in support of the proposed legislation. 3 ALICE BREWER, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE SECRETARY OF THE ALASKA LANDOWNERS AND PROPERTY ASSOCIATION, ANCHORAGE, spoke in favor of the proposed legislation. (Tape Change, HFC 94-26, Side 1). RUTH GUDSCHINSKY, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS, spoke in support of the legislation. DOROTHY TITUS, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS, spoke in support of HB 222. DOUG ISAACSON, (TESTIFIED VIA TELECONFERENCE), PRESIDENT OF CREDIT SERVICES, INC., ANCHORAGE, spoke in support of the proposed legislation. JOHN TAPP, (TESTIFIED VIA TELECONFERENCE), ANCHORAGE, spoke in support of HB 222. CHARLES LIPPITT, (TESTIFIED VIA TELECONFERENCE, ANCHORAGE, spoke in support of the proposed legislation. Representative James provided the Committee with Amendment Amendment #1 and its appropriate placement within the bill. Representative Parnell MOVED to adopt Amendment #1. Representative Brown asked for a statement as to the subsequent effective of Amendment #1. JACK CHENOWETH, ATTORNEY, LEGISLATIVE COUNSEL, DIVISION OF LEGAL SERVICES, explained the premise of proposed Amendment the landlord could legally operate to make the eviction decision. Amendment #1 would provide landlords the opportunity to evict on 24 hours notice, providing the violation was substantial. He explained that the remedy had previously been omitted in the proposed legislation and would be instated through the proposed Amendment #1. Mr. Chenoweth explained the legislation's intention removed the adverbs from AS 34.03.120 (a) so that "any" disturbance could serve as the basis for termination of the renter. Consequently, wording of Amendment #1 explains that the word "substantial" would be needed to define the remaining amendments. There being NO OBJECTION TO AMENDMENT #1, it was adopted. Representative Parnell MOVED Amendment #2. [Attachment #3]. 4 There being NO OBJECTION, it was adopted. Representative Brown recommended conceptual language be added to the legislation which would allow tenants reasonable time to remedy breeches of the tenant-landlord agreement. Mr. Chenoweth stated that Section 20 would reduce from twenty days to twenty-four hours the period of time for the landlord to give the tenant notice for problems contributed by the tenant. He pointed out that several states do have similar language as proposed in the legislation. (Tape Change, HFC 94-26, Side 2). Mr. Chenoweth understood that the tenant could be evicted if there was "willful" or "intended" substantial damage to the rented premise and evidenced by the landlord. He discussed how various states have resolved the situation. Discussion followed among Committee members regarding the 24 hour notice to tenants and if that should pass a "reasonableness" test. Representative Brown recommended a "conceptual" amendment be adopted to address concerns regarding the issue of a "reasonable" amount of time. Representative James was not comfortable with changing the concept. Representative Brown explained Amendment #3 [Attachment #4] addressing the tenant's remedies for landlord's unlawful ouster, exclusion, or diminution of service. The addition of Amendment #3 would help to balance the legislation by providing financial restitution to renters. Representative Brown MOVED to adopt Amendment #3. Representative Therriault OBJECTED. Co-Chair Larson placed HB 222 into Subcommittee with Representative Therriault as Chair and with members Representative Parnell and Representative Brown. HB 222 was HELD in Committee for further discussion. CONTRACT BETWEEN THE STATE OF ALASKA AND JAY HARRIE HOGAN Co-Chair MacLean MOVED to approve a contract between the State of Alaska House Finance Committee and Jay Harrie Hogan for a sum not to exceed $25,000. (Copy on file). There being NO OBJECTION, it was approved. ADJOURNMENT The meeting adjourned at 3:15 P.M. 5 HOUSE FINANCE COMMITTEE February 7, 1994 1:30 P.M. TAPE HFC 94 - 25, Side 2, #000 - end. TAPE HFC 94 - 26, Side 1, #000 - end. TAPE HFC 94 - 26, Side 2, #000 - #293. CALL TO ORDER Co-Chair Larson called the House Finance Committee meeting to order at 1:30 PRESENT Co-Chair Larson Representative Hoffman Co-Chair MacLean Representative Martin Vice-Chair Hanley Representative Navarre Representative Brown Representative Parnell Representative Grussendorf Representative Therriault Representative Foster ALSO PRESENT Representative Tom Brice; Representative Jeannette James; Mark Fresquez, SAIL, Deaf and Mental Health Task Force, Juneau; Jerry Gallagher, Legislative Liaison, Department of Natural Resources; Jack Chenoweth, Attorney, Legislative Legal Counsel, Division of Legal Services; Ron Sheets, (teleconference), Fairbanks; Myrna Sheets, (teleconference), Fairbanks; Ruth Gudschinsky, (teleconference), Fairbanks; Dorothy Titus, (teleconference), Fairbanks; Hans Metz, (teleconference), Anchorage; Alice Brewer, (teleconference), Anchorage; Doug Isaacson, (teleconference), Anchorage; John Tapp, (teleconference), Anchorage; Charles Lippitt, (teleconference), Anchorage. SUMMARY HB 132 An Act extending the time period of all permits issued by the state relating to the extraction or removal of resources if the holder of the permits is involved in litigation concerning the issuance or validity of any permit related to the extraction or removal. CS HB 132 (FIN) was reported out of Committee with a "do pass" recommendation and with a zero fiscal note by the Departments of Natural Resources, Fish 6 & Game, Environmental Conservation and Commerce and Economic Development. HB 222 An Act relating to landlords and tenants, to termination of tenancies and recovery of rental premises, to tenant responsibilities, to the civil remedies of forcible entry and detainer and nuisance abatement, and to the duties of peace officers to notify landlords of arrests involving certain illegal activity on rental premises. HB 222 was placed in Subcommittee with Representative Therriault as Chair and with members Representative Parnell and Representative Brown. MENTAL HEALTH SPENDING REQUEST MARK FRESQUEZ, SAIL, DEAF AND MENTAL HEALTH TASK FORCE, JUNEAU, provided testimony to the Committee regarding the FY95 funding request from the Deaf and Mental Health Task Force of $450 thousand dollars. (Testimony Provided - Copy on File). HOUSE BILL 132 "An Act extending the time period of all permits issued by the state relating to the extraction or removal of resources if the holder of the permits is involved in litigation concerning the issuance or validity of any permit related to the extraction or removal." REPRESENTATIVE TOM BRICE explained the changes made by the Subcommittee included in work draft #8-LS0527\X, dated 2/01/94. Representative Brown MOVED a change to Page 2, Lines 3 and 4; inserting language "the permittee" to Line 3 and deleting it from Line 4. There being NO OBJECTION, it was so ordered. Representative Brown requested that the fiscal costs be documented regarding specific fiscal costs to each affected department resulting from the adoption of regulations. Representative Brice noted that he had been advised by each department that there would be "no fiscal impact". Co-Chair Larson agreed that the departments should submit fiscal notes. JERRY GALLAGHER, LEGISLATIVE LIAISON, DEPARTMENT OF NATURAL RESOURCES, stated that the Department of Natural Resources (DNR) would have a zero fiscal note. 7 Representative Therriault MOVED to adopt work draft #8- LSO527\X, dated 2/01/94, as amended, be the version before the Committee. There being NO OBJECTION, it was adopted. Representative Therriault MOVED to report CS HB 132 (FIN) out of Committee with individual recommendations and with the zero fiscal notes. There being NO OBJECTION, it was so ordered. CS HB 132 (FIN) was reported out of Committee with a "do pass" recommendation and zero fiscal notes by the Department of Natural Resources, the Department of Fish and Game, the Department of Commerce and Economic Development and the Department of Environmental Conservation. HOUSE BILL 222 "An Act relating to landlords and tenants, to termination of tenancies and recovery of rental premises, to tenant responsibilities, to the civil remedies of forcible entry and detainer and nuisance abatement, and to the duties of peace officers to notify landlords of arrests involving certain illegal activity on rental premises." REPRESENTATIVE JEANNETTE JAMES explained that HB 222 was based on the 1992, SB 35, in response to concerns that landlord-tenant laws were weighted in favor of protecting abusive tenants. HB 222 would address several purposes: 1. To allow for an expedited eviction of a tenant who damages the premises or fails to pay rent. 2. To make the legal obligations of a tenant more stringent. 3. To expand the state's nuisance abatement statutes to include more offenses and make the process more accessible for landlords. 4. To require peace officers to notify the landlord when a tenant has been arrested for certain criminal offenses. RON SHEETS, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS, spoke in support of HB 222. MYRNA SHEETS, (TESTIFIED VIA TELECONFERENCE), LANDLORD ASSOCIATION, FAIRBANKS, spoke in support of SB 155 and HB 222. 8 HANS METZ, (TESTIFIED VIA TELECONFERENCE), ANCHORAGE, spoke in support of the proposed legislation. ALICE BREWER, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE SECRETARY OF THE ALASKA LANDOWNERS AND PROPERTY ASSOCIATION, ANCHORAGE, spoke in favor of the proposed legislation. (Tape Change, HFC 94-26, Side 1). RUTH GUDSCHINSKY, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS, spoke in support of the legislation. DOROTHY TITUS, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS, spoke in support of HB 222. DOUG ISAACSON, (TESTIFIED VIA TELECONFERENCE), PRESIDENT OF CREDIT SERVICES, INC., ANCHORAGE, spoke in support of the proposed legislation. JOHN TAPP, (TESTIFIED VIA TELECONFERENCE), ANCHORAGE, spoke in support of HB 222. CHARLES LIPPITT, (TESTIFIED VIA TELECONFERENCE, ANCHORAGE, spoke in support of the proposed legislation. Representative James provided the Committee with Amendment Amendment #1 and its appropriate placement within the bill. Representative Parnell MOVED to adopt Amendment #1. Representative Brown asked for a statement as to the subsequent effective of Amendment #1. JACK CHENOWETH, ATTORNEY, LEGISLATIVE COUNSEL, DIVISION OF LEGAL SERVICES, explained the premise of proposed Amendment the landlord could legally operate to make the eviction decision. Amendment #1 would provide landlords the opportunity to evict on 24 hours notice, providing the violation was substantial. He explained that the remedy had previously been omitted in the proposed legislation and would be instated through the proposed Amendment #1. Mr. Chenoweth explained the legislation's intention removed the adverbs from AS 34.03.120 (a) so that "any" disturbance could serve as the basis for termination of the renter. Consequently, wording of Amendment #1 explains that the word "substantial" would be needed to define the remaining amendments. There being NO OBJECTION TO AMENDMENT #1, it was adopted. 9 Representative Parnell MOVED Amendment #2. [Attachment #3]. There being NO OBJECTION, it was adopted. Representative Brown recommended conceptual language be added to the legislation which would allow tenants reasonable time to remedy breeches of the tenant-landlord agreement. Mr. Chenoweth stated that Section 20 would reduce from twenty days to twenty-four hours the period of time for the landlord to give the tenant notice for problems contributed by the tenant. He pointed out that several states do have similar language as proposed in the legislation. (Tape Change, HFC 94-26, Side 2). Mr. Chenoweth understood that the tenant could be evicted if there was "willful" or "intended" substantial damage to the rented premise and evidenced by the landlord. He discussed how various states have resolved the situation. Discussion followed among Committee members regarding the 24 hour notice to tenants and if that should pass a "reasonableness" test. Representative Brown recommended a "conceptual" amendment be adopted to address concerns regarding the issue of a "reasonable" amount of time. Representative James was not comfortable with changing the concept. Representative Brown explained Amendment #3 [Attachment #4] addressing the tenant's remedies for landlord's unlawful ouster, exclusion, or diminution of service. The addition of Amendment #3 would help to balance the legislation by providing financial restitution to renters. Representative Brown MOVED to adopt Amendment #3. Representative Therriault OBJECTED. Co-Chair Larson placed HB 222 into Subcommittee with Representative Therriault as Chair and with members Representative Parnell and Representative Brown. HB 222 was HELD in Committee for further discussion. CONTRACT BETWEEN THE STATE OF ALASKA AND JAY HARRIE HOGAN Co-Chair MacLean MOVED to approve a contract between the State of Alaska House Finance Committee and Jay Harrie Hogan for a sum not to exceed $25,000. (Copy on file). There being NO OBJECTION, it was approved. ADJOURNMENT 10 The meeting adjourned at 3:15 P.M. 11
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