04/04/2011 01:00 PM House JUDICIARY
| Audio | Topic | 
|---|---|
| Start | |
| HB168 | |
| HB1 | |
| HB6 | |
| Adjourn | 
+ teleconferenced
= bill was previously heard/scheduled
| + | HB 161 | TELECONFERENCED | |
| += | HB 168 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 1 | TELECONFERENCED | |
| += | HB 6 | TELECONFERENCED | |
                    ALASKA STATE LEGISLATURE                                                                                  
               HOUSE JUDICIARY STANDING COMMITTEE                                                                             
                         April 4, 2011                                                                                          
                           1:09 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Steve Thompson, Vice Chair                                                                                       
Representative Wes Keller                                                                                                       
Representative Lance Pruitt                                                                                                     
Representative Max Gruenberg                                                                                                    
Representative Lindsey Holmes                                                                                                   
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Carl Gatto, Chair                                                                                                
Representative Bob Lynn                                                                                                         
Representative Mike Chenault (alternate)                                                                                        
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 168                                                                                                              
"An Act  requiring the amount  of the  security given by  a party                                                               
seeking an injunction or order  vacating or staying the operation                                                               
of  a permit  affecting  an industrial  operation  to include  an                                                               
amount for  the payment of  wages and benefits for  employees and                                                               
payments to  contractors and subcontractors  that may be  lost if                                                               
the industrial operation is wrongfully enjoined."                                                                               
                                                                                                                                
     - MOVED CSHB 168(JUD) OUT OF COMMITTEE                                                                                     
                                                                                                                                
HOUSE BILL NO. 1                                                                                                                
"An Act  stating a public policy  that allows a person  to choose                                                               
or decline any mode of securing health care services."                                                                          
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 6                                                                                                                
"An Act  authorizing the governor  to remove or suspend  a member                                                               
of the  Board of  Regents of  the University  of Alaska  for good                                                               
cause;  and   establishing  a  procedure   for  the   removal  or                                                               
suspension of a regent."                                                                                                        
                                                                                                                                
     - MOVED CSHB 6(JUD) OUT OF COMMITTEE                                                                                       
                                                                                                                                
HOUSE BILL NO. 161                                                                                                              
"An  Act  requiring that  all  information  in a  declaration  of                                                               
candidacy,  letter  of  intent,  or  nominating  petition  for  a                                                               
candidate  for elective  state executive  and state  and national                                                               
legislative office is open to public inspection."                                                                               
                                                                                                                                
     - BILL HEARING CANCELED                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 168                                                                                                                  
SHORT TITLE: INJUNCTION SECURITY: INDUSTRIAL OPERATION                                                                          
SPONSOR(S): REPRESENTATIVE(S) FEIGE                                                                                             
                                                                                                                                
02/23/11       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/23/11       (H)       JUD                                                                                                    
02/25/11       (H)       BILL REPRINTED 2/24/11                                                                                 
03/21/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
03/21/11       (H)       Heard & Held                                                                                           
03/21/11       (H)       MINUTE(JUD)                                                                                            
03/23/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
03/23/11       (H)       <Bill Hearing Canceled>                                                                                
03/30/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
03/30/11       (H)       Scheduled But Not Heard                                                                                
04/04/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
                                                                                                                                
BILL: HB 1                                                                                                                    
SHORT TITLE: POLICY FOR SECURING HEALTH CARE SERVICES                                                                           
SPONSOR(S): REPRESENTATIVE(S) GATTO, LYNN                                                                                       
                                                                                                                                
01/18/11       (H)       PREFILE RELEASED 1/7/11                                                                                
01/18/11       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/18/11       (H)       HSS, JUD                                                                                               
03/01/11       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/01/11       (H)       Scheduled But Not Heard                                                                                
03/08/11       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/08/11       (H)       Heard & Held                                                                                           
03/08/11       (H)       MINUTE(HSS)                                                                                            
03/15/11       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/15/11       (H)       Moved CSHB 1(HSS) Out of Committee                                                                     
03/15/11       (H)       MINUTE(HSS)                                                                                            
03/16/11       (H)       HSS RPT CS(HSS) 2DP 3NR                                                                                
03/16/11       (H)       DP: DICK, KELLER                                                                                       
03/16/11       (H)       NR: SEATON, MILLER, HERRON                                                                             
04/01/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
04/01/11       (H)       Heard & Held                                                                                           
04/01/11       (H)       MINUTE(JUD)                                                                                            
04/04/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
                                                                                                                                
BILL: HB 6                                                                                                                    
SHORT TITLE: REMOVING A REGENT                                                                                                  
SPONSOR(S): REPRESENTATIVE(S) GRUENBERG                                                                                         
                                                                                                                                
01/18/11       (H)       PREFILE RELEASED 1/7/11                                                                                
01/18/11       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/18/11       (H)       EDC, JUD                                                                                               
02/11/11       (H)       EDC AT 8:00 AM CAPITOL 106                                                                             
02/11/11       (H)       Heard & Held                                                                                           
02/11/11       (H)       MINUTE(EDC)                                                                                            
02/21/11       (H)       EDC AT 8:00 AM CAPITOL 106                                                                             
02/21/11       (H)       Moved CSHB 6(EDC) Out of Committee                                                                     
02/21/11       (H)       MINUTE(EDC)                                                                                            
02/23/11       (H)       EDC RPT CS(EDC) 5DP                                                                                    
02/23/11       (H)       DP: P.WILSON, SEATON, KAWASAKI, FEIGE,                                                                 
                         DICK                                                                                                   
03/21/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
03/21/11       (H)       Heard & Held                                                                                           
03/21/11       (H)       MINUTE(JUD)                                                                                            
03/23/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
03/23/11       (H)       Scheduled But Not Heard                                                                                
04/04/11       (H)       JUD AT 1:00 PM CAPITOL 120                                                                             
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
REPRESENTATIVE ERIC FEIGE                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Sponsor of HB 168.                                                                                       
                                                                                                                                
TINA KOBAYASHI, Chief Assistant Attorney General - Statewide                                                                    
Section Supervisor                                                                                                              
Oil, Gas & Mining Section                                                                                                       
Civil Division (Juneau)                                                                                                         
Department of Law (DOL)                                                                                                         
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Responded to questions during discussion of                                                              
HB 168.                                                                                                                         
                                                                                                                                
DOUG WOOLIVER, Administrative Attorney                                                                                          
Administrative Staff                                                                                                            
Office of the Administrative Director                                                                                           
Alaska Court System (ACS)                                                                                                       
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Responded to questions during discussion of                                                              
HB 168.                                                                                                                         
                                                                                                                                
KAREN SAWYER, Staff                                                                                                             
Representative Carl Gatto                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Addressed HB 1 on behalf of Representative                                                               
Gatto, one of the bill's joint prime sponsors.                                                                                  
                                                                                                                                
SIGNE ANDERSON, Chief Assistant Attorney General - Statewide                                                                    
Section Supervisor                                                                                                              
Commercial/Fair Business Section                                                                                                
Civil Division (Anchorage)                                                                                                      
Department of Law (DOL)                                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Provided comments and responded to                                                                       
questions during discussion of HB 1.                                                                                            
                                                                                                                                
JON SHERWOOD                                                                                                                    
Medicaid Special Projects                                                                                                       
Medicaid and Health Care Policy                                                                                                 
Division of Health Care Services                                                                                                
Department of Health and Social Services (DHSS)                                                                                 
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Responded to questions during discussion of                                                              
HB 1.                                                                                                                           
                                                                                                                                
PATRICK LUBY, Advocacy Director                                                                                                 
AARP Alaska                                                                                                                     
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in opposition to HB 1.                                                                         
                                                                                                                                
TED MADSEN, Staff                                                                                                               
Representative Max Gruenberg                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Addressed HB 6 on behalf of the sponsor,                                                                 
Representative Gruenberg.                                                                                                       
                                                                                                                                
JEAN MISCHEL, Attorney                                                                                                          
Legislative Legal Counsel                                                                                                       
Legislative Legal and Research Services                                                                                         
Legislative Affairs Agency (LAA)                                                                                                
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Responded to questions during discussion of                                                              
HB 6.                                                                                                                           
                                                                                                                                
JUDY BOCKMAN, Assistant Attorney General                                                                                        
State Ethics Attorney                                                                                                           
Opinions, Appeals, & Ethics                                                                                                     
Civil Division (Anchorage)                                                                                                      
Department of Law (DOL)                                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Responded to  questions during discussion of                                                             
HB 6.                                                                                                                           
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
1:09:19 PM                                                                                                                    
                                                                                                                                
VICE  CHAIR STEVE  THOMPSON called  the House  Judiciary Standing                                                             
Committee  meeting  to  order  at   1:09  p.m.    Representatives                                                               
Thompson, Gruenberg, Holmes, and Keller  were present at the call                                                               
to order.   Representative Pruitt  arrived as the meeting  was in                                                               
progress.  Representatives Gatto and Lynn were excused.                                                                         
                                                                                                                                
       HB 168 - INJUNCTION SECURITY: INDUSTRIAL OPERATION                                                                   
                                                                                                                                
1:09:45 PM                                                                                                                    
                                                                                                                                
VICE CHAIR  THOMPSON announced that  the first order  of business                                                               
would be HOUSE BILL NO. 168,  "An Act requiring the amount of the                                                               
security  given  by  a  party  seeking  an  injunction  or  order                                                               
vacating  or  staying the  operation  of  a permit  affecting  an                                                               
industrial  operation to  include an  amount for  the payment  of                                                               
wages and benefits for employees  and payments to contractors and                                                               
subcontractors that  may be lost  if the industrial  operation is                                                               
wrongfully enjoined."                                                                                                           
                                                                                                                                
1:11:58 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ERIC FEIGE, Alaska  State Legislature, sponsor, to                                                               
briefly recap, indicated  that HB 168 would  establish in statute                                                               
language similar  to that of  Rule 65(c)  of the Alaska  Rules of                                                               
Civil Procedure  in order to address  lawsuits involving resource                                                               
development projects, specifically those  wherein a party seeks a                                                               
restraining order,  preliminary injunction, or order  vacating or                                                               
staying  the operation  of a  permit that  affects an  industrial                                                               
operation,  [thereby  essentially]   requiring  the  court,  when                                                               
setting the  amount of  the required  security bond,  to consider                                                               
the  costs associated  with that  restraining order,  preliminary                                                               
injunction,  or order  vacating  or staying  the  operation of  a                                                               
permit.                                                                                                                         
                                                                                                                                
REPRESENTATIVE  HOLMES  noted  that   a  memorandum  in  members'                                                               
packets  dated  March  21,  2011,   from  Legislative  Legal  and                                                               
Research  Services indicates  that if  HB 168  is interpreted  as                                                               
requiring  the security  bond  to include  an  amount for  wages,                                                               
benefits,  and contract  payments, then  the bill  might also  be                                                               
interpreted  as  changing a  court  rule  [because currently  the                                                               
court  may  consider  including  amounts for  those  items  in  a                                                               
security bond  but isn't  required to].   She asked  whether it's                                                               
the  sponsor's  intention  to  require  that  the  security  bond                                                               
include amounts for wages and benefits and contract payments.                                                                   
                                                                                                                                
REPRESENTATIVE FEIGE said,  "[The] intent of the bill  is to make                                                               
sure   that  the   court  at   least  includes   that  in   their                                                               
consideration for  the security  amount; ...  I don't  believe it                                                               
directs ...  them to impose  that, particularly, but it  does ...                                                               
ask that they consider that in the ...."                                                                                        
                                                                                                                                
REPRESENTATIVE HOLMES  sought clarification  that the  bill would                                                               
not require the court to include those amounts.                                                                                 
                                                                                                                                
REPRESENTATIVE FEIGE said, "Correct."                                                                                           
                                                                                                                                
REPRESENTATIVE  GRUENBERG said,  "With  that clarification,  that                                                               
there's not  to be  any change  in the court  rule but  simply an                                                               
admonition, in the judge's discretion,  that we'd like that to be                                                               
considered,  then I  don't think  a  court rule  [change] is  ...                                                               
required, and I feel much more comfortable with the bill."                                                                      
                                                                                                                                
REPRESENTATIVE  FEIGE concurred  with Representative  Gruenberg's                                                               
interpretation.                                                                                                                 
                                                                                                                                
REPRESENTATIVE GRUENBERG  characterized HB  168 as being  in line                                                               
with Rule 65(c).                                                                                                                
                                                                                                                                
1:16:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG made  a  motion to  adopt Amendment  1,                                                               
labeled 27-LS0395\B.2, Bailey, 3/29/11, which read:                                                                             
                                                                                                                                
     Page 1, line 10:                                                                                                           
          Delete "determined by the court"                                                                                      
          Insert "the court considers proper"                                                                                   
                                                                                                                                
REPRESENTATIVE KELLER objected.                                                                                                 
                                                                                                                                
REPRESENTATIVE GRUENBERG explained that  Amendment 1 provides for                                                               
language  tracking  that of  Rule  65(c),  and so  could  further                                                               
clarify that  the bill is intended  to do exactly the  same thing                                                               
as that court rule.                                                                                                             
                                                                                                                                
REPRESENTATIVE FEIGE concurred.                                                                                                 
                                                                                                                                
REPRESENTATIVE  KELLER offered  his  understanding, though,  that                                                               
the  term,  "determination"  constitutes a  final  judgment,  and                                                               
expressed a  preference for retaining the  phrase, "determined by                                                               
the court", considering it to be "tighter."                                                                                     
                                                                                                                                
REPRESENTATIVE HOLMES  explained that that  term, as used  in the                                                               
bill, doesn't  in any way  refer to  any sort of  final judgment,                                                               
and instead simply means that  the court shall decide what amount                                                               
the security  bond should be for.   Amendment 1 would  not change                                                               
the  meaning  of the  bill,  does  not constitute  a  substantive                                                               
change,  and would  instead simply  allow the  bill to  track the                                                               
aforementioned court  rule.  Adoption  of Amendment 1  would also                                                               
clarify that the  legislature is not trying to  change that court                                                               
rule, she ventured.                                                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER predicted  that  adoption  of Amendment  1                                                               
would then allow people to make  the argument that the bill isn't                                                               
necessary  because [the  situations that  are of  concern to  the                                                               
sponsor] would be  covered under the court rule.   He then sought                                                               
clarification  from  the Department  of  Law  regarding what  the                                                               
effect of adopting Amendment 1 would be.                                                                                        
                                                                                                                                
1:22:55 PM                                                                                                                    
                                                                                                                                
TINA  KOBAYASHI, Chief  Assistant  Attorney  General -  Statewide                                                               
Section  Supervisor, Oil,  Gas &  Mining Section,  Civil Division                                                               
(Juneau),  Department   of  Law  (DOL),  said   she  agrees  with                                                               
Representative Holmes's  summation that  because the  language of                                                               
Amendment 1 more  closely tracks the language of  the court rule,                                                               
its adoption  would clarify that  the proposed statute  would not                                                               
change  the  court  rule,  that  the  discretion  would  be  left                                                               
entirely  up to  the  court.   In  response  to  a question,  she                                                               
offered  her  belief  that  under   Amendment  1's  proposed  new                                                               
language - "the court considers  proper" - the court would simply                                                               
continue following its current procedure.                                                                                       
                                                                                                                                
REPRESENTATIVE GRUENBERG observed that  the dictionary, which the                                                               
courts normally  look to, in  part defines the  term, "determine"                                                               
as meaning to find out or  come to a decision about something via                                                               
investigation, reasoning, or calculation.                                                                                       
                                                                                                                                
REPRESENTATIVE FEIGE,  in response to a  question, concurred that                                                               
that was  the meaning  he intended  when initially  including the                                                               
phrase, "determined by the court" in HB 168.                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG posited that  Amendment 1's proposed new                                                               
language  merely  restates  that  intent,  thereby  removing  all                                                               
question regarding what the bill does.                                                                                          
                                                                                                                                
REPRESENTATIVE KELLER indicated that  he still has concerns about                                                               
the meaning of Amendment 1's proposed new language.                                                                             
                                                                                                                                
1:25:51 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HOLMES  reiterated   that  she  doesn't  consider                                                               
Amendment 1 to  be effecting a substantive change.   Instead, she                                                               
ventured,  Amendment 1's  proposed new  language is  just another                                                               
way of  saying what the bill  already says, and pointed  out that                                                               
the  bill's sponsor  is  in  agreement.   It  is seemingly  being                                                               
argued that  the language  currently in the  bill should  be kept                                                               
because it means something different  than Amendment 1's proposed                                                               
new language and  that which is currently in the  court rule, but                                                               
if  that's really  the case,  and it  really does  mean something                                                               
different, then  by not adopting  Amendment 1, it means  that the                                                               
bill would  indeed be changing  a court rule -  thereby requiring                                                               
an affirmative two-thirds  vote.  The closer the  language of the                                                               
court rule  is tracked, she  opined, then  the more likely  it is                                                               
that  the  bill  isn't  going   to  get  struck  down  as  having                                                               
inappropriately  effected a  court rule  change.   In conclusion,                                                               
she urged adoption of Amendment 1.                                                                                              
                                                                                                                                
REPRESENTATIVE  KELLER mentioned  that he  simply didn't  want to                                                               
change the  bill contrary  to what  the sponsor  wants.   He then                                                               
removed his objection to the motion to adopt Amendment 1.                                                                       
                                                                                                                                
VICE  CHAIR   THOMPSON,  noting   that  there  were   no  further                                                               
objections, announced that Amendment 1 was adopted.                                                                             
                                                                                                                                
REPRESENTATIVE GRUENBERG  asked the  sponsor to consider,  as the                                                               
bill moves forward, possibly changing  it in order to ensure that                                                               
its proposed AS  09.40.230(c) would apply fairly  to both parties                                                               
in a lawsuit; proposed subsection (c) currently reads:                                                                          
                                                                                                                                
        (c)  The existence of security under (b) of this                                                                        
     section does not                                                                                                           
        (1) prohibit a person who is wrongly enjoined or                                                                        
     restrained from obtaining relief that may be available                                                                     
     to that person; or                                                                                                         
        (2) limit the amount that a party may recover in                                                                        
     the action.                                                                                                                
                                                                                                                                
VICE  CHAIR THOMPSON  questioned how  the portion  of a  security                                                               
bond that reflects  lost wages and benefits  would be distributed                                                               
to employees.                                                                                                                   
                                                                                                                                
1:31:09 PM                                                                                                                    
                                                                                                                                
DOUG  WOOLIVER,  Administrative Attorney,  Administrative  Staff,                                                               
Office  of  the  Administrative  Director,  Alaska  Court  System                                                               
(ACS), explained  that if  a security bond  is posted  to protect                                                               
the interests of a company  that's alleging potential lost wages,                                                               
and if that security bond is  then forfeited, the court would pay                                                               
that bond  amount to the party  that was enjoined, but  the court                                                               
wouldn't  have any  way  of  knowing who  the  company should  be                                                               
reimbursing for  lost wages  - the decision  of who  to reimburse                                                               
would  be left  up to  the  company that  received the  forfeited                                                               
bond.                                                                                                                           
                                                                                                                                
VICE  CHAIR THOMPSON  questioned whether  a company  could simply                                                               
pocket that money and not reimburse its employees for wages.                                                                    
                                                                                                                                
MR. WOOLIVER acknowledged  that a company could do  that.  Again,                                                               
the court  isn't going to  have any of the  information necessary                                                               
to address the  distribution of funds, and so it  must be left up                                                               
to the  receiving party to appropriately  reimburse its employees                                                               
and subcontractors.                                                                                                             
                                                                                                                                
REPRESENTATIVE GRUENBERG  ventured that  certain types  of trusts                                                               
and  specific  court  actions  could   probably  be  utilized  to                                                               
mitigate  the  potential  for an  enjoined/restrained  industrial                                                               
operation to abuse the system.                                                                                                  
                                                                                                                                
MR.  WOOLIVER  mentioned that  the  apportioning  of a  forfeited                                                               
security  bond  could  get  somewhat   complicated  and  has  the                                                               
potential of engendering further litigation.                                                                                    
                                                                                                                                
VICE CHAIR THOMPSON,  after ascertaining that no  one else wished                                                               
to testify, closed public testimony on HB 168.                                                                                  
                                                                                                                                
1:36:38 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER moved to report  HB 168, as amended, out of                                                               
committee  with individual  recommendations and  the accompanying                                                               
fiscal  notes.   There  being  no  objection, CSHB  168(JUD)  was                                                               
reported from the House Judiciary Standing Committee.                                                                           
                                                                                                                                
The committee took an at-ease from 1:37 p.m. to 1:40 p.m.                                                                       
                                                                                                                                
        HB 1 - POLICY FOR SECURING HEALTH CARE SERVICES                                                                     
                                                                                                                                
1:40:07 PM                                                                                                                    
                                                                                                                                
VICE CHAIR  THOMPSON announced  that the  next order  of business                                                               
would be HOUSE  BILL NO. 1, "An Act stating  a public policy that                                                               
allows a person to choose or  decline any mode of securing health                                                               
care  services."   [Before  the  committee  was CSHB  1(HSS),  as                                                               
amended on 4/1/11.]                                                                                                             
                                                                                                                                
1:40:17 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRUITT  moved  to adopt  the  proposed  committee                                                               
substitute (CS)  for HB 1, Version  227-LS0006\B, Bailey, 4/1/11,                                                               
as the working document.                                                                                                        
                                                                                                                                
REPRESENTATIVE GRUENBERG objected.                                                                                              
                                                                                                                                
1:40:46 PM                                                                                                                    
                                                                                                                                
KAREN  SAWYER, Staff,  Representative  Carl  Gatto, Alaska  State                                                               
Legislature,  on  behalf  of Representative  Gatto,  one  of  the                                                               
bill's   joint  prime   sponsors,   explained   that  Version   B                                                               
incorporates an amendment  made to CSHB 1(HSS)  during the bill's                                                               
last  hearing.    Under  that  amendment  -  which  altered  both                                                               
proposed AS 44.99.130(a)  and the title - the  word, "choose" was                                                               
replaced with  the word,  "accept", and  the word,  "offered" was                                                               
added.   The proposed state  policy under  Version B now  says in                                                               
part, "a  person has the right  to accept or decline  any offered                                                               
mode of obtaining health care services".                                                                                        
                                                                                                                                
REPRESENTATIVE GRUENBERG removed his objection.                                                                                 
                                                                                                                                
VICE  CHAIR   THOMPSON,  noting   that  there  were   no  further                                                               
objections, announced that Version B was before the committee.                                                                  
                                                                                                                                
MS. SAWYER,  to briefly  recap, explained that  HB 1  pertains to                                                               
the federal  Patient Protection and Affordable  Care Act (PPACA),                                                               
and offered  her belief that the  PPACA is going to  mandate that                                                               
all  individuals have  qualifying healthcare  insurance or  pay a                                                               
tax  penalty.   Specifically, HB  1 is  proposing to  establish a                                                               
state policy  that a person  has the  right to accept  or decline                                                               
any  offered  mode  of   obtaining  healthcare  services  without                                                               
penalty or threat of penalty.   She also noted that a change made                                                               
in  a  prior  committee  specifies   that  as  used  in  proposed                                                               
AS 44.99.130,  the term,  "penalty" does  not mean  liability for                                                               
the cost of healthcare services.                                                                                                
                                                                                                                                
VICE CHAIR THOMPSON, offering his  understanding that the bill is                                                               
intended  to   address  the  issue  of   [healthcare]  insurance,                                                               
expressed  dissatisfaction  that   the  bill's  language  instead                                                               
focuses   on   healthcare   services,  and   characterized   this                                                               
discrepancy as confusing.                                                                                                       
                                                                                                                                
MS.  SAWYER indicated  that the  bill was  written as  it was  in                                                               
order to specifically address provisions of the PPACA.                                                                          
                                                                                                                                
REPRESENTATIVE  HOLMES,  offering   her  understanding  that  the                                                               
stated goal of the  bill is to ensure that no  one be required to                                                               
have healthcare insurance,  pointed out that that's  not what the                                                               
language  of the  bill actually  says.   Unintended consequences,                                                               
therefore, could result from passage of HB 1.                                                                                   
                                                                                                                                
MS.  SAWYER, relaying  that HB  1 is  based on  model legislation                                                               
produced by the American Legislative  Exchange Council (ALEC) and                                                               
being  used  by  other  states,  agreed  to  research  the  issue                                                               
further.   In response to a  question, she said HB  1 was written                                                               
as if the PPACA is going to be found to be constitutional.                                                                      
                                                                                                                                
REPRESENTATIVE HOLMES pointed  out, though, that if  the PPACA is                                                               
found to be  constitutional, HB 1 would be preempted,  and if the                                                               
PPACA  is  found to  be  unconstitutional,  then  HB 1  won't  be                                                               
necessary.   Either  way, isn't  it that  the bill  will have  no                                                               
actual effect?                                                                                                                  
                                                                                                                                
MS. SAWYER  offered her understanding  that over 40  other states                                                               
thus far  have either passed  or are considering  passing similar                                                               
legislation.   The hope  is that "all  off this"  will illustrate                                                               
that a number of states  disagree that the federal government has                                                               
the  right  to  mandate  that a  person  either  have  healthcare                                                               
insurance or pay a tax penalty.                                                                                                 
                                                                                                                                
1:48:44 PM                                                                                                                    
                                                                                                                                
SIGNE  ANDERSON, Chief  Assistant  Attorney  General -  Statewide                                                               
Section  Supervisor,  Commercial/Fair   Business  Section,  Civil                                                               
Division (Anchorage), Department of  Law (DOL), concurred that if                                                               
the  PPACA  is found  to  be  constitutional, federal  preemption                                                               
would be an issue, but relayed  that she was not prepared at this                                                               
point in time to say that the bill would have no effect at all.                                                                 
                                                                                                                                
REPRESENTATIVE HOLMES pointed out  that regardless of whether the                                                               
PPACA  is found  to be  unconstitutional, if  passed, HB  1 would                                                               
still  be in  effect and  therefore could  still have  unintended                                                               
consequences,  particularly  given   that  its  language  broadly                                                               
refers  to  healthcare services  in  general.    If the  bill  is                                                               
intended as  a statement of  disagreement over provisions  of the                                                               
PPACA, Alaska is already a  party in the federal lawsuit, Florida                                                             
et al v.  United States Department of Health  and Human Services,                                                             
and so  what more  of a  statement of  disagreement than  that is                                                               
necessary?                                                                                                                      
                                                                                                                                
REPRESENTATIVE GRUENBERG  asked why the  bill, via Section  1, is                                                               
proposing to  add a short  title to  uncodified law.   He offered                                                               
his understanding that except  in situations involving interstate                                                               
compacts and uniform  Acts, providing for a short  title was just                                                               
not  done.   He asked  whether the  [joint prime  sponsors] would                                                               
object to deleting Section 1 of HB 1.                                                                                           
                                                                                                                                
MS. SAWYER,  noting [the joint prime  sponsors'] absence, relayed                                                               
that she  would be unable  to speak for  [them] on this  issue at                                                               
this time.                                                                                                                      
                                                                                                                                
REPRESENTATIVE   GRUENBERG  expressed   a   preference  for   not                                                               
including  a  short-title  provision.     Observing,  then,  that                                                               
proposed AS  44.99.130(b)(2) says that the  proposed state policy                                                               
may  not  impair  a  contract   right  that  provides  healthcare                                                               
services, he asked whether any  federal law requiring a person to                                                               
have or  purchase healthcare insurance  would simply  become part                                                               
of  [employment]  contracts  as  an  "implied-in-law"  provision,                                                               
thereby rendering HB 1's proposed state policy inapplicable.                                                                    
                                                                                                                                
MS. ANDERSON - noting that  under Alaska's insurance laws, such a                                                               
requirement  by  the  state  would  be  implied  in  [employment]                                                               
contracts - relayed  that due to her  nescience regarding federal                                                               
jurisprudence, she  is unable to  say whether such would  also be                                                               
the case with federal law.                                                                                                      
                                                                                                                                
REPRESENTATIVE GRUENBERG  surmised, then,  that that  issue still                                                               
needs clarification, particularly if  the PPACA does contain such                                                               
a requirement.                                                                                                                  
                                                                                                                                
REPRESENTATIVE HOLMES asked whether  the Department of Health and                                                               
Social Services has any concerns that  HB 1 would have a negative                                                               
impact on other federal programs such as Medicaid or Medicare.                                                                  
                                                                                                                                
1:57:07 PM                                                                                                                    
                                                                                                                                
JON  SHERWOOD, Medicaid  Special  Projects,  Medicaid and  Health                                                               
Care  Policy, Division  of Health  Care  Services, Department  of                                                               
Health and Social Services (DHSS), said  he is unable to speak to                                                               
the question of whether Medicare  would be impacted, because it's                                                               
a  federal  program  that  the   DHSS  is  not  involved  in  the                                                               
administration of,  but with  regard to  the question  of whether                                                               
the  bill  would  impact  other  state,  and  state  and  federal                                                               
programs -  such as  Medicaid - he  said he'd  specifically asked                                                               
the Department  of Law (DOL)  whether the exemption  provided for                                                               
via proposed AS 44.99.130(b)(1) would  be adequate for the DHSS's                                                               
purposes,  including its  child support  enforcement efforts  - a                                                               
linked requirement  for certain  assistance programs  -   and the                                                               
DOL assured him  that the exemption was adequate  for the purpose                                                               
of allowing the DHSS to  continue administering its programs.  In                                                               
response to  another question, he  said it was  his understanding                                                               
that the PPACA's  tax penalty would apply to  someone who doesn't                                                               
have  health   insurance  or  some   other  means   of  obtaining                                                               
healthcare -  such as  through the  Indian Health  Service (IHS),                                                               
for example  - and  that that's  why the  bill uses  [the phrase,                                                               
"mode of obtaining health care services"].                                                                                      
                                                                                                                                
REPRESENTATIVE HOLMES  shared her concern that  regardless of the                                                               
joint prime sponsors' intent, the  language of the proposed state                                                               
policy  could be  interpreted as  allowing  for something  that's                                                               
contrary to public policy or current law.                                                                                       
                                                                                                                                
VICE CHAIR  THOMPSON, reiterating  his concern that  the proposed                                                               
state   policy   doesn't    specifically   reference   healthcare                                                               
insurance, again characterized this lack as confusing.                                                                          
                                                                                                                                
REPRESENTATIVE  GRUENBERG  questioned   whether  the  bill  isn't                                                               
simply stating legislative intent.                                                                                              
                                                                                                                                
MS. SAWYER  said she is  unable to  speak to whether  that's what                                                               
the drafter  intended when he  chose to address [the  joint prime                                                               
sponsors'  concerns  about  the  PPACA] via  the  proposed  state                                                               
policy.                                                                                                                         
                                                                                                                                
REPRESENTATIVE GRUENBERG  said that's how he  is interpreting the                                                               
bill, and  is therefore questioning  how, as a  practical matter,                                                               
[the  proposed state  policy]  would be  applied  and whether  it                                                               
establishes a statutory right.                                                                                                  
                                                                                                                                
MR. SHERWOOD indicated that because  of the exemption laid out in                                                               
proposed AS  44.99.130(b)(1) and because the  programs offered by                                                               
[the DHSS] are  generally authorized via statute,  the DHSS would                                                               
not be  bound by HB  1's proposed state  policy, and this  is why                                                               
the DHSS submitted a zero fiscal note for HB 1.                                                                                 
                                                                                                                                
2:07:01 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG asked  what  the  joint prime  sponsors                                                               
intend for the bill to actually do.                                                                                             
                                                                                                                                
MS.  SAWYER, in  response, said  the joint  prime sponsors  don't                                                               
believe  an   individual  should  be  mandated   by  the  federal                                                               
government to purchase a particular  product, and instead believe                                                               
that to then  penalize that individual for not doing  so would be                                                               
another error.                                                                                                                  
                                                                                                                                
REPRESENTATIVE  GRUENBERG  pointed  out, though,  that  it's  the                                                               
federal   courts  that   are  responsible   for  addressing   the                                                               
provisions  of the  PPACA and  any constitutional  questions that                                                               
arise.   Given  that under  the  Supremacy Clause,  the state  is                                                               
required  to follow  federal mandates,  wouldn't the  joint prime                                                               
sponsors' beliefs regarding  the PPACA be better  addressed via a                                                               
house joint  resolution urging the  federal government  to change                                                               
the PPACA,  or urging  the state to  challenge the  provisions of                                                               
the PPACA?   "I  don't think  that this has  any authority  -- we                                                               
can't ... have the kind of  effect on federal law and the federal                                                               
Constitution that you're  saying you want this bill  to have," he                                                               
concluded.                                                                                                                      
                                                                                                                                
MS.  SAWYER  offered  [the joint  prime  sponsors'  belief]  that                                                               
healthcare  insurance  isn't  something  the  federal  government                                                               
should be mandating, that that  duty instead lies with the state.                                                               
To address the  concern about the language of  the proposed state                                                               
policy  possibly  being  interpreted as  allowing  for  something                                                               
that's contrary to  public policy or current law,  she noted that                                                               
proposed   AS  44.99.130(c)(2)   defines  the   term,  "mode   of                                                               
obtaining"  in part  as  meaning  directly purchasing  healthcare                                                               
services from a healthcare provider.                                                                                            
                                                                                                                                
2:11:17 PM                                                                                                                    
                                                                                                                                
PATRICK  LUBY, Advocacy  Director, AARP  Alaska, stated  that the                                                               
AARP opposes HB 1.  He  then offered his belief that individuals,                                                               
businesses,  and government  entities/programs that  have, offer,                                                               
or administer a healthcare insurance  plan, end up picking up the                                                               
shifted  healthcare  costs  incurred   by  the  uninsured.    Not                                                               
complying with the  provisions of the PPACA will  only allow this                                                               
practice of cost-shifting  to continue, and for  this reason, the                                                               
AARP  is requesting  a "No"  vote  on HB  1.   In  response to  a                                                               
question,  he  offered  his belief  that  the  possible  benefits                                                               
afforded by the provisions of  the PPACA won't be realized unless                                                               
everyone  participates  -  that's  the  whole  purpose  of  group                                                               
healthcare  insurance;  the  more   people  who  have  healthcare                                                               
insurance, the less healthcare  services and healthcare insurance                                                               
will cost everybody.  In response  to other questions, he said he                                                               
agrees  that  everyone  should be  mandated  to  have  healthcare                                                               
insurance, but  acknowledged that  to some  extent, cost-shifting                                                               
also occurs  when particular individuals -  regardless of whether                                                               
they    already    have    healthcare   insurance    -    require                                                               
expensive/extensive healthcare services.                                                                                        
                                                                                                                                
REPRESENTATIVE  KELLER suggested  that  because  the AARP  offers                                                               
supplemental  Medicare  insurance, Mr.  Luby  has  a conflict  of                                                               
interest.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  HOLMES   pointed  out,  though,  that   those  on                                                               
Medicare  would   be  considered   to  already   have  healthcare                                                               
insurance  and  thus wouldn't  be  required  under the  PPACA  to                                                               
purchase more  healthcare insurance,  either through the  AARP or                                                               
elsewhere.                                                                                                                      
                                                                                                                                
2:17:32 PM                                                                                                                    
                                                                                                                                
VICE CHAIR THOMPSON,  after ascertaining that no  one else wished                                                               
to testify, closed  public testimony on HB 1,  and announced that                                                               
HB 1 would be held over.                                                                                                        
                                                                                                                                
REPRESENTATIVE  KELLER  offered  his  belief that  under  HB  1's                                                               
proposed  state  policy, a  person  employed  by a  company  that                                                               
provides its  employees with healthcare  services would  have the                                                               
right to either  accept or decline such  services without penalty                                                               
or threat of  penalty.  In conclusion, he said  he would like the                                                               
legislature  to establish  the right  policy for  Alaska and  its                                                               
citizens.                                                                                                                       
                                                                                                                                
[HB 1, Version B, was held over.]                                                                                               
                                                                                                                                
                    HB 6 - REMOVING A REGENT                                                                                
                                                                                                                                
2:19:56 PM                                                                                                                    
                                                                                                                                
VICE CHAIR  THOMPSON announced that  the final order  of business                                                               
would be  HOUSE BILL NO. 6,  "An Act authorizing the  governor to                                                               
remove  or suspend  a  member  of the  Board  of  Regents of  the                                                               
University  of   Alaska  for  good  cause;   and  establishing  a                                                               
procedure for  the removal or  suspension of a regent."   [Before                                                               
the committee was  CSHB 6(EDC); left pending from  the hearing on                                                               
March 21,  2011, was the  motion to adopt the  proposed committee                                                               
substitute (CS) for HB 6,  Version 27-LS0027\T, Mischel, 2/25/11,                                                               
as the  working document; included  in members packets was  a new                                                               
proposed  committee  substitute  (CS)   for  HB  6,  Version  27-                                                               
LS0027\R, 3/25/11.]                                                                                                             
                                                                                                                                
2:20:11 PM]                                                                                                                   
                                                                                                                                
REPRESENTATIVE PRUITT  moved to adopt  the proposed CS for  HB 6,                                                               
Version 27-LS0027\R, 3/25/11 as the working document.                                                                           
                                                                                                                                
REPRESENTATIVE HOLMES objected for the purpose of discussion.                                                                   
                                                                                                                                
2:20:46 PM                                                                                                                    
                                                                                                                                
TED  MADSEN, Staff,  Representative Max  Gruenberg, Alaska  State                                                               
Legislature, on behalf of  the sponsor, Representative Gruenberg,                                                               
explained that  Version R incorporates  three changes.   Proposed                                                               
AS 14.40.155(a)(3)  now uses the  phrase, "an  accusation" rather                                                               
than  the phrase  "a complaint";  this new  language conforms  to                                                               
that  used by  the Department  of Law  (DOL) with  regard to  the                                                               
state's  personnel  board.     Proposed  AS  14.40.155(g)(1)  now                                                               
includes  the   additional  wording   of,  "that  results   in  a                                                               
recommendation  of   removal  under  AS   39.52.410(b)(3)";  this                                                               
additional language should  ensure that only the  most serious of                                                               
such  violations may  constitute  good cause  for  removal.   And                                                               
proposed  AS  14.40.155(g)(4)(B)   now  includes  the  additional                                                               
wording of,  "for an  extended period  of time";  this additional                                                               
wording should  ensure that  an inability to  serve for  just one                                                               
meeting, for example, wouldn't constitute grounds for removal.                                                                  
                                                                                                                                
REPRESENTATIVE HOLMES removed her objection.                                                                                    
                                                                                                                                
VICE  CHAIR   THOMPSON,  noting   that  there  were   no  further                                                               
objections, announced that Version R was before the committee.                                                                  
                                                                                                                                
MR.  MADSEN, to  briefly  recap,  explained that  HB  6 has  been                                                               
introduced  in response  to  an incident  that  occurred back  in                                                               
2007, when a member of the  Board of Regents of the University of                                                               
Alaska was indicted  on many counts of fraud  and embezzlement of                                                               
federal funds  [but refused  to resign  his position  as regent].                                                               
Inquiries by various legislative  committees at the time revealed                                                               
that the  Board of Regents  didn't have  a procedure in  place by                                                               
which to remove a regent.  To  date, the Board of Regents has yet                                                               
to  adopt such  a procedure.   House  Bill 6  would insulate  the                                                               
university  from any  cloud  of suspicion,  and  ensure that  the                                                               
university remains free  from political pressure.  Under  HB 6, a                                                               
regent could only be removed or suspended for good cause.                                                                       
                                                                                                                                
2:24:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER  referred to a proposed  amendment included                                                               
in members' packets that read [original punctuation provided]:                                                                  
                                                                                                                                
     Page 2 line 5                                                                                                              
                                                                                                                                
     Delete all language and insert                                                                                             
                                                                                                                                
     05  (1)  clarify that the governor may remove a regent                                                                     
      for good cause, or a determination that the good of                                                                       
     the university requires it;                                                                                                
                                                                                                                                
REPRESENTATIVE KELLER  noted that  currently the  bill authorizes                                                               
the governor to remove a regent  only for "good cause", with that                                                               
concept then being defined in  terms of actions undertaken by the                                                               
regent,  and asked  why the  bill  wasn't written  such that  the                                                               
governor could simply  remove a regent if he/she  thinks doing so                                                               
would be  good for the university.   With some other  boards, for                                                               
example, members serve at the pleasure of the governor.                                                                         
                                                                                                                                
REPRESENTATIVE  GRUENBERG,  speaking  as the  sponsor,  explained                                                               
that  the  University  of  Alaska   was  set  up  as  a  separate                                                               
constitutional entity, with its  Board of Regents being different                                                               
than other  boards or commissions,  which fall under  the purview                                                               
of the executive  branch.  Under Article III, Section  26, of the                                                               
Alaska State Constitution, the members  of those other boards and                                                               
commissions may  be removed as  provided by law.   [Under Article                                                               
VII, Section  3, of  the Alaska  State Constitution,  regents are                                                               
also  appointed  by  the  governor  and  subject  to  legislative                                                               
confirmation,  but  in  contrast, that  constitutional  provision                                                               
doesn't  directly address  the removal  of a  regent and  instead                                                               
mandates  that   the  Board  of   Regents  formulate   policy  in                                                               
accordance with  law.   Again, the  Board of  Regents has  yet to                                                               
exercise] this  inherent constitutional authority to  establish a                                                               
policy for  removing a  regent for  good cause,  and so  the only                                                               
option  currently is  for  the legislature  to  conduct a  formal                                                               
impeachment  proceeding, but  such  proceedings,  in addition  to                                                               
being cumbersome,  are not practical  given that  the legislature                                                               
meets for  only part of the  year.  He offered  his understanding                                                               
that members' packets include a legal opinion to this effect.                                                                   
                                                                                                                                
REPRESENTATIVE  GRUENBERG,  referring,   then,  to  the  proposed                                                               
amendment, said he  is concerned that it would  subject the Board                                                               
of  Regents   to  potential  political  pressure   and  political                                                               
interpretation regarding  what would constitute "the  good of the                                                               
university" in the eyes of  the governor, particularly given that                                                               
in the  Alaska State  Constitution, the  university has  been set                                                               
apart  from the  executive branch  of government.   The  proposed                                                               
amendment would therefore be  subject to constitutional challenge                                                               
and likely be found unconstitutional, he predicted.                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER asked  of Legislative  Legal and  Research                                                               
Services whether, if the committee were  to choose to allow, as a                                                               
matter of  policy, for the  removal of  a regent by  the governor                                                               
for the  good of the  university, that would  pass constitutional                                                               
muster, and whether  there is currently a way to  remove a regent                                                               
because of some wrong that the regent is accused of committing.                                                                 
                                                                                                                                
2:31:01 PM                                                                                                                    
                                                                                                                                
JEAN  MISCHEL, Attorney,  Legislative Legal  Counsel, Legislative                                                               
Legal and  Research Services,  Legislative Affairs  Agency (LAA),                                                               
ventured that impeachment would be  one way of removing a regent,                                                               
and  offered  her belief  that  currently  the governor  has  the                                                               
implied  authority to  remove  any regent,  and  that nothing  in                                                               
current case law  or the Alaska State  Constitution prohibits the                                                               
governor  from removing  a regent  under the  governor's inherent                                                               
appointment authority.   The legislature's options  are to either                                                               
clarify  that   point  in  statute  and   risk  a  constitutional                                                               
challenge  over  separation  of power,  or  change  Article  VII,                                                               
Section  3, of  the Alaska  State Constitution  to allow  for the                                                               
removal of a regent as provided by law.                                                                                         
                                                                                                                                
VICE CHAIR THOMPSON asked whether the governor supports HB 6.                                                                   
                                                                                                                                
MS. MISCHEL relayed that she wasn't able to say.                                                                                
                                                                                                                                
2:33:28 PM                                                                                                                    
                                                                                                                                
JUDY BOCKMAN, Assistant Attorney  General, State Ethics Attorney,                                                               
Opinions,   Appeals,  &   Ethics,  Civil   Division  (Anchorage),                                                               
Department of  Law (DOL),  relayed that she  wasn't able  to say,                                                               
either.                                                                                                                         
                                                                                                                                
VICE CHAIR THOMPSON  asked whether passage of HB  6 would provide                                                               
the governor  with the  immediate authority  to suspend  a regent                                                               
and have  that suspension  remain in effect  until the  regent is                                                               
cleared in a hearing.                                                                                                           
                                                                                                                                
MS. BOCKMAN said she was unable to say.                                                                                         
                                                                                                                                
REPRESENTATIVE GRUENBERG offered his belief  that passage of HB 6                                                               
would provide that authority.   [Under proposed AS 14.40.155(b),]                                                               
the  governor  could  remove  a  regent  for  good  cause,  [with                                                               
proposed  AS 14.40.155(g)  defining  what  would constitute  good                                                               
cause]; some  examples are felony convictions,  or malfeasance or                                                               
nonfeasance in  office, including an  inability to serve  [for an                                                               
extended period  of time.   Under proposed AS  14.40.155(a)], the                                                               
governor,  after  providing  notice  and  an  opportunity  for  a                                                               
hearing,  could  suspend  a regent  while  final  disposition  on                                                               
certain  issues  is  pending;  one  example  would  be  a  felony                                                               
indictment.  With  regard to suspensions, either  the governor or                                                               
the regent could  request a hearing, which would  be conducted by                                                               
the Office of Administrative Hearings.                                                                                          
                                                                                                                                
REPRESENTATIVE GRUENBERG,  regarding the question of  whether the                                                               
governor   supports   HB   6,   mentioned   that   the   previous                                                               
administration had  assisted in drafting a  previous iteration of                                                               
the bill,  and that  no one from  the current  administration has                                                               
expressed concern about HB 6.                                                                                                   
                                                                                                                                
2:37:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER  asked Representative Gruenberg  whether he                                                               
would  be  amenable to  altering  the  bill  such that  it  would                                                               
provide the  governor with a means  of removing a regent  for the                                                               
good of  the university, or whether  he would prefer to  keep the                                                               
bill's  current limitation  of removing  a regent  only for  good                                                               
cause.                                                                                                                          
                                                                                                                                
REPRESENTATIVE  GRUENBERG offered  his  belief that  from both  a                                                               
policy  perspective and  a constitutional-law  perspective, there                                                               
should be  specific guidelines  set out in  the bill  rather than                                                               
just  a vague  and standard-less  delegation of  authority.   The                                                               
language  in   the  proposed  amendment   -  "the  good   of  the                                                               
university" - goes  beyond what he would be  comfortable with, he                                                               
relayed,  because  adoption  of  such language  would  allow  the                                                               
governor to  impose his/her political will  simply because he/she                                                               
disapproves of certain  decisions made by the Board  of Regents -                                                               
for example, how  many football scholarships to provide  for.  It                                                               
would  therefore  be unwise  to  adopt  such vague  language,  he                                                               
opined,   surmising    that   it    would   probably    also   be                                                               
unconstitutional.                                                                                                               
                                                                                                                                
REPRESENTATIVE  GRUENBERG  pointed  out  that  even  proposed  AS                                                               
14.40.155(g)(4)   -   which   currently  lists   malfeasance   or                                                               
nonfeasance in office as one meaning  of the term, "good cause" -                                                               
further  outlines   in  its  subparagraphs  (A)-(E)   what  would                                                               
constitute malfeasance  or nonfeasance in office,  and regardless                                                               
that some  of those  items are subjective,  a nexus  is required.                                                               
In  other words,  there must  be a  finding that  the regent  had                                                               
either done  something or  failed to do  something and  that that                                                               
action  or failure  to act  was connected  with the  duty of  the                                                               
regent.                                                                                                                         
                                                                                                                                
REPRESENTATIVE KELLER  indicated a  preference for  ensuring that                                                               
the  legislature, along  with the  executive branch,  be able  to                                                               
provide input regarding the university and its Board of Regents.                                                                
                                                                                                                                
REPRESENTATIVE GRUENBERG  expressed a  preference for  setting up                                                               
some sort  of procedure now,  regardless that  it may not  yet be                                                               
perfect,  that would  allow for  the  removal a  regent for  good                                                               
cause.   Doing something  now would  ensure that  the legislature                                                               
isn't put  in the same  position it found  itself in a  few years                                                               
ago, when a  regent was indicted on criminal  charges but refused                                                               
to resign his position.                                                                                                         
                                                                                                                                
REPRESENTATIVE  KELLER -  mentioning that  he wouldn't  be moving                                                               
the proposed  amendment because he  agrees that it's too  broad -                                                               
requested that  the bill not  be reported from committee  at this                                                               
time.   He  indicated,  however,  that he  would  be amenable  to                                                               
reporting the  bill from committee  if that was the  vice chair's                                                               
preference.                                                                                                                     
                                                                                                                                
2:44:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER then  made a  motion to  adopt [Conceptual                                                               
Amendment 1], which read [original punctuation provided]:                                                                       
                                                                                                                                
     Page 2, line 14                                                                                                            
     after the word "suspend"                                                                                                   
     Add                                                                                                                        
     14        ...with or without pay....                                                                                       
                                                                                                                                
REPRESENTATIVE PRUITT objected for the purpose of discussion.                                                                   
                                                                                                                                
REPRESENTATIVE  KELLER explained  that  [Conceptual Amendment  1]                                                               
would address situations in which  the governor wishes to suspend                                                               
a regent without pay.                                                                                                           
                                                                                                                                
MR.  MADSEN  relayed that  information  he's  been provided  with                                                               
indicates  that regents  do not  receive pay  for serving  on the                                                               
Board of Regents  but instead receive per diem  when traveling to                                                               
meetings, and since a suspended  regent wouldn't be attending any                                                               
meetings  during the  period of  suspension,  he/she wouldn't  be                                                               
entitled to per diem.                                                                                                           
                                                                                                                                
REPRESENTATIVE KELLER withdrew [Conceptual Amendment 1].                                                                        
                                                                                                                                
REPRESENTATIVE  KELLER  then  mentioned  that  he  would  not  be                                                               
offering another proposed amendment  he'd had drafted [that would                                                               
also have  provided for the removal  of a regent for  the good of                                                               
the university].                                                                                                                
                                                                                                                                
VICE CHAIR THOMPSON,  after ascertaining that no  one else wished                                                               
to testify, closed public testimony on HB 6.                                                                                    
                                                                                                                                
2:46:57 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG moved  to  report the  proposed CS  for                                                               
HB 6,  Version 27-LS0027\R,  Mischel, 3/25/11,  out of  committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.                                                                                                                          
                                                                                                                                
REPRESENTATIVE  KELLER  objected,  expressing a  preference  that                                                               
more research be conducted on  the bill before it's reported from                                                               
committee.                                                                                                                      
                                                                                                                                
REPRESENTATIVE  GRUENBERG, in  response,  relayed  that he  would                                                               
continue working on the bill  to try to address members' concerns                                                               
about it.                                                                                                                       
                                                                                                                                
2:49:01 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken.  Representatives  Pruitt, Thompson,                                                               
Gruenberg, and Holmes  voted in favor of reporting  the bill from                                                               
committee.   Representative Keller voted against  it.  Therefore,                                                               
CSHB  6(JUD) was  reported out  of the  House Judiciary  Standing                                                               
Committee by a vote of 4-1.                                                                                                     
                                                                                                                                
2:49:43 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Judiciary Standing Committee meeting was adjourned at 2:50 p.m.                                                                 
| Document Name | Date/Time | Subjects | 
|---|---|---|
| HB168 Proposed Amendment B.2 03-29-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB 168 | 
| HB1 CS Version B 04-01-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB   1 | 
| HB6 CS Version R WORK DRAFT 03-25-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB   6 | 
| HB6 Draft Amendment Keller 1 03-21-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB   6 | 
| HB6 Draft Amendment Keller 2 04-04-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB   6 | 
| HB6 Draft Amendment Keller 3 04-04-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB   6 | 
| HB6 Explanation of Changes Version T to R 04-04-11.pdf | HJUD       4/4/2011 1:00:00 PM | HB   6 |