Legislature(1995 - 1996)
02/14/1996 03:13 PM House L&C
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE LABOR AND COMMERCE STANDING COMMITTEE
February 14, 1996
3:13 p.m.
MEMBERS PRESENT
Representative Pete Kott, Chairman
Representative Norman Rokeberg, Vice Chairman
Representative Beverly Masek
Representative Jerry Sanders
Representative Brian Porter
Representative Kim Elton
Representative Gene Kubina
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
HOUSE BILL NO. 369
"An Act extending to certain partnerships and corporations the 10
percent procurement preference currently given to certain sole
proprietorships who are Alaska bidders and owned by persons with
disabilities."
- PASSED OUT OF COMMITTEE
*HOUSE BILL NO. 134
"An Act repealing vegetable dealer licensing and regulation."
- BILL HEARING CANCELLED
*HOUSE BILL NO. 456
"An Act relating to the Board of Storage Tank Assistance; and
providing for an effective date."
- HEARD AND HELD
HOUSE BILL NO. 311
"An Act repealing the limitation on the hours a person may be
employed in a mine; and making a related technical amendment to
avoid changing the penalties for failing to make payments into an
employee benefit fund."
- HEARD AND HELD
*HOUSE BILL NO. 253
"An Act relating to the purchase of authentic Native handicrafts on
certain licensed premises; and providing for an effective date."
- HEARD AND HELD
HOUSE BILL NO. 435
"An Act relating to employment contributions and to making the
state training and employment program a permanent state program;
and providing for an effective date."
- PASSED OUT OF COMMITTEE
HOUSE BILL NO. 266
"An Act relating to preferred provider agreements offered by
hospital or medical service corporations."
- HEARD AND HELD
(* First public hearing)
PREVIOUS ACTION
BILL: HB 369
SHORT TITLE: PROCUREMENT PREF FOR DISABLED
SPONSOR(S): REPRESENTATIVE(S) JAMES
JRN-DATE JRN-PG ACTION
12/29/95 2362 (H) PREFILE RELEASED
01/08/96 2362 (H) READ THE FIRST TIME - REFERRAL(S)
01/08/96 2363 (H) STATE AFFAIRS, LABOR & COMMERCE
01/18/96 (H) STA AT 08:00 AM CAPITOL 102
01/18/96 (H) MINUTE(STA)
01/23/96 (H) STA AT 08:00 AM CAPITOL 102
01/23/96 (H) MINUTE(STA)
01/24/96 2520 (H) STA RPT 7DP
01/24/96 2520 (H) DP: JAMES, PORTER, GREEN, IVAN,
01/24/96 2520 (H) ROBINSON, WILLIS, OGAN
01/24/96 2521 (H) 2 ZERO FISCAL NOTES (ADM, DOE)
01/24/96 2521 (H) REFERRED TO LABOR & COMMERCE
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 456
SHORT TITLE: BOARD OF STORAGE TANK ASSISTANCE
SPONSOR(S): LABOR & COMMERCE
JRN-DATE JRN-PG ACTION
01/30/96 2569 (H) READ THE FIRST TIME - REFERRAL(S)
01/30/96 2569 (H) LABOR & COMMERCE, FINANCE
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 134
SHORT TITLE: REPEAL VEGETABLE DEALER LICENSING
SPONSOR(S): REPRESENTATIVE(S) THERRIAULT, Toohey, Porter, Kott,
Kohring
JRN-DATE JRN-PG ACTION
01/27/95 158 (H) READ THE FIRST TIME - REFERRAL(S)
01/27/95 158 (H) LABOR AND COMMERCE
02/01/95 210 (H) COSPONSOR(S): KOTT
02/03/95 243 (H) COSPONSOR(S): KOHRING
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 311
SHORT TITLE: REPEAL LIMIT ON HOURS EMPLOYED IN MINES
SPONSOR(S): REPRESENTATIVE(S) VEZEY,Toohey,Martin
JRN-DATE JRN-PG ACTION
04/18/95 1351 (H) READ THE FIRST TIME - REFERRAL(S)
04/18/95 1351 (H) LABOR & COMMERCE, JUDICIARY
01/24/96 (H) L&C AT 03:00 PM CAPITOL 17
01/24/96 (H) MINUTE(L&C)
02/07/96 (H) L&C AT 03:00 PM CAPITOL 17
02/07/96 (H) MINUTE(L&C)
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 253
SHORT TITLE: BAN CRAFT BUYING ON LIQUOR PREMISES
SPONSOR(S): REPRESENTATIVE(S) NICHOLIA
JRN-DATE JRN-PG ACTION
03/15/95 741 (H) READ THE FIRST TIME - REFERRAL(S)
03/15/95 741 (H) LABOR & COMMERCE, JUDICIARY, FINANCE
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 435
SHORT TITLE: STATE TRAINING & EMPLOYMENT PROGRAM
SPONSOR(S): RULES BY REQUEST OF THE GOVERNOR
JRN-DATE JRN-PG ACTION
01/19/96 2488 (H) READ THE FIRST TIME - REFERRAL(S)
01/19/96 2488 (H) LABOR & COMMERCE, HES, STA, FINANCE
01/19/96 2488 (H) 3 FISCAL NOTES (2-DCRA, LABOR)
01/19/96 2488 (H) GOVERNOR'S TRANSMITTAL LETTER
02/07/96 (H) L&C AT 03:00 PM CAPITOL 17
02/07/96 (H) MINUTE(L&C)
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 266
SHORT TITLE: HEALTH CARE PREFERRED PROVIDER PROGRAMS
SPONSOR(S): LABOR & COMMERCE BY REQUEST
JRN-DATE JRN-PG ACTION
03/17/95 778 (H) READ THE FIRST TIME - REFERRAL(S)
03/17/95 779 (H) LABOR & COMMERCE, HES, JUDICIARY
04/12/95 (H) L&C AT 03:00 PM CAPITOL 17
04/12/95 (H) MINUTE(L&C)
04/24/95 (H) L&C AT 03:00 PM CAPITOL 17
04/24/95 (H) MINUTE(L&C)
04/26/95 (H) L&C AT 03:00 PM CAPITOL 17
04/26/95 (H) MINUTE(L&C)
04/26/95 (H) MINUTE(L&C)
08/30/95 (H) L&C AT 09:00 AM
08/30/95 (H) MINUTE(L&C)
09/27/95 (H) L&C AT 09:00 AM JUNEAU LIO
09/27/95 (H) MINUTE(L&C)
02/14/96 (H) L&C AT 03:00 PM CAPITOL 17
WITNESS REGISTER
DUGAN PETTY, Director
Central Office
Division of General Services
Department of Administration
P.O. Box 110210
Juneau, Alaska 99811-0210
Telephone: (907) 465-2250
POSITION STATEMENT: Testified in support of HB 369.
REPRESENTATIVE JEANNETTE JAMES
Alaska State Legislature
Capitol Building, Room 102
Juneau, Alaska 99801
Telephone: (907) 465-3743
POSITION STATEMENT: Sponsor of HB 369
DWAYNE FRENCH, Director
Statewide Programs
Division of Vocational
Rehabilitation Services
Department of Education
801 West Tenth Street, Suite 200
Juneau, Alaska 99801-1894
POSITION STATEMENT: Testified in support of HB 369.
GEORGE DOZIER, Committee Aide
House Labor and Commerce Committee
Alaska State Legislature
Capitol Building, Room 432
Juneau, Alaska 99801
Telephone: (907) 465-4954
POSITION STATEMENT: Presented HB 456.
JOHN BARNETT, Executive Director
Board of Storage Tank Assistance
Division of Spill Prevention and Response
Department of Environmental Conservation
410 Willoughby Avenue, Suite 105
Juneau, Alaska 99801-1795
POSITION STATEMENT: Testified in support of HB 456.
JIM HAYDEN, Program Manager
Storage Tank Program
Division of Spill Prevention and Response
Department of Environmental Conservation
410 Willoughby Avenue, Suite 105
Juneau, Alaska 99801-1795
POSITION STATEMENT: Testified on HB 456.
REPRESENTATIVE AL VEZEY
Alaska State Legislature
Capitol Building, Room 216
Juneau, Alaska 99801
Telephone: (907) 465-3719
POSITION STATEMENT: Sponsor of HB 311.
DON ETHERIDGE
Alaska District Council of Laborers
710 West 9th Street
Juneau, Alaska 99801
Telephone: (907) 586-3707
POSITION STATEMENT: Testified on HB 311.
JOE THOMAS
Laborers Local 962
315 Barnette Street
Fairbanks, Alaska 99701
Telephone: (907) 452-3139
POSITION STATEMENT: Testified in HB 311.
MARY SATTLER, Legislative Intern
to Representative Nicholia
Alaska State Legislature
Capitol Building, Room 501
Telephone: (907) 465-2197
POSITION STATEMENT: Gave sponsor statement for HB 253.
ANNE CARPENETI, Assistant Attorney General
Central Office
Criminal Division
Department of Law
P.O. Box 110300
Juneau, Alaska 99811-0300
POSITION STATEMENT: Testified on HB 253.
DWIGHT PERKINS, Special Assistant
Office of the Commissioner
Department of Labor
P.O. Box 21149
Juneau, Alaska 99802-1149
Telephone: 465-2700
POSITION STATEMENT: Testified in support of HB 435.
MARK MICKELSON, Manager
JTPA/SDA Program
Division of Community and Regional Development
Department of Community and Regional Affairs
P.O. Box 112100
Juneau, Alaska 99811-2100
Telephone: (907) 465-4891
POSITION STATEMENT: Testified in support of HB 435.
ACTION NARRATIVE
TAPE 96-8, SIDE A
Number 001
The House Labor and Commerce Standing Committee was called to order
by Chairman Pete Kott at 3:13 p.m. Members present at the call to
order were Representatives Kott, Porter, Elton, Sanders and Kubina.
Representatives Masek and Rokeberg arrived at 3:17 p.m.
HB 369 - PROCUREMENT PREF FOR DISABLED
CHAIRMAN PETE KOTT announced the first order of business would be
HB 369, "An Act extending to certain partnerships and corporations
the 10 percent procurement preference currently given to certain
sole proprietorships who are Alaska bidders and owned by persons
with disabilities," sponsored by Representative James.
REPRESENTATIVE BRIAN PORTER said the bill was heard in the House
State Affairs Committee. He explained the bill provides to
disabled sole proprietors the same allowances that are given to
corporations and partnerships that are totally owned by disabled
people. The same allowances that are given to sole proprietorships
that are owned by people with disabilities. The bill provides the
opportunity for small businesses, in general terms, that are owned
and operated by people with disabilities to benefit from the
business structures of partnerships and corporations.
CHAIRMAN KOTT asked if there was discussion in the State Affairs
Committee as to what it is that the bill is trying to fix. He
noted it seems like this is similar legislation that was before the
Labor and Commerce Committee last year. He noted the bill was
introduced in December, 1995.
Number 327
DUGAN PETTY, Director, Central Office, Division of General
Services, Department of Administration, explained HB 369 is the
original version of HB 288 that was before the committee last year.
While HB 288 had some minor changes in the House Labor and Commerce
Committee, it did pass out of the committee. There were more
amendments adopted in the Senate. Some of those amendments had
nothing to do with anything that was in the bill. Those Senate
amendment caused the Governor to veto that bill. Mr. Petty
explained the Department of Administration supports the bill and
noted there is a zero fiscal note.
Number 450
REPRESENTATIVE JEANNETTE JAMES, Alaska State Legislature, came
before the committee to give her sponsor statement for HB 369. She
informed the committee the bill is identical to the bill that
passed through the House last year. She explained the House
Finance Committee attached an amendment regarding a procurement and
extension of leases that expired last year. It had the House,
Senate and the Administration's support. When the bill went to the
Senate, another amendment was added regarding the marine highway
which was controversial. In the end, the Governor vetoed the bill
because of the marine highway amendment. She said HB 369 is the
same as HB 288. She stated existing law allows severally disabled
people to have a bidders preference when they're doing business.
Existing law says they can do it if they're a sole proprietorship.
The bill allows them to also be a corporation, a partnership or
another entity besides the sole proprietorship, and of course, in
a corporation or a partnership all of the partners or shareholders
must also be severely disabled. She said the doesn't allow them to
have someone else come in, assist them and then just be a
spokesman, they have to manage their own business. There is no
reason they should be precluded from having the choice of the other
business entities that might give them either some insurance
protection and/or some tax advantage by having a corporation or a
partnership. Representative James stated it is a simple bill.
CHAIRMAN KOTT asked how many entities would qualify.
REPRESENTATIVE JAMES said she doesn't know, but there may be an
ability for people who are severely disabled to get some financing
if they could have a corporate or partnership structure. She said
it is possible for two seriously disabled people to go into
business and benefit from it. She informed the committee she
doesn't know an exact number but would say at least two dozen or
more.
Number 644
CHAIRMAN KOTT asked Representative James if anything has been done
to the title to ensure the amendment offered in the Senate won't be
added again.
REPRESENTATIVE JAMES explained the title is specific and talks
about exactly what the bill does.
Number 626
DWAYNE FRENCH, Director, Statewide Programs, Division of Vocational
Rehabilitation Services, Department of Education, testified in
support of HB 369 and commended Representative James for
introducing the bill. It does allow wholly owned corporations,
operated by people with disabilities, to gain the bidders
preference. The mission of his division is to encourage and
support Alaskans with significant disabilities in entering or
reentering the work force, and to be active productive members of
the community. This legislation would aide people with
disabilities to gain employment and have business that would be
able to get bids from the state.
Number 773
REPRESENTATIVE JERRY SANDERS pointed out Mr. French was one of his
constituents. He asked Mr. French if he wanted him to vote for the
bill. MR. FRENCH answered in the affirmative. Representative
Sanders said he would be happy to vote in favor of the bill.
MR. FRENCH corrected Representative Sander by saying he has moved
into Representative Porter's district.
CHAIRMAN KOTT asked Mr. FRENCH if he wishes for Representative
Porter to support the measure. He indicated he does.
Number 860
There being no further testimony, REPRESENTATIVE GENE KUBINA made
a motion to pass HB 369 out of committee with individual
recommendations. CHAIRMAN KOTT objected for the purpose of the
roll call vote so Mr. French would know who is on record in favor
of the bill.
Number 877
A roll call vote was taken. Representatives Sanders, Masek,
Porter, Kubina, Elton, Rokeberg and Kott voted in favor of moving
the bill. So HB 369 was passed out of the House Labor and Commerce
Committee.
HB 134 - REPEAL VEGETABLE DEALER LICENSING
Number 938
CHAIRMAN KOTT announced the committee schedule reflected that HB
134, "An Act repealing vegetable dealer licensing and regulation,"
was scheduled. He said that bill had been dealt with previously,
last year, and the bill is no longer before the committee at the
request of the prime sponsor. The prime sponsor didn't want to
rehash the issues.
HB 456 - BOARD OF STORAGE TANK ASSISTANCE
Number 952
CHAIRMAN KOTT announced the next order of business was HB 456,
"An Act relating to the Board of Storage Tank Assistance; and
providing for an effective date."
GEORGE DOZIER, Committee Aide, House Labor and Commerce Committee,
Alaska State Legislature, came before the committee. He explained
HB 456 is a sunset bill which addresses the Board of Storage Tank
Assistance. That board is due to sunset on June 30, 1996. The
bill accomplishes two things. First, it extends the date of the
board to June 30, 2000. It also adds another individual that
doesn't have a financial or other vested type interest in the
industry. He noted both portions of the bill are recommended by
the legislative auditors.
Number 1039
JOHN BARNETT, Executive Director, Board of Storage Tank Assistance,
Division of Spill Prevention and Response, Department of
Environmental Conservation (DEC), pointed out the board has one
employee, himself, and seven volunteer members. He informed the
committee that the board has issued about 650 grants and loans to
date and has close to 1,000 applications still pending. Mr.
Barnett said there is quite a few more years of work left in
getting lot of the sites cleaned up. He encouraged the passage of
HB 456.
Number 1074
REPRESENTATIVE PORTER asked Mr. Barnett if he has ever been
associated with a board or a group that has an even number rather
than an odd number.
MR. BARNETT said this will be a new experience. He said they will
probably have to enact bylaws whereby the chairman would only vote
in the case of a tie.
Number 1105
REPRESENTATIVE ELTON asked how the chairperson is picked. MR.
BARNETT explained the chairperson is chosen by a vote. He said
should HB 456 become law, the board will probably have to enact
bylaws prior to electing a new chair. Representative Elton said he
sees a problem with an even amount of members on a board. He said
if he were on the board, he wouldn't want to be a chair.
Number 1135
REPRESENTATIVE KUBINA pointed out that the bill didn't have a
fiscal note. He said if someone is going to be added to the board,
there would be travel expenses. He noted the bill probably needs
a small fiscal note. Representative Kubina questioned adding two
people to the board.
REPRESENTATIVE KOTT said they only want one additional person. He
also said the committee members didn't have a fiscal note. Before
the bill is forwarded to the next committee of referral, a fiscal
note will be contained in the packet.
Number 1175
MR. BARNETT said he believes a fiscal note was faxed to the
committee earlier in the day.
CHAIRMAN KOTT asked if the fiscal note was revenue neutral.
Number 1188
JIM HAYDEN, Program Manager, Storage Tank Program, Division of
Spill Prevention and Response, DEC, came before the committee. He
said a fiscal note was prepared and apologized for not getting it
to the committee sooner. Mr. Hayden said an analysis was done on
the required travel for the new position and found it could be
absorbed into the travel budget as it currently exists. Mr. Hayden
said the department sees the fiscal note as a zero fiscal note.
CHAIRMAN KOTT questioned the extent of the problems, statewide,
that still need to be addressed. MR. HAYDEN explained they have
about 800 applications currently ranked and on a waiting list. He
also said somewhere between $50 million and $60 million is needed.
Over the last couple of years, they have received appropriations
for about $2 million each year. It will take many many years to
take care of the problem. He noted they are also taking another
approach to this problem in that the department is modifying their
regulations to allow for a risk assessment in determining
alternative cleanup levels. Mr. Hayden said currently, they are
limited to a specific cleanup matrix and value. In the future,
they'll be able to, by risk assessment, set another value if there
is minimal risk. That should significantly reduce the costs of
cleanup. He said they expect that estimate to come down as they
implement the new regulations. It could be cut in half or maybe
more.
CHAIRMAN KOTT asked if there are new problems being identified on
an annual bases that is going to add to the current problems. MR.
HAYDEN said the deadline has come and gone in terms of submitting
applications. There is one other route that can be used to submit
an application and that is if someone is already on the waiting
list for an upgrade or closure grant for a tank system. He
explained there were standards due, in 1998, for upgrading all
tanks. There is a program and a waiting list for that. When
people do eventually get their grant to upgrade their tanks, if
they find contamination when digging up their tanks, then they can
submit a cleanup application. He noted the department does expect
some additional need when the tanks are upgraded.
CHAIRMAN KOTT asked if there is some kind of a strategy that has a
time certain as to when all the tanks are going to be upgraded.
MR. HAYDEN explained the upgrade schedule is set by law. The
facilities have to comply by the 1998 deadline either through a
system served by their own resources or by a combination of the
two. He said the department feels fairly certain that will happen.
It is more difficult to estimate the time required for cleanup. He
said realistically, he would expect beyond the year 2000, 2005
perhaps.
Number 1406
CHAIRMAN KOTT asked if there are federal monies associated with
this cleanup process. MR. HAYDEN informed the committee the
federal government hasn't released and money for this. There are
monies in what is called the leaking underground storage tank
(LUST) trust fund in Washington, D.C. Currently, there is a $700
million surplus in that fund. We each pay 1/10 of a cent into the
fund each time we fill up our gas tanks in our cars, but the
federal government has chosen not to release any of those monies to
the states in terms of cleanup for assistance to facilities.
CHAIRMAN KOTT referred to the 800 applications currently on file
and asked how the department determines priority. MR. HAYDEN said
they have a ranking system that has been developed over the last
four years. The last time the ranking system was revised was in
August, 1994, and it has numerous criteria. The most significant
would be their system of what they call the Alaska hazard ranking
model which takes into account a risk posed by a site. This is in
terms of cleanup. So risk factors into this heavily in terms of
who gets the grant first. In terms of upgrade and closure, there
are various criteria such as access to fuel and number of sites in
an area would be another. There are about ten criteria for each
program. He noted the cleanup waiting list is about 250 and the
upgrade and closure is about 600.
Number 1518
REPRESENTATIVE KUBINA asked how much money the legislature funded
last year for dealing with this issue. MR. HAYDEN said
approximately $2 million. Representative Kubina asked what is in
the Governor's budget this year. Mr. Hayden said they have asked
for a continuation amount.
Number 1533
REPRESENTATIVE ELTON referred to the audit report recommending
adding a public member and asked what the effect would be of
substituting a public member for one of the two owners or operators
of underground storage tank systems. MR. HAYDEN said he hasn't
thought about that. When he read the legislative audit report, he
felt the recommendation was a good one in terms of adding a
disinterested party because it would broaden the perspective. He
referred to the issue of having an even member board and said he
would like to get back to committee on the issue. Representative
Elton said it would be helpful to have that information and also
information on when the terms are completed of two members who
represent owners or operators of underground storage tanks.
Number 1622
MR. BARNETT explained there has always been a large and a small
tank owner on the board. That has provided an excellent balance
over the last few years. He said he wouldn't recommend removing
either of the two tank owners on the seven member board. The small
tank owner has always been sort of chosen from the small mom and
pop type facilities. He referred to the large tank owner, and
indicated the board has focused on large bulk fuel facility owners
who also owned underground tanks that met the criteria. The large
tank owner has been providing a lot of insight into trying to
resolve some of the rural tank and above ground tank problems that
the state is now (indisc.). At this time, removing one of the tank
owners from the board would probably not be a recommended action.
It is a fairly well balanced board. Mr. Barnett noted he believes
the board is flexible enough in its authorities that it could
handel working with an even numbered board.
REPRESENTATIVE ELTON asked Mr. Barnett if he feels that a public
member could be substituted for the engineer, the general
contractor or the insurance industry representative. MR. BARNETT
said all the members of the board were chosen for their technical
expertise. It would be very had to sacrifice any of those member's
skills, it would hurt the board from a technical aspect on some of
the issues they have to resolve. He referred to there being many
issues that might be related to laboratory methods or cleanup
techniques and said the board tends to lean on the engineer
representative for feedback and input. Mr. Barnett said because
the board is involved with the certification of tank workers, the
certified worker on the board, who is a tank contractor, also
provides input. He referred to the insurance representative, who
is currently the chair, and said it would be very difficult to lose
her because of the fact that they are dealing with major liability
issues related to environmental liability. Part of the reason for
this cleanup program is to address pollution liability by having a
program in place that takes the liability away from the state and
puts it in the hands of the tank owner. Mr. Barnett said the
members that would probably be better replaced would possibly be
the government members. There are two government members,
Department of Environmental Conservation and Department of
Transportation and Public Facilities (DOT/PF). Since the program
is housed within DEC, it would not be wise to remove that member.
He said if he had to make a choice, he would suggest the DOT/PF
representative.
Number 1777
REPRESENTATIVE NORMAN ROKEBERG referred to the $2 million
appropriation and asked if that is general funds. MR. BARNETT
explained that comes from the prevention account. The prevention
account evolved from the oil and hazardous substance fund. There
is a 5 cent a barrel surcharge that comes off the pipeline. He
said 3 cents goes into the prevention account and 2 cents goes into
the response account. The prevention account funds DEC's pollution
prevention operations and spill response office within the Spill
Prevention and Response Division of DEC. Mr. Barnett said his
program is funded out of that prevention account. There are
sufficient funds to fund the budget for this year out of that
prevention account. He noted it used to be called the 470 fund.
Number 1819
REPRESENTATIVE SANDERS questioned that adding a person is revenue
neutral. MR. BARNETT said over the last couple of years, they have
tried to reduce the overall travel and budget costs by increasing
the number of teleconferences. During the early days of the
program, they had higher travel costs because they were drafting
and developing the regulatory framework for the program. They
drafted regulations and held workshops throughout all portions and
regions of the state. Mr. Barnett said they are now at an
efficiency point where they have three formal board meetings a year
in Juneau, Anchorage and Fairbanks. He noted the board rotates
between those communities. There are usually only three or four
board members that travel to any one meeting. Operating costs are
now at the point where everything can be absorbed as their office
and computer equipment has been paid for. Mr. Barnett said he
feels they can stay at the same level for the next few years
without increasing their budget.
REPRESENTATIVE SANDERS asked Mr. Bennett's thought about adding two
additional people to the board. MR. BENNETT said there wouldn't be
an objection by the board members, nor the Administration he
suspects, to having an additional two members added. He said he
didn't expect the travel would still increase proportionately as
they have teleconferencing abilities. He believes they could stay
within their existing budget.
Number 1947
REPRESENTATIVE KUBINA said he probably needs to talk to his board
about the additional people. He suggested talking to DOT/PF about
losing their seat.
MR. BENNETT said he believes the board can handle seven or eight
members. Obviously, it would be easier to deal with a seven member
board from a voting and conflict standpoint. With enacted bylaws
and a rotating chairman program, they could probably work with
eight members.
Number 7004
REPRESENTATIVE ROKEBERG asked if the commissioners of DEC and
DOT/PF have designees that represent them on the board. MR.
BENNETT said they do. The designee for DEC is the division
director for the Spill Prevention Response Division. The designee
for DOT/PF is environmental right-of-way director.
Number 2029
REPRESENTATIVE KUBINA referred to the $2 million appropriation and
said he recalls that there were some problems with some very large
companies using up all the limited resources. He asked if that is
still a problem.
MR. BENNETT said that was actually resolved early on in their
priority ranking system. That was one of the board's first
objectives which was to create a ranking system that was
constitutionally correct and still fair to all the eligible tank
owners in the state. One thing they used as a tool was the
financial responsibility requirement of the federal government
which required tank owners to demonstrate financial responsibility
by having pollution liability insurance. The larger companies,
such as Tesoro, Alaska Airlines, Mapco, etc., are all self
insurable and met the financial responsibility requirement. If the
small tank owner, who almost always was the independent
businessman, usually got the higher ranking points if they couldn't
demonstrate financial responsibility. Mr. Bennett said there is
also other ranking criteria which relates to the area served, the
community they're in. He said they find most of the larger
companies are in the larger urban areas and the smaller tank owners
are in outlying areas in some of the smaller communities throughout
the state. Mr. Bennett explained they tend to have a rural
preference, small facility preference, where if they only have one
facility and only four tanks, they get a higher number of points
than they would if they had multiple facilities. So, they have a
ranking system that considers the size and the insurability of the
business and that puts the larger companies at the bottom.
Number 2114
CHAIRMAN KOTT asked if the board is the body that determines the
priorities. MR. BENNETT explained the board sets the priority
ranking. The board also acts as an appeal board for mediating
disputes in determining priority ranking disputes. He said the
board writes the regulations and the ranking systems. The
department administers the program. When a tank owner has a
problem with DEC, they can come to the board and the board then
hears their concern and acts as an intermediary between DEC and the
tank owner. The board then can adjust the ranking accordingly if
the arguments are sound.
Number 2158
REPRESENTATIVE ROKEBERG indicated concern about increasing the
number of members on the board and suggested eliminating the DOT/PF
member.
Number 2181
REPRESENTATIVE ELTON said if it the desire of the chairman to move
the bill today, he would probably vote to substitute. It may be a
good idea, however, to hold the bill over until the next meeting to
give the board's staff person a chance to see if the board has a
preferred option.
Number 2203
REPRESENTATIVE KUBINA said he tends to agree with Representative
Rokeberg. The DOT/PF should have a chance to comment as they may
have a very good argument why they should remain on the board.
Number 2223
REPRESENTATIVE PORTER said the issue should be dealt with in the
Labor and Commerce Committee. He pointed out there is a Finance
Committee referral, but the co-chair of that committee might not
want to hear the bill as there is a zero fiscal note.
CHAIRMAN KOTT said there seems to be some motivation not to hear
bills in the Finance Committee that do not have a fiscal impact.
He said it would be better to hold HB 456 until the committee's
hearing on Monday.
REPRESENTATIVE ROKEBERG said he would like the department to
provide two fiscal notes, one for adding a member and one showing
an amount if the commissioner were to be removed.
MR. BENNETT said the fiscal note would be zero either way. There
are some items in their budget that don't get used each year such
as some of their legal costs, which would be used for the
additional person. He noted there is about $2,000 in their legal
fund.
Number 2331
CHAIRMAN KOTT said the bill would be held over until the Monday
meeting.
HB 311 - REPEAL LIMIT ON HOURS EMPLOYED IN MINES
Number 2343
CHAIRMAN KOTT announced the next order of business would be HB 311,
"An Act repealing the limitation on the hours a person may be
employed in a mine; and making a related technical amendment to
avoid changing the penalties for failing to make payments into an
employee benefit fund." He noted the sponsor of the bill was on
his way to the meeting and that the committee would take a brief
recess at 3:58 p.m.
CHAIRMAN KOTT Chairman Kott called the meeting back to order at
4:02 p.m. He said there is an updated zero fiscal note the
committee members should have.
REPRESENTATIVE AL VEZEY, sponsor of HB 311, said he didn't have
many more comments to add in addition to what he said at the
previous meeting on the bill, except that he has an update on some
legislation in other states. He said other states that have an
eight hour underground law includes Idaho, which the Idaho Senate
voted to repeal their law about ten days ago. The bill is now
before the House and passage is expected in the next week or two.
Representative Vezey referred to the state of Nevada and said they
had an eight hour law, but repealed it in 1993. They now allow
work in excess of eight hours with no limit stated, but it must be
by a majority vote of the workers concurring. In 1995, California
repealed their law. They had an eight hour law with a provision
for a waiver. It was a complex law and was taken to federal court
and the court threw the law out on the grounds that it was a
violation of the National Labor Relations Act. California came
back in 1995, and passed a law which allows up to 12 hours a day.
He noted that law went into effect in 1996. Representative Vezey
said Arizona has an eight hour day mine law and has approximately
four underground mines. Nobody wants to change the laws in
Arizona. He noted the mines in Arizona run three eight hour
shifts. Representative Vezey said Montana has an eight hour a day
mine law and there are two underground mines there. They work 10
or 12 hour shifts and they just ignore the law. Oregon has an
eight hour mine law and they have no underground mining there.
[End of tape...]
TAPE 96-8, SIDE B
Number 001
REPRESENTATIVE VEZEY named the ten leading states in underground
mining in terms of economic activity, Kentucky, West Virginia,
Virginia, Oklahoma, Tennessee, Illinois, Ohio, Colorado, Alabama
and Utah. He pointed out that in Colorado, you have to apply to
work more than eight hours a day. In Utah you get a permit for
working more than an eight hour day. The others have no
restrictions. Representative Vezey referred to underground mineral
mines and said you have Nevada, Colorado, California, Arizona,
Idaho, Montana, New Mexico, Alaska, Texas and Washington.
Number 061
CHAIRMAN KOTT noted that the committee has visited the A-J mine in
Juneau and got a little bit of a look at what goes on. He said he
understands there is another tour being scheduled for March 1, and
it will be about a five hour tour.
Number 095
DON ETHERIDGE, Alaska District Council of Laborers, came before the
committee to testify on HB 311. He said his organization is
attempting to work out an agreement with the mining industry.
Meetings are scheduled for February 26 and 27, during their
national AFL-CIO convention. At that time his organization will
come up with an opinion. Currently, they are trying to work out an
agreement as to whether they are opposed or if they can work out a
compromise agreement with the mining industry. At that time, they
will have a position. They currently don't have a set opinion.
Number 138
REPRESENTATIVE ROKEBERG questioned whether Mr. Etheridge's
organization represents any miners. MR. ETHERIDGE stated there are
many laborers working in the underground mines. There are some who
are working with contractors that are working subcontractors to
mining companies.
Number 178
REPRESENTATIVE SANDERS asked Mr. Etheridge if he has an idea as to
how many underground mines there are that currently operating in
Alaska. MR. ETHERIDGE indicated he didn't, but stated he is sure
he could get the information to the committee.
Number 193
REPRESENTATIVE VEZEY said you have Greens Creek. There is the Nix
and Fork located near McGrath which is an underground mine that
produces gold. There is Illinois Creek near Galena which will be
an underground mine if it ever gets into production. He pointed
out there is an unclassified number of underground placer mines.
There may be about five or six which are very small and seasonal
operations.
REPRESENTATIVE SANDERS said if the bill were to pass, it would
apply to all the underground mining in the state including placer
mines. REPRESENTATIVE VEZEY said that is correct.
Number 270
JOE THOMAS, Laborers Local 962, Fairbanks, was next to come before
the committee. He informed the committee his union does have one
contract with a placer miner in the Fairbanks area. They have
contractors working along the lines of the development of the mines
and not necessarily the underground work. Mr. Thomas said his
concern is with the conditions and the safety of the workers in the
mines. Whether they belong to unions or not is another question.
Besides just changing the law, people need to look at the safety
aspects of the mines. There are a lot of things that need to be
taken into consideration when working underground such as the
quality of the air. A lot of mining in this country, the smaller
mines, is done during certain times of the year because of the
whether conditions. Mr. Thomas said his organization is meeting
with the industry to see if something can be worked out that would
be acceptable to cause them to possibly support a change in the
hours that are worked. He said he would like to know about what
other states requirements are in that if they allow longer hours.
Some states allow permits and the permit is based on the mine
inspection that is done, how frequently it is done, the equipment
used, the air quality, etc. Mr. Thomas indicated he has had brief
conversations with people, particularly those who represent mines,
and they are very careful in the writing of their contract to
ensure the safety aspects.
Number 380
CHAIRMAN KOTT asked if there has been studies that looked at the
physiological effects on individuals that have worked in mines.
MR. THOMAS explained he has spoke to some people and they have told
him that the aspect of working underground as it compares with
working above ground, eight hours is not necessarily eight hours.
When you're underground, time seems to be a different element. He
noted mines are operated in different fashions.
Number 442
REPRESENTATIVE ROKEBERG referred to tunneling and asked if
tunneling activities are done under the auspices of a laborer
union. MR. THOMAS said Snettisham was built that way and some of
the dams in Southeast Alaska were also done that way such as Greens
Creek and Bradley Lake.
REPRESENTATIVE ROKEBERG questioned whether most of the people
involved in tunneling are in a labor union. MR. THOMAS clarified
in the construction and labor unions, but not all would be.
Representative Rokeberg asked Mr. Thomas if his union objects to
working more than eight hours a day if the work occurs on the
surface. Mr. Thomas indicated they normally don't object.
REPRESENTATIVE ROKEBERG asked Mr. Thomas if they have surveyed the
underground miners regarding the issue. MR. THOMAS said he has and
most of the people he has spoke with have the same concern, it
depends on the condition of the mine and how responsive the owner
is to the safety questions that arise. Some of the people he spoke
to won't work for some people, simply because they don't pay any
attention to safety, lighting and air being the big items.
Representative Rokeberg said Mr. Thomas' answer seems to imply that
there are operations in the state that may be unsafe. Mr. Thomas
said there are places he wouldn't go.
REPRESENTATIVE KUBINA referred to Section C and said rather than
repealing those three sections of the law to include an exemption,
those sections could be waived through a collective bargaining
agreement. That way it would be left open for the owners of the
mines to work with their employees on the things that are being
addressed, rather than repealing it outright.
Number 583
REPRESENTATIVE PORTER said he'd prefer to repeal the whole section
and let labor and management work out their agreements. He
suggested taking labor agreements totally out of statute.
REPRESENTATIVE ELTON said he isn't sure what Representative Porter
said.
REPRESENTATIVE PORTER said it is his understanding that the
tunneling at Snettisham does not have a restriction of eight hours
and as far as he knows, either they haven't seen fit to use ten
hours or they have and it hasn't been a problem.
MR. THOMAS explained the employees did work longer hours. They did
it under a union agreement. Therefore, the union was able to
negotiate the conditions that the people would work.
REPRESENTATIVE PORTER again stated he doesn't like to see these
types of things in statute. He thinks the process works just fine
between labor and management until the legislature gets involved.
REPRESENTATIVE ELTON said he agrees with Representative Porter. As
long as the legislature doesn't get in to position where the
statutes are being repealed and then there is no forum under which
to come to those mutually beneficial type of agreements. If the
legislature repeals the statutes and doesn't provide for that
alternative forum, he would have some concern. There wouldn't be
an even playing field as there wouldn't be the forum in which the
working conditions could be discussed.
Number 696
REPRESENTATIVE ROKEBERG said the committee's discussion makes an
assumption that there will be a collective bargaining agreement in
place and it doesn't provide for a nonunion shop operation. That
would be the need for having a statute.
REPRESENTATIVE ELTON said if there is no bargaining agreement, the
hours would be limited to eight hours underground. The statute
would provide that is the maximum amount of hours unless the
parties are operating under a collective bargaining agreement.
Number 741
REPRESENTATIVE PORTER referred to the federal FLSA laws and said if
this statute wasn't in place, wouldn't that require an exception
for a ten hour day. MR. THOMAS said he could say specifically, but
there is a federal mine person in Juneau who would better be able
to answer the question.
CHAIRMAN KOTT closed the public hearing HB 311 and announced the
bill would be held.
HB 253 - BAN CRAFT BUYING ON LIQUOR PREMISES
Number 882
CHAIRMAN KOTT announced the committee would hear HB 253,
"An Act relating to the purchase of authentic Native handicrafts on
certain licensed premises; and providing for an effective date."
MARY SATTLER, Legislative Intern to Representative Nicholia, Alaska
State Legislature, said the bill was initiated because of a concern
regarding the sale of authentic Native handicrafts on all premises
that hold beverage dispensary licenses. Entrepreneurs, bar patrons
and tourists often take advantage of intoxicated artists. Artists
cannot make astute business decisions when they are intoxicated.
Artists are most often taken advantage of when under the influence
of alcohol and, as a result, the selling price of the art is far
below the markup price. Ms. Sattler explained an artist can spend
so much time on an individual piece of art, that selling the art
far below its value is like throwing the artist's talent away.
Furthermore, this type of activity puts enough money in the
intoxicated person's pockets to allow them to continue abusing
alcohol. As well as supporting alcohol abuse, this activity is
degrading to the aesthetic value of the art and the artist. Ms.
Sattler explained the bill is still being reviewed by the
Department of Law and the Department of Public Safety.
MS. SATTLER offered that many of the people engaged in the dialogue
of the bill came into the picture very recently and there wasn't
time to incorporate all of the changes that are being requested.
One of the main changes being reviewed relates to broadening the
bill to include all handicrafts and not just authentic Native
handicrafts. The concern, however, is the bill deals with criminal
statutes and people want to have a more focused definition of the
word "handicraft." She noted there is a statute that does describe
and define "authentic Native handicrafts," but as the deputy
commissioner of the Department of Public Safety said, it would be
hard for a police officer to go into a bar and know exactly what a
handicraft consists of.
Number 1038
MS. SATTLER referred to the penalties that would be placed on the
buyer, seller and bar owner, and said Anne Carpeneti from the
Department of Law is helping with that issue. The penalties would
be a class B misdemeanor for the first offense and a class A
misdemeanor for the second offense instead of the way it is stated
on page 1, line 10.
CHAIRMAN KOTT asked Ms. Sattler if she knows of any instances where
this provision has been applied. MS. SATTLER responded in the
negative.
CHAIRMAN KOTT asked if there is a problem or are we trying to be
proactive. MS. SATTLER said there is a serious problem. Anyone
who has gone to the Iditarod, who has gone into a bar, may have
seen this happening. She noted a number of artists have even
approached her pulled art work out of their sleeve or pocket and
tried to sell it to her. A bar is one of the places they do a lot
of business, especially after hours when they are looking for money
to buy alcohol and the stores they sell to are closed.
Number 1118
REPRESENTATIVE ROKEBERG pointed out that along the road systems in
the state, there are road houses that consist of restaurants or
cafes, that perhaps have a liquor license, and also have gift
shops. He said he thinks the bill is very short sided in the sense
that it would restrict the sales and the sales opportunity, not
only of Native art and handicrafts, but any handicrafts. He said
he could be sympathetic to the problem in the more rural areas of
the state.
MS. SATTLER said that is another area of the bill they are trying
to iron out. She said the basic concern is when you're in a bar.
She noted the Hilton and Captain Cook, in Anchorage, have licenses
to sell and they also have shops.
REPRESENTATIVE ROKEBERG said he is sure that all the better artists
in the state would be very upset if the bill were to pass in its
current form.
Number 1225
ANNE CARPENETI, Assistant Attorney General, Central Office,
Criminal Division, Department of Law, said the department is
concerned about the criminal provisions of the bill in its current
form. Generally, the department would prefer focusing on this
particular conduct in terms of the license of the operator of the
establishment, but if you were going to establish new crimes to
outlaw this type of behavior, the department would prefer to see
they are in the general terminology of our criminal statutes. She
said for the first offense, they would suggest a misdemeanor
violation. It is not necessary and is not advisable to make a
separate section prohibiting a person who is not an individual from
committing the conduct. There are current sentencing statutes that
provide for increased fines for offenders who are not individuals
and who are working in groups of two or more. She noted you can't
put an organization in jail anyways. Ms. Carpeneti said it would
be the Department of Law's recommendation to make it one offense
for all people which is what the criminal statutes currently do.
Then if you want to have two levels of offense in making the first
offense a violation and the second a B misdemeanor, or whichever
level is best.
Number 1322
CHAIRMAN KOTT asked if the bill applies to patrons purchasing, but
does not address the seller. MS. CARPENETI said it is her
understanding that it applies to both.
CHAIRMAN KOTT said there are problems with the bill and it is his
intent to hold the bill over in order to address some of the issues
expressed by the Department of Law.
Number 1385
REPRESENTATIVE PORTER explained he has some problems with the
general idea of the bill. He said he is extremely sympathetic to
the concern. Representative Porter informed the committee that he
has a concern that we would be making a violation or a crime out of
something that a patron would be looking at as a kind act. He said
he would really have a problem in making it a criminal offense for
the person we're trying to assist if it is that the handicraft
artist needs that assistance. He said he would really have a
problem with a patron who, when you think about it, who could be
suffering from the kind of problem and pay twice as much as they
should have.
Number 1482
REPRESENTATIVE KUBINA said he is also sympathetic. He noted he has
been in a spot where he has been offered carved ivory in a bar
where somebody was obviously selling it cheaper than what it was
worth. He said he has also been in a spot where people have come
around the schools and were offering a good deal because they
needed money for some reason. Representative Kubina said he isn't
sure how to address the issue, but he sort of agrees with
Representative Porter. He isn't sure this is the way to correct
the problem.
REPRESENTATIVE ELTON suggested holding the bill in committee until
the sponsor and other people involved have agreed on an a
appropriate approach.
CHAIRMAN KOTT said it is his intent to hold the bill.
REPRESENTATIVE PORTER pointed out that currently a proprietor can
preclude someone from being on their premise for any legitimate
reason and pestering customers is a legitimate reason.
REPRESENTATIVE ELTON said he can remember a specific case in which
a proprietor was taking advantage of a person and getting a lot of
ivory in exchange for drinks. There was a serious problem.
REPRESENTATIVE PORTER said he thinks the law now precludes that
kind of thing from happening.
CHAIRMAN KOTT closed the public hearing on HB 253 and announced the
bill would be held.
HB 435 - STATE TRAINING & EMPLOYMENT PROGRAM
Number 1847
CHAIRMAN KOTT announced the committee would hear HB 435, "An Act
relating to employment contributions and to making the state
training and employment program a permanent state program; and
providing for an effective date." He said the bill was introduced
by the Administration and deals with state training in the
employment program. At the last hearing on the measure, there was
testimony given by the Department of Labor suggesting the bill is
a good bill.
Number 1889
DWIGHT PERKINS, Special Assistant, Office of the Commissioner,
Department of Labor, explained the bill relates to a pilot program
that has operated over the last six years very successfully. He
encouraged the committee to give the bill their consideration and
to institutionalize the program.
CHAIRMAN KOTT referred to the word "institutionalize" and said Mr.
Perkins doesn't mean to lock the bill up. MR. PERKINS said he
would like the program to be a permanent program. He noted the
committee members have in their packets a copy of the program's
executive summary which talks about the program since its
inception. In the second half of 1989 (Fiscal Year 90), and July
of 1994, State Training Employment Program spent $9.79 million
towards providing training and services to 4,890 individuals. The
program is paid for by the working employees, 1/10 of 1 percent is
deducted and .5 percent of the ESD goes towards that. There are no
general fund or federal monies appropriated to the program. The
program helps to upgrade employee's skills.
CHAIRMAN KOTT asked why we should force the employed, who likely
paid for their own training, to subsidize the training of others,
the unemployed.
Number 2223
MARK MICKELSON, Manager, JTPA/SDA Program, Division of Community
and Regional Development, Department of Community and Regional
Affairs (DCRA), came before the House Labor and Commerce Committee.
He referred to the question of why should there be a subsidy, an
opportunity, a fund, to provide for additional training and said
the answer, in his mind, is fairly simple. It is because most
people are not saving for training for themselves, and many
employers don't have funds dedicated for training. The STEP
Program has been both employer friendly and employee friendly, in
the sense that it has provided an incentive and an opportunity for
many people and businesses to invest in additional skills and work
force readiness for the Alaskan work force. The STEP Program has
provided training for over 5,000 people. In many cases, it has
been for Alaskans to upgrade their skills to make them more
competitive against out-of-state job seekers. He referred to the
Fisheries Community Development Program and said they made a
significant difference in providing training for hundreds of rural
Alaskans to be competitive in the bottom fish offshore industry.
They have done some very innovative things with trades in respect
to providing incentive for outreach and recruitment, pre-
apprenticeship work in rural areas where traditionally the trades
have not had a very strong presence. It is an incentive that
essentially rewards work. Mr. Mickelson said it is not, in any
way, a duplication of existing programs. The federal commitment to
employment and training is very meager and is getting slimmer. He
said he is anticipating about a 30 percent reduction this year with
the federal commitment under the JTPA Program. The STEP Program
has been a very flexible and adaptable program because the
department gets to write the regulations. Mr. Mickelson said in
1988, the legislature did a good job in researching other states
and how programs were structured. It is an effective tool to
promote more Alaskan hire and greater skills.
Number 2442
REPRESENTATIVE PORTER asked how the program is funded. He also
asked how an employee or employer who is interested in having
additional training for employees would go about getting into the
program. [End of Tape...]
TAPE 96-9, SIDE A
Number 001
[Part of Mr. Mickelson's response wasn't recorded during the
changing of the tape.] MR. MICKELSON explained the maximum an
employee contributes to the program is approximate $24 for a year.
The $24 does not impact an employee's benefits. He referred the
question of how an employer or employee would access the fund and
said the money is currently provided down through the employment
training structure in the state. Currently, there are three
service delivery areas. There is an Anchorage Mat-Su consortium
that is administered by the municipality of Anchorage. There is a
Fairbanks Private Industry Council. There is then a balance of
state or statewide. He referred to the rural areas of the state
and said that has been the DCRA's area of operations. Once the
department receives the grant, they make funds available, generally
through a competitive solicitation to the businesses, the
educational agencies and to individuals who are seeking assistance.
So any individual who becomes unemployed, goes in unemployment
insurance, will be advised of this in the employment service
offices. They will be made aware of these services by any
educational agency providing the service and by word of mouth.
MR. MICKELSON noted the program could be applied in Pelican since
the cold storage closed. He noted staff will be sent there to have
discussions about possible resources, and STEP might be one
resource if there is inadequate federal money to provide help. He
noted he has had discussions with staff in the DCRA Interior office
with respect to providing additional training in the mining
industry.
REPRESENTATIVE PORTER asked if the training is available just to
people who are unemployed or if it is available for upgrading
employed people's skills.
MR. MICKELSON explained there is an eligibility criteria that
allows training for those who have exhausted unemployment insurance
benefits. Another criteria is for those who may be facing a
potential layoff due to plant closure, technological changes or
advances, etc. Mr. Mickelson said an employer could approach the
department and ask for assistance to retain staff if they could
identify a specific training need that was appropriate.
Number 332
CHAIRMAN KOTT asked what the ceiling is that an employee pays. MR.
MICKELSON said he believes it is in the neighborhood of $24.
CHAIRMAN KOTT said he remembers it being a very small amount. He
said he thinks that ceiling is reached for an employee who makes
about $11,000.
Number 413
REPRESENTATIVE ROKEBERG referred to page 8 of the Executive Summary
and said it appears there are a number of construction trade type
occupations that were covered by the STEP Program, including
painters, electricians, plumbers, pipe steam fitters, carpenters,
roofers and sheet medal workers. He asked if this isn't something
that the craft councils of the various unions provide their
employees. He asked if the DCRA is duplicating something or if
they are subsidizing the unions. MR. MICKELSON said the organized
trades tend to have very well structured and organized training
modules and components. If they want to be included, they have to
make a case for need. Mr. Mickelson said from his own personal
experience, the painters were never going to go into places like
Kotzebue, etc., to recruit and provide training for people. They
didn't have it within their budget. That type of threshold of need
is required before the department would select them for training.
He said he believes Anchorage and Fairbanks has similar criteria in
that they are not going to provide unlimited subsidizes to
organizations that are already covered.
REPRESENTATIVE ROKEBERG asked if these people are getting jobs and
where are they going. MR. MICKELSON said he believes that in the
overall report there are some result summaries that do indicate
that the program is working. Of course on an individual bases,
there may be times when an individual does not become employed. He
said the DCRA's expectation is that they'll return to work. The
expectation of the program is that there will be a reduced demand
on the unemployment insurance trust fund. He said he believes that
after six years of operation, the evidence suggests that the
program is working.
Number 615
REPRESENTATIVE ROKEBERG asked how most of the training is
conducted. He questioned whether it is conducted through
vocational education schools or with employers. MR. MICKELSON said
the training is provided under all those methodologies. Programs
such as "On the Job Training" have been offered directly with
private employers. There have been programs offered through
existing educational agencies such as the Alaska Vocational
Technical Center in Seward, branches of the university, unions,
companies themselves, etc. There is multitude of delivery
methodologies and options.
CHAIRMAN KOTT noted the committee has been given an updated fiscal
note.
Number 840
REPRESENTATIVE ELTON made a motion to pass HB 435 out of the House
Labor and Commerce Committee with attached fiscal notes and
individual recommendations.
REPRESENTATIVE PORTER said another way of describing HB 435 is a
mini dedicated state income tax. Since it does seem to be doing
some good, he stated he wouldn't object to moving the bill.
REPRESENTATIVE ROKEBERG asked if he is correct in assuming that the
fiscal note is a wash and it wouldn't affect the general fund
budget. MR. PERKINS said Representative Rokeberg is correct as
there are no additional general funds or federal funds in the
program.
CHAIRMAN KOTT said there is a motion before the committee to move
HB 435. Hearing no objection HB 435 was moved out of the House
Labor and Commerce Committee.
HB 266 - HEALTH CARE PREFERRED PROVIDER PROGRAMS
Number 1011
CHAIRMAN KOTT announced the last order of business to come before
the committee was HB 266, "An Act relating to preferred provider
agreements offered by hospital or medical service corporations."
He said Representative Rokeberg had been working on a committee
substitute during the interim in a subcommittee. He said he would
like him to briefly report the committee substitute back to the
main committee.
REPRESENTATIVE ROKEBERG said he would offer for the consideration
of the House Labor and Commerce Standing Committee, to move from
the subcommittee back to the full committee, a committee substitute
for HB 266, dated 9/18/95, 9LS0593/G Ford. Representative Rokeberg
made a motion to adopt CSHB 266(L&C).
CHAIRMAN KOTT said there was a committee substitute prepared during
one of the interim meetings held on this matter. A quorum wasn't
present to adopt the committee substitute. CHAIRMAN KOTT asked if
there was an objection to adopting the committee substitute.
Hearing none, it was so ordered.
ADJOURNMENT
CHAIRMAN KOTT adjourned the House Labor and Commerce Committee
meeting at 5:07 p.m.
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