Legislature(1993 - 1994)
03/11/1993 03:00 PM L&C
* first hearing in first committee of referral
= bill was previously heard/scheduled
= bill was previously heard/scheduled
HOUSE LABOR AND COMMERCE STANDING COMMITTEE March 11, 1993 3:00 p.m. MEMBERS PRESENT Rep. Bill Hudson, Chairman Rep. Joe Green, Vice Chairman Rep. Brian Porter Rep. Eldon Mulder Rep. Bill Williams Rep. Jerry Mackie Rep. Joe Sitton MEMBERS ABSENT None COMMITTEE CALENDAR SJR 27: Relating to United States Coast Guard commercial fishing vessel safety regulations. MOVED FROM COMMITTEE *HB 54: "An Act relating to eavesdropping, telephone caller identification, and telephone directory listings and solicitations." HEARD AND HELD IN COMMITTEE *HB 164: "An Act relating to motor vehicle dealers and to agents for motor vehicle buyers; and providing for an effective date." MOVED FROM COMMITTEE *HB 126: "An Act relating to payment of prevailing wage rates on public construction projects." MOVED FROM COMMITTEE *HB 203: "An Act imposing a fee for the administration of the workers' compensation program; and providing for an effective date." HEARD AND HELD IN COMMITTEE (* First public hearing.) WITNESS REGISTER REP. KAY BROWN Alaska State Legislature State Capitol Juneau, Alaska 99801-1182 465-4998 Position Statement: Prime Sponsor of HB 54 MELLIE TERWILLIGER P.O. Box 206 Tok, Alaska 99780 883-5351 Position Statement: Testified on HB 54 (Spoke via teleconference) MARIANNE KERR P.O. Box 210033 Anchorage, Alaska 99521 349-5665 Position Statement: Testified in support of HB 54 (Spoke via teleconference) TOM ROY Alaska Telephone Association 3305 Arctic, #103 Anchorage, Alaska 99803 563-4000 Position Statement: Testified in opposition to HB 54 (Spoke via teleconference) CATHY SCHINDLER Program Director Abused Women's Aid in Crisis (AWAKE) 2635 LaTouche Anchorage, Alaska 99508 279-9581 Position Statement: Testified in support of HB 54 (Spoke via teleconference) CINDY SMITH Executive Director Alaska Network on Domestic Violence 419 6th Street, #116 Juneau, Alaska 99801 586-3650 Position Statement: Testified in support of HB 54 MARCIA McKENZIE Program Coordinator Alaska Council on Domestic Violence Department of Public Safety P.O. Box 111200 Juneau, Alaska 99811-1200 465-4356 Position Statement: Testified in support of HB 54 REP. GAIL PHILLIPS Alaska State Legislature State Capitol Juneau, Alaska 99801-1182 465-2689 Position Statement: Prime Sponsor of HB 164 and HB 126 STEVE ALLWINE Alaska Automobile Dealers Mendenhall Auto Center 8725 Mallard Drive Juneau, Alaska 99802 789-1386 Position Statement: Supported HB 164 BILL WARD Ward Landscaping Service P.O. Box 290 Soldotna, Alaska 99669 262-5135 Position Statement: Supported HB 126 (Spoke via teleconference) JOHN ABSHIRE Deputy Commissioner Department of Labor P.O. Box 21149 Juneau, Alaska 99802-1149 465-2700 Position Statement: Supported HB 126 PAUL ARNOLDT, Director Division of Workers' Compensation Department of Labor P.O. Box 25512 Juneau, Alaska 99802-5512 465-2790 Position Statement: Supported HB 203 DAVID TEAL, Director Division of Administrative Services Department of Labor P.O. Box 21149 Juneau, Alaska 99802-1149 465-2720 Position Statement: Answered questions on HB 203 and HB 164 JAY FRANK, Lobbyist Clough and Associates 431 N. Franklin, Suite 202 Juneau, Alaska 99801 586-5777 Position Statement: Answered questions on HB 203 JOHN GEORGE Lobbyist, Insurance Industry 9515 Moraine Way Juneau, Alaska 99801 789-0172 Position Statement: Answered questions on HB 203 DAVID PALMER, Director Engineering and Transportation City and Borough of Juneau 155 S. Seward Street Juneau, Alaska 99801 586-5230 Position Statement: Supported HB 126 RESA JERREL, Lobbyist National Federation Independent Business 9179 Skywood Juneau, Alaska 99801 789-4278 Position Statement: Supported HB 203 LOREN RASMUSSEN Chief, Design, Construction Standards Department of Transportation and Public Facilities 3132 Channel Drive Juneau, Alaska 99801-7898 465-2960 Position Statement: Answered questions re: HB 126 PREVIOUS ACTION BILL: SJR 27 SHORT TITLE: FEDERAL FISHING VESSEL SAFETY RULES BILL VERSION: SPONSOR(S): SENATOR(S)JACKO,Halford,Taylor,Miller, Zharoff,Duncan,Pearce,Leman;REPRESENTATIVE(S)Olberg, Sanders, Sitton,Mackie,Moses,Hanley,Ulmer TITLE: Relating to United States Coast Guard commercial fishing vessel safety regulations. JRN-DATE JRN-PG ACTION 03/05/93 615 (S) READ THE FIRST TIME/REFERRAL(S) 03/05/93 615 (S) RULES 03/05/93 636 (S) RLS WAIVED RULE 23 03/05/93 657 (S) RLS RPT 2DP & CAL 1CAL 1NR 03/05/93 657 (S) ZERO FISCAL NOTE (RLS) 03/05/93 (S) RLS AT 00:00 AM FAHRENKAMP 203 03/05/93 (S) MINUTE(RLS) 03/08/93 657 (S) RULES TO CALENDAR 3/8/93 03/08/93 670 (S) READ THE SECOND TIME 03/08/93 670 (S) ADVANCED TO THIRD READING UNAN CONSENT 03/08/93 670 (S) READ THE THIRD TIME SJR 27 03/08/93 670 (S) COSPONSOR(S): PEARCE, LEMAN 03/08/93 670 (S) PASSED Y17 N2 E1 03/08/93 677 (S) TRANSMITTED TO (H) 03/09/93 (H) L&C AT 03:00 PM CAPITOL 17 03/10/93 581 (H) READ THE FIRST TIME/REFERRAL(S) 03/10/93 581 (H) LABOR & COMMERCE 03/10/93 594 (H) WAIVER FROM LABOR & COMMERCE WITHDRAWN 03/10/93 596 (H) CROSS SPONSOR(S): OLBERG, SANDERS,SITTON 03/10/93 596 (H) CROSS SPONSOR(S):MACKIE,MOSES, HANLEY 03/10/93 596 (H) CROSS SPONSOR(S): ULMER 03/11/93 (H) L&C AT 03:00 PM CAPITOL 17 BILL: HB 54 SHORT TITLE: TELEPHONE CONSUMER PROTECTION BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) BROWN,Navarre TITLE: "An Act relating to eavesdropping, telephone caller identification, and telephone directory listings and solicitations." JRN-DATE JRN-PG ACTION 01/14/93 60 (H) READ THE FIRST TIME/REFERRAL(S) 01/14/93 60 (H) LABOR & COMMERCE, JUDICIARY, FINANCE 03/11/93 (H) L&C AT 03:00 PM CAPITOL 17 BILL: HB 164 SHORT TITLE: MOTOR VEHICLE DEALERS & BUYERS' AGENTS BILL VERSION: SSHB 164 SPONSOR(S): REPRESENTATIVE(S) PHILLIPS TITLE: "An Act relating to motor vehicle dealers and to agents for motor vehicle buyers; and providing for an effective date." JRN-DATE JRN-PG ACTION 02/18/93 380 (H) READ THE FIRST TIME/REFERRAL(S) 02/18/93 381 (H) LABOR & COMMERCE, JUDICIARY 03/05/93 548 (H) SPONSOR SUBSTITUTE INTRODUCED-REFERRALS 03/05/93 548 (H) LABOR & COMMERCE, JUDICIARY 03/11/93 (H) L&C AT 03:00 PM CAPITOL 17 BILL: HB 126 SHORT TITLE: PUBLIC CONSTRUCTION PREVAILING WAGE RATES BILL VERSION: SSHB 126 SPONSOR(S): REPRESENTATIVE(S) PHILLIPS,G.Davis TITLE: "An Act establishing the current prevailing rate of wages issued at least 10 days before the final submission of bids as the prevailing wage rate for public construction projects and requiring periodic adjustment of the wage rate." JRN-DATE JRN-PG ACTION 02/05/93 234 (H) READ THE FIRST TIME/REFERRAL(S) 02/05/93 234 (H) LABOR & COMMERCE, FINANCE 02/22/93 410 (H) SPONSOR SUBSTITUTE INTRODUCED- NEW TITLE 02/22/93 410 (H) LABOR & COMMERCE, FINANCE 03/11/93 (H) L&C AT 03:00 PM CAPITOL 17 BILL: HB 203 SHORT TITLE: ADMINISTRATIVE FEE FOR WORKERS' COMP. BILL VERSION: SPONSOR(S): LABOR & COMMERCE TITLE: "An Act imposing a fee for the administration of the workers'compensation program; and providing for an effective date." JRN-DATE JRN-PG ACTION 03/05/93 552 (H) READ THE FIRST TIME/REFERRAL(S) 03/05/93 552 (H) LABOR & COMMERCE, FINANCE 03/11/93 (H) L&C AT 03:00 PM CAPITOL 17 ACTION NARRATIVE TAPE 93-20, SIDE A Number 000 CHAIRMAN HUDSON called the House Labor and Commerce Committee to order at 3:07 p.m. CHAIRMAN HUDSON outlined the schedule for the day. SJR 27: FEDERAL FISHING VESSEL SAFETY RULES Number 060 CHAIRMAN HUDSON brought up SJR 27 and explained that this bill was the companion bill to HJR 33 passed out of the Labor and Commerce Committee previously. Number 075 REP. MULDER moved for passage of SJR 27 with a zero fiscal note and unanimous consent. No objections were heard, it was so ordered. Number 100 REP. KAY BROWN testified as PRIME SPONSOR of HB 54. Rep. Brown explained that the bill was introduced to address privacy issues due to the advances of technology. REP. BROWN further explained that the bill would protect Alaskan's individual privacy rights in two important areas: - it would provide caller identification "line blocking" services without charge to telephone utility customers; and - it would require telephone utilities to offer customers an opportunity to avoid telemarketing solicitations. REP. BROWN added that additions and amendments to Alaska statutes provided by this legislation would make it clear that a citizen's right to individual privacy included the right to be protected from unethical, abusive, or annoying misuse of telephones and monitoring and recording equipment. REP. BROWN suggested that Section 2 of SJR 27 be deleted as the more information in opposition to this particular section comes in. This section concerns eavesdropping. REP. BROWN then outlined the sectional analysis. (The sectional analysis is on file in the committee room.) Number 281 REP. MULDER asked Rep. Brown if she would comment on the criticism brought up in the Securities Industry Association letter dated March 5, 1993, which stated, "The FCC further noted that, ultimately, this option combines the disadvantages of maximum cost to all participants with minimal potential effectiveness, and therefore is not a suitable means of accomplishing the goals of the Telephone Consumer Protection Act." Number 302 REP. BROWN responded that the congressional author of the bill, as well as consumer groups, were not happy with the way the Federal Communications Commission (FCC) implemented the bill. She further noted that the bill provided that the person choosing the options pays them. REP. BROWN explained that the telemarketers are saying that it is too much of a problem to keep up with the updated information regarding who does not wish to be called and who can. REP. BROWN suggested that it would actually be a benefit to the telemarketers to know who wanted to be called and who didn't. Number 333 REP. MULDER asked how often the list would be updated. REP. BROWN responded the list would be noted in the telephone book that comes out once or twice a year. Number 358 REP. PORTER asked how many states offer this service, how much it costs, and how much it would cost here. REP. BROWN suggested that there were other people who would be testifying on the subject who may have that information. Number 390 REP. PORTER raised the concern that under the exceptions for telephone solicitation the language would allow for telemarketers to simply open up the conversation with a couple of questions and circumvent the intent of the law. Number 395 REP. BROWN answered that she believes the language used as the definition of solicitation was clear enough to cover that concern. Number 403 REP. HUDSON inquired what the penalty would be if someone called another party who had indicated they did not want to be called. REP. BROWN replied that the attorney general could bring action and fine at the rate of $200.00 or actual damages, whichever is greater. The court could also award punitive damages, court costs, and attorney fees, or whatever else it deemed reasonable. REP. SITTON stated that he appreciated the motivation driving this bill as he believes privacy is the issue of the decade. Rep. Sitton indicated his concern that the eavesdropping portion of the bill was deleted. Number 433 REP. BROWN replied that federal law provides with one party's consent for the conversation to be taped. She added that wiretapping is carefully regulated. Number 468 MELLIE TERWILLIGER testified via teleconference that she was concerned about having hers or anyone else's conversations recorded without their knowledge. Number 501 REP. PORTER added that a law enforcement officer cannot use a tape recorded conversation in court against an individual unless he obtains a warrant first. HB 54: TELEPHONE CONSUMER PROTECTION Number 520 MARIANNE KERR testified via teleconference on her own behalf in support of HB 54. She stated she wants to be able to choose who has knowledge of her phone number and address as she is a single parent with a small child at home. Number 530 TOM ROY, ALASKA TELEPHONE ASSOCIATION, testified via teleconference in opposition to HB 54. He pointed out that caller identification service can never be a reality in Alaska if HB 54 becomes law. Mr. Roy further stated that the expense involved in producing and maintaining a list of the choices customers make is great and the time lag between the time a person gets a phone hooked up and the publication of the next telephone book is published can be more than a year. Number 588 CHAIRMAN HUDSON asked how the numbers would be presented on phones and when this new technology could realistically be available in Alaska. MR. ROY explained that the numbers would appear right on the screen for the receiving party to see and the technology is about a year away from being installed. Number 602 REP. PORTER asked how random dialing would circumvent this bill. MR. ROY answered that telemarketers sometimes employ computers to randomly call numbers and they don't differentiate between those who want to be called and those that don't. TAPE 93-20, SIDE B Number 000 REP. PORTER noted that he's heard a number of down-sides on the function of caller ID but hasn't heard any of the advantages. MR. ROY replied that the most obvious one is that of harassing phone calls. No longer would someone have the anonymity of calling and not having the receiving party know where the person is calling from. Number 062 REP. BROWN asked if a person's unlisted number would be disclosed under the caller ID system. Number 077 MR. ROY replied yes. Number 081 CATHY SCHINDLER, PROGRAM DIRECTOR, ABUSED WOMEN'S AID IN CRISIS (AWAIC), testified via teleconference in support of HB 54. Ms. Schindler noted that the number one service that AWAIC provides is a safe shelter. Ms. Schindler said that within the caller identification system any subscriber would be able to determine that a woman was at the shelter if she called from a shelter phone. This puts the woman, children, and shelter workers at risk. MS. SCHINDLER further testified that it is essential that all shelters be provided with a caller ID blockage at no charge. Number 123 CHAIRMAN HUDSON discussed some of the verbiage in the bill. REP. MACKIE noted that someone could block his caller ID and make harassing telephone calls without any repercussions. REP. BROWN answered that while that was true, there were other ways of finding out the telephone number of a persistent harasser; i.e., putting a trace on the call. Number 190 REP. PORTER noted that the technology is there to trace calls but it has to be established by due process. Number 197 REP. MULDER asked who provides the list of those who do not wish to be called. REP. BROWN responded that it would be the local exchange or any company that produces a telephone book. Number 217 CINDY SMITH, EXECUTIVE DIRECTOR, ALASKA NETWORK ON DOMESTIC VIOLENCE, testified in support of HB 54, especially Section 1. Ms. Smith stated that in seeking help and safe shelter one of the most important facilities a victim has is a telephone. Up until now a victim could safely and privately arrange for shelter, and safely make contact with her batterer regarding finances, issues of the children, etc. Ms. Smith noted that unregulated caller ID will have a tremendous adverse impact on the network and the victims that seek shelter there. MS. SMITH noted that in other states the costs per customer for caller ID runs anywhere from $2 to $7. Number 305 REP. PORTER asked how many people wanted this service in the states studied. MS. SMITH replied that between 4 to 8 percent of residential homes wanted this service. It's primary usage is for business. Number 342 CHAIRMAN HUDSON announced that the chair would take one more person to testify on SJR 27 and then he would hold the bill over for more backup and to take more testimony in the near future. Number 358 MARCIA MCKENZIE, PROGRAM COORDINATOR, ALASKA COUNCIL ON DOMESTIC VIOLENCE, testified in support of HB 54. Ms. McKenzie echoed Ms. Smith's testimony. HB 164: MOTOR VEHICLE DEALERS & BUYERS' AGENTS Number 402 REP. GAIL PHILLIPS, PRIME SPONSOR OF SSHB 164, read the sponsor statement for the record. (Her sponsor statement is on file in the committee room.) CHAIRMAN HUDSON asked if the fine proposed of $100 was adequate. REP. PHILLIPS stated she preferred to have that responded to by the others who were there to testify. Number 454 STEVE ALLWINE, ALASKA AUTOMOBILE DEALERS, testified in support of HB 164. Mr. Allwine echoed the sponsor statement and added that dealers and consumers have had many problems in the past being sold vehicles that have been previously sold or have warranties that were in default for some reason. Mr. Allwine believes this piece of legislation will go a long way in correcting these problems. Number 495 REP. PORTER moved for passage of SSHB 164 with individual recommendations and a zero fiscal note. No objections were noted, it was so ordered. HB 126: PUBLIC CONSTRUCTION PREVAILING WAGE RATES Number 507 REP. GAIL PHILLIPS, PRIME SPONSOR OF SSHB 126, read the sponsor statement for the record. (This statement is on file in the committee room until the end of session.) Number 545 BILL WARD, PART OWNER, WARD LANDSCAPING SERVICE, testified in support of HB 126. Mr. Ward raised the concern of why the 24 month duration was used, as many contracts are for longer than that. He proposed that the bill apply to the duration of the contract or somehow put in language that would protect the contractor. Number 588 JOHN ABSHIRE, DEPUTY COMMISSIONER, DEPARTMENT OF LABOR, testified in support of this bill. Mr. Abshire stated that the department sees this bill as relieving any financial hardship contractors bear by prevailing wages that are effective during the term of the contract. MR. ABSHIRE noted that one reason for the 24 month provision is that there is great potential that skilled craftsman will leave the job to go to another job that pays more money. This will help keep skilled people working on public projects. Number 603 CHAIRMAN HUDSON asked the commissioner about recording requirements for public contracts is $2,000. Mr. Hudson asked if that figure isn't low. MR. ABSHIRE explained that the $2,000 figure is patterned after the Davis Bacon Act. TAPE 93-21, SIDE A Number 000 REP. GREEN moved for passage of HB 126 with individual recommendations and a zero fiscal note. No objections were heard, it was so ordered. HB 203: ADMINISTRATIVE FEE FOR WORKERS' COMP. Number 045 PAUL ARNOLDT, DIRECTOR, DIVISION OF WORKERS' COMPENSATION, DEPARTMENT OF LABOR, gave an overview of the major issue's facing the division and some of the proposed solutions including the introduction of HB 203. (Mr. Arnoldt's written report is on file in the committee room until the end of session, at which time it will be sent to the Legislative Reference Library.) CHAIRMAN HUDSON opened up the meeting to an informal round table discussion with members of the insurance industry, representatives of the state of Alaska, and businesses for further discussion regarding the major issues referenced by Mr. Arnoldt. The group included: Labor and Commerce Committee members Paul Arnoldt, Director, Div. of Workers' Compensation, Dept. of Labor David Teal, Director, Div. of Administrative Services, Dept. of Labor Resa Jerrel, Lobbyist, National Federation Independent Business Jay Frank, Insurance industry lobbyist John George, Insurance industry lobbyist Discussion ensued. The group listed above agreed to continue the discussion at another location and time and report back to the committee. CHAIRMAN HUDSON adjourned the meeting at 5:35 p.m.