Legislature(1993 - 1994)

03/16/1993 03:00 PM L&C

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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                    HOUSE LABOR AND COMMERCE                                   
                       STANDING COMMITTEE                                      
                         March 16, 1993                                        
                            3:00 p.m.                                          
                                                                               
                                                                               
  MEMBERS PRESENT                                                              
                                                                               
  Rep. Bill Hudson, Chairman                                                   
  Rep. Joe Green, Vice Chairman                                                
  Rep. Brian Porter                                                            
  Rep. Bill Williams                                                           
  Rep. Eldon Mulder                                                            
  Rep. Jerry Mackie                                                            
                                                                               
  MEMBERS ABSENT                                                               
                                                                               
  Rep. Joe Sitton                                                              
                                                                               
  COMMITTEE CALENDAR                                                           
                                                                               
  HB 179:   "An Act relating to motor vehicles and mobile                      
            homes; and providing for an effective date."                       
                                                                               
            MOVED FROM COMMITTEE                                               
                                                                               
  HB 54:    "An Act relating to eavesdropping, telephone                       
            caller identification, and telephone directory                     
            listings and solicitations."                                       
                                                                               
            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                                        
                                                                               
  Confirmations of the following individuals:                                  
                                                                               
  Board of Registration for Architects, Engineers, and Land                    
  Surveyors - Richard S. Armstrong, Paul Hartig, William W.                    
              Mendenhall, Michael H. Schwartz                                  
                                                                               
  Board of Barbers and Hairdressers - Michelle A. Loptien,                     
              Jerry R. Mayfield                                                
                                                                               
  Alaska Labor Relations Agency - Darrell F. Smith                             
                                                                               
  Occupational Safety and Health Review Board - Donald F.                      
              Hoff, Jr.                                                        
                                                                               
  Personnel Board - Gary P. Bader                                              
                                                                               
  WITNESS REGISTER                                                             
                                                                               
  JUANITA HENSLEY, Chief, Driver Services                                      
  Division of Motor Vehicles                                                   
  Department of Public Safety                                                  
  5700 E. Tudor Rd.                                                            
  Anchorage, Alaska  99507-1225                                                
  269-5559                                                                     
  Position Statement:  Supported HB 179                                        
                                                                               
  REP. KAY BROWN                                                               
  Alaska State Legislature                                                     
  Room 517, State Capitol                                                      
  Juneau, Alaska  99801-1182                                                   
  465-4998                                                                     
  Position Statement:  Sponsor of HB 54                                        
                                                                               
  GAIL GAREY, Lobbyist                                                         
  MCI Telecommunications Corp.                                                 
  707 17th Street #3900                                                        
  Denver, CO  80202                                                            
  (303) 291-6506                                                               
  Position Statement:  Opposed HB 54                                           
                       (Spoke via teleconference)                              
                                                                               
  PAUL ARNOLDT, Director                                                       
  Division of Workers' Compensation                                            
  Department of Labor                                                          
  P.O. Box 25512                                                               
  Juneau, Alaska  99802-5512                                                   
  465-2790                                                                     
  Position Statement:  Answered questions on workers'                          
                       compensation                                            
                                                                               
  JERRY REINWAND, Lobbyist                                                     
  Alaska Timber Insurance Exchange                                             
  2 Marine Way, #219                                                           
  Juneau, Alaska  99801                                                        
  586-8966                                                                     
  Position Statement:  Opposed HB 203                                          
                                                                               
  DAVID THOMPSON, Executive Director                                           
  Alaska Center for Deaf Adults                                                
  731 Gamble, Suite 200                                                        
  Anchorage, Alaska  99501-3754                                                
  276-3456                                                                     
  Position Statement:  Supported HB 203                                        
                                                                               
  RESA JERREL, Lobbyist                                                        
  National Federation of Independent Business                                  
  9159 Skywood                                                                 
  Juneau, Alaska  99801                                                        
  789-4278                                                                     
  Position Statement:  Opposed HB 203                                          
                                                                               
  JAY FRANK, Lobbyist                                                          
  State Farm and Allstate Insurance                                            
  431 N. Franklin St.                                                          
  Juneau, Alaska  99801                                                        
  586-5777                                                                     
  Position Statement:  Opposed HB 203                                          
                                                                               
  JOHN GEORGE, Lobbyist                                                        
  National Association of Independent Insurers                                 
  9515 Moraine Way                                                             
  Juneau, Alaska  99801                                                        
  789-0172                                                                     
  Position Statement:  Opposed HB 203                                          
                                                                               
  JOE POOR, Lobbyist                                                           
  Juneau Chamber of Commerce                                                   
  124 W. 5th                                                                   
  Juneau, Alaska  99801                                                        
  586-6420                                                                     
  Position Statement:  Opposed HB 203                                          
                                                                               
                                                                               
  PREVIOUS ACTION                                                              
  BILL:  HB 179                                                                
  SHORT TITLE: MOTOR VEHICLE REGISTRATION, FEES, ETC.                          
  BILL VERSION:                                                                
  SPONSOR(S): LABOR & COMMERCE                                                 
                                                                               
  TITLE: "An Act relating to motor vehicles and mobile homes:                  
  and providing for an effective date."                                        
                                                                               
  JRN-DATE    JRN-PG                     ACTION                                
  02/24/93       435    (H)   READ THE FIRST TIME/REFERRAL(S)                  
  02/24/93       435    (H)   LABOR & COMMERCE, FINANCE                        
  03/09/93              (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 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 93-22, SIDE A                                                           
  Number 001                                                                   
                                                                               
  CHAIRMAN HUDSON called the meeting to order at 3:40 p.m. and                 
  noted members present.  He introduced the first bill for                     
  committee consideration.                                                     
  HB 179 - MOTOR VEHICLE REGISTRATION, FEES, ETC.                              
                                                                               
  REP. PORTER asked the reason for the increase of three staff                 
  members reflected in the fiscal note.  Rep. Porter further                   
  asked if the Division of Motor Vehicles planned any public                   
  information blitz to inform the public on this new fee                       
  structure.                                                                   
                                                                               
  Number 030                                                                   
                                                                               
  JUANITA HENSLEY, CHIEF, DRIVER SERVICES, DIVISION OF MOTOR                   
  VEHICLES, DEPARTMENT OF PUBLIC SAFETY, replied that the                      
  division expects there to be many complaints from the public                 
  necessitating the increase in staff.  Ms. Hensley further                    
  noted that the division would be revising the registration                   
  forms, including to identify this fee as a municipal tax as                  
  opposed to a state tax.                                                      
                                                                               
  Number 030                                                                   
                                                                               
  REP. MULDER asked for clarification regarding whether or not                 
  registration fees would be increasing.                                       
                                                                               
  MS. HENSLEY replied that there would be a increase in                        
  registration fees only in those areas that have a municipal                  
  registration tax.                                                            
                                                                               
  Number 055                                                                   
                                                                               
  CHAIRMAN HUDSON asked if Rep. Mulder was satisfied with                      
  section 6 of the bill dealing with mobile homes.                             
                                                                               
  REP. MULDER replied that he was.                                             
                                                                               
  REP. PORTER moved for passage of CSHB 179(L&C) with fiscal                   
  notes and individual recommendations.  No objections were                    
  heard, it was so ordered.                                                    
  CONFIRMATIONS                                                                
                                                                               
  Number 104                                                                   
                                                                               
  CHAIRMAN HUDSON brought the following individual names                       
  before the committee for CONFIRMATION:                                       
                                                                               
       ARCHITECTS, ENGINEERS, AND LAND SURVEYORS                               
                                                                               
       RICHARD ARMSTRONG                                                       
       PAUL HARTIG                                                             
       WILLIAM MENDENHALL                                                      
       MICHAEL SCHWARTZ                                                        
                                                                               
       BOARD OF BARBERS AND HAIRDRESSERS                                       
                                                                               
       MICHELLE LOPTIEN                                                        
       JERRY MAYFIELD                                                          
                                                                               
       ALASKA LABOR RELATIONS AGENCY                                           
                                                                               
       DARRELL SMITH                                                           
                                                                               
       PERSONNEL BOARD                                                         
                                                                               
       GARY BADER                                                              
                                                                               
       OCCUPATIONAL SAFETY AND HEALTH REVIEW BOARD                             
                                                                               
       DONALD HOFF, JR.                                                        
                                                                               
  REP. MACKIE moved that the persons listed above be                           
  confirmed.  No objections were expressed, it was so ordered.                 
  HB 54 - TELEPHONE CONSUMER PROTECTION                                        
                                                                               
  Number 179                                                                   
                                                                               
  REP. KAY BROWN, PRIME SPONSOR OF HB 54, noted that at the                    
  last committee hearing on this bill the committee discussed                  
  the proposed committee substitute (CS) which deletes section                 
  2 and focuses on two main areas:  caller identification and                  
  the other unlawful telephone solicitation.                                   
                                                                               
  REP. BROWN further noted that at the last meeting a number                   
  of questions were raised that she attempted to answer in the                 
  memo the committee had been given.  (This memo is on file in                 
  the committee room until the end of session.)                                
                                                                               
  Number 219                                                                   
                                                                               
  REP. MULDER moved to adopt CSHB 54(L&C).  No objections to                   
  the adoption of the CS were noted, it was so ordered.                        
                                                                               
  Number 226                                                                   
                                                                               
  REP. GREEN informed the committee that TOM ROY of the ALASKA                 
  TELEPHONE ASSOCIATION was not able to be at this meeting but                 
  wanted it to be known that he opposed the bill as currently                  
  written, but with some compromise that he could support it.                  
                                                                               
  Number 245                                                                   
                                                                               
  GAIL GAREY, MCI TELECOMMUNICATIONS, testified via                            
  teleconference in opposition to this bill, especially the                    
  sections regulating telephone solicitation.  Ms. Garey cited                 
  the Federal Communications Commission regulation as the                      
  answer to the problems brought up by consumers.                              
                                                                               
  (Note:  There were some technical problems regarding Ms.                     
  Garey's testimony on the teleconference network.)                            
                                                                               
  MS. GAREY noted that this further prohibition would only                     
  duplicate what the federal government already did.                           
                                                                               
  REP. BROWN asked Ms. Garey if MCI currently markets any                      
  products or services in Alaska.                                              
                                                                               
  MS. GAREY  replied that MCI does not have the authority to                   
  market in Alaska on an intra-state basis, but they do offer                  
  800 service.                                                                 
                                                                               
  REP. GREEN suggested that HB 54 be held for gathering                        
  further information.                                                         
                                                                               
  Number 405                                                                   
                                                                               
  REP. BROWN noted that both Reps. Green and Porter were on                    
  the next committee of referral and she would prefer to have                  
  the bill move on and do further work in that committee.                      
                                                                               
  Number 411                                                                   
                                                                               
  REP. MULDER stated he supported section 1 of the bill, but                   
  he thought sections 2 and 3 send a wrong message to                          
  businesses that makes it difficult to do business here.                      
  Rep. Mulder moved to delete sections 2 and 3 of HB 54.                       
                                                                               
  Number 429                                                                   
                                                                               
  REP. BROWN stated she believed that sections 2 and 3 will                    
  have a positive effect on business since it will in effect                   
  weed out those persons who don't wish to be telemarketed.                    
                                                                               
  REP. PORTER said he was not completely convinced regarding                   
  the need for sections 2 and 3, but he did not wish to see                    
  them taken out at this time.                                                 
                                                                               
  Number 500                                                                   
                                                                               
  Discussion ensued regarding how sections 2 and 3 would                       
  affect consumers and business.                                               
                                                                               
  TAPE 93-22, SIDE B                                                           
  Number 001                                                                   
                                                                               
  Discussion continued.                                                        
                                                                               
  Number 073                                                                   
                                                                               
  REP. MULDER moved to delete sections 2 and 3 of HB 54.  No                   
  objections were heard, it was so ordered.                                    
                                                                               
  Number 100                                                                   
                                                                               
  REP. PORTER moved for passage of CSHB 54(L&C) as amended                     
  with zero fiscal note and effective date.  No objections                     
  were noted, it was so ordered.                                               
                                                                               
  Number 130                                                                   
  HB 203 - ADMINISTRATIVE FEE FOR WORKERS' COMP.                               
                                                                               
  CHAIRMAN HUDSON noted that at the last meeting there were                    
  deep concerns from the community as to the effects of HB
  203.  Chairman Hudson believed that the committee should                     
  come up with a measure that would be both constructive as                    
  well as satisfy the reasons why this bill was drafted in the                 
  first place.                                                                 
                                                                               
  Number 137                                                                   
                                                                               
  PAUL ARNOLDT, DIRECTOR, DIVISION OF WORKERS' COMPENSATION,                   
  DEPARTMENT OF LABOR, stated that as a result of the last                     
  committee hearing, he met with some of the members of the                    
  industry on this issue.  At that meeting, the group                          
  discussed the major issues facing workers' compensation and                  
  how it affects business; the fact that there is a shortage                   
  of funding; what alternatives for funding exist, etc.                        
                                                                               
  MR. ARNOLDT said it was his understanding that the                           
  representatives of business left the meeting with the charge                 
  that they contact their constituency and get a consensus on                  
  where the members stood on the various issues.                               
  Unfortunately, the time frame was too short to allow that                    
  sort of extensive polling before today's meeting.                            
                                                                               
  MR. ARNOLDT discussed further the ramifications of the                       
  underfunding of the Division of Workers' Compensation.                       
                                                                               
  Number 269                                                                   
                                                                               
  JERRY REINWAND, ALASKA TIMBER INSURANCE EXCHANGE, testified                  
  in opposition to any fee increases on business.  Mr.                         
  Reinwand further stated that he believes the division has a                  
  budget problem that needs to be addressed through the                        
  general fund, but not on the backs of business by means of a                 
  tax of any other increase.                                                   
                                                                               
  FORMER REPRESENTATIVE DAVID THOMPSON, ALASKA CENTER FOR DEAF                 
  AND BLIND ADULTS, testified in support of more funding for                   
  the Division of Workers' Compensation.                                       
                                                                               
  Number 331                                                                   
                                                                               
  RESA JERREL, NATIONAL FEDERATION OF INDEPENDENT BUSINESS                     
  (NFIB), testified that 92 percent of the members of NFIB are                 
  opposed to increasing the fees business has to pay for                       
  workers' compensation.                                                       
                                                                               
  Number 389                                                                   
                                                                               
  CHAIRMAN HUDSON stated that it was not his intention to move                 
  HB 203 out of committee today.  The Chairman's intention was                 
  to address what the original purpose of the bill was to find                 
  a mechanism whereby industry could help locate                               
  indiscriminate spending or improper spending.  Otherwise, if                 
  adequate force is absent, industry will have to pay more and                 
  more in claims.                                                              
                                                                               
  Number 408                                                                   
                                                                               
  JAY FRANK, STATE FARM INSURANCE AND ALLSTATE INSURANCE,                      
  echoed comments by Ms. Jerrel in opposition to HB 203.                       
                                                                               
  Number 420                                                                   
                                                                               
  JOHN GEORGE, NATIONAL ASSOCIATION OF INDEPENDENT INSURERS,                   
  also echoed the comments of Mr. Jerrel and Mr. Frank.  Mr.                   
  George believes it was appropriate to look at which services                 
  the division is providing that are deserving of funding and                  
  which are not.  Mr. George said he plans on asking his                       
  industry to help home prioritize the services provided by                    
  the division.                                                                
                                                                               
  Number 444                                                                   
                                                                               
  CHAIRMAN HUDSON noted that there is a tremendous amount of                   
  workmen's compensation fraud happening across the nation.                    
                                                                               
  Number 457                                                                   
                                                                               
  JOE POOR, JUNEAU CHAMBER OF COMMERCE, testified that anytime                 
  you add cost for doing business in Juneau it hurts the                       
  economy.  He further stated that workers' compensation is                    
  the most expensive part of doing business.  Mr. Poor stated                  
  his opposition to HB 203.                                                    
                                                                               
  Number 570                                                                   
                                                                               
  CHAIRMAN HUDSON again stated that this bill was an attempt                   
  to open the lines of communication between business, the                     
  insurance industry, and government in an attempt to help                     
  government streamline its programs and help make the                         
  business climate more favorable especially in light of the                   
  economy.  It is not the wishes of the chairman to simply                     
  raise the costs of doing business in the state.                              
                                                                               
  CHAIRMAN HUDSON adjourned the meeting at 5:15 p.m.                           

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