Legislature(2019 - 2020)BARNES 124

03/02/2020 03:15 PM LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 232 MUNICIPAL TAX CREDITS TELECONFERENCED
Moved CSHB 232(L&C) Out of Committee
-- Public Testimony --
+= HB 93 MILITARY SPOUSE COURTESY LICENSE TELECONFERENCED
Heard & Held
-- Testimony <Invitation Only> --
+= HB 235 AK WORKFORCE INVESTMENT BOARD:ALLOCATIONS TELECONFERENCED
<Bill Hearing Canceled>
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
          HOUSE LABOR AND COMMERCE STANDING COMMITTEE                                                                         
                         March 2, 2020                                                                                          
                           3:19 p.m.                                                                                            
                                                                                                                                
                             DRAFT                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Ivy Spohnholz, Chair                                                                                             
Representative Louise Stutes                                                                                                    
Representative Zack Fields                                                                                                      
Representative Sara Hannan                                                                                                      
Representative Andi Story                                                                                                       
Representative Mel Gillis                                                                                                       
Representative Sara Rasmussen                                                                                                   
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 232                                                                                                              
"An Act relating to a municipal air quality improvement tax                                                                     
credit; and relating to a municipal energy efficient new                                                                        
construction tax credit."                                                                                                       
                                                                                                                                
     - MOVED CSHB 232(L&C) OUT OF COMMITTEE                                                                                     
                                                                                                                                
HOUSE BILL NO. 93                                                                                                               
"An Act relating to temporary courtesy licenses for certain                                                                     
nonresident professionals; and relating to the Department of                                                                    
Commerce, Community, and Economic Development."                                                                                 
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 232                                                                                                                  
SHORT TITLE: MUNICIPAL TAX CREDITS                                                                                              
SPONSOR(s): REPRESENTATIVE(s) HOPKINS                                                                                           
                                                                                                                                
02/03/20       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/03/20       (H)       ENE, L&C                                                                                               
02/11/20       (H)       ENE AT 10:15 AM CAPITOL 17                                                                             
02/11/20       (H)       Heard & Held                                                                                           
02/11/20       (H)       MINUTE(ENE)                                                                                            
02/20/20       (H)       ENE AT 10:15 AM CAPITOL 17                                                                             
02/20/20       (H)       Moved CSHB 232(ENE) Out of Committee                                                                   
02/20/20       (H)       MINUTE(ENE)                                                                                            
02/21/20       (H)       ENE RPT CS(ENE) NT 5DP 1NR                                                                             
02/21/20       (H)       DP:    FIELDS,    LINCOLN,    SPOHNHOLZ,                                                               
                       ZULKOSKY, HOPKINS                                                                                        
02/21/20       (H)       NR: RAUSCHER                                                                                           
02/26/20       (H)       L&C AT 3:15 PM BARNES 124                                                                              
02/26/20       (H)       Heard & Held                                                                                           
02/26/20       (H)       MINUTE(L&C)                                                                                            
03/02/20       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
BILL: HB  93                                                                                                                  
SHORT TITLE: MILITARY SPOUSE COURTESY LICENSE                                                                                   
SPONSOR(s): REPRESENTATIVE(s) TUCK                                                                                              
                                                                                                                                
03/13/19       (H)       READ THE FIRST TIME - REFERRALS                                                                        
03/13/19       (H)       MLV, L&C                                                                                               
04/02/19       (H)       MLV AT 1:00 PM GRUENBERG 120                                                                           
04/02/19       (H)       Heard & Held                                                                                           
04/02/19       (H)       MINUTE(MLV)                                                                                            
04/04/19       (H)       MLV AT 1:00 PM GRUENBERG 120                                                                           
04/04/19       (H)       -- MEETING CANCELED --                                                                                 
04/09/19       (H)       MLV AT 1:00 PM GRUENBERG 120                                                                           
04/09/19       (H)       -- MEETING CANCELED --                                                                                 
04/16/19       (H)       MLV AT 1:00 PM GRUENBERG 120                                                                           
04/16/19       (H)       Moved HB 93 Out of Committee                                                                           
04/16/19       (H)       MINUTE(MLV)                                                                                            
04/17/19       (H)       MLV RPT 6DP                                                                                            
04/17/19       (H)       DP: THOMPSON, RAUSCHER, TUCK, JACKSON,                                                                 
                         TARR, LEDOUX                                                                                           
05/06/19       (H)       L&C AT 3:15 PM BARNES 124                                                                              
05/06/19       (H)       -- MEETING CANCELED --                                                                                 
05/10/19       (H)       L&C AT 3:15 PM BARNES 124                                                                              
05/10/19       (H)       Heard & Held                                                                                           
05/10/19       (H)       MINUTE(L&C)                                                                                            
03/02/20       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
REPRESENTATIVE GRIER HOPKINS                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As prime sponsor, provided an opening                                                                    
statement reviewing HB 232.                                                                                                     
                                                                                                                                
NILS ANDREASSEN, Executive Director                                                                                             
Alaska Municipal League                                                                                                         
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 232.                                                                          
                                                                                                                                
AARON WELTERLEN                                                                                                                 
Alaska State Homebuilders Association                                                                                           
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 232.                                                                          
                                                                                                                                
BRANDON SNODGRASS, Construction/Commercial Lender                                                                               
First National Bank of Alaska                                                                                                   
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 232.                                                                          
                                                                                                                                
JOSEPH CAISSIE, Assistant State Assessor                                                                                        
Division of Community and Regional Affairs                                                                                      
Department of Commerce, Community & Economic Development                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Answered questions during the hearing on HB                                                              
232.                                                                                                                            
                                                                                                                                
REPRESENTATIVE CHRIS TUCK                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As prime sponsor, introduced HB 93.                                                                      
                                                                                                                                
MICHAEL MASON, Staff                                                                                                            
Representative Chris Tuck                                                                                                       
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Provided a sectional analysis for HB 93 on                                                               
behalf of Representative Tuck, prime sponsor.                                                                                   
                                                                                                                                
SARA CHAMBERS, Director                                                                                                         
Division of Corporations, Business, & Professional Licensing                                                                    
Department of Commerce, Community & Economic Development                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified during the hearing on HB 93.                                                                   
                                                                                                                                
TAMMIE PERREAULT, Regional Liaison                                                                                              
Defense-State Liaison Office                                                                                                    
U.S. Department of Defense                                                                                                      
Joint Base Lewis-McChord, Washington                                                                                            
POSITION STATEMENT:  Answered questions during the hearing on HB                                                              
93.                                                                                                                             
                                                                                                                                
TED MADSEN, Staff                                                                                                               
Representative Ivy Spohnholz                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Explained Conceptual  Amendment 1, on behalf                                                             
of Representative Spohnholz, during the hearing on HB 232.                                                                      
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:19:44 PM                                                                                                                    
                                                                                                                                
CHAIR IVY SPOHNHOLZ called the  House Labor and Commerce Standing                                                             
Committee meeting to order at  3:19 p.m.  Representatives Stutes,                                                               
Hannan, Story, and  Spohnholz were present at the  call to order.                                                               
Representatives  Fields, Gillis,  and  Rasmussen  arrived as  the                                                               
meeting was in progress.                                                                                                        
                                                                                                                                
                  HB 232-MUNICIPAL TAX CREDITS                                                                              
                                                                                                                                
3:20:24 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ announced that the  first order of business would                                                               
be  HOUSE BILL  NO.  232, "An  Act relating  to  a municipal  air                                                               
quality  improvement  tax credit;  and  relating  to a  municipal                                                               
energy efficient new construction tax credit."                                                                                  
                                                                                                                                
3:20:38 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRIER HOPKINS, Alaska  State Legislature, as prime                                                               
sponsor,  provided  a  summary  of  HB  232.    He  informed  the                                                               
committee that HB  232 is being introduced at the  request of the                                                               
Fairbanks North Star Borough.   This legislation, he said, allows                                                               
local  governments to  offer municipal  tax credits  to home  and                                                               
business  owners  who  invest  in  property  improvements,  which                                                               
result  in  increased energy  efficiency  or  improved local  air                                                               
quality.   Relying  on the  adage  that local  problems are  best                                                               
solved through  local solutions, HB 232  allows municipalities to                                                               
offer  tax  credits  to  businesses and  or  residents  who  make                                                               
investments  that will  result in  cleaner air  or reductions  in                                                               
overall energy use.   The bill allows for  maximum flexibility by                                                               
municipalities who choose  to offer these credits.   He expressed                                                               
his hope that  these tools will result in  more interior Alaskans                                                               
choosing to convert  their home heating systems  to the expanding                                                               
Interior Gas Utility distribution  system, thereby maximizing the                                                               
return  on the  state's investment  in the  system.   He reported                                                               
that  the  legislation  has garnered  support  beyond  the  local                                                               
municipality,  as Aurora  Energy,  LLC. and  Usibelli Coal  Mine,                                                               
Inc. have both  offered letters of support [included  in the bill                                                               
packet].   Furthermore,  Alaska  Municipal  League, Alaska  State                                                               
Homebuilders  Association, Interior  Gas  Utility, Alaska  Miners                                                               
Association, and  Cold Climate Housing Research  Center have also                                                               
endorsed this  legislation.   He stated  that this  is a  no harm                                                               
bill that offers municipalities maximum  flexibility.  HB 232 has                                                               
been expanded to  offer more options for  municipalities that are                                                               
addressing  local   air  quality   concerns  and   makes  credits                                                               
available  for  new  construction   as  well  as  refurbishments,                                                               
remodels, and renovations.                                                                                                      
                                                                                                                                
3:23:04 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HANNAN  speculated  that  Fairbanks  has  already                                                               
figured out how much  tax credit they will have to  give to get a                                                               
return.  She inquired as to  the amount they think they will need                                                               
to give  as an incentive  to get  their ideal results  in reduced                                                               
air pollution.                                                                                                                  
                                                                                                                                
REPRESENTATIVE HOPKINS said he has  not heard what their specific                                                               
plans are.   He explained that  hooking each type of  home system                                                               
up  to a  natural gas  system will  vary in  cost.   Much of  the                                                               
available area  for hookup  to Interior  Gas Utilities  is within                                                               
the  city of  Fairbanks,  as  well as  in  North  Pole, which  is                                                               
outside  the city.   It  will fluctuate  based on  who pays  what                                                               
property tax to which entity and where they are in that system.                                                                 
                                                                                                                                
3:24:14 PM                                                                                                                    
                                                                                                                                
CHAIR  SPOHNHOLZ  pointed  out  that  HB  232  as  its  currently                                                               
defined, would only allow for the  tax credits to be good for one                                                               
year at a time.  She asked if that was intentional.                                                                             
                                                                                                                                
REPRESENTATIVE  HOPKINS   answered  no,  it  was   through  legal                                                               
drafting.     He  offered  his   understanding  that   the  local                                                               
municipality  would need  to make  sure that  they maintain  them                                                               
throughout each year's assessment period.                                                                                       
                                                                                                                                
CHAIR SPOHNHOLZ speculated  that, "it does seem  that there might                                                               
be times when  an energy efficiency improvement -  you might want                                                               
to take  the tax credit  over multiple  years, or there  might be                                                               
some projects  that might take longer."   She asked if  there has                                                               
been any discussion about that.                                                                                                 
                                                                                                                                
REPRESENTATIVE HOPKINS  offered his  understanding that  they are                                                               
assessed annually, and  property taxes are paid  for the previous                                                               
year.   He went on  to say, "it  would be what  those assessments                                                               
are for  that previous year and  so they would get  that one-year                                                               
tax credit for  that (indisc.)   carry forward, or  would they be                                                               
able to  offset tax credits  for future  years and that  would be                                                               
available to the municipality to write how they'd like it."                                                                     
                                                                                                                                
3:26:08 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ asked  if it's possible to have a  credit that is                                                               
larger than the tax liability in any one year.                                                                                  
                                                                                                                                
REPRESENTATIVE HOPKINS  explained that  in terms of  property tax                                                               
credit, he's  never heard  of it  done that way.   He  added, "if                                                               
your home  is worth less  than $100,000, that property  tax would                                                               
be written only up to the $92,485  - or whatever it would be, not                                                               
in addition - those additional tax credits left over."                                                                          
                                                                                                                                
CHAIR SPOHNHOLZ asked  if the tax credit would  apply against the                                                               
tax itself or if it would  apply against the taxable value of the                                                               
property.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  HOPKINS said  the  cost itself,  adding that  the                                                               
resident must pay to the borough.                                                                                               
                                                                                                                                
CHAIR SPOHNHOLZ  clarified, "the tax  itself to the  borough, not                                                               
the tax value of the property."                                                                                                 
                                                                                                                                
REPRESENTATIVE HOPKINS answered yes.                                                                                            
                                                                                                                                
3:27:07 PM                                                                                                                    
                                                                                                                                
CHAIR  SPOHNHOLZ  pointed out  that  the  term "energy  efficient                                                               
construction" is not currently defined  in statute.  She asked if                                                               
there is any other reference statute.                                                                                           
                                                                                                                                
REPRESENTATIVE   HOPKINS   noted   that   after   speaking   with                                                               
Legislative Legal Services, they were not concerned about that.                                                                 
                                                                                                                                
CHAIR  SPOHNHOLZ asked  if that  would  take place  at the  local                                                               
level.                                                                                                                          
                                                                                                                                
REPRESENTATIVE HOPKINS  acknowledged that  his intent is  to give                                                               
municipalities   the    maximum   flexibility   in    regard   to                                                               
construction, adding that  he heard a number of  ideas that could                                                               
hopefully be done at the local level.                                                                                           
                                                                                                                                
CHAIR  SPOHNHOLZ  clarified that  there  are  multiple ways  they                                                               
could be structured, depending on what the community wants.                                                                     
                                                                                                                                
REPRESENTATIVE HOPKINS said  there are many ways  that the energy                                                               
improvements  have shown  to  be effective.    He shared  several                                                               
examples.                                                                                                                       
                                                                                                                                
3:28:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HANNAN  questioned  whether  there  are  specific                                                               
commercial enterprises  in the Fairbanks North  Star Borough that                                                               
anticipate taking advantage of the  tax credit and reducing their                                                               
air  pollution  as opposed  to  the  individual homeowner  coming                                                               
onboard with a new energy efficient system.                                                                                     
                                                                                                                                
REPRESENTATIVE  HOPKINS said  the  intention  is that  commercial                                                               
businesses would  also be  able to  hook up  to the  Interior Gas                                                               
Utility system  and not limit  that to homeowners.   He addressed                                                               
the Aurora  Energy Plant  and their  consideration of  creating a                                                               
dry  wood kiln  for Fairbanks  residents to  be able  to purchase                                                               
dried  firewood,  which  would   allow  for  better  air  quality                                                               
improvement.   He  went on  to  say that  this bill  would be  an                                                               
economic  boost  to  communities  by  giving  municipalities  the                                                               
ability  to  create tax  incentives  for  new construction.    He                                                               
explained that  there are ways  of reducing the  new constructors                                                               
tax  liability without  negatively  impacting the  municipalities                                                               
revenue or offsetting the lose revenues onto other people.                                                                      
                                                                                                                                
3:31:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GILLIS asked if someone  would receive tax credits                                                               
if they  are already saving  energy, or if the  bill specifically                                                               
applies to new construction.                                                                                                    
                                                                                                                                
REPRESENTATIVE  HOPKINS   said  it   would  not  apply   to  past                                                               
improvements.                                                                                                                   
                                                                                                                                
REPRESENTATIVE  GILLIS  clarified  that  it would  not  apply  to                                                               
someone who had already spent $15,000 to put a heated floor in.                                                                 
                                                                                                                                
REPRESENTATIVE HOPKINS confirmed that.                                                                                          
                                                                                                                                
3:32:14 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ in response to  Representative Gillis, noted that                                                               
the  bill specifically  says to  allow for  tax credits  based on                                                               
real property improvements made  in the immediately preceding tax                                                               
year.                                                                                                                           
                                                                                                                                
3:32:31 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ opened public testimony.                                                                                        
                                                                                                                                
3:32:44 PM                                                                                                                    
                                                                                                                                
NILS  ANDREASSEN, Executive  Director,  Alaska Municipal  League,                                                               
commended the  bill sponsor  for the construction  of the  HB 232                                                               
and maximizing local  control.  He said that the  way the bill is                                                               
constructed  empowers local  governments and  allows them  to set                                                               
the   terms  that   they  deem   necessary  for   their  economic                                                               
development  and tax  evaluation.   This gives  local governments                                                               
additional tools to look for  solutions to air quality and energy                                                               
efficiency improvements.   He  offered his  belief that  the more                                                               
tools created  for local governments  the more ability  they have                                                               
to address the needs of Alaskans.                                                                                               
                                                                                                                                
3:34:11 PM                                                                                                                    
                                                                                                                                
AARON   WELTERLEN,  Alaska   State  Home   Building  Association,                                                               
informed  the  committee  that  he   is  a  local  contractor  in                                                               
Fairbanks  and a  member  of both  the  Interior Alaska  Building                                                               
Association  and  the  Alaska  State  Home  Building  Association                                                               
(ASHBA).   He  stated  that the  ASHBA looks  forward  to HB  232                                                               
passing as quickly as possible.   The ASHBA has a long history of                                                               
supporting  energy efficient  construction, he  said.   They have                                                               
supported  state  programs  in  the past,  such  as  home  energy                                                               
rebates  and funding  for low  income  (indisc.).   He said  that                                                               
Fairbanks has  some of the  highest energy costs in  the country.                                                               
He explained that most consumers  want energy efficient homes but                                                               
often  can't  afford  them,  due   to  low  appraisals  and  high                                                               
construction  costs.    He  added that  HB  232  could  stimulate                                                               
housing  starts in  the Fairbanks  community.   Energy  efficient                                                               
construction  pays  dividends  for  years to  come  in  terms  of                                                               
monthly cost reductions,  as well as healthy homes  which lead to                                                               
healthy  inhabitants, he  said.    Remodeling poorly  constructed                                                               
homes is  more expensive  than building  them properly  up front,                                                               
which is  why the  ASHBA fully  supports this bill.   He  said it                                                               
would improve the standard of living for homeowners and tenants.                                                                
                                                                                                                                
3:36:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RASMUSSEN noted  that Alaska  housing is  working                                                               
with the Appraisal  Institute to ensure that  appraisals are well                                                               
trained in valuing energy efficient properties.                                                                                 
                                                                                                                                
3:37:23 PM                                                                                                                    
                                                                                                                                
BRANDON   SNODGRASS,    Construction/Commercial   Lender,   First                                                               
National Bank  of Alaska, stated  that he  is a board  member for                                                               
the  Anchorage Home  Builders Association  (AHBA) and  the Alaska                                                               
State  Home  Building  Association  (ASHBA).    He  informed  the                                                               
committee that energy efficient homes  are more beneficial to the                                                               
environment,  cost less  to maintain,  last  longer, and  provide                                                               
healthier  living  spaces  for their  occupants.    He  recounted                                                               
having seen  people who  have reduced  the planned  efficiency of                                                               
their home because  of the equity requirements  and evaluation of                                                               
the property.   When  building a new  home, the  borrow typically                                                               
needs 20-25 percent equity in  the project upfront - through land                                                               
or cash.   If the evaluation comes in lower  than the total cost,                                                               
often times  borrowers will  sacrifice energy  efficiency instead                                                               
of  coming  up  with  the  extra  cash.    He  addressed  various                                                               
appraisal issues related to energy  efficiencies.  He offered his                                                               
belief that  this bill would  add to  the economy and  create new                                                               
business opportunities for businesses to  enter the market or for                                                               
existing businesses to grow.                                                                                                    
                                                                                                                                
REPRESENTATIVE RASMUSSEN  asked if  solar will be  included under                                                               
the Anchorage ordinance.                                                                                                        
                                                                                                                                
3:42:57 PM                                                                                                                    
                                                                                                                                
MR. SNODGRASS  said there  is no  mention of  solar [power].   He                                                               
noted  that  there  are  a   growing  number  of  solar  projects                                                               
happening in  Anchorage.   He offered  his understanding  that he                                                               
financed the only  home in the Anchorage inspection  area that is                                                               
completely off the grid with solar wind power.                                                                                  
                                                                                                                                
3:44:04 PM                                                                                                                    
                                                                                                                                
CHAIR  SPOHNHOLZ questioned  whether the  one-year limitation  on                                                               
the tax credit represents an obstacle or a natural framework.                                                                   
                                                                                                                                
MR. SNODGRASS  offered his understanding that  the one-year limit                                                               
referred to things  that had happened within the last  year.  The                                                               
way the proposed municipality ordinance  is written in Anchorage,                                                               
he  said,  would allow  for  five  years  of tax  exemptions  for                                                               
anything that was retrofitted or  built within the last year when                                                               
the credit was applied for.                                                                                                     
                                                                                                                                
CHAIR SPOHNHOLZ said  she wants to ensure  that local communities                                                               
have  the  flexibility to  implement  this.   In  Anchorage,  for                                                               
example,  adding  energy efficient  elements  to  a higher  value                                                               
property could  be expensive; however, they  could pay themselves                                                               
back if  they were spread  out over  several years for  which the                                                               
municipality would be  willing to offer a  multi-year tax credit,                                                               
as they have  identified energy efficiency as  a primary strategy                                                               
in their climate action plan at  the local level.  She reiterated                                                               
that she wants  to offer communities the ability  to offer multi-                                                               
year tax credits.                                                                                                               
                                                                                                                                
MR. SNODGRASS replied that he fully supports that.                                                                              
                                                                                                                                
3:46:25 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HOPKINS  agreed.   He said the  improvements would                                                               
be made the  previous year; however, the tax credit  could be for                                                               
multiple years afterward.  He provided several examples.                                                                        
                                                                                                                                
CHAIR  SPOHNHOLZ   asked  Mr.  Caisse  to   answer  the  question                                                               
regarding tax exemptions over multiple years.                                                                                   
                                                                                                                                
3:47:33 PM                                                                                                                    
                                                                                                                                
JOSEPH CAISSIE,  Assistant State Assessor, Division  of Community                                                               
and  Regional  Affairs,  Department   of  Commerce,  Community  &                                                               
Economic Development, disclosed that he  is not a lawyer although                                                               
he did  attend law school.   He said he  would have read  that to                                                               
mean only one year after the improvement is made.                                                                               
                                                                                                                                
3:48:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HANNAN  sought clarification on  his understanding                                                               
of the issue in question.                                                                                                       
                                                                                                                                
MR. CAISSIE stated  that he would interpret  the current language                                                               
to  mean "only  the  one  year after  and  if  you are  intending                                                               
something like five  years, I think you might want  to reword the                                                               
bill."                                                                                                                          
                                                                                                                                
CHAIR SPOHNHOLZ read the following:                                                                                             
                                                                                                                                
     An ordinance  may provide for  an energy  efficient new                                                                    
     construction  tax   credit  to  offset  a   portion  of                                                                    
     property   taxes  due   on  a   residential  commercial                                                                    
     property  that  during  the immediately  preceding  tax                                                                    
     year   was   improved   with   energy   efficient   new                                                                    
     construction.                                                                                                              
                                                                                                                                
CHAIR SPOHNHOLZ  added that they may  want to spend more  time on                                                               
this to  get it  right.   She asked if  anyone is  available from                                                               
Legislative Legal Services.                                                                                                     
                                                                                                                                
3:49:17 PM                                                                                                                    
                                                                                                                                
CHAIR  SPOHNHOLZ closed  public  testimony.   She announced  that                                                               
they would resume HB 232 at the end of this committee meeting.                                                                  
                                                                                                                                
            HB  93-MILITARY SPOUSE COURTESY LICENSE                                                                         
                                                                                                                                
3:49:33 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ announced  that the next order  of business would                                                               
be  HOUSE BILL  NO. 93,  "An Act  relating to  temporary courtesy                                                               
licenses for  certain nonresident professionals; and  relating to                                                               
the   Department    of   Commerce,   Community,    and   Economic                                                               
Development."                                                                                                                   
                                                                                                                                
3:50:01 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CHRIS TUCK,  Alaska State  Legislature, as  prime                                                               
sponsor, introduced  HB 93 and paraphrased  the sponsor statement                                                               
included in the  committee packet, which read in  its entirety as                                                               
follows:                                                                                                                        
                                                                                                                                
     House  Bill  93  calls  for the  Alaska  Department  of                                                                    
     Commerce,   Community  and   Economic  Development   to                                                                    
     prepare   an  annual   report  to   allow  the   Alaska                                                                    
     Legislature to  evaluate the progress  of a  program to                                                                    
     make    temporary   courtesy    occupational   licenses                                                                    
     available  to  the  spouses   of  active  duty  service                                                                    
     members  stationed  in  Alaska.  In  2011,  the  Alaska                                                                    
     Legislature passed  House Bill 28 to  provide expedited                                                                    
     temporary  courtesy  licenses   if  a  military  spouse                                                                    
     possesses a  license from a previous  jurisdiction with                                                                    
     similar requirements  to the State of  Alaska. However,                                                                    
     the bill didn't include reporting requirements.                                                                            
                                                                                                                                
     Making  temporary courtesy  licenses  available to  the                                                                    
     spouses of  active duty service members  allows them to                                                                    
     practice  their  chosen  trade  without  having  to  go                                                                    
     through  the time-consuming  process  of meeting  state                                                                    
     licensure    requirements   before    beginning   work.                                                                    
     Expediting  courtesy  licenses   for  military  spouses                                                                    
     allows them to  go to work quickly  after relocating to                                                                    
     Alaska,   while  they   work  to   fulfill  the   state                                                                    
     requirements for their license.                                                                                            
                                                                                                                                
     The requirement in  House Bill 93 for  an annual report                                                                    
     will  allow the  Alaska  Legislature,  the Joint  Armed                                                                    
     Services Committee,  military installations,  and local                                                                    
     communities to track the progress  of the Department of                                                                    
     Commerce, Community and  Economic Development in making                                                                    
     temporary  courtesy  licenses   available  to  military                                                                    
     spouses.  HB  93  also  calls  for  the  department  to                                                                    
     produce  and distribute  informational materials  about                                                                    
     temporary  courtesy licenses  to each  board authorized                                                                    
     to issue such licenses.  The intent of this stipulation                                                                    
     is to  improve the  board's knowledge of  the licenses,                                                                    
     the  application process,  and  the  best practices  in                                                                    
     providing  applicant  support. Additionally,  the  bill                                                                    
     calls  for  the  department   to  encourage  boards  to                                                                    
     designate a  single employee to  serve as the  point of                                                                    
     contact  for public  information and  inquiries related                                                                    
     to temporary courtesy licenses for military spouses.                                                                       
                                                                                                                                
     The  annual  report called  for  in  HB 93  would  also                                                                    
     highlight many  of the opportunities available  to help                                                                    
     military  spouses enter  the  workforce  in Alaska.  To                                                                    
     date,  a  low  number of  eligible  professionals  have                                                                    
     taken  advantage  of  the  temporary  courtesy  license                                                                    
     program in Alaska, and  many participants have reported                                                                    
     delays.   House    Bill   93   would    help   identify                                                                    
     inefficiencies in the program.                                                                                             
                                                                                                                                
     Legislation similar to House  Bill 93 passed the Alaska                                                                    
     House of  Representatives unanimously  in 2018  but was                                                                    
     not taken up by the Alaska State Senate.                                                                                   
                                                                                                                                
     Making  temporary   courtesy  occupational   and  other                                                                    
     licenses available  to military  spouses is  a priority                                                                    
     for the U.S. Department of Defense.                                                                                        
                                                                                                                                
REPRESENTATIVE TUCK continued to provide several statistics on                                                                  
military families and spouses.                                                                                                  
                                                                                                                                
3:54:57 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ inquired as to the length of a temporary                                                                        
license.                                                                                                                        
                                                                                                                                
REPRESENTATIVE TUCK answered 180 days.                                                                                          
                                                                                                                                
CHAIR SPOHNHOLZ  asked how  many days  temporary licenses  can be                                                               
extended for.                                                                                                                   
                                                                                                                                
REPRESENTATIVE TUCK said another 180 days.                                                                                      
                                                                                                                                
REPRESENTATIVE TUCK stated that HB  93 seeks to create a progress                                                               
report  for the  legislature.   He added  that the  original bill                                                               
allowing  temporary licensure  for spouses  passed in  2011.   He                                                               
explained that  the bill  calls for  the Department  of Commerce,                                                               
Community  &   Economic  Development   (DCCED)  to   produce  and                                                               
distribute  the  information  annually   and  biennially  to  the                                                               
legislature,  and  it  calls  for  the  department  to  encourage                                                               
professional licensing  boards to designate a  single employee to                                                               
serve as the point of contact for public information.                                                                           
                                                                                                                                
3:56:14 PM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
3:56:20 PM                                                                                                                    
                                                                                                                                
MICHAEL  MASON, Staff,  Representative Chris  Tuck, on  behalf of                                                               
Representative  Tuck,  prime  sponsor,  presented  the  sectional                                                               
analysis for HB 93 included in the committee packet.                                                                            
                                                                                                                                
REPRESENTATIVE TUCK added  that this is a difficult  process.  He                                                               
said  the  report  will  help   the  legislature  understand  the                                                               
direction and  how to help  the department  get there.   He added                                                               
that  because of  the high  turnover from  one administration  to                                                               
another, consistent progress and oversight is desired.                                                                          
                                                                                                                                
3:59:53 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STUTES asked what prompted this bill.                                                                            
                                                                                                                                
REPRESENTATIVE  TUCK  replied  that  military  spouses  who  were                                                               
unable to  get their  temporary licenses over  the years  is what                                                               
prompted HB 93.                                                                                                                 
                                                                                                                                
4:00:14 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STUTES   offered  her  understanding   that  this                                                               
legislation is amending the original  bill to include a reporting                                                               
requirement.                                                                                                                    
                                                                                                                                
REPRESENTATIVE TUCK  acknowledged that  the original  bill passed                                                               
in  2011;   however,  despite  all  the   different  occupational                                                               
licenses  available,  they  still   lack  the  ability  to  issue                                                               
temporary licenses for military spouses.   He said it's important                                                               
to  look at  the past  experiences of  other states,  as well  as                                                               
their requirements  and if there  are any existing  problems with                                                               
their reciprocity or with issuing licenses.                                                                                     
                                                                                                                                
REPRESENTATIVE  STUTES  expressed  confusion and  asked  for  the                                                               
difference between the current bill  and the original legislation                                                               
that passed in 2011.                                                                                                            
                                                                                                                                
REPRESENTATIVE  TUCK explained  that the  difference is  that the                                                               
current  bill implements  the reporting  requirements that  go to                                                               
the  legislature  while fulfilling  the  conditions  of the  2011                                                               
legislation.                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STUTES asked  if  there's  already a  reciprocity                                                               
agreement in place.                                                                                                             
                                                                                                                                
REPRESENTATIVE TUCK  said a bill  that allows  temporary licenses                                                               
has  passed; however,  not  all  the criteria  is  being met,  as                                                               
temporary licenses for all occupations are not being issued yet.                                                                
                                                                                                                                
REPRESENTATIVE STUTES sought to clarify the purpose of HB 93.                                                                   
                                                                                                                                
REPRESENTATIVE TUCK  explained that there are  various alignments                                                               
that needs  to happen for  a temporary  license to be  issued per                                                               
profession.    He  reiterated  that the  report  would  show  the                                                               
progress being made for each occupation by every state.                                                                         
                                                                                                                                
CHAIR SPOHNHOLZ  summarized that  this was  already allowed  in a                                                               
bill  that passed  in 2011,  but it's  not being  implemented and                                                               
executed in every state.  She  added that HB 93 requests a report                                                               
on what needs to be done and why.                                                                                               
                                                                                                                                
4:04:41 PM                                                                                                                    
                                                                                                                                
MR. MASON noted  that military spouses are not  using the program                                                               
as much  as was anticipated.   The hope  is that the  report will                                                               
increase attention  and the dedicated  person on each  board will                                                               
help facilitate more usage of the temporary licenses.                                                                           
                                                                                                                                
REPRESENTATIVE  STUTES asked  how  the  need for  HB  93 came  to                                                               
light.                                                                                                                          
                                                                                                                                
REPRESENTATIVE  TUCK  explained  that   HB  93  was  prompted  by                                                               
military spouses not being able to get temporary licenses.                                                                      
                                                                                                                                
4:05:46 PM                                                                                                                    
                                                                                                                                
SARA CHAMBERS, Director, Division  of Corporations, Business, and                                                               
Professional  Licensing,  Department  of  Commerce,  Community  &                                                               
Economic Development, said that  the 2011 legislation states that                                                               
the department  and boards may issue  temporary licenses; however                                                               
it does not mandate that  temporary licenses be issued or created                                                               
for military  spouses.   She reported  that there  is a  level of                                                               
frustration  among   Alaska's  military  families   and  military                                                               
community that boards can choose  to issue a temporary license or                                                               
not.  She said that this is  one in a continuum of best practices                                                               
that the  U.S. Department  of Defense  is illuminating  for state                                                               
legislatures  and state  licensing  professionals.   Furthermore,                                                               
temporary licensing  is one  of the  lighter ways  to accommodate                                                               
military  families.   She added  that there  is a  wide range  of                                                               
things  that could  be done,  with licensing  compacts being  the                                                               
most desired  aspect.   This report, she  said, would  compel the                                                               
department to provide the data  that legislators could use to see                                                               
what  is being  done, how  it's being  used, whether  there is  a                                                               
demand that  is being met  or not, and if  Alaska is at  risk for                                                               
losing military  basing or expansion  opportunities because  of a                                                               
lack of response to workplace economic needs.                                                                                   
                                                                                                                                
4:08:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS asked in  general, which temporary licenses                                                               
are currently being issued.                                                                                                     
                                                                                                                                
MS. CHAMBERS  stated that  there are over  200 types  of licenses                                                               
that are offered among the 21 boards and 22 professions.                                                                        
                                                                                                                                
REPRESENTATIVE FIELDS  asked if temporary licenses  can be issued                                                               
for doctors                                                                                                                     
                                                                                                                                
MS. CHAMBERS answered yes.                                                                                                      
                                                                                                                                
4:09:03 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS  noted that  several groups  like Americans                                                               
for Prosperity  have worked to deregulate  occupational licensing                                                               
with the  goal of  breaking unions  and driving  down wages.   He                                                               
stated that  he supports  HB 93  and Alaska's  military families;                                                               
however, he  said he  wants to make  sure that  military families                                                               
are not being  used as (indisc.) to  undermine Alaska's (indisc.)                                                               
and high wages.                                                                                                                 
                                                                                                                                
CHAIR  SPOHNHOLZ   concurred  with  the  concern   that  Alaska's                                                               
licensure standards  are not being  undermined by  forces outside                                                               
of the  state.   She said  she wants to  make sure  that military                                                               
spouses are supported  and that the state is  taking advantage of                                                               
the human capital.                                                                                                              
                                                                                                                                
4:09:48 PM                                                                                                                    
                                                                                                                                
MS.  CHAMBERS,  responding  to  a  question  from  Representative                                                               
Hannan, explained  that through  attrition, waning  interests, or                                                               
competing priorities,  some of  the boards  have failed  to adopt                                                               
temporary licenses.                                                                                                             
                                                                                                                                
REPRESENTATIVE  HANNAN  asked  if  the  omnibus  bill  concerning                                                               
temporary licenses  passes, "would it  be duplicative of  the law                                                               
that already gives that authority on military spouses."                                                                         
                                                                                                                                
MS. CHAMBERS said  the omnibus bill was crafted  to subsume this.                                                               
She  explained  that  it would  continue  to  require  expediting                                                               
military spouse licensure, while  opening an opportunity for more                                                               
than  just  military  spouses  to  take  advantage  of  temporary                                                               
licensing.                                                                                                                      
                                                                                                                                
4:13:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HANNAN noted  that there is no fiscal  note for HB                                                               
93.   She questioned  whether Ms.  Chambers anticipates  a fiscal                                                               
note to make this goal of more temporary licenses achievable.                                                                   
                                                                                                                                
MS.  CHAMBERS   offered  her  belief  that   they  have  adequate                                                               
authority to  get that done.   She said they would  make a budget                                                               
request if a problem arose.                                                                                                     
                                                                                                                                
CHAIR SPOHNHOLZ reminded  members that HB 93 is  just providing a                                                               
report on the work that's already been done.                                                                                    
                                                                                                                                
4:14:28 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  asked if  the boards  have access  to staff                                                               
from  the  DCCED  to  help  them  understand  the  goals  of  the                                                               
department.                                                                                                                     
                                                                                                                                
4:14:59 PM                                                                                                                    
                                                                                                                                
MS. CHAMBERS  explained that all  the boards have  assigned staff                                                               
who work  every day to  support and  process licenses.   She said                                                               
the  department has  an interesting  staffing structure  in which                                                               
most boards have licensing examiners  who tend to be junior level                                                               
assistants.     Furthermore,   several   boards  have   executive                                                               
administrators,  which are  partially exempt  positions, who  can                                                               
engage  in policy.    She said  in the  absence  of an  executive                                                               
administrator,  the department's  management  team helps  provide                                                               
information to  the board and its  examiners.  She noted  that at                                                               
the end  of the day, the  boards are responsible for  hearing the                                                               
information that is being passed along to them.                                                                                 
                                                                                                                                
4:17:39 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   RASMUSSEN  expressed   her  concern   about  the                                                               
temporary licenses.   She said  "I want  to make sure  that we're                                                               
not putting any  group before another group, so  we have Alaskans                                                               
who  are trying  to  start working  and they  need  to get  their                                                               
approval through a board, and  we also have military families who                                                               
are coming in  and maybe it becomes a status  quo to do everybody                                                               
with  temporary licenses,  but again  the  exposure to  liability                                                               
worries me.                                                                                                                     
                                                                                                                                
4:20:21 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ  agreed that  she would be  reticent to  "rip the                                                               
band aid  off" when  it comes  to major reforms.   She  said that                                                               
it's legislators' job  to do the due diligence  to understand the                                                               
implications  of the  decisions that  are being  discussed.   She                                                               
reiterated that  today's discussion  is about  HB 93  which would                                                               
require a report around military  spouse licensure, not about the                                                               
omnibus bill that was introduced by the governor.                                                                               
                                                                                                                                
REPRESENTATIVE FIELDS  noted that he  has heard from  doctors who                                                               
are  very opposed  to  anything  that would  expand  or even  use                                                               
temporary  licensing for  medical professionals.   He  added that                                                               
they are very concerned about  the health and safety implications                                                               
involved with such a step.                                                                                                      
                                                                                                                                
4:21:32 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GILLIS  asked  if military  personnel  and  their                                                               
spouses can apply for a temporary license at this time.                                                                         
                                                                                                                                
MS.  CHAMBERS confirmed  that  they  can if  the  board offers  a                                                               
temporary license; however,  part of the problem is  that not all                                                               
boards  offer   temporary  licenses,   and  if  they   aren't  in                                                               
regulation then they're not available for people to apply for.                                                                  
                                                                                                                                
REPRESENTATIVE  GILLIS asked  if the  boards currently  offer any                                                               
temporary licenses.                                                                                                             
                                                                                                                                
MS. CHAMBERS  answered yes,  the boards  currently offer  quite a                                                               
few  temporary  licenses  for a  variety  of  programs  including                                                               
doctors and nurses.                                                                                                             
                                                                                                                                
REPRESENTATIVE GILLIS inquired as to  how many licenses have been                                                               
requested  in the  last three  years.   He opined  that the  term                                                               
"shall"  instead   of  "may"  sounds  like   "you're  not  giving                                                               
licenses."   He asked how many  have been requested and  how many                                                               
have been given.                                                                                                                
                                                                                                                                
CHAIR SPOHNHOLZ clarified that the  language in the original bill                                                               
was "may" not "shall."                                                                                                          
                                                                                                                                
4:23:04 PM                                                                                                                    
                                                                                                                                
MS. CHAMBERS said the numbers stay  low.  She explained that they                                                               
don't  have a  "push-a-button-and-this-is-the-number-of-military-                                                               
licenses-that-are-available-type  system."      She  offered  her                                                               
belief  that the  report  would help  the  department get  there,                                                               
because what's  expected in the  report would cause them  to make                                                               
some database changes.  She  approximated that last year they had                                                               
100 or fewer military spouse applications.                                                                                      
                                                                                                                                
REPRESENTATIVE  GILLIS  questioned  whether  50  percent  of  the                                                               
license requests made by military spouses have been granted.                                                                    
                                                                                                                                
MS. CHAMBERS explained that if  they're qualified they are issued                                                               
a  license.   She said  she  would expect  that all  of them  are                                                               
qualified  because they  are coming  from a  state where  they're                                                               
already licensed and credentialled.                                                                                             
                                                                                                                                
4:25:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RASMUSSEN  addressed  the zero  fiscal  note  and                                                               
asked how  the department would  be able to handle  the necessary                                                               
database   changes  for   the  reporting   requirement  with   no                                                               
additional cost incurred.                                                                                                       
                                                                                                                                
MS. CHAMBERS  said over  the last few  years, the  department has                                                               
been  figuring  out a  way  to  get  certain levels  of  database                                                               
changes done without  having to request additional IT  help.  She                                                               
said  they  are  trying  to  keep  the  cost  low  and  not  hire                                                               
contractors or additional staff.                                                                                                
                                                                                                                                
4:26:26 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ asked how many boards oversee licensure.                                                                        
                                                                                                                                
MS.  CHAMBERS  answered  21 licensing  boards  and  22  regulated                                                               
professions.                                                                                                                    
                                                                                                                                
CHAIR   SPOHNHOLZ  asked   how  many   of  them   have  executive                                                               
administrators.                                                                                                                 
                                                                                                                                
MS. CHAMBERS said seven.                                                                                                        
                                                                                                                                
CHAIR  SPOHNHOLZ questioned  whether  they have  the capacity  to                                                               
undertake the  support of the  boards that would be  necessary to                                                               
explore military spouse licensure in each case.                                                                                 
                                                                                                                                
MS. CHAMBERS  answered yes, they  have systems  for communicating                                                               
with boards and farming out  that communication responsibility to                                                               
the management team, which occurs regularly.                                                                                    
                                                                                                                                
4:27:31 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE TUCK added  that U.S. Department of  Defense has a                                                               
contract   with  the   University   of   Minnesota  to   evaluate                                                               
occupational  board  implementation  of laws  and  policies  that                                                               
support  military  spouses  in  all   50  states.    He  directed                                                               
attention to a report included  in the committee packet, entitled                                                               
"Military   Spouse   Licensure  Portability   Examination   State                                                               
Report."  He  reported one of the study's  general findings: that                                                               
there's no  information available pertaining to  how many spouses                                                               
have transferred their licenses in the  last year.  It went on to                                                               
say that spouses  cannot be licensed by  endorsement or temporary                                                               
licensure for  any of the  following boards:  cosmetology, dental                                                               
hygiene, massage therapy,  mental health counseling, occupational                                                               
therapy,  and the  real  estate commission.    He indicated  that                                                               
temporary licenses are issued on  a board-by-board basis and that                                                               
it's necessary  to find  out where  each board  is at,  where the                                                               
legislature can help out, and  to understand why some occupations                                                               
do not  have temporary  licensure.  He  addressed a  concern from                                                               
Representative Fields with an anecdotal example.                                                                                
                                                                                                                                
4:31:05 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HANNAN returned  attention to  the University  of                                                               
Minnesota's analysis of  the portability exam and  the six boards                                                               
that they chose to study.   She sought clarification on why those                                                               
six were specifically  selected.  She asked if  it's because they                                                               
have the highest number of  applicants or if military spouses are                                                               
most likely  to hold licensure  and ask for reciprocity  in those                                                               
areas.                                                                                                                          
                                                                                                                                
REPRESENTATIVE TUCK deferred to Ms. Perreault.                                                                                  
                                                                                                                                
4:32:20 PM                                                                                                                    
                                                                                                                                
TAMMIE   PERREAULT,  Regional   Liaison,  Defense-State   Liaison                                                               
Office,  U.S.  Department  of  Defense,  said  the  six  specific                                                               
occupations were chosen randomly  by the researchers because they                                                               
felt that  they represented a cross-section  of occupations which                                                               
military  spouses participated  in.   She  said  they used  these                                                               
[six]  occupations  in all  50  states,  adding that  there's  an                                                               
identical  report   for  each  state  that   addresses  the  same                                                               
research.                                                                                                                       
                                                                                                                                
4:33:17 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HANNAN asked when the study was conducted.                                                                       
                                                                                                                                
MS. PERREAULT  replied the  study was conducted  in 2017.   After                                                               
completion, they  asked each  state to  go back  and look  at how                                                               
their occupational licensure laws  were being implemented and how                                                               
they are working for the military  spouses, which is part of what                                                               
led to HB 93 and this reporting request.                                                                                        
                                                                                                                                
4:34:35 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE TUCK clarified  that HB 28 states  that boards may                                                               
issue  temporary  licenses, but  also  that  they shall  expedite                                                               
application  procedures   for  military   spouses.     There's  a                                                               
combination of both "may" and "shall," he said.                                                                                 
                                                                                                                                
4:35:05 PM                                                                                                                    
                                                                                                                                
MS. PERREAULT  addressed the PowerPoint presentation  included in                                                               
the  committee  pack,  entitled "Defense-State  Liaison  Office."                                                               
She explained that  most of the information had  been covered and                                                               
directed attention to slide  9, entitled "Licensure Portability."                                                               
She said the  slide shows where different efforts  have been made                                                               
for  license portability  by different  states  and where  Alaska                                                               
falls on this continuum.                                                                                                        
                                                                                                                                
4:36:21 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HANNAN  asked Ms. Perreault where  she would place                                                               
Alaska on the continuum.                                                                                                        
                                                                                                                                
MS. PERREAULT stated  that Alaska is in the yellow  zone for this                                                               
particular subject.   She  went on  to say  that Alaska  is fully                                                               
implementing  its  current  laws;  however,  the  state  has  not                                                               
implemented  or  adopted  any interstate  occupational  licensure                                                               
compacts.                                                                                                                       
                                                                                                                                
CHAIR  SPOHNHOLZ  pointed  out   that  Alaska  is  not  displayed                                                               
anywhere on the continuum.                                                                                                      
                                                                                                                                
MR. MASON  indicated that  Alaska is  represented by  the lighter                                                               
shade of yellow on slide 9.                                                                                                     
                                                                                                                                
CHAIR SPOHNHOLZ announced that HB 93 was held over.                                                                             
                                                                                                                                
4:38:33 PM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
                  HB 232-MUNICIPAL TAX CREDITS                                                                              
                                                                                                                                
4:39:47 PM                                                                                                                    
                                                                                                                                
CHAIR SPOHNHOLZ announced that the  final order of business would                                                               
be resuming HOUSE  BILL NO. 232, "An Act relating  to a municipal                                                               
air quality improvement  tax credit; and relating  to a municipal                                                               
energy efficient new construction tax credit."                                                                                  
                                                                                                                                
CHAIR  SPOHNHOLZ  moved  to  adopt  Conceptual  Amendment  1,  as                                                               
follows:                                                                                                                        
                                                                                                                                
     Page 1, line 6                                                                                                             
     Following "for"                                                                                                            
          Delete "an"                                                                                                           
          Insert "a single or multiple year"                                                                                    
                                                                                                                                
     Page 1, line 8                                                                                                             
     Following "year"                                                                                                           
          Insert "prior to the municipality's initial                                                                           
     approval of the tax credit"                                                                                                
                                                                                                                                
     Page 1, line 14                                                                                                            
     Following "for"                                                                                                            
          Delete "an"                                                                                                           
          Insert "a single or multiple year"                                                                                    
                                                                                                                                
     Page 2, line 2                                                                                                             
     Following "year"                                                                                                           
          Insert "prior to the municipality's initial                                                                           
     approval of the tax credit"                                                                                                
                                                                                                                                
REPRESENTATIVE STUTES objected for the purpose of discussion.                                                                   
                                                                                                                                
4:40:29 PM                                                                                                                    
                                                                                                                                
TED  MADSEN, Staff,  Representative Ivy  Spohnholz, Alaska  State                                                               
Legislature,  on behalf  of  Representative Spohnholz,  explained                                                               
that the  intent behind  Conceptual Amendment 1  is to  allow for                                                               
municipalities   to  offer   single  or   multiple  year   energy                                                               
efficiency  and   air  quality  improvement  tax   credits.    He                                                               
proceeded  to read  the two  sections  of legislation  as if  the                                                               
amendment was adopted.   He offered his  understanding from prior                                                               
committee  discussion  that  their  intent is  that  this  energy                                                               
efficiency  and  air quality  tax  credit  could be  offered  for                                                               
multiple  years after  the improvements  are made.   He  asked if                                                               
that is accurate.                                                                                                               
                                                                                                                                
CHAIR  SPOHNHOLZ confirmed  that her  intention is  to make  sure                                                               
that local  municipalities have the opportunity  to extend multi-                                                               
year tax credits should they choose to do so.                                                                                   
                                                                                                                                
4:42:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HOPKINS  acknowledged that is consistent  with the                                                               
intent  of  the  initial  legislation.   He  said  now  that  the                                                               
language  specifically allows  for  single or  multiple year  tax                                                               
credits  for  both  types  of  improvements  based  on  when  the                                                               
improvement was  made, he is  supportive of  Conceptual Amendment                                                               
1.                                                                                                                              
                                                                                                                                
MR. MADSEN noted  that on the final line  of Conceptual Amendment                                                               
1  it says,  "legislative legal  may make  conforming changes  in                                                               
line with  the intent of this  amendment."  He shared  his belief                                                               
that through this  discussion the intent has been  made clear and                                                               
Legislative  Legal  Services   will  understand  the  committee's                                                               
intention.                                                                                                                      
                                                                                                                                
CHAIR SPOHNHOLZ agreed that the intention is clear.                                                                             
                                                                                                                                
REPRESENTATIVE  STUTES removed  her  objection.   There being  no                                                               
further objection, Conceptual Amendment 1 was adopted.                                                                          
                                                                                                                                
4:44:05 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STUTES   moved  to   report  CSHB   232,  Version                                                               
LS1355\K, out  of committee  with individual  recommendations and                                                               
the accompanying fiscal notes.   Without objection, CSHB 232(L&C)                                                               
was  moved  out   of  the  House  Labor   and  Commerce  Standing                                                               
Committee.                                                                                                                      
                                                                                                                                
4:45:27 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Labor and  Commerce Standing Committee  meeting was  adjourned at                                                               
4:45 p.m.                                                                                                                       

Document Name Date/Time Subjects
HB 93 Coast Guard Press Release 6.27.2019.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 DCCED Military Licensing Flyer 2.24.2020.pdf HL&C 3/2/2020 3:15:00 PM
HL&C 3/6/2020 3:15:00 PM
HB 93
HB 93 DOD Memorandum for the National Governors Association 2.23.2018.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 DOD Military Spouse Licensure Report 11.1.2019.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 Evaluation of Licensure Implementation 2.24.2020.pdf HL&C 3/2/2020 3:15:00 PM
HL&C 3/6/2020 3:15:00 PM
HB 93
HB 93 Fiscal Note DCCED-CBPL 3.20.2019.pdf HL&C 3/2/2020 3:15:00 PM
HL&C 3/6/2020 3:15:00 PM
HB 93
HB 93 How Alaska is Meeting DOD guidelines for Military Spouse Licensure 2.24.2020.pdf HL&C 3/2/2020 3:15:00 PM
HL&C 3/6/2020 3:15:00 PM
HB 93
HB 93 Military Courtesy License Statute 2.24.2020.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 Professional Licensing Info for Military Personnel and Spouses 2.24.2020.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 REACH Miltary Spouse Licensure Portability Examination 04.17.19.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 Sponsor Statement 2.24.2020.pdf HL&C 3/2/2020 3:15:00 PM
HL&C 3/6/2020 3:15:00 PM
HB 93
HB 93 Testimony - Received by 4.3.2019.pdf HL&C 3/2/2020 3:15:00 PM
HL&C 3/6/2020 3:15:00 PM
HB 93
HB 93 Top 20 occupations for military spouses in the labor force 04.17.19.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 93 DOD Liaison Presentation 03.02.2020.pdf HL&C 3/2/2020 3:15:00 PM
HB 93
HB 232 Testimony Received by 2.20.2020.pdf HL&C 2/26/2020 3:15:00 PM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-06 - HB 232 ASHBA Letter of Support.pdf HENE 2/11/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-06 - HB 232 Fiscal Note - Version U.pdf HENE 2/11/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-11 - HB 232 AML Letter.docx HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-10 - HB 232 Sectional Analysis.pdf HENE 2/11/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-11 - HB 232 AML Letter.pdf HENE 2/11/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-10 - HB 232 Sponsor Statement - FINAL.pdf HENE 2/11/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-10 - HB 232 FNSB Letter of Support.pdf HENE 2/11/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-20 - HB 232 Alaska Miners Association Letter of Support.pdf HENE 2/20/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-20 - HB 232 Interior Gas Utility Letter of Support.pdf HENE 2/20/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-20 - HB 232 Version S.pdf HENE 2/20/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
2020-02-20 - HB 232 Usibelli and Aurora Energy Letter of Support.pdf HENE 2/20/2020 10:15:00 AM
HL&C 3/2/2020 3:15:00 PM
HB 232
HB 232 Fiscal Note DCCED DCRA 02.07.2020.pdf HL&C 2/26/2020 3:15:00 PM
HL&C 3/2/2020 3:15:00 PM
HB 232
HB 232 Sponsor Statement 2.21.2020.pdf HL&C 2/26/2020 3:15:00 PM
HL&C 3/2/2020 3:15:00 PM
HB 232
HB 232 Summary of Changes v. S 2.21.2020.pdf HL&C 2/26/2020 3:15:00 PM
HL&C 3/2/2020 3:15:00 PM
HB 232
HB 232 Conceptual Amendment #1 to vers K.pdf HL&C 3/2/2020 3:15:00 PM
HB 232