Legislature(2021 - 2022)BARNES 124

04/07/2021 03:15 PM LABOR & COMMERCE

Note: the audio and video recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.

Download Mp3. <- Right click and save file as

Audio Topic
03:18:32 PM Start
03:18:51 PM HB85
04:00:52 PM Confirmation Hearing(s)|| Confirmation Hearing(s)|| Board of Social Work Examiners
04:02:13 PM Alcoholic Beverage Control Board
04:17:06 PM Alaska Labor Relations Agency
04:21:26 PM Alaska State Board of Public Accountancy
04:28:58 PM Alaska Workers' Compensation Board
04:37:14 PM Board of Chiropractic Examiners
04:40:30 PM Board of Massage Therapists
04:41:21 PM Board of Nursing
04:53:28 PM Board of Pharmacy
04:55:15 PM Board of Veterinary Examiners
05:06:39 PM Occupational Safety & Health Review Board
05:10:23 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 85 FINANCIAL INSTITUTIONS; LIABILITY TELECONFERENCED
Heard & Held
-- Testimony <Invitation Only> --
+ Consideration of Governor's Appointees: TELECONFERENCED
- Alcoholic Beverage Control Board: John Cox
- Alaska Labor Relations Agency: Patty Burley,
Denny DeWitt, & Justin Mack
- Alaska State Board of Public Accountancy:
Rachel Hanks, Lance Johnson, Steven Jordan, &
Donald Vieira
- Alaska Workers' Compensation Board:
Christopher Dean, Michael Dennis, Anthony Ladd,
Jason Motyka, Nancy Shaw, Dave Talerico, Robert
Weel, & Lake Williams
- Board of Direct Entry Midwives: Tanya Kirk
- Board of Chiropractic Examiners: Tim Kanady &
John Loyd
- Board of Massage Therapists: Kristin Tri
- Board of Nursing: Lena Lafferty, Wendy Monrad,
& Michael Wilcher
- Board of Pharmacy: Richard Holt & Justin
Ruffridge
- Board of Veterinary Examiners: Denise Albert,
Rachel Berngartt, Scott Flamme, & Hal Geiger
- Marijuana Control Board: Casey Dschaak,
Christopher Jaime, & Bruce Schulte
- Occupational Safety & Health Review Board:
Vincent Perez & John Stallone
- Real Estate Commission: Traci Heaton &
Elizabeth Schok
- Board of Professional Counselors: Dorene Hagen
- Board of Social Work Examiners: Mindy Swisher
-- Public Testimony <Time Limit May Be Set> --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
          HOUSE LABOR AND COMMERCE STANDING COMMITTEE                                                                         
                         April 7, 2021                                                                                          
                           3:18 p.m.                                                                                            
                                                                                                                                
                             DRAFT                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Zack Fields, Co-Chair                                                                                            
Representative Ivy Spohnholz, Co-Chair                                                                                          
Representative Calvin Schrage                                                                                                   
Representative Liz Snyder (via teleconference)                                                                                  
Representative David Nelson                                                                                                     
Representative James Kaufman                                                                                                    
Representative Ken McCarty                                                                                                      
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 85                                                                                                               
"An Act relating  to the Alaska Banking Code;  relating to mutual                                                               
savings   banks;  relating   to   interstate   state  banks   and                                                               
international banks; relating  to the pledging of  bank assets as                                                               
collateral  security to  tribal  organizations;  relating to  the                                                               
pledging of  bank assets for  interest swap  agreements; relating                                                               
to state  business licenses; relating  to persons who  make loans                                                               
secured  by  interests  in vessels  or  facilities;  relating  to                                                               
liability  for the  release or  threatened  release of  hazardous                                                               
substances;  relating to  the Model  Foreign Bank  Loan Act;  and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
CONFIRMATION HEARING(S)                                                                                                         
                                                                                                                                
Board of Social Work Examiners                                                                                                
                                                                                                                                
     Mindy Swisher - Palmer                                                                                                     
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Alcoholic Beverage Control Board                                                                                              
                                                                                                                                
     John Cox - Anchor Point                                                                                                    
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Alaska Labor Relations Agency                                                                                                 
                                                                                                                                
     Patty Burley - Soldotna                                                                                                    
     Johnny Dewitt - Juneau                                                                                                     
     Justin Mack - Anchorage                                                                                                    
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Alaska State Board of Public Accountancy                                                                                      
                                                                                                                                
     Rachel Hanke - Fairbanks                                                                                                   
     Lance Johnson - Anchorage                                                                                                  
     Donald Vieira - Palmer                                                                                                     
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Alaska Workers' Compensation Board                                                                                            
                                                                                                                                
     Michael Dennis - Anchorage                                                                                                 
     Anthony Ladd - Anchorage                                                                                                   
     Jason Motyka - Anchorage                                                                                                   
     Nancy Shaw - Anchorage                                                                                                     
     Robert Weel - Anchorage                                                                                                    
     Lake Williams - Fairbanks                                                                                                  
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Board of Chiropractic Examiners                                                                                               
                                                                                                                                
     Tim Kanady - Anchorage                                                                                                     
     John Loyd - Anchorage                                                                                                      
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Board of Massage Therapists                                                                                                   
                                                                                                                                
     Kristin Tri - Eagle River                                                                                                  
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Board of Nursing                                                                                                              
                                                                                                                                
     Lena Lafferty - Anchorage                                                                                                  
     Wendy Monrad - Anchorage                                                                                                   
     Michael Wilcher - North Pole                                                                                               
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Board of Pharmacy                                                                                                             
                                                                                                                                
     Richard Holt - Anchorage                                                                                                   
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Board of Veterinary Examiners                                                                                                 
                                                                                                                                
     Dr. Denise Albert - Denali                                                                                                 
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
Occupational Safety & Health Review Board                                                                                     
                                                                                                                                
     John Stallone - Anchorage                                                                                                  
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 85                                                                                                                   
SHORT TITLE: FINANCIAL INSTITUTIONS; LIABILITY                                                                                  
SPONSOR(s): REPRESENTATIVE(s) LEBON BY REQUEST                                                                                  
                                                                                                                                
02/18/21       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/18/21       (H)       L&C, FIN                                                                                               
04/07/21       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
REPRESENTATIVE BART LEBON                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As prime sponsor, introduced HB 85.                                                                      
                                                                                                                                
JOSEPH BYRNES, Staff                                                                                                            
Representative Bart LeBon                                                                                                       
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented the sectional analysis on HB 85                                                                
on behalf of Representative LeBon, prime sponsor.                                                                               
                                                                                                                                
MICHAEL MARTIN, Chief Operating Officer and General Counsel                                                                     
Northrim Bank                                                                                                                   
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Answered questions  and testified in support                                                             
of HB 85.                                                                                                                       
                                                                                                                                
DAVID   DURHAM,  Executive   Vice-President   and  Chief   Credit                                                               
Administrator                                                                                                                   
Mt. McKinley Bank                                                                                                               
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 85.                                                                           
                                                                                                                                
TRACY RENO, Chief of Examinations                                                                                               
Division of Banking and Securities                                                                                              
Department of Commerce, Community, and Economic Development                                                                     
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 85.                                                                           
                                                                                                                                
TIFFANY LARSON, Director                                                                                                        
Division of Spill Prevention & Response                                                                                         
Department of Environmental Conservation                                                                                        
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:  Answered questions  during the hearing on HB
85.                                                                                                                             
                                                                                                                                
MINDY SWISHER, Appointee                                                                                                        
Board of Social Work Examiners                                                                                                  
Palmer, Alaska                                                                                                                  
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Social Work Examiners.                                                                                                          
                                                                                                                                
JOHN COX, Appointee                                                                                                             
Alcoholic Beverage Control Board                                                                                                
Anchor Point, Alaska                                                                                                            
POSITION  STATEMENT:   Spoke  as an  appointee  to the  Alcoholic                                                             
Beverage Control Board.                                                                                                         
                                                                                                                                
PATTY BURLEY, Appointee                                                                                                         
Alaska Labor Relations Agency                                                                                                   
Soldotna, Alaska                                                                                                                
POSITION STATEMENT:   Spoke as  an appointee to the  Alaska Labor                                                             
Relations Agency.                                                                                                               
                                                                                                                                
DENNY DEWITT, Appointee                                                                                                         
Alaska Labor Relations Agency                                                                                                   
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:   Spoke as  an appointee to the  Alaska Labor                                                             
Relations Agency.                                                                                                               
                                                                                                                                
JUSTIN MACK, Appointee                                                                                                          
Alaska Labor Relations Agency                                                                                                   
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:   Spoke as  an appointee to the  Alaska Labor                                                             
Relations Agency.                                                                                                               
                                                                                                                                
RACHEL HANKS, Appointee                                                                                                         
Alaska State Board of Public Accountancy                                                                                        
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:   Spoke as  an appointee to the  Alaska State                                                             
Board of Public Accountancy.                                                                                                    
                                                                                                                                
LANCE JOHNSON, Appointee                                                                                                        
Alaska State Board of Public Accountancy                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:   Spoke as  an appointee to the  Alaska State                                                             
Board of Public Accountancy.                                                                                                    
                                                                                                                                
DONALD VIEIRA, Appointee                                                                                                        
Alaska State Board of Public Accountancy                                                                                        
Palmer, Alaska                                                                                                                  
POSITION STATEMENT:   Spoke as  an appointee to the  Alaska State                                                             
Board of Public Accountancy.                                                                                                    
                                                                                                                                
MICHAEL DENNIS, Appointee                                                                                                       
Alaska Workers' Compensation Board                                                                                              
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:    Spoke  as  an  appointee  to  the  Alaska                                                             
Workers' Compensation Board.                                                                                                    
                                                                                                                                
ANTHONY LADD, Appointee                                                                                                         
Alaska Workers' Compensation Board                                                                                              
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:    Spoke  as  an  appointee  to  the  Alaska                                                             
Workers' Compensation Board.                                                                                                    
                                                                                                                                
JASON MOTYKA, Appointee                                                                                                         
Alaska Workers' Compensation Board                                                                                              
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:    Spoke  as  an  appointee  to  the  Alaska                                                             
Workers' Compensation Board.                                                                                                    
                                                                                                                                
NANCY SHAW, Appointee                                                                                                           
Alaska Workers' Compensation Board                                                                                              
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:    Spoke  as  an  appointee  to  the  Alaska                                                             
Workers' Compensation Board.                                                                                                    
                                                                                                                                
ROBERT WEEL, Appointee                                                                                                          
Alaska Workers' Compensation Board                                                                                              
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:    Spoke  as  an  appointee  to  the  Alaska                                                             
Workers' Compensation Board.                                                                                                    
                                                                                                                                
LAKE WILLIAMS, Appointee                                                                                                        
Alaska Workers' Compensation Board                                                                                              
Fairbanks, Alaska                                                                                                               
POSITION  STATEMENT:    Spoke  as  an  appointee  to  the  Alaska                                                             
Workers' Compensation Board.                                                                                                    
                                                                                                                                
DR. TIM KANADY, Appointee                                                                                                       
Board of Chiropractic Examiners                                                                                                 
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Chiropractic Examiners.                                                                                                         
                                                                                                                                
JOHN LLOYD, Appointee                                                                                                           
Board of Chiropractic Examiners                                                                                                 
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Chiropractic Examiners.                                                                                                         
                                                                                                                                
KRISTIN TRI, Appointee                                                                                                          
Board of Massage Therapists                                                                                                     
Eagle River, Alaska                                                                                                             
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Massage Therapists.                                                                                                             
                                                                                                                                
LENA LAFFERTY, Appointee                                                                                                        
Board of Nursing                                                                                                                
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Nursing.                                                                                                                        
                                                                                                                                
WENDY MONRAD, Appointee                                                                                                         
Board of Nursing                                                                                                                
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Nursing.                                                                                                                        
                                                                                                                                
MICHAEL WILCHER, Appointee                                                                                                      
Board of Nursing                                                                                                                
North Pole, Alaska                                                                                                              
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Nursing.                                                                                                                        
                                                                                                                                
RICHARD HOLT, Appointee                                                                                                         
Board of Pharmacy                                                                                                               
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Pharmacy.                                                                                                                       
                                                                                                                                
DR. DENISE ALBERT, Appointee                                                                                                    
Board of Veterinary Examiners                                                                                                   
Denali, Alaska                                                                                                                  
POSITION  STATEMENT:   Spoke  as  an appointee  to  the Board  of                                                             
Veterinary Examiners.                                                                                                           
                                                                                                                                
JOHN STALLONE, Appointee                                                                                                        
Occupational Safety & Health Review Board                                                                                       
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:   Spoke as  an appointee to  the Occupational                                                             
Safety & Health Review Board.                                                                                                   
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:18:32 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZACK  FIELDS  called   the  House  Labor  and  Commerce                                                             
Standing   Committee    meeting   to    order   at    3:18   p.m.                                                               
Representatives Fields, Spohnholz,  Schrage, McCarty, Nelson, and                                                               
Snyder (via  teleconference) were present  at the call  to order.                                                               
Representative Kaufman arrived as the meeting was in progress.                                                                  
                                                                                                                                
            HB 85-FINANCIAL INSTITUTIONS; LIABILITY                                                                         
                                                                                                                                
3:18:51 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced that the  first order of business would                                                               
be HOUSE  BILL NO.  85, "An  Act relating  to the  Alaska Banking                                                               
Code; relating  to mutual savings  banks; relating  to interstate                                                               
state banks and international banks;  relating to the pledging of                                                               
bank  assets  as  collateral security  to  tribal  organizations;                                                               
relating  to  the  pledging  of bank  assets  for  interest  swap                                                               
agreements;  relating to  state  business  licenses; relating  to                                                               
persons  who  make  loans  secured by  interests  in  vessels  or                                                               
facilities; relating  to liability for the  release or threatened                                                               
release of  hazardous substances;  relating to the  Model Foreign                                                               
Bank Loan Act; and providing for an effective date."                                                                            
                                                                                                                                
3:19:18 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  BART LEBON,  Alaska State  Legislature, explained                                                               
that during his  42-year banking career he  worked for federally-                                                               
chartered and  state-chartered banks.  He  described observing an                                                               
"unlevel playing field" between the  large national banks and the                                                               
smaller state banks.   His goal with HB 85, he  said, is to level                                                               
the  playing  field  and  to  establish  parity  within  Alaska's                                                               
banking   community.     He  noted   that   the  Alaska   Bankers                                                               
Association, comprising  all seven banks in  Alaska, supports the                                                               
proposed legislation.                                                                                                           
                                                                                                                                
3:20:57 PM                                                                                                                    
                                                                                                                                
JOSEPH BYRNES,  Staff, Representative  Bart LeBon,  presented the                                                               
sectional  analysis  on  behalf of  Representative  LeBon,  prime                                                               
sponsor, which read as follows [original punctuation provided]:                                                                 
                                                                                                                                
     Sec. 1. AS 06.05.005(a)                                                                                                  
     Conforming language  to changes  made under  Section 10                                                                    
     to provide  Alaska chartered  banks parity  with credit                                                                    
     unions when establishing a bank branch.                                                                                    
                                                                                                                                
     Sec. 2. AS 06.05.005                                                                                                     
     Prohibits  the  Department  from placing  a  regulatory                                                                    
     limitation on  a credit card  that a state  bank issues                                                                    
     to an officer of a  state bank, the statutory authority                                                                    
     for which  is amended in  Section 5 and  the regulation                                                                    
     (3 AAC  02.121) annulled  in Section 24.  Prohibits the                                                                    
     Department  from adopting  regulations relating  to the                                                                    
     setting  of time  limits on  the disposal  of real  and                                                                    
     personal  property, the  statutory authority  for which                                                                    
     is  amended in  Section  6 and  the  regulation (3  AAC                                                                    
     02.135) annulled in Section 24.                                                                                            
                                                                                                                                
     Sec. 3. AS 06.05.050                                                                                                     
     Publication  of reports:  Adds the  option for  posting                                                                    
     notices  of publication  of bank  reports  on a  bank's                                                                    
     internet  website  vs.  physical posting  in  the  bank                                                                    
     lobby.                                                                                                                     
                                                                                                                                
     Sec. 4. AS 06.05.166(c)                                                                                                  
     Defines the  timeframe   not  later than 15 days    for                                                                    
     which  a  bank  must  notify the  Department  after  an                                                                    
     emergency nonopening or closing of the bank.                                                                               
                                                                                                                                
     Sec. 5. AS 06.05.210(a)                                                                                                  
     Increases the  amount a  director or  executive officer                                                                    
     of a state  bank may borrow to $500,000  (from $100K or                                                                    
     $250K for a primary residence).                                                                                            
                                                                                                                                
     Sec. 6. AS 06.05.245                                                                                                     
     Disposition of property not needed  in the conduct of a                                                                    
     banking  business: Removes  the Department's  authority                                                                    
     to  set  a time  limit  on  the  disposal of  real  and                                                                    
     personal  property.  Instead,  the carrying  value  and                                                                    
     write-down  will  be  dictated  by  Generally  Accepted                                                                    
     Accounting Principles (GAAP).                                                                                              
                                                                                                                                
     Sec. 7. AS 06.05.260                                                                                                     
     Allows  a   state  bank  to   pledge  bank   assets  as                                                                    
     collateral  security  to   secure  funds  deposited  by                                                                    
     consortiums of federally recognized tribes.                                                                                
                                                                                                                                
     Sec. 8. AS 06.05.260                                                                                                     
     Adds  a  new  subsection  to replace  the  Division  of                                                                    
     Banking's  Parity  Orders  12-B (3-  6)  regarding  the                                                                    
     pledging of assets for interest  rate swaps. Adds a new                                                                    
     subsection  to define:  ? "federally  recognized tribe"                                                                    
     as  an  Indian  tribe under  the  Federally  Recognized                                                                    
     Indian Tribe  List Act  of 1994;  and ?  "interest rate                                                                    
     swap  agreement"   as  a  stream  of   future  interest                                                                    
     payments  that  are  exchanged for  another  stream  of                                                                    
     future interest payments.                                                                                                  
                                                                                                                                
     Sec. 9. AS 06.05.355(a)                                                                                                  
     Requires all banks to become a  member of the FDIC as a                                                                    
     condition  for receiving  a  Certificate of  Authority;                                                                    
     Intended to maintain trust and  level the playing field                                                                    
     for the banking industry.                                                                                                  
                                                                                                                                
3:25:49 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS commented that the change detailed in Section 9                                                                 
would be positive for consumers.                                                                                                
                                                                                                                                
REPRESENTATIVE LEBON agreed, and noted that every depositor                                                                     
wants Federal Deposit Insurance Corporation (FDIC) insurance.                                                                   
He said  that this  section would  formalize the  requirement for                                                               
what is currently standard practice.                                                                                            
                                                                                                                                
3:26:22 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  SPOHNHOLZ,  referring  to  Section  6,  said  that  she                                                               
doesn't see anything specific that references using GAAP.                                                                       
                                                                                                                                
REPRESENTATIVE LEBON explained the  concept of "write-down" using                                                               
the example  of a bank foreclosing  on a piece of  property.  The                                                               
bank would  hold it  as "other  real estate  owned" and  assign a                                                               
value  to the  asset.   The  current statute  specifies that  the                                                               
write-down  practice  decreases the  value  of  the asset  by  20                                                               
percent per  year for five  years, until the calculated  value of                                                               
the  asset reaches  zero, regardless  of what  it's actual  value                                                               
might be.   He noted  that this  practice is required  whether or                                                               
not  the actual  value of  the asset  increases.   Section 6,  he                                                               
said, would allow valuation of  the asset according to GAAP, with                                                               
the holding period reflecting the value of the asset.                                                                           
                                                                                                                                
CO-CHAIR SPOHNHOLZ asked  him to clarify what requires  a bank to                                                               
adhere to GAAP.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  LEBON   said  that  GAAP  defines   the  accepted                                                               
accounting  principles   and  provides   a  standard   basis  for                                                               
valuation of an asset.                                                                                                          
                                                                                                                                
3:28:22 PM                                                                                                                    
                                                                                                                                
MR. BYRNES  resumed his presentation  of the  sectional analysis,                                                               
which read as follows [original punctuation provided]:                                                                          
                                                                                                                                
     Sec. 10. AS 06.05.399                                                                                                    
     Changes  of  location;  branch banks.  Provides  Alaska                                                                    
     chartered   banks  parity   with  credit   unions  when                                                                    
     establishing  a   bank  branch.  Banks   are  currently                                                                    
     subject   to    stricter   bank    branch   application                                                                    
     requirements  under 3  AAC 02.215.  The Division  would                                                                    
     establish  in   regulations  similar   requirements  of                                                                    
     credit unions as  in 3 AAC 03.260. [Same  as section 19                                                                    
     for Mutual Banks]                                                                                                          
                                                                                                                                
     Sec. 11. AS 06.05.438(a)                                                                                                 
     Reduces  the number  of required  meetings of  a bank's                                                                    
     board from 10 to 4 per calendar year.                                                                                      
                                                                                                                                
     Sec. 12. AS 06.05.555(a)                                                                                                 
     Conforming language  to changes  made under  Section 10                                                                    
     to provide  Alaska chartered  banks parity  with credit                                                                    
     unions when establishing a bank branch.                                                                                    
                                                                                                                                
     Sec. 13. AS 06.05.990(4)                                                                                                 
     Removes  "remote service  unit"  (ATM,  etc.) from  the                                                                    
     definition  of   "branch  bank"  and   defines  "remote                                                                    
     service unit" directly under this section.                                                                                 
                                                                                                                                
     Sec. 14. AS 06.15.180                                                                                                    
     Allowing  mutual   banks  to  have   similar  borrowing                                                                    
     options as state banks.                                                                                                    
                                                                                                                                
     Sec. 15. AS 06.15.190                                                                                                    
     Expands the deposits that mutual banks can accept.                                                                         
                                                                                                                                
     Sec. 16. AS 06.15.220                                                                                                    
     Allows trustees to delegate  their authority to approve                                                                    
     interest on deposits.                                                                                                      
                                                                                                                                
     Sec. 17. AS 06.15.240                                                                                                    
     Provides   mutual  banks   with  the   same  investment                                                                    
     opportunities as state banks under AS 06.05.270.                                                                           
                                                                                                                                
3:31:27 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  FIELDS  asked  Mr. Byrnes  to  explain  the  difference                                                               
between a mutual bank and another type of bank.                                                                                 
                                                                                                                                
REPRESENTATIVE LEBON explained that a  mutual bank is a non-stock                                                               
institution.    He  compared Denali  State  Bank,  a  stock-owned                                                               
institution, with  Mt. McKinley Bank,  a mutual institution.   He                                                               
said that  the depositors at  Mt. McKinley Bank are  the "owners"                                                               
of  the  bank,  whereas  at  Denali State  Bank  the  owners  are                                                               
traditional shareholders.                                                                                                       
                                                                                                                                
CO-CHAIR FIELDS  asked whether it  would fair to say  that, under                                                               
HB 85, the  consumer protections would be the  same regardless of                                                               
ownership structure.                                                                                                            
                                                                                                                                
REPRESENTATIVE LEBON replied, "Yes, absolutely."                                                                                
                                                                                                                                
3:32:17 PM                                                                                                                    
                                                                                                                                
MR. BYRNES  resumed his presentation  of the  sectional analysis,                                                               
which read as follows [original punctuation provided]:                                                                          
                                                                                                                                
     Sec. 18. AS 06.15.250                                                                                                    
     Providing   mutual   banks   with  the   same   lending                                                                    
     opportunities as state banks.                                                                                              
                                                                                                                                
     Sec. 19. AS 06.15.290                                                                                                    
     Changes  of  location;  branch banks.  Provides  mutual                                                                    
     banks parity  with state banks  and credit  unions when                                                                    
     establishing a bank branch.  Alaska chartered banks are                                                                    
     currently subject  to stricter bank  branch application                                                                    
     requirements  under 3  AAC 02.215.  The Division  would                                                                    
     establish  in   regulations  similar   requirements  of                                                                    
     credit unions as  in 3 AAC 03.260. [Same  as section 10                                                                    
     for state banks]                                                                                                           
                                                                                                                                
     Sec. 20. AS 43.70.105(a)                                                                                                 
     Exempts  depository  institutions   (banks  and  credit                                                                    
     unions)  from   the  requirement  to   obtain  business                                                                    
     licenses  for  all  headquarter and  branch  locations.                                                                    
     Currently,   state-chartered  institutions   receive  a                                                                    
     Certificate  of  Authority   through  the  Division  of                                                                    
     Banking   and   Securities.  Until   each   institution                                                                    
     receives  this  certificate,   they  may  not  transact                                                                    
     business.   This  change   would  eliminate   duplicate                                                                    
     licensing, thus reducing regulatory burden.                                                                                
                                                                                                                                
     Sec. 21. AS 46.03.822(a)                                                                                                 
     Adds reference to the new language in section 22.                                                                          
                                                                                                                                
     Sec. 22. AS 46.03.822                                                                                                    
     Conforms state law  to the Comprehensive, Environmental                                                                    
     Response,  Compensation,  and  Liability  Act  (CERCLA)                                                                    
     standard for  lender liability. CERCLA  Section 101(20)                                                                    
     contains a  secured creditor exemption  that eliminates                                                                    
     owner  or  operator  liability  for  lenders  who  hold                                                                    
     ownership  in a  CERCLA facility  primarily to  protect                                                                    
     their  security  interest  in that  facility,  provided                                                                    
     they  do  not "participate  in  the  management of  the                                                                    
     facility." Generally,  participation in  the management                                                                    
     applies  if a  bank  exercises decision-making  control                                                                    
     over   a   property's  environmental   compliance,   or                                                                    
     exercises control  at a level  similar to a  manager of                                                                    
     the facility  or property. Participation  in management                                                                    
     does not  include actions  such as  conducting property                                                                    
     inspections,  requiring a  response  action to  address                                                                    
     contamination,    providing    financial   advice    or                                                                    
     renegotiating  or   restructuring  the  terms   of  the                                                                    
     security interest. The  secured creditor exemption also                                                                    
     provides  that  foreclosure  on  a  property  does  not                                                                    
     result  in  liability for  a  bank,  provided the  bank                                                                    
     takes  "reasonable  steps"  to  divest  itself  of  the                                                                    
     property  "at  the earliest  practicable,  commercially                                                                    
     reasonable  time,  on commercially  reasonable  terms."                                                                    
     Generally, a bank can  maintain business activities and                                                                    
     close  down operations  at a  property as  long as  the                                                                    
     property  is   listed  for   sale  shortly   after  the                                                                    
     foreclosure  date  or   at  the  earliest  practicable,                                                                    
     commercially reasonable time.                                                                                              
                                                                                                                                
3:34:59 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS asked for some examples of CERCLA properties.                                                                   
                                                                                                                                
REPRESENTATIVE LEBON responded  that both federally-chartered and                                                               
state-chartered  banks must  align  with  the environmental  laws                                                               
under  which banks  must operate.   He  explained that  it's very                                                               
rare  for a  bank to  engage in  the operation  of a  business on                                                               
which it foreclosed.  For example,  he said, if a bank foreclosed                                                               
on a gas  station, the bank would not then  continue operation of                                                               
the  gas  station,  taking  on   the  associated  management  and                                                               
environmental risk.                                                                                                             
                                                                                                                                
CO-CHAIR FIELDS clarified his original  question by asking, "What                                                               
are  some other  properties that  might  not be  controlled by  a                                                               
bank,  but which  could potentially  be foreclosed  on, would  be                                                               
affected by this section?"                                                                                                      
                                                                                                                                
REPRESENTATIVE  LEBON responded  that  any property  that a  bank                                                               
acquires  through  a foreclosure  action  must  be evaluated  for                                                               
environmental  risk.   A gas  station,  dry cleaners,  or even  a                                                               
residential property is evaluated, he  said, and a bank practices                                                               
due  diligence  by  conducting,  for  example,  a  soil  test  to                                                               
determine  any possible  environmental  contamination.   He  said                                                               
that  once  a property  is  owned  by a  bank,  the  bank has  an                                                               
obligation to know of any  associated environmental risk, because                                                               
the bank will eventually sell the property to a new owner.                                                                      
                                                                                                                                
3:37:24 PM                                                                                                                    
                                                                                                                                
MR. BYRNES  resumed his presentation  of the  sectional analysis,                                                               
which read as follows [original punctuation provided]:                                                                          
                                                                                                                                
     Sec. 23. Repealed Sections                                                                                                 
     ?  Repeals  AS  06.05.265 Liability  of  directors  for                                                                    
     certain loans. Overbroad and unnecessary.                                                                                  
                                                                                                                                
     ?  Repeals AS  06.10.010-050  Model  Foreign Bank  Loan                                                                    
     Act.  The Act  exempts out-of-state  banks from  Alaska                                                                    
     taxation   for  certain   business  types   and  became                                                                    
     obsolete in 1984 due to  other tax measures. The Act is                                                                    
     an unnecessary administrative burden.                                                                                      
                                                                                                                                
     ?   Repeals   AS   06.15.150,   160   &   170   Surplus                                                                    
     requirements,  additions   and  limitations.  Repealing                                                                    
     these statutes would provide parity  and allow a mutual                                                                    
     savings  bank  to  follow   AS  06.05.305  for  capital                                                                    
     requirements.                                                                                                              
                                                                                                                                
     ?   Repeals  AS   06.15.230  Withdrawal   of  Deposits:                                                                    
     Language  no  longer  relevant  after  deregulation  of                                                                    
     Thrifts and Savings and Loans.                                                                                             
                                                                                                                                
     Sec. 24. Annulled Regulations                                                                                              
     ?  Annuls  3  AAC  02.121 Credit  cards  for  officers:                                                                    
     Removes   the   regulation  limiting   uncollateralized                                                                    
     credit card balances up to  $10,000 for an officer of a                                                                    
     state bank. See Sections 2 and 5.                                                                                          
                                                                                                                                
     ?  Annuls  3 AAC  02.135  Disposition  of property  not                                                                    
     needed  for banking  business. The  carrying value  and                                                                    
     write-down  of property  will  instead  be dictated  by                                                                    
     Generally  Accepted Accounting  Principles (GAAP).  See                                                                    
     Sections 2 and 6.                                                                                                          
                                                                                                                                
     Sec. 25. Applicability                                                                                                     
     Uncodified law  for sections  3, 4, 6,  9, 10,  12, 16,                                                                    
     18, and 19.                                                                                                                
                                                                                                                                
     Cites   definition   locations   for   "branch   bank",                                                                    
     "department",  "international bank",  "interstate state                                                                    
     bank", "mutual bank" and "state bank".                                                                                     
                                                                                                                                
     Sec. 26. Transition                                                                                                        
     Provides a  transition period  relating to  sections 1,                                                                    
     10,  12,  and  19;  provides  the  Department  time  to                                                                    
     promulgate  regulations for  changes of  bank locations                                                                    
     and establishing branch banks.                                                                                             
                                                                                                                                
     Sec. 27. Delayed Effective Date                                                                                            
     Sets a delayed  effective date for sections  1, 10, 12,                                                                    
     and  19 to  provide the  Department time  to promulgate                                                                    
         regulations for changes of bank locations and                                                                          
     establishing branch banks.                                                                                                 
                                                                                                                                
     Sec. 28. Immediate Effective Date                                                                                          
     Sets  an  immediate  effective date  for  all  sections                                                                    
     except  for sections  1, 10,  12, and  19, relating  to                                                                    
     changes  of  bank  locations  and  establishing  branch                                                                    
     banks.                                                                                                                     
                                                                                                                                
3:39:46 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS  broached a discussion about  the best regulatory                                                               
structure for  environmental hazards, noting that  the preference                                                               
would  be the  maximum remediation  economically possible,  while                                                               
not making any remediation laws that could inhibit development.                                                                 
                                                                                                                                
REPRESENTATIVE LEBON noted that Mr.  Martin would be able to give                                                               
insight into that issue.                                                                                                        
                                                                                                                                
3:40:40 PM                                                                                                                    
                                                                                                                                
MICHAEL  MARTIN,  Chief  Operating   Officer  (COO)  and  General                                                               
Counsel, Northrim  Bank, informed the  committee that he  is also                                                               
the president  of the Alaska  Bankers Association.  He  said that                                                               
Northrim  Bank  is a  state-chartered  bank  serving the  banking                                                               
needs of  approximately 90 percent  of Alaska's population.   The                                                               
Alaska Bankers  Association, he said, represents  the seven banks                                                               
operating  in Alaska:   state-chartered  Denali  State Bank,  Mr.                                                               
McKinley Bank, 1st Bank of  Ketchikan, and Northrim Bank, as well                                                               
as KeyBank,  Wells Fargo, and  First National Bank  Alaska, which                                                               
are  the   national  banks  chartered   by  the  Office   of  the                                                               
Comptroller of the Currency.   He described members of the Alaska                                                               
Bankers Association  as job creators that  build Alaska's economy                                                               
through credit to businesses and  families, noting that the banks                                                               
lent  over $1.4  billion in  federal paycheck  protection program                                                               
(PPP) money.   He stated that  all seven banks in  Alaska support                                                               
HB 85,  and that the  Alaska Bankers Association, along  with the                                                               
four state-chartered  banks, have  submitted letters  of support,                                                               
which are included in the committee packet.                                                                                     
                                                                                                                                
MR. MARTIN  said that the  Alaska Bankers Association  has worked                                                               
in concert  with the  Division of Banking  and Securities  at the                                                               
Department  of  Commerce,  Community,  and  Economic  Development                                                               
(DCCED)  on  the  proposed legislation,  which,  he  said,  would                                                               
provide meaningful updates to the banking  code.  He said that HB
85  is essential  to:   better  serve bank  customers in  Alaska;                                                               
expand banking  products and services throughout  the state; keep                                                               
state-chartered    banks   competitive    with   other    finance                                                               
organizations; create  parity in  the laws and  regulations under                                                               
which  banking   institutions  must   operate;  keep   pace  with                                                               
technological   advances  in   banking;   enable  efficiency   of                                                               
operations;  ensure safety  and soundness  of banks;  and protect                                                               
businesses and consumers in Alaska.                                                                                             
                                                                                                                                
3:44:58 PM                                                                                                                    
                                                                                                                                
DAVID   DURHAM,  Executive   Vice-President   and  Chief   Credit                                                               
Administrator,  Mt. McKinley  Bank,  noted that  he  is also  the                                                               
secretary-treasurer of  the Alaska Bankers Association.   He said                                                               
that Mt. McKinley Bank is a  mutual bank owned by its depositors,                                                               
which gives  it special focus  on the community in  the Fairbanks                                                               
North Star  Borough.  He said  that profits are held  by the bank                                                               
to  benefit  depositors  through  lower deposit  rates  and  loan                                                               
interest rates.   He stated Mt. McKinley  Bank's "strong support"                                                               
for HB  85, especially the  sections pertaining to  mutual banks.                                                               
He said  that since banking  regulations in Alaska have  not been                                                               
updated in some  time, the deregulation of national  banks by the                                                               
OCC  have granted  those banks  increasingly  broad powers  which                                                               
have served  to hinder  the ability  of state-chartered  banks to                                                               
serve their  customers.  He offered  the belief that HB  85 would                                                               
allow  Mt.   McKinley  Bank  to  remain   competitive  and  would                                                               
establish parity with the other banks.                                                                                          
                                                                                                                                
MR.  DURHAM explained  CERCLA regulations  by recalling  when Mt.                                                               
McKinley  Bank was  preparing to  foreclose on  a gas  station in                                                               
Delta Junction, and the bank was  advised by its attorneys to not                                                               
touch the  title due  to environmental  actions on  the property.                                                               
He said the property had  gone through remediation but, acting on                                                               
legal advice,  the bank chose  to not foreclose on  the property,                                                               
instead finding  someone to  bid on the  property at  auction and                                                               
take title, thereby  causing a substantial loss to the  bank.  He                                                               
said, "We had  always been under the impression  that the federal                                                               
law  would speak  if state  law was  silent."   That was  not the                                                               
case, he  said, so  the proposed legislation  would seek  to have                                                               
CERCLA  protections for  those who  make  investments in  Alaskan                                                               
communities.                                                                                                                    
                                                                                                                                
3:48:45 PM                                                                                                                    
                                                                                                                                
TRACY  RENO,  Chief  of Examinations,  Division  of  Banking  and                                                               
Securities,  Department  of  Commerce,  Community,  and  Economic                                                               
Development,  said that  the Division  of Banking  and Securities                                                               
serves  as  the primary  regulator  of  the four  state-chartered                                                               
banks  in Alaska,  which follow  the now-outdated  Alaska banking                                                               
statutes.   The  federally-chartered  banks, she  said, have  the                                                               
advantage  of  the  broader powers  from  updated  federal  laws,                                                               
thereby creating disparity between the  two banking systems.  She                                                               
noted  the  collaborative  effort   between  the  Alaska  Bankers                                                               
Association and the Division of  Banking and Securities to bridge                                                               
the gap  between state and federal  banking laws.  She  said, "HB
85  modernizes  and streamlines  Alaska's  banking  law to  bring                                                               
parity  between  the  state  and national  banks  and  level  the                                                               
playing field."   She  said the  proposed legislation  would help                                                               
state banks  be competitive  with modern  best practices  and the                                                               
evolution  of  financial  services.   She  said  that  while  the                                                               
administration  has not  yet  taken a  position  on the  proposed                                                               
legislation, the provisions align  with the governor's priorities                                                               
by reducing  the regulatory burden  and modernizing  Alaska laws.                                                               
She said  that the  administration is planning  to support  HB 85                                                               
after  incorporation  of  the   proposed  changes  regarding  the                                                               
concerns of the Department of Environmental Conservation (DEC).                                                                 
                                                                                                                                
3:50:25 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SNYDER  asked  Representative LeBon  for  further                                                               
explanation of the  national guidelines and how HB  85 would help                                                               
achieve parity.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  LEBON  invited  one  of the  invited  experts  to                                                               
participate in the response.                                                                                                    
                                                                                                                                
3:51:54 PM                                                                                                                    
                                                                                                                                
MR.  MARTIN,  in  addressing  Representative  Snyder's  question,                                                               
referred  to  Representative  LeBon's earlier  reference  to  the                                                               
category of "other  real estate owned (OREO)," which  is added to                                                               
a bank's balance sheet when there  is a foreclosure and a general                                                               
obligation to  sell the property.   He said that  current statute                                                               
requires mutual  banks to  practice a  layered write-down  of the                                                               
asset which, he supposed, was  originally intended to ensure that                                                               
banks  don't hold  assets.    The provision  is  not required  of                                                               
national  or state  banks, he  said, which  follow GAAP  in asset                                                               
valuation.                                                                                                                      
                                                                                                                                
3:53:40 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SNYDER clarified that she  would like a summary of                                                               
"these  specific things  that we're  finding parity  with."   She                                                               
asked  whether Sections  21  and 22  are  necessarily limited  to                                                               
CERCLA, otherwise  known as Superfund, or  whether those sections                                                               
could  apply  to  other  environmentally-contaminated  sites  not                                                               
designated as Superfund sites.                                                                                                  
                                                                                                                                
REPRESENTATIVE LEBON deferred to one of the invited testifiers.                                                                 
                                                                                                                                
3:54:56 PM                                                                                                                    
                                                                                                                                
MR.  DURHAM  explained  that  the  site  would  not  have  to  be                                                               
designated  Superfund, it  could simply  be a  property that  has                                                               
undergone  a  state  environment  action.     He  said  that  the                                                               
provisions  under  HB   85  would  allow  banks   to  market  the                                                               
properties  in  question  without  assuming  the  obligation  and                                                               
liability for environmental remediation.                                                                                        
                                                                                                                                
3:55:32 PM                                                                                                                    
                                                                                                                                
MR. MARTIN interjected  with the comment that there  is a general                                                               
misunderstanding  of  how the  current  statutes  work.   When  a                                                               
borrower provides a piece of  real estate as collateral, he said,                                                               
the  bank does  an environmental  assessment of  the property  to                                                               
verify the  value of the  collateral, which could be  impacted by                                                               
environmental damage.   The general  premise under HB 85  is that                                                               
if a  financial institution is taking  a piece of real  estate as                                                               
collateral for  a loan,  there would be  no liability  unless the                                                               
bank engages in  operation of the business.   The general notion,                                                               
he said,  is that everyone on  the chain of title  is responsible                                                               
for  cleanup of  a contaminated  property.   It's possible  for a                                                               
property to be either devalued or,  if the cost of remediation is                                                               
greater than  what the  property could  be sold  for, to  have no                                                               
monetary value.                                                                                                                 
                                                                                                                                
3:58:01 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  SPOHNHOLZ asked  Ms. Reno  what areas  the Division  of                                                               
Banking and Securities is working on with the sponsor of HB 85.                                                                 
                                                                                                                                
MS.  RENO  clarified that  the  division  is satisfied  with  the                                                               
language of the proposed legislation  and is not working with the                                                               
sponsor.  She  said that in her earlier reference  to Sections 21                                                               
and 22  she intended  to convey  that the  sponsor is  working on                                                               
language with the Alaska Bankers Association.                                                                                   
                                                                                                                                
3:59:04 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ asked Ms. Larson  for information on the issue                                                               
on which DEC is working with the sponsor.                                                                                       
                                                                                                                                
3:59:12 PM                                                                                                                    
                                                                                                                                
TIFFANY  LARSON,   Director,  Division  of  Spill   Prevention  &                                                               
Response,  Department of  Environmental  Conservation, said  that                                                               
the Alaska  Bankers Association wants to  include CERCLA language                                                               
in the proposed legislation.   She expressed appreciation for the                                                               
Alaska  Bankers  Association's   openness  about  DEC's  concerns                                                               
regarding how HB 85 and CERCLA would work together.                                                                             
                                                                                                                                
CO-CHAIR FIELDS asked for an  estimated timeframe for arriving at                                                               
a consensus.                                                                                                                    
                                                                                                                                
REPRESENTATIVE LEBON said that he doesn't have a timeframe.                                                                     
                                                                                                                                
4:00:27 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS thanked the sponsor and testifiers.                                                                             
                                                                                                                                
[HB 85 was held over.]                                                                                                          
                                                                                                                                
^CONFIRMATION HEARING(S)                                                                                                        
                    ^CONFIRMATION HEARING(S)                                                                                
^Board of Social Work Examiners                                                                                                 
                 Board of Social Work Examiners                                                                             
                                                                                                                                
4:00:52 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be consideration  of the  governor's appointees  to the  Board of                                                               
Social Work Examiners.                                                                                                          
                                                                                                                                
4:01:20 PM                                                                                                                    
                                                                                                                                
MINDY SWISHER,  Appointee, Board  of Social Work  Examiners, said                                                               
that  she  is  a  clinical  social  worker  with  the  Office  of                                                               
Children's Services  and has  been sitting on  the board  for the                                                               
past two  years.  She  said that she  enjoys serving Alaska  as a                                                               
board  member, and  that  it's  vital to  protect  the public  by                                                               
ensuring public protection and making  sure social workers follow                                                               
rules and regulations.                                                                                                          
                                                                                                                                
4:01:48 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ pointed out that  Ms. Swisher is also a member                                                               
of the Resource Families Advisory  Board and asked whether she is                                                               
a foster parent.                                                                                                                
                                                                                                                                
MS.  SWISHER replied  that she  is not  a foster  parent but  did                                                               
serve on that board for two years.                                                                                              
                                                                                                                                
^Alcoholic Beverage Control Board                                                                                               
                Alcoholic Beverage Control Board                                                                            
                                                                                                                              
4:02:13 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be  consideration of  the governor's  appointee to  the Alcoholic                                                               
Beverage Control Board.                                                                                                         
                                                                                                                                
4:02:29 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS  noted that  Mr. Cox  already made  his statement                                                               
and  asked how  he sees  his  role as  the public  member on  the                                                               
board.                                                                                                                          
                                                                                                                                
JOHN COX, Appointee, Alcoholic Beverage  Control Board, said that                                                               
he sees his  role as providing safety for the  citizens of Alaska                                                               
and to protect the state from lawsuits.                                                                                         
                                                                                                                                
CO-CHAIR FIELDS asked Mr. Cox  what experience he has had working                                                               
with Title 4 and the Alcohol & Marijuana Control Office.                                                                        
                                                                                                                                
MR. COX  responded that he  served as the commanding  officer for                                                               
the Veterans of Foreign Wars  (VFW) in Anchor Point, managing the                                                               
facility's alcohol sales and daily operation.                                                                                   
                                                                                                                                
4:03:37 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ  said that while  Mr. Cox said that  he wanted                                                               
to  protect  the  state from  lawsuits,  the  Alcoholic  Beverage                                                               
Control  (ABC) Board's  function is  defined as  "controlling the                                                               
manufacture, barter,  possession, and sale of  alcohol beverages"                                                               
in the  state.  She asked  how he sees himself  as protecting the                                                               
state from lawsuits.                                                                                                            
                                                                                                                                
MR. COX said that  one of the issues he's found  that needs to be                                                               
addressed  is  the resale  of  a  license.    He referred  to  AS                                                               
04.11.660, and  said that it  states that a license  issued under                                                               
Title 4 is a privilege, not a property  right.  He said that if a                                                               
business no  longer wishes to  participate in  alcoholic beverage                                                               
sales, then the license should be  returned back to the state; he                                                               
expressed  that  this  would protect  the  state  and  discourage                                                               
"monopolizing" the licenses.                                                                                                    
                                                                                                                                
CO-CHAIR  SPOHNHOLZ asked  whether he  is aware  of any  lawsuits                                                               
being filed against the State of Alaska or the ABC Board.                                                                       
                                                                                                                                
MR. COX  replied that  he isn't  aware of  any such  lawsuit, and                                                               
that  the board  will be  addressing "those  issues" at  the next                                                               
meeting.   He  said, "There  are  people out  there that'll  file                                                               
lawsuits at  the drop of a  hat, and we  want to try and  head it                                                               
off before it gets out of control."                                                                                             
                                                                                                                                
4:05:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCARTY   said  that   he's  talked   to  several                                                               
restaurants and  bars in  his district  and learned  that selling                                                               
wine and  beer is different  from selling  liquor.  He  asked Mr.                                                               
Cox whether he's referring to the full liquor license.                                                                          
                                                                                                                                
MR. COX replied, "Yes."                                                                                                         
                                                                                                                                
REPRESENTATIVE MCCARTY asked whether  the concern is that someone                                                               
would file a lawsuit against the state "because it's not fair."                                                                 
                                                                                                                                
MR.  COX  shared  his  perception   that  Title  4  has  language                                                               
specifically   addressing   preventing   monopolies,   and   that                                                               
currently the state is allowing "that procedure to happen."                                                                     
                                                                                                                                
4:08:27 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  FIELDS noted  that Mr.  Cox  owned a  tobacco shop  and                                                               
asked him what steps he took  to prevent sales to minors, and how                                                               
it informs his view on preventing the sale of alcohol to minors.                                                                
                                                                                                                                
MR. COX said that he no  longer owns that business and noted that                                                               
there are  guidelines to  be followed.   He  said, "At  times, an                                                               
employee can  make a mistake, and  it can be pretty  harsh on the                                                               
owner of the business.   There were a couple times  where I had a                                                               
student, a  minor, come in,  and my employee accidentally  made a                                                               
mistake and sold tobacco to them."   He said that he believes the                                                               
employee, rather than the owner, should be fined in such a case.                                                                
                                                                                                                                
CO-CHAIR FIELDS  asked Mr. Cox whether  he is still on  the board                                                               
of the VFW.                                                                                                                     
                                                                                                                                
MR. COX replied that he resigned  when he was approached to be on                                                               
the ABC board.                                                                                                                  
                                                                                                                                
CO-CHAIR  FIELDS  asked  Mr.  Cox  whether  he  believes  alcohol                                                               
licenses  should  be  treated   differently  than  limited  entry                                                               
fishing permits.                                                                                                                
                                                                                                                                
MR. COX  replied that the  board is considering  allowing charter                                                               
boats to purchase liquor licenses for onboard sales.                                                                            
                                                                                                                                
4:11:09 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ  recalled Mr.  Cox's earlier  testimony during                                                               
which he  described having a  problem with the  after-market sale                                                               
of  liquor  licenses,  and  she  had asked  whether  he  had  any                                                               
solution to the problem.                                                                                                        
                                                                                                                                
MR.  COX opined  that allowing  businesses to  purchase a  liquor                                                               
license and then  sell it was a  mistake in the first  place.  He                                                               
proposed  that when  a business  buys a  liquor license  from the                                                               
state, it  is then allowed  to sell  it to another  business, but                                                               
when the  other business has  purchased it, the  understanding is                                                               
that the  business will no  longer be able  to sell it,  but that                                                               
the license  would return  to the  state.   The state  would then                                                               
hold a lottery for the license.                                                                                                 
                                                                                                                                
CO-CHAIR SPOHNHOLZ  asked Mr. Cox  whether it's his  opinion that                                                               
the people who invested in the  liquor license would have to "eat                                                               
it."                                                                                                                            
                                                                                                                                
MR.  COX  said no,  it  is  his  opinion  that the  business  who                                                               
purchases the  license should be  able to  sell it, but  then new                                                               
owners of  the license should  be required to return  the license                                                               
back to the state.                                                                                                              
                                                                                                                                
CO-CHAIR SPOHNHOLZ  agreed that the issue  of after-market liquor                                                               
license  sales has  been contentious.    She then  asked Mr.  Cox                                                               
whether  he's  comfortable  with maintaining  the  limited  entry                                                               
system for alcoholic beverage licenses.                                                                                         
                                                                                                                                
MR. COX said, "I am right now, yes."                                                                                            
                                                                                                                                
4:14:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KAUFMAN  expressed interest in the  topic and said                                                               
he started imagining  a world in which there was  a finite amount                                                               
of driver's licenses, each with a cash value.                                                                                   
                                                                                                                                
MR.  COX  responded  that  on   the  Kenai  Peninsula  there  are                                                               
currently only  11 allotted package  store licenses,  while there                                                               
are 17 licenses "out there."   He added, "So that'll help correct                                                               
that problem that ... the state currently has."                                                                                 
                                                                                                                                
4:16:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SCHRAGE  commented that  if  there  was to  be  a                                                               
condition put on  a license, such as the ability  to sell it once                                                               
but  then require  its  return to  the state,  the  value of  the                                                               
license would  be greatly diminished.   He said that  there would                                                               
be a  party harmed either way,  and requiring that the  state buy                                                               
the license back would be the only way to mitigate damages.                                                                     
                                                                                                                                
^Alaska Labor Relations Agency                                                                                                  
                 Alaska Labor Relations Agency                                                                              
                                                                                                                              
4:17:06 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be  consideration  of the  governor's  appointees  to the  Alaska                                                               
Labor Relations Agency.                                                                                                         
                                                                                                                                
4:17:16 PM                                                                                                                    
                                                                                                                                
PATTY  BURLEY, Appointee,  Alaska  Labor  Relations Agency,  said                                                               
that  she  is  from  Bethel  and   is  hoping  to  bring  a  bush                                                               
perspective to the board.                                                                                                       
                                                                                                                                
4:17:54 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ asked Ms. Burley  whether she would be holding                                                               
the seat for management, labor, or general public.                                                                              
                                                                                                                                
Ms. BURLEY answered, "Management."                                                                                              
                                                                                                                                
4:18:09 PM                                                                                                                    
                                                                                                                                
DENNY  DEWITT, Appointee,  Alaska  Labor  Relations Agency,  said                                                               
that he has worked in  government his entire career and specified                                                               
that  at the  Department  of Administration  he  worked in  labor                                                               
relations activities.   He said that his  background prepared him                                                               
well for this agency.                                                                                                           
                                                                                                                                
4:19:22 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS asked Mr. Dewitt  which category of seat he would                                                               
be holding.                                                                                                                     
                                                                                                                                
MR. DEWITT answered, "Public."                                                                                                  
                                                                                                                                
4:19:39 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ  asked Mr. Dewitt what  he hopes to do  on the                                                               
board.                                                                                                                          
                                                                                                                                
MR. DEWITT said that he hopes to  be a good arbiter for those who                                                               
have differing opinions on the issues.                                                                                          
                                                                                                                                
4:20:28 PM                                                                                                                    
                                                                                                                                
JUSTIN MACK, Appointee, Alaska Labor  Relations Agency, said that                                                               
he has been  the captain of the Anchorage Fire  Department and is                                                               
currently   the  executive   board   member   of  the   Anchorage                                                               
Firefighters  Union and  vice  president  of Alaska  Professional                                                               
Fire  Fighters  Association.    He  said that  he  has  seen  the                                                               
importance  of  finding  common   ground  between  employees  and                                                               
employers, and  that he  was on  the Workers'  Compensation Board                                                               
for the past three years.                                                                                                       
                                                                                                                                
^Alaska State Board of Public Accountancy                                                                                       
            Alaska State Board of Public Accountancy                                                                        
                                                                                                                              
4:21:26 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be  consideration  of the  governor's  appointees  to the  Alaska                                                               
State Board of Public Accountancy.                                                                                              
                                                                                                                                
4:21:38 PM                                                                                                                    
                                                                                                                                
RACHEL   HANKS,  Appointee,   Alaska   State   Board  of   Public                                                               
Accountancy,  said  that  she has  served  on  several  nonprofit                                                               
boards and has been a public  accountant for almost 20 years, and                                                               
worked as  an agent with  the Internal Revenue Service  (IRS) for                                                               
10 years.   She said  that she has had  her license for  only two                                                               
years,  which  means  she's current  on  regulations  surrounding                                                               
licensure.  She said that  she's especially interested in working                                                               
with the  peer review  expansion which  is currently  under board                                                               
discussion.                                                                                                                     
                                                                                                                                
4:22:39 PM                                                                                                                    
                                                                                                                                
LANCE   JOHNSON,  Appointee,   Alaska  State   Board  of   Public                                                               
Accountancy,  said that  he currently  works  at United  Services                                                               
Automobile Association  (USAA) as a writ  management professional                                                               
and is a  remote employee based in  Alaska.  He said  that he has                                                               
been an independent consultant, worked  in internal audit in risk                                                               
management,  and holds  several  professional  designations.   He                                                               
said that  he wants to serve  on the board because  he has relied                                                               
on  the work  of public  accountants over  the years  and has  an                                                               
interest in ensuring the integrity of the work they do.                                                                         
                                                                                                                                
4:24:44 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NELSON asked Mr. Johnson about his remote work.                                                                  
                                                                                                                                
MR. JOHNSON  said that  his role with  the Institute  of Internal                                                               
Auditors is in a volunteer capacity.                                                                                            
                                                                                                                                
4:25:41 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  SPOHNHOLZ  asked  Mr.  Johnson whether  he  resides  in                                                               
Alaska.                                                                                                                         
                                                                                                                                
MR. JOHNSON replied that he lives in Anchorage.                                                                                 
                                                                                                                                
4:26:40 PM                                                                                                                    
                                                                                                                                
DONALD   VIEIRA,  Appointee,   Alaska  State   Board  of   Public                                                               
Accountancy, said  that he has served  for one year on  the board                                                               
and  was  in  the  process   of  being  confirmed  when  COVID-19                                                               
necessitated putting the process on  hold.  He described his work                                                               
on  the board  as covering  new  applications and  said that  his                                                               
experience is building  rapidly.  He said that he  has been a CPA                                                               
for several  years and  worked as an  auditor before  opening his                                                               
own firm.                                                                                                                       
                                                                                                                                
4:27:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE NELSON noted Mr. Vieira's  service in the U.S. Air                                                               
Force, and asked if he moved to Alaska with the military.                                                                       
                                                                                                                                
MR.  VIEIRA  responded  that  he  moved  to  Fairbanks  with  the                                                               
military in  1989 and  spent three years  there, and  returned to                                                               
Alaska in 2001.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  NELSON asked  whether  Mr. Vieira  moved back  to                                                               
Alaska on his own.                                                                                                              
                                                                                                                                
MR. VIEIRA replied yes.                                                                                                         
                                                                                                                                
^Alaska Workers' Compensation Board                                                                                             
               Alaska Workers' Compensation Board                                                                           
                                                                                                                              
4:28:58 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be  consideration  of the  governor's  appointees  to the  Alaska                                                               
Workers' Compensation Board.                                                                                                    
                                                                                                                                
4:29:08 PM                                                                                                                    
                                                                                                                                
MICHAEL  DENNIS, Appointee,  Alaska Workers'  Compensation Board,                                                               
informed  the  committee  that  he is  an  insurance  broker  and                                                               
partner  in a  health insurance  company in  Anchorage.   He said                                                               
that he specializes  in workers' compensation and  stated that he                                                               
would  like to  be  on the  board  in order  to  bring real  life                                                               
experience.                                                                                                                     
                                                                                                                                
4:29:40 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  SPOHNHOLZ  asked whether  he  would  be going  into  an                                                               
industry or labor seat.                                                                                                         
                                                                                                                                
MR. DENNIS answered that he believes it's an industry seat.                                                                     
                                                                                                                                
4:30:03 PM                                                                                                                    
                                                                                                                                
ANTHONY  LADD,  Appointee,  Alaska Workers'  Compensation  Board,                                                               
said that he  is the business manager for the  (indisc.) Local 51                                                               
and sits  on the Alaska  Workforce Investment Board as  the chair                                                               
for  the  assessment and  evaluation  committee.   He  said  he's                                                               
observed two  Alaska Workers'  Compensation Board  meetings since                                                               
being appointed to  the board.  He stated  his understanding that                                                               
the Alaska Workers' Compensation Board is a "working board."                                                                    
                                                                                                                                
4:30:50 PM                                                                                                                    
                                                                                                                                
JASON  MOTYKA,  Appointee,  Alaska Workers'  Compensation  Board,                                                               
said that he  has a business administration degree  and started a                                                               
business  in  Denali   National  Park.    He   now  has  multiple                                                               
companies,  he said,  with  the most  well-known  being the  49th                                                               
State Brewing  Company, which had  over 500 employees  before the                                                               
COVID-19 pandemic.  He said  he has experience with how insurance                                                               
regulations filter down  to the business owners, and  that he has                                                               
represented  his  own  employees  going through  the  process  of                                                               
workers' compensation.   He said that  a lot of work  can be done                                                               
to  lower  the  cost  of   workers'  compensation  insurance  for                                                               
employers, as well as provide needed benefits for employees.                                                                    
                                                                                                                                
4:32:21 PM                                                                                                                    
                                                                                                                                
NANCY  SHAW,  Appointee,   Alaska  Workers'  Compensation  Board,                                                               
informed the  committee that she  was initially appointed  to the                                                               
Alaska Workers' Compensation Board in  2017 to finish the term of                                                               
a board member who resigned.   This would be her first three-year                                                               
term,  she  said.   She  told  the  committee  that she  was  the                                                               
attorney for  the Teamsters Union  for 15 years, until  2016, and                                                               
noted  that  the  union doesn't  represent  workers  in  workers'                                                               
compensation  cases.   She  said  that her  work  with the  union                                                               
consisted  of  workers'  safety protocol,  rule  compliance,  and                                                               
designing methods  to prevent worker  injury.  She said  that the                                                               
work done on the Workers'  Compensation Board is very familiar to                                                               
her.                                                                                                                            
                                                                                                                                
4:34:17 PM                                                                                                                    
                                                                                                                                
ROBERT WEEL, Appointee, Alaska  Workers' Compensation Board, said                                                               
that he served  as a member at-large on the  industry side of the                                                               
Alaska  Workers' Compensation  Board  and was  accepted onto  the                                                               
board  during the  Murkowski  Administration.   He  said that  he                                                               
tries to  keep his  focus on  both employee  and employers  as it                                                               
pertains to  injury cases,  and stated that  he feels  good about                                                               
the work he has done thus far on the board.                                                                                     
                                                                                                                                
4:35:27 PM                                                                                                                    
                                                                                                                                
LAKE  WILLIAMS, Appointee,  Alaska  Workers' Compensation  Board,                                                               
said  that  he  has  a  degree  in  business  administration  and                                                               
completed  an apprenticeship  as an  operating engineer  in 1996.                                                               
He  said that  he has  been on  the Alaska  Workers' Compensation                                                               
Board since  2014, and said that  the board has a  lot of meaning                                                               
to workers and employees.                                                                                                       
                                                                                                                                
^Board of Chiropractic Examiners                                                                                                
                Board of Chiropractic Examiners                                                                             
                                                                                                                              
4:37:14 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be consideration  of the  governor's appointees  to the  Board of                                                               
Chiropractic Examiners.                                                                                                         
                                                                                                                                
4:37:24 PM                                                                                                                    
                                                                                                                                
DR. TIM KANADY, Appointee, Board  of Chiropractic Examiners, said                                                               
that he  has been a chiropractor  for 38 years and  has served in                                                               
various  positions in  the chiropractic  society, as  well as  on                                                               
various state  and government panels.   He said that he  sees his                                                               
role  on  the Board  of  Chiropractic  Examiners as  serving  and                                                               
protecting the people of Alaska.                                                                                                
                                                                                                                                
4:38:49 PM                                                                                                                    
                                                                                                                                
JOHN  LLOYD, Appointee,  Board  of  Chiropractic Examiners,  said                                                               
that he has been  a chiropractor for 22 years and  wants to be on                                                               
the board to advance chiropractic  practice throughout the state.                                                               
He discussed the  importance of keeping options  open while being                                                               
cognizant   of   public   safety,  noting   that   almost   every                                                               
chiropractor in the  state has completed COVID-19  protocols.  He                                                               
discussed  using  chiropractic  medicine   to  help  people  with                                                               
addiction   problems,   thereby   saving   money   in   insurance                                                               
reimbursements.                                                                                                                 
                                                                                                                                
^Board of Massage Therapists                                                                                                    
                  Board of Massage Therapists                                                                               
                                                                                                                              
4:40:30 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be consideration  of the  governor's appointees  to the  Board of                                                               
Massage Therapists.                                                                                                             
                                                                                                                                
4:40:38 PM                                                                                                                    
                                                                                                                                
KRISTIN TRI,  Appointee, Board of  Massage Therapists,  said that                                                               
she has been a massage therapist  since 2015 and was appointed to                                                               
the Board of  Massage Therapists as the  COVID-19 pandemic began.                                                               
She said  that she enjoys contributing  on the board, as  well as                                                               
helping new  massage therapists  work "at  a more  legitimate and                                                               
professional level."                                                                                                            
                                                                                                                                
^Board of Nursing                                                                                                               
                        Board of Nursing                                                                                    
                                                                                                                              
4:41:21 PM                                                                                                                    
                                                                                                                                
LENA LAFFERTY,  Appointee, Board  of Nursing,  said that  she was                                                               
initially appointed to the Board of  Nursing in 2019 and has come                                                               
to know  the current board  members.   She stated that  the board                                                               
has made "great  strides" in adapting nursing  regulations to the                                                               
COVID-19  pandemic  while  ensuring   safe  nursing  practice  in                                                               
Alaska.   She  informed the  committee that  she is  a registered                                                               
nurse (RN) with  Providence Alaska, and has been a  nurse for six                                                               
years  after serving  as a  hospital corpsman  in the  U.S. Navy.                                                               
She stated  that she  is fully  committed to  the mission  of the                                                               
Board of Nursing, and that  she will actively promote and protect                                                               
the  health  of the  citizens  of  Alaska  through the  safe  and                                                               
effective practice of nursing.                                                                                                  
                                                                                                                                
4:42:50 PM                                                                                                                    
                                                                                                                                
WENDY  MONRAD, Appointee,  Board of  Nursing, said  that she  was                                                               
appointed to the  Board of Nursing in 2019 to  finish the term of                                                               
another board member  and was reappointed in 2020.   She said she                                                               
has been a  certified registered nurse anesthetist  (CRNA) for 21                                                               
years, an  RN for 30  years, and  is currently employed  with the                                                               
Alaska Native Medical Center.  She  said that she moved to Alaska                                                               
with the U.S.  Air Force in 2002 and has  served her professional                                                               
organization at the state and  national levels, and has served as                                                               
the  chief CRNA  for the  past  10 years.   She  said that,  upon                                                               
confirmation to the board, she  will continue to advocate for the                                                               
people of Alaska.                                                                                                               
                                                                                                                                
4:44:26 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ  asked Ms. Monrad  about the  most interesting                                                               
thing she's worked on since being on the board.                                                                                 
                                                                                                                                
MS. MONRAD discussed the emergency  regulations needed to respond                                                               
to COVID-19 such as telehealth.                                                                                                 
                                                                                                                                
CO-CHAIR SPOHNHOLZ asked what was interesting about telehealth.                                                                 
                                                                                                                                
MS. MONRAD  answered that telehealth  is not a new  practice, but                                                               
it really  came to the forefront  during the pandemic and  is now                                                               
being  used  more  widely.     She  said  that  she,  personally,                                                               
experienced   telehealth  care   through   the  Veterans   Health                                                               
Administration and  said that it  was so easy and  efficient that                                                               
it inspired her to work towards appropriate regulation.                                                                         
                                                                                                                                
4:46:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SCHRAGE asked  Ms.  Monrad  whether she  believes                                                               
Centers  for  Disease  Control and  Prevention  (CDC)  guidelines                                                               
should be followed, especially as they relate to COVID-19.                                                                      
                                                                                                                                
MS. MONRAD replied, "Absolutely.   I think the CDC guidelines are                                                               
important."    She  said  that   COVID-19  has  created  so  many                                                               
questions, but CDC  guidelines have always been  the standard for                                                               
medical and nursing practice.                                                                                                   
                                                                                                                                
REPRESENTATIVE  SCHRAGE  asked  Ms.  Monrad whether  she  has  an                                                               
opinion on  whether hydroxychloroquine is an  effective treatment                                                               
for COVID-19.                                                                                                                   
                                                                                                                                
MS. MONRAD  said that she  does anesthesia  for a living,  so she                                                               
doesn't  have  an  opinion on  hydroxychloroquine,  and  that  it                                                               
hasn't been discussed during meetings of the Board of Nursing.                                                                  
                                                                                                                                
REPRESENTATIVE  SCHRAGE pointed  out  that he's  been alerted  to                                                               
social   media  attributed   to   Ms.   Monrad  promoting   using                                                               
hydroxychloroquine.                                                                                                             
                                                                                                                                
MS. MONRAD  said that  she believes  it was  "some time  ago" and                                                               
said, "In medicine there are  differing opinions about what works                                                               
and what  doesn't work, and  what's true science and  what's not,                                                               
and there's  a lot  of turmoil  in the  medical community."   She                                                               
said that it's important to recognize  that CDC has always been a                                                               
leader in the practice of medicine.                                                                                             
                                                                                                                                
REPRESENTATIVE SCHRAGE stated his  appreciation for her alignment                                                               
with the CDC.                                                                                                                   
                                                                                                                                
4:48:41 PM                                                                                                                    
                                                                                                                                
MICHAEL  WILCHER,  Appointee,  Board  of  Nursing,  informed  the                                                               
committee that he's been a nurse  for almost 26 years, working in                                                               
departments  ranging from  psychiatry  to  orthopedics to  urgent                                                               
care, and  currently works  for the  U.S. Department  of Veterans                                                               
Affairs  (VA)  at   the  clinic  in  Fairbanks.     He  expressed                                                               
appreciation for Ms. Monrad's comments  about telehealth and said                                                               
that the VA  works hard to make telehealth work  efficiently.  He                                                               
said  that  he  offers  the board  his  experience  in  different                                                               
aspects  of nursing,  and  he noted  that  nurses have  expressed                                                               
frustration  in  finding  the needed  information  on  rules  and                                                               
regulations, noting  that even his  nurse manager  has difficulty                                                               
finding  information such  as the  scope of  practice for  nurses                                                               
that work  under her.   He said  that he understands  that nurses                                                               
need to  be held  accountable for  not following  regulations and                                                               
that  he would  be able  to consider  any necessary  disciplinary                                                               
actions.                                                                                                                        
                                                                                                                                
4:51:28 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ  asked Mr. Wilcher  whether he  is comfortable                                                               
adhering to CDC guidelines.                                                                                                     
                                                                                                                                
MR. WILCHER replied, "Absolutely."                                                                                              
                                                                                                                                
4:51:54 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  FIELDS  said  that Mr.  Wilcher's  social  media  posts                                                               
expressed concern about losing constitutional  rights and that he                                                               
was not  worried about  COVID-19.  Co-Chair  Fields said  that he                                                               
remains  concerned  about the  content  of  Mr. Wilcher's  social                                                               
media posts  questioning the science of  COVID-19 but appreciates                                                               
his commitment to  simply follow CDC guidance in his  role on the                                                               
Board of Nursing.                                                                                                               
                                                                                                                                
MR. WILCHER  said that  he follows CDC  guidelines at  work every                                                               
day, and that his personal opinion has no impact on his job.                                                                    
                                                                                                                                
4:53:05 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  NELSON  asked for  a  copy  of the  social  media                                                               
posts.                                                                                                                          
                                                                                                                                
^Board of Pharmacy                                                                                                              
                       Board of Pharmacy                                                                                    
                                                                                                                              
4:53:28 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be consideration  of the  governor's appointees  to the  Board of                                                               
Pharmacy.                                                                                                                       
                                                                                                                                
4:53:35 PM                                                                                                                    
                                                                                                                                
RICHARD  HOLT, Appointee,  Board of  Pharmacy, said  that he  has                                                               
been a  licensed pharmacist for  over 20 years and  was initially                                                               
confirmed to the  Board of Pharmacy in 2016.   He said that while                                                               
on  the board  he  participated in  legislative testimony,  wrote                                                               
questions for  the multistate jurisprudence exam  for pharmacists                                                               
wishing  to  become  licensed  in  Alaska,  presented  continuing                                                               
education to licensees on behalf of  the board, and was active in                                                               
drafting regulation topics for board  review.  He said that there                                                               
are many areas in which he  could contribute while serving on the                                                               
board.                                                                                                                          
                                                                                                                                
^Board of Veterinary Examiners                                                                                                  
                 Board of Veterinary Examiners                                                                              
                                                                                                                              
4:55:15 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced  that the next order  of business would                                                               
be consideration  of the  governor's appointees  to the  Board of                                                               
Veterinary Examiners.                                                                                                           
                                                                                                                                
4:55:24 PM                                                                                                                    
                                                                                                                                
DR.  DENISE ALBERT,  Appointee,  Board  of Veterinary  Examiners,                                                               
informed  the committee  that  she  has served  on  the Board  of                                                               
Veterinary  Examiners  for   the  past  year  and   has  been  in                                                               
veterinary practice for  35 years, with 20 years in  Alaska.  She                                                               
said that she is semi-retired,  doing relief work and consulting,                                                               
and is  able to provide  a broad perspective of  veterinary work.                                                               
She  expressed that  service on  the board  has a  steep learning                                                               
curve, and the board members have been very supportive.                                                                         
                                                                                                                                
4:57:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCARTY asked  Dr.  Albert whether  she sees  any                                                               
specific needs regarding veterinary medicine in the state.                                                                      
                                                                                                                                
DR.  ALBERT  replied  that  the  board  is  working  on  refining                                                               
regulations  for clarity  and directness,  as well  as addressing                                                               
the opioid crisis.                                                                                                              
                                                                                                                                
REPRESENTATIVE  MCCARTY   asked  Dr.   Albert  her   thoughts  on                                                               
mandatory reporting of animal medication prescriptions.                                                                         
                                                                                                                                
DR.  ALBERT   responded  that   she  supports   making  reporting                                                               
mandatory and that  human medicine is very  different from animal                                                               
medicine, which varies between species.                                                                                         
                                                                                                                                
5:02:15 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SPOHNHOLZ asked Dr. Albert  whether she acknowledges the                                                               
opioid problem in the state.                                                                                                    
                                                                                                                                
DR. ALBERT replied, "Absolutely."                                                                                               
                                                                                                                                
CO-CHAIR SPOHNHOLZ asked  whether veterinarians prescribe opioids                                                               
that can be, and have been, consumed by humans.                                                                                 
                                                                                                                                
DR. ALBERT answered that many of the same drugs are used.                                                                       
                                                                                                                                
CO-CHAIR SPOHNHOLZ  asked Dr.  Albert whether  she is  aware that                                                               
the  prescription   drug  monitoring  program  (PDMP)   allows  a                                                               
veterinarian to delegate data entry to office personnel.                                                                        
                                                                                                                                
DR.  ALBERT replied  that  the  data entry  person  has  to be  a                                                               
licensed veterinary technician, not regular office personnel.                                                                   
                                                                                                                                
CO-CHAIR  SPOHNHOLZ  asked Dr.  Albert  whether  she agrees  that                                                               
veterinary medicines can  be abused by adults, and  that the work                                                               
of  registering drugs  with PDMP  can  be delegated.   She  asked                                                               
whether it's possible that registering  drugs with PDMP is not as                                                               
onerous as she's suggesting.                                                                                                    
                                                                                                                                
DR.  ALBERT   responded  that   veterinarians  have   backed  off                                                               
prescribing opioids  simply because of  the opioid problem.   She                                                               
said that  the program  itself is problematic,  and that  using a                                                               
registered veterinary  technician to register the  medicines with                                                               
PDMP is time-consuming.                                                                                                         
                                                                                                                                
CO-CHAIR  SPOHNHOLZ  shared  her   understanding  that  PDMP  was                                                               
designed for data  entry relating to human  patients, and therein                                                               
lies the challenge of data entry  relating to animals.  She asked                                                               
whether it's  possible to  simply modify PDMP  to make  it easier                                                               
for use in veterinary medicine.                                                                                                 
                                                                                                                                
DR. ALBERT replied that modification  has been worked on for four                                                               
years, and  it's only recently that  there's been acknowledgement                                                               
that the  process has been altered.   She said PDMP  doesn't even                                                               
allow something as simple as standard measurement variations.                                                                   
                                                                                                                                
5:05:59 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KAUFMAN commented that PDMP could be improved.                                                                   
                                                                                                                                
^Occupational Safety & Health Review Board                                                                                      
           Occupational Safety & Health Review Board                                                                        
                                                                                                                              
5:06:39 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced that the  final order of business would                                                               
be   consideration   of   the  governor's   appointees   to   the                                                               
Occupational Safety & Health Review Board.                                                                                      
                                                                                                                                
5:07:08 PM                                                                                                                    
                                                                                                                                
JOHN  STALLONE, Appointee,  Occupational Safety  & Health  Review                                                               
Board, said that  he has been working in  occupational safety and                                                               
health issues for  22 years in the  aviation, transportation, and                                                               
oil and gas industries, and has  been involved in over 400 cases.                                                               
He  said that  he  has been  working in  compliance  in both  the                                                               
public  and  private  sectors,  and  that  he  has  a  wealth  of                                                               
knowledge and is  eager to be an active participant  in any cases                                                               
that come before the board.                                                                                                     
                                                                                                                                
5:09:02 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  NELSON  asked  Mr. Stallone  about  his  military                                                               
service.                                                                                                                        
                                                                                                                                
MR.  STALLLONE responded  that he  was  a loadmaster  on a  C-130                                                               
airplane.                                                                                                                       
                                                                                                                                
5:10:23 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Labor and  Commerce Standing Committee  meeting was  adjourned at                                                               
5:10 p.m.                                                                                                                       

Document Name Date/Time Subjects
Rachel Hanks Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Richard Holt Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Richard Holt Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Robert Weel Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Rachel Hanks Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Scott Flamme Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Steven Jordan Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Steven Jordan Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Tanya Kirk Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Tanya Kirk Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Tim Kanady Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Traci Heaton Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Wendy Monrad Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Vincent Perez Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Anthony Ladd Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Bruce Schulte Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Casey Dschaak Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Christopher Dean Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Christopher Dean Opposition Letter.pdf HL&C 4/7/2021 3:15:00 PM
Christopher E. Jaime Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
David Talerico Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Denise Albert Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Dennis Dewitt Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Dennis DeWitt Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Donald Vieira Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Donald Vieira Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Elizabeth Schok Board Application.pdf HL&C 4/7/2021 3:15:00 PM
Dorene Hagen Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Elizabeth Schok Resume.pdf HL&C 4/7/2021 3:15:00 PM
Hal Geiger Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Jason Motyka Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
John Cox Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
John Lloyd Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
John Lloyd Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
John Stallone Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Justin Mack Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Justin Ruffridge Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Justin Ruffridge Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Kristin Tri Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Lake Williams Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Lance Johnson Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Lena Lafferty Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Micheal Dennis Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Mindy Swisher_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Nancy Shaw Board Application_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Patty Burley Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
Rachel Berngartt Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
HB 85 v. B 2.18.21.PDF HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Sectional Analysis 03.16.2021.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Sponsor Statement 03.16.2021.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Letters of Support 03.16.2021.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Northrim Letter of Support 3.25.21.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Fiscal Note - DCCED, DBS 4.2.21.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Fiscal Note - DEC, 4.2.21.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
HB 85 Fiscal Note - DCCED, CBPL, 4.2.21.pdf HL&C 4/7/2021 3:15:00 PM
HB 85
Wendy Monrad Letter of Intent, 4.7.21.pdf HL&C 4/7/2021 3:15:00 PM
Michael Wilcher Resume_Redacted.pdf HL&C 4/7/2021 3:15:00 PM
John Cox Public Comment - Recover Alaska, 4.5.21.pdf HL&C 4/7/2021 3:15:00 PM