Legislature(1993 - 1994)
04/07/1994 03:00 PM House L&C
| Audio | Topic |
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE LABOR AND COMMERCE
STANDING COMMITTEE
APRIL 7, 1994
3:00 P.M.
MEMBERS PRESENT
Representative Bill Hudson, Chairman
Representative Joe Green, Vice Chairman
Representative Brian Porter
Representative Eldon Mulder
Representative Bill Williams
Representative Joe Sitton
Representative Jerry Mackie
MEMBERS ABSENT
None
COMMITTEE CALENDAR
HB 539: "An Act extending the Alaska Public
Utilities Commission; and relating to
regulation of public utilities and to
regulatory cost charges."
HEARD AND PASSED OUT OF COMMITTEE
HB 534: "An Act relating to insurance, to the
licensing, accreditation, examination,
regulation, and solvency of persons
engaged in the insurance business,
including insurers, nonadmitted
insurers, purchasing groups, risk
retention groups, and United States
branches of alien insurers; relating to
the management of and the filing of
reports by persons licensed or otherwise
doing business under the insurance code;
amending Alaska Rule of Civil Procedure
45; and providing for an effective
date."
HEARD AND PASSED OUT OF COMMITTEE
HB 458: "An Act relating to certain licenses and
applications for licenses for persons
who are not in compliance with orders,
judgments, or payment schedules for
child support."
HEARD AND HELD IN COMMITTEE
SB 64: "An Act relating to civil liability for
workplace safety inspections."
HEARD AND HELD IN COMMITTEE
HB 241: "An Act relating to workers'
compensation; and providing for an
effective date."
HEARD AND HELD IN COMMITTEE
WITNESS REGISTER
BOB LOHR, Executive Director
Alaska Public Utilities Commission
1016 West 6th Avenue, No. 400
Anchorage, Alaska 99501
276-6222
POSITION STATEMENT: Testified in support of HB 539 with an
amendment
DAVE HUTCHENS,
Alaska Rural Electric Cooperative Association
703 W. Tudor, #200
Anchorage, Alaska 99503
561-6103
POSITION STATEMENT: Testified in support of HB 539 with an
amendment. Supported moving both SB 64
and HB 241
DON SCHROER, Executive Director
Alaska Public Utilities Association
1011 W. 6th, #400
Anchorage, Alaska 99501
276-6222
POSITION STATEMENT: Testified in support of HB 539
REED STOOPS, Lobbyist
GCI
240 Main Street, #600
Juneau, Alaska 99801
463-3223
POSITION STATEMENT: Testified in support of HB 539
STEVE CONN
Alaska Public Interest Research Group
P.O. Box 101093
Anchorage, Alaska 99501
276-8366
POSITION STATEMENT: Testified in opposition to HB 539
JIM ROWE
Alaska Telephone Association
POSITION STATEMENT: Testified in support of HB 539
DAVE WALSH, Director
Division of Insurance
P.O. Box 110805
Juneau, Alaska 99811-0805
POSITION STATEMENT: Testified in support of HB 534
REPRESENTATIVE JOHN DAVIES
Alaska State Legislature
State Capitol
Juneau, Alaska 99801-1182
465-4457
POSITION STATEMENT: Sponsor of HB 458
KENNETH KIRK
900 West 5th, #730
Anchorage, Alaska 99501
279-1659
POSITION STATEMENT: Testified in opposition to HB 458
JUANITA HENSLEY, Chief,
Drivers Services
Division of Motor Vehicles
Department of Public Safety
P.O. Box 20020
Juneau, Alaska 99802-0020
465-4335
POSITION STATEMENT: Testified in opposition to HB 458
KIT BALLENTINE, Acting Director
Environmental Sanitation Section
Division of Environmental Health
Department of Environmental Conservation
410 Willoughby Avenue, Suite 105
Juneau, Alaska 99801-1795
465-5280
POSITION STATEMENT: Discussed concerns of HB 458
SHERRIE GOLL, Lobbyist
Alaska Women's Lobby & Kidpac
P.O. Box 22156
Juneau, Alaska 99802
463-6744
POSITION STATEMENT: Testified in support of HB 458
KARL LUCK, Director
Division of Occupational Licensing
Department of Commerce and Economic Development
P.O. Box 110806
Juneau, Alaska 99811-0806
POSITION STATEMENT: Discussed concerns of HB 458
LARAINE DERR, Deputy Commissioner
Treasury
Department of Revenue
P.O. Box 110400
Juneau, Alaska 99811-0400
465-4880
POSITION STATEMENT: Testified in support HB 458
JIM ARNESON
Alaska Family Support Group
1800 Shore Drive
Anchorage, Alaska 99515
344-7707
POSITION STATEMENT: Testified in opposition to HB 458
JOSH FINK, Legislative Staff
to Senator Tim Kelly
Alaska State Legislature
State Capitol
Juneau, Alaska 99801-1182
465-3819
POSITION STATEMENT: Gave sponsor statement for SB 64
KEVIN SMITH
Alaska Municipal League
Joint Insurance Association
217 2nd Street, Suite 200
Juneau, Alaska 99801
586-3222
POSITION STATEMENT: Testified in opposition to SB 64
PHIL FINKSTAD, Business Manager
Carpenters Union
306 Willoughby Ave.
Juneau, Alaska 99801
586-3675
POSITION STATEMENT: Testified on SB 64
PREVIOUS ACTION
BILL: HB 539
SHORT TITLE: APUC EXTENSION AND RAGULATORY COST CHARGE
SPONSOR(S): LABOR & COMMERCE
JRN-DATE JRN-PG ACTION
03/23/94 2935 (H) READ THE FIRST TIME/REFERRAL(S)
03/23/94 2935 (H) L&C, FINANCE
03/29/94 (H) L&C AT 03:00 PM CAPITOL 17
03/29/94 (H) MINUTE(L&C)
04/07/94 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 534
SHORT TITLE: OMNIBUS INSURANCE REFORM
SPONSOR(S): LABOR & COMMERCE
JRN-DATE JRN-PG ACTION
03/18/94 2868 (H) READ THE FIRST TIME/REFERRAL(S)
03/18/94 2868 (H) L&C, JUDICIARY, FINANCE
03/29/94 (H) L&C AT 03:00 PM CAPITOL 17
03/29/94 (H) MINUTE(L&C)
04/06/94 (H) JUD AT 01:00 PM CAPITOL 120
04/07/94 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 458
SHORT TITLE: CHILD SUPPORT NONPAYMENT/LICENSING BAN
SPONSOR(S): REPRESENTATIVE(S) DAVIES
JRN-DATE JRN-PG ACTION
02/09/94 2320 (H) READ THE FIRST TIME/REFERRAL(S)
02/09/94 2321 (H) L&C, JUDICIARY, FINANCE
04/05/94 (H) L&C AT 03:00 PM CAPITOL 17
04/05/94 (H) MINUTE(L&C)
04/07/94 (H) L&C AT 03:00 PM CAPITOL 17
BILL: SB 64
SHORT TITLE: IMMUNITY FOR SAFETY INSPECTIONS
SPONSOR(S): LABOR & COMMERCE
JRN-DATE JRN-PG ACTION
01/22/93 137 (S) READ THE FIRST TIME/REFERRAL(S)
01/22/93 137 (S) LABOR & COMMERCE, JUDICIARY
02/04/93 (S) L&C AT 01:30 PM BELTZ ROOM 211
02/04/93 (S) MINUTE(L&C)
02/10/93 313 (S) L&C RPT 3DP 2NR
02/10/93 313 (S) ZERO FISCAL NOTE (DCED)
02/19/93 (S) JUD AT 01:30 PM BELTZ ROOM 211
02/19/93 (S) MINUTE(JUD)
02/22/93 (S) JUD AT 01:30 PM BELTZ ROOM 211
02/22/93 (S) MINUTE(JUD)
02/24/93 461 (S) JUD RPT CS 2DP 1NR 1DNP 1AM
SAME TITLE
02/24/93 461 (S) PREVIOUS ZERO FN APPLIES (DCED)
03/03/93 (S) RLS AT 10:45 AM FAHRENKAMP ROOM
203
03/03/93 (S) MINUTE(RLS)
03/05/93 614 (S) RULES RPT 3CAL 1DNP W/O AM
3/5/93
03/05/93 623 (S) READ THE SECOND TIME
03/05/93 623 (S) JUD CS ADOPTED UNAN CONSENT
03/05/93 625 (S) AM NO 1 FAILED Y7 N11 E2
03/05/93 626 (S) AM NO 2 FAILED Y8 N10 E2
03/05/93 627 (S) AM NO 3 FAILED Y7 N11 E2
03/05/93 629 (S) AM NO 4 FAILED Y8 N10 E2
03/05/93 630 (S) AM NO 5 FAILED Y8 N10 E2
03/05/93 630 (S) AM NO 6 FAILED Y7 N11 E2
03/05/93 631 (S) ADVANCED TO THIRD READING UNAN
CONSENT
03/05/93 631 (S) PASSED Y11 N7 E2
03/05/93 632 (S) EFFECTIVE DATE FAILED Y11 N7 E2
03/05/93 632 (S) DUNCAN NOTICE OF
RECONSIDERATION
03/08/93 659 (S) RECON TAKEN UP - IN THIRD
READING
03/08/93 659 (S) PLACE AT BOTTOM OF CAL PASSED
Y11 N8 E1
03/08/93 673 (S) RETURN TO SECOND FOR AM 7 UNAN
CONSENT
03/08/93 674 (S) AM NO 7 FAILED Y8 N11 E1
03/08/93 674 (S) AUTOMATICALLY IN THIRD READING
03/08/93 674 (S) PASSED ON RECONSIDERATION Y11
N8 E1
03/08/93 675 (S) EFFECTIVE DATE FAILED Y12 N7 E1
03/08/93 677 (S) TRANSMITTED TO (H)CSSB 64(JUD)
(EFD FLD)
03/10/93 582 (H) READ THE FIRST TIME/REFERRAL(S)
03/10/93 582 (H) LABOR & COMMERCE, JUDICIARY
03/30/93 (H) L&C AT 03:00 PM CAPITOL 17
03/30/93 (H) MINUTE(L&C)
04/01/93 (H) L&C AT 03:00 PM CAPITOL 17
04/01/93 (H) MINUTE(L&C)
04/07/94 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 241
SHORT TITLE: WORKERS COMP:REQD HEALTH SPONSOR(S):
REPRESENTATIVE(S) MULDER
JRN-DATE JRN-PG ACTION
03/19/93 708 (H) READ THE FIRST TIME/REFERRAL(S)
03/19/93 709 (H) LABOR & COMMERCE, JUDICIARY
03/30/93 (H) L&C AT 03:00 PM CAPITOL 17
03/30/93 (H) MINUTE(L&C)
04/01/93 (H) L&C AT 03:00 PM CAPITOL 17
04/01/93 (H) MINUTE(L&C)
04/07/94 (H) L&C AT 03:00 PM CAPITOL 17
ACTION NARRATIVE
TAPE 94-34, SIDE A
Number 001
CHAIRMAN HUDSON convened the meeting at 3:07 p.m.
The first order of business was HB 539 - APUC EXTENSION AND
REGULATORY COST CHARGE.
Number 040
BOB LOHR, Executive Director, Alaska Public Utilities
Commission (APUC), testified on HB 539 and proposed a
conceptual amendment. The amendment would provide an
exemption to the procurement act to allow the commission to
procure expert witnesses directly. He said the amendment
would alleviate the time crunch the commission often
experiences when attempting to hire expert witnesses for a
hearing.
Number 122
REPRESENTATIVE GREEN asked if the amendment were adopted,
would a title change be necessary since it affects another
statute not listed in the title.
Number 142
REPRESENTATIVE MULDER stated that he believes the committee
could adopt the conceptual amendment with the intent that
the bill drafters include a title change if necessary.
Number 165
REPRESENTATIVE MACKIE moved the conceptual amendment. There
being no objection, it was so ordered.
Number 180
REPRESENTATIVE MACKIE noted that the Alaska Rural Electric
Cooperative Association (ARECA) has provided the committee
with an amendment regarding the language in the bill being
"liberally construed".
Number 195
CHAIRMAN HUDSON informed the committee that if the amendment
from ARECA is adopted, the Department of Commerce will
provide a new fiscal note which will reflect an increase of
$121.4 thousand. If the amendment isn't adopted the fiscal
note would be zero.
Number 205
REPRESENTATIVE MACKIE moved the ARECA amendment.
CHAIRMAN HUDSON objected.
Number 213
DAVE HUTCHENS, Executive Director, Alaska Rural Cooperative
Association testified in favor of the amendment. He stated
the reason the amendment was proposed was to, "Require the
APUC to follow the law instead of making the law".
MR. HUTCHENS noted that there was an example of the use of
the language "liberally construed" by APUC in the letter he
provided the committee. He stated he felt the present
commission not likely to do anything wild and crazy but
considers this amendment preventive maintenance.
Number 241
DON SCHROER, Executive Director, APUC, testified in
opposition to the ARECA amendment. He said he believes the
deletion of the language "liberally construed" would
restrict the commission's ability to make "decent level
headed decisions" without having to go to the courts or the
legislature.
MR. SCHROER explained that the reason the legislature set up
the APUC in the first place was so that the legislature
wouldn't have to deal with the regulation of utilities.
Number 276
REPRESENTATIVE MULDER asked if there was any way to fashion
language to address the concerns and to tighten up the
language "liberally construed".
Number 286
MR. SCHROER stated that it wasn't necessarily that the
commission needed flexibility but that the term "liberally
construed" allows the commission to better administer the
statute they work under.
Number 305
CHAIRMAN HUDSON stated that the committee had a heavy agenda
today and because he felt everyone knew both sides of the
issue he suggested a roll call vote be taken.
Number 310
REPRESENTATIVE GREEN asked if this was a problem in other
states and how they handled it.
Number 320
MR. LOHR responded that it was his understanding that this
language was common.
Number 330
MR. HUTCHENS stated that he had provided a letter to the
committee, from their attorney, that addressed what other
regulatory agencies within Alaska do. The letter states in
part that they could not find any other regulatory agencies
within Alaska that use the liberally construed language.
MR. HUTCHENS added that the amendment included an effective
date more than a year away to allow the commission a
transmission period to wrap up its current work under the
present rules.
Number 348
MR. SCHROER stated that the courts have used the language
"liberally construed" in a number of cases.
REPRESENTATIVE MACKIE offered a amendment to the ARECA
amendment to add the effective date of July 1, 1995, as the
date and to delete the term "liberally construed" from the
statute. Hearing no objection, it was so ordered.
REPRESENTATIVE MACKIE stated that the fiscal note seemed
high and that it was probably so to discourage the adoption
of the amendment. He further stated that he felt there
would probably be a savings if the amendment passed as there
would most likely be less litigation not more.
Number 390
REPRESENTATIVE PORTER stated he would be supporting the
amendment. He said he believes the current commission would
have no problem implementing this phrase but future
commissions may not.
Number 400
REED STOOPS, Lobbyist, GCI, testified against the amendment
and supports the commission's view on it. He stated that
there would be an increase in litigation if the amendment
passed as the area of telecommunications is changing rapidly
and the commission needs some flexibility to carry out its
mission.
Number 417
CHAIRMAN HUDSON declared a conflict of interest because his
son is involved in a cellular telephone company and recently
benefitted from the liberally construed language.
Number 425
The committee members objected.
Number 448
Roll call vote was taken on ARECA amendment as amended.
Representatives Mulder, Green, Mackie, Sitton and Porter
voted in favor of the amendment. Representatives Williams
and Hudson voted against the amendment. So the amendment to
HB 539 passed.
Number 463
STEVE CONN, Executive Director, Alaska Public Interest
Research Group, testified in opposition to HB 539. He
pointed out that the committee has received a transcript of
a hearing before the APUC which points out that the APUC has
lost contact with their duties. The transcript summarizes
how few consumers make complaints, how limited the resources
are for them to make complaints, and how limited the staff
is to take formal complaints.
MR. CONN concluded by saying there is a problem with the
fundamental principal that rate payers should underwrite
APUC which, in turn, is indifferent to the needs to the
consumer.
Number 500
JIM ROWE, Alaska Telephone Association, testified in support
of the amendment and HB 539. He stated he considers the
amendment preventive and not something aimed at the present
commission.
Number 516
REPRESENTATIVE MULDER moved CSHB 539 (L&C), with the
accompanying fiscal note, be passed out of committee with
individual recommendations. There being no objection, the
motion carried.
Number 520
The next order of business was HB 534 - OMNIBUS INSURANCE
REFORM. Chairman Hudson invited Dave Walsh, Director of the
Division of Insurance, Department of Commerce and Economic
Development (DCED), to testify.
Number 525
DAVE WALSH, Director, Division of Insurance, DCED, testified
in support of Version E of HB 534. Mr. Walsh explained that
the current committee substitute now includes all the
amendments adopted at the last committee hearing.
Number 540
REPRESENTATIVE MULDER asked Mr. Walsh if he has received any
negative feedback from the insurance community.
Number 547
MR. WALSH responded that the division's criteria for
something to be included in the bill was that it be non
controversial.
Number 550
REPRESENTATIVE GREEN stated he appreciated the extra time
Mr. Walsh spent with him in his office regarding HB 534.
Number 565
CHAIRMAN HUDSON asked that the record reflect that the vice
chair carry it on the House floor.
Number 573
REPRESENTATIVE PORTER moved that CSHB 534 (L&C), with the
accompanying zero fiscal note, be passed out of committee
with individual recommendations. Hearing no objection, it
was so ordered.
Number 578
CHAIRMAN HUDSON invited Representative Davies to the table
to present HB 458 - CHILD SUPPORT NONPAYMENT/LICENSING BAN
"An Act relating to certain licenses and applications for
licenses for persons who are not in compliance with orders,
judgments, or payment schedules for child support."
Number 580
REPRESENTATIVE DAVIES presented CSHB 458 (L&C). He reminded
the committee that his staff had presented the bill at the
last committee meeting so he would not go through it again
except to discuss the issue raised by Representative Porter
regarding substantial compliance. He stated there was a
proposed amendment to address this concern.
Number 592
REPRESENTATIVE PORTER stated the following amendment,
Amendment #1, did take care of the concern that he had.
On page 7, lines 19 - 20, delete "made at least
one payment or partial payment in" and insert
"cumulatively paid an amount equal to or greater
than the amount due for one month during".
REPRESENTATIVE PORTER moved that Amendment #1 be adopted.
There being no objection, it was so ordered.
Number 598
REPRESENTATIVE WILLIAMS stated that it was his memory that
the department was to work on strengthening the bill.
Number 600
REPRESENTATIVE PORTER stated that he thought the amendment
would satisfy the concerns of the committee.
There was general discussion about amendment.
Number 636
CHAIRMAN HUDSON summed up what the amendment would effect:
"The trigger was when a self employed individual goes in to
renew his license, the search would be made and if it was
found that they were substantially out of compliance they
would be held off for 150 days until they made the situation
right".
Number 650
KENNETH KIRK, testifying via teleconference from Anchorage,
spoke against the bill. He stated that not all persons in
arrearage are deserving of punishment. He asserted that
there were a variety of reasons a person could get behind in
payments without having done anything wrong.
TAPE 94-34
SIDE B
Number 001
MR. KIRK added that the second point was that the child
support laws are extremely rigid. He noted that the bill
brings the district attorneys into the scenario and
shouldn't as they have virtually no jurisdiction over these
types of case.
MR. KIRK told the committee the bill did not seem to provide
for any administrative appeal.
Number 090
CHAIRMAN HUDSON interrupted Mr. Kirk to say that staff had
informed him that he was testifying to the previous version
of the bill and that the problems noted were taken care of
in the version before the committee.
MR. KIRK noted that he was indeed working off of the old
version as that was the only one available and he assumed it
was the one the committee was considering.
Number 100
JUANITA HENSLEY, Chief, Driver Services, Division of Motor
Vehicles, Department of Public Safety, testified against the
bill. She contended that the bill would be difficult for
the division to implement and it would have significant
fiscal impact.
MS. HENSLEY asked for additional time to review the
committee substitute for comment.
Number 140
CHAIRMAN HUDSON asked if she could more fully respond to the
bill if the committee were to carry it over to another
meeting.
Number 150
MS. HENSLEY responded that she would be out of town but the
director could respond.
Number 189
REPRESENTATIVE SITTON suggested the committee move the bill
and let the next two committee's address some of the
concerns.
Number 206
KIT BALLENTINE, Acting Director, Environmental Sanitation
Section, Division of Environmental Health, Department of
Environmental Conservation, testified to concerns the
division has regarding the reporting requirements needed to
implement this legislation. Ms. Ballentine said she
believes the bill would have a significant fiscal impact on
the division.
Number 218
SHERRIE GOLL, Alaska Women's Lobby and Kidpac, testified in
support of HB 458. She stated her groups believe that
anything the state can do to help collect the over $300
million that is owed to Alaska's children, they should do
so.
Number 242
KARL LUCK, Director, Division of Occupational Licensing,
Department of Commerce and Economic Development (DCED),
testified that there would be an impact on the division if
this legislation were to pass, but believes it could be
reversed if the Department of Revenue did a internal process
to match deadbeats with applicants for licensure within his
division. The division's impact would be significantly
lessened.
Number 262
CHAIRMAN HUDSON asked if Occupational Licensing would be
able to delegate the authority to issue the licenses to the
Department of Revenue.
Number 270
MR. LUCK replied "no," but that it was not the issuance of a
license that creates the impact but the matching of lists to
identify those who are out of compliance and applicants for
licensure.
Number 308
LARAINE DERR, Deputy Commissioner, Treasury, Department of
Revenue, testified that she supports HB 458, but that it
would have some impact on at least ten different
departments.
MS. DERR explained that the federal government will share 66
percent of the costs of the fiscal impact on the state. She
suggested that the money be deposited into the child support
division and then RSA'd out to the various departments
affected by the legislation.
Number 345
CHAIRMAN HUDSON asked if the agencies referenced in this
hearing could take this concept and implement it without
legislation.
Number 350
MS. DERR answered that they could do it administratively but
felt that the impact of the legislation would be preferable.
JIM ARNESON, Alaska Family Support Group, stated that his
group is opposed to the bill and believes it would be a
return to the "debtors prison" mentality.
MR. ARNESON noted that there is a good compliance rate when
both parents have good visitation such as in the case of
joint custody.
MR. ARNESON stated that it would not be in any ones best
interest to take away the license of an obligor and leave
them with no way to make an income.
Number 428
CHAIRMAN HUDSON stated that he would hold the bill over and
asked the prime sponsor to get together with the agencies
that would be affected by the bill and address the concerns
they have.
Number 460
CHAIRMAN HUDSON brought up CSSB 64(JUD)(efd fld) - IMMUNITY
FOR SAFETY INSPECTIONS and invited the prime sponsor to
present the bill.
Number 480
JOSH FINK, Staff, Senator Kelly, read the following sponsor
statement:
"In 1988, the legislature passed a comprehensive revision of
Alaska's workers' compensation laws. At that time it was
considered model legislation and was built around a no fault
system. Since taking effect, the new workers' compensation
provisions have proven successful.
"The safety inspection issue was brought to the forefront as
a result of the 1989 Van Biene v. ERA Helicopters, Inc.
decision our Supreme Court, which held that "workers'
compensation carrier could be held liable to estates of
deceased pilots for negligent performance of safety
inspection if insurer actually inspected the working
conditions of the employer prior to the incident. This
ruling effectively ended the no fault system.
"The unintended result is that carriers are unwilling to
perform safety inspections and Alaskan workers are at
greater risk of injury. SB 64 removes insurers, insurance
service agents, self-insured employers, and trade
associations from civil liability for damages resulting from
the performance or failure to perform a workplace safety
inspection or a safety advisory service unless the act is
intentional or negligent.
"SB 64 ensures workplace safety inspections will continue,
that workers' compensation insurance will be available and
affordable because of safety inspection, and that employees
benefit from safety inspections."
Number 525
DAVE HUTCHENS, Executive Director, Alaska Rural Cooperative
Electric Association, testified in favor of SB 64. He
explained to the committee that his organization created an
insurance program which, in 1983, evolved into a reciprocal
insurer which is a regulated insurance company chartered
through the laws of the state. Mr.Hutchens said the Van
Biene issue impacted his organization greatly in that prior
to the decision, they operated an intensive safety program
for their members, but cannot afford the liability now.
MR. HUTCHENS noted that SB 64 would correct this problem as
well as Section 2 in HB 241.
Number 567
REPRESENTATIVE GREEN asked if the Van Biene decision applied
only to the inspector or did it also apply to his employer
as well.
Number 574
MR. HUTCHENS replied that the decision affected the
insurance company that had underwritten the employer.
Number 580
REPRESENTATIVE MULDER asked if safety inspectors needed a
minimum amount of accreditation.
MR. HUTCHENS replied that he didn't think there were any
requirements for safety inspectors.
Number 588
REPRESENTATIVE MULDER stated that it seemed logical that if
the state were to require safety inspections, then there
should be some sort of minimum requirements.
MR. HUTCHENS agreed.
Number 600
REPRESENTATIVE MACKIE stated that he thought the last time
the committee heard the two bills, the direction given was
for the various interest groups to come to a compromise. He
asked for an update on those talks.
Number 605
REPRESENTATIVE MULDER stated that an ad hoc task force
comprised of three groups, organized labor, insurance
providers, and the employer groups, worked through the
interim but did not come to a compromise.
Number 635
REPRESENTATIVE MACKIE stated that there was obviously a
problem or there wouldn't be these two bills. He questioned
what would happen if the legislature did nothing.
Number 640
REPRESENTATIVE MULDER replied that from a policy standpoint,
he thinks it is important to have workplace safety programs
but also fells the health benefit extension is good public
policy.
REPRESENTATIVE MULDER added that if the legislature did
nothing some groups would still have workplace safety
inspections and would assume the risk as they do now and
others won't.
TAPE 94-35, SIDE B
Number 001
KEVIN SMITH, representing the Alaska Municipal League and
the Joint Insurance Association, testified in favor of SB
64. He said he believes a safe workplace is good for the
workers regardless of the politics involved.
Number 040
REPRESENTATIVE PORTER asked if Mr. Smith was a certified
safety professional and, if not, how long would it take to
become one.
Number 050
MR. SMITH said that he was not a certified safety
professional, but noted within a year he could be.
Number 060
PHIL FINKSTAD, Business Manager, Carpenters Union, testified
that in 1988, a workers' compensation bill was passed and it
was basically a management bill. He stated that labor
supported it because it was a very lean time and they felt
that by helping to lower the costs to the employers, there
may be more work. He said over the last few years labor has
tried to regain some of the lost ground.
MR. FINKSTAD stated that almost every job site he has been
on over the last twenty years has had a safety program.
MR. FINKSTAD stated that the Van Biene, by itself, is only
beneficial to the insurers and the other two groups want to
see the bill passed.
Number 125
CHAIRMAN HUDSON stated that he recognized that any solution
would require the accommodation of all sides of the issue.
He added that he hoped that by bringing the bills up side by
side a solution could be found, but that did not appear to
be happening.
Number 141
REPRESENTATIVE PORTER referred to gross negligence occurring
and asked if the no fault system under workers' compensation
would apply.
Number 144
MR FINKSTAD replied yes.
Number 154
REPRESENTATIVE MULDER stated that he would go back to the
parties involved one last time and try to come to a
compromise.
CHAIRMAN HUDSON asked Mr. Finkstad to tell Senator Kelly
that this committee is committed to move the bill quickly
when a solution is offered that accommodates everyone.
CHAIRMAN HUDSON told the committee that he would hold both
SB 64 and HB 241 over.
Number 181
REPRESENTATIVE MULDER explained that HB 241 is a mirror of
SB 64 except that it includes a section for health benefits
for workers and their families who have been injured for an
additional 12 months. He explained that this legislation
was passed by the legislature and made it to the governor in
1989, but was vetoed over some technical glitches.
CHAIRMAN HUDSON asked who pays for the additional insurance.
REPRESENTATIVE MULDER replied that it would be the
responsibility of the employer. He added that the average
number of months an employee is off the job is less than two
months.
Number 210
CHAIRMAN HUDSON restated that he was going to hold the bills
over and adjourned the meeting at 5:00 p.m.
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