Legislature(1995 - 1996)
02/19/1996 03:10 PM House L&C
| Audio | Topic |
|---|
* 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
February 19, 1996
3:10 p.m.
MEMBERS PRESENT
Representative Pete Kott, Chairman
Representative Norman Rokeberg, Vice Chairman
Representative Beverly Masek
Representative Jerry Sanders
Representative Brian Porter
Representative Kim Elton
Representative Gene Kubina
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
*HOUSE BILL NO. 450
"An Act relating to trademarks; amending Alaska Rule of Appellate
Procedure 609; and providing for an effective date."
- PASSED CSHB 450(L&C) OUT OF COMMITTEE
*HOUSE BILL NO. 478
"An Act allowing licensed real estate brokers, associate real
estate brokers, and real estate salespersons to prepare certain
documents; and providing for an effective date."
- PASSED HB 478 OUT OF COMMITTEE
EXECUTIVE ORDER 93
Relating to Executive Order transferring the ARDOR Program to the
Department of Community and Regional Affairs from the Department of
Commerce and Economic Development.
- TABLED IN COMMITTEE
HOUSE BILL NO. 456
"An Act relating to the Board of Storage Tank Assistance; and
providing for an effective date."
- PASSED CSHB 456(L&C) OUT OF COMMITTEE
(* First public hearing)
PREVIOUS ACTION
BILL: HB 450
SHORT TITLE: ALASKA TRADEMARK ACT
SPONSOR(S): REPRESENTATIVE(S) THERRIAULT
JRN-DATE JRN-PG ACTION
01/26/96 2541 (H) READ THE FIRST TIME - REFERRAL(S)
01/26/96 2541 (H) LABOR & COMMERCE, JUDICIARY
02/19/96 (H) L&C AT 3:00 PM CAPITOL 17
BILL: HB 478
SHORT TITLE: REALTORS MAY PREPARE CERTAIN LEGAL DOCS
SPONSOR(S): REPRESENTATIVE(S) ROKEBERG
JRN-DATE JRN-PG ACTION
02/07/96 2650 (H) READ THE FIRST TIME - REFERRAL(S)
02/07/96 2650 (H) LABOR & COMMERCE
02/19/96 (H) L&C AT 3:00 PM CAPITOL 17
BILL: HB 456
SHORT TITLE: BOARD OF STORAGE TANK ASSISTANCE
SPONSOR(S): LABOR & COMMERCE
JRN-DATE JRN-PG ACTION
01/30/96 2569 (H) READ THE FIRST TIME - REFERRAL(S)
01/30/96 2569 (H) LABOR & COMMERCE, FINANCE
02/14/96 (H) L&C AT 3:00 PM CAPITOL 17
02/14/96 (H) MINUTE(L&C)
02/19/96 (H) L&C AT 3:00 PM CAPITOL 17
WITNESS REGISTER
WILDA WHITAKER, Legislative
Administrative Assistant
to Representative Gene Therriault
Alaska State Legislature
Capitol Building, Room 421
Juneau, Alaska 99801
Telephone: (907) 465-4797
POSITION STATEMENT: Gave sponsor statement for HB 450.
MIKE MONAGLE, Supervisor
Records and Licensing
Division of Banking, Securities
and Corporations
Department of Commerce and Economic Development
P.O. Box 110808
Juneau, Alaska 99811
Telephone: (907) 465-2530
POSITION STATEMENT: Testified in support of HB 450.
CRAIG JOHNSON
217 Center Street
Kodiak, Alaska 99615
Telephone: (907) 486-2000
POSITION STATEMENT: Testified in support of HB 478.
LAURA STOHL BEALEY
Associated Island Brokers
P.O. Box 408
Kodiak, Alaska 99615
Telephone: (907) 486-2000
POSITION STATEMENT: Testified in support of HB 478.
RON JOHNSON
ERA
610 Attla Way, Suite 6
Kenai, Alaska 99611
Telephone: (907) 283-7755
1-800-ERA-KENAI
POSITION STATEMENT: Testified in support of HB 478.
BRUCE MARION
Address and Telephone Unavailable
Anchorage, Alaska
POSITION STATEMENT: Testified in support of HB 478.
LAMAR COTTEN, Deputy Commissioner
Department of Community
and Regional Affairs
P.O. Box 112100
Juneau, Alaska 99811-2100
Telephone: 465-4700
POSITION STATEMENT: Testified on Executive Order 93.
JEFFREY BUSH, Deputy Commissioner
Department of Commerce and
Economic Development
P.O. Box 110800
Juneau, Alaska 99811-0800
POSITION STATEMENT: Testified on Executive Order 93.
DONNA TOLLMAN, President
ARDOR Association
P.O. Box 9
Glennallen, Alaska 99588
Telephone: (907) 822-5001
POSITION STATEMENT: Had no objection to Executive Order 93.
JOHN BARNETT, Executive Director
Board of Storage Tank Assistance
Division of Spill Prevention and Response
Department of Environmental Conservation
410 Willoughby Avenue, Suite 105
Juneau, Alaska 99801-1795
POSITION STATEMENT: Testified on HB 456.
ACTION NARRATIVE
TAPE 96-10, SIDE A
Number 001
The House Labor and Commerce Standing Committee was called to order
by Chairman Pete Kott at 3:10 p.m. Members present at the call to
order were Representatives Sanders, Porter, Elton, Rokeberg and
Kott.
HB 450 - ALASKA TRADEMARK ACT
Number 050
CHAIRMAN PETE KOTT announced the first order of business the
committee would address would be HB 450, "An Act relating to
trademarks; amending Alaska Rule of Appellate Procedure 609; and
providing for an effective date."
WILDA WHITAKER, Legislative Administrative Assistant to
Representative Gene Therriault, Alaska State Legislature, read the
sponsor statement into the record:
"This legislation is intended to update the State Trademark
Act. Alaska's current law is modeled upon the 1964 Lanham
Act. The proposed revision is to bring Alaska's trademark law
current with the changes to the Lanham Act over the past 30
years, and is modeled closely to the Model State Trademark
Bill written by the International Trademark Association. This
revision will allow the registration of marks that currently
cannot be registered under state law, such as service marks,
certification marks and collective marks. The legislation was
introduced at the request of the Division of Banking,
Securities and Corporations. Passage of the legislation is
needed to strengthen the intellectual property rights for
Alaska's business community."
MS. WHITAKER said in addition, she would like to ask for a simple
amendment that would allow the department to implement regulations
so they will be in effect by the time the bill becomes effective.
An amendment is needed to be able to do that. Ms. Whitaker said
there is a letter of support from Don and Rose Harris, Owners, Red
Dog Saloon. She indicated they have had to fight several
infringements on their trademark over the past several years. They
have found existing law protection to be vague and almost
impossible to defend.
MS. WHITAKER noted the Department of Commerce and Economic
Development has provided a position paper. The department says the
major improvements are to broaden trademark protection to protect
service providers, adding additional remedies to trademark owners
for infringement and providing anti-dilution provisions for
intellectual property owners whose trademark has become famous in
this state.
CHAIRMAN KOTT announced Representative Kubina arrived at 3:14 p.m.
Number 288
MIKE MONAGLE, Supervisor, Records and Licensing, Division of
Banking, Securities and Corporations, Department of Commerce and
Economic Development, came forward to testify on HB 450. He
informed the committee he is a member of the International
Association of Trademark and Corporate Administrators (IATCA). Mr.
Monagle explained that several years ago the United States
Trademark Association, which is currently known as the
International Trademark Association (INTA), approached his
organization with the idea of updating the State Model Trademark
Act. He noted the existing model dated back to the early 1960s.
They saw a need to get a model out there that would bring in a lot
of the changes that have taken place in the federal Lanham Act.
They desired to see some consistency among the states as practicing
attorneys who have to file at the federal level often ran into
problems with various states having different variations of the
law. They approved it. The Act has also been approved by the
National Association of Secretaries of State and IATCA. He said it
is his understanding that the American Bar Association Committee on
Model Legislation has tentatively approved it and will formally do
so within the next year.
Number 389
CHAIRMAN KOTT said HB 450 refers to an applicant's entitlement to
register a mark and asked what the general time frame would be that
the commissioner could be expected to respond.
MR. MONAGLE explained the commissioner who is listed in the
existing law also is the officer who would file. He noted his
agency is the dedicated agency that files on behalf of the
commissioner. Their typical turnaround time is about a week of
processing time and it shouldn't change.
CHAIRMAN KOTT referred to the filing fee and asked what changes are
expected.
MR. MONAGLE said currently, the fee set out in statute is $10 per
class code. You would have a separate registration for each class
of goods that you registered under. Part of the bill takes that
fee out of the statute and puts it into regulation. He noted he
believes the fiscal note the committee has is based on a proposed
fee of $50 per class code. Mr. Monagle said he realizes that is a
substantial increase but there hasn't been a change in 30 years to
that fee. A survey done by IATCA several years ago showed that the
average fee charged by states was approximately $35 with about
eight states charging anywhere from $50 to $100. Mr. Monagle
explained the federal registration for a trademark is about $350
per class.
CHAIRMAN KOTT asked if the amount is sufficient enough to cover the
cost of the program.
MR. MONAGLE explained there is currently one full-time person
working 20 hours a week processing registrations. The term of the
registration would also match what is being done with the federal
act. Currently, the length of the registration is ten years and
would be decreased to five years. The renewal fee would be the
same as the initial registration which is similar to what it
currently is.
Number 570
REPRESENTATIVE KIM ELTON referred to a trademark registered with
the federal government and asked if a person would also have to
register it with the state.
MR. MONAGLE said it is technically correct that they wouldn't have
to register with the state. In practice, a lot of attorneys will
register in each state on the assumption that litigation is cheaper
or they avoid litigation if they register in each state in addition
to the federal government. The reason is most states check with
the federal government when they have a registration. What the
practices will do is take a federal registration out and then make
sure they get a registration in each state that their clients are
doing business. The federal registration covers interstate
commerce.
Number 639
CHAIRMAN KOTT asked if there is a real problem being addressed by
reducing the renewal from ten years to five years.
MR. MONAGLE explained the intent is to get rid of the "dead wood."
Once the registration goes into effect, that mark is tied up for
ten years. Under the federal proposal, their initial registration
is good, he thought, for one or two years. The person registering
has to reaffirm that they are using that mark within that period
and then it will be extended out for the remaining five years. He
said he doesn't anticipate it would cause any problems. He noted
all states have some type of renewal or assignment provision.
Number 760
CHAIRMAN KOTT referred to wording in Section 12, "An application
for renewal of a registration must include a verified statement
that the mark has been used and is still in use", and asked Mr.
Monagle to define "verified."
MR. MONAGLE said typically for the department, it means a notarized
signature on a statement that the mark is being used. The person
signing the application would have a notarized signature. If it is
a corporation it would be one of the officers, if it is a
partnership it would be one of the general partners.
CHAIRMAN KOTT referred to a business being in a rural area of the
state where there isn't a notary available and asked what would be
used.
MR. MONAGLE explained he believes the under the notary laws, most
postmasters can act as notaries. He said he also believes there is
a provision under the Notary Act where you can have witnesses who
can sign to your notarized signature.
Number 820
CHAIRMAN KOTT said Section 15 talks about notifying those
individuals who are going to have to reapply or re-register and
that notification is sent out in writing by the department six
months prior to the expiration. He asked if it is the department's
intent to send that notification through certified or registered
mail.
MR. MONAGLE said they could, but don't currently do that.
Currently, the department must send out notification of
registrations that will expire after ten years. He said in 85
percent to 90 percent of the time, those addresses are no longer
valid and most of that mail is returned as being undeliverable.
He noted the department wouldn't have an objection to doing that
sending them registered or certified.
Number 898
REPRESENTATIVE ELTON referred to the fee going up, as indicated in
the fiscal note, and said the department will be collecting the fee
twice as often because the renewal will be changed from ten years
to five years. He said the fee collection fund would grow
substantially because instead of collecting once every ten years,
it'll be done twice every ten years.
MR. MONAGLE said that is correct. He noted the department doesn't
have a tremendous number of these filings. Mr. Monagle said he has
checked with the INTA and there isn't single attorney in the state
of Alaska who is a member of that organization. The largest
omission with the current act is it simply precludes most service
providers, banks, insurance companies, etc., from registering. He
said he doesn't think there will be a significant increase in
revenue.
REPRESENTATIVE ELTON said the record should reflect that he
probably didn't mean that there is no intellectual activity in the
state.
Number 1017
There being no further discussion on HB 450, REPRESENTATIVE NORMAN
ROKEBERG made a motion to move HB 450 out of the House Labor and
Commerce Committee with individual recommendations and the attached
positive fiscal note. CHAIRMAN KOTT asked if there was an
objection. Hearing none, it was so ordered.
HB 478 - REALTORS MAY PREPARE CERTAIN LEGAL DOCS
Number 1088
CHAIRMAN KOTT announced the next order of business would be HB 478,
"An Act allowing licensed real estate brokers, associate real
estate brokers, and real estate salespersons to prepare certain
documents; and providing for an effective date."
REPRESENTATIVE ROKEBERG, prime sponsor of the measure, said the
bill would allow real estate agents, real estate brokers and
realtors to prepare certain legal documents. The bill was a
request by the Alaska Association of Realtors in which he is a
member of and a practicing commercial real estate broker.
Representative Rokeberg said the request from the Association of
Realtors was based on Rule 33.3, which was approved by the
governing board of the Alaska Bar Association, transmitted in
October to the supreme court for adoption. That rule is located in
the committee members' packets. The intent of the rule was to
define the practice of law for the purposes of the enforcement by
the supreme court and the Bar Association. In so doing, he
believes they threw out a net to expand their authority. By doing
so, the threat that they could impede commerce by encroaching on
areas that have traditionally been undertaken by realtors is
important and is the bases for the need of the legislation.
REPRESENTATIVE ROKEBERG said for a number of years, the Sword of
Damocles has been hanging over the head of realtors because of this
implied threat. He said by his reading of the Bar rule
recommendations and his understanding the circumstances surrounding
it, it is clear that the legislation is necessary. The Bar rule
goes so far to say that the court and attorneys have to approve all
documents used in any transactions.
REPRESENTATIVE ROKEBERG informed the committee that there is
correspondence in the committee packets from the Bar Association
that denies the fact that their intent is to bring real estate
practitioners within the meaning of the definition. Representative
Rokeberg stated that realtors are governed by a very strict code of
ethics and have a grievance procedure within their organizations.
He referred to Article 13, which was in the committee packets, and
said it points out clearly that under the code of ethics for
realtors they will not be practicing law. When it's necessary to
provide and advise clients that an attorney, accountants, etc., are
necessary, they are required to do so by their standard of ethics.
In addition, the consumers in Alaska are protected by the assurity
bond system which is under the licensing provisions of the state.
It provides monetary compensation to people who have been damaged,
from the assurity fund. He noted the fund is a self funding
bonding fund that operates with the dues from the real estate
communities. Representative Rokeberg explained there are a number
of things that would preclude any possibilities of a realtor
practicing law without a license. All the realtors of the state
want to be able to do is continue their practice and their business
as they've been doing for decades, nothing more - nothing less.
Number 1383
CRAIG JOHNSON testified via teleconference from Kodiak in support
of HB 478. He recalled a recently agreed to transaction between a
buyer and a seller where an attorney was involved and explained it
involved a lot of negotiation. Mr. Johnson said (indisc.) an
attorney if the transaction was not consummated, you'd have that
difficulty to deal with. There is the extra burden of meeting and
drafting addendums, counter offers and offers back and forth
between the parties. Mr. Johnson said he understands that on the
national level the trend is away from attorneys. There has been
other states that have enacted legislation similar to the Bar rule
that Representative Rokeberg referred to. At one time the trend
was to put attorneys in the loop. Now at the national level, the
trend is away from that. That seems to be appropriate for our
state. It doesn't seem to be an easy solution to add attorneys
into the contract loop. He noted he had faxed information to each
of the committee members the previous Friday.
Number 1513
LAURA STOHL BEALEY, Associated Island Brokers, was next to testify
via teleconference from Kodiak. She informed the committee she has
been a real estate associate broker in the Kodiak area for 15
years. Ms. Bealey said she is testifying in support of HB 478.
She said it seems to her that the bill protects real estate agents
against what the attorneys are trying to accomplish. The attorneys
are trying to accomplish something in their interest and not the
interest of consumer, the public or the real estate entity. She
said she thinks the real estate industry has a code of ethics that
regulates ethical behavior very well. They have the assurity bonds
protecting consumers that have been (indisc.). Ms. Bealey said she
always recommends to customers and clients that they have an
attorney review their paperwork if they so choose to do so. She
urged HB 478 be passed.
Number 1588
RON JOHNSON, ERA, testified via teleconference from Kenai. He
informed the committee he served on the Real Estate Commission for
eight years, two full terms. He has been licensed since 1982. Mr.
Johnson said the law, as written, clarifies what they do today. It
appears that the reason the law was written was to defend a
position they have had for some time. Mr. Johnson said he thinks
that the assurity fund, the realtor code of ethics and the inbred
fear, as a result of the required education and continuing
education that has been brought about in the past few years, causes
the real estate community not to get involved in the practice of
law. Mr. Johnson stated that his concern is the cost to the
consumer. He said he just returned from the ERA National
Conference in Phoenix and said part of the discussion was with real
estate professionals from the East Coast. Mr. Johnson referred to
Alaska and said he would suggest that the average commission in
closing costs and other related costs, are in the neighborhood of
8 percent to 10 percent of the closing of a sales transaction. On
the East Coast, they're paying 12 percent to 14 percent and
sometimes higher. A great deal of their percentage cost increases
are relative to attorney costs. Mr. Johnson said there isn't a
real estate professional in the state that won't call for an
attorney to get involved if something is real technical. He urged
support for the bill.
Number 1738
BRUCE MARION testified via teleconference from Anchorage. He noted
he is a realtor, legislative chairman for the Valley Board of
Realtors, Alaska Association of Realtors, (indisc.). Mr. Marion
urged the committee to support HB 478. Realtors must meet
extensive education requirements for the completion of the forms
which are drawn by and approved by attorneys. The forms are
commonly used by real estate practitioners with protection to the
consumer. Passage of the bill would facilitate the transfer of
real estate in Alaska without adding an extra cost. He thanked the
committee.
Number 1777
There being no further witnesses, CHAIRMAN KOTT closed public
testimony.
Number 1784
REPRESENTATIVE GENE KUBINA made a motion to pass HB 478 out of the
House Labor and Commerce Committee with individual recommendations
and a zero fiscal note. There being no objection, HB 478 moved out
of committee.
HB 450 - ALASKA TRADEMARK ACT
REPRESENTATIVE JERRY SANDERS referred to HB 450, "An Act relating
to trademarks; amending Alaska Rule of Appellate Procedure 609; and
providing for an effective date," which moved out of committee
earlier in the meeting and said the committee neglected to adopt a
proposed amendment.
Number 1828
REPRESENTATIVE SANDERS made a motion to rescind the action of
passing HB 450 out of committee. Hearing no objection, HB 450 was
back before the committee.
CHAIRMAN KOTT announced there is a proposed amendment in the
committee packets which relates to the transition regulations and
has an effective date of January 1, 1997.
Number 1843
REPRESENTATIVE SANDERS made a motion to adopt Amendment 1. Hearing
no objection, Amendment 1 was adopted.
REPRESENTATIVE SANDERS moved to pass HB 450, as amended, with
fiscal notes, out of committee with individual recommendations.
There being no objection, CSHB 450(L&C) was passed out of the House
Labor and Commerce Committee.
Number 1919
EO 93 - TRANSFERRING THE ARDOR PROGRAM
Executive Order (EO) 93, relating to transferring the ARDOR Program
to the Department of Community and Regional Affairs from the
Department of Commerce and Economic Development, was the next order
of business.
Number 1948
LAMAR COTTEN, Deputy Commissioner, Department of Community and
Regional Affairs, explained EO 93 concerns the transfer of the
ARDOR Program from the Department of Commerce and Economic
Development to the Department of Community and Regional Affairs.
The ARDORs, as they're called, are regional development
organizations that have been in existence since 1987. The
Department of Commerce and Economic Development and the Department
of Community and Regional Affairs, through a series of meetings and
discussions, went through an inventory of the different activities
that they do which may be in conflict or duplication, surrounding
rural economic development. As a part of that process, it was
decided it would be more appropriate to transfer the administrative
responsibilities of the ARDORs to the Department of Community and
Regional Affairs. The was because the ARDORs are probably more
active and have more state interaction with those ARDORs that are
located in rural Alaska. The Department of Community and Regional
Affairs has an office in Dillingham, Kotzebue, Nome, Bethel,
Fairbanks, Anchorage and Juneau. They also have a lot more
outreach into rural Alaska from their offices in the urban areas.
It was felt that they could provide better technical and
administrative assistance to those ARDORs. This doesn't mean that
there is a lessor of a role for the Department of Commerce and
Economic Development or other departments. He referred to cases in
rural Alaska and said the services that the Department of Community
and Regional Affairs provides seem to have a better connection with
the ARDORs. Mr. Cotten said for a number of reasons, his
department is providing the administrative costs at a lessor amount
than the Department of Commerce and Economic Development. He said
he believes it was roughly about $250,000. In the budget for the
Department of Community and Regional Affairs, it is about $60,000.
Number 1039
REPRESENTATIVE ROKEBERG said it looks like a new addition is being
added in statute. He asked if this is a new regime and methodology
for the establishment of additional ARDORs.
MR. COTTEN indicated it doesn't establish additional ARDORs. It
relates to the transfer itself.
REPRESENTATIVE ROKEBERG asked if Section 4 is new.
MR. COTTEN indicated he didn't have the executive order in front of
him, but noted the only changes that were made was to switch the
program from the Department of Commerce and Economic Development to
the Department of Community and Regional Affairs. There aren't any
program changes.
Number 2109
REPRESENTATIVE KUBINA referred to the order as not dealing with the
funding of ARDORs.
REPRESENTATIVE ROKEBERG asked if this separates or consolidates
things.
MR. COTTEN said it consolidates those efforts that directly affect
rural Alaska within the Department of Community and Regional
Affairs.
REPRESENTATIVE ROKEBERG asked if there will be any rural economic
development activity in the Department of Commerce and Economic
Development.
MR. COTTEN said he couldn't speak for the Department of Commerce,
but there always has been and will be. The distinction that has
been made between the two departments is that Community and
Regional Affairs focus is primarily dealing with either governments
or nonprofits. It deals more with what he would characterize as
community development. That is the water, the sewer, the roads,
the waterfront projects. He said you're never going to attract
private capital or someone to risk capital in rural Alaska unless
you have that basic infrastructure in place. That is where the
Department of Community and Regional Affairs has taken a stronger
presence. You're not going to have somebody attracted to a
community if the community government is dysfunctional. The
Department of Community and Regional Affairs focuses on working
directly with councils, clerks and city managers. Commerce takes
a broader regional approach. It deals with the private sector and
other issues such as international trade, Alaska seafood marketing,
etc. The Department of Commerce deals on the basics with all
municipalities, but in a large part, smaller rural communities.
Number 2225
REPRESENTATIVE ELTON referred to the administrative costs being
much less and said he would have expected a negative fiscal note
because there won't be any need in the Department of Commerce and
Economic Development to maintain that $250,000 administrative
umbrella.
MR. COTTEN said the reductions happen in part because they think
they can accomplish some of the similar tasks with existing staff,
particularly in rural Alaska. Mr. Cotten said he thinks that the
$250,000 was actually a separate line item in the Department of
Commerce's budget as opposed to the amount shown in the Department
of Community and Regional Affairs' fiscal note which is for the
ARDORs.
Number 2267
REPRESENTATIVE ELTON said he believes there are two grant
administrators in the Department of Commerce and Economic
Development that administer the ARDOR Program. He asked what will
happen to those two positions.
MR. COTTEN said those two positions aren't in his department's
budget.
Number 2287
JEFFREY BUSH, Deputy Commissioner, Department of Commerce and
Economic Development, explained the $250,000 that has been used in
the past to administer the ARDOR Program was funded through federal
EDA money. He said the department anticipates that the EDA money
is not going to be forthcoming, effective at the end of this fiscal
year. That money is disappearing and is not being transferred. It
doesn't show up in the budget because it is essentially a
designated program receipt line item in the budget. They are still
applying to EDA for those funds. He said they have been told they
cannot come through with ARDOR funding. Mr. Bush said they have
also been told that there is at least a possibility that they may
get funding for other forms of economic development, including the
Governor's Marketing Alaska Program. He noted they have no idea
how much funding there will be. If they don't get funding, the two
grant administrator positions will go away. Those people have been
notified that those positions are not funded at the present time.
Number 2360
DONNA TOLLMAN, President, ARDOR Association, testified via
teleconference from Glennallen. She stated her organization didn't
have an objection to this move. Their basic interest is to
continue the work they are currently doing within their region.
The ARDOR Program is not just a rural program, it is also a urban
program. She thanked the committee for listening to her testimony.
Number 2379
REPRESENTATIVE KUBINA pointed out that he has a couple of ARDORs in
his district and urged that the Administration keep moving because
people doing things and the local level is the best way to get
economic action moving in areas of the state.
Number 2412
CHAIRMAN KOTT closed public testimony on Executive Order 93.
REPRESENTATIVE KUBINA said the executive order would go into effect
unless it is turned down by the legislature.
CHAIRMAN KOTT said March 8, 1996, is the date that it must be
complete.
Number 2450
REPRESENTATIVE ROKEBERG asked what the Community and Regional
Affairs Committee did.
CHAIRMAN KOTT said the Community and Regional Affairs passed it out
of committee. He noted the order would go to the Finance Committee
once it is passed out of the Labor and Commerce Committee. If they
don't want to hear it, it becomes law without them hearing the
order.
Number 2458
REPRESENTATIVE KUBINA said if the committee doesn't object to the
order, they would need a motion to table or take no action.
CHAIRMAN KOTT said it could be passed on to State Affairs and
Finance then to the speaker.
Number 2458
REPRESENTATIVE KUBINA made a motion to table EO 93.
CHAIRMAN KOTT asked if there was an objection.
Number 2490
REPRESENTATIVE ROKEBERG objected for the purpose of discussion. He
asked if Chairman Kott would prefer to send the EO on to the State
Affairs Committee.
TAPE 96-10, SIDE B
Number 001
CHAIRMAN KOTT said he hasn't really heard any strong opposition to
moving the matter forward. He referred to discussion that took
place in another committee and said he didn't hear strong
opposition to moving the EO.
REPRESENTATIVE PORTER indicated he supports the motion. He said if
there is something that comes up later that hasn't been considered
and needs consideration, it could be done in the committee.
CHAIRMAN KOTT pointed out that there is a time element of March 8.
Number 059
REPRESENTATIVE ELTON asked if there is a companion EO in the
Senate.
CHAIRMAN KOTT indicated there is a companion EO in the Senate and
it was referred to the Community and Regional Affairs Committee,
the Labor and Commerce Committee and the Finance Committee.
Number 072
REPRESENTATIVE ROKEBERG said his concern is that the ARDORs include
such groups as the Anchorage Economic Development Council, which is
a very vibrant and excellent organization which has done a
significant amount of work in the Anchorage and Upper Cook Inlet
areas. A vast majority of their funding is privately generated
into the municipality of Anchorage. One thing that troubles him is
that there are a number of ARDORs that do almost nothing and
receive money. Then there are several ARDORs that do a lot of
things and get the same amount of money. Representative Rokeberg
said there was testimony that the Department of Community and
Regional Affairs is a group that is interested in building
infrastructure in rural areas. That is all good, but he doesn't
think that is what ARDORs are all about. Representative Rokeberg
then withdrew his objection.
Number 1333
CHAIRMAN KOTT said they aren't supposed to address the merits of
the program. They are to address whether or not they want to see
the program shifted from one department to another.
CHAIRMAN KOTT said there is a motion to table EO 93. He said if
there are no objections, EO 93 will be tabled.
HB 456 - BOARD OF STORAGE TANK ASSISTANCE
CHAIRMAN KOTT announced the last order of business would be the
continuation hearing HB 456, "An Act relating to the Board of
Storage Tank Assistance; and providing for an effective date."
He said there was a concern regarding the number of members to be
on the board.
Number 173
JOHN BARNETT, Executive Director, Board of Storage Tank Assistance,
Division of Spill Prevention and Response, Department of
Environmental Conservation, informed the committee he has spoke to
the board members and also contacted the Alaska Underground Tank
Owners and Operators Association and presented the committee's
concerns for having an eighth member on the board or whether or not
a members should be replaced or a ninth member added. Mr. Barnett
said although the preference was to add a ninth member, in the
interest of fiscal conservancy, they felt it would be much more
appropriate to replace one of the existing members. Their
consensus was they would concede to go with seven members, which is
the current number of board members. The consensus was the to
replace the representative representing the Department of
Transportation and Public Facilities (DOT/PF). The matter was
discussed with the DOT/PF designee and the department concurred
that although they had a major goal in the early days of the
program relating to regulation development, they felt it was very
important that DOT/PF's concern and voice was heard during the
regulation development stage. Since the program has matured and
the regulations are currently in place, they feel they would
concede to taking a back seat roll at this point. The department
does support their seat being replaced by the public member. Mr.
Barnett noted the chairman of the board wants to continue to have
the DOT/PF designee as an advisor so the board will continue to
post their meetings with the DOT/PF.
Number 255
REPRESENTATIVE ELTON proposed the following amendment:
Page 1, line 10
Delete "s" from the word "commissioners"
Page 1, lines 10 and 11
Delete "and transportation and public facilities"
Insert "or the commissioner's designee"
REPRESENTATIVE ELTON asked unanimous consent the proposed amendment
be adopted.
Number 289
CHAIRMAN KOTT said the change would read, "The board consists of
the commissioner of environmental conservation, or their
designees,".
CHAIRMAN KOTT asked if there was an objection. Hearing none,
Chairman Kott announced conceptional Amendment 1 was adopted.
Number 315
REPRESENTATIVE ELTON made a motion to move HB 456 out of committee
with the attached zero fiscal note, as amended.
CHAIRMAN KOTT asked if there was an objection. Hearing none, CSHB
456(L&C) was moved out of the House Labor and Commerce Committee.
ADJOURNMENT
CHAIRMAN KOTT adjourned the House Labor and Commerce Committee
meeting at 4:10 p.m.
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