04/24/2024 03:15 PM House LABOR & COMMERCE
| Audio | Topic |
|---|---|
| Start | |
| HB375 | |
| SB196 | |
| SB228 | |
| HB385 | |
| HB325 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 325 | TELECONFERENCED | |
| += | HJR 27 | TELECONFERENCED | |
| += | HB 385 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | SB 196 | TELECONFERENCED | |
| + | SB 228 | TELECONFERENCED | |
| += | HB 375 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
HOUSE LABOR AND COMMERCE STANDING COMMITTEE
April 24, 2024
4:32 p.m.
MEMBERS PRESENT
Representative Jesse Sumner, Chair
Representative Justin Ruffridge, Vice Chair
Representative Mike Prax
Representative Dan Saddler
Representative Stanley Wright
Representative Ashley Carrick
Representative Zack Fields
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
HOUSE BILL NO. 375
"An Act prohibiting certain restrictions based on the energy
source of a motor vehicle."
- MOVED CSHB 375(L&C) OUT OF COMMITTEE
SENATE BILL NO. 196
"An Act relating to drug and alcohol testing by employers."
- MOVED SB 196 OUT OF COMMITTEE
SENATE BILL NO. 228
"An Act extending the termination date of the Board of Massage
Therapists; and providing for an effective date."
- HEARD & HELD
HOUSE BILL NO. 385
"An Act relating to occupational licensing fees."
- MOVED CSHB 385(L&C) OUT OF COMMITTEE
HOUSE BILL NO. 325
"An Act relating to business license fees; and providing for an
effective date."
- MOVED CSHB 325(L&C) OUT OF COMMITTEE
HOUSE JOINT RESOLUTION NO. 27
Supporting trade policies for the United States that hold China,
Russia, and other countries accountable, reward leadership in
clean production standards, reward superior environmental
performance, support economic development, and support the
rebuilding of supply chains in the United States.
- SCHEDULED BUT NOT HEARD
PREVIOUS COMMITTEE ACTION
BILL: HB 375
SHORT TITLE: ENERGY SOURCES OF MOTOR VEHICLES
SPONSOR(s): TRANSPORTATION
02/20/24 (H) READ THE FIRST TIME - REFERRALS
02/20/24 (H) L&C
04/17/24 (H) L&C AT 3:15 PM BARNES 124
04/17/24 (H) <Bill Hearing Rescheduled to 04/22/24>
04/22/24 (H) L&C AT 3:15 PM BARNES 124
04/22/24 (H) Heard & Held
04/22/24 (H) MINUTE(L&C)
04/24/24 (H) L&C AT 3:15 PM BARNES 124
BILL: SB 196
SHORT TITLE: EMPLOYER DRUG AND ALCOHOL TESTING
SPONSOR(s): LABOR & COMMERCE
01/18/24 (S) READ THE FIRST TIME - REFERRALS
01/18/24 (S) L&C
03/08/24 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
03/08/24 (S) Heard & Held
03/08/24 (S) MINUTE(L&C)
03/20/24 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
03/20/24 (S) Moved SB 196 Out of Committee
03/20/24 (S) MINUTE(L&C)
03/22/24 (S) L&C RPT 4DP 1NR
03/22/24 (S) DP: BJORKMAN, BISHOP, GRAY-JACKSON,
MERRICK
03/22/24 (S) NR: DUNBAR
04/10/24 (S) TRANSMITTED TO (H)
04/10/24 (S) VERSION: SB 196
04/11/24 (H) READ THE FIRST TIME - REFERRALS
04/11/24 (H) L&C
04/15/24 (H) L&C AT 3:15 PM BARNES 124
04/15/24 (H) Heard & Held
04/15/24 (H) MINUTE(L&C)
04/24/24 (H) L&C AT 3:15 PM BARNES 124
BILL: SB 228
SHORT TITLE: EXTEND BOARD OF MASSAGE THERAPISTS
SPONSOR(s): LABOR & COMMERCE
02/12/24 (S) READ THE FIRST TIME - REFERRALS
02/12/24 (S) L&C, FIN
02/26/24 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
02/26/24 (S) Moved SB 228 Out of Committee
02/26/24 (S) MINUTE(L&C)
02/28/24 (S) L&C RPT 5DP
02/28/24 (S) DP: BJORKMAN, MERRICK, GRAY-JACKSON,
BISHOP, DUNBAR
04/03/24 (S) FIN AT 9:00 AM SENATE FINANCE 532
04/03/24 (S) Heard & Held
04/03/24 (S) MINUTE(FIN)
04/04/24 (S) FIN RPT 4DP 1NR
04/04/24 (S) DP: OLSON, KIEHL, MERRICK, BISHOP
04/04/24 (S) NR: STEDMAN
04/04/24 (S) FIN AT 9:00 AM SENATE FINANCE 532
04/04/24 (S) Moved SB 228 Out of Committee
04/04/24 (S) MINUTE(FIN)
04/11/24 (S) TRANSMITTED TO (H)
04/11/24 (S) VERSION: SB 228
04/12/24 (H) READ THE FIRST TIME - REFERRALS
04/12/24 (H) L&C, FIN
04/19/24 (H) L&C AT 3:15 PM BARNES 124
04/19/24 (H) -- MEETING CANCELED --
04/24/24 (H) L&C AT 3:15 PM BARNES 124
BILL: HB 385
SHORT TITLE: OCCUPATIONAL LICENSING FEES
SPONSOR(s): EASTMAN
02/20/24 (H) READ THE FIRST TIME - REFERRALS
02/20/24 (H) L&C
02/26/24 (H) L&C AT 3:15 PM BARNES 124
02/26/24 (H) Heard & Held
02/26/24 (H) MINUTE(L&C)
02/28/24 (H) L&C AT 3:15 PM BARNES 124
02/28/24 (H) -- MEETING CANCELED --
03/01/24 (H) L&C AT 3:15 PM BARNES 124
03/01/24 (H) Scheduled but Not Heard
03/29/24 (H) L&C AT 3:15 PM BARNES 124
03/29/24 (H) -- MEETING CANCELED --
04/05/24 (H) L&C AT 3:15 PM BARNES 124
04/05/24 (H) -- MEETING CANCELED --
04/24/24 (H) L&C AT 3:15 PM BARNES 124
BILL: HB 325
SHORT TITLE: BUSINESS LICENSE FEES
SPONSOR(s): MINA
02/14/24 (H) READ THE FIRST TIME - REFERRALS
02/14/24 (H) L&C, FIN
04/03/24 (H) L&C AT 3:15 PM BARNES 124
04/03/24 (H) <Bill Hearing Rescheduled to 04/05/24>
04/05/24 (H) L&C AT 3:15 PM BARNES 124
04/05/24 (H) -- MEETING CANCELED --
04/17/24 (H) L&C AT 3:15 PM BARNES 124
04/17/24 (H) Heard & Held
04/17/24 (H) MINUTE(L&C)
04/24/24 (H) L&C AT 3:15 PM BARNES 124
WITNESS REGISTER
REPRESENTATIVE KEVIN MCCABE
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Commented on Amendment 1 to HB 375, on
behalf of the House Transportation Standing Committee, sponsor
by request, chaired by Representative McCabe.
SENATOR JESSE BJORKMAN
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: As prime sponsor, presented SB 228.
ANNETTA ATWELL, Chair
Board of Massage Therapists
Fairbanks, Alaska
POSITION STATEMENT: Gave invited testimony during the hearing
on HB 228.
KRIS CURTIS, Legislative Auditor
Legislative Audit Division
Legislative Agencies and Offices
Juneau, Alaska
POSITION STATEMENT: Answered questions during the hearing on SB
228.
SYLVAN ROBB, Director
Division of Corporations, Business, and Professional Licensing
Department of Commerce, Community & Economic Development
Juneau, Alaska
POSITION STATEMENT: Answered questions during the hearing on SB
228.
REPRESENTATIVE DAVID EASTMAN
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: As prime sponsor, gave an explanation of
Amendment 2 to HB 385.
JASMIN SMITH, Business Owner
Umoja Coworking Space
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of HB 325.
ACTION NARRATIVE
4:32:52 PM
CHAIR JESSE SUMNER called the House Labor and Commerce Standing
Committee meeting to order at 4:32 p.m. Representatives Prax,
Carrick, Fields, and Sumner were present at the call to order.
Representatives Ruffridge, Saddler, and Wright arrived as the
meeting was in progress.
HB 375-ENERGY SOURCES OF MOTOR VEHICLES
4:33:59 PM
CHAIR SUMNER announced that the first order of business would be
HOUSE BILL NO. 375, "An Act prohibiting certain restrictions
based on the energy source of a motor vehicle."
4:34:14 PM
The committee took a brief at-ease at 4:34 p.m.
4:34:47 PM
CHAIR SUMNER moved to adopt Amendment 1 to HB 375, labeled 33-
LS1381\A.1, C. Radford, 4/24/24, which read:
Page 1, line 11, following "hydrogen,":
Insert "nuclear power,"
CHAIR SUMNER announced that there being no objection, Amendment
1 was adopted.
4:35:05 PM
REPRESENTATIVE KEVIN MCCABE, Alaska State Legislature, on behalf
of the House Transportation Standing Committee, sponsor by
request, chaired by Representative McCabe, stated that he had no
objection to Amendment 1, adding that it would make HB 375
stronger. He reminded the committee that the bill would
emphasize consumer choice in vehicles and prohibit local
governments and municipalities from limiting those choices.
4:36:26 PM
CHAIR SUMNER opened public testimony on HB 375. After
ascertaining that no one wished to testify, he closed public
testimony.
4:36:49 PM
REPRESENTATIVE RUFFRIDGE moved to report HB 375, as amended, out
of committee with individual recommendations and the
accompanying fiscal notes.
REPRESENTATIVE FIELDS objected and opined that restricting local
control is generally a bad idea. Furthermore, he shared his
belief that vehicle regulation would be legitimate public policy
should a locality desire to do so, as the negative health
impacts of diesel, gasoline, and fuel have been well documented
in the environmental health literature.
4:38:38 PM
The committee took a brief at-ease at 4:38 pm.
4:39:08 PM
A roll call vote was taken. Representatives Prax, Ruffridge,
Saddler, Wright, and Sumner voted in favor of reporting HB 375,
as amended, out of committee. Representatives Fields and
Carrick voted against it. Therefore, CSHB 375(L&C) was reported
out of the House Labor and Commerce Standing Committee by a vote
of 5-2.
SB 196-EMPLOYER DRUG AND ALCOHOL TESTING
4:39:44 PM
CHAIR SUMNER announced that the final order of business would be
SENATE BILL NO. 196, "An Act relating to drug and alcohol
testing by employers."
4:40:09 PM
REPRESENTATIVE RUFFRIDGE moved to report SB 196 out of committee
with individual recommendations and the accompanying fiscal
notes. There being no objection, SB 196 was reported from the
House Labor and Commerce Standing Committee.
SB 228-EXTEND BOARD OF MASSAGE THERAPISTS
4:40:33 PM
CHAIR SUMNER announced that the final order of business would be
SENATE BILL NO. 228, "An Act extending the termination date of
the Board of Massage Therapists; and providing for an effective
date."
4:40:47 PM
SENATOR JESSE BJORKMAN, Alaska State Legislature, as prime
sponsor, presented the sponsor statement for SB 228 [included in
committee packet], which read as follows [original punctuation
provided]:
Senate Bill 228 proposes to extend the sunset date of
the Board of Massage Therapists by six years. In the
fall of 2023, our Division of Legislative Audit
completed a sunset audit of the Board.
In this audit, it was determined that overall, the
Board has operated in the public's interest by
conducting its meetings in an effective manner as well
as actively amending regulations to address statutory
changes, improving the licensing process, and
enhancing public safety.
As you make an in-depth review the audit, you will see
our auditor made note of four issues which should be
addressed by the Board and the Department as it moves
forward. First, the Department staff should help
develop standards to ensure license approvals are not
based on outdated documentation; the Commissioner
should work to improve recruitment and retention of
investigators as well as DCBPL licensing staff and the
Board should give consideration to increasing
licensing fees.
Currently, the Board will sunset on June 30, 2024. To
allow the Board to continue working in the public
interest, SB 228 follows the recommended six-year
extension to June 30, 2030.
I urge your support of this legislation.
4:43:21 PM
ANNETTA ATWELL, Chair, Board of Massage Therapists, provided
additional context as to the Board of Massage Therapists' ("the
board") pursuit of extension, per SB 228. She explained that
three of the four areas of concern identified by Kris Curtis,
legislative auditor, would be borne by the Division of
Corporations, Business and Professional licensing (DCBPL). The
fourth item, which suggests raising the licensing fee to keep
the board from incurring additional debt, is a concern that the
board shares. She said the board would work with the state to
establish fees that are justified for correct spending and
assured the committee that the increase would occur at the end
of the year. She added that the board would continue to meet
quarterly and thanked the legislature for working with her as
she transitioned into her new role as chair. She said the
following items would help her efficiently lead the board:
identifying key staff members to streamline questions and
pursuing communication with other committees. She noted that
statutes and regulations concerning the board's scope of
practice would be addressed in the June quarterly meeting.
4:47:35 PM
REPRESENTATIVE FIELDS said he would be comfortable with voting
to advance the executive order (EO) now, given the breadth of
discussion and testimony on the board.
CHAIR SUMNER said he would prefer to give the committee the
opportunity to amend the bill first.
4:48:46 PM
REPRESENTATIVE RUFFRIDGE asked whether Ms. Curtis had anything
to add with regard to the audit.
KRIS CURTIS, Legislative Auditor, Legislative Audit Division,
Legislative Agencies and Offices, noted that the following
recommendations were repeatedly seen across occupational board
audits this year: recommending that the commissioner work with
policy makers to improve recruitment and retention; recommending
an increase in fees; recommending that documents older than six
months be resubmitted.
REPRESENTATIVE RUFFRIDGE asked what the lack of funds is
attributable to.
MS. CURTIS directed attention to Exhibit 3 on page 9 of the
board's sunset audit [included in the committee packet], noting
that the board was awarded "quite a bit" of general funds to
help mitigate the financial impact of the COVID-19 Pandemic,
which caused many boards to delay a fee increase. In addition,
a request by the Department of Commerce, Community & Economic
Development (DCCED) to shift the funding source for all
investigation costs to the general fund (GF) was denied by the
legislature last year. As a result, the December 2023 renewal
cycle did not include a fee increase, as management believed
that investigative costs would have been borne by the GF and as
such, did not have time to re-do their funding analysis.
4:51:48 PM
REPRESENTATIVE CARRICK questioned whether staff challenges and
investigations are specific to this board or whether the
legislature could expect to see them in other audits for board
extensions going forward.
MS. CURTIS said it's a typical challenge that's become more
frequent in recent years. She noted that generally, when a
board has a general administrator, there is lower turnover.
REPRESENTATIVE CARRICK asked whether the general administrator
works for DCBPL or the board.
MS. CURTIS clarified that [the Board of Massage Therapists] does
not a general administrator; however, some boards have a
dedicated executive administrator in statute, which is a higher
paid position than typical occupational licensing staff.
4:53:56 PM
REPRESENTATIVE PRAX asked Ms. Robb for feedback on the audit.
SYLVAN ROBB, Director, Division of Corporations, Business, and
Professional Licensing (DCBPL), Department of Commerce,
Community & Economic Development (DCCED), acknowledged that the
division faced severe staffing challenges during the pandemic
with a 35 percent vacancy rate on the professional licensing
team. She reported that staffing shortages have improved
resulting in better training and oversight for new staff. She
anticipated that the change in fees would be addressed in the
board's next renewal.
REPRESENTATIVE PRAX asked whether a dedicated administrator
would be warranted for the board.
MS. ROBB said the board does not require that level of support.
She explained that staffing is in a good place, adding that the
division has worked to reclassify some positions to create
higher levels of oversight for boards without executive
administrators.
REPRESENTATIVE PRAX asked whether the committee should schedule
a time to hear from the board.
MS. ROBB said that would be a policy call.
4:58:26 PM
CHAIR SUMNER announced that SB 228 would be held over.
HB 385-OCCUPATIONAL LICENSING FEES
4:58:45 PM
CHAIR SUMNER announced that the next order of business would be
HOUSE BILL NO. 385, "An Act relating to occupational licensing
fees."
4:59:10 PM
CHAIR SUMNER moved to adopt Amendment 2 to HB 385, labeled 33-
LS1163\A.1, Gunther, 3/27/24, which read:
Page 2, lines 11 - 12:
Delete "gross income the licensee earned as a
result of holding the license"
Insert "economic hardship the licensee
experienced"
Page 2, lines 12 - 18:
Delete "The department shall collect from a
licensee who submits proof of the licensee's gross
income under this subsection the lesser of
(1) the total fees established under (c)
and (f) - (k) of this section required to be collected
from the licensee for the current calendar year; or
(2) 20 percent of the gross income the
licensee earned as a result of holding the license in
the previous calendar year"
Insert "If a licensee submits proof of economic
hardship, the department shall collect from the
licensee only 50 percent of the total fees established
under (c) and (f) - (k) of this section required to be
collected from the licensee in the current calendar
year"
REPRESENTATIVE CARRICK objected.
4:59:31 PM
REPRESENTATIVE DAVID EASTMAN, Alaska State Legislature, as prime
sponsor, said the purpose of the underlying bill is to reduce
licensing fees to a reasonable amount. He explained that
Amendment 2 would incorporate items from HB 314 into the bill,
thereby encouraging the department to annually assess whether
the licensing fee is causing a decrease in the number of
licensees in a particular occupation. In addition, the proposed
amendment would encourage military members and their spouses to
apply for licenses by expanding eligibility for a reduced
licensing fee.
5:01:51 PM
A roll call vote was taken. Representatives Wright and Sumner
voted in favor of Amendment 2. Representatives Prax, Ruffridge,
Saddler, Carrick, and Fields voted against it. Therefore,
Amendment 2 failed by a vote of 2-5. 2-5.
5:02:48 PM
REPRESENTATIVE RUFFRIDGE moved to report HB 385 out of committee
with individual recommendations and the accompanying fiscal
notes. There being no objection, HB 385 was reported out of the
House Labor and Commerce Standing Committee.
HB 325-BUSINESS LICENSE FEES
5:03:16 PM
CHAIR SUMNER announced that the next order of business would be
HOUSE BILL NO. 325, "An Act relating to business license fees;
and providing for an effective date."
5:03:23 PM
CHAIR SUMNER opened public testimony on HB 325.
5:03:41 PM
JASMIN SMITH, Business Owner, Umoja Coworking Space, testified
in support of HB 325. She stated her support for waiving
[business license fees] for people on public assistance and
urged the committee to consider ways to alleviate barriers to
first time business owners.
REPRESENTATIVE WRIGHT expressed admiration for the work Ms.
Smith does in her community.
5:07:06 PM
CHAIR SUMNER closed public testimony on HB 325.
5:07:11 PM
REPRESENTATIVE RUFFRIDGE moved to report HB 325 out of committee
with individual recommendations and the accompanying fiscal
notes.
5:07:27 PM
REPRESENTATIVE CARRICK objected for purposes of discussion. She
acknowledged that the cost of business licenses increased during
the pandemic and opined that the bill would present a valuable
option for many individuals. She reiterated her strong support
for HB 325 and removed her objection.
5:08:21 PM
CHAIR SUMNER announced that there being no further objection, HB
325 was adopted.
5:08:32 PM
ADJOURNMENT
There being no further business before the committee, the House
Labor and Commerce Standing Committee meeting was adjourned at
5:08 p.m.